[Federal Register Volume 61, Number 212 (Thursday, October 31, 1996)]
[Proposed Rules]
[Pages 56199-56211]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-27881]


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DEPARTMENT OF TRANSPORTATION

Coast Guard

46 CFR Parts 10 and 12

[CGD 96-053]


User Fees for Marine Licensing, Certification of Registry and 
Merchant Mariner Documentation

AGENCY: Coast Guard, DOT.


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ACTION: Notice of recalculation of program costs and reassessment of 
fees; request for comments.

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SUMMARY: The Coast Guard has completed a recalculation of the costs 
associated with its marine licensing and merchant mariner documentation 
program and has reassessed the user fees published in 46 CFR Parts 10 
and 12. These actions have been taken pursuant to a court order issued 
by the U.S. District Court for the District of Columbia. This notice 
announces the completion of, and seeks public comments on, the 
recalculation and sets out a summary of the results.

DATES: Comments must be received not later than December 30, 1996.

ADDRESSES: Comments may be mailed to the Executive Secretary, Marine 
Safety Council (G-LRA) [CGD 96-053], U.S. Coast Guard Headquarters, 
2100 Second Street SW., Washington, DC 20593-0001 or may be delivered 
to room 3406 at the same address between 9:30 a.m. and 2 p.m., Monday 
through Friday, except Federal holidays. The telephone number is (202) 
267-1477.
    The Executive Secretary maintains the public docket for this 
notice. Comments will become part of this docket and will be available 
for inspection or copying at room 3406, U.S. Coast Guard Headquarters, 
between 9:30 a.m. and 2 p.m., Monday through Friday, except Federal 
holidays.

FOR FURTHER INFORMATION CONTACT:
 LCDR Matthew Glomb, Office of Claims and Litigation (G-LCL), telephone 
(202) 267-1040.

SUPPLEMENTARY INFORMATION:

Request for Comments

    The Coast Guard encourages interested persons to review and comment 
on the recalculation by submitting written data, views or arguments. 
Persons submitting comments should include their names and addresses, 
identify this notice (CGD 96-053), the specific part of the 
recalculation to which each comment or question applies, and give the 
reason for each comment. Please submit two copies of all comments and 
attachments in an unbound format, no larger than 8\1/2\ by 11 inches, 
suitable for copying and electronic filing. Persons wanting 
acknowledgment of receipt of comments should enclose stamped self-
addressed postcards or envelopes.

Background Information

    On November 5, 1990, Congress passed the Omnibus Budget 
Reconciliation Act which amended 46 U.S.C. Sec. 2110 to require 
establishment of user fees for certain services provided by the Coast 
Guard. As a result, the Coast Guard issued a final rule entitled ``User 
Fees for Marine Licensing, Certification of Registry and Merchant 
Mariner Documentation'' on March 19, 1993 (58 FR 15228). This rule 
established marine licensing and merchant mariner documentation user 
fees in 46 Parts 10 and 12. The final rule became effective on April 
19, 1993.
    On April 15, 1993, Seafarers International Union of North America, 
et al., brought suit against the Coast Guard and sought to, among other 
things, enjoin it from collecting marine licensing and merchant mariner 
documentation user fees. In ruling on the case, on November 23, 1994, 
the U.S. District Court for the District of Columbia affirmed the Coast 
Guard's authority to establish and collect user fees and confirmed the 
methodology by which the Coast Guard established its fees. However, the 
Court ordered the Coast Guard to recalculate the costs associated with 
its marine licensing and merchant mariner documentation program, 
reassess the established fees, and subject the recalculations to public 
notice and comment. The Court also ordered the Coast Guard to stop 
charging for FBI criminal history checks.
    The Coast Guard conducted a time-motion study of work activity at 
Regional Examination Centers during the spring and summer of 1995. This 
study was undertaken in order to update the data contained in the 1989 
Workload Study used during the original calculation of the fees. The 
study was the first step in the process of recalculating program costs. 
Since 1995, the Coast Guard has updated all data used in the original 
calculation of the marine licensing and merchant mariner documentation 
user fees, including Regional Examination Center transaction data and 
personnel and overhead costs. The Coast Guard updated its transaction 
activity data, verified supporting documentation, and recalculated its 
program costs. The data from the 1995 time-motion study was used during 
the recalculation of both the overall and per activity cost of the 
marine licensing and merchant mariner documentation program. The Coast 
Guard then reassessed its published fees by comparing them to the 
recalculated costs.
    The recalculation of costs and the reassessment of user fees 
ordered by the Court were completed on September 25, 1996. The Coast 
Guard administratively reduced the amount to be collected for six 
services where published fees exceeded recalculated costs. These fees 
can only be permanently changed through the rulemaking process and the 
Coast Guard will initiate a rulemaking after the close of this comment 
period.
    The published fees, recalculated costs, and the fee collection 
amounts affected by the Coast Guard's interim administrative action are 
summarized in Tables 1 and 2.

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    This notice complies with the order of the Court that the 
recalculation and reassessment be subject to notice and comment.

    Dated: October 24, 1996.
J.C. Card,
Chief, Marine Safety and Environmental Protection.
[FR Doc. 96-27881 Filed 10-30-96; 8:45 am]
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