[Congressional Record (Bound Edition), Volume 150 (2004), Part 12]
[House]
[Pages 16298-16325]
[From the U.S. Government Publishing Office, www.gpo.gov]




CONFERENCE REPORT ON H.R. 2443, COAST GUARD AND MARITIME TRANSPORTATION 
                              ACT OF 2004

  Mr. YOUNG of Alaska submitted the following conference report and 
statement on the bill (H.R. 2443) to authorize appropriations for the 
Coast Guard for fiscal year 2004, to amend various laws administered by 
the Coast Guard, and for other purposes:

                  Conference Report (H. Rept. 108-617)

       The committee of conference on the disagreeing votes of the 
     two Houses on the amendments of the Senate to the bill (H.R. 
     2443), to authorize appropriations for the Coast Guard for 
     fiscal year 2004, to amend various laws administered by the 
     Coast Guard, and for other purposes, having met, after full 
     and free conference, have agreed to recommend and do 
     recommend to their respective Houses as follows:
       That the House recede from its disagreement to the 
     amendment of the Senate to the text of the bill and agree to 
     the same with an amendment as follows:
       In lieu of the matter proposed to be inserted by the Senate 
     amendment, insert the following:

     SECTION 1. SHORT TITLE.

       This Act may be referred to as the ``Coast Guard and 
     Maritime Transportation Act of 2004''.

     SEC. 2. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.

                         TITLE I--AUTHORIZATION

Sec. 101. Authorization of appropriations.
Sec. 102. Authorized levels of military strength and training.

                    TITLE II--COAST GUARD MANAGEMENT

Sec. 201. Long-term leases.
Sec. 202. Nonappropriated fund instrumentalities.
Sec. 203. Term of enlistments.
Sec. 204. Enlisted member critical skill training bonus.
Sec. 205. Indemnity for disabling vessels liable to seizure or 
              examination.
Sec. 206. Administrative, collection, and enforcement costs for certain 
              fees and charges.
Sec. 207. Expansion of Coast Guard housing authorities.
Sec. 208. Requirement for constructive credit.
Sec. 209. Maximum ages for retention in an active status.
Sec. 210. Travel card management.
Sec. 211. Coast Guard fellows and detailees.
Sec. 212. Long-term lease of special use real property.
Sec. 213. National Coast Guard Museum.
Sec. 214. Limitation on number of commissioned officers.
Sec. 215. Redistricting notification requirement.
Sec. 216. Report on shock mitigation standards.
Sec. 217. Recommendations to Congress by Commandant of the Coast Guard.
Sec. 218. Coast Guard education loan repayment program.
Sec. 219. Contingent expenses.
Sec. 220. Reserve admirals.
Sec. 221. Confidential investigative expenses.
Sec. 222. Innovative construction alternatives.
Sec. 223. Delegation of port security authority.
Sec. 224. Fisheries enforcement plans and reporting.
Sec. 225. Use of Coast Guard and military child development centers.
Sec. 226. Treatment of property owned by auxiliary units and dedicated 
              solely for auxiliary use.

                         TITLE III--NAVIGATION

Sec. 301. Marking of underwater wrecks.
Sec. 302. Use of electronic devices; cooperative agreements.
Sec. 303. Inland navigation rules promulgation authority.
Sec. 304. Saint Lawrence Seaway.

                           TITLE IV--SHIPPING

Sec. 401. Reports from charterers.
Sec. 402. Removal of mandatory revocation for proved drug convictions 
              in suspension and revocation cases.
Sec. 403. Records of merchant mariners' documents.
Sec. 404. Exemption of unmanned barges from certain citizenship 
              requirements.
Sec. 405. Compliance with International Safety Management Code.
Sec. 406. Penalties.
Sec. 407. Revision of temporary suspension criteria in document 
              suspension and revocation cases.
Sec. 408. Revision of bases for document suspension and revocation 
              cases.
Sec. 409. Hours of service on towing vessels.
Sec. 410. Electronic charts.
Sec. 411. Prevention of departure.
Sec. 412. Service of foreign nationals for maritime educational 
              purposes.

[[Page 16299]]

Sec. 413. Classification societies.
Sec. 414. Drug testing reporting.
Sec. 415. Inspection of towing vessels.
Sec. 416. Potable water.
Sec. 417. Transportation of platform jackets.
Sec. 418. Renewal of advisory groups.

                  TITLE V--FEDERAL MARITIME COMMISSION

Sec. 501. Authorization of appropriations for Federal Maritime 
              Commission.
Sec. 502. Report on ocean shipping information gathering efforts.

                        TITLE VI--MISCELLANEOUS

Sec. 601. Increase in civil penalties for violations of certain bridge 
              statutes.
Sec. 602. Conveyance of decommissioned Coast Guard cutters.
Sec. 603. Tonnage measurement.
Sec. 604. Operation of vessel STAD AMSTERDAM.
Sec. 605. Great Lakes National Maritime Enhancement Institute.
Sec. 606. Koss Cove.
Sec. 607. Miscellaneous certificates of documentation.
Sec. 608. Requirements for coastwise endorsement.
Sec. 609. Correction of references to National Driver Register.
Sec. 610. Wateree River.
Sec. 611. Merchant mariners' documents pilot program.
Sec. 612. Conveyance.
Sec. 613. Bridge administration.
Sec. 614. Sense of Congress regarding carbon monoxide and watercraft.
Sec. 615. Mitigation of penalty due to avoidance of a certain 
              condition.
Sec. 616. Certain vessels to be tour vessels.
Sec. 617. Sense of Congress regarding timely review and adjustment of 
              Great Lakes pilotage rates.
Sec. 618. Westlake chemical barge documentation.
Sec. 619. Correction to definition.
Sec. 620. LORAN-C.
Sec. 621. Deepwater report.
Sec. 622. Judicial review of National Transportation Safety Board final 
              orders.
Sec. 623. Interim authority for dry bulk cargo residue disposal.
Sec. 624. Small passenger vessel report.
Sec. 625. Conveyance of motor lifeboat.
Sec. 626. Study on routing measures.
Sec. 627. Conveyance of light stations.
Sec. 628. Waiver.
Sec. 629. Approval of modular accommodation units for living quarters.

      TITLE VII--AMENDMENTS RELATING TO OIL POLLUTION ACT OF 1990

Sec. 701. Vessel response plans for nontank vessels over 400 gross 
              tons.
Sec. 702. Requirements for tank level and pressure monitoring devices.
Sec. 703. Liability and cost recovery.
Sec. 704. Oil Spill Recovery Institute.
Sec. 705. Alternatives.
Sec. 706. Authority to settle.
Sec. 707. Report on implementation of the Oil Pollution Act of 1990.
Sec. 708. Loans for fishermen and aquaculture producers impacted by oil 
              spills.

              TITLE VIII--MARITIME TRANSPORTATION SECURITY

Sec. 801. Enforcement.
Sec. 802. In rem liability for civil penalties and costs.
Sec. 803. Maritime information.
Sec. 804. Maritime transportation security grants.
Sec. 805. Security assessment of waters under the jurisdiction of the 
              United States.
Sec. 806. Membership of Area Maritime Security Advisory Committees.
Sec. 807. Joint operational centers for port security.
Sec. 808. Investigations.
Sec. 809. Vessel and intermodal security reports.
                         TITLE I--AUTHORIZATION

     SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

       Funds are authorized to be appropriated for fiscal year 
     2005 for necessary expenses of the Coast Guard as follows:
       (1) For the operation and maintenance of the Coast Guard, 
     $5,404,300,000, of which $25,000,000 is authorized to be 
     derived from the Oil Spill Liability Trust Fund to carry out 
     the purposes of section 1012(a)(5) of the Oil Pollution Act 
     of 1990.
       (2) For the acquisition, construction, rebuilding, and 
     improvement of aids to navigation, shore and offshore 
     facilities, vessels, and aircraft, including equipment 
     related thereto, $1,500,000,000, of which--
       (A) $23,500,000 shall be derived from the Oil Spill 
     Liability Trust Fund to carry out the purposes of section 
     1012(a)(5) of the Oil Pollution Act of 1990), to remain 
     available until expended;
       (B) $1,100,000,000 is authorized for acquisition and 
     construction of shore and offshore facilities, vessels, and 
     aircraft, including equipment related thereto, and other 
     activities that constitute the Integrated Deepwater System; 
     and
       (C) $161,000,000 shall be available for Rescue 21.
       (3) For research, development, test, and evaluation of 
     technologies, materials, and human factors directly relating 
     to improving the performance of the Coast Guard's mission in 
     search and rescue, aids to navigation, marine safety, marine 
     environmental protection, enforcement of laws and treaties, 
     ice operations, oceanographic research, and defense 
     readiness, $24,200,000, to remain available until expended, 
     of which $3,500,000 shall be derived from the Oil Spill 
     Liability Trust Fund to carry out the purposes of section 
     1012(a)(5) of the Oil Pollution Act of 1990.
       (4) For retired pay (including the payment of obligations 
     otherwise chargeable to lapsed appropriations for this 
     purpose), payments under the Retired Serviceman's Family 
     Protection and Survivor Benefit Plans, and payments for 
     medical care of retired personnel and their dependents under 
     chapter 55 of title 10, United States Code, $1,085,460,000, 
     to remain available until expended.
       (5) For alteration or removal of bridges over navigable 
     waters of the United States constituting obstructions to 
     navigation, and for personnel and administrative costs 
     associated with the Bridge Alteration Program, $19,650,000, 
     of which--
       (A) $17,150,000, to remain available until expended; and
       (B) $2,500,000, to remain available until expended, which 
     may be utilized for construction of a new Chelsea Street 
     Bridge over the Chelsea River in Boston, Massachusetts.
       (6) For environmental compliance and restoration at Coast 
     Guard facilities (other than parts and equipment associated 
     with operation and maintenance), $17,000,000, to remain 
     available until expended.
       (7) For maintenance and operation of facilities, supplies, 
     equipments, and services necessary for the Coast Guard 
     Reserve, as authorized by law, $117,000,000.

     SEC. 102. AUTHORIZED LEVELS OF MILITARY STRENGTH AND 
                   TRAINING.

       (a) Active Duty Strength.--The Coast Guard is authorized an 
     end-of-year strength for active duty personnel of 45,500 for 
     the years ending on September 30, 2004, and September 30, 
     2005.
       (b) Military Training Student Loads.--The Coast Guard is 
     authorized average military training student loads as 
     follows:
       (1) For recruit and special training for fiscal year 2005, 
     2,500 student years.
       (2) For flight training for fiscal year 2005, 125 student 
     years.
       (3) For professional training in military and civilian 
     institutions for fiscal year 2005, 350 student years.
       (4) For officer acquisition for fiscal year 2005, 1,200 
     student years.
                    TITLE II--COAST GUARD MANAGEMENT

     SEC. 201. LONG-TERM LEASES.

       Section 93 of title 14, United States Code, is amended--
       (1) by redesignating paragraphs (a) through (x) in order as 
     paragraphs (1) through (23);
       (2) in paragraph (18) (as so redesignated) by striking the 
     comma at the end and inserting a semicolon;
       (3) by inserting ``(a)'' before ``For the purpose''; and
       (4) by adding at the end the following:
       ``(b)(1) Notwithstanding subsection (a)(14), a lease 
     described in paragraph (2) of this subsection may be for a 
     term of up to 20 years.
       ``(2) A lease referred to in paragraph (1) is a lease--
       ``(A) to the United States Coast Guard Academy Alumni 
     Association for the construction of an Alumni Center on the 
     grounds of the United States Coast Guard Academy; or
       ``(B) to an entity with which the Commandant has a 
     cooperative agreement under section 4(e) of the Ports and 
     Waterways Safety Act, and for which a term longer than 5 
     years is necessary to carry out the agreement.''.

     SEC. 202. NONAPPROPRIATED FUND INSTRUMENTALITIES.

       (a) In General.--Chapter 7 of title 14, United States Code, 
     is amended by adding at the end the following:

     ``Sec. 152. Nonappropriated fund instrumentalities: contracts 
       with other agencies and instrumentalities to provide or 
       obtain goods and services

       ``The Coast Guard Exchange System, or a morale, welfare, 
     and recreation system of the Coast Guard, may enter into a 
     contract or other agreement with any element or 
     instrumentality of the Coast Guard or with another Federal 
     department, agency, or instrumentality to provide or obtain 
     goods and services beneficial to the efficient management and 
     operation of the Coast Guard Exchange System or that morale, 
     welfare, and recreation system.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 7 of title 14, United States Code, is 
     amended by adding at the end the following:

``152. Nonappropriated fund instrumentalities: contracts with other 
              agencies and instrumentalities to provide or obtain goods 
              and services.''.

     SEC. 203. TERM OF ENLISTMENTS.

       Section 351(a) of title 14, United States Code, is amended 
     by striking ``terms of full years not exceeding six years.'' 
     and inserting ``a period of at least two years but not more 
     than six years.''.

     SEC. 204. ENLISTED MEMBER CRITICAL SKILL TRAINING BONUS.

       (a) In General.--Chapter 11 of title 14, United States 
     Code, is amended by inserting after section 373 the 
     following:

     ``Sec. 374. Critical skill training bonus

       ``(a) The Secretary may provide a bonus, not to exceed 
     $20,000, to an enlisted member who completes training in a 
     skill designated as critical, if at least four years of 
     obligated active service remain on the member's enlistment at 
     the time the training is completed. A bonus under this 
     section may be paid in a single lump sum or in periodic 
     installments.
       ``(b) If an enlisted member voluntarily or because of 
     misconduct does not complete the member's term of obligated 
     active service, the Secretary may require the member to repay 
     the

[[Page 16300]]

     United States, on a pro rata basis, all sums paid under this 
     section. The Secretary may charge interest on the amount 
     repaid at a rate, to be determined quarterly, equal to 150 
     percent of the average of the yields on the 91-day Treasury 
     bills auctioned during the calendar quarter preceding the 
     date on which the amount to be repaid is determined.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 11 of title 14, United States Code, is 
     amended by inserting the following after the item relating to 
     section 373:

``374. Critical skill training bonus.''.

     SEC. 205. INDEMNITY FOR DISABLING VESSELS LIABLE TO SEIZURE 
                   OR EXAMINATION.

       (a) Repeal of Requirement To Fire Warning Shot.--Subsection 
     (a) of section 637 of title 14, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(a)'';
       (2) by striking ``after a'' and all that follows through 
     ``signal,'' and inserting ``subject to paragraph (2),''; and
       (3) by adding at the end the following:
       ``(2) Before firing at or into a vessel as authorized in 
     paragraph (1), the person in command or in charge of the 
     authorized vessel or authorized aircraft shall fire a gun as 
     a warning signal, except that the prior firing of a gun as a 
     warning signal is not required if that person determines that 
     the firing of a warning signal would unreasonably endanger 
     persons or property in the vicinity of the vessel to be 
     stopped.''.
       (b) Extension to Military Aircraft of Coast Guard 
     Interdiction Authority.--Subsection (c) of such section is 
     amended--
       (1) in paragraph (1) by inserting ``or'' after the 
     semicolon; and
       (2) in paragraph (2) by--
       (A) inserting ``or military aircraft'' after ``surface 
     naval vessel''; and
       (B) striking ``; or'' and all that follows through 
     paragraph (3) and inserting a period.
       (c) Repeal of Termination of Applicability to Naval 
     Aircraft.--Subsection (d) of such section is repealed.
       (d) Report.--The Commandant of the Coast Guard shall 
     transmit a report annually to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Transportation and Infrastructure of the House of 
     Representatives describing the location, vessels or aircraft, 
     circumstances, and consequences of each incident in the 12-
     month period covered by the report in which the person in 
     command or in charge of an authorized vessel or an authorized 
     aircraft (as those terms are used in section 637 of title 14, 
     United States Code) fired at or into a vessel without prior 
     use of the warning signal as authorized by that section.
       (e) Technical Correction.--
       (1) Correction.--Section 637 of title 14, United States 
     Code, is amended in the section heading by striking 
     ``immunity'' and inserting ``indemnity''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 17 of title 14, United States Code, is 
     amended by striking the item relating to section 637 and 
     inserting the following:

``637. Stopping vessels; indemnity for firing at or into vessel.''.

     SEC. 206. ADMINISTRATIVE, COLLECTION, AND ENFORCEMENT COSTS 
                   FOR CERTAIN FEES AND CHARGES.

       Section 664 of title 14, United States Code, is amended--
       (1) by redesignating subsection (c) as subsection (f);
       (2) by inserting after subsection (b) the following:
       ``(c) In addition to the collection of fees and charges 
     established under this section, the Secretary may recover 
     from the person liable for the fee or charge the costs of 
     collecting delinquent payments of the fee or charge, and 
     enforcement costs associated with delinquent payments of the 
     fees and charges.
       ``(d)(1) The Secretary may employ any Federal, State, or 
     local agency or instrumentality, or any private enterprise or 
     business, to collect a fee or charge established under this 
     section.
       ``(2) A private enterprise or business employed by the 
     Secretary to collect fees or charges--
       ``(A) shall be subject to reasonable terms and conditions 
     agreed to by the Secretary and the enterprise or business;
       ``(B) shall provide appropriate accounting to the 
     Secretary; and
       ``(C) may not institute litigation as part of that 
     collection.
       ``(e) The Secretary shall account for the agency's costs of 
     collecting a fee or charge as a reimbursable expense, subject 
     to the availability of appropriations, and the costs shall be 
     credited to the account from which expended.''; and
       (3) by adding at the end the following:
       ``(g) In this section the term `costs of collecting a fee 
     or charge' includes the reasonable administrative, 
     accounting, personnel, contract, equipment, supply, training, 
     and travel expenses of calculating, assessing, collecting, 
     enforcing, reviewing, adjusting, and reporting on a fee or 
     charge.''.

     SEC. 207. EXPANSION OF COAST GUARD HOUSING AUTHORITIES.

       (a) Eligible Entity Defined.--Section 680 of title 14, 
     United States Code, is amended--
       (1) by redesignating paragraphs (3) and (4) in order as 
     paragraphs (4) and (5); and
       (2) by inserting after paragraph (2) the following:
       ``(3) The term `eligible entity' means any private person, 
     corporation, firm, partnership, or company and any State or 
     local government or housing authority of a State or local 
     government.''.
       (b) Direct Loans for Providing Housing.--Section 682 of 
     title 14, United States Code, is amended--
       (1) in the section heading by striking ``Loan guarantees'' 
     and inserting ``Direct loans and loan guarantees'';
       (2) by redesignating subsections (a) and (b) as (b) and (c) 
     respectively;
       (3) by inserting before subsection (b) (as so redesignated) 
     the following:
       ``(a) Direct Loans.--(1) Subject to subsection (c), the 
     Secretary may make direct loans to an eligible entity in 
     order to provide funds to the eligible entity for the 
     acquisition or construction of housing units that the 
     Secretary determines are suitable for use as military family 
     housing or as military unaccompanied housing.
       ``(2) The Secretary shall establish such terms and 
     conditions with respect to loans made under this subsection 
     as the Secretary considers appropriate to protect the 
     interests of the United States, including the period and 
     frequency for repayment of such loans and the obligations of 
     the obligors on such loans upon default.'';
       (4) in subsection (b) (as so redesignated) by striking 
     ``subsection (b),'' and inserting ``subsection (c),''; and
       (5) in subsection (c) (as so redesignated)--
       (A) in the heading by striking ``Guarantee''; and
       (B) by striking ``Loan guarantees'' and inserting ``Direct 
     loans and loan guarantees''.
       (c) Limited Partnerships With Eligible Entities.--Section 
     684 of title 14, United States Code, is amended--
       (1) in the section heading by striking ``nongovernmental'' 
     and inserting ``eligible'';
       (2) in subsection (a) by striking ``nongovernmental'' and 
     inserting ``eligible'';
       (3) in subsection (b)(1) by striking ``a nongovernmental'' 
     and inserting ``an eligible'';
       (4) in subsection (b)(2) by striking ``a nongovernmental'' 
     and inserting ``an eligible''; and
       (5) in subsection (c) by striking ``nongovernmental'' and 
     inserting ``eligible''.
       (d) Housing Demonstration Projects in Alaska.--Section 
     687(g) of title 14, United Sates Code, is amended--
       (1) in the heading by striking ``Project'' and inserting 
     ``Projects'';
       (2) in paragraph (1) by striking ``a demonstration 
     project'' and inserting ``demonstration projects'';
       (3) in paragraph (1) by striking ``Kodiak, Alaska;'' and 
     inserting ``Kodiak, Alaska, or any other Coast Guard 
     installation in Alaska;'';
       (4) in paragraph (2) by striking ``the demonstration 
     project'' and inserting ``such a demonstration project''; and
       (5) in paragraph (4) by striking ``the demonstration 
     project'' and inserting ``such demonstration projects''.
       (e) Differential Lease Payments.--Chapter 18 of title 14, 
     United States Code, is amended by inserting after section 687 
     the following:

     ``Sec. 687a. Differential lease payments

       ``Pursuant to an agreement entered into by the Secretary 
     and a lessor of military family housing or military 
     unaccompanied housing to members of the armed forces, the 
     Secretary may pay the lessor an amount, in addition to the 
     rental payments for the housing made by the members, as the 
     Secretary determines appropriate to encourage the lessor to 
     make the housing available to members of the armed forces as 
     military family housing or as military unaccompanied 
     housing.''.
       (f) Clerical Amendment.--The table of sections at the 
     beginning of chapter 18 of title 14, United States Code, is 
     amended--
       (1) by striking the item related to section 682 and 
     inserting the following:

``682. Direct loans and loan guarantees.'';

       (2) in the item related to section 684 by striking 
     ``nongovernmental'' and inserting ``eligible''; and
       (3) by inserting after the item related to section 687 the 
     following:

``687a. Differential lease payments.''.

     SEC. 208. REQUIREMENT FOR CONSTRUCTIVE CREDIT.

       Section 727 of title 14, United States Code, is amended in 
     the second sentence by striking ``three years'' and inserting 
     ``one year''.

     SEC. 209. MAXIMUM AGES FOR RETENTION IN AN ACTIVE STATUS.

       Section 742 of title 14, United States Code, is amended to 
     read as follows:

     ``Sec. 742. Maximum ages for retention in an active status

       ``(a) A Reserve officer, if qualified, shall be transferred 
     to the Retired Reserve on the day the officer becomes 60 
     years of age unless on active duty. If not qualified for 
     retirement, a Reserve officer shall be discharged effective 
     upon the day the officer becomes 60 years of age unless on 
     active duty.
       ``(b) A Reserve officer on active duty shall, if qualified, 
     be retired effective upon the day the officer become 62 years 
     of age. If not qualified for retirement, a Reserve officer on 
     active duty shall be discharged effective upon the day the 
     officer becomes 62 years of age.
       ``(c) Notwithstanding subsection (a)and (b), the Secretary 
     may authorize the retention of a Reserve rear admiral or rear 
     admiral (lower half) in an active status not longer than the 
     day on which the officer concerned becomes 64 years of age.
       ``(d) For purposes of this section, `active duty' does not 
     include active duty for training, duty on a board, or duty of 
     a limited or temporary nature if assigned to active duty from 
     an inactive duty status.''.

[[Page 16301]]



     SEC. 210. TRAVEL CARD MANAGEMENT.

       (a) In General.--Chapter 13 of title 14, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 517. Travel card management

       ``(a) In General.--The Secretary may require that travel or 
     transportation allowances due a civilian employee or military 
     member of the Coast Guard be disbursed directly to the issuer 
     of a Federal contractor-issued travel charge card, but only 
     in an amount not to exceed the authorized travel expenses 
     charged by that Coast Guard member to that travel charge card 
     issued to that employee or member.
       ``(b) Withholding of Nondisputed Obligations.--The 
     Secretary may also establish requirements similar to those 
     established by the Secretary of Defense pursuant to section 
     2784a of title 10 for deduction or withholding of pay or 
     retired pay from a Coast Guard employee, member, or retired 
     member who is delinquent in payment under the terms of the 
     contract under which the card was issued and does not dispute 
     the amount of the delinquency.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     13 of title 14, United States Code, is amended by inserting 
     after the item relating to section 516 the following:

``517. Travel card management''.

     SEC. 211. COAST GUARD FELLOWS AND DETAILEES.

       The Secretary of the department in which the Coast Guard is 
     operating, in consultation with the Attorney General, shall 
     by not later than 6 months after the date of the enactment of 
     this Act--
       (1) review the Coast Guard Commandant Instruction 5730.3, 
     regarding congressional detailees (COMDTINST 5370.3), dated 
     April 18, 2003, and compare the standards set forth in the 
     instruction to the standards applied by other executive 
     agencies to congressional detailees;
       (2) determine if any changes to such instruction are 
     necessary to protect against conflicts of interest and 
     preserve the doctrine of separation of powers; and
       (3) submit a report to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on 
     Transportation and Infrastructure of the House of 
     Representatives on the findings and conclusions of the 
     review.

     SEC. 212. LONG-TERM LEASE OF SPECIAL USE REAL PROPERTY.

       (a) In General.--Section 672 of title 14, United States 
     Code, is amended by--
       (1) striking the heading and inserting the following:

     ``Sec. 672. Long-term lease of special purpose facilities'';

       (2) in subsection (a), inserting ``special purpose 
     facilities, including,'' after ``automatic renewal clauses, 
     for'' ; and
       (3) striking ``(b) The'' and inserting:
       ``(b) For purposes of this section, the term `special 
     purpose facilities' means any facilities used to carry out 
     Coast Guard aviation, maritime, or navigation missions other 
     than general purpose office and storage space facilities.
       ``(c) In the case of ATON, VTS, or NDS sites, the''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 17, United States Code, is amended by 
     striking the item relating to section 672 and inserting the 
     following:

``672. Long-term lease of special purpose facilities.''.

     SEC. 213. NATIONAL COAST GUARD MUSEUM.

       (a) In General.--Chapter 5 of title 14, United States Code, 
     is amended by adding at the end the following:

     ``Sec. 98. National Coast Guard Museum

       ``(a) Establishment.--The Commandant may establish a 
     National Coast Guard Museum, on lands which will be federally 
     owned and administered by the Coast Guard, and are located in 
     New London, Connecticut, at, or in close proximity to, the 
     Coast Guard Academy.
       ``(b) Limitation on Expenditures.--(1) Except as provided 
     in paragraph (2), the Secretary shall not expend any 
     appropriated Federal funds for the engineering, design, or 
     construction of any museum established under this section.
       ``(2) The Secretary shall fund the operation and 
     maintenance of the National Coast Guard Museum with 
     nonappropriated and non-Federal funds to the maximum extent 
     practicable. The priority use of Federal operation and 
     maintenance funds should be to preserve and protect historic 
     Coast Guard artifacts.
       ``(c) Funding Plan.--Before the date on which the 
     Commandant establishes a museum under subsection (a), the 
     Commandant shall provide to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Transportation and Infrastructure of the House of 
     Representatives a plan for constructing, operating, and 
     maintaining such a museum, including--
       ``(1) estimated planning, engineering, design, 
     construction, operation, and maintenance costs;
       ``(2) the extent to which appropriated, nonappropriated, 
     and non-Federal funds will be used for such purposes, 
     including the extent to which there is any shortfall in 
     funding for engineering, design, or construction; and
       ``(3) a certification by the Inspector General of the 
     department in which the Coast Guard is operating that the 
     estimates provided pursuant to paragraphs (1) and (2) are 
     reasonable and realistic.
       ``(d) Authority.--The Commandant may not establish a Coast 
     Guard museum except as set forth in this section.''.
       (b) Clerical Amendment.--The chapter analysis at the 
     beginning of chapter 5 of title 14, United States Code, is 
     amended by adding at the end the following:

``98. National Coast Guard Museum.''.

     SEC. 214. LIMITATION ON NUMBER OF COMMISSIONED OFFICERS.

       Section 42 of title 14, United States Code, is amended--
       (1) in subsection (a), by striking ``6,200'' and inserting 
     ``6,700 in each fiscal year 2004, 2005, and 2006''; and
       (2) in subsection (b), by striking ``commander 12.0; 
     lieutenant commander 18.0'' and inserting ``commander 15.0; 
     lieutenant commander 22.0''.

     SEC. 215. REDISTRICTING NOTIFICATION REQUIREMENT.

       The Commandant shall notify the Committee on Transportation 
     and Infrastructure of the House of Representatives and the 
     Committee on Commerce, Science, and Transportation of the 
     Senate at least 180 days before--
       (1) implementing any plan to reduce the number of, change 
     the location of, or change the geographic area covered by any 
     existing Coast Guard Districts; or
       (2) permanently transferring more than 10 percent of the 
     personnel or equipment from a district office where such 
     personnel or equipment is based.

     SEC. 216. REPORT ON SHOCK MITIGATION STANDARDS.

       (a) Report requirement.--Not later than 180 days after the 
     date of the enactment of this Act, the Commandant of the 
     Coast Guard shall issue a report on the necessity of, and 
     possible standards for, decking materials for Coast Guard 
     vessels to mitigate the adverse effects on crew members from 
     shock and vibration.
       (b) Recommended standards.--The standards recommended in 
     the report may--
       (1) incorporate appropriate industry or manufacturing 
     standards; and
       (2) consider the weight and durability of decking material, 
     the effects of repeated use and varying weather conditions, 
     and the capability of decking material to lessen impact.

     SEC. 217. RECOMMENDATIONS TO CONGRESS BY COMMANDANT OF THE 
                   COAST GUARD.

       Section 93 of title 14, United States Code, is amended--
       (1) in paragraph (w) by striking ``and'' after the 
     semicolon at the end;
       (2) in paragraph (x) by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(y) after informing the Secretary, make such 
     recommendations to the Congress relating to the Coast Guard 
     as the Commandant considers appropriate.''.

     SEC. 218. COAST GUARD EDUCATION LOAN REPAYMENT PROGRAM.

       (a) Program Authorized.--Chapter 13 of title 14, United 
     States Code, is amended by inserting after section 471 the 
     following:

     ``Sec. 472. Education loan repayment program

       ``(a)(1) Subject to the provisions of this section, the 
     Secretary may repay--
       ``(A) any loan made, insured, or guaranteed under part B of 
     title IV of the Higher Education Act of 1965 (20 U.S.C. 1071 
     et seq.);
       ``(B) any loan made under part D of such title (the William 
     D. Ford Federal Direct Loan Program, 20 U.S.C. 1087a et 
     seq.); or
       ``(C) any loan made under part E of such title (20 U.S.C. 
     1087aa et seq.).
     Repayment of any such loan shall be made on the basis of each 
     complete year of service performed by the borrower.
       ``(2) The Secretary may repay loans described in paragraph 
     (1) in the case of any person for service performed on active 
     duty as an enlisted member of the Coast Guard in a specialty 
     specified by the Secretary.
       ``(b) The portion or amount of a loan that may be repaid 
     under subsection (a) is 33\1/3\ percent or $1,500, whichever 
     is greater, for each year of service.
       ``(c) If a portion of a loan is repaid under this section 
     for any year, interest on the remainder of such loan shall 
     accrue and be paid in the same manner as is otherwise 
     required.
       ``(d) Nothing in this section shall be construed to 
     authorize refunding any repayment of a loan.
       ``(e) The Secretary shall, by regulation, prescribe a 
     schedule for the allocation of funds made available to carry 
     out this section during any year for which funds are not 
     sufficient to pay the sum of the amounts eligible for 
     repayment under subsection (a).''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 13 of title 14, United States Code, is 
     amended by inserting after the item relating to section 471 
     the following:

``472. Education loan repayment program.''.

     SEC. 219. CONTINGENT EXPENSES.

       Section 476 of title 14, United States Code, is amended--
       (1) by striking ``$7,500'' and inserting ``$50,000''; and
       (2) by striking the second sentence.

     SEC. 220. RESERVE ADMIRALS.

       (a) Precedence.--Section 725 of title 14, United States 
     Code, is amended by adding at the end the following:
       ``(d) Notwithstanding any other law, a Reserve officer 
     shall not lose precedence by reason of promotion to the grade 
     of rear admiral or rear admiral (lower half), if the 
     promotion is determined in accordance with a running mate 
     system.
       ``(e) The Secretary shall adjust the date of rank of a 
     Reserve officer so that no changes of precedence occur.''.

[[Page 16302]]

       (b) Promotion.--Section 736(b) of title 14, United States 
     Code, is amend to read as follows:
       ``(b) Notwithstanding any other provision of law and 
     subject to subsection (c), if promotion of an inactive duty 
     promotion list officer to the grade of rear admiral or rear 
     admiral (lower half) is determined in accordance with a 
     running mate system, a reserve officer, if acceptable to the 
     President and the Senate, shall be promoted to the next 
     higher grade no later than the date the officer's running 
     mate is promoted.''.
       (c) Date of Appointment.--Section 736(c) of title 14, 
     United States Code, is amend by striking ``of subsection 
     (a)''.
       (d) Maximum Service.--Section 743 of title 14, United 
     States Code, is amended to read as follows:

     ``Sec. 743. Rear admiral and rear admiral (lower half); 
       maximum service in grade

       ``(a) Unless retained in or removed from an active status 
     under any other law, a reserve rear admiral or rear admiral 
     (lower half) shall be retired on July 1 of the promotion year 
     immediately following the promotion year in which that 
     officer completes 4 years of service after the appointment of 
     the officer to rear admiral (lower half).
       ``(b) Notwithstanding any other provision of law, if 
     promotion of inactive duty promotion list officers to the 
     grade of rear admiral is not determined in accordance with a 
     running mate system, a Reserve officer serving in an active 
     status in the grade of rear admiral (lower half) shall be 
     promoted to the grade of rear admiral, if acceptable to the 
     President and the Senate, on the date the officer has served 
     2 years in an active status in grade of rear admiral (lower 
     half), or in the case of a vacancy occurring prior to having 
     served 2 years in an active status, on the date the vacancy 
     occurs, if the officer served at least 1 year in an active 
     status in the grade of rear admiral (lower half).''.

     SEC. 221. CONFIDENTIAL INVESTIGATIVE EXPENSES.

       Section 658 of title 14, United States Code, is amended by 
     striking ``$15,000 per annum'' and inserting ``$45,000 each 
     fiscal year''.

     SEC. 222. INNOVATIVE CONSTRUCTION ALTERNATIVES.

       The Commandant of the Coast Guard may consult with the 
     Office of Naval Research and other Federal agencies with 
     research and development programs that may provide innovative 
     construction alternatives for the Integrated Deepwater 
     System.

     SEC. 223. DELEGATION OF PORT SECURITY AUTHORITY.

       The undesignated text following paragraph (b) of the second 
     unnumbered paragraph of section 1 of title II of the Act of 
     June 15, 1917 (chapter 30; 40 Stat. 220; 50 U.S.C. 191) is 
     amended by adding at the beginning the following: ``The 
     President may delegate the authority to issue such rules and 
     regulations to the Secretary of the department in which the 
     Coast Guard is operating.''.

     SEC. 224. FISHERIES ENFORCEMENT PLANS AND REPORTING.

       (a) Fisheries Enforcement Plans.--In preparing the Coast 
     Guard's annual fisheries enforcement plan, the Commandant of 
     the Coast Guard shall consult with the Under Secretary of 
     Commerce for Oceans and Atmosphere and with State and local 
     enforcement authorities.
       (b) Fishery Patrols.--Prior to undertaking fisheries 
     patrols, the Commandant of the Coast Guard shall notify the 
     Under Secretary of Commerce for Oceans and Atmosphere and 
     appropriate State and local enforcement authorities of the 
     projected dates for such patrols.
       (c) Annual Summary.--The Commandant of the Coast Guard 
     shall prepare and make available to the Under Secretary of 
     Commerce for Oceans and Atmosphere, State and local 
     enforcement entities, and other relevant stakeholders, an 
     annual summary report of fisheries enforcement activities for 
     the preceding year, including a summary of the number of 
     patrols, law enforcement actions taken, and resource hours 
     expended.

     SEC. 225. USE OF COAST GUARD AND MILITARY CHILD DEVELOPMENT 
                   CENTERS.

       The Secretary of Defense and the Secretary of the 
     department in which the Coast Guard is operating, when 
     operating other than as a service in the Navy, may agree to 
     provide child care services to members of the armed forces, 
     with reimbursement, in Coast Guard and military child 
     development centers supported in whole or in part with 
     appropriated funds. For purposes of military child 
     development centers operated under the authority of 
     subchapter II of chapter 88 of title 10, United States Code, 
     the child of a member of the Coast Guard shall be considered 
     the same as the child of a member of any of the other armed 
     forces.

     SEC. 226. TREATMENT OF PROPERTY OWNED BY AUXILIARY UNITS AND 
                   DEDICATED SOLELY FOR AUXILIARY USE.

       Section 821 of title 14, United States Code, is amended by 
     adding at the end the following:
       ``(d)(1) Except as provided in paragraph (2), personal 
     property of the auxiliary shall not be considered property of 
     the United States.
       ``(2) The Secretary may treat personal property of the 
     auxiliary as property of the United States--
       ``(A) for the purposes of--
       ``(i) the statutes and matters referred to in paragraphs 
     (1) through (6) of subsection (b); and
       ``(ii) section 641 of this title; and
       ``(B) as otherwise provided in this chapter.
       ``(3) The Secretary may reimburse the Auxiliary, and each 
     organizational element and unit of the Auxiliary, for 
     necessary expenses of operation, maintenance, and repair or 
     replacement of personal property of the Auxiliary.
       ``(4) In this subsection, the term `personal property of 
     the Auxiliary' means motor boats, yachts, aircraft, radio 
     stations, motorized vehicles, trailers, or other equipment 
     that is under the administrative jurisdiction of the Coast 
     Guard Auxiliary or an organizational element or unit of the 
     Auxiliary and that is used solely for the purposes described 
     in this subsection.''.
                         TITLE III--NAVIGATION

     SEC. 301. MARKING OF UNDERWATER WRECKS.

       Section 15 of the Act of March 3, 1899 (30 Stat. 1152; 33 
     U.S.C. 409) is amended--
       (1) by striking ``day and a lighted lantern'' in the second 
     sentence inserting ``day and, unless otherwise granted a 
     waiver by the Commandant of the Coast Guard, a light''; and
       (2) by adding at the end ``The Commandant of the Coast 
     Guard may waive the requirement to mark a wrecked vessel, 
     raft, or other craft with a light at night if the Commandant 
     determines that placing a light would be impractical and 
     granting such a waiver would not create an undue hazard to 
     navigation.''.

     SEC. 302. USE OF ELECTRONIC DEVICES; COOPERATIVE AGREEMENTS.

       Section 4(a) of the Ports and Waterways Safety Act of 1972 
     (33 U.S.C. 1223(a)) is amended by--
       (1)(A) striking ``and'' after the semicolon at the end of 
     paragraph (4);
       (B) striking the period at the end of paragraph (5) and 
     inserting ``; and''; and
       (C) adding at the end the following:
       ``(6) may prohibit the use on vessels of electronic or 
     other devices that interfere with communication and 
     navigation equipment, except that such authority shall not 
     apply to electronic or other devices certified to transmit in 
     the maritime services by the Federal Communications 
     Commission and used within the frequency bands 157.1875-
     157.4375 MHz and 161.7875-162.0375 MHz.''; and
       (2) adding at the end the following:
       ``(e) Cooperative Agreements.--(1) The Secretary may enter 
     into cooperative agreements with public or private agencies, 
     authorities, associations, institutions, corporations, 
     organizations, or other persons to carry out the functions 
     under subsection (a)(1).
       ``(2) A nongovernmental entity may not under this 
     subsection carry out an inherently governmental function.
       ``(3) As used in this paragraph, the term `inherently 
     governmental function' means any activity that is so 
     intimately related to the public interest as to mandate 
     performance by an officer or employee of the Federal 
     Government, including an activity that requires either the 
     exercise of discretion in applying the authority of the 
     Government or the use of judgment in making a decision for 
     the Government.''.

     SEC. 303. INLAND NAVIGATION RULES PROMULGATION AUTHORITY.

       (a) Repeal of Inland Rules.--Section 2 of the Inland 
     Navigational Rules Act of 1980 (33 U.S.C. 2001-38) is 
     repealed.
       (b) Authority To Issue Regulations.--Section 3 of the 
     Inland Navigational Rules Act of 1980 (33 U.S.C. 2001) is 
     amended to read as follows:

     ``SEC. 3. INLAND NAVIGATION RULES.

       ``The Secretary of the Department in which the Coast Guard 
     is operating may issue inland navigation regulations 
     applicable to all vessels upon the inland waters of the 
     United States and technical annexes that are as consistent as 
     possible with the respective annexes to the International 
     Regulations.''.
       (c) Effective Date.--Subsection (a) is effective on the 
     effective date of final regulations prescribed by the 
     Secretary of the Department in which the Coast Guard is 
     operating under section 3 of the Inland Navigation Rules Act 
     of 1980 (33 U.S.C. 2001), as amended by this Act.

     SEC. 304. SAINT LAWRENCE SEAWAY.

       Section 3(2) of the Ports and Waterways Safety Act (33 
     U.S.C. 1222(2)) is amended by inserting ``, except that 
     `Secretary' means the Secretary of Transportation with 
     respect to the application of this Act to the Saint Lawrence 
     Seaway'' after ``in which the Coast Guard is operating''.
                           TITLE IV--SHIPPING

     SEC. 401. REPORTS FROM CHARTERERS.

       Section 12120 of title 46, United States Code, is amended 
     by striking ``owners and masters'' and inserting ``owners, 
     masters, and charterers''.

     SEC. 402. REMOVAL OF MANDATORY REVOCATION FOR PROVED DRUG 
                   CONVICTIONS IN SUSPENSION AND REVOCATION CASES.

       Section 7704(b) of title 46, United States Code, is amended 
     by inserting ``suspended or'' after ``shall be''.

     SEC. 403. RECORDS OF MERCHANT MARINERS' DOCUMENTS.

       Section 7319 of title 46, United States Code, is amended by 
     striking the second sentence.

     SEC. 404. EXEMPTION OF UNMANNED BARGES FROM CERTAIN 
                   CITIZENSHIP REQUIREMENTS.

       (a) Limitation on Command.--Section 12110(d) of title 46, 
     United States Code, is amended by inserting ``or an unmanned 
     barge operating outside of the territorial waters of the 
     United States,'' after ``recreational endorsement,''.
       (b) Penalty.--Section 12122(b)(6) of title 46, United 
     States Code, is amended by inserting ``or an unmanned barge 
     operating outside of the territorial waters of the United 
     States,'' after ``recreational endorsement,''.

[[Page 16303]]



     SEC. 405. COMPLIANCE WITH INTERNATIONAL SAFETY MANAGEMENT 
                   CODE.

       (a) Application of Existing Law.--Section 3202(a) of title 
     46, United States Code, is amended to read as follows:
       ``(a) Mandatory Application.--This chapter applies to a 
     vessel that--
       ``(1)(A) is transporting more than 12 passengers described 
     in section 2101(21)(A) of this title; or
       ``(B) is of at least 500 gross tons as measured under 
     section 14302 of this title and is a tanker, freight vessel, 
     bulk freight vessel, high speed freight vessel, or self-
     propelled mobile offshore drilling unit; and
       ``(2)(A) is engaged on a foreign voyage; or
       ``(B) is a foreign vessel departing from a place under the 
     jurisdiction of the United States on a voyage, any part of 
     which is on the high seas.''.
       (b) Compliance of Regulations With International Safety 
     Management Code.--Section 3203(b) of title 46, United States 
     Code, is amended by striking ``vessels engaged on a foreign 
     voyage.'' and inserting ``vessels to which this chapter 
     applies under section 3202(a) of this title.''.

     SEC. 406. PENALTIES.

       Section 4311(b) of title 46, United States Code, is amended 
     to read as follows:
       ``(b)(1) A person violating section 4307(a)of this title is 
     liable to the United States Government for a civil penalty of 
     not more than $5,000, except that the maximum civil penalty 
     may be not more than $250,000 for a related series of 
     violations.
       ``(2) If the Secretary decides under section 4310(f) that a 
     recreational vessel or associated equipment contains a defect 
     related to safety or fails to comply with an applicable 
     regulation and directs the manufacturer to provide the 
     notifications specified in this chapter, any person, 
     including a director, officer or executive employee of a 
     corporation, who knowingly and willfully fails to comply with 
     that order, may be fined not more than $10,000, imprisoned 
     for not more than one year, or both.
       ``(3) When a corporation violates section 4307(a), or fails 
     to comply with the Secretary's decision under section 
     4310(f), any director, officer, or executive employee of the 
     corporation who knowingly and willfully ordered, or knowingly 
     and willfully authorized, a violation is individually liable 
     to the Government for a penalty under paragraphs (1) or (2) 
     in addition to the corporation. However, the director, 
     officer, or executive employee is not liable individually 
     under this subsection if the director, officer, or executive 
     employee can demonstrate by a preponderance of the evidence 
     that--
       ``(A) the order or authorization was issued on the basis of 
     a decision, in exercising reasonable and prudent judgment, 
     that the defect or the nonconformity with standards and 
     regulations constituting the violation would not cause or 
     constitute a substantial risk of personal injury to the 
     public; and
       ``(B) at the time of the order or authorization, the 
     director, officer, or executive employee advised the 
     Secretary in writing of acting under this subparagraph and 
     subparagraph (A).''.

     SEC. 407. REVISION OF TEMPORARY SUSPENSION CRITERIA IN 
                   DOCUMENT SUSPENSION AND REVOCATION CASES.

       Section 7702(d) of title 46, United States Code, is 
     amended--
       (1) in paragraph (1) by striking ``if, when acting under 
     the authority of that license, certificate, or document--'' 
     and inserting ``if--'';
       (2) in paragraph (1)(B)(i), by inserting ``, while acting 
     under the authority of that license, certificate, or 
     document,'' after ``has'';
       (3) by striking ``or'' after the semicolon at the end of 
     paragraph (1)(B)(ii);
       (4) by striking the period at the end of paragraph 
     (1)(B)(iii) and inserting ``; or''; and
       (5) by adding at the end of paragraph (1)(B) the following:
       ``(iv) is a security risk that poses a threat to the safety 
     or security of a vessel or a public or commercial structure 
     located within or adjacent to the marine environment.''.

     SEC. 408. REVISION OF BASES FOR DOCUMENT SUSPENSION AND 
                   REVOCATION CASES.

       Section 7703 of title 46, United States Code, is amended--
       (1) in paragraph (1)(B)--
       (A) by striking ``incompetence,''; and
       (B) by striking the comma after ``misconduct'';
       (2) by striking ``or'' after the semicolon at the end of 
     paragraph (2);
       (3) by striking the period at the end of paragraph (3) and 
     inserting a semicolon; and
       (4) by adding at the end the following:
       ``(4) has committed an act of incompetence relating to the 
     operation of a vessel; or
       ``(5) is a security risk that poses a threat to the safety 
     or security of a vessel or a public or commercial structure 
     located within or adjacent to the marine environment.''.

     SEC. 409. HOURS OF SERVICE ON TOWING VESSELS.

       (a) Regulations.--Section 8904 of title 46, United States 
     Code, is amended by adding at the end of the following:
       ``(c) The Secretary may prescribe by regulation 
     requirements for maximum hours of service (including 
     recording and recordkeeping of that service) of individuals 
     engaged on a towing vessel that is at least 26 feet in length 
     measured from end to end over the deck (excluding the 
     sheer).''.
       (b) Demonstration Project.--Prior to prescribing 
     regulations under this section the Secretary shall conduct 
     and report to the Congress on the results of a demonstration 
     project involving the implementation of Crew Endurance 
     Management Systems on towing vessels. The report shall 
     include a description of the public and private sector 
     resources needed to enable implementation of Crew Endurance 
     Management Systems on all United States-flag towing vessels.

     SEC. 410. ELECTRONIC CHARTS.

       The Ports and Waterways Safety Act (33 U.S.C. 1221 et seq.) 
     is amended by inserting after section 4 the following:

     ``SEC. 4A. ELECTRONIC CHARTS.

       ``(a) System Requirements.--
       ``(1) Requirements.--Subject to paragraph (2), the 
     following vessels, while operating on the navigable waters of 
     the United States, shall be equipped with and operate 
     electronic charts under regulations prescribed by the 
     Secretary of the department in which the Coast Guard is 
     operating:
       ``(A) A self-propelled commercial vessel of at least 65 
     feet overall length.
       ``(B) A vessel carrying more than a number of passengers 
     for hire determined by the Secretary.
       ``(C) A towing vessel of more than 26 feet in overall 
     length and 600 horsepower.
       ``(D) Any other vessel for which the Secretary decides that 
     electronic charts are necessary for the safe navigation of 
     the vessel.
       ``(2) Exemptions and waivers.--The Secretary may--
       ``(A) exempt a vessel from paragraph (1), if the Secretary 
     finds that electronic charts are not necessary for the safe 
     navigation of the vessel on the waters on which the vessel 
     operates; and
       ``(B) waive the application of paragraph (1) with respect 
     to operation of vessels on navigable waters of the United 
     States specified by the Secretary, if the Secretary finds 
     that electronic charts are not needed for safe navigation on 
     those waters.
       ``(b) Regulations.--The Secretary of the department in 
     which the Coast Guard is operating shall prescribe 
     regulations implementing subsection (a) before January 1, 
     2007, including requirements for the operation and 
     maintenance of the electronic charts required under 
     subsection (a).''.

     SEC. 411. PREVENTION OF DEPARTURE.

       (a) In General.--Section 3505 of title 46, United States 
     Code, is amended to read as follows:

     ``Sec. 3505. Prevention of departure

       ``Notwithstanding section 3303 of this title, a foreign 
     vessel carrying a citizen of the United States as a passenger 
     or embarking passengers from a United States port may not 
     depart from a United States port if the Secretary finds that 
     the vessel does not comply with the standards stated in the 
     International Convention for the Safety of Life at Sea to 
     which the United States Government is currently a party.''.
       (b) Conforming Amendment.--Section 3303 of title 46, United 
     States Code, is amended by inserting ``and section 3505'' 
     after ``chapter 37''.

     SEC. 412. SERVICE OF FOREIGN NATIONALS FOR MARITIME 
                   EDUCATIONAL PURPOSES.

       Section 8103(b)(1)(A) of title 46, United State Code, is 
     amended to read as follows:
       ``(A) each unlicensed seaman must be--
       ``(i) a citizen of the United States;
       ``(ii) an alien lawfully admitted to the United States for 
     permanent residence; or
       ``(iii) a foreign national who is enrolled in the United 
     States Merchant Marine Academy.''.

     SEC. 413. CLASSIFICATION SOCIETIES.

       (a) In General.--Section 3316 of title 46, United States 
     Code, is amended by adding at the end the following:
       ``(c)(1) A classification society (including an employee or 
     agent of that society) may not review, examine, survey, or 
     certify the construction, repair, or alteration of a vessel 
     in the United States unless--
       ``(A) the society has applied for approval under this 
     subsection and the Secretary has reviewed and approved that 
     society with respect to the conduct of that society under 
     paragraph (2); or
       ``(B) the society is a full member of the International 
     Association of Classification Societies.
       ``(2) The Secretary may approve a person for purposes of 
     paragraph (1) only if the Secretary determines that--
       ``(A) the vessels surveyed by the person while acting as a 
     classification society have an adequate safety record; and
       ``(B) the person has an adequate program to--
       ``(i) develop and implement safety standards for vessels 
     surveyed by the person;
       ``(ii) make the safety records of the person available to 
     the Secretary in an electronic format;
       ``(iii) provide the safety records of a vessel surveyed by 
     the person to any other classification society that requests 
     those records for the purpose of conducting a survey of the 
     vessel; and
       ``(iv) request the safety records of a vessel the person 
     will survey from any classification society that previously 
     surveyed the vessel.''.
       (b) Application.--Section 3316(c)(1) of title 46, United 
     States Code, shall apply with respect to operation as a 
     classification society on or after January 1, 2005.

     SEC. 414. DRUG TESTING REPORTING.

       (a) In General.--Chapter 77 of title 46, United States 
     Code, is amended by adding at the end:

     ``Sec. 7706. Drug testing reporting

       ``(a) Release of Drug Test Results to Coast Guard.--Not 
     later than 2 weeks after receiving from a Medical Review 
     Officer a report of a verified positive drug test or verified 
     test violation by a civilian employee of a Federal agency, an 
     officer in the Public Health Services,

[[Page 16304]]

     or an officer in the National Oceanic and Atmospheric 
     Administration Commissioned Officer Corps, who is employed in 
     any capacity on board a vessel operated by the agency, the 
     head of the agency shall release to the Commandant of the 
     Coast Guard the report.
       ``(b) Standards, Procedures, and Regulations.--The head of 
     a Federal agency shall carry out a release under subsection 
     (a) in accordance with the standards, procedures, and 
     regulations applicable to the disclosure and reporting to the 
     Coast Guard of drug tests results and drug test records of 
     individuals employed on vessels documented under the laws of 
     the United States.
       ``(c) Waiver.--Notwithstanding section 503(e) of the 
     Supplemental Appropriations Act, 1987 (5 U.S.C. 7301 note), 
     the report of a drug test of an employee may be released 
     under this section without the prior written consent of the 
     employee.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     77 of title 46, United States Code, is amended by adding at 
     the end the following:

``7706. Drug testing reporting.''.

     SEC. 415. INSPECTION OF TOWING VESSELS.

       (a) Vessels Subject to Inspection.--Section 3301 of title 
     46, United States Code, is amended by adding at the end the 
     following:
       ``(15) towing vessels.''.
       (b) Safety Management System.--Section 3306 of chapter 33 
     of title 46, United States Code, is amended by adding at the 
     end the following:
       ``(j) The Secretary may establish by regulation a safety 
     management system appropriate for the characteristics, 
     methods of operation, and nature of service of towing 
     vessels.''.

     SEC. 416. POTABLE WATER.

       (a) In General.--Section 3305(a) of title 46, United States 
     Code, is amended--
       (1) by redesignating paragraphs (4) and (5) in order as 
     paragraphs (5) and (6); and
       (2) by inserting after paragraph (3) the following:
       ``(4) has an adequate supply of potable water for drinking 
     and washing by passengers and crew;''.
       (b) Adequacy Determination.--Section 3305(a) of title 46, 
     United States Code, as amended by subsection (a), is further 
     amended--
       (1) by inserting ``(1)'' after ``(a)'';
       (2) by redesignating paragraphs (1) through (6) as 
     subparagraphs (A) through (F), respectively; and
       (3) by adding at the end the following:
       ``(2) In determining the adequacy of the supply of potable 
     water under paragraph (1)(D), the Secretary shall consider--
       ``(A) the size and type of vessel;
       ``(B) the number of passengers or crew on board;
       ``(C) the duration and routing of voyages; and
       ``(D) guidelines for potable water recommended by the 
     Centers for Disease Control and Prevention and the Public 
     Health Service.''.

     SEC. 417. TRANSPORTATION OF PLATFORM JACKETS.

       The thirteenth proviso (pertaining to transportation by 
     launch barge) of section 27 of the Merchant Marine Act, 1920 
     (46 App. U.S.C. 883) is amended to read as follows: 
     ``Provided further, That the transportation of any platform 
     jacket in or on a non-coastwise qualified launch barge, that 
     was built before December 31, 2000, and has a launch capacity 
     of 12,000 long tons or more, between two points in the United 
     States, at one of which there is an installation or other 
     device within the meaning of section 4(a) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1333(a)), shall not be 
     deemed transportation subject to this section if the 
     Secretary of Transportation makes a determination, in 
     accordance with procedures established pursuant to this 
     proviso that a suitable coastwise-qualified vessel is not 
     available for use in the transportation and, if needed, 
     launch or installation of a platform jacket and; that the 
     Secretary of Transportation shall adopt procedures 
     implementing this proviso that are reasonably designed to 
     provide timely information so as to maximize the use of 
     coastwise qualified-vessels, which procedures shall, among 
     other things, establish that for purposes of this proviso, a 
     coastwise-qualified vessel shall be deemed to be not 
     available only (1) if upon application by an owner or 
     operator for the use of a non-coastwise qualified launch 
     barge for transportation of a platform jacket under this 
     section, which application shall include all relevant 
     information, including engineering details and timing 
     requirements, the Secretary promptly publishes a notice in 
     the Federal Register describing the project and the platform 
     jacket involved, advising that all relevant information 
     reasonably needed to assess the transportation requirements 
     for the platform jacket will be made available to interested 
     parties upon request, and requesting that information on the 
     availability of coastwise-qualified vessels be submitted 
     within 30 days after publication of that notice; and (2) if 
     either (A) no information is submitted to the Secretary 
     within that 30 day period, or (B) although the owner or 
     operator of a coastwise-qualified vessel submits information 
     to the Secretary asserting that the owner or operator has a 
     suitable coastwise-qualified vessel available for this 
     transportation, the Secretary, within 90 days of the date on 
     which the notice is first published determines that the 
     coastwise-qualified vessel is not suitable or reasonably 
     available for the transportation; and that, for the purposes 
     of this proviso, the term `coastwise-qualified vessel' means 
     a vessel that has been issued a certificate of documentation 
     with a coastwise endorsement under section 12106 of title 46, 
     United States Code, and the term `platform jacket' refers to 
     a single physical component and includes any type of offshore 
     exploration, development, or production structure or 
     component thereof, including platform jackets, tension leg or 
     SPAR platform superstructures (including the deck, drilling 
     rig and support utilities, and supporting structure), hull 
     (including vertical legs and connecting pontoons or vertical 
     cylinder), tower and base sections of a platform jacket, 
     jacket structures, and deck modules (known as `topsides').''.

     SEC. 418. RENEWAL OF ADVISORY GROUPS.

       (a) Commercial Fishing Industry Vessel Safety Advisory 
     Committee.--Section 4508(e)(1) of title 46, United States 
     Code, is amended by striking ``of September 30, 2005'' and 
     inserting ``on September 30, 2010''.
       (b) Houston-Galveston Navigation Safety Advisory 
     Committee.--Section 18 of the Coast Guard Authorization Act 
     of 1991 (Public Law 102-241; 105 Stat. 2213) is amended--
       (1) in subsection (b) by striking ``eighteen'' and 
     inserting ``19'';
       (2) by adding at the end of subsection (b) the following:
       ``(12) One member representing recreational boating 
     interests.''; and
       (3) in subsection (h) by striking ``September 30, 2005'' 
     and inserting ``September 30, 2010''.
       (c) Lower Mississippi River Waterway Safety Advisory 
     Committee.--Section 19(g) of the Coast Guard Authorization 
     Act of 1991 (Public Law 102-241) is amended by striking 
     ``September 30, 2005'' and inserting ``September 30, 2010''.
       (d) Great Lakes Pilotage Advisory Committee.--Section 
     9307(f)(1) of title 46, United States Code, is amended by 
     striking ``September 30, 2005'' and inserting ``September 30, 
     2010''.
       (e) Navigation Safety Advisory Council.--Section 5(d) of 
     the Inland Navigational Rules Act of 1980 (33 U.S.C. 2073(d)) 
     is amended by striking ``September 30, 2005'' and inserting 
     ``September 30, 2010''.
       (f) National Boating Safety Advisory Council.--Section 
     13110(e) of title 46, United States Code, is amended by 
     striking ``September 30, 2005'' and inserting ``September 30, 
     2010''.
       (g) Towing Safety Advisory Committee.--Public Law 96-380 
     (33 U.S.C. 1231a) is amended in subsection (e) by striking 
     ``September 30, 2005'' and inserting ``September 30, 2010''.
                  TITLE V--FEDERAL MARITIME COMMISSION

     SEC. 501. AUTHORIZATION OF APPROPRIATIONS FOR FEDERAL 
                   MARITIME COMMISSION.

       There are authorized to be appropriated to the Federal 
     Maritime Commission--
       (1) for fiscal year 2005, $19,500,000;
       (2) for fiscal year 2006, $20,750,000;
       (3) for fiscal year 2007, $21,500,000; and
       (4) for fiscal year 2008, $22,575,000.

     SEC. 502. REPORT ON OCEAN SHIPPING INFORMATION GATHERING 
                   EFFORTS.

       The Federal Maritime Commission shall transmit to the 
     Senate Committee on Commerce, Science, and Transportation of 
     the Senate and the Committee on Transportation and 
     Infrastructure of the House of Representatives a report 
     within 90 days after the date of the enactment of this Act on 
     the status of any agreements, or ongoing discussions with, 
     other Federal, State, or local government agencies concerning 
     the sharing of ocean shipping information for the purpose of 
     assisting law enforcement or anti-terrorism efforts. The 
     Commission shall include in the report recommendations on how 
     the Commission's ocean shipping information could be better 
     utilized by it and other Federal agencies to improve port 
     security.
                        TITLE VI--MISCELLANEOUS

     SEC. 601. INCREASE IN CIVIL PENALTIES FOR VIOLATIONS OF 
                   CERTAIN BRIDGE STATUTES.

       (a) General Bridge Act of 1906.--Section 5(b) of Act of 
     March 23, 1906 (chapter 1130; 33 U.S.C. 495), popularly known 
     as the General Bridge Act, is amended by striking ``$1,000'' 
     and inserting ``$5,000 for a violation occurring in 2004; 
     $10,000 for a violation occurring in 2005; $15,000 for a 
     violation occurring in 2006; $20,000 for a violation 
     occurring in 2007; and $25,000 for a violation occurring in 
     2008 and any year thereafter''.
       (b) Drawbridges.--Section 5(c) of the Act entitled ``An Act 
     making appropriations for the construction, repair, and 
     preservation of certain public works on rivers and harbors, 
     and for other purposes'', approved August 18, 1894 (33 U.S.C. 
     499(c)), is amended by striking ``$1,000'' and inserting 
     ``$5,000 for a violation occurring in 2004; $10,000 for a 
     violation occurring in 2005; $15,000 for a violation 
     occurring in 2006; $20,000 for a violation occurring in 2007; 
     and $25,000 for a violation occurring in 2008 and any year 
     thereafter''.
       (c) Alteration, Removal, or Repair of Bridges.--Section 
     18(c) of the Act entitled ``An Act making appropriations for 
     the construction, repair, and preservation of certain public 
     works on rivers and harbors, and for other purposes'', 
     approved March 3, 1899 (33 U.S.C. 502(c)) is amended by 
     striking ``$1,000'' and inserting ``$5,000 for a violation 
     occurring in 2004; $10,000 for a violation occurring in 2005; 
     $15,000 for a violation occurring in 2006; $20,000 for a 
     violation occurring in 2007; and $25,000 for a violation 
     occurring in 2008 and any year thereafter''.
       (d) General Bridge Act of 1946.--Section 510(b) of the 
     General Bridge Act of 1946 (33 U.S.C. 533(b)) is amended by 
     striking ``$1,000'' and inserting ``$5,000 for a violation 
     occurring in 2004; $10,000 for a violation occurring in 2005; 
     $15,000 for a violation occurring in 2006; $20,000 for a 
     violation occurring in 2007; and $25,000 for

[[Page 16305]]

     a violation occurring in 2008 and any year thereafter''.

     SEC. 602. CONVEYANCE OF DECOMMISSIONED COAST GUARD CUTTERS.

       (a) In General.--The Commandant of the Coast Guard may 
     convey all right, title, and interest of the United States in 
     and to a vessel described in subsection (b) to the person 
     designated in subsection (b) with respect to the vessel (in 
     this section referred to as the ``recipient''), without 
     consideration, if the person complies with the conditions 
     under subsection (c).
       (b) Vessels Described.--The vessels referred to in 
     subsection (a) are the following:
       (1) The Coast Guard Cutter BRAMBLE, to be conveyed to the 
     Port Huron Museum of Arts and History (a nonprofit 
     corporation under the laws of the State of Michigan), located 
     in Port Huron, Michigan.
       (2) The Coast Guard Cutter PLANETREE, to be conveyed to 
     Jewish Life (a nonprofit corporation under the laws of the 
     State of California), located in Sherman Oaks, California.
       (3) The Coast Guard Cutter SUNDEW, to be conveyed to Duluth 
     Entertainment and Convention Center Authority (a nonprofit 
     corporation under the laws of the State of Minnesota), 
     located in Duluth, Minnesota.
       (c) Conditions.--As a condition of any conveyance of a 
     vessel under subsection (a), the Commandant shall require the 
     recipient--
       (1) to agree--
       (A) to use the vessel for purposes of education and 
     historical display;
       (B) not to use the vessel for commercial transportation 
     purposes;
       (C) to make the vessel available to the United States 
     Government if needed for use by the Commandant in time of war 
     or a national emergency; and
       (D) to hold the Government harmless for any claims arising 
     from exposure to hazardous materials, including asbestos and 
     polychlorinated biphenyls (PCBs), after conveyance of the 
     vessel, except for claims arising from use of the vessel by 
     the Government under subparagraph (C);
       (2) to have funds available that will be committed to 
     operate and maintain the vessel conveyed in good working 
     condition--
       (A) in the form of cash, liquid assets, or a written loan 
     commitment; and
       (B) in an amount of at least $700,000; and
       (3) to agree to any other conditions the Commandant 
     considers appropriate.
       (d) Maintenance and Delivery of Vessel.--Prior to 
     conveyance of a vessel under this section, the Commandant 
     may, to the extent practical, and subject to other Coast 
     Guard mission requirements, make every effort to maintain the 
     integrity of the vessel and its equipment until the time of 
     delivery. The Commandant shall deliver a vessel conveyed 
     under this section at the place where the vessel is located, 
     in its present condition, and without cost to the Government. 
     The conveyance of a vessel under this section shall not be 
     considered a distribution in commerce for purposes of section 
     6(e) of the Toxic Substances Control Act (15 U.S.C. 2605(e)).
       (e) Other Excess Equipment.--The Commandant may convey to 
     the recipient of a vessel under this section any excess 
     equipment or parts from other decommissioned Coast Guard 
     vessels for use to enhance the vessel's operability and 
     function as an historical display.

     SEC. 603. TONNAGE MEASUREMENT.

       (a) In General.--The Secretary of the department in which 
     the Coast Guard is operating may apply section 8104(o)(2) of 
     title 46, United States Code, to the vessels described in 
     subsection (b) without regard to the tonnage of those 
     vessels.
       (b) Vessels Described.--The vessels referred to in 
     subsection (a) are the following:
       (1) The M/V BLUEFIN (United States official number 620431).
       (2) The M/V COASTAL MERCHANT (United States official number 
     1038382).
       (c) Application.--Subsection (a) shall not apply to a 
     vessel described in subsection (b)--
       (1) until the Secretary determines that the application of 
     subsection (a) will not compromise safety; and
       (2) on or after any date on which the Secretary determines 
     that the vessel has undergone any major modification.

     SEC. 604. OPERATION OF VESSEL STAD AMSTERDAM.

       (a) In General.--Notwithstanding section 8 of the Act of 
     June 19, 1886 (46 App. U.S.C. 289), and the ruling by the 
     Acting Director of the International Trade Compliance 
     Division of the Customs Service on May 17, 2002 (Customs 
     Bulletins and Decisions, Vol. 36, No. 23, June 5, 2002), the 
     vessel STAD AMSTERDAM (International Maritime Organization 
     number 9185554) shall be authorized to carry within United 
     States waters and between ports or places in the United 
     States individuals who are not directly and substantially 
     connected with the operation, navigation, ownership, or 
     business of the vessel, who are friends, guests, or employees 
     of the owner of the vessel, and who are not actual or 
     prospective customers for hire of the vessel.
       (b) Limitation.--This section does not authorize the vessel 
     STAD AMSTERDAM--
       (1) to be used to carry individuals for a fare or to be 
     chartered on a for hire basis in the coastwise trade; or
       (2) to carry individuals described in subsection (a) within 
     United States waters and between ports or places in the 
     United States for more than 45 calendar days in any calendar 
     year.
       (c) Revocation.--The Secretary of the department in which 
     the Coast Guard is operating shall revoke the authorization 
     provided by subsection (a) if the Secretary determines that 
     the STAD AMSTERDAM has been operated in violation of the 
     limitations imposed by subsection (b).

     SEC. 605. GREAT LAKES NATIONAL MARITIME ENHANCEMENT 
                   INSTITUTE.

       (a) Authority To Designate Institute.--The Secretary of 
     Transportation may designate a National Maritime Enhancement 
     Institute for the Great Lakes region under section 8 of the 
     Act of October 13, 1989 (103 Stat. 694; 46 U.S.C. App. 1121-
     2). In making any decision on the designation of such an 
     institute, the Secretary shall consider the unique 
     characteristics of Great Lakes maritime industry and trade.
       (b) Study and Report.--
       (1) In general.--The Secretary of Transportation shall 
     conduct a study that--
       (A) evaluates short sea shipping market opportunities on 
     the Great Lakes, including the expanded use of freight 
     ferries, improved mobility, and regional supply chain 
     efficiency;
       (B) evaluates markets for foreign trade between ports on 
     the Great Lakes and draft-limited ports in Europe and Africa;
       (C) evaluates the environmental benefits of waterborne 
     transportation in the Great Lakes region;
       (D) analyzes the effect on Great Lakes shipping of the tax 
     imposed by section 4461(a) of the Internal Revenue Code of 
     1986;
       (E) evaluates the state of shipbuilding and ship repair 
     bases on the Great Lakes;
       (F) evaluates opportunities for passenger vessel services 
     on the Great Lakes;
       (G) analyzes the origin-to-destination flow of freight 
     cargo in the Great Lakes region that may be transported on 
     vessels to relieve congestion in other modes of 
     transportation;
       (H) evaluates the economic viability of establishing 
     transshipment facilities for oceangoing cargoes on the Great 
     Lakes;
       (I) evaluates the adequacy of the infrastructure in Great 
     Lakes ports to meet the needs of marine commerce; and
       (J) evaluates new vessel designs for domestic and 
     international shipping on the Great Lakes.
       (2) Use of national maritime enhancement institutes.--In 
     conducting the study required by paragraph (1), the Secretary 
     may utilize the services of any recognized National Maritime 
     Enhancement Institute.
       (3) Reports.--The Secretary shall submit an annual report 
     on the findings and conclusions of the study under this 
     section to the Committee on Commerce, Science, and 
     Transportation of the Senate and the Committee on 
     Transportation and Infrastructure of the House of 
     Representatives--
       (A) by not later than 1 year after the date of the 
     enactment of this Act; and
       (B) by not later than 1 year after the date of submission 
     of the report under subparagraph (A).
       (4) Authorization of appropriations.--There is authorized 
     to be appropriated to the Secretary $1,500,000 for each of 
     fiscal years 2005 and 2006 to carry out paragraph (1).

     SEC. 606. KOSS COVE.

       (a) In General.--Notwithstanding any other provision of law 
     or existing policy, the cove described in subsection (b) 
     shall be known and designated as ``Koss Cove'', in honor of 
     the late Able Bodied Seaman Eric Steiner Koss of the National 
     Oceanic and Atmospheric Administration vessel RAINIER who 
     died in the performance of a nautical charting mission off 
     the coast of Alaska.
       (b) Cove Described.--The cove referred to in subsection (a) 
     is--
       (1) adjacent to and southeast of Point Elrington, Alaska, 
     and forms a portion of the southern coast of Elrington 
     Island;
       (2) \3/4\ mile across the mouth;
       (3) centered at 59 degrees 56.1 minutes North, 148 degrees 
     14 minutes West; and
       (4) 45 miles from Seward, Alaska.
       (c) References.--Any reference in any law, regulation, 
     document, record, map, or other paper of the United States to 
     the cove described in subsection (b) is deemed to be a 
     reference to Koss Cove.

     SEC. 607. MISCELLANEOUS CERTIFICATES OF DOCUMENTATION.

       Notwithstanding section 27 of the Merchant Marine Act, 1920 
     (46 App. U.S.C. 883), section 8 of the Act of June 19, 1886 
     (24 Stat. 81, chapter 421; 46 App. U.S.C. 289), and section 
     12106 of title 46, United States Code, the Secretary of the 
     department in which the Coast Guard is operating may issue a 
     certificate of documentation with appropriate endorsement for 
     employment in the coastwise trade for the following vessels:
       (1) OCEAN LEADER (United States official number 679511).
       (2) REVELATION (United States official number 1137565).
       (3) W. N. RAGLAND (Washington State registration number 
     WN5506NE).
       (4) M/T MISS LINDA (United States official number 1140552).

     SEC. 608. REQUIREMENTS FOR COASTWISE ENDORSEMENT.

       (a) In General.--Section 12106 of title 46, United States 
     Code, is amended--
       (1) by striking subsection (e)(1)(B) and inserting the 
     following:
       ``(B) the person that owns the vessel (or, if the vessel is 
     owned by a trust or similar arrangement, the beneficiary of 
     the trust or similar arrangement) meets the requirements of 
     subsection (f);''; and
       (2) by adding at the end the following:
       ``(f) Ownership Certification Requirement.--
       ``(1) In general.--A person meets the requirements of this 
     subsection if that person transmits to the Secretary each 
     year the certification required by paragraph (2) or (3) with 
     respect to a vessel.

[[Page 16306]]

       ``(2) Investment certification.--To meet the certification 
     requirement of this paragraph, a person shall certify that 
     it--
       ``(A) is a leasing company, bank, or financial institution;
       ``(B) owns, or holds the beneficial interest in, the vessel 
     solely as a passive investment;
       ``(C) does not operate any vessel for hire and is not an 
     affiliate of any person who operates any vessel for hire; and
       ``(D) is independent from, and not an affiliate of, any 
     charterer of the vessel or any other person who has the 
     right, directly or indirectly, to control or direct the 
     movement or use of the vessel.
       ``(3) Certain tank vessels.--
       ``(A) In general.--To meet the certification requirement of 
     this paragraph, a person shall certify that--
       ``(i) the aggregate book value of the vessels owned by such 
     person and United States affiliates of such person does not 
     exceed 10 percent of the aggregate book value of all assets 
     owned by such person and its United States affiliates;
       ``(ii) not more than 10 percent of the aggregate revenues 
     of such person and its United States affiliates is derived 
     from the ownership, operation, or management of vessels;
       ``(iii) at least 70 percent of the aggregate tonnage of all 
     cargo carried by all vessels owned by such person and its 
     United States affiliates and documented under this section is 
     qualified proprietary cargo;
       ``(iv) any cargo other than qualified proprietary cargo 
     carried by all vessels owned by such person and its United 
     States affiliates and documented under this section consists 
     of oil, petroleum products, petrochemicals, or liquified 
     natural gas;
       ``(v) no vessel owned by such person or any of its United 
     States affiliates and documented under this section carries 
     molten sulphur; and
       ``(vi) such person owned 1 or more vessels documented under 
     subsection (e) of this section as of the date of enactment of 
     the Coast Guard and Maritime Transportation Act of 2004.
       ``(B) Application only to certain vessels.--A person may 
     make a certification under this paragraph only with respect 
     to--
       ``(i) a tank vessel having a tonnage of not less than 6,000 
     gross tons, as measured under section 14502 of this title (or 
     an alternative tonnage measured under section 14302 of this 
     title as prescribed by the Secretary under section 14104 of 
     this title); or
       ``(ii) a towing vessel associated with a non-self-propelled 
     tank vessel that meets the requirements of clause (i), where 
     the 2 vessels function as a single self-propelled vessel.
       ``(4) Definitions.--In this subsection:
       ``(A) Affiliate.--The term `affiliate' means, with respect 
     to any person, any other person that is--
       ``(i) directly or indirectly controlled by, under common 
     control with, or controlling such person; or
       ``(ii) named as being part of the same consolidated group 
     in any report or other document submitted to the United 
     States Securities and Exchange Commission or the Internal 
     Revenue Service.
       ``(B) Cargo.--The term `cargo' does not include cargo to 
     which title is held for non-commercial reasons and primarily 
     for the purpose of evading the requirements of paragraph (3).
       ``(C) Oil.--The term `oil' has the meaning given that term 
     in section 2101(20) of this title.
       ``(D) Passive investment.--The term `passive investment' 
     means an investment in which neither the investor nor any 
     affiliate of such investor is involved in, or has the power 
     to be involved in, the formulation, determination, or 
     direction of any activity or function concerning the 
     management, use, or operation of the asset that is the 
     subject of the investment.
       ``(E) Qualified proprietary cargo.--The term `qualified 
     proprietary cargo' means--
       ``(i) oil, petroleum products, petrochemicals, or liquefied 
     natural gas cargo that is beneficially owned by the person 
     who submits to the Secretary an application or annual 
     certification under paragraph (3), or by an affiliate of such 
     person, immediately before, during, or immediately after such 
     cargo is carried in coastwise trade on a vessel owned by such 
     person;
       ``(ii) oil, petroleum products, petrochemicals, or 
     liquefied natural gas cargo not beneficially owned by the 
     person who submits to the Secretary an application or an 
     annual certification under paragraph (3), or by an affiliate 
     of such person, but that is carried in coastwise trade by a 
     vessel owned by such person and which is part of an 
     arrangement in which vessels owned by such person and at 
     least one other person are operated collectively as one 
     fleet, to the extent that an equal amount of oil, petroleum 
     products, petrochemicals, or liquefied natural gas cargo 
     beneficially owned by such person, or an affiliate of such 
     person, is carried in coastwise trade on 1 or more other 
     vessels, not owned by such person, or an affiliate of such 
     person, if such other vessel or vessels are also part of the 
     same arrangement;
       ``(iii) in the case of a towing vessel associated with a 
     non-self-propelled tank vessel where the 2 vessels function 
     as a single self-propelled vessel, oil, petroleum products, 
     petrochemicals, or liquefied natural gas cargo that is 
     beneficially owned by the person who owns both such towing 
     vessel and the non-self-propelled tank vessel, or any United 
     States affiliate of such person, immediately before, during, 
     or immediately after such cargo is carried in coastwise trade 
     on either of the 2 vessels; or
       ``(iv) any oil, petroleum products, petrochemicals, or 
     liquefied natural gas cargo carried on any vessel that is 
     either a self-propelled tank vessel having a length of at 
     least 210 meters or a tank vessel that is a liquefied natural 
     gas carrier that--

       ``(I) was delivered by the builder of such vessel to the 
     owner of such vessel after December 31, 1999; and
       ``(II) was purchased by a person for the purpose, and with 
     the reasonable expectation, of transporting on such vessel 
     liquefied natural gas or unrefined petroleum beneficially 
     owned by the owner of such vessel, or an affiliate of such 
     owner, from Alaska to the continental United States.

       ``(F) United States affiliate.--The term `United States 
     affiliate' means, with respect to any person, an affiliate 
     the principal place of business of which is located in the 
     United States.''.
       (b) Treatment of Owner of Certain Vessels.--
       (1) In general.--Notwithstanding any other provision of 
     law, a person shall be treated as a citizen of the United 
     States under section 12102(a) of title 46, United States 
     Code, section 2 of the Shipping Act, 1916 (46 U.S.C. App. 
     802), and section 27 of the Merchant Marine Act, 1920 (46 
     U.S.C. App. 883), for purposes of issuance of a coastwise 
     endorsement under section 12106(e) of title 46, United States 
     Code (as that section was in effect on the day before the 
     date of enactment of this Act), for a vessel owned by the 
     person on the date of enactment of this Act, or any 
     replacement vessel of a similar size and function, if the 
     person--
       (A) owned a vessel before January 1, 2001, that had a 
     coastwise endorsement under section 12106(e) of title 46, 
     United States Code; and
       (B) as of the date of the enactment of this Act, derives 
     substantially all of its revenue from leasing vessels engaged 
     in the transportation or distribution of petroleum products 
     and other cargo in Alaska.
       (2) Limitation on coastwise trade.--A vessel owned by a 
     person described in paragraph (1) for which a coastwise 
     endorsement is issued under section 12106(e) of title 46, 
     United States Code, may be employed in the coastwise trade 
     only within Alaska and in the coastwise trade to and from 
     Alaska.
       (3) Termination.--The application of this subsection to a 
     person described in paragraph (1) shall terminate if all of 
     that person's vessels described in paragraph (1) are sold to 
     a person eligible to document vessels under section 12106(a) 
     of title 46, United States Code.
       (c) Application to Certain Certificates.--
       (1) In general.--The amendments made by this section, and 
     any regulations published after February 4, 2004, with 
     respect to coastwise endorsements, shall not apply to a 
     certificate of documentation, or renewal thereof, endorsed 
     with a coastwise endorsement for a vessel under section 
     12106(e) of title 46, United States Code, or a replacement 
     vessel of a similar size and function, that was issued prior 
     to the date of enactment of this Act as long as the vessel is 
     owned by the person named therein, or by a subsidiary or 
     affiliate of that person, and the controlling interest in 
     such owner has not been transferred to a person that was not 
     an affiliate of such owner as of the date of enactment of 
     this Act. Notwithstanding the preceding sentence, however, 
     the amendments made by this section shall apply, beginning 3 
     years after the date of enactment of this Act, with respect 
     to offshore supply vessels (as defined in section 2101(19) of 
     title 46, United States Code, as that section was in effect 
     on the date of enactment of this Act) with a certificate of 
     documentation endorsed with a coastwise endorsement as of the 
     date of enactment of this Act, and the Secretary of the 
     Department in which the Coast Guard is operating shall revoke 
     any such certificate if the vessel does not by then meet the 
     requirements of section 12106(e) of title 46, United States 
     Code, as amended by this section.
       (2) Replacement Vessel.--For the purposes of this 
     subsection, ``replacement vessel'' means--
       (A) a temporary replacement vessel for a period of not to 
     exceed 180 days if the vessel described in paragraph (1) is 
     unavailable due to an act of God or a marine casualty; or
       (B) a permanent replacement vessel if--
       (i) the vessel described in paragraph (1) is unavailable 
     for more than 180 days due to an act of God or a marine 
     casualty; or
       (ii) a contract to purchase or construct such replacement 
     vessel is executed not later than December 31, 2004.
       (d) Waiver.--The Secretary of Transportation shall waive or 
     reduce the qualified proprietary cargo requirement of section 
     12106(f)(3)(A)(iii) of title 46, United States Code, for a 
     vessel if the person that owns the vessel (or, if the vessel 
     is owned by a trust or similar arrangement, the beneficiary 
     of the trust or similar arrangement) notifies the Secretary 
     that circumstances beyond the direct control of such person 
     or its affiliates prevent, or reasonably threaten to prevent, 
     such person from satisfying such requirement, and the 
     Secretary does not, with good cause, determine otherwise. The 
     waiver or reduction shall apply during the period of time 
     that such circumstances exist.
       (e) Regulations.--No later than one year after the date of 
     the enactment of this Act, the Secretary of the department in 
     which the Coast Guard is operating shall prescribe final 
     regulations to carry out this section, including amendments 
     made by this section to section 12106 of title 46, United 
     States Code.

     SEC. 609. CORRECTION OF REFERENCES TO NATIONAL DRIVER 
                   REGISTER.

       Title 46, United States Code, is amended--
       (1) in section 7302--
       (A) by striking ``section 206(b)(7) of the National Driver 
     Register Act of 1982 (23 U.S.C. 401

[[Page 16307]]

     note)'' and inserting ``30305(b)(5) of title 49''; and
       (B) by striking ``section 205(a)(3)(A) or (B) of that Act'' 
     and inserting ``30304(a)(3)(A) or (B) of title 49'';
       (2) in section 7702(d)(1)(B)(iii) by striking ``section 
     205(a)(3)(A) or (B) of the National Driver Register Act of 
     1982'' and inserting ``section 30304(a)(3)(A) or (B) of title 
     49''; and
       (3) in section 7703(3) by striking ``section 205(a)(3)(A) 
     or (B) of the National Driver Register Act of 1982'' and 
     inserting ``section 30304(a)(3)(A) or (B) of title 49''.

     SEC. 610. WATEREE RIVER.

       For purposes of bridge administration, the portion of the 
     Wateree River in the State of South Carolina, from a point 
     100 feet upstream of the railroad bridge located at 
     approximately mile marker 10.0 to a point 100 feet downstream 
     of such bridge, is declared to not be navigable waters of the 
     United States for purposes of the General Bridge Act of 1946 
     (33 U.S.C. 525 et seq.).

     SEC. 611. MERCHANT MARINERS' DOCUMENTS PILOT PROGRAM.

       The Secretary of the department in which the Coast Guard is 
     operating may conduct a pilot program to demonstrate methods 
     to improve processes and procedures for issuing merchant 
     mariners' documents.

     SEC. 612. CONVEYANCE.

       (a) Authority To Convey.--
       (1) In general.--Notwithstanding any other provision of 
     law, the Secretary of the department in which the Coast Guard 
     is operating shall convey, by an appropriate means of 
     conveyance, all right, title, and interest of the United 
     States in and to Sentinel Island, Alaska, to the entity to 
     which the Sentinel Island Light Station is conveyed under 
     section 308(b) of the National Historic Preservation Act (16 
     U.S.C. 470w-7(b)).
       (2) Identification of property.--The Secretary may 
     identify, describe, and determine the property to be conveyed 
     under this subsection.
       (3) Limitation.--The Secretary may not under this section 
     convey--
       (A) any historical artifact, including any lens or lantern, 
     located on property conveyed under this section at or before 
     the time of the conveyance; or
       (B) any interest in submerged land.
       (b) General Terms and Conditions.--
       (1) In general.--Any conveyance of property under this 
     section shall be made--
       (A) without payment of consideration; and
       (B) subject to the terms and conditions required by this 
     section and other terms and conditions the Secretary may 
     consider appropriate, including the reservation of easements 
     and other rights on behalf of the United States.
       (2) Reversionary interest.--In addition to any term or 
     condition established under this section, any conveyance of 
     property under this section shall be subject to the condition 
     that all right, title, and interest in the property, at the 
     option of the Secretary shall revert to the United States and 
     be placed under the administrative control of the Secretary, 
     if--
       (A) the property, or any part of the property--
       (i) ceases to be available and accessible to the public, on 
     a reasonable basis, for educational, park, recreational, 
     cultural, historic preservation, or other similar purposes 
     specified for the property in the terms of conveyance;
       (ii) ceases to be maintained in a manner that is consistent 
     with its present or future use as a site for Coast Guard aids 
     to navigation or compliance with this section; or
       (iii) ceases to be maintained in a manner consistent with 
     the conditions in paragraph (4) established by the Secretary 
     pursuant to the National Historic Preservation Act (16 U.S.C. 
     470 et seq.); or
       (B) at least 30 days before that reversion, the Secretary 
     provides written notice to the owner that the property is 
     needed for national security purposes.
       (3) Maintenance of navigation functions.--Any conveyance of 
     property under this section shall be made subject to the 
     conditions that the Secretary considers to be necessary to 
     assure that--
       (A) the lights, antennas, and associated equipment located 
     on the property conveyed that are active aids to navigation 
     shall continue to be operated and maintained by the United 
     States for as long as they are needed for this purpose;
       (B) the owner of the property may not interfere or allow 
     interference in any manner with aids to navigation without 
     express written permission from the Commandant of the Coast 
     Guard;
       (C) there is reserved to the United States the right to 
     relocate, replace, or add any aids to navigation or make any 
     changes to the property conveyed as may be necessary for 
     navigational purposes;
       (D) the United States shall have the right, at any time, to 
     enter the property without notice for the purpose of 
     operating, maintaining, and inspecting aids to navigation and 
     for the purpose of enforcing compliance with this subsection; 
     and
       (E) the United States shall have an easement of access to 
     and across the property for the purpose of maintaining the 
     aids to navigation in use on the property.
       (4) Maintenance of property.--
       (A) In general.--Subject to subparagraph (B), the owner of 
     a property conveyed under this section shall maintain the 
     property in a proper, substantial, and workmanlike manner, 
     and in accordance with any conditions established by the 
     Secretary pursuant to the National Historic Preservation Act 
     (16 U.S.C. 470 et seq.) and other applicable laws.
       (B) Limitation.--The owner of a property conveyed under 
     this section is not required to maintain any active aids to 
     navigation on the property, except private aids to navigation 
     authorized under section 83 of title 14, United States Code.
       (c) Definitions.--In this section, the following 
     definitions apply:
       (1) Aids to navigation.--The term ``aids to navigation'' 
     means equipment used for navigation purposes, including a 
     light, antenna, radio, sound signal, electronic navigation 
     equipment, or other associated equipment that are operated or 
     maintained by the United States.
       (2) Owner.--The term ``owner'' means, for property conveyed 
     under this section, the person to which property is conveyed 
     under subsection (a)(1), and any successor or assign of that 
     person.

     SEC. 613. BRIDGE ADMINISTRATION.

       Section 325(b) of the Department of Transportation and 
     Related Agencies Appropriations Act, 1983 (Pub. L. 97-369; 96 
     Stat. 1765) is amended by striking ``provides at least thirty 
     feet of vertical clearance Columbia River datum and at least 
     eighty feet of horizontal clearance, as'' and inserting ``is 
     so''.

     SEC. 614. SENSE OF CONGRESS REGARDING CARBON MONOXIDE AND 
                   WATERCRAFT.

       It is the sense of the Congress that the Coast Guard should 
     continue--
       (1) to place a high priority on addressing the safety risks 
     posed to boaters by elevated levels of carbon monoxide that 
     are unique to watercraft; and
       (2) to work with vessel and engine manufacturers, the 
     American Boat & Yacht Council, other Federal agencies, and 
     the entire boating community in order to determine the best 
     ways to adequately address this public safety issue and 
     minimize the number of tragic carbon monoxide-related boating 
     deaths that occur each year.

     SEC. 615. MITIGATION OF PENALTY DUE TO AVOIDANCE OF A CERTAIN 
                   CONDITION.

       (a) Treatment of Violation.--For purposes of any 
     administrative proceeding to consider mitigation of any civil 
     penalty for a violation described in subsection (b), such 
     violation is deemed to have been committed by reason of a 
     safety concern.
       (b) Violation Described.--A violation referred to in 
     subsection (a) is any violation of the Act of June 19, 1886 
     (chapter 421; 46 App. U.S.C. 289), occurring before April 1, 
     2003, and consisting of operation of a passenger vessel in 
     transporting passengers between the Port of New Orleans and 
     another port on the Gulf of Mexico at a time when the master 
     of the vessel determined that the vertical clearance on the 
     Mississippi River at Chalmette, Louisiana, was insufficient 
     to allow the safe return transport of passengers on that 
     vessel to the Port of New Orleans.
       (c) Related Penalty Amount.--Any civil penalty assessed for 
     a violation of that Act by a vessel described in subsection 
     (b), that was committed when that vessel was repositioning to 
     the Port of New Orleans in July 2003, shall be mitigated to 
     an amount not to exceed $100 per passenger.

     SEC. 616. CERTAIN VESSELS TO BE TOUR VESSELS.

       (a) Vessels Deemed Tour Vessels.--Notwithstanding any other 
     law, a passenger vessel that is not less than 100 gross tons 
     and not greater than 300 gross tons is deemed to be a tour 
     vessel for the purpose of permit allocation regulations under 
     section 3(h) of Public Law 91-383 (16 U.S.C. 1a-2(h)) and 
     section 3 of the Act of August 25, 1916 (16 U.S.C. 3), with 
     respect to vessel operations in Glacier Bay National Park and 
     Preserve, Alaska (in this section referred to as ``Glacier 
     Bay''), if the Secretary of the department in which the Coast 
     Guard is operating determines that the vessel--
       (1) has equipment installed that permits all graywater and 
     blackwater to be stored on board for at least 24 hours;
       (2) has a draft of not greater than 15 feet;
       (3) has propulsion equipment of not greater than 5,000 
     horsepower; and
       (4) is documented under the laws of the United States.
       (b) Reallocation of Permits.--
       (1) Reallocation required.--Subject to paragraph (2), the 
     Secretary of the Interior, upon application by the operator 
     of a passenger vessel deemed to be a tour vessel under 
     subsection (a), shall reallocate to that vessel any available 
     tour vessel concession permit not used by another vessel, if 
     at the time of application that permit is not sought by a 
     tour vessel of less than 100 gross tons.
       (2) Limitations.--No more than three passenger vessels that 
     are deemed to be a tour vessel under subsection (a) may hold 
     a tour vessel concession permit at any given time, and no 
     more than one such vessel may enter Glacier Bay on any 
     particular date.
       (c) Compliance With Vessel Requirements.--
       (1) Requirement to comply.--Except as otherwise provided in 
     this section, a vessel reallocated a tour vessel concession 
     permit under this section shall comply with all regulations 
     and requirements for Glacier Bay applicable to vessels of at 
     least 100 gross tons.
       (2) Revocation of permit.--The Secretary of the Interior 
     may revoke a tour vessel concession permit reallocated to a 
     vessel under this section if that vessel--
       (A) discharges graywater or blackwater in Glacier Bay; or

[[Page 16308]]

       (B) violates a vessel operating requirement for Glacier Bay 
     that applies to vessels that are at least 100 gross tons, 
     including restrictions pertaining to speed, route, and closed 
     waters.
       (d) Treatment of Entries Into Glacier Bay.--An entry into 
     Glacier Bay by a vessel reallocated a tour vessel concession 
     permit under this section shall count against the daily 
     vessel quota and seasonal-use days applicable to entries by 
     tour vessels and shall not count against the daily vessel 
     quota or seasonal-use days of any other class of vessel.

     SEC. 617. SENSE OF CONGRESS REGARDING TIMELY REVIEW AND 
                   ADJUSTMENT OF GREAT LAKES PILOTAGE RATES.

       It is the sense of the Congress that the Secretary of the 
     department in which the Coast Guard is operating should, on a 
     timely basis, review and adjust the rates payable under part 
     401 of title 46, Code of Federal Regulations, for services 
     performed by United States registered pilots on the Great 
     Lakes.

     SEC. 618. WESTLAKE CHEMICAL BARGE DOCUMENTATION.

       Notwithstanding section 27 of the Merchant Marine Act, 1920 
     (46 App. U.S.C. 883) and section 12106 of title 46, United 
     States Code, the Secretary of the department in which the 
     Coast Guard is operating may issue a certificate of 
     documentation with appropriate endorsement for employment in 
     the coastwise trade for each of the following vessels:
       (1) Barge WCAO-101 (United States official number 506677).
       (2) Barge WCAO-102 (United States official number 506851).
       (3) Barge WCAO-103 (United States official number 506852).
       (4) Barge WCAO-104 (United States official number 507172).
       (5) Barge WCAO-105 (United States official number 507173).
       (6) Barge WCAO-106 (United States official number 620514).
       (7) Barge WCAO-107 (United States official number 620515).
       (8) Barge WCAO-108 (United States official number 620516).
       (9) Barge WCAO-3002 (United States official number 295147).
       (10) Barge WCAO-3004 (United States official number 
     517396).

     SEC. 619. CORRECTION TO DEFINITION.

       Paragraph (4) of section 2 of the Enhanced Border Security 
     and Visa Entry Reform Act of 2002 (Public Law 107-173) is 
     amended by striking subparagraph (G) and inserting the 
     following:
       ``(G) The Coast Guard.''.

     SEC. 620. LORAN-C.

       There are authorized to be appropriated to the Department 
     of Transportation, in addition to funds authorized for the 
     Coast Guard for operation of the LORAN-C system, for capital 
     expenses related to LORAN-C navigation infrastructure, 
     $25,000,000 for fiscal year 2005. The Secretary of 
     Transportation may transfer from the Federal Aviation 
     Administration and other agencies of the Department funds 
     appropriated as authorized under this section in order to 
     reimburse the Coast Guard for related expenses.

     SEC. 621. DEEPWATER REPORT.

       (a) Report.--No later than 180 days after enactment of this 
     Act, the Coast Guard shall provide a written report to the 
     Committee on Commerce, Science, and Transportation of the 
     Senate and the Committee on Transportation and Infrastructure 
     of the House of Representatives with respect to performance 
     under the first term of the Integrated Deepwater System 
     contract.
       (b) Contents.--The report shall include the following:
       (1) An analysis of how well the prime contractor has met 
     the two key performance goals of operational effectiveness 
     and minimizing total ownership costs.
       (2) A description of the measures implemented by the prime 
     contractor to meet these goals and how these measures have 
     been or will be applied for subcontracts awarded during the 
     5-year term of the contract, as well as criteria used by the 
     Coast Guard to assess the contractor's performance against 
     these goals.
       (3) To the extent available, performance and cost 
     comparisons of alternatives examined in implementing the 
     contract.
       (4) A detailed description of the measures that the Coast 
     Guard has taken to implement the recommendations of the 
     General Accounting Office's March 2004 report on the 
     Deepwater program (including the development of measurable 
     award fee criteria, improvements to integrated product teams, 
     and a plan for ensuring competition of subcontracts).
       (5) A description of any anticipated changes to the mix of 
     legacy and replacement assets over the life of the program, 
     including Coast Guard infrastructure and human capital needs 
     for integrating such assets, and a timetable and estimated 
     costs for maintaining each legacy asset and introducing each 
     replacement asset over the life of the contract, including a 
     comparison to any previous estimates of such costs on an 
     asset-specific basis.

     SEC. 622. JUDICIAL REVIEW OF NATIONAL TRANSPORTATION SAFETY 
                   BOARD FINAL ORDERS.

       Section 1153 of title 49, United States Code, is amended by 
     adding at the end the following:
       ``(d) Commandant Seeking Judicial Review of Maritime 
     Matters.--If the Commandant of the Coast Guard decides that 
     an order of the Board issued pursuant to a review of a Coast 
     Guard action under section 1133 of this title will have an 
     adverse impact on maritime safety or security, the Commandant 
     may obtain judicial review of the order under subsection (a). 
     The Commandant, in the official capacity of the Commandant, 
     shall be a party to the judicial review proceedings.''.

     SEC. 623. INTERIM AUTHORITY FOR DRY BULK CARGO RESIDUE 
                   DISPOSAL.

       (a) Extension of Interim Authority.--The Secretary of the 
     Department in which the Coast Guard is operating shall 
     continue to implement and enforce United States Coast Guard 
     1997 Enforcement Policy for Cargo Residues on the Great Lakes 
     (hereinafter in this section referred to as the ``Policy'') 
     or revisions thereto, in accordance with that policy, for the 
     purpose of regulating incidental discharges from vessels of 
     residues of dry bulk cargo into the waters of the Great Lakes 
     under the jurisdiction of the United States, until the 
     earlier of--
       (1) the date regulations are promulgated under subsection 
     (b) for the regulation of incidental discharges from vessels 
     of dry bulk cargo residue into the waters of the Great Lakes 
     under the jurisdiction of the United States; or
       (2) September 30, 2008.
       (b) Permanent Authority.--Notwithstanding any other law, 
     the Commandant of the Coast Guard may promulgate regulations 
     governing the discharge of dry bulk cargo residue on the 
     Great Lakes.
       (c) Environmental Assessment.--No later than 90 days after 
     the date of the enactment of this Act, the Secretary of the 
     department in which the Coast Guard is operating shall 
     commence the environmental assessment necessary to promulgate 
     the regulations under subsection (b).

     SEC. 624. SMALL PASSENGER VESSEL REPORT.

       (a) In General.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary of the department in 
     which the Coast Guard is operating shall study and report to 
     the Congress regarding measures that should be taken to 
     increase the likelihood of survival of passengers on small 
     passenger vessels who may be in the water resulting from the 
     capsizing of, sinking of, or other marine casualty involving 
     the small passenger vessel. The study shall include a review 
     of the adequacy of existing measures--
       (1) to keep the passengers out of the water, including 
     inflatable life rafts and other out-of-the-water survival 
     crafts;
       (2) to protect individuals from hypothermia and cold shock 
     in water having a temperature of less than 68 degrees 
     Fahrenheit;
       (3) for safe egress of passengers wearing personal 
     flotation devices; and
       (4) for the enforcement efforts and degree of compliance 
     regarding the 1996 amendments to the Small Passenger Vessel 
     Regulations (part 185 of title 46, Code of Federal 
     Regulations) requiring the master of a small passenger vessel 
     to require passengers to wear personal flotation devices when 
     possible hazardous conditions exist including--
       (A) when transiting hazardous bars or inlets;
       (B) during severe weather;
       (C) in the event of flooding, fire, or other events that 
     may call for evacuation; and
       (D) when the vessel is being towed, except during the 
     towing of a non-self-propelled vessel under normal operating 
     conditions.
       (b) Contents.--The report under this section shall 
     include--
       (1) a section regarding the efforts the Coast Guard has 
     undertaken to enforce the regulations described in subsection 
     (a)(4);
       (2) a section detailing compliance with these regulations, 
     to include the number of vessels and masters cited for 
     violations of those regulations for fiscal years 1998 through 
     2003;
       (3) a section detailing the number and types of marine 
     casualties that occurred in fiscal years 1998 through 2003 
     that included violations of those regulations; and
       (4) a section providing recommendation on improving 
     compliance with, and possible modifications to, those 
     regulations.

     SEC. 625. CONVEYANCE OF MOTOR LIFEBOAT.

       (a) In General.--The Commandant of the Coast Guard shall 
     convey all right, title, and interest of the United States in 
     and to the Coast Guard 44-foot Motor Lifeboat Vessel #44345 
     formerly assigned to the Group Grand Haven Command, to the 
     city of Ludington, Michigan, without consideration, if the 
     recipient complies with the conditions under subsection (b).
       (b) Conditions.--As a condition of any conveyance of a 
     vessel under subsection (a), the Commandant shall require the 
     recipient to--
       (1) agree--
       (A) to use the vessel for purposes of education and 
     historical display;
       (B) not to use the vessel for commercial transportation 
     purposes;
       (C) to make the vessel available to the United States 
     Government if needed for use by the Commandant in time of war 
     or a national emergency; and
       (D) to hold the Government harmless for any claims arising 
     from exposure to hazardous materials, including asbestos and 
     polychlorinated biphenyls (PCBs), after conveyance of the 
     vessel, except for claims arising from use of the vessel by 
     the Government under subparagraph (C);
       (2) have funds available that will be committed to operate 
     and maintain the vessel conveyed in good working condition, 
     in the form of cash, liquid assets, or a written loan 
     commitment; and
       (3) agree to any other conditions the Commandant considers 
     appropriate.
       (c) Maintenance and Delivery of Vessel.--Before conveying a 
     vessel under this section, the Commandant shall, to the 
     extent practical, and subject to other Coast Guard mission 
     requirements, make every effort to maintain the integrity of 
     the vessel and its equipment until the

[[Page 16309]]

     time of delivery. The Commandant shall deliver a vessel 
     conveyed under this section at the place where the vessel is 
     located, in its present condition, and without cost to the 
     Government. The conveyance of a vessel under this section 
     shall not be considered a distribution in commerce for 
     purposes of section 6(e) of Public Law 94-469 (15 U.S.C. 
     2605(e)).
       (d) Other Excess Equipment.--The Commandant may convey to 
     the recipient of a vessel under this section any excess 
     equipment or parts from other decommissioned Coast Guard 
     vessels for use to enhance the vessel's operability and 
     function as an historical display.

     SEC. 626. STUDY ON ROUTING MEASURES.

       The Secretary of the department in which the Coast Guard is 
     operating--
       (1) shall cooperate with the Administrator of the National 
     Oceanic and Atmospheric Administration in analyzing potential 
     vessel routing measures for reducing vessel strikes of North 
     Atlantic Right Whales, as described in the notice published 
     at pages 30857 through 30861 of volume 69 of the Federal 
     Register; and
       (2) within 18 months after the date of the enactment of 
     this Act, shall provide a final report of its analysis to the 
     Committee on Commerce, Science, and Transportation of the 
     Senate and the Committee on Transportation and Infrastructure 
     of the House of Representatives.

     SEC. 627. CONVEYANCE OF LIGHT STATIONS.

       Section 308(c) of the National Historic Preservation Act 
     (16 U.S.C. 470w-7(c)) is amended by adding at the end the 
     following:
       ``(4) Light stations originally conveyed under other 
     authority.--Upon receiving notice of an executed or intended 
     conveyance by an owner who--
       ``(A) received from the Federal Government under authority 
     other than this Act an historic light station in which the 
     United States retains a reversionary or other interest; and
       ``(B) is conveying it to another person by sale, gift, or 
     any other manner,

     the Secretary shall review the terms of the executed or 
     proposed conveyance to ensure that any new owner is capable 
     of or is complying with any and all conditions of the 
     original conveyance. The Secretary may require the parties to 
     the conveyance and relevant Federal agencies to provide such 
     information as is necessary to complete this review. If the 
     Secretary determines that the new owner has not or is unable 
     to comply with those conditions, the Secretary shall 
     immediately advise the Administrator, who shall invoke any 
     reversionary interest or take such other action as may be 
     necessary to protect the interests of the United States.''.

     SEC. 628. WAIVER.

       The Secretary of the department in which the Coast Guard is 
     operating may waive the application of section 2101(21) of 
     title 46, United States Code, with respect to one of two 
     adult chaperones who do not meet the requirements of 
     subparagraph (A)(i), (ii), or (iii) of such section on board 
     each vessel owned or chartered by the Florida National High 
     Adventure Sea Base program of the Boy Scouts of America, if 
     the Secretary determines that such a waiver will not 
     compromise safety.

     SEC. 629. APPROVAL OF MODULAR ACCOMMODATION UNITS FOR LIVING 
                   QUARTERS.

       (a) In General.--The Secretary of the department in which 
     the Coast Guard is operating shall approve the use of a 
     modular accommodation unit on a floating offshore facility to 
     provide accommodations for up to 12 individuals, if--
       (1) the unit is approximately 12 feet in length and 40 feet 
     in width;
       (2) before March 31, 2002--
       (A) the Secretary approved use of the unit to provide 
     accommodations on such a facility; and
       (B) the unit was used to provide such accommodations; and
       (3) the Secretary determines that use of the unit under the 
     approval will not compromise safety.
       (b) Application.--The approval by the Secretary under this 
     section shall apply for the 5-year period beginning on the 
     date of the enactment of this Act.
      TITLE VII--AMENDMENTS RELATING TO OIL POLLUTION ACT OF 1990

     SEC. 701. VESSEL RESPONSE PLANS FOR NONTANK VESSELS OVER 400 
                   GROSS TONS.

       (a) Nontank Vessel Defined.--Section 311(a) of the Federal 
     Water Pollution Control Act (33 U.S.C. 1321) is amended--
       (1) by striking ``and'' after the semicolon in paragraph 
     (24)(B);
       (2) by striking ``threat.'' in paragraph (25) and inserting 
     ``threat; and''; and
       (3) by adding at the end the following:
       ``(26) `nontank vessel' means a self-propelled vessel of 
     400 gross tons as measured under section 14302 of title 46, 
     United States Code, or greater, other than a tank vessel, 
     that carries oil of any kind as fuel for main propulsion and 
     that--
       ``(A) is a vessel of the United States; or
       ``(B) operates on the navigable waters of the United 
     States.''.
       (b) Amendments To Require Response Plans.--Section 311(j) 
     of the Federal Water Pollution Control Act (33 U.S.C. 
     1321(j)) is amended--
       (1) in paragraph (5) in the heading by inserting ``, 
     nontank vessel,'' after ``vessel'';
       (2) in paragraph (5)(A)--
       (A) by inserting: ``(i)'' after ``(A)''; and
       (B) by adding at the end the following:
       ``(ii) The President shall also issue regulations which 
     require an owner or operator of a non-tank vessel to prepare 
     and submit to the President a plan for responding, to the 
     maximum extent practicable, to a worst case discharge, and to 
     a substantial threat of such a discharge, of oil.'';
       (3) in paragraph (5)(B), in the matter preceding clause 
     (i), by inserting ``, nontank vessels,'' after ``vessels'';
       (4) in paragraph (5)(B), by redesignating clauses (ii) and 
     (iii) as clauses (iii) and (iv), respectively, and by 
     inserting after clause (i) the following:
       ``(ii) A nontank vessel.'';
       (5) in paragraph (5)(D)--
       (A) by inserting ``, nontank vessel,'' after ``vessel'';
       (B) by striking ``and'' after the semicolon at the end of 
     clause (iii);
       (C) by striking the period at the end of clause (iv) and 
     inserting ``; and''; and
       (D) by adding after clause (iv) the following:
       ``(v) in the case of a plan for a nontank vessel, consider 
     any applicable State-mandated response plan in effect on the 
     date of the enactment of the Coast Guard and Maritime 
     Transportation Act of 2004 and ensure consistency to the 
     extent practicable.'';
       (6) by inserting ``non-tank vessel,'' in paragraph (5)(E) 
     after ``vessel,'' each place it appears;
       (7) in paragraph (5)(F)--
       (A) by inserting ``non-tank vessel,'' after ``vessel,'';
       (B) by striking ``vessel or'' and inserting ``vessel, non-
     tank vessel, or''.
       (8) in paragraph (5)(G) by inserting ``nontank vessel,'' 
     after ``vessel,'';
       (9) in paragraph (5)(H) by inserting ``and nontank vessel'' 
     after ``each tank vessel;
       (10) in paragraph (6) in the matter preceding subparagraph 
     (A) by striking ``Not later than 2 years after the date of 
     enactment of this section, the President shall require--'' 
     and inserting ``The President may require--'';
       (11) in paragraph (6)(B) by inserting ``, and nontank 
     vessels carrying oil of any kind as fuel for main 
     propulsion,'' after ``cargo''; and
       (12) in paragraph (7) by inserting ``, nontank vessel,'' 
     after ``vessel''.
       (c) Implementation Date.--No later than one year after the 
     date of enactment of this Act, the owner or operator of a 
     nontank vessel (as defined section 311(j)(9) of the Federal 
     Water Pollution Control Act (33 U.S.C. 1321(j)(9), as amended 
     by this section) shall prepare and submit a vessel response 
     plan for such vessel.
       (d) Addition of Noxious Liquid Substances to the List of 
     Hazardous Substances for Which the Coast Guard May Require a 
     Response Plan.--Section 311(j)(5) of the Federal Water 
     Pollution Control Act (33 U.S.C.1321(j)(5)) is further 
     amended--
       (1) by redesignating subparagraphs (B) through (H) as 
     subparagraphs (C) through (I), respectively;
       (2) by inserting after subparagraph (A) the following:
       ``(B) The Secretary of the Department in which the Coast 
     Guard is operating may issue regulations which require an 
     owner or operator of a tank vessel, a non-tank vessel, or a 
     facility described in subparagraph (C) that transfers noxious 
     liquid substances in bulk to or from a vessel to prepare and 
     submit to the Secretary a plan for responding, to the maximum 
     extent practicable, to a worst case discharge, and to a 
     substantial threat of such a discharge, of a noxious liquid 
     substance that is not designated as a hazardous substance or 
     regulated as oil in any other law or regulation. For purposes 
     of this paragraph, the term `noxious liquid substance' has 
     the same meaning when that term is used in the MARPOL 
     Protocol described in section 2(a)(3) of the Act to Prevent 
     Pollution from Ships (33 U.S.C. 1901(a)(3)).'';
       (3) by striking ``subparagraph (B)'' in subparagraph (A) 
     and inserting ``subparagraph (C)'';
       (4) by striking ``subparagraph (A)'' in subparagraph (C), 
     as redesignated, and inserting ``subparagraphs (A) and (B)''; 
     and
       (5) by striking ``subparagraph (D),'' in clause (i) of 
     subparagraph (F), as redesignated, and inserting 
     ``subparagraph (E),''.

     SEC. 702. REQUIREMENTS FOR TANK LEVEL AND PRESSURE MONITORING 
                   DEVICES.

       (a) Requirements.--Section 4110 of the Oil Pollution Act of 
     1990 (46 U.S.C. 3703 note) is amended--
       (1) in subsection (a), by striking ``Not later than 1 year 
     after the date of the enactment of this Act, the Secretary 
     shall'' and inserting ``The Secretary may''; and
       (2) in subsection (b)--
       (A) by striking ``Not later than 1 year after the date of 
     the enactment of this Act, the Secretary shall'' and 
     inserting ``No sooner than 1 year after the Secretary 
     prescribes regulations under subsection (a), the Secretary 
     may''; and
       (B) by striking ``the standards'' and inserting ``any 
     standards''.
       (b) Study.--
       (1) Study requirement.--The Secretary of the department in 
     which the Coast Guard is operating shall conduct a study 
     analyzing the costs and benefits of methods other than those 
     described in subsections (a) and (b) of section 4110 of the 
     Oil Pollution Act of 1990 for effectively detecting the loss 
     of oil from oil cargo tanks. The study may include 
     technologies, monitoring procedures, and other methods.
       (2) Input.--In conducting the study, the Secretary may seek 
     input from Federal agencies, industry, and other entities.
       (3) Report.--The Secretary shall submit a report on the 
     findings and conclusions of the

[[Page 16310]]

     study to the Committee on Commerce, Science, and 
     Transportation of the Senate and Committee on Transportation 
     and Infrastructure of the House of Representatives by not 
     later than 180 days after the date of the enactment of this 
     Act.

     SEC. 703. LIABILITY AND COST RECOVERY.

       (a) Definition of Owner or Operator.--Section 1001(26) of 
     the Oil Pollution Act of 1990 (33 U.S.C. 2701(26)) is amended 
     to read as follows:
       ``(26) `owner or operator'--
       ``(A) means--
       ``(i) in the case of a vessel, any person owning, 
     operating, or chartering by demise, the vessel;
       ``(ii) in the case of an onshore or offshore facility, any 
     person owning or operating such facility;
       ``(iii) in the case of any abandoned offshore facility, the 
     person who owned or operated such facility immediately prior 
     to such abandonment;
       ``(iv) in the case of any facility, title or control of 
     which was conveyed due to bankruptcy, foreclosure, tax 
     delinquency, abandonment, or similar means to a unit of State 
     or local government, any person who owned, operated, or 
     otherwise controlled activities at such facility immediately 
     beforehand;
       ``(v) notwithstanding subparagraph (B)(i), and in the same 
     manner and to the same extent, both procedurally and 
     substantively, as any nongovernmental entity, including for 
     purposes of liability under section 1002, any State or local 
     government that has caused or contributed to a discharge or 
     substantial threat of a discharge of oil from a vessel or 
     facility ownership or control of which was acquired 
     involuntarily through--

       ``(I) seizure or otherwise in connection with law 
     enforcement activity;
       ``(II) bankruptcy;
       ``(III) tax delinquency;
       ``(IV) abandonment; or
       ``(V) other circumstances in which the government 
     involuntarily acquires title by virtue of its function as 
     sovereign;

       ``(vi) notwithstanding subparagraph (B)(ii), a person that 
     is a lender and that holds indicia of ownership primarily to 
     protect a security interest in a vessel or facility if, while 
     the borrower is still in possession of the vessel or facility 
     encumbered by the security interest, the person--

       ``(I) exercises decision making control over the 
     environmental compliance related to the vessel or facility, 
     such that the person has undertaken responsibility for oil 
     handling or disposal practices related to the vessel or 
     facility; or
       ``(II) exercises control at a level comparable to that of a 
     manager of the vessel or facility, such that the person has 
     assumed or manifested responsibility--

       ``(aa) for the overall management of the vessel or facility 
     encompassing day-to-day decision making with respect to 
     environmental compliance; or
       ``(bb) over all or substantially all of the operational 
     functions (as distinguished from financial or administrative 
     functions) of the vessel or facility other than the function 
     of environmental compliance; and
       ``(B) does not include--
       ``(i) A unit of state or local government that acquired 
     ownership or control of a vessel or facility involuntarily 
     through--

       ``(I) seizure or otherwise in connection with law 
     enforcement activity;
       ``(II) bankruptcy;
       ``(III) tax delinquency;
       ``(IV) abandonment; or
       ``(V) other circumstances in which the government 
     involuntarily acquires title by virtue of its function as 
     sovereign;

       ``(ii) a person that is a lender that does not participate 
     in management of a vessel or facility, but holds indicia of 
     ownership primarily to protect the security interest of the 
     person in the vessel or facility; or
       ``(iii) a person that is a lender that did not participate 
     in management of a vessel or facility prior to foreclosure, 
     notwithstanding that the person--

       ``(I) forecloses on the vessel or facility; and
       ``(II) after foreclosure, sells, re-leases (in the case of 
     a lease finance transaction), or liquidates the vessel or 
     facility, maintains business activities, winds up operations, 
     undertakes a removal action under section 311(c) of the 
     Federal Water Pollution Control Act (33 U.S.C. 1321(c)) or 
     under the direction of an on-scene coordinator appointed 
     under the National Contingency Plan, with respect to the 
     vessel or facility, or takes any other measure to preserve, 
     protect, or prepare the vessel or facility prior to sale or 
     disposition,

     if the person seeks to sell, re-lease (in the case of a lease 
     finance transaction), or otherwise divest the person of the 
     vessel or facility at the earliest practicable, commercially 
     reasonable time, on commercially reasonable terms, taking 
     into account market conditions and legal and regulatory 
     requirements;''.
       (b) Other Definitions.--Section 1001 of the Oil Pollution 
     Act of 1990 (33 U.S.C. 2701) is amended by striking ``and'' 
     after the semicolon at the end of paragraph (36), by striking 
     the period at the end of paragraph (37) and inserting a 
     semicolon, and by adding at the end the following:
       ``(38) `participate in management'--
       ``(A)(i) means actually participating in the management or 
     operational affairs of a vessel or facility; and
       ``(ii) does not include merely having the capacity to 
     influence, or the unexercised right to control, vessel or 
     facility operations; and
       ``(B) does not include--
       ``(i) performing an act or failing to act prior to the time 
     at which a security interest is created in a vessel or 
     facility;
       ``(ii) holding a security interest or abandoning or 
     releasing a security interest;
       ``(iii) including in the terms of an extension of credit, 
     or in a contract or security agreement relating to the 
     extension, a covenant, warranty, or other term or condition 
     that relates to environmental compliance;
       ``(iv) monitoring or enforcing the terms and conditions of 
     the extension of credit or security interest;
       ``(v) monitoring or undertaking one or more inspections of 
     the vessel or facility;
       ``(vi) requiring a removal action or other lawful means of 
     addressing a discharge or substantial threat of a discharge 
     of oil in connection with the vessel or facility prior to, 
     during, or on the expiration of the term of the extension of 
     credit;
       ``(vii) providing financial or other advice or counseling 
     in an effort to mitigate, prevent, or cure default or 
     diminution in the value of the vessel or facility;
       ``(viii) restructuring, renegotiating, or otherwise 
     agreeing to alter the terms and conditions of the extension 
     of credit or security interest, exercising forbearance;
       ``(ix) exercising other remedies that may be available 
     under applicable law for the breach of a term or condition of 
     the extension of credit or security agreement; or
       ``(x) conducting a removal action under 311(c) of the 
     Federal Water Pollution Control Act (33 U.S.C. 1321(c)) or 
     under the direction of an on-scene coordinator appointed 
     under the National Contingency Plan,

     if such actions do not rise to the level of participating in 
     management under subparagraph (A) of this paragraph and 
     paragraph (26)(A)(vi);
       ``(39) `extension of credit' has the meaning provided in 
     section 101(20)(G)(i) of the Comprehensive Environmental 
     Response, Compensation and Liability Act of 1980 (42 U.S.C. 
     9601(20)(G)(i));
       ``(40) `financial or administrative function' has the 
     meaning provided in section 101(20)(G)(ii) of the 
     Comprehensive Environmental Response, Compensation and 
     Liability Act of 1980 (42 U.S.C. 9601(20)(G)(ii));
       ``(41) `foreclosure' and `foreclose' each has the meaning 
     provided in section 101(20)(G)(iii) of the Comprehensive 
     Environmental Response, Compensation and Liability Act of 
     1980 (42 U.S.C. 9601(20)(G)(iii));
       ``(42) `lender' has the meaning provided in section 
     101(20)(G)(iv) of the Comprehensive Environmental Response, 
     Compensation and Liability Act of 1980 (42 U.S.C. 
     9601(20)(G)(iv));
       ``(43) `operational function' has the meaning provided in 
     section 101(20)(G)(v) of the Comprehensive Environmental 
     Response, Compensation and Liability Act of 1980 (42 U.S.C. 
     9601(20)(G)(v)); and
       ``(44) `security interest' has the meaning provided in 
     section 101(20)(G)(vi) of the Comprehensive Environmental 
     Response, Compensation and Liability Act of 1980 (42 U.S.C. 
     9601(20)(G)(vi)).''.
       (c) Definition of Contractual Relationship.--Section 1003 
     of the Oil Pollution Act of 1990 (33 U.S.C. 2703) is amended 
     by adding at the end the following:
       ``(d) Definition of Contractual Relationship.--
       ``(1) In general.--For purposes of subsection (a)(3) the 
     term `contractual relationship' includes, but is not limited 
     to, land contracts, deeds, easements, leases, or other 
     instruments transferring title or possession, unless--
       ``(A) the real property on which the facility concerned is 
     located was acquired by the responsible party after the 
     placement of the oil on, in, or at the real property on which 
     the facility concerned is located;
       ``(B) one or more of the circumstances described in 
     subparagraph (A), (B), or (C) of paragraph (2) is established 
     by the responsible party by a preponderance of the evidence; 
     and
       ``(C) the responsible party complies with paragraph (3).
       ``(2) Required circumstance.--The circumstances referred to 
     in paragraph (1)(B) are the following:
       ``(A) At the time the responsible party acquired the real 
     property on which the facility is located the responsible 
     party did not know and had no reason to know that oil that is 
     the subject of the discharge or substantial threat of 
     discharge was located on, in, or at the facility.
       ``(B) The responsible party is a government entity that 
     acquired the facility--
       ``(i) by escheat;
       ``(ii) through any other involuntary transfer or 
     acquisition; or
       ``(iii) through the exercise of eminent domain authority by 
     purchase or condemnation.
       ``(C) The responsible party acquired the facility by 
     inheritance or bequest.
       ``(3) Additional requirements.--For purposes of paragraph 
     (1)(C), the responsible party must establish by a 
     preponderance of the evidence that the responsible party--
       ``(A) has satisfied the requirements of section 
     1003(a)(3)(A) and (B);
       ``(B) has provided full cooperation, assistance, and 
     facility access to the persons that are authorized to conduct 
     removal actions, including the cooperation and access 
     necessary for the installation, integrity, operation, and 
     maintenance of any complete or partial removal action;
       ``(C) is in compliance with any land use restrictions 
     established or relied on in connection with the removal 
     action; and
       ``(D) has not impeded the effectiveness or integrity of any 
     institutional control employed in connection with the removal 
     action.

[[Page 16311]]

       ``(4) Reason to know.--
       ``(A) Appropriate inquiries.--To establish that the 
     responsible party had no reason to know of the matter 
     described in paragraph (2)(A), the responsible party must 
     demonstrate to a court that--
       ``(i) on or before the date on which the responsible party 
     acquired the real property on which the facility is located, 
     the responsible party carried out all appropriate inquiries, 
     as provided in subparagraphs (B) and (D), into the previous 
     ownership and uses of the real property on which the facility 
     is located in accordance with generally accepted good 
     commercial and customary standards and practices; and
       ``(ii) the responsible party took reasonable steps to--

       ``(I) stop any continuing discharge;
       ``(II) prevent any substantial threat of discharge; and
       ``(III) prevent or limit any human, environmental, or 
     natural resource exposure to any previously discharged oil.

       ``(B) Regulations establishing standards and practices.--
     Not later than 2 years after the date of the enactment of 
     this paragraph, the Secretary, in consultation with the 
     Administrator of the Environmental Protection Agency, shall 
     by regulation establish standards and practices for the 
     purpose of satisfying the requirement to carry out all 
     appropriate inquiries under subparagraph (A).
       ``(C) Criteria.--In promulgating regulations that establish 
     the standards and practices referred to in subparagraph (B), 
     the Secretary shall include in such standards and practices 
     provisions regarding each of the following:
       ``(i) The results of an inquiry by an environmental 
     professional.
       ``(ii) Interviews with past and present owners, operators, 
     and occupants of the facility and the real property on which 
     the facility is located for the purpose of gathering 
     information regarding the potential for oil at the facility 
     and on the real property on which the facility is located.
       ``(iii) Reviews of historical sources, such as chain of 
     title documents, aerial photographs, building department 
     records, and land use records, to determine previous uses and 
     occupancies of the real property on which the facility is 
     located since the property was first developed.
       ``(iv) Searches for recorded environmental cleanup liens 
     against the facility and the real property on which the 
     facility is located that are filed under Federal, State, or 
     local law.
       ``(v) Reviews of Federal, State, and local government 
     records, waste disposal records, underground storage tank 
     records, and waste handling, generation, treatment, disposal, 
     and spill records, concerning oil at or near the facility and 
     on the real property on which the facility is located.
       ``(vi) Visual inspections of the facility, the real 
     property on which the facility is located, and adjoining 
     properties.
       ``(vii) Specialized knowledge or experience on the part of 
     the responsible party.
       ``(viii) The relationship of the purchase price to the 
     value of the facility and the real property on which the 
     facility is located, if oil was not at the facility or on the 
     real property.
       ``(ix) Commonly known or reasonably ascertainable 
     information about the facility and the real property on which 
     the facility is located.
       ``(x) The degree of obviousness of the presence or likely 
     presence of oil at the facility and on the real property on 
     which the facility is located, and the ability to detect the 
     oil by appropriate investigation.
       ``(D) Interim standards and practices.--
       ``(i) Real property purchased before may 31, 1997.--With 
     respect to real property purchased before May 31, 1997, in 
     making a determination with respect to a responsible party 
     described in subparagraph (A), a court shall take into 
     account--

       ``(I) any specialized knowledge or experience on the part 
     of the responsible party;
       ``(II) the relationship of the purchase price to the value 
     of the facility and the real property on which the facility 
     is located, if the oil was not at the facility or on the real 
     property;
       ``(III) commonly known or reasonably ascertainable 
     information about the facility and the real property on which 
     the facility is located;
       ``(IV) the obviousness of the presence or likely presence 
     of oil at the facility and on the real property on which the 
     facility is located; and
       ``(V) the ability of the responsible party to detect oil by 
     appropriate inspection.

       ``(ii) Real property purchased on or after may 31, 1997.--
     With respect to real property purchased on or after May 31, 
     1997, until the Secretary promulgates the regulations 
     described in clause (ii), the procedures of the American 
     Society for Testing and Materials, including the document 
     known as `Standard E1527-97', entitled `Standard Practice for 
     Environmental Site Assessment: Phase I Environmental Site 
     Assessment Process', shall satisfy the requirements in 
     subparagraph (A).
       ``(E) Site inspection and title search.--In the case of 
     real property for residential use or other similar use 
     purchased by a nongovernmental or noncommercial entity, 
     inspection and title search of the facility and the real 
     property on which the facility is located that reveal no 
     basis for further investigation shall be considered to 
     satisfy the requirements of this paragraph.
       ``(5) Previous owner or operator.--Nothing in this 
     paragraph or in section 1003(a)(3) shall diminish the 
     liability of any previous owner or operator of such facility 
     who would otherwise be liable under this Act. Notwithstanding 
     this paragraph, if a responsible party obtained actual 
     knowledge of the discharge or substantial threat of discharge 
     of oil at such facility when the responsible party owned the 
     facility and then subsequently transferred ownership of the 
     facility or the real property on which the facility is 
     located to another person without disclosing such knowledge, 
     the responsible party shall be treated as liable under 
     1002(a) and no defense under section 1003(a) shall be 
     available to such responsible party.
       ``(6) Limitation on defense.--Nothing in this paragraph 
     shall affect the liability under this Act of a responsible 
     party who, by any act or omission, caused or contributed to 
     the discharge or substantial threat of discharge of oil which 
     is the subject of the action relating to the facility.''.

     SEC. 704. OIL SPILL RECOVERY INSTITUTE.

       Section 5006 of the Oil Pollution Act of 1990 (33 U.S.C. 
     2736) is amended--
       (1) in the first subsection (c), as added by section 
     1102(b)(4) of Public Law 104-324 (110 Stat. 3965), by 
     striking ``with the eleventh year following the date of 
     enactment of the Coast Guard Authorization Act of 1996,'' and 
     inserting ``October 1, 2012''; and
       (2) by redesignating the second subsection (c) as 
     subsection (d).

     SEC. 705. ALTERNATIVES.

       Section 4115(e)(3) of the Oil Pollution Act of 1990 (46 
     U.S.C. 3703a note) is amended to read as follows:
       ``(3) No later than one year after the date of enactment of 
     the Coast Guard and Maritime Transportation Act of 2004, the 
     Secretary shall, taking into account the recommendations 
     contained in the report by the Marine Board of the National 
     Research Council entitled `Environmental Performance of 
     Tanker Design in Collision and Grounding' and dated 2001, 
     establish and publish an environmental equivalency evaluation 
     index (including the methodology to develop that index) to 
     assess overall outflow performance due to collisions and 
     groundings for double hull tank vessels and alternative hull 
     designs.''.

     SEC. 706. AUTHORITY TO SETTLE.

       Section 1015 of the Oil Pollution Act of 1990 (33 U.S.C. 
     2715) is amended by adding at the end the following:
       ``(d) Authority To Settle.--The head of any department or 
     agency responsible for recovering amounts for which a person 
     is liable under this title may consider, compromise, and 
     settle a claim for such amounts, including such costs paid 
     from the Fund, if the claim has not been referred to the 
     Attorney General. In any case in which the total amount to be 
     recovered may exceed $500,000 (excluding interest), a claim 
     may be compromised and settled under the preceding sentence 
     only with the prior written approval of the Attorney 
     General.''.

     SEC. 707. REPORT ON IMPLEMENTATION OF THE OIL POLLUTION ACT 
                   OF 1990.

       No later than 180 days after the date of the enactment of 
     this Act, the Commandant of the Coast Guard shall provide a 
     written report to the Committee on Commerce, Science, and 
     Transportation and the Committee on Environment and Public 
     Works of the Senate and the Committee on Transportation and 
     Infrastructure of the House of Representatives that shall 
     include the following:
       (1) The status of the levels of funds currently in the Oil 
     Spill Liability Trust Fund and projections for levels of 
     funds over the next 5 years, including a detailed accounting 
     of expenditures of funds from the Oil Spill Liability Trust 
     Fund for each of fiscal years 2000 through 2004 by all 
     agencies that receive such funds.
       (2) The domestic and international implications of changing 
     the phase-out date for single hull vessels pursuant to 
     section 3703a of title 46, United States Code, from 2015 to 
     2010.
       (3) The costs and benefits of requiring vessel monitoring 
     systems on tank vessels used to transport oil or other 
     hazardous cargo, and of using additional aids to navigation, 
     such as RACONs.
       (4) A summary of the extent to which the response costs and 
     damages for oil spill incidents have exceeded the liability 
     limits established in section 1004 of the Oil Pollution Act 
     of 1990 (33 U.S.C. 2704), and a description of the steps that 
     the Coast Guard has taken or plans to take to implement 
     subsection (d)(4) of that section.
       (5) A summary of manning, inspection, and other safety 
     issues for tank barges and towing vessels used in connection 
     with them, including--
       (A) a description of applicable Federal regulations, 
     guidelines, and other policies;
       (B) a record of infractions of applicable requirements 
     described in subparagraph (A) over the past 10 years;
       (C) an analysis of oil spill data over the past 10 years, 
     comparing the number and size of oil spills from tank barges 
     with those from tanker vessels of a similar size; and
       (D) recommendations on areas of possible improvements to 
     existing regulations, guidelines and policies with respect to 
     tank barges and towing vessels.

     SEC. 708. LOANS FOR FISHERMEN AND AQUACULTURE PRODUCERS 
                   IMPACTED BY OIL SPILLS.

       (a) Interest; Partial Payment of Claims.--Section 1013 of 
     the Oil Pollution Act of 1990 (33 U.S.C. 2713) is amended by 
     adding at the end the following:
       ``(f) Loan Program.--
       ``(1) In general.--The President shall establish a loan 
     program under the Fund to provide interim assistance to 
     fishermen and aquaculture producer claimants during the 
     claims procedure.

[[Page 16312]]

       ``(2) Eligibility for loan.--A loan may be made under 
     paragraph (1) only to a fisherman or aquaculture producer 
     that--
       ``(A) has incurred damages for which claims are authorized 
     under section 1002;
       ``(B) has made a claim pursuant to this section that is 
     pending; and
       ``(C) has not received an interim payment under section 
     1005(a) for the amount of the claim, or part thereof, that is 
     pending.
       ``(3) Terms and conditions of loans.--A loan awarded under 
     paragraph (1)--
       ``(A) shall have flexible terms, as determined by the 
     President;
       ``(B) shall be for a period ending on the later of--
       ``(i) the date that is 5 years after the date on which the 
     loan is made; or
       ``(ii) the date on which the fisherman or aquaculture 
     producer receives payment for the claim to which the loan 
     relates under the procedure established by subsections (a) 
     through (e) of this section; and
       ``(C) shall be at a low interest rate, as determined by the 
     President.''.
       (b) Uses of the Fund.--Section 1012(a) of the Oil Pollution 
     Act of 1990 (33 U.S.C. 2712(a)) is amended--
       (1) by striking ``Act.'' in paragraph (5)(C) and inserting 
     ``Act; and''; and
       (2) by adding at the end the following:
       ``(6) the making of loans pursuant to the program 
     established under section 1013(f).''.
       (c) Study.--Not later than 270 days after the date of 
     enactment of this Act, the Secretary of Commerce, in 
     consultation with the Administrator of the Environmental 
     Protection Agency, shall submit to the Congress a study that 
     contains--
       (1) an assessment of the effectiveness of the claims 
     procedures and emergency response programs under the Oil 
     Pollution Act of 1990 (33 U.S.C. 2701 et seq.) concerning 
     claims filed by, and emergency responses carried out to 
     protect the interests of, fishermen and aquaculture 
     producers; and
       (2) any legislative or other recommendations to improve the 
     procedures and programs referred to in paragraph (1).
              TITLE VIII--MARITIME TRANSPORTATION SECURITY

     SEC. 801. ENFORCEMENT.

       (a) In General.--Chapter 701 of title 46, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 70118. Firearms, arrests, and seizure of property

       ``Subject to guidelines approved by the Secretary, members 
     of the Coast Guard may, in the performance of official 
     duties--
       ``(1) carry a firearm; and
       ``(2) while at a facility--
       ``(A) make an arrest without warrant for any offense 
     against the United States committed in their presence; and
       ``(B) seize property as otherwise provided by law.

     ``Sec. 70119. Enforcement by State and local officers

       ``(a) In General.--Any State or local government law 
     enforcement officer who has authority to enforce State 
     criminal laws may make an arrest for violation of a security 
     zone regulation prescribed under section 1 of title II of the 
     Act of June 15, 1917 (chapter 30; 50 U.S.C. 191) or security 
     or safety zone regulation under section 7(b) of the Ports and 
     Waterways Safety Act (33 U.S.C. 1226(b)) or a safety zone 
     regulation prescribed under section 10(d) of the Deepwater 
     Port Act of 1974 (33 U.S.C. 1509(d)) by a Coast Guard 
     official authorized by law to prescribe such regulations, 
     if--
       ``(1) such violation is a felony; and
       ``(2) the officer has reasonable grounds to believe that 
     the person to be arrested has committed or is committing such 
     violation.
       ``(b) Other Powers not Affected.--The provisions of this 
     section are in addition to any power conferred by law to such 
     officers. This section shall not be construed as a limitation 
     of any power conferred by law to such officers, or any other 
     officer of the United States or any State. This section does 
     not grant to such officers any powers not authorized by the 
     law of the State in which those officers are employed.''.
       (b) Clerical Amendment.--The chapter analysis at the 
     beginning of chapter 701 of title 46, United States Code, is 
     amended by adding at the end the following:

``70118. Enforcement.
``70119. Enforcement by State and local officers.''.

     SEC. 802. IN REM LIABILITY FOR CIVIL PENALTIES AND COSTS.

       (a) Amendments to Title 46, United States Code.--Chapter 
     701 of title 46, United States Code, is amended--
       (1) by redesignating section 70117 as 70119; and
       (2) by inserting after section 70116 the following:

     ``Sec. 70117. In rem liability for civil penalties and 
       certain costs

       ``(a) Civil Penalties.--Any vessel operated in violation of 
     this chapter or any regulations prescribed under this chapter 
     shall be liable in rem for any civil penalty assessed 
     pursuant to section 70120 for such violation, and may be 
     proceeded against for such liability in the United States 
     district court for any district in which the vessel may be 
     found.
       ``(b) Reimbursable Costs of Service Providers.--A vessel 
     shall be liable in rem for the reimbursable costs incurred by 
     any service provider related to implementation and 
     enforcement of this chapter and arising from a violation by 
     the operator of the vessel of this chapter or any regulations 
     prescribed under this chapter, and may be proceeded against 
     for such liability in the United States district court for 
     any district in which such vessel may be found.
       ``(c) Definitions.--In this subsection--
       ``(1) the term `reimbursable costs' means costs incurred by 
     any service provider acting in conformity with a lawful order 
     of the Federal government or in conformity with the 
     instructions of the vessel operator; and
       ``(2) the term `service provider' means any port authority, 
     facility or terminal operator, shipping agent, Federal, 
     State, or local government agency, or other person to whom 
     the management of the vessel at the port of supply is 
     entrusted, for--
       ``(A) services rendered to or in relation to vessel crew on 
     board the vessel, or in transit to or from the vessel, 
     including accommodation, detention, transportation, and 
     medical expenses; and
       ``(B) required handling of cargo or other items on board 
     the vessel.

     ``Sec. 70118. Withholding of clearance

       ``(a) Refusal or Revocation of Clearance.--If any owner, 
     agent, master, officer, or person in charge of a vessel is 
     liable for a penalty under section 70119, or if reasonable 
     cause exists to believe that the owner, agent, master, 
     officer, or person in charge may be subject to a penalty 
     under section 70120, the Secretary may, with respect to such 
     vessel, refuse or revoke any clearance required by section 
     4197 of the Revised Statutes of the United States (46 U.S.C. 
     App. 91).
       ``(b) Clearance Upon Filing of Bond or Other Surety.--The 
     Secretary may require the filing of a bond or other surety as 
     a condition of granting clearance refused or revoked under 
     this subsection.''.
       (b) Act of June 15, 1917.--Section 2 of title II of the Act 
     of June 15, 1917 (chapter 30; 50 U.S.C. 192), is amended--
       (1) in subsection (c) by striking ``Act'' each place it 
     appears and inserting ``title''; and
       (2) by adding at the end the following:
       ``(d) In Rem Liability.--Any vessel that is used in 
     violation of this title, or of any regulation issued under 
     this title, shall be liable in rem for any civil penalty 
     assessed pursuant to subsection (c) and may be proceeded 
     against in the United States district court for any district 
     in which such vessel may be found.
       ``(e) Withholding of Clearance.--
       ``(1) In general.--If any owner, agent, master, officer, or 
     person in charge of a vessel is liable for a penalty or fine 
     under subsection (c), or if reasonable cause exists to 
     believe that the owner, agent, master, officer, or person in 
     charge may be subject to a penalty or fine under this 
     section, the Secretary may, with respect to such vessel, 
     refuse or revoke any clearance required by section 4197 of 
     the Revised Statutes of the United States (46 U.S.C. App. 
     91).
       ``(2) Clearance upon filing of bond or other surety.--The 
     Secretary may require the filing of a bond or other surety as 
     a condition of granting clearance refused or revoked under 
     this subsection.''.
       (c) Clerical Amendment.--The chapter analysis at the 
     beginning of chapter 701 of title 46, United States Code, is 
     amended by striking the last item and inserting the 
     following:

``70117. In rem liability for civil penalties and certain costs.
``70118. Enforcement by injunction or withholding of clearance.
``70119. Civil penalty''.

     SEC. 803. MARITIME INFORMATION.

       (a) Maritime Intelligence.--Section 70113(a) of title 46, 
     United States Code, is amended by adding at the end the 
     following: ``The system may include a vessel risk profiling 
     component that assigns incoming vessels a terrorism risk 
     rating.''.
       (b) Vessel Tracking System.--Section 70115 of title 46, 
     United States Code, is amended in the first sentence by 
     striking ``may'' and inserting ``shall, consistent with 
     international treaties, conventions, and agreements to which 
     the United States is a party,''.
       (c) Maritime Information.--Within 90 days after the date of 
     the enactment of this Act, the Secretary of the department in 
     which the Coast Guard is operating shall submit a report to 
     the Committee on Commerce, Science, and Transportation of the 
     Senate and the Committee on Transportation and Infrastructure 
     of the House of Representatives containing a plan for the 
     implementation of section 70113 of title 46, United States 
     Code. The plan shall--
       (1) identify Federal agencies with maritime information 
     relating to vessels, crew, passengers, cargo, and cargo 
     shippers, those agencies' maritime information collection and 
     analysis activities, and the resources devoted to those 
     activities;
       (2) establish a lead agency within the Department of 
     Homeland Security to coordinate the efforts of other 
     Department agencies in the collection of maritime information 
     and to identify and avoid unwanted redundancy in those 
     efforts;
       (3) identify redundancy in the collection and analysis of 
     maritime information by agencies within the department in 
     which the Coast Guard is operating;
       (4) establish a timeline for coordinating the collection of 
     maritime information among agencies within the department in 
     which the Coast Guard is operating;
       (5) include recommendations on co-locating agency personnel 
     in order to maximize expertise,

[[Page 16313]]

     minimize costs, and avoid redundancy in both the collection 
     and analysis of maritime information;
       (6) establish a timeline for the incorporation of 
     information on vessel movements derived through the 
     implementation of sections 70114 and 70115 of title 46, 
     United States Code, into the system for collecting and 
     analyzing maritime information;
       (7) include recommendations on educating Federal officials 
     on the identification of security risks posed through 
     commercial maritime transportation operations;
       (8) include an assessment of the availability and expertise 
     of private sector maritime information resources;
       (9) include recommendations on how private sector maritime 
     information resources could be utilized to analyze maritime 
     security risks;
       (10) include recommendations on how to disseminate 
     information collected and analyzed through Federal maritime 
     security coordinators, including the manner and extent to 
     which State, local, and private security personnel should be 
     utilized, which should be developed after consideration by 
     the Secretary of the need for nondisclosure of sensitive 
     security information; and
       (11) include recommendations on the need for and how the 
     department could help support a maritime information sharing 
     and analysis center for the purpose of collecting and 
     disseminating real-time or near real-time information to and 
     from public and private entities, along with recommendations 
     on the appropriate levels of funding to help disseminate 
     maritime security information to the private sector.
       (d) Limitation on Establishment of Lead Agency.--The 
     Secretary may not establish a lead agency within the 
     Department of Homeland Security to coordinate the efforts of 
     other Department agencies in the collection of maritime 
     information, until at least 90 days after the plan under 
     subsection (c) is submitted to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Transportation and Infrastructure of the House of 
     Representatives.

     SEC. 804. MARITIME TRANSPORTATION SECURITY GRANTS.

       (a) Grant Program.--Section 70107(a) of title 46, United 
     States Code, is amended to read as follows:
       ``(a) In General.--The Secretary shall establish a grant 
     program for making a fair and equitable allocation of funds 
     to implement Area Maritime Transportation Security Plans and 
     facility security plans among port authorities, facility 
     operators, and State and local government agencies required 
     to provide port security services. Before awarding a grant 
     under the program, the Secretary shall provide for review and 
     comment by the appropriate Federal Maritime Security 
     Coordinators and the Maritime Administrator. In administering 
     the grant program, the Secretary shall take into account 
     national economic and strategic defense concerns.''.
       (b) Secretary Administering.--Section 70107 of title 46, 
     United States Code, is amended--
       (1) by striking ``Secretary of Transportation'' each place 
     it appears and inserting ``Secretary'';
       (2) by striking ``Department of Transportation'' each place 
     it appears and inserting ``department in which the Coast 
     Guard is operating''.
       (c) Effective Date.--Subsections (a) and (b)--
       (1) shall take effect October 1, 2004; and
       (2) shall not affect any grant made before that date.
       (d) Report on Design of Maritime Transportation Security 
     Grant Program.--Within 90 days after the date of enactment of 
     this Act, the Secretary of the department in which the Coast 
     Guard is operating shall transmit a report to the Committee 
     on Commerce, Science, and Transportation of the Senate and 
     the Committee on Transportation and Infrastructure of House 
     of Representatives on the design of the maritime 
     transportation security grant program established under 
     section 70107(a) of title 46, United States Code. In the 
     report, the Secretary shall include recommendations on--
       (1) whether the grant program should be discretionary or 
     formula-based and the reasons for the recommendation;
       (2) requirements for ensuring that Federal funds will not 
     be substituted for grantee funds;
       (3) targeting requirements to ensure that funding is 
     directed in a manner that considers--
       (A) national economic and strategic defense concerns; and
       (B) the fiscal capacity of the recipients to fund facility 
     security plan requirements without grant funds; and
       (4) matching requirements to ensure that Federal funds 
     provide an incentive to grantees for the investment of their 
     own funds in the improvements financed in part by Federal 
     funds provided under the program.

     SEC. 805. SECURITY ASSESSMENT OF WATERS UNDER THE 
                   JURISDICTION OF THE UNITED STATES.

       Not later than one year after the date of the enactment of 
     this Act, the Secretary of the department in which the Coast 
     Guard is operating shall--
       (1) conduct a vulnerability assessment under section 
     70102(b) of title 46, United States Code, of the waters under 
     the jurisdiction of the United States that are adjacent to 
     nuclear facilities that may be damaged by a transportation 
     security incident as defined in section 70101 (6) of title 
     46, United States Code;
       (2) coordinate with the appropriate Federal agencies in 
     preparing the vulnerability assessment required under 
     paragraph (1); and
       (3) submit the vulnerability assessments required under 
     paragraph (1) to the Committee on Transportation and 
     Infrastructure of the House of Representatives and the 
     Committee on Commerce, Science, and Transportation of the 
     Senate.

     SEC. 806. MEMBERSHIP OF AREA MARITIME SECURITY ADVISORY 
                   COMMITTEES.

       Section 70112(b) of title 46, United States Code, is 
     amended by adding at the end to following:
       ``(5) The membership of an Area Maritime Security Advisory 
     Committee shall include representatives of the port industry, 
     terminal operators, port labor organizations, and other users 
     of the port areas.''.

     SEC. 807. JOINT OPERATIONAL CENTERS FOR PORT SECURITY.

       The Commandant of the Coast Guard shall report to the 
     Congress, within 180 days after the date of the enactment of 
     this Act, on the implementation and use of joint operational 
     centers for port security at certain United States seaports. 
     The report shall--
       (1) compare and contrast the composition and operational 
     characteristics of existing joint operational centers for 
     port security, including those in Norfolk, Virginia, 
     Charleston, South Carolina, and San Diego, California;
       (2) examine the use of such centers to implement--
       (A) the plans developed under section 70103 of title 46, 
     United States Code;
       (B) maritime intelligence activities under section 70113 of 
     title 46, United States Code;
       (C) short and long range vessel tracking under sections 
     70114 and 70115 of title 46, United States Code; and
       (D) secure transportation systems under section 70116 of 
     title 46, United States Code; and
       (3) estimate the number, location and costs of such centers 
     necessary to implement the activities authorized under 
     sections 70103, 701113, 70114, 70115, and 70116 of title 46, 
     United States Code.

     SEC. 808. INVESTIGATIONS.

       (a) In General.--Section 70107 of title 46, United States 
     Code, is amended by striking subsection (i) and inserting the 
     following:
       ``(i) Investigations.--
       ``(1) In general.--The Secretary shall conduct 
     investigations, fund pilot programs, and award grants, to 
     examine or develop--
       ``(A) methods or programs to increase the ability to target 
     for inspection vessels, cargo, crewmembers, or passengers 
     that will arrive or have arrived at any port or place in the 
     United States;
       ``(B) equipment to detect accurately explosives, chemical, 
     or biological agents that could be used in a transportation 
     security incident against the United States;
       ``(C) equipment to detect accurately nuclear or 
     radiological materials, including scintillation-based 
     detection equipment capable of signalling the presence of 
     nuclear or radiological materials;
       ``(D) improved tags and seals designed for use on shipping 
     containers to track the transportation of the merchandise in 
     such containers, including sensors that are able to track a 
     container throughout its entire supply chain, detect 
     hazardous and radioactive materials within that container, 
     and transmit that information to the appropriate law 
     enforcement authorities;
       ``(E) tools, including the use of satellite tracking 
     systems, to increase the awareness of maritime areas and to 
     identify potential transportation security incidents that 
     could have an impact on facilities, vessels, and 
     infrastructure on or adjacent to navigable waterways, 
     including underwater access;
       ``(F) tools to mitigate the consequences of a 
     transportation security incident on, adjacent to, or under 
     navigable waters of the United States, including sensor 
     equipment, and other tools to help coordinate effective 
     response to a transportation security incident;
       ``(G) applications to apply existing technologies from 
     other areas or industries to increase overall port security;
       ``(H) improved container design, including blast-resistant 
     containers; and
       ``(I) methods to improve security and sustainability of 
     port facilities in the event of a maritime transportation 
     security incident, including specialized inspection 
     facilities.
       ``(2) Implementation of technology.--
       ``(A) In general.--In conjunction with ongoing efforts to 
     improve security at United States ports, the Secretary may 
     conduct pilot projects at United States ports to test the 
     effectiveness and applicability of new port security 
     projects, including--
       ``(i) testing of new detection and screening technologies;
       ``(ii) projects to protect United States ports and 
     infrastructure on or adjacent to the navigable waters of the 
     United States, including underwater access; and
       ``(iii) tools for responding to a transportation security 
     incident at United States ports and infrastructure on or 
     adjacent to the navigable waters of the United States, 
     including underwater access.
       ``(B) Authorization of appropriations.--There is authorized 
     to be appropriated to the Secretary $35,000,000 for each of 
     fiscal years 2005 through 2009 to carry out this subsection.
       ``(3) National port security centers.--
       ``(A) In general.--The Secretary may make grants or enter 
     into cooperative agreements with eligible nonprofit 
     institutions of higher learning to conduct investigations in 
     collaboration with ports and the maritime transportation 
     industry focused on enhancing security of the Nation's

[[Page 16314]]

     ports in accordance with this subsection through National 
     Port Security Centers.
       ``(B) Applications.--To be eligible to receive a grant 
     under this paragraph, a nonprofit institution of higher 
     learning, or a consortium of such institutions, shall submit 
     an application to the Secretary in such form and containing 
     such information as the Secretary may require.
       ``(C) Competitive selection process.--The Secretary shall 
     select grant recipients under this paragraph through a 
     competitive process on the basis of the following criteria:
       ``(i) Whether the applicant can demonstrate that personnel, 
     laboratory, and organizational resources will be available to 
     the applicant to carry out the investigations authorized in 
     this paragraph.
       ``(ii) The applicant's capability to provide leadership in 
     making national and regional contributions to the solution of 
     immediate and long-range port and maritime transportation 
     security and risk mitigation problems.
       ``(iii) Whether the applicant can demonstrate that is has 
     an established, nationally recognized program in disciplines 
     that contribute directly to maritime transportation safety 
     and education.
       ``(iv) Whether the applicant's investigations will involve 
     major United States ports on the East Coast, the Gulf Coast, 
     and the West Coast, and Federal agencies and other entities 
     with expertise in port and maritime transportation.
       ``(v) Whether the applicant has a strategic plan for 
     carrying out the proposed investigations under the grant.
       ``(4) Administrative provisions.--
       ``(A) No duplication of effort.--Before making any grant, 
     the Secretary shall coordinate with other Federal agencies to 
     ensure the grant will not duplicate work already being 
     conducted with Federal funding.
       ``(B) Accounting.--The Secretary shall by regulation 
     establish accounting, reporting, and review procedures to 
     ensure that funds made available under paragraph (1) are used 
     for the purpose for which they were made available, that all 
     expenditures are properly accounted for, and that amounts not 
     used for such purposes and amounts not expended are 
     recovered.
       ``(C) Recordkeeping.--Recipients of grants shall keep all 
     records related to expenditures and obligations of funds 
     provided under paragraph (1) and make them available upon 
     request to the Inspector General of the department in which 
     the Coast Guard is operating and the Secretary for audit and 
     examination.
       ``(5) Annual review and report.--The Inspector General of 
     the department in which the Coast Guard is operating shall 
     annually review the programs established under this 
     subsection to ensure that the expenditures and obligations of 
     funds are consistent with the purposes for which they are 
     provided, and report the findings to the Committee on 
     Commerce, Science, and Transportation of the Senate and the 
     Committee on Transportation and Infrastructure of the House 
     of Representatives.''.

     SEC. 809. VESSEL AND INTERMODAL SECURITY REPORTS.

       (a) In General.--Within 180 days after the date of the 
     enactment of this Act, the Secretary of the department in 
     which the Coast Guard is operating shall submit the reports 
     and plan required under subsections (b), (c), (e), (f), and 
     (j) to the Committee on Commerce, Science, and Transportation 
     of the Senate and the Committee on Transportation and 
     Infrastructure of the House of Representatives.
       (b) Report Regarding Security Inspection of Vessels and 
     Vessel-Borne Cargo Containers Entering the United States.--
       (1) Requirement.--The Secretary shall prepare a report 
     regarding the numbers and types of vessels and vessel-borne 
     cargo containers that enter the United States in a year.
       (2) Contents.--The report shall include the following:
       (A) A section regarding security inspection of vessels that 
     includes the following:
       (i) A complete breakdown of the numbers and types of 
     vessels that entered the United States in the most recent 1-
     year period for which information is available.
       (ii) The cost incurred by the Federal Government in 
     inspecting such vessels in such 1-year period, including 
     specification and comparison of such cost for each type of 
     vessel.
       (iii) An estimate of the per-vessel cost that would be 
     incurred by the Federal Government in inspecting each type of 
     vessel that enters the United States each year, including 
     costs for personnel, vessels, equipment, and funds.
       (iv) An estimate of the annual total cost that would be 
     incurred by the Federal Government in inspecting all vessels 
     that enter the United States each year, including costs for 
     personnel, vessels, equipment, and funds.
       (B) A section regarding security inspection of containers 
     that includes the following:
       (i) A complete breakdown of the numbers and types of 
     vessel-borne cargo containers that entered the United States 
     in the most recent 1-year period for which information is 
     available, including specification of the number of 1 TEU 
     containers and the number of 2 TEU containers.
       (ii) The cost incurred by the Federal Government in 
     inspecting such containers in such 1-year period, including 
     specification and comparison of such cost for a 1 TEU 
     container and for a 2 TEU container, and the number of each 
     inspected.
       (iii) An estimate of the per-container cost that would be 
     incurred by the Federal Government in inspecting each type of 
     vessel-borne container that enters the United States each 
     year, including costs for personnel, vessels, and equipment.
       (iv) An estimate of the annual total cost that would be 
     incurred by the Federal Government in inspecting, and where 
     allowed by international agreement, inspecting in a foreign 
     port, all vessel-borne containers that enter the United 
     States each year, including costs for personnel, vessels, and 
     equipment.
       (c) Plan for Implementing Secure Systems of 
     Transportation.--The Secretary shall prepare a plan for the 
     implementation of section 70116 of title 46, United States 
     Code. The plan shall--
       (1) include a timeline for establishing standards and 
     procedures pursuant to section 70116(b) of title 46, United 
     States Code;
       (2) provide a preliminary assessment of resources necessary 
     to evaluate and certify secure systems of transportation, and 
     the resources necessary to validate that the secure systems 
     of transportation are operating in compliance with the 
     certification requirements;
       (3) contain an analysis of whether establishing a voluntary 
     user fee to fund the certification of private secure systems 
     of transportation, paid for by the person applying for 
     certification, would enhance cargo security;
       (4) contain an analysis of the need for and feasibility of 
     establishing a system to inspect, monitor, and track 
     intermodal shipping containers within the United States; and
       (5) contain an analysis of the need for and feasibility of 
     developing international standards for secure systems of 
     transportation, including recommendations, that includes an 
     examination of working with appropriate international 
     organizations to develop standards to enhance the physical 
     security of shipping containers consistent with section 70116 
     of title 46, United States Code.
       (d) Inspector General Implementation Report.--One year 
     after the date on which the plan under subsection (c) is 
     submitted to the Congress, the Inspector General of the 
     department in which the Coast Guard is operating shall 
     transmit a report evaluating the progress made by the 
     department in implementing the plan to the Committee on 
     Commerce, Science, and Transportation of the Senate and the 
     Committee on Transportation and Infrastructure of the House 
     of Representatives.
       (e) Report on Radiation Detectors.--The Secretary shall 
     prepare a report on progress in the installation of a system 
     of radiation detection at all major United States seaports, 
     and a timeline and expected completion date for the system. 
     In the report, the Secretary shall include a preliminary 
     analysis of any issues related to the installation or 
     efficacy of the radiation detection equipment, as well as a 
     cost estimate for completing installation of the system.
       (f) Report on Nonintrusive Inspection at Foreign Ports.--
     The Secretary shall prepare a report--
       (1) on whether and to what extent foreign seaports have 
     been willing to utilize nonintrusive screening equipment at 
     their ports to screen cargo, including the number of cargo 
     containers that have been screened at foreign seaports, and 
     the ports where they were screened;
       (2) indicating which foreign ports may be willing to 
     utilize nonintrusive screening equipment for cargo exported 
     for import into the United States; and
       (3) indicating ways to increase the effectiveness of the 
     United States Government's targeting and screening activities 
     outside the United States and to what extent additional 
     resources and program changes will be necessary to maximize 
     scrutiny of cargo in foreign seaports that is destined for 
     the United States.
       (g) Evaluation of Cargo Inspection Targeting System for 
     International Intermodal Cargo Containers.--Within 180 days 
     after the date of the enactment of this Act and annually 
     thereafter, the Inspector General of the department in which 
     the Coast Guard is operating shall prepare a report that 
     includes an assessment of--
       (1) the effectiveness of the current tracking system to 
     determine whether it is adequate to prevent international 
     intermodal containers from being used for purposes of 
     terrorism;
       (2) the sources of information, and the quality of the 
     information at the time of reporting, used by the system to 
     determine whether targeting information is collected from the 
     best and most credible sources and evaluate data sources to 
     determine information gaps and weaknesses;
       (3) the targeting system for reporting and analyzing 
     inspection statistics, as well as testing effectiveness;
       (4) the competence and training of employees operating the 
     system to determine whether they are sufficiently capable to 
     detect potential terrorist threats; and
       (5) whether the system is an effective system to detect 
     potential acts of terrorism and whether additional steps need 
     to be taken in order to remedy deficiencies in targeting 
     international intermodal containers for inspection.
       (h) Action Report.--If the Inspector General of the 
     department in which the Coast Guard is operating determines 
     in any of the reports prepared under subsection (g) that the 
     targeting system is insufficiently effective as a means of 
     detecting potential acts of terrorism utilizing international 
     intermodal containers, then the Secretary of the department 
     in which the Coast Guard is operating shall, within 90 days, 
     submit a report to the Committee on Commerce, Science, and 
     Transportation of the Senate and the Committee on 
     Transportation and Infrastructure House of Representatives on 
     what actions will be taken to correct deficiencies identified 
     in the Inspector General Report.
       (i) Compliance With Security Standards Established Pursuant 
     to Maritime Transportation Security Plans.--Within 180 days

[[Page 16315]]

     after the date of the enactment of this Act and annually 
     thereafter, the Secretary of the department in which the 
     Coast Guard is operating shall prepare a report on compliance 
     and steps taken to ensure compliance by ports, terminals, 
     vessel operators, and shippers with security standards 
     established pursuant to section 70103 of title 46, United 
     States Code. The reports shall also include a summary of 
     security standards established pursuant to such section 
     during the previous year. The Secretary shall submit the 
     reports to the Committee on Commerce, Science, and 
     Transportation of the Senate and the Committee on 
     Transportation and Infrastructure of the House of 
     Representatives.
       (j) Empty Containers.--The Secretary of the department in 
     which the Coast Guard is operating shall prepare a report on 
     the practice and policies in place at United States ports to 
     secure shipment of empty containers and trailers. The 
     Secretary shall include in the report recommendations with 
     respect to whether additional Federal actions are necessary 
     to ensure the safe and secure delivery of cargo and to 
     prevent potential acts of terrorism involving such containers 
     and trailers.
       (k) Report and Plan Formats.--The Secretary and the 
     Inspector General of the department in which the Coast Guard 
     is operating may submit any plan or report required by this 
     section in both classified and redacted formats, if the 
     Secretary determines that it is appropriate or necessary.
       And the Senate agree to the same.
       That the House recede from its disagreement to the 
     amendment of the Senate to the title of the bill and agree to 
     the same with an amendment as follows:
       In lieu of the matter proposed to be inserted by the Senate 
     amendment to the title of the bill, insert the following: 
     ``An Act to authorize appropriations for the Coast Guard for 
     fiscal year 2005, to amend various laws administered by the 
     Coast Guard, and for other purposes.''.
       And the Senate agree to the same.

     From the Committee on Transportation and Infrastructure, for 
     consideration of the House bill and the Senate amendments, 
     and modifications committed to conference:
     Don Young,
     Howard Coble,
     John J. Duncan, Jr.,
     Pete Hoekstra,
     Frank LoBiondo,
     Rob Simmons,
     Mario Diaz-Balart,
     James L. Oberstar,
     Bob Filner,
     Timothy Bishop,
     Nick Lampson,
     For consideration of the House bill and Senate amendments, 
     and modifications committed to conference:
     Chris Cox,
     Bennie G. Thompson,
                                Managers on the Part of the House.

     John McCain,
     Ted Stevens,
     Trent Lott,
     Kay Bailey Hutchison,
     Olympia Snowe,
     Fritz Hollings,
     Daniel K. Inouye,
     John Breaux,
     Ron Wyden,
     From the Committee on Environment and Public Works:
     Jim Inhofe,
     Jim Jeffords,
                               Managers on the Part of the Senate.

       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

       The managers on the part of the House and the Senate at the 
     conference on the disagreeing votes of the two Houses on the 
     amendments of the Senate to the bill (H.R 2443), to authorize 
     appropriations for the Coast Guard for fiscal year 2004, to 
     amend various laws administered by the Coast Guard, and for 
     other purposes, submit the following joint statement to the 
     House and the Senate in explanation of the effect of the 
     action agreed upon by the managers and recommended in the 
     accompanying conference report:
       The Senate amendment to the text of the bill struck all of 
     the House bill after the enacting clause and inserted a 
     substitute text.
       The House recedes from its disagreement to the amendment of 
     the Senate with an amendment that is a substitute for the 
     House bill and the Senate amendment. The differences between 
     the House bill, the Senate amendment, and the substitute 
     agreed to in conference are noted below, except for clerical 
     corrections, conforming changes made necessary by agreements 
     reached by the conferees, and minor drafting and clarifying 
     changes.
     Section 1. Short Title.
       Section 1 of the House bill states that the Act may be 
     referred to as the ``Coast Guard and Maritime Transportation 
     Act of 2003.''
       Section 1 of the Senate amendment states the Act may be 
     cited as the ``Coast Guard Authorization Act of 2004.''
       The Conference substitute adopts the House bill with an 
     amendment.
       Section 1 of the conference agreement states the Act may be 
     cited as the ``Coast Guard and Maritime Transportation Act of 
     2004.''


                         TITLE I--AUTHORIZATION

     Section 101. Authorization of Appropriations
       Section 101 of the House bill authorizes funds for the 
     Coast Guard in fiscal year 2004.
       Section 101 of the Senate amendment is similar to the House 
     provision except that the Senate provision authorizes funds 
     for fiscal years 2004 and 2005 and contains different 
     authorization levels than those that are included in the 
     House bill.
       The Conference substitute authorizes the following amounts 
     for fiscal year 2005:
Operating Expenses.......................................$5,404,000,000
Research, Development Testing and Evaluation.................24,200,000
Retired Pay...............................................1,085,000,000
Environmental Compliance And Restoration.....................17,000,000
Alterations to Bridges.......................................19,650,000
Acquisition, Construction And Improvement.................1,500,000,000
Rescue 21...................................................161,000,000
Integrated Deepwater System...............................1,100,000,000
Coast Guard Reserve.........................................117,000,000

       The conference included $5,404,300,000 for the Coast 
     Guard's operating expenses. This represents an increase of 
     fourteen percent over FY 2004 levels. This includes over $300 
     million in authorizations for port security over the FY 2005 
     budget request, including an additional $40 million for 
     expedited implementation of the Automatic Identification 
     Systems requirements. It also includes over $100 million to 
     cover the increases in operating tempo that the Coast Guard 
     has experienced over the past few years, so that the 
     traditional core missions of the Coast Guard, such as search 
     and rescue of mariners in distress and protection of our 
     living marine resources, are not compromised.
       Currently, the only Coast Guard HITRON squadron is based in 
     Jacksonville, Florida. Since the program's inception in 1999, 
     HITRON helicopters have successfully interdicted cocaine that 
     had a value of more than $4 billion. The Interagency 
     Assessment of Cocaine Movement estimated that 544 Metric Tons 
     of Cocaine departed South America for the United States in 
     2002. Of this total, 46% (250 Metric Tons) was estimated to 
     flow through the Eastern Pacific. The Conferees believes that 
     leasing additional squadron of HITRON helicopters and 
     deploying these helicopters to the West Coast will help stem 
     the flow of cocaine and other illegal shipments into the West 
     Coast of the United States and provide RT-MSST anti-terrorist 
     protection. Therefore the conferees recommend that the Coast 
     Guard establish a West Coast HITRON squadron. The 
     authorization levels provided in H.R. 2443 provide sufficient 
     funds in the operating expense account to lease these 
     additional assets.
       The conferees authorize a significant increase for 
     Acquisition, Construction and Improvements over the 
     Administration request, and the Fiscal Year 2004 appropriated 
     level. The conferees recommend that an amount of this 
     increase go toward reducing the current $54,000,000 Fiscal 
     Year 2005 unfunded shore facilities requirements list.
     Section 102. Authorized Levels of Military Strength and 
         Training
       Section 102 of the House bill authorizes a Coast Guard end-
     of-year strength of 45,500 active duty military personnel for 
     Fiscal Year 2004. This level includes the increases proposed 
     by the Administration. At the end of Fiscal Year 2003, 37,000 
     active duty personnel were serving in the Coast Guard. This 
     section also authorizes average military training student 
     loads for Fiscal Year 2004 as follows:

        Training                                          Student years
Recruit/Special...................................................2,500
Flight..............................................................125
Professional........................................................350
Officer Acquisition...............................................1,200

       Section 102 of the Senate amendment is identical to the 
     House bill.
       The conference substitute adopts the House provision, as 
     amended to include 2005 levels.


                    TITLE II--COAST GUARD MANAGEMENT

     Section 201. Long-Term Leases
       Section 201 of the House bill allows the Commandant to 
     enter into leases of up to 20 years for Coast Guard property 
     with (1) the Coast Guard Academy Alumni Association to 
     construct an Alumni visitor facility at the Coast Guard 
     Academy; and (2) non-Federal entities to carry out 
     cooperative agreements under Section 4 (e) of the Ports and 
     Waterways Safety Act. Current law limits such leases to no 
     more than five years.
       Paragraph (3) of Section 302 of the Senate amendment is 
     similar to the House provision, but would allow 20-year 
     leases between the Coast Guard and non-Federal entities.
       The conference substitute adopts the House provision.
     Section 202. Nonappropriated Fund Instrumentalities
       Section 202 of the House bill provides authority for Coast 
     Guard exchanges and morale, welfare, and recreation systems 
     (MWR) to enter into contracts or other agreements with 
     another department, agency, or instrumentality of the Coast 
     Guard or another Federal agency to provide goods and services 
     beneficial to the efficient management and operation of the 
     exchange and MWR systems.

[[Page 16316]]

       Section 209 of the Senate amendment is similar to the House 
     provision.
       The conference substitute adopts the House provision.
       This section provides Coast Guard Exchanges parity with 
     Department of Defense non-appropriated fund instrumentalities 
     (10 U.S.C. 2482a).
     Section 203. Term of Enlistments
       Section 203 of the House bill authorizes the Commandant of 
     the Coast Guard to accept original enlistments for other than 
     full years, and reenlistments for any term of years and 
     months from two years to six years.
       Section 207 of the Senate amendment is similar to the House 
     provision.
       The conference substitute adopts the Senate amendment.
       This will make Coast Guard enlistments consistent with 
     Department of Defense enlistments. The Coast Guard will gain 
     greater billet alignment between commands and assignments 
     during transfer seasons, and greater flexibility in 
     maintaining force readiness.
     Section 204. Enlisted Member Critical Skill Training Bonus
       Section 204 of the House bill authorizes the Coast Guard to 
     offer an incentive bonus to encourage enlisted members to 
     enter certain critical skill specialties.
       Section 201 of the Senate amendment is similar to the House 
     provision.
       The conference substitute adopts the House provision.
       The Coast Guard currently has authority to offer enlistment 
     bonuses (37 U.S.C. 309) and retention bonuses (37 U.S.C. 
     323), but does not have authority to offer a bonus to a 
     member who voluntarily enters a specialty school to gain 
     training in a critical skill. This proposal authorizes such a 
     bonus to enlisted members who complete training in a skill 
     designated as critical, provided at least four years of 
     obligated active service remain on the member's enlistment at 
     the time the training is completed. The Coast Guard has 
     shortages of enlisted members on active duty in certain 
     critical skills, such as Electricians Mate, Electronics 
     Technician, Food Service Specialist, Machinery Technician, 
     Storekeeper, and Telecommunications Specialist. Most of these 
     skills result in assignments to ships, where being a junior 
     enlisted Coast Guardsman is often very difficult due to 
     working conditions and time spent at sea. Therefore, the 
     Coast Guard has difficulty in encouraging junior enlisted 
     personnel to seek out these specialties. The authority to 
     provide an incentive bonus to enlisted members will assist in 
     curtailing the shortages in certain critical skills.
     Sec. 205 Indemnity for Disabling Vessels Liable to Seizure or 
         Examination
       Section 205 of the House bill eliminates the requirement to 
     fire a warning shot as a condition precedent to 
     indemnification under 14 U.S.C. 637, when use of a warning 
     shot is not practical.
       Section 312 of the Senate amendment is similar to the House 
     bill and includes a report mandating the submission of 
     information regarding the location, circumstances and 
     consequences surrounding the use of any disabling firing.
       The conference substitution adopts the House provision 
     amended by the addition of the report included in the Senate 
     amendment.
       Under 14 U.S.C. 89, the Coast Guard is authorized to board, 
     examine, and search vessels to detect violations of U.S. law. 
     It may use ``all necessary force to compel compliance'', 
     including the use of disabling fire to stop a vessel that 
     refuses to comply with a lawful order to stop. 14 U.S.C. 637 
     indemnifies government personnel operating from Coast Guard 
     vessels or aircraft and Naval vessels with Coast Guard 
     members assigned from damages resulting from the use of 
     disabling fire. Under current law the indemnity applies only 
     if a warning shot is given prior to the use of disabling 
     fire. In some instances, it may be dangerous or impracticable 
     to fire warning shots. Warning shots are generally fired 
     near, but not at, a non-compliant vessel, so they may pose a 
     risk to others if used in congested waters or near shore. 
     Disabling fire is specifically targeted at a particular 
     vessel so it does not present a risk to others.
     Section 206. Administrative, Collection, and Enforcement 
         Costs for Certain Fees and Charges
       Section 206 of the House bill amends section 664 of title 
     14 to better coordinate the statutory provisions governing 
     fees and charges currently levied by the Coast Guard for 
     services furnished under subtitle H of title 46 and under 
     title 14, United States Code.
       The Senate amendment does not contain a comparable 
     provision.
       The conference substitute adopts the House provision.
       Under current law, there are three statutes pursuant to 
     which the Coast Guard collects user fees for its services. 
     The Independent Offices Appropriations Act of 1951, 31 U.S.C. 
     9701, applies general user fee authority to the entire 
     Federal Government, including the Coast Guard. Also, under 46 
     U.S.C. 2110, the Secretary is required to establish user fees 
     for services provided under subtitle 11 of title 46, United 
     States Code (primarily marine safety activities, e.g., 
     inspection of certain vessels; licensing, certification, and 
     documentation of personnel, etc.). Finally, section 664 of 
     title 14, United States Code, provides authority for the 
     Coast Guard to establish user fees for goods and services it 
     provides. This proposal does not establish a new user fee or 
     seek to authorize the collection of any amounts in excess of 
     the full (direct and indirect) costs of providing a given 
     service for which the fee is being charged.
       Currently, the Secretary is authorized to recover 
     appropriate collection and enforcement costs associated with 
     delinquent payments of the fees and charges associated with 
     services provided under subtitle II of title 46, but not 
     under section 664 of title 14. This section will make 
     parallel the provisions applicable to title 46 and title 14 
     user fees collection. This section authorizes the Secretary 
     to recover appropriate collection and enforcement costs 
     associated with delinquent payments of fees and charges 
     authorized under title 14, and allows other Federal, State, 
     local, or private entities to collect such a fee or charge. 
     These authorities already exist for title 46 fees and 
     charges.
       Finally, this section amends title 14, to define what 
     constitutes the costs of collecting a fee or charge, so that 
     it explicitly includes reasonable administrative, personnel, 
     contract, equipment, supply, training, and travel expenses 
     related to administration, management, and oversight of user 
     fees authorized by law. Importantly, this will include the 
     compilation and analysis of cost and user data. In recent 
     years, both Congress and the Executive Branch have sought to 
     obtain such data from Federal agencies on a recurring basis.
     Section 207. Expansion of Coast Guard Housing Authorities
       Section 207 of the House bill provides the Coast Guard with 
     the same direct loan authority for the acquisition and 
     construction of housing currently available to the Department 
     of Defense, allows the Commandant to make differential lease 
     payments, if necessary, to encourage private construction of 
     Coast Guard housing, and allows for multiple demonstration 
     projects to be conducted at any Coast Guard installation in 
     Alaska.
       Section 203 of the Senate amendment is similar to the House 
     provisions except that it does not include language that 
     would grant the Secretary of the department in which the 
     Coast Guard is operating to enter into limited partnerships 
     with eligible entities, establish additional demonstration 
     projects in Alaska, or the ability to make differential lease 
     payments.
       The conference substitute adopts the House provision.
       In 1996, Congress enacted a broad set of authorities for 
     the Department of Defense to use in its Military Housing 
     Privatization Initiative. The existing Coast Guard housing 
     authorities are more limited. Section 687(g) of title 14 
     authorizes a demonstration project in Kodiak, Alaska to 
     acquire or construct military family or unaccompanied housing 
     through contracts with Alaska-based small business concerns 
     qualified under the Small Business Administration's section 
     8(a) program. Section 207 allows for more than one 
     demonstration project, and allows the projects to be 
     conducted at any Coast Guard installation in Alaska.
     Section 208. Requirement for Constructive Credit
       Section 208 of the House bill reduces the amount of 
     mandatory constructive credit granted to a Reserve Law 
     Specialist upon designation or assignment to one year from 
     the current level of three years. This section will allow the 
     Coast Guard to consider the officer's education and 
     experience, potential career opportunities, and service needs 
     to determine appropriate credit.
       Section 208 of the Senate amendment is substantively the 
     same as the House provision.
       The Conference substitute adopts the Senate amendment.
     Section 209. Maximum Ages for Retention in an Active Status
       Section 209 of the House bill changes the mandatory age at 
     which a Reserve officer is transferred to the Retired Reserve 
     from sixty-two years of age to sixty years of age and would 
     change the mandatory age at which a Reserve officer (other 
     than those eligible for retirement or a Reserve rear admiral 
     or rear admiral (lower half)) shall be discharged from sixty-
     two years of age to sixty years of age. It aligns Coast Guard 
     Reserve officers' maximum retention age with that of other 
     armed services Reserve officers, and also codifies the 
     longstanding Coast Guard policy to remove Reserve officers 
     from active status at age sixty.
       Section 206 of the Senate amendment is substantively the 
     same as the House provision.
       The Conference substitute adopts the House provision.
     Section 210. Travel Card Management
       Sec. 210 of the House bill authorizes the Coast Guard to 
     use pay offsets to recover delinquent amounts owed by 
     military members and civilian employees who hold Federal 
     contractor-issued travel charge cards.
       Sec. 210 of the Senate amendment is a substantively similar 
     provision.

[[Page 16317]]

       The Conference substitute adopts the Senate amendment.
       This section would authorize the Coast Guard to disburse 
     travel reimbursement directly to the issuer of a contractor-
     issued travel charge card and would allow the Coast Guard to 
     withhold pay from Coast Guard personnel who have delinquent 
     travel charge cards accounts. This provision is similar to 
     authority granted to the Department of Defense in 1999.
     Section 211. Coast Guard Fellows and Detailees
       Sec. 211 of the House Bill provides statutory authority for 
     a Coast Guard Congressional Fellowship Program, adopts the 
     restrictions contained in the House Ethics Manual and 
     prohibits all Coast Guard Fellows from engaging in duties 
     that will result in any direct or indirect benefit to the 
     Coast Guard, other than broadening the fellow's knowledge.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute requires the Coast Guard, in 
     consultation with the Attorney General, to report on its 
     existing standards with regards to Congressional detailees 
     and compare those standards to other Federal agency detailees 
     and to make any recommendations, if necessary, to ensure 
     against conflicts of interest and issues of separation of 
     powers.
     Section 212. Long-Term Lease of Special Use Real Property
       Section 212 of the House bill allows the Coast Guard to 
     enter into a lease of up to 20 years for a new facility 
     constructed by Muskegon County that meets criteria 
     established by the Commandant.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that 
     authorizes the Secretary to enter into long-term leases for 
     up to 20 years for special use real property for the purposes 
     of carrying out Coast Guard aviation, maritime and navigation 
     missions other than general purpose office and storage space.
       Currently, the Coast Guard's general leasing authority is 
     limited to the current fiscal year. This proposal would 
     provide the Coast Guard with the authority to lease special 
     use real property, including unimproved or vacant land, for 
     terms not to exceed 20 years. This 20-year limitation is 
     consistent with the Coast Guard's current authority to lease 
     real property for navigation and consistent with the Coast 
     Guard's current authority to lease real property for 
     navigation and communications systems sites. The Coast Guard 
     would use this expanded leasing authority to acquire 
     leasehold interests in non-Federally-owned lands in those 
     instances when the landowner is unwilling or unable (e.g. in 
     the case of a municipality limited by state law or local 
     ordinance) to convey the property's title to the United 
     States. Such leasehold interests would be acquired for direct 
     support of Coast Guard missions, such as sites for small boat 
     stations, air search and rescue stations, or helicopter 
     landing pads. Opportunities for the Coast Guard to enter into 
     long-term leases have arisen at a variety of facilities over 
     the past several years, such as Muskegon County, Michigan, 
     which has been discussing the possible lease of a facility 
     constructed by the County at Muskegon County Airport as an 
     air search and rescue station; station buildings in Carquinez 
     and Morro Bay, California; a pier and cutter support team 
     building in Cordova, Alaska; and other facilities throughout 
     the country.
       The Conferees expect the Coast Guard to use this new 
     authority judiciously and in the best interest of the United 
     States. Additionally, the Conferees direct the Coast Guard to 
     report to the Committee on Commerce, Science, and 
     Transportation of the Senate and the Committee on 
     Transportation and Infrastructure of the House of 
     Representatives 30 days prior to entering into any long-term 
     lease utilizing this authority detailing the circumstances of 
     the lease and the Coast Guard's requirements leading to this 
     lease.
     Section 213. National Coast Guard Museum
       Section 213 of the House bill allows the Coast Guard to 
     establish a National Coast Guard Museum to be located in New 
     London, Connecticut. The House provision also prohibits the 
     spending of Federal funds for planning, engineering, design, 
     construction, operation or maintenance of the Museum, and 
     mandates the submission of an operation and maintenance plan 
     to Congress before the Museum is established.
       Section 409 of the Senate amendment allows for the 
     establishment of a National Coast Guard Museum to be located 
     in New London, Connecticut or a location of comparable 
     historic connection to the Coast Guard. The Senate provision 
     contains no prohibition of Federal funds for Museum 
     construction and activities and mandates the submission of an 
     operation and maintenance plan to Congress before the Museum 
     is established.
       The Conference substitute adopts a provision that 
     authorizes the Commandant of the Coast Guard to establish a 
     National Coast Guard Museum to be located in New London, 
     Connecticut at, or in close proximity to, the Coast Guard 
     Academy. The provision restricts the Coast Guard from 
     expending federally appropriated funds for engineering, 
     design or construction costs. The provision also requires 
     that the Museum be supported with nonappropriated, nonfederal 
     funds to the greatest extent possible, and establishes the 
     preservation and protection of historic artifacts as the 
     priority use for Federal funds. Before the establishment of 
     any museum under this section, the Commandant is required to 
     submit to Congress a plan for constructing, operating and 
     maintaining such a museum. Such plan is to include a 
     discussion of any shortfall of funds for engineering, design 
     or construction. The provision prohibits the Commandant from 
     establishing a national Coast Guard museum other than under 
     this section.
       The Conferees do not consider the conduct of academic 
     programs relating to the curriculum of the Coast Guard 
     Academy, the Coast Guard leadership Program or other Coast 
     Guard programs that utilize the collections, artifacts and 
     facilities of the Museum to be operation and maintenance 
     activities of the Museum. Therefore, such programs are not 
     subject to the limitation on operation and maintenance 
     funding.
     Section 214. Limitation on Number of Commissioned Officers
       Section 214 of the House bill provides a temporary increase 
     in the authorized cap on Coast Guard officers to 6,700 for 
     fiscal year 2004.
       Section 202 of the Senate amendment would permanently 
     increase the authorized cap on Coast Guard officers to 7,100 
     and authorizes an increase in the percentage of Commanders 
     and Lieutenant Commanders to 15 and 22 percent, respectively.
       The Conference substitute adopts a provision that will 
     temporarily increase the authorized cap on Coast Guard 
     officers to 6,700 officers for the fiscal years 2004, 2005 
     and 2006 and authorizes an increase in the percentage of 
     Commanders and Lieutenant Commanders to 15 and 22 percent, 
     respectively.
       Currently, the overall number of officers cannot exceed 
     6,200. Increased homeland security requirements, however, are 
     expected to drive up the officer needs of the Coast Guard by 
     17 percent. With a current officer corps of approximately 
     5,600 officers, an additional 900 officers for homeland 
     security missions will require a change to the officer 
     ceiling in section 42 of title 14, United States Code. The 
     Coast Guard budget proposes to convert 78 billets from 
     military to civilian positions in each of fiscal years 2003 
     and 2004. Conferees urge the Coast Guard to accelerate the 
     conversion of those jobs that are not required for military 
     purposes to civilian positions. This conversion will provide 
     for increased continuity in positions and decrease the need 
     for additional officer billets in the future.
       This section will meet the short-term needs of the Coast 
     Guard in addressing changes necessitated by increased 
     responsibilities related to homeland security missions. The 
     Coast Guard has assured the Conferees that the Service does 
     not intend to increase the officer Corps beyond the 
     authorized level before the end of Fiscal Year 2006.
     Section 215. Redistricting Notification Requirement
       Section 215 of the House bill requires the Commandant to 
     notify the Committee at least 180 days before implementing a 
     plan to change the boundaries of Coast Guard districts, or 
     before shifting more than 10 percent of the personnel or 
     equipment from the station where they are based.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision 
     amended by adding the Committee on Commerce, Science, and 
     Transportation of the Senate as a committee to be notified 
     before such redistricting action occurs and by amending the 
     language to define an action requiring notification under 
     this section as a permanent transfer of a percentage of 
     personnel or equipment away from a District Office to which 
     they were previously assigned.
       The conferees understand the Department of Homeland 
     Security is undertaking efforts to comply with Section 706 of 
     the Homeland Security Act and create a plan for the 
     consolidation and co-location of agency regional offices. The 
     conferees remain concerned of the impact this will have on 
     the Cost Guard's mission-based district organization.
       The conferees note that Coast Guard districts are currently 
     organized to take into account the interrelated nature of 
     specific riverine, estuarine, and other marine systems. The 
     districts are arranged to address predominate missions and 
     threats which confront specific marine systems. In addition, 
     the service has built an extensive system of secure 
     communications at these offices from which they control the 
     wide range of Coast Guard operations. Arbitrarily dividing up 
     the current district structure to comport with the 
     conveniences of other Department of Homeland Security 
     agencies could severely undermine the Coast Guard's mission 
     effectiveness.
     Section 216. Report on Shock Mitigation Standards
       Section 217 of the House bill requires the Secretary to 
     establish shock mitigation standards for boat decking 
     material on Coast Guard vessels.
       The Senate amendment does not contain a comparable 
     provision.

[[Page 16318]]

       The Conference substitute adopts a provision which requires 
     the Commandant of the Coast Guard to report to the Committee 
     on Transportation and Infrastructure of the House of 
     Representatives and the Committee on Commerce, Science, and 
     Transportation of the Senate on the necessity of and possible 
     standards for decking material in order to mitigate adverse 
     effects of shock and vibration of Coast Guard vessels on crew 
     members.
     Section 217. Recommendations to Congress by Commandant of the 
         Coast Guard
       Section 219 of the House bill authorizes the Commandant of 
     the Coast Guard to make recommendations to the Congress 
     without the direction and guidance of the Administration.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision.
     Section 218. Coast Guard Education Loan Repayment Program
       Section 221 of the House Bill allows the Secretary to repay 
     certain loans incurred by active enlisted members of the 
     Coast Guard for purposes of higher education.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision.
       This section would allow the Secretary to repay a portion 
     of certain higher education loans incurred by active enlisted 
     members of the Coast Guard. The amount of repayment is 
     limited to 33\1/3\% of the loan or $1,500 per year of service 
     by the enlisted member.
     Section 219. Contingent Expenses
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that increases 
     the funding level authorized for Coast Guard contingent 
     expenses to an amount of $50,000 per fiscal year.
       These funds are used by the Service for representational 
     and reception purposes. The current authorized level is 
     $7,500 and has not been increased since being established in 
     1949.
     Section 220. Reserve Admirals
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that clarifies 
     language that outlines the maximum term of service in active 
     status for reserve rear admirals of the Coast Guard to ensure 
     that reserve officers may serve a full four-year term at that 
     position.
     Section 221. Confidential Investigative Expenses
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that increases 
     the funding level authorized for Coast Guard confidential 
     investigative expenses to an amount of $45,000 per fiscal 
     year.
       The current authorized amount is $15,000 and has not been 
     increased since being established in 1974.
     Section 222. Innovative Construction Alternatives
       The House bill does not contain a comparable provision.
       Section 407 of the Senate amendment authorizes the 
     Commandant of the Coast Guard to consult with the Office of 
     Naval Research and other Federal agencies with research and 
     development programs that may provide innovative construction 
     alternatives for the Integrated Deepwater System.
       The Conference substitute adopts the Senate provision.
     Section 223. Delegation of Port Security Authority
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that 
     authorizes the President to delegate the authority to issue 
     rules and regulations under 50 U.S.C. 191 to the Secretary of 
     the department in which the Coast Guard is operating. 50 
     U.S.C. 191 allows for the emergency regulation of vessels in 
     time of national emergency.
     Section 224. Fisheries Enforcement Plans and Reporting
       The House bill does not contain a comparable provision.
       Section 321 of the Senate amendment would require the Coast 
     Guard and National Oceanic and Atmospheric Administration to 
     improve their consultations with each other and with State 
     and local authorities in setting priorities for and 
     coordinating the enforcement of fisheries laws and 
     regulations.
       The Conference substitute adopts the Senate provision, as 
     amended.
     Section 225. Use of Coast Guard and Military Child 
         Development Centers
       The House bill does not contain a comparable provision.
       Section 211 of the Senate amendment would allow the 
     Secretary of Defense and the Secretary of the department in 
     which the Coast Guard is operating to agree to provide day 
     care services without requiring reimbursement. It also would 
     provide children of Coast Guard members the same access as 
     children of DOD members to DOD child care facilities.
       The Conference substitute adopts the Senate provision as 
     amended, to require mutual reimbursement for use of each 
     other's centers.
     Section 226. Property Owned by Auxiliary Units and Dedicated 
         Solely for Auxiliary Use
       The House bill does not contain a comparable provision.
       Section 204 of the Senate amendment allows for the 
     treatment of real and personal property owned by a unit of 
     the Coast Guard Auxiliary to be considered as Federal 
     property for purposes of liability.
       The Conference substitute adopts the Senate provision with 
     an amendment.
       This section would state that real and personal property 
     owned by a unit of the Coast Guard Auxiliary shall be 
     considered Federal property for liability purposes at all 
     times unless the property is being used outside the scope of 
     the Auxiliary mission. This section also allows the Secretary 
     of the department in which the Coast Guard is operating to 
     reimburse the Auxiliary for operation, maintenance, repair, 
     or replacement of Auxiliary property when it is being used 
     exclusively for Auxiliary business.


                         title iii--navigation

     Section 301. Marking of Underwater Wrecks
       Section 301 of the House bill gives the Commandant of the 
     Coast Guard discretion in the manner in which a sunken vessel 
     is to be marked for purposes of navigation.
       Section 301 of the Senate amendment is a similar provision.
       The Conference substitute adopts the Senate amendment that 
     grants the Commandant of the Coast Guard discretion to permit 
     a sunken wreck to be marked without using a lighted buoy if 
     the Commandant determines that placing a light would be 
     impractical and granting such a waiver would not create an 
     undue hazard to navigation.
       Under current law, the owner or operator of a vessel 
     wrecked and sunk in a navigable channel must immediately mark 
     it with a ``buoy or beacon during the day and a lighted 
     lantern at night'', and maintain the marker until the wreck 
     is removed. In navigable channels on the Western Rivers, use 
     of a lighted aid to mark a wreck is generally not practicable 
     due to the fast current and floating debris common in those 
     rivers. Lighted aids, which are larger and heavier than 
     unlighted markers, tend to submerge in the fast current, and 
     are pushed off station by the force of the current on debris 
     snagged by the aid. It is largely for this reason that of the 
     over 10,000 buoys positioned by the Coast Guard to mark 
     navigable channels on the Western Rivers, only 12 are 
     seasonal lighted buoys, and those are limited to pooled 
     waters behind dams where current is not a factor. Mariners 
     operating vessels on these rivers are accustomed to 
     navigating with unlighted buoys. Due to the failure of 
     owners/operators to mark their wrecked vessels, the Coast 
     Guard currently performs much of this type of marking. The 
     Coast Guard generally uses unlighted buoys for this purpose.
     Section 302. Use of Electronic Devices; Cooperative 
         Agreements
       Section 302 of the House bill amends the Ports and 
     Waterways Safety Act (33 U.S.C. 1223) (PWSA) to authorize the 
     Secretary to prohibit the use on the bridge of vessels of 
     certain electric and electronic devices that interfere with 
     communications or navigation equipment. This section also 
     amends the PWSA to authorize the Commandant to enter into 
     cooperative agreements with non-Federal entities to carry out 
     Ports and Waterways Safety Act vessel operating requirements, 
     including vessel traffic services.
       Section 302 of the Senate amendment would authorize the 
     Secretary to prohibit the use of certain electronic devices 
     that could interfere with shipboard navigation or 
     communications systems. It also would authorize the Secretary 
     to enter into partnerships and cooperative ventures with non-
     Federal entities to carry out Ports and Waterways Safety Act 
     vessel operating requirements, including vessel traffic 
     services, and would allow longer-term, 20-year leases between 
     the Coast Guard and such partners. The Senate provision also 
     exempts from the prohibition electronic or other devices that 
     use a certain portion of the spectrum currently owned by a 
     private entity.
       The Conference substitute adopts the House provision with a 
     slight clarification that the use of electronic or other 
     devices that interfere with a vessel's communication or 
     navigation equipment is prohibited aboard vessels, but 
     restricts the Secretary from using this authority with 
     respect to electronic or other devices certified to transmit 
     in the maritime services by the Federal Communications 
     Commission and used within the frequency bands 157.1875-
     157.4375 MHz and 161.7875-162.0375 MHz.
       With the increased reliance on Geographic Positioning 
     Systems (GPS), interference to GPS receivers could become a 
     significant problem, especially when GPS is integrated with 
     automatic heading control and dynamic

[[Page 16319]]

     positioning systems that control the navigation and movement 
     of the vessel. Interference has been known to cause GPS 
     systems to generate false positions. A slight position 
     ``error'' may cause enough of a heading change to run a ship 
     aground.
     Section 303. Inland Navigation Rules Promulgation Authority
       Section 303 of the House bill proposes to remove the Inland 
     Navigation Rules from 33 U.S.C. 2001 if the Secretary 
     promulgates Inland Navigation Rules through a regulatory 
     proceeding. The statutory rules remain in effect until such 
     regulations become effective.
       Section 314 of the Senate amendment contains a similar 
     provision.
       The Conference substitute adopts the House provision.
       This change allows for future changes to the Inland 
     Navigation Rules through the regulatory process without the 
     need for statutory changes.
     Section 304. Saint Lawrence Seaway
       The House bill contains no similar provision.
       The Senate bill contains no similar provision.
       The conference substitute maintains the role of the 
     Secretary of Transportation in carrying out the Ports and 
     Waterways Safety Act as it relates to the Saint Lawrence 
     Seaway.


                           title iv--shipping

     Section 401. Reports From Charterers
       Section 401 of the House bill gives the Secretary the 
     authority to require reports from vessel charterers to ensure 
     compliance with laws governing vessels engaged in coastwise 
     trade and fisheries. Under current law, the Secretary may 
     require reports from vessel owners and masters.
       Section 303 of the Senate amendment includes an identical 
     provision.
       The Conference substitute adopts the House provision.
     Section 402. Removal of Mandatory Revocation for Proved Drug 
         Convictions in Suspension and Revocation Cases
       Section 402 of the House bill would remove the automatic 
     requirement to suspend a merchant mariner's credentials in 
     every document suspension and revocation case involving a 
     drug conviction, thereby giving the Coast Guard 
     Administrative Law Judge additional discretion in appropriate 
     cases involving minor offenses.
       Section 306 of the Senate amendment contains an identical 
     provision under a different heading.
       The Conference substitute adopts the Senate provision.
       Under current law, a merchant mariner's credential (MMC) 
     must be revoked if the credential holder is convicted of 
     violating a State or Federal drug law, or found to use, or be 
     addicted to, a dangerous drug. However, if evidence of proof 
     of cure is provided, the credential 15 of a drug user or 
     addict need not be revoked. No option other than revocation 
     is provided for a drug offense conviction.
       In 1994, the Coast Guard began using Settlement Agreements 
     to resolve suspension and revocation cases without a hearing. 
     These have been particularly successful in cases involving 
     drug use where the Administrative Law Judge (ALJ) need not 
     revoke credentials if the holder provides satisfactory proof 
     of cure. The Coast Guard seeks the discretion to suspend a 
     mariner's credentials in dangerous drug law conviction cases. 
     Use of that discretion will allow the use of Settlement 
     Agreements to resolve cases involving minor drug convictions. 
     The Coast Guard believes that granting ALJ's discretion to 
     approve settlement agreements will improve the administration 
     of the MMC program by removing the requirement for a hearing 
     and revocation in every case involving a drug conviction. 
     This will allow minor cases to be settled quickly leaving 
     resources available to focus on more serious cases.
     Section 403. Records of Merchant Mariner Documents
       Section 403 of the House bill strikes the prohibition on 
     ``general or public inspection'' of merchant mariners' 
     documents (MMDs).
       Section 307 of the Senate amendment contains a 
     substantively similar provision.
       The Conference substitute adopts the Senate provision.
       Striking this prohibition will bring merchant mariners' 
     documents (MMDs) under the record protection and release 
     policies of the Privacy Act, 5 U.S.C. 552a, and Freedom of 
     Information Act (FOIA), 5 U.S.C. 552. Since no similar 
     prohibition exists for merchant mariners' licenses, or 
     certificates, this change provides equal treatment for all 
     merchant mariners' credentials. With this change, release of 
     information regarding all credentials will be governed by the 
     Privacy Act and FOIA.
       The prohibition against ``general or public inspection'' of 
     MMDs was enacted decades before the Privacy Act and FOIA. The 
     prohibition denies access to MMDs even to individuals with 
     legitimate reasons for accessing that information. Even a 
     request to verify a mariner's qualifications is refused by 
     the National Maritime Center (NMC). NMC cannot confirm to an 
     employer that a mariner is documented. The prohibition 
     prevents family members and historians seeking information 
     about deceased mariners, even upon presentation of a valid 
     death certificate, from receiving information.
     Section 404. Exemption of Unmanned Barges From Certain 
         Citizenship Requirements
       Section 404 of the House bill exempts unmanned barges from 
     the requirement that all documented vessels be under the 
     command of a citizen of the United States unless those 
     vessels are engaged in a coastwise voyage.
       Section 308 of the Senate amendment is a similar provision.
       The Conference substitute adopts the Senate provision.
       When an unmanned U.S. barge is in service with a tug or 
     other vessel not under the operational control of a U.S. 
     citizen, the current requirement places an administrative 
     burden on the barge operator that results in no practical 
     benefit.
       To comply with the U.S. citizen-in-command requirement, a 
     U.S. citizen deckhand is sometimes designated as the ``barge 
     master'' on the towing vessel, so that the unmanned barge 
     will be ``under the command of'' a U.S. citizen. This 
     solution is an artificial one that lends no real value, since 
     the ``barge master'' is not in command as a practical matter, 
     having no control over the tug. Rather, it is the master of 
     the tug who has control of both the tug and the barge, and 
     makes the decisions concerning navigation, crew hiring and 
     firing, discipline, and compliance with laws and regulations. 
     Designating a U.S. citizen ``barge master'' on board the tug 
     does not confer decision making authority on that citizen, 
     but it could burden that person with the consequences of the 
     tug operator's actions.
       Under current law, an unmanned barge not under command of a 
     U.S. citizen is subject to seizure and forfeiture. Strict 
     enforcement of this requirement would effectively prohibit 
     owners of U.S. documented barges from bareboat chartering 
     their vessels to foreign interests. To comply with existing 
     law, a U.S. citizen would have to be aboard any foreign tug 
     that tows a bareboat chartered U.S. barge and be designated 
     as in command of that barge. Lighter Aboard Ship (LASH) 
     barges discharged in foreign ports cannot comply with this 
     requirement unless the vessel carrying the LASH barges also 
     carries at least one U.S. citizen who would leave the LASH 
     carrier to accompany the barges when discharged.
     Section 405. Compliance With International Safety Management 
         Code
       Section 405 of the House bill requires foreign flag vessels 
     departing and returning to the same U.S. port, or returning 
     to another port under the jurisdiction of the United States, 
     to comply with the International Safety Management (ISM) Code 
     when any part of the voyage occurs on the high seas.
       Section 316 of the Senate amendment contains a similar 
     provision.
       The Conference substitute adopts the House provision.
       This section would require foreign flagged vessels on 
     ``voyages to nowhere'' to comply with the ISM Code. It would 
     amend section 3201 of title 46 to require foreign flagged 
     vessels departing and returning to the same U.S. port, or 
     returning to another port under the jurisdiction of the U.S., 
     to comply with the ISM Code when any part of the voyage 
     occurs on the high seas.
     Section 406. Penalties
       Section 406 of the House bill increases the maximum civil 
     administrative penalty for violations of Federal recreational 
     boat safety regulations from $2,000 to a maximum of $5,000, 
     and increases the maximum for a related series of violations 
     from $100,000 to $250,000. Current law applies these 
     penalties for wrongful manufacture or sale. This section also 
     applies the penalties to wrongful labeling and failure to 
     notify of a recall.
       Section 310 of the Senate amendment follows the House 
     provision in increasing civil penalties. The Senate provision 
     also adds a criminal penalty provision for knowing and 
     willful violations of section 4307(a).
       The Conference substitute adopts the civil penalties 
     provision and establishes criminal penalties for willful and 
     knowing violation of section 4310 (f). Section 4310 (f) 
     allows the Secretary to require a recall of a recreational 
     vessel or associated equipment.
     Section 407. Revision of Temporary Suspension Criteria in 
         Document Suspension and Revocation Cases
       Section 407 of the House bill corrects a drafting error, 
     and allows the Coast Guard to temporarily suspend or revoke a 
     merchant mariner's credentials (MMCs) if the mariner has been 
     convicted of certain National Driver Register Act (NDRA) 
     offenses.
       Section 304 of the Senate amendment contains a similar 
     provision.
       The Conference substitute largely adopts the Senate 
     provision and further describes conditions that would allow 
     the Secretary to temporarily suspend an MMC.
       Under current law, an MMC could only be suspended or 
     revoked for an NDRA conviction if the mariner was acting 
     under the authority of the credential when the NDRA violation 
     occurred. Since there are no reasonable scenarios under which 
     a mariner will commit a motor vehicle-related offense while 
     on board ship, this section restores the intent of the 
     provision to allow suspension

[[Page 16320]]

     or revocation after a conviction for operating a motor 
     vehicle while under the influence of, or impaired by, alcohol 
     or a controlled substance, or a traffic violation arising in 
     connection with a fatal traffic accident, reckless driving, 
     or racing on the highways.
       Current law allows for longer-term suspension or revocation 
     of the MMC as a result of an NDRA suspension after a 
     suspension and revocation hearing. The provision amended by 
     this section only deals with temporary suspensions or 
     revocations of no more than 45 days prior to a hearing. This 
     section also provides authority to temporarily suspend an MMC 
     if the holder threatens the security of a vessel or the port.
     Section 408. Revision of Bases for Document Suspension and 
         Revocation Cases
       Section 408 of the House bill allows the Coast Guard to 
     suspend or revoke a merchant mariner's credentials (MMC) if 
     the mariner commits an act of incompetence whether or not the 
     mariner is acting under the authority of the MMC at the time 
     the act occurs.
       Section 305 of the Senate amendment contains a similar 
     provision.
       The Conference substitute adopts the Senate provision, and 
     further defines circumstances under which the Secretary of 
     the department in which the Coast Guard is operating may 
     suspend or revoke merchant mariner's credentials.
       Under current law, the Coast Guard can only undertake 
     suspension and revocation proceedings if the mariner commits 
     an act of incompetence while acting under the authority of 
     the MMC. The section allows an MMC to be revoked whenever the 
     mariner commits an act of incompetence related to the 
     operation of a vessel. The section also adds security threat 
     as a basis for which the Secretary may suspend or revoke an 
     MMC.
     Section 409. Hours of Service on Towing Vessels
       Section 409 of the House bill grants the Secretary of the 
     department in which the Coast Guard is operating the 
     authority to prescribe maximum hours of service for 
     individuals engaged on a towing vessel that is required to 
     have a licensed operator under section 8904 of title 46, 
     United States Code. However, before prescribing those 
     regulations, the Secretary is required to conduct and report 
     to Congress on the results of a demonstration project 
     involving the implementation of Crew Endurance Management 
     Systems on these vessels.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision.
       In September 2001, a towing vessel struck a bridge at South 
     Padre Island, TX. The bridge collapsed, and 5 people died 
     when their cars or trucks went into the water. On May 26, 
     2002, a towing vessel struck the I-40 highway bridge over the 
     Arkansas River at Webber Falls, OK. The bridge collapsed, and 
     14 people died when their cars or trucks went into the 
     Arkansas River.
       As a result of these accidents, the Coast Guard and the 
     American Waterways Operators established a Joint Working 
     Group to examine the statistics of bridge allisions and 
     measures that could be taken to help prevent these types of 
     casualties. The study used a database of 2,692 bridge 
     allision cases between 1992-2001. One of the recommendations 
     of the working group's May, 2003 report is to ``require the 
     implementation of Crew Endurance Management Systems (CEMS) 
     throughout the towing industry as a means of improving 
     decision making fitness. In addition, on June 1, 1999, the 
     National Transportation Safety Board issued Recommendation M-
     99-1 to the Coast Guard that stated the Coast Guard should 
     ``Establish within 2 years scientifically based hours-of-
     service regulations that set limits on hours of service, 
     provide 19 predictable work and rest schedules, and consider 
     circadian rhythms and human sleep and rest requirements.''. 
     This section would give the Coast Guard the legal authority 
     to implement these recommendations.
       The Conferees expect that the Secretary will carefully 
     evaluate the results of the demonstration project prior to 
     determining the need to establish maximum hours of service 
     regulations as permitted under subsection (a). Prior to 
     promulgating any such regulations, the Conferees also expect 
     that the Secretary will evaluate the costs and benefits of 
     establishing maximum hours of service requirements on towing 
     vessels. This evaluation should include a review of Coast 
     Guard casualty data to determine whether there is statistical 
     evidence to support the need for new hours of service 
     regulations.
     Section 410. Electronic Charts
       Section 410 of the House bill requires shipboard automatic 
     identification systems to include electronic charts and 
     related display.
       Section 324 of the Senate amendment would require the Coast 
     Guard, in consultation with NOAA, to report on the costs of 
     completing Electronic Navigation Charts for the existing 
     suite of NOAA charts, the costs and benefits of requiring 
     electronic navigation systems on vessels, and a description 
     of international standards in this area.
       The conference substitute requires certain vessels to be 
     equipped with and be able to operate electronic charts.
       The section applies to self propelled commercial vessels of 
     at least 65 feet in length, vessels carrying more passengers 
     than an amount prescribed by the Secretary, a towing vessel 
     of more than 26 feet in length and 600 horsepower, and any 
     other vessel for which the Secretary decides that electronic 
     charts are necessary for the safe navigation of the vessel. 
     On September 22, 1993, at about 2:45 a.m. the towing vessel 
     Mauvilla and its barges became lost in the fog and struck and 
     displaced the Big Bayou Canot railroad bridge near Mobile, 
     Alabama. Later that night the Amtrak train, Sunset Limited, 
     derailed as it went over the bridge and fell into the water 
     killing 42 passengers and 5 crewmembers. The Conferees 
     believe that electronic charts tied to a Global Positioning 
     Satellite receiver will help prevent accidents such as this 
     in the future. The conferees recognize that vector electronic 
     charts may not be available for all of the navigable waters 
     of the United States. However, the Secretary may allow a 
     vessel operator to use raster electronic charts until vector 
     charts become available for those waters.
       This section also allows the Secretary to waive the 
     requirement for a vessel to be equipped with an electronic 
     chart system if the Secretary finds that an electronic chart 
     and related display is not necessary for the safe operation 
     of a vessel or class of vessels on the waters on which those 
     vessels operate. If the vessel is also required to have an 
     Automatic identification system (AIS) on board the vessel 
     under section 70114 of title 46, United States Code, the 
     Conferees believe that the Secretary should require the AIS 
     system information to be integrated with the electronic chart 
     display.
     Section 411. Prevention of Departure
       Section 411 of the House bill allows the Coast Guard to 
     conduct examinations to ensure that a passenger vessel 
     calling on a U.S. port complies with the International 
     Convention for the Safety of Life at Sea (SOLAS) so long as a 
     U.S. citizen passenger is aboard.
       Section 315 of the Senate amendment contains a similar 
     provision.
       The Conference substitute adopts the Senate provision with 
     a clarifying amendment.
       Current law authorizes the Secretary to prevent a foreign 
     passenger vessel from departing a U.S. port, with passengers 
     who are embarked at that port, if the Secretary finds that 
     the vessel does not comply with the standards stated in 
     (SOLAS). However, the statute does not provide a similar 
     authority to the Secretary regarding control of a foreign 
     passenger vessel that may have embarked passengers from a 
     nearby foreign port and is conducting a voyage to a U.S. 
     port. The result of this distinction is that a foreign vessel 
     embarking U.S. passengers from a neighboring country such as 
     Canada or a Caribbean country and calling on U.S. ports would 
     not be subject to the same detailed examination as a foreign 
     passenger vessel embarking passengers from a U.S. port 
     conducting a similar voyage. Without the ability to conduct 
     such an examination, it is difficult for the Coast Guard to 
     assure that such vessels are in compliance with SOLAS 
     regulations.
     Section 412. Service of Foreign Nationals for Maritime 
         Educational Purposes
       Section 412 of the House bill would allow foreign nationals 
     enrolled at the United States Merchant Marine Academy to 
     operate aboard a vessel as an unlicensed seaman for purposes 
     of fulfilling educational requirements for graduation from 
     the Academy.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision.
     Section 413. Classification Societies
       Section 413 of the House bill prohibits a classification 
     society from operating in interstate or foreign commerce 
     without the review of the society's activities and subsequent 
     approval of the Secretary of the department in which the 
     Coast Guard is operating. The section also outlines criteria 
     which must be met in the determination of the Secretary 
     before a society receives the Secretary's approval.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that prohibits 
     a classification society from reviewing or certifying the 
     construction, repair, or alteration of a vessel while in the 
     United States unless the society has applied for and received 
     approval from the Secretary of the department in which the 
     Coast Guard is operating or the society is a full member of 
     the International Association of Classification Societies. 
     The provision also outlines criteria which must be met in the 
     determination of the Secretary before a society receives the 
     Secretary's approval.
     Section 414. Drug Testing Reporting
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that requires 
     Federal agencies to submit results of positive drug tests and 
     verified test violations from civilian and certain uniformed 
     personnel employed aboard Federally-operated vessels to the 
     Coast Guard.
     Section 415. Inspection of Towing Vessels
       The House bill does not contain a comparable provision.

[[Page 16321]]

       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adds towing vessels, as defined 
     in section 2101 of title 46, United States Code, as a class 
     of vessels that are subject to safety inspections under 
     chapter 33 of that title. Section 3306 of title 46 details 
     the items that are to be regulated under the chapter to 
     secure the safety of individuals and property on board the 
     vessel. This includes design, construction, alteration and 
     repair of the superstructures, hulls, fittings, equipment 
     appliances, propulsion equipment, machinery, lifesaving 
     equipment, firefighting equipment, and vessel stores and 
     other supplies of a dangerous nature.
       The Coast Guard may prescribe different standards for 
     towing vessels than for other types of inspected vessels. 
     Similarly, the Coast Guard can prescribe different standards 
     for the various types of towing vessels based on size, 
     horsepower, type of operation, area of operation. For 
     example, the Coast Guard can prescribe different standards 
     with regard to propulsion machinery and hulls for a towing 
     vessel pushing barges down the Mississippi River than for 
     vessels that provide towing assistance for recreational 
     vessels.
       New section 3306(j) of title 46, United States Code, 
     authorizes the Secretary of the department in which the Coast 
     Guard is operating to establish by regulation a safety 
     management system appropriate for the characteristics, 
     methods of operation, and nature of service of towing 
     vessels. Safety management systems allow the Coast Guard to 
     oversee the maintenance and repair of vessel equipment and 
     ship systems subject to inspection through an approved safety 
     management plan that includes maintenance schedules and 
     system tests. The Coast Guard may enforce the plan through 
     audits of the vessel's logs and vessel operator's records 
     rather than having to directly oversee the repair or 
     maintenance work conducted on a particular piece of equipment 
     or ship system.
     Section 416. Potable Water
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that requires 
     vessels subject to inspection by the Coast Guard to have an 
     adequate supply of potable water for drinking and washing.
     Section 417. Transportation of Platform Jackets
       The House bill does not contain a comparable provision.
       Section 406 of the Senate amendment would make a technical 
     clarification to a provision under the MTSA that allows the 
     use of foreign launch barges in certain offshore 
     construction.
       The Conference substitute amends the thirteenth proviso 
     (pertaining to transportation by launch barge) to allow 
     previously non-qualified launch barges built before December 
     31, 2000 and has a launch capacity of at least 12,000 gross 
     tons to participate in the coastwise trade under certain 
     conditions.
     Section 418. Renewal of Advisory Groups
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision, which 
     reauthorizes several safety advisory committees through 
     September 30, 2010.


                  Title V--FEDERAL MARITIME COMMISSION

     Section 501. Authorization of Appropriations for Federal 
         Maritime Commission
       Section 501 of the House bill authorizes appropriations for 
     the Federal Maritime Commission for Fiscal Year 2004.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that 
     authorizes appropriations for the Federal Maritime Commission 
     for each of the Fiscal Years 2005 through 2008.
     Section 502. Report on Ocean Shipping Information Gathering 
         Efforts
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that requires 
     the Chairman of the Federal Maritime Commission to submit a 
     report to Congress regarding the sharing of ocean shipping 
     information with Federal, State, and local government 
     agencies to assist law enforcement and anti-terrorism 
     efforts.


                        Title VI--MISCELLANEOUS

     Section 601. Increase in Civil Penalties for Violations of 
         Certain Bridge Statutes
       Section 601 of the House bill increases the civil penalties 
     for bridge violations under the Rivers and Harbors 
     Appropriations Act of August 18, 1894; the Rivers and Harbors 
     Appropriations Act of March 3, 1899; the Bridge Act of 1906; 
     and the General Bridge Act of 1946 to a maximum of $25,000 
     per-day per-violation. This section phases in that increase 
     over 5 years.
       Section 309 of the Senate amendment also increases the 
     civil penalties for bridge violations to a maximum of $25,000 
     per-day, per-violation upon enactment of the Act.
       The Conference substitute adopts the House provision.
       Bridges constructed across the navigable waters of the 
     United States are considered obstructions to navigation and 
     must provide for the reasonable needs of navigation. Civil 
     penalties for 20 potential bridge statute violations range in 
     amounts from $220 to $1,100 per day and involve matters such 
     as failure to install and keep bridge lights and other 
     signals in working order; unreasonable delay in operating a 
     draw opening after signal; and failure to give timely notice 
     of construction or modification events affecting navigation. 
     Vessel owners and operators are also subject to penalties--
     for example, for signaling a drawbridge to open for a 
     nonstructural vessel appurtenance unessential to navigation 
     or easily lowered.
       The Coast Guard maintains that current civil penalties for 
     violations of bridge laws and regulations are insufficient to 
     effectively discourage violations. Current law sets the civil 
     penalty at a maximum $1,000 per-day per-violation with each 
     day a violation continued constituting a separate offense. 
     With the minor adjustments allowed under the Federal Civil 
     Monetary Penalty Inflation Adjustment Act of 1990, the 
     maximum civil penalty is now $1,100 per-day per violation.
     Section 602. Conveyance of Decommissioned Coast Guard Cutters
       Section 602 of the House bill directs the Commandant of the 
     Coast Guard to convey three decommissioned Coast Guard 
     vessels for historical display purposes to nonprofit 
     corporations in Port Huron, Michigan, Sherman Oaks, 
     California, and Duluth, Minnesota, respectively.
       Section 403 of the Senate amendment contains a similar 
     provision, but makes the transfer of the vessels 
     discretionary.
       The Conference substitute adopts the Senate provision.
       As a condition of conveyance, the recipients must agree 
     that the vessel (1) will be used for education and historical 
     display purposes; (2) must not be used for commercial 
     transportation; and (3) will be made available to the United 
     States Government if needed in time of war or national 
     emergency. The recipient must also agree to hold the 
     government harmless for claims arising from exposure to 
     hazardous materials.
     Section 603. Tonnage Measurement
       Section 603 of the House bill deems the motor vessel 
     Bluefin to be 488 gross tons and the motor vessel Coastal 
     Merchant to be 493 gross tons, as measured under regulations 
     prescribed under section 14502 of title 46, United States 
     Code, for purposes of applying the optional regulatory 
     measurement under section 14305 of title 46, United States 
     Code.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute authorizes the Secretary of the 
     department in which the Coast Guard to apply section 8104(o) 
     of title 46, United States Code, to the vessels M/V Bluefin 
     and M/V Coastal Merchant unless such application would 
     compromise safety.
     Section 604. Operation of Vessel ``Stad Amsterdam''
       Section 604 of the House bill authorizes the vessel Stad 
     Amsterdam to carry non-paying guests within U.S. waters and 
     between ports and places in the U.S. These are individuals 
     who are not directly and substantially connected with the 
     operation, navigation, ownership, or business of the vessel, 
     who are friends, guests, or employees of the owner of the 
     vessel, and who are not actual or prospective customers for 
     hire of the vessel.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision similar to the 
     House provision, but limits the authorization to 45 calendar 
     days per year and requires the Secretary to revoke the 
     authorization if the terms of the authorization are not 
     adhered to.
       This section does not authorize the vessel to carry 
     individuals for a fare or to be chartered on a for-hire basis 
     in the coastwise trade. In fact, this section prohibits Stad 
     Amsterdam from being ``used to carry individuals for a fare 
     or to be chartered on a for-hire basis in the coastwise 
     trade.'' This means that the owners may not solicit or accept 
     payment for the carriage of friends, guests, and employees in 
     U.S. domestic waters.
       Existing law requires that vessels carrying passengers for 
     hire in the coastwise trade be U.S. built, U.S. manned, U.S. 
     owned, and U.S. documented. Prior to 2002, the U.S. Customs 
     Service ruled that non-paying guests of the owner or operator 
     were not considered passengers. Therefore, vessels carrying 
     non-paying guests in U.S. coastal waters did not have to meet 
     domestic build, crew, ownership, and documentation 
     requirements. In June 2002, Customs ruled that individuals be 
     ``considered passengers unless they are directly and 
     substantially connected with the operation, navigation, 
     ownership, or business of the vessel.'' This section applies 
     the earlier Customs ruling to non-paying guests on the Stad 
     Amsterdam.
     Section 605. Great Lakes Regional National Maritime 
         Enhancement Institute
       Section 605 of the House bill authorizes $5 million to be 
     appropriated to the Secretary

[[Page 16322]]

     of Transportation in each of the Fiscal Years 2004 through 
     2008 to study cargo transportation on the Great Lakes.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that 
     authorizes the Secretary of Transportation to designate a 
     National Maritime Enhancement Institute in the Great Lakes 
     region. The provision also requires the Secretary to conduct 
     a study a number of issues related to marine cargo 
     transportation in the Great Lakes and to report the result on 
     this study to Congress. The study is to be completed within 
     two years of the enactment of the Act and $1.5 million is 
     authorized to be appropriated to the Secretary of 
     Transportation for each of fiscal years 2005 and 2006.
     Section 606. Koss Cove
       Section 607 of the House bill designates a cove lying off 
     the southern coast of Erlington Island in Alaska as ``Koss 
     Cove'', in honor of the late Able Bodied Seaman Eric Steiner 
     Koss. Seaman Koss served aboard the National Oceanic and 
     Atmospheric Administration vessel Rainier, and died in the 
     performance of a nautical charting mission in this cove.
       Section 404 of the Senate amendment contains a similar 
     provision.
       The Conference substitute adopts the House provision.
     Section 607. Miscellaneous Certificates of Inspection
       Section 608 of the House bill section provides coastwise 
     trade endorsements for two U.S.-flag, U.S. owned, and U.S. 
     built vessels, the Ocean Leader and the Revelation.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision with 
     an amendment that provides coastwise trade endorsements for 
     two additional vessels, the Miss Linda, and the Ragland.
     Section 608. Requirements for Coastwise Endorsement
       Section 609 of the House bill requires the Secretary of the 
     department in which the Coast Guard is operating to implement 
     final regulations to carry out section 12106(e) of title 46, 
     United States Code, regarding lease financing by foreign 
     entities of vessels intended to be used in the coastwise 
     trade.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute requires that foreign owners of 
     U.S.-built vessels engaged in the coastwise trade annually 
     certify that the owner is a financial institution without any 
     active interest in the operation of the vessel or any 
     affiliation with a parent company, subsidiary or other 
     affiliate that operates vessels for hire or has the ability 
     to directly or indirectly control or direct the use of any 
     vessel.
       The substitute exempts certain vessels that carry 
     predominantly proprietary cargo (defined as petroleum-derived 
     products) and vessels owned by one entity engaged in the 
     transportation and distribution of petroleum products in 
     Alaska from these requirements.
       The substitute allows vessels that had been procured by 
     lease financing under the Coast Guard's pre-February 4, 2004 
     policy to maintain their coastwise endorsements for the life 
     of the vessel. Replacement vessels for such vessels may 
     receive a coastwise endorsement if replacement is due to an 
     act of God or a marine casualty, or if a contract to build 
     such a replacement vessel is entered into prior to December, 
     31, 2004. Offshore supply vessels procured by lease financing 
     under the Coast Guard's pre-February 4, 2004 policy may 
     maintain their coastwise endorsement for 3 years after the 
     date of enactment of this Act.
     Section 609. Correction of References to National Driver 
         Register
       Section 614 of the House bill makes technical corrections 
     to the National Driver Register Act of 1982 (23 U.S.C. 401 
     note).
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision.
     Section 610. Wateree River
       Section 615 of the House bill designates a portion of the 
     Wateree River in the state of South Carolina stretching from 
     100 feet upstream of the railroad bridge located at 
     approximately mile marker 10.0 to a point 100 feet downstream 
     of the bridge to be non-navigable waters for purposes of 
     bridge administration.
       Section 405 of the Senate amendment contains a similar 
     provision.
       The Conference substitute adopts the House provision.
     Section 611. Merchant Mariners' Documents Demonstration 
         Program
       Section 616 of the House bill authorizes the Secretary of 
     the department in which the Coast Guard is operating to 
     establish a pilot program in the 17th Coast Guard District to 
     improve processing and procedures for issuing merchant 
     mariners' documents. The provision directs the Secretary to 
     consult with the Secretary of the Air Force so that any such 
     demonstration program will implement some of the measures 
     currently in place in the Air Force program.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute authorizes the Secretary to 
     establish a merchant mariner documents technology 
     demonstration program.
       In carrying out any pilot project under this section, the 
     Conferees expect the Secretary to give particular 
     consideration to the distances that must be traveled between 
     areas in which mariners work and processing offices. The 
     Conferees also expect the Secretary to consider the seasonal 
     nature of work done in those areas. Clearly the greatest 
     benefits to be derived from automated documents processing 
     would come in areas where the distance to and from work sites 
     is the greatest, and the duration of the work the shortest. 
     Any pilot project should demonstrate methods to improve 
     processing and procedures for issuing merchant mariners' 
     documents. The Conferees encourage the Secretary to consult 
     with the Secretary of the Air Force regarding the efficiency 
     and effectiveness of the content management technology and 
     information management tools that are currently used by the 
     Department of the Air Force in the Air Force Publishing 
     Directorate.
     Section 612. Conveyance
       Section 617 of the House bill conveys the light station 
     built on Sentinel Island, Alaska and the surrounding land to 
     the Gastineau Channel Historical Society of Juneau, Alaska. 
     Under terms of the conveyance all navigational aids on the 
     island and all property must be maintained in working 
     condition by the Society.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute directs the Secretary of the 
     department in which the Coast Guard is operating to convey 
     Sentinel Island to the entity that receives ownership of the 
     light station through the competitive process outlined by the 
     National Historic Lighthouse Preservation Act (16 U.S.C. 
     470w-7). The provision retains the terms of conveyance that 
     were included in the original House provision.
     Section 613. Bridge Administration
       Section 619 of the House bill repeals section 325 of Public 
     Law 97-369 (96 Stat. 1785) which prohibits approval of any 
     project or action which would interfere with the reasonable 
     needs of navigation on the Columbia Slough, Oregon.
       Section 408 of the Senate amendment is a substantively 
     similar provision which removes the prohibition of approval 
     of any such project by amending the statute rather than 
     repealing it.
       The Conference substitute adopts the Senate provision.
     Section 614. Sense of the Congress Regarding Carbon Monoxide 
         and Watercraft
       Section 620 of the House bill expresses the sense of the 
     Congress that the Coast Guard should continue to place a high 
     priority on addressing the safety risks posed to boaters by 
     elevated levels of carbon monoxide unique to watercraft, and 
     work with vessel and engine manufacturers, the American Boat 
     & Yacht Council, other Federal agencies, and the entire 
     boating community in order to determine the best ways to 
     minimize the number of carbon monoxide-related boating deaths 
     occurring each year.
       The Senate amendment does not contain a comparable 
     amendment.
       The Conference substitute adopts the House provision.
     Section 615. Mitigation of Penalty Due to Avoidance of a 
         Certain Condition
       Section 624 of the House bill deems for penalty mitigation 
     purposes a certain violation of Federal law owing to 
     avoidance of a specified hazardous condition involving power 
     lines across the Mississippi River at Chalmette, Louisiana, 
     to have been committed by reason of a safety concern.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that deems for 
     penalty mitigation purposes a certain violation of Federal 
     law owing to avoidance of a specified condition involving the 
     lack of vertical clearance due to water height on the 
     Mississippi River at Chalmette, Louisiana, to have been 
     committed by reason of a safety concern. The provision also 
     mitigates the penalty assessed for a violation incurred while 
     the vessel in question was repositioned to the Port of New 
     Orleans, Louisiana to an amount not more than $100 per 
     passenger.
     Section 616. Certain Vessels to be Tour Vessels
       Section 625 of the House bill deems the passenger vessel 
     Empress of the North as a tour vessel for purposes of certain 
     regulations with respect to vessel operations in Glacier Bay 
     National Park and Preserve, Alaska.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute allows for a vessel over 100 
     gross tons, but no larger than 300 gross tons, to be deemed a 
     tour vessel, solely for purposes of permit allocations, if it 
     meets certain criteria. Such vessels would only be eligible 
     for existing permits for operating in Glacier Bay, and only 
     if a vessel under 100 gross tons is not seeking the permit. 
     Up to three vessels that meet these criteria are eligible for 
     such permits, but only

[[Page 16323]]

     one such vessel can enter Glacier Bay on a given day. 
     Finally, the provision makes it clear that all other 
     regulations that apply to vessels of at least 100 gross tons 
     still apply to these vessels, including restrictions 
     pertaining to speed, route and closed waters.
     Section 617. Sense of Congress Regarding Timely Review and 
         Adjustment of Great Lakes Pilotage Fees
       Section 626 of the House bill expresses the sense of the 
     Congress that the CG Secretary should, on a timely basis, 
     review, and adjust the pilotage rates payable for services 
     performed by U.S. registered pilots on the Great Lakes.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision. The 
     conferees urge the Coast Guard to review and adjust (if 
     appropriate) these rates on an annual basis as provided in 
     the Coast Guard regulations.
     Section 618. Westlake Chemical Barge Documentation
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute authorizes U.S. built, U.S. 
     manned, U.S. owned barges to operate in the coastwise trade.
     Section 619. Correction to Definition
       The House bill does not contain a comparable provision.
       Section 311 of the Senate amendment makes a technical 
     correction to the reference to the Coast Guard in a list of 
     defined federal law enforcement agencies included in Pubic 
     Law 107-173.
       The Conference substitute adopts the Senate provision.
     Section 620. LORAN-C
       The House bill does not contain a comparable provision.
       Section 402 of the Senate amendment authorizes DOT to 
     transfer $25 million in FY 2004 from the FAA to the Coast 
     Guard for recapitalization of the LORAN-C radio navigation 
     system.
       The Conference substitute adopts the Senate provision, as 
     amended to provide an authorization for 2005.
     Section 621. Deepwater Report
       The House bill does not contain a comparable provision.
       Section 322 of the Senate amendment would require the CG to 
     provide a report on the performance of the prime contractor 
     under the first five-year term of the contract for the 
     Integrated Deepwater Program.
       The Conference substitute adopts the Senate provision, as 
     amended to require additional information to be included in 
     the report, such as any anticipated changes in the mix of 
     legacy and replacement assets over the life of the program, 
     and projected costs. As part of this report, the Conferees 
     understand that the Coast Guard will provide a revised 
     Integrated Deepwater Systems Program plan, including any 
     planned changes related to the replacement of legacy assets 
     with new assets and associated costs. The Conferees also 
     expect the report to discuss the Coast Guard's intentions 
     with respect to replacement of the engines on its HU-25 
     aircraft, and expect the Coast Guard to notify the Committee 
     on Commerce, Science and Transportation of the Senate and the 
     Committee on Transportation and Infrastructure of the House 
     at least 30 days prior to expending any funds to replace the 
     engines on its HU-25 aircraft, or develop plans to replace 
     such engines.
     Section 622. Judicial Review of National Transportation 
         Safety Board Final Orders
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute allows the Commandant of the 
     Coast Guard to seek a judicial review of an order of the 
     Board issued pursuant to a review of a Coast Guard action if 
     it will have an adverse impact on maritime safety or 
     security.
     Section 623. Interim Authority for Dry Bulk Cargo Residue 
         Disposal
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute extends the interim authority of 
     the Coast Guard to issue regulations regarding dry bulk cargo 
     residue through not later than September 30, 2008.
       The current program was developed with the input of a broad 
     range of stakeholders, including experts from the maritime 
     industry, government, and the scientific community. A recent 
     study for the Coast Guard has recommended that the current 
     policy be continued in part because that policy is specific, 
     limiting cargo sweepings to certain areas of the Great Lakes 
     while prohibiting discharges in environmentally sensitive 
     areas such as fish spawning areas. Most important, the 
     current program limits cargo sweepings to small amounts of 
     non-toxic, non hazardous materials. In administering the 
     program, the Coast Guard has considered and balanced the 
     needs of environmental protection and maritime commerce.
       On January 13, 2004 the Coast Guard announced its intention 
     to conduct an environmental assessment of the current policy 
     and then proceed to a permanent regulatory program. [69 Fed 
     Reg 1994] The substitute directs that the current policy 
     serve as the basis for an environmental assessment that will 
     begin within 90 days of enactment, authorizes any necessary 
     regulatory proceeding, and sets the foundation for the 
     establishment of a permanent system. It is expected that the 
     current program will be made permanent or replaced with an 
     alternative regime that appropriately balances the needs of 
     maritime commerce and environmental protection by no later 
     than September 30, 2008.
     Section 624. Small Passenger Vessel Safety
       The House bill does not contain a comparable provision.
       Section 323 of the Senate amendment would require the Coast 
     Guard to provide a report on compliance with small passenger 
     vessel regulations, including recommendations for 
     improvement.
       The Conference substitute adopts the Senate provision with 
     minor amendments.
     Section 625. Conveyance of Motor Lifeboat
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that allows 
     the Coast Guard to transfer a 44' motor lifeboat to the city 
     of Ludington, Michigan for historical purposes.
     Section 626. Study of Routing Measures
       The House bill does not contain a comparable provision.
       Section 325 of the Senate amendment would require the Coast 
     Guard to carry out studies of routing measures to reduce ship 
     strikes of North Atlantic Right Whales.
       The Conference substitute adopts a provision that is 
     similar to the Senate provision. It directs the Coast Guard 
     to cooperate with NOAA in carrying out analyses of routing 
     measures to reduce ship strikes of North Atlantic Right 
     Whales. The Coast Guard has an important role to play in such 
     analyses, due to its mandates and expertise with respect to 
     such studies. The bill requires that the Coast Guard provide 
     a report with its final analysis to Congress no later than 18 
     months following enactment of this Act.
     Section 627. Conveyance of Lighthouses
       The House bill does not contain a comparable provision.
       Section 401 of the Senate amendment would require the 
     Secretary of the Interior to monitor any already executed or 
     proposed lighthouse conveyance, and take any steps necessary 
     to protect the United States' reversionary interest.
       The Conference substitute adopts a similar provision to the 
     Senate provision, which was amended to make technical 
     changes.
     Section 628. Waiver
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute authorizes the Secretary to waive 
     the application of the definition of ``passenger'' for one of 
     two adult chaperones aboard vessels owned or chartered by the 
     Boy Scouts of America at its Florida National High Adventure 
     Sea base program provided that the Secretary determines that 
     such a waiver does not compromise safety.
     Section 629. Approval of Modular Accommodation Units for 
         Living Quarters
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute requires the Secretary of the 
     department in which the Coast Guard is operating to approve 
     for a period of five years modular accommodation units on 
     floating offshore facilities that had previously been 
     approved using incorrect criteria, provided that the use of 
     these units will not compromise safety.


    title VII--amendments relating to the oil pollution act of 1990

     Section 701. Vessel Response Plans
       Section 701 of the House bill would require any vessel over 
     400 gross tons that carries oil, including as bunkers, to 
     submit a pollution response plan.
       Section 317 of the Senate amendment is a similar provision.
       The Conference substitute adopts the House provision, as 
     amended to make technical changes.
     Section 702. Tank Level and Pressure Monitors
       Section 702 of the House bill would amend the Oil Pollution 
     Act of 1990 to make issuance of regulations concerning tank 
     level and pressure monitoring (TLPM) devices discretionary 
     vice mandatory.
       Section 318 of the Senate amendment is a similar provision, 
     which includes a report on alternative technologies.
       The Conference substitute adopts the Senate provision.
     Section 703. Liability and Cost Recovery
       Section 703 of the House bill clarifies the liability 
     waiver provisions for certain innocent parties. First, state 
     and local governments are not considered liable as owners or 
     operators if they acquired ownership of the

[[Page 16324]]

     property involuntarily and have not caused or contributed to 
     a discharge or a substantial threat of a discharge of oil. 
     Second, financial institutions are not owners or operators 
     either if they hold indicia of ownership primarily to protect 
     their security interest and do not participate in management 
     of the property, or if they did not participate in management 
     of the property prior to foreclosure and seek to divest the 
     property at the earliest practicable, commercially reasonable 
     time. Finally, subsequent innocent purchasers are not liable 
     if they acquired the property after the placement of the oil 
     on, in or at the real property, and either are a government 
     entity that acquired the property through the exercise of 
     eminent domain authority or through an involuntary transfer 
     or acquisition, acquired the property by inheritance or 
     bequest, or did not know or have reason to know about the oil 
     after having conducted all appropriate inquiries.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision as 
     amended to make technical changes.
       The purpose of this section is to provide to innocent 
     purchasers, municipalities and lenders the same protection 
     against liability from oil discharges under the Oil Pollution 
     Act of 1990 as are provided for such entities under the 
     Comprehensive Environmental Response, Compensation and 
     Liability Act of 1980, as amended. To the extent that 
     differences in the language exist, these are either technical 
     in nature or were necessary to fit with the terminology used 
     in the Oil Pollution Act.
     Section 704. Oil Spill Recovery Institute
       Section 704 of the House bill authorizes funding to the Oil 
     Spill Recovery Institute (currently authorized through 2012) 
     until one year after it is determined that oil and gas 
     exploration, development, and production in Alaska have 
     ceased.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute makes technical corrections to 
     the Oil Spill Recovery Institute's current authorization.
     Section 705. Alternatives
       Section 705 of the House bill would require within 1 year 
     of the date of enactment of this Act, the Secretary of the 
     department in which the Coast Guard is operating shall 
     establish and publish an environmental equivalency evaluation 
     index to assess outflow performance due to collisions and 
     groundings for double hull tank vessels and alternative hull 
     designs. The Secretary shall take into account the 
     recommendations in the NRC Marine Board report entitled 
     `Environmental Performance of Tanker Design in Collision and 
     Grounding' dated 2001.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference Substitute adopts the House provision.
     Section 706. Authority to Settle
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision which 
     authorizes the head of any department or agency responsible 
     for recovering amounts for which a person is liable under 
     this title may consider, compromise, and settle a claim for 
     such amounts from the Oil Spill Liability Trust Fund, if the 
     claim has not been referred to the Attorney General and does 
     not exceed $500,000.
     Section 707. Report on Implementation of the Oil Pollution 
         Act of 1990
       The House bill does not contain a comparable provision.
       Section 319 of the Senate amendment would require the Coast 
     Guard to provide a report to Congress with respect to a 
     number of recent issues arising from implementation of the 
     Oil Pollution Act (OPA) of 1990.
       The Conference Substitute adopts the Senate provision, as 
     amended to make technical changes.
     Section 708. Loans for Fishermen and Aquaculture Producers 
         Impacted by Oil Spills
       The House amendment does not contain a comparable 
     provision.
       Section 320 of the Senate amendment would allow the use of 
     the Oil Spill Liability Trust Fund to provide loans to 
     qualified fishermen and aquaculture producers who have been 
     impacted by an oil spill, until such time as adequate interim 
     payments are made under the Act, or in the event that no 
     interim payments are made.
       The Conference substitute adopts the Senate provision.


                               Title VIII

     Section 801. Enforcement
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adds a new section to Chapter 701 
     of title 46, United States Code, to provide express authority 
     to carry a firearm, to seize property, and to make an arrest 
     while at a maritime facility under guidelines to be approved 
     by the Secretary and the Attorney General. The provision 
     would also allow State and local law enforcement personnel to 
     make warrantless arrests for felony violations of duly 
     promulgated Coast Guard security zone regulations.
       The conferees understand the need to clarify the Coast 
     Guard's law enforcement authority while conducting onshore 
     port security operations and have authorized members of the 
     Coast Guard to make arrests and seize property while 
     conducting port security operations at facilities defined 
     under section 70101 of title 46. The conferees do not intend 
     this section to authorize members of the Coast Guard to use 
     this authority while in transit to or from such facilities. 
     The conferees fully expect that before this authority is 
     used, the Coast Guard will properly train all service members 
     who could use this authority in the execution of their 
     duties.
     Section 802. In Rem Liability for Civil Penalties
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference establishes in rem liability for any vessel 
     used to violate regulations issued under the authorization of 
     the Maritime Transportation Security Act in order to recover 
     financial penalties assessed following such violations, and 
     certain costs related to compliance with lawfully issued 
     orders. The substitute authorizes the Captain of the Port to 
     withhold clearance of any vessel if the owner or operators 
     are suspected to be subject to a financial penalty resulting 
     from violations of port security violations. The substitute 
     also allows clearance to be granted upon the filing of a 
     surety bond.
     Section 803. Maritime Information
       Section 618 of the House bill authorizes funds to the 
     Secretary of the department in which the Coast Guard is 
     operating to implement a system to collect, integrate, and 
     analyze information regarding vessels operating on or inbound 
     to U.S. waters and to implement a long range automatic vessel 
     tracking system for all vessels operating in U.S. waters.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute requires the Secretary to develop 
     a long-range vessel tracking system consistent with 
     international treaties, conventions, and agreements to which 
     the United States is a party, and allows the Secretary to 
     acquire vessel risk profiling data from the private sector. 
     It also requires the Secretary to develop a plan to improve 
     the collection, collaboration, 37 coordination, dissemination 
     and use of maritime information by Federal agencies. The 
     Secretary is required to submit this plan to Congressional 
     committees.
       In considering its recommendations under subsection (b), 
     the conferees encourage the Department to be aware of the 
     important role played by existing non-profit maritime 
     associations in the collection and dissemination of maritime 
     information and encourage the Department to work with 
     maritime exchanges to build upon and improve communications 
     with the private sector.
     Section 804. Maritime Security Transportation Grants
       Section 622 of the House bill transfers authority for the 
     port security grant program from the Secretary of 
     Transportation, acting through the Maritime Administration, 
     to the Secretary of the Department of Homeland Security, 
     acting through the Commandant of the Coast Guard. Section 627 
     of the House bill directs the Secretary of Transportation, in 
     making grants for implementation of security plans, to give 
     priority to otherwise eligible projects concerning 
     implementation of security plans with respect to public 
     transportation systems.
       The Senate amendment does not contain a comparable section.
       The Conference substitute adopts, in lieu of sections 622 
     and 627 of the House bill, a provision that directs the 
     Secretary to establish a grant program for implementation of 
     the Area Maritime Transportation Security Plans and Facility 
     Security Plans that will be reviewed by the Federal Maritime 
     Security Coordinator and the Maritime Administration prior to 
     a grant being awarded. In addition, the Secretary is required 
     to transmit a report and provide recommendations for the 
     grant process.
     Section 805. Security Assessments of Waters under the 
         Jurisdiction of the United States
       Section 623 of the House bill directs the Secretary of the 
     department in which the Coast Guard is operating to conduct a 
     vulnerability assessment of the navigable waters adjacent to 
     Indian Point Energy Center in Westchester County, New York 
     and to report on that assessment to specified congressional 
     committees.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute directs the Secretary to conduct 
     vulnerability assessments of waters adjacent to nuclear 
     facilities in the United States. The conferees do not intend 
     this section to require the Coast Guard to conduct 
     vulnerability assessments of nuclear facilities. The 
     conferees understand the Federal agencies with oversight of 
     such facilities are conducting such assessments.
     Section 806. Membership of Area Maritime Security Advisory 
         Committees
       Section 414 of the House bill requires Area Maritime 
     Security Advisory Committees to

[[Page 16325]]

     include members from the port industry, terminal operators, 
     port labor organizations, and other users of port areas.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts the House provision.
     Section 807. Joint Operations Center for Port Security
       The House bill does not contain a comparable provision.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute requires the Secretary to submit 
     a report to Congressional committees of jurisdiction 
     regarding the establishment of joint operational centers for 
     port security, and an estimate of the number, location and 
     costs of such centers that would be necessary to implement 
     port security measures outlined in the Marine Transportation 
     Security Act of 2002.
     Section 808. Investigations
       Section 606 of the House bill authorizes the Secretary of 
     Transportation to carry out an Agile Port and Intelligent 
     Border Security National Demonstration Project under 
     agreement with the Center for the Commercial Deployment of 
     Transportation Technologies.
       The Senate amendment does not contain a comparable 
     provision.
       The Conference substitute adopts a provision that directs 
     the Secretary of the department in which the Coast Guard is 
     operating to conduct certain investigations and pilot 
     projects to enhance the security at American ports. The 
     section authorizes an amount of $35 million for each of the 
     next four fiscal years to award grants and to fund programs 
     that would investigate or demonstrate methods of improving 
     port security. The provision also authorizes the Secretary to 
     establish National Port Security Centers at colleges and 
     universities to conduct these investigations and requires the 
     Secretary to submit to Congress a report annually to ensure 
     that funds authorized under this section are used to support 
     investigations and pilot programs outlined in this section. 
     In awarding grants and funding pilot programs, the Committee 
     encourages the Secretary to focus funding authorized to 
     implement this section on research and development of 
     technologies that maximize security while minimizing the 
     disruption of maritime transportation and commerce.
     Section 809. Vessel and Intermodal Security Reports
       Section 610 of the House bill requires the Secretary of the 
     department in which the Coast 39 Guard is operating to 
     provide Congress with a report that will provide a complete 
     breakdown of the number and types of cargo containers and 
     vessels that enter the United States each year, and the cost 
     incurred to conduct security inspections on those containers 
     and vessels.
       The Senate amendment does not contain a similar provision.
       The Conference substitute adopts the House provision with 
     an amendment that requires the Secretary and the Inspector 
     General of the department in which the Coast Guard is 
     operating to submit a number of reports, plans, evaluations, 
     and take actions regarding the security of marine intermodal 
     transportation, specifically the security of cargo 
     containers.

     From the Committee on Transportation and Infrastructure, for 
     consideration of the House bill and the Senate amendments, 
     and modifications committed to conference:
     Don Young,
     Howard Coble,
     John J. Duncan, Jr.,
     Pete Hoekstra,
     Frank L. Biondo,
     Rob Simmons,
     Mario Diaz-Balart,
     James L. Oberstar,
     Bob Filner,
     Timothy Bishop,
     Nick Lampson.
     For consideration of the House bill and Senate amendments, 
     and modifications committed to conference:
     Chris Cox,
     Bennie G. Thompson,
                                Managers on the Part of the House.

     John McCain,
     Ted Stevens,
     Trent Lott,
     Kay Bailey Hutchison,
     Olympia Snowe,
     Fritz Hollings,
     Daniel K. Inouye,
     John Breaux,
     Ron Wyden,
     Jim Inhofe,
     Jim Jeffords,
     Managers on the Part of the Senate.

                          ____________________