[Federal Register Volume 60, Number 23 (Friday, February 3, 1995)]
[Proposed Rules]
[Pages 6687-6689]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-2648]



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DEPARTMENT OF TRANSPORTATION

Coast Guard

46 CFR Chapter I

[CGD 95-007]


Alternate Compliance for Inspection and Certification of Certain 
U.S. Flag Commercial Vessels

AGENCY: Coast Guard, DOT.

ACTION: Notice; solicitation for participants; request for comments.

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SUMMARY: On January 12, 1995, the U.S. Coast Guard and the American 
Bureau of Shipping (ABS) signed a Memorandum of Understanding (MOU) 
concerning delegation of vessel inspections and examinations, tonnage 
measurement, and acceptance of plan review and approval. Under this 
MOU, the Coast Guard and the ABS will develop a program to provide 
owners and operators of certain ABS classed, Coast Guard inspected 
commercial vessels with an alternative to undergoing inspection by the 
Coast Guard under existing applicable Federal regulations. Owners and 
operators of certain ABS classed, Coast Guard inspected vessels are 
invited to participate in a pilot program designed to evaluate 
standards, processes, and procedures under development for use in the 
Alternate Compliance Program (ACP), and interested persons are invited 
to submit comments.

DATES: A pilot program will begin February 3, 1995. Applications for 
participation in the pilot program must be received not later than May 
4, 1995. Written comments should be submitted not later than August 2, 
1995.

ADDRESSES: Applications for participation in the pilot program must be 
submitted to Commandant (G-MVI-1), ATTN: ACP Pilot Program, U.S. Coast 
Guard, 2100 Second Street, S.W., Washington, DC 20593-0001. Written 
comments may be mailed to the Executive Secretary, Marine Safety 
Council (G-LRA), U.S. Coast Guard, 2100 Second Street S.W., Washington, 
DC 20593-0001, or may be delivered to room 3406 at the same address 
between 8 AM and 3 PM, Monday through Friday, except Federal holidays. 
Comments will become part of this docket and will be available for 
inspection or copying at room 3406, Coast Guard Headquarters, between 8 
AM and 3 PM, Monday through Friday, except Federal holidays. Copies of 
referenced materials are available for inspection and copying in room 
1400, U.S. Coast Guard, 2100 Second Street S.W., Washington, DC 20593-
0001, and may also be obtained from the American Bureau of Shipping, 
16855 Northchase Drive, Houston, TX 77060, or the International 
Maritime Organization, Publications Section, 4 Albert Embankment, 
London SE1 7SR, United Kingdom, telephone 44 (71) 735 7611, facsimile 
44 (71) 587 3210, as indicated.

FOR FURTHER INFORMATION CONTACT:
LCDR David L. Scott, Project Manager, Commandant (G-MV1-1), U.S. Coast 
Guard, 2100 Second Street, S.W., Washington, DC 20593-0001, telephone 
(202) 267-1464.

SUPPLEMENTARY INFORMATION: 

Background

    Under 46 U.S.C. 3316, the Secretary of Transportation may rely upon 
reports, documents, and certificates issued by ABS. The Secretary may 
also delegate authority to ABS to inspect or examine a vessel of the 
U.S. The same statute authorizes the Secretary to use ABS for reviewing 
and approving plans required for issuance of a certificate of 
inspection. These authorities have been delegated to the Coast Guard. 
The MOU signed on January 12, 1995, by the Coast Guard and the ABS 
further delegates these authorities to the ABS.
    Currently, the Coast Guard conducts vessel inspections and the ABS 
conducts vessel surveys. For U.S. flag, ABS classed, Coast Guard 
inspected [[Page 6688]] commercial vessels, these inspections and 
surveys are largely duplicative. The U.S. Coast Guard's ABS Based 
Alternate Compliance Program (ACP) is a cooperative effort between the 
Coast Guard and ABS. The goal of the ACP is to allow a vessel to be 
inspected by ABS under the applicable ABS class rules, international 
treaties and agreements to which the U.S. is a party, and other 
prescribed standards which have been determined by the Coast Guard to 
provide a level of safety equivalent to compliance with current 
regulations. Under current regulations, the Coast Guard may accept a 
wide range of equivalencies or alternative compliance methods on a 
case-by-case basis.
    The ABS, in cooperation with the Coast Guard, has reviewed the 
current regulations in 33 CFR Chapter I and 46 CFR Chapter I, the ABS 
Rules for Building and Classing Steel Vessels, and applicable 
international treaties and agreements such as the International 
Convention for the Safety of Life at Sea as amended (SOLAS 74/78), the 
1973 International Convention for the Prevention of Pollution from 
Ships, as modified by the Protocol of 1978 (MARPOL 73/78), and the 1969 
International Convention on Tonnage Measurement of Ships. Based on this 
review, the ABS developed the U.S. Supplement to the ABS Rules to 
address current regulatory requirements that are not satisfied by 
compliance with the other standards. The U.S. Supplement also contains 
amplifying information necessary to ensure compliance with SOLAR 74/78. 
The Coast Guard has determined that the U.S. Supplement to the ABS 
Rules, when used in conjunction with the ABS Rules for Building and 
Classing Steel Vessels, and applicable international treaties and 
agreements, provides a degree of safety consistent with the minimum 
standards set forth in the subchapters of Titles 33 and 46 of the Code 
of Federal Regulations relating to tankers and cargo vessels.
    Under the ACP pilot program, an ABS surveyor would examine the 
vessel to determine compliance with these alternative standards. A 
Coast Guard Officer in Charge of Marine Inspection (OCMI) may then 
issue a Certificate of Inspection to the vessel based upon a 
determination by the Coast Guard that the required international and 
classification certificates are valid and properly endorsed, other 
reports from the ABS, and that the vessel is properly manned and 
maintained by the operator.
    The purpose of the ACP is to increase the international 
competitiveness of the U.S. maritime industry by eliminating 
unnecessary regulations and duplication of the inspections conducted by 
the Coast Guard with surveys conducted by the ABS. The ACP also 
improves the regularity in the processing of requests for equivalency 
determinations. Owners and operators of vessels which participate in 
the ACP may realize substantial time savings in the vessel 
certification process, as well as increased flexibility in scheduling 
required tests and examinations. While the ACP is designed to 
eventually include inspection and examination of newly-constructed 
vessels, the pilot program is limited to existing vessels.
    Although broader application of this program will be accomplished 
through rulemaking, the Coast Guard has developed a Navigation and 
Vessel Inspection Circular (NVIC) which provides an overall description 
of the ACP, identifies the conditions for enrollment, and describes the 
duties and responsibilities of participating vessel owners and 
operators, ABS and the Coast Guard. Persons interested in obtaining a 
copy of this NVIC are invited to contact the Program Manager identified 
above in FOR FURTHER INFORMATION CONTACT.
    Copies of all referenced documents may be viewed at Room 1400, 
Coast Guard Headquarters, 2100 Second Street, S.W., Washington, DC 
20593-0001, between the hours of 8 AM and 3 PM Monday through Friday, 
except Federal holidays. Copies of the ABS Rules for Building and 
Classing Steel Vessels and the U.S. Supplement to the ABS Rules for 
Steel Vessels for Vessels on International Voyages may be obtained from 
ABS as listed under ADDRESSES above. Consolidated editions of the SOLAS 
Convention and MARPOL 73/78 may be obtained from the International 
Maritime Organization as listed under ADDRESSES above.

Pilot Program

    The Coast Guard intends to initiate rulemaking on this subject 
through publication of a notice of proposed rulemaking. Beginning 
February 3, 1995, it will conduct a limited pilot program to test and 
evaluate the standards and procedures that have been developed in 
cooperation with the ABS. The Coast Guard will also use the pilot 
program to check the application of these standards and procedures to 
existing tankers and cargo vessels. Therefore, during the pilot 
program, ABS surveyors will apply these standards during classification 
surveys, damage surveys, drydock examinations and other required tests 
and inspections for participating vessels. The cognizant Coast Guard 
OCMI may rely upon the ABS reports to issue a Certificate of 
Inspection. The Coast Guard will also provide oversight to ensure that 
vessels participating in this program maintain a level of safety 
equivalent to that experienced by vessels inspected under the 
traditional process. The high level of safety present on vessels of the 
U.S. merchant marine will not be compromised.
    Coast Guard user fees are the subject of a separate ongoing 
rulemaking. Participants in the pilot program may be responsible for 
payment for both Coast Guard user fees and costs of ABS services. 
Participants in the pilot program should not expect that any applicable 
user fees will be reduced. However, the Coast Guard will collect data 
on the level of Coast Guard resources utilized in the ACP and evaluate 
the need for future changes to applicable user fee regulations.

Eligibility

    The Coast Guard invites companies which own or operate U.S. flag, 
ABS classed, Coast Guard inspected commercial vessels to apply to 
participate in a pilot program beginning February 3, 1995. At present, 
only cargo ships and tank ships possessing valid international 
certificates are eligible to enter the pilot program because currently 
the U.S. Supplement to the ABS Rules is only applicable to cargo ships 
and tank ships surveyed for international voyages. In addition, ships 
offered for the pilot program must currently be classed by the ABS and 
have a valid Certificate of Inspection.
    A company may not participate in the pilot program if it has a 
history of recurring marine casualties, oil spills, civil penalties or 
a record of poor maintenance of its vessel or vessels.
    Due to resource limitations during the pilot program, the Coast 
Guard may, on a case by case basis, reject an application for vessels 
which will undergo inspection for certification in a foreign port. 
Additionally, due to limited resources, the Coast Guard will also 
consider scheduling and location of inspection services as criteria for 
participation.
    Selected participants should be prepared to provide feedback and 
suggestions for improvement of the program and to participate in other 
activities to help the Coast Guard and the ABS refine the ACP.
    Companies may apply to enroll in the pilot program by submitting a 
written request to the address listed in ADDRESSES above. Applications 
must indicate the name and official number of the vessel or vessels 
offered for enrollment, the expiration date of each 
[[Page 6689]] Certificate of Inspection, and identify a company 
representative as the point of contact.
    The Coast Guard also requests comments from interested persons on 
the pilot program and the standards and processes developed for use in 
the ACP. Written comments should be submitted as indicated under 
ADDRESSES above.

    Dated: January 30, 1995.
J.C. Card,
Rear Admiral, U.S. Coast Guard Chief, Office of Marine Safety, Security 
and Environmental Protection.
[FR Doc. 95-2648 Filed 2-2-95; 8:45 am]
BILLING CODE 4910-14-M