[Federal Register Volume 68, Number 126 (Tuesday, July 1, 2003)]
[Rules and Regulations]
[Pages 39353-39368]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-16191]


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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Parts 26, 161, 164, and 165

[USCG-2003-14757]
RIN 1625-AA67


Automatic Identification System; Vessel Carriage Requirement

AGENCY: Coast Guard, DHS.

ACTION: Temporary interim rule with request for comments and notice of 
meeting.

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SUMMARY: The Coast Guard is amending port and waterway regulations to 
reflect vessel carriage requirements and establish technical and 
performance standards for an Automatic Identification System (AIS). 
This interim rule will implement the AIS carriage requirements of the 
Maritime Transportation Security Act of 2002 (MTSA) and the 
International Maritime Organization requirements adopted under 
International Convention for the Safety of Life at Sea, 1974, (SOLAS) 
as amended. The changes will require AIS on all vessels subject to 
SOLAS, Vessel Traffic Service Users and certain other commercial 
vessels. The rule will facilitate vessel-to-vessel and vessel-to-shore 
communications; it will enhance good order and predictability on the 
waterways, promote safe navigation; and contribute to maritime domain 
awareness to protect the security of our nation's ports and waterways.
    This rule is one of six interim rules in today's Federal Register 
addressing the requirements for maritime security mandated by the MTSA. 
These six interim rules implement national maritime security 
initiatives concerning general provisions, Area Maritime Security 
(ports), vessels, facilities, Outer Continental Shelf facilities, and 
the Automatic Identification System. They align domestic maritime 
security requirements with those of the International Ship and Port 
Facility Security Code and recent amendments to SOLAS. This rule will 
benefit persons and property by requiring that certain vessels carry 
AIS to increase maritime domain awareness and help detect, and respond 
to unlawful acts that threaten vessels. To best understand these 
interim rules, first read the one titled ``Implementation of National 
Maritime Security Initiatives.'' (See USCG-2003-14792).
    In view of the benefit-cost ratio presented herein, the Coast Guard 
will share with Congress any significant information provided by the 
public that addresses the reasonableness of implementing the statute.

DATES: Effective date. This interim rule is effective July 1, 2003. The 
Coast Guard intends to finalize this rule by November 25, 2003. 
Material incorporated by reference was approved by the Director of the 
Federal Register as of July 1, 2003.
    Comments. Comments and related material must reach the Docket 
Management Facility on or before July 31, 2003.
    Meeting. A public meeting will be held on July 23, 2003 from 9 a.m. 
to 5 p.m., in Washington, DC.

ADDRESSES: Comments. To ensure your comments and related material are 
not entered more than once in the docket, please submit them by only 
one of the following means:
    (1) Electronically to the Docket Management System at http://dms.dot.gov.
    (2) By mail to the Docket Management Facility (USCG-2003-14757) at 
the U.S. Department of Transportation, room PL-401, 400 Seventh Street 
SW., Washington, DC 20590-0001.
    (3) By fax to the Docket Management Facility at 202-493-2251.
    (4) By delivery to room PL-401 on the Plaza level of the Nassif 
Building, 400 Seventh Street SW., Washington, DC between 9 a.m. and 5 
p.m., Monday through Friday, except Federal holidays. The telephone 
number is 202-366-9329.

[[Page 39354]]

    Meeting. A public meeting will be held on July 23, 2003 in 
Washington, DC at the Grand Hyatt Washington, DC, 1000 H Street, NW., 
Washington, DC 20001.
    Availability. You may inspect the material incorporated by 
reference at room 1409, U.S. Coast Guard Headquarters, 2100 Second 
Street SW., Washington, DC 20593-0001 between 8:30 a.m. and 3:30 p.m., 
Monday through Friday, except Federal holidays. The telephone number is 
202-267-6277. Copies of the material are available as indicated in the 
``Incorporation by Reference'' section of this preamble.

FOR FURTHER INFORMATION CONTACT: If you have questions on this interim 
rule, contact Mr. Jorge Arroyo, Office of Vessel Traffic Management (G-
MWV), Coast Guard by telephone 202-267-1103, toll-free telephone 1-800-
842-8740 ext. 7-1103, or electronic mail [email protected]. For 
questions on viewing or submitting material to the docket, call Ms. 
Dorothy Beard, Chief, Dockets, Department of Transportation, at 202-
366-5149.

SUPPLEMENTARY INFORMATION: Due to the short timeframe given to 
implement these National Maritime Transportation Security initiatives, 
as directed by the Maritime Transportation Security Act (MTSA) of 2002 
(MTSA, Pub. L. 107-295, 116 STAT. 2064), and to ensure all comments are 
in the public venue for these important rulemakings, we are not 
accepting comments containing protected information for these interim 
rules. We request you submit comments, as explained in the Request for 
Comments section below, and discuss your concerns or support in a 
manner that is not security sensitive. We also request that you not 
submit proprietary information as part of your comment.
    The Docket Management Facility maintains the public docket for this 
rulemaking. Comments and material received from the public, as well as 
documents mentioned in this preamble as being available in the docket, 
will be available for inspection or copying at room PL-401 on the Plaza 
level of the Nassif Building, 400 Seventh Street SW., Washington, DC, 
between 9 a.m. and 5 p.m., Monday through Friday, except Federal 
holidays. You may also find this docket on the Internet at http://dms.dot.gov.
    Electronic forms of all comments received into any of our dockets 
can be searched by the name of the individual submitting the comment 
(or signing the comment, if submitted on behalf of an association, 
business, labor unit, etc.) and is open to the public without 
restriction. You may also review the Department of Transportation's 
complete Privacy Act Statement published in the Federal Register on 
April 11, 2000 (65 FR 19477-78), or you may visit http://dms.dot.gov/.

Request for Comments

    We encourage you to participate in this rulemaking by submitting 
comments and related material. Your comments will be considered for the 
final rule we plan to issue before November 25, 2003, to replace this 
interim rule. If you choose to comment on this rulemaking, please 
include your name and address, identify the specific docket number for 
this interim rule (USCG-2003-14757), indicate the specific heading of 
this document to which each comment applies, and give the reason for 
each comment. If you have comments on another rule please submit those 
comments in a separate letter to the docket for that rulemaking. You 
may submit your comments and material by mail, hand delivery, fax, or 
electronic means to the Docket Management Facility at the address under 
ADDRESSES; but please submit your comments and material by only one 
means. If you submit them by mail or hand delivery, submit them in an 
unbound format, no larger than 8\1/2\ by 11 inches, suitable for 
copying and electronic filing. If you submit them by mail and would 
like to know that they reached the Facility, please enclose a stamped, 
self-addressed postcard or envelope. We will consider all comments and 
material received during the comment period, and we may amend this rule 
and the final rule that replaces it in view of them.
    Note, matters pertaining to AIS licensing, equipment certification, 
and frequencies are subject to Federal Communications Commission 
regulations and are not addressed in this rule, see FCC Public Notice 
DA 02-1362 in the docket for further information.

Public Meeting

    We will hold a public meeting on July 23, 2003, in Washington, DC 
at the Grand Hyatt Hotel, at the address listed under ADDRESSES. The 
meeting will be from 9 a.m. to 5 p.m. to discuss this Automatic 
Identification System (AIS) rulemaking in addition to the other five 
maritime security rulemakings, found elsewhere in today's Federal 
Register. In addition, you may submit a request for other public 
meetings to the Docket Management Facility at the address under 
ADDRESSES explaining why another one would be beneficial. If we 
determine that other meetings would aid this rulemaking, we will hold 
them at a time and place announced by a later notice in the Federal 
Register.

Regulatory Information

    We did not publish a notice of proposed rulemaking for this 
rulemaking and are making this interim rule effective upon publication. 
Section 102(d)(1) of the Maritime Transportation Security Act of 2002 
(MTSA, Public Law 107-295, 116 Stat. 2064) requires the publication of 
an interim rule as soon as practicable without regard to the provisions 
of chapter 5 of title 5, U.S. Code (Administrative Procedure Act). The 
Coast Guard finds that harmonization of U.S. regulations with maritime 
security measures adopted by the International Maritime Organization 
(IMO) in December 2002, and the need to institute measures for the 
protection of U.S. maritime security as soon as practicable, furnish 
good cause for this interim rule to take effect immediately under both 
the Administrative Procedure Act and section 808 of the Congressional 
Review Act.

Recently Enacted Legislation

    The provisions set forth in this rulemaking and the associated 
regulatory assessment take into account: (1) The recently enacted MTSA, 
which requires an AIS on most commercial vessels on all navigable 
waters, and (2) the International Convention for the Safety of Life at 
Sea, 1974, (SOLAS) amendments from the December 2002 International 
Maritime Organization (IMO) Diplomatic Conference. This rule will amend 
AIS standards to those adopted by the IMO and SOLAS and defined in the 
International Telecommunication Union Radiocommunication Bureau (ITU-R) 
Recommendation ITU-R M.1371-1 and International Electrotechnical 
Commission (IEC) IEC 61993-2.
    The recent SOLAS AIS amendments accelerate the implementation 
schedule, as discussed below under ``Background and Purpose-
Acceleration of SOLAS AIS Implementation.'' Copies of the MTSA and the 
SOLAS AIS amendments are available in the docket as indicated under 
ADDRESSES.

Public Meetings for Rulemakings Related to Vessel Traffic Service

    The Coast Guard held a public meeting on October 28, 1998, in New 
Orleans, Louisiana. The meeting was announced in a notice published in 
the Federal Register on September 18, 1998 (63 FR 49939). This meeting 
gave the Coast Guard the opportunity to discuss the Vessel Traffic 
Service (VTS) concept on the Lower Mississippi River and the envisioned 
use of automatic

[[Page 39355]]

identification system technology in the VTS. At this 1998 meeting, we 
reported the preliminary results of tests conducted on the Lower 
Mississippi River using precursor AIS. The proposed VTS on the Lower 
Mississippi River is not discussed in this rulemaking because it is the 
subject of a separate rulemaking titled ``Vessel Traffic Service Lower 
Mississippi River'' (65 FR 24616, April 26, 2000; docket [USCG-1998-
4399]). We copied those comments regarding the AIS that were submitted 
to the VTS Lower Mississippi River docket and have placed those copies 
in the docket for this interim rule. However, most of those comments 
are not addressed herein either because they are no longer applicable 
or because they address a previous version of AIS and not the version 
required by this interim rule. We encourage all those who commented 
previously on this rulemaking to comment on the new provisions set 
forth in this rule. We will address those comments along with all other 
comments submitted in direct response to this interim rule in the final 
rule.
    Over the past few years, the Coast Guard has made AIS presentations 
at various public forums including Federal advisory committee meetings 
(Towing Safety Advisory Committee, National Offshore Safety Advisory 
Committee, Houston-Galveston Navigation Safety Advisory Committee and 
Navigation Safety Advisory Council). Moreover, the AIS-based Ports and 
Waterways Safety System project being installed at the VTS Lower 
Mississippi River is regularly discussed at the Lower Mississippi River 
Waterway Safety Advisory Committee meetings.
    The Houston-Galveston Navigation Safety Advisory Committee and 
Lower Mississippi River Waterway Safety Advisory Committee are 
Federally chartered advisory committees charged with making 
recommendations to the Coast Guard on matters relating to the safe and 
efficient transit of vessels on their respective waterways. These open 
forums have afforded the public, particularly those in the Gulf of 
Mexico and Mississippi River areas, the opportunity to comment on both 
VTS Lower Mississippi River and AIS issues. The public's input will be 
taken into account throughout this rulemaking. Elsewhere in today's 
Federal Register, we have published a notice requesting comments on AIS 
carriage for vessels outside VTS and Vessel Movement Reporting System 
(VMRS) areas that are not on an international voyage (See USCG-2003-
14878).

Background and Purpose

    Section 5004 of the Oil Pollution Act of 1990, as codified in 33 
U.S.C. 2734, directed the Coast Guard to operate additional equipment, 
as necessary, to provide surveillance of tank vessels transiting Prince 
William Sound, Alaska. We have done so since 1994 through a system then 
known as ``Automated Dependent Surveillance.'' Advances have taken 
place with this technology, now referred to as the AIS. Section 102 of 
the MTSA mandates that AIS be installed and operating on most 
commercial and passenger vessels on all navigable waters of the United 
States.
    The version of AIS required by this interim rule automatically 
broadcasts vessel and voyage-related information that is received by 
other AIS-equipped ships and shore stations. In the ship-to-shore mode, 
AIS enhances maritime domain awareness and allows for the efficient 
exchange of vessel traffic information that previously was only 
available via voice communications with a VTS. In ship-to-ship mode, an 
AIS provides essential information to other vessels, such as name, 
position, course, and speed that is not otherwise readily available 
onboard vessels. In either mode, an AIS enhances the mariner's 
situational awareness, makes possible the accurate exchange of 
navigational information, mitigates collision through reliable passing 
arrangements, and facilitates vessel traffic management, while 
simultaneously reducing very high frequency voice transmissions.
    AISs have achieved acceptance through worldwide adoption of 
performance and technical standards developed to ensure commonality, 
universality, and inter-operability. These recommendations have now 
been established and adopted as standards by the following diverse 
international bodies: the IMO, the International Telecommunications 
Union (ITU), and the International Electrotechnical Commission (IEC). 
Further, installation of such equipment is required on vessels subject 
to SOLAS, as amended.

Applicability and Compliance Dates

    This interim rule requires the following vessels to install and 
operate AIS:
    [sbull] Vessels on international voyages subject to SOLAS under the 
schedule set forth in SOLAS chapter V, regulation 19.2.4;
    [sbull] Vessels of 65 feet or more in length, not subject to SOLAS 
or transiting a VTS area, in commercial service on international 
voyages by December 31, 2004; and
    [sbull] The following VTS or VMRS users:
    [sbull] Self-propelled vessels of 65 feet or more in length, in 
commercial service;
    [sbull] Towing vessel 26 feet or more in length and more than 600 
horsepower;
    [sbull] Vessels of 100 gross tons or more carrying one or more 
passengers for hire; and
    [sbull] Passenger vessels certificated to carry 50 or more 
passengers for hire.
    The VTS and VMRS users must comply by: December 31, 2003, within 
VTS St. Marys River; by July 1, 2004, within VTS Berwick Bay, VMRS Los 
Angeles/Long Beach, VTS Lower Mississippi River, VTS Port Arthur and 
VTS Prince William Sound; by December 31, 2004, within VTS Houston-
Galveston, VTS New York, VTS Puget Sound, and VTS San Francisco.
    Note that the compliance dates set forth in SOLAS differ from those 
enacted in the MTSA. In this rule, where the dates differ, we have 
sided with the internationally agreed upon dates of SOLAS, particularly 
regarding tankers built before July 1, 2002, where the compliance date 
is the first survey of these vessels for safety equipment on or after 
July 1, 2003, which could extend compliance to July 1, 2004 (one year 
later than the MTSA).
    However, we accelerated AIS implementation from the revised SOLAS 
schedule to meet other international obligations. As of March 25, 2003, 
the Saint Lawrence Seaway Development Corporation, under an 
international agreement with the St. Lawrence Seaway Management 
Corporation of Canada, has required AIS on vessels transiting St. 
Lawrence Seaway waters from St. Lambert, Quebec to Long Point, in mid-
Lake Erie. (68 FR 9549, February 28, 2003). We anticipate VTS St. Marys 
River will be AIS-capable by December 31, 2003, and at that time we 
will require all VTS users, including SOLAS vessels, transiting the 
Seaway and the VTS to continue AIS operation through their entire 
transit.
    This acceleration also follows our plan to require AIS use in areas 
where we will have an infrastructure to fully monitor and manage the 
AIS data link and ensure accurate maritime domain awareness. That is 
why we have, initially, decided to implement AIS predominately in VTS 
and VMRS areas as they become equipped with AIS capability.
    The MTSA calls for AIS use in all navigable waters, but allows this 
requirement to be waived if the Secretary finds that an AIS is not 
needed for safe navigation on specified navigable waters. The Coast 
Guard

[[Page 39356]]

intends to carry out this mandate completely; however, at this early 
stage of AIS deployment, the Coast Guard deems it important to fully 
require an AIS, particularly in congested waters, where it has the 
capability to manage the AIS VHF data link. An AIS permits shore-side 
base stations to perform various functions to manage the AIS data link, 
such as changing operating frequencies, power outputs, and reporting 
rates, should the network require it. This action may be necessary to 
ensure safe navigation. The Coast Guard anticipates having these 
facilities in most of our major waterways; however, until then it 
intends to proceed on a rollout plan by waterway. In a notice and 
request for comments published elsewhere in today's Federal Register, 
the Coast Guard is seeking comments on expansion of AIS implementation 
to vessels not on international voyages outside VTS and VMRS areas.

Acceleration of SOLAS AIS Implementation

    The December 2000 Amendments to SOLAS provided for a phased-in AIS 
carriage schedule under chapter V, regulation 19.2.4 that started July 
1, 2002, and extended to July 1, 2008, depending on ship type and 
tonnage. After September 11, 2001, and in an effort to improve safety, 
security and maritime domain awareness worldwide, the United States 
initiated action through IMO to accelerate this implementation 
schedule.
    In November 2001, the IMO Assembly, on the recommendation of the 
United States and numerous other nations, adopted resolution A.924(22) 
with the goals of enhancing maritime security. This resolution 
instructed the Organization to develop appropriate measures to improve 
maritime security. Based upon a recommendation by the United States, 
the Assembly also agreed to convene an international conference in 
December 2002 to formally adopt whatever measures were developed.
    In February 2002, an Intersessional Working Group of the IMO 
Maritime Safety Committee (MSC) met and recommended that the AIS 
carriage timeline be accelerated, in addition to several other 
security-related initiatives, which are discussed in separate interim 
rules published elsewhere in today's Federal Register.
    In May 2002, the Maritime Safety Committee met and accepted 
amendments to SOLAS related to the accelerated AIS implementation 
(including several phase-in options), for consideration at a December 
2002 Diplomatic Conference. The Diplomatic Conference convened in 
December 2002 and adopted the phased-in AIS carriage schedule as 
described in Table 1 below.

        Table 1.--SOLAS AIS Schedule (Chapter V, Regulation 19.2.4) for Vessels on International Voyages
----------------------------------------------------------------------------------------------------------------
                 Constructed                            Type of vessel                 Implementation date
----------------------------------------------------------------------------------------------------------------
On or after July 1, 2002.....................  All.............................  July 1, 2002.
Before July 1, 2002..........................  Passenger ships (carrying 12 or   July 1, 2003.
                                                more passengers).
                                               Tankers.........................  First survey for safety
                                                                                  equipment on or after July 1,
                                                                                  2003
                                               Ships, other than passenger       July 1, 2004.
                                                ships and tankers, greater than
                                                or equal to 50,000 gross
                                                tonnage.
                                               Ships, other than passenger       First safety equipment survey
                                                ships and tankers, greater than   after July 1, 2004, or by
                                                or equal to 300, but less than    December 31, 2004, whichever
                                                50,000 gross tonnage.             occurs earlier.
----------------------------------------------------------------------------------------------------------------

    This interim rule implements this revised SOLAS schedule, as it 
concerns vessels on international voyage, and through a separate notice 
titled ``Automatic Identification System; Expansion of Carriage 
Requirements for U.S. Waters'' [USCG-2003-14878], published elsewhere 
in today's Federal Register, we seek comments regarding vessels solely 
engaged in domestic voyages and not transiting a VMRS.
    The Coast Guard received some unfavorable comments regarding AIS 
carriage (see USCG-1998-4399-3 at http://dms.dot.gov) in the VTS Lower 
Mississippi River rulemaking docket (USCG-1998-4399). There were also 
AIS comments made during the Public Meetings on Maritime Security, 
discussed in the preamble to the interim rule titled ``Implementation 
of National Maritime Security Initiatives,'' published elsewhere in 
today's Federal Register. The Coast Guard is of the strong opinion that 
an AIS should be installed not only on SOLAS vessels, but also on most 
commercial vessels as soon as possible, particularly in vessel traffic 
monitoring areas, such as VTS and VMRS areas. Thus, the Coast Guard is 
requiring AIS carriage for non-SOLAS vessels while navigating these 
areas. There is a general discussion of comments on AIS carriage 
included in the preamble for the interim rule titled ``Implementation 
of National Maritime Security Initiatives,'' published elsewhere in 
today's Federal Register.

Automatic Identification System (AIS)

    The AIS integrates a number of technologies to enhance the safe and 
efficient navigation of ships, protection of the environment, operation 
of VTS, and maritime domain awareness. AIS does this by providing ship-
to-ship information for collision avoidance, and ship-to-shore 
information about a ship and its cargo for traffic management and 
increased maritime awareness. Included in these technologies are Global 
Navigation Satellite System, frequency agile digital very high 
frequency transceivers, self-organizing communications protocols, and 
an architecture that allows input from and output to other shipborne 
navigational equipment (for example, input from rate of turn indicator 
and heading sensor; output to radar or electronic chart display 
systems). Data from these technologies can be tailored to the mariner's 
needs and desires. The automated operation of the AIS and the reduction 
of voice interactions should enhance mariners' ability to navigate. 
More than 5 million voice reports a year will be eliminated in existing 
VTS areas alone by using AIS.
    The AIS transmits and receives vessel information in near real-time 
from other ships and rebroadcasts from shore stations, such as--
    (1) Static Information--Vessel call sign, name, IMO identification 
number, dimensions, type;
    (2) Voyage-Related Information--Draft, cargo type, destination, and 
estimated time of arrival; and
    (3) Dynamic Information--Time in Universal Time Coordinated, 
latitude/longitude position, course over ground, speed over ground, 
heading, rate of turn, navigational status.
    The AIS provides mariners with accurate navigation information. In 
addition, shore stations will be able to

[[Page 39357]]

relay pertinent navigational data from other sources, such as the 
National Oceanic and Atmospheric Administration's Physical 
Oceanographic Real Time System. An AIS enhances the mariner's 
situational awareness, permits more effective and reliable passing 
arrangements as intended by the Vessel Bridge-to-Bridge Radiotelephone 
Act (33 U.S.C. 1201-1208) and the Inland Navigational Rules (33 U.S.C. 
2001-2038), and provides the Coast Guard with a comprehensive and 
informative traffic image not possible with radar or video 
surveillance.

AIS Testing

    AIS tests and trials have been conducted by national maritime 
safety administrations in a number of locations around the world 
including Germany, Sweden, Finland, Singapore, South Korea, British 
Columbia, the Panama Canal, the St. Lawrence Seaway, the Baltic Sea, 
South Africa, and the Rhine River. The Coast Guard has conducted 
numerous tests and simulations to identify various technical and 
operational issues, such as the shoreside communications infrastructure 
required to support full duplex operations; unit reliability, 
development of operational procedures appropriate to an AIS-based VTS; 
and identification of user requirements for graphical display 
functionality.
    In August 1998, the Coast Guard leased 50 early-generation (Digital 
Selective Calling (DSC) ITU-R M.825-3 version) transponders that were 
evaluated aboard a variety of platforms. The principal purpose of this 
testing was to evaluate the performance of a DSC-based system and 
identify any operational and technical problems that would have to be 
resolved before implementation of the latest AIS technology (ITU-R M. 
1371-1 version).

Existing AIS-Like Systems

    This is not the first experience with AISs for the Coast Guard and 
the maritime industry. Since July 1994, tankers operating in the Prince 
William Sound area have carried DSC transponders that report to the 
VTS.
    The DSC transponder system used in Prince William Sound is a one-
way system of limited capability, flexibility and potential. The VTS at 
Prince William Sound remains dependent on radar and very high frequency 
voice radio communications and is, in essence, a traditional VTS 
augmented by a DSC system. Despite the reduced capability of this type 
of transponder, it has proven valuable and has demonstrated its 
potential as the foremost VTS surveillance sensor.
    The key difference between the DSC-based identification system used 
in VTS Prince William Sound and the one required by this interim rule 
is that the former only provides ship-to-shore (VTS) transmissions of 
position data. The AIS technology being required ensures two-way 
communication, radio frequency agility, greater capacity, non-
proprietary display interface standards, and a host of display 
possibilities, including Electronic Chart Display Information System, 
Automatic Radar Plotting Aid (ARPA), non-ARPA radar, Electronic Chart 
System, Integrated Navigation System, or other proprietary graphical 
user interfaces. See Technical Comparison Table 2.

   Table 2.--Technical Comparison of ITU-R M.825 Versus ITU-R M.1371-1
                               Based AIS.
------------------------------------------------------------------------
                                Digital selective    Broadcast automatic
   System characteristics         calling radio        identification
                                   transponder             system
------------------------------------------------------------------------
Technical Standards.........  ITU-R M.825-3/IEC     ITU-R M.1371-1/IEC
                               61993-1.              61993-2.
Intended Use................  Ship-to-shore.......  Ship-to-ship; ship-
                                                     to-shore; shore-to-
                                                     ship.
Message Schedule............  Shore synchronized..  Coordinated and
                                                     Synchronized. Self-
                                                     organizing timeslot
                                                     procedure.
Frequency Agility...........  Full very high        DSC reception locked
                               frequency spectrum    to very high
                               availability.         frequency Ch. 70
                                                     only. DSC
                                                     broadcasts and TDMA
                                                     reception and
                                                     broadcasts have
                                                     full very high
                                                     frequency spectrum
                                                     availability.
Radio Channels..............  One DSC (Simplex or   One DSC (Simplex).
                               Duplex).              Two TDMA (Simplex
                                                     or Duplex).
Permissive Channel Usage      No more than 15% on   No more than 7.5% on
 (loading).                    Channel 70. Up to     Channel 70. In
                               100% on dedicated     excess of 100% on
                               channel.              two dedicated
                                                     channels (AIS1/
                                                     AIS2).
Effective Data Rate.........  600 bits/second.....  Reception: 19,200
                                                     bits/second.
                                                     Broadcast: 9,600
                                                     bits/second.
System Capacity.............  9 polled messages/    TDMA: 4500 messages/
                               minute Ch. 70-60      minute plus. DSC: 4
                               polled message/       to 9 polled
                               minute not Ch 70-     messages/minute.
                               240 with special
                               shore station
                               control and
                               synchronization
                               using duplex
                               repeater.
------------------------------------------------------------------------

The Need for Standardization

    As evidenced by the number of navigation systems currently in use, 
there is great interest in using technology to improve navigational 
safety and maritime domain awareness. However, to correctly add 
beneficial traffic information while also meeting the user demand to 
avoid a multiplicity of incompatible systems, standardization was 
needed. Without standardization, an AIS could not operate effectively 
or achieve its maximum potential.
    Failure to adopt international standards would create a 
proliferation of disparate units, with no guarantee that devices 
offered by various manufacturers would be interoperable. In fact, the 
DSC installation discussed in the Existing AIS-Like Systems section was 
based on a standard communication protocol. However, it relies upon 
proprietary software for data management and display. The Coast Guard 
has been a leader in the drafting or adoption of technical standards 
through its participation at IMO, ITU, and other international working 
groups, including groups within the IEC; our goal being the universal 
inter-operability of AIS.
    The key differences between previous technologies and AISs are that 
the latter allows for reliable Self-Organizing Time-Division Multiple 
Access, two-way communication, radio frequency agility, greater 
capacity, and a host of display possibilities. For these reasons, 
implementing international standards for AIS was a high priority for 
the Coast Guard.

[[Page 39358]]

Ports and Waterways Safety System

    Recognizing the need to take advantage of this technology, the 
Coast Guard has embarked in a major capitalization effort to upgrade 
all existing and future VTSs with AIS capability.
    The Ports and Waterways Safety System is an effort to establish a 
national transportation system that collects, processes, and 
disseminates information on the marine operating environment and 
maritime vessel traffic in major U.S. ports and waterways.
    The VTS mission is to monitor and assess vessel movements, exchange 
information regarding vessel movements with other vessels and shore-
based personnel, and provide advisories to vessel Masters. The AIS 
coverage capability and precision compared to other surveillance 
technology (i.e., radar and closed circuit television (CCTV)), makes it 
the sensor of choice for all future VTS operations.
    A major goal of the Ports and Waterways Safety System is to apply 
AIS and other technologies that enable information gathering and 
dissemination in ways that do not create an additional operational 
burden for the mariner. An AIS-based VTS will augment the mariner's 
navigational capability through automatic and effortless broadcast of 
vessel traffic data, navigational advisories, and safety alerts. 
Through AIS-based VTS technology and this rulemaking, we can maximize 
the benefits of our vessel traffic management mission, provide the same 
or more services, and enhance navigation.
    Each VTS has a Vessel Traffic Center (VTC) that will receive vessel 
movement data from an AIS in addition to radar and CCTV, if so 
equipped. An AIS-based VTS reduces the need for voice interactions, 
expands situational awareness, and augments the VTS role to assist 
mariners in the performance of their duties, thus mitigating the risk 
of collisions.
    We have started this upgrade process and expect to complete it for 
the following VTS ports by 2005: Berwick Bay, LA; Houston-Galveston, 
TX; Port Arthur, TX; New Orleans, LA; New York, NY; San Francisco, CA; 
Prince William Sound, AK; Puget Sound, WA; and St. Marys River, MI. As 
these VTSs become AIS-capable, per the schedule established today in 33 
CFR 164.46, the Coast Guard will eliminate VTS Users voice position 
reports and rely upon AIS broadcasting. We will require all VTS Users 
within a VTS to use an AIS.
    Given the reduced infrastructure needs of an AIS and associated 
cost and operational efficiency, the Coast Guard intends to expand AIS 
surveillance to other VMRS areas, such as the approaches to Los Angeles 
and Long Beach Harbors, which is jointly operated by the Coast Guard 
and the Southern California Marine Exchange (under the California Code 
of Regulations, 14 CCR 852.20 through 852.30). Other VMRS areas are 
envisioned and would be the subject of future rulemakings. However, the 
Coast Guard in this interim rule defines VMRS centers, areas, and users 
to distinguish them from VTS centers, areas, and users. This will allow 
the Coast Guard to have monitoring capabilities in areas that may not 
warrant the full interactivity of a VTS (that is, informational, 
navigation assistance and active traffic organization services), but 
that do warrant the Captain of the Port's (COTP's) vigilance and 
greater situational awareness. It would also provide the COTPs a more 
effective means to carry out their duties and communicate with vessels 
reporting from within a vessel monitoring system area, and thus enhance 
their maritime domain awareness.

Involvement of the Maritime Community

    We have long recognized that use of AIS on the nation's navigable 
waters is a valuable asset to all mariners. In the past, many in the 
maritime community have noted that to have a successful VTS, the Coast 
Guard must strive to meet the needs of the users while imposing minimal 
burden, especially in terms of voice communications.
    In 1997, the Coast Guard benefited from a national dialog conducted 
by the Marine Board of the National Academies and its Committee on 
Maritime Advanced Information Systems and ad hoc VTS committee formed 
under the auspices of the Lower Mississippi River Waterway Safety 
Advisory Committee. This ad hoc committee, which was made up of 
representatives from the maritime community, port community, 
government, and the public, was asked to define user requirements for 
VTS that would accomplish the joint overall goals of safety and 
efficiency. The result of this effort was a conceptual baseline VTS 
plan. (See USCG-1998-4399-3 at http://dms.dot.gov). One key finding of 
that plan was the need to implement AIS technology, and to incorporate 
AIS as a key component of future VTS implementation. The Coast Guard 
views AIS implementation not only as a key component of VTS, but also 
as a valuable awareness tool that should be made available and required 
in all the nation's seas and waterways.
    The Coast Guard also recognizes that wider implementation of a 
surveillance capability is imperative to maritime domain awareness and 
homeland security. Thus, it is moving forward with AIS capability as a 
component of our nation's marine distress system network-Rescue 21. 
Therefore, the Coast Guard wishes to avail itself of this opportunity 
to seek comments, via the Notice accompanying this interim rule 
published elsewhere in today's Federal Register, regarding expanding 
AIS carriage requirements beyond those vessels and areas required in 
this interim rule.

Discussion of Interim Rule

    This interim rule amends Vessel Bridge-to-Bridge Radiotelephone 
Regulations in 33 CFR part 26, Vessel Traffic Management regulations in 
part 161, Navigation Safety Regulations, in part 164, and the Prince 
William Sound, Alaska regulated navigation area regulations in 33 CFR 
165.1704. We are making the following changes to existing regulations.

Amendments to Part 26

    We are deleting Table 26.03(f) and directing the reader to newly 
designated Table 161.12(c) for the same information.

Amendments to Part 161

    We are adding two definitions in Sec.  161.2--''navigable waters'' 
and ``Vessel Movement Center''; and revising definitions for ``Vessel 
Movement Reporting System''; and ``Vessel Movement Reporting System 
User'' to distinguish them from ``Vessel Traffic Service'', ``Vessel 
Traffic Centers'', and ``Vessel Traffic Service Users''. Vessels within 
a VTS receive a host of services (e.g., weather and navigation 
advisories, reports of aids to navigation outages, and projected 
traffic encounters) that will not necessarily be available from a VMRS 
whose primary mission is to enhance Coast Guard maritime domain 
awareness and homeland security.
    We are amending the Table 161.12(b), and redesignating it as Table 
161.12(c) to reflect existing VTS and VMRS areas and their call signs, 
designated frequencies, and clarifying Notes.
    We are revising Sec.  161.21 to establish a mandatory reporting and 
broadcast requirement via AIS in denoted VMRS areas. The current 
regulation has a voice reporting exemption for those vessels carrying 
AISSE in VTS areas capable of receiving such reports, such as VTS 
Prince William Sound (where the AISSE

[[Page 39359]]

requirement will remain in effect until July 1, 2004).
    We are deleting the Sailing Plan Deviation Report in Sec.  161.21, 
but we are still requiring this information in the general reporting 
requirements in Sec.  161.18.
    Throughout subpart B, we are adding ``VMRS'' after ``VTS'' to show 
that the provisions of this subpart can apply to either a VTS and or a 
VMRS.

Amendments to Part 164

    We are adding a paragraph to Sec.  164.01 to note that Sec.  164.46 
applies to some vessels less than 1600 gross tons, and we are revising 
Sec.  164.01(c) to add Sec.  164.46 to the list of sections not 
applicable to U.S. public vessels.
    We are revising Sec.  164.02 to reflect that the AIS requirement in 
part 164 applies to vessels subject to SOLAS Chapter V, Regulation 
19.2.4.
    We are amending Sec.  164.03, the ``Incorporation by Reference'' 
section, by adding the IMO's MSC AIS performance standard (MSC.74(69)), 
the ITU AIS technical standard (ITU-R M.1371-1), the IMO AIS shipborne 
installation guidelines (SN/Circ.277), the SOLAS 2000 Amendments and 
SOLAS 2002 Amendments (Conference resolution 1), and the IEC AIS 
certification and testing standard (IEC 61993-2).
    We are renaming Sec.  164.43 as ``Automatic Identification System 
Shipborne Equipment--Prince William Sound,'' and embedded an expiration 
date. We are adding new Sec.  164.46 ``Automatic Identification System 
(AIS)'' to address applicability, operation, placement, and use of AIS 
units. In addition, we are extending AIS applicability to all vessels 
subject to SOLAS; to commercial vessels 65 feet or more in length not 
subject to SOLAS on an international voyage; and to other commercial 
vessels required to participate in a VTS or VMRS (these vessels are all 
passenger vessels certificated to have 50 or more passengers on board 
and every vessel subject to Vessel Bridge-to-Bridge Radiotelephone 
Act).
    Given the similarities between vessel bridge-to-bridge 
radiotelephone and AIS, the usage, maintenance, and language 
requirements in 33 CFR 26.04(a) and (c), 26.05, 26.06, and 26.07 for 
Vessel Bridge-to-Bridge Radiotelephones, will also apply to AIS. We are 
also clarifying that proper maintenance includes accurate and timely, 
data entry and transmission. For vessels over 1600 gross tons, we are 
requiring the AIS Pilot Plug be readily available, placed at the 
conning position, and near an AC power outlet.
    The use of portable AIS units on vessels will be permissible only 
if such use does not interfere with other installed navigation and 
communications systems, and, such that only one unit be in operation at 
a time.

Amendments to Part 165

    In Sec.  165.1704, we are amending the AISSE carriage requirement 
for tankers in Prince William Sound, so that it expires, and thus 
reverts to the AIS requirement, on July 1, 2004.

Incorporation by Reference

    The Director of the Federal Register has approved the material in 
Sec.  164.03 for incorporation by reference under 5 U.S.C. 552 and 1 
CFR part 51. You may inspect this material at U.S. Coast Guard 
Headquarters where indicated under ADDRESSES. Copies of the material 
are available from the sources listed in Sec.  164.03.

Regulatory Assessment

    This interim rule is not economically significant, however, it is a 
``significant regulatory action'' under Executive Order 12866, and has 
been reviewed by the Office of Management and Budget (OMB). It is also 
significant under the regulatory policies and procedures of the 
Department of Homeland Security due to significant public interest. A 
more detailed Regulatory Assessment is available in the docket as 
indicated under ADDRESSES. A summary of the assessment follows.

Cost Assessment

    The interim rule is requiring the carriage of an AIS on all U.S. 
flag SOLAS vessels, certain domestic vessels in VTS areas, and foreign 
flag vessels less than 300 gross tonnage that make ports of call in the 
United States. We estimate that 438 U.S. flag SOLAS vessels, 4,121 non-
SOLAS domestic vessels, and 70 non-SOLAS foreign vessels will be 
affected by the interim rule. These include the following:
    (1) Vessels subject to SOLAS;
    (2) All commercial, self-powered vessels of 65 feet or more in 
length in VTS areas, including fishing vessels;
    (3) Most passenger vessels in VTS areas;
    (4) All dredges and floating plants engaged in operations in VTS 
areas;
    (5) Certain commercial towing vessels of 26 feet or more in length 
in VTS areas; and
    (6) Non-SOLAS foreign flag vessels that are 65 feet or more in 
length that make port calls at any U.S. port.
    The estimated cost of complying with the interim rule for domestic 
vessels is Present Value (PV) $66 million (2003-2012, 7 percent 
discount rate). Approximately PV $5 million of this total is 
attributable to U.S. flag SOLAS vessels. The remaining PV $61 million 
is attributable to domestic vessels (non-SOLAS) that are affected. In 
the first year of compliance, the cost of purchasing and installing 
equipment and training personnel is an estimated $40 million (non-
discounted, $2 million for the U.S. flag SOLAS fleet, $38 million for 
the domestic fleet). Following initial implementation, the annual cost 
of compliance is an estimated $1 million (non-discounted, $0.1 million 
for the U.S. flag SOLAS fleet, $0.9 million for the domestic fleet).
    Non-SOLAS foreign flag vessel costs attributed to this rule are not 
included in the domestic cost calculations but are still considered 
here. The PV cost for these vessels to comply with the interim rule is 
estimated at $1 million over the 10-year period. The initial cost of 
purchasing and installing equipment and training personnel is an 
estimated $0.6 million (non-discounted). Following the initial 
implementation, the annual cost of compliance is less than $0.1 million 
(non-discounted).

Safety Benefits

    The Coast Guard expects both quantifiable and non-quantifiable 
benefits as a result of the interim rule. Quantified benefits include 
avoided property damage, injuries, fatalities, and pollution events as 
a result of having an AIS. Other benefits include better situational 
awareness, better information, and better communications. The interim 
rule will also enhance Coast Guard missions such as marine safety and 
security, aids to navigation, and maritime mobility.
    In order to quantify the benefits of AIS implementation, the Coast 
Guard reviewed thousands of Marine Casualty Incident Reports (MCIRs) 
from 1993-1999 that involved the vessel populations affected by this 
interim rule. These incidents were used to develop a historical rate of 
marine casualties in VTS areas to determine the effectiveness of AIS as 
a mitigating factor. The estimated safety benefit of the interim rule 
is PV $25 million (2003-2012, 7 percent discount rate). Approximately 
PV $13 million is attributable to U.S. flag SOLAS vessels. The 
remaining PV $12 million is attributable to domestic vessels (non-
SOLAS). The estimated average annual benefit is $5 million (non-
discounted).
    The costs of this interim rule are presented for a 10-year period. 
The Regulatory Assessment available in the public docket for this 
rulemaking

[[Page 39360]]

extends the assessment to a 15-year period.

Security Benefits

    This interim rule is one of six interim rules that implement 
national maritime security initiatives concerning general provisions, 
Area Maritime Security (ports), vessels, facilities, Outer Continental 
Shelf (OCS) facilities, and AIS. The Coast Guard used the National Risk 
Assessment Tool (N-RAT) to assess benefits that would result from 
increased security for vessels, facilities, OCS facilities, and ports. 
The N-RAT considers threat, vulnerability, and consequences for a host 
of maritime entities in various security-related scenarios. For a more 
detailed discussion on the N-RAT and how we employed this tool, refer 
to ``Applicability of National Maritime Security Initiatives'' in the 
interim rule titled ``Implementation of National Maritime Security 
Initiatives'' (USCG-2003-14792) published elsewhere in today's Federal 
Register. For this benefit assessment, the Coast Guard used a team of 
experts to calculate a risk score for each entity and scenario before 
and after the implementation of required security measures. The 
difference in before and after scores indicates the benefit of the 
proposed action.
    We recognize that the interim rules are a ``family'' of rules that 
will reinforce and support one another in their implementation. We have 
ensured, however, that risk reduction that is credited in one 
rulemaking is not also credited in another. For a more detailed 
discussion on the benefit assessment and how we addressed the potential 
to double-count the risk reduced, refer to ``Benefit Assessment'' in 
the interim rule titled ``Implementation of National Maritime Security 
Initiatives'' (USCG-2003-14792) published elsewhere in today's Federal 
Register.
    We determined annual risk points reduced for each of the six 
interim rules using the N-RAT. The benefits are apportioned among the 
Vessel, Facility, OCS Facility, AMS, and AIS requirements. As shown in 
Table 3, the implementation of AIS for the affected population reduces 
1,553 risk points annually through 2012. The benefits attributable for 
part 101--General Provisions--were not considered separately since it 
is an overarching section for all the parts.

                            Table 3.--Annual Risk Points Reduced by the Interim Rules
----------------------------------------------------------------------------------------------------------------
                                                     Annual Risk Points Reduced by Rulemaking
                                 -------------------------------------------------------------------------------
         Maritime entity              Vessel         Facility      OCS facility
                                  security plans  security plans  security plans     AMS plans          AIS
----------------------------------------------------------------------------------------------------------------
Vessels.........................         778,633           3,385           3,385           3,385           1,448
Facilities......................           2,025         469,686  ..............           2,025  ..............
OCS Facilities..................              41  ..............           9,903  ..............  ..............
Port Areas......................             587             587  ..............         129,792             105
                                 -----------------
    Total.......................         781,285         473,659          13,288         135,202           1,553
----------------------------------------------------------------------------------------------------------------

    Once we determined the annual risk points reduced, we discounted 
these estimates to their present value (7 percent discount rate, 2003-
2012) so that they could be compared to the costs. We presented cost 
effectiveness, or dollars per risk point reduced, in two ways: first, 
we compared the first-year cost and first-year benefit because first-
year cost is the highest in our assessment as companies develop 
security plans and purchase equipment. Second, we compared the 10-year 
PV cost and the 10-year PV benefit. The results of our assessment are 
presented in Table 4.

                    Table 4. First-Year and 10-Year PV Cost and Benefit of the Interim Rules.
----------------------------------------------------------------------------------------------------------------
                                                                   Interim Rule
                                 -------------------------------------------------------------------------------
              Item                    Vessel         Facility      OCS facility
                                  security plans  security plans  security plans     AMS plans        AIS\1\
----------------------------------------------------------------------------------------------------------------
First-year cost (millions)......            $218          $1,125              $3            $120             $41
First-year benefit..............         781,285         473,659          13,288         135,202           1,553
First-year cost effectiveness ($/            279           2,375             205             890          26,391
 risk point reduced)............
10-year PV cost (millions)......           1,368           5,399              37             477              42
10-year PV benefit..............       5,871,540       3,559,655          99,863       1,016,074          11,671
10-year PV cost effectiveness ($/            233           1,517             368             469          3,624
 risk point reduced)............
----------------------------------------------------------------------------------------------------------------
\1\ Cost less monetized safety benefit.

    Although we have quantified these security benefits relative to 
AIS, the N-RAT is limited in its ability to measure benefits 
attributable to intelligence or information gathering. These 
limitations are discussed in the Assessment Limitations section in the 
preamble of the interim rule titled ``Implementation of National 
Maritime Security Initiatives'' (USCG-2003-14792) published elsewhere 
in today's Federal Register.
    Congress mandated an AIS carriage requirement on domestic (non-
SOLAS) vessels in 46 U.S.C. 70114, and provided an explicit phase-in 
schedule for AIS in section 102(e) of the MTSA. Strictly upon 
consideration of monetized safety benefits, as measured through 
decreased collisions and the resulting decrease in injuries, 
mortalities, and pollution incidents, the cost of AIS installation for 
the domestic fleet far outweighs the benefit over a 15-year period 
(0.26 benefit-cost ratio). This ratio results from the high costs of 
purchasing and installing the unit (an estimated $9,330 per vessel), 
and the types of marine casualties that AIS is expected to mitigate, 
where damage is not usually severe nor is there significant loss of 
life. In view of the

[[Page 39361]]

benefit-cost ratio presented above, the Coast Guard will share with the 
Congress any significant information provided by the public that 
addresses the reasonableness of implementing the statute.
    Because there is not yet a mass market for AIS, the cost per unit 
in the next few years, when the domestic fleet is required to purchase 
AIS, is likely to be higher than when it is replaced (around 2012). 
Because the AIS market is in its infancy, we cannot estimate how much 
the unit cost will decrease over the next decade. If many manufactures 
enter the market, costs are likely to drop through competition. Because 
manufacturers have a potential world market and a significant U.S. 
market, many may attempt to capture a segment. Conversely, if only a 
few players emerge worldwide, AIS costs could remain high. Because 
manufacturers must engage in a rigorous approval process and cannot be 
assured that they will recoup research and development costs through 
unit sales, there is the potential that only a few dominant players 
will emerge in the AIS market. Because we cannot determine the trend of 
the AIS market, and we did not want to understate the cost for AIS, we 
assumed that the cost for units in 2012 would again be approximately 
$9,000 per unit. It is possible that an AIS unit will not be this 
expensive to replace.
    In terms of security, we estimated that we will not experience a 
significant benefit from a decrease in risk, as measured in risk points 
reduced in the N-RAT, as a result of AIS installation. There are two 
primary reasons for this estimate. First, the N-RAT was an internal 
Coast Guard tool that was modified to estimate the national benefits 
attributable to the suite of security rulemakings mandated by the MTSA. 
The tool was not designed to measure the security benefits of AIS 
specifically. The N-RAT does not, therefore, robustly capture the risk 
mitigation potential of AIS. Secondly, the Coast Guard strongly 
believes that AIS is critical to maritime domain awareness. We are 
unable to quantify or monetize the benefits of this Coast Guard mission 
or the individual contribution of AIS.
    While the monetized benefit of the rule does not exceed its cost, 
the Coast Guard believes that AIS has the potential to mitigate a 
Transportation Security Incident (TSI) as described in the MTSA. The 
Coast Guard recognizes that a single sensor, such as AIS, will not 
likely prevent a TSI alone--but if AIS can have a mitigating effect on 
just a single TSI, the security benefit could be significant. The Coast 
Guard must consider AIS in its suite of security rulemakings and has 
developed an interim rulemaking that considers the mandates of the MTSA 
in light of the high initial costs of purchasing the unit, by requiring 
AIS in VTS areas only for the domestic fleet. We are concentrating our 
efforts in VTS areas, since this is where we can begin accruing the 
most benefit--for industry, the public, and the Coast Guard--in the 
shortest period of time. Through our interim rulemaking, we are 
attempting to maximize the return to our investment as quickly as 
practical.

Small Entities

    Under the Regulatory Flexibility Act (5 U.S.C. 601-612), we have 
considered whether this rule would have a significant economic impact 
on a substantial number of small entities. The term ``small entities'' 
comprises small businesses, not-for-profit organizations that are 
independently owned and operated and are not dominant in their fields, 
and governmental jurisdictions with populations of less than 50,000. 
This rule does not require a general notice of proposed rulemaking and, 
therefore, is exempt from the requirements of the Regulatory 
Flexibility Act. Although this rule is exempt, we have reviewed it for 
potential economic impacts on small entities. An Initial Regulatory 
Flexibility Analysis discussing the impact of this rule on small 
entities is available in the docket where indicated under ADDRESSES.

Number and Types of Small Entities Affected

U.S. Flag SOLAS Vessels

    Of the affected population, we estimate that 205 U.S. flag SOLAS 
vessels, of 438 total, are owned by 122 small businesses. Approximately 
40 large companies own the remaining 233 U.S. flag SOLAS vessels.
    We estimate the cost of an AIS per vessel in the first year will be 
$9,330. Of this, $7,000 is for the AIS unit, $2,000 is for 
installation, and $330 is for mariner training. We estimate that 
following installation, each AIS will require $250 in annual 
maintenance to replace such items as the antenna, keyboard, and display 
screen. The entire unit will be replaced after 8 years.
    We found that annual maintenance costs will have a less-than-1-
percent impact on annual revenue for all small businesses with U.S. 
flag SOLAS vessels. First-year impacts to small businesses, therefore, 
are the focus of this assessment. To estimate the revenue impact on 
small businesses in the first year, the cost per vessel for an AIS, 
$9,330, is multiplied by the number of vessels owned by each company, 
then divided by the average annual revenue for each company, as 
reported in the online databases noted above. Of the 122 small 
businesses that own U.S. flag SOLAS vessels, we found revenue for 59 of 
them (48 percent). If we could not find revenue data for a business, we 
assumed the business was small. For the remaining 63 small entities 
without revenue data, we expanded the revenue impacts from the known 59 
companies. For example, if 73 percent of 59 small entities (43 
entities) had a 0-3 percent impact on their average annual revenues, 
then 73 percent of 63 small entities (47 entities) had a 0-3 percent 
impact, for a total of 90 small entities with an annual revenue impact 
of 0-3 percent. Table 5 presents the revenue impact for the 59 entities 
with known average annual revenue and the expanded results for the 63 
entities without revenue information.

 Table 5.--Effect of First-Year Cost on Average Annual Revenue for Small Entities Owning U.S. Flag SOLAS Vessels
----------------------------------------------------------------------------------------------------------------
                                                                                     Expanded
                                                     Number of      Percent of       number of      Total small
Percent of annual revenue that is first-year AIS   entities with   entities with   entities with   entities per
                      cost                         known annual    known annual   unknown annual      impact
                                                     revenues        revenues        revenues        category
----------------------------------------------------------------------------------------------------------------
0-3%............................................              43              73              47              90
 3-5%................................               5               8               5              10
 5-10%...............................               4               7               4               8
 10-20%..............................               6              10               6              12
 20-30%..............................               0               0               0               0

[[Page 39362]]

 
 30%.................................               1               2               1               2
                                                 -----------------
    Total.......................................              59             100              63            122
----------------------------------------------------------------------------------------------------------------
Detail may not calculate to total due to independent rounding.

Number and Types of Small Entities Affected: Non-SOLAS Fleet in VTS 
Areas

    We estimate that there are 1,491 small businesses that will be 
affected by the interim rule that own non-SOLAS vessels that transit 
VTS areas. These 1,491 companies own 2,360 vessels, representing 57 
percent of the 4,121 non-SOLAS vessels affected by the rule. An 
estimated 1,456 vessels (35 percent) are owned by 150 large businesses, 
and 55 vessels (1 percent) are owned by State and local governments. We 
have 248 vessels that transit VTS areas (7 percent of the non-SOLAS 
fleet) that have no company associated with the vessel whatsoever, due 
to missing company information in our data. We cannot be certain if 
these vessels belong to small, large, or government entities and do not 
apportion these 248 vessels to one type of entity or another.
    As with the U.S. flag SOLAS fleet, annual cost following 
installation of an AIS will have little impact on annual revenues--a 
less-than-1-percent impact on annual revenue for most small businesses. 
The first-year cost of the interim rule, therefore, will again have the 
greatest impact on average annual revenue. To estimate the revenue 
impact on small businesses in the first year, the cost per vessel for 
an AIS, $9,330, multiplied by the number of vessels owned by each 
company, then divided by the average annual revenue for each company. 
Of the 1,491 small businesses that own non-SOLAS vessels in VTS areas, 
we found revenue for 453 of them (30 percent). As with the assessment 
for the U.S. flag SOLAS fleet, if we could not find revenue data for a 
business, we assumed the business was small. For the remaining 1,038 
small entities without revenue data, we expanded the revenue impacts 
for the known 453 companies. The results of the assessment for the non-
SOLAS fleet in VTS areas are presented in Table 6.

Table 6.--Effect of First-Year Cost on Average Annual Revenue for Small Entities Owning Non-SOLAS Vessels in VTS
                                                      Areas
----------------------------------------------------------------------------------------------------------------
                                                                                     Expanded
                                                     Number of      Percent of       number of      Total small
Percent of annual revenue that is first-year AIS   entities with   entities with   entities with   entities per
                      cost                         known annual    known annual   unknown annual      impact
                                                     revenues        revenues        revenues        category
----------------------------------------------------------------------------------------------------------------
0-3%............................................             334              74             767           1,101
 3-5%................................              47              10             104             151
 5-10%...............................              34               8              83             117
 10-20%..............................              20               4              42              62
 20-30%..............................              11               2              21              32
 30%.................................               7               2              21              28
                                                 -----------------
    Total.......................................             453             100           1,038          1,491
----------------------------------------------------------------------------------------------------------------
Detail may not calculate to total due to independent rounding.

    As shown, the interim rule will have a less-than-3-percent impact 
on 74 percent of small businesses in the first year it is in effect. 
Approximately 92 percent have a less-than-10-percent impact. We 
conclude, therefore, that the interim rule may have a significant 
economic impact on a substantial number of small entities.

Assistance for Small Entities

    Under section 213(a) of the Small Business Regulatory Enforcement 
Fairness Act of 1996 (Public Law 104-121), we want to assist small 
entities in understanding this rule so that they can better evaluate 
its effects on them and participate in the rulemaking. If the rule 
would affect your small business, organization, or governmental 
jurisdiction and you have questions concerning its provisions or 
options for compliance, please consult Mr. Jorge Arroyo (G-MWV) by 
telephone 202-267-1103, toll-free telephone 1-800-842-8740 ext. 7-1103, 
or electronic mail [email protected].
    Small businesses may send comments on the actions of Federal 
employees who enforce, or otherwise determine compliance with, Federal 
regulations to the Small Business and Agriculture Regulatory 
Enforcement Ombudsman and the Regional Small Business Regulatory 
Fairness Boards. The Ombudsman evaluates these actions annually and 
rates each agency's responsiveness to small business. If you wish to 
comment on actions by employees of the Coast Guard, call 1-888-REG-FAIR 
(1-888-734-3247).

Collection of Information

    This rule calls for no new collection of information under the 
Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520). The reports 
required by this rule are considered to be operational communications, 
transitory in nature, and, therefore, do not constitute the collection 
of information under the Paperwork Reduction Act.

[[Page 39363]]

Federalism

    A rule has implications for federalism under Executive Order 13132, 
Federalism, if it has a substantial direct effect on State or local 
governments and would either preempt State law or impose a substantial 
direct cost of compliance on them. It is well settled that States may 
not regulate in categories reserved for regulation by the Coast Guard. 
It is also well settled, now, that all of the categories covered in 46 
U.S.C. 3306, 3703, 7101, and 8101 (design, construction, alteration, 
repair, maintenance, operation, equipping, personnel qualification, and 
manning of vessels), as well as the reporting of casualties and any 
other category in which Congress intended the Coast Guard to be the 
sole source of a vessel's obligations, are within the field foreclosed 
from regulation by the States. In addition, under the authority of 
Title I of the Ports and Waterways Safety Act, 33 U.S.C. 1221-1232 
(specifically 33 U.S.C. 1223) and the MTSA our regulation will preempt 
any State action on the subject of automatic identification system 
carriage requirements. (See the decision of the Supreme Court in the 
consolidated cases of United States v. Locke and Intertanko v. Locke, 
529 U.S. 89, 120 S.Ct. 1135 (March 6, 2000).) Our AIS carriage 
requirement rule falls into the category of equipping of vessels. 
Because the States may not regulate within this category, preemption 
under Executive Order 13132 is not an issue.

Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538) 
requires Federal agencies to assess the effects of their regulatory 
actions not specifically required by law. In particular, the Act 
addresses actions that may result in the expenditure by a State, local, 
or tribal government, in the aggregate, or by the private sector of 
$100 million or more in any one year. We do discuss the effects of this 
interim rule elsewhere in this preamble. However, this interim rule is 
exempted from assessing the effects of the regulatory action as 
required by the Act because it is necessary for the national security 
of the United States (2 U.S.C. 1503(5)).

Taking of Private Property

    This interim rule will not effect a taking of private property or 
otherwise have taking implications under Executive Order 12630, 
Governmental Actions and Interference with Constitutionally Protected 
Property Rights.

Civil Justice Reform

    This interim rule meets applicable standards in sections 3(a) and 
3(b)(2) of Executive Order 12988, Civil Justice Reform, to minimize 
litigation, eliminate ambiguity, and reduce burden.

Protection of Children

    The Coast Guard has analyzed this interim rule under Executive 
Order 13045, Protection of Children from Environmental Health Risks and 
Safety Risks. This interim rule is not an economically significant 
rule, and does not concern an environmental risk to health or risk to 
safety that may disproportionately affect children.

Indian Tribal Governments

    This interim rule does not have tribal implications under Executive 
Order 13175, Consultation and Coordination with Indian Tribal 
Governments, because it would not have a substantial direct effect on 
one or more Indian tribes, on the relationship between the Federal 
Government and Indian tribes, or on the distribution of power and 
responsibilities between the Federal Government and Indian tribes. We 
invite your comments, however, on how this interim rule might impact 
tribal governments, even if that impact may not constitute a ``tribal 
implication'' under the Order.

Energy Effects

    We have analyzed this interim rule under Executive Order 13211, 
Actions Concerning Regulations That Significantly Affect Energy Supply, 
Distribution, or Use. We have determined that it is not a ``significant 
energy action'' under that order because it is not an economically 
significant regulatory action and is therefore not likely to have a 
significant adverse effect on the supply, distribution, or use of 
energy even though it is a ``significant regulatory action'' under 
Executive Order 12866. It has not been designated by the Administrator 
of the Office of Information and Regulatory Affairs as a significant 
energy action. Therefore, it does not require a Statement of Energy 
Effects under Executive Order 13211.

Trade Impact Assessment

    The Trade Agreement Act of 1979 (19 U.S.C. 2501-2582) prohibits 
Federal agencies from engaging in any standards or related activities 
that create unnecessary obstacles to the foreign commerce of the United 
States. Legitimate domestic objectives, such as safety and security, 
are not considered unnecessary obstacles. The Act also requires 
consideration of international standards and, where appropriate, that 
they be the basis for U.S. standards. We have assessed the potential 
effect of this interim rule and have determined that it is not likely 
to create substantial obstacles to the foreign commerce of the United 
States because we are implementing an international standards (IEC/IMO/
ITU). In addition, because these regulations are being put in place in 
order to further a legitimate domestic objective, namely to increase 
the safety of vessels and the security of the United States, any 
obstacles created by the regulation are not considered unnecessary 
obstacles.

Environment

    We have considered the environmental impact of this rule and 
concluded that under figure 2-1, paragraphs (34)(d), (34)(e), and 
(34)(i) of Commandant Instruction M16475.lD, this rule is categorically 
excluded from further environmental documentation. This interim rule 
concerns vessel equipment requirements that will contribute to higher 
levels of marine safety and maritime domain awareness for U.S. ports 
and waterways. A ``Categorical Exclusion Determination'' is available 
in the docket where indicated under ADDRESSES or SUPPLEMENTARY 
INFORMATION.
    This rulemaking will not significantly impact the coastal zone. 
Further, the rulemaking and the execution of this rule will be done in 
conjunction with appropriate State coastal authorities. The Coast Guard 
will, therefore, comply with the requirements of the Coastal Zone 
Management Act while furthering its intent to protect the coastal zone.

List of Subjects

33 CFR Part 26

    Communications equipment, Marine safety, Radiotelephone, Vessels.

33 CFR Part 161

    Harbors, Navigation (water), Reporting and recordkeeping 
requirements, Vessels, Waterways.

33 CFR Part 164

    Incorporation by reference, Marine safety, Navigation (water), 
Reporting and recordkeeping requirements, Waterways.

33 CFR Part 165

    Harbors, Marine safety, Navigation (water), Reporting and 
recordkeeping requirements, Security measures, Waterways.

0
For the reasons discussed in the preamble, the Coast Guard amends 33 
CFR parts 26, 161, 164, and 165 as follows:

[[Page 39364]]

PART 26--VESSEL BRIDGE-TO-BRIDGE RADIOTELEPHONE REGULATIONS

0
1. Revise the authority for part 26 to read as follows:

    Authority: 14 U.S.C. 2; 33 U.S.C. 1201-1208; Pub. L. 107-295, 
116 Stat. 2064; Department of Homeland Security Delegation No. 0170; 
Rule 1, International Regulations for the Prevention of Collisions 
at Sea.


0
2. In Sec.  26.03, in paragraph (f), remove the words, ``Table 26.03(f) 
(VTS Call Signs, Designated Frequencies, and Monitoring Areas).'', and 
add, in their place, the words ``Table 161.12(c) (VTS and VMRS Centers, 
Call Signs/MMSI, Designated Frequencies, and Monitoring Areas).'', and 
delete Table 26.03(f).

PART 161--VESSEL TRAFFIC MANAGEMENT

0
3. Revise the authority for part 161 to read as follows:

    Authority: 33 U.S.C. 1223, 1231; 46 U.S.C. 70114, 70117; Pub. L. 
107-295, 116 Stat. 2064; Department of Homeland Security Delegation 
No. 0170.


0
4. In Sec.  161.2--
0
a. Revise the definitions for ``Vessel Movement Reporting System 
(VMRS)'', ``Vessel Movement Reporting System (VMRS) User''; and
0
b. Add the definitions for ``navigable waters'' and ``Vessel Movement 
Center (VMC)'', in alphabetical order, to read as follows:


Sec.  161.2  Definitions.

* * * * *
    Navigable waters means all navigable waters of the United States 
including the territorial sea of the United States, extending to 12 
nautical miles from United States baselines, as described in 
Presidential Proclamation No. 5928 of December 27, 1988.
* * * * *
    Vessel Movement Center (VMC) means the shore-based facility that 
operates the vessel tracking system for a Vessel Movement Reporting 
System (VMRS) area or sector within such an area. The VMC does not 
necessarily have the capability or qualified personnel to interact with 
marine traffic, nor does it necessarily respond to traffic situations 
developing in the area, as does a Vessel Traffic Service (VTS).
    Vessel Movement Reporting System (VMRS) means a mandatory reporting 
system used to monitor and track vessel movements. This is accomplished 
by a vessel providing information under established procedures as set 
forth in this part in the areas defined in Table 161.12(c) (VTS and 
VMRS Centers, Call Signs/MMSI, Designated Frequencies, and Monitoring 
Areas).
    Vessel Movement Reporting System (VMRS) User means a vessel, or an 
owner, operator, charterer, Master, or person directing the movement of 
a vessel that is required to participate in a VMRS.
* * * * *

0
5. In Sec.  161.12--
0
a. Redesignate paragraphs (a)(1), (b), Table 161.12(b), and paragraph 
(c) as (b), (c), Table 161.12(c), and (d), respectively;
0
b. Revise newly designated paragraph (c) and newly designated Table 
161.12(c) to read as follows:


Sec.  161.12  Vessel operating requirements.

* * * * *
    (c) When not exchanging voice communications, a VTS User must 
maintain a listening watch as required by Sec.  26.04(e) of this 
chapter on the VTS frequency designated in Table 161.12(c) (VTS and 
VMRS Centers, Call Signs/MMSI, Designated Frequencies, and Monitoring 
Areas). In addition, the VTS User must respond promptly when hailed and 
communicate in the English language.

    Note to Sec.  161.12(c): As stated in 47 CFR 80.148(b), a very 
high frequency watch on Channel 16 (156.800 MHz) is not required on 
vessels subject to the Vessel Bridge-to-Bridge Radiotelephone Act 
and participating in a Vessel Traffic Service (VTS) system when the 
watch is maintained on both the vessel bridge-to-bridge frequency 
and a designated VTS frequency.


      Table 161.12(c).--VTS and VMRS Centers, Call Signs/MMSI, Designated Frequencies, and Monitoring Areas
----------------------------------------------------------------------------------------------------------------
                                              Designated frequency (Channel
         Center MMSI 1 Call Sign                 designation)--purpose 2              Monitoring area 3 4
----------------------------------------------------------------------------------------------------------------
Berwick Bay 003669950--
Berwick Traffic..........................  156.550 MHz (Ch. 11)..............  The waters south of 29[deg]45'
                                                                                N., west of 91[deg]10' W., north
                                                                                of 29[deg]37' N., and east of
                                                                                91[deg]18' W.
Houston-Galveston--003669954.............  ..................................  The navigable waters north of
                                                                                29[deg] N., west of 94[deg]20'
                                                                                W., south of 29[deg]49' N., and
                                                                                east of 95[deg]20' W.
Houston Traffic..........................  156.550 MHz (Ch. 11)..............  The navigable waters north of a
                                           156.250 Mhz (Ch. 5A)..............   line extending due west from the
                                           --For Sailing Plans only..........   southern most end of Exxon Dock
                                                                                1 (20[deg]43.37' N.,
                                                                                95[deg]01.27' W.).
Houston Traffic..........................  156.600 MHz (Ch. 12)..............  The navigable waters south of a
                                           156.250 Mhz (Ch. 5A)..............   line extending due west from the
                                           --For Sailing Plans only..........   southern most end of Exxon Dock
                                                                                1 (29[deg]43.37' N.,
                                                                                95[deg]01.27' W.)
Los Angeles/Long Beach: MMSI/To be                                             .................................
 determined
San Pedro Traffic........................  156.700 MHz (Ch.14)...............  Vessel Movement Reporting System
                                                                                Area: The navigable waters
                                                                                within a 25 nautical mile radius
                                                                                of Point Fermin Light
                                                                                (33[deg]42.3' N., 118[deg]17.6'
                                                                                W.).
Louisville: Not applicable
Louisville Traffic.......................  156.650 MHz (Ch. 13)                The waters of the Ohio River
                                                                                between McAlpine Locks (Mile
                                                                                606) and Twelve Mile Island
                                                                                (Mile 593), only when the
                                                                                McAlpine upper pool gauge is at
                                                                                approximately 13.0 feet or
                                                                                above.
Lower Mississippi River 5--0036699952                                          .................................
New Orleans Traffic......................  156.700 MHz (Ch.14)...............  The navigable waters of the Lower
                                                                                Mississippi River below
                                                                                30[deg]38.7' N., 91[deg]17.5' W.
                                                                                (Port Hudson Light at 255 miles
                                                                                Above Head of Passes (AHP)), the
                                                                                Southwest Pass, and, within a 12
                                                                                nautical miles radius around
                                                                                28[deg]54.3' N., 89[deg]25.7' W.
                                                                                (Southwest Pass Entrance Light
                                                                                at 19.9 miles Below Head of
                                                                                Passes).

[[Page 39365]]

 
New Orleans Traffic......................  156.600 MHz (Ch.12)...............  New Orleans Sector. The navigable
                                                                                waters of the Lower Mississippi
                                                                                River bounded on the north by a
                                                                                line drawn perpendicularly at
                                                                                29[deg]56.4' N., 90[deg]08.36'
                                                                                W. and on the south by a line
                                                                                drawn perpendicularly at
                                                                                29[deg]56.24' N., 89[deg]59.86'
                                                                                W. (88 and 106 miles AHP).
New York--003669951
New York Traffic.........................  156.550 MHz (Ch. 11)..............  The area consists of the
                                           --For Sailing Plans only..........   navigable waters of the Lower
                                           156.600 MHz (Ch. 12)..............   New York Bay bounded on the east
                                           --For vessels at anchor...........   by a line drawn from Norton
                                                                                Point to Breezy Point; on the
                                                                                south by a line connecting the
                                                                                entrance buoys at the Ambrose
                                                                                Channel, Swash Channel, and
                                                                                Sandy Hook Channel to Sandy Hook
                                                                                Point; and on the southeast
                                                                                including the waters of Sandy
                                                                                Hook Bay south to a line drawn
                                                                                at latitude 40 25' N; then west
                                                                                in the Raritan Bay to the
                                                                                Raritan River Railroad Bridge,
                                                                                then north into waters of the
                                                                                Arthur Kill and Newark Bay to
                                                                                the Lehigh Valley Draw Bridge at
                                                                                latitude 40 41.9N; and then east
                                                                                including the waters of the Kill
                                                                                Van Kull and the Upper New York
                                                                                Bay north to a line drawn east-
                                                                                west from the Holland Tunnel
                                                                                ventilator shaft at latitude 40
                                                                                43.7' N, longitude 74 01.6' W,
                                                                                in the Hudson River; and then
                                                                                continuing east including the
                                                                                waters of the East River to the
                                                                                Throgs Neck Bridge, excluding
                                                                                the Harlem River.
New York Traffic.........................  156.700 MHz (Ch. 14)..............  The navigable waters of the Lower
                                                                                New York Bay west of a line
                                                                                drawn from Norton Point to
                                                                                Breezy Point; and north of a
                                                                                line connecting the entrance
                                                                                buoys of Ambrose Channel, Swash
                                                                                Channel, and Sandy Hook Channel,
                                                                                to Sandy Hook Point; on the
                                                                                southeast including the waters
                                                                                of the Sandy Hook Bay south to a
                                                                                line drawn at latitude 40 25' N;
                                                                                then west into the waters of
                                                                                Raritan Bay East Reach to a line
                                                                                drawn from Great Kills Light
                                                                                south through Raritan Bay East
                                                                                Reach LGB 14 to Comfort
                                                                                PT, NJ; then north including the
                                                                                waters of the Upper New York Bay
                                                                                south of 40 42.40' N (Brooklyn
                                                                                Bridge) and 40 43.70' N (Holland
                                                                                Tunnel Ventilator Shaft); west
                                                                                through the KVK into the Arthur
                                                                                Kill north of 40 38.25' N
                                                                                (Arthur Kill Railroad Bridge);
                                                                                then north into the waters of
                                                                                the Newark Bay, south of 40
                                                                                41.95' N (Lehigh Valley Draw
                                                                                Bridge).
New York Traffic.........................  156.600 MHz (Ch. 12)..............  The navigable waters of the
                                                                                Raritan Bay south to a line
                                                                                drawn at latitude 40 26' N; then
                                                                                west of a line drawn from Great
                                                                                Kills Light south through the
                                                                                Raritan Bay East Reach LGB
                                                                                14 to Point Comfort,
                                                                                NJ; then west to the Raritan
                                                                                River Railroad Bridge; and north
                                                                                including the waters of the
                                                                                Arthur Kill to 40 28.25' N
                                                                                (Arthur Kill Railroad Bridge);
                                                                                including the waters of the East
                                                                                River north of 40 42.40' N
                                                                                (Brooklyn Bridge) to the Throgs
                                                                                Neck Bridge, excluding the
                                                                                Harlem River.
Port Arthur 5--003669955                   ..................................  .................................
Sabine Traffic...........................  To be determined..................  The navigable waters south of
                                                                                30[deg]10' N., east of
                                                                                94[deg]20' W., west of
                                                                                93[deg]22' W, and, north of
                                                                                29[deg] 10' N.
Prince William Sound--003669958            ..................................  .................................
Valdez Traffic...........................  156.650 MHz (Ch. 13)..............  The navigable waters south of
                                                                                61[deg]05' N., east of
                                                                                147[deg]20' W., north of 60[deg]
                                                                                N., and west of 146[deg]30' W.;
                                                                                and, all navigable waters in
                                                                                Port Valdez.
Puget Sound 6                              ..................................  .................................
Seattle Traffic--003669957...............  156.700 MHz (Ch. 14)..............  The waters of Puget Sound, Hood
                                                                                Canal and adjacent waters south
                                                                                of a line connecting Marrowstone
                                                                                Point and Lagoon Point in
                                                                                Admiralty Inlet and south of a
                                                                                line drawn due east from the
                                                                                southernmost tip of Possession
                                                                                Point on Whidbey Island to the
                                                                                shoreline.
Seattle Traffic--003669957...............  156.250 MHz (Ch. 5A)..............  The waters of the Strait of Juan
                                                                                de Fuca east of 124[deg]40' W.
                                                                                excluding the waters in the
                                                                                central portion of the Strait of
                                                                                Juan de Fuca north and east of
                                                                                Race Rocks; the navigable waters
                                                                                of the Strait of Georgia east of
                                                                                122[deg]52' W.; the San Juan
                                                                                Island Archipelago, Rosario
                                                                                Strait, Bellingham Bay;
                                                                                Admiralty Inlet north of a line
                                                                                connecting Marrowstone Point and
                                                                                Lagoon Point and all waters east
                                                                                of Whidbey Island North of a
                                                                                line drawn due east from the
                                                                                southernmost tip of Possession
                                                                                Point on Whidbey Island to the
                                                                                shoreline.
Tofino Traffic--003160012................  156.725 MHz (Ch. 74)..............  The waters west of 124[deg]40' W.
                                                                                within 50 nautical miles of the
                                                                                coast of Vancouver Island
                                                                                including the waters north of
                                                                                48[deg] N., and east of 127[deg]
                                                                                W.
Victoria Traffi--003160010...............  156.550 MHz (Ch. 11)..............  The waters of the Strait of
                                                                                Georgia west of 122[deg] 52' W.,
                                                                                the navigable waters of the
                                                                                central Strait of Juan de Fuca
                                                                                north and east of Race Rocks,
                                                                                including the Gulf Island
                                                                                Archipelago, Boundary Pass and
                                                                                Haro Strait.

[[Page 39366]]

 
San Francisco--003669956                                                       .................................
San Francisco Traffic....................  156.700 MHz (Ch. 14)..............  The navigable waters of the San
                                                                                Francisco Offshore Precautionary
                                                                                Area, the navigable waters
                                                                                shoreward of the San Francisco
                                                                                Offshore Precautionary Area east
                                                                                of 122[deg]42.0' W. and north of
                                                                                37[deg]40.0' N. extending
                                                                                eastward through the Golden
                                                                                Gate, and the navigable waters
                                                                                of San Francisco Bay and as far
                                                                                east as the port of Stockton on
                                                                                the San Joaquin River, as far
                                                                                north as the port of Sacramento
                                                                                on the Sacramento River.
San Francisco Traffic....................  156.600 MHz (Ch. 12)..............  The navigable waters within a 38
                                                                                nautical mile radius of Mount
                                                                                Tamalpais (37[deg]55.8' N.,
                                                                                122[deg]34.6' W.) west of
                                                                                122[deg]42.0' W. and south of
                                                                                37[deg]40.0' N and excluding the
                                                                                San Francisco Offshore
                                                                                Precautionary Area.
St. Marys River--003669953
Soo Traffic..............................  156.600 MHz (Ch. 12)..............  The waters of the St. Marys River
                                                                                between 45[deg]57' N. (De Tour
                                                                                Reef Light) and 46[deg]38.7' N.
                                                                                (lle Parisienne Light), except
                                                                                the St. Marys Falls Canal and
                                                                                those navigable waters east of a
                                                                                line from 46[deg]04.16' N. and
                                                                                46[deg]01.57' N. (La Pointe to
                                                                                Sims Point in Potagannissing Bay
                                                                                and Worsley Bay).
----------------------------------------------------------------------------------------------------------------
Notes:
1 Maritime Mobile Service Identifier (MMSI) is a unique nine-digit number assigned that identifies ship
  stations, ship earth stations, coast stations, coast earth stations, and group calls for use by a digital
  selective calling (DSC) radio, an INMARSAT ship earth station or AIS. AIS requirements are set forth in Sec.
  Sec.   161.21 and 164.46 of this subchapter.
2 In the event of a communication failure, difficulties or other safety factors, the Center may direct or permit
  a user to monitor and report on any other designated monitoring frequency or the bridge-to-bridge navigational
  frequency, 156.650 MHz (Channel 13) or 156.375 MHz (Ch. 67), to the extent that doing so provides a level of
  safety beyond that provided by other means. The bridge-to-bridge navigational frequency, 156.650 MHz (Ch. 13),
  is used in certain monitoring areas where the level of reporting does not warrant a designated frequency.
3 All geographic coordinates (latitude and longitude) are expressed in North American Datum of 1983 (NAD 83).
4 Some monitoring areas extend beyond navigable waters. Although not required, users are strongly encouraged to
  maintain a listening watch on the designated monitoring frequency in these areas. Otherwise, they are required
  to maintain watch as stated in 47 CFR 80.148.
5 Until rules regarding VTS Lower Mississippi River and VTS Port Arthur are published, vessels are exempted of
  all VTS and VMRS requirements set forth in 33 CFR part 161, except those set forth in Sec.  Sec.   161.21 and
  164.46 of this subchapter.
6 A Cooperative Vessel Traffic Service was established by the United States and Canada within adjoining waters.
  The appropriate Center administers the rules issued by both nations; however, enforces only its own set of
  rules within its jurisdiction. Note, the bridge-to-bridge navigational frequency, 156.650 MHz (Ch. 13), is not
  so designated in Canadian waters, therefore users are encouraged and permitted to make passing arrangements on
  the designated monitoring frequencies.

* * * * *


Sec.  161.15  [Amended]

0
6. In Sec.  161.15--
0
a. In paragraph (a), remove the word ``manage'' and add, in its place, 
the word ``monitor'';
0
b. In paragraph (a), following the words ``within a VTS'', add the 
words ``or VMRS'';
0
c. In paragraph (a) following the words ``directed by the'', remove the 
word ``VTS'' and add, in its place, the word ``Center'';
0
d. In paragraph (b), remove the word ``four'' and add, in its place, 
the word ``three''; and
0
e. In paragraph (b), following the word ``position'', remove the words 
``sailing plan deviation''.

0
7. In Sec.  161.16, revise the introductory text to read as follows:


Sec.  161.16  Applicability.

    Unless otherwise stated, the provisions of this subpart apply to 
the following vessels and VMRS Users:
* * * * *

0
8. Revise Sec.  161.17 to read as follows:


Sec.  161.17  Definitions.

    As used in this subpart:
    Center means a Vessel Traffic Center or Vessel Movement Center.
    Published means available in a widely-distributed and publicly 
available medium (e.g., VTS User's Manual, ferry schedule, Notice to 
Mariners).


Sec.  161.18  [Amended]

0
9. In Sec.  161.18--
0
a. In paragraph (a), remove the word ``VTS'' and add, in its place 
``Center'';
0
b. In paragraphs (b) and (c), remove the words ``Table 161.12(b) (VTS 
Call Signs, Designated Frequencies, and Monitoring Areas)'' and add, in 
their place ``Table 161.12(c) (VTS and VMRS Centers, Call Signs/MMSI, 
Designated Frequencies, and Monitoring Areas)'';
0
c. Redesignate paragraph (d) as paragraph (e); and
0
d. Add new paragraph (d) to read as follows:


Sec.  161.18  Reporting requirements.

* * * * *
    (d) A vessel must report:
    (1) Any significant deviation from its Sailing Plan, as defined in 
Sec.  161.19, or from previously reported information; or
    (2) Any intention to deviate from a VTS issued measure or vessel 
traffic routing system.
* * * * *


Sec.  161.20  [Amended]

0
10. In Sec.  161.20--
0
a. In paragraph (a), remove the word ``VTS'' and add, in its place, the 
word ``VMRS'';
0
b. In paragraph (c), remove the word ``VTC'' and add, in its place, the 
word ``Center''; and
0
c. Remove the note at the end of the section.

0
11. Revise Sec.  161.21 to read as follows:


Sec.  161.21  Automated reporting.

    (a) Unless otherwise directed, vessels equipped with an Automatic 
Identification System (AIS) are required to make continuous, all 
stations, AIS broadcasts, in lieu of voice Position Reports, to those 
Centers denoted in Table 161.12(c) of this part.
    (b) Should an AIS become non-operational, while or prior to 
navigating a VMRS area, it should be restored to

[[Page 39367]]

operating condition as soon as possible, and, until restored a vessel 
must:
    (1) Notify the Center;
    (2) Make voice radio Position Reports at designated reporting 
points as required by Sec.  161.20(b) of this part; and
    (3) Make any other reports as directed by the Center.


Sec.  161.23  [Amended]

0
12. In Sec.  161.23, in paragraph (b)(1), remove the word ``VTS'' and, 
in its place, add the word ``VMRS''; remove paragraph (c); and remove 
the note at the end of the section.

Subpart C-Vessel Traffic Service and Vessel Movement Reporting 
System Areas and Reporting Points

0
13. Revise the heading for subpart C to read as set forth immediately 
above.

PART 164--NAVIGATION SAFETY REGULATIONS

0
14. Revise the authority citation for part 164 to read as follows:

    Authority: 33 U.S.C. 1223, 1231; 46 U.S.C. 2103, 3703, 70114, 
70117; Pub. L. 107-295, 116 Stat. 2064; Department of Homeland 
Security Delegation No. 0170. Sec. 164.13 also issued under 46 
U.S.C. 8502. Sec. 164.61 also issued under 46 U.S.C. 6101.


0
15. In Sec.  164.01--
0
a. In paragraph (a) following the words ``except as provided in'', 
remove the words ``paragraph (c)'' and, in their place, add the words 
``paragraphs (c) and (d)'';
0
b. In paragraph (c) remove the words ``and 164.33'', and, in their 
place, add the words ``164.33, and 164.46''; and
0
c. Add a new paragraph (d) to read as follows:


Sec.  164.01  Applicability.

* * * * *
    (d) Provisions of Sec.  164.46 apply to some self-propelled vessels 
of less than 1600 gross tonnage.


Sec.  164.02  [Amended]

0
16. In Sec.  164.02, at the beginning of paragraph (a), remove the 
words ``This part'', and, add in their place, the words ``Except as 
provided in Sec.  164.46(a)(2) of this part''.

0
17. In Sec.  164.03(b), add the entry for ``International 
Electrotechnical Commission''; under the entry for ``International 
Maritime Organization (IMO),'' add entries for Resolution MSC.74(69), 
SN/Circ.277, SOLAS 2000 Amendments, Conference resolution 1; and under 
the entry for ``International Telecommunications Union 
Radiocommunication Bureau (ITU-R)'', add an entry for ITU-R 
Recommendation M.1371-1 to read as follows:


Sec.  164.03  Incorporation of reference.

* * * * *
    (b) * * *

International Electrotechnical Commission (IEC)

    3, rue de Varemb, Geneva, Switzerland.

IEC 61993-2, Maritime navigation and radiocommunication           164.46
 equipment and systems--Automatic identification systems
 (AIS)--part 2: Class A shipborne equipment of the universal
 automatic identification system (AIS)--Operational and
 performance requirements, methods of test and required test
 results First edition, 2001-12..............................
 

International Maritime Organization (IMO)

    Publication Section, 4 Albert Embankment, London SE1 7SR, United 
Kingdom.

Resolution MSC.74(69), Annex 3, Recommendation on Performance     164.46
 Standards for a Universal Shipborne Automatic Identification
 System (AIS), adopted May 12, 1998..........................
SN/Circ.277, Guidelines for the Installation of a Shipborne       164.46
 Automatic Identification System (AIS), dated January 6, 2003
SOLAS, International Convention for Safety of Life at Sea,        164.46
 1974, and 1988 Protocol relating thereto, 2000 Amendments,
 effective January and July 2002, (SOLAS 2000 Amendments)....
Conference resolution 1, Adoption of amendments to the Annex      164.46
 to the International Convention for the Safety of Life at
 Sea, 1974, and amendments to Chapter V of SOLAS 1974,
 adopted December 12, 2002...................................
 

International Telecommunication Union Radiocommunication Bureau (ITU-R)

    Place de Nations, CH-1211 Geneva 20 Switzerland.

ITU-R Recommendation M.1371-1, Technical characteristics for      164.46
 a universal shipborne automatic identification system using
 time division multiple access in the VHF maritime mobile
 band, 1998-2001.............................................
 

Sec.  164.43  [Amended]

0
18. In Sec.  164.43--
0
a. Revise the section heading to read ``Automatic Identification System 
Shipborne Equipment--Prince William Sound'' ; and
0
b. In paragraph (a), remove the word ``Each'', and add, in its place, 
the words ``Until July 1, 2004, each''; and add the words ``under Sec.  
165.1704 of this subchapter'' immediately after the words ``Vessel 
Traffic Service (VTS)''.

0
19. Add new Sec.  164.46 to read as follows:


Sec.  164.46  Automatic Identification System (AIS).

    (a) The following vessels must have an installed, operational AIS 
that complies with the IMO Resolution MSC.74(69), ITU-R Recommendation 
M.1371-1, and IEC 61993-2, and that is installed using IMO SN/Circ.277 
(Incorporated by reference, see Sec.  164.03) as of the date specified. 
``Length'' refers to ``registered length'' as defined in 46 CFR, part 
69.
    (1) Self-propelled vessels of 65 feet or more in length engaged in 
commercial service and on an international voyage, not later than 
December 31, 2004.
    (2) Notwithstanding paragraph (a)(1) of this section, the following 
vessels subject to the International Convention for Safety at Life at 
Sea, 1974, (SOLAS) as amended, that are on an international voyage must 
also comply with SOLAS, chapter V, as amended by SOLAS 2000 Amendments 
and Conference resolution 1 (Incorporated by reference, see Sec.  
164.03):
    (i) Passenger vessels, of 150 gross tonnage or more, not later than 
July 1, 2003;
    (ii) Tankers, regardless of tonnage, not later than the first 
safety survey for safety equipment on or after July 1, 2003;
    (iii) Vessels, other than passenger vessels or tankers, of 50,000 
gross tonnage or more, not later than July 1, 2004; and
    (iv) Vessels, other than passenger vessels or tankers, of 300 gross 
tonnage or more but less than 50,000 gross tonnage, not later than the 
first safety survey for safety equipment on or after July 1, 2004, but 
no later than December 31, 2004.
    (b) Notwithstanding paragraphs (a)(1) and (a)(2) of this section, 
the following vessels, transiting an area listed in table 161.12(c) of 
Sec.  161.12 of this part.
    (1) Each self-propelled vessel of 65 feet or more in length, 
engaged in commercial service;
    (2) Each towing vessel of 26 feet or more in length and more than 
600 horsepower;
    (3) Each vessel of 100 gross tons or more carrying one or more 
passengers for hire; and
    (4) Each passenger vessel certificated to carry 50 or more 
passengers for hire.

[[Page 39368]]

    (c) The vessels listed in paragraph (b) of this section must comply 
according to the following schedule:
    (1) For VTS St. Marys River, not later than December 31, 2003;
    (2) For VTS Berwick Bay, VMRS Los Angeles/Long Beach, VTS Lower 
Mississippi River, VTS Port Arthur and VTS Prince William Sound, not 
later than July 1, 2004; and
    (3) For VTS Houston-Galveston, VTS New York, VTS Puget Sound, and 
VTS San Francisco, not later than December 31, 2004.
    (d) The requirements for Vessel Bridge-to-Bridge radiotelephones in 
Sec. Sec.  26.04(a) and (c), 26.05, 26.06 and 26.07 of this chapter, 
also apply to AIS. The term ``effective operating condition'' used in 
Sec.  26.06 includes accurate input and upkeep of all AIS data fields, 
including estimated time of arrival, destination, and number of people 
on board.
    (e) The use of a portable AIS is permissible, only to the extent 
that electromagnetic interference does not affect the proper function 
of existing navigation and communication equipment on board, and such 
that only one AIS unit may be in operation at any one time.
    (f) The AIS Pilot Plug, on each vessel over 1,600 gross tons, on 
international voyage, shall be available for pilot use, easily 
accessible from the primary conning position of the vessel, and near an 
AC power receptacle.

PART 165--REGULATED NAVIGATION AREAS AND LIMITED ACCESS AREAS

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20. Revise the authority citation for part 165 to read as follows:

    Authority: 33 U.S.C. 1226, 1231; 46 U.S.C. Chapter 701; 50 
U.S.C. 191, 195; 33 CFR 1.05-1(g), 6.04-1, 6.04-6, and 160.5; Pub. 
L. 107-295, 116 Stat. 2064; Department of Homeland Security 
Delegation No. 0170.


Sec.  165.1704  [Amended]

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21. In Sec.  165.1704, at the beginning of paragraph (c)(6) remove the 
words ``Not later than July 1, 1994,'', and, add in their place, the 
words ``Until July 1, 2004,''.

    Dated: June 23, 2003.
Thomas H. Collins,
Admiral, Coast Guard, Commandant.
[FR Doc. 03-16191 Filed 6-27-03; 8:45 am]
BILLING CODE 4910-15-P