[Federal Register Volume 66, Number 47 (Friday, March 9, 2001)]
[Notices]
[Pages 14253-14254]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-5905]


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DEPARTMENT OF TRANSPORTATION

Maritime Administration

[Docket Number: MARAD-2001-9041]


Requested Administrative Waiver of the Coastwise Trade Laws

AGENCY: Maritime Administration, Department of Transportation.

ACTION: Invitation for public comments on a requested administrative 
waiver of the Coastwise Trade Laws for the vessel ACCORD.

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SUMMARY: As authorized by Pub. L. 105-383, the Secretary of 
Transportation, as represented by the Maritime Administration (MARAD), 
is authorized to grant waivers of the U.S.-build requirement of the 
coastwise laws under certain circumstances. A request for such a waiver 
has been received by MARAD. The vessel, and a description of the 
proposed service, is listed below. Interested parties may comment on 
the effect this action may have on U.S. vessel builders or businesses 
in the U.S. that use U.S.-flag vessels. If MARAD determines that in 
accordance with Pub. L. 105-383 and MARAD's regulations at 46 CFR Part 
388 (65 FR 6905; February 11, 2000) that the issuance of the waiver 
will have an unduly adverse effect on a U.S.-vessel builder or a 
business that uses U.S.-flag vessels, a waiver will not be granted.

DATES: Submit comments on or before April 9, 2001.

ADDRESSES: Comments should refer to docket number MARAD-2001-9041. 
Written comments may be submitted by hand or by mail to the Docket 
Clerk, U.S. DOT Dockets, Room PL-401, Department of Transportation, 400 
7th St., SW., Washington, DC 20590-0001. You may also send comments 
electronically via the Internet at http://dmses.dot.gov/submit/. All 
comments will become part of this docket and will be available for 
inspection and copying at the above address between 10 a.m. and 5 p.m., 
E.T., Monday through Friday, except federal holidays. An electronic 
version of this document and all documents entered into this docket is 
available on the World Wide Web at http://dms.dot.gov.

FOR FURTHER INFORMATION CONTACT: Kathleen Dunn, U.S. Department of 
Transportation, Maritime Administration, MAR-832 Room 7201, 400 Seventh 
Street, SW., Washington, DC 20590. Telephone 202-366-2307.

SUPPLEMENTARY INFORMATION: Title V of Pub. L. 105-383 provides 
authority to the Secretary of Transportation to administratively waive 
the U.S.-build requirements of the Jones Act, and other statutes, for 
small commercial passenger vessels (no more than 12 passengers). This 
authority has been delegated to the Maritime Administration per 49 CFR 
Sec. 1.66, Delegations to the Maritime Administrator, as amended. By 
this notice, MARAD is publishing information on a vessel for which a 
request for a U.S.-build waiver has been received, and for which MARAD 
requests comments from interested parties. Comments should refer to the 
docket number of this notice and the vessel name in order for MARAD to 
properly consider the comments. Comments should also state the 
commenter's interest in the waiver application, and address the waiver 
criteria given in Sec. 388.4 of MARAD's regulations at 46 CFR part 388.

Vessel Proposed for Waiver of the U.S.-Build Requirement

    (1) Name of vessel and owner for which waiver is requested. Name of 
vessel: ACCORD. Owner: Accord Charters, LLC.
    (2) Size, capacity and tonnage of vessel. According to the 
applicant: ``The principal characteristics of the ACCORD are as 
follows: Documented Length: 81.4 feet, Actual Length: 85 feet, Breadth: 
19.4 feet, Capacity: 6 passengers, Gross Registered Tons: 102, Net 
Registered Tons: 30, The Vessel's tonnage is measured pursuant to 46 
U.S.C. 14502.''
    (3) Intended use for vessel, including geographic region of 
intended operation and trade. According to the applicant:
    ``The ACCORD will offer charter service departing from the port of 
Seattle for the San Juan Islands of Washington State traveling to the 
Canadian Gulf Island and Desolation Sound, British Columbia. The Vessel 
currently operates one-way between a U.S. port and a Canadian port. The 
proposed new service will offer guests the opportunity to board at one 
port in Seattle or the San Juan Islands and to depart in Seattle or any 
other port in the San Juan Islands.
    Typically, the ACCORD is contracted to one individual with a party 
of no more than six for a minimum of seven (7) days. The average cost 
of a seven (7) day charter is $25,000, including standard expenses. 
Charters are offered in this region from May 1st to October 31st.''
    (4) Date and Place of construction and (if applicable) rebuilding. 
Date of construction: Constructed in 1984 and underwent modifications 
and repairs in Seattle, Washington in 2000. Place of construction: 
Vancouver, British Columbia, Canada.

[[Page 14254]]

    (5) A statement on the impact this waiver will have on other 
commercial passenger vessel operators. According to the applicant:
    ``This waiver will have minimal impact on other commercial 
passenger vessel operators in this region. The ACCORD has offered 
charters in this region from time to time since July 1999. The charters 
currently offered in this region operate in the waters of Puget Sound 
and the San Juan Islands and most spend a portion of a seven (7) day 
charter in British Columbia. The reason for requesting this waiver is 
for convenience in arranging the arriving and departing float plane and 
ferry arrangements for the Vessel's charter parties. This waiver will 
not substantially change the service offered by the ACCORD and will not 
affect the competition in the charter market in this region.
    The tourist industry in this region is significant yet fewer than 
half a dozen vessels offer multi-day private charters. Some of these 
spend a significant portion of the season operating outside the area 
directly affected by this waiver. In addition, despite the increased 
interest in water-based travel and the need for more charter companies, 
there are limited small passenger operations in this region and only a 
few small certified passenger vessels cruising in the area in late 
spring on the way to Alaska.''
    (6) A statement on the impact this waiver will have on U.S. 
shipyards. According to the applicant: ``Granting this waiver will not 
have a negative impact on U.S. shipyards. In fact, almost $100,000 has 
been spent in 2000 alone in U.S. shipyards in maintaining and upgrading 
the ACCORD. The ACCORD is now permanently berthed in its boathouse 
which is moored in Lake Union, Seattle, Washington. Consequently, U.S. 
shipyards will benefit by additional repairs, modifications, and 
upgrades that will be necessary as a result of the work required to 
keep the Vessel in the charter service in this area.
    The ACCORD is a wood yacht. It was designed by Ed Monk Sr., a 
resident of Bainbridge Island, Washington. A. U.S.-built vessel of this 
type today would be difficult to obtain in the U.S. and would be 
prohibitively expensive to build new. Most U.S. builders have ceased 
production of this type of vessel or have moved production to the far 
east. As a consequence, the low production output and the high cost to 
obtain a U.S.-built vessel of this type would make it too expensive for 
a Seattle/San Juan Islands charter operation to acquire a new U.S.-
built vessel.
    Under these circumstances, the applicant believes that the issuance 
of the waiver sought will not `unduly adversely affect' U.S.-flag 
vessel operators or U.S. shipbuilders.''

    Dated: March 2, 2001.

    By Order of the Maritime Administrator.
Joel C. Richard,
Secretary, Maritime Administration.
[FR Doc. 01-5905 Filed 3-8-01; 8:45 am]
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