[Federal Register Volume 80, Number 68 (Thursday, April 9, 2015)]
[Proposed Rules]
[Pages 19118-19158]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-06611]



[[Page 19117]]

Vol. 80

Thursday,

No. 68

April 9, 2015

Part II





Department of Homeland Security





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Coast Guard





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33 CFR Parts 148, 149, and 150





Deepwater Ports; Proposed Rule

  Federal Register / Vol. 80 , No. 68 / Thursday, April 9, 2015 / 
Proposed Rules  

[[Page 19118]]


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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Parts 148, 149, and 150

[Docket No. USCG-2012-0061]
RIN 1625-AB92


Deepwater Ports

AGENCY: Coast Guard, DHS.

ACTION: Notice of proposed rulemaking.

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SUMMARY: The Coast Guard proposes revisions to its regulations for the 
licensing, construction, design, equipment, and operation of deepwater 
ports, which are offshore fixed or floating structures, other than 
vessels, used as ports or terminals for the import or export of oil and 
natural gas. The proposed revisions would provide additional 
information, clarify existing regulations, provide additional 
regulatory flexibility, and add new requirements to ensure safety. The 
proposed rule would not affect the license to operate of any existing 
deepwater port, nor would it result in the licensing of any new 
deepwater port. This proposed rule furthers the Coast Guard's maritime 
safety and stewardship missions.

DATES: Comments and related material must either be submitted to our 
online docket via http://www.regulations.gov on or before July 8, 2015 
or must reach the Docket Management Facility by that date.

ADDRESSES: You may submit comments identified by docket number USCG-
2012-0061 using any one of the following methods:
    (1) Online: http://www.regulations.gov.
    (2) Fax: 202-493-2251.
    (3) Mail: Docket Management Facility (M-30), U.S. Department of 
Transportation, West Building Ground Floor, Room W12-140, 1200 New 
Jersey Avenue SE., Washington, DC 20590-0001.
    (4) Hand delivery: Same as mail address above, between 9 a.m. and 5 
p.m., Monday through Friday, except Federal holidays. The telephone 
number is 202-366-9329.
    To avoid duplication, please use only one of these four methods. 
See the ``Public Participation and Request for Comments'' portion of 
the SUPPLEMENTARY INFORMATION section below for instructions on 
submitting comments.

FOR FURTHER INFORMATION CONTACT: If you have questions on this proposed 
rule, call or email Mr. Kevin Tone, Deepwater Ports Standards Division 
(CG-OES-4), Coast Guard; telephone 202-372-1441, email 
[email protected]. If you have questions on viewing or submitting 
material to the docket, call Barbara Hairston, Program Manager, Docket 
Operations, telephone 202-366-9826.

SUPPLEMENTARY INFORMATION: 

Table of Contents for Preamble

I. Public Participation and Request for Comments
    A. Submitting Comments
    B. Viewing Comments and Documents
    C. Privacy Act
    D. Public Meeting
II. Abbreviations
III. Executive Summary
IV. Background
V. Discussion of Proposed Rule
VI. Regulatory Analyses
    A. Regulatory Planning and Review
    B. Small Entities
    C. Assistance for Small Entities
    D. Collection of Information
    E. Federalism
    F. Unfunded Mandates Reform Act
    G. Taking of Private Property
    H. Civil Justice Reform
    I. Protection of Children
    J. Indian Tribal Governments
    K. Energy Effects
    L. Technical Standards
    M. Environment

I. Public Participation and Request for Comments

    We encourage you to participate in this rulemaking by submitting 
comments and related materials. All comments received will be posted 
without change to http://www.regulations.gov and will include any 
personal information you have provided.

A. Submitting Comments

    If you submit a comment, please include the docket number for this 
rulemaking (USCG-2012-0061), indicate the specific section of this 
document to which each comment applies, and provide a reason for each 
suggestion or recommendation. You may submit your comments and material 
online or by fax, mail, or hand delivery, but please use only one of 
these means. We recommend that you include your name and a mailing 
address, an email address, or a phone number in the body of your 
document so that we can contact you if we have questions regarding your 
submission.
    To submit your comment online, go to http://www.regulations.gov, 
and follow the instructions on that Web site. If you submit your 
comments 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 comments 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 may change this proposed rule based on your 
comments.

B. Viewing Comments and Documents

    To view comments, as well as documents mentioned in this preamble 
as being available in the docket, go to http://www.regulations.gov, and 
follow the instructions on that Web site. If you do not have access to 
the Internet, you may view the docket online by visiting the Docket 
Management Facility in Room W12-140 on the ground floor of the 
Department of Transportation West Building, 1200 New Jersey Avenue SE., 
Washington, DC 20590, between 9 a.m. and 5 p.m., Monday through Friday, 
except Federal holidays. We have an agreement with the Department of 
Transportation to use the Docket Management Facility.

C. Privacy Act

    Anyone can search the electronic form of comments received into any 
of our dockets by the name of the individual submitting the comment (or 
signing the comment, if submitted on behalf of an association, 
business, labor union, etc.). You may review a Privacy Act notice 
regarding our public dockets in the January 17, 2008, issue of the 
Federal Register (73 FR 3316).

D. Public Meeting

    We do not now plan to hold a public meeting. But you may submit a 
request for one to the docket using one of the methods specified under 
ADDRESSES. In your request, explain why you believe a public meeting 
would be beneficial. If we decide to hold a public meeting, we will 
announce its time and place in a later notice in the Federal Register.

II. Abbreviations

ABS American Bureau of Shipping
APPS Act to Prevent Pollution from Ships
BOEM Bureau of Ocean Energy Management
BSEE Bureau of Safety and Environmental Enforcement
CE Certifying Entity
CFR Code of Federal Regulations
COA Certificate of Adequacy
COTP Captain of the Port
DHS Department of Homeland Security
DNV Det Norske Veritas
DOI Department of the Interior
DWPA Deepwater Port Act of 1974
EIA Energy Information Administration
EIS Environmental Impact Statement
E.O. Executive Order

[[Page 19119]]

FR Federal Register
FWS National Fish and Wildlife Service
HDD Horizontal Directional Drilling
LNG Liquefied Natural Gas
LOOP Louisiana Offshore Oil Port
MARAD Maritime Administration
MARPOL 73/78 International Convention for the Prevention of 
Pollution from Ships, 1973, as modified by the Protocol of 1978 
relating to that Convention
MODU Mobile Offshore Drilling Unit
MOU Memorandum of Understanding
MSU Marine Safety Unit
MTSA Maritime Transportation Security Act of 2002
NAICS North American Industry Classification System
NEPA National Environmental Policy Act of 1969
NMFS National Marine Fisheries Service
OCMI Officer in Charge of Marine Inspection
OMB Office of Management and Budget
OPA 90 Oil Pollution Act of 1990
PHMSA Pipeline and Hazardous Materials Safety Administration
PLEM Pipeline End Manifold
PMMP Prevention, Monitoring and Mitigation Program
PRA Paperwork Reduction Act of 1995
Pub. L. Public Law
ROD Record of Decision
SMS Safety Management System
SOLAS International Convention for the Safety of Life at Sea
SPM-NGTS Single Point Mooring-Natural Gas Transfer System
SPM-OTS Single Point Mooring-Oil Transfer System
STL buoy Submerged turret loading buoy
Sec.  Section symbol
U.S.C. United States Code

III. Executive Summary

    The purpose of this rulemaking is to revise existing Coast Guard 
regulations for deepwater ports. A deepwater port is a fixed or 
floating manmade structure, or a group of structures, other than a 
vessel, located beyond State seaward boundaries and used or intended 
for use as a port or terminal for the transportation, storage, and 
further handling of oil or natural gas for transportation to or from 
any State.\1\ The proposed revisions would expedite the deepwater port 
license application process by capitalizing on lessons learned from 
past license applications. They would also address recent changes in 
the natural gas industry by allowing the use of deepwater ports as 
export facilities.
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    \1\ See 33 U.S.C. 1502(9).
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    The legal basis of this rulemaking is 33 U.S.C. 1504(a) and (b), 
which require the Secretary of Transportation to issue regulations to 
implement the Deepwater Port Act of 1974, as amended (DWPA).\2\ Before 
2003, the Coast Guard operated under the Department of Transportation, 
and the Secretary of Transportation's authority under Sec.  1504 was 
delegated to the Coast Guard in 49 CFR 1.46. When the Coast Guard was 
transferred to the Department of Homeland Security (DHS) in 2003, ``the 
authorities and functions of the Secretary of Transportation relating'' 
to the Coast Guard, including the Secretary of Transportation's 
authority relating to deepwater ports, also were transferred to DHS.\3\ 
The Secretary of Homeland Security has delegated the Secretary's 
regulatory authority under 33 U.S.C. 1504 to the Coast Guard.\4\ The 
Secretary of Transportation's authority to license deepwater ports \5\ 
is delegated \6\ to the Maritime Administrator.
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    \2\ 33 U.S.C. 1501 et seq.
    \3\ See 6 U.S.C. 468(b).
    \4\ See DHS Delegation No. 0170.1(II)(75).
    \5\ 33 U.S.C. 1503(b).
    \6\ 49 CFR 1.93(h).
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    This NPRM proposes numerous small revisions to a complex regulatory 
scheme. Collectively, these revisions will provide applicants with 
additional information and clarity, additional regulatory flexibility, 
and new requirements to ensure safety. Above all, the revisions should 
help applicants assemble more complete applications, to help them meet 
the Coast Guard's regulatory requirements within the strict time 
limitations mandated by the DWPA and without costly suspensions of the 
licensing process. The proposed rule would not affect the license to 
operate of any existing deepwater port, nor would it result in the 
licensing of any new deepwater port.
    This NPRM would impose no new regulatory costs and should help 
future license applicants receive more efficient, faster processing of 
their applications. Some proposed revisions may give applicants more 
flexibility than they have under current regulations. Finally, some 
applicants may benefit from proposed revisions that would facilitate 
the licensing of export deepwater ports.

IV. Background

    Deepwater ports are oil or natural gas import or export facilities, 
not exploration, development, or production facilities like drilling 
rigs.\7\ Deepwater ports are subject to the DWPA. When the DWPA was 
first enacted, it applied only to deepwater ports handling oil imports. 
Section 106 of the Maritime Transportation Security Act of 2002 \8\ 
(MTSA) amended the DWPA to apply to natural gas imports as well. 
Section 312 of the Coast Guard and Maritime Transportation Act of 2012 
\9\ further amended the DWPA so that it now also authorizes deepwater 
ports for oil or natural gas exports. MARAD must license each deepwater 
port before it can be built and commissioned and begin operations, but 
MARAD consults the Coast Guard and other Federal agencies,\10\ as well 
as affected State governments, before issuing licenses. License 
applications are jointly processed by the Coast Guard and MARAD, and we 
conduct the necessary analysis to determine whether a proposed 
deepwater port will comply with the DWPA and to ensure compliance with 
other applicable laws, in particular the National Environmental Policy 
Act of 1969 (NEPA). Also, the Coast Guard provides the regulatory 
framework governing the application and licensing process as well as 
the design, construction, equipment, and operation of deepwater ports. 
Our deepwater port regulations in 33 CFR subchapter NN (parts 148, 149, 
and 150) were first issued in 1975, and were extensively revised in 
2004 and 2006 to reflect the 2002 extension of the DWPA to natural gas.
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    \7\ See 33 CFR 140.10 (excluding deepwater ports from the 
definition of an Outer Continental Shelf facility).
    \8\ Public Law 107-295, 116 Stat. 2064.
    \9\ Public Law 112-213, 126 Stat. 1540.
    \10\ The Department of the Interior (DOI) advises license 
applicants that: (a) In accordance with 43 U.S.C. 1334(a)(5), to the 
extent that a proposed deepwater port's design includes subsurface 
storage on submerged lands of the Outer Continetal Shelf, that 
storage is subject to DOI's review and approval; (b) As a 
cooperating agency during a license application's processing, the 
Bureau of Ocean Energy Management (BOEM) and the Bureau of Safety 
and Environmental Enforcement (BSEE) participate in the review of 
proposed deepwater ports; and (c) under BSEE regulations (30 CFR 
part 250, subpart J), a right-of-way granted by BSEE and a right-of-
way rental amount may be required.
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    Since our most recent substantive revision of subchapter NN,\11\ 
the Coast Guard has received eight applications to site, construct, and 
operate natural gas deepwater ports. Four applications were 
subsequently withdrawn by the applicants. Of the remaining four, two 
deepwater ports have been constructed, one has been issued a license to 
construct, and one has initial approval through a favorable Record of 
Decision (ROD) \12\ from MARAD. All four were for natural gas imports. 
In processing these four applications, the Coast Guard and other 
Federal agencies have identified additional, specific types of 
information that are necessary to ensure a timely review of, and 
decision on, deepwater

[[Page 19120]]

port applications. During the application review process, and after the 
construction and operation of new deepwater ports, we gained additional 
insight into the technical and operational requirements that will help 
ensure operations are conducted efficiently and in a manner that 
furthers safety, security, and environmental protection. The DWPA, 33 
U.S.C. 1504(g), provides a 240-day ``clock'' within which license 
applications must be processed (from publication of the notice of 
initial application to the final public hearing). To ensure compliance 
with the DWPA and NEPA, those wanting to build and operate a deepwater 
port must provide complex and highly technical information with their 
license applications. Under 33 U.S.C. 1504(c)(1), the Coast Guard has 
21 days in which to determine whether an application appears to contain 
all the necessary information. If the application appears to be 
incomplete, the Coast Guard informs the applicant as to its 
deficiencies, and takes no further action until the deficiencies are 
corrected. If the application appears to be complete, the Coast Guard 
must publish a notice of the application and a summary of the plans in 
the Federal Register. Long after this initial determination of 
completeness, however, we often find that we need additional 
information to complete a proper analysis of the proposed deepwater 
port's environmental impact, and the applicant is required by 33 U.S.C 
1504(c)(2)(M) to provide that information. Our regulations \13\ make it 
clear that the need to obtain important additional information ``stops 
the clock,'' extending the 240-day deadline by the length of time 
needed to obtain the additional information.
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    \11\ 71 FR 57644; Sep. 29, 2006.
    \12\ A Record of Decision states what the agency's decision is; 
identifies all alternatives considered by the agency, specifies the 
alternative or alternatives which were considered to be 
environmentally preferable; and states whether all practicable means 
to avoid or minimize environmental harm from the alternative 
selected have been adopted, and if not, why they were not. See 40 
CFR 1505.2.
    \13\ At 33 CFR 148.107(c)(3).
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V. Discussion of Proposed Rule

    This proposed rule draws on the lessons we have learned about 
efficiencies in the license application review process and in building 
and operating safe and efficient deepwater ports. In developing this 
proposed rule, we have consulted with MARAD and other Federal agencies 
that work with us on deepwater port issues, and we will continue this 
consultation as we develop a final rule.
    This proposed rule would primarily clarify existing requirements or 
provide more information about how those requirements intersect with 
the requirements of other Federal agencies and State governments that 
have roles in the licensing and operation of deepwater ports. The 
intent of this proposed rule is to reduce the number of times the 
``clock is stopped'' pursuant to our regulations, thereby reducing the 
time needed to reach decisions on applications. Although we propose a 
few new requirements, they are likely to impose no new regulatory costs 
because they track with industry's current behavior. We also propose 
several changes that should provide industry with additional regulatory 
flexibility. Our proposals would apply to any applications received 
after the effective date of the final rule. The rule would not affect 
the license to operate any existing deepwater port, nor would they 
result in the licensing of any new deepwater port.
    The proposed rule aligns with directives in several Executive 
Orders (E.O.s). Section 3(a)(1) of E.O. 12988 \14\ requires agencies to 
review proposed regulations to eliminate drafting errors and ambiguity, 
and our proposed rule will clarify ambiguities that have come to light 
since we last amended our current regulations. Because the proposed 
rule draws on lessons learned from applying our current regulations, it 
helps make those regulations more effective and less burdensome and is 
therefore in line with E.O. 13563.\15\ In light of the recent surge in 
U.S. natural gas production, and now that the DWPA permits deepwater 
ports to export oil and natural gas, our proposed rule may also 
facilitate the development or conversion \16\ of existing deepwater 
ports to export U.S. natural gas by clarifying the deepwater port 
application process and lessening the likelihood of time-consuming 
delays in that process. Therefore it may contribute to the job creation 
and economic benefits that are goals of E.O. 13605.\17\
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    \14\ ``Civil Justice Reform,'' 61 FR 4729 (Feb. 5, 1996).
    \15\ ``Improving Regulation and Regulatory Review, ''76 FR 3821 
(Jan. 21, 2011), Sec.  6(b).
    \16\ An application for the conversion of an existing import 
facility to one adapted for export would require the submission of a 
new application fee. The conversion application would need to 
address all the same issues addressed in an original application.
    \17\ ``Supporting Safe and Responsible Development of 
Unconventional Domestic Natural Gas Resources,'' 77 FR 23107 (Apr. 
17, 2012).
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    The changes we propose for part 148 focus on providing deepwater 
port license applicants with clearer information about the information 
we require, so that applicants will be less likely to encounter 
``stopped clocks.'' We propose reorganizing part 149, which addresses 
the complex process of designing, constructing, and equipping deepwater 
ports. Other changes in part 149 would clarify its requirements or 
adapt terminology to the reality that no two deepwater ports use 
identical design elements. Most of the procedural changes we propose 
would affect the deepwater port operations requirements in part 150. In 
addition to clarifying part 150's requirements and providing more 
information, we propose changes (in line with current industry 
practice) that would ensure that future deepwater ports continue to 
meet acceptable levels of safety.
    Table 1 lists each section that we propose adding or amending, and 
briefly explains our rationale for the proposal. It omits the 
nonsubstantive redesignation of specific sections as part of the 
reorganization of part 149, which we discuss in the table, and the 
nonsubstantive insertion of ``but not limited to'' in lists, to 
emphasize their non-exclusive nature.

                               Table 1--Changes Proposed for 33 CFR Subchapter NN
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                Section                          Change            Nature of change            Discussion
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                                                    PART 148
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3......................................  Revise descriptions    Informational........  Based on latest statutory
                                          of each agency's                              or interagency
                                          authority.                                    allocation of functions.
                                                                                        We would describe, not
                                                                                        change, that allocation.
5......................................  ``Accommodation        Add definition.......  Term figures in proposed
                                          module''.                                     changes.

[[Page 19121]]

 
                                         ``Construction''.....  Revise definition....  Clarify that Coast Guard
                                                                                        oversight applies
                                                                                        throughout the deepwater
                                                                                        port lifecycle by
                                                                                        emphasizing that
                                                                                        construction applies to
                                                                                        any activity incidental
                                                                                        to building, repairing,
                                                                                        or expanding a deepwater
                                                                                        port.
                                         ``Deepwater port''...  Revise definition....  Align with current
                                                                                        statutory language,
                                                                                        which allows deepwater
                                                                                        ports to export as well
                                                                                        as import oil or natural
                                                                                        gas.
                                         ``Deepwater port       Add definition.......  Term figures in proposed
                                          security plan''.                              changes.
                                         ``Engineering          Revise definition....  Clarify that the
                                          geological survey''.                          necessary analysis
                                                                                        considers all geological
                                                                                        factors and is not
                                                                                        limited to
                                                                                        hydrographics. Coast
                                                                                        Guard's experience is
                                                                                        that the scope of this
                                                                                        analysis has been
                                                                                        confusing in the past.
                                         ``Flexible riser and   Add definition.......  Term figures in proposed
                                          umbilical''.                                  changes.
                                         ``Lease block''......  Revise definition....  Simplify statutory
                                                                                        citations.
                                         ``Major conversion''.  Transfer definition..  Transfer from part 149
                                                                                        without substantive
                                                                                        change.
                                         ``Marine Safety Unit   Add definition.......  Updated Coast Guard
                                          (MSU) Commander''.                            internal organization.
                                         ``Marine site''......  Revise language......  Clarify meaning of
                                                                                        ``including.''
                                         ``Maritime             Revise definition....  Updated MARAD
                                          Administration''.                             information.
                                         ``Mile''.............  Add definition.......  Clarify that subchapter
                                                                                        NN references to miles
                                                                                        mean nautical miles.
                                         ``Operator''.........  Revise definition....  Clarify that the operator
                                                                                        may be the licensee's
                                                                                        designee and not the
                                                                                        licensee itself.
                                         ``Person in charge''.  Revise definition....  Clarify definition.
                                         ``PIC''..............  Add definition.......  Add separate definition
                                                                                        to help distinguish
                                                                                        ``person in charge''
                                                                                        from ``PIC.''
                                         ``Pipeline''.........  Add definition.......  Define to distinguish
                                                                                        portion of interest to
                                                                                        Coast Guard from
                                                                                        equipment regulated by
                                                                                        Pipeline and Hazardous
                                                                                        Materials Safety
                                                                                        Administration.
                                         ``Pipeline end         Add definition.......  Define to distinguish
                                          manifold''.                                   portion of interest to
                                                                                        Coast Guard from
                                                                                        equipment regulated by
                                                                                        Pipeline and Hazardous
                                                                                        Materials Safety
                                                                                        Administration (PHMSA).
                                         ``Prevention,          Add definition.......  Term figures in proposed
                                          monitoring, and                               changes.
                                          mitigation program''.
                                         ``Safety zone''......  Revise definition....  Clarify that a deepwater
                                                                                        port is the facility at
                                                                                        issue.
                                         ``Service space''....  Transfer definition..  Transfer from part 149
                                                                                        without substantive
                                                                                        change.
                                         ``Single point         Revise definition....  Clarify and distinguish
                                          mooring oil transfer                          terms that are sometimes
                                          system''.                                     confused.
                                         ``Single point         Revise definition....  Clarify and distinguish
                                          mooring natural gas                           terms that are sometimes
                                          transfer system''.                            confused.
                                         ``Sleeping space''...  Transfer definition..  Transfer from part 149
                                                                                        without substantive
                                                                                        change.
                                         ``Submerged turret     Add definition.......  Term figures in proposed
                                          loading buoy''.                               changes.
                                         ``Vessel''...........  Revise definition....  Conform to definition
                                                                                        used in 1 U.S.C. 3.
8......................................  Certifying entities    Provide additional     Operators are currently
                                          (CEs).                 regulatory             allowed to use CEs to
                                                                 flexibility.           assist with post-
                                                                                        licensing technical
                                                                                        matters. We would also
                                                                                        allow license applicants
                                                                                        to use CEs during the
                                                                                        application process, to
                                                                                        help identify
                                                                                        information gaps and
                                                                                        resolve technical
                                                                                        questions.
105(g)(1)(i)...........................  Describe MARAD as      Informational........  We would more accurately
                                          acting in                                     reflect MARAD's lead
                                          consultation with                             role for matters
                                          the Coast Guard,                              regarding the financial
                                          instead of the Coast                          responsibility of a
                                          Guard acting in                               deepwater port
                                          concurrence with                              application.
                                          MARAD.
105(g)(2)(iii).........................  Change ``operator''    Clarification........  Financial liability rests
                                          to ``licensee,'' as                           with a deepwater port's
                                          the party                                     licensee, not with the
                                          responsible for                               operator, who may be
                                          deepwater port                                only the licensee's
                                          removal costs.                                designee.
105(i)(1)..............................  Change ``is'' to       Style................  Style change.
                                          ``will be''.
105(j).................................  Provide additional     Informational........  We would give license
                                          information about                             applicants more detailed
                                          coastal zone                                  information, including a
                                          management.                                   reference to applicable
                                                                                        National Oceanic and
                                                                                        Atmospheric
                                                                                        Administration
                                                                                        regulations, to help
                                                                                        applicants more quickly
                                                                                        establish compliance
                                                                                        with 33 U.S.C.
                                                                                        1503(c)(9)'s requirement
                                                                                        for an approved coastal
                                                                                        zone management program
                                                                                        under the Coastal Zone
                                                                                        Management Act of 1972.

[[Page 19122]]

 
105(k).................................  Provide an             Provide additional     Delay in securing the
                                          alternative to the     regulatory             services of a registered
                                          use of a               flexibility.           professional surveyor
                                          professional                                  has ``stopped the
                                          surveyor.                                     clock'' in at least one
                                                                                        instance. We would allow
                                                                                        the use of others with
                                                                                        equivalent professional
                                                                                        competency.
105(m)(1)(i)...........................  Revise provisions      Clarification........  We would delete language
                                          relating to fixed                             concerning connected
                                          and floating                                  actions, because it is
                                          structures.                                   redundant with the
                                                                                        requirement in 33 CFR
                                                                                        148.105(l) to provide
                                                                                        data for onshore storage
                                                                                        areas, pipelines, and
                                                                                        refineries.
105(m)(1)(iii).........................  Revise provisions      Clarification........  We would clarify that
                                          relating to                                   anchorages and mooring
                                          anchorages and                                areas can be used during
                                          mooring areas.                                a deepwater port's
                                                                                        construction as well as
                                                                                        after it becomes
                                                                                        operational.
105(m)(2)..............................  Revise description of  Clarification........  We would delete some
                                          required                                      survey specifications
                                          reconnaissance                                because MARAD describes
                                          hydrographic survey.                          the specific information
                                                                                        it requires in the
                                                                                        license conditions it
                                                                                        sets for individual
                                                                                        deepwater ports.
                                         Allow exceptions to 5- Provide additional     The proposed change would
                                          year limit on age of   regulatory             allow the use of older
                                          data.                  flexibility.           data, with Coast Guard
                                                                                        approval, which would be
                                                                                        granted so long as newer
                                                                                        data is provided for any
                                                                                        specific locations
                                                                                        having a high degree of
                                                                                        hydrographic
                                                                                        variability.
105(m)(3)..............................  Add language for       Revision.............  MetOcean data is
                                          meteorological and                            essential for analyzing
                                          oceanographic                                 a proposed deepwater
                                          (``MetOcean'') data.                          port's environmental
                                                                                        impact. If it is not
                                                                                        included with the
                                                                                        license application, we
                                                                                        currently require the
                                                                                        applicant to provide it
                                                                                        as ``additional
                                                                                        information'' under 33
                                                                                        CFR 148.107. We would
                                                                                        add the need to include
                                                                                        MetOcean data in the
                                                                                        initial application, to
                                                                                        better inform applicants
                                                                                        and reduce the
                                                                                        likelihood of ``clock
                                                                                        stoppage.''
105(m)(4)..............................  Add language for       Revision.............  Vessel traffic data is
                                          vessel traffic data.                          essential for analyzing
                                                                                        a proposed deepwater
                                                                                        port's environmental
                                                                                        impact and for the Coast
                                                                                        Guard's analysis of risk
                                                                                        mitigation. If it is not
                                                                                        included with the
                                                                                        license application, we
                                                                                        currently require the
                                                                                        applicant to provide it
                                                                                        as ``additional
                                                                                        information'' under 33
                                                                                        CFR 148.107. We would
                                                                                        add the need to include
                                                                                        vessel traffic data in
                                                                                        the initial application,
                                                                                        to better inform
                                                                                        applicants and reduce
                                                                                        the likelihood of
                                                                                        ``clock stoppage.''
105(n).................................  Add language for       Revision.............  We would clarify that
                                          engineering                                   full geological
                                          geological survey                             information, not just
                                          (presently soil                               soil data, is essential
                                          survey) data.                                 for analyzing a proposed
                                                                                        deepwater port's
                                                                                        environmental impact. If
                                                                                        it is not included with
                                                                                        the license application,
                                                                                        we currently require the
                                                                                        applicant to provide it
                                                                                        as ``additional
                                                                                        information'' under 33
                                                                                        CFR 148.107. We would
                                                                                        add the need to include
                                                                                        geological survey data
                                                                                        in the initial
                                                                                        application, to better
                                                                                        inform applicants and
                                                                                        reduce the likelihood of
                                                                                        ``clock stoppage.''
                                         Allow exceptions to 5- Provide additional     The proposed change would
                                          year limit on age of   regulatory             allow the use of older
                                          data.                  flexibility.           data, with Coast Guard
                                                                                        approval.
                                         Provide an             Provide additional     Delay in securing the
                                          alternative to the     regulatory             services of a
                                          use of a               flexibility.           professional engineer
                                          professional                                  has ``stopped the
                                          engineer.                                     clock'' in at least one
                                                                                        instance. We would allow
                                                                                        the use of others with
                                                                                        equivalent professional
                                                                                        competency.
105(s)(6)(iv)..........................  Add                    Revision.............  We would clarify that
                                          ``regasification''                            information about the
                                          to existing language.                         methods the applicant
                                                                                        expects to use in
                                                                                        regasifying natural gas
                                                                                        prior to transmission is
                                                                                        essential for analyzing
                                                                                        a proposed deepwater
                                                                                        port's environmental
                                                                                        impact. If it is not
                                                                                        included with the
                                                                                        license application, we
                                                                                        currently require the
                                                                                        applicant to provide it
                                                                                        as ``additional
                                                                                        information'' under 33
                                                                                        CFR 148.107. We would
                                                                                        add the need to include
                                                                                        regasification data in
                                                                                        the initial application,
                                                                                        to better inform
                                                                                        applicants and reduce
                                                                                        the likelihood of
                                                                                        ``clock stoppage.''
105(t).................................  Add recommendation     Informational........  We would provide license
                                          for PHMSA                                     applicants with
                                          consultation.                                 additional information,
                                                                                        and we would encourage
                                                                                        them to consult with
                                                                                        PHMSA, to help
                                                                                        facilitate an
                                                                                        applicant's ability to
                                                                                        comply with PHMSA
                                                                                        requirements for
                                                                                        pipeline safety.

[[Page 19123]]

 
105(y).................................  Add language for risk  Informational........  A license applicant's
                                          and consequence                               risk and consequence
                                          assessment.                                   assessment is essential
                                                                                        for analyzing a proposed
                                                                                        deepwater port's
                                                                                        environmental impact and
                                                                                        is currently subject to
                                                                                        Coast Guard validation.
                                                                                        We would provide
                                                                                        additional information
                                                                                        about methods that the
                                                                                        Coast Guard may use to
                                                                                        conduct that validation,
                                                                                        including the conduct of
                                                                                        an independent
                                                                                        assessment by a third
                                                                                        party selected by the
                                                                                        Coast Guard. We would
                                                                                        also restate the Coast
                                                                                        Guard's existing
                                                                                        authority under 33 CFR
                                                                                        148.107 to require the
                                                                                        applicant to provide
                                                                                        ``additional
                                                                                        information'' when
                                                                                        necessary.
105(z).................................  Add language for NEPA  Clarification........  This paragraph currently
                                          alternatives.                                 requires license
                                                                                        applicants to provide an
                                                                                        environmental analysis
                                                                                        sufficient to meet the
                                                                                        requirements of NEPA.
                                                                                        Under NEPA,
                                                                                        environmental analysis
                                                                                        must include
                                                                                        consideration of a range
                                                                                        of reasonable
                                                                                        alternatives to key
                                                                                        aspects of the action
                                                                                        being analyzed. If
                                                                                        alternatives are not
                                                                                        discussed in the initial
                                                                                        license application, we
                                                                                        currently require the
                                                                                        applicant to provide it
                                                                                        as ``additional
                                                                                        information'' under 33
                                                                                        CFR 148.107. We would
                                                                                        clarify the need to
                                                                                        discuss alternatives in
                                                                                        the initial application,
                                                                                        to better inform
                                                                                        applicants and reduce
                                                                                        the likelihood of
                                                                                        ``clock stoppage.''
105(ff)................................  Add language for       Clarification........  A license to operate a
                                          International                                 deepwater port is
                                          Convention for the                            granted only if it is
                                          Prevention of                                 determined that the
                                          Pollution from                                applicant ``can and will
                                          Ships, 1973, as                               comply with applicable
                                          modified by the                               laws, regulations, and
                                          Protocol of 1978                              license conditions.'' 33
                                          relating to that                              U.S.C. 1503(c)(2).
                                          Convention (MARPOL                            MARPOL, and MARPOL-
                                          73/78).                                       implementing regulations
                                                                                        in 33 CFR part 158, are
                                                                                        applicable to deepwater
                                                                                        ports, and a Certificate
                                                                                        of Adequacy (COA) is
                                                                                        required to demonstrate
                                                                                        compliance with part
                                                                                        158. If the COA is not
                                                                                        requested in the initial
                                                                                        license application, we
                                                                                        currently require the
                                                                                        applicant to provide it
                                                                                        as ``additional
                                                                                        information'' under 33
                                                                                        CFR 148.107. We would
                                                                                        clarify the need to
                                                                                        request the Certificate
                                                                                        in the initial
                                                                                        application, to better
                                                                                        inform applicants and
                                                                                        reduce the likelihood of
                                                                                        ``clock stoppage.''
107(b).................................  Add references to      Clarification........  We would clarify that the
                                          MARAD.                                        Coast Guard may request
                                                                                        additional information
                                                                                        on behalf of MARAD as
                                                                                        well as on the Coast
                                                                                        Guard's own behalf.
107(c)-(e).............................  Revise (c) and add     Clarification........  Paragraph (c) of this
                                          (d) and (e),                                  section currently allows
                                          regarding ``clock                             the Coast Guard to
                                          stoppage''.                                   suspend the processing
                                                                                        of a license application
                                                                                        indefinitely (``stop the
                                                                                        clock'') in order to
                                                                                        obtain additional
                                                                                        information. We would
                                                                                        provide additional
                                                                                        information to clarify
                                                                                        and help applicants
                                                                                        better understand how
                                                                                        ``stopping the clock''
                                                                                        works. This proposed
                                                                                        change should be read
                                                                                        along with the proposed
                                                                                        change to 33 CFR 148.276
                                                                                        and 148.283 relating to
                                                                                        suspension and
                                                                                        withdrawal of an
                                                                                        application.
125(c).................................  Add ``additional       Clarification........  Under 33 U.S.C.
                                          environmental                                 1504(h)(1), license
                                          analysis'' to                                 applicants must
                                          existing language.                            ``reimburse the United
                                                                                        States and the
                                                                                        appropriate adjacent
                                                                                        coastal State for any
                                                                                        additional costs
                                                                                        incurred in processing
                                                                                        an application.'' We
                                                                                        would add, as a
                                                                                        clarification, the need
                                                                                        for additional
                                                                                        environmental analysis
                                                                                        as an example of when
                                                                                        additional costs will be
                                                                                        incurred. A past
                                                                                        applicant's change in
                                                                                        plans for the proposed
                                                                                        deepwater port raised
                                                                                        the potential need for
                                                                                        additional environmental
                                                                                        analysis.
209(a).................................  Remove reference to    Informational........  We would delete a
                                          interagency                                   reference to an expired
                                          memorandum of                                 MOU that can no longer
                                          understanding (MOU).                          be consulted for the
                                                                                        current list of all
                                                                                        Federal agencies
                                                                                        involved with deepwater
                                                                                        ports.

[[Page 19124]]

 
211(a).................................  Revise language        Clarification........  This paragraph currently
                                          describing the need                           requires a license
                                          for changes in                                applicant to promptly
                                          applications.                                 notify the Coast Guard
                                                                                        of any changes to its
                                                                                        application. We would
                                                                                        clarify that we consider
                                                                                        any circumstance that
                                                                                        makes statements in the
                                                                                        application no longer
                                                                                        accurate to be a
                                                                                        ``change'' requiring
                                                                                        prompt notification.
211(b).................................  Revise language        Clarification........  As currently worded, this
                                          describing how                                paragraph may imply that
                                          changes are made in                           any substantial change
                                          applications.                                 requires a license
                                                                                        applicant to completely
                                                                                        revise its application.
                                                                                        We would clarify that
                                                                                        our existing practice
                                                                                        generally is to allow
                                                                                        the applicant simply to
                                                                                        amend its application to
                                                                                        make the change.
                                         Add language           Informational........  We would inform license
                                          concerning NEPA                               applicants that under
                                          scoping and                                   NEPA and other existing
                                          additional public                             laws, a substantial
                                          comment.                                      change in an application
                                                                                        could trigger the need
                                                                                        for additional NEPA
                                                                                        scoping or additional
                                                                                        public comment on the
                                                                                        application.
214....................................  Add provision for      Informational........  We would provide
                                          resubmission of a                             additional information
                                          withdrawn or denied                           about the conditions
                                          application.                                  under which a license
                                                                                        applicant can address
                                                                                        concerns raised by its
                                                                                        initial application and
                                                                                        resubmit the
                                                                                        application, with the
                                                                                        Coast Guard waiving
                                                                                        certain Subpart B
                                                                                        application requirements
                                                                                        for the re-application.
215....................................  Redesignate (d) as     Clarification........  We would clarify that (d)
                                          (c)(5) and add                                is a continuation of (c)
                                          ``proposed                                    and relates to a
                                          deepwater'' to                                proposed deepwater port.
                                          existing language.
217(b)-(d).............................  Revise description of  Informational........  We would state that MARAD
                                          respective Coast                              consults with the Coast
                                          Guard and MARAD                               Guard, but makes the
                                          roles in the                                  actual Adjacent Coastal
                                          designation of an                             State designation.
                                          Adjacent Coastal
                                          State.
222(b).................................  Revise description of  Informational........  We would clarify that
                                          respective Coast                              MARAD, not the Coast
                                          Guard and MARAD                               Guard, has the existing
                                          roles in giving                               responsibility for
                                          notice of Adjacent                            publishing notices of
                                          Coastal State                                 public hearings or
                                          hearings.                                     meetings in Adjacent
                                                                                        Coastal States.
228....................................  Revise description of  Informational........  We would clarify that
                                          respective Coast                              MARAD, not the Coast
                                          Guard and MARAD                               Guard, has the existing
                                          roles with respect                            responsibility for any
                                          to formal                                     formal evidentiary
                                          evidentiary hearings.                         hearings involving
                                                                                        deepwater ports relating
                                                                                        to specific and material
                                                                                        factual issues related
                                                                                        to the licensing of a
                                                                                        deepwater port. Existing
                                                                                        Coast Guard regulations,
                                                                                        33 CFR 148.230-148.256,
                                                                                        provide a regulatory
                                                                                        framework for such
                                                                                        hearings; however,
                                                                                        because MARAD, not the
                                                                                        Coast Guard, is the
                                                                                        licensing authority, we
                                                                                        propose deleting these
                                                                                        regulations.
276....................................  Revise section         Informational........  The revision would
                                          describing the DWPA                           provide more information
                                          timeline for action                           about the DWPA timeline
                                          on a license                                  for processing license
                                          application.                                  applications, and about
                                                                                        suspensions of the
                                                                                        timeline. We informally
                                                                                        provide this additional
                                                                                        information today. (The
                                                                                        revisions do not alter
                                                                                        the statutory timeline.)
                                                                                        This proposed change
                                                                                        should be read along
                                                                                        with the proposed
                                                                                        changes to 33 CFR
                                                                                        148.107 and 148.283
                                                                                        relating to suspension
                                                                                        and withdrawal of an
                                                                                        application.
277(d).................................  Provide additional     Informational........  We would add more
                                          information about                             information about the
                                          the time period when                          existing timeline for
                                          the Governor of an                            the Governor of an
                                          Adjacent Coastal                              Adjacent Coastal State
                                          State may transmit                            to approve or disapprove
                                          his or her approval                           a proposed deepwater
                                          or disapproval of a                           port application.
                                          proposed deepwater
                                          port application.

[[Page 19125]]

 
283....................................  Substitute provisions  Procedural change....  33 CFR 148.107(c) and
                                          for treating an                               this section currently
                                          application as                                both provide for
                                          withdrawn for                                 indefinitely suspending
                                          provisions                                    the processing of a
                                          concerning an                                 license application if
                                          application's                                 it is missing essential
                                          suspension.                                   information. We would
                                                                                        make it clear that, if
                                                                                        there is no reasonable
                                                                                        progress in securing the
                                                                                        missing information,
                                                                                        indefinite suspension
                                                                                        may lead to the
                                                                                        application being
                                                                                        treated as withdrawn.
                                                                                        This proposed change
                                                                                        should be read along
                                                                                        with the proposed
                                                                                        changes to 33 CFR
                                                                                        148.107 and 148.276
                                                                                        relating to suspension.
405(c)(2)..............................  Refer to Bureau of     Informational........  This paragraph currently
                                          Offshore Energy                               requires a license
                                          Management (BOEM)                             applicant to give notice
                                          guidance.                                     of certain acoustic
                                                                                        profiling activities,
                                                                                        which must take place
                                                                                        ``within specified
                                                                                        limits.'' We would
                                                                                        inform applicants that
                                                                                        those limits currently
                                                                                        are provided by BOEM
                                                                                        guidance, thereby making
                                                                                        it easier for applicants
                                                                                        to determine what limits
                                                                                        are specified.
Subpart G..............................  Redesignate 33 CFR     Nonsubstantive         We would give added
                                          148.600 and 148.605    reorganization.        prominence to these two
                                          as subpart G of part                          sections, which have
                                          148.                                          been of interest to
                                                                                        several license
                                                                                        applicants.
600....................................  Provide more           Informational........  This section currently
                                          information about                             states that deepwater
                                          deepwater port                                port financial liability
                                          financial liability                           limits are set in
                                          limits under the Oil                          accordance with OPA 90
                                          Pollution Act of                              (33 U.S.C. 2704(d)(4)).
                                          1990 (OPA 90).                                Several license
                                                                                        applicants have
                                                                                        requested more
                                                                                        information, and our
                                                                                        proposed change would
                                                                                        provide details on the
                                                                                        current process for
                                                                                        setting limits.
605....................................  Provide more           Informational........  This section currently
                                          information about                             refers to the provisions
                                          deepwater port                                of OPA 90 (33 U.S.C.
                                          financial liability                           2704(d)(4)) for
                                          limits under OPA 90.                          adjusting a deepwater
                                                                                        port's financial
                                                                                        liability limit. We
                                                                                        would respond to several
                                                                                        requests from license
                                                                                        applicants for more
                                                                                        details on the current
                                                                                        process for adjusting
                                                                                        limits. That process,
                                                                                        with the relevant risk
                                                                                        and economic analysis
                                                                                        criteria, was described
                                                                                        in the NPRM that
                                                                                        proposed lowering the
                                                                                        liability limit for the
                                                                                        Louisiana Offshore Oil
                                                                                        Port (60 FR 7652 at
                                                                                        7653, Feb. 8, 1995;
                                                                                        final rule 60 FR 39849,
                                                                                        Aug. 4, 1995).
Subpart H..............................  Redesignate current    Nonsubstantive         This proposed change is
                                          subpart G as new       reorganization.        necessitated by our
                                          subpart H of part                             proposed designation of
                                          148.                                          33 CFR 148.600 and
                                                                                        148.605 as new subpart
                                                                                        G.
707(b).................................  Revise...............  Clarification........  We would more closely
                                                                                        align the wording of
                                                                                        this section with
                                                                                        terminology familiar to
                                                                                        NEPA practitioners. We
                                                                                        would also clarify that
                                                                                        license applicants are
                                                                                        currently required to
                                                                                        consider a reasonable
                                                                                        range of alternatives to
                                                                                        their proposed deepwater
                                                                                        port plans.
707(b)(1)..............................  Provide more           Informational........  We would provide license
                                          information about                             applicants with more
                                          the scope of                                  complete information
                                          environmental                                 about the scope of
                                          evaluation.                                   environmental evaluation
                                                                                        and align wording with
                                                                                        terminology familiar to
                                                                                        NEPA practitioners.
715 intro..............................  Add ``reasonable       Clarification........  We would clarify that
                                          range of                                      license applicants are
                                          alternatives''                                required to consider a
                                          language.                                     reasonable range of
                                                                                        alternatives to their
                                                                                        proposed deepwater port
                                                                                        plans.
715(a).................................  Provide more           Informational........  We would provide license
                                          information about                             applicants with more
                                          the scope of                                  complete information
                                          environmental                                 about the scope of
                                          evaluation.                                   environmental
                                                                                        evaluation.
725 intro..............................  Add ``reasonable       Clarification........  We would clarify that
                                          range of                                      license applicants are
                                          alternatives''                                required to consider a
                                          language.                                     reasonable range of
                                                                                        alternatives to their
                                                                                        proposed deepwater port
                                                                                        plans.
730 intro..............................  Add ``reasonable       Clarification........  We would clarify that
                                          range of                                      license applicants are
                                          alternatives''                                required to consider a
                                          language.                                     reasonable range of
                                                                                        alternatives to their
                                                                                        proposed deepwater port
                                                                                        plans.
730(a).................................  Revise...............  Informational........  This paragraph currently
                                                                                        refers to appropriate
                                                                                        Adjacent Coastal State
                                                                                        agencies. We would
                                                                                        substitute a specific
                                                                                        cross reference to 33
                                                                                        CFR 148.105(j), where we
                                                                                        propose adding detailed
                                                                                        information about
                                                                                        Adjacent Coastal States.
735 intro..............................  Add ``reasonable       Clarification........  We would clarify that
                                          range of                                      license applicants are
                                          alternatives''                                required to consider a
                                          language.                                     reasonable range of
                                                                                        alternatives to their
                                                                                        proposed deepwater port
                                                                                        plans.

[[Page 19126]]

 
737....................................  Replace list with Web  Informational........  This section currently
                                          site reference.                               contains a lengthy and
                                                                                        non-exclusive list of
                                                                                        environmental statutes
                                                                                        and E.O.s of potential
                                                                                        interest to license
                                                                                        applicants. We would
                                                                                        replace that list with a
                                                                                        reference to a Coast
                                                                                        Guard Web site where
                                                                                        more current information
                                                                                        is maintained and
                                                                                        available to the public.
----------------------------------------------------------------------------------------------------------------
                                                    PART 149
----------------------------------------------------------------------------------------------------------------
Part 149 organization..................  Reorganize...........  Nonsubstantive         We would reorganize this
                                                                 reorganization.        part, redesignating and
                                                                                        renaming some sections
                                                                                        and providing a more
                                                                                        sequential structure for
                                                                                        existing deepwater port
                                                                                        design, construction,
                                                                                        and equipment
                                                                                        requirements. Subpart A
                                                                                        would contain general
                                                                                        information, subpart B
                                                                                        would contain general
                                                                                        requirements for design,
                                                                                        construction,
                                                                                        operations, and
                                                                                        equipment requirements,
                                                                                        and the remaining
                                                                                        subparts C through F
                                                                                        would contain specific
                                                                                        equipment requirements.
5......................................  Replace definitions    Nonsubstantive         This section currently
                                          with cross reference   reorganization.        contains 4 definitions.
                                          to 33 CFR 148.5.                              We would move all
                                                                                        subchapter NN
                                                                                        definitions to 33 CFR
                                                                                        148.5.
15.....................................  Remove...............  Nonsubstantive         This section currently
                                                                 reorganization.        describes the process
                                                                                        for submitting deepwater
                                                                                        port design or
                                                                                        construction
                                                                                        alterations. As part of
                                                                                        the nonsubstantive
                                                                                        reorganization of part
                                                                                        149, we would delete
                                                                                        this section and
                                                                                        transfer its substance
                                                                                        to 33 CFR 149.54.
20(a) (current 610(a)).................  Add ``or submerged     Technology update....  We would insert a
                                          turret loading (STL)                          reference to STL buoys,
                                          buoy'' to existing                            which are significant
                                          language.                                     deepwater port
                                                                                        components not in
                                                                                        existence when we last
                                                                                        revised our regulations,
                                                                                        and the details of the
                                                                                        construction of which we
                                                                                        currently require
                                                                                        deepwater port operators
                                                                                        to provide.
51 (current 615).......................  Provide for use of     Provide additional     We would amend paragraph
                                          foreign engineers.     regulatory             (b) to allow the use of
                                                                 flexibility.           foreign engineers who
                                                                                        may not be registered
                                                                                        professional engineers,
                                                                                        if they possess
                                                                                        equivalent
                                                                                        qualifications.
52 (current 625).......................  Revise (b)...........  Provide additional     We would insert a
                                                                 regulatory             reference to CEs,
                                                                 flexibility.           reflecting our proposal
                                                                                        (see table entry for 33
                                                                                        CFR 148.8) to allow
                                                                                        greater use of CEs.
                                         Add (d)..............  Clarification........  We would add language
                                                                                        from current 33 CFR
                                                                                        149.650, to clarify the
                                                                                        existing procedure by
                                                                                        which a license
                                                                                        applicant works with the
                                                                                        Coast Guard to determine
                                                                                        which deepwater port
                                                                                        components require
                                                                                        classification society
                                                                                        certification. That
                                                                                        determination will
                                                                                        likely be different for
                                                                                        each deepwater port,
                                                                                        given the potential
                                                                                        variability between
                                                                                        deepwater port designs.
                                                                                        We would also add
                                                                                        language to encourage
                                                                                        (but not require) early
                                                                                        coordination between the
                                                                                        applicant and the Coast
                                                                                        Guard, because of the
                                                                                        potential value of early
                                                                                        coordination for
                                                                                        expediting the design
                                                                                        process.
54.....................................  Add..................  Nonsubstantive         We would move the text
                                                                 reorganization.        from existing Sec.
                                                                                        149.15 to the revised
                                                                                        subpart B to consolidate
                                                                                        requirements for design
                                                                                        into one subpart.
57.....................................  Add..................  Informational........  We would add this section
                                                                                        for the benefit of
                                                                                        license applicants, to
                                                                                        provide them with more
                                                                                        information about our
                                                                                        existing process for
                                                                                        reviewing and approving
                                                                                        a deepwater port's
                                                                                        design, construction,
                                                                                        and commissioning.
58.....................................  Add..................  Clarification........  We would add this section
                                                                                        to clarify that our
                                                                                        existing practice is to
                                                                                        allow a license
                                                                                        applicant to use
                                                                                        certifying entities
                                                                                        during the design and
                                                                                        construction of a
                                                                                        deepwater port as well
                                                                                        as after the deepwater
                                                                                        port is licensed, and to
                                                                                        describe the CE's role
                                                                                        in various phases of the
                                                                                        deepwater port's
                                                                                        lifespan.

[[Page 19127]]

 
63(a) (current 660(a)).................  Substitute ``manned    Clarification........  The proposed change
                                          deepwater port'' for                          standardizes terminology
                                          ``pumping platform                            applicable to all
                                          complex''.                                    deepwater ports
                                                                                        regardless of design or
                                                                                        cargo. There is no
                                                                                        change in applicability
                                                                                        because all manned
                                                                                        deepwater ports are
                                                                                        pumping platform
                                                                                        complexes.
64(b) (current 140(b)).................  Add ``facilities,      Clarification........  Provides clarification of
                                          vessels approaching                           who the vessel would be
                                          the safety zone'' to                          in communication with to
                                          existing language.                            ensure communications
                                                                                        are occurring between
                                                                                        the vessel and the
                                                                                        shoreside facility for
                                                                                        purposes of situational
                                                                                        awareness.
65 intro, (b) (current 665 intro, (b)).  Substitute ``manned    Clarification........  The proposed change
                                          deepwater port'' for                          standardizes terminology
                                          ``pumping platform                            applicable to all
                                          complex''.                                    deepwater ports
                                                                                        regardless of design or
                                                                                        cargo. There is no
                                                                                        change in applicability
                                                                                        because all manned
                                                                                        deepwater ports are
                                                                                        pumping platform
                                                                                        complexes.
67(a) (current 675(a)).................  Substitute ``Each''    Clarification........  The proposed change
                                          for ``For a,''                                standardizes terminology
                                          remove ``each                                 applicable to all
                                          pumping platform                              deepwater ports
                                          complex,'' and                                regardless of design or
                                          substitute                                    cargo. There is no
                                          ``deepwater port''                            change in applicability
                                          for ``complex''.                              because the one existing
                                                                                        manned deepwater port is
                                                                                        a pumping platform
                                                                                        complex.
68(a) (current 680(a)).................  Add ``manned'' before  Clarification........  We would clarify that
                                          ``deepwater'' in                              this requirement applies
                                          existing language.                            only to manned deepwater
                                                                                        ports.
70 (current 690).......................  Substitute             Clarification........  The requirements are
                                          ``specified'' for                             specified and are not
                                          ``outlined''.                                 optional, as
                                                                                        ``outlined'' would
                                                                                        imply.
77(a) (current 697(a)).................  Substitute             Clarification........  We would clarify that
                                          ``operator's'' for                            because the operator is
                                          ``owner's''.                                  in charge of day-to-day
                                                                                        operations, the operator
                                                                                        is responsible for
                                                                                        maintaining all
                                                                                        documentation.
115 (current 110)......................  Substitute             Clarification........  This section currently
                                          ``remotely'' for                              requires pipeline end
                                          ``from the pumping                            manifolds to have
                                          platform complex''.                           shutoff valves that can
                                                                                        be operated both
                                                                                        manually and remotely
                                                                                        from a pumping platform
                                                                                        complex. Since not every
                                                                                        deepwater port has a
                                                                                        pumping platform
                                                                                        complex, we would
                                                                                        replace the reference to
                                                                                        such a complex with the
                                                                                        word ``remotely.''
130(a) (current 125(a))................  Substitute ``marine    Clarification........  Only the single existing
                                          transfer area of a                            manned deepwater port
                                          deepwater port'' for                          has a pumping platform
                                          ``pumping platform                            complex. The proposed
                                          complex''.                                    change substitutes a
                                                                                        generic term common to
                                                                                        manned or unmanned
                                                                                        deepwater ports.
135 (current 130)......................  In (b) introductory    Clarification........  Reference to paragraph
                                          language add                                  (a) of same section.
                                          ``described in
                                          paragraph (a) of
                                          this section''.
                                         In (b)(1) and (b)(2)   Clarification........  The proposed change
                                          substitute ``marine                           standardizes terminology
                                          transfer area of a                            applicable to all
                                          deepwater port'' for                          deepwater ports
                                          ``pumping platform                            regardless of design or
                                          complex''.                                    cargo. There is no
                                                                                        change in applicability
                                                                                        because all marine
                                                                                        transfer areas are
                                                                                        pumping platform
                                                                                        complexes. Revised
                                                                                        terminology provides
                                                                                        greater clarity.
                                         In (b)(2) add          Clarification........  Clarification and
                                          ``described''.                                reference to paragraph
                                                                                        (b)(3) of the section.
206....................................  Add..................  Harmonization........  We would adapt existing
                                                                                        lifesaving equipment
                                                                                        requirements for mobile
                                                                                        offshore drilling units
                                                                                        (MODUs).
302 (current 402)......................  Revise...............  Clarification........  We would transfer
                                                                                        qualifying language from
                                                                                        the end to the beginning
                                                                                        of the section.
303 (current 403)......................  Revise heading.......  Clarification........  We would revise the
                                                                                        heading to clarify who
                                                                                        needs the information
                                                                                        provided by this
                                                                                        section.
304 (current 404)......................  Revise heading.......  Clarification........  We would revise the
                                                                                        heading to clarify who
                                                                                        needs the information
                                                                                        provided by this
                                                                                        section.
Current 306-315........................  Remove...............  Nonsubstantive         These sections currently
                                                                 reorganization.        describe survival craft
                                                                                        and rescue boat
                                                                                        requirements. As part of
                                                                                        the nonsubstantive
                                                                                        reorganization of part
                                                                                        149, we would delete
                                                                                        these sections and
                                                                                        transfer their substance
                                                                                        to 33 CFR part 149,
                                                                                        subpart D.
315(a) (current 415(a))................  Substitute ``manned    Clarification........  The proposed change
                                          deepwater port'' for                          standardizes terminology
                                          ``pumping platform                            applicable to all
                                          complex''.                                    deepwater ports
                                                                                        regardless of design or
                                                                                        cargo. There is no
                                                                                        change in applicability
                                                                                        because all manned
                                                                                        deepwater ports are
                                                                                        pumping platform
                                                                                        complexes.

[[Page 19128]]

 
410(a) (current 510(a))................  Substitute ``Coast     Clarification........  We would clarify that the
                                          Guard District                                District Commander
                                          Commander in the                              approves applications to
                                          area where the                                establish a private aid
                                          deepwater port will                           to navigation.
                                          be built'' for
                                          ``Commandant (CG-
                                          5P)''.
480(a) (current 580(a))................  Remove ``of a pumping  Clarification........  The proposed change
                                          platform complex''.                           standardizes terminology
                                                                                        applicable to all
                                                                                        deepwater ports
                                                                                        regardless of design or
                                                                                        cargo.
485(a) (current 585(a))................  Substitute             Clarification........  The proposed change
                                          ``deepwater port''                            standardizes terminology
                                          for ``pumping                                 applicable to all
                                          platform complex''.                           deepwater ports
                                                                                        regardless of design or
                                                                                        cargo. There is no
                                                                                        change in applicability
                                                                                        because all manned
                                                                                        deepwater ports are
                                                                                        pumping platform
                                                                                        complexes.
650....................................  Remove...............  Clarification;         We would transfer the
                                                                 Nonsubstantive         substance of this
                                                                 reorganization.        provision to Sec.
                                                                                        149.52(d), and revise it
                                                                                        to apply to all
                                                                                        deepwater ports
                                                                                        regardless of design or
                                                                                        cargo.
----------------------------------------------------------------------------------------------------------------
                                                    PART 150
----------------------------------------------------------------------------------------------------------------
10.....................................  In (b), remove         Correction...........  We would remove this
                                          reference to part                             incorrect reference.
                                          148 approval of                               Approval of manuals is
                                          manuals.                                      addressed in part 150.
                                         Revise (c) and         Clarification........  We would remove existing
                                          redesignate (d) and                           (c) because the process
                                          (e).                                          is described in detail
                                                                                        in proposed Sec.
                                                                                        150.25. Existing (d) and
                                                                                        (e) would be
                                                                                        redesignated as (c) and
                                                                                        (d), respectively.
                                         Add new (e)..........  Clarification........  The proposed change would
                                                                                        make explicit in our
                                                                                        regulations that the
                                                                                        Coast Guard's current
                                                                                        practice is to review
                                                                                        the operations manual
                                                                                        every five years, in
                                                                                        conjunction with our
                                                                                        review of the
                                                                                        environmental impact
                                                                                        statement (EIS) (the
                                                                                        Council on Environmental
                                                                                        Quality recommends that,
                                                                                        as a rule of thumb, the
                                                                                        EIS be carefully
                                                                                        reexamined no later than
                                                                                        once every five years--
                                                                                        see https://ceq.doe.gov/nepa/regs/40/30-40.HTM#32).
15.....................................  In (i)(4)(vii),        Clarification........  We would clarify that the
                                          substitute ``zones                            procedures described
                                          and areas described                           must account for any
                                          under subpart J of                            protective zone or area
                                          this part'' for ``a                           that could apply,
                                          safety zone, area to                          regardless of a
                                          be avoided, and                               deepwater port's design
                                          anchorage area''.                             or cargo.
                                         Add new (o)..........  Informational........  Deepwater ports are ports
                                                                                        subject to U.S.
                                                                                        jurisdiction and used by
                                                                                        oceangoing tankers
                                                                                        greater than 400 gross
                                                                                        tons, and as such their
                                                                                        operators must comply
                                                                                        with 33 CFR 158.135,
                                                                                        which requires ports to
                                                                                        hold certificates of
                                                                                        adequacy (or waivers),
                                                                                        evidencing their
                                                                                        capability to receive
                                                                                        regulated substances.
                                                                                        For informational
                                                                                        purposes, we would
                                                                                        restate that requirement
                                                                                        here.
                                         Revise (y) (current    Informational........  Under 33 CFR 106.410 and
                                          (x)).                                         106.415, security plans
                                                                                        must be periodically
                                                                                        audited, and reviewed
                                                                                        every 5 years by the
                                                                                        Coast Guard. For
                                                                                        informational purposes,
                                                                                        we would restate those
                                                                                        requirements here.
                                         Revise (bb) (current   Clarification........  This change would reflect
                                          (aa)).                                        MARAD's current policy,
                                                                                        requiring each deepwater
                                                                                        port to maintain a
                                                                                        prevention, monitoring,
                                                                                        and mitigation program
                                                                                        (PMMP) as a license
                                                                                        condition.
                                         Add (cc).............  Clarification........  MARAD currently requires,
                                                                                        as a license condition,
                                                                                        each deepwater port to
                                                                                        comply with 49 CFR
                                                                                        192.605 and with other
                                                                                        applicable PHMSA
                                                                                        regulations in 49 CFR
                                                                                        parts 190-199. We would
                                                                                        make that requirement
                                                                                        explicit in our
                                                                                        regulations.
25.....................................  Revise heading.......  Clarification........  We would amend for better
                                                                                        clarity.
                                         Add (c)(1)...........  Clarification........  We would clarify the
                                                                                        existing local authority
                                                                                        to approve or reject
                                                                                        revisions to the
                                                                                        operations manual.
                                         Revise (c)(2)(current  Clarification........  We would clarify the
                                          (d)).                                         existing local authority
                                                                                        to approve or reject
                                                                                        revisions to the
                                                                                        operations manual.
                                         Revise (e)(current     Clarification........  We would clarify the
                                          (f)).                                         existing local authority
                                                                                        to approve or reject
                                                                                        revisions to the
                                                                                        operations manual.

[[Page 19129]]

 
                                         Add new (f)..........  Clarification........  We would make explicit
                                                                                        the existing authority
                                                                                        of other Federal
                                                                                        agencies to propose
                                                                                        operations manual
                                                                                        amendments to the Coast
                                                                                        Guard.
30.....................................  Revise...............  Clarification........  We would update Coast
                                                                                        Guard organizational
                                                                                        terminology and clarify
                                                                                        what our current process
                                                                                        is for coordinating with
                                                                                        other Federal agencies.
35.....................................  Revise...............  Informational........  Updated Coast Guard
                                                                                        internal organization.
40.....................................  Add paragraph (b)....  Nonsubstantive         We would consolidate
                                                                 reorganization.        current 33 CFR 150.40
                                                                                        and 150.45 into a single
                                                                                        section dealing with
                                                                                        deviations from the
                                                                                        operations manual. In
                                                                                        new (b), we would update
                                                                                        references to Coast
                                                                                        Guard internal
                                                                                        organization.
45.....................................  Remove...............  Nonsubstantive         We would transfer the
                                                                 reorganization.        substance of this
                                                                                        section to Sec.
                                                                                        150.40. Text from
                                                                                        existing Sec.   150.45
                                                                                        now in proposed Sec.
                                                                                        150.40(b).
50.....................................  Revise heading.......  Clarification........  The proposed change would
                                                                                        reduce the risk of
                                                                                        confusing a deepwater
                                                                                        port with an Outer
                                                                                        Continental Shelf
                                                                                        facility.
100....................................  Add (b)..............  Clarification........  We would make explicit
                                                                                        the current Coast Guard
                                                                                        practice of sometimes
                                                                                        allowing, for reasons of
                                                                                        government economy,
                                                                                        representatives from
                                                                                        other Federal agencies
                                                                                        to accompany Coast Guard
                                                                                        inspectors on inspection
                                                                                        visits to deepwater
                                                                                        ports.
105....................................  Revise...............  Clarification........  We would clarify the
                                                                                        existing procedure for
                                                                                        proposing a self-
                                                                                        inspection program; to
                                                                                        make it clear that it is
                                                                                        the operator, not the
                                                                                        owner, who performs the
                                                                                        duties required by this
                                                                                        section; and to make
                                                                                        explicit the existing
                                                                                        Coast Guard regulatory
                                                                                        responsibility to
                                                                                        validate the contents
                                                                                        and results of deepwater
                                                                                        port self-inspections.
107....................................  Add..................  Procedural change....  We would add this section
                                                                                        to require deepwater
                                                                                        port operators to notify
                                                                                        the Coast Guard when a
                                                                                        Federal or State agency
                                                                                        schedules an inspection
                                                                                        and keep inspection
                                                                                        records, both of which
                                                                                        operators currently do
                                                                                        without their being
                                                                                        formally required. We
                                                                                        would also make it
                                                                                        explicit that, as a
                                                                                        matter of government
                                                                                        economy, Coast Guard
                                                                                        personnel sometimes
                                                                                        accompany Federal or
                                                                                        State inspectors on
                                                                                        inspection visits.
110....................................  Add ``or of changes    Procedural change....  We would require
                                          in class status.''                            deepwater port operators
                                          to existing language.                         to notify us of changes
                                                                                        in the status of
                                                                                        classification society-
                                                                                        approved components,
                                                                                        which may present safety
                                                                                        issues that warrant
                                                                                        adjustment to the
                                                                                        deepwater port's
                                                                                        operations. Operators
                                                                                        currently provide this
                                                                                        notification without
                                                                                        being formally required
                                                                                        to do so.
225....................................  Add second sentence..  Clarification........  This section currently
                                                                                        requires appropriate
                                                                                        training for deepwater
                                                                                        port personnel. We would
                                                                                        clarify our expectation,
                                                                                        which is in line with
                                                                                        current practice at the
                                                                                        one existing manned
                                                                                        deepwater port, that all
                                                                                        personnel will receive
                                                                                        basic safety training.
380....................................  Substitute ``ships     Clarification........  We would provide greater
                                          routing measures''                            technical accuracy and
                                          for the example                               use familiar
                                          ``(e.g., no                                   International Maritime
                                          anchoring area)''                             Organization
                                          from Table                                    terminology.
                                          150.380(a).
                                         Remove ``(for example  Clarification........  Because the surface
                                          an SPM)'' from Table                          components used by
                                          150.380(a).                                   deepwater ports vary so
                                                                                        widely, we would remove
                                                                                        an example that may
                                                                                        confuse some license
                                                                                        applicants.
                                         Revise (b)...........  Clarification........  We would update
                                                                                        references to Coast
                                                                                        Guard internal
                                                                                        organization.
435(b).................................  Add ``unless'' clause  Provide additional     We would allow operations
                                                                 regulatory             to continue during an
                                                                 flexibility.           electrical storm so long
                                                                                        as they are conducted in
                                                                                        compliance with
                                                                                        appropriate safety
                                                                                        provisions contained in
                                                                                        the operations manual.
715....................................  Add reference to 33    Clarification........  Deepwater port lights are
                                          CFR 66.01-11.                                 private aids to
                                                                                        navigation and therefore
                                                                                        subject to 33 CFR 66.01-
                                                                                        11. We would make that
                                                                                        explicit in deepwater
                                                                                        port regulations.
720....................................  Add reference to 33    Clarification........  Would clarify that other
                                          CFR 67.10.                                    existing Coast Guard
                                                                                        regulations for sound
                                                                                        signals still apply.

[[Page 19130]]

 
812....................................  Add ``and the          Clarification........  Coast Guard marine
                                          environment''.                                casualty regulations
                                                                                        that currently apply to
                                                                                        vessels and facilities,
                                                                                        including deepwater
                                                                                        ports, protect
                                                                                        environmental safety as
                                                                                        well as the safety of
                                                                                        life and property; see,
                                                                                        e.g., 33 CFR 140.1, 46
                                                                                        CFR 4.03-1. We would
                                                                                        make explicit the need
                                                                                        to consider
                                                                                        environmental damage in
                                                                                        connection with this
                                                                                        section.
830....................................  Revise...............  Procedural change....  This section currently
                                                                                        requires the one
                                                                                        existing oil deepwater
                                                                                        port to report oil
                                                                                        pollution incidents in
                                                                                        accordance with 33 CFR
                                                                                        part 135, for which the
                                                                                        underlying authority may
                                                                                        have been repealed. (See
                                                                                        Coast Guard notice of
                                                                                        inquiry, 76 FR 67385;
                                                                                        Nov. 1, 2011; a follow-
                                                                                        on rulemaking has begun
                                                                                        under RIN 1625-AA03 and
                                                                                        docket number USCG-2004-
                                                                                        17697.) We would require
                                                                                        reports to be made in
                                                                                        accordance with 33 CFR
                                                                                        part 153 subpart B,
                                                                                        which has reporting
                                                                                        requirements similar to
                                                                                        those in part 135. We
                                                                                        would also restate the
                                                                                        existing 33 CFR 135.307
                                                                                        requirements for the
                                                                                        contents of pollution
                                                                                        reports.
915(a).................................  Add ``or the           Clarification........  Coast Guard marine
                                          environment''.                                casualty regulations
                                                                                        that currently apply to
                                                                                        vessels and facilities,
                                                                                        including deepwater
                                                                                        ports, protect
                                                                                        environmental safety as
                                                                                        well as the safety of
                                                                                        life and property; see,
                                                                                        e.g., 33 CFR 140.1, 46
                                                                                        CFR 4.03-1. We would
                                                                                        make explicit the need
                                                                                        to consider
                                                                                        environmental damage in
                                                                                        connection with this
                                                                                        section.
----------------------------------------------------------------------------------------------------------------

V. Regulatory Analyses

    The Coast Guard developed this proposed rule after considering the 
statutes and E.O.s related to rulemaking that are discussed in this 
part.

A. Regulatory Planning and Review

    Executive Orders 12866 (``Regulatory Planning and Review'') and 
13563 (``Improving Regulation and Regulatory Review'') direct agencies 
to assess the costs and benefits of available regulatory alternatives 
and, if regulation is necessary, to select regulatory approaches that 
maximize net benefits (including potential economic, environmental, 
public health and safety effects, distributive impacts, and equity). 
Executive Order 13563 emphasizes the importance of quantifying both 
costs and benefits, of reducing costs, of harmonizing rules, and of 
promoting flexibility. This notice of proposed rulemaking has been 
designated a ``significant regulatory action'' although not 
economically significant, under section 3(f) of E.O. 12866. 
Accordingly, the notice of proposed rulemaking has been reviewed by the 
Office of Management and Budget (OMB).
    The Coast Guard proposes revisions to its regulations for the 
licensing, construction, design, equipment, and operation of deepwater 
ports, which are offshore fixed or floating structures, other than 
vessels, used as ports or terminals for the import or export of oil and 
natural gas. The proposed revisions would provide additional 
information, clarify existing regulations, provide additional 
regulatory flexibility, and add new requirements to ensure safety.
    One objective of the proposed rule is to ensure that adequate 
information is submitted with a deepwater port application. Through the 
experience of processing past applications, Coast Guard and other 
Federal agencies have identified additional, specific types of 
information that are necessary to ensure a timely review of, and 
decision on, deepwater port applications. For past applications, this 
additional information has been requested during the review process, 
causing delays in the review and approval of applications. Specifying 
that the additional information is required at the beginning of the 
process will not increase the application process burden, but is 
expected to result in more efficient and timely reviews of any future 
applications.
    Further, the proposed rule codifies various technical and 
operational requirements. During the application review process, and 
after the actual construction and operation of new deepwater ports, the 
Coast Guard gained additional insight into the technical and 
operational requirements that will help ensure operations are conducted 
efficiently and in a manner that furthers safety, security, and 
environmental protection. These technical and operational requirements 
are currently standard industry practice or are existing requirements 
(e.g., from another agency, etc.). The proposed rule consolidates these 
requirements to facilitate understanding and compliance of deepwater 
port owners and operators.
    Table 2 below provides a summary of the final rule's costs and 
benefits.

             Table 2--Summary of the Proposed Rule's Impacts
------------------------------------------------------------------------
                     Category                              Summary
------------------------------------------------------------------------
Applicability.....................................  Deepwater ports in
                                                     waters beyond the
                                                     territorial limits
                                                     of the United
                                                     States.
Affected Population...............................  Future deepwater
                                                     port applicants 3
                                                     existing deepwater
                                                     ports.
Cost Impacts......................................  No additional costs
                                                     identified.
Benefits..........................................  More efficient and
                                                     timely reviews of
                                                     deepwater port
                                                     applications.
                                                    Consolidation of
                                                     technical and
                                                     operating
                                                     requirements for
                                                     existing deepwater
                                                     ports.

[[Page 19131]]

 
                                                    Potential cost
                                                     savings from the
                                                     following
                                                     provisions:
                                                       1. Sec.   148.8
                                                        Nominate CE.
                                                       2. Sec.   148.105
                                                        Equivalent means
                                                        of certifying
                                                        accuracy of
                                                        maps.
                                                       3. Sec.
                                                        148.707.
                                                       4. Sec.   149.51
                                                        Allows foreign
                                                        national
                                                        engineers.
                                                       5. Sec.   149.52
                                                        Allows for
                                                        adoption of
                                                        classification
                                                        society
                                                        standards.
                                                       6. Sec.   150.435
                                                        Authorizes
                                                        continuation of
                                                        cargo transfer
                                                        operations
                                                        during
                                                        electrical
                                                        storm.
                                                       7. Sec.   150.15
                                                        Limits scope of
                                                        audits to
                                                        modifications.
------------------------------------------------------------------------

Affected Population
    One oil deepwater port began operation before 2006. Since 2006, the 
Coast Guard has processed, or is processing, eight deepwater port 
applications to site, construct, and operate deepwater ports. After 
review of those applications, two LNG deepwater ports have been 
constructed, one has been issued a license to construct, and one has 
initial approval through a favorable ROD from MARAD. The applicants for 
the other four applications have withdrawn their applications. The 
population of currently operating deepwater ports is three: the one 
pre-2006 oil port and two LNG ports.
    The potential number of additional deepwater port applications over 
the next 10 years is dependent on changing market conditions and 
economic forces. The existing deepwater ports were built when the 
forecasts for imports of LNG to the United States, such as those made 
by the Energy Information Administration (EIA), were predicting high 
levels of LNG imports. With recent changes in the natural gas and oil 
markets, EIA now projects continued decline in LNG imports and 
increasing volumes of LNG exports.\18\ The financial and technical 
feasibility of using deepwater ports for LNG exports has not yet been 
demonstrated, making a projection of the number of future deepwater 
port applications difficult. The Coast Guard, for the purpose of this 
rulemaking, estimates that it will receive at least one future 
deepwater port application in the next 10 years, based on the one 
entity that has expressed interest in submitting a new application. The 
Coast Guard is proposing changes to enhance the efficiency and 
timeliness of any future applications.
---------------------------------------------------------------------------

    \18\ http://www.eia.gov/forecasts/aeo/pdf/0383(2014).pdf.
---------------------------------------------------------------------------

Costs
    Table 3 details numerous proposed changes in the regulation with an 
assessment of the cost impacts of the change. These changes fall into 
the following categories:
     May result in possible time or cost savings as they allow 
for greater flexibility in complying with existing requirements.
     Clarify information to be submitted with the deepwater 
port application. These information requirements do not result in 
additional costs to industry as this information has been required 
under existing 33 CFR 148.107 in the past during application processing 
and review. Based on experience with each of the previous applicant 
reviews, the Coast Guard has consistently requested this information at 
some point in the processing of the application. The proposed 
regulatory changes clarify that the information is required up front to 
allow for the more timely review of the application, thus saving the 
applicant the time and expense of additional submissions.
     Implementation may be optional.
     Clarify the Coast Guard's existing need for certain 
additional information that it specifies during the license process and 
which the license applicant provides; the intended impact of the 
clarification is to notify the applicant that, in the interest of 
expeditious processing of the application, this information should be 
provided up front. As the information is already being provided, there 
is no new cost impact.
     May be administrative and would not result in costs. Many 
of these changes clarify the relationship between various Federal 
agencies with responsibility for deepwater ports application, 
licensing, and review. These types of changes do not impose any 
behavioral changes by applicants of deepwater ports. These changes are 
labeled ``Administrative,'' described as clarifications, and will have 
no cost impact. Other ``Administrative'' proposed changes reword 
definitions or delete outdated references.

Overall, Coast Guard has not identified additional costs associated 
with complying with the proposed rule, and sees potential for some 
minor cost savings. Table 3 provides a detailed list of the changes 
proposed by the Coast Guard. The changes with potential cost savings 
include the following:
     Proposed Sec.  148.8 allows an applicant to nominate a CE 
during the application processing phase. Currently, an applicant 
nominates a CE later in the application process. By allowing the 
nomination earlier, we believe that the applicants will have potential 
cost savings by identifying potential problems or challenges earlier in 
the process rather than later, when more work has been done on the 
application.
     Proposed Sec.  148.105 allows for equivalent means of 
certifying the accuracy of maps. Applicants have experienced delays 
when certified geologists were not available to certify the accuracy of 
maps. The Coast Guard had no alternative but to stop the clock, often 
delaying application processing by several months. The intent of this 
proposed revision is to permit the use of specialists who do not 
possess a professional certification, but are able to provide proof of 
equivalent technical expertise and experience, to certify work studies 
and reports required to satisfactorily process a deepwater port 
application. Allowing certifications by technical personnel possessing 
alternate credentialing will help to eliminate extensive delays in 
projects, waiting for expertise that is limited and in high demand. 
Also, proposed Sec.  148.105 allows for the use of data older than 5 
years under certain conditions. Use of older data could result in 
potential cost savings due to the avoidance of gathering new data.
     Proposed Sec.  148.214 allows for resubmission of a 
modified application without incurring a fee. Under the existing 
process, an application can be re-submitted after modification, but the 
applicant must pay the filing fee.
     Proposed Sec.  149.51 allows foreign-national engineers to 
submit design and construction plans on behalf of the licensee. The 
potential cost savings come from the flexibility of allowing the 
applicant to contract services from a larger pool of engineers. The 
applicant

[[Page 19132]]

may have existing relationships with foreign engineers as the 
construction of LNG ports is multinational. Thus, the expertise of the 
foreign engineer may allow for more rapid review, greater institutional 
knowledge, and prior professional relationships which could result in 
potential cost savings.
     Proposed Sec.  149.52 allows for adoption of 
classification society standards. Many maritime companies rely on 
classification standards to satisfy insurance, safety management system 
(SMS), and other requirements. The Coast Guard's adoption of 
classification society standards eliminates the potential for duplicate 
effort. The Coast Guard recognizes that work already completed by a 
classification society can be used in the application process. An 
example is the APL submerged turret loading buoy system to import 
natural gas. The first natural gas deepwater port was Gulf Gateway, 
which used the APL submerged turret loading buoy system. There were no 
existing classification standards that addressed these types of ports 
or their components. Classification societies (American Bureau of 
Shipping (ABS) and Det Norske Veritas (DNV)) had to develop standards 
as the post-licensing review and approval process was taking place. 
Additional review on the part of the Coast Guard to grant equivalency 
approvals for some major port components and systems (emergency alarms, 
shutoffs, etc.) caused some delays in schedule. The classification 
societies have developed a highly detailed body of information on the 
submerged turret loading buoy-type deepwater ports, as well as 
practical experience with the actual deepwater port operations. This 
information, adopted as classification society standards, will improve 
and expedite the post-licensing engineering review and approval 
process.
     Proposed Sec.  150.435 authorizes continuation of cargo 
transfer operations during an electrical storm. The potential cost 
savings derives from the ability to continue safe operations during 
certain electrical storms in accordance with the deepwater port's 
plans. The LNG port operators have stated that they cannot shut down 
operations during electrical storms as this will lead to potentially 
hazardous situations due to static electricity build-up.

           Table 3--Assessment of Impacts of the Proposed Rule
------------------------------------------------------------------------
     Description of change        Type of change        Cost impact
------------------------------------------------------------------------
Sec.   148.3 What Federal agencies are responsible for implementing the
 Deepwater Port Act?
------------------------------------------------------------------------
Clarify the Coast Guard's role  Administrative:    No cost.
 as the lead agency              Clarification of
 responsible for preparing the   existing role.
 environmental impact analysis
 under NEPA, compliance with
 NEPA and other relevant
 environmental laws, and
 matters relating to
 navigation safety and
 security, engineering and
 safety standards, and
 facility inspections.
PHMSA is the Federal agency     Administrative:    No cost.
 with jurisdiction over the      Clarification of
 construction and operation of   existing
 pipeline components of a        authority of
 deepwater port.                 PHMSA.
Expands the description of      Administrative:    No cost.
 responsibilities for the        Clarification of
 Coast Guard and cooperating     existing
 Federal agencies.               authority of
                                 cooperating
                                 Federal agencies.
Delete the reference to an      Administrative:    No cost.
 expired Interagency MOU         Deletion of
 between the Coast Guard and     outdated
 MARAD.                          reference.
------------------------------------------------------------------------
Sec.   148.5 How are terms used in this subchapter defined?
------------------------------------------------------------------------
Definition clarifies the        Administrative:    No cost.
 requirements of a security      Definition.
 plan's scope and contents and
 would align with 33 CFR
 subchapter H.
Definition specifies the        Administrative:    No cost.
 components that comprise the    Definition.
 flexible riser and umbilical
 portion of a STL buoy system.
Moved from Sec.   149.5.......  Administrative:    No cost.
                                 Move.
Definition clarifies that the   Administrative:    No cost.
 operator of a deepwater port    Definition.
 may be either the person who
 receives the license to
 operate (licensee), or the
 licensee's designated
 representative who is
 responsible for the day to
 day operation of the
 deepwater port.
Definition clarifies            Administrative:    No cost.
 jurisdictional boundaries       Definition.
 regarding Federal agency
 oversight of deepwater
 pipelines between the Coast
 Guard and PHMSA regarding
 oversight of deepwater port
 pipelines.
Definition clarifies that the   Administrative:    No cost.
 PLEM includes the last          Definition.
 downstream valve prior to the
 deepwater port pipeline.
Definition to account for a     Administrative:    No cost.
 new proposed post-licensing     Definition.
 requirement.
Moved from Sec.   149.5.......  Administrative:    No cost.
                                 Move.
Moved from Sec.   149.5.......  Administrative:    No cost.
                                 Move.
Definition distinguishes        Administrative:    No cost.
 between deepwater ports that    Definition.
 use STL buoys to affect cargo
 transfer and deepwater ports
 that use single point
 moorings for cargo transfer
 operations.
------------------------------------------------------------------------

[[Page 19133]]

 
Sec.   148.8 How are certifying entities designated and used for
 purposes of this subchapter?
------------------------------------------------------------------------
Allows the applicant to         Administrative:    Possible time and
 nominate a CE during the        Provides           cost savings. The CE
 application processing phase    flexibility in     can be nominated and
 in order to begin the           nominating CE      chosen during MARAD
 technical review necessary      earlier in         evaluation period
 for the approval of design,     process.           rather than waiting
 construction, installation,                        until after the ROD,
 operation, maintenance and                         allowing an earlier
 decommissioning plans for any                      start to
 proposed deepwater port.                           certification. The
                                                    CE could begin a
                                                    technical review
                                                    during MARAD
                                                    evaluation period to
                                                    identify potential
                                                    problems and
                                                    solutions before
                                                    work has progressed
                                                    further on an
                                                    application.
------------------------------------------------------------------------
Sec.   148.105 What must I include in my application?
------------------------------------------------------------------------
Clarifies that MARAD, and not   Administrative:    No cost.
 the Coast Guard, is the lead    Clarification of
 agency responsible for          MARAD and the
 matters regarding the DWPA      Coast Guard's
 financial responsibility        existing roles
 aspect of a deepwater port      re: DWPA
 application.                    financial
                                 responsibility.
Removes and replaces            Administrative:    No cost.
 ``operator'' with               Clarification of
 ``licensee'' as the             who is
 responsible party for costs     financially
 associated with removal of      responsible
 port components.                party.
Clarifies that the applicant    Administrative:    No cost.
 must provide with its           Clarification of
 application a completed         need for
 consistency certification       consistency
 stating that the proposed       certificate to
 deepwater port complies with    comply with
 each affected State's Coastal   existing Coastal
 Management Program per 15 CFR   Zone Management
 part 930, subpart D.            Program
                                 requirements.
Allows an applicant to provide  Administrative:    Possible time and
 an equivalent means of          Provides           cost savings. As the
 certifying the accuracy of      flexibility in     Coast Guard
 the leasing maps or             means of           processed
 protraction diagrams, as an     certifying         applications, it
 alternative to using a          accuracy of maps   became aware of the
 professional surveyor.          and diagrams.      limited availability
                                                    of registered
                                                    professional
                                                    surveyors authorized
                                                    to certify Outer
                                                    Continental Shelf
                                                    leasing maps or
                                                    protraction
                                                    diagrams. This
                                                    resulted in delays
                                                    in application
                                                    processing. By
                                                    allowing for
                                                    equivalent means of
                                                    certification, this
                                                    proposed change
                                                    would broaden the
                                                    spectrum of persons
                                                    who would be able to
                                                    provide the
                                                    necessary
                                                    professional
                                                    competency to
                                                    certify the accuracy
                                                    or correctness of
                                                    the leasing maps or
                                                    protraction
                                                    diagrams, and
                                                    minimize delays in
                                                    application
                                                    processing.
Requires the site plan showing  Clarifies          No cost. Information
 proposed anchorage and          information        has been required
 mooring areas to also include   needed to          from all past
 areas associated with           support            applicants.
 construction and installation   application.       Clarifying
 of deepwater port components                       information needed
 (e.g., pipelaying) in                              up front does not
 addition to deepwater port                         result in additional
 operations.                                        cost but instead
                                                    helps prevent
                                                    delays.
Allow exceptions to 5-year      Administrative:    Potential time and
 limit on age of data for        Provides           cost savings. The
 certain hydrographic data.      flexibility by     proposed change
                                 allowing the use   would allow the use
                                 of data older      of older data, with
                                 than 5 years       Coast Guard
                                 under certain      approval. Use of
                                 circumstances.     older information
                                                    may result in costs
                                                    avoided to develop
                                                    new data.
Requires an applicant to        Clarifies          No cost. Information
 provide MetOcean data that      information        has been required
 includes prevailing winds,      needed to          from all past
 currents, waves and storm       support            applicants.
 history in the affected area    application.       Clarifying
 of the proposed deepwater                          information needed
 port site.                                         up front does not
                                                    result in additional
                                                    cost but instead
                                                    helps prevent
                                                    delays.
Requires an applicant to        Clarifies          No cost. Information
 provide vessel traffic data     information        has been required
 to support analysis of          needed to          from all past
 navigational safety and         support            applicants.
 security hazards.               application.       Clarifying
                                                    information needed
                                                    up front does not
                                                    result in additional
                                                    cost but instead
                                                    helps prevent
                                                    delays.
Clarifies that geological       Clarifies          No cost. Information
 survey data includes not just   information        has been required
 soil analysis, but also the     needed to          from all past
 overall physical                support            applicants.
 characteristics of the ocean    application.       Clarifying
 bottom (e.g., soil mechanics).                     information needed
                                                    up front does not
                                                    result in additional
                                                    cost but instead
                                                    helps prevent
                                                    delays.
Formalizes the independent      Clarifies          No cost. Formalizes
 risk and consequence            information        existing process
 assessment process that has     needed to          (information already
 been customarily submitted as   support            submitted as a
 a supplement to the             application.       supplement).
 application.
Requires the applicant to       Clarifies          No cost. Information
 identify in the environmental   information        has been required
 evaluation section of the       needed to          from all past
 application a reasonable        support            applicants.
 range of alternatives to the    application.       Clarifying
 proposed action to include                         information needed
 deepwater port location,                           up front does not
 pipeline routes and landfall                       result in additional
 locations (if applicable),                         cost but instead
 construction methods, and                          helps prevent
 deepwater port design and                          delays.
 technologies used during
 operations.

[[Page 19134]]

 
Requires the applicant to       Clarifies          No cost. Information
 include in the deepwater port   information        already compiled and
 application a request for a     needed to          submitted by all
 COA as defined at 33 CFR        support            applicants to comply
 158.120 or a request for        application.       with MARPOL and
 waiver if compliance is                            APPS.
 impracticable or unreasonable.
------------------------------------------------------------------------
Sec.   148.107 What happens if I supplement my application?
------------------------------------------------------------------------
Allows for suspension of        Administrative:    No cost. Existing
 timeline if information         Formalizes         process for
 required is not provided in a   existing process   suspending timelines
 timely manner.                  for suspending     already in use when
                                 timeline.          applicable.
Superseded....................  Administrative:    No cost.
                                 Removes and
                                 replaces with
                                 (d) and (e).
Superseded....................  Administrative:    No cost.
                                 Removes and
                                 replaces with
                                 (d) and (e).
Superseded....................  Administrative:    No cost.
                                 Removes and
                                 replaces with
                                 (d) and (e).
Replaces (2)..................  Administrative:    No cost.
                                 Formalizes
                                 existing process
                                 for suspending
                                 timeline.
Replaces (3)..................  Administrative:    No cost.
                                 Formalizes
                                 existing process
                                 for suspending
                                 timeline.
------------------------------------------------------------------------
Sec.   148.125 What are the application fees?
------------------------------------------------------------------------
Adds environmental analysis as  Administrative:    No cost. Formalizes
 examples of costs for           Adding             current industry
 application and post-license    environmental      practice. Clarifies
 review.                         analysis as        current practice
                                 example.           when processing
                                                    deepwater port
                                                    applications that
                                                    costs for
                                                    environmental
                                                    analyses must be
                                                    paid by applicant
                                                    prior to commencing
                                                    operation of
                                                    deepwater port.
------------------------------------------------------------------------
Sec.   148.209 How is the application processed?
------------------------------------------------------------------------
Removes reference to outdated   Administrative:    No cost.
 MOU.                            Removes
                                 reference to
                                 outdated MOU.
------------------------------------------------------------------------
Sec.   148.211 What must I do if I need to change my application?
------------------------------------------------------------------------
Formalizes process in the case  Administrative:    No cost.
 of a significant change or      Formalizes
 required information.           existing process.
------------------------------------------------------------------------
Sec.   148.214 May I resubmit my application?
------------------------------------------------------------------------
Formalizes process for re-      Administrative:    Potential cost
 submittal of application.       Formalizes         savings. Formalizes
 Allows for resubmission of      process to allow   process that allows
 application with no filing      for re-submittal   for resubmission of
 fee.                            of application.    modified application
                                                    with no filing fee.
------------------------------------------------------------------------
Sec.   148.217 How can a State be designated as an Adjacent Coastal
 State?
------------------------------------------------------------------------
States that MARAD determines    Administrative:    No cost.
 whether a State should be       Clarifies
 considered an Adjacent          respective
 Coastal State, and that         duties of Coast
 MARAD, in consultation with     Guard and MARAD.
 the Coast Guard, would
 designate the Adjacent
 Coastal States.
------------------------------------------------------------------------
Sec.   148.228 What if a formal evidentiary hearing is necessary?
------------------------------------------------------------------------
Establishes procedures to be    Administrative:    No cost.
 used for a formal evidentiary   Provides
 hearing.                        procedures for
                                 existing
                                 hearings.
Removes (b)-(d)...............  Administrative:    No cost.
                                 Removes
                                 superseded
                                 requirements.
------------------------------------------------------------------------
Sec.  Sec.   148.230 through 148.256
------------------------------------------------------------------------
Removes.......................  Administrative:    No cost.
                                 Removes
                                 superseded
                                 requirements.
------------------------------------------------------------------------
Sec.   148.276 What is the timeline for approving or denying an
 application?
------------------------------------------------------------------------

[[Page 19135]]

 
Describes timeline for action   Administrative:    No cost.
 on a license including the      Clarifies timing
 publishing of a notice of       for publication
 application.                    of notice of
                                 application.
Describes MARAD public          Administrative:    No cost.
 hearings in Adjacent Coastal    Clarifies
 States.                         process for
                                 Adjacent Coastal
                                 State public
                                 hearings.
------------------------------------------------------------------------
Sec.   148.283 When may the application process be stopped and an
 application be treated as withdrawn?
------------------------------------------------------------------------
Clarifies that MARAD and        Administrative:    No cost.
 Commandant will provide a       Clarification of
 joint written notice to the     joint written
 applicant of action taken       notice procedure.
 under this section.
Clarifies when a suspended      Administrative:    No cost.
 application is considered       Substitutes
 withdrawn.                      ``withdrawn''
                                 for
                                 ``suspended'' to
                                 describe when an
                                 application
                                 process is
                                 stopped.
------------------------------------------------------------------------
Sec.   148.405 What are the procedures for notifying the Commandant (CG-
 5P) of proposed site evaluation and pre-construction testing?
------------------------------------------------------------------------
Clarifies that BOEM guidelines  Information for    No cost. Does not add
 for geological and              submission with    a new requirement,
 geophysical surveys should be   application:       but clarifies what
 applied when the applicant      Clarifies use of   standards would be
 plans to use bottom and sub-    BOEM guidelines    sufficient for the
 bottom acoustic profiling       for certain data.  Coast Guard to
 during deepwater port site                         properly evaluate an
 evaluation and pre-                                applicant's
 construction activities.                           deepwater port site
                                                    evaluation and pre-
                                                    construction testing
                                                    plans. Applicants
                                                    currently use BOEM
                                                    guidelines.
------------------------------------------------------------------------
Sec.   148.605 What are the procedures under OPA 90 for adjusting a
 deepwater port's limit of liability under 33 U.S.C. 2704(d)(2)?
------------------------------------------------------------------------
Clarifies that Coast Guard may  Administrative:    No cost. Explains
 lower the OPA 90 limit of       Clarifies          process to lower oil
 liability for deepwater ports   process for        spill liability
 under 33 U.S.C. 2704(d)(2) on   existing           limits. Requires no
 a port-by-port basis, after     authority for CG   change of behavior.
 evaluating oil spill risk and   to lower the OPA
 economic analyses.              90 limit of
                                 liability for
                                 deepwater ports.
Discusses that the OPA 90       Administrative:    No cost. Explains OPA
 limit of liability of a         Sets minimum       90 liability
 deepwater port will not be      level for OPA 90   adjustments.
 reduced to less than $50        limit of           Requires no change
 million, and may be increased   liability          of behavior.
 following a reduction, as the   adjustments and
 Coast Guard deems               describes
 appropriate, if the design,     process for
 construction, or operation of   increases as
 the deepwater port changes,     appropriate.
 or if oil spill incidents
 related to the deepwater
 port, or to deepwater ports
 generally, indicate that a
 higher limit is needed.
Describes that requests for     Administrative:    No cost. Explains OPA
 adjustments to the OPA 90       Clarifies          90 liability
 deepwater port limit of         process for        adjustments.
 liability may be submitted      existing           Requires no change
 with a license application or   authority for CG   of behavior.
 upon receipt of a license       to lower OPA 90
 from MARAD to construct and     limit of
 operate the proposed            liability.
 deepwater port.
Describes the contents of       Additional         No cost. The industry
 requests to adjust the limit    Information:       is currently
 of liability under 33 U.S.C.    Lists              required by OPA 90
 2704(d)(2), including a risk    information        to perform this risk
 analysis of the deepwater       required to        analysis.
 port to determine its maximum   support an
 most probable oil discharge     adjustment to
 and an economic analysis to     liability.
 determine the removal costs
 and damages of such a spill.
------------------------------------------------------------------------
Sec.   148.707 What type of criteria will be used in an environmental
 evaluation and how will they be applied?
------------------------------------------------------------------------
(b) Expands the list of         Additional         No cost. The intent
 resource areas which will be    Information:       of this revision is
 considered in the               Clarifies          to clarify that the
 environmental impact analysis   existing           existing NEPA and
 to include, without being       requirements for   DWPA requirements
 limited to, threatened          NEPA submissions.  must be met. This
 species; marine protected                          has always been
 areas; marine, coastal, and                        required under NEPA
 migratory birds; marine                            and DWPA in order to
 mammals; and fisheries.                            develop and publish
                                                    the EIS, and to
                                                    initiate Endangered
                                                    Species Act Section
                                                    7 consultation w/
                                                    NFMS & FWS.
------------------------------------------------------------------------
148.715 How is an environmental review conducted?
------------------------------------------------------------------------
Adds the following to the       Administrative:    No cost.
 existing list of factors:       Specifies data
 geographic relevance, age of    already required
 data, and methods of data       and data quality
 analysis.                       for Coast Guard
                                 review.
------------------------------------------------------------------------
Sec.   148.737 What environmental statutes must an applicant follow?
------------------------------------------------------------------------

[[Page 19136]]

 
Removes the list of             Administrative:    No cost.
 environmental statutes and      Replaces list of
 executive orders and replaces   statutes with
 it with a reference to the      reference to Web
 list on the Commandant Web      site so list can
 site.                           be kept current.
------------------------------------------------------------------------
Sec.   149.5 What definitions apply to this part?
------------------------------------------------------------------------
Moves to definitions section    Administrative:    No cost.
 148.5.                          Moved.
------------------------------------------------------------------------
Sec.   149.15 What is the process for submitting alterations and
 modifications affecting the design and construction of a deepwater
 port?
------------------------------------------------------------------------
Contains procedures for         Administrative:    No cost.
 preparation and submission of   Removed to Sec.
 plans pertaining to design,      149.54.
 construction and operation of
 the deepwater port, and the
 Coast Guard's review and
 approval of these proposed
 plans.
------------------------------------------------------------------------
Sec.   149.20 What must the District Commander be notified of and when?
------------------------------------------------------------------------
Adds that the District          Administrative:    No cost. Current
 Commander must be notified of   Clarifies          industry practice
 the construction of a STL       existing           that all STL buoy
 buoy.                           practice by        applicants notify
                                 adding STL buoy.   District Commander.
------------------------------------------------------------------------
Sec.   149.51 What construction drawings and specifications are
 required?
------------------------------------------------------------------------
Allows a foreign national       Qualifications:    Potential cost
 engineer, possessing            Allows             savings due to
 qualifications equivalent to    equivalent         flexibility.
 those required in the United    qualifications
 States for a professional       for foreign
 engineer, to submit design      national
 and construction plans on       engineer.
 behalf of the licensee.
------------------------------------------------------------------------
Sec.   149.52 What are the design standards?
------------------------------------------------------------------------
Clarifies what the appropriate  Classification     Provides alternative
 classification society          standards:         for compliance that
 requirements are for            Allows the use     has potential cost
 deepwater ports. This           of                 savings due to use
 proposed change would be        classification     of existing industry
 added to explicitly allow for   society            classification
 the adoption of                 standards as       society standards by
 classification society          generally used     recognizing work
 standards generally used        within the         already completed by
 within the offshore industry    industry.          a classification
 that are at least equivalent                       society, eliminating
 to rules established by any                        the potential for
 recognized classification                          duplicating effort.
 society recognized by the
 Coast Guard.
------------------------------------------------------------------------
Sec.   149.54 What is the process for submitting alterations and
 modifications affecting the design, construction, and operations of a
 deepwater port?
------------------------------------------------------------------------
Moved from another section....  Administrative:    No cost.
                                 Moves existing
                                 text from other
                                 section.
------------------------------------------------------------------------
Sec.   149.57 What is the review and approval process for the design,
 construction, and commissioning for Deepwater Ports for operation?
------------------------------------------------------------------------
Provides standardization of     Administrative:    No cost. Uses
 the deepwater port              Describes          existing Coast Guard
 commissioning process,          process,           resources.
 ensures all levels of the       clarifies
 Coast Guard with deepwater      responsibilities.
 port responsibilities are
 appraised of a deepwater
 port's pending operational
 approval, and clarifies for
 the licensee the identity of
 the responsible Coast Guard
 official with daily
 operational oversight.
------------------------------------------------------------------------
Sec.   149.58 What is the role of the certifying entity in the review
 and approval process for the design, construction, and commissioning
 for Deepwater Ports for operation?
------------------------------------------------------------------------
Describes the scope and         Certifying         No cost. Current
 duration of a CE's              entity:            industry practice.
 responsibility during each      Describes scope    Clarifies the role
 phase of design,                and duration of    of the technical
 construction, and operations,   CE                 contractor they have
 and would apply to all          responsibility.    already been
 nominated CEs whether                              employing to develop
 nominated under proposed Sec.                      the application to
   148.8 or not.                                    assume the role as
                                                    CE for the design,
                                                    construction,
                                                    installation, and
                                                    commencement of
                                                    deepwater port
                                                    operations.
------------------------------------------------------------------------
Sec.   149.115 What are the requirements for pipeline end manifold
 shutoff valves?
------------------------------------------------------------------------

[[Page 19137]]

 
Revises to indicate that the    Equipment          No cost. Formalizes
 PLEM's shutoff valve must be    requirement:       current industry
 operable from a remote          Pipeline end       practice. Remotely-
 location because that           manifold's         operated shutoff
 capability must be available    shutoff valve      valves are already
 for operations on unmanned      must be operable   required to be
 deepwater ports as well as      from remote        installed on all
 during emergencies.             location.          currently active
                                                    deepwater ports.
                                                    (i.e., 49 CFR 193
                                                    (PHMSA) for LNG
                                                    deepwater ports), as
                                                    well as be designed
                                                    and maintained in
                                                    accordance with
                                                    Classification
                                                    Society Rules (ABS
                                                    and DNV).
------------------------------------------------------------------------
Sec.   149.206 What are the requirements for survival craft and rescue
 boats?
------------------------------------------------------------------------
Aligns the requirements for     Survival craft:    No cost. Formalizes
 survival craft and rescue       Aligns             current industry
 boats for manned deepwater      requirements       practice. LOOP is
 ports with Coast Guard          with MODU CFRs.    the only manned
 requirements for survival                          deepwater port and
 craft and rescue boats for                         is currently
 MODUs in 46 CFR 108.520-                           equipped w/SOLAS-
 108.575.                                           compliant survival
                                                    craft, thus already
                                                    complying with this
                                                    regulation change.
                                                    The cost for
                                                    operating and
                                                    maintaining these
                                                    craft is already
                                                    factored into port
                                                    operational budget.
                                                    Future manned
                                                    deepwater ports are
                                                    also expected to
                                                    comply with SOLAS
                                                    survival craft
                                                    requirements.
------------------------------------------------------------------------
Sec.   149.306 through 149.315.
------------------------------------------------------------------------
Removes sections..............  Administrative:    No cost.
                                 Removed.
------------------------------------------------------------------------
Sec.   150.10 What are the general requirements for operations manuals?
------------------------------------------------------------------------
To ensure operations manuals    Operations         No cost. Formalizes
 are subject to continuous       manual: 5-year     current industry
 review and reflect the          cycle to           practice and
 deepwater port's actual         resubmit           recognizes
 operational profile, the        operational        established
 Coast Guard proposes in Sec.    manual for         procedure. Deepwater
  150.10(e) to establish a 5-    review.            port operators have
 year cycle for the operator                        been submitting
 to re-submit the operations                        their operations
 manual to the Commandant (CG-                      manuals on a 5-year
 5P) to be re-reviewed and re-                      cycle for nearly 10
 approved. This 5-year review                       years to comply with
 cycle would coincide with the                      MTSA requirements,
 existing 5-year environmental                      permits, and
 baseline reassessment                              requirements from
 requirement found at Sec.                          other Federal
 150.15(bb).                                        agencies.
------------------------------------------------------------------------
Sec.   150.15 What must the operations manual include?
------------------------------------------------------------------------
Require that the operations     Operations         No cost. Formalizes
 manual include either the       manual:            current industry
 deepwater port's COA that       Specifies          practice.
 certifies the deepwater port    inclusion of
 meets the requirements for      existing COA in
 reception facilities as         manual.
 required under 33 CFR part
 158, or to include a waiver
 of the COA issued by the
 responsible Sector Commander
 or MSU Commander with COTP
 and OCMI authority.
Comprehensive audit program to  Audit program for  No cost. The
 ensure that the deepwater       port security      deepwater port
 port operator has an approved   plan:              security plan is a
 and regularly reviewed          Establishes a      subset of the
 deepwater port security plan.   requirement for    operations manual.
 To help fulfill this            annual audit of    As stated above,
 verification requirement, the   port security      LOOP and the LNG
 Coast Guard would implement     plan. Results      deepwater port
 an annual audit program for     are submitted as   operators are
 deepwater ports that would      attachment to      already employing
 align with, and the report of   existing annual    contractors to
 audit results would be an       self-inspection    conduct and produce
 attachment to, the annual       report.            port security
 self-inspection report that                        assessments and to
 the operator is already                            update the
 required to provide to the                         operations and
 responsible Sector Commander                       security plans as
 or MSU Commander with COTP                         needed. This
 and OCMI authority as                              regulatory revision
 specified at Sec.   150.105.                       is formalizing what
 This proposed requirement                          is current industry
 would allow the Sector                             practice and meets
 Commander or MSU Commander                         the approval of the
 with COTP and OCMI authority                       cognizant COTP.
 to verify that the deepwater
 port operator has the
 necessary personnel and
 procedures in place to
 respond to a security
 incident in a manner that
 adequately protects the
 deepwater port, human health,
 and the environment.
Establishes that the deepwater  Audit program for  No cost. Formalizes
 port security plan must be      port security      current industry
 audited if there is a change    plan:              practice. Existing
 in ownership or operations of   Establishes        Coast Guard
 the deepwater port, or if       requirement for    deepwater port
 there have been modifications   audit of           regulations (Sec.
 to the deepwater port.          security plan if   150.15(x)) require
                                 there is a         the operator to
                                 change in          maintain a security
                                 ownership,         plan ``comparable to
                                 operations or      part 106.'' Part
                                 modification to    106, in turn,
                                 the port.          requires the
                                                    security plan to be
                                                    audited annually and
                                                    to be submitted to
                                                    Coast Guard for re-
                                                    approval every 5
                                                    years. No currently
                                                    operating deepwater
                                                    port has had more
                                                    than annual audits.

[[Page 19138]]

 
Limits the scope of audits of   Audit program for  No cost. Clarifies
 the port security plan to       port security      existing
 only those sections affected    plan: Clarifies    requirements in
 by the modifications.           existing           106.415(b)(3).
                                 requirements in
                                 106.415(b)(3).
Requires submittal of the       Audit program for  No cost. Formalizes
 proposed amendment to the       port security      current industry
 cognizant Sector Commander or   plan:              practice. Existing
 MSU Commander with COTP and     Establishes        Coast Guard
 OCMI authority, with copy to    process if audit   deepwater port
 the Commandant for review and   results require    regulations (Sec.
 approval.                       amendment.         150.15(x)) require
                                                    the operator to
                                                    maintain a security
                                                    plan ``comparable to
                                                    part 106.'' Part
                                                    106, in turn,
                                                    requires the
                                                    security plan to be
                                                    audited annually and
                                                    to be submitted to
                                                    Coast Guard for re-
                                                    approval every 5
                                                    years.
Establishes that the Sector     Security plans:    No cost. Formalizes
 Commander or MSU Commander      Establishes        current industry
 with COTP and OCMI authority    requirement for    practice. Existing
 will normally perform an        Sector Commander   Coast Guard
 annual security inspection to   or MSU Commander   deepwater port
 verify the findings in the      with COTP and      regulations (Sec.
 audit. The Sector Commander     OCMI authority     150.15(x)) require
 or MSU Commander with COTP      to perform         the operator to
 and OCMI authority will         annual security    maintain a security
 perform a more detailed         inspection and 5-  plan ``comparable to
 deepwater port security plan    year security      part 106.'' Part
 review at prescribed 5-year     plan review.       106, in turn,
 intervals following initial                        requires the
 approval of the deepwater                          security plan to be
 port security plan and will                        audited annually and
 include onsite inspection of                       to be submitted to
 personnel assignments and                          Coast Guard for re-
 qualifications, observance of                      approval every 5
 security drills, and other                         years.
 security exercises as
 necessary.
Adopts the use of a formal      Operations         No cost. Current
 PMMP. Currently, every          manual: Requires   industry practice as
 licensed deepwater port has a   that existing      every deepwater port
 PMMP as a condition of the      PMMP be            has a PMMP to get a
 MARAD-issued license by         incorporated as    license. This also
 making the PMMP a requirement   part of the        harmonizes with
 of the operations manual.       operations         MARAD requirements.
                                 manual.
Requires the operator to        Procedural manual  No cost. Formalizes
 develop a manual that           for pipelines:     current industry
 addresses deepwater port        Requires           practice and is also
 pipeline operations,            development of a   currently required
 maintenance and emergencies.    procedures         as a condition of
 This manual, which would be     manual for         the MARAD-issued
 an appendix to the operations   pipelines          license for PHMSA
 manual, would incorporate       incorporating      approval. Has been
 procedures that meet the        existing PHMSA     submitted by all
 requirements of PHMSA           requirements.      applicants for
 regulations.                                       deepwater ports.
------------------------------------------------------------------------
Sec.   150.25 When will the Coast Guard require amendments to the
 operations manual?
------------------------------------------------------------------------
Amends the regulation to        Administrative:    No cost.
 clarify that if the             Clarifies
 responsible Sector Commander    responsibility
 or MSU Commander with COTP      of Sector
 and OCMI authority determines   Commander or MSU
 that the licensee's proposed    Commander with
 amendments to the operations    COTP and OCMI
 manual are inadequate, the      authority with
 COTP may return the proposed    respect to
 amendments to the licensee      operations
 for revision.                   manual
                                 amendments.
Explicitly enables other        Administrative:    No cost.
 Federal agencies to propose     Enables other
 amendments of the operations    Federal agencies
 manual to Commandant.           to propose
                                 amendments to
                                 operations
                                 manual.
------------------------------------------------------------------------
Sec.   150.30 How may the licensee propose an amendment to the
 operations manual?
------------------------------------------------------------------------
Adds new paragraph (a) to       Amendment to       No cost. Formalizes
 state that the applicant must   Operations         current industry
 provide Commandant with a       Manual: Process    practice. These
 copy of the proposed            for submittal      types of changes
 amendment. Commandant would     and notification   requiring Coast
 then notify MARAD prior to      of amendment.      Guard review and
 approval of significant                            approval are already
 changes to the deepwater                           routinely submitted
 port's operations.                                 electronically to
                                                    Coast Guard.
------------------------------------------------------------------------
Sec.   150.100 What are the requirements for inspecting deepwater ports?
------------------------------------------------------------------------
Adds new paragraph (b) to       Administrative:    No cost.
 affirm that other Federal       Clarifies that
 agency representatives may      representatives
 accompany Coast Guard           from other
 personnel during an             Federal agencies
 inspection of a deepwater       can accompany
 port to verify compliance in    Coast Guard
 those areas of operations       personnel during
 over which each agency has      an inspection.
 jurisdiction.
------------------------------------------------------------------------
Sec.   150.105 What are the requirements for annual self-inspection?
------------------------------------------------------------------------

[[Page 19139]]

 
Revises the procedures for      Self-inspection    No cost. Clarifies
 development and approval of a   Program:           existing procedures
 deepwater port self-            Clarifies          for development of
 inspection program by which     existing           self-inspection
 deepwater ports may, prior to   procedures for     program.
 commencement of operations,     development of
 submit a self-inspection        self-inspection
 program to the responsible      program.
 Sector Commander or MSU
 Commander with COTP and OCMI
 authority for consideration
 and approval.
Requires that the responsible   Administrative:    No cost.
 Sector Commander or MSU         Clarifies
 Commander with COTP and OCMI    procedures for
 authority validate the          validation of
 results of each inspection.     inspections.
 If the Sector Commander or
 MSU Commander with COTP and
 OCMI authority determines the
 deepwater port is not
 operating in conformity with
 its operations manual or
 license, the Sector Commander
 or MSU Commander with COTP
 and OCMI authority must
 direct appropriate corrective
 action and notify Commandant
 (CG-5P) and, if there is a
 possible violation of a
 license condition, notify
 MARAD.
------------------------------------------------------------------------
Sec.   150.107 What notice must be given in the event of inspections?
------------------------------------------------------------------------
Requires that the operator      Notification of    No cost. Formalizes
 notify the responsible Sector   inspection:        current industry
 Commander or MSU Commander      Operator must      practice. These
 with COTP and OCMI authority    notify Sector      types of changes
 when a Federal or State         Commander or MSU   requiring Coast
 agency schedules an             Commander with     Guard review and
 inspection, and retain the      COTP and OCMI      approval are already
 record of results of any        authority of       routinely submitted
 Federal or State agency         Federal or State   to Coast Guard.
 inspection, and make those      inspection and
 records available for review    retain records
 upon request from the           of inspections.
 responsible Sector Commander
 or MSU Commander with COTP
 and OCMI authority or his or
 her designated representative.
------------------------------------------------------------------------
Sec.   150.110 What are the notification requirements upon receipt of
 classification society certifications?
------------------------------------------------------------------------
Requires that the deepwater     Notification of    No cost. Formalizes
 port operator notify the        classification     current industry
 responsible Sector Commander    status: Operator   practice. These
 or MSU Commander with COTP      must notify        types of changes
 and OCMI authority of any       Sector Commander   requiring Coast
 changes to the deepwater        or MSU Commander   Guard review and
 port's classification status    with COTP and      approval are already
 to ensure the deepwater         OCMI authority     routinely submitted
 port's operations are carried   of changes to      to Coast Guard.
 out in a manner that is safe    classification
 for personnel and protective    status.
 of the environment.
------------------------------------------------------------------------
Sec.   150.225 What training and instruction are required?
------------------------------------------------------------------------
Ensures that all employees,     Training:          No cost. Consolidates
 regardless of status, receive   Requires that      existing training
 basic safety training as soon   all employees      requirements that
 as practicable after            receive basic      are currently
 reporting to the deepwater      safety training.   scattered throughout
 port.                                              part 150. All
                                                    deepwater ports
                                                    currently require
                                                    basic safety
                                                    training for all
                                                    crew and persons
                                                    other than crew on
                                                    deepwater ports.
------------------------------------------------------------------------
Sec.   150.435 When are cargo transfers not allowed?
------------------------------------------------------------------------
Authorizes continuation of      Cargo transfers:   Potential cost
 cargo transfers during an       Allows             savings due to
 electrical storm in the         continuation of    flexibility in
 vicinity of the deepwater       cargo transfers    continuing
 port so long as the             during             operations. Also,
 operations manual contains      electrical         LNG ports must
 approved procedures, with       storms if          maintain operations
 which the deepwater port        certain            to avoid possible
 operator is in compliance, to   procedures are     hazardous
 ensure the safety of            used.              situations.
 personnel, equipment and the
 environment.
------------------------------------------------------------------------
Sec.   150.830 Reporting a pollution incident.
------------------------------------------------------------------------
Requires that the person in     Notification of    No cost. Already
 charge report oil pollution     oil pollution      required in Sec.
 incidents involving a           incidents:         135.307.
 deepwater port according to     Requires that
 Sec.  Sec.   135.305 and        person in charge
 135.307.                        report oil
                                 pollution
                                 incidents.
------------------------------------------------------------------------

Benefits
    The benefits of the proposed rule are summarized below. See Table 4 
for more detailed marginal benefit analysis.
Part 148
    The main purpose of the revisions to 33 CFR part 148 in this 
proposed rule is to clarify the deepwater port application process. The 
roles of the Coast Guard, MARAD, BOEM, and other Federal agencies would 
be further clarified to insure applicants better understand the 
application process. The

[[Page 19140]]

Coast Guard also proposed to revise the definitions used in parts 148, 
149, and 150 to reflect actual operations.
    The benefits for 33 CFR part 148 would come from incorporating 
lessons learned from the history of deepwater port applications. The 
Coast Guard frequently finds that applications cannot be fully 
processed without time-consuming delays to obtain additional data from 
applicants. The result may require the Coast Guard to ``stop the 
clock'' on the application review process. This proposed rule will 
likely reduce the periods when the ``clock is stopped,'' and expedite 
the application process.
Part 149
    The proposed changes in 33 CFR part 149 are mainly technical and 
administrative in nature to clarify the review and approval process. 
The proposed changes would allow for increased flexibility in the 
review and approval process and for certifying entities.
Part 150
    The proposed changes to part 150 of Title 33 would consolidate 
operational requirements and codify current industry practice to 
improve understanding of, and compliance with, good operational 
practices.

          Table 4--Assessment of Benefits of the Proposed Rule
------------------------------------------------------------------------
                                                  Beneficial impact of
       Section          Description of change            change
------------------------------------------------------------------------
Sec.   148.3 What     Describes Coast Guard's   Clarifies for applicant
 Federal agencies      role as the lead agency   the roles and
 are responsible for   responsible for NEPA      responsibilities of
 implementing the      compliance. Also          Coast Guard and other
 Deepwater Port Act?   describes the             Federal agencies to
                       responsibilities of       enhance understanding
                       PHMSA and other federal   of application process.
                       agencies. Deletes
                       reference to expired
                       MOU.
Sec.   148.5 How are  Administrative            Clarification of various
 terms in this         definitions and           terms.
 subchapter defined?   reorganization.
Sec.   148.8 How are  Allows the applicant to   Possible time and cost
 certifying entities   nominate a CE during      savings. The CE can be
 designated and used   the application           nominated and chosen
 for purposes of       processing phase in       during the MARAD
 this subchapter.      order to begin the        evaluation period,
                       technical review          rather than waiting
                       necessary for the         until after the ROD,
                       approval of design,       allowing earlier start
                       construction,             to certification. The
                       installation,             CE could begin
                       operation, maintenance    technical review during
                       and decommissioning       MARAD evaluation period
                       plans for any proposed    to identify potential
                       deepwater port.           problems and solutions
                                                 before work has
                                                 progressed on a
                                                 application.
Sec.   148.105 What   Various Administrative    Clarifies roles of Coast
 must I include in     measures.                 Guard and MARAD, and
 my application?                                 who is a financially
                                                 responsible party, and
                                                 provides consistency
                                                 with Coastal Zone
                                                 Management Act
                                                 procedures to enhance
                                                 understanding of
                                                 application process.
Sec.   148.105 What   Provides flexibility in   Possible time and cost
 must I include in     means of certifying       savings. As the Coast
 my application?       accuracy of maps and      Guard processed
                       diagrams.                 applications, it became
                                                 aware of the
                                                 unavailability of
                                                 registered professional
                                                 surveyors authorized to
                                                 certify Outer
                                                 Continental Shelf
                                                 leasing maps or
                                                 protraction diagrams.
                                                 This resulted in delays
                                                 in application
                                                 processing. By allowing
                                                 for equivalent
                                                 certifications, this
                                                 proposed change would
                                                 broaden the spectrum of
                                                 persons who could
                                                 certify the accuracy or
                                                 correctness of the
                                                 leasing maps or
                                                 protraction diagrams,
                                                 and minimize delays in
                                                 application processing.
Sec.   148.105 What   Allows use of data older  Potential time and cost
 must I include in     than 5 years under        savings. The proposed
 my application?       certain circumstances.    change would allow the
                                                 use of older data, with
                                                 Coast Guard approval.
                                                 Use of older
                                                 information may result
                                                 in costs avoided to
                                                 develop new data.
Sec.   148.105 What   Specifies various         Clarifies information to
 must I include in     information to be         be included with the
 my application?       included with             application to prevent
                       application.              ``stopping the clock''
                                                 if information is
                                                 requested during
                                                 application review.
Sec.   148.107 What   Various Administrative    Clarifies existing
 happens if I          changes, including        process and enhances
 supplement my         formalizing existing      understanding by
 application?          process for suspending    removing outdated
                       timeline.                 discussion.
Sec.   148.125 What   Administrative change     Clarifies the existing
 are the application   that adds environmental   practice that
 fees?                 analysis as examples of   environmental analysis
                       costs for application     costs are part of
                       and post-license review.  application and post-
                                                 license review.
Sec.   148.209 How    Administrative change     Clarifies existing
 is the application    that removes reference    process by removing
 processed?            to outdated MOU.          outdated references.
Sec.   148.211 What   Formalizes existing       Clarifies existing
 must I do if I need   process in the case of    process to enhance
 to change my          a significant change or   understanding of
 application?          required information.     application process.
Sec.   148.214 May I  Formalizes process to     Potential cost savings.
 resubmit my           allow for re-submittal    The proposed change
 application?          of application.           allows for the
                                                 resubmission of an
                                                 application after a
                                                 modification with no
                                                 filing fee. The
                                                 existing process allows
                                                 resubmission, but a
                                                 filing fee for the re-
                                                 submittal applies.
Sec.   148.217 How    Clarifies respective      Clarifies existing
 can a State be        duties of Coast Guard     process to enhance
 designated as an      and MARAD.                understanding of
 Adjacent Coastal                                application process.
 State?
Sec.   148.228 What   Provides procedures for   Clarifies existing
 if a formal           existing hearings and     process to enhance
 evidentiary hearing   removes superseded        understanding of
 is necessary?         requirements.             application process.

[[Page 19141]]

 
Sec.  Sec.   148.230  Removes superseded        Clarifies existing
 through 148.256       requirements.             process to enhance
                                                 understanding of
                                                 application process.
Sec.   148.276 What   Describes timing for      Clarifies existing
 is the timeline for   publication of notice     process to enhance
 approving or          of application and        understanding of
 denying an            process for Adjacent      application process.
 application?          Coastal State public
                       hearings.
Sec.   148.283 When   Describes that MARAD and  Clarifies existing
 may the application   Commandant will provide   process to enhance
 process be stopped    joint written statement   understanding of
 and an application    to the applicant of       application process.
 be treated as         action taken under this
 withdrawn?            section.
Sec.   148.405 What   Clarifies that BOEM       Clarifies existing
 are the procedures    guidelines for            process to enhance
 for notifying the     geological and            understanding of
 Commandant (CG-5P)    geophysical surveys       application process.
 of proposed site      should be applied when
 evaluation and pre-   the applicant plans to
 construction          use bottom and sub-
 testing?              bottom acoustic
                       profiling during
                       deepwater port site
                       evaluation and pre-
                       construction activities.
Sec.   148.605 What   Clarifies process for     Clarifies existing
 are the procedures    existing authority for    process to enhance
 under OPA 90 for      Coast Guard to lower      understanding of
 adjusting a           the OPA 90 limit of       application process.
 deepwater port's      liability for deepwater
 limit of liability    ports; sets minimum
 under 33 U.S.C.       level for OPA 90 limit
 2704(d)(2)?           of liability
                       adjustments and
                       describes process for
                       increases as
                       appropriate; lists
                       information required to
                       support an adjustment
                       to liability.
Sec.   148.707 What   Clarifies existing        Clarifies information to
 type of criteria      requirements for NEPA     be included with the
 will be used in an    submissions.              Application to prevent
 environmental                                   ``stopping the clock''
 evaluation and how                              if information is
 will they be                                    requested during
 applied?                                        application review.
Sec.   148.707 What   Deletes requirement to    Possible time and cost
 type of criteria      consider future           savings. Consideration
 will be used in an    environmental             of future environmental
 environmental         regulations as            regulations time
 evaluation and how    unreasonable.             consuming and requires
 will they be                                    speculation. Allows
 applied?                                        focus on complying with
                                                 existing regulations.
Sec.   148.715 How    Adds the following to     Clarifies information to
 is an environmental   the existing list of      be included with the
 review conducted?     factors: Geographic       application to prevent
                       relevance, age of data,   ``stopping the clock''
                       and methods of data       if information is
                       analysis.                 requested during
                                                 application review.
Sec.   148.737 What   Replaces list of          Allows for easier update
 environmental         statutes with reference   of list of statutes
 statutes must an      to Web site so list can   that applicant must
 applicant follow?     be kept current.          follow.
Sec.   149.5 What     Moves to definition       Administrative to
 definitions apply     section 148.5.            enhance understanding
 to this part?                                   of application process
                                                 by consolidating
                                                 definitions.
Sec.   149.20 What    Adds that the District    Clarifies existing
 must the District     Commander must be         requirement by adding
 Commander be          notified of the           STL.
 notified of and       construction of a
 when?                 submerged turret
                       loading (STL) buoy.
Sec.   149.51 What    Allows a foreign          Potential cost savings
 construction          national engineer,        due to flexibility by
 drawings and          possessing                allowing equivalent
 specifications are    qualifications            qualifications for
 required?             equivalent to those       foreign national
                       required in the United    engineer thereby
                       States for a              avoiding potential
                       professional engineer,    delays.
                       to submit design and
                       construction plans on
                       behalf of the licensee.
Sec.   149.52 What    Clarifies what the        Potential cost savings
 are the design        appropriate               due to use of existing
 standards?            classification society    industry classification
                       requirements are for      society standards.
                       deepwater ports. This
                       proposed change would
                       be added to explicitly
                       allow for the adoption
                       of classification
                       society standards
                       generally used within
                       the offshore industry
                       that are at least
                       equivalent to rules
                       established by any
                       recognized
                       classification society
                       recognized by the Coast
                       Guard.
Sec.   149.54 What    Moves existing text from  Reorganizes text to
 is the process for    other section.            enhance understanding.
 submitting
 alterations and
 modifications
 affecting the
 design,
 construction, and
 operations of a
 deepwater port?
Sec.   149.57 What    Provides standardization  Describes the review and
 is the review and     of the deepwater port     approval process and
 approval process      commissioning process,    clarifies
 for the design,       ensures all levels of     responsibilities to
 construction, and     the Coast Guard with      facilitate
 commissioning for     deepwater port            understanding of the
 Deepwater Ports for   responsibilities are      process.
 operation?            appraised of a
                       deepwater port's
                       pending operational
                       approval, and clarifies
                       for the licensee the
                       identity of the
                       responsible Coast Guard
                       official with daily
                       operational oversight.

[[Page 19142]]

 
Sec.   149.58 What    Describes the scope and   Clarifies scope and
 is the role of the    duration of a CE's        duration of CE's
 certifying entity     responsibility during     responsibility to
 in the review and     each phase of design,     enhance understanding
 approval process      construction, and         of how the CE assists
 for the design,       operations, and would     the application
 construction, and     apply to all nominated    process.
 commissioning for     CEs whether nominated
 Deepwater Ports for   under proposed Sec.
 operation?            148.8 or not.
                       (discussed previously
                       under ``B. Part 148, 2.
                       Application Information
                       and Review'').
Sec.   149.115 What   Revises to indicate that  Clarifies existing
 are the               the pipeline end          requirements to improve
 requirements for      manifold's shutoff        ability to respond to
 pipeline end          valve must be operable    emergencies and on
 manifold shutoff      from a remote location    unmanned facilities
 valves?               because that capability   through the use of
                       must be available for     remote shutoff valves.
                       operations on unmanned
                       deepwater ports as well
                       as during emergencies.
Sec.   149.206 What   Aligns the requirements   Enhances understanding
 are the               for survival craft and    by aligning
 requirements for      rescue boats for manned   requirements with MODU
 survival craft and    deepwater ports with      CFR.
 rescue boats?         Coast Guard regulations
                       for the survival craft
                       and rescue boat
                       requirements for Mobile
                       Offshore Drilling Units
                       (MODU) in 46 CFR
                       108.520-108.575.
Sec.   150.10 What    To ensure operations      Clarifies requirements
 are the general       manuals are subject to    for operations manual
 requirements for      continuous review and     review to enhance
 operations manuals?   reflect the deepwater     understanding of
                       port's actual             process.
                       operational profile,
                       the Coast Guard
                       proposes in Sec.
                       150.10(e) to establish
                       a five-year cycle for
                       the operator to re-
                       submit the operations
                       manual to the
                       Commandant (CG-5P) to
                       be re-reviewed and re-
                       approved. This 5-year
                       review cycle would
                       coincide with the
                       existing five-year
                       environmental baseline
                       reassessment
                       requirement found at
                       Sec.   150.15(bb).
Sec.   150.15 What    Specifies details of      Potential time and cost
 must the operations   operations manual         savings. Streamlines
 manual include?       including inclusion of    approval by ensuring
                       existing COA and          that manual meets
                       existing PMMP.            existing COA, MTSA, and
                       Describes the annual      PMMP/PHMSA
                       audit of deepwater port   requirements.
                       security plan and
                       clarifies scope of
                       audits audit to
                       modification.
                      Requires development of
                       a procedures manual for
                       pipelines incorporating
                       existing PHMSA
                       requirements.
                      Establishes requirement
                       for Sector Commander or
                       MSU Commander with COTP
                       and OCMI authority to
                       perform annual security
                       inspection and 5-year
                       security plan review.
Sec.   150.25 When    Clarifies responsibility  Enhances understanding
 will the Coast        of Sector Commander or    of process by
 Guard require         MSU Commander with COTP   clarifying
 amendments to the     and OCMI authority with   responsibilities of
 operations manual?    respect to operations     Coast Guard and other
                       manual amendments and     Federal agencies with
                       enables other Federal     regards to amendments
                       agencies to propose       to operations manual.
                       amendments to
                       operations manual.
Sec.   150.30 How     Adds new paragraph (a)    Enhances understanding
 may the licensee      to state that the         of process by
 propose an            applicant must provide    clarifying process for
 amendment to the      Commandant with a copy    amending operations
 operations manual?    of the proposed           manual and notifying
                       amendment. Commandant     MARAD.
                       would then notify MARAD
                       prior to approval of
                       significant changes to
                       the deepwater port's
                       operations.
Sec.   150.100 What   Adds language that        Enhances understanding
 are the               representatives from      of process by
 requirements for      other Federal agencies    clarifying that
 inspecting            can accompany Coast       representatives from
 deepwater ports?      Guard personnel during    other Federal agencies
                       an inspection.            can accompany Coast
                                                 Guard personnel during
                                                 an inspection.
Sec.   150.105 What   Clarifies the existing    Enhances understanding
 are the               procedures for            of process by
 requirements for      development and           clarifying the existing
 annual self-          approval of a deepwater   procedures for
 inspection?           port self-inspection      developing and
                       program by which          approving a self-
                       deepwater ports may,      inspection program.
                       prior to commencement
                       of operations, submit a
                       self-inspection program
                       to the responsible
                       Sector Commander or MSU
                       Commander with COTP and
                       OCMI authority for
                       consideration and
                       approval.
Sec.   150.107 What   Operator must notify      Formalizes current
 notice must be        Sector Commander or MSU   industry practice
 given in the event    Commander with COTP and   relating to notice of
 of inspections?       OCMI authority of         inspections.
                       Federal or State
                       inspection and retain
                       records of inspections.
Sec.   150.110 What   Operator must notify      Formalizes current
 are the               Sector Commander or MSU   industry practice
 notification          Commander with COTP and   relating to changes to
 requirements upon     OCMI authority of         classification.
 receipt of            changes to
 classification        classification status.
 society
 certifications?
Sec.   150.225 What   Describes basic safety    Clarifies existing
 training and          training requirements     regulatory requirements
 instruction are       for all employees.        for basic safety
 required?                                       training for all
                                                 employees.
Sec.   150.435 When   Allows continuation of    Potential cost savings
 are cargo transfers   cargo transfers during    due to flexibility in
 not allowed?          electrical storms if      continuing operations.
                       certain procedures are    Also, LNG ports must
                       used.                     maintain operations to
                                                 avoid possible
                                                 hazardous situations.

[[Page 19143]]

 
Sec.   150.830        Describes process for     Enhances understanding
 Reporting a           reporting oil pollution   of process by
 pollution incident.   incidents.                clarifying existing
                                                 regulatory requirements
                                                 for reporting oil
                                                 pollution incidents.
------------------------------------------------------------------------

B. Small Entities

    Under the Regulatory Flexibility Act (5 U.S.C. 601-612), we have 
considered whether this final rule will 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 government jurisdictions with populations of less than 
50,000.
    There are three entities that operate existing deepwater ports. 
LOOP is owned by a consortium of three multinational energy 
corporations. The owners/operators of LOOP are not small; therefore, 
LOOP exceeds the threshold for a small entity. Gulf Gateway and 
Northeast Gateway are wholly owned by the second entity, which exceeds 
the threshold for a small entity. The deepwater port Neptune LNG is 
wholly owned by the third entity, which exceeds the threshold for a 
small entity. The applicants of the five applications that were 
withdrawn also exceed the threshold for a small entity. We assume that 
any new deepwater port will not be a small entity given the history and 
requirements for a new deepwater port. The North American Industry 
Classification System (NAICS) codes and size standards for these 
entities are found in Table 5.

   Table 5--NAICS Codes and Size Standard for Deepwater Port Operators
------------------------------------------------------------------------
                                                                 Size
    Count of companies                 NAICS Code              standard
                                                             (employees)
------------------------------------------------------------------------
1.........................  486110 Pipeline Transportation         1,500
                             of Crude Oil.
1.........................  424710 Petroleum Bulk Stations           100
                             and Terminals.
1.........................  211111 Oil and Gas Extraction..          500
2.........................  221210 Natural Gas Distribution          500
------------------------------------------------------------------------

No not-for-profit organizations are involved with deepwater ports. 
Deepwater ports are beyond the boundary line and therefore beyond small 
government jurisdiction. This proposed rule will not have an adverse 
impact on small government entities.
    Therefore the Coast Guard certifies under 5 U.S.C. 605(b) that this 
rule will not, if promulgated, have a significant economic impact on a 
substantial number of small entities.
    If you think that your business, organization, or governmental 
jurisdiction qualifies as a small entity and that this rule would have 
a significant economic impact on it, please submit a comment to the 
Docket Management Facility at the address under ADDRESSES. In your 
comment, explain why you think it qualifies and how and to what degree 
this rule would economically affect it.

C. Assistance for Small Entities

    Under section 213(a) of the Small Business Regulatory Enforcement 
Fairness Act of 1996,\19\ we want to assist small entities in 
understanding this proposed rule so that they could better evaluate its 
effects on them and participate in the rulemaking. If the proposed rule 
would affect your small business, organization, or governmental 
jurisdiction and you have questions concerning its provisions or 
options for compliance, please consult Mr. Kevin Tone, Deepwater Ports 
Standards Division (CG-OES-4), email [email protected], phone (202) 
372-1441. The Coast Guard will not retaliate against the small entities 
that question or complain about this rule or any policy or action of 
the Coast Guard.
---------------------------------------------------------------------------

    \19\ Public Law 104-121.
---------------------------------------------------------------------------

    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).

D. Collection of Information

    This proposed rule would call for no new collection of information 
under the Paperwork Reduction Act of 1995 \20\ (PRA). Under OMB 
regulations implementing the PRA, ``Controlling Paperwork Burdens on 
the Public'' (5 CFR part 1320), ``collection of information'' means the 
obtaining, soliciting, or requiring the disclosure to an agency of 
information by or for an agency by means of identical questions posed 
to, or identical reporting, recordkeeping, or disclosure requirements 
imposed on, ten or more persons. ``Ten or more persons'' refers to the 
number of respondents to whom a collection of information is addressed 
by the agency within any 12-month period and does not include employees 
of the respondent acting within the scope of their employment, 
contractors engaged by a respondent for the purpose of complying with 
the collection of information, or current employees of the Federal 
government. Collections of information affecting ten or more 
respondents within any 12-month period require OMB review and approval.
---------------------------------------------------------------------------

    \20\ 44 U.S.C. 3501-3520.
---------------------------------------------------------------------------

    This proposed rule comprises deepwater port application, operation, 
and oversight procedures. The Coast Guard expects fewer than ten 
entities in the natural gas industry would be affected by this rule 
within any 12-month period because there are only four deepwater ports 
currently in operation, and the Coast Guard does not expect to receive 
ten or more applications in any future year because it has received 
only eight applications in the last five years combined. Thus, we 
expect to receive less than 10 applications per year; less than 10 
submissions of design, construction, and equipment modification per 
year; and less than 10 proposals to amend approved Operation Manuals 
per year. Consequently, the number of respondents is less than the 
threshold of ten respondents per 12-month period for collection of 
information requirements under the PRA.

E. Federalism

    A rule has implications for federalism under Executive Order 13132, 
Federalism, if it has a substantial direct effect on the States, on the 
relationship between the national government and the States, or on the 
distribution of power and responsibilities among the various levels of 
government. We have analyzed this rule under that Order and

[[Page 19144]]

have determined that it is consistent with the fundamental federalism 
principles and preemption requirements described in Executive Order 
13132. Our analysis is explained below.
    Congress conferred rulemaking authority on the Secretary of 
Transportation to promulgate regulations to carry out the provisions of 
the DWPA. Relating to deepwater port licenses, 33 U.S.C. 1504(a) states 
that the Secretary ``shall . . . issue regulations to carry out the 
purposes and provisions of [the DWPA] . . . Such regulations shall 
pertain to, but need not be limited to, application, issuance, 
transfer, renewal, suspension, and termination of licenses.'' As noted 
above, when the Coast Guard was transferred to DHS, certain authorities 
and functions that were delegated to the Coast Guard while operating as 
a part of the Department of Transportation remained with the Coast 
Guard after its transfer to DHS. As such, the Coast Guard retained its 
delegated authority to establish the regulatory framework governing the 
application and licensing process of deepwater ports. Although Congress 
specifically provided for affected States to play a role in the 
licensing process of deepwater ports, the authorities exercised by the 
Coast Guard in this rulemaking do not involve those delineated State 
roles or responsibilities as they establish the licensing procedures 
themselves. Congress made clear in the language of the DWPA that the 
authority to establish licensing procedures was reserved to the Coast 
Guard and States may not regulate within this category. Therefore, the 
proposed rule is consistent with the principles of federalism and 
preemption requirements in Executive Order 13132.
    Additionally, the Coast Guard was granted the authority by 
Congress, through delegation, to issue regulations to improve safety in 
deepwater ports. 33 U.S.C. 1509(b) states that the Secretary ``shall 
issue and enforce regulations with respect to lights and other warning 
devices, safety equipment, and other matters relating to the promotion 
of safety of life and property in any deepwater port and the waters 
adjacent thereto.'' As this proposed rule revises provisions regarding 
the construction, design, equipment, and operation of deepwater ports, 
it falls within the scope of authority Congress granted exclusively to 
the Secretary. This authority has been delegated to the Coast Guard and 
is exercised in this rulemaking, and the States may not regulate within 
these categories of construction, design, equipment and operation for 
deepwater ports. Therefore, the proposed rule is consistent with the 
principles of federalism and preemption requirements in Executive Order 
13132.
    While it is well settled that States may not regulate in categories 
in which Congress intended the Coast Guard to be the sole source of 
authority to issue regulations, the Coast Guard recognizes the key role 
that State and local governments may have in making regulatory 
determinations. Additionally, for rules with federalism implications 
and preemptive effect, Executive Order 13132 specifically directs 
agencies to consult with State and local governments during the 
rulemaking process. If you believe this proposed rule has implications 
for federalism under Executive Order 13132, please contact the person 
listed in the FOR FURTHER INFORMATION section of this preamble.

F. Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 \21\ requires Federal 
agencies to assess the effects of their discretionary regulatory 
actions. 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 $100,000,000 (adjusted for 
inflation) or more in any one year. Though this proposed rule would not 
result in such an expenditure, we do discuss the effects of this rule 
elsewhere in this preamble.
---------------------------------------------------------------------------

    \21\ 2 U.S.C. 1531-1538.
---------------------------------------------------------------------------

G. Taking of Private Property

    This proposed rule would not cause a taking of private property or 
otherwise have taking implications under E.O. 12630, Governmental 
Actions and Interference with Constitutionally Protected Property 
Rights.

H. Civil Justice Reform

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

I. Protection of Children

    We have analyzed this proposed rule under E.O. 13045, Protection of 
Children from Environmental Health Risks and Safety Risks. This 
proposed rule is not an economically significant rule and would not 
create an environmental risk to health or risk to safety that might 
disproportionately affect children.

J. Indian Tribal Governments

    This proposed rule does not have tribal implications under E.O. 
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.

K. Energy Effects

    We have analyzed this proposed rule under E.O. 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. Though it is a ``significant 
regulatory action'' under E.O. 12866, it is not likely to have a 
significant adverse effect on the supply, distribution, or use of 
energy. The Administrator of the Office of Information and Regulatory 
Affairs has not designated it as a significant energy action. 
Therefore, it does not require a Statement of Energy Effects under E.O. 
13211.

L. Technical Standards

    The National Technology Transfer and Advancement Act \22\ directs 
agencies to use voluntary consensus standards in their regulatory 
activities unless the agency provides Congress, through OMB, with an 
explanation of why using these standards would be inconsistent with 
applicable law or otherwise impractical. Voluntary consensus standards 
are technical standards (e.g., specifications of materials, 
performance, design, or operation; test methods; sampling procedures; 
and related management systems practices) that are developed or adopted 
by voluntary consensus standards bodies.
---------------------------------------------------------------------------

    \22\ Codified as a note to 15 U.S.C. 272.
---------------------------------------------------------------------------

    This proposed rule does not use technical standards. Therefore, we 
did not consider the use of voluntary consensus standards.

M. Environment

    We have analyzed this proposed rule under DHS Management Directive 
023-01 and Commandant Instruction M16475.lD, which guide the Coast 
Guard in complying with the National Environmental Policy Act of 
1969,\23\ and have made a preliminary determination that this action is 
one of a category of actions that do not individually or cumulatively 
have a significant effect on the human environment. A preliminary 
environmental analysis checklist

[[Page 19145]]

supporting this determination is available in the docket where 
indicated under the ``Public Participation and Request for Comments'' 
section of this preamble. This action falls under section 2.B.2, figure 
2-1, paragraph (34)(a) and involves regulations that are editorial or 
procedural, such as those updating or establishing application 
procedures. We seek any comments or information that may lead to the 
discovery of a significant environmental impact from this proposed 
rule.
---------------------------------------------------------------------------

    \23\ 42 U.S.C. 4321-4370f.
---------------------------------------------------------------------------

List of Subjects

33 CFR Part 148

    Administrative practice and procedure, Environmental protection, 
Harbors, Petroleum.

33 CFR Part 149

    Fire prevention, Harbors, Marine Safety, Navigation (water), 
Occupational safety and health, Oil pollution.

33 CFR Part 150

    Harbors, Incorporation by reference, Marine safety, Navigation 
(water), Occupational safety and health, Oil pollution, Reporting and 
recordkeeping requirements.

    For the reasons discussed in the preamble, the Coast Guard proposes 
to amend 33 CFR parts 148, 149, and 150 as follows:

PART 148--DEEPWATER PORTS: GENERAL

0
1. The authority citation for part 148 continues to read as follows:

    Authority: 33 U.S.C. 1504; Department of Homeland Security 
Delegation No. 0170.1 (75).

0
2. Revise Sec.  148.3 to read as follows:


Sec.  148.3  What Federal agencies are responsible for implementing the 
Deepwater Port Act?

    (a) Under delegations from the Secretary of Homeland Security and 
the Secretary of Transportation, the Coast Guard and MARAD coordinate 
with each other in processing applications for the issuance, transfer, 
or amendment of a license for the construction and operation of a 
deepwater port.
    (b) The Coast Guard is responsible for compliance with the National 
Environmental Policy Act (NEPA), including, but not limited to, 
preparation of the appropriate environmental documents (Environmental 
Impact Statement, Environmental Assessment, and/or a State-required 
Environmental Impact Report) for each deepwater port license 
application. The Coast Guard also has authority over certain matters 
relating to navigation safety and security, engineering and safety 
standards and deepwater port inspections.
    (c) MARAD is responsible for issuing the Record of Decision to 
announce whether a license application is approved, approved with 
conditions, or denied, and for issuing, revoking, and reinstating 
deepwater port licenses. MARAD also has authority over the approval of 
fees charged by Adjacent Coastal States, and certain matters relating 
to international policy, civil actions, and suspension or termination 
of licenses.
    (d) The Secretary of Transportation has delegated to the 
Administrator of the Pipeline Hazardous Materials and Safety 
Administration (PHMSA) the authority to carry out the functions vested 
in the Secretary under section 21 of the Deepwater Port Act relating to 
the safe construction, operation, and maintenance of pipelines 
associated with deepwater ports.
    (e) The Secretary of the Interior is responsible for determining 
the fair market rental value of the subsoil and seabed of the Outer 
Continental Shelf of the United States to be used by the deepwater 
port, including, but not limited to, the fair market rental value of 
the right-of-way necessary for the pipeline segment of the port located 
on such subsoil and seabed. Any proposed subsuface storage of oil and 
gas in the submerged lands of the Outer Continental Shelf is also 
subject to the review and approval of the Secretary of the Interior. In 
order to minimize potential impacts to existing facilities and protect 
the development potential of nearby oil, gas, and mineral resources, 
Bureau of Ocean Energy Management (BOEM) should also be involved in the 
site selection process.
    (f) The Environmental Protection Agency (EPA), U.S. Army Corps of 
Engineers, and other Federal agencies are designated as cooperating 
agencies and support the Coast Guard and MARAD in the review and 
evaluation of deepwater port license applications.
0
3. Amend Sec.  148.5 as follows:
0
a. Add a definition in alphabetical order for ``Accommodation module'';
0
b. Revise the definition for ``Construction'';
0
c. Add definitions in alphabetical order for ``Deepwater port'', 
``Deepwater port security plan'', ``Engineering geological survey'',
0
d. Remove the definition for ``Engineering hydrographic survey'';
0
e. Add in alphabetical order a definition for ``Flexible riser and 
umbilical'';
0
f. Revise the definition for ``Lease block'';
0
g. Add in alphabetical order definitions for ``Major conversion'' and 
``Marine Safety Unit (MSU) Commander'';
0
h. Revise the definitions for ``Marine site'' and ``Maritime 
Administration'';
0
i. Add in alphabetical order a definition for ``Mile'';
0
j. Revise the definitions for ``Operator'' and ``Person in Charge'';
0
k. Add in alphabetical order definitions for ``PIC'' and ``Pipeline'';
0
l. Revise the definition for ``Pipeline end manifold'';
0
m. Add in alphabetical order a definition for ``Prevention, monitoring 
and mitigation program'';
0
n. Revise the definition for ``Safety zone'';
0
o. Add in alphabetical order a definition for ``Service space'';
0
p. Revise the definitions for ``Single point mooring oil transfer 
system''; ``Single point mooring natural gas transfer system'';
0
q. Add in alphabetical order definitions for ``Service space'', 
``Sleeping space'', and ``Submerged turret loading buoy''; and
0
r. Revise the definition for ``Vessel''.
    The additions and revisions read as follows;


Sec.  148.5  How are terms used in this subchapter defined?

    As used in this subchapter:
    Accommodation module means a module with one or more accommodation 
spaces that is individually contracted and may be used for one or more 
facilities.
* * * * *
    Construction means any activity incidental to building, repairing, 
or expanding a deepwater port or any of its components, and includes 
but is not limited to supervision, inspection, actual building, 
fabrication, laying of pipe, pile driving, bulk heading, alteration, 
modification, commissioning, and additions to the deepwater port.
* * * * *
    Deepwater port. (1) Means any fixed or floating manmade structure 
other than a vessel, or any group of structures, located beyond State 
seaward boundaries that are used or are intended for use as a port or 
terminal for the transportation, storage, or further handling of oil or 
natural gas for transportation to or from any State, except as 
otherwise provided in the Deepwater Port Act of 1974, as amended, and 
for other uses not inconsistent with the purposes of the Deepwater 
Ports Act, including transportation of oil or natural gas from the 
United States' OCS;

[[Page 19146]]

    (2) Includes all components and equipment, including pipelines, 
pumping stations, service platforms, buoys, mooring lines, and similar 
facilities, to the extent that they are located seaward of the high 
water mark;
    (3) Includes, in the case of natural gas, all components and 
equipment, including pipelines, pumping or compressor stations, service 
platforms, buoys, mooring lines, and similar facilities which are 
proposed and/or approved for construction and operation as part of the 
deepwater port, to the extent that they are located seaward of the high 
water mark and do not include interconnecting facilities; and
    (4) Must be considered a ``new source'' for purposes of the Clean 
Air Act, as amended (codified at 42 U.S.C. 7401 et seq.), and the 
Federal Water Pollution Control Act, as amended (codified at 33 U.S.C. 
1251 et seq.).
    Deepwater port security plan or DPSP means the plan developed to 
ensure the implementation of security measures, at each Maritime 
Security Level defined in 33 CFR 101.105, to protect the deepwater port 
and its servicing vessels or those vessels interfacing with the 
deepwater port, and any cargoes and persons on board the port or 
vessels.
* * * * *
    Engineering geological survey means a detailed geological analysis 
of seabed soil samples performed to determine the physical 
composition--for example the mineral content--and structural integrity 
for the installation of offshore components and structures.
    Flexible riser and umbilical refer to the parts of a single point 
mooring system and include the flexible product transfer and control 
system from the submerged turret loading (STL) buoy to a pipeline end 
manifold (PLEM).
* * * * *
    Lease block means an area established either by the Secretary of 
the Interior under 43 U.S.C. 1334, or by a State under 43 U.S.C. 1311.
* * * * *
    Major conversion means a conversion that the Commandant (CG-5P) 
determines will result in a substantial change to the deepwater port's 
type or essence, dimensions, carrying capacity (if a floating deepwater 
port), processing equipment, or expected useful lifespan.
* * * * *
    Marine Safety Unit (MSU) Commander means the same as the definition 
in 33 CFR 3.01-1(d)(2).
    Marine site means the area in which the deepwater port is located, 
including, but not limited to, the safety zone and all areas seaward of 
the high water mark in which associated components and equipment of the 
deepwater port are located.
    Maritime Administration or MARAD means the Administrator of the 
Maritime Administration or that person's designees, and includes the 
Associate Administrator for Intermodal System Development, Maritime 
Administration, or that individual's authorized representative, at 1200 
New Jersey Avenue SE., Washington, DC 20590, telephone (202) 366-0926.
* * * * *
    Mile means nautical mile.
* * * * *
    Operator means the licensee or the licensee's designee.
* * * * *
    Person in charge, when used without the abbreviation ``PIC,'' means 
a person in charge of an operation other than transfer operations.
    PIC means an individual designated as a person in charge of 
transfer operations under 33 CFR 154.710 for oil facilities or 33 CFR 
127.301 for liquefied natural gas (LNG) facilities.
* * * * *
    Pipeline means the pipeline portion of a deepwater port downstream 
of the last valve, and associated safety equipment, on the pipeline end 
manifold (PLEM). On deepwater ports with multiple mooring stations, the 
term includes the flow line or gathering line between each PLEM.
    Pipeline end manifold or PLEM means the deepwater port process 
skids containing the valves, controls, and instrumentation downstream 
of the mooring equipment. The PLEM is normally subsea and will normally 
include the last downstream valve prior to the deepwater port pipeline.
* * * * *
    Prevention, monitoring, and mitigation program or PMMP means a 
post-licensing, performance-based process to evaluate the effectiveness 
of preventing or mitigating environmental impacts from deepwater port 
construction and operations, and including the development of a pre-
construction monitoring baseline with subsequent periodic evaluations 
to determine if and when improvements to the program must be 
incorporated.
* * * * *
    Safety zone means a safety zone established around a deepwater port 
under part 150, subpart J, of this chapter and extending up to 500 
meters (approximately 1,640 feet) around the deepwater port, measured 
from each point on its outer edge or from its construction site, except 
as authorized by generally accepted international standards or as 
recommended by the International Maritime Organization but not 
interfering with the use of recognized sea lanes.
    Service space means a space used for a galley, a pantry containing 
cooking appliances, a storeroom, or a workshop other than those in 
industrial areas, and trunks to those spaces.
* * * * *
    Single point mooring oil transfer system or SPM-OTS means the part 
of the oil transfer system from the pipeline end manifold to the end of 
the hose string that connects to the tanker's manifold. This is not 
part of a submerged turret loading-single point mooring (STL-SPM) 
system.
    Single point mooring natural gas transfer system or SPM-NGTS means 
the part of the natural gas transfer system from the pipeline end 
manifold to the end of the hose string that connects to the tanker's 
manifold. This is not part of a submerged turret loading-single point 
mooring (STL-SPM) system.
    Sleeping space means a space provided with bunks for sleeping.
* * * * *
    Submerged turret loading buoy or STL buoy means a loading buoy 
connected to the riser and umbilical that is pulled into a tanker's 
receiving cone for the transfer of oil or natural gas.
* * * * *
    Vessel means every description of watercraft or artificial 
contrivance used or capable of being used as a means of transportation 
on or through the water.
0
4. Amend Sec.  148.8 as follows:
0
a. In paragraph (a), add a sentence at the end of the paragraph; and
0
b. In paragraph (b) introductory text, remove the words ``may be made 
at any time after the Maritime Administration issues a record of 
decision approving the application, and''.
    The addition reads as follows:


Sec.  148.8  How are certifying entities designated and used for 
purposes of this subchapter?

    (a) * * * Applicants may, with Commandant (CG-5P) approval, 
nominate a CE before the Maritime Administration issues a Record of 
Decision.
* * * * *
0
5. Amend Sec.  148.105 by:
0
a. Revising paragraphs (g)(1)(i), (g)(2)(iii), (i)(1), and (j) 
introductory text;
0
b. Adding paragraphs (j)(1), (j)(1)(i), (j)(1)(ii), and (j)(2);
0
c. Revising paragraphs (k)(1) introductory text, (m)(1)(i), 
(m)(1)(iii), and (m)(2);
0
d. Adding paragraphs (m)(3) and (4);

[[Page 19147]]

0
e. Revising paragraphs (n) introductory text, (s)(6)(iv), (t) 
introductory text, (y), and (z); and
0
f. Adding paragraph (ff).
    The revisions and additions read as follows:


Sec.  148.105  What must I include in my application?

* * * * *
    (g) * * *
    (1) * * *
    (i) Annual financial statements, audited by an independent 
certified public accountant, for the previous 3 years, including, but 
not limited to, an income statement, balance sheet, and cash flow 
statement with footnote disclosures prepared according to U.S. 
Generally Accepted Accounting Principles; provided, however, that 
MARAD, in consultation with the Commandant (CG-5P), may waive this 
requirement upon finding:
* * * * *
    (2) * * *
    (iii) A preliminary estimate of the cost of removing all of the 
deepwater port marine components, including pipelines that lie beneath 
the seabed. The licensee of a deepwater port is responsible for the 
costs associated with removal of all deepwater port components. Should 
a license be granted, MARAD will require a bond, guarantee, or other 
financial instrument to cover the complete cost of decommissioning as a 
condition of the license.
* * * * *
    (i) * * *
    (1) Evidence, to the extent available, that the requirements of 33 
U.S.C. 1341(a)(1) will be satisfied. If complete information is not 
available by the time MARAD must either approve or deny the application 
under 33 U.S.C. 1504(i)(1), the license for the deepwater port will be 
conditioned upon the applicant demonstrating that the requirements of 
33 U.S.C. 1341(a)(1) will be satisfied.
* * * * *
    (j) Coastal zone management. (1) The application must be 
accompanied by a completed consistency certification that the proposed 
activity complies with, and will be conducted in a manner consistent 
with, each affected state's Coastal Management Program. This 
certification must include--
    (i) The statement: ``The proposed activity complies with the 
enforceable policies of [NAME OF AFFECTED STATE]'s approved management 
program and will be conducted in a manner consistent with such 
program.''; and
    (ii) A copy of the environmental evaluation required by Sec.  
148.105(z) of this part; and
    (2) At the time of submitting the application, the applicant must 
also furnish to the appropriate agency of each State where the proposal 
may affect a coastal use or resource, a copy of the certification 
requesting concurrence with the consistency certification. Complete 
procedures for providing data for the consistency certification are 
specified at 15 CFR part 930, subpart D.
    (k) Identification of lease block. (1) Identification of each lease 
block where any part of the proposed deepwater port or its approaches 
is located. This identification must be made on official Outer 
Continental Shelf leasing maps or protraction diagrams, where 
available. Each map and diagram must be certified by a professional 
surveyor, or, in the alternative, the applicant must provide an 
equivalent means of certifying accuracy. For each lease block, provide 
the following:
* * * * *
    (m) * * *
    (1) * * *
    (i) Fixed and floating structures and associated components seaward 
of the high water mark;
* * * * *
    (iii) Proposed anchorage and mooring areas, including areas 
associated with construction and pipelaying operations;
    (2) A reconnaissance hydrographic survey of the proposed marine 
site. This survey should provide data on the water depth, cultural 
resources, and a general characterization of the sea bottom. A 
requirement to submit a reconnaissance hydrographic survey of the final 
marine site will be imposed as a condition in the license. The 
applicant may submit existing data, gathered within the previous 5 
years (or within a longer timeframe if approved by the Commandant (CG-
5P)), but it must be supplemented by field data for the specific 
locations in which a high degree of variability exists;
    (3) Meteorological/oceanographic (``MetOcean'') data. This should 
include prevailing winds, currents, waves and storms in the vicinity of 
the proposed marine site; and
    (4) Vessel traffic data. At least one year of vessel traffic data 
from the most recent year's data, if available, in the vicinity of the 
proposed marine site.
    (n) Engineering geological survey data. An initial preliminary 
analysis of the general character and condition of the ocean bottom and 
sub-bottom, soils and sediments throughout the marine site, and, if 
applicable, soils and topography throughout the terrestrial site. If 
the applicant proposes to use horizontal directional drilling (HDD), 
the initial preliminary analysis must include a study addressing the 
feasibility of HDD in the proposed HDD location. The applicant may use 
existing data, so long as it was collected within the last 5 years (or 
within a longer timeframe if approved by the Commandant (CG-5P)) and 
continues to provide accurate information about conditions throughout 
the site. If not, a new survey must be completed to provide 
supplemental data. The analysis must include an opinion by a registered 
professional specializing in soil mechanics, such as a registered 
professional engineer or an equivalent means of certifying accuracy, 
concerning:
* * * * *
    (s) * * *
    (6) * * *
    (iv) Any associated equipment, including equipment for oil or 
natural gas regasification, throughput measuring, leak detection, 
emergency shutdown, and the alarm system.
* * * * *
    (t) Information on offshore pipelines. To facilitate timely 
processing of an application, applicants are encouraged to consult with 
PHMSA to verify the requirements for the design, construction, 
operation and maintenance of pipelines prior to submitting an 
application, which must include the following:
* * * * *
    (y) Risk and consequence assessment. The applicant must submit a 
site-specific risk and consequence assessment to assess the risks and 
consequences of accidental and intentional events that compromise cargo 
containment. The applicant may consult with the Commandant (CG-5P) to 
ensure that appropriate assessment procedures are used. If the Coast 
Guard determines that an independent risk and consequence assessment is 
necessary, the Coast Guard may require the applicant to provide 
additional data in order to support an independent, site-specific 
analysis. The Coast Guard may use an approved third party to analyze 
the applicant provided data for impact on the public, property, and the 
environment including, but not limited to, potential events that result 
in a liquefied natural gas or oil spill, vapor dispersion and/or fire. 
The Coast Guard-approved third party will use validated models, for 
example, computational fluid dynamics, or an equivalent model.
    (z) Environmental evaluation. An analysis, sufficient to meet the

[[Page 19148]]

requirements of the National Environmental Policy Act, and as outlined 
in subpart H of this part, of the potential impacts on the natural and 
human environments, including sufficient information that complies with 
all applicable Federal, tribal, and State requirements for the 
protection of the environment. The analysis must identify a reasonable 
range of alternatives to the proposed action including, but not limited 
to, deepwater port location, pipeline route and landfall, construction 
methods, deepwater port design, and technologies used during operation.
* * * * *
    (ff) MARPOL 73/78 requirements for certification as Reception 
Facility for Oil, Noxious Liquid Substances, and Garbage. The deepwater 
port license applicant must include an application for a Certificate of 
Adequacy (COA) as defined in 33 CFR 158.120 or a written waiver 
justifying why compliance with the International Convention for the 
Prevention of Pollution from Ships, 1973, as modified by the Protocol 
of 1978 relating to that Convention, or MARPOL 73/78, is unreasonable 
or impracticable.
0
6. Revise Sec.  148.107 to read as follows:


Sec.  148.107  What happens if I supplement my application?

    (a) The Commandant (CG-5P), in coordination with MARAD, may require 
the applicant, or the applicant's affiliates, to file as a supplement 
to the application any analysis, explanation, or other information the 
Commandant (CG-5P) deems necessary to process the application.
    (b) The Commandant (CG-5P), in coordination with MARAD, may require 
the applicant, or the applicant's affiliates, to make available for 
Coast Guard or MARAD examination, under oath or for interview, persons 
having, or believed to have, necessary information.
    (c) If information under paragraph (a) or (b) of this section is 
required, the Commandant (CG-5P), with input from the applicant, will 
determine if that required supplemental information can be provided in 
a timeframe necessary to meet the Act's timeline for processing the 
application. If the information under paragraph (a) or (b) cannot be 
provided in that timeframe, the Commandant (CG-5P), in consultation 
with MARAD, may suspend the timeline for processing the application 
until the Commandant (CG-5P) receives that information and deems it to 
be adequate.
    (d) The deadline for the Administrator's review of an application 
under the Act is extended for a period of time equal to the total 
number of days of all suspensions made under paragraph (c) of this 
section.
    (e) If information under paragraph (a) or (b) of this section is 
required, and the Commandant (CG-5P) determines that reasonable 
progress is not being made to supply that information, the Commandant 
(CG-5P) may recommend to MARAD to either suspend processing of the 
application indefinitely or to treat the application as withdrawn in 
accordance with Sec.  148.283 of this part.


Sec.  148.125  [Amended]

0
7. Amend Sec.  148.125(c) by adding the words ``and additional 
environmental analysis'' after the words ``operations manual''.


Sec.  148.207  [Amended]

0
8. Amend Sec.  148.209 by revising paragraph (a) to read as follows:


Sec.  148.209  How is the application processed?

* * * * *
    (a) Each Federal agency with jurisdiction over any aspect of 
ownership, construction, or operation of deepwater ports; and
* * * * *
0
9. Revise Sec.  148.211 to read as follows:


Sec.  148.211  What must I do if I need to change my application?

    (a) If at any time before MARAD approves or denies an application, 
the information in it changes, becomes incomplete, or becomes 
inaccurate, the applicant must promptly submit the changes, additional 
information, or necessary corrections in the manner set forth in Sec.  
148.115 of this part.
    (b) The Coast Guard may determine that the change or required 
information is of such magnitude that it warrants submission of an 
amended or, in some cases, a completely revised application. The 
Commandant (CG-5P), in consultation with MARAD, will determine if the 
change is of such a magnitude as to require reopening of the scoping 
process or otherwise warrant the opportunity for additional public 
comment on the proposed action.
0
10. Add Sec.  148.214 to read as follows:


Sec.  148.214  May I resubmit my application?

    With the approval of MARAD, in consultation with the Commandant 
(CG-5P), an applicant may resubmit a previously withdrawn application 
in accordance with subpart B of this part. The Commandant (CG-5P) may 
waive such subpart B requirements as the Commandant (CG-5P) deems 
appropriate. Where the application was previously denied, or withdrawn 
due to concerns raised by either MARAD or the governor of an Adjacent 
Coastal State, the resubmission must be accompanied by a memorandum in 
which the applicant shows clearly how the application has been revised 
to address those reasons for denial or concerns.


Sec.  148.215  [Amended]

0
11. Amend Sec.  148.215 as follows:
0
a. Redesignate paragraph (d) as paragraph (c)(5); and
0
b. In newly redesignated paragraph (c)(5), after the words 
``determination that the'', add the words ``proposed deepwater''.
0
12. Amend Sec.  148.217 by revising paragraphs (b)(1), (c), and (d) to 
read as follows:


Sec.  148.217  How can a State be designated as an Adjacent Coastal 
State?

* * * * *
    (b) * * *
    (1) Be submitted in writing to MARAD within 14 days after the date 
of publication of the notice of application in the Federal Register;
* * * * *
    (c) Upon receipt of a request, MARAD will send a copy of the 
State's request to the Administrator of the National Oceanic and 
Atmospheric Administration (NOAA) and ask for the Administrator's 
recommendations within an amount of time that will allow MARAD, in 
consultation with the Commandant (CG-5P), 45 days from receipt of the 
request to determine the matter.
    (d) If after receiving NOAA's recommendations, MARAD determines 
that the State should be considered an Adjacent Coastal State, MARAD, 
in consultation with the Commandant (CG-5P), will so designate it. If 
MARAD, in consultation with the Commandant (CG-5P), denies the request, 
he or she will notify the requesting State's Governor of the denial.


Sec.  148.222  [Amended]

0
13. Amend Sec.  148.222(b) by removing the words ``The Commandant (CG-
5) or the MARAD Administrator'' and adding, in their place, the words 
``MARAD, in coordination with the Commandant (CG-5P),''.
0
14. Revise Sec.  148.228 to read as follows:


Sec.  148.228  What if a formal evidentiary hearing is necessary?

    After all public meetings under Sec.  148.222 of this part are 
concluded, MARAD, in consultation with the Commandant (CG-5P), will 
consider whether there are one or more specific and material factual 
issues that may be resolved by a formal evidentiary hearing. If it is 
determined that a formal

[[Page 19149]]

evidentiary hearing is necessary, the hearing will be conducted in 
accordance with 5 U.S.C. 554, in accordance with procedures prescribed 
by MARAD.


Sec. Sec.  148.230, 148.232, 148.234, 148.236, 148.238, 148.240, 
148.242, 148.244, 148.246, 148.248, 148.250, 148.252, 148.254, and 
148.256  [Removed and Reserved]

0
15. Remove and reserve Sec. Sec.  148.230 148.232, 148.234, 148.236, 
148.238, 148.240, 148.242, 148.244, 148.246, 148.248, 148.250, 148.252, 
148.254, and 148.256.
0
16. Revise Sec.  148.276 to read as follows:


Sec.  148.276  What is the timeline for approving or denying an 
application?

    (a) In 33 U.S.C. 1504, the Act provides strict timelines for action 
on a license application, which, if closely observed, can lead to 
action in just under 1 year. The Coast Guard, with the concurrence of 
MARAD, may suspend the timeline if an applicant fails to provide timely 
information or requests additional time to comply with a request, as 
described in Sec.  148.107 of this part.
    (b) The timeline for action on a license application includes 
publishing a notice of application. A notice of application is 
published after it has been determined that the application contains 
sufficient material for processing the application. The Coast Guard and 
MARAD must conduct a public hearing in each Adjacent Coastal State 
within 240 days of publishing the notice.
    (c) After the final environmental impact statement is published, 
MARAD will hold a final public hearing in each Adjacent Coastal State. 
MARAD issues a Record of Decision (ROD) approving or denying a license 
application within 90 days after the final public hearing. Actual 
issuance of a license may not take place until certain conditions 
imposed by the ROD have been met. Those conditions may include how the 
applicant must address design, construction, installation, testing, 
operations, and decommissioning of the deepwater port, or meet the 
requirements of other agencies.
0
17. Amend Sec.  148.277 by adding paragraph (d) to read as follows:


Sec.  148.277  How may Federal agencies and States participate in the 
application process?

* * * * *
    (d) Approvals or disapprovals of the application from the governors 
of Adjacent Coastal States will be accepted by MARAD only within the 
45-day period after the close of the final public hearing on the 
application, and not before the final public hearing. If the governor 
fails to transmit his or her approval or disapproval to MARAD not later 
than 45 days after the last public hearing, such approval will be 
conclusively presumed.


Sec.  148.281  [Amended]

0
18. Amend Sec.  148.281(b)(1) by removing the letter ``G'' after the 
word ``subpart'' and adding, in its place, the letter ``H''.
0
19. Revise Sec.  148.283 to read as follows:


Sec.  148.283  When may the application process be stopped and an 
application be treated as withdrawn?

    (a) The Commandant (CG-5P) may recommend to MARAD that an 
application be treated as withdrawn before the application is approved 
or denied if--
    (1) The application is withdrawn before MARAD approves it; or
    (2) The application is incomplete, and the applicant does not 
respond to a request by the Commandant (CG-5P) for further information, 
as per Sec.  148.107 of this part.
    (b) The Commandant (CG-5P) and MARAD will provide joint written 
notice to the applicant of an action taken under this section.


Sec.  148.405  [Amended]

0
20. Amend Sec.  148.405(c)(2) as follows:
0
a. After the word ``limits'', remove the symbol ``,''; and
0
b. After the word ``explosives'', add the words ``, per the applicable 
guidance for geological and geophysical surveys prescribed by the 
Bureau of Ocean Energy Management (BOEM)''.

Subpart G--[Redesignated as Subpart H]

0
21. Redesignate subpart G, consisting of Sec. Sec.  148.700 through 
148.737, as subpart H.
0
22. Add new subpart G entitled ``Subpart G--Oil Pollution Act of 1990 
Limits of Liability for Deepwater Ports'' and move Sec. Sec.  148.600 
and 148.605 from subpart F to new subpart G and revise them to read as 
follows:
Subpart G--Oil Pollution Act of 1990 Limits of Liability for Deepwater 
Ports


Sec.  148.600  Where can I find the Oil Pollution Act of 1990 (OPA 90) 
limits of financial liability for deepwater ports?

    The OPA 90 limits of liability for deepwater ports are set forth in 
33 CFR 138.230(b). The limits of liability in that section are adjusted 
periodically for significant increases in the Consumer Price Index, in 
accordance with 33 U.S.C. 2704(d)(4) and the procedures in 33 CFR 
138.240. The limits of liability may also be adjusted under 33 U.S.C. 
2704(d)(2) and the procedures in Sec.  148.605 of this subpart.


Sec.  148.605  What are the procedures under OPA 90 for adjusting a 
deepwater port's limit of liability under 33 U.S.C. 2704(d)(2)?

    (a) Upon an applicant's or licensee's request, the Coast Guard may 
lower the generally applicable OPA 90 limit of liability for deepwater 
ports in 33 CFR 138.230(b)(1). The Coast Guard may do so under 33 
U.S.C. 2704(d)(2) on a port by-port-basis, after evaluating a spill 
risk analysis and an economic analysis. Adjustments to a deepwater 
port's limit of liability are established by a rulemaking that allows 
for public notice and comment, and if approved, will be codified at 33 
CFR 138.230(b)(2).
    (b) The limit of liability of a deepwater port will not be reduced 
to less than $50 million, and may be increased following a reduction, 
as the Coast Guard deems appropriate, if the design, construction, or 
operation of the deepwater port changes, or if oil spill incidents 
related to the deepwater port, or to deepwater ports generally, 
indicate that a higher limit is needed.
    (c) Requests to adjust the limit of liability for a deepwater port 
under this subpart must be submitted to the Commandant (CG-5P). 
Requests to adjust the limits of liability may be submitted with a 
license application or upon receipt of a license from MARAD to 
construct and operate the proposed deepwater port. If the request for 
adjustment is submitted with the license application, no action will be 
taken on the request until MARAD issues a license to construct and 
operate the proposed deepwater port.
    (d) Requests to adjust the limit of liability under this subpart 
must include a risk analysis of the deepwater port to determine its 
maximum probable oil discharge and an economic analysis to determine 
the OPA 90 responsible party removal costs and OPA 90 removal costs and 
damages for which the responsible party is liable under 33 U.S.C. 2702 
that could result from such a spill.
    (1) The risk analysis must, as applicable, consider the following 
factors:
    (i) Deepwater port oil handling, storage, transfer, and 
transportation capacity and practices.
    (ii) Type of oil handled.
    (iii) Physical layout and condition of the deepwater port.
    (iv) On-site oil spill response capability.
    (v) Oil spill history of the deepwater port.
    (vi) The pipeline oil leak detection system.

[[Page 19150]]

    (vii) Section-by-section pipeline analysis of credible oil spill 
scenarios.
    (viii) Other oil spills for which the deepwater port might be 
solely or jointly liable (such as tanker spills).
    (2) The economic analysis must, as applicable, consider the 
following factors for the maximum credible spill:
    (i) Spill trajectories.
    (ii) Potential responsible party removal costs.
    (iii) Potential removal costs and damages for which the responsible 
party is liable under 33 U.S.C. 2702.

Subpart H--Environmental Review Criteria for Deepwater Ports

0
23. Amend Sec.  148.707 as follows:
0
a. Revise the section heading and paragraph (b) introductory text;
0
b. In paragraph (b)(1)(i), before the word ``endangered'', add the 
words ``threatened and'', and after the word ``species'', add the words 
``and critical habitats'';
0
c. In paragraph (b)(1)(iii), remove the word ``sanctuaries'' and add, 
in its place, the words ``protected areas'';
0
d. In paragraph (b)(1)(vii), remove the word ``and'';
0
e. In paragraph (b)(1)(viii), remove the symbol ``.'', and add, in its 
place, the symbol ``;''; and
0
f. Add paragraphs (b)(1)(ix) and (x).
    The revisions and additions read as follows:


Sec.  148.707  What type of criteria will be used in an environmental 
evaluation and how will they be applied?

* * * * *
    (b) The environmental evaluation will be applied to the phases of 
construction, operation, and decommissioning of the proposed action and 
alternatives. Alternatives must consider alternate siting of the 
deepwater port as well as different technologies and pipeline routes. 
The evaluation will assess:
    (1) * * *
    (ix) Marine, coastal, and migratory birds; and
    (x) Marine mammals and fisheries.
* * * * *


Sec.  148.715  [Amended]

0
24. Amend Sec.  148.715 as follows:
0
a. In the introductory text, remove the word ``reasonable'' and add, in 
its place, the words ``a reasonable range of'';
0
b. In paragraph (a), after the word ``assessment'' and before the 
comma, add the words ``including, but not limited to, geographic 
relevance, age of data used (generally no more than 5 years at the time 
of submission) and methods of data analysis''; and
0
c. In paragraph (a), remove the text ``; and'' and add, in its place a 
period.


Sec.  148.720  [Amended]

0
25. Amend Sec.  148.720(k) by adding the words ``, but not limited 
to,'' after the word ``including''.


Sec.  148.725  [Amended]

0
26. Amend Sec.  148.725 introductory text by removing the word 
``reasonable'' and adding, in its place, the words ``a reasonable range 
of''.


Sec.  148.730  [Amended]

0
27. Amend Sec.  148.730 as follows:
0
a. In the introductory text, remove the word ``reasonable'' and add, in 
its place, the words ``a reasonable range of''; and
0
b. In paragraph (a), remove the words ``from appropriate State agencies 
for any designated Adjacent Coastal State'' and add, in its place, the 
words ``described in Sec.  148.105(j) of this part''.


Sec.  148.735  [Amended]

0
28. Amend Sec.  148.735 introductory text by removing the word 
``reasonable'' and adding, in its place, the words ``a reasonable range 
of''.
0
29. Revise Sec.  148.737 to read as follows:


Sec.  148.737  What environmental statutes must an applicant follow?

    In constructing and operating a deepwater port, the deepwater port 
must comply with all applicable Federal, State, and tribal 
environmental statutes and Executive Orders (E.O.s). For the purposes 
of information only, a non-exhaustive list of Federal environmental 
statutes and E.O.s is available online via a Coast Guard Web site: 
http://www.uscg.mil/hq/cg5/cg522/cg5225/.

PART 149--DEEPWATER PORTS: DESIGN, CONSTRUCTION, AND EQUIPMENT

0
30. The authority citation for part 149 continues to read as follows:

    Authority: 33 U.S.C. 1504; Department of Homeland Security 
Delegation No. 0170.1 (75).


Sec. Sec.  149.306-149.315  [Removed and Reserved]

0
31. Remove and reserve Sec. Sec.  149.306 through 149.315.


Sec. Sec.  149.100-149.700  [Redesignated]

0
32. Redesignate Sec. Sec.  149.100 through 149.700 as shown in the 
following table:

------------------------------------------------------------------------
      Old section, old subpart             New section, new subpart
------------------------------------------------------------------------
              149.100, B                            149.100, C
              149.103, B                            149.105, C
              149.105, B                            149.110, C
              149.110, B                            149.115, C
              149.115, B                            149.120, C
              149.120, B                            149.125, C
              149.125, B                            149.130, C
              149.130, B                            149.135, C
              149.135, B                            149.140, C
              149.140, B                            149.64, B
              149.145, B                            149.150, C
               149.300, C                          149.200, D
               149.301, C                          149.201, D
               149.302, C                          149.202, D
               149.303, C                          149.203, D
               149.304, C                          149.204, D
               149.305, C                          149.205, D
               149.316, C                          149.207, D
               149.317, C                          149.208, D
               149.318, C                          149.209, D
               149.319, C                          149.210, D
               149.320, C                          149.211, D
               149.321, C                          149.212, D
               149.322, C                          149.213, D
               149.323, C                          149.214, D
               149.324, C                          149.215, D
               149.325, C                          149.216, D
               149.326, C                          149.217, D
               149.327, C                          149.218, D
               149.328, C                          149.219, D
               149.329, C                          149.220, D
               149.330, C                          149.221, D
               149.331, C                          149.222, D
               149.332, C                          149.223, D
               149.333, C                          149.224, D
               149.334, C                          149.225, D
               149.335, C                          149.226, D
               149.336, C                          149.227, D
               149.337, C                          149.228, D
               149.338, C                          149.229, D
               149.339, C                          149.230, D
               149.340, C                          149.231, D
              149.400, D                           149.300, E
              149.401, D                           149.301, E
              149.402, D                           149.302, E
              149.403, D                           149.303, E
              149.404, D                           149.304, E
              149.405, D                           149.305, E
              149.406, D                           149.306, E
              149.407, D                           149.307, E
              149.408, D                           149.308, E
              149.409, D                           149.309, E
              149.410, D                           149.310, E
              149.411, D                           149.311, E
              149.412, D                           149.312, E
              149.413, D                           149.313, E
              149.414, D                           149.314, E
              149.415, D                           149.315, E
              149.416, D                           149.316, E
              149.417, D                           149.317, E
              149.418, D                           149.318, E
              149.419, D                           149.319, E
              149.420, D                           149.320, E
              149.421, D                           149.321, E
              149.500, E                           149.400, F
              149.505, E                           149.405, F
              149.510, E                           149.410, F
              149.520, E                           149.420, F
              149.535, E                           149.435, F
              149.540, E                           149.440, F
              149.550, E                           149.450, F
              149.560, E                           149.460, F
              149.565, E                           149.465, F
              149.570, E                           149.470, F
              149.575, E                           149.475, F
              149.580, E                           149.480, F
              149.585, E                           149.485, F
              149.600, F                            149.50, B

[[Page 19151]]

 
              149.610, F                            149.20, A
              149.615, F                            149.51, B
              149.620, F                            149.53, B
              149.625, F                            149.52, B
              149.640, F                            149.60, B
              149.641, F                            149.61, B
              149.655, F                            149.62, B
              149.660, F                            149.63, B
              149.665, F                            149.65, B
              149.670, F                            149.66, B
              149.675, F                            149.67, B
              149.680, F                            149.68, B
              149.685, F                            149.69, B
              149.690, F                            149.70, B
              149.691, F                            149.71, B
              149.692, F                            149.72, B
              149.693, F                            149.73, B
              149.694, F                            149.74, B
              149.695, F                            149.75, B
              149.696, F                            149.76, B
              149.697, F                            149.77, B
              149.700, F                            149.78, B
------------------------------------------------------------------------

0
33. Revise Sec.  149.5 to read as follows:


Sec.  149.5  What definitions apply to this part?

    Definitions applicable to this part appear in 33 CFR 148.5.


Sec.  149.15  [Removed and Reserved]

0
34. Remove and reserve Sec.  149.15.


Sec.  149.20  [Amended]

0
35. In newly redesignated Sec.  149.20, paragraph (a), after the text 
``(SPM)'', add the words ``, or submerged turret loading (STL) buoy''.
0
36. Revise the heading of subpart B to read as follows:

Subpart B--Design, Construction, Operations, and Equipment


Sec.  149.50  [Amended]

0
37. Amend newly redesignated Sec.  149.50 by adding the words ``the 
design, construction, operations, and'' after the words ``requirements 
for'', and by removing the words ``and design'' after the word 
``equipment''.


Sec.  149.51  [Amended]

0
38. Amend newly redesignated Sec.  149.51(b) by adding the words ``in 
the U.S., or an engineer possessing equivalent qualifications in a 
foreign country as approved by the Commandant (CG-5P),'' after the 
words ``professional engineer''.
0
39. Amend newly redesignated Sec.  149.52 as follows:
0
a. In paragraph (b), after the text ``(CG-5P)'' add the words ``or the 
accepted certifying entity''; and
0
b. Add paragraph (d).
    The addition reads as follows:


Sec.  149.52  What are the design standards?

* * * * *
    (d) The appropriateness of the design of a deepwater port, or its 
components, may be shown by its compliance with standards generally 
used within the offshore industry that are at least equivalent to rules 
established by any recognized classification society as defined in 46 
CFR 8.100. Based on the design, complexity, and location of a deepwater 
port, the Commandant (CG-5P) will determine, in coordination with the 
applicant or licensee, as appropriate, the components to be included in 
classification society certification or classification certificate. 
This coordination should start early in the process, especially in the 
case of manned fixed or floating structures.
0
40. Add Sec.  149.54 to read as follows:


Sec.  149.54  What is the process for submitting alterations and 
modifications affecting the design, construction, and operations of a 
deepwater port?

    (a) Alterations and modifications affecting the design and 
construction of a deepwater port must be submitted to the Commandant 
(CG-5P) for review and approval if--
    (1) A license has not yet been issued; or
    (2) A license has been issued but the deepwater port has not 
commenced operations; or
    (3) The alterations and modifications are deemed a major 
conversion; or
    (4) The alterations or modifications substantially change the 
manner in which the deepwater port operates or are not in accordance 
with a condition of the license.
    (b) All other alterations and modifications to the deepwater port 
must be submitted to the Sector Commander, or MSU Commander with COTP 
and OCMI authority for review and approval.
    (c) Approval for alterations and modifications proposed after a 
license has been issued will be contingent upon whether the proposed 
changes will affect the way the deepwater port operates, or any 
conditions imposed in the license.
    (d) The licensee is not authorized to proceed with alterations 
prior to approval from the Commandant (CG-5P) for the conditions 
outlined in paragraph (a) and for approval by the cognizant Sector 
Commander, or MSU Commander with COTP and OCMI authority as required in 
paragraph (b) of this section.
    (e) During the review and approval process of a proposed alteration 
or modification, the Commandant (CG-5P) may consult with the Marine 
Safety Center and cooperating Federal agencies possessing relevant 
technical expertise.
0
41. Add Sec.  149.57 to read as follows:


Sec.  149.57  What is the review and approval process for the design, 
construction, and commissioning for Deepwater Ports for operation?

    (a) The Coast Guard is responsible for ensuring that all aspects of 
a deepwater port are in compliance with appropriate standards and 
requirements. The Coast Guard review of a proposed deepwater port ends 
at, and includes, the last downstream valve of the pipeline end 
manifold (PLEM) for each single point mooring-oil transfer system (SPM-
OTS) or single point mooring-natural gas transfer system (SPM-NGTS) 
(last downstream valve prior to connecting to a pipeline). The main gas 
transmission lines to shore or to offshore pipeline infrastructure, and 
the flowlines or gathering lines connecting multiple SPM-OTSs or SPM-
NGTSs, fall under the jurisdiction of PHMSA.
    (b) The Commandant (CG-5P) will coordinate the review and approval 
for operations for the Coast Guard and other Federal and State agencies 
as necessary.
    (c) Depending on project complexity, construction, and installation 
timing, the Commandant (CG-5P) will determine, with input from the 
licensee, when the review process should be initiated and when the 
certifying entity (CE), if used, should be nominated, approved and 
engaged. The CE may also be the classification society being used as 
described in 33 CFR 149.52(d).
    (d) Final approval to commence commissioning and operations of the 
deepwater port will come from the Commandant (CG-5P). This approval may 
contain additional conditions that must be satisfied once the deepwater 
port is operational. Once Commandant (CG-5P) has granted the deepwater 
port clearance to operate, the Sector Commander, or MSU Commander with 
COTP and OCMI authority will exercise day to day oversight.
0
42. Add Sec.  149.58 to read as follows:


Sec.  149.58  What is the role of the certifying entity in the review 
and approval process for the design, construction, and commissioning 
for Deepwater Ports for operation?

    (a) A certifying entity (CE), contracted by the licensee but under 
the direction of and acting for the Coast Guard, may assist in the 
review and verification of each phase (i.e., the design, construction, 
and operations) of a deepwater port. If a CE is used, the CE's review 
must include a recommendation to the Commandant (CG-5P) on the 
sufficiency of a deepwater port's design basis and selected drawings, 
plans, or analysis and procedure. Review for each phase may require on-
site inspections at

[[Page 19152]]

fabrication locations and during construction and installation. The 
Commandant (CG-5P) is the final approval authority for the deepwater 
port's design, construction, and commissioning.
    (1) Design phase, including the design basis. The design basis must 
identify all baseline design standards, regulations, rules and/or 
codes, and key parameters to be used to design each structure, system, 
or component of the deepwater port.
    (2) Construction phase, including fabrication, installation, and 
commissioning.
    (3) Operational phase, including maintenance and inspection 
procedures and long-term support from commencement of operations to 
decommissioning of the deepwater port.
    (b) The licensee must provide to the Commandant (CG-5P), and to a 
CE, if used, the design basis and lists of drawings, plans, 
calculations, analyses, procedures, and correspondence as determined in 
the review.
    (c) If a CE is used, key responsibilities for the CE include, but 
are not limited to--
    (1) Recommendation of approval, disapproval, or approval with 
proposed changes of the applicant's design basis;
    (2) Development of an action plan for each phase;
    (3) Providing selected drawings and plan reviews;
    (4) Inspections and oversight;
    (5) Interim reports and recommendations; and
    (6) A final report and recommendation for Coast Guard approval or 
disapproval.
    (d) The CE may also be used to assist in the review of such areas 
as--
    (1) A maintenance and inspection program;
    (2) System safety, including interoperability, reliability, safety 
integrity levels, and LNG carrier compatibility;
    (3) Specific, higher-risk components and operations; and
    (4) Pipeline design, installation and operations manual (The 
applicant must coordinate the review and approval of the pipeline 
appendix to the operations manual with PHMSA).
    (e) At the option of the licensee, the CE may continue to support 
the review and approval process for a deepwater port through to its 
decommissioning.


Sec.  149.63  [Amended]

0
43. Amend newly redesignated Sec.  149.63(a) introductory text by 
removing the words ``pumping platform complex'' and adding, in their 
place, the words ``manned deepwater port''.


Sec.  149.64  [Amended]

0
44. Amend newly redesignated Sec.  149.64(b) by removing the symbol 
``,'' after the word ``side'' and adding, in its place, the words 
``facilities, vessels approaching the safety zone,''.


Sec.  149.65  [Amended]

0
45. In newly redesignated Sec.  149.65, wherever they appear, remove 
the words ``pumping platform complex'' and add, in their place, the 
words ``manned deepwater port''.


Sec.  149.66  [Amended]

0
46. In newly redesignated Sec.  149.66, paragraph (b), remove the text 
``Sec.  149.665'' and add, in its place, the text ``Sec.  149.65''.


Sec.  149.67  [Amended]

0
47. Amend newly redesignated Sec.  149.67(a) as follows:
0
a. Remove the words ``For a'' and add, in their place, the word 
``Each'';
0
b. Remove the words ``, each pumping platform complex''; and
0
c. After the words ``on the'', remove the word ``complex'' and add, in 
its place, the words ``deepwater port''.


Sec.  149.68  [Amended]

0
48. Amend newly redesignated Sec.  149.68 by adding the word ``manned'' 
before the word ``deepwater'' in the introductory text.


Sec.  149.70  [Amended]

0
49. Amend newly redesignated Sec.  149.70 by removing the word 
``outlined'' and adding, in its place, the word ``specified'', and by 
removing the text ``Sec. Sec.  149.691 through 149.699'' and adding, in 
its place, the text ``Sec. Sec.  149.71 through 149.77''.


Sec.  149.77  [Amended]

0
50. Amend newly redesignated Sec.  149.77(a) by removing the word 
``owner's'' and adding, in its place, the word ``operator's''.
0
51. Revise the heading for subpart C to read as follows:

Subpart C--Pollution Prevention Equipment


Sec.  149.115  [Amended]

0
52. In newly redesignated Sec.  149.115, remove the words ``from the 
pumping platform complex'' and add, in their place, the word 
``remotely''.


Sec.  149.130  [Amended]

0
53. Amend newly redesignated Sec.  149.130(a) by removing the words ``a 
pumping platform complex'' and adding, in their place, the words ``the 
marine transfer area of a deepwater port''.


Sec.  149.135  [Amended]

0
54. Amend newly redesignated Sec.  149.135 as follows:
0
a. In paragraph (b) introductory text, after the word ``alarm'', add 
the words ``described in paragraph (a) of this section'';
0
b. In paragraph (b)(1), remove the words ``pumping platform complex'' 
and add, in their place, the words ``marine transfer area of a 
deepwater port''; and
0
c. In paragraph (b)(2), remove the words ``pumping platform complex'' 
and add, in their place, the words ``marine transfer area of a 
deepwater port'', and before the word ``under'', add the word 
``described''.


Sec.  149.150  [Amended]

0
55. Amend newly redesignated Sec.  149.150 by removing the words 
``pumping platform complex'' and adding, in their place, the words 
``manned deepwater port''.
0
56. Revise the heading for subpart D to read as follows:

Subpart D--Lifesaving Equipment


Sec.  149.203  [Amended]

0
57. Amend newly redesignated Sec.  149.203 as follows:
0
a. In paragraph (a)(1), remove the text ``Sec.  149.306'' and add, in 
its place, the text ``Sec.  149.206'';
0
b. In paragraph (a)(2), remove the text ``Sec.  149.308'' and add, in 
its place, the text ``Sec.  149.208''; and
0
c. In paragraph (b), remove the text ``Sec.  149.314'' and add, in its 
place, the text ``Sec.  149.206''.


Sec.  149.204  [Amended]

0
58. Amend newly redesignated Sec.  149.204 as follows:
0
a. In paragraph (a), in the introductory text, remove the text ``Sec.  
149.305'' and add, in its place, the text ``Sec.  149.205'';
0
b. In paragraph (a)(4), remove the text ``Sec.  149.305'' and add, in 
its place, the text ``Sec.  149.205''; and
0
c. In paragraph (a)(5), remove the text ``Sec.  149.314'' and add, in 
its place, the text ``Sec.  149.206''.


Sec.  149.205  [Amended]

0
59. Amend newly redesignated Sec.  149.205 as follows:
0
a. In paragraph (a), remove the text ``Sec.  149.304'' and add, in its 
place, the text ``Sec.  149.204''; and
0
b. In paragraph (b), remove the text ``Sec.  149.308'' and add, in its 
place, the text ``Sec.  149.208''.
0
60. Add Sec.  149.206 to read as follows:


Sec.  149.206  What are the requirements for survival craft and rescue 
boats?

    Survival craft and rescue boats must satisfy the requirements of 46 
CFR

[[Page 19153]]

108.520-108.575, except as described in paragraphs (a) through (g) of 
this section.
    (a) Except for boathooks, the survival equipment required by 46 CFR 
108.575(b) must be securely stowed in the lifeboat.
    (b) Each lifeboat must have a list of the survival equipment it is 
required to carry. The list must be posted in the lifeboat.
    (c) Except as provided in Sec.  149.205(b) of this part, each 
inflatable or rigid liferaft, boarded from a deck that is more than 4.5 
meters (14.75 feet) above the water, must be davit-launched or served 
by a marine evacuation system approved under approval series 160.175.
    (d) The launching equipment must be arranged so that a loaded 
liferaft does not have to be lifted before it is lowered.
    (e) Not more than two liferafts may be launched from the same set 
of launching equipment.
    (f) The operator must arrange survival craft so that they are--
    (1) Readily accessible in an emergency;
    (2) Accessible for inspection, maintenance, and testing;
    (3) In locations clear of overboard discharge piping or openings, 
and of obstructions below; and
    (4) Located so that survival craft with an aggregate capacity to 
accommodate all persons authorized to be berthed are readily accessible 
from the personnel berthing area.
    (g) The operator may use an onboard crane to launch a rescue boat 
if the crane's launching system meets the requirements of this section.


Sec.  149.209  [Amended]

0
61. Amend newly redesignated Sec.  149.209 by removing the text ``Sec.  
149.316'' and adding, in its place, the text ``Sec.  149.207''.


Sec.  149.210  [Amended]

0
62. Amend newly redesignated Sec.  149.210 by removing the text ``Sec.  
149.317'' and adding, in its place, the text ``Sec.  149.208''.


Sec.  149.216  [Amended]

0
63. In newly redesignated Sec.  149.216, remove the text ``Sec.  
149.140'' and add, in its place, the text ``Sec.  149.64''.


Sec.  149.221  [Amended]

0
64. In newly redesignated Sec.  149.221(a), remove the text ``Sec.  
149.326'' and add, in its place, the text ``Sec.  149.217''.


Sec.  149.227  [Amended]

0
65. Amend newly redesignated Sec.  149.227(a) by removing the text 
``Sec.  149.316'' and adding, in its place, the text ``Sec.  149.217''.


Sec.  149.228  [Amended]

0
66. Amend newly redesignated Sec.  149.228(a) by removing the text 
``Sec.  149.320'' and adding, in its place, the text ``Sec.  149.211''.
0
67. Revise the heading for subpart E to read as follows:

Subpart E--Firefighting and Fire Protection Equipment

0
68. Revise newly redesignated Sec.  149.302 to read as follows:


Sec.  149.302  What firefighting and fire protection equipment must be 
approved by the Coast Guard?

    Unless approval from the Sector Commander, or MSU Commander with 
COTP and OCMI authority, is requested and granted pursuant to Sec.  
149.303 of this part and as permitted under Sec.  149.303, Sec.  
149.315(c) or (d), Sec.  149.319(a)(1), or Sec.  149.320 of this part, 
all required firefighting and fire protection equipment on a deepwater 
port must be approved by the Commandant (CG-ENG). Firefighting and fire 
protection equipment that exceeds required equipment must also be 
approved by the Commandant (CG-ENG).
0
69. Revise the section heading for newly redesignated Sec.  149.303 to 
read as follows:


Sec.  149.303  How may the operator request the use of alternate or 
supplemental firefighting and fire prevention equipment or procedures?

* * * * *
0
70. Amend newly redesignated Sec.  149.304 as follows:
0
a. Revise the section heading; and
0
b. Remove the text ``Sec.  149.403'' and add, in its place, the text 
``Sec.  149.303''. The revision reads as follows:


Sec.  149.304  Can the operator use firefighting equipment that has no 
Coast Guard standards?

* * * * *


Sec.  149.305  [Amended]

0
71. Amend newly redesignated Sec.  149.305 by removing the text 
``149.405'' wherever it appears, and adding, in each place, the text 
``149.305''.


Sec.  149.307  [Amended]

0
72. Amend newly redesignated Sec.  149.307 as follows:
0
a. In paragraph (a), remove the text ``Sec.  149.409'' and add, in its 
place, the text ``Sec.  149.309''; and
0
b. In paragraph (b), remove the text ``Sec.  149.409'' and add, in its 
place, the text ``Sec.  149.309''.


Sec.  149.309  [Amended]

0
73. Amend newly redesignated Sec.  149.309 by removing the text 
``149.409'' wherever it appears, and adding, in each place, the text 
``149.309''.


Sec.  149.310  [Amended]

0
74. In newly redesignated Sec.  149.310, remove the text ``149.409'' 
and add, in its place, the text ``149.309''.


Sec.  149.315  [Amended]

0
75. Amend newly redesignated Sec.  149.315(a) by removing the words 
``pumping platform complex'' and adding, in their place, the words 
``manned deepwater port''.


Sec.  149.317  [Amended]

0
76. In newly redesignated Sec.  149.317(b), remove the text ``149.409'' 
and add, in its place, the text ``149.309''.


Sec.  149.318  [Amended]

0
77. In newly redesignated Sec.  149.318, remove the text ``149.409'' 
and add, in its place, the text ``149.309''.


Sec.  149.319  [Amended]

0
78. Amend newly redesignated Sec.  149.319 as follows:
0
a. In paragraph (a) introductory text, remove the text ``Sec.  
149.420'' and add, in its place, the text ``Sec.  149.320'' and remove 
the text ``Sec.  149.421'' and add, in its place, the text ``Sec.  
149.321''; and
0
b. In paragraph (a)(2), remove the text ``Sec.  149.415'' and add, in 
its place, the text ``Sec.  149.315''.
0
79. Revise the heading for subpart F to read as follows:

Subpart F--Aids to Navigation


Sec.  149.405  [Amended]

0
80. In newly redesignated Sec.  149.405(a), remove the text ``Sec.  
149.510'' and add, in its place, the text ``Sec.  149.410''.


Sec.  149.410  [Amended]

0
81. In newly redesignated Sec.  149.410(a), remove the text 
``Commandant (CG-5P)'' and add, in its place, the words ``Coast Guard 
District Commander in the area where the deepwater port will be 
built''.


Sec.  149.470  [Amended]

0
82. In newly redesignated Sec.  149.470(c), remove the text ``Sec.  
149.540'' and add, in its place, the text ``Sec.  149.440''.


Sec.  149.480  [Amended]

0
83. In newly redesignated Sec.  149.480(a), remove the words ``of a 
pumping platform complex''.

[[Page 19154]]

Sec.  149.485  [Amended]

0
84. In redesignated Sec.  149.485(a), remove the words ``pumping 
platform complex'' and add, in their place, the words ``deepwater 
port''.


Sec.  149.650  [Removed]

0
85. Remove Sec.  149.650.

PART 150--DEEPWATER PORTS: OPERATIONS

0
86. The authority citation for part 150 continues to read as follows:

    Authority: 33 U.S.C. 1231, 1321(j)(1)(C), (j)(5), (j)(6), 
(m)(2); 33 U.S.C. 1509(a); E.O. 12777, sec. 2; E.O. 13286, sec. 34, 
68 FR 10619; Department of Homeland Security Delegation No. 
0170.1(70), (73), (75), (80).

0
87. Amend Sec.  150.10 by revising paragraphs (b), (c), (d), and (e) to 
read as follows:


Sec.  150.10  What are the general requirements for operations manuals?

* * * * *
    (b) The operations manual is reviewed and approved by the 
Commandant (CG-5P), in coordination with the local Sector Commander, or 
MSU Commander, with COTP and OCMI authority, as meeting the 
requirements of the Act and this subchapter.
    (c) The manual must be readily available on the deepwater port for 
use by personnel.
    (d) The licensee must ensure that all personnel are trained and 
follow the procedures in the manual while at the deepwater port.
    (e) Every 5 years from the date of approval of the operations 
manual (unless a longer timeframe is approved by the Commandant (CG-
5P)), a deepwater port operator must re-submit the operations manual to 
the Commandant (CG-5P) to be re-reviewed and re-approved.
0
88. Amend Sec.  150.15 as follows:
0
a. In paragraph (c), after the word ``including'', add the words ``, 
but not limited to,'';
0
b. In paragraphs (d) introductory text, (m) introductory text, and in 
newly redesignated paragraph (q) introductory text, after the word 
``including'', add the words ``, but not limited to'';
0
c. In paragraphs (i) introductory text, (i)(4), after the word 
``including'', add the words ``, but not limited to,'';
0
d. In paragraph (i)(4)(vii), remove the words ``a safety zone, area to 
be avoided, and anchorage area'' and add, in their place, the words 
``zones and areas described under subpart J of this part'';
0
e. In paragraphs (i)(7), (l) introductory text, and (l)(1)(iii), after 
the word ``including'', add the words ``, but not limited to,'';
0
f. In paragraph (l)(2)(iii), remove the word ``to'' and add, in its 
place, the words ``, but not limited to,'';
0
g. In paragraph (l)(4), after the word ``including'', add the words ``, 
but not limited to,'';
0
h. In paragraphs (m) introductory text, and in newly redesignated 
paragraph (q) introductory text, after the word ``including'', add the 
words ``, but not limited to'';
0
i. Redesignate paragraphs (o) through (aa) as (p) through (bb), 
respectively;
0
j. Add new paragraph (o);
0
k. In newly redesignated paragraphs (s), (u)(3), and (x)(2)(iii), after 
the word ``including'', add the words ``, but not limited to,'';
0
l. Revise newly redesignated paragraphs (y) and (bb); and
0
m. Add paragraph (cc);
    The additions and revisions read as follows:


Sec.  150.15  What must the operations manual include?

* * * * *
    (o) A certificate of adequacy (COA) that certifies a deepwater port 
meets the requirements for reception facilities as required under 33 
CFR part 158, or a waiver of a COA.
* * * * *
    (y) Security procedures--(1) Security plan. Deepwater port 
operators must develop a deepwater port security plan comparable, at a 
minimum, to those required by 33 CFR part 106. The plan must address at 
least:
    (i) Access controls for goods and materials and access controls for 
personnel that require positive and verifiable identification;
    (ii) Monitoring and alerting of vessels that approach or enter the 
deepwater port's security zone;
    (iii) Risk identification and procedures for detecting and 
deterring terrorist or subversive activity, such as security lighting 
and remotely-alarmed restricted areas;
    (iv) Internal and external notification and response requirements 
in the event of a perceived threat or an attack on the deepwater port;
    (v) Designation of the deepwater port security officer (DPSO);
    (vi) Required security training and drills for all personnel; and
    (vii) The scalability of actions and procedures for the various 
levels of threat.
    (2) Audits. (i) The DPSO must ensure an audit of the deepwater port 
security plan is performed annually, beginning no later than one year 
from the initial date of approval and attach a letter to the deepwater 
port security plan certifying that the deepwater port security plan 
meets the applicable requirements of this part. The results of this 
audit must be included as an attachment to the annual self-inspection 
report to the cognizant Sector Commander, or MSU Commander with COTP 
and OCMI authority as outlined in Sec.  150.105 of this part.
    (ii) If there is a change in ownership or operations of the 
deepwater port, or if there have been modifications to the deepwater 
port, the deepwater port security plan must be audited including but 
not limited to physical structure, emergency response procedures, 
security measures, or operations.
    (iii) Auditing the deepwater port security plan, as a result of 
modifications to the deepwater port, may be limited to those sections 
of the deepwater port security plan affected by the deepwater port 
modifications.
    (iv) Unless impracticable due to the size and nature of the company 
or the deepwater port, personnel conducting internal audits of the 
security measures specified in the deepwater port security plan or 
evaluating its implementation must--
    (A) Have knowledge of methods of conducting audits and inspections, 
and control and monitoring techniques;
    (B) Not have regularly assigned security duties; and
    (C) Be independent of any security measures being audited.
    (v) If the results of an audit require an amendment of the 
deepwater port security plan, the DPSO must submit the proposed 
amendment to the cognizant Sector Commander, or MSU Commander with COTP 
and OCMI authority, with copy to the Commandant (CG-5P), for review and 
approval no later than 30 days after completion of the audit.
    (3) Review. The Sector Commander, or MSU Commander with COTP and 
OCMI authority, will normally perform an annual security inspection to 
verify the findings in the audit. The Sector Commander, or MSU 
Commander with COTP and OCMI authority, will perform a more detailed 
deepwater port security plan review at prescribed 5-year intervals 
following initial approval of the deepwater port security plan and will 
include onsite inspection of personnel assignments and qualifications, 
observance of security drills, and other security exercises as 
necessary.
* * * * *
    (bb) Environmental procedures. A prevention, monitoring, and 
mitigation program (PMMP) that provides procedures to prevent, 
minimize, or mitigate adverse environmental effects

[[Page 19155]]

resulting from the construction, operation, and decommissioning of the 
deepwater port. This must include both routine scheduled maintenance 
activities as well as unscheduled maintenance activities.
    (1) Environmental monitoring program. The PMMP must include a 
detailed environmental monitoring program plan. It must be performance-
based, and include provisions for incorporating recommendations for 
adaptive management based upon analysis of data obtained from 
monitoring studies. The PMMP must also include provisions for periodic 
re-examination of the physical, chemical, and biological factors 
investigated during the baseline surveys contained in the licensee's 
deepwater port license application.
    (i) Monitoring must commence shortly before project construction in 
the vicinity of the construction sites and other potentially impacted 
areas and continue throughout the construction phase.
    (ii) During project operations, a continuous monitoring program 
designed to ensure coverage of seasonal variations must be undertaken.
    (2) Review. Every 5 years (unless a longer timeframe is approved by 
the Commandant (CG-5P)), to coincide with the periodic review of the 
deepwater port's operations manual, the licensee must conduct a 
thorough re-examination of the physical, chemical, and biological 
factors contained in the deepwater port's environmental evaluation.
    (i) The re-examination must include, but not be limited to, a 
detailed analysis of the results of the environmental monitoring 
program to identify trends and impacts that result from the deepwater 
port's operations.
    (ii) The re-examination must be submitted for review and approval 
to the Commandant (CG-5P) and MARAD not later than 60 days before the 5 
year period ends.
    (cc) Procedural manual for operations, maintenance, and emergencies 
of the deepwater port pipelines. This manual must meet the requirements 
of PHMSA regulations 49 CFR 192.605 and other applicable parts of 49 
CFR 190 through 199.
0
89. Amend Sec.  150.25 as follows:
0
a. Revise the section heading;
0
b. Redesignate paragraphs (d), (e), and (f) as paragraphs (c)(2), (d), 
and (e), respectively;
0
c. Revise newly redesignated paragraph (c)(2);
0
d. Add paragraph (c)(1);
0
e. Revise newly redesignated paragraph (e);
0
f. Add new paragraph (f); and
    The revisions and addition read as follows:


Sec.  150.25  When will the Coast Guard require amendments to the 
operations manual?

* * * * *
    (c) * * *
    (1) If the Sector Commander, or MSU Commander with COTP and OCMI 
authority determines that the proposed amendments are inadequate, the 
Sector Commander, or MSU Commander with COTP and OCMI authority, will 
return them to the licensee for revision.
    (2) If the Sector Commander, or MSU Commander with COTP and OCMI 
authority, decides that a proposed amendment is adequate, the amendment 
will go into effect 60 days after the Sector Commander, or MSU 
Commander with COTP and OCMI authority, notifies the licensee, with 
copy to the Commandant (CG-5P). The Commandant (CG-5P) will notify 
MARAD, and PHMSA as appropriate, prior to a significant amendment going 
into effect.
* * * * *
    (e) If the Sector Commander, or MSU Commander with COTP and OCMI 
authority, finds that a particular situation requires immediate action 
to prevent a spill or discharge, or to protect the safety of life and 
property, he or she may issue an amendment effective on the date that 
the licensee receives it. The Sector Commander, or MSU Commander with 
COTP and OCMI authority, must include a brief statement of the reasons 
for the immediate amendment. The licensee may petition the District 
Commander for review, but the petition does not delay the effective 
date of the amendment.
    (f) Other Federal agencies may propose amendments to the operations 
manual by submitting them to the Coast Guard's Office of Operating and 
Environmental Standards (CG-OES), which will coordinate with the Sector 
Commander, or MSU Commander with COTP and OCMI authority, to have the 
licensee implement requested amendments.
0
90. Revise Sec.  150.30 to read as follows:


Sec.  150.30  How may the licensee propose an amendment to the 
operations manual?

    (a) Proposed amendments to an approved operations manual must be 
submitted to the Sector Commander, or MSU Commander with COTP and OCMI 
authority, in whose area of responsibility the deepwater port is 
located, with copy to the Commandant (CG-5P). The Commandant (CG-5P) 
will notify MARAD prior to approval of proposed significant amendments 
to the operations manual to ensure approval accords with the conditions 
of the deepwater port's license. If the proposed changes are not 
consistent with the requirements of any license condition, the 
environmental impact analysis, or any other Federal or State license or 
approval, the Commandant (CG-5P) must notify the Sector Commander, or 
MSU Commander with COTP and OCMI authority of this inconsistency 
immediately. Sector Commander, or MSU Commander with COTP and OCMI 
authority approval of the proposed changes will be withheld until the 
identified inconsistencies are resolved.
    (b) The licensee may propose an amendment to the operations 
manual--
    (1) By submitting to the Sector Commander, or to the MSU Commander 
with COTP and OCMI authority, in writing, the amendments and reasons 
for the amendments, not less than 30 days before the requested 
effective date of the amendment; or
    (2) If the amendment is needed immediately, by submitting the 
amendment, and reasons why the amendment is needed immediately, to the 
Sector Commander, or to the MSU Commander with COTP and OCMI authority 
in writing.
    (c) The Sector Commander, or MSU Commander with COTP and OCMI 
authority, in coordination with the Commandant (CG-5P), must respond to 
a proposed amendment by notifying the licensee of his or her decision, 
in writing, before the requested date of the amendment. If the request 
is disapproved, the Sector Commander, or MSU Commander with COTP and 
OCMI authority must include the reasons for disapproval in the notice. 
If the request is for an immediate amendment, the Sector Commander, or 
the MSU Commander with COTP and OCMI authority must respond as soon as 
possible.
0
91. Revise Sec.  150.35 to read as follows:


Sec.  150.35  How may an Adjacent Coastal State request an amendment to 
the deepwater port operations manual?

    (a) An Adjacent Coastal State connected by pipeline to the 
deepwater port may petition the cognizant Sector Commander, or MSU 
Commander with COTP and OCMI authority, with copy to the Commandant 
(CG-5P), to amend deepwater port operations. The petition must include 
sufficient information to allow the Sector Commander, or MSU Commander 
with COTP and OCMI authority to reach a decision concerning the 
proposed amendment.
    (b) After the Sector Commander, or MSU Commander with COTP and OCMI

[[Page 19156]]

authority receives a petition, the Sector Commander, or MSU Commander 
with COTP and OCMI authority, in coordination with the Commandant (CG-
5P), requests comments from the licensee.
    (c) After reviewing the petition and comments and considering the 
costs and benefits involved, the Sector Commander, or MSU Commander 
with COTP and OCMI authority, in coordination with the Commandant (CG-
5P), may approve the petition if the proposed amendment will provide 
equivalent or improved protection and safety. The Adjacent Coastal 
State may petition the Commandant (CG-5P) to review the decision. 
Petitions must be made in writing and presented to the Sector 
Commander, or MSU Commander with COTP and OCMI authority for forwarding 
to the Commandant (CG-5P) via the District Commander.
0
92. Revise Sec.  150.40 to read as follows:


Sec.  150.40  Deviating from the operations manual.

    (a) If, because of a particular situation, the licensee needs to 
deviate from the operations manual, the licensee must submit a written 
request to the Sector Commander, or MSU Commander with COTP and OCMI 
authority explaining why the deviation is necessary and what 
alternative is proposed. If the Sector Commander, or MSU Commander with 
COTP and OCMI authority determines that the deviation would ensure 
equivalent or greater protection and safety, the Sector Commander, or 
MSU Commander with COTP and OCMI authority will authorize the deviation 
and notify the licensee in writing.
    (b) In an emergency, any person may deviate from any requirement in 
this subchapter, or any procedure in the operations manual, to ensure 
the safety of life, property, or the environment. Each deviation must 
be reported to the Sector Commander, or to the MSU Commander with COTP 
and OCMI authority at the earliest possible time.


Sec.  150.45  [Removed and Reserved]

0
93. Remove and reserve Sec.  150.45.
0
94. Amend Sec.  150.50 by revising the section heading to read as 
follows:


Sec.  150.50  What are the requirements for a deepwater port spill 
response plan?

* * * * *
0
95. Revise Sec.  150.100 to read as follows:


Sec.  150.100  What are the requirements for inspecting deepwater 
ports?

    (a) Under direction of the Sector Commander, or MSU Commander, with 
COTP and OCMI authority, marine inspectors may inspect deepwater ports 
to determine whether the requirements of this subchapter are met. A 
marine inspector may conduct an inspection, with or without advance 
notice, at any time the Sector Commander or MSU Commander deems 
necessary.
    (b) During an inspection, Coast Guard marine inspectors may be 
accompanied by representatives of other Federal agencies.
0
96. Revise Sec.  150.105 to read as follows:


Sec.  150.105  What are the requirements for annual self-inspection?

    (a) The operator of each deepwater port must ensure that the 
deepwater port is regularly inspected to determine whether the facility 
is in compliance with the requirements of the approved operations 
manual, the license, and any classification society certifications. To 
this end, a deepwater port operator may propose to the Sector 
Commander, or to the MSU Commander, with COTP and OCMI authority, to 
implement a self-inspection program. Prior to the initiation of a self-
inspection program, and before commencement of operations, the owner or 
operator must submit a proposal describing the self-inspection plan to 
the Sector Commander, or to the MSU Commander, with COTP and OCMI 
authority for acceptance. The plan must address all applicable 
requirements outlined in parts 149 and 150 of this subchapter. Any 
proposed program must include inspection intervals not to exceed 12 
months between inspections. The inspection may be conducted up to 2 
months after its due date, but will be valid for only the 12 months 
following that due date.
    (b) The operator must record and submit the results of the annual 
self-inspection to the Sector Commander, or to the MSU Commander with 
COTP and OCMI authority, within 30 days of completing the inspection. 
The report must include a description of any failure, and the scope of 
repairs made to components or equipment, in accordance with the 
requirements in subpart I of this part, other than primary lifesaving, 
firefighting, or transfer equipment, which are inspected and repaired 
in accordance with subpart F.
    (c) The Sector Commander, or the MSU Commander with COTP and OCMI 
authority, must validate the results of each inspection. If the Sector 
Commander, or the MSU Commander with COTP and OCMI authority, 
determines that the deepwater port is not operating in conformity with 
its operations manual or license, the Sector Commander, or the MSU 
Commander with COTP and OCMI authority, must direct appropriate 
corrective action to the deepwater port operator, and the Sector 
Commander, or the MSU Commander with COTP and OCMI authority, must 
notify the Commandant (CG-5P). After receipt of the notification, if 
the Commandant (CG-5P) concurs that a possible violation of a license 
condition is indicated, Commandant (CG-5P) will notify MARAD for 
consideration of what, if any, action on the license should be taken.
0
97. Add Sec.  150.107 to read as follows:


Sec.  150.107  What notice must be given in the event of inspections?

    The operator must notify the Sector Commander, or the MSU Commander 
with COTP and OCMI authority, of scheduled Federal and State agency 
inspections. The operator must retain the record of results of any 
Federal or State agency inspection and make those records available for 
review upon receiving a request by the Sector Commander, or by the MSU 
Commander with COTP and OCMI authority, or his or her designated 
representative. The Coast Guard may participate in any inspection 
undertaken by another Federal or State agency with jurisdiction.


Sec.  150.110  [Amended]

0
98. Amend Sec.  150.110 by removing the word ``or'' after the words 
``class certificate,''; and adding the words ``, or of changes in class 
status'' after the words ``classification certificate''.


Sec.  150.225  [Amended]

0
99. In Sec.  150.225, after the word ``hold.'', add the sentence ``All 
employees, regardless of status, must receive basic safety training as 
soon as practicable after reporting to the deepwater port.''.


Sec.  150.325  [Amended]

0
100. Amend Sec.  150.325(b) introductory text by adding the words ``, 
but not limited to'' after the word ``including''.
0
101. Amend Sec.  150.380 by revising Table 150.380(a) and paragraph (b) 
to read as follows:


Sec.  150.380  Under what circumstances may vessels operate within the 
safety zone or area to be avoided?

    (a) * * *

[[Page 19157]]



                      Table 150.380(a)--Regulated Activities of Vessels at Deepwater Ports
----------------------------------------------------------------------------------------------------------------
                                                          Areas to be                            Other ship's
                                                        avoided around                         routing measures
      Regulated activities           Safety zone        each deepwater      Anchorage areas     adjacent to the
                                                      port component \1\                          safety zone
----------------------------------------------------------------------------------------------------------------
Tankers calling at port........  C                    C                   C                   C
Support vessel movements.......  C                    C                   C                   C
Transit by vessels other than    F                    D                   P                   P
 tankers or support vessels.
Mooring to surface components    N                    N                   N                   N
 by vessels other than tankers
 or support vessels.
Anchoring by vessels other than  N                    F                   C                   F
 tankers or support vessels.
Fishing, including, but not      N                    D                   P                   R
 limited to, bottom trawl
 (shrimping).
Mobile drilling operations or    N                    R                   N                   N
 erection of structures \2\.
Lightering/transshipment.......  N                    N                   N                   N
----------------------------------------------------------------------------------------------------------------
\1\ Areas to be avoided are in subpart J of this part.
\2\ Not part of Port Installation.
\3\ Key to regulated activities for Table 150.380(a):
C--Movement of the vessel is permitted when cleared by the person in charge of vessel operations.
D--Movement is not restricted, but recommended transit speed not to exceed 10 knots. Communication with the
  person in charge of vessel operations.
F--Only in an emergency. Anchoring will be avoided in a no anchoring area except in the case of immediate danger
  to the ship or persons on board. N--Not permitted. P--Transit is permitted when the vessel is not in the
  immediate area of a tanker, and when cleared by the vessel traffic supervisor. R--Permitted only if determined
  that operation does not create unacceptable risk to personnel safety and security and operation. For
  transiting foreign-flag vessels, the requirement for clearance to enter the area to be avoided and no
  anchoring area is advisory in nature, but mandatory for an anchorage area established within 12 nautical
  miles.

    (b) If the activity is not listed in table 150.380(a) of this 
section, or otherwise provided for in this subpart, the permission of 
the Sector Commander, or MSU Commander with COTP and OCMI authority, is 
required before operating in the safety zone or other ship's routing 
measure.
* * * * *


Sec.  150.435  [Amended]

0
102. Amend Sec.  150.435(b) by adding the words ``, unless complying 
with any approved procedures contained in the operations manual to 
ensure the safety of personnel, equipment and the environment'' after 
the word ``vicinity''.


Sec.  150.501  [Amended]

0
103. Amend Sec.  150.501 by adding the words ``, but not limited to,'' 
after the word ``including''.


Sec.  150.601  [Amended]

0
104. Amend Sec.  150.601(b) introductory text by adding the words ``but 
not limited to,'' after the word ``including,'' and by adding the 
symbol ``,'' after the word ``subcontractors''.


Sec.  150.602  [Amended]

0
105. Amend Sec.  150.602(a) by removing the text ``Sec.  150.15(w)'', 
and adding, in its place, the text ``Sec.  150.15(x)''.


Sec.  150.607  [Amended]

0
106. Amend Sec.  150.607(a) by adding the words ``, but not limited 
to,'' after the word ``including'' and by adding the symbol ``,'' after 
the word ``gear''.


Sec.  150.615  [Amended]

0
107. Amend Sec.  150.615(c) by adding the words ``, but not limited 
to,'' after the word ``including''.


Sec.  150.618  [Amended]

0
108. In Sec.  150.618(a), after the word ``including'', add the words 
``, but not limited to,''.


Sec.  150.619  [Amended]

0
109. In Sec.  150.619(b), after the word ``including'', add the words 
``, but not limited to,''.


Sec.  150.623  [Amended]

0
110. Amend Sec.  150.623(c) introductory text by adding the words ``, 
but not limited to'' after the word ``including''.


Sec.  150.715  [Amended]

0
111. In Sec.  150.715(a), after the word ``must'', add the words 
``comply with the requirements of 33 CFR 66.01-11 and''.


Sec.  150.720  [Amended]

0
112. Amend Sec.  150.720 by adding the words ``and comply with the 
requirements of 33 CFR 67.10'' after the text ``5 miles''.


Sec.  150.812  [Amended]

0
113. Amend Sec.  150.812 by removing the word ``and'' and adding, in 
its place, the symbol ``,'' after the word ``life''; and adding the 
words ``, and the environment'' after the word ``property''.


Sec.  150.815  [Amended]

0
114. Amend Sec.  150.815(a)(4) by adding the words ``, but not limited 
to,'' after the word ``including''.
0
115. Revise Sec.  150.830 to read as follows:


Sec.  150.830  Reporting a pollution incident.

    (a) Oil pollution incidents involving a deepwater port are reported 
according to part 153, subpart B, of this chapter.
    (b) In each notification made under paragraph (a) of this section, 
the person in charge of the deepwater port involved in the incident 
must provide his or her name and telephone number, or radio call sign, 
and, to the extent known, the--
    (1) Location, date, and time of the incident;
    (2) Quantity of oil involved;
    (3) Cause of the incident;
    (4) Name or other identification of the vessel or offshore facility 
involved;
    (5) Size and color of any slick or sheen and the direction of its 
movement;
    (6) Observed on-scene weather conditions, including wind speed and 
direction, height and direction of seas, and any tidal or current 
influence present;
    (7) Actions taken or contemplated to secure the source or contain 
and remove or otherwise control the discharged oil;
    (8) Extent of any injuries or other damages incurred as a result of 
the incident;
    (9) Observed damage to living natural resources; and
    (10) Any other information deemed relevant by the reporting party 
or requested by the person receiving the notification.
    (c) The person giving notification of an incident must not delay 
notification to gather all required information and

[[Page 19158]]

must provide any information not immediately available when it becomes 
known.


Sec.  150.905  [Amended]

0
116. Amend Sec.  150.905(d) by adding the words ``, but not limited 
to,'' after the word ``including''.


Sec.  150.915  [Amended]

0
117. Amend Sec.  150.915 as follows:
0
a. In paragraph (a), after the word ``life'', remove the word ``and'' 
and add, in its place, the symbol ``,'', and after the word 
``property'', add the words ``, or the environment'';
0
b. In paragraph (b)(2), after the word ``including'', add the words ``, 
but not limited to,''; and
0
c. In paragraph (b)(9), after the word ``including'', add the words ``, 
but not limited to,''.

    Dated: March 17, 2015.
Paul F. Zukunft,
Admiral, U.S. Coast Guard, Commandant.
[FR Doc. 2015-06611 Filed 4-8-15; 8:45 am]
BILLING CODE 9110-04-P