[Federal Register Volume 60, Number 27 (Thursday, February 9, 1995)]
[Notices]
[Pages 7813-7814]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-3302]



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DEPARTMENT OF TRANSPORTATION
Maritime Administration
[Docket S-917]


Notice of Application for Written Permission Pursuant to Section 
805(a) of the Merchant Marine Act, 1936, as amended; Waterman Steamship 
Corporation

    Central Gulf Lines, Inc. (Central Gulf), a U.S. corporate affiliate 
of Waterman Steamship Corporation (Waterman), by letter of January 26, 
1995, requests written permission pursuant to section 805(a) of the 
Merchant Marine Act, 1936, as amended (Act), and Waterman's Operating-
Differential Subsidy Agreement (ODSA), Contract MA/MSB-450, to operate 
the U.S.-flag S/S ENERGY INDEPENDENCE (Vessel), Official Number 657540, 
in the coastwise trade of the United States. Central Gulf states that 
it has agreed to purchase the Vessel from New England Power Company 
(New England Power) and, in turn, own and operate the Vessel beginning 
on or about May 1, 1995 under time charter to New England Power for a 
term of fifteen years.
    New England Power, which is headquartered in Westborough, 
Massachusetts, generates and transmits electricity to consumers in the 
New England area, including Vermont, New Hampshire, Rhode Island and 
Massachusetts. In addition, it regularly purchases coal for 
transportation by ship from east coast ports of the United States to 
its harbor side facilities located in Massachusetts.
    According to Central Gulf, the Vessel will transport New England 
Power's proprietary cargo in the coastwise trade from points along the 
east coast of the United States to Brayton Point, Massachusetts or 
Salem, Massachusetts. At other times during the fifteen years, the 
Vessel may carry cargo in the coastwise trade of the United States for 
account of other clients of Central Gulf as yet undetermined. Central 
Gulf states that it may also operate the Vessel in the foreign trade 
from time to time for yet undetermined charterers.
    The Vessel is a 38,234 long tons total deadweight capacity self-
unloading bulk carrier with a coal and/or oil-fired steam turbine main 
engine and an inclined lift conveyor system. It was built by General 
Dynamics Corporation in Quincy, Massachusetts in 1983 and has been 
documented under the laws of the United States since that time. Central 
Gulf maintains that as a U.S. built, U.S. flag, U.S. owned and U.S. 
citizen-crewed vessel, the Vessel is coastwise-qualified within the 
meaning of section 27 of the Merchant Marine Act, 1920 (46 U.S.C. App. 
883), popularly known as the Jones Act. It is also uniquely capable of 
transporting New England Power's cargo requirements, Central Gulf adds.
    Central Gulf emphasizes that it will continue to function as a 
discrete corporate entity having entirely separate financial records 
and accounts, and that the operating and accounting activities of 
Central Gulf are, and will continue to be, entirely separate from the 
operating and accounting activities of Waterman.
    Central Gulf believes that its instant application clearly warrants 
MARAD approval and section 805(a) permission should be granted until 
the expiration date of Waterman's ODS contract, which expires on 
December 31, 1996.
    The application may be inspected in the Office of the Secretary, 
Maritime Administration. Any person, firm or [[Page 7814]] corporation 
having any interest (within the meaning of section 805(a)) in 
Waterman's request and desiring to submit comments concerning the 
request must by 5:00 PM on February 22, 1995, file written comments in 
triplicate with the Secretary, Maritime Administration, together with 
petition for leave to intervene. The petition shall state clearly and 
concisely the grounds of interest, and the alleged facts relied on for 
relief.
    If no petition for leave to intervene is received within the 
specified time or if it is determined that petitions filed do not 
demonstrate sufficient interest to warrant a hearing, the Maritime 
Administration will take such action as may be deemed appropriate.
    In the event petitions regarding the relevant section 805(a) issues 
are received from parties with standing to be heard, a hearing will be 
held, the purpose of which will be to receive evidence under section 
805(a) relative to whether the proposed operations (a) could result in 
unfair competition to any person, firm, or corporation operating 
exclusively in the coastwise or intercoastal service, or (b) would be 
prejudicial to the objects and policy of the Act relative to domestic 
trade operations.

(Catalog of Federal Domestic Assistance Program No. 20.805 
(Operating-Differential Subsidies))

    Dated: February 6, 1995.

    By order of the Maritime Administrator.
Murray A. Bloom,
Acting Secretary.
[FR Doc. 95-3302 Filed 2-8-95; 8:45 am]
BILLING CODE 4910-81-P