§12121 — Title 46 Shipping | U.S. Code

Summary

The Secretary can give a coastwise trade certificate with the right endorsement for a small passenger or uninspected passenger vessel that will carry no more than 12 paying passengers, even if other rules would normally stop it. To get that certificate the vessel must be an “eligible vessel”: built in the United States, or built outside the U.S. at least 3 years earlier, or rebuilt in the U.S. (or rebuilt abroad at least 3 years before the certificate would start). The terms "small passenger vessel," "uninspected passenger vessel," and "passenger for hire" are defined in section 2101. If the Secretary of Transportation, after public notice and comment, finds the vessel’s coastwise use will not hurt U.S. shipbuilders or businesses that use U.S.-built vessels, the certificate may be issued. If the certificate was gotten by fraud, the Secretary must cancel it after notice and a hearing. That cancellation rule does not replace criminal fraud laws or other cancellation powers the Secretary already has.

Title 46, §12121

Shipping — Source: USLM XML via OLRC

(a)In this section:

(1)The term “eligible vessel” means a vessel that—

(A)was built in the United States;

(B)was not built in the United States and is at least 3 years old; or

(C)if rebuilt, was rebuilt—

(i)in the United States; or

(ii)outside the United States at least 3 years before the certificate requested under subsection (b) would take effect.

(2)The terms “small passenger vessel”, “uninspected passenger vessel”, and “passenger for hire” have the meaning given those terms in section 2101 of this title.

(b)Notwithstanding section 12112, 12113, 12132, 55102, and 55103 of this title, the Secretary may issue a certificate of documentation with an appropriate endorsement for employment in the coastwise trade as a small passenger vessel or an uninspected passenger vessel in the case of an eligible vessel authorized to carry no more than 12 passengers for hire if the Secretary of Transportation, after notice and an opportunity for public comment, determines that the employment of the vessel in the coastwise trade will not adversely affect—

(1)United States vessel builders; or

(2)the coastwise trade business of any person that employs vessels built in the United States in that business.

(c)(1)The Secretary shall revoke a certificate or endorsement issued under subsection (b) if the Secretary of Transportation, after notice and an opportunity for a hearing, determines that the certificate or endorsement was obtained by fraud.

(2)Paragraph (1) does not affect—

(A)the criminal prohibition on fraud and false statements in section 1001 of title 18; or

(B)any other authority of the Secretary to revoke a certificate or endorsement issued under subsection (b).

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 1212146:12106 note.Pub. L. 105–383, title V, §§ 502–504, Nov. 13, 1998, 112 Stat. 3445; Pub. L. 107–295, title II, § 207(c)(2), Nov. 25, 2002, 116 Stat. 2097. The definition of “Secretary” is omitted for consistency in the chapter.

Editorial Notes

Amendments

2021—Subsec. (a)(1). Pub. L. 116–283, § 8312(1), added subpars. (A) to (C) and struck out former subpars. (A) and (B) which read as follows: “(A) was not built in the United States and is at least 3 years old; or “(B) if rebuilt, was rebuilt outside the United States at least 3 years before the certificate requested under subsection (b) would take effect.” Subsec. (b). Pub. L. 116–283, § 8312(2), inserted “12132,” after “12113,” in introductory provisions.

Prior Provisions

A prior section 12121, Pub. L. 98–89, Aug. 26, 1983, 97 Stat. 589, originally derived from section 65v(2) of former Title 46, Shipping, related to the authority of the Secretary to prescribe

Regulations

to carry out this chapter, prior to being repealed by Pub. L. 100–710, title I, §§ 106(b)(5), 107(a), Nov. 23, 1988, 102 Stat. 4752, effective Jan. 1, 1989. A prior section 12122, Pub. L. 98–89, Aug. 26, 1983, 97 Stat. 590; Pub. L. 99–307, § 1(16),

May 19, 1986, 100 Stat. 446; Pub. L. 104–324, title III, § 301(a), (b), Oct. 19, 1996, 110 Stat. 3916; Pub. L. 105–277, div. C, title II, § 203(f), Oct. 21, 1998, 112 Stat. 2681–620; Pub. L. 106–31, title III, § 3027(b),

May 21, 1999, 113 Stat. 101; Pub. L. 108–293, title IV, § 404(b), Aug. 9, 2004, 118 Stat. 1043, originally derived from section 65n and 65u(a) of former Title 46, Shipping, related to penalties, prior to the general amendment of this chapter by Pub. L. 109–304. See section 12151 of this title. A prior section 12123, added Pub. L. 102–587, title V, § 5213(a)(3), Nov. 4, 1992, 106 Stat. 5077, related to denial and revocation of endorsements, prior to the general amendment of this chapter by Pub. L. 109–304. See section 12152 of this title. Another prior section 12123, added Pub. L. 102–388, title III, § 348(a), Oct. 6, 1992, 106 Stat. 1554, related to the denial and revocation of trade or recreational endorsement upon failure of vessel’s owner to pay assessment of civil penalty for violation of law, prior to repeal by Pub. L. 104–324, title VII, § 746(a)(1), Oct. 19, 1996, 110 Stat. 3943. A prior section 12124, added Pub. L. 105–383, title IV, § 401(a)(2), Nov. 13, 1998, 112 Stat. 3424, related to surrender of title and number, prior to the general amendment of this chapter by Pub. L. 109–304. See section 12106 of this title.

Statutory Notes and Related Subsidiaries

Effect of Repeal Pub. L. 107–295, title II, § 207(c)(1), Nov. 25, 2002, 116 Stat. 2097, provided that: “section 505 of the Coast Guard Authorization Act of 1998 [Pub. L. 105–383] ([formerly] 46 U.S.C. 12106 note) is repealed. The repeal of section 505 shall have no effect on the validity of any certificate or endorsement issued under section 502 of that Act [now 46 U.S.C. 12121(b)].”

§12121 Small passenger vessels and uninspected passenger vessels