§53403 — Title 46 Shipping | U.S. Code

Summary

The Secretary of Transportation must make the vessel’s program participant sign an operating agreement before the vessel can join the Fleet. The Secretary will only take applications for an operating agreement for eligible product tank vessels from people who are allowed under this chapter to make those agreements. When choosing among qualified applicants, the Secretary gives first priority to the vessel’s capabilities as set by the Secretary of Defense, then to vessel type and the owner’s operating record, and then to any other priorities the Secretary of Transportation sets. The Secretary of Transportation cannot approve an application unless the Secretary of Defense agrees. The number of operating agreements that require payments under section 53406 is limited to 10 vessels for each of fiscal years 2022 and 2023, and 20 vessels in any later year. Courts cannot review the Secretary’s decisions about awarding or not awarding these operating agreements.

Title 46, §53403

Shipping — Source: USLM XML via OLRC

(a)The Secretary of Transportation shall require, as a condition of including any vessel in the Fleet, that the program participant of the vessel enter into an operating agreement with the Secretary under this section.

(b)(1)The Secretary of Transportation shall accept an application for an operating agreement for an eligible product tank vessel under the priority under paragraph (2) only from a person that has authority to enter into an operating agreement under this chapter.

(2)The Secretary of Transportation may enter into a new operating agreement with an applicant that meets the requirements of section 53402(c) for a vessel that meets the qualifications of section 53402(b), and shall give priority to applications based on—

(A)vessel capabilities, as established by the Secretary of Defense; then

(B)after consideration of vessel type, according to an applicant’s record of owning and operating vessels; then

(C)after consideration of ownership and operation, according to such additional priorities as the Secretary of Transportation may consider appropriate.

(3)The Secretary of Transportation may not approve an application for an operating agreement without the concurrence of the Secretary of Defense.

(c)The Secretary of Transportation may not award operating agreements under this chapter that require payments under section 53406 of this title for more than—.11 So in original. The period probably should not appear.

(1)for each of fiscal years 2022 and 2023, 10 vessels; and

(2)for any subsequent fiscal year, 20 vessels.

(d)No court shall have jurisdiction to review the Secretary’s decision with respect to the award or non-award of an operating agreement issued under this chapter.

Editorial Notes

Amendments

2022—Subsec. (c). Pub. L. 117–263 substituted “The Secretary” for “For any fiscal year, the Secretary” and “more than—” for “more than 10 vessels”, designated existing provisions as introductory provisions, and added pars. (1) and (2).

§53403 Award of Operating Agreements

Summary

Title 46, §53403

Notes & Related Subsidiaries

Editorial Notes

Amendments

Citations & Metadata