[Federal Register Volume 84, Number 180 (Tuesday, September 17, 2019)]
[Proposed Rules]
[Pages 48842-48850]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-19754]
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DEPARTMENT OF HOMELAND SECURITY
Coast Guard
46 CFR Part 11
[Docket No. USCG-2017-1025]
RIN 1625-AC42
Crediting Recent Sea Service of Personnel Serving on Vessels of
the Uniformed Services
AGENCY: Coast Guard, DHS.
ACTION: Notice of proposed rulemaking.
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SUMMARY: The Coast Guard proposes to increase from 3 years to 7 years
the period within which qualifying sea service aboard vessels of the
uniformed services can be used to satisfy the requirement for recent
sea service to qualify for a Merchant Mariner Credential with a
national officer endorsement. This notice of proposed rulemaking would
implement into Coast Guard regulations legislation that has been
codified in statute, and may potentially increase the number of
merchant mariners available for employment on commercial vessels.
DATES: Comments and related material must be received by the Coast
Guard on or before November 18, 2019.
ADDRESSES: You may submit comments identified by docket number USCG-
2017-1025 using the Federal eRulemaking Portal at https://
[[Page 48843]]
www.regulations.gov. See the ``Public Participation and Request for
Comments'' portion of the SUPPLEMENTARY INFORMATION section for further
instructions on submitting comments.
Collection of Information Comments. Submit comments on the
collection of information discussed in Section VI.D of this preamble
both to the Coast Guard's online docket and to the Office of
Information and Regulatory Affairs (OIRA) in the White House Office of
Management and Budget using one of the following two methods:
Email: [email protected].
Mail: OIRA, 725 17th Street NW, Washington, DC 20503,
attention Desk Officer for the Coast Guard.
FOR FURTHER INFORMATION CONTACT: For information about this document,
call or email Ms. Cathleen Mauro, Maritime Personnel Qualifications
Division (CG-MMC-1), Coast Guard; telephone: 202-372-1449, email
[email protected].
SUPPLEMENTARY INFORMATION:
Table of Contents for Preamble
I. Public Participation and Request for Comments
II. Abbreviations
III. Basis and Purpose
IV. Background
V. Discussion of Proposed Rule
VI. Request for Public Input
VII. Regulatory Analyses
A. Regulatory Planning and Review
B. Small Entities
C. Assistance for Small Entities
D. Collection of Information
E. Federalism
F. Unfunded Mandates
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
The Coast Guard views public participation as essential to
effective rulemaking, and will consider all comments and material
received during the comment period. Your comment can help shape the
outcome of this rulemaking. If you submit a comment, please include the
docket number for this rulemaking, indicate the specific section of
this document to which each comment applies, and provide a reason for
each suggestion or recommendation.
We encourage you to submit comments through the Federal eRulemaking
Portal at https://www.regulations.gov. If you cannot submit your
material by using https://www.regulations.gov, contact the person in
the FOR FURTHER INFORMATION CONTACT section for alternate instructions.
Documents mentioned in this notice of proposed rulemaking, and all
public comments, will be available in our online docket at https://www.regulations.gov, and can be viewed by following that website's
instructions. Additionally, if you visit the online docket and sign up
for email alerts, you will be notified when comments are posted or if a
final rule is published.
We accept anonymous comments. All comments received will be posted
without change to http://www.regulations.gov and will include any
personal information you have provided. For more about privacy and the
docket, visit http://www.regulations.gov/privacyNotice.
We do not plan to hold a public meeting, but we will consider doing
so if public comments indicate that a meeting would be helpful. We
would issue a separate Federal Register notice to announce the date,
time, and location of such a meeting.
II. Abbreviations
BLS Bureau of Labor Statistics
CATEX Categorical exclusion
CFR Code of Federal Regulations
DHS Department of Homeland Security
FR Federal Register
MMC Merchant Mariner Credential
MMLD Merchant Mariner Licensing Documentation
NMC National Maritime Center
NOAA National Oceanic and Atmospheric Administration
NPRM Notice of proposed rulemaking
PHS Public Health Service
Sec. Section
U.S.C. United States Code
III. Basis and Purpose
Under 46 CFR 11.201(c)(2), an applicant for a national officer
endorsement on a Merchant Mariner Credential (MMC) ``must have at least
3 months of required service on vessels of appropriate tonnage or
horsepower within the 3 years immediately preceding the date of
application.'' Section 305 of the Howard Coble Coast Guard and Maritime
Transportation Act of 2014 \1\ amended 46 U.S.C. 7101 to authorize the
Coast Guard to extend the period from 3 years to 7 years for
individuals whose 3 months of qualifying sea service was aboard vessels
of the uniformed services. Such individuals must also satisfy all other
requirements for a national officer endorsement on an MMC. In this
notice of proposed rulemaking (NPRM), we propose to establish a 7-year
period within which the attainment of 3 months of qualifying sea
service aboard vessels of the uniformed services can be used to satisfy
the requirement for recent sea service to qualify for an MMC with a
national officer endorsement. This NPRM would affect only 46 CFR part
11, ``Requirements for officer endorsements,'' and, specifically, only
46 CFR 11.201(c)(2).
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\1\ Public Law 113-281, 128 Stat. 3022 (2014).
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IV. Background
Individuals serving on vessels of the uniformed services represent
a population who may be qualified for an MMC. When these individuals
spend the final years of their careers assigned to shoreside units, the
requirement in 46 CFR 11.201(c)(2) to have at least 3 months of
qualifying sea service within 3 years of application for an officer
endorsement poses an obstacle to meeting the requirement for recent sea
service. This rule will improve the pathway for individuals with sea
service aboard vessels of the uniformed services to meet the
requirement for recent sea service to qualify for a national officer
endorsement.
On December 18, 2014, Congress amended 46 U.S.C. 7101 by adding
paragraph (j), which authorized the Coast Guard to extend the period
from 3 years to 7 years for individuals whose 3 months of qualifying
sea service was aboard vessels of the uniformed services. Subsequent to
enactment of 46 U.S.C. 7101(j)(1), the Coast Guard issued CG-CVC Policy
Letter 15-03, ``Crediting Recent Service of Uniformed Service
Personnel,'' \2\ on October 16, 2015 to implement 46 U.S.C. 7101(j)(1)
until a rulemaking could be completed.
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\2\ CG-CVC Policy Letter 15-03 can be accessed here: https://www.dco.uscg.mil/Portals/9/DCO%20Documents/5p/CG-5PC/CG-CVC/Policy%20Letters/2015/CG-CVC_pol15-03.pdf.
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V. Discussion of Proposed Rule
In accordance with 46 U.S.C. 7101(j)(1), we propose to amend 46 CFR
11.201(c)(2) to allow individuals who have attained qualifying sea
service aboard vessels of the uniformed services within 7 years
preceding the date of application for a national officer endorsement to
use this service to satisfy the requirement for recent sea service.
Because the existing regulatory language in 46 CFR 11.201(c)(2)
requires qualifying sea service to be attained within a 3-year period
preceding the date of application, a regulatory change is needed to
align our regulations with the authority granted in 46 U.S.C.
7101(j)(1).
[[Page 48844]]
VI. Request for Public Input
In addition to seeking public comment on the proposed change
described above, the Coast Guard also seeks comment from the public on
the following questions:
(1) Should the period for ``recent'' service be extended to 7 years
for all national officer endorsements?
(2) Is it necessary to have a requirement for recent sea service
for an original, renewal, or raise of grade of an MMC with a national
officer endorsement?
The Coast Guard asks the second question because the Coast Guard
has not solicited public comment on the requirement for recent sea
service to qualify for an MMC with a national officer endorsement since
the 1980s.\3\ The Coast Guard is interested in hearing public opinion
on whether recent sea service is necessary in addition to the existing
sea service requirement for deck officer endorsements under 46 CFR part
11, subpart D, for engineer officer endorsements under subpart E, and
for first-class pilot endorsements under subpart G to demonstrate that
an applicant has the appropriate experience for the endorsement being
sought.
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\3\ 46 FR 53624 (ANPRM) and 48 FR 35920 (NPRM).
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When evaluating whether there is a need for recent sea service for
the renewal of an MMC with a national officer endorsement,
consideration should be given to the professional requirements an
applicant must meet for the renewal of any MMC that are provided under
46 CFR 10.227(e). Under this section, applicants must meet one of the
following professional requirements for renewal of an MMC:
(1) Present evidence of 1 year of sea service within the previous 5
years;
(2) Pass a comprehensive open book exercise;
(3) Complete an approved refresher training course;
(4) Provide evidence of closely related service for at least 3
years in the previous 5 years; or
(5) Provide evidence of employment as a qualified instructor having
taught two classes in the last 5 years in course work that is relevant
to the credential sought.
The comments we receive in response to the questions above may form
the basis for a separate rulemaking in the future.
VII. Regulatory Analyses
We developed this NPRM after considering numerous statutes and
Executive orders related to rulemaking. A summary of our analyses based
on these statutes or Executive orders follows.
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, reducing costs, harmonizing rules, and of promoting
flexibility. Executive Order 13771 (Reducing Regulation and Controlling
Regulatory Costs) directs agencies to reduce regulation and control
regulatory costs and provides that ``for every one new regulation
issued, at least two prior regulations be identified for elimination,
and that the cost of planned regulations be prudently managed and
controlled through a budgeting process.''
The Office of Management and Budget (OMB) has not designated this
rule a significant regulatory action under section 3(f) of Executive
Order 12866. Accordingly, OMB has not reviewed it. Because this
proposed rule is not a significant regulatory action, this rule is
exempt from the requirements of Executive Order 13771. See the OMB
Memorandum titled ``Guidance Implementing Executive Order 13771, Titled
`Reducing Regulation and Controlling Regulatory Costs''' (April 5,
2017).
A combined preliminary regulatory analysis and threshold regulatory
flexibility analysis follows and provides an evaluation of the economic
impacts associated with this NPRM.
This NPRM would revise existing regulations related to the
requirement for recent sea service to qualify for an MMC with a
national officer endorsement. Specifically, this NPRM proposes to amend
46 CFR 11.201(c)(2) by establishing a 7-year period within which the
attainment of 3 months of qualifying sea service aboard vessels of the
uniformed services would satisfy the requirement for recent sea
service. This proposed change would apply to original and raise of
grade national officer endorsement applicants who have served on
vessels of the uniformed services.\4\ Under 10 U.S.C. 101(a)(5),
``uniformed services'' means the armed forces, the commissioned corps
of the National Oceanic and Atmospheric Administration (NOAA), and the
commissioned corps of the Public Health Service (PHS). To estimate the
impacts that the proposed increase in timeframe for which the
attainment of 3 months of qualifying sea service can be used to satisfy
the requirement for recent sea service, we examined data on officer
endorsement applications provided by the National Maritime Center
(NMC).
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\4\ As stated in 46 CFR 10.225, ``original'' is the first
credential issued to an applicant; the first credential issued to
applicants after their previous credential has expired beyond the
grace period and they do not hold a Document of Continuity under 46
CFR 10.227(g) or an equivalent unexpired continuity endorsement on
their license or MMD; or the first credential issued to applicants
after their previous credential was revoked pursuant to 46 CFR
10.235. As stated in 46 CFR part 10.107, ``raise of grade'' means an
increase in the level of authority and responsibility associated
with an officer or rating endorsement, such as from mate to master
or second assistant engineer to first assistant engineer.
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This proposed rule intends to increase the number of qualified
applicants for a national officer endorsement, which would subsequently
increase the pool of credentialed mariners supporting U.S. commerce and
the growth of the marine transportation system. However, after
examining the existing data it was not possible to estimate the extent
of any increases. Information provided by the NMC from the Merchant
Mariner Licensing Documentation (MMLD) system was used to estimate the
number of mariners that may be affected by this proposed rule. The data
available from 2016 to 2018 indicates that applicants for an original
endorsement or raise of grade to an existing endorsement may be able to
utilize previous sea service on vessels of the uniformed services to
meet the professional requirements for a national officer endorsement.
Meeting the requirements for an original officer endorsement may allow
a mariner to be employed at a higher initial wage rate. We present an
analysis of the potential positive distributional impacts (qualitative)
on mariners in the benefits section.
This NPRM proposes to increase the period from 3 years to 7 years,
within which qualifying sea service aboard vessels of the uniformed
services can be used to satisfy the requirement for recent sea service
to qualify for an MMC with a national officer endorsement. The Coast
Guard cannot conclusively estimate the impact of increasing the period
from 3 years to 7 years on the number of total qualified merchant
mariners. Although the annual average number of original and raise of
grade national officer endorsements is decreasing, the number of
individuals
[[Page 48845]]
using prior service on vessels of the uniformed services is increasing,
based on data from between 2016 and 2018. We are also unable to
determine the source of the increase in national officer endorsements
issued with sea service on vessels of the uniformed services;
therefore, we did not estimate costs (see table 1).
Table 1--Summary of the Impacts of the NPRM
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Category Summary
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Applicability..................... Amend requirement in 46 CFR
11.201(c)(2) to 3 months of
qualifying sea service within 7
years of application for a national
officer endorsement for individuals
who have service on vessels of the
uniformed services.
Potentially Affected Population... Based on a historical estimate of
the proportion of individuals who
used prior service on vessels of
the uniformed services to the
number of original and raise of
grade national officer endorsements
issued between 2016 and 2018, we
estimate that about 516 prospective
mariners may apply annually for an
MMC with a national officer
endorsement utilizing service on
vessels of the uniformed services.
However, the data did not allow us
to conclusively estimate the
increase in mariners due to annual
fluctuations in the applications as
a result of factors external to
this rule.
Costs............................. No costs estimated because this
proposed rule would only provide
increasing flexibility for
qualified merchant mariners. Unit
costs for individuals would be the
evaluation, examination, and
issuance fees for an MMC that range
from $45-$110 for a total unit cost
of $255 for each individual, and
the labor time it takes to fill out
the forms at the respective loaded
mean hourly wage rates and
submission to the NMC, which range
from 5 to 18 minutes. The loaded
mean hourly wage rates for
individuals range from $26.99 to
$57.95.
Unquantified Benefits............. Potential for an increased
pool of qualified mariners
supporting U.S. commerce and the
growth of the marine transportation
system.
Potential for an increase
in the number of job opportunities
for individuals who have served on
vessels of the uniformed services.
Potential for an increase
in the starting wage rate for
Mariners who would now qualify for
a national officer endorsement.
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Note: Please see the benefit section of this analysis for the wage rates
in this table.
Affected Population
46 U.S.C. 7101(j)(1) applies to applicants that have three months
of qualifying service on vessels of the uniformed services within the
seven years immediately preceding the date of application. The pool of
applicants consists of, and this NPRM would affect, current and former
members of the U.S. armed forces,\5\ the commissioned corps of NOAA and
PHS, and civilians who attained qualifying sea service aboard vessels
of the uniformed services within 7 years preceding the date of
application for a national officer endorsement. There are approximately
1.33 million military personnel serving in the U.S. armed forces,
681,000 personnel serving in the Reserve \6\ and approximately 727,000
civilians employed by the armed and uniformed services.7 8 9
To estimate the number of people potentially affected by this NPRM, we
examined data provided by the NMC. The NMC evaluates MMC applications
and issues credentials to qualified mariners. As noted in section IV,
on December 18, 2014, Congress amended 46 U.S.C. 7101 to authorize the
Coast Guard to extend the period by which a mariner can obtain 3 months
of qualifying sea service aboard vessels of the uniformed services from
3 years to 7 years to satisfy the requirement for recent sea service.
Following that, in October 2015, CG-CVC Policy Letter 15-03 was
published to implement 46 U.S.C. 7101(j)(1) on an interim basis until
the Coast Guard could complete a rulemaking. This analysis utilized
Coast Guard data from the MMLD database on all original and raise of
grade national officer endorsements issued beginning in 2010, and
original and raise of grade national officer endorsements issued
utilizing prior sea service on vessels of the uniformed services
beginning in 2016. In 2016, the NMC began identifying applications
utilizing prior service aboard vessels of the uniformed services to
meet the requirement for recent sea service under 46 CFR 11.201(c)(2).
The data spans from January 2016 through December 2018 to include 36
months (unless otherwise noted). Therefore, given the data
availability, we use the statistical baseline of 2016 for this
analysis. The observations are as follows:
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\5\ Under 10 U.S.C. 101(a)(4), the U.S. armed forces includes
the Air Force, Army, Coast Guard, Navy, and Marines Corps.
\6\ The Reserve consists of the Army National Guard, the Army
Reserve, the Navy Reserve, the Marine Corps Reserve, the Air
National Guard, the Coast Guard Reserve, and the Air Force Reserve.
\7\ Armed forces civilian personnel data from https://www.census.gov/library/publications/2011/compendia/statab/131ed/national-security-veterans-affairs.html, accessed March 26, 2019.
Armed forces and Reserves population data from https://www.cna.org/pop-rep/2016/summary/summary.pdf, accessed March 26,
2019.
U.S. PHS public data, accessed 20 August 2018, https://usphs.gov/aboutus/leadership.aspx.
NOAA public data, accessed July 14, 2018, https://www.fedscope.opm.gov/ibmcognos/cgi-bin/cognosisapi.dll. To access,
use the following path: FSe--Employment Generic, Employment--March
2018 Generic, Agency--All Agencies, CM54--National Oceanic and
Atmospheric Administration. This link is only accessible by a
government computer.
\8\ As stated in CG-CVC Policy Letter No. 15-03, section
(4)(a)(3), this would also apply to civilian mariners working aboard
vessels of the uniformed services. For example, the more-than-5,000
civil servant mariners who work aboard Military Sealift Command
vessels, the union contract mariners who sail aboard NOAA vessels,
and the Navy-owned prepositioning vessels.
\9\ There are approximately 709,265 DoD civilian personnel,
6,500 PHS personnel, and 11,268 NOAA personnel. 709,265 + 6,500 +
11,268 = 727,033, which is rounded to 727,000.
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(1) The annual average number of original and raise of grade
national officer endorsements issued is 7,203 (as observed from 2010-
2018). In Figure 1, we show the results of our observation of
historical data indicating that the number of annual officer
endorsements issued from 2010-2018 is on a downward trend.
(2) In 2016, there were 7,165 original and raise of grade national
officer endorsements issued,\10\ of which 356 used prior service on
vessels of the uniformed services to meet the requirements for the
endorsement.\11\ This is equivalent to approximately five percent (356
/ 7,165). In 2017, there were 6,330 original and raise of grade
national officer endorsements issued, of which 495 used prior service
on vessels
[[Page 48846]]
of the uniformed services to meet the requirements for the endorsement.
This is equivalent to approximately 7.8 percent (495 / 6,330). In 2018,
there were 5,748 original and raise of grade national officer
endorsements issued, of which 501 used prior service on vessels of the
uniformed services to meet the requirements for the endorsement. This
is equivalent to approximately 8.7 percent (501 / 5,748).
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\10\ Both original and raise of grade.
\11\ Qualification meaning prior service on vessels of the
uniformed services to meet the requirement for recent sea service to
qualify for a national officer endorsement.
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(3) The average percentage of original and raise of grade national
officer endorsements issued using prior sea service aboard vessels of
the uniformed services is about 7.2 percent ([0.05 + 0.078 + 0.087] / 3
= 0.072 or 7.2 percent).
(4) Using the figure derived in (1) and the figure derived in (3),
the Coast Guard found the average number of (estimated) national
officer endorsements using prior sea service aboard vessels of the
uniformed services to be 516 per year (7,203 average annual number of
national officer endorsements issued x 0.072 percentage of national
officer endorsements issued using prior sea service on vessels of the
uniformed services).\12\
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\12\ Slight errors may be due to rounding.
[GRAPHIC] [TIFF OMITTED] TP17SE19.001
Costs Analysis
This NPRM would amend 46 CFR 11.201(c)(2) and establish a 7-year
period within which the attainment of 3 months of qualifying sea
service aboard vessels of the uniformed services could be used to
satisfy the requirement for recent sea service to qualify for a
national officer endorsement. Following the publication of CG-CVC
Policy Letter 15-03, the Coast Guard anticipated an increase in the
total number of MMCs issued with original or raise of grade national
officer endorsements. In 2016, the NMC began collecting data on the
number of applicants using prior sea service aboard vessels of the
uniformed service.\13\ As shown in table 2, the total number of
national officer endorsements issued, either original or raise of
grade, decreased approximately 20 percent from 2016 to 2018. However,
the number of national officer endorsements issued, either original or
raise of grade, that utilized sea service on vessels of the uniformed
services increased approximately 29 percent.
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\13\ The data is available for years 2016-2018, which leads to a
baseline year of 2016.
[[Page 48847]]
Table 2--National Officer Endorsements Issued (2016-2018)
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Year 2016 2017 2018
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National Officer Endorsements Issued--Original and Raise of Grade
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Applications.................................................... 7,165 6,330 5,748
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National Officer Endorsements Issued With Service on Vessels of the Uniformed Services--Original and Raise of
Grade
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Applications.................................................... 356 495 501
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As stated previously, this proposed rule expects to increase the
number of qualified applicants for a national officer endorsements that
would ultimately lead to an increase in the number of credentialed
mariners. However, even with the increase in the national officer
endorsements issued utilizing sea service on vessels of the uniformed
services, the decrease in national officer endorsements issued from
2010-2018 is significant enough to conclude that the population of
credentialed mariners is decreasing.
In addition, due to data limitations described above, we cannot
ascertain if the increase in national officer endorsements issued with
sea service on vessels of the uniformed services from 2016-2018 was due
to applicants utilizing sea service on vessels of the uniformed
services resulting from CG-CVC Policy Letter 15-03 or if it was just
part of the annual fluctuations in applications.
As a result, we cannot estimate the impact of CG-CVC Policy Letter
15-03 on the number of original or raise of grade national officer
endorsements issued, and we cannot conclusively estimate the impact of
this proposed rulemaking on the number of total qualified merchant
mariners. Without being able to estimate the increase in the number of
original or raise of grade national officer endorsements issued
utilizing prior service on vessels of the uniformed services as
directly related to CG-CVC Policy Letter 15-03, we cannot assign costs
to this proposed rule. The fees associated with an application for an
MMC are established in 46 CFR 10.219. The fees for an original or raise
of grade national officer endorsement include evaluation, examination,
and issuance fees ranging from $45-$110. We also estimate it takes a
mariner between 5 and 18 minutes (based on NMC's OMB-approved
Information Collection Request (ICR), with a control number of 1625-
0040) at a respective mariner's loaded hourly wage rate (see Table 1)
to fill out the MMC application for submission to the NMC. However,
because we would extend the period of time a mariner has to attain 3
months of qualifying sea service aboard vessels of the uniformed
services, which is current industry practice, there is no cost
associated with this proposed change.
Because we cannot estimate the impact on the number of national
officer endorsements issued related to CG-CVC Policy Letter 15-03, we
also cannot estimate the government costs associated with this
rulemaking. It normally takes a Coast Guard evaluator at the GS-8 level
with a loaded mean hourly wage of $49 approximately 45 minutes to
review the MMC application and associated documentation for a unit cost
of about $36.75.\14\ Government costs would result if there were an
increase in applications for MMCs or if the time to evaluate the
application changed from the estimated time in the ICR with a control
number of 1625-0040. This would be realized at the NMC where
applications for MMCs are evaluated and credentials are issued.
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\14\ Information provided by the National Maritime Center. The
mean hourly wage rate for a GS-8 employee is $49, ``Outside
Government Rate'', per Commandant Instruction 7310.1T, November
2018.
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Benefits
This NPRM would align the regulations in 46 CFR 11.201(c) with the
authority granted in 46 U.S.C. 7101(j)(1) with no negative economic
impact on the affected population. As mentioned earlier in this
document, the Coast Guard issued CG-CVC Policy Letter 15-03 to
implement 46 U.S.C. 7101(j)(1) on an interim basis until a rulemaking
could be completed. Without the regulatory change proposed by this
NPRM, our regulations would not reflect the most up-to-date sea service
standard specifically authorized under 46 U.S.C. 7101(j)(1).
Accordingly, this NPRM helps avoid confusion by ensuring the most up-
to-date applicable standard is incorporated in the regulation.
The Coast Guard has identified several qualitative benefits for
this proposed rule. The proposed regulation would improve the pathways
to qualify for an MMC with a national officer endorsement and increase
the number of job opportunities for individuals with experience aboard
vessels of the uniformed services. This also provides the ability for a
larger pool of mariners to enter the workforce at a higher pay rate
than they would have realized prior to CG-CVC Policy Letter 15-03.
Although there is also a potential for an increase in the pool of
applicants, at this time, the data does not allow us to estimate this
impact. While there was a 29 percent increase in the number of original
and raise of grade national officer endorsements issued utilizing prior
sea service on vessels of the uniformed services, there was a
corresponding 20 percent decrease in the number of original and raise
of grade national officer endorsements issued that did not utilize
prior sea service from 2016-2018. The 20 percent decrease is a more
significant indication of the annual credentialing trend as compared to
the 29 percent increase to the population that did use prior sea
service as part of their application. At this time, the data is not
robust enough to allow us to estimate the impact of CG-CVC Policy
Letter 15-03 on the number of original and raise of grade national
officer endorsements issued. The Coast Guard requests data, input, and
comments from the general public and interested stakeholders regarding
the potential of an increase in applicants due to this proposed rule.
Providing a method for individuals to use recent sea service on
vessels of the uniformed services to qualify for an MMC with a national
officer endorsement could result in the opportunity for them to be
initially employed at a higher pay rate, which leads to the possibility
of favorable wage impacts to the mariner. Below we describe the
potential increase in wages to the mariner resulting from having
previous service on vessels of the uniformed services.
To estimate the potential wage impacts to the mariner, we compared
the shipboard wage rates for an individual with an MMC with an officer
endorsement to that of an individual with an MMC with a rating
endorsement. The job categories for individuals with an officer
endorsement as defined by the Bureau of Labor
[[Page 48848]]
Statistics (BLS) are as follows: (1) Deck Officers, to include
captains, mates, and pilots for water vessels; and (2) Engine Officers,
to include ship engineers. The job categories for ratings are as
follows: (1) Deck including sailors, and (2) Engine including marine
oilers. If an applicant was unable to meet the existing 3-year
requirement for recent sea service to qualify for an MMC with a
national officer endorsement, they may seek employment as a rating to
obtain recent sea service.15 16 Ratings are employed at a
lower rage rate than officers. Tables 3 and 4 show the calculation for
the loaded wage factor and the loaded wage rate for each personnel
category. As described in table 4, individuals who do not hold an
officer endorsement are classified as a rating paid at a lower wage
than those that have an officer endorsement aboard a vessel. To meet
the requirement for 3 months of recent sea service for an MMC with a
national officer endorsement, an individual would have to spend that
time employed as a rating aboard a vessel.
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\15\ For officers: https://www.bls.gov/oes/2017/may/oes535021.htm and https://www.bls.gov/oes/2017/may/oes535031.htm;
for ratings: https://www.bls.gov/oes/2017/may/oes535011.htm. The
mean hourly wage figured is what is used in the calculation.
\16\ Currently, there are 45 types of officer endorsements and
12 types of rating endorsements available for an MMC. Because the
BLS does not have wage information on all of these endorsement
types, these categories were chosen as the best categories to
encompass the endorsement types.
Table 3--Loaded Wage Factor Calculation
----------------------------------------------------------------------------------------------------------------
Total Wage & Loaded wage
Personnel category Data source compensation salaries factor
----------------------------------------------------------------------------------------------------------------
All Workers Private Industry.. BLS Employer Costs for Employee $26.99 $18.13 1.489
Compensation, all workers
private industry, service
providing, production,
transportation and materials
moving.
----------------------------------------------------------------------------------------------------------------
Table 4--Loaded Wage Calculation
----------------------------------------------------------------------------------------------------------------
Mean hourly Loaded wage Loaded wage
Personnel category Data source wage factor ($2017)
----------------------------------------------------------------------------------------------------------------
Deck Officers................. Wage Rate: 2017 mean hourly wage $38.93 1.489 $57.95
for Captains, Mates, and Pilots
of Water Vessels.
Engine Officers............... Wage Rate: 2017 mean hourly wage 37.48 1.489 55.80
for Ship Engineers.
Deck and Engine Ratings....... Wage Rate: 2017 mean hourly wage 22.38 1.489 33.32
for Sailors and Marine Oilers.
----------------------------------------------------------------------------------------------------------------
* Numbers may not sum due to independent rounding.
We estimate the loaded \17\ hourly wage rate of Deck Officers to be
$57.95 and $55.80 for Engine Officers. This equates to an average
loaded mean hourly wage rate for officers of $56.88.\18\ We estimate
the loaded mean hourly wage rate of Deck and Engine ratings to be
$33.32.19 20
---------------------------------------------------------------------------
\17\ Employer Costs for Employee Compensation provides
information on the employer compensation and can be found at https://data.bls.gov/cgi-bin/dsrv?cm. To calculate the load factor, we used
the series ID CMU201S000500000D and CMU202S000500000D using the
multi-screen database and 2017 quarter 4. The loaded wage factor is
equal to the total compensation of $26.99 divided by the wages and
salary of $18.13 ($26.99 / $18.13) = 1.49. Values for the total
compensation, wages, and salary are for all private industry workers
in the transportation and material moving occupations, 2017 4th
quarter. We use 2017 data to keep estimated benefits in 2017
dollars.
\18\ To get the average loaded hourly labor rate for ratings,
the calculation is ($57.95 + $55.80) / 2 = $56.88.
\19\ All wage rates are in 2017 dollars.
\20\ Slight calculation adjustments may occur due to rounding.
---------------------------------------------------------------------------
To obtain the wage difference for the period a person would need to
work as a rating on board a vessel to obtain recent sea service to
qualify for a national officer endorsement, we must first calculate the
3-month wage for a rating, then calculate the 3-month wage for an
officer, and then calculate the difference. We estimated the working
hours in a 3-month, or 90-day period, to be 720 hours (90 working days,
including weekends, multiplied by 8-hour working days).\21\
---------------------------------------------------------------------------
\21\ Per the subject matter expert, the working hours would be 7
days a week, 8 hours per day.
---------------------------------------------------------------------------
Using the calculated loaded mean hourly wage rate for Deck and
Engine ratings, the Coast Guard calculated the total wages for a 3-
month time period to be $23,988.20 ($33.32 x 720). Using the calculated
average loaded mean hourly wage rate for officers, we calculated the
total wages for a 3-month time period to be $40,950.37 ($56.88 x
720).\22\ We can then calculate the loss in wages from being unable to
qualify for an MMC with a national officer endorsement for a 3-month
period. The difference in wages totals $16,962.17 ($40,950.37 -
$23,988.20) per mariner. See table 5 below.
---------------------------------------------------------------------------
\22\ Slight calculation adjustments may occur due to rounding.
Table 5--90-Day Wage Difference
----------------------------------------------------------------------------------------------------------------
Loaded mean 90 days in 90 days in
Personnel category hourly wage hours wages \23\
----------------------------------------------------------------------------------------------------------------
Deck and Engine Officers........................................ $56.88 720 $40,950.37
Deck and Engine Ratings......................................... 33.32 720 23,988.20
-----------------------------------------------
Individual Difference (Impact).............................. .............. .............. (16,962.17)
----------------------------------------------------------------------------------------------------------------
[[Page 48849]]
In summary, we were unable to estimate the impact of this rule on
the number of merchant mariners available for employment on commercial
vessels. By increasing the period to meet the requirement for recent
sea service to qualify for an MMC with a national officer endorsement,
an individual forgoes having to work at a lower pay rate to obtain the
prerequisite service for an officer endorsement. The result is a
potential increase in the entry wage rate for the applicant, which
could lead to an improved quality of life for the mariners who would
now qualify for an MMC with a national officer endorsement.
---------------------------------------------------------------------------
\23\ Figures may not add due to rounding.
---------------------------------------------------------------------------
Regulatory Alternative Considered
In developing this NPRM, the Coast Guard considered the following
alternative to the proposed rule: Continuing to allow the extended
period for recent sea service as provided in CG-CVC Policy Letter 15-
03. We rejected this alternative. In enacting Section 305 of the Howard
Coble Coast Guard and Maritime Transportation Act of 2014, Congress
expressly authorized the Secretary to extend the period for recent sea
service from 3 years to 7 years for individuals whose sea service was
aboard vessels of the uniformed services. Accordingly, the Coast Guard
is taking action, through rulemaking, to make the regulatory language
consistent with the legislative authority. Absent a regulatory change,
46 CFR 11.201 would not align with 46 U.S.C. 7101(j)(1).
There are no other feasible alternatives. Because the existing
regulatory language in 46 CFR 11.201(c)(2) requires qualifying sea
service to be attained within a 3-year period preceding the date of
application for all applicants, a regulatory change is needed to
implement 46 U.S.C. 7101(j)(1).
B. Small Entities
Under the Regulatory Flexibility Act, 5 U.S.C. 601-612, we have
considered whether this proposed rule would have a significant economic
impact on a substantial number of small entities. The term ``small
entities'' comprises small businesses, not-for-profit organizations
that are independently owned and operated and are not dominant in their
fields, and governmental jurisdictions with populations of less than
50,000. The Coast Guard has not identified any small entities that
would be directly regulated by the proposed rule. Therefore, the Coast
Guard certifies under 5 U.S.C. 605(b) that this proposed rule would not
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 proposed rule
would have a significant economic impact on it, please submit a comment
to the docket at the address listed in the ADDRESSES section of this
proposed rule. In your comment, explain why you think it qualifies and
how and to what degree this proposed rule would economically affect it.
C. Assistance for Small Entities
Under section 213(a) of the Small Business Regulatory Enforcement
Fairness Act of 1996, Public Law 104-121, we want to assist small
entities in understanding this proposed rule so that they can 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 contact the person in the
FOR FURTHER INFORMATION CONTACT section of this proposed rule. The
Coast Guard will not retaliate against small entities that question or
complain about this proposed rule or any policy or action of the Coast
Guard.
D. Collection of Information
This proposed rule would call for no new collection of information
tasks under the Paperwork Reduction Act of 1995, 44 U.S.C. 3501-3520.
Because the data indicates that this proposed rule would not result in
an increase in the number of applicants, it would not add respondents
for recording and recordkeeping to the existing collection (OMB Control
Number 1625-0040), ``Application for Merchant Mariner Credential (MMC),
Application for Merchant Mariner Medical Certificate, Application for
Merchant Mariner Medical Certificate for Entry Level Ratings, Small
Vessel Sea Service Form, DOT/USCG Periodic Drug Testing Form,
Disclosure Statement for Narcotics, DWI/DUI, and/or Other Convictions,
Merchant Mariner Medical Certificate, Recognition of Foreign
Certificate.''
E. Federalism
A rule has implications for federalism under Executive Order 13132
(Federalism) if it has a substantial direct effect on 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 proposed rule under Executive Order
13132 and have determined that it is consistent with the fundamental
federalism principles and preemption requirements as described in
Executive Order 13132. Our analysis follows.
It is well settled that States may not regulate in categories
reserved for regulation by the Coast Guard. It is also well settled
that all of the categories covered in 46 U.S.C. 3306, 3703, 7101, and
8101 (design, construction, alteration, repair, maintenance, operation,
equipping, personnel qualification, and manning of vessels), as well as
the reporting of casualties and any other category in which Congress
intended the Coast Guard to be the sole source of a vessel's
obligations, are within the field foreclosed from regulation by the
States. See the Supreme Court's decision in United States v. Locke and
Intertanko v. Locke, 529 U.S. 89, 120 S.Ct. 1135 (2000). Because this
proposed rule involves the credentialing of mariners under 46 U.S.C.
7101, it relates to personnel qualifications and is therefore
foreclosed from regulation by the States. Therefore, because the States
may not regulate within this category, this proposed rule is consistent
with the fundamental federalism principles 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 a
vessel's obligations, 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 would have
implications for federalism under Executive Order 13132, please contact
the person listed in the FOR FURTHER INFORMATION CONTACT section of
this NPRM.
F. Unfunded Mandates
The Unfunded Mandates Reform Act of 1995, 2 U.S.C. 1531-1538,
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 million (adjusted for
inflation) or more in any one year. Although this proposed rule would
not result in such an expenditure, the Coast Guard does
[[Page 48850]]
discuss the effects of this proposed rule elsewhere in this preamble.
G. Taking of Private Property
This proposed rule would not cause a taking of private property or
otherwise have taking implications under Executive Order 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 Executive Order 12988, (Civil Justice Reform), to minimize
litigation, eliminate ambiguity, and reduce burden.
I. Protection of Children
The Coast Guard has analyzed this proposed rule under Executive
Order 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
Executive Order 13175 (Consultation and Coordination with Indian Tribal
Governments), because it would not have a substantial direct effect on
one or more Indian tribes, or 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 Executive Order 13211
(Actions Concerning Regulations That Significantly Affect Energy
Supply, Distribution, or Use). We have determined that it is not a
``significant energy action'' under that order because it is not a
``significant regulatory action'' under Executive Order 12866 and is
not likely to have a significant adverse effect on the supply,
distribution, or use of energy.
L. Technical Standards
The National Technology Transfer and Advancement Act, codified as a
note to 15 U.S.C. 272, 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.
This proposed rule does not use technical standards. Therefore, the
Coast Guard did not consider the use of voluntary consensus standards.
M. Environment
We have analyzed this proposed rule under Department of Homeland
Security Management Directive 023-01 and Environmental Planning
COMDTINST 5090.1 (series), which guide the Coast Guard in complying
with the National Environmental Policy Act of 1969 (42 U.S.C. 4321-
4370f). We 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. This proposed rule
appears to meet the criteria for categorical exclusion (CATEX) under
paragraphs A3(d) and L54 in Appendix A, Table 1 of DHS Directive 023-01
(series). CATEX A3 pertains to the promulgation of rules and procedures
that are: (d) ``those that interpret or amend an existing regulation
without changing its environmental effect'' and CATEX A3 also pertains
to regulations concerning the training, qualifying, licensing, and
disciplining of maritime personnel. This rule proposes to revise
mariner credentialing requirements to implement 46 U.S.C. 7101(j)(1)
without substantive change. A preliminary Record of Environmental
Consideration supporting this determination is available in the docket
where indicated under the ADDRESSES section of this preamble. We seek
any comments or information that may lead to the discovery of a
significant environmental impact from this proposed rule.
List of Subjects in 46 CFR Part 11
Penalties, Reporting and recordkeeping requirements, Schools,
Seamen.
For the reasons discussed in the preamble, the Coast Guard proposes
to amend 46 CFR part 11 as follows:
PART 11--REQUIREMENTS FOR OFFICER ENDORSEMENTS
0
1. The authority citation for part 11 continues to read as follows:
Authority: 14 U.S.C. 633; 31 U.S.C. 9701; 46 U.S.C. 2101, 2103,
and 2110; 46 U.S.C. chapter 71; 46 U.S.C. 7502, 7505, 7701, 8906,
and 70105; Executive Order 10173; Department of Homeland Security
Delegation No. 0170.1. Section 11.107 is also issued under the
authority of 44 U.S.C. 3507.
0
2. Amend Sec. 11.201 as follows:
0
a. Redesignate paragraph (c)(1) as paragraph (c) introductory text and
revise the newly redesignated paragraph (c) introductory text;
0
b. Redesignate paragraphs (c)(2) through (c)(6) as (c)(1) to (c)(5);
and
0
c. Revise newly redesignated (c)(1).
The revisions to read as follows.
Sec. 11.201 General requirements for national and STCW officer
endorsements.
* * * * *
(c) Experience and service. Applicants for officer endorsements
should refer to Sec. 10.232 of this subchapter for information
regarding requirements for documentation and proof of sea service.
(1) An applicant for a national officer endorsement must meet one
of the following:
(i) Have at least 3 months of required service on vessels of
appropriate tonnage or horsepower within the 3 years immediately
preceding the date of application; or
(ii) Have at least 3 months of required service on vessels of the
uniformed services as defined in 10 U.S.C. 101(a)(5) of appropriate
tonnage or horsepower within the 7 years immediately preceding the date
of application; or
(iii) Have at least 3 months of required service attained through a
combination of service established under paragraphs (c)(1)(i) or (ii)
of this section.
* * * * *
Dated: September 6, 2019.
R.V. Timme,
Rear Admiral, U.S. Coast Guard, Assistant Commandant for Prevention
Policy.
[FR Doc. 2019-19754 Filed 9-16-19; 8:45 am]
BILLING CODE 9110-04-P