PRIA Logo™
Title 46 — ShippingRelease 119-73not60

§53735 Fisheries Financing and Capacity Reduction

Title 46 › Subtitle Subtitle V— Merchant Marine › Part C— Financial Assistance Programs › Chapter 537— LOANS AND GUARANTEES › Subchapter III— PARTICULAR PROJECTS › § 53735

Last updated Apr 5, 2026|Official source

Summary

Allows the Secretary to guarantee repayment of loans or other debt for fishing capacity reduction programs. Program — a fishing capacity reduction program under section 312 of the Magnuson‑Stevens Act. The Secretary can approve entities to issue the debt if they accept conditions the Secretary sets. Guaranteed debt is treated like other federal guarantees, with some natural limits. Fishing fees from each program must go into a special subaccount of the Fishing Capacity Reduction Fund. At any time, unpaid guaranteed debt for a program cannot exceed $100,000,000. Debt can run up to 20 years, have terms the Secretary sets, and may be sold publicly or to the Federal Financing Bank. Repayment must come only from the program’s fishing fees, though other program funds in the Fund can also be used. Money in the Fund is available to the Secretary without yearly appropriation to pay program costs and debts, and unused funds are held in U.S. government securities. The Secretary must write rules to carry out these powers.

Full Legal Text

Title 46, §53735

Shipping — Source: USLM XML via OLRC

(a)In this section, the term “program” means a fishing capacity reduction program established under section 312 of the Magnuson-Stevens Fishery Conservation and Management Act (16 U.S.C. 1861a).
(b)The Secretary may guarantee the repayment of debt obligations issued by entities under this section. Debt obligations to be guaranteed may be issued by any entity that has been approved by the Secretary and has agreed with the Secretary to conditions the Secretary considers necessary for this section to achieve the objective of the program and to protect the interest of the United States.
(c)A debt obligation guaranteed under this section shall—
(1)be treated in the same manner and to the same extent as other obligations guaranteed under this chapter, except with respect to provisions of this chapter that by their nature cannot be applied to obligations guaranteed under this section;
(2)have the fishing fees established under the program paid into a separate subaccount of the fishing capacity reduction fund established under this section;
(3)not exceed $100,000,000 in an unpaid principal amount outstanding at any one time for a program;
(4)have such maturity (not to exceed 20 years), take such form, and contain such conditions as the Secretary determines necessary for the program to which they relate;
(5)have as the exclusive source of repayment (subject to the second sentence of subsection (d)(2)) and as the exclusive payment security, the fishing fees established under the program; and
(6)at the discretion of the Secretary be issued in the public market or sold to the Federal Financing Bank.
(d)(1)There is a separate account in the Treasury, known as the Fishing Capacity Reduction Fund. Within the Fund, at least one subaccount shall be established for each program into which shall be paid all fishing fees established under the program and other amounts authorized for the program.
(2)Amounts in the Fund shall be available, without appropriation or fiscal year limitation, to the Secretary to pay the cost of the program, including payments to financial institutions to pay debt obligations incurred by entities under this section. Funds available for this purpose from other amounts available for the program may also be used to pay those debt obligations.
(3)Amounts in the Fund that are not currently needed for the purpose of this section shall be kept on deposit or invested in obligations of the United States Government.
(e)The Secretary shall prescribe regulations the Secretary considers necessary to carry out this section.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 53735(a)46 App.:1279f(e).June 29, 1936, ch. 858, title XI, § 1111, as added Pub. L. 104–297, title III, § 303, Oct. 11, 1996, 110 Stat. 3616; Pub. L. 104–208, title I, § 101 [title II, § 211(b)], Sept. 30, 1996, 110 Stat. 3009–41. 53735(b)46 App.:1279f(a). 53735(c)46 App.:1279f(b). 53735(d)46 App.:1279f(c). 53735(e)46 App.:1279f(d).

Editorial Notes

Codification This section was derived from section 1111 of act June 29, 1936, as added by Pub. L. 104–297, § 303, which was classified to section 1279f of the former Appendix to this title. section 1111 was renumbered section 1113 of the Act by Pub. L. 109–163, div. C, title XXXV, § 3507(d), Jan. 6, 2006, 119 Stat. 3557, which was repealed by Pub. L. 110–181, div. C, title XXXV, § 3522(b), Jan. 28, 2008, 122 Stat. 598. See

Historical and Revision Notes

above and section 18(a) of Pub. L. 109–304, set out as a Legislative Purpose and

Construction

note preceding section 101 of this title.

Amendments

2008—Pub. L. 110–181 repealed Pub. L. 109–163, § 3507(a)(1)(H), (d). See 2006 Amendment note below and Codification note above. 2006—Pub. L. 109–163, § 3507(a)(1)(H), which directed the amendment of section 1279f of the former Appendix to this title from which this section was derived by substituting “Secretary or Administrator” for “Secretary” wherever appearing, was repealed by Pub. L. 110–181, § 3522(b). See

Historical and Revision Notes

above.

Reference

Citations & Metadata

Citation

46 U.S.C. § 53735

Title 46 — Shipping

Last Updated

Apr 5, 2026

Release point: 119-73not60