46 U.S.C. § 53701: Definitions

Summary

Defines key words used in the chapter. Actual cost: all money already paid by or for the borrower as of the date set in section 53715(d)(1), plus the Secretary’s or Administrator’s reasonable estimate of future costs to build, rebuild, or fix the vessel, including guarantee fees under section 53714. Administrator: the head of the Maritime Administration. Construction, reconstruction, and reconditioning: work such as design, inspection, outfitting, and equipping. Depreciated actual cost: the actual cost reduced each year on a straight‑line basis; if not rebuilt, depreciation uses the vessel’s useful life up to 25 years from delivery; if rebuilt, depreciation combines the original depreciation to the rebuild date and depreciation after rebuild, plus the rebuilt cost depreciated over a useful life set by the Secretary or Administrator. Fishery facility: land or non‑land structures, land area, equipment, or U.S.-built vessels used for fish processing or aquaculture, but the property must be owned by a U.S. citizen or an entity at least 75% owned by U.S. citizens under section 50501. Fishing vessel: as defined in section 3 of the Magnuson‑Stevens Act. Historical uses: examples include repairing or upgrading vessels without increasing catch capacity, buying used vessels, building or improving facilities, refinancing debt, reducing fishing capacity, and upgrades that improve data, reduce bycatch or gear impacts, improve gear selectivity, or safety. Mortgage: includes preferred mortgages under section 31301 and mortgages that will become preferred when filed under chapter 313. Obligation: a debt instrument for purposes in section 53706, except obligations issued under section 53723 or those eligible for investment under sections 53715(f) or 53717. Obligee: the holder of an obligation. Obligor: the party mainly responsible for paying an obligation. Ocean thermal energy conversion facility or plantship: an at‑sea facility or vessel that uses ocean temperature differences to make energy and includes on‑board processing equipment, cables or pipelines to shore, and related equipment seaward of the high water mark. Secretary: the Secretary of Commerce for fishing vessels and fishery facilities. Vessel: any kind of vessel, including the listed types (cargo, passenger, combination, tanker, tug/towboat, barge, dredge, a floating drydock meeting the 35,000 lifting tons and 125‑foot beam limits, oceanographic research, instruction, pollution control, qualifying fishing vessels, and qualifying ocean thermal facilities). Vessel of National Interest: a vessel the Administrator calls of national interest, using criteria set with the Defense Department, the appropriate Coast Guard department, or other federal agencies as described in section 53703(d).

Title 46, §53701

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In this chapter:

(1)Actual cost.—

The term “actual cost” means the sum of— (A)

(B)all amounts that the Secretary or Administrator reasonably estimates the obligor will become obligated to pay from time to time thereafter, for the construction, reconstruction, or reconditioning of the vessel, including guarantee fees that will become payable under section 53714 of this title in connection with all obligations issued for construction, reconstruction, or reconditioning of the vessel or equipment to be delivered, and all obligations issued for the delivered vessel or equipment.

(2)Administrator.— (3) Construction, reconstruction, and reconditioning.—

The term “Administrator” means the Administrator of the Maritime Administration.

(4)Depreciated actual cost.—

The term “depreciated actual cost” of a vessel means—

(A)if the vessel was not reconstructed or reconditioned, the actual cost of the vessel depreciated on a straight line basis over the useful life of the vessel as determined by the Secretary or Administrator, not to exceed 25 years from the date of delivery by the builder; or

(B)if the vessel was reconstructed or reconditioned, the sum of—

(i)the actual cost of the vessel depreciated on a straight line basis from the date of delivery by the builder to the date of the reconstruction or reconditioning, using the original useful life of the vessel, and from the date of the reconstruction or reconditioning, using a useful life of the vessel determined by the Secretary or Administrator; and

(ii)any amount paid or obligated to be paid for the reconstruction or reconditioning, depreciated on a straight line basis using a useful life of the vessel determined by the Secretary or Administrator.

(5)Fishery facility.—

(A)In general.—

Subject to subparagraph (B), the term “fishery facility” means—

(i)for operations on land—

(I)a structure or appurtenance thereto designed for the unloading and receiving from vessels, the processing, the holding pending processing, the distribution after processing, or the holding pending distribution, of fish from a fishery;

(II)the land necessary for the structure or appurtenance; and

(III)equipment that is for use with the structure or appurtenance and that is necessary for performing a function referred to in subclause (I);

(ii)for operations not on land, a vessel built in the United States and used for, equipped to be used for, or of a type normally used for, the processing of fish; or

(iii)for aquaculture, including operations on land or elsewhere—

(I)a structure or appurtenance thereto designed for aquaculture;

(II)the land necessary for the structure or appurtenance;

(III)equipment that is for use with the structure or appurtenance and that is necessary for performing a function referred to in subclause (I); and

(IV)a vessel built in the United States and used for, equipped to be used for, or of a type normally used for, aquaculture.

(B)Required ownership.—

Under subparagraph (A), the structure, appurtenance, land, equipment, or vessel must be owned by—

(i)an individual who is a citizen of the United States; or

(ii)an entity that is a citizen of the United States under section 50501 of this title and that is at least 75 percent owned (as determined under that section) by citizens of the United States.

(6)Fishing vessel.—

The term “fishing vessel” has the meaning given that term in section 3 of the Magnuson-Stevens Fishery Conservation and Management Act (16 U.S.C. 1802), and any reference in this chapter to a vessel designed principally for commercial use in the fishing trade or industry is deemed to be a reference to a fishing vessel.

(7)Historical uses.—

The term “historical uses” includes—

(A)refurbishing, repairing, rebuilding, or replacing equipment on a fishing vessel, without materially increasing harvesting capacity;

(B)purchasing a used fishing vessel;

(C)purchasing, constructing, expanding, or reconditioning a fishery facility;

(D)refinancing existing debt;

(E)reducing fishing capacity; and

(F)making upgrades to a fishing vessel, including upgrades in technology, gear, or equipment, that improve—

(i)collection and reporting of fishery-dependent data;

(ii)bycatch reduction or avoidance;

(iii)gear selectivity;

(iv)adverse impacts caused by fishing gear; or

(v)safety.

(8)Mortgage.—

The term “mortgage” includes—

(A)a preferred mortgage as defined in section 31301 of this title; and

(B)a mortgage on a vessel that will become a preferred mortgage when filed or recorded under chapter 313 of this title.

(9)Obligation.—

The term “obligation” means an instrument of indebtedness issued for a purpose described in section 53706 of this title, except—

(A)an obligation issued by the Secretary or Administrator under section 53723 of this title; and

(B)an obligation eligible for investment of funds under section 53715(f) or 53717 of this title.

(10)Obligee.—

The term “obligee” means the holder of an obligation.

(11)Obligor.— (12) Ocean thermal energy conversion facility or plantship.—

The term “obligor” means a party primarily liable for payment of the principal of or interest on an obligation.

(13)Secretary.—

The term “Secretary” means the Secretary of Commerce with respect to fishing vessels and fishery facilities.

(14)Vessel.—

The term “vessel” means any type of vessel, whether in existence or under construction, including—

(A)a cargo vessel;

(B)a passenger vessel;

(C)a combination cargo and passenger vessel;

(D)a tanker;

(E)a tug or towboat;

(F)a barge;

(G)a dredge;

(H)a floating drydock with a capacity of at least 35,000 lifting tons and a beam of at least 125 feet between the wing walls;

(I)an oceanographic research vessel;

(J)an instruction vessel;

(K)a pollution treatment, abatement, or control vessel;

(L)a fishing vessel whose ownership meets the citizenship requirements under section 50501 of this title for documenting vessels to operate in the coastwise trade; and

(M)an ocean thermal energy conversion facility or plantship that is or will be documented under the laws of the United States.

(15)Vessel of national interest.—

The term “Vessel of National Interest” means a vessel deemed to be of national interest that meets characteristics determined by the Administrator, in consultation with the Secretary of Defense, the Secretary of the Department in which the Coast Guard is operating when it is not operating as a service in the Department of the Navy, or the heads of other Federal agencies, as described in section 53703(d).

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 53701(1)46 App.:1271(f).June 29, 1936, ch. 858, title XI, § 1101, as added June 23, 1938, ch. 600, § 46, 52 Stat. 969; Sept. 3, 1954, ch. 1265, § 1, 68 Stat. 1267; Aug. 7, 1956, ch. 1026, § 1(a), (b), 70 Stat. 1087; Pub. L. 86–127, § 1(1), July 31, 1959, 73 Stat. 272; Pub. L. 86–685, § 1, Sept. 2, 1960, 74 Stat. 733; Pub. L. 87–303, § 2, Sept. 26, 1961, 75 Stat. 661; Pub. L. 91–469, § 29, Oct. 21, 1970, 84 Stat. 1035; Pub. L. 92–507, § 1, Oct. 19, 1972, 86 Stat. 909; Pub. L. 96–320, title II, § 202(a), Aug. 3, 1980, 94 Stat. 992; Pub. L. 96–561, title II, § 220(1), Dec. 22, 1980, 94 Stat. 3291; Pub. L. 97–31, § 12(135), Aug. 6, 1981, 95 Stat. 165; Pub. L. 100–710, title I, § 104(d), Nov. 23, 1988, 102 Stat. 4750; Pub. L. 102–567, title III, § 304, Oct. 29, 1992, 106 Stat. 4283; Pub. L. 103–160, title XIII, § 1356(1), 1357(b), Nov. 30, 1993, 107 Stat. 1812, 1815; Pub. L. 104–208, title I, § 101 [title II, § 211(b)], Sept. 30, 1996, 110 Stat. 3009–41; Pub. L. 104–239, § 11(1), Oct. 8, 1996, 110 Stat. 3134; Pub. L. 108–136, title XXXV, § 3521(b), Nov. 24, 2003, 117 Stat. 1799. 53701(2)46 App.:1271(h). 53701(3)46 App.:1271(g). 53701(4)46 App.:1271(o). 53701(5)46 App.:1271(j), (k), (m). 53701(6)46 App.:1271(l). 53701(7)46 App.:1271(a). 53701(8)46 App.:1271(c). 53701(9)46 App.:1271(e). 53701(10)46 App.:1271(d). 53701(11)46 App.:1271(i). 53701(12)46 App.:1271(n). 53701(13)46 App.:1271(b). In paragraph (2), the words “but shall not be limited to” are omitted as unnecessary. In paragraph (4)(B), the words “become or remain” are substituted for “be placed under or continued to be” for clarity. In paragraph (5)(B)(i), the words “individual who is a citizen of the United States” are substituted for “individual who is a citizen or national of the United States or a citizen of the Northern Mariana Islands” in 46 App. U.S.C. 1271(k) because of the definition of “citizen of the United States” in chapter 1 of the revised title. Citizens of the Northern Mariana Islands became citizens or non-citizen nationals of the United States (either of which is a “citizen of the United States” as defined in chapter 1 of the revised title) when the Covenant establishing the Commonwealth of the Northern Mariana Islands became effective on November 4, 1986. In paragraph (5)(B)(ii), the words “corporation, partnership, association, or other” are omitted as suplus [sic]. The words “the term ‘State’ as used therein includes any State, the District of Columbia, the Commonwealth of Puerto Rico, American Samoa, the Virgin Islands of the United States, Guam, the Northern Mariana Islands, or any other Commonwealth, territory, or possession of the United States” in 46 App. U.S.C. 1271(k) are omitted as unnecessary because of the definitions of “State” and “United States” in chapter 1 of the revised title. The definition of “United States” in 46 App. U.S.C. 1271(m) is omitted as unnecessary because of the definition of “United States” in chapter 1. The words “and nationals of the United States or citizens of the Northern Mariana Islands shall be treated as citizens of the United States in meeting such ownership requirement” are omitted as unnecessary because of the definition of “citizen of the United States” in chapter 1 of the revised title. In paragraph (8), before subparagraph (A), the words “instrument of indebtedness” are substituted for “note, bond, debenture, or other evidence of indebtedness” to eliminate unnecessary words. In subparagraph (B), the reference to section 53717 is substituted for the reference to 46 App. U.S.C. 1272 because the accounts under section 53717 replace the Federal Ship Financing Fund. See the explanation for section 53717.

Editorial Notes

Amendments

2019—Pars. (5) to (15). Pub. L. 116–92 redesignated pars. (6) to (15) as (5) to (14), respectively, added a new par. (15), and struck out former par. (5) which defined “eligible export vessel”. 2016—Pars. (8) to (15). Pub. L. 114–120 added par. (8) and redesignated former pars. (8) to (14) as (9) to (15), respectively. 2008—Pub. L. 110–181, § 3522(b), repealed Pub. L. 109–163, § 3507(a)(1)(A), (b)(1). See 2006 Amendment note below. Pub. L. 110–181, § 3522(a)(10)(B), incorporated the substance of the amendment by Pub. L. 109–163, § 3507(a)(1)(A), into this section by inserting “or Administrator” after “Secretary” wherever appearing in pars. (1)(B), (4), and (9)(A). See 2006 Amendment note below and section 18(a) of Pub. L. 109–304, set out as a Legislative Purpose and

Construction

note preceding section 101 of this title. Pub. L. 110–181, § 3522(a)(1), incorporated the substance of the amendment by Pub. L. 109–163, § 3507(b)(1), into this section by adding pars. (2) and (13), redesignating former pars. (2) to (13) as (3) to (14), respectively, and striking out former par. (13), which defined “Secretary”. See 2006 Amendment note below and section 18(a) of Pub. L. 109–304, set out as a Legislative Purpose and

Construction

note preceding section 101 of this title. 2006—Pub. L. 109–163, § 3507(a)(1)(A), (b)(1), which directed the amendment of section 1271 of the former Appendix to this title from which this section was derived, was repealed by Pub. L. 110–181, § 3522(b). See 2008 Amendment notes and

Historical and Revision Notes

above.

§53701 Definitions

Summary

Title 46, §53701

Notes & Related Subsidiaries

Historical and Revision Notes

Editorial Notes

Amendments

Construction

Construction

Historical and Revision Notes

Citations & Metadata