[Senate Report 106-396]
[From the U.S. Government Publishing Office]
Calendar No. 786
106th Congress Report
SENATE
2d Session 106-396
_______________________________________________________________________
UNITED STATES CRUISE VESSEL ACT
__________
R E P O R T
of the
COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
on
S. 1510
September 6, 2000.--Ordered to be printed
SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
one hundred sixth congress
second session
JOHN McCAIN, Arizona, Chairman
TED STEVENS, Alaska ERNEST F. HOLLINGS, South Carolina
CONRAD BURNS, Montana DANIEL K. INOUYE, Hawaii
SLADE GORTON, Washington JOHN D. ROCKEFELLER IV, West
TRENT LOTT, Mississippi Virginia
KAY BAILEY HUTCHISON, Texas JOHN F. KERRY, Massachusetts
OLYMPIA SNOWE, Maine JOHN B. BREAUX, Louisiana
JOHN ASHCROFT, Missouri RICHARD H. BRYAN, Nevada
BILL FRIST, Tennessee BYRON L. DORGAN, North Dakota
SPENCER ABRAHAM, Michigan RON WYDEN, Oregon
SAM BROWNBACK, Kansas MAX CLELAND, Georgia
Mark Buse, Staff Director
Ann H. Choiniere, General Counsel
Kevin D. Kayes, Democratic Staff Director
Moses Boyd, Democratic Chief Counsel
Gregg Elias, Democratic General Counsel
Calendar No. 786
106th Congress Report
SENATE
2d Session 106-396
======================================================================
UNITED STATES CRUISE VESSEL ACT
_______
September 6, 2000.--Ordered to be printed
_______
Mr. McCain, from the Committee on Commerce, Science, and
Transportation, submitted the following
R E P O R T
[To accompany S. 1510]
The Committee on Commerce, Science, and Transportation, to
which was referred the bill (S. 1510) to revise the laws of the
United States pertaining to United States cruise vessels, and
for other purposes, having considered the same, reports
favorably thereon with an amendment, in the nature of a
substitute, and recommends that the bill, as amended, do pass.
Purpose of the Bill
The bill provides American companies, American workers, and
American ports with increased opportunity to compete in the
United States cruise market. By doing so, it would ultimately
give consumers greater choice in domestic cruise destinations
and allow more Americans to visit our nation's port cities. The
bill allows U.S.-owned foreign-built cruise vessels to enter
the domestic market for a limited time if the operators agree
to build replacement vessels in the United States. This would
allow new companies to enter the domestic market with existing
vessels and immediately increase the size of the U.S.
commercial fleet, thus providing new jobs for merchant
mariners.
Further, by requiring operators to build new vessels in the
United States, the bill would create much needed work for U.S.
shipyards while creating a fleet of modern and efficient U.S.-
flagged cruise vessels.
Background and Needs
Subject to certain limited exceptions, the provisions of the
law known as the Passenger Vessel Services Act (PVSA) (section
8 of the Act of June 19, 1886) and section 12106 of title 46,
United States Code, provide that only those vessels built in
the United States and continuously owned by U.S. citizens and
documented in the U.S. may transport passengers in the
coastwise trade of the United States (between U.S. ports). The
law was enacted in a time when maritime transportation was a
significant mode of both domestic and international
transportation. The law was intended to prevent U.S.-based
companies from facing strong competition in the domestic market
from maritime nations such as Great Britain. The law did not
address vacation cruising as no market existed at that time.
The Passenger Vessel Services Act has not been interpreted to
restrict domestic port calls as long as the domestic port call
is part of a trip that includes foreign destinations and the
U.S. port calls are intermediary stops. This means that
foreign-flagged vessels are currently entitled to make as many
U.S. port calls as they choose, provided that it is part of an
international route and that passengers who embark at a U.S.
port do not permanently disembark at a different U.S. port.
Additionally, the U.S. Customs Service has interpreted the
Passenger Vessel Services Act to allow a foreign vessel to make
as many intermediary U.S. port calls as it chooses, and
disembark passengers at a different U.S. port, as long as the
vessel makes a port call at a distant foreign port such as
Aruba.
One of the exceptions to the PVSA is the Puerto Rico
Passenger Ship Act (Public Law 98-563) which allows vessels not
qualified to engage in the coastwise trade to carry passengers
between U.S. ports and Puerto Rico, and between Puerto Rico
ports, if no similar coastwise trade qualified vessels are
engaged in that trade. Under this exception, the unqualified
vessels must exit that trade 270 days after similar coastwise
trade qualified vessels enter that trade. This exemption,
however, has not been widely utilized.
Following World War II, the nature of maritime travel changed
significantly as both domestic and transoceanic flights became
more common and affordable. Air travel provided new competition
for passenger vessels. With dwindling passengers, some vessel
operators started to package cruising more as a vacation at sea
than a mode of travel. By the mid-1970's the last regularly
scheduled transoceanic passenger service had ceased.
Companies had to do something with now-empty ships. Cruises
to a few tropical ports slowly became popular. The first
passenger ship specifically built for warm-weather cruising was
introduced in 1970 by Carnival Cruise Lines. From there, the
industry grew rapidly and has boomed since the mid-1980's when
the first megaships were introduced to the market.
The cruise ship industry is largely a North American
phenomenon, and more than 80 percent of the approximately five
million passengers traveling are North Americans. The cruise
ship market has expanded slightly in the Mediterranean and very
slightly in the Far East. In Europe there are a large number of
smaller passenger vessel services operating in the domestic or
car ferry markets, but these vessels tend to provide
transportation rather than entertainment and tourism. In large
part, the majority of cruise vessels operate from one of three
cities: Miami departing for Caribbean, Mexican, and Central and
South American destinations; Los Angeles for West Coast Mexican
and Central American destinations; and Vancouver, British
Columbia, for seasonal Alaskan tours. However, recently there
has been increased usage of other U.S. ports as departure
points.
While there are numerous small- to medium-sized coastwise
trade qualified vessels carrying passengers between U.S. ports,
there is only one large coastwise trade qualified cruise ship
engaged in that trade. The U.S.S. Independence, a 46-year old
cruise ship, operates among the Hawaiian Islands. The U.S.S.
Independence will soon be replaced by a foreign-built vessel in
accordance with an initiative enacted as part of the Department
of Defense Appropriations Act for Fiscal Year 1998. Also as
part of this initiative, American Classic Voyages (ACV), which
owns and operate the Independence, has a contract for two new
large cruise vessels which will enter the Hawaiian market in
2003 and 2004.
With the exception of ACV's pilot project, growth in the
domestic cruise ship trade has been deterred due to the higher
costs of building and operating U.S.-flag cruise ships and
competition from modern, foreign-flag cruise ships engaged in
cruises to nowhere and international cruises. While many cruise
ship operators are headquartered in the United States because
of the size of the market, almost all cruise ship operators
have registered their ships under flag-of-convenience
registries such as Panama, Liberia, and the Bahamas. Operating
under a flag-of-convenience provides the cheapest maritime
operating structure. Ship operators are only required to pay
registration fees, and do not have to pay any U.S. or flag-
state taxes on income derived through operations.
Safety and labor standards on flag-of-convenience vessels are
dictated by International Maritime Organization (IMO) safety
standards that are agreed to by the flag state. Implementation
of those standards is routinely delegated to private companies
that provide inspections (commonly referred to as
classification societies). Labor relations are usually
privatized, and labor standards are dictated by International
Labor Organization (ILO) labor standards treaties that are
agreed to on an international basis.
For many years, numerous U.S. port, travel, tourism, and
business associations, and some vessel repair shipyards have
touted the economic benefits of U.S. port visits by modern
cruise ships. These groups have lobbied for changes in U.S. law
that would stimulate growth in the industry by allowing
foreign-flag cruise ships to enter the domestic market, provide
incentives to build and operate U.S. flag cruise ships, or
both. The provisions of the bill reflect the Committee's
interest in structuring a compromise which would stimulate the
domestic cruise market, while at the same time, ensure maximum
benefit for the U.S. maritime industry.
During consideration of S. 1510, members of the Committee
expressed concern regarding the possible impact of the measure
on cruise ship construction projects currently under
development. Therefore, the provisions of the bill are limited
in duration and restrict operation of foreign-built vessels in
the domestic market, as well as provide the strict requirement
for the Secretary of Transportation to ensure that the
operation of a foreign-built vessel does not harm the coastwise
business of any U.S.-built vessel operator. It is the view of
the Committee that the impact on these projects is minimal.
The Committee would expect the Secretary to act upon
submitted applications for reflagging a vessel under the bill
in a timely manner. The bill clearly restricts the ability of
an applicant to transfer applications and does not confer a
property right through the filing of applications. The bill
does not set a time for completing the application process or
receiving a certificate of documentation. The Committee expects
that applicants should have a reasonable period of time to
complete an application, given the complexity of such a task.
The Committee realizes if applications are allowed to linger
without action that the market would be subject to unrealistic
uncertainties. However, the Committee does want to ensure that
operators applying to the Secretary for permission to reflag a
vessel into the domestic market are afforded ample time to
complete negotiations on a foreign-built vessel and new U.S.-
built vessels.
Additional concern was expressed during consideration of the
bill that the market would be flooded by unqualified operators
who cannot meet the construction requirements contained in the
bill. The Committee addressed this concern by including
language requiring all operators to meet the same requirements
of an operator receiving a title XI maritime loan guarantee
under title XI of the Merchant Marine Act, 1936 (46 U.S.C. App.
1271 et seq.). The review of all applications required under
section 103(2)(a) of the bill would ensure that the market does
not become flooded to the point that operators of U.S.-built
vessels cannot compete, and would help ensure that parties
seeking to enter the domestic market have the requisite
expertise and financial strength to operate a U.S.-flagged
cruise line.
Legislative History
Three bills were introduced during the 105th Congress that
would have allowed foreign-flag vessels access to the domestic
trade, and one bill was introduced allowing foreign-built
vessels to be reflagged for use in the domestic trade under
certain conditions. The provisions of both bills were patterned
after the Puerto Rico exception. S. 668, a bill to increase
economic benefits to the United States from the activities of
cruise ships visiting Alaska, introduced by Senator Murkowski
on April 30, 1997, would have allowed foreign-flag cruise ships
of at least 5,000 gross tons displacement to transport
passengers between ports in Alaska and between Alaska and other
west coast U.S. ports until the Secretary of Transportation
determined that U.S.-flag cruise ship service was available.
S. 803, the United States Cruise Tourism Act of 1997,
introduced by Senator Thurmond (cosponsored by Senators
Murkowski, Chafee, and McCain) on May 23, 1997, would have
allowed foreign-flag cruise ships of at least 4,000 gross tons
displacement to transport passengers between ports in the U.S.
until the Secretary of Transportation determined that U.S.-flag
cruise ships were available. It would have further required
such cruise ships to be repaired in the U.S. and would have
allowed foreign-flag cruise ship alien crew members to extend
their permits to land in the U.S.
Senator Hutchison chaired a Surface Transportation and
Merchant Marine Subcommittee hearing on S. 668, S. 803, and the
domestic cruise ship trade, on October 21, 1997.
Representatives of the Cruising America Coalition and the U.S.
maritime industry provided testimony.
Additionally, Senator Breaux introduced S. 2290 on July 10,
1998. S. 2290 would have authorized the Secretary of
Transportation to allow foreign-built cruise ships into the
domestic trade if they are U.S.-flagged and replaced with U.S.-
built, U.S.-flagged cruise ships. S. 2290 would have also
prohibited competition between U.S.-built and foreign-built
U.S.-flag cruise ships on the same trade route; prohibited
foreign-built U.S.-flag cruise ships from operating between or
among the Hawaiian islands; allowed foreign-built U.S.-flag
cruise ships to meet international construction standards (in
lieu of U.S. standards); and allowed foreign-built, U.S.-flag
cruise ships to be transferred to a foreign registry without
approval by the Secretary of Transportation.
S. 2507, the United States Cruise Ship Tourism Act of 1998,
was introduced by Senators McCain, Thurmond, Hutchison and
Burns on September 22, 1998. The bill would have allowed
foreign-built vessels to be reflagged as U.S. vessels and
engage in domestic commerce, and permitted limited employment
of foreign-flag cruise ships in the domestic commerce. S. 2507
would have allowed foreign-built cruise ships, fewer than ten
years of age and at least 20,000 gross tons and with
accommodations for at least 800 passengers, to be reflagged as
U.S.-flag vessels to engage in foreign commerce. The bill would
have limited each company that utilized the provisions of the
bill to no more than three vessels, and would have waived
certain design and safety standards provided that a Coast
Guard-recognized classification society had approved the
vessel.
The bill also would have allowed the Secretary to approve
foreign-flag vessels to operate domestically, with certain
limitations:
(1) Repositioning voyages.--Foreign-flag vessels
could be employed in the coastwise or domestic trades,
two voyages a year, as long as the voyage did not
exceed two weeks and either started on one coast of the
United States and ended on the other, or started along
one coast of the United States during a voyage between
two countries; and
(2) Charter voyages.--The Secretary could approve
not more than thirty foreign-flag vessels a year which
could be chartered for thirty days, to a non-cruise
ship owning company, to be utilized in the domestic
commerce.
During the 106th Congress, S. 1510 was introduced by Senators
McCain, Hutchison, Feinstein, and Murkowski on August 5, 1999,
to allow foreign-built vessels to be reflagged as U.S. vessels
and engage in domestic commerce and to permit limited
employment of foreign-flag cruise ships in domestic commerce.
The bill as originally drafted would authorize the Secretary to
issue permits to foreign-built passenger cruise vessels to
operate domestic itineraries in the transportation of
passengers in the coastwise trade under foreign or U.S.-flag.
The Commerce Committee held a full committee hearing on
October 6, 1999. At the hearing, the committee heard from a
wide range of the maritime industry including representatives
of maritime labor, cruise operators and ports. Many raised
concerns about allowing foreign vessels into the domestic
market under different standards than current U.S. operators,
and potentially different rules of operation. As a result of
these expressed concerns, but mindful of the need to stimulate
the domestic cruise market, the committee adopted an amendment
in the nature of a substitute to help stimulate the U.S.
domestic cruise industry during a June 15, 2000 Commerce
Committee markup session. The Committee reported S. 1510
favorably on this date.
Summary of Major Provisions
The bill provides a two-year window of opportunity to
encourage the immediate reflagging of large cruise vessels
under the United States flag for operation in the domestic
cruise trades. The bill would allow the Secretary of
Transportation to issue permits for the limited operation of
foreign-built cruise vessels in the domestic trades if
applications are received within two years of the date of
enactment of this legislation.
To be eligible for reflagging and operation in the U.S.
domestic cruise trades, a cruise vessel must have been
delivered after January 1, 1980, is at least 20,000 gross
registered tons, have no fewer than 800 passenger berths,
provide a full range of overnight accommodations, dining, and
entertainment services, comply with the Safety of Life at Sea
requirements for a fixed smoke detection and sprinkler system
in the accommodation areas, and be constructed according to
internationally accepted construction standards. This will help
ensure that any foreign-flag vessels reflagged to take
advantage of the bill are modern and safe.
To be eligible to enter the domestic market, the vessel must
be owned by a citizen of the United States as defined in
section 2 of the Shipping Act, 1916 (46 U.S.C. App. 802) or
section 12106(e) of title 46, United States Code.
The bill would assist the U.S. ship repair industry and would
require foreign-built cruise vessels entering the domestic
market to have all repair, maintenance, alteration and other
work required for operation under the U.S. flag, as well as
regular repair and maintenance work, performed in a U.S.
shipyard.
Prior to allowing a foreign-built vessel to be reflagged and
utilized in the domestic market, the bill would require the
operator of a reflagged vessel to enter into a binding contract
with U.S. shipyards for the construction of at least one more
vessel than the total number of vessels they will operate in
the domestic cruise market. The contract must provide for a
total number of passenger berths equal to or greater than the
number operated in the domestic market by that operator.
Additionally, the replacement vessels must be at least 20,000
gross registered tons and have no fewer than 800 passenger
berths.
The bill would require the first replacement vessel be
delivered within five years of the date the foreign-built
vessel commences operation in the domestic trade and that each
additional vessel be delivered within two years of the
preceding vessel. Foreign-built vessels are required to leave
the domestic market two years after the replacement vessel or
vessels are delivered.
The bill would require the Secretary of Transportation to
ensure that the coastwise business of a U.S.-built vessel
operator is not harmed by the operation of a foreign-built
vessel in the domestic market. The Secretary, after reviewing
the proposed itineraries of foreign-built vessels in the
domestic market, as well as taking into consideration public
comments, is required to determine if there will be an adverse
impact on the operation of a U.S.-built vessel. The Secretary
is required to consider the scope of the vessel's itineraries,
the duration of the cruise, the size of the vessel and the
retail per diem of the vessel. If there is a conflict, the
operator of a foreign-built vessel must change the vessel's
itinerary in order to remove the conflict to the satisfaction
of the Secretary.
Estimated Costs
In accordance with paragraph 11(a) of rule XXVI of the
Standing Rules of the Senate and section 403 of the
Congressional Budget Act of 1974, the Committee provides the
following cost estimate, prepared by the Congressional Budget
Office:
U.S. Congress,
Congressional Budget Office,
Washington, DC, June 23, 2000.
Hon. John McCain,
Chairman, Committee on Commerce, Science, and Transportation, U.S.
Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for S. 1510, the United
States Cruise Vessel Act.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Deborah Reis.
Sincerely,
Barry B. Anderson
(For Dan L. Crippen, Director).
Enclosure.
S. 1510--United States Cruise Vessel Act
Under current law, cruise vessels that were not built in
the United States are not eligible to receive coastwise
endorsements, which allow ships to serve the domestic trade. S.
1510 would authorize the Secretary of Transportation to issue
certificates of documentation with temporary coastwise
endorsements for these cruise vessels under certain conditions.
In order to receive the temporary endorsements, cruise ship
operators would have to enter into contracts with U.S.
shipyards to construct new cruise vessels. The Secretary would
have to oversee an operator's choice of cruise routes to ensure
that operators of vessels built in the United States are not
adversely affected by the entry of foreign-built ships.
CBO estimates that implementing S. 1510 would have no
significant impact on federal budget because the costs of
issuing vessel documents and overseeing the cruise ship market
as required by the bill would be minimal. The bill would not
affect direct spending or receipts; therefore, pay-as-you-go
procedures would not apply.
The bill contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act and
would impose no costs on state, local, or tribal governments.
The CBO staff contact for this estimate is Deborah Reis.
This estimate was approved by Peter H. Fontaine, Deputy
Assistant Director for Budget Analysis.
Regulatory Impact Statement
In accordance with paragraph 11(b) of rule XXVI of the
Standing Rules of the Senate, the Committee provides the
following evaluation of the regulatory impact of the
legislation, as reported:
S. 1510 as reported makes no permanent change to existing
law. It would require businesses operating foreign-built
vessels in the domestic trade to file proposed itineraries with
the Secretary of Transportation. This is an annual reporting
requirement limited to the time the foreign-built vessel
operates in the domestic market and is necessary in order to
ensure that the foreign-built vessel does not have an adverse
impact on the coastwise business of a U.S.-built vessel
operator.
Additionally, the bill would require the Secretary to review
and monitor operations of foreign-built vessels within approved
itineraries for the duration of their U.S. domestic operations.
Because S. 1510 does not create any permanent programs, the
legislation would have no additional regulatory impact, and
would result in no additional reporting requirements. The
legislation would have no further effect on the number or types
of individuals and businesses regulated, the economic impact of
such regulation, the personal privacy of affected individuals,
or the paperwork required from such individuals and businesses.
Section-by-Section Analysis
Section 1. Short title
This section designates the act as the ``United States Cruise
Vessel Act''.
Section 2. Definitions
This section defines terms that may be unique to the bill as
well as terms defined elsewhere in law.
TITLE I--OPERATIONS UNDER A CERTIFICATE OF DOCUMENTATION
Section 101. Domestic cruise vessel
This section allows the Secretary of Transportation to accept
applications for the issuance of a certificate of documentation
with a temporary coastwise endorsement to foreign-built vessels
that are at least 20,000 gross registered tons with a minimum
of 800 passenger berths; that are owned by a person qualified
to operate a passenger vessel in the coastwise trade and; that
provide a full range of overnight accommodations,
entertainment, dining, and other services for their passengers.
The vessel would also have to meet the standards for smoke
detection and sprinkler system installation as required by the
1992 Amendments to the Safety of Life at Sea Conventions of
1974 and be classed by and designed in accordance with the
rules of the American Bureau of Shipping or another
classification society accepted by the Secretary as long as it
complies with applicable international agreements and
associated guidelines, as determined by the country in which
the vessel was documented immediately before becoming a
documented vessel.
The section would allow the Secretary to accept applications
for up to two years from the date of enactment and the right to
reflag a foreign-built vessel under an application may not be
transferred by the applicant to any other person.
Section 102. Repairs requirement
This section requires that all vessels documented under the
bill have all repair, maintenance, alteration and other work
required or necessary to the vessel's operation in the domestic
cruise trades performed in a United States shipyard.
Section 103. Construction requirement
This section requires any operator who is issued a
certificate of documentation with a temporary coastwise
endorsement under the bill to enter into a binding contract
with a U.S. shipyard for one more vessel than the total number
of vessels brought into the coastwise trade by that operator
prior to commencing operations. In order to meet this
requirement, the substitute amendment requires the operator and
the yard demonstrate to the Secretary of Transportation that
they have the abilities to both construct and operate the
vessel prior to commencing operations.
Further, it requires that the first vessel be delivered
within five years and each additional vessel within two years
of the preceding vessel. It allows for an extension of this
provision due to impossibility of performance. It requires that
the foreign-built vessels leave the coastwise trade within two
years of the delivery of the replacement vessel or vessels and
allows the operator to reflag the vessels without the approval
of the Secretary of Transportation.
Finally, it requires that replacement vessels be at least
20,000 gross registered tons with a minimum of 800 passenger
berths, are owned by a person qualified to operate a passenger
vessel in the coastwise trade, and has combined vessel berth
capacity equal to or greater than the vessel being replaced.
Section 104. Certain operations prohibited
The section prohibits any vessels entering the coastwise
trade under the bill from operating as a ferry or regularly
carrying for hire both passengers and vehicles or other cargo
and from operating between or among the islands of Hawaii.
Section 105. Priorities within domestic markets
The section requires that an operator of a vessel issued a
certificate of documentation under the Act, at the request of
the Secretary, submit proposed itineraries for review and
public comment. The Secretary shall, after consideration of all
comments, make a determination if the proposed itinerary would
adversely affect the operator of a U.S.-built vessel equal to
or greater in size. If a determination is made that a submitted
itinerary would adversely affect the operator of a U.S.-built
vessel, the Secretary will work to resolve conflicts before
publication of a final list of approved itineraries.
Further, the section allows for changes to the itineraries
approved by the Secretary, subject to public comment and review
by the Secretary. The Secretary would have to follow the same
standards set for approval of the original itinerary and would
have to ensure the change did not adversely affect the operator
of a U.S.-built vessel.
Section 106. Report
The section requires the Secretary of Transportation to issue
an annual report on the number of vessels operating under a
certificate of documentation granted under the bill and on the
progress of construction of replacement vessels.
Section 107. Enforcement
The section provides priority to operate in the domestic
market to cruise vessels built in the United States. Under this
section the operator of a cruise vessel built in the United
States would notify the Secretary of Transportation at least
two full calendar years before the vessel is scheduled to
commence domestic operations.
Following this notification, the Secretary is required to
have the operators of all foreign-built vessels operating under
this bill to submit, in April of each year, proposed
itineraries for the calendar year beginning 20 months after the
required submission for review and public comment.
After the review period, the Secretary is required to notify
the operator of a foreign-built cruise vessel of any
itineraries that are not available and attempt to work out any
disputes prior to publication of a final list of approved
itineraries.
For purposes of the review, the Secretary shall consider the
scope of the vessel's itinerary; the ports between which it
will operate; the duration of the cruise; the size of the
vessel; and the retail per diem of the vessel. In conducting
the review, if the Secretary determines that the submitted
itinerary of a foreign-built vessel will adversely affect the
coastwise business of a comparable U.S. cruise vessel in a
comparable market, the U.S.-built vessel shall be given
priority to operate.
TITLE II--OTHER PROVISIONS
Section 201. Application with Jones Act and other acts
The section states that nothing in the bill shall impact
current law relating to the transportation of cargo or
passengers in domestic commerce unless specified in the bill.
Specifically it states that nothing in the bill would affect
the Jones Act, P.L. 87-77, P.L. 98-563, section 27A of the
Merchant Marine Act, 1920, and section 8109 of the Department
of Defense Appropriations Act, 1998.
Section 202. Glacier Bay and other National Park Service area permits
The section requires that newly created or otherwise
available permits to enter Glacier Bay National Park or any
other area within the jurisdiction of the National Park Service
be issued to U.S.-flagged vessels carrying passengers for hire.
It does not require the creation of any new permits or impact
current permit holders.
Changes in Existing Law
In compliance with paragraph 12 of rule XXVI of the Standing
Rules of the Senate, the Committee states that the bill as
reported would make no change to existing law.