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108th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     108-617

======================================================================
 
          COAST GUARD AND MARITIME TRANSPORTATION ACT OF 2004

                                _______
                                

                 July 20, 2004.--Ordered to be printed

                                _______
                                

 Mr. Young of Alaska, from the committee of conference, submitted the 
                               following

                           CONFERENCE REPORT

                        [To accompany H.R. 2443]

    The committee of conference on the disagreeing votes of the 
two Houses on the amendments of the Senate to the bill (H.R. 
2443), to authorize appropriations for the Coast Guard for 
fiscal year 2004, to amend various laws administered by the 
Coast Guard, and for other purposes, having met, after full and 
free conference, have agreed to recommend and do recommend to 
their respective Houses as follows:
    That the House recede from its disagreement to the 
amendment of the Senate to the text of the bill and agree to 
the same with an amendment as follows:
    In lieu of the matter proposed to be inserted by the Senate 
amendment, insert the following:

SECTION 1. SHORT TITLE.

    This Act may be referred to as the ``Coast Guard and 
Maritime Transportation Act of 2004''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.

                         TITLE I--AUTHORIZATION

Sec. 101. Authorization of appropriations.
Sec. 102. Authorized levels of military strength and training.

                    TITLE II--COAST GUARD MANAGEMENT

Sec. 201. Long-term leases.
Sec. 202. Nonappropriated fund instrumentalities.
Sec. 203. Term of enlistments.
Sec. 204. Enlisted member critical skill training bonus.
Sec. 205. Indemnity for disabling vessels liable to seizure or 
          examination.
Sec. 206. Administrative, collection, and enforcement costs for certain 
          fees and charges.
Sec. 207. Expansion of Coast Guard housing authorities.
Sec. 208. Requirement for constructive credit.
Sec. 209. Maximum ages for retention in an active status.
Sec. 210. Travel card management.
Sec. 211. Coast Guard fellows and detailees.
Sec. 212. Long-term lease of special use real property.
Sec. 213. National Coast Guard Museum.
Sec. 214. Limitation on number of commissioned officers.
Sec. 215. Redistricting notification requirement.
Sec. 216. Report on shock mitigation standards.
Sec. 217. Recommendations to Congress by Commandant of the Coast Guard.
Sec. 218. Coast Guard education loan repayment program.
Sec. 219. Contingent expenses.
Sec. 220. Reserve admirals.
Sec. 221. Confidential investigative expenses.
Sec. 222. Innovative construction alternatives.
Sec. 223. Delegation of port security authority.
Sec. 224. Fisheries enforcement plans and reporting.
Sec. 225. Use of Coast Guard and military child development centers.
Sec. 226. Treatment of property owned by auxiliary units and dedicated 
          solely for auxiliary use.

                          TITLE III--NAVIGATION

Sec. 301. Marking of underwater wrecks.
Sec. 302. Use of electronic devices; cooperative agreements.
Sec. 303. Inland navigation rules promulgation authority.
Sec. 304. Saint Lawrence Seaway.

                           TITLE IV--SHIPPING

Sec. 401. Reports from charterers.
Sec. 402. Removal of mandatory revocation for proved drug convictions in 
          suspension and revocation cases.
Sec. 403. Records of merchant mariners' documents.
Sec. 404. Exemption of unmanned barges from certain citizenship 
          requirements.
Sec. 405. Compliance with International Safety Management Code.
Sec. 406. Penalties.
Sec. 407. Revision of temporary suspension criteria in document 
          suspension and revocation cases.
Sec. 408. Revision of bases for document suspension and revocation 
          cases.
Sec. 409. Hours of service on towing vessels.
Sec. 410. Electronic charts.
Sec. 411. Prevention of departure.
Sec. 412. Service of foreign nationals for maritime educational 
          purposes.
Sec. 413. Classification societies.
Sec. 414. Drug testing reporting.
Sec. 415. Inspection of towing vessels.
Sec. 416. Potable water.
Sec. 417. Transportation of platform jackets.
Sec. 418. Renewal of advisory groups.

                  TITLE V--FEDERAL MARITIME COMMISSION

Sec. 501. Authorization of appropriations for Federal Maritime 
          Commission.
Sec. 502. Report on ocean shipping information gathering efforts.

                         TITLE VI--MISCELLANEOUS

Sec. 601. Increase in civil penalties for violations of certain bridge 
          statutes.
Sec. 602. Conveyance of decommissioned Coast Guard cutters.
Sec. 603. Tonnage measurement.
Sec. 604. Operation of vessel STAD AMSTERDAM.
Sec. 605. Great Lakes National Maritime Enhancement Institute.
Sec. 606. Koss Cove.
Sec. 607. Miscellaneous certificates of documentation.
Sec. 608. Requirements for coastwise endorsement.
Sec. 609. Correction of references to National Driver Register.
Sec. 610. Wateree River.
Sec. 611. Merchant mariners' documents pilot program.
Sec. 612. Conveyance.
Sec. 613. Bridge administration.
Sec. 614. Sense of Congress regarding carbon monoxide and watercraft.
Sec. 615. Mitigation of penalty due to avoidance of a certain condition.
Sec. 616. Certain vessels to be tour vessels.
Sec. 617. Sense of Congress regarding timely review and adjustment of 
          Great Lakes pilotage rates.
Sec. 618. Westlake chemical barge documentation.
Sec. 619. Correction to definition.
Sec. 620. LORAN-C.
Sec. 621. Deepwater report.
Sec. 622. Judicial review of National Transportation Safety Board final 
          orders.
Sec. 623. Interim authority for dry bulk cargo residue disposal.
Sec. 624. Small passenger vessel report.
Sec. 625. Conveyance of motor lifeboat.
Sec. 626. Study on routing measures.
Sec. 627. Conveyance of light stations.
Sec. 628. Waiver.
Sec. 629. Approval of modular accommodation units for living quarters.

       TITLE VII--AMENDMENTS RELATING TO OIL POLLUTION ACT OF 1990

Sec. 701. Vessel response plans for nontank vessels over 400 gross tons.
Sec. 702. Requirements for tank level and pressure monitoring devices.
Sec. 703. Liability and cost recovery.
Sec. 704. Oil Spill Recovery Institute.
Sec. 705. Alternatives.
Sec. 706. Authority to settle.
Sec. 707. Report on implementation of the Oil Pollution Act of 1990.
Sec. 708. Loans for fishermen and aquaculture producers impacted by oil 
          spills.

              TITLE VIII--MARITIME TRANSPORTATION SECURITY

Sec. 801. Enforcement.
Sec. 802. In rem liability for civil penalties and costs.
Sec. 803. Maritime information.
Sec. 804. Maritime transportation security grants.
Sec. 805. Security assessment of waters under the jurisdiction of the 
          United States.
Sec. 806. Membership of Area Maritime Security Advisory Committees.
Sec. 807. Joint operational centers for port security.
Sec. 808. Investigations.
Sec. 809. Vessel and intermodal security reports.

                         TITLE I--AUTHORIZATION

SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

    Funds are authorized to be appropriated for fiscal year 
2005 for necessary expenses of the Coast Guard as follows:
            (1) For the operation and maintenance of the Coast 
        Guard, $5,404,300,000, of which $25,000,000 is 
        authorized to be derived from the Oil Spill Liability 
        Trust Fund to carry out the purposes of section 
        1012(a)(5) of the Oil Pollution Act of 1990.
            (2) For the acquisition, construction, rebuilding, 
        and improvement of aids to navigation, shore and 
        offshore facilities, vessels, and aircraft, including 
        equipment related thereto, $1,500,000,000, of which--
                    (A) $23,500,000 shall be derived from the 
                Oil Spill Liability Trust Fund to carry out the 
                purposes of section 1012(a)(5) of the Oil 
                Pollution Act of 1990), to remain available 
                until expended;
                    (B) $1,100,000,000 is authorized for 
                acquisition and construction of shore and 
                offshore facilities, vessels, and aircraft, 
                including equipment related thereto, and other 
                activities that constitute the Integrated 
                Deepwater System; and
                    (C) $161,000,000 shall be available for 
                Rescue 21.
            (3) For research, development, test, and evaluation 
        of technologies, materials, and human factors directly 
        relating to improving the performance of the Coast 
        Guard's mission in search and rescue, aids to 
        navigation, marine safety, marine environmental 
        protection, enforcement of laws and treaties, ice 
        operations, oceanographic research, and defense 
        readiness, $24,200,000, to remain available until 
        expended, of which $3,500,000 shall be derived fromthe 
Oil Spill Liability Trust Fund to carry out the purposes of section 
1012(a)(5) of the Oil Pollution Act of 1990.
            (4) For retired pay (including the payment of 
        obligations otherwise chargeable to lapsed 
        appropriations for this purpose), payments under the 
        Retired Serviceman's Family Protection and Survivor 
        Benefit Plans, and payments for medical care of retired 
        personnel and their dependents under chapter 55 of 
        title 10, United States Code, $1,085,460,000, to remain 
        available until expended.
            (5) For alteration or removal of bridges over 
        navigable waters of the United States constituting 
        obstructions to navigation, and for personnel and 
        administrative costs associated with the Bridge 
        Alteration Program, $19,650,000, of which--
                    (A) $17,150,000, to remain available until 
                expended; and
                    (B) $2,500,000, to remain available until 
                expended, which may be utilized for 
                construction of a new Chelsea Street Bridge 
                over the Chelsea River in Boston, 
                Massachusetts.
            (6) For environmental compliance and restoration at 
        Coast Guard facilities (other than parts and equipment 
        associated with operation and maintenance), 
        $17,000,000, to remain available until expended.
            (7) For maintenance and operation of facilities, 
        supplies, equipments, and services necessary for the 
        Coast Guard Reserve, as authorized by law, 
        $117,000,000.

SEC. 102. AUTHORIZED LEVELS OF MILITARY STRENGTH AND TRAINING.

    (a) Active Duty Strength.--The Coast Guard is authorized an 
end-of-year strength for active duty personnel of 45,500 for 
the years ending on September 30, 2004, and September 30, 2005.
    (b) Military Training Student Loads.--The Coast Guard is 
authorized average military training student loads as follows:
            (1) For recruit and special training for fiscal 
        year 2005, 2,500 student years.
            (2) For flight training for fiscal year 2005, 125 
        student years.
            (3) For professional training in military and 
        civilian institutions for fiscal year 2005, 350 student 
        years.
            (4) For officer acquisition for fiscal year 2005, 
        1,200 student years.

                    TITLE II--COAST GUARD MANAGEMENT

SEC. 201. LONG-TERM LEASES.

    Section 93 of title 14, United States Code, is amended--
            (1) by redesignating paragraphs (a) through (x) in 
        order as paragraphs (1) through (23);
            (2) in paragraph (18) (as so redesignated) by 
        striking the comma at the end and inserting a 
        semicolon;
            (3) by inserting ``(a)'' before ``For the 
        purpose''; and
            (4) by adding at the end the following:
    ``(b)(1) Notwithstanding subsection (a)(14), a lease 
described in paragraph (2) of this subsection may be for a term 
of up to 20 years.
    ``(2) A lease referred to in paragraph (1) is a lease--
            ``(A) to the United States Coast Guard Academy 
        Alumni Association for the construction of an Alumni 
        Center on the grounds of the United States Coast Guard 
        Academy; or
            ``(B) to an entity with which the Commandant has a 
        cooperative agreement under section 4(e) of the Ports 
        and Waterways Safety Act, and for which a term longer 
        than 5 years is necessary to carry out the 
        agreement.''.

SEC. 202. NONAPPROPRIATED FUND INSTRUMENTALITIES.

    (a) In General.--Chapter 7 of title 14, United States Code, 
is amended by adding at the end the following:

``Sec. 152. Nonappropriated fund instrumentalities: contracts with 
                    other agencies and instrumentalities to provide or 
                    obtain goods and services

    ``The Coast Guard Exchange System, or a morale, welfare, 
and recreation system of the Coast Guard, may enter into a 
contract or other agreement with any element or instrumentality 
of the Coast Guard or with another Federal department, agency, 
or instrumentality to provide or obtain goods and services 
beneficial to the efficient management and operation of the 
Coast Guard Exchange System or that morale, welfare, and 
recreation system.''.
    (b) Clerical Amendment.--The table of sections at the 
beginning of chapter 7 of title 14, United States Code, is 
amended by adding at the end the following:

``152. Nonappropriated fund instrumentalities: contracts with other 
          agencies and instrumentalities to provide or obtain goods and 
          services.''.

SEC. 203. TERM OF ENLISTMENTS.

    Section 351(a) of title 14, United States Code, is amended 
by striking ``terms of full years not exceeding six years.'' 
and inserting ``a period of at least two years but not more 
than six years.''.

SEC. 204. ENLISTED MEMBER CRITICAL SKILL TRAINING BONUS.

    (a) In General.--Chapter 11 of title 14, United States 
Code, is amended by inserting after section 373 the following:

``Sec. 374. Critical skill training bonus

    ``(a) The Secretary may provide a bonus, not to exceed 
$20,000, to an enlisted member who completes training in a 
skill designated as critical, if at least four years of 
obligated active service remain on the member's enlistment at 
the time the training is completed. A bonus under this section 
may be paid in a single lump sum or in periodic installments.
    ``(b) If an enlisted member voluntarily or because of 
misconduct does not complete the member's term of obligated 
active service, the Secretary may require the member to repay 
the United States, on a pro rata basis, all sums paid under 
this section. The Secretary may charge interest on the amount 
repaid at a rate, to be determined quarterly, equal to 150 
percent of the average of the yields on the 91-day Treasury 
bills auctioned during the calendar quarter preceding the date 
on which the amount to be repaid is determined.''.
    (b) Clerical Amendment.--The table of sections at the 
beginning of chapter 11 of title 14, United States Code, is 
amended by inserting the following after the item relating to 
section 373:

``374. Critical skill training bonus.''.

SEC. 205. INDEMNITY FOR DISABLING VESSELS LIABLE TO SEIZURE OR 
                    EXAMINATION.

    (a) Repeal of Requirement To Fire Warning Shot.--Subsection 
(a) of section 637 of title 14, United States Code, is 
amended--
            (1) by inserting ``(1)'' after ``(a)'';
            (2) by striking ``after a'' and all that follows 
        through ``signal,'' and inserting ``subject to 
        paragraph (2),''; and
            (3) by adding at the end the following:
    ``(2) Before firing at or into a vessel as authorized in 
paragraph (1), the person in command or in charge of the 
authorized vessel or authorized aircraft shall fire a gun as a 
warning signal, except that the prior firing of a gun as a 
warning signal is not required if that person determines that 
the firing of a warning signal would unreasonably endanger 
persons or property in the vicinity of the vessel to be 
stopped.''.
    (b) Extension to Military Aircraft of Coast Guard 
Interdiction Authority.--Subsection (c) of such section is 
amended--
            (1) in paragraph (1) by inserting ``or'' after the 
        semicolon; and
            (2) in paragraph (2) by--
                    (A) inserting ``or military aircraft'' 
                after ``surface naval vessel''; and
                    (B) striking ``; or'' and all that follows 
                through paragraph (3) and inserting a period.
    (c) Repeal of Termination of Applicability to Naval 
Aircraft.--Subsection (d) of such section is repealed.
    (d) Report.--The Commandant of the Coast Guard shall 
transmit a report annually to the Committee on Commerce, 
Science, and Transportation of the Senate and the Committee on 
Transportation and Infrastructure of the House of 
Representatives describing the location, vessels or aircraft, 
circumstances, and consequences of each incident in the 12-
month period covered by the report in which the person in 
command or in charge of an authorized vessel or an authorized 
aircraft (as those terms are used in section 637 of title 14, 
United States Code) fired at or into a vessel without prior use 
of the warning signal as authorized by that section.
    (e) Technical Correction.--
            (1) Correction.--Section 637 of title 14, United 
        States Code, is amended in the section heading by 
        striking ``immunity'' and inserting ``indemnity''.
            (2) Clerical amendment.--The table of sections at 
        the beginning of chapter 17 of title 14, United States 
        Code, is amended by striking the item relating to 
        section 637 and inserting the following:

``637. Stopping vessels; indemnity for firing at or into vessel.''.

SEC. 206. ADMINISTRATIVE, COLLECTION, AND ENFORCEMENT COSTS FOR CERTAIN 
                    FEES AND CHARGES.

    Section 664 of title 14, United States Code, is amended--
            (1) by redesignating subsection (c) as subsection 
        (f);
            (2) by inserting after subsection (b) the 
        following:
    ``(c) In addition to the collection of fees and charges 
established under this section, the Secretary may recover from 
the person liable for the fee or charge the costs of collecting 
delinquent payments of the fee or charge, and enforcement costs 
associated with delinquent payments of the fees and charges.
    ``(d)(1) The Secretary may employ any Federal, State, or 
local agency or instrumentality, or any private enterprise or 
business, to collect a fee or charge established under this 
section.
    ``(2) A private enterprise or business employed by the 
Secretary to collect fees or charges--
            ``(A) shall be subject to reasonable terms and 
        conditions agreed to by the Secretary and the 
        enterprise or business;
            ``(B) shall provide appropriate accounting to the 
        Secretary; and
            ``(C) may not institute litigation as part of that 
        collection.
    ``(e) The Secretary shall account for the agency's costs of 
collecting a fee or charge as a reimbursable expense, subject 
to the availability of appropriations, and the costs shall be 
credited to the account from which expended.''; and
            (3) by adding at the end the following:
    ``(g) In this section the term `costs of collecting a fee 
or charge' includes the reasonable administrative, accounting, 
personnel, contract, equipment, supply, training, and travel 
expenses of calculating, assessing, collecting, enforcing, 
reviewing, adjusting, and reporting on a fee or charge.''.

SEC. 207. EXPANSION OF COAST GUARD HOUSING AUTHORITIES.

    (a) Eligible Entity Defined.--Section 680 of title 14, 
United States Code, is amended--
            (1) by redesignating paragraphs (3) and (4) in 
        order as paragraphs (4) and (5); and
            (2) by inserting after paragraph (2) the following:
            ``(3) The term `eligible entity' means any private 
        person, corporation, firm, partnership, or company and 
        any State or local government or housing authority of a 
        State or local government.''.
    (b) Direct Loans for Providing Housing.--Section 682 of 
title 14, United States Code, is amended--
            (1) in the section heading by striking ``Loan 
        guarantees'' and inserting ``Direct loans and loan 
        guarantees'';
            (2) by redesignating subsections (a) and (b) as (b) 
        and (c) respectively;
            (3) by inserting before subsection (b) (as so 
        redesignated) the following:
    ``(a) Direct Loans.--(1) Subject to subsection (c), the 
Secretary may make direct loans to an eligible entity in order 
to provide funds to the eligible entity for the acquisition or 
construction of housing units that the Secretary determines are 
suitable for use as military family housing or as military 
unaccompanied housing.
    ``(2) The Secretary shall establish such terms and 
conditions with respect to loans made under this subsection as 
the Secretary considers appropriate to protect the interests of 
the United States, including the period and frequency for 
repayment of such loans and the obligations of the obligors on 
such loans upon default.'';
            (4) in subsection (b) (as so redesignated) by 
        striking ``subsection (b),'' and inserting ``subsection 
        (c),''; and
            (5) in subsection (c) (as so redesignated)--
                    (A) in the heading by striking 
                ``Guarantee''; and
                    (B) by striking ``Loan guarantees'' and 
                inserting ``Direct loans and loan guarantees''.
    (c) Limited Partnerships With Eligible Entities.--Section 
684 of title 14, United States Code, is amended--
            (1) in the section heading by striking 
        ``nongovernmental'' and inserting ``eligible'';
            (2) in subsection (a) by striking 
        ``nongovernmental'' and inserting ``eligible'';
            (3) in subsection (b)(1) by striking ``a 
        nongovernmental'' and inserting ``an eligible'';
            (4) in subsection (b)(2) by striking ``a 
        nongovernmental'' and inserting ``an eligible''; and
            (5) in subsection (c) by striking 
        ``nongovernmental'' and inserting ``eligible''.
    (d) Housing Demonstration Projects in Alaska.--Section 
687(g) of title 14, United States Code, is amended--
            (1) in the heading by striking ``Project'' and 
        inserting ``Projects'';
            (2) in paragraph (1) by striking ``a demonstration 
        project'' and inserting ``demonstration projects'';
            (3) in paragraph (1) by striking ``Kodiak, 
        Alaska;'' and inserting ``Kodiak, Alaska, or any other 
        Coast Guard installation in Alaska;'';
            (4) in paragraph (2) by striking ``the 
        demonstration project'' and inserting ``such a 
        demonstration project''; and
            (5) in paragraph (4) by striking ``the 
        demonstration project'' and inserting ``such 
        demonstration projects''.
    (e) Differential Lease Payments.--Chapter 18 of title 14, 
United States Code, is amended by inserting after section 687 
the following:

``Sec. 687a. Differential lease payments

    ``Pursuant to an agreement entered into by the Secretary 
and a lessor of military family housing or military 
unaccompanied housing to members of the armed forces, the 
Secretary may pay the lessor an amount, in addition to the 
rental payments for the housing made by the members, as the 
Secretary determines appropriate to encourage the lessor to 
make the housing available to members of the armed forces as 
military family housing or as military unaccompanied 
housing.''.
    (f) Clerical Amendment.--The table of sections at the 
beginning of chapter 18 of title 14, United States Code, is 
amended--
            (1) by striking the item related to section 682 and 
        inserting the following:

``682. Direct loans and loan guarantees.'';

            (2) in the item related to section 684 by striking 
        ``nongovernmental'' and inserting ``eligible''; and
            (3) by inserting after the item related to section 
        687 the following:

``687a. Differential lease payments.''.

SEC. 208. REQUIREMENT FOR CONSTRUCTIVE CREDIT.

    Section 727 of title 14, United States Code, is amended in 
the second sentence by striking ``three years'' and inserting 
``one year''.

SEC. 209. MAXIMUM AGES FOR RETENTION IN AN ACTIVE STATUS.

    Section 742 of title 14, United States Code, is amended to 
read as follows:

``Sec. 742. Maximum ages for retention in an active status

    ``(a) A Reserve officer, if qualified, shall be transferred 
to the Retired Reserve on the day the officer becomes 60 years 
of age unless on active duty. If not qualified for retirement, 
a Reserve officer shall be discharged effective upon the day 
the officer becomes 60 years of age unless on active duty.
    ``(b) A Reserve officer on active duty shall, if qualified, 
be retired effective upon the day the officer becomes 62 years 
of age. If not qualified for retirement, a Reserve officer on 
active duty shall be discharged effective upon the day the 
officer becomes 62 years of age.
    ``(c) Notwithstanding subsection (a) and (b), the Secretary 
may authorize the retention of a Reserve rear admiral or rear 
admiral (lower half) in an active status not longer than the 
day on which the officer concerned becomes 64 years of age.
    ``(d) For purposes of this section, `active duty' does not 
include active duty for training, duty on a board, or duty of a 
limited or temporary nature if assigned to active duty from an 
inactive duty status.''.

SEC. 210. TRAVEL CARD MANAGEMENT.

    (a) In General.--Chapter 13 of title 14, United States 
Code, is amended by adding at the end the following:

``Sec. 517. Travel card management

    ``(a) In General.--The Secretary may require that travel or 
transportation allowances due a civilian employee or military 
member of the Coast Guard be disbursed directly to the issuer 
of a Federal contractor-issued travel charge card, but only in 
an amount not to exceed the authorized travel expenses charged 
by that Coast Guard member to that travel charge card issued to 
that employee or member.
    ``(b) Withholding of Nondisputed Obligations.--The 
Secretary may also establish requirements similar to those 
established by the Secretary of Defense pursuant to section 
2784a of title 10 for deduction or withholding of pay or 
retired pay from a Coast Guard employee, member, or retired 
member who is delinquent in payment under the terms of the 
contract under which the card was issued and does not dispute 
the amount of the delinquency.''.
    (b) Conforming Amendment.--The chapter analysis for chapter 
13 of title 14, United States Code, is amended by inserting 
after the item relating to section 516 the following:

``517. Travel card management''.

SEC. 211. COAST GUARD FELLOWS AND DETAILEES.

    The Secretary of the department in which the Coast Guard is 
operating, in consultation with the Attorney General, shall by 
not later than 6 months after the date of the enactment of this 
Act--
            (1) review the Coast Guard Commandant Instruction 
        5730.3, regarding congressional detailees (COMDTINST 
        5370.3), dated April 18, 2003, and compare the 
        standards set forth in the instruction to the standards 
        applied by other executive agencies to congressional 
        detailees;
            (2) determine if any changes to such instruction 
        are necessary to protect against conflicts of interest 
        and preserve the doctrine of separation of powers; and
            (3) submit a report to the Committee on Commerce, 
        Science, and Transportation of the Senate and the 
        Committee on Transportation and Infrastructure of the 
        House of Representatives on the findings and 
        conclusions of the review.

SEC. 212. LONG-TERM LEASE OF SPECIAL USE REAL PROPERTY.

    (a) In General.--Section 672 of title 14, United States 
Code, is amended by--
            (1) striking the heading and inserting the 
        following:

``Sec. 672. Long-term lease of special purpose facilities'';

            (2) in subsection (a), inserting ``special purpose 
        facilities, including,'' after ``automatic renewal 
        clauses, for'' ; and
            (3) striking ``(b) The'' and inserting:
    ``(b) For purposes of this section, the term `special 
purpose facilities' means any facilities used to carry out 
Coast Guard aviation, maritime, or navigation missions other 
than general purpose office and storage space facilities.
    ``(c) In the case of ATON, VTS, or NDS sites, the''.
    (b) Clerical Amendment.--The table of sections at the 
beginning of chapter 17, United States Code, is amended by 
striking the item relating to section 672 and inserting the 
following:

``672. Long-term lease of special purpose facilities.''.

SEC. 213. NATIONAL COAST GUARD MUSEUM.

    (a) In General.--Chapter 5 of title 14, United States Code, 
is amended by adding at the end the following:

``Sec. 98. National Coast Guard Museum

    ``(a) Establishment.--The Commandant may establish a 
National Coast Guard Museum, on lands which will be federally 
owned and administered by the Coast Guard, and are located in 
New London, Connecticut, at, or in close proximity to, the 
Coast Guard Academy.
    ``(b) Limitation on Expenditures.--(1) Except as provided 
in paragraph (2), the Secretary shall not expend any 
appropriated Federal funds for the engineering, design, or 
construction of any museum established under this section.
    ``(2) The Secretary shall fund the operation and 
maintenance of the National Coast Guard Museum with 
nonappropriated and non-Federal funds to the maximum extent 
practicable. The priority use of Federal operation and 
maintenance funds should be to preserve and protect historic 
Coast Guard artifacts.
    ``(c) Funding Plan.--Before the date on which the 
Commandant establishes a museum under subsection (a), the 
Commandant shall provide to the Committee on Commerce, Science, 
and Transportation of the Senate and the Committee on 
Transportation and Infrastructure of the House of 
Representatives a plan for constructing, operating, and 
maintaining such a museum, including--
            ``(1) estimated planning, engineering, design, 
        construction, operation, and maintenance costs;
            ``(2) the extent to which appropriated, 
        nonappropriated, and non-Federal funds will be used for 
        such purposes, including the extent to which there is 
        any shortfall in funding for engineering, design, or 
        construction; and
            ``(3) a certification by the Inspector General of 
        the department in which the Coast Guard is operating 
        that the estimates provided pursuant to paragraphs (1) 
        and (2) are reasonable and realistic.
    ``(d) Authority.--The Commandant may not establish a Coast 
Guard museum except as set forth in this section.''.
    (b) Clerical Amendment.--The chapter analysis at the 
beginning of chapter 5 of title 14, United States Code, is 
amended by adding at the end the following:

``98. National Coast Guard Museum.''.

SEC. 214. LIMITATION ON NUMBER OF COMMISSIONED OFFICERS.

    Section 42 of title 14, United States Code, is amended--
            (1) in subsection (a), by striking ``6,200'' and 
        inserting ``6,700 in each fiscal year 2004, 2005, and 
        2006''; and
            (2) in subsection (b), by striking ``commander 
        12.0; lieutenant commander 18.0'' and inserting 
        ``commander 15.0; lieutenant commander 22.0''.

SEC. 215. REDISTRICTING NOTIFICATION REQUIREMENT.

    The Commandant shall notify the Committee on Transportation 
and Infrastructure of the House of Representatives and the 
Committee on Commerce, Science, and Transportation of the 
Senate at least 180 days before--
            (1) implementing any plan to reduce the number of, 
        change the location of, or change the geographic area 
        covered by any existing Coast Guard Districts; or
            (2) permanently transferring more than 10 percent 
        of the personnel or equipment from a district office 
        where such personnel or equipment is based.

SEC. 216. REPORT ON SHOCK MITIGATION STANDARDS.

    (a) Report Requirement.--Not later than 180 days after the 
date of the enactment of this Act, the Commandant of the Coast 
Guard shall issue a report on the necessity of, and possible 
standards for, decking materials for Coast Guard vessels to 
mitigate the adverse effects on crew members from shock and 
vibration.
    (b) Recommended Standards.--The standards recommended in 
the report may--
            (1) incorporate appropriate industry or 
        manufacturing standards; and
            (2) consider the weight and durability of decking 
        material, the effects of repeated use and varying 
        weather conditions, and the capability of decking 
        material to lessen impact.

SEC. 217. RECOMMENDATIONS TO CONGRESS BY COMMANDANT OF THE COAST GUARD.

    Section 93 of title 14, United States Code, is amended--
            (1) in paragraph (w) by striking ``and'' after the 
        semicolon at the end;
            (2) in paragraph (x) by striking the period at the 
        end and inserting ``; and''; and
            (3) by adding at the end the following:
            ``(y) after informing the Secretary, make such 
        recommendations to the Congress relating to the Coast 
        Guard as the Commandant considers appropriate.''.

SEC. 218. COAST GUARD EDUCATION LOAN REPAYMENT PROGRAM.

    (a) Program Authorized.--Chapter 13 of title 14, United 
States Code, is amended by inserting after section 471 the 
following:

``Sec. 472. Education loan repayment program

    ``(a)(1) Subject to the provisions of this section, the 
Secretary may repay--
            ``(A) any loan made, insured, or guaranteed under 
        part B of title IV of the Higher Education Act of 1965 
        (20 U.S.C. 1071 et seq.);
            ``(B) any loan made under part D of such title (the 
        William D. Ford Federal Direct Loan Program, 20 U.S.C. 
        1087a et seq.); or
            ``(C) any loan made under part E of such title (20 
        U.S.C. 1087aa et seq.).
Repayment of any such loan shall be made on the basis of each 
complete year of service performed by the borrower.
    ``(2) The Secretary may repay loans described in paragraph 
(1) in the case of any person for service performed on active 
duty as an enlisted member of the Coast Guard in a specialty 
specified by the Secretary.
    ``(b) The portion or amount of a loan that may be repaid 
under subsection (a) is 33\1/3\ percent or $1,500, whichever is 
greater, for each year of service.
    ``(c) If a portion of a loan is repaid under this section 
for any year, interest on the remainder of such loan shall 
accrue and be paid in the same manner as is otherwise required.
    ``(d) Nothing in this section shall be construed to 
authorize refunding any repayment of a loan.
    ``(e) The Secretary shall, by regulation, prescribe a 
schedule for the allocation of funds made available to carry 
out this section during any year for which funds are not 
sufficient to pay the sum of the amounts eligible for repayment 
under subsection (a).''.
    (b) Clerical Amendment.--The table of sections at the 
beginning of chapter 13 of title 14, United States Code, is 
amended by inserting after the item relating to section 471 the 
following:

``472. Education loan repayment program.''.

SEC. 219. CONTINGENT EXPENSES.

    Section 476 of title 14, United States Code, is amended--
            (1) by striking ``$7,500'' and inserting 
        ``$50,000''; and
            (2) by striking the second sentence.

SEC. 220. RESERVE ADMIRALS.

    (a) Precedence.--Section 725 of title 14, United States 
Code, is amended by adding at the end the following:
    ``(d) Notwithstanding any other law, a Reserve officer 
shall not lose precedence by reason of promotion to the grade 
of rear admiral or rear admiral (lower half), if the promotion 
is determined in accordance with a running mate system.
    ``(e) The Secretary shall adjust the date of rank of a 
Reserve officer so that no changes of precedence occur.''.
    (b) Promotion.--Section 736(b) of title 14, United States 
Code, is amended to read as follows:
    ``(b) Notwithstanding any other provision of law and 
subject to subsection (c), if promotion of an inactive duty 
promotion list officer to the grade of rear admiral or rear 
admiral (lower half) is determined in accordance with a running 
mate system, a reserve officer, if acceptable to the President 
and the Senate, shall be promoted to the next higher grade no 
later than the date the officer's running mate is promoted.''.
    (c) Date of Appointment.--Section 736(c) of title 14, 
United States Code, is amended by striking ``of subsection 
(a)''.
    (d) Maximum Service.--Section 743 of title 14, United 
States Code, is amended to read as follows:

``Sec. 743. Rear admiral and rear admiral (lower half); maximum service 
                    in grade

    ``(a) Unless retained in or removed from an active status 
under any other law, a reserve rear admiral or rear admiral 
(lower half) shall be retired on July 1 of the promotion year 
immediately following the promotion year in which that officer 
completes 4 years of service after the appointment of the 
officer to rear admiral (lower half).
    ``(b) Notwithstanding any other provision of law, if 
promotion of inactive duty promotion list officers to the grade 
of rear admiral is not determined in accordance with a running 
mate system, a Reserve officer serving in an active status in 
the grade of rear admiral (lower half) shall be promoted to the 
grade of rear admiral, if acceptable to the President and the 
Senate, on the date the officer has served 2 years in an active 
status in grade of rear admiral (lower half), or in the case of 
a vacancy occurring prior to having served 2 years in an active 
status, on the date the vacancy occurs, if the officer served 
at least 1 year in an active status in the grade of rear 
admiral (lower half).''.

SEC. 221. CONFIDENTIAL INVESTIGATIVE EXPENSES.

    Section 658 of title 14, United States Code, is amended by 
striking ``$15,000 per annum'' and inserting ``$45,000 each 
fiscal year''.

SEC. 222. INNOVATIVE CONSTRUCTION ALTERNATIVES.

    The Commandant of the Coast Guard may consult with the 
Office of Naval Research and other Federal agencies with 
research and development programs that may provide innovative 
construction alternatives for the Integrated Deepwater System.

SEC. 223. DELEGATION OF PORT SECURITY AUTHORITY.

    The undesignated text following paragraph (b) of the second 
unnumbered paragraph of section 1 of title II of the Act of 
June 15, 1917 (chapter 30; 40 Stat. 220; 50 U.S.C. 191) is 
amended by adding at the beginning the following: ``The 
President may delegate the authority to issue such rules and 
regulations to the Secretary of the department in which the 
Coast Guard is operating.''.

SEC. 224. FISHERIES ENFORCEMENT PLANS AND REPORTING.

    (a) Fisheries Enforcement Plans.--In preparing the Coast 
Guard's annual fisheries enforcement plan, the Commandant of 
the Coast Guard shall consult with the Under Secretary of 
Commerce for Oceans and Atmosphere and with State and local 
enforcement authorities.
    (b) Fishery Patrols.--Prior to undertaking fisheries 
patrols, the Commandant of the Coast Guard shall notify the 
Under Secretary of Commerce for Oceans and Atmosphere and 
appropriate State and local enforcement authorities of the 
projected dates for such patrols.
    (c) Annual Summary.--The Commandant of the Coast Guard 
shall prepare and make available to the Under Secretary of 
Commerce for Oceans and Atmosphere, State and local enforcement 
entities, and other relevant stakeholders, an annual summary 
report of fisheries enforcement activities for the preceding 
year, including a summary of the number of patrols, law 
enforcement actions taken, and resource hours expended.

SEC. 225. USE OF COAST GUARD AND MILITARY CHILD DEVELOPMENT CENTERS.

    The Secretary of Defense and the Secretary of the 
department in which the Coast Guard is operating, when 
operating other than as a service in the Navy, may agree to 
provide child care services to members of the armed forces, 
with reimbursement, in Coast Guard and military child 
development centers supported in whole or in part with 
appropriated funds. For purposes of military child development 
centers operated under the authority of subchapter II of 
chapter 88 of title 10, United States Code, the child of a 
member of the Coast Guard shall be considered the same as the 
child of a member of any of the other armed forces.

SEC. 226. TREATMENT OF PROPERTY OWNED BY AUXILIARY UNITS AND DEDICATED 
                    SOLELY FOR AUXILIARY USE.

    Section 821 of title 14, United States Code, is amended by 
adding at the end the following:
    ``(d)(1) Except as provided in paragraph (2), personal 
property of the auxiliary shall not be considered property of 
the United States.
    ``(2) The Secretary may treat personal property of the 
auxiliary as property of the United States--
            ``(A) for the purposes of--
                    ``(i) the statutes and matters referred to 
                in paragraphs (1) through (6) of subsection 
                (b); and
                    ``(ii) section 641 of this title; and
            ``(B) as otherwise provided in this chapter.
    ``(3) The Secretary may reimburse the Auxiliary, and each 
organizational element and unit of the Auxiliary, for necessary 
expenses of operation, maintenance, and repair or replacement 
of personal property of the Auxiliary.
    ``(4) In this subsection, the term `personal property of 
the Auxiliary' means motor boats, yachts, aircraft, radio 
stations, motorized vehicles, trailers, or other equipment that 
is under the administrative jurisdiction of the Coast Guard 
Auxiliary or an organizational element or unit of the Auxiliary 
and that is used solely for the purposes described in this 
subsection.''.

                         TITLE III--NAVIGATION

SEC. 301. MARKING OF UNDERWATER WRECKS.

    Section 15 of the Act of March 3, 1899 (30 Stat. 1152; 33 
U.S.C. 409) is amended--
            (1) by striking ``day and a lighted lantern'' in 
        the second sentence inserting ``day and, unless 
        otherwise granted a waiver by the Commandant of the 
        Coast Guard, a light''; and
            (2) by adding at the end ``The Commandant of the 
        Coast Guard may waive the requirement to mark a wrecked 
        vessel, raft, or other craft with a light at night if 
        the Commandant determines that placing a light would be 
        impractical and granting such a waiver would not create 
        an undue hazard to navigation.''.

SEC. 302. USE OF ELECTRONIC DEVICES; COOPERATIVE AGREEMENTS.

    Section 4(a) of the Ports and Waterways Safety Act of 1972 
(33 U.S.C. 1223(a)) is amended by--
            (1)(A) striking ``and'' after the semicolon at the 
        end of paragraph (4);
            (B) striking the period at the end of paragraph (5) 
        and inserting ``; and''; and
            (C) adding at the end the following:
            ``(6) may prohibit the use on vessels of electronic 
        or other devices that interfere with communication and 
        navigation equipment, except that such authority shall 
        not apply to electronic or other devices certified to 
        transmit in the maritime services by the Federal 
        Communications Commission and used within the frequency 
        bands 157.1875-157.4375 MHz and 161.7875-162.0375 
        MHz.''; and
            (2) adding at the end the following:
    ``(e) Cooperative Agreements.--(1) The Secretary may enter 
into cooperative agreements with public or private agencies, 
authorities, associations, institutions, corporations, 
organizations, or other persons to carry out the functions 
under subsection (a)(1).
    ``(2) A nongovernmental entity may not under this 
subsection carry out an inherently governmental function.
    ``(3) As used in this paragraph, the term `inherently 
governmental function' means any activity that is so intimately 
related to the public interest as to mandate performance by an 
officer or employee of the Federal Government, including an 
activity that requires either the exercise of discretion in 
applying the authority of the Government or the use of judgment 
in making a decision for the Government.''.

SEC. 303. INLAND NAVIGATION RULES PROMULGATION AUTHORITY.

    (a) Repeal of Inland Rules.--Section 2 of the Inland 
Navigational Rules Act of 1980 (33 U.S.C. 2001-38) is repealed.
    (b) Authority To Issue Regulations.--Section 3 of the 
Inland Navigational Rules Act of 1980 (33 U.S.C. 2001) is 
amended to read as follows:

``SEC. 3. INLAND NAVIGATION RULES.

    ``The Secretary of the Department in which the Coast Guard 
is operating may issue inland navigation regulations applicable 
to all vessels upon the inland waters of the United States and 
technical annexes that are as consistent as possible with the 
respective annexes to the International Regulations.''.
    (c) Effective Date.--Subsection (a) is effective on the 
effective date of final regulations prescribed by the Secretary 
of the Department in which the Coast Guard is operating under 
section 3 of the Inland Navigation Rules Act of 1980 (33 U.S.C. 
2001), as amended by this Act.

SEC. 304. SAINT LAWRENCE SEAWAY.

    Section 3(2) of the Ports and Waterways Safety Act (33 
U.S.C. 1222(2)) is amended by inserting ``, except that 
`Secretary' means the Secretary of Transportation with respect 
to the application of this Act to the Saint Lawrence Seaway'' 
after ``in which the Coast Guard is operating''.

                           TITLE IV--SHIPPING

SEC. 401. REPORTS FROM CHARTERERS.

    Section 12120 of title 46, United States Code, is amended 
by striking ``owners and masters'' and inserting ``owners, 
masters, and charterers''.

SEC. 402. REMOVAL OF MANDATORY REVOCATION FOR PROVED DRUG CONVICTIONS 
                    IN SUSPENSION AND REVOCATION CASES.

    Section 7704(b) of title 46, United States Code, is amended 
by inserting ``suspended or'' after ``shall be''.

SEC. 403. RECORDS OF MERCHANT MARINERS' DOCUMENTS.

    Section 7319 of title 46, United States Code, is amended by 
striking the second sentence.

SEC. 404. EXEMPTION OF UNMANNED BARGES FROM CERTAIN CITIZENSHIP 
                    REQUIREMENTS.

    (a) Limitation on Command.--Section 12110(d) of title 46, 
United States Code, is amended by inserting ``or an unmanned 
barge operating outside of the territorial waters of the United 
States,'' after ``recreational endorsement,''.
    (b) Penalty.--Section 12122(b)(6) of title 46, United 
States Code, is amended by inserting ``or an unmanned barge 
operating outside of the territorial waters of the United 
States,'' after ``recreational endorsement,''.

SEC. 405. COMPLIANCE WITH INTERNATIONAL SAFETY MANAGEMENT CODE.

    (a) Application of Existing Law.--Section 3202(a) of title 
46, United States Code, is amended to read as follows:
    ``(a) Mandatory Application.--This chapter applies to a 
vessel that--
            ``(1)(A) is transporting more than 12 passengers 
        described in section 2101(21)(A) of this title; or
            ``(B) is of at least 500 gross tons as measured 
        under section 14302 of this title and is a tanker, 
        freight vessel, bulk freight vessel, high speed freight 
        vessel, or self-propelled mobile offshore drilling 
        unit; and
            ``(2)(A) is engaged on a foreign voyage; or
            ``(B) is a foreign vessel departing from a place 
        under the jurisdiction of the United States on a 
        voyage, any part of which is on the high seas.''.
    (b) Compliance of Regulations With International Safety 
Management Code.--Section 3203(b) of title 46, United States 
Code, is amended by striking ``vessels engaged on a foreign 
voyage.'' and inserting ``vessels to which this chapter applies 
under section 3202(a) of this title.''.

SEC. 406. PENALTIES.

    Section 4311(b) of title 46, United States Code, is amended 
to read as follows:
    ``(b)(1) A person violating section 4307(a) of this title 
is liable to the United States Government for a civil penalty 
of not more than $5,000, except that the maximum civil penalty 
may be not more than $250,000 for a related series of 
violations.
    ``(2) If the Secretary decides under section 4310(f) that a 
recreational vessel or associated equipment contains a defect 
related to safety or fails to comply with an applicable 
regulation and directs the manufacturer to provide the 
notifications specified in this chapter, any person, including 
a director, officer or executive employee of a corporation, who 
knowingly and willfully fails to comply with that order, may be 
fined not more than $10,000, imprisoned for not more than one 
year, or both.
    ``(3) When a corporation violates section 4307(a), or fails 
to comply with the Secretary's decision under section 4310(f), 
any director, officer, or executive employee of the corporation 
who knowingly and willfully ordered, or knowingly and willfully 
authorized, a violation is individually liable to the 
Government for a penalty under paragraphs (1) or (2) in 
addition to the corporation. However, the director, officer, or 
executive employee is not liable individually under this 
subsection if the director, officer, or executive employee can 
demonstrate by a preponderance of the evidence that--
            ``(A) the order or authorization was issued on the 
        basis of a decision, in exercising reasonable and 
        prudent judgment, that the defect or the nonconformity 
        with standards and regulations constituting the 
        violation would not cause or constitute a substantial 
        risk of personal injury to the public; and
            ``(B) at the time of the order or authorization, 
        the director, officer, or executive employee advised 
        the Secretary in writing of acting under this 
        subparagraph and subparagraph (A).''.

SEC. 407. REVISION OF TEMPORARY SUSPENSION CRITERIA IN DOCUMENT 
                    SUSPENSION AND REVOCATION CASES.

    Section 7702(d) of title 46, United States Code, is 
amended--
            (1) in paragraph (1) by striking ``if, when acting 
        under the authority of that license, certificate, or 
        document--'' and inserting ``if--'';
            (2) in paragraph (1)(B)(i), by inserting ``, while 
        acting under the authority of that license, 
        certificate, or document,'' after ``has'';
            (3) by striking ``or'' after the semicolon at the 
        end of paragraph (1)(B)(ii);
            (4) by striking the period at the end of paragraph 
        (1)(B)(iii) and inserting ``; or''; and
            (5) by adding at the end of paragraph (1)(B) the 
        following:
                    ``(iv) is a security risk that poses a 
                threat to the safety or security of a vessel or 
                a public or commercial structure located within 
                or adjacent to the marine environment.''.

SEC. 408. REVISION OF BASES FOR DOCUMENT SUSPENSION AND REVOCATION 
                    CASES.

    Section 7703 of title 46, United States Code, is amended--
            (1) in paragraph (1)(B)--
                    (A) by striking ``incompetence,''; and
                    (B) by striking the comma after 
                ``misconduct'';
            (2) by striking ``or'' after the semicolon at the 
        end of paragraph (2);
            (3) by striking the period at the end of paragraph 
        (3) and inserting a semicolon; and
            (4) by adding at the end the following:
            ``(4) has committed an act of incompetence relating 
        to the operation of a vessel; or
            ``(5) is a security risk that poses a threat to the 
        safety or security of a vessel or a public or 
        commercial structure located within or adjacent to the 
        marine environment.''.

SEC. 409. HOURS OF SERVICE ON TOWING VESSELS.

    (a) Regulations.--Section 8904 of title 46, United States 
Code, is amended by adding at the end of the following:
    ``(c) The Secretary may prescribe by regulation 
requirements for maximum hours of service (including recording 
and recordkeeping of that service) of individuals engaged on a 
towing vessel that is at least 26 feet in length measured from 
end to end over the deck (excluding the sheer).''.
    (b) Demonstration Project.--Prior to prescribing 
regulations under this section the Secretary shall conduct and 
report to the Congress on the results of a demonstration 
project involving the implementation of Crew Endurance 
Management Systems on towing vessels. The report shall include 
a description of the public and private sector resources needed 
to enable implementation of Crew Endurance Management Systems 
on all United States-flag towing vessels.

SEC. 410. ELECTRONIC CHARTS.

    The Ports and Waterways Safety Act (33 U.S.C. 1221 et seq.) 
is amended by inserting after section 4 the following:

``SEC. 4A. ELECTRONIC CHARTS.

    ``(a) System Requirements.--
            ``(1) Requirements.--Subject to paragraph (2), the 
        following vessels, while operating on the navigable 
        waters of the United States, shall be equipped with and 
        operate electronic charts under regulations prescribed 
        by the Secretary of the department in which the Coast 
        Guard is operating:
                    ``(A) A self-propelled commercial vessel of 
                at least 65 feet overall length.
                    ``(B) A vessel carrying more than a number 
                of passengers for hire determined by the 
                Secretary.
                    ``(C) A towing vessel of more than 26 feet 
                in overall length and 600 horsepower.
                    ``(D) Any other vessel for which the 
                Secretary decides that electronic charts are 
                necessary for the safe navigation of the 
                vessel.
            ``(2) Exemptions and waivers.--The Secretary may--
                    ``(A) exempt a vessel from paragraph (1), 
                if the Secretary finds that electronic charts 
                are not necessary for the safe navigation of 
                the vessel on the waters on which the vessel 
                operates; and
                    ``(B) waive the application of paragraph 
                (1) with respect to operation of vessels on 
                navigable waters of the United States specified 
                by the Secretary, if the Secretary finds that 
                electronic charts are not needed for safe 
                navigation on those waters.
    ``(b) Regulations.--The Secretary of the department in 
which the Coast Guard is operating shall prescribe regulations 
implementing subsection (a) before January 1, 2007, including 
requirements for the operation and maintenance of the 
electronic charts required under subsection (a).''.

SEC. 411. PREVENTION OF DEPARTURE.

    (a) In General.--Section 3505 of title 46, United States 
Code, is amended to read as follows:

``Sec. 3505. Prevention of departure

    ``Notwithstanding section 3303 of this title, a foreign 
vessel carrying a citizen of the United States as a passenger 
or embarking passengers from a United States port may not 
depart from a United States port if the Secretary finds that 
the vessel does not comply with the standards stated in the 
International Convention for the Safety of Life at Sea to which 
the United States Government is currently a party.''.
    (b) Conforming Amendment.--Section 3303 of title 46, United 
States Code, is amended by inserting ``and section 3505'' after 
``chapter 37''.

SEC. 412. SERVICE OF FOREIGN NATIONALS FOR MARITIME EDUCATIONAL 
                    PURPOSES.

    Section 8103(b)(1)(A) of title 46, United State Code, is 
amended to read as follows:
            ``(A) each unlicensed seaman must be--
                    ``(i) a citizen of the United States;
                    ``(ii) an alien lawfully admitted to the 
                United States for permanent residence; or
                    ``(iii) a foreign national who is enrolled 
                in the United States Merchant Marine 
                Academy.''.

SEC. 413. CLASSIFICATION SOCIETIES.

    (a) In General.--Section 3316 of title 46, United States 
Code, is amended by adding at the end the following:
    ``(c)(1) A classification society (including an employee or 
agent of that society) may not review, examine, survey, or 
certify the construction, repair, or alteration of a vessel in 
the United States unless--
                    ``(A) the society has applied for approval 
                under this subsection and the Secretary has 
                reviewed and approved that society with respect 
                to the conduct of that society under paragraph 
                (2); or
                    ``(B) the society is a full member of the 
                International Association of Classification 
                Societies.
            ``(2) The Secretary may approve a person for 
        purposes of paragraph (1) only if the Secretary 
        determines that--
                    ``(A) the vessels surveyed by the person 
                while acting as a classification society have 
                an adequate safety record; and
                    ``(B) the person has an adequate program 
                to--
                            ``(i) develop and implement safety 
                        standards for vessels surveyed by the 
                        person;
                            ``(ii) make the safety records of 
                        the person available to the Secretary 
                        in an electronic format;
                            ``(iii) provide the safety records 
                        of a vessel surveyed by the person to 
                        any other classification society that 
                        requests those records for the purpose 
                        of conducting a survey of the vessel; 
                        and
                            ``(iv) request the safety records 
                        of a vessel the person will survey from 
                        any classification society that 
                        previously surveyed the vessel.''.
    (b) Application.--Section 3316(c)(1) of title 46, United 
States Code, shall apply with respect to operation as a 
classification society on or after January 1, 2005.

SEC. 414. DRUG TESTING REPORTING.

    (a) In General.--Chapter 77 of title 46, United States 
Code, is amended by adding at the end:

``Sec. 7706. Drug testing reporting

    ``(a) Release of Drug Test Results to Coast Guard.--Not 
later than 2 weeks after receiving from a Medical Review 
Officer a report of a verified positive drug test or verified 
test violation by a civilian employee of a Federal agency, an 
officer in the Public Health Services, or an officer in the 
National Oceanic and Atmospheric Administration Commissioned 
Officer Corps, who is employed in any capacity on board a 
vessel operated by the agency, the head of the agency shall 
release to the Commandant of the Coast Guard the report.
    ``(b) Standards, Procedures, and Regulations.--The head of 
a Federal agency shall carry out a release under subsection (a) 
in accordance with the standards, procedures, and regulations 
applicable to the disclosure and reporting to the Coast Guard 
of drug tests results and drug test records of individuals 
employed on vessels documented under the laws of the United 
States.
    ``(c) Waiver.--Notwithstanding section 503(e) of the 
Supplemental Appropriations Act, 1987 (5 U.S.C. 7301 note), the 
report of a drug test of an employee may be released under this 
section without the prior written consent of the employee.''.
    (b) Conforming Amendment.--The chapter analysis for chapter 
77 of title 46, United States Code, is amended by adding at the 
end the following:

``7706. Drug testing reporting.''.

SEC. 415. INSPECTION OF TOWING VESSELS.

    (a) Vessels Subject to Inspection.--Section 3301 of title 
46, United States Code, is amended by adding at the end the 
following:
            ``(15) towing vessels.''.
    (b) Safety Management System.--Section 3306 of chapter 33 
of title 46, United States Code, is amended by adding at the 
end the following:
    ``(j) The Secretary may establish by regulation a safety 
management system appropriate for the characteristics, methods 
of operation, and nature of service of towing vessels.''.

SEC. 416. POTABLE WATER.

    (a) In General.--Section 3305(a) of title 46, United States 
Code, is amended--
            (1) by redesignating paragraphs (4) and (5) in 
        order as paragraphs (5) and (6); and
            (2) by inserting after paragraph (3) the following:
            ``(4) has an adequate supply of potable water for 
        drinking and washing by passengers and crew;''.
    (b) Adequacy Determination.--Section 3305(a) of title 46, 
United States Code, as amended by subsection (a), is further 
amended--
            (1) by inserting ``(1)'' after ``(a)'';
            (2) by redesignating paragraphs (1) through (6) as 
        subparagraphs (A) through (F), respectively; and
            (3) by adding at the end the following:
            ``(2) In determining the adequacy of the supply of 
        potable water under paragraph (1)(D), the Secretary 
        shall consider--
                    ``(A) the size and type of vessel;
                    ``(B) the number of passengers or crew on 
                board;
                    ``(C) the duration and routing of voyages; 
                and
                    ``(D) guidelines for potable water 
                recommended by the Centers for Disease Control 
                and Prevention and the Public Health 
                Service.''.

SEC. 417. TRANSPORTATION OF PLATFORM JACKETS.

    The thirteenth proviso (pertaining to transportation by 
launch barge) of section 27 of the Merchant Marine Act, 1920 
(46 App. U.S.C. 883) is amended to read as follows: ``Provided 
further, That the transportation of any platform jacket in or 
on a non-coastwise qualified launch barge, that was built 
before December 31, 2000, and has a launch capacity of 12,000 
long tons or more, between two points in the United States, at 
one of which there is an installation or other device within 
the meaning of section 4(a) of the Outer Continental Shelf 
Lands Act (43 U.S.C. 1333(a)), shall not be deemed 
transportation subject to this section if the Secretary of 
Transportation makes a determination, in accordance with 
procedures established pursuant to this proviso that a suitable 
coastwise-qualified vessel is not available for use in the 
transportation and, if needed, launch or installation of a 
platform jacket and; that the Secretary of Transportation shall 
adopt procedures implementing this proviso that are reasonably 
designed to provide timely information so as to maximize the 
use of coastwise qualified-vessels, which procedures shall, 
among other things, establish that for purposes of this 
proviso, a coastwise-qualified vessel shall be deemed to be not 
available only (1) if upon application by an owner or operator 
for the use of a non-coastwise qualified launch barge for 
transportation of a platform jacket under this section, which 
application shall include all relevant information, including 
engineering details and timing requirements, the Secretary 
promptly publishes a notice in the Federal Register describing 
the project and the platform jacket involved, advising that all 
relevant information reasonably needed to assess the 
transportation requirements for the platform jacket will be 
made available to interested parties upon request, and 
requesting that information on the availability of coastwise-
qualified vessels be submitted within 30 days after publication 
of that notice; and (2) if either (A) no information is 
submitted to the Secretary within that 30 day period, or (B) 
although the owner or operator of a coastwise-qualified vessel 
submits information to the Secretary asserting that the owner 
or operator has a suitable coastwise-qualified vessel available 
for this transportation, the Secretary, within 90 days of the 
date on which the notice is first published determines that the 
coastwise-qualified vessel is not suitable or reasonably 
available for the transportation; and that, for the purposes of 
this proviso, the term `coastwise-qualified vessel' means a 
vessel that has been issued a certificate of documentation with 
a coastwise endorsement under section 12106 of title 46, United 
States Code, and the term `platform jacket' refers to a single 
physical component and includes any type of offshore 
exploration, development, or production structure or component 
thereof, including platform jackets, tension leg or SPAR 
platform superstructures (including the deck, drilling rig and 
support utilities, and supporting structure), hull (including 
vertical legs and connecting pontoons or vertical cylinder), 
tower and base sections of a platform jacket, jacket 
structures, and deck modules (known as `topsides').''.

SEC. 418. RENEWAL OF ADVISORY GROUPS.

    (a) Commercial Fishing Industry Vessel Safety Advisory 
Committee.--Section 4508(e)(1) of title 46, United States Code, 
is amended by striking ``of September 30, 2005'' and inserting 
``on September 30, 2010''.
    (b) Houston-Galveston Navigation Safety Advisory 
Committee.--Section 18 of the Coast Guard Authorization Act of 
1991 (Public Law 102-241; 105 Stat. 2213) is amended--
            (1) in subsection (b) by striking ``eighteen'' and 
        inserting ``19'';
            (2) by adding at the end of subsection (b) the 
        following:
            ``(12) One member representing recreational boating 
        interests.''; and
            (3) in subsection (h) by striking ``September 30, 
        2005'' and inserting ``September 30, 2010''.
    (c) Lower Mississippi River Waterway Safety Advisory 
Committee.--Section 19(g) of the Coast Guard Authorization Act 
of 1991 (Public Law 102-241) is amended by striking ``September 
30, 2005'' and inserting ``September 30, 2010''.
    (d) Great Lakes Pilotage Advisory Committee.--Section 
9307(f)(1) of title 46, United States Code, is amended by 
striking ``September 30, 2005'' and inserting ``September 30, 
2010''.
    (e) Navigation Safety Advisory Council.--Section 5(d) of 
the Inland Navigational Rules Act of 1980 (33 U.S.C. 2073(d)) 
is amended by striking ``September 30, 2005'' and inserting 
``September 30, 2010''.
    (f) National Boating Safety Advisory Council.--Section 
13110(e) of title 46, United States Code, is amended by 
striking ``September 30, 2005'' and inserting ``September 30, 
2010''.
    (g) Towing Safety Advisory Committee.--Public Law 96-380 
(33 U.S.C. 1231a) is amended in subsection (e) by striking 
``September 30, 2005'' and inserting ``September 30, 2010''.

                  TITLE V--FEDERAL MARITIME COMMISSION

SEC. 501. AUTHORIZATION OF APPROPRIATIONS FOR FEDERAL MARITIME 
                    COMMISSION.

    There are authorized to be appropriated to the Federal 
Maritime Commission--
            (1) for fiscal year 2005, $19,500,000;
            (2) for fiscal year 2006, $20,750,000;
            (3) for fiscal year 2007, $21,500,000; and
            (4) for fiscal year 2008, $22,575,000.

SEC. 502. REPORT ON OCEAN SHIPPING INFORMATION GATHERING EFFORTS.

    The Federal Maritime Commission shall transmit to the 
Senate Committee on Commerce, Science, and Transportation of 
the Senate and the Committee on Transportation and 
Infrastructure of the House of Representatives a report within 
90 days after the date of the enactment of this Act on the 
status of any agreements, or ongoing discussions with, other 
Federal, State, or local government agencies concerning the 
sharing of ocean shipping information for the purpose of 
assisting law enforcement or anti-terrorism efforts. The 
Commission shall include in the report recommendations on how 
the Commission's ocean shipping information could be better 
utilized by it and other Federal agencies to improve port 
security.

                        TITLE VI--MISCELLANEOUS

SEC. 601. INCREASE IN CIVIL PENALTIES FOR VIOLATIONS OF CERTAIN BRIDGE 
                    STATUTES.

    (a) General Bridge Act of 1906.--Section 5(b) of Act of 
March 23, 1906 (chapter 1130; 33 U.S.C. 495), popularly known 
as the General Bridge Act, is amended by striking ``$1,000'' 
and inserting ``$5,000 for a violation occurring in 2004; 
$10,000 for a violation occurring in 2005; $15,000 for a 
violation occurring in 2006; $20,000 for a violation occurring 
in 2007; and $25,000 for a violation occurring in 2008 and any 
year thereafter''.
    (b) Drawbridges.--Section 5(c) of the Act entitled ``An Act 
making appropriations for the construction, repair, and 
preservation of certain public works on rivers and harbors, and 
for other purposes'', approved August 18, 1894 (33 U.S.C. 
499(c)), is amended by striking ``$1,000'' and inserting 
``$5,000 for a violation occurring in 2004; $10,000 for a 
violation occurring in 2005; $15,000 for a violation occurring 
in 2006; $20,000 for a violation occurring in 2007; and $25,000 
for a violation occurring in 2008 and any year thereafter''.
    (c) Alteration, Removal, or Repair of Bridges.--Section 
18(c) of the Act entitled ``An Act making appropriations for 
the construction, repair, and preservation of certain public 
works on rivers and harbors, and for other purposes'', approved 
March 3, 1899 (33 U.S.C. 502(c)) is amended by striking 
``$1,000'' and inserting ``$5,000 for a violation occurring in 
2004; $10,000 for a violation occurring in 2005; $15,000 for a 
violation occurring in 2006; $20,000 for a violation occurring 
in 2007; and $25,000 for a violation occurring in 2008 and any 
year thereafter''.
    (d) General Bridge Act of 1946.--Section 510(b) of the 
General Bridge Act of 1946 (33 U.S.C. 533(b)) is amended by 
striking ``$1,000'' and inserting ``$5,000 for a violation 
occurring in 2004; $10,000 for a violation occurring in 2005; 
$15,000 for a violation occurring in 2006; $20,000 for a 
violation occurring in 2007; and $25,000 for a violation 
occurring in 2008 and any year thereafter''.

SEC. 602. CONVEYANCE OF DECOMMISSIONED COAST GUARD CUTTERS.

    (a) In General.--The Commandant of the Coast Guard may 
convey all right, title, and interest of the United States in 
and to a vessel described in subsection (b) to the person 
designated in subsection (b) with respect to the vessel (in 
this section referred to as the ``recipient''), without 
consideration, if the person complies with the conditions under 
subsection (c).
    (b) Vessels Described.--The vessels referred to in 
subsection (a) are the following:
            (1) The Coast Guard Cutter BRAMBLE, to be conveyed 
        to the Port Huron Museum of Arts and History (a 
        nonprofit corporation under the laws of the State of 
        Michigan), located in Port Huron, Michigan.
            (2) The Coast Guard Cutter PLANETREE, to be 
        conveyed to Jewish Life (a nonprofit corporation under 
        the laws of the State of California), located in 
        Sherman Oaks, California.
            (3) The Coast Guard Cutter SUNDEW, to be conveyed 
        to Duluth Entertainment and Convention Center Authority 
        (a nonprofit corporation under the laws of the State of 
        Minnesota), located in Duluth, Minnesota.
    (c) Conditions.--As a condition of any conveyance of a 
vessel under subsection (a), the Commandant shall require the 
recipient--
            (1) to agree--
                    (A) to use the vessel for purposes of 
                education and historical display;
                    (B) not to use the vessel for commercial 
                transportation purposes;
                    (C) to make the vessel available to the 
                United States Government if needed for use by 
                the Commandant in time of war or a national 
                emergency; and
                    (D) to hold the Government harmless for any 
                claims arising from exposure to hazardous 
                materials, including asbestos and 
                polychlorinated biphenyls (PCBs), after 
                conveyance of the vessel, except for claims 
                arising from use of the vessel by the 
                Government under subparagraph (C);
            (2) to have funds available that will be committed 
        to operate and maintain the vessel conveyed in good 
        working condition--
                    (A) in the form of cash, liquid assets, or 
                a written loan commitment; and
                    (B) in an amount of at least $700,000; and
            (3) to agree to any other conditions the Commandant 
        considers appropriate.
    (d) Maintenance and Delivery of Vessel.--Prior to 
conveyance of a vessel under this section, the Commandant may, 
to the extent practical, and subject to other Coast Guard 
mission requirements, make every effort to maintain the 
integrity of the vessel and its equipment until the time of 
delivery. The Commandant shall deliver a vessel conveyed under 
this section at the place where the vessel is located, in its 
present condition, and without cost to the Government. The 
conveyance of a vessel under this section shall not be 
considered a distribution in commerce for purposes of section 
6(e) of the Toxic Substances Control Act (15 U.S.C. 2605(e)).
    (e) Other Excess Equipment.--The Commandant may convey to 
the recipient of a vessel under this section any excess 
equipment or parts from other decommissioned Coast Guard 
vessels for use to enhance the vessel's operability and 
function as an historical display.

SEC. 603. TONNAGE MEASUREMENT.

    (a) In General.--The Secretary of the department in which 
the Coast Guard is operating may apply section 8104(o)(2) of 
title 46, United States Code, to the vessels described in 
subsection (b) without regard to the tonnage of those vessels.
    (b) Vessels Described.--The vessels referred to in 
subsection (a) are the following:
            (1) The M/V BLUEFIN (United States official number 
        620431).
            (2) The M/V COASTAL MERCHANT (United States 
        official number 1038382).
    (c) Application.--Subsection (a) shall not apply to a 
vessel described in subsection (b)--
            (1) until the Secretary determines that the 
        application of subsection (a) will not compromise 
        safety; and
            (2) on or after any date on which the Secretary 
        determines that the vessel has undergone any major 
        modification.

SEC. 604. OPERATION OF VESSEL STAD AMSTERDAM.

    (a) In General.--Notwithstanding section 8 of the Act of 
June 19, 1886 (46 App. U.S.C. 289), and the ruling by the 
Acting Director of the International Trade Compliance Division 
of the Customs Service on May 17, 2002 (Customs Bulletins and 
Decisions, Vol. 36, No. 23, June 5, 2002), the vessel STAD 
AMSTERDAM (International Maritime Organization number 9185554) 
shall be authorized to carry within United States waters and 
between ports or places in the United States individuals who 
are not directly and substantially connected with the 
operation, navigation, ownership, or business of the vessel, 
who are friends, guests, or employees of the owner of the 
vessel, and who are not actual or prospective customers for 
hire of the vessel.
    (b) Limitation.--This section does not authorize the vessel 
STAD AMSTERDAM--
            (1) to be used to carry individuals for a fare or 
        to be chartered on a for hire basis in the coastwise 
        trade; or
            (2) to carry individuals described in subsection 
        (a) within United States waters and between ports or 
        places in the United States for more than 45 calendar 
        days in any calendar year.
    (c) Revocation.--The Secretary of the department in which 
the Coast Guard is operating shall revoke the authorization 
provided by subsection (a) if the Secretary determines that the 
STAD AMSTERDAM has been operated in violation of the 
limitations imposed by subsection (b).

SEC. 605. GREAT LAKES NATIONAL MARITIME ENHANCEMENT INSTITUTE.

    (a) Authority To Designate Institute.--The Secretary of 
Transportation may designate a National Maritime Enhancement 
Institute for the Great Lakes region under section 8 of the Act 
of October 13, 1989 (103 Stat. 694; 46 U.S.C. App. 1121-2). In 
making any decision on the designation of such an institute, 
the Secretary shall consider the unique characteristics of 
Great Lakes maritime industry and trade.
    (b) Study and Report.--
            (1) In general.--The Secretary of Transportation 
        shall conduct a study that--
                    (A) evaluates short sea shipping market 
                opportunities on the Great Lakes, including the 
                expanded use of freight ferries, improved 
                mobility, and regional supply chain efficiency;
                    (B) evaluates markets for foreign trade 
                between ports on the Great Lakes and draft-
                limited ports in Europe and Africa;
                    (C) evaluates the environmental benefits of 
                waterborne transportation in the Great Lakes 
                region;
                    (D) analyzes the effect on Great Lakes 
                shipping of the tax imposed by section 4461(a) 
                of the Internal Revenue Code of 1986;
                    (E) evaluates the state of shipbuilding and 
                ship repair bases on the Great Lakes;
                    (F) evaluates opportunities for passenger 
                vessel services on the Great Lakes;
                    (G) analyzes the origin-to-destination flow 
                of freight cargo in the Great Lakes region that 
                may be transported on vessels to relieve 
                congestion in other modes of transportation;
                    (H) evaluates the economic viability of 
                establishing transshipment facilities for 
                oceangoing cargoes on the Great Lakes;
                    (I) evaluates the adequacy of the 
                infrastructure in Great Lakes ports to meet the 
                needs of marine commerce; and
                    (J) evaluates new vessel designs for 
                domestic and international shipping on the 
                Great Lakes.
            (2) Use of national maritime enhancement 
        institutes.--In conducting the study required by 
        paragraph (1), the Secretary may utilize the services 
        of any recognized National Maritime Enhancement 
        Institute.
            (3) Reports.--The Secretary shall submit an annual 
        report on the findings and conclusions of the study 
        under this section to the Committee on Commerce, 
        Science, and Transportation of the Senate and the 
        Committee on Transportation and Infrastructure of the 
        House of Representatives--
                    (A) by not later than 1 year after the date 
                of the enactment of this Act; and
                    (B) by not later than 1 year after the date 
                of submission of the report under subparagraph 
                (A).
            (4) Authorization of appropriations.--There is 
        authorized to be appropriated to the Secretary 
        $1,500,000 for each of fiscal years 2005 and 2006 to 
        carry out paragraph (1).

SEC. 606. KOSS COVE.

    (a) In General.--Notwithstanding any other provision of law 
or existing policy, the cove described in subsection (b) shall 
be known and designated as ``Koss Cove'', in honor of the late 
Able Bodied Seaman Eric Steiner Koss of the National Oceanic 
and Atmospheric Administration vessel RAINIER who died in the 
performance of a nautical charting mission off the coast of 
Alaska.
    (b) Cove Described.--The cove referred to in subsection (a) 
is--
            (1) adjacent to and southeast of Point Elrington, 
        Alaska, and forms a portion of the southern coast of 
        Elrington Island;
            (2) \3/4\ mile across the mouth;
            (3) centered at 59 degrees 56.1 minutes North, 148 
        degrees 14 minutes West; and
            (4) 45 miles from Seward, Alaska.
    (c) References.--Any reference in any law, regulation, 
document, record, map, or other paper of the United States to 
the cove described in subsection (b) is deemed to be a 
reference to Koss Cove.

SEC. 607. MISCELLANEOUS CERTIFICATES OF DOCUMENTATION.

    Notwithstanding section 27 of the Merchant Marine Act, 1920 
(46 App. U.S.C. 883), section 8 of the Act of June 19, 1886 (24 
Stat. 81, chapter 421; 46 App. U.S.C. 289), and section 12106 
of title 46, United States Code, the Secretary of the 
department in which the Coast Guard is operating may issue a 
certificate of documentation with appropriate endorsement for 
employment in the coastwise trade for the following vessels:
            (1) OCEAN LEADER (United States official number 
        679511).
            (2) REVELATION (United States official number 
        1137565).
            (3) W. N. RAGLAND (Washington State registration 
        number WN5506NE).
            (4) M/T MISS LINDA (United States official number 
        1140552).

SEC. 608. REQUIREMENTS FOR COASTWISE ENDORSEMENT.

    (a) In General.--Section 12106 of title 46, United States 
Code, is amended--
            (1) by striking subsection (e)(1)(B) and inserting 
        the following:
            ``(B) the person that owns the vessel (or, if the 
        vessel is owned by a trust or similar arrangement, the 
        beneficiary of the trust or similar arrangement) meets 
        the requirements of subsection (f);''; and
            (2) by adding at the end the following:
    ``(f) Ownership Certification Requirement.--
            ``(1) In general.--A person meets the requirements 
        of this subsection if that person transmits to the 
        Secretary each year the certification required by 
        paragraph (2) or (3) with respect to a vessel.
            ``(2) Investment certification.--To meet the 
        certification requirement of this paragraph, a person 
        shall certify that it--
                    ``(A) is a leasing company, bank, or 
                financial institution;
                    ``(B) owns, or holds the beneficial 
                interest in, the vessel solely as a passive 
                investment;
                    ``(C) does not operate any vessel for hire 
                and is not an affiliate of any person who 
                operates any vessel for hire; and
                    ``(D) is independent from, and not an 
                affiliate of, any charterer of the vessel or 
                any other person who has the right, directly or 
                indirectly, to control or direct the movement 
                or use of the vessel.
            ``(3) Certain tank vessels.--
                    ``(A) In general.--To meet the 
                certification requirement of this paragraph, a 
                person shall certify that--
                            ``(i) the aggregate book value of 
                        the vessels owned by such person and 
                        United States affiliates of such person 
                        does not exceed 10 percent of the 
                        aggregate book value of all assets 
                        owned by such person and its United 
                        States affiliates;
                            ``(ii) not more than 10 percent of 
                        the aggregate revenues of such person 
                        and its United States affiliates is 
                        derived from the ownership, operation, 
                        or management of vessels;
                            ``(iii) at least 70 percent of the 
                        aggregate tonnage of all cargo carried 
                        by all vessels owned by such person and 
                        its United States affiliates and 
                        documented under this section is 
                        qualified proprietary cargo;
                            ``(iv) any cargo other than 
                        qualified proprietary cargo carried by 
                        all vessels owned by such person and 
                        its United States affiliates and 
                        documented under this section consists 
                        of oil, petroleum products, 
                        petrochemicals, or liquified natural 
                        gas;
                            ``(v) no vessel owned by such 
                        person or any of its United States 
                        affiliates and documented under this 
                        section carries molten sulphur; and
                            ``(vi) such person owned 1 or more 
                        vessels documented under subsection (e) 
                        of this section as of the date of 
                        enactment of the Coast Guard and 
                        Maritime Transportation Act of 2004.
                    ``(B) Application only to certain 
                vessels.--A person may make a certification 
                under this paragraph only with respect to--
                            ``(i) a tank vessel having a 
                        tonnage of not less than 6,000 gross 
                        tons, as measured under section 14502 
                        of this title (or an alternative 
                        tonnage measured under section 14302 of 
                        this title as prescribed by the 
                        Secretary under section 14104 of this 
                        title); or
                            ``(ii) a towing vessel associated 
                        with a non-self-propelled tank vessel 
                        that meets the requirements of clause 
                        (i), where the 2 vessels function as a 
                        single self-propelled vessel.
            ``(4) Definitions.--In this subsection:
                    ``(A) Affiliate.--The term `affiliate' 
                means, with respect to any person, any other 
                person that is--
                            ``(i) directly or indirectly 
                        controlled by, under common control 
                        with, or controlling such person; or
                            ``(ii) named as being part of the 
                        same consolidated group in any report 
                        or other document submitted to the 
                        United States Securities and Exchange 
                        Commission or the Internal Revenue 
                        Service.
                    ``(B) Cargo.--The term `cargo' does not 
                include cargo to which title is held for non-
                commercial reasons and primarily for the 
                purpose of evading the requirements of 
                paragraph (3).
                    ``(C) Oil.--The term `oil' has the meaning 
                given that term in section 2101(20) of this 
                title.
                    ``(D) Passive investment.--The term 
                `passive investment' means an investment in 
                which neither the investor nor any affiliate of 
                such investor is involved in, or has the power 
                to be involved in, the formulation, 
                determination,or direction of any activity or 
function concerning the management, use, or operation of the asset that 
is the subject of the investment.
                    ``(E) Qualified proprietary cargo.--The 
                term `qualified proprietary cargo' means--
                            ``(i) oil, petroleum products, 
                        petrochemicals, or liquefied natural 
                        gas cargo that is beneficially owned by 
                        the person who submits to the Secretary 
                        an application or annual certification 
                        under paragraph (3), or by an affiliate 
                        of such person, immediately before, 
                        during, or immediately after such cargo 
                        is carried in coastwise trade on a 
                        vessel owned by such person;
                            ``(ii) oil, petroleum products, 
                        petrochemicals, or liquefied natural 
                        gas cargo not beneficially owned by the 
                        person who submits to the Secretary an 
                        application or an annual certification 
                        under paragraph (3), or by an affiliate 
                        of such person, but that is carried in 
                        coastwise trade by a vessel owned by 
                        such person and which is part of an 
                        arrangement in which vessels owned by 
                        such person and at least one other 
                        person are operated collectively as one 
                        fleet, to the extent that an equal 
                        amount of oil, petroleum products, 
                        petrochemicals, or liquefied natural 
                        gas cargo beneficially owned by such 
                        person, or an affiliate of such person, 
                        is carried in coastwise trade on 1 or 
                        more other vessels, not owned by such 
                        person, or an affiliate of such person, 
                        if such other vessel or vessels are 
                        also part of the same arrangement;
                            ``(iii) in the case of a towing 
                        vessel associated with a non-self-
                        propelled tank vessel where the 2 
                        vessels function as a single self-
                        propelled vessel, oil, petroleum 
                        products, petrochemicals, or liquefied 
                        natural gas cargo that is beneficially 
                        owned by the person who owns both such 
                        towing vessel and the non-self-
                        propelled tank vessel, or any United 
                        States affiliate of such person, 
                        immediately before, during, or 
                        immediately after such cargo is carried 
                        in coastwise trade on either of the 2 
                        vessels; or
                            ``(iv) any oil, petroleum products, 
                        petrochemicals, or liquefied natural 
                        gas cargo carried on any vessel that is 
                        either a self-propelled tank vessel 
                        having a length of at least 210 meters 
                        or a tank vessel that is a liquefied 
                        natural gas carrier that--
                                    ``(I) was delivered by the 
                                builder of such vessel to the 
                                owner of such vessel after 
                                December 31, 1999; and
                                    ``(II) was purchased by a 
                                person for the purpose, and 
                                with the reasonable 
                                expectation, of transporting on 
                                such vessel liquefied natural 
                                gas or unrefined petroleum 
                                beneficially owned by the owner 
                                of such vessel, or an affiliate 
                                of such owner, from Alaska to 
                                the continental United States.
                    ``(F) United States affiliate.--The term 
                `United States affiliate' means, with respect 
                to any person, an affiliate the principal place 
                of business of which is located in the United 
                States.''.
    (b) Treatment of Owner of Certain Vessels.--
            (1) In general.--Notwithstanding any other 
        provision of law, a person shall be treated as a 
        citizen of the United States under section 12102(a) of 
        title 46, United States Code, section 2 of the Shipping 
        Act, 1916 (46 U.S.C. App. 802), and section 27 of the 
        Merchant Marine Act, 1920 (46 U.S.C. App. 883), for 
        purposes of issuance of a coastwise endorsement under 
        section 12106(e) of title 46, United States Code (as 
        that section was in effect on the day before the date 
        of enactment of this Act), for a vessel owned by the 
        person on the date of enactment of this Act, or any 
        replacement vessel of a similar size and function, if 
        the person--
                    (A) owned a vessel before January 1, 2001, 
                that had a coastwise endorsement under section 
                12106(e) of title 46, United States Code; and
                    (B) as of the date of the enactment of this 
                Act, derives substantially all of its revenue 
                from leasing vessels engaged in the 
                transportation or distribution of petroleum 
                products and other cargo in Alaska.
            (2) Limitation on coastwise trade.--A vessel owned 
        by a person described in paragraph (1) for which a 
        coastwise endorsement is issued under section 12106(e) 
        of title 46, United States Code, may be employed in the 
        coastwise trade only within Alaska and in the coastwise 
        trade to and from Alaska.
            (3) Termination.--The application of this 
        subsection to a person described in paragraph (1) shall 
        terminate if all of that person's vessels described in 
        paragraph (1) are sold to a person eligible to document 
        vessels under section 12106(a) of title 46, United 
        States Code.
    (c) Application to Certain Certificates.--
            (1) In general.--The amendments made by this 
        section, and any regulations published after February 
        4, 2004, with respect to coastwise endorsements, shall 
        not apply to a certificate of documentation, or renewal 
        thereof, endorsed with a coastwise endorsement for a 
        vessel under section 12106(e) of title 46, United 
        States Code, or a replacement vessel of a similar size 
        and function, that was issued prior to the date of 
        enactment of this Act as long as the vessel is owned by 
        the person named therein, or by a subsidiary or 
        affiliate of that person, and the controlling interest 
        in such owner has not been transferred to a person that 
        was not an affiliate of such owner as of the date of 
        enactment of this Act. Notwithstanding the preceding 
        sentence, however, the amendments made by this section 
        shall apply, beginning 3 years after the date of 
        enactment of this Act, with respect to offshore supply 
        vessels (as defined in section 2101(19) of title 46, 
        United States Code, as that section was in effect on 
        the date of enactment of this Act) with a certificate 
        of documentation endorsed with a coastwise endorsement 
        as of the date of enactment of this Act, and the 
        Secretary of the Department in which the Coast Guard is 
        operating shall revoke any such certificate if the 
        vessel does not by then meet the requirements of 
        section 12106(e) of title 46, United States Code, as 
        amended by this section.
            (2) Replacement vessel.--For the purposes of this 
        subsection, ``replacement vessel'' means--
                    (A) a temporary replacement vessel for a 
                period of not to exceed 180 days if the vessel 
                described in paragraph (1) is unavailable due 
                to an act of God or a marine casualty; or
                    (B) a permanent replacement vessel if--
                            (i) the vessel described in 
                        paragraph (1) is unavailable for more 
                        than 180 days due to an act of God or a 
                        marine casualty; or
                            (ii) a contract to purchase or 
                        construct such replacement vessel is 
                        executed not later than December 31, 
                        2004.
    (d) Waiver.--The Secretary of Transportation shall waive or 
reduce the qualified proprietary cargo requirement of section 
12106(f)(3)(A)(iii) of title 46, United States Code, for a 
vessel if the person that owns the vessel (or, if the vessel is 
owned by a trust or similar arrangement, the beneficiary of the 
trust or similar arrangement) notifies the Secretary that 
circumstances beyond the direct control of such person or its 
affiliates prevent, or reasonably threaten to prevent, such 
person from satisfying such requirement, and the Secretary does 
not, with good cause, determine otherwise. The waiver or 
reduction shall apply during the period of time that such 
circumstances exist.
    (e) Regulations.--No later than one year after the date of 
the enactment of this Act, the Secretary of the department in 
which the Coast Guard is operating shall prescribe final 
regulations to carry out this section, including amendments 
made by this section to section 12106 of title 46, United 
States Code.

SEC. 609. CORRECTION OF REFERENCES TO NATIONAL DRIVER REGISTER.

    Title 46, United States Code, is amended--
            (1) in section 7302--
                    (A) by striking ``section 206(b)(7) of the 
                National Driver Register Act of 1982 (23 U.S.C. 
                401 note)'' and inserting ``30305(b)(5) of 
                title 49''; and
                    (B) by striking ``section 205(a)(3)(A) or 
                (B) of that Act'' and inserting 
                ``30304(a)(3)(A) or (B) of title 49'';
            (2) in section 7702(d)(1)(B)(iii) by striking 
        ``section 205(a)(3)(A) or (B) of the National Driver 
        Register Act of 1982'' and inserting ``section 
        30304(a)(3)(A) or (B) of title 49''; and
            (3) in section 7703(3) by striking ``section 
        205(a)(3)(A) or (B) of the National Driver Register Act 
        of 1982'' and inserting ``section 30304(a)(3)(A) or (B) 
        of title 49''.

SEC. 610. WATEREE RIVER.

    For purposes of bridge administration, the portion of the 
Wateree River in the State of South Carolina, from a point 100 
feet upstream of the railroad bridge located at approximately 
mile marker 10.0 to a point 100 feet downstream of such bridge, 
is declared to not be navigable waters of the United States for 
purposes of the General Bridge Act of 1946 (33 U.S.C. 525 et 
seq.).

SEC. 611. MERCHANT MARINERS' DOCUMENTS PILOT PROGRAM.

    The Secretary of the department in which the Coast Guard is 
operating may conduct a pilot program to demonstrate methods to 
improve processes and procedures for issuing merchant mariners' 
documents.

SEC. 612. CONVEYANCE.

    (a) Authority To Convey.--
            (1) In general.--Notwithstanding any other 
        provision of law, the Secretary of the department in 
        which the Coast Guard is operating shall convey, by an 
        appropriate means of conveyance, all right, title, and 
        interest of the United States in and to Sentinel 
        Island, Alaska, to the entity to which the Sentinel 
        Island Light Station is conveyed under section 308(b) 
        of the National Historic Preservation Act (16 U.S.C. 
        470w-7(b)).
            (2) Identification of property.--The Secretary may 
        identify, describe, and determine the property to be 
        conveyed under this subsection.
            (3) Limitation.--The Secretary may not under this 
        section convey--
                    (A) any historical artifact, including any 
                lens or lantern, located on property conveyed 
                under this section at or before the time of the 
                conveyance; or
                    (B) any interest in submerged land.
    (b) General Terms and Conditions.--
            (1) In general.--Any conveyance of property under 
        this section shall be made--
                    (A) without payment of consideration; and
                    (B) subject to the terms and conditions 
                required by this section and other terms and 
                conditions the Secretary may consider 
                appropriate, including the reservation of 
                easements and other rights on behalf of the 
                United States.
            (2) Reversionary interest.--In addition to any term 
        or condition established under this section, any 
        conveyance of property under this section shall be 
        subject to the condition that all right, title, and 
        interest in the property, at the option of the 
        Secretary shall revert to the United States and be 
        placed under the administrative control of the 
        Secretary, if--
                    (A) the property, or any part of the 
                property--
                            (i) ceases to be available and 
                        accessible to the public, on a 
                        reasonable basis, for educational, 
                        park, recreational, cultural, historic 
                        preservation, or other similar purposes 
                        specified for the property in the terms 
                        of conveyance;
                            (ii) ceases to be maintained in a 
                        manner that is consistent with its 
                        present or future use as a site for 
                        Coast Guard aids to navigation or 
                        compliance with this section; or
                            (iii) ceases to be maintained in a 
                        manner consistent with the conditions 
                        in paragraph (4) established by the 
                        Secretary pursuant to the National 
                        Historic Preservation Act (16 U.S.C. 
                        470 et seq.); or
                    (B) at least 30 days before that reversion, 
                the Secretary provides written notice to the 
                owner that the property is needed for national 
                security purposes.
            (3) Maintenance of navigation functions.--Any 
        conveyance of property under this section shall be made 
        subject to the conditions that the Secretary considers 
        to be necessary to assure that--
                    (A) the lights, antennas, and associated 
                equipment located on the property conveyed that 
                are active aids to navigation shall continue to 
                be operated and maintained by the United States 
                for as long as they are needed for this 
                purpose;
                    (B) the owner of the property may not 
                interfere or allow interference in any manner 
                with aids to navigation without express written 
                permission from the Commandant of the Coast 
                Guard;
                    (C) there is reserved to the United States 
                the right to relocate, replace, or add any aids 
                to navigation or make any changes to the 
                property conveyed as may be necessary for 
                navigational purposes;
                    (D) the United States shall have the right, 
                at any time, to enter the property without 
                notice for the purpose of operating, 
                maintaining, and inspecting aids to navigation 
                and for the purpose of enforcing compliance 
                with this subsection; and
                    (E) the United States shall have an 
                easement of access to and across the property 
                for the purpose of maintaining the aids to 
                navigation in use on the property.
            (4) Maintenance of property.--
                    (A) In general.--Subject to subparagraph 
                (B), the owner of a property conveyed under 
                this section shall maintain the property in a 
                proper, substantial, and workmanlike manner, 
                and in accordance with any conditions 
                established by the Secretary pursuant to the 
                National Historic Preservation Act (16 U.S.C. 
                470 et seq.) and other applicable laws.
                    (B) Limitation.--The owner of a property 
                conveyed under this section is not required to 
                maintain any active aids to navigation on the 
                property, except private aids to navigation 
                authorized under section 83 of title 14, United 
                States Code.
    (c) Definitions.--In this section, the following 
definitions apply:
            (1) Aids to navigation.--The term ``aids to 
        navigation'' means equipment used for navigation 
        purposes, including a light, antenna, radio, sound 
        signal, electronic navigation equipment, or other 
        associated equipment that are operated or maintained by 
        the United States.
            (2) Owner.--The term ``owner'' means, for property 
        conveyed under this section, the person to which 
        property is conveyed under subsection (a)(1), and any 
        successor or assign of that person.

SEC. 613. BRIDGE ADMINISTRATION.

    Section 325(b) of the Department of Transportation and 
Related Agencies Appropriations Act, 1983 (Pub. L. 97-369; 96 
Stat. 1765) is amended by striking ``provides at least thirty 
feet of vertical clearance Columbia Riverdatum and at least 
eighty feet of horizontal clearance, as'' and inserting ``is so''.

SEC. 614. SENSE OF CONGRESS REGARDING CARBON MONOXIDE AND WATERCRAFT.

    It is the sense of the Congress that the Coast Guard should 
continue--
            (1) to place a high priority on addressing the 
        safety risks posed to boaters by elevated levels of 
        carbon monoxide that are unique to watercraft; and
            (2) to work with vessel and engine manufacturers, 
        the American Boat & Yacht Council, other Federal 
        agencies, and the entire boating community in order to 
        determine the best ways to adequately address this 
        public safety issue and minimize the number of tragic 
        carbon monoxide-related boating deaths that occur each 
        year.

SEC. 615. MITIGATION OF PENALTY DUE TO AVOIDANCE OF A CERTAIN 
                    CONDITION.

    (a) Treatment of Violation.--For purposes of any 
administrative proceeding to consider mitigation of any civil 
penalty for a violation described in subsection (b), such 
violation is deemed to have been committed by reason of a 
safety concern.
    (b) Violation Described.--A violation referred to in 
subsection (a) is any violation of the Act of June 19, 1886 
(chapter 421; 46 App. U.S.C. 289), occurring before April 1, 
2003, and consisting of operation of a passenger vessel in 
transporting passengers between the Port of New Orleans and 
another port on the Gulf of Mexico at a time when the master of 
the vessel determined that the vertical clearance on the 
Mississippi River at Chalmette, Louisiana, was insufficient to 
allow the safe return transport of passengers on that vessel to 
the Port of New Orleans.
    (c) Related Penalty Amount.--Any civil penalty assessed for 
a violation of that Act by a vessel described in subsection 
(b), that was committed when that vessel was repositioning to 
the Port of New Orleans in July 2003, shall be mitigated to an 
amount not to exceed $100 per passenger.

SEC. 616. CERTAIN VESSELS TO BE TOUR VESSELS.

    (a) Vessels Deemed Tour Vessels.--Notwithstanding any other 
law, a passenger vessel that is not less than 100 gross tons 
and not greater than 300 gross tons is deemed to be a tour 
vessel for the purpose of permit allocation regulations under 
section 3(h) of Public Law 91-383 (16 U.S.C. 1a-2(h)) and 
section 3 of the Act of August 25, 1916 (16 U.S.C. 3), with 
respect to vessel operations in Glacier Bay National Park and 
Preserve, Alaska (in this section referred to as ``Glacier 
Bay''), if the Secretary of the department in which the Coast 
Guard is operating determines that the vessel--
            (1) has equipment installed that permits all 
        graywater and blackwater to be stored on board for at 
        least 24 hours;
            (2) has a draft of not greater than 15 feet;
            (3) has propulsion equipment of not greater than 
        5,000 horsepower; and
            (4) is documented under the laws of the United 
        States.
    (b) Reallocation of Permits.--
            (1) Reallocation required.--Subject to paragraph 
        (2), the Secretary of the Interior, upon application by 
        the operator of a passenger vessel deemed to be a tour 
        vessel under subsection (a), shall reallocate to that 
        vessel any available tour vessel concession permit not 
        used by another vessel, if at the time of application 
        that permit is not sought by a tour vessel of less than 
        100 gross tons.
            (2) Limitations.--No more than three passenger 
        vessels that are deemed to be a tour vessel under 
        subsection (a) may hold a tour vessel concession permit 
        at any given time, and no more than one such vessel may 
        enter Glacier Bay on any particular date.
    (c) Compliance With Vessel Requirements.--
            (1) Requirement to comply.--Except as otherwise 
        provided in this section, a vessel reallocated a tour 
        vessel concession permit under this section shall 
        comply with all regulations and requirements for 
        Glacier Bay applicable to vessels of at least 100 gross 
        tons.
            (2) Revocation of permit.--The Secretary of the 
        Interior may revoke a tour vessel concession permit 
        reallocated to a vessel under this section if that 
        vessel--
                    (A) discharges graywater or blackwater in 
                Glacier Bay; or
                    (B) violates a vessel operating requirement 
                for Glacier Bay that applies to vessels that 
                are at least 100 gross tons, including 
                restrictions pertaining to speed, route, and 
                closed waters.
    (d) Treatment of Entries Into Glacier Bay.--An entry into 
Glacier Bay by a vessel reallocated a tour vessel concession 
permit under this section shall count against the daily vessel 
quota and seasonal-use days applicable to entries by tour 
vessels and shall not count against the daily vessel quota or 
seasonal-use days of any other class of vessel.

SEC. 617. SENSE OF CONGRESS REGARDING TIMELY REVIEW AND ADJUSTMENT OF 
                    GREAT LAKES PILOTAGE RATES.

    It is the sense of the Congress that the Secretary of the 
department in which the Coast Guard is operating should, on a 
timely basis, review and adjust the rates payable under part 
401 of title 46, Code of Federal Regulations, for services 
performed by United States registered pilots on the Great 
Lakes.

SEC. 618. WESTLAKE CHEMICAL BARGE DOCUMENTATION.

    Notwithstanding section 27 of the Merchant Marine Act, 1920 
(46 App. U.S.C. 883) and section 12106 of title 46, United 
States Code, the Secretary of the department in which the Coast 
Guard is operating may issue a certificate of documentation 
with appropriate endorsement for employment in the coastwise 
trade for each of the following vessels:
            (1) Barge WCAO-101 (United States official number 
        506677).
            (2) Barge WCAO-102 (United States official number 
        506851).
            (3) Barge WCAO-103 (United States official number 
        506852).
            (4) Barge WCAO-104 (United States official number 
        507172).
            (5) Barge WCAO-105 (United States official number 
        507173).
            (6) Barge WCAO-106 (United States official number 
        620514).
            (7) Barge WCAO-107 (United States official number 
        620515).
            (8) Barge WCAO-108 (United States official number 
        620516).
            (9) Barge WCAO-3002 (United States official number 
        295147).
            (10) Barge WCAO-3004 (United States official number 
        517396).

SEC. 619. CORRECTION TO DEFINITION.

    Paragraph (4) of section 2 of the Enhanced Border Security 
and Visa Entry Reform Act of 2002 (Public Law 107-173) is 
amended by striking subparagraph (G) and inserting the 
following:
                    ``(G) The Coast Guard.''.

SEC. 620. LORAN-C.

    There are authorized to be appropriated to the Department 
of Transportation, in addition to funds authorized for the 
Coast Guard for operation of the LORAN-C system, for capital 
expenses related to LORAN-C navigation infrastructure, 
$25,000,000 for fiscal year 2005. The Secretary of 
Transportation may transfer from theFederal Aviation 
Administration and other agencies of the Department funds appropriated 
as authorized under this section in order to reimburse the Coast Guard 
for related expenses.

SEC. 621. DEEPWATER REPORT.

    (a) Report.--No later than 180 days after enactment of this 
Act, the Coast Guard shall provide a written report to the 
Committee on Commerce, Science, and Transportation of the 
Senate and the Committee on Transportation and Infrastructure 
of the House of Representatives with respect to performance 
under the first term of the Integrated Deepwater System 
contract.
    (b) Contents.--The report shall include the following:
            (1) An analysis of how well the prime contractor 
        has met the two key performance goals of operational 
        effectiveness and minimizing total ownership costs.
            (2) A description of the measures implemented by 
        the prime contractor to meet these goals and how these 
        measures have been or will be applied for subcontracts 
        awarded during the 5-year term of the contract, as well 
        as criteria used by the Coast Guard to assess the 
        contractor's performance against these goals.
            (3) To the extent available, performance and cost 
        comparisons of alternatives examined in implementing 
        the contract.
            (4) A detailed description of the measures that the 
        Coast Guard has taken to implement the recommendations 
        of the General Accounting Office's March 2004 report on 
        the Deepwater program (including the development of 
        measurable award fee criteria, improvements to 
        integrated product teams, and a plan for ensuring 
        competition of subcontracts).
            (5) A description of any anticipated changes to the 
        mix of legacy and replacement assets over the life of 
        the program, including Coast Guard infrastructure and 
        human capital needs for integrating such assets, and a 
        timetable and estimated costs for maintaining each 
        legacy asset and introducing each replacement asset 
        over the life of the contract, including a comparison 
        to any previous estimates of such costs on an asset-
        specific basis.

SEC. 622. JUDICIAL REVIEW OF NATIONAL TRANSPORTATION SAFETY BOARD FINAL 
                    ORDERS.

    Section 1153 of title 49, United States Code, is amended by 
adding at the end the following:
    ``(d) Commandant Seeking Judicial Review of Maritime 
Matters.--If the Commandant of the Coast Guard decides that an 
order of the Board issued pursuant to a review of a Coast Guard 
action under section 1133 of this title will have an adverse 
impact on maritime safety or security, the Commandant may 
obtain judicial review of the order under subsection (a). The 
Commandant, in the official capacity of the Commandant, shall 
be a party to the judicial review proceedings.''.

SEC. 623. INTERIM AUTHORITY FOR DRY BULK CARGO RESIDUE DISPOSAL.

    (a) Extension of Interim Authority.--The Secretary of the 
Department in which the Coast Guard is operating shall continue 
to implement and enforce United States Coast Guard 1997 
Enforcement Policy for Cargo Residues on the Great Lakes 
(hereinafter in this section referred to as the ``Policy'') or 
revisions thereto, in accordance with that policy, for the 
purpose of regulating incidental discharges from vessels of 
residues of dry bulk cargo into the waters of the Great Lakes 
under the jurisdiction of the United States, until the earlier 
of--
            (1) the date regulations are promulgated under 
        subsection (b) for the regulation of incidental 
        discharges from vessels of dry bulk cargo residue into 
        the waters of the Great Lakes under the jurisdiction of 
        the United States; or
            (2) September 30, 2008.
    (b) Permanent Authority.--Notwithstanding any other law, 
the Commandant of the Coast Guard may promulgate regulations 
governing the discharge of dry bulk cargo residue on the Great 
Lakes.
    (c) Environmental Assessment.--No later than 90 days after 
the date of the enactment of this Act, the Secretary of the 
department in which the Coast Guard is operating shall commence 
the environmental assessment necessary to promulgate the 
regulations under subsection (b).

SEC. 624. SMALL PASSENGER VESSEL REPORT.

    (a) In General.--Not later than 180 days after the date of 
the enactment of this Act, the Secretary of the department in 
which the Coast Guard is operating shall study and report to 
the Congress regarding measures that should be taken to 
increase the likelihood of survival of passengers on small 
passenger vessels who may be in the water resulting from the 
capsizing of, sinking of, or other marine casualty involving 
the small passenger vessel. The study shall include a review of 
the adequacy of existing measures--
            (1) to keep the passengers out of the water, 
        including inflatable life rafts and other out-of-the-
        water survival crafts;
            (2) to protect individuals from hypothermia and 
        cold shock in water having a temperature of less than 
        68 degrees Fahrenheit;
            (3) for safe egress of passengers wearing personal 
        flotation devices; and
            (4) for the enforcement efforts and degree of 
        compliance regarding the 1996 amendments to the Small 
        Passenger Vessel Regulations (part 185 of title 46, 
        Code of Federal Regulations) requiring the master of a 
        small passenger vessel to require passengers to wear 
        personal flotation devices when possible hazardous 
        conditions exist including--
                    (A) when transiting hazardous bars or 
                inlets;
                    (B) during severe weather;
                    (C) in the event of flooding, fire, or 
                other events that may call for evacuation; and
                    (D) when the vessel is being towed, except 
                during the towing of a non-self-propelled 
                vessel under normal operating conditions.
    (b) Contents.--The report under this section shall 
include--
            (1) a section regarding the efforts the Coast Guard 
        has undertaken to enforce the regulations described in 
        subsection (a)(4);
            (2) a section detailing compliance with these 
        regulations, to include the number of vessels and 
        masters cited for violations of those regulations for 
        fiscal years 1998 through 2003;
            (3) a section detailing the number and types of 
        marine casualties that occurred in fiscal years 1998 
        through 2003 that included violations of those 
        regulations; and
            (4) a section providing recommendation on improving 
        compliance with, and possible modifications to, those 
        regulations.

SEC. 625. CONVEYANCE OF MOTOR LIFEBOAT.

    (a) In General.--The Commandant of the Coast Guard shall 
convey all right, title, and interest of the United States in 
and to the Coast Guard 44-foot Motor Lifeboat Vessel #44345 
formerly assigned to the Group Grand Haven Command, to the city 
of Ludington, Michigan, without consideration, if the recipient 
complies with the conditions under subsection (b).
    (b) Conditions.--As a condition of any conveyance of a 
vessel under subsection (a), the Commandant shall require the 
recipient to--
            (1) agree--
                    (A) to use the vessel for purposes of 
                education and historical display;
                    (B) not to use the vessel for commercial 
                transportation purposes;
                    (C) to make the vessel available to the 
                United States Government if needed for use by 
                the Commandant in time of war or a national 
                emergency; and
                    (D) to hold the Government harmless for any 
                claims arising from exposure to hazardous 
                materials, including asbestos and 
                polychlorinated biphenyls (PCBs), after 
                conveyance of the vessel, except for claims 
                arising from use of the vessel by the 
                Government under subparagraph (C);
            (2) have funds available that will be committed to 
        operate and maintain the vessel conveyed in good 
        working condition, in the form of cash, liquid assets, 
        or a written loan commitment; and
            (3) agree to any other conditions the Commandant 
        considers appropriate.
    (c) Maintenance and Delivery of Vessel.--Before conveying a 
vessel under this section, the Commandant shall, to the extent 
practical, and subject to other Coast Guard mission 
requirements, make every effort to maintain the integrity of 
the vessel and its equipment until the time of delivery. The 
Commandant shall deliver a vessel conveyed under this section 
at the place where the vessel is located, in its present 
condition, and without cost to the Government. The conveyance 
of a vessel under this section shall not be considered a 
distribution in commerce for purposes of section 6(e) of Public 
Law 94-469 (15 U.S.C. 2605(e)).
    (d) Other Excess Equipment.--The Commandant may convey to 
the recipient of a vessel under this section any excess 
equipment or parts from other decommissioned Coast Guard 
vessels for use to enhance the vessel's operability and 
function as an historical display.

SEC. 626. STUDY ON ROUTING MEASURES.

    The Secretary of the department in which the Coast Guard is 
operating--
            (1) shall cooperate with the Administrator of the 
        National Oceanic and Atmospheric Administration in 
        analyzing potential vessel routing measures for 
        reducing vessel strikes of North Atlantic Right Whales, 
        as described in the notice published at pages 30857 
        through 30861 of volume 69 of the Federal Register; and
            (2) within 18 months after the date of the 
        enactment of this Act, shall provide a final report of 
        its analysis to the Committee on Commerce, Science, and 
        Transportation of the Senate and the Committee on 
        Transportation and Infrastructure of the House of 
        Representatives.

SEC. 627. CONVEYANCE OF LIGHT STATIONS.

    Section 308(c) of the National Historic Preservation Act 
(16 U.S.C. 470w-7(c)) is amended by adding at the end the 
following:
            ``(4) Light stations originally conveyed under 
        other authority.--Upon receiving notice of an executed 
        or intended conveyance by an owner who--
                    ``(A) received from the Federal Government 
                under authority other than this Act an historic 
                light station in which the United States 
                retains a reversionary or other interest; and
                    ``(B) is conveying it to another person by 
                sale, gift, or any other manner,

        the Secretary shall review the terms of the executed or 
        proposed conveyance to ensure that any new owner is 
        capable of or is complying with any and all conditions 
        of the original conveyance. The Secretary may require 
        the parties to the conveyance and relevant Federal 
        agencies to provide such information as is necessary to 
        complete this review. If the Secretary determines that 
        the new owner has not or is unable to comply with those 
        conditions, the Secretary shall immediately advise the 
        Administrator, who shall invoke any reversionary 
        interest or take such other action as may be necessary 
        to protect the interests of the United States.''.

SEC. 628. WAIVER.

    The Secretary of the department in which the Coast Guard is 
operating may waive the application of section 2101(21) of 
title 46, United States Code, with respect to one of two adult 
chaperones who do not meet the requirements of subparagraph 
(A)(i), (ii), or (iii) of such section on board each vessel 
owned or chartered by the Florida National High Adventure Sea 
Base program of the Boy Scouts of America, if the Secretary 
determines that such a waiver will not compromise safety.

SEC. 629. APPROVAL OF MODULAR ACCOMMODATION UNITS FOR LIVING QUARTERS.

    (a) In General.--The Secretary of the department in which 
the Coast Guard is operating shall approve the use of a modular 
accommodation unit on a floating offshore facility to provide 
accommodations for up to 12 individuals, if--
            (1) the unit is approximately 12 feet in length and 
        40 feet in width;
            (2) before March 31, 2002--
                    (A) the Secretary approved use of the unit 
                to provide accommodations on such a facility; 
                and
                    (B) the unit was used to provide such 
                accommodations; and
            (3) the Secretary determines that use of the unit 
        under the approval will not compromise safety.
    (b) Application.--The approval by the Secretary under this 
section shall apply for the 5-year period beginning on the date 
of the enactment of this Act.

      TITLE VII--AMENDMENTS RELATING TO OIL POLLUTION ACT OF 1990

SEC. 701. VESSEL RESPONSE PLANS FOR NONTANK VESSELS OVER 400 GROSS 
                    TONS.

    (a) Nontank Vessel Defined.--Section 311(a) of the Federal 
Water Pollution Control Act (33 U.S.C. 1321) is amended--
            (1) by striking ``and'' after the semicolon in 
        paragraph (24)(B);
            (2) by striking ``threat.'' in paragraph (25) and 
        inserting ``threat; and''; and
            (3) by adding at the end the following:
            ``(26) `nontank vessel' means a self-propelled 
        vessel of 400 gross tons as measured under section 
        14302 of title 46, United States Code, or greater, 
        other than a tank vessel, that carries oil of any kind 
        as fuel for main propulsion and that--
                    ``(A) is a vessel of the United States; or
                    ``(B) operates on the navigable waters of 
                the United States.''.
    (b) Amendments To Require Response Plans.--Section 311(j) 
of the Federal Water Pollution Control Act (33 U.S.C. 1321(j)) 
is amended--
            (1) in paragraph (5) in the heading by inserting 
        ``, nontank vessel,'' after ``vessel'';
            (2) in paragraph (5)(A)--
                    (A) by inserting: ``(i)'' after ``(A)''; 
                and
                    (B) by adding at the end the following:
            ``(ii) The President shall also issue regulations 
        which require an owner or operator of a non-tank vessel 
        to prepare and submit to the President a plan for 
        responding, to the maximum extent practicable, to a 
        worst case discharge, and to a substantial threat of 
        such a discharge, of oil.'';
            (3) in paragraph (5)(B), in the matter preceding 
        clause (i), by inserting ``, nontank vessels,'' after 
        ``vessels'';
            (4) in paragraph (5)(B), by redesignating clauses 
        (ii) and (iii) as clauses (iii) and (iv), respectively, 
        and by inserting after clause (i) the following:
                    ``(ii) A nontank vessel.'';
            (5) in paragraph (5)(D)--
                    (A) by inserting ``, nontank vessel,'' 
                after ``vessel'';
                    (B) by striking ``and'' after the semicolon 
                at the end of clause (iii);
                    (C) by striking the period at the end of 
                clause (iv) and inserting ``; and''; and
                    (D) by adding after clause (iv) the 
                following:
                    ``(v) in the case of a plan for a nontank 
                vessel, consider any applicable State-mandated 
                response plan in effect on the date of the 
                enactment of the Coast Guard and Maritime 
                Transportation Act of 2004 and ensure 
                consistency to the extent practicable.'';
            (6) by inserting ``non-tank vessel,'' in paragraph 
        (5)(E) after ``vessel,'' each place it appears;
            (7) in paragraph (5)(F)--
                    (A) by inserting ``non-tank vessel,'' after 
                ``vessel,'';
                    (B) by striking ``vessel or'' and inserting 
                ``vessel, non-tank vessel, or''.
            (8) in paragraph (5)(G) by inserting ``nontank 
        vessel,'' after ``vessel,'';
            (9) in paragraph (5)(H) by inserting ``and nontank 
        vessel'' after ``each tank vessel;
            (10) in paragraph (6) in the matter preceding 
        subparagraph (A) by striking ``Not later than 2 years 
        after the date of enactment of this section, the 
        President shall require--'' and inserting ``The 
        President may require--'';
            (11) in paragraph (6)(B) by inserting ``, and 
        nontank vessels carrying oil of any kind as fuel for 
        main propulsion,'' after ``cargo''; and
            (12) in paragraph (7) by inserting ``, nontank 
        vessel,'' after ``vessel''.
    (c) Implementation Date.--No later than one year after the 
date of enactment of this Act, the owner or operator of a 
nontank vessel (as defined section 311(j)(9) of the Federal 
Water Pollution Control Act (33 U.S.C. 1321(j)(9), as amended 
by this section) shall prepare and submit a vessel response 
plan for such vessel.
    (d) Addition of Noxious Liquid Substances to the List of 
Hazardous Substances for Which the Coast Guard May Require a 
Response Plan.--Section 311(j)(5) of the Federal Water 
Pollution Control Act (33 U.S.C.1321(j)(5)) is further 
amended--
            (1) by redesignating subparagraphs (B) through (H) 
        as subparagraphs (C) through (I), respectively;
            (2) by inserting after subparagraph (A) the 
        following:
            ``(B) The Secretary of the Department in which the 
        Coast Guard is operating may issue regulations which 
        require an owner or operator of a tank vessel, a non-
        tank vessel, or a facility described in subparagraph 
        (C) that transfers noxious liquid substances in bulk to 
        or from a vessel to prepare and submit to the Secretary 
        a plan for responding, to the maximum extent 
        practicable, to a worst case discharge, and to a 
        substantial threat of such a discharge, of a noxious 
        liquid substance that is not designated as a hazardous 
        substance or regulated as oil in any other law or 
        regulation. For purposes of this paragraph, the term 
        `noxious liquid substance' has the same meaning when 
        that term is used in the MARPOL Protocol described in 
        section 2(a)(3) of the Act to Prevent Pollution from 
        Ships (33 U.S.C. 1901(a)(3)).'';
            (3) by striking ``subparagraph (B)'' in 
        subparagraph (A) and inserting ``subparagraph (C)'';
            (4) by striking ``subparagraph (A)'' in 
        subparagraph (C), as redesignated, and inserting 
        ``subparagraphs (A) and (B)''; and
            (5) by striking ``subparagraph (D),'' in clause (i) 
        of subparagraph (F), as redesignated, and inserting 
        ``subparagraph (E),''.

SEC. 702. REQUIREMENTS FOR TANK LEVEL AND PRESSURE MONITORING DEVICES.

    (a) Requirements.--Section 4110 of the Oil Pollution Act of 
1990 (46 U.S.C. 3703 note) is amended--
            (1) in subsection (a), by striking ``Not later than 
        1 year after the date of the enactment of this Act, the 
        Secretary shall'' and inserting ``The Secretary may''; 
        and
            (2) in subsection (b)--
                    (A) by striking ``Not later than 1 year 
                after the date of the enactment of this Act, 
                the Secretary shall'' and inserting ``No sooner 
                than 1 year after the Secretary prescribes 
                regulations under subsection (a), the Secretary 
                may''; and
                    (B) by striking ``the standards'' and 
                inserting ``any standards''.
    (b) Study.--
            (1) Study requirement.--The Secretary of the 
        department in which the Coast Guard is operating shall 
        conduct a study analyzing the costs and benefits of 
        methods other than those described in subsections (a) 
        and (b) of section 4110 of the Oil Pollution Act of 
        1990 for effectively detecting the loss of oil from oil 
        cargo tanks. The study may include technologies, 
        monitoring procedures, and other methods.
            (2) Input.--In conducting the study, the Secretary 
        may seek input from Federal agencies, industry, and 
        other entities.
            (3) Report.--The Secretary shall submit a report on 
        the findings and conclusions of the study to the 
        Committee on Commerce, Science, and Transportation of 
        the Senate and Committee on Transportation and 
        Infrastructure of the House of Representatives by not 
        later than 180 days after the date of the enactment of 
        this Act.

SEC. 703. LIABILITY AND COST RECOVERY.

    (a) Definition of Owner or Operator.--Section 1001(26) of 
the Oil Pollution Act of 1990 (33 U.S.C. 2701(26)) is amended 
to read as follows:
            ``(26) `owner or operator'--
                    ``(A) means--
                            ``(i) in the case of a vessel, any 
                        person owning, operating, or chartering 
                        by demise, the vessel;
                            ``(ii) in the case of an onshore or 
                        offshore facility, any person owning or 
                        operating such facility;
                            ``(iii) in the case of any 
                        abandoned offshore facility, the person 
                        who owned or operated such facility 
                        immediately prior to such abandonment;
                            ``(iv) in the case of any facility, 
                        title or control of which was conveyed 
                        due to bankruptcy, foreclosure, tax 
                        delinquency, abandonment, or similar 
                        means to a unit of State or local 
                        government, any person who owned, 
                        operated, or otherwise controlled 
                        activities at such facility immediately 
                        beforehand;
                            ``(v) notwithstanding subparagraph 
                        (B)(i), and in the same manner and to 
                        the same extent, both procedurally and 
                        substantively, as any nongovernmental 
                        entity, including for purposes of 
                        liability under section 1002, any State 
                        or local government that has caused or 
                        contributed to a discharge or 
                        substantial threat of a discharge of 
                        oil from a vessel or facility ownership 
                        or control of which was acquired 
                        involuntarily through--
                                    ``(I) seizure or otherwise 
                                in connection with law 
                                enforcement activity;
                                    ``(II) bankruptcy;
                                    ``(III) tax delinquency;
                                    ``(IV) abandonment; or
                                    ``(V) other circumstances 
                                in which the government 
                                involuntarily acquires title by 
                                virtue of its function as 
                                sovereign;
                            ``(vi) notwithstanding subparagraph 
                        (B)(ii), a person that is a lender and 
                        that holds indicia of ownership 
                        primarily to protect a security 
                        interest in a vessel or facility if, 
                        while the borrower is still in 
                        possession of the vessel or facility 
                        encumbered by the security interest, 
                        the person--
                                    ``(I) exercises decision 
                                making control over the 
                                environmental compliance 
                                related to the vessel or 
                                facility, such that the person 
                                has undertaken responsibility 
                                for oil handling or disposal 
                                practices related to the vessel 
                                or facility; or
                                    ``(II) exercises control at 
                                a level comparable to that of a 
                                manager of the vessel or 
                                facility, such that the person 
                                has assumed or manifested 
                                responsibility--
                                            ``(aa) for the 
                                        overall management of 
                                        the vessel or facility 
                                        encompassing day-to-day 
                                        decision making with 
                                        respect to 
                                        environmental 
                                        compliance; or
                                            ``(bb) over all or 
                                        substantially all of 
                                        the operational 
                                        functions (as 
                                        distinguished from 
                                        financial or 
                                        administrative 
                                        functions) of the 
                                        vessel or facility 
                                        other than the function 
                                        of environmental 
                                        compliance; and
                    ``(B) does not include--
                            ``(i) A unit of state or local 
                        government that acquired ownership or 
                        control of a vessel or facility 
                        involuntarily through--
                                    ``(I) seizure or otherwise 
                                in connection with law 
                                enforcement activity;
                                    ``(II) bankruptcy;
                                    ``(III) tax delinquency;
                                    ``(IV) abandonment; or
                                    ``(V) other circumstances 
                                in which the government 
                                involuntarily acquires title by 
                                virtue of its function as 
                                sovereign;
                            ``(ii) a person that is a lender 
                        that does not participate in management 
                        of a vessel or facility, but holds 
                        indicia of ownership primarily to 
                        protect the security interest of the 
                        person in the vessel or facility; or
                            ``(iii) a person that is a lender 
                        that did not participate in management 
                        of a vessel or facility prior to 
                        foreclosure, notwithstanding that the 
                        person--
                                    ``(I) forecloses on the 
                                vessel or facility; and
                                    ``(II) after foreclosure, 
                                sells, re-leases (in the case 
                                of a lease finance 
                                transaction), or liquidates the 
                                vessel or facility, maintains 
                                business activities, winds up 
                                operations, undertakes a 
                                removal action under section 
                                311(c) of the Federal Water 
                                Pollution Control Act (33 
                                U.S.C. 1321(c)) or under the 
                                direction of an on-scene 
                                coordinator appointed under the 
                                National Contingency Plan, with 
                                respect to the vessel or 
                                facility, or takes any other 
                                measure to preserve, protect, 
                                or prepare the vessel or 
                                facility prior to sale or 
                                disposition,

                        if the person seeks to sell, re-lease 
                        (in the case of a lease finance 
                        transaction), or otherwise divest the 
                        person of the vessel or facility at the 
                        earliest practicable, commercially 
                        reasonable time, on commercially 
                        reasonable terms, taking into account 
                        market conditions and legal and 
                        regulatory requirements;''.
    (b) Other Definitions.--Section 1001 of the Oil Pollution 
Act of 1990 (33 U.S.C. 2701) is amended bystriking ``and'' 
after the semicolon at the end of paragraph (36), by striking the 
period at the end of paragraph (37) and inserting a semicolon, and by 
adding at the end the following:
            ``(38) `participate in management'--
                    ``(A)(i) means actually participating in 
                the management or operational affairs of a 
                vessel or facility; and
                            ``(ii) does not include merely 
                        having the capacity to influence, or 
                        the unexercised right to control, 
                        vessel or facility operations; and
                    ``(B) does not include--
                            ``(i) performing an act or failing 
                        to act prior to the time at which a 
                        security interest is created in a 
                        vessel or facility;
                            ``(ii) holding a security interest 
                        or abandoning or releasing a security 
                        interest;
                            ``(iii) including in the terms of 
                        an extension of credit, or in a 
                        contract or security agreement relating 
                        to the extension, a covenant, warranty, 
                        or other term or condition that relates 
                        to environmental compliance;
                            ``(iv) monitoring or enforcing the 
                        terms and conditions of the extension 
                        of credit or security interest;
                            ``(v) monitoring or undertaking one 
                        or more inspections of the vessel or 
                        facility;
                            ``(vi) requiring a removal action 
                        or other lawful means of addressing a 
                        discharge or substantial threat of a 
                        discharge of oil in connection with the 
                        vessel or facility prior to, during, or 
                        on the expiration of the term of the 
                        extension of credit;
                            ``(vii) providing financial or 
                        other advice or counseling in an effort 
                        to mitigate, prevent, or cure default 
                        or diminution in the value of the 
                        vessel or facility;
                            ``(viii) restructuring, 
                        renegotiating, or otherwise agreeing to 
                        alter the terms and conditions of the 
                        extension of credit or security 
                        interest, exercising forbearance;
                            ``(ix) exercising other remedies 
                        that may be available under applicable 
                        law for the breach of a term or 
                        condition of the extension of credit or 
                        security agreement; or
                            ``(x) conducting a removal action 
                        under 311(c) of the Federal Water 
                        Pollution Control Act (33 U.S.C. 
                        1321(c)) or under the direction of an 
                        on-scene coordinator appointed under 
                        the National Contingency Plan,

                if such actions do not rise to the level of 
                participating in management under subparagraph 
                (A) of this paragraph and paragraph 
                (26)(A)(vi);
            ``(39) `extension of credit' has the meaning 
        provided in section 101(20)(G)(i) of the Comprehensive 
        Environmental Response, Compensation and Liability Act 
        of 1980 (42 U.S.C. 9601(20)(G)(i));
            ``(40) `financial or administrative function' has 
        the meaning provided in section 101(20)(G)(ii) of the 
        Comprehensive Environmental Response, Compensation and 
        Liability Act of 1980 (42 U.S.C. 9601(20)(G)(ii));
            ``(41) `foreclosure' and `foreclose' each has the 
        meaning provided in section 101(20)(G)(iii) of the 
        Comprehensive Environmental Response, Compensation and 
        Liability Act of 1980 (42 U.S.C. 9601(20)(G)(iii));
            ``(42) `lender' has the meaning provided in section 
        101(20)(G)(iv) of the Comprehensive Environmental 
        Response, Compensation and Liability Act of 1980 (42 
        U.S.C. 9601(20)(G)(iv));
            ``(43) `operational function' has the meaning 
        provided in section 101(20)(G)(v) of the Comprehensive 
        Environmental Response, Compensation and Liability Act 
        of 1980 (42 U.S.C. 9601(20)(G)(v)); and
            ``(44) `security interest' has the meaning provided 
        in section 101(20)(G)(vi) of the Comprehensive 
        Environmental Response, Compensation and Liability Act 
        of 1980 (42 U.S.C. 9601(20)(G)(vi)).''.
    (c) Definition of Contractual Relationship.--Section 1003 
of the Oil Pollution Act of 1990 (33 U.S.C. 2703) is amended by 
adding at the end the following:
    ``(d) Definition of Contractual Relationship.--
            ``(1) In general.--For purposes of subsection 
        (a)(3) the term `contractual relationship' includes, 
        but is not limited to, land contracts, deeds, 
        easements, leases, or other instruments transferring 
        title or possession, unless--
                    ``(A) the real property on which the 
                facility concerned is located was acquired by 
                the responsible party after the placement of 
                the oil on, in, or at the real property on 
                which the facility concerned is located;
                    ``(B) one or more of the circumstances 
                described in subparagraph (A), (B), or (C) of 
                paragraph (2) is established by the responsible 
                party by a preponderance of the evidence; and
                    ``(C) the responsible party complies with 
                paragraph (3).
            ``(2) Required circumstance.--The circumstances 
        referred to in paragraph (1)(B) are the following:
                    ``(A) At the time the responsible party 
                acquired the real property on which the 
                facility is located the responsible party did 
                not know and had no reason to know that oil 
                that is the subject of the discharge or 
                substantial threat of discharge was located on, 
                in, or at the facility.
                    ``(B) The responsible party is a government 
                entity that acquired the facility--
                            ``(i) by escheat;
                            ``(ii) through any other 
                        involuntary transfer or acquisition; or
                            ``(iii) through the exercise of 
                        eminent domain authority by purchase or 
                        condemnation.
                    ``(C) The responsible party acquired the 
                facility by inheritance or bequest.
            ``(3) Additional requirements.--For purposes of 
        paragraph (1)(C), the responsible party must establish 
        by a preponderance of the evidence that the responsible 
        party--
                    ``(A) has satisfied the requirements of 
                section 1003(a)(3)(A) and (B);
                    ``(B) has provided full cooperation, 
                assistance, and facility access to the persons 
                that are authorized to conduct removal actions, 
                including the cooperation and access necessary 
                for the installation, integrity, operation, and 
                maintenance of any complete or partial removal 
                action;
                    ``(C) is in compliance with any land use 
                restrictions established or relied on in 
                connection with the removal action; and
                    ``(D) has not impeded the effectiveness or 
                integrity of any institutional control employed 
                in connection with the removal action.
            ``(4) Reason to know.--
                    ``(A) Appropriate inquiries.--To establish 
                that the responsible party had no reason to 
                know of the matter described in paragraph 
                (2)(A), the responsible party must demonstrate 
                to a court that--
                            ``(i) on or before the date on 
                        which the responsible party acquired 
                        the real property on which the facility 
                        is located,the responsible party 
carried out all appropriate inquiries, as provided in subparagraphs (B) 
and (D), into the previous ownership and uses of the real property on 
which the facility is located in accordance with generally accepted 
good commercial and customary standards and practices; and
                            ``(ii) the responsible party took 
                        reasonable steps to--
                                    ``(I) stop any continuing 
                                discharge;
                                    ``(II) prevent any 
                                substantial threat of 
                                discharge; and
                                    ``(III) prevent or limit 
                                any human, environmental, or 
                                natural resource exposure to 
                                any previously discharged oil.
                    ``(B) Regulations establishing standards 
                and practices.--Not later than 2 years after 
                the date of the enactment of this paragraph, 
                the Secretary, in consultation with the 
                Administrator of the Environmental Protection 
                Agency, shall by regulation establish standards 
                and practices for the purpose of satisfying the 
                requirement to carry out all appropriate 
                inquiries under subparagraph (A).
                    ``(C) Criteria.--In promulgating 
                regulations that establish the standards and 
                practices referred to in subparagraph (B), the 
                Secretary shall include in such standards and 
                practices provisions regarding each of the 
                following:
                            ``(i) The results of an inquiry by 
                        an environmental professional.
                            ``(ii) Interviews with past and 
                        present owners, operators, and 
                        occupants of the facility and the real 
                        property on which the facility is 
                        located for the purpose of gathering 
                        information regarding the potential for 
                        oil at the facility and on the real 
                        property on which the facility is 
                        located.
                            ``(iii) Reviews of historical 
                        sources, such as chain of title 
                        documents, aerial photographs, building 
                        department records, and land use 
                        records, to determine previous uses and 
                        occupancies of the real property on 
                        which the facility is located since the 
                        property was first developed.
                            ``(iv) Searches for recorded 
                        environmental cleanup liens against the 
                        facility and the real property on which 
                        the facility is located that are filed 
                        under Federal, State, or local law.
                            ``(v) Reviews of Federal, State, 
                        and local government records, waste 
                        disposal records, underground storage 
                        tank records, and waste handling, 
                        generation, treatment, disposal, and 
                        spill records, concerning oil at or 
                        near the facility and on the real 
                        property on which the facility is 
                        located.
                            ``(vi) Visual inspections of the 
                        facility, the real property on which 
                        the facility is located, and adjoining 
                        properties.
                            ``(vii) Specialized knowledge or 
                        experience on the part of the 
                        responsible party.
                            ``(viii) The relationship of the 
                        purchase price to the value of the 
                        facility and the real property on which 
                        the facility is located, if oil was not 
                        at the facility or on the real 
                        property.
                            ``(ix) Commonly known or reasonably 
                        ascertainable information about the 
                        facility and the real property on which 
                        the facility is located.
                            ``(x) The degree of obviousness of 
                        the presence or likely presence of oil 
                        at the facility and on the real 
                        property on which the facility is 
                        located, and the ability to detect the 
                        oil by appropriate investigation.
                    ``(D) Interim standards and practices.--
                            ``(i) Real property purchased 
                        before may 31, 1997.--With respect to 
                        real property purchased before May 31, 
                        1997, in making a determination with 
                        respect to a responsible party 
                        described in subparagraph (A), a court 
                        shall take into account--
                                    ``(I) any specialized 
                                knowledge or experience on the 
                                part of the responsible party;
                                    ``(II) the relationship of 
                                the purchase price to the value 
                                of the facility and the real 
                                property on which the facility 
                                is located, if the oil was not 
                                at the facility or on the real 
                                property;
                                    ``(III) commonly known or 
                                reasonably ascertainable 
                                informationabout the facility 
and the real property on which the facility is located;
                                    ``(IV) the obviousness of 
                                the presence or likely presence 
                                of oil at the facility and on 
                                the real property on which the 
                                facility is located; and
                                    ``(V) the ability of the 
                                responsible party to detect oil 
                                by appropriate inspection.
                            ``(ii) Real property purchased on 
                        or after may 31, 1997.--With respect to 
                        real property purchased on or after May 
                        31, 1997, until the Secretary 
                        promulgates the regulations described 
                        in clause (ii), the procedures of the 
                        American Society for Testing and 
                        Materials, including the document known 
                        as `Standard E1527-97', entitled 
                        `Standard Practice for Environmental 
                        Site Assessment: Phase I Environmental 
                        Site Assessment Process', shall satisfy 
                        the requirements in subparagraph (A).
                    ``(E) Site inspection and title search.--In 
                the case of real property for residential use 
                or other similar use purchased by a 
                nongovernmental or noncommercial entity, 
                inspection and title search of the facility and 
                the real property on which the facility is 
                located that reveal no basis for further 
                investigation shall be considered to satisfy 
                the requirements of this paragraph.
            ``(5) Previous owner or operator.--Nothing in this 
        paragraph or in section 1003(a)(3) shall diminish the 
        liability of any previous owner or operator of such 
        facility who would otherwise be liable under this Act. 
        Notwithstanding this paragraph, if a responsible party 
        obtained actual knowledge of the discharge or 
        substantial threat of discharge of oil at such facility 
        when the responsible party owned the facility and then 
        subsequently transferred ownership of the facility or 
        the real property on which the facility is located to 
        another person without disclosing such knowledge, the 
        responsible party shall be treated as liable under 
        section 1002(a) and no defense under section 1003(a) 
        shall be available to such responsible party.
            ``(6) Limitation on defense.--Nothing in this 
        paragraph shall affect the liability under this Act of 
        a responsible party who, by any act or omission, caused 
        or contributed to the discharge or substantial threat 
        of discharge of oil which is the subject of the action 
        relating to the facility.''.

SEC. 704. OIL SPILL RECOVERY INSTITUTE.

    Section 5006 of the Oil Pollution Act of 1990 (33 U.S.C. 
2736) is amended--
            (1) in the first subsection (c), as added by 
        section 1102(b)(4) of Public Law 104-324 (110 Stat. 
        3965), by striking ``with the eleventh year following 
        the date of enactment of the Coast Guard Authorization 
        Act of 1996,'' and inserting ``October 1, 2012''; and
            (2) by redesignating the second subsection (c) as 
        subsection (d).

SEC. 705. ALTERNATIVES.

    Section 4115(e)(3) of the Oil Pollution Act of 1990 (46 
U.S.C. 3703a note) is amended to read as follows:
            ``(3) No later than one year after the date of 
        enactment of the Coast Guard and Maritime 
        Transportation Act of 2004, the Secretary shall, taking 
        into account the recommendations contained in the 
        report by the Marine Board of the National Research 
        Council entitled `Environmental Performance of Tanker 
        Design in Collision and Grounding' and dated 2001, 
        establish and publish an environmental equivalency 
        evaluation index (including the methodology to develop 
        that index) to assess overall outflow performance due 
        to collisions and groundings for double hull tank 
        vessels and alternative hull designs.''.

SEC. 706. AUTHORITY TO SETTLE.

    Section 1015 of the Oil Pollution Act of 1990 (33 U.S.C. 
2715) is amended by adding at the end the following:
    ``(d) Authority To Settle.--The head of any department or 
agency responsible for recovering amounts for which a person is 
liable under this title may consider, compromise, and settle a 
claim for such amounts, including such costs paid from the 
Fund, if the claim has not been referred to the Attorney 
General. In any case in which the total amount to be recovered 
may exceed $500,000 (excluding interest), a claim may be 
compromised and settled under the preceding sentence only with 
the prior written approval of the Attorney General.''.

SEC. 707. REPORT ON IMPLEMENTATION OF THE OIL POLLUTION ACT OF 1990.

    No later than 180 days after the date of the enactment of 
this Act, the Commandant of the Coast Guard shall provide a 
written report to the Committee on Commerce, Science, and 
Transportation and the Committee on Environment and Public 
Works of the Senate and the Committee on Transportation and 
Infrastructure of the House of Representatives that shall 
include the following:
            (1) The status of the levels of funds currently in 
        the Oil Spill Liability Trust Fund and projections for 
        levels of funds over the next 5 years, including a 
        detailed accounting of expenditures of funds from the 
        Oil Spill Liability Trust Fund for each of fiscal years 
        2000 through 2004 by all agencies that receive such 
        funds.
            (2) The domestic and international implications of 
        changing the phase-out date for single hull vessels 
        pursuant to section 3703a of title 46, United States 
        Code, from 2015 to 2010.
            (3) The costs and benefits of requiring vessel 
        monitoring systems on tank vessels used to transport 
        oil or other hazardous cargo, and of using additional 
        aids to navigation, such as RACONs.
            (4) A summary of the extent to which the response 
        costs and damages for oil spill incidents have exceeded 
        the liability limits established in section 1004 of the 
        Oil Pollution Act of 1990 (33 U.S.C. 2704), and a 
        description of the steps that the Coast Guard has taken 
        or plans to take to implement subsection (d)(4) of that 
        section.
            (5) A summary of manning, inspection, and other 
        safety issues for tank barges and towing vessels used 
        in connection with them, including--
                    (A) a description of applicable Federal 
                regulations, guidelines, and other policies;
                    (B) a record of infractions of applicable 
                requirements described in subparagraph (A) over 
                the past 10 years;
                    (C) an analysis of oil spill data over the 
                past 10 years, comparing the number and size of 
                oil spills from tank barges with those from 
                tanker vessels of a similar size; and
                    (D) recommendations on areas of possible 
                improvements to existing regulations, 
                guidelines and policies with respect to tank 
                barges and towing vessels.

SEC. 708. LOANS FOR FISHERMEN AND AQUACULTURE PRODUCERS IMPACTED BY OIL 
                    SPILLS.

    (a) Interest; Partial Payment of Claims.--Section 1013 of 
the Oil Pollution Act of 1990 (33 U.S.C. 2713) is amended by 
adding at the end the following:
    ``(f) Loan Program.--
            ``(1) In general.--The President shall establish a 
        loan program under the Fund to provide interim 
        assistance to fishermen and aquaculture producer 
        claimants during the claims procedure.
            ``(2) Eligibility for loan.--A loan may be made 
        under paragraph (1) only to a fisherman or aquaculture 
        producer that--
                    ``(A) has incurred damages for which claims 
                are authorized under section 1002;
                    ``(B) has made a claim pursuant to this 
                section that is pending; and
                    ``(C) has not received an interim payment 
                under section 1005(a) for the amount of the 
                claim, or part thereof, that is pending.
            ``(3) Terms and conditions of loans.--A loan 
        awarded under paragraph (1)--
                    ``(A) shall have flexible terms, as 
                determined by the President;
                    ``(B) shall be for a period ending on the 
                later of--
                            ``(i) the date that is 5 years 
                        after the date on which the loan is 
                        made; or
                            ``(ii) the date on which the 
                        fisherman or aquaculture producer 
                        receives payment for the claim to which 
                        the loan relates under the procedure 
                        established by subsections (a) through 
                        (e) of this section; and
                    ``(C) shall be at a low interest rate, as 
                determined by the President.''.
    (b) Uses of the Fund.--Section 1012(a) of the Oil Pollution 
Act of 1990 (33 U.S.C. 2712(a)) is amended--
            (1) by striking ``Act.'' in paragraph (5)(C) and 
        inserting ``Act; and''; and
            (2) by adding at the end the following:
            ``(6) the making of loans pursuant to the program 
        established under section 1013(f).''.
    (c) Study.--Not later than 270 days after the date of 
enactment of this Act, the Secretary of Commerce, in 
consultation with the Administrator of the Environmental 
Protection Agency, shall submit to the Congress a study that 
contains--
            (1) an assessment of the effectiveness of the 
        claims procedures and emergency response programs under 
        the Oil Pollution Act of 1990 (33 U.S.C. 2701 et seq.) 
        concerning claims filed by, and emergency responses 
        carried out to protect the interests of, fishermen and 
        aquaculture producers; and
            (2) any legislative or other recommendations to 
        improve the procedures and programs referred to in 
        paragraph (1).

              TITLE VIII--MARITIME TRANSPORTATION SECURITY

SEC. 801. ENFORCEMENT.

    (a) In General.--Chapter 701 of title 46, United States 
Code, is amended by adding at the end the following:

``Sec. 70118. Firearms, arrests, and seizure of property

    ``Subject to guidelines approved by the Secretary, members 
of the Coast Guard may, in the performance of official duties--
            ``(1) carry a firearm; and
            ``(2) while at a facility--
                    ``(A) make an arrest without warrant for 
                any offense against the United States committed 
                in their presence; and
                    ``(B) seize property as otherwise provided 
                by law.

``Sec. 70119. Enforcement by State and local officers

    ``(a) In General.--Any State or local government law 
enforcement officer who has authority to enforce State criminal 
laws may make an arrest for violation of a security zone 
regulation prescribed under section 1 of title II of the Act of 
June 15, 1917 (chapter 30; 50 U.S.C. 191) or security or safety 
zone regulation under section 7(b) of the Ports and Waterways 
Safety Act (33 U.S.C. 1226(b)) or a safety zone regulation 
prescribed under section 10(d) of the Deepwater Port Act of 
1974 (33 U.S.C. 1509(d)) by a Coast Guard official authorized 
by law to prescribe such regulations, if--
            ``(1) such violation is a felony; and
            ``(2) the officer has reasonable grounds to believe 
        that the person to be arrested has committed or is 
        committing such violation.
    ``(b) Other Powers Not Affected.--The provisions of this 
section are in addition to any power conferred by law to such 
officers. This section shall not be construed as a limitation 
of any power conferred by law to such officers, or any other 
officer of the United States or any State. This section does 
not grant to such officers any powers not authorized by the law 
of the State in which those officers are employed.''.
    (b) Clerical Amendment.--The chapter analysis at the 
beginning of chapter 701 of title 46, United States Code, is 
amended by adding at the end the following:

``70118. Enforcement.
``70119. Enforcement by State and local officers.''.

SEC. 802. IN REM LIABILITY FOR CIVIL PENALTIES AND COSTS.

    (a) Amendments to Title 46, United States Code.--Chapter 
701 of title 46, United States Code, is amended--
            (1) by redesignating section 70117 as 70119; and
            (2) by inserting after section 70116 the following:

``Sec. 70117. In rem liability for civil penalties and certain costs

    ``(a) Civil Penalties.--Any vessel operated in violation of 
this chapter or any regulations prescribed under this chapter 
shall be liable in rem for any civil penalty assessed pursuant 
to section 70120 for such violation, and may be proceeded 
against for such liability in the United States district court 
for any district in which the vessel may be found.
    ``(b) Reimbursable Costs of Service Providers.--A vessel 
shall be liable in rem for the reimbursable costs incurred by 
any service provider related to implementation and enforcement 
of this chapter and arising from a violation by the operator of 
the vessel of this chapter or any regulations prescribed under 
this chapter, and may be proceeded against for such liability 
in the United States district court for any district in which 
such vessel may be found.
    ``(c) Definitions.--In this subsection--
            ``(1) the term `reimbursable costs' means costs 
        incurred by any service provider acting in conformity 
        with a lawful order of the Federal government or in 
        conformity with the instructions of the vessel 
        operator; and
            ``(2) the term `service provider' means any port 
        authority, facility or terminal operator, shipping 
        agent, Federal, State, or local government agency, or 
        other person to whom the management of the vessel at 
        the port of supply is entrusted, for--
                    ``(A) services rendered to or in relation 
                to vessel crew on board the vessel, or in 
                transit to or from the vessel, including 
                accommodation, detention, transportation, and 
                medical expenses; and
                    ``(B) required handling of cargo or other 
                items on board the vessel.

``Sec. 70118. Withholding of clearance

    ``(a) Refusal or Revocation of Clearance.--If any owner, 
agent, master, officer, or person in charge of a vessel is 
liable for a penalty under section 70119, or if reasonable 
cause exists to believe that the owner, agent, master, officer, 
or person in charge may be subject to a penalty under section 
70120, the Secretary may, with respect to such vessel, refuse 
or revoke any clearance required by section 4197 of the Revised 
Statutes of the United States (46 U.S.C. App. 91).
    ``(b) Clearance Upon Filing of Bond or Other Surety.--The 
Secretary may require the filing of a bond or other surety as a 
condition of granting clearance refused or revoked under this 
subsection.''.
    (b) Act of June 15, 1917.--Section 2 of title II of the Act 
of June 15, 1917 (chapter 30; 50 U.S.C. 192), is amended--
            (1) in subsection (c) by striking ``Act'' each 
        place it appears and inserting ``title''; and
            (2) by adding at the end the following:
    ``(d) In Rem Liability.--Any vessel that is used in 
violation of this title, or of any regulation issued under this 
title, shall be liable in rem for any civil penalty assessed 
pursuant to subsection (c) and may be proceeded against in the 
United States district court for any district in which such 
vessel may be found.
    ``(e) Withholding of Clearance.--
            ``(1) In general.--If any owner, agent, master, 
        officer, or person in charge of a vessel is liable for 
        a penalty or fine under subsection (c), or if 
        reasonable cause exists to believe that the owner, 
        agent, master, officer, or person in charge may be 
        subject to a penalty or fine under this section, the 
        Secretary may, with respect to such vessel, refuse or 
        revoke any clearance required by section 4197 of the 
        Revised Statutes of the United States (46 U.S.C. App. 
        91).
            ``(2) Clearance upon filing of bond or other 
        surety.--The Secretary may require the filing of a bond 
        or other surety as a condition of granting clearance 
        refused or revoked under this subsection.''.
    (c) Clerical Amendment.--The chapter analysis at the 
beginning of chapter 701 of title 46, United States Code, is 
amended by striking the last item and inserting the following:

``70117. In rem liability for civil penalties and certain costs.
``70118. Enforcement by injunction or withholding of clearance.
``70119. Civil penalty''.

SEC. 803. MARITIME INFORMATION.

    (a) Maritime Intelligence.--Section 70113(a) of title 46, 
United States Code, is amended by adding at the end the 
following: ``The system may include a vessel risk profiling 
component that assigns incoming vessels a terrorism risk 
rating.''.
    (b) Vessel Tracking System.--Section 70115 of title 46, 
United States Code, is amended in the first sentence by 
striking ``may'' and inserting ``shall, consistent with 
international treaties, conventions, and agreements to which 
the United States is a party,''.
    (c) Maritime Information.--Within 90 days after the date of 
the enactment of this Act, the Secretary of the department in 
which the Coast Guard is operating shall submit a report to the 
Committee on Commerce, Science, and Transportation of the 
Senate and the Committee on Transportation and Infrastructure 
of the House of Representatives containing a plan for the 
implementation of section 70113 of title 46, United States 
Code. The plan shall--
            (1) identify Federal agencies with maritime 
        information relating to vessels, crew, passengers, 
        cargo, and cargo shippers, those agencies' maritime 
        information collection and analysis activities, and the 
        resources devoted to those activities;
            (2) establish a lead agency within the Department 
        of Homeland Security to coordinate the efforts of other 
        Department agencies in the collection of maritime 
        information and to identify and avoid unwanted 
        redundancy in those efforts;
            (3) identify redundancy in the collection and 
        analysis of maritime information by agencies within the 
        department in which the Coast Guard is operating;
            (4) establish a timeline for coordinating the 
        collection of maritime information among agencies 
        within the department in which the Coast Guard is 
        operating;
            (5) include recommendations on co-locating agency 
        personnel in order to maximize expertise, minimize 
        costs, and avoid redundancy in both the collection and 
        analysis of maritime information;
            (6) establish a timeline for the incorporation of 
        information on vessel movements derived through the 
        implementation of sections 70114 and 70115 of title 46, 
        United States Code, into the system for collecting and 
        analyzing maritime information;
            (7) include recommendations on educating Federal 
        officials on the identification of security risks posed 
        through commercial maritime transportation operations;
            (8) include an assessment of the availability and 
        expertise of private sector maritime information 
        resources;
            (9) include recommendations on how private sector 
        maritime information resources could be utilized to 
        analyze maritime security risks;
            (10) include recommendations on how to disseminate 
        information collected and analyzed through Federal 
        maritime security coordinators, including the manner 
        and extent to which State, local, and private security 
        personnel should be utilized, which should be developed 
        after consideration by the Secretary of the need for 
        nondisclosure of sensitive security information; and
            (11) include recommendations on the need for and 
        how the department could help support a maritime 
        information sharing and analysis center for the purpose 
        of collecting and disseminating real-time or near real-
        time information to and from public and private 
        entities, along with recommendations on the appropriate 
        levels of funding to help disseminate maritime security 
        information to the private sector.
    (d) Limitation on Establishment of Lead Agency.--The 
Secretary may not establish a lead agency within the Department 
of Homeland Security to coordinate the efforts of other 
Department agencies in the collection of maritime information, 
until at least 90 days after the plan under subsection (c) is 
submitted to the Committee on Commerce, Science, and 
Transportation of the Senate and the Committee on 
Transportation and Infrastructure of the House of 
Representatives.

SEC. 804. MARITIME TRANSPORTATION SECURITY GRANTS.

    (a) Grant Program.--Section 70107(a) of title 46, United 
States Code, is amended to read as follows:
    ``(a) In General.--The Secretary shall establish a grant 
program for making a fair and equitable allocation of funds to 
implement Area Maritime Transportation Security Plans and 
facility security plans among port authorities, facility 
operators, and State and local government agencies required to 
provide port security services. Before awarding a grant under 
the program, the Secretary shall provide for review and comment 
by the appropriate Federal Maritime Security Coordinators and 
the Maritime Administrator. In administering the grant program, 
the Secretary shall take into account national economic and 
strategic defense concerns.''.
    (b) Secretary Administering.--Section 70107 of title 46, 
United States Code, is amended--
            (1) by striking ``Secretary of Transportation'' 
        each place it appears and inserting ``Secretary'';
            (2) by striking ``Department of Transportation'' 
        each place it appears and inserting ``department in 
        which the Coast Guard is operating''.
    (c) Effective Date.--Subsections (a) and (b)--
            (1) shall take effect October 1, 2004; and
            (2) shall not affect any grant made before that 
        date.
    (d) Report on Design of Maritime Transportation Security 
Grant Program.--Within 90 days after the date of enactment of 
this Act, the Secretary of the department in which the Coast 
Guard is operating shall transmit a report to the Committee on 
Commerce, Science, and Transportation of the Senate and the 
Committee on Transportation and Infrastructure of House of 
Representatives on the design of the maritime transportation 
security grant program established under section 70107(a) of 
title 46, United States Code. In the report, the Secretary 
shall include recommendations on--
            (1) whether the grant program should be 
        discretionary or formula-based and the reasons for the 
        recommendation;
            (2) requirements for ensuring that Federal funds 
        will not be substituted for grantee funds;
            (3) targeting requirements to ensure that funding 
        is directed in a manner that considers--
                    (A) national economic and strategic defense 
                concerns; and
                    (B) the fiscal capacity of the recipients 
                to fund facility security plan requirements 
                without grant funds; and
            (4) matching requirements to ensure that Federal 
        funds provide an incentive to grantees for the 
        investment of their own funds in the improvements 
        financed in part by Federal funds provided under the 
        program.

SEC. 805. SECURITY ASSESSMENT OF WATERS UNDER THE JURISDICTION OF THE 
                    UNITED STATES.

    Not later than one year after the date of the enactment of 
this Act, the Secretary of the department in which the Coast 
Guard is operating shall--
            (1) conduct a vulnerability assessment under 
        section 70102(b) of title 46, United States Code, of 
        the waters under the jurisdiction of the United States 
        that are adjacent to nuclear facilities that may be 
        damaged by a transportation security incident as 
        defined in section 70101 (6) of title 46, United States 
        Code;
            (2) coordinate with the appropriate Federal 
        agencies in preparing the vulnerability assessment 
        required under paragraph (1); and
            (3) submit the vulnerability assessments required 
        under paragraph (1) to the Committee on Transportation 
        and Infrastructure of the House of Representatives and 
        the Committee on Commerce, Science, and Transportation 
        of the Senate.

SEC. 806. MEMBERSHIP OF AREA MARITIME SECURITY ADVISORY COMMITTEES.

    Section 70112(b) of title 46, United States Code, is 
amended by adding at the end to following:
            ``(5) The membership of an Area Maritime Security 
        Advisory Committee shall include representatives of the 
        port industry, terminal operators, port labor 
        organizations, and other users of the port areas.''.

SEC. 807. JOINT OPERATIONAL CENTERS FOR PORT SECURITY.

    The Commandant of the Coast Guard shall report to the 
Congress, within 180 days after the date of the enactment of 
this Act, on the implementation and use of joint operational 
centers for port security at certain United States seaports. 
The report shall--
            (1) compare and contrast the composition and 
        operational characteristics of existing joint 
        operational centers for port security, including those 
        in Norfolk, Virginia, Charleston, South Carolina, and 
        San Diego, California;
            (2) examine the use of such centers to implement--
                    (A) the plans developed under section 70103 
                of title 46, United States Code;
                    (B) maritime intelligence activities under 
                section 70113 of title 46, United States Code;
                    (C) short and long range vessel tracking 
                under sections 70114 and 70115 of title 46, 
                United States Code; and
                    (D) secure transportation systems under 
                section 70116 of title 46, United States Code; 
                and
            (3) estimate the number, location and costs of such 
        centers necessary to implement the activities 
        authorized under sections 70103, 701113, 70114, 70115, 
        and 70116 of title 46, United States Code.

SEC. 808. INVESTIGATIONS.

    (a) In General.--Section 70107 of title 46, United States 
Code, is amended by striking subsection (i) and inserting the 
following:
    ``(i) Investigations.--
            ``(1) In general.--The Secretary shall conduct 
        investigations, fund pilot programs, and award grants, 
        to examine or develop--
                    ``(A) methods or programs to increase the 
                ability to target for inspection vessels, 
                cargo, crewmembers, or passengers that will 
                arrive or have arrived at any port or place in 
                the United States;
                    ``(B) equipment to detect accurately 
                explosives, chemical, or biological agents that 
                could be used in a transportation security 
                incident against the United States;
                    ``(C) equipment to detect accurately 
                nuclear or radiological materials, including 
                scintillation-based detection equipment capable 
                of signalling the presence of nuclear or 
                radiological materials;
                    ``(D) improved tags and seals designed for 
                use on shipping containers to track the 
                transportation of the merchandise in such 
                containers, including sensors that are able to 
                track a container throughout its entire supply 
                chain, detect hazardous and radioactive 
                materials within that container, and transmit 
                that information to the appropriate law 
                enforcement authorities;
                    ``(E) tools, including the use of satellite 
                tracking systems, to increase the awareness of 
                maritime areas and to identify potential 
                transportation security incidents that could 
                have an impact on facilities, vessels, and 
                infrastructure on or adjacent to navigable 
                waterways, including underwater access;
                    ``(F) tools to mitigate the consequences of 
                a transportation security incident on, adjacent 
                to, or under navigable waters of the United 
                States, including sensor equipment, and other 
                tools to help coordinate effective response to 
                a transportation security incident;
                    ``(G) applications to apply existing 
                technologies from other areas or industries to 
                increase overall port security;
                    ``(H) improved container design, including 
                blast-resistant containers; and
                    ``(I) methods to improve security and 
                sustainability of port facilities in the event 
                of a maritime transportation security incident, 
                including specialized inspection facilities.
            ``(2) Implementation of technology.--
                    ``(A) In general.--In conjunction with 
                ongoing efforts to improve security at United 
                States ports, the Secretary may conduct pilot 
                projects at United States ports to test the 
                effectiveness and applicability of new port 
                security projects, including--
                            ``(i) testing of new detection and 
                        screening technologies;
                            ``(ii) projects to protect United 
                        States ports and infrastructure on or 
                        adjacent to the navigable waters of the 
                        United States, including underwater 
                        access; and
                            ``(iii) tools for responding to a 
                        transportation security incident at 
                        United States ports and infrastructure 
                        on or adjacent to the navigable waters 
                        of the United States, including 
                        underwater access.
                    ``(B) Authorization of appropriations.--
                There is authorized to be appropriated to the 
                Secretary $35,000,000 for each of fiscal years 
                2005 through 2009 to carry out this subsection.
            ``(3) National port security centers.--
                    ``(A) In general.--The Secretary may make 
                grants or enter into cooperative agreements 
                with eligible nonprofit institutions of higher 
                learning to conduct investigations in 
                collaboration with ports and the maritime 
                transportation industry focused on enhancing 
                security of the Nation's ports in accordance 
                with this subsection through National Port 
                Security Centers.
                    ``(B) Applications.--To be eligible to 
                receive a grant under this paragraph, a 
                nonprofit institution of higher learning, or a 
                consortium of such institutions, shall submit 
                an application to the Secretary in such form 
                and containing such information as the 
                Secretary may require.
                    ``(C) Competitive selection process.--The 
                Secretary shall select grant recipients under 
                this paragraph through a competitive process on 
                the basis of the following criteria:
                            ``(i) Whether the applicant can 
                        demonstrate that personnel, laboratory, 
                        and organizational resources will be 
                        available to the applicant to carry out 
                        the investigations authorized in this 
                        paragraph.
                            ``(ii) The applicant's capability 
                        to provide leadership in making 
                        national and regional contributions to 
                        the solution of immediate and long-
                        range port and maritime transportation 
                        security and risk mitigation problems.
                            ``(iii) Whether the applicant can 
                        demonstrate that is has an established, 
                        nationally recognized program in 
                        disciplines that contribute directly to 
                        maritime transportation safety and 
                        education.
                            ``(iv) Whether the applicant's 
                        investigations will involve major 
                        United States ports on the East Coast, 
                        the Gulf Coast, and the West Coast, and 
                        Federal agencies and other entities 
                        with expertise in port and maritime 
                        transportation.
                            ``(v) Whether the applicant has a 
                        strategic plan for carrying out the 
                        proposed investigations under the 
                        grant.
            ``(4) Administrative provisions.--
                    ``(A) No duplication of effort.--Before 
                making any grant, the Secretary shall 
                coordinate with other Federal agencies to 
                ensure the grant will not duplicate work 
                already being conducted with Federal funding.
                    ``(B) Accounting.--The Secretary shall by 
                regulation establish accounting, reporting, and 
                review procedures to ensure that funds made 
                available under paragraph (1) are used for the 
                purpose for which they were made available, 
                that all expenditures are properly accounted 
                for, and that amounts not used for such 
                purposes and amounts not expended are 
                recovered.
                    ``(C) Recordkeeping.--Recipients of grants 
                shall keep all records related to expenditures 
                and obligations of funds provided under 
                paragraph (1) and make them available upon 
                request to the Inspector General of the 
                department in which the Coast Guard is 
                operating and the Secretary for audit and 
                examination.
            ``(5) Annual review and report.--The Inspector 
        General of the department in which the Coast Guard is 
        operating shall annually review the programs 
        established under this subsection to ensure that the 
        expenditures and obligations of funds are consistent 
        with the purposes for which they are provided, and 
        report the findings to the Committee on Commerce, 
        Science, and Transportation of the Senate and the 
        Committee on Transportation and Infrastructure of the 
        House of Representatives.''.

SEC. 809. VESSEL AND INTERMODAL SECURITY REPORTS.

    (a) In General.--Within 180 days after the date of the 
enactment of this Act, the Secretary of the department in which 
the Coast Guard is operating shall submit the reports and plan 
required under subsections (b), (c), (e), (f), and (j) to the 
Committee on Commerce, Science, and Transportation of the 
Senate and the Committee on Transportation and Infrastructure 
of the House of Representatives.
    (b) Report Regarding Security Inspection of Vessels and 
Vessel-Borne Cargo Containers Entering the United States.--
            (1) Requirement.--The Secretary shall prepare a 
        report regarding the numbers and types of vessels and 
        vessel-borne cargo containers that enter the United 
        States in a year.
            (2) Contents.--The report shall include the 
        following:
                    (A) A section regarding security inspection 
                of vessels that includes the following:
                            (i) A complete breakdown of the 
                        numbers and types of vessels that 
                        entered the United States in the most 
                        recent 1-year period for which 
                        information is available.
                            (ii) The cost incurred by the 
                        Federal Government in inspecting such 
                        vessels in such 1-year period, 
                        including specification and comparison 
                        of such cost for each type of vessel.
                            (iii) An estimate of the per-vessel 
                        cost that would be incurred by the 
                        FederalGovernment in inspecting each 
type of vessel that enters the United States each year, including costs 
for personnel, vessels, equipment, and funds.
                            (iv) An estimate of the annual 
                        total cost that would be incurred by 
                        the Federal Government in inspecting 
                        all vessels that enter the United 
                        States each year, including costs for 
                        personnel, vessels, equipment, and 
                        funds.
                    (B) A section regarding security inspection 
                of containers that includes the following:
                            (i) A complete breakdown of the 
                        numbers and types of vessel-borne cargo 
                        containers that entered the United 
                        States in the most recent 1-year period 
                        for which information is available, 
                        including specification of the number 
                        of 1 TEU containers and the number of 2 
                        TEU containers.
                            (ii) The cost incurred by the 
                        Federal Government in inspecting such 
                        containers in such 1-year period, 
                        including specification and comparison 
                        of such cost for a 1 TEU container and 
                        for a 2 TEU container, and the number 
                        of each inspected.
                            (iii) An estimate of the per-
                        container cost that would be incurred 
                        by the Federal Government in inspecting 
                        each type of vessel-borne container 
                        that enters the United States each 
                        year, including costs for personnel, 
                        vessels, and equipment.
                            (iv) An estimate of the annual 
                        total cost that would be incurred by 
                        the Federal Government in inspecting, 
                        and where allowed by international 
                        agreement, inspecting in a foreign 
                        port, all vessel-borne containers that 
                        enter the United States each year, 
                        including costs for personnel, vessels, 
                        and equipment.
    (c) Plan for Implementing Secure Systems of 
Transportation.--The Secretary shall prepare a plan for the 
implementation of section 70116 of title 46, United States 
Code. The plan shall--
            (1) include a timeline for establishing standards 
        and procedures pursuant to section 70116(b) of title 
        46, United States Code;
            (2) provide a preliminary assessment of resources 
        necessary to evaluate and certify secure systems of 
        transportation, and the resources necessary to validate 
        that the secure systems of transportation are operating 
        in compliance with the certification requirements;
            (3) contain an analysis of whether establishing a 
        voluntary user fee to fund the certification of private 
        secure systems of transportation, paid for by the 
        person applying for certification, would enhance cargo 
        security;
            (4) contain an analysis of the need for and 
        feasibility of establishing a system to inspect, 
        monitor, and track intermodal shipping containers 
        within the United States; and
            (5) contain an analysis of the need for and 
        feasibility of developing international standards for 
        secure systems of transportation, including 
        recommendations, that includes an examination of 
        working with appropriate international organizations to 
        develop standards to enhance the physical security of 
        shipping containers consistent with section 70116 of 
        title 46, United States Code.
    (d) Inspector General Implementation Report.--One year 
after the date on which the plan under subsection (c) is 
submitted to the Congress, the Inspector General of the 
department in which the Coast Guard is operating shall transmit 
a report evaluating the progress made by the department in 
implementing the plan to the Committee on Commerce, Science, 
and Transportation of the Senate and the Committee on 
Transportation and Infrastructure of the House of 
Representatives.
    (e) Report on Radiation Detectors.--The Secretary shall 
prepare a report on progress in the installation of a system of 
radiation detection at all major United States seaports, and a 
timeline and expected completion date for the system. In the 
report, the Secretary shall include a preliminary analysis of 
any issues related to the installation or efficacy of the 
radiation detection equipment, as well as a cost estimate for 
completing installation of the system.
    (f) Report on Nonintrusive Inspection at Foreign Ports.--
The Secretary shall prepare a report--
            (1) on whether and to what extent foreign seaports 
        have been willing to utilize nonintrusive screening 
        equipment at their ports to screen cargo, including the 
        number of cargo containers that have been screened at 
        foreign seaports, and the ports where they were 
        screened;
            (2) indicating which foreign ports may be willing 
        to utilize nonintrusive screening equipment for cargo 
        exported for import into the United States; and
            (3) indicating ways to increase the effectiveness 
        of the United States Government's targeting and 
        screening activities outside the United States and to 
        what extent additional resources and program changes 
        will be necessary to maximize scrutiny of cargo in 
        foreign seaports that is destined for the United 
        States.
    (g) Evaluation of Cargo Inspection Targeting System for 
International Intermodal Cargo Containers.--Within 180 days 
after the date of the enactment of this Act and annually 
thereafter, the Inspector General of the department in which 
the Coast Guard is operating shall prepare a report that 
includes an assessment of--
            (1) the effectiveness of the current tracking 
        system to determine whether it is adequate to prevent 
        international intermodal containers from being used for 
        purposes of terrorism;
            (2) the sources of information, and the quality of 
        the information at the time of reporting, used by the 
        system to determine whether targeting information is 
        collected from the best and most credible sources and 
        evaluate data sources to determine information gaps and 
        weaknesses;
            (3) the targeting system for reporting and 
        analyzing inspection statistics, as well as testing 
        effectiveness;
            (4) the competence and training of employees 
        operating the system to determine whether they are 
        sufficiently capable to detect potential terrorist 
        threats; and
            (5) whether the system is an effective system to 
        detect potential acts of terrorism and whether 
        additional steps need to be taken in order to remedy 
        deficiencies in targeting international intermodal 
        containers for inspection.
    (h) Action Report.--If the Inspector General of the 
department in which the Coast Guard is operating determines in 
any of the reports prepared under subsection (g) that the 
targeting system is insufficiently effective as a means of 
detecting potential acts of terrorism utilizing international 
intermodal containers, then the Secretary of the department in 
which the Coast Guard is operating shall, within 90 days, 
submit a report to the Committee on Commerce, Science, and 
Transportation of the Senate and the Committee on 
Transportation and Infrastructure House of Representatives on 
what actions will be taken to correct deficiencies identified 
in the Inspector General Report.
    (i) Compliance With Security Standards Established Pursuant 
to Maritime Transportation Security Plans.--Within 180 days 
after the date of the enactment of this Act and annually 
thereafter, the Secretary of the department in which the Coast 
Guard is operating shall prepare a report on compliance and 
steps taken to ensure compliance by ports, terminals, vessel 
operators, and shippers with security standards established 
pursuant to section 70103 of title 46, United States Code. The 
reports shall also include a summary of security standards 
established pursuant to such section during the previous year. 
The Secretary shall submit the reports to the Committee on 
Commerce, Science, and Transportation of the Senate and the 
Committee on Transportation and Infrastructure of the House of 
Representatives.
    (j) Empty Containers.--The Secretary of the department in 
which the Coast Guard is operating shall prepare a report on 
the practice and policies in place at United States ports to 
secure shipment of empty containers and trailers. The Secretary 
shall include in the report recommendations with respect to 
whether additional Federal actions are necessary to ensure the 
safe and secure delivery of cargo and to prevent potential acts 
of terrorism involving such containers and trailers.
    (k) Report and Plan Formats.--The Secretary and the 
Inspector General of the department in which the Coast Guard is 
operating may submit any plan or report required by this 
section in both classified and redacted formats, if the 
Secretary determines that it is appropriate or necessary.
      And the Senate agree to the same.
      That the House recede from its disagreement to the 
amendment of the Senate to the title of the bill and agree to 
the same with an amendment as follows:
      In lieu of the matter proposed to be inserted by the 
Senate amendment to the title of the bill, insert the 
following: ``An Act to authorize appropriations for the Coast 
Guard for fiscal year 2005, to amend various laws administered 
by the Coast Guard, and for other purposes.''.
      And the Senate agree to the same.

                From the Committee on Transportation and 
                Infrastructure, for consideration of the House 
                bill and the Senate amendments, and 
                modifications committed to conference:
                                   Don Young,
                                   Howard Coble,
                                   John J. Duncan, Jr.,
                                   Pete Hoekstra,
                                   Frank LoBiondo,
                                   Rob Simmons,
                                   Mario Diaz-Balart,
                                   James L. Oberstar,
                                   Bob Filner,
                                   Timothy Bishop,
                                   Nick Lampson,
                For consideration of the House bill and Senate 
                amendments, and modifications committed to 
                conference:
                                   Chris Cox,
                                   Bennie G. Thompson,
                                 Managers on the Part of the House.

                                   John McCain,
                                   Ted Stevens,
                                   Trent Lott,
                                   Kay Bailey Hutchison,
                                   Olympia Snowe,
                                   Fritz Hollings,
                                   Daniel K. Inouye,
                                   John Breaux,
                                   Ron Wyden,
                From the Committee on Environment and Public 
                Works:
                                   Jim Inhofe,
                                   Jim Jeffords,
                                Managers on the Part of the Senate.
       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

      The managers on the part of the House and the Senate at 
the conference on the disagreeing votes of the two Houses on 
the amendments of the Senate to the bill (H.R 2443), to 
authorize appropriations for the Coast Guard for fiscal year 
2004, to amend various laws administered by the Coast Guard, 
and for other purposes, submit the following joint statement to 
the House and the Senate in explanation of the effect of the 
action agreed upon by the managers and recommended in the 
accompanying conference report:
      The Senate amendment to the text of the bill struck all 
of the House bill after the enacting clause and inserted a 
substitute text.
      The House recedes from its disagreement to the amendment 
of the Senate with an amendment that is a substitute for the 
House bill and the Senate amendment. The differences between 
the House bill, the Senate amendment, and the substitute agreed 
to in conference are noted below, except for clerical 
corrections, conforming changes made necessary by agreements 
reached by the conferees, and minor drafting and clarifying 
changes.
Section 1. Short Title.
      Section 1 of the House bill states that the Act may be 
referred to as the ``Coast Guard and Maritime Transportation 
Act of 2003.''
      Section 1 of the Senate amendment states the Act may be 
cited as the ``Coast Guard Authorization Act of 2004.''
      The Conference substitute adopts the House bill with an 
amendment.
      Section 1 of the conference agreement states the Act may 
be cited as the ``Coast Guard and Maritime Transportation Act 
of 2004.''

                         TITLE I--AUTHORIZATION

Section 101. Authorization of Appropriations
      Section 101 of the House bill authorizes funds for the 
Coast Guard in fiscal year 2004.
      Section 101 of the Senate amendment is similar to the 
House provision except that the Senate provision authorizes 
funds for fiscal years 2004 and 2005 and contains different 
authorization levels than those that are included in the House 
bill.
      The Conference substitute authorizes the following 
amounts for fiscal year 2005:

Operating Expenses......................................  $5,404,000,000
Research, Development Testing and Evaluation............      24,200,000
Retired Pay.............................................   1,085,000,000
Environmental Compliance and Restoration................      17,000,000
Alterations to Bridges..................................      19,650,000
Acquisition, Construction and Improvement...............   1,500,000,000
Rescue 21...............................................     161,000,000
Integrated Deepwater System.............................   1,100,000,000
Coast Guard Reserve.....................................     117,000,000

      The conference included $5,404,300,000 for the Coast 
Guard's operating expenses. This represents an increase of 
fourteen percent over FY 2004 levels. This includes over $300 
million in authorizations for port security over the FY 2005 
budget request, including an additional $40 million for 
expedited implementation of the Automatic Identification 
Systems requirements. It also includes over $100 million to 
cover the increases in operating tempo that the Coast Guard has 
experienced over the past few years, so that the traditional 
core missions of the Coast Guard, such as search and rescue of 
mariners in distress and protection of our living marine 
resources, are not compromised.
      Currently, the only Coast Guard HITRON squadron is based 
in Jacksonville, Florida. Since the program's inception in 
1999, HITRON helicopters have successfully interdicted cocaine 
that had a value of more than $4 billion. The Interagency 
Assessment of Cocaine Movement estimated that 544 Metric Tons 
of Cocaine departed South America for the United States in 
2002. Of this total, 46% (250 Metric Tons) was estimated to 
flow through the Eastern Pacific. The Conferees believes that 
leasing additional squadron of HITRON helicopters and deploying 
these helicopters to the West Coast will help stem the flow of 
cocaine and other illegal shipments into the West Coast of the 
United States and provide RT-MSST anti-terrorist protection. 
Therefore the conferees recommend that the Coast Guard 
establish a West Coast HITRON squadron. The authorization 
levels provided in H.R. 2443 provide sufficient funds in the 
operating expense account to lease these additional assets.
      The conferees authorize a significant increase for 
Acquisition, Construction and Improvements over the 
Administration request, and the Fiscal Year 2004 appropriated 
level. The conferees recommend that an amount of this increase 
go toward reducing the current $54,000,000 Fiscal Year 2005 
unfunded shore facilities requirements list.
Section 102. Authorized Levels of Military Strength and Training
      Section 102 of the House bill authorizes a Coast Guard 
end-of-year strength of 45,500 active duty military personnel 
for Fiscal Year 2004. This level includes the increases 
proposed by the Administration. At the end of Fiscal Year 2003, 
37,000 active duty personnel were serving in the Coast Guard. 
This section also authorizes average military training student 
loads for Fiscal Year 2004 as follows:

        Training                                           Student years
Recruit/Special................................................... 2,500
Flight............................................................   125
Professional......................................................   350
Officer Acquisition............................................... 1,200

      Section 102 of the Senate amendment is identical to the 
House bill.
      The conference substitute adopts the House provision, as 
amended to include 2005 levels.

                    TITLE II--COAST GUARD MANAGEMENT

Section 201. Long-Term Leases
      Section 201 of the House bill allows the Commandant to 
enter into leases of up to 20 years for Coast Guard property 
with (1) the Coast Guard Academy Alumni Association to 
construct an Alumni visitor facility at the Coast Guard 
Academy; and (2) non-Federal entities to carry out cooperative 
agreements under Section 4 (e) of the Ports and Waterways 
Safety Act. Current law limits such leases to no more than five 
years.
      Paragraph (3) of Section 302 of the Senate amendment is 
similar to the House provision, but would allow 20-year leases 
between the Coast Guard and non-Federal entities.
      The conference substitute adopts the House provision.
Section 202. Nonappropriated Fund Instrumentalities
      Section 202 of the House bill provides authority for 
Coast Guard exchanges and morale, welfare, and recreation 
systems (MWR) to enter into contracts or other agreements with 
another department, agency, or instrumentality of the Coast 
Guard or another Federal agency to provide goods and services 
beneficial to the efficient management and operation of the 
exchange and MWR systems.
      Section 209 of the Senate amendment is similar to the 
House provision.
      The conference substitute adopts the House provision.
      This section provides Coast Guard Exchanges parity with 
Department of Defense non-appropriated fund instrumentalities 
(10 U.S.C. 2482a).
Section 203. Term of Enlistments
      Section 203 of the House bill authorizes the Commandant 
of the Coast Guard to accept original enlistments for other 
than full years, and reenlistments for any term of years and 
months from two years to six years.
      Section 207 of the Senate amendment is similar to the 
House provision.
      The conference substitute adopts the Senate amendment.
      This will make Coast Guard enlistments consistent with 
Department of Defense enlistments. The Coast Guard will gain 
greater billet alignment between commands and assignments 
during transfer seasons, and greater flexibility in maintaining 
force readiness.
Section 204. Enlisted Member Critical Skill Training Bonus
      Section 204 of the House bill authorizes the Coast Guard 
to offer an incentive bonus to encourage enlisted members to 
enter certain critical skill specialties.
      Section 201 of the Senate amendment is similar to the 
House provision.
      The conference substitute adopts the House provision.
      The Coast Guard currently has authority to offer 
enlistment bonuses (37 U.S.C. 309) and retention bonuses (37 
U.S.C. 323), but does not have authority to offer a bonus to a 
member who voluntarily enters a specialty school to gain 
training in a critical skill. This proposal authorizes such a 
bonus to enlisted members who complete training in a skill 
designated as critical, provided at least four years of 
obligated active service remain on the member's enlistment at 
the time the training is completed. The Coast Guard has 
shortages of enlisted members on active duty in certain 
critical skills, such as Electricians Mate, Electronics 
Technician, Food Service Specialist, Machinery Technician, 
Storekeeper, and Telecommunications Specialist. Most of these 
skills result in assignments to ships, where being a junior 
enlisted Coast Guardsman is often very difficult due to working 
conditions and time spent at sea. Therefore, the Coast Guard 
has difficulty in encouraging junior enlisted personnel to seek 
out these specialties. The authority to provide an incentive 
bonus to enlisted members will assist in curtailing the 
shortages in certain critical skills.
Sec. 205 Indemnity for Disabling Vessels Liable to Seizure or 
        Examination
      Section 205 of the House bill eliminates the requirement 
to fire a warning shot as a condition precedent to 
indemnification under 14 U.S.C. 637, when use of a warning shot 
is not practical.
      Section 312 of the Senate amendment is similar to the 
House bill and includes a report mandating the submission of 
information regarding the location, circumstances and 
consequences surrounding the use of any disabling firing.
      The conference substitution adopts the House provision 
amended by the addition of the report included in the Senate 
amendment.
      Under 14 U.S.C. 89, the Coast Guard is authorized to 
board, examine, and search vessels to detect violations of U.S. 
law. It may use ``all necessary force to compel compliance'', 
including the use of disabling fire to stop a vessel that 
refuses to comply with a lawful order to stop. 14 U.S.C. 637 
indemnifies government personnel operating from Coast Guard 
vessels or aircraft and Naval vessels with Coast Guard members 
assigned from damages resulting from the use of disabling fire. 
Under current law the indemnity applies only if a warning shot 
is given prior to the use of disabling fire. In some instances, 
it may be dangerous or impracticable to fire warning shots. 
Warning shots are generally fired near, but not at, a non-
compliant vessel, so they may pose a risk to others if used in 
congested waters or near shore. Disabling fire is specifically 
targeted at a particular vessel so it does not present a risk 
to others.
Section 206. Administrative, Collection, and Enforcement Costs for 
        Certain Fees and Charges
      Section 206 of the House bill amends section 664 of title 
14 to better coordinate the statutory provisions governing fees 
and charges currently levied by the Coast Guard for services 
furnished under subtitle II of title 46 and under title 14, 
United States Code.
      The Senate amendment does not contain a comparable 
provision.
      The conference substitute adopts the House provision.
      Under current law, there are three statutes pursuant to 
which the Coast Guard collects user fees for its services. The 
Independent Offices Appropriations Act of 1951, 31 U.S.C. 9701, 
applies general user fee authority to the entire Federal 
Government, including the Coast Guard. Also, under 46 U.S.C. 
2110, the Secretary is required to establish user fees for 
services provided under subtitle II of title 46, United States 
Code (primarily marine safety activities, e.g., inspection of 
certain vessels; licensing, certification, and documentation of 
personnel, etc.). Finally, section 664 of title 14, United 
States Code, provides authority for the Coast Guard to 
establish user fees for goods and services it provides. This 
proposal does not establish a new user fee or seek to authorize 
the collection of any amounts in excess of the full (direct and 
indirect) costs of providing a given service for which the fee 
is being charged.
      Currently, the Secretary is authorized to recover 
appropriate collection and enforcement costs associated with 
delinquent payments of the fees and charges associated with 
services provided under subtitle II of title 46, but not under 
section 664 of title 14. This section will make parallel the 
provisions applicable to title 46 and title 14 user fees 
collection. This section authorizes the Secretary to recover 
appropriate collection and enforcement costs associated with 
delinquent payments of fees and charges authorized under title 
14, and allows other Federal, State, local, or private entities 
to collect such a fee or charge. These authorities already 
exist for title 46 fees and charges.
      Finally, this section amends title 14, to define what 
constitutes the costs of collecting a fee or charge, so that it 
explicitly includes reasonable administrative, personnel, 
contract, equipment, supply, training, and travel expenses 
related to administration, management, and oversight of user 
fees authorized by law. Importantly, this will include the 
compilation and analysis of cost and user data. In recent 
years, both Congress and the Executive Branch have sought to 
obtain such data from Federal agencies on a recurring basis.
Section 207. Expansion of Coast Guard Housing Authorities
      Section 207 of the House bill provides the Coast Guard 
with the same direct loan authority for the acquisition and 
construction of housing currently available to the Department 
of Defense, allows the Commandant to make differential lease 
payments, if necessary, to encourage private construction of 
Coast Guard housing, and allows for multiple demonstration 
projects to be conducted at any Coast Guard installation in 
Alaska.
      Section 203 of the Senate amendment is similar to the 
House provisions except that it does not include language that 
would grant the Secretary of the department in which the Coast 
Guard is operating to enter into limited partnerships with 
eligible entities, establish additional demonstration projects 
in Alaska, or the ability to make differential lease payments.
      The conference substitute adopts the House provision.
      In 1996, Congress enacted a broad set of authorities for 
the Department of Defense to use in its Military Housing 
Privatization Initiative. The existing Coast Guard housing 
authorities are more limited. Section 687(g) of title 14 
authorizes a demonstration project in Kodiak, Alaska to acquire 
or construct military family or unaccompanied housing through 
contracts with Alaska-based small business concerns qualified 
under the Small Business Administration's section 8(a) program. 
Section 207 allows for more than one demonstration project, and 
allows the projects to be conducted at any Coast Guard 
installation in Alaska.
Section 208. Requirement for Constructive Credit
      Section 208 of the House bill reduces the amount of 
mandatory constructive credit granted to a Reserve Law 
Specialist upon designation or assignment to one year from the 
current level of three years. This section will allow the Coast 
Guard to consider the officer's education and experience, 
potential career opportunities, and service needs to determine 
appropriate credit.
      Section 208 of the Senate amendment is substantively the 
same as the House provision.
      The Conference substitute adopts the Senate amendment.
Section 209. Maximum Ages for Retention in an Active Status
      Section 209 of the House bill changes the mandatory age 
at which a Reserve officer is transferred to the Retired 
Reserve from sixty-two years of age to sixty years of age and 
would change the mandatory age at which a Reserve officer 
(other than those eligible for retirement or a Reserve rear 
admiral or rear admiral (lower half)) shall be discharged from 
sixty-two years of age to sixty years of age. It aligns Coast 
Guard Reserve officers' maximum retention age with that of 
other armed services Reserve officers, and also codifies the 
longstanding Coast Guard policy to remove Reserve officers from 
active status at age sixty.
      Section 206 of the Senate amendment is substantively the 
same as the House provision.
      The Conference substitute adopts the House provision.
Section 210. Travel Card Management
      Sec. 210 of the House bill authorizes the Coast Guard to 
use pay offsets to recover delinquent amounts owed by military 
members and civilian employees who hold Federal contractor-
issued travel charge cards.
      Sec. 210 of the Senate amendment is a substantively 
similar provision.
      The Conference substitute adopts the Senate amendment.
      This section would authorize the Coast Guard to disburse 
travel reimbursement directly to the issuer of a contractor-
issued travel charge card and would allow the Coast Guard to 
withhold pay from Coast Guard personnel who have delinquent 
travel charge cards accounts. This provision is similar to 
authority granted to the Department of Defense in 1999.
Section 211. Coast Guard Fellows and Detailees
      Sec. 211 of the House Bill provides statutory authority 
for a Coast Guard Congressional Fellowship Program, adopts the 
restrictions contained in the House Ethics Manual and prohibits 
all Coast Guard Fellows from engaging in duties that will 
result in any direct or indirect benefit to the Coast Guard, 
other than broadening the fellow's knowledge.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute requires the Coast Guard, in 
consultation with the Attorney General, to report on its 
existing standards with regards to Congressional detailees and 
compare those standards to other Federal agency detailees and 
to make any recommendations, if necessary, to ensure against 
conflicts of interest and issues of separation of powers.
Section 212. Long-Term Lease of Special Use Real Property
      Section 212 of the House bill allows the Coast Guard to 
enter into a lease of up to 20 years for a new facility 
constructed by Muskegon County that meets criteria established 
by the Commandant.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
authorizes the Secretary to enter into long-term leases for up 
to 20 years for special use real property for the purposes of 
carrying out Coast Guard aviation, maritime and navigation 
missions other than general purpose office and storage space.
      Currently, the Coast Guard's general leasing authority is 
limited to the current fiscal year. This proposal would provide 
the Coast Guard with the authority to lease special use real 
property, including unimproved or vacant land, for terms not to 
exceed 20 years. This 20-year limitation is consistent with the 
Coast Guard's current authority to lease real property for 
navigation and consistent with the Coast Guard's current 
authority to lease real property for navigation and 
communications systems sites. The Coast Guard would use this 
expanded leasing authority to acquire leasehold interests in 
non-Federally-owned lands in those instances when the landowner 
is unwilling or unable (e.g. in the case of a municipality 
limited by state law or local ordinance) to convey the 
property's title to the United States. Such leasehold interests 
would be acquired for direct support of Coast Guard missions, 
such as sites for small boat stations, air search and rescue 
stations, or helicopter landing pads. Opportunities for the 
Coast Guard to enter into long-term leases have arisen at a 
variety of facilities over the past several years, such as 
Muskegon County, Michigan, which has been discussing the 
possible lease of a facility constructed by the County at 
Muskegon County Airport as an air search and rescue station; 
station buildings in Carquinez and Morro Bay, California; a 
pier and cutter support team building in Cordova, Alaska; and 
other facilities throughout the country.
      The Conferees expect the Coast Guard to use this new 
authority judiciously and in the best interest of the United 
States. Additionally, the Conferees direct the Coast Guard to 
report to the Committee on Commerce, Science, and 
Transportation of the Senate and the Committee on 
Transportation and Infrastructure of the House of 
Representatives 30 days prior to entering into any long-term 
lease utilizing this authority detailing the circumstances of 
the lease and the Coast Guard's requirements leading to this 
lease.
Section 213. National Coast Guard Museum
      Section 213 of the House bill allows the Coast Guard to 
establish a National Coast Guard Museum to be located in New 
London, Connecticut. The House provision also prohibits the 
spending of Federal funds for planning, engineering, design, 
construction, operation or maintenance of the Museum, and 
mandates the submission of an operation and maintenance plan to 
Congress before the Museum is established.
      Section 409 of the Senate amendment allows for the 
establishment of a National Coast Guard Museum to be located in 
New London, Connecticut or a location of comparable historic 
connection to the Coast Guard. The Senate provision contains no 
prohibition of Federal funds for Museum construction and 
activities and mandates the submission of an operation and 
maintenance plan to Congress before the Museum is established.
      The Conference substitute adopts a provision that 
authorizes the Commandant of the Coast Guard to establish a 
National Coast Guard Museum to be located in New London, 
Connecticut at, or in close proximity to, the Coast Guard 
Academy. The provision restricts the Coast Guard from expending 
federally appropriated funds for engineering, design or 
construction costs. The provision also requires that the Museum 
be supported with nonappropriated, nonfederal funds to the 
greatest extent possible, and establishes the preservation and 
protection of historic artifacts as the priority use for 
Federal funds. Before the establishment of any museum under 
this section, the Commandant is required to submit to Congress 
a plan for constructing, operating and maintaining such a 
museum. Such plan is to include a discussion ofany shortfall of 
funds for engineering, design or construction. The provision prohibits 
the Commandant from establishing a national Coast Guard museum other 
than under this section.
      The Conferees do not consider the conduct of academic 
programs relating to the curriculum of the Coast Guard Academy, 
the Coast Guard leadership Program or other Coast Guard 
programs that utilize the collections, artifacts and facilities 
of the Museum to be operation and maintenance activities of the 
Museum. Therefore, such programs are not subject to the 
limitation on operation and maintenance funding.
Section 214. Limitation on Number of Commissioned Officers
      Section 214 of the House bill provides a temporary 
increase in the authorized cap on Coast Guard officers to 6,700 
for fiscal year 2004.
      Section 202 of the Senate amendment would permanently 
increase the authorized cap on Coast Guard officers to 7,100 
and authorizes an increase in the percentage of Commanders and 
Lieutenant Commanders to 15 and 22 percent, respectively.
      The Conference substitute adopts a provision that will 
temporarily increase the authorized cap on Coast Guard officers 
to 6,700 officers for the fiscal years 2004, 2005 and 2006 and 
authorizes an increase in the percentage of Commanders and 
Lieutenant Commanders to 15 and 22 percent, respectively.
      Currently, the overall number of officers cannot exceed 
6,200. Increased homeland security requirements, however, are 
expected to drive up the officer needs of the Coast Guard by 17 
percent. With a current officer corps of approximately 5,600 
officers, an additional 900 officers for homeland security 
missions will require a change to the officer ceiling in 
section 42 of title 14, United States Code. The Coast Guard 
budget proposes to convert 78 billets from military to civilian 
positions in each of fiscal years 2003 and 2004. Conferees urge 
the Coast Guard to accelerate the conversion of those jobs that 
are not required for military purposes to civilian positions. 
This conversion will provide for increased continuity in 
positions and decrease the need for additional officer billets 
in the future.
      This section will meet the short-term needs of the Coast 
Guard in addressing changes necessitated by increased 
responsibilities related to homeland security missions. The 
Coast Guard has assured the Conferees that the Service does not 
intend to increase the officer Corps beyond the authorized 
level before the end of Fiscal Year 2006.
Section 215. Redistricting Notification Requirement
      Section 215 of the House bill requires the Commandant to 
notify the Committee at least 180 days before implementing a 
plan to change the boundaries of Coast Guard districts, or 
before shifting more than 10 percent of the personnel or 
equipment from the station where they are based.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision 
amended by adding the Committee on Commerce, Science, and 
Transportation of the Senate as a committee to be notified 
before such redistricting action occurs and by amending the 
language to define an action requiring notification under this 
section as a permanent transfer of a percentage of personnel or 
equipment away from a District Office to which they were 
previously assigned.
      The conferees understand the Department of Homeland 
Security is undertaking efforts to comply with Section 706 of 
the Homeland Security Act and create a plan for the 
consolidation and co-location of agency regional offices. The 
conferees remain concerned of the impact this will have on the 
Cost Guard's mission-based district organization.
      The conferees note that Coast Guard districts are 
currently organized to take into account the interrelated 
nature of specific riverine, estuarine, and other marine 
systems. The districts are arranged to address predominate 
missions and threats which confront specific marine systems. In 
addition, the service has built an extensive system of secure 
communications at these offices from which they control the 
wide range of Coast Guard operations. Arbitrarily dividing up 
the current district structure to comport with the conveniences 
of other Department of Homeland Security agencies could 
severely undermine the Coast Guard's mission effectiveness.
Section 216. Report on Shock Mitigation Standards
      Section 217 of the House bill requires the Secretary to 
establish shock mitigation standards for boat decking material 
on Coast Guard vessels.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision which 
requires the Commandant of the Coast Guard to report to the 
Committee on Transportation and Infrastructure of the House of 
Representatives and the Committee on Commerce, Science, and 
Transportation of the Senate on the necessity of and possible 
standards for decking material in order to mitigate adverse 
effects of shock and vibration of Coast Guard vessels on crew 
members.
Section 217. Recommendations to Congress by Commandant of the Coast 
        Guard
      Section 219 of the House bill authorizes the Commandant 
of the Coast Guard to make recommendations to the Congress 
without the direction and guidance of the Administration.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision.
Section 218. Coast Guard Education Loan Repayment Program
      Section 221 of the House Bill allows the Secretary to 
repay certain loans incurred by active enlisted members of the 
Coast Guard for purposes of higher education.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision.
      This section would allow the Secretary to repay a portion 
of certain higher education loans incurred by active enlisted 
members of the Coast Guard. The amount of repayment is limited 
to 33\1/3\% of the loan or $1,500 per year of service by the 
enlisted member.
Section 219. Contingent Expenses
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
increases the funding level authorized for Coast Guard 
contingent expenses to an amount of $50,000 per fiscal year.
      These funds are used by the Service for representational 
and reception purposes. The current authorized level is $7,500 
and has not been increased since being established in 1949.
Section 220. Reserve Admirals
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
clarifies language that outlines the maximum term of service in 
active status for reserve rear admirals of the Coast Guard to 
ensure that reserve officers may serve a full four-year term at 
that position.
Section 221. Confidential Investigative Expenses
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
increases the funding level authorized for Coast Guard 
confidential investigative expenses to an amount of $45,000 per 
fiscal year.
      The current authorized amount is $15,000 and has not been 
increased since being established in 1974.
Section 222. Innovative Construction Alternatives
      The House bill does not contain a comparable provision.
      Section 407 of the Senate amendment authorizes the 
Commandant of the Coast Guard to consult with the Office of 
Naval Research and other Federal agencies with research and 
development programs that may provide innovative construction 
alternatives for the Integrated Deepwater System.
      The Conference substitute adopts the Senate provision.
Section 223. Delegation of Port Security Authority
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
authorizes the President to delegate the authority to issue 
rules and regulations under 50 U.S.C. 191 to the Secretary of 
the department in which the Coast Guard is operating. 50 U.S.C. 
191 allows for the emergency regulation of vessels in time of 
national emergency.
Section 224. Fisheries Enforcement Plans and Reporting
      The House bill does not contain a comparable provision.
      Section 321 of the Senate amendment would require the 
Coast Guard and National Oceanic and Atmospheric Administration 
to improve their consultations with each other and with State 
and local authorities in setting priorities for and 
coordinating the enforcement of fisheries laws and regulations.
      The Conference substitute adopts the Senate provision, as 
amended.
Section 225. Use of Coast Guard and Military Child Development Centers
      The House bill does not contain a comparable provision.
      Section 211 of the Senate amendment would allow the 
Secretary of Defense and the Secretary of the department in 
which the Coast Guard is operating to agree to provide day care 
services without requiring reimbursement. It also would provide 
children of Coast Guard members the same access as children of 
DOD members to DOD child care facilities.
      The Conference substitute adopts the Senate provision as 
amended, to require mutual reimbursement for use of each 
other's centers.
Section 226. Property Owned by Auxiliary Units and Dedicated Solely for 
        Auxiliary Use
      The House bill does not contain a comparable provision.
      Section 204 of the Senate amendment allows for the 
treatment of real and personal property owned by a unit of the 
Coast Guard Auxiliary to be considered as Federal property for 
purposes of liability.
      The Conference substitute adopts the Senate provision 
with an amendment.
      This section would state that real and personal property 
owned by a unit of the Coast Guard Auxiliary shall be 
considered Federal property for liability purposes at all times 
unless the property is being used outside the scope of the 
Auxiliary mission. This section also allows the Secretary of 
the department in which the Coast Guard is operating to 
reimburse the Auxiliary for operation, maintenance, repair, or 
replacement of Auxiliary property when it is being used 
exclusively for Auxiliary business.

                         TITLE III--NAVIGATION

Section 301. Marking of Underwater Wrecks
      Section 301 of the House bill gives the Commandant of the 
Coast Guard discretion in the manner in which a sunken vessel 
is to be marked for purposes of navigation.
      Section 301 of the Senate amendment is a similar 
provision.
      The Conference substitute adopts the Senate amendment 
that grants the Commandant of the Coast Guard discretion to 
permit a sunken wreck to be marked without using a lighted buoy 
if the Commandant determines that placing a light would be 
impractical and granting such a waiver would not create an 
undue hazard to navigation.
      Under current law, the owner or operator of a vessel 
wrecked and sunk in a navigable channel must immediately mark 
it with a ``buoy or beacon during the day and a lighted lantern 
at night'', and maintain the marker until the wreck is removed. 
In navigable channels on the Western Rivers, use of a lighted 
aid to mark a wreck is generally not practicable due to the 
fast current and floating debris common in those rivers. 
Lighted aids, which are larger and heavier than unlighted 
markers, tend to submerge in the fast current, and are pushed 
off station by the force of the current on debris snagged by 
the aid. It is largely for this reason that of the over 10,000 
buoys positioned by the Coast Guard to mark navigable channels 
on the Western Rivers, only 12 are seasonal lighted buoys, and 
those are limited to pooled waters behind dams where current is 
not a factor. Mariners operating vessels on these rivers are 
accustomed to navigating with unlighted buoys. Due to the 
failure of owners/operators to mark their wrecked vessels, the 
Coast Guard currently performs much of this type of marking. 
The Coast Guard generally uses unlighted buoys for this 
purpose.
Section 302. Use of Electronic Devices; Cooperative Agreements
      Section 302 of the House bill amends the Ports and 
Waterways Safety Act (33 U.S.C. 1223) (PWSA) to authorize the 
Secretary to prohibit the use on the bridge of vessels of 
certain electric and electronic devices that interfere with 
communications or navigation equipment. This section also 
amends the PWSA to authorize the Commandant to enter into 
cooperative agreements with non-Federal entities to carry out 
Ports and Waterways Safety Act vessel operating requirements, 
including vessel traffic services.
      Section 302 of the Senate amendment would authorize the 
Secretary to prohibit the use of certain electronic devices 
that could interfere with shipboard navigation or 
communications systems. It also would authorize the Secretary 
to enter into partnerships and cooperative ventures with non-
Federal entities to carry out Ports and Waterways Safety Act 
vessel operating requirements, including vessel traffic 
services, and would allow longer-term, 20-year leases between 
the Coast Guard and such partners. The Senate provision also 
exempts from the prohibition electronic or other devices that 
use a certain portion of the spectrum currently owned by a 
private entity.
      The Conference substitute adopts the House provision with 
a slight clarification that the use of electronic or other 
devices that interfere with a vessel's communication or 
navigation equipment is prohibited aboard vessels, but 
restricts the Secretary from using this authority with respect 
to electronic or other devices certified to transmit in the 
maritime services by the Federal Communications Commission and 
used within the frequency bands 157.1875-157.4375 MHz and 
161.7875-162.0375 MHz.
      With the increased reliance on Geographic Positioning 
Systems (GPS), interference to GPS receivers could become a 
significant problem, especially when GPS is integrated with 
automatic heading control and dynamic positioning systems that 
control the navigation and movement of the vessel. Interference 
has been known to cause GPS systems to generate false 
positions. A slight position ``error'' may cause enough of a 
heading change to run a ship aground.
Section 303. Inland Navigation Rules Promulgation Authority
      Section 303 of the House bill proposes to remove the 
Inland Navigation Rules from 33 U.S.C. 2001 if the Secretary 
promulgates Inland Navigation Rules through a regulatory 
proceeding. The statutory rules remain in effect until such 
regulations become effective.
      Section 314 of the Senate amendment contains a similar 
provision.
      The Conference substitute adopts the House provision.
      This change allows for future changes to the Inland 
Navigation Rules through the regulatory process without the 
need for statutory changes.
Section 304. Saint Lawrence Seaway
      The House bill contains no similar provision.
      The Senate bill contains no similar provision.
      The conference substitute maintains the role of the 
Secretary of Transportation in carrying out the Ports and 
Waterways Safety Act as it relates to the Saint Lawrence 
Seaway.

                           TITLE IV--SHIPPING

Section 401. Reports From Charterers
      Section 401 of the House bill gives the Secretary the 
authority to require reports from vessel charterers to ensure 
compliance with laws governing vessels engaged in coastwise 
trade and fisheries. Under current law, the Secretary may 
require reports from vessel owners and masters.
      Section 303 of the Senate amendment includes an identical 
provision.
      The Conference substitute adopts the House provision.
Section 402. Removal of Mandatory Revocation for Proved Drug 
        Convictions in Suspension and Revocation Cases
      Section 402 of the House bill would remove the automatic 
requirement to suspend a merchant mariner's credentials in 
every document suspension and revocation case involving a drug 
conviction, thereby giving the Coast Guard Administrative Law 
Judge additional discretion in appropriate cases involving 
minor offenses.
      Section 306 of the Senate amendment contains an identical 
provision under a different heading.
      The Conference substitute adopts the Senate provision.
      Under current law, a merchant mariner's credential (MMC) 
must be revoked if the credential holder is convicted of 
violating a State or Federal drug law, or found to use, or be 
addicted to, a dangerous drug. However, if evidence of proof of 
cure is provided, the credential of a drug user or addict need 
not be revoked. No option other than revocation is provided for 
a drug offense conviction.
      In 1994, the Coast Guard began using Settlement 
Agreements to resolve suspension and revocation cases without a 
hearing. These have been particularly successful in cases 
involving drug use where the Administrative Law Judge (ALJ) 
need not revoke credentials if the holder provides satisfactory 
proof of cure. The Coast Guard seeks the discretion to suspend 
a mariner's credentials in dangerous drug law conviction cases. 
Use of that discretion will allow the use of Settlement 
Agreements to resolve cases involving minor drug convictions. 
The Coast Guard believes that granting ALJ's discretion to 
approve settlement agreements will improve the administration 
of the MMC program by removing the requirement for a hearing 
and revocation in every case involving a drug conviction. This 
will allow minor cases to be settled quickly leaving resources 
available to focus on more serious cases.
Section 403. Records of Merchant Mariner Documents
      Section 403 of the House bill strikes the prohibition on 
``general or public inspection'' of merchant mariners' 
documents (MMDs).
      Section 307 of the Senate amendment contains a 
substantively similar provision.
      The Conference substitute adopts the Senate provision.
      Striking this prohibition will bring merchant mariners' 
documents (MMDs) under the record protection and release 
policies of the Privacy Act, 5 U.S.C. 552a, and Freedom of 
Information Act (FOIA), 5 U.S.C. 552. Since no similar 
prohibition exists for merchant mariners' licenses, or 
certificates, this change provides equal treatment for all 
merchant mariners' credentials. With this change, release of 
information regarding all credentials will be governed by the 
Privacy Act and FOIA.
      The prohibition against ``general or public inspection'' 
of MMDs was enacted decades before the Privacy Act and FOIA. 
The prohibition denies access to MMDs even to individuals with 
legitimate reasons for accessing that information. Even a 
request to verify a mariner's qualifications is refused by the 
National Maritime Center (NMC). NMC cannot confirm to an 
employer that a mariner is documented. The prohibition prevents 
family members and historians seeking information about 
deceased mariners, even upon presentation of a valid death 
certificate, from receiving information.
Section 404. Exemption of Unmanned Barges From Certain Citizenship 
        Requirements
      Section 404 of the House bill exempts unmanned barges 
from the requirement that all documented vessels be under the 
command of a citizen of the United States unless those vessels 
are engaged in a coastwise voyage.
      Section 308 of the Senate amendment is a similar 
provision.
      The Conference substitute adopts the Senate provision.
      When an unmanned U.S. barge is in service with a tug or 
other vessel not under the operational control of a U.S. 
citizen, the current requirement places an administrative 
burden on the barge operator that results in no practical 
benefit.
      To comply with the U.S. citizen-in-command requirement, a 
U.S. citizen deckhand is sometimes designated as the ``barge 
master'' on the towing vessel, so that the unmanned barge will 
be ``under the command of'' a U.S. citizen. This solution is an 
artificial one that lends no real value, since the ``barge 
master'' is not in command as a practical matter, having no 
control over the tug. Rather, it is the master of the tug who 
has control of both the tug and the barge, and makes the 
decisions concerning navigation, crew hiring and firing, 
discipline, and compliance with laws and regulations. 
Designating a U.S. citizen ``barge master'' on board the tug 
does not confer decision making authority on that citizen, but 
it could burden that person with the consequences of the tug 
operator's actions.
      Under current law, an unmanned barge not under command of 
a U.S. citizen is subject to seizure and forfeiture. Strict 
enforcement of this requirement would effectively prohibit 
owners of U.S. documented barges from bareboat chartering their 
vessels to foreign interests. To comply with existing law, a 
U.S. citizen would have to be aboard any foreign tug that tows 
a bareboat chartered U.S. barge and be designated as in command 
of that barge. Lighter Aboard Ship (LASH) barges discharged in 
foreign ports cannot comply with this requirement unless the 
vessel carrying the LASH barges also carries at least one U.S. 
citizen who would leave the LASH carrier to accompany the 
barges when discharged.
Section 405. Compliance With International Safety Management Code
      Section 405 of the House bill requires foreign flag 
vessels departing and returning to the same U.S. port, or 
returning to another port under the jurisdiction of the United 
States, to comply with the International Safety Management 
(ISM) Code when any part of the voyage occurs on the high seas.
      Section 316 of the Senate amendment contains a similar 
provision.
      The Conference substitute adopts the House provision.
      This section would require foreign flagged vessels on 
``voyages to nowhere'' to comply with the ISM Code. It would 
amend section 3201 of title 46 to require foreign flagged 
vessels departing and returning to the same U.S. port, or 
returning to another port under the jurisdiction of the U.S., 
to comply with the ISM Code when any part of the voyage occurs 
on the high seas.
Section 406. Penalties
      Section 406 of the House bill increases the maximum civil 
administrative penalty for violations of Federal recreational 
boat safety regulations from $2,000 to a maximum of $5,000, and 
increases the maximum for a related series of violations from 
$100,000 to $250,000. Current law applies these penalties for 
wrongful manufacture or sale. This section also applies the 
penalties to wrongful labeling and failure to notify of a 
recall.
      Section 310 of the Senate amendment follows the House 
provision in increasing civil penalties. The Senate provision 
also adds a criminal penalty provision for knowing and willful 
violations of section 4307(a).
      The Conference substitute adopts the civil penalties 
provision and establishes criminal penalties for willful and 
knowing violation of section 4310 (f). Section 4310 (f) allows 
the Secretary to require a recall of a recreational vessel or 
associated equipment.
Section 407. Revision of Temporary Suspension Criteria in Document 
        Suspension and Revocation Cases
      Section 407 of the House bill corrects a drafting error, 
and allows the Coast Guard to temporarily suspend or revoke a 
merchant mariner's credentials (MMCs) if the mariner has been 
convicted of certain National Driver Register Act (NDRA) 
offenses.
      Section 304 of the Senate amendment contains a similar 
provision.
      The Conference substitute largely adopts the Senate 
provision and further describes conditions that would allow the 
Secretary to temporarily suspend an MMC.
      Under current law, an MMC could only be suspended or 
revoked for an NDRA conviction if the mariner was acting under 
the authority of the credential when the NDRA violation 
occurred. Since there are no reasonable scenarios under which a 
mariner will commit a motor vehicle-related offense while on 
board ship, this section restores the intent of the provision 
to allow suspension or revocation after a conviction for 
operating a motor vehicle while under the influence of, or 
impaired by, alcohol or a controlled substance, or a traffic 
violation arising in connection with a fatal traffic accident, 
reckless driving, or racing on the highways.
      Current law allows for longer-term suspension or 
revocation of the MMC as a result of an NDRA suspension after a 
suspension and revocation hearing. The provision amended by 
this section only deals with temporary suspensions or 
revocations of no more than 45 days prior to a hearing. This 
section also provides authority to temporarily suspend an MMC 
if the holder threatens the security of a vessel or the port.
Section 408. Revision of Bases for Document Suspension and Revocation 
        Cases
      Section 408 of the House bill allows the Coast Guard to 
suspend or revoke a merchant mariner's credentials (MMC) if the 
mariner commits an act of incompetence whether or not the 
mariner is acting under the authority of the MMC at the time 
the act occurs.
      Section 305 of the Senate amendment contains a similar 
provision.
      The Conference substitute adopts the Senate provision, 
and further defines circumstances under which the Secretary of 
the department in which the Coast Guard is operating may 
suspend or revoke merchant mariner's credentials.
      Under current law, the Coast Guard can only undertake 
suspension and revocation proceedings if the mariner commits an 
act of incompetence while acting under the authority of the 
MMC. The section allows an MMC to be revoked whenever the 
mariner commits an act of incompetence related to the operation 
of a vessel. The section also adds security threat as a basis 
for which the Secretary may suspend or revoke an MMC.
Section 409. Hours of Service on Towing Vessels
      Section 409 of the House bill grants the Secretary of the 
department in which the Coast Guard is operating the authority 
to prescribe maximum hours of service for individuals engaged 
on a towing vessel that is required to have a licensed operator 
under section 8904 of title 46, United States Code. However, 
before prescribing those regulations, the Secretary is required 
to conduct and report to Congress on the results of a 
demonstration project involving the implementation of Crew 
Endurance Management Systems on these vessels.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision.
      In September 2001, a towing vessel struck a bridge at 
South Padre Island, TX. The bridge collapsed, and 5 people died 
when their cars or trucks went into the water. On May 26, 2002, 
a towing vessel struck the I-40 highway bridge over the 
Arkansas River at Webber Falls, OK. The bridge collapsed, and 
14 people died when their cars or trucks went into the Arkansas 
River.
      As a result of these accidents, the Coast Guard and the 
American Waterways Operators established a Joint Working Group 
to examine the statistics of bridge allisions and measures that 
could be taken to help prevent these types of casualties. The 
study used a database of 2,692 bridge allision cases between 
1992-2001. One of the recommendations of the working group's 
May, 2003 report is to ``require the implementation of Crew 
Endurance Management Systems (CEMS) throughout the towing 
industry as a means of improving decision making fitness.'' In 
addition, on June 1, 1999, the National Transportation Safety 
Board issued Recommendation M-99-1 to the Coast Guard that 
stated the Coast Guard should ``Establish within 2 years 
scientifically based hours-of-service regulations that set 
limits on hours of service, provide predictable work and rest 
schedules, and consider circadian rhythms and human sleep and 
rest requirements.''. This section would give the Coast Guard 
the legal authority to implement these recommendations.
      The Conferees expect that the Secretary will carefully 
evaluate the results of the demonstration project prior to 
determining the need to establish maximum hours of service 
regulations as permitted under subsection (a). Prior to 
promulgating any such regulations, the Conferees also expect 
that the Secretary will evaluate the costs and benefits of 
establishing maximum hours of service requirements on towing 
vessels. This evaluation should include a review of Coast Guard 
casualty data to determine whether there is statistical 
evidence to support the need for new hours of service 
regulations.
Section 410. Electronic Charts
      Section 410 of the House bill requires shipboard 
automatic identification systems to include electronic charts 
and related display.
      Section 324 of the Senate amendment would require the 
Coast Guard, in consultation with NOAA, to report on the costs 
of completing Electronic Navigation Charts for the existing 
suite of NOAA charts, the costs and benefits of requiring 
electronic navigation systems on vessels, and a description of 
international standards in this area.
      The conference substitute requires certain vessels to be 
equipped with and be able to operate electronic charts.
      The section applies to self propelled commercial vessels 
of at least 65 feet in length, vessels carrying more passengers 
than an amount prescribed by the Secretary, a towing vessel of 
more than 26 feet in length and 600 horsepower, and any other 
vessel for which the Secretary decides that electronic charts 
are necessary for the safe navigation of the vessel. On 
September 22, 1993, at about 2:45 a.m. the towing vessel 
Mauvilla and its barges became lost in the fog and struck and 
displaced the Big Bayou Canot railroad bridge near Mobile, 
Alabama. Later that night the Amtrak train, Sunset Limited, 
derailed as it went over the bridge and fell into the water 
killing 42 passengers and 5 crewmembers. The Conferees believe 
that electronic charts tied to a Global Positioning Satellite 
receiver will help prevent accidents such as this in the 
future. The conferees recognize that vector electronic charts 
may not be available for all of the navigable waters of the 
United States. However, the Secretary may allow a vessel 
operator to use raster electronic charts until vector charts 
become available for those waters.
      This section also allows the Secretary to waive the 
requirement for a vessel to be equipped with an electronic 
chart system if the Secretary finds that an electronic chart 
and related display is not necessary for the safe operation of 
a vessel or class of vessels on the waters on which those 
vessels operate. If the vessel is also required to have an 
Automatic identification system (AIS) on board the vessel under 
section 70114 of title 46, United States Code, theConferees 
believe that the Secretary should require the AIS system information to 
be integrated with the electronic chart display.
Section 411. Prevention of Departure
      Section 411 of the House bill allows the Coast Guard to 
conduct examinations to ensure that a passenger vessel calling 
on a U.S. port complies with the International Convention for 
the Safety of Life at Sea (SOLAS) so long as a U.S. citizen 
passenger is aboard.
      Section 315 of the Senate amendment contains a similar 
provision.
      The Conference substitute adopts the Senate provision 
with a clarifying amendment.
      Current law authorizes the Secretary to prevent a foreign 
passenger vessel from departing a U.S. port, with passengers 
who are embarked at that port, if the Secretary finds that the 
vessel does not comply with the standards stated in (SOLAS). 
However, the statute does not provide a similar authority to 
the Secretary regarding control of a foreign passenger vessel 
that may have embarked passengers from a nearby foreign port 
and is conducting a voyage to a U.S. port. The result of this 
distinction is that a foreign vessel embarking U.S. passengers 
from a neighboring country such as Canada or a Caribbean 
country and calling on U.S. ports would not be subject to the 
same detailed examination as a foreign passenger vessel 
embarking passengers from a U.S. port conducting a similar 
voyage. Without the ability to conduct such an examination, it 
is difficult for the Coast Guard to assure that such vessels 
are in compliance with SOLAS regulations.
Section 412. Service of Foreign Nationals for Maritime Educational 
        Purposes
      Section 412 of the House bill would allow foreign 
nationals enrolled at the United States Merchant Marine Academy 
to operate aboard a vessel as an unlicensed seaman for purposes 
of fulfilling educational requirements for graduation from the 
Academy.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision.
Section 413. Classification Societies
      Section 413 of the House bill prohibits a classification 
society from operating in interstate or foreign commerce 
without the review of the society's activities and subsequent 
approval of the Secretary of the department in which the Coast 
Guard is operating. The section also outlines criteria which 
must be met in the determination of the Secretary before a 
society receives the Secretary's approval.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
prohibits a classification society from reviewing or certifying 
the construction, repair, or alteration of a vessel while in 
the United States unless the society has applied for and 
received approval from the Secretary of the department in which 
the Coast Guard is operating or the society is a full member of 
the International Association of Classification Societies. The 
provision also outlines criteria which must be met in the 
determination of the Secretary before a society receives the 
Secretary's approval.
Section 414. Drug Testing Reporting
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
requires Federal agencies to submit results of positive drug 
tests and verified test violations from civilian and certain 
uniformed personnel employed aboard Federally-operated vessels 
to the Coast Guard.
Section 415. Inspection of Towing Vessels
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adds towing vessels, as defined 
in section 2101 of title 46, United States Code, as a class of 
vessels that are subject to safety inspections under chapter 33 
of that title. Section 3306 of title 46 details the items that 
are to be regulated under the chapter to secure the safety of 
individuals and property on board the vessel. This includes 
design, construction, alteration and repair of the 
superstructures, hulls, fittings, equipment appliances, 
propulsion equipment, machinery, lifesaving equipment, 
firefighting equipment, and vessel stores and other supplies of 
a dangerous nature.
      The Coast Guard may prescribe different standards for 
towing vessels than for other types of inspected vessels. 
Similarly, the Coast Guard can prescribe different standards 
for the various types of towing vessels based on size, 
horsepower, type of operation, area of operation. For example, 
the Coast Guard can prescribe different standards with regard 
to propulsion machinery and hulls for a towing vessel pushing 
barges down the Mississippi River than for vessels that provide 
towing assistance for recreational vessels.
      New section 3306(j) of title 46, United States Code, 
authorizes the Secretary of the department in which the Coast 
Guard is operating to establish by regulation a safety 
management system appropriate for the characteristics, methods 
of operation, and nature of service of towing vessels. Safety 
management systems allow the Coast Guard to oversee the 
maintenance andrepair of vessel equipment and ship systems 
subject to inspection through an approved safety management plan that 
includes maintenance schedules and system tests. The Coast Guard may 
enforce the plan through audits of the vessel's logs and vessel 
operator's records rather than having to directly oversee the repair or 
maintenance work conducted on a particular piece of equipment or ship 
system.
Section 416. Potable Water
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
requires vessels subject to inspection by the Coast Guard to 
have an adequate supply of potable water for drinking and 
washing.
Section 417. Transportation of Platform Jackets
      The House bill does not contain a comparable provision.
      Section 406 of the Senate amendment would make a 
technical clarification to a provision under the MTSA that 
allows the use of foreign launch barges in certain offshore 
construction.
      The Conference substitute amends the thirteenth proviso 
(pertaining to transportation by launch barge) to allow 
previously non-qualified launch barges built before December 
31, 2000 and has a launch capacity of at least 12,000 gross 
tons to participate in the coastwise trade under certain 
conditions.
Section 418. Renewal of Advisory Groups
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision, which 
reauthorizes several safety advisory committees through 
September 30, 2010.

                  TITLE V--FEDERAL MARITIME COMMISSION

Section 501. Authorization of Appropriations for Federal Maritime 
        Commission
      Section 501 of the House bill authorizes appropriations 
for the Federal Maritime Commission for Fiscal Year 2004.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
authorizes appropriations for the Federal Maritime Commission 
for each of the Fiscal Years 2005 through 2008.
Section 502. Report on Ocean Shipping Information Gathering Efforts
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
requires the Chairman of the Federal Maritime Commission to 
submit a report to Congress regarding the sharing of ocean 
shipping information with Federal, State, and local government 
agencies to assist law enforcement and anti-terrorism efforts.

                        TITLE VI--MISCELLANEOUS

Section 601. Increase in Civil Penalties for Violations of Certain 
        Bridge Statutes
      Section 601 of the House bill increases the civil 
penalties for bridge violations under the Rivers and Harbors 
Appropriations Act of August 18, 1894; the Rivers and Harbors 
Appropriations Act of March 3, 1899; the Bridge Act of 1906; 
and the General Bridge Act of 1946 to a maximum of $25,000 per-
day per-violation. This section phases in that increase over 5 
years.
      Section 309 of the Senate amendment also increases the 
civil penalties for bridge violations to a maximum of $25,000 
per-day, per-violation upon enactment of the Act.
      The Conference substitute adopts the House provision.
      Bridges constructed across the navigable waters of the 
United States are considered obstructions to navigation and 
must provide for the reasonable needs of navigation. Civil 
penalties for 20 potential bridge statute violations range in 
amounts from $220 to $1,100 per day and involve matters such as 
failure to install and keep bridge lights and other signals in 
working order; unreasonable delay in operating a draw opening 
after signal; and failure to give timely notice of construction 
or modification events affecting navigation. Vessel owners and 
operators are also subject to penalties--for example, for 
signaling a drawbridge to open for a nonstructural vessel 
appurtenance unessential to navigation or easily lowered.
      The Coast Guard maintains that current civil penalties 
for violations of bridge laws and regulations are insufficient 
to effectively discourage violations. Current law sets the 
civil penalty at a maximum $1,000 per-day per-violation with 
each day a violation continued constituting a separate offense. 
With the minor adjustments allowed under the Federal Civil 
Monetary Penalty Inflation Adjustment Act of 1990, the maximum 
civil penalty is now $1,100 per-day per-violation.
Section 602. Conveyance of Decommissioned Coast Guard Cutters
      Section 602 of the House bill directs the Commandant of 
the Coast Guard to convey three decommissioned Coast Guard 
vessels for historical display purposes to nonprofit 
corporations in Port Huron, Michigan, Sherman Oaks, California, 
and Duluth, Minnesota, respectively.
      Section 403 of the Senate amendment contains a similar 
provision, but makes the transfer of the vessels discretionary.
      The Conference substitute adopts the Senate provision.
      As a condition of conveyance, the recipients must agree 
that the vessel (1) will be used for education and historical 
display purposes; (2) must not be used for commercial 
transportation; and (3) will be made available to the United 
States Government if needed in time of war or national 
emergency. The recipient must also agree to hold the government 
harmless for claims arising from exposure to hazardous 
materials.
Section 603. Tonnage Measurement
      Section 603 of the House bill deems the motor vessel 
Bluefin to be 488 gross tons and the motor vessel Coastal 
Merchant to be 493 gross tons, as measured under regulations 
prescribed under section 14502 of title 46, United States Code, 
for purposes of applying the optional regulatory measurement 
under section 14305 of title 46, United States Code.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute authorizes the Secretary of the 
department in which the Coast Guard to apply section 8104(o) of 
title 46, United States Code, to the vessels M/V Bluefin and M/
V Coastal Merchant unless such application would compromise 
safety.
Section 604. Operation of Vessel ``Stad Amsterdam''
      Section 604 of the House bill authorizes the vessel Stad 
Amsterdam to carry non-paying guests within U.S. waters and 
between ports and places in the U.S. These are individuals who 
are not directly and substantially connected with the 
operation, navigation, ownership, or business of the vessel, 
who are friends, guests, or employees of the owner of the 
vessel, and who are not actual or prospective customers for 
hire of the vessel.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision similar to 
the House provision, but limits the authorization to 45 
calendar days per year and requires the Secretary to revoke the 
authorization if the terms of the authorization are not adhered 
to.
      This section does not authorize the vessel to carry 
individuals for a fare or to be chartered on a for-hire basis 
in the coastwise trade. In fact, this section prohibits Stad 
Amsterdam from being ``used to carry individuals for a fare or 
to be chartered on a for-hire basis in the coastwise trade.'' 
This means that the owners may not solicit or accept payment 
for the carriage of friends, guests, and employees in U.S. 
domestic waters.
      Existing law requires that vessels carrying passengers 
for hire in the coastwise trade be U.S. built, U.S. manned, 
U.S. owned, and U.S. documented. Prior to 2002, the U.S. 
Customs Service ruled that non-paying guests of the owner or 
operator were not considered passengers. Therefore, vessels 
carrying non-paying guests in U.S. coastal waters did not have 
to meet domestic build, crew, ownership, and documentation 
requirements. In June 2002, Customs ruled that individuals be 
``considered passengers unless they are directly and 
substantially connected with the operation, navigation, 
ownership, or business of the vessel.'' This section applies 
the earlier Customs ruling to non-paying guests on the Stad 
Amsterdam.
Section 605. Great Lakes Regional National Maritime Enhancement 
        Institute
      Section 605 of the House bill authorizes $5 million to be 
appropriated to the Secretary of Transportation in each of the 
Fiscal Years 2004 through 2008 to study cargo transportation on 
the Great Lakes.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that 
authorizes the Secretary of Transportation to designate a 
National Maritime Enhancement Institute in the Great Lakes 
region. The provision also requires the Secretary to conduct a 
study on a number of issues related to marine cargo 
transportation in the Great Lakes and to report the result on 
this study to Congress. The study is to be completed within two 
years of the enactment of the Act and $1.5 million is 
authorized to be appropriated to the Secretary of 
Transportation for each of fiscal years 2005 and 2006.
Section 606. Koss Cove
      Section 607 of the House bill designates a cove lying off 
the southern coast of Erlington Island in Alaska as ``Koss 
Cove'', in honor of the late Able Bodied Seaman Eric Steiner 
Koss. Seaman Koss served aboard the National Oceanic and 
Atmospheric Administration vessel Rainier, and died in the 
performance of a nautical charting mission in this cove.
      Section 404 of the Senate amendment contains a similar 
provision.
      The Conference substitute adopts the House provision.
Section 607. Miscellaneous Certificates of Inspection
      Section 608 of the House bill section provides coastwise 
trade endorsements for two U.S.-flag, U.S. owned, and U.S. 
built vessels, the Ocean Leader and the Revelation.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision with 
an amendment that provides coastwise trade endorsements for two 
additional vessels, the Miss Linda, and the Ragland.
Section 608. Requirements for Coastwise Endorsement
      Section 609 of the House bill requires the Secretary of 
the department in which the Coast Guard is operating to 
implement final regulations to carry out section 12106(e) of 
title 46, United States Code, regarding lease financing by 
foreign entities of vessels intended to be used in the 
coastwise trade.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute requires that foreign owners of 
U.S.-built vessels engaged in the coastwise trade annually 
certify that the owner is a financial institution without any 
active interest in the operation of the vessel or any 
affiliation with a parent company, subsidiary or other 
affiliate that operates vessels for hire or has the ability to 
directly or indirectly control or direct the use of any vessel.
      The substitute exempts certain vessels that carry 
predominantly proprietary cargo (defined as petroleum-derived 
products) and vessels owned by one entity engaged in the 
transportation and distribution of petroleum products in Alaska 
from these requirements.
      The substitute allows vessels that had been procured by 
lease financing under the Coast Guard's pre-February 4, 2004 
policy to maintain their coastwise endorsements for the life of 
the vessel. Replacement vessels for such vessels may receive a 
coastwise endorsement if replacement is due to an act of God or 
a marine casualty, or if a contract to build such a replacement 
vessel is entered into prior to December 31, 2004. Offshore 
supply vessels procured by lease financing under the Coast 
Guard's pre-February 4, 2004 policy may maintain their 
coastwise endorsement for 3 years after the date of enactment 
of this Act.
Section 609. Correction of References to National Driver Register
      Section 614 of the House bill makes technical corrections 
to the National Driver Register Act of 1982 (23 U.S.C. 401 
note).
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision.
Section 610. Wateree River
      Section 615 of the House bill designates a portion of the 
Wateree River in the state of South Carolina stretching from 
100 feet upstream of the railroad bridge located at 
approximately mile marker 10.0 to a point 100 feet downstream 
of the bridge to be non-navigable waters for purposes of bridge 
administration.
      Section 405 of the Senate amendment contains a similar 
provision.
      The Conference substitute adopts the House provision.
Section 611. Merchant Mariners' Documents Demonstration Program
      Section 616 of the House bill authorizes the Secretary of 
the department in which the Coast Guard is operating to 
establish a pilot program in the 17th Coast Guard District to 
improve processing and procedures for issuing merchant 
mariners' documents. The provision directs the Secretary to 
consult with the Secretary of the Air Force so that any such 
demonstration program will implement some of the measures 
currently in place in the Air Force program.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute authorizes the Secretary to 
establish a merchant mariner documents technology demonstration 
program.
      In carrying out any pilot project under this section, the 
Conferees expect the Secretary to give particular consideration 
to the distances that must be traveled between areas in which 
mariners work and processing offices. The Conferees also expect 
the Secretary to consider the seasonal nature of work done in 
those areas. Clearly the greatest benefits to be derived from 
automated documents processing would come in areas where the 
distance to and from work sites is the greatest, and the 
duration of the work the shortest. Any pilot project should 
demonstrate methods to improve processing and procedures for 
issuing merchant mariners' documents. The Conferees encourage 
the Secretary to consult with the Secretary of the Air Force 
regarding the efficiency and effectiveness of the content 
management technology and information management tools that are 
currently used by the Department of the Air Force in the Air 
Force Publishing Directorate.
Section 612. Conveyance
      Section 617 of the House bill conveys the light station 
built on Sentinel Island, Alaska and the surrounding land to 
the Gastineau Channel Historical Society of Juneau, Alaska. 
Under terms of the conveyance all navigational aids on the 
island and all property must be maintained in working condition 
by the Society.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute directs the Secretary of the 
department in which the Coast Guard is operating to convey 
Sentinel Island to the entity that receives ownership of the 
light station through the competitive process outlined by the 
National Historic Lighthouse Preservation Act (16 U.S.C. 470w-
7). The provision retains the terms of conveyance that were 
included in the original House provision.
Section 613. Bridge Administration
      Section 619 of the House bill repeals section 325 of 
Public Law 97-369 (96 Stat. 1785) which prohibits approval of 
any project or action which would interfere with the reasonable 
needs of navigation on the Columbia Slough, Oregon.
      Section 408 of the Senate amendment is a substantively 
similar provision which removes the prohibition of approval of 
any such project by amending the statute rather than repealing 
it.
      The Conference substitute adopts the Senate provision.
Section 614. Sense of the Congress Regarding Carbon Monoxide and 
        Watercraft
      Section 620 of the House bill expresses the sense of the 
Congress that the Coast Guard should continue to place a high 
priority on addressing the safety risks posed to boaters by 
elevated levels of carbon monoxide unique to watercraft, and 
work with vessel and engine manufacturers, the American Boat & 
Yacht Council, other Federal agencies, and the entire boating 
community in order to determine the best ways to minimize the 
number of carbon monoxide-related boating deaths occurring each 
year.
      The Senate amendment does not contain a comparable 
amendment.
      The Conference substitute adopts the House provision.
Section 615. Mitigation of Penalty Due to Avoidance of a Certain 
        Condition
      Section 624 of the House bill deems for penalty 
mitigation purposes a certain violation of Federal law owing to 
avoidance of a specified hazardous condition involving power 
lines across the Mississippi River at Chalmette, Louisiana, to 
have been committed by reason of a safety concern.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that deems 
for penalty mitigation purposes a certain violation of Federal 
law owing to avoidance of a specified condition involving the 
lack of vertical clearance due to water height on the 
Mississippi River at Chalmette, Louisiana, to have been 
committed by reason of a safety concern. The provision also 
mitigates the penalty assessed for a violation incurred while 
the vessel in question was repositioned to the Port of New 
Orleans, Louisiana to an amount not more than $100 per 
passenger.
Section 616. Certain Vessels to be Tour Vessels
      Section 625 of the House bill deems the passenger vessel 
Empress of the North as a tour vessel for purposes of certain 
regulations with respect to vessel operations in Glacier Bay 
National Park and Preserve, Alaska.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute allows for a vessel over 100 
gross tons, but no larger than 300 gross tons, to be deemed a 
tour vessel, solely for purposes of permit allocations, if it 
meets certain criteria. Such vessels would only be eligible for 
existing permits for operating in Glacier Bay, and only if a 
vessel under 100 gross tons is not seeking the permit. Up to 
three vessels that meet these criteria are eligible for such 
permits, but only one such vessel can enter Glacier Bay on a 
given day. Finally, the provision makes it clear that all other 
regulations that apply to vessels of at least 100 gross tons 
still apply to these vessels, including restrictions pertaining 
to speed, route and closed waters.
Section 617. Sense of Congress Regarding Timely Review and Adjustment 
        of Great Lakes Pilotage Fees
      Section 626 of the House bill expresses the sense of the 
Congress that the CG Secretary should, on a timely basis, 
review, and adjust the pilotage rates payable for services 
performed by U.S. registered pilots on the Great Lakes.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision. The 
conferees urge the Coast Guard to review and adjust (if 
appropriate) these rates on an annual basis as provided in the 
Coast Guard regulations.
Section 618. Westlake Chemical Barge Documentation
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute authorizes U.S. built, U.S. 
manned, U.S. owned barges to operate in the coastwise trade.
Section 619. Correction to Definition
      The House bill does not contain a comparable provision.
      Section 311 of the Senate amendment makes a technical 
correction to the reference to the Coast Guard in a list of 
defined federal law enforcement agencies included in Pubic Law 
107-173.
      The Conference substitute adopts the Senate provision.
Section 620. LORAN-C
      The House bill does not contain a comparable provision.
      Section 402 of the Senate amendment authorizes DOT to 
transfer $25 million in FY 2004 from the FAA to the Coast Guard 
for recapitalization of the LORAN-C radio navigation system.
      The Conference substitute adopts the Senate provision, as 
amended to provide an authorization for 2005.
Section 621. Deepwater Report
      The House bill does not contain a comparable provision.
      Section 322 of the Senate amendment would require the CG 
to provide a report on the performance of the prime contractor 
under the first five-year term of the contract for the 
Integrated Deepwater Program.
      The Conference substitute adopts the Senate provision, as 
amended to require additional information to be included in the 
report, such as any anticipated changes in the mix of legacy 
and replacement assets over the life of the program, and 
projected costs. As part of this report, the Conferees 
understand that the Coast Guard will provide a revised 
Integrated Deepwater Systems Program plan, including any 
planned changes related to the replacement of legacy assets 
with new assets and associated costs. The Conferees also expect 
the report to discuss the Coast Guard's intentions with respect 
to replacement of the engines on its HU-25 aircraft, and expect 
the Coast Guard to notify the Committee on Commerce, Science 
and Transportation of the Senate and the Committee on 
Transportation and Infrastructure of the House at least 30 days 
prior to expending any funds to replace the engines on its HU-
25 aircraft, or develop plans to replace such engines.
Section 622. Judicial Review of National Transportation Safety Board 
        Final Orders
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute allows the Commandant of the 
Coast Guard to seek a judicial review of an order of the Board 
issued pursuant to a review of a Coast Guard action if it will 
have an adverse impact on maritime safety or security.
Section 623. Interim Authority for Dry Bulk Cargo Residue Disposal
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute extends the interim authority 
of the Coast Guard to issue regulations regarding dry bulk 
cargo residue through not later than September 30, 2008.
      The current program was developed with the input of a 
broad range of stakeholders, including experts from the 
maritime industry, government, and the scientific community. A 
recent study for the Coast Guard has recommended that the 
current policy be continued in part because that policy is 
specific, limiting cargo sweepings to certain areas of the 
Great Lakes while prohibiting discharges in environmentally 
sensitive areas such as fish spawning areas. Most important, 
the current program limits cargo sweepings to small amounts of 
non-toxic, non hazardous materials. In administering the 
program, the Coast Guard has considered and balanced the needs 
of environmental protection and maritime commerce.
      On January 13, 2004 the Coast Guard announced its 
intention to conduct an environmental assessment of the current 
policy and then proceed to a permanent regulatory program. [69 
Fed Reg 1994] The substitute directs that the current policy 
serve as the basis for an environmental assessment that will 
begin within 90 days of enactment, authorizes any necessary 
regulatory proceeding, and sets the foundation for the 
establishment of a permanent system. It is expected that the 
current program will be made permanent or replaced with an 
alternative regime that appropriately balances the needs of 
maritime commerce and environmental protection by no later than 
September 30, 2008.
Section 624. Small Passenger Vessel Safety
      The House bill does not contain a comparable provision.
      Section 323 of the Senate amendment would require the 
Coast Guard to provide a report on compliance with small 
passenger vessel regulations, including recommendations for 
improvement.
      The Conference substitute adopts the Senate provision 
with minor amendments.
Section 625. Conveyance of Motor Lifeboat
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that allows 
the Coast Guard to transfer a 44, motor lifeboat to the city of 
Ludington, Michigan for historical purposes.
Section 626. Study of Routing Measures
      The House bill does not contain a comparable provision.
      Section 325 of the Senate amendment would require the 
Coast Guard to carry out studies of routing measures to reduce 
ship strikes of North Atlantic Right Whales.
      The Conference substitute adopts a provision that is 
similar to the Senate provision. It directs the Coast Guard to 
cooperate with NOAA in carrying out analyses of routing 
measures to reduce ship strikes of North Atlantic Right Whales. 
The Coast Guard has an important role to play in such analyses, 
due to its mandates and expertise with respect to such studies. 
The bill requires that the Coast Guard provide a report with 
its final analysis to Congress no later than 18 months 
following enactment of this Act.
Section 627. Conveyance of Lighthouses
      The House bill does not contain a comparable provision.
      Section 401 of the Senate amendment would require the 
Secretary of the Interior to monitor any already executed or 
proposed lighthouse conveyance, and take any steps necessary to 
protect the United States' reversionary interest.
      The Conference substitute adopts a similar provision to 
the Senate provision, which was amended to make technical 
changes.
Section 628. Waiver
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute authorizes the Secretary to 
waive the application of the definition of ``passenger'' for 
one of two adult chaperones aboard vessels owned or chartered 
by the Boy Scouts of America at its Florida National High 
Adventure Sea base program provided that the Secretary 
determines that such a waiver does not compromise safety.
Section 629. Approval of Modular Accommodation Units for Living 
        Quarters
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute requires the Secretary of the 
department in which the Coast Guard is operating to approve for 
a period of five years modular accommodation units on floating 
offshore facilities that had previously been approved using 
incorrect criteria, provided that the use of these units will 
not compromise safety.

    TITLE VII--AMENDMENTS RELATING TO THE OIL POLLUTION ACT OF 1990

Section 701. Vessel Response Plans
      Section 701 of the House bill would require any vessel 
over 400 gross tons that carries oil, including as bunkers, to 
submit a pollution response plan.
      Section 317 of the Senate amendment is a similar 
provision.
      The Conference substitute adopts the House provision, as 
amended to make technical changes.
Section 702. Tank Level and Pressure Monitors
      Section 702 of the House bill would amend the Oil 
Pollution Act of 1990 to make issuance of regulations 
concerning tank level and pressure monitoring (TLPM) devices 
discretionary vice mandatory.
      Section 318 of the Senate amendment is a similar 
provision, which includes a report on alternative technologies.
      The Conference substitute adopts the Senate provision.
Section 703. Liability and Cost Recovery
      Section 703 of the House bill clarifies the liability 
waiver provisions for certain innocent parties. First, state 
and local governments are not considered liable as owners or 
operators if theyacquired ownership of the property 
involuntarily and have not caused or contributed to a discharge or a 
substantial threat of a discharge of oil. Second, financial 
institutions are not owners or operators either if they hold indicia of 
ownership primarily to protect their security interest and do not 
participate in management of the property, or if they did not 
participate in management of the property prior to foreclosure and seek 
to divest the property at the earliest practicable, commercially 
reasonable time. Finally, subsequent innocent purchasers are not liable 
if they acquired the property after the placement of the oil on, in or 
at the real property, and either are a government entity that acquired 
the property through the exercise of eminent domain authority or 
through an involuntary transfer or acquisition, acquired the property 
by inheritance or bequest, or did not know or have reason to know about 
the oil after having conducted all appropriate inquiries.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision as 
amended to make technical changes.
      The purpose of this section is to provide to innocent 
purchasers, municipalities and lenders the same protection 
against liability from oil discharges under the Oil Pollution 
Act of 1990 as are provided for such entities under the 
Comprehensive Environmental Response, Compensation and 
Liability Act of 1980, as amended. To the extent that 
differences in the language exist, these are either technical 
in nature or were necessary to fit with the terminology used in 
the Oil Pollution Act.
Section 704. Oil Spill Recovery Institute
      Section 704 of the House bill authorizes funding to the 
Oil Spill Recovery Institute (currently authorized through 
2012) until one year after it is determined that oil and gas 
exploration, development, and production in Alaska have ceased.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute makes technical corrections to 
the Oil Spill Recovery Institute's current authorization.
Section 705. Alternatives
      Section 705 of the House bill would require within 1 year 
of the date of enactment of this Act, the Secretary of the 
department in which the Coast Guard is operating shall 
establish and publish an environmental equivalency evaluation 
index to assess outflow performance due to collisions and 
groundings for double hull tank vessels and alternative hull 
designs. The Secretary shall take into account the 
recommendations in the NRC Marine Board report entitled 
`Environmental Performance of Tanker Design in Collision and 
Grounding' dated 2001.
      The Senate amendment does not contain a comparable 
provision.
      The Conference Substitute adopts the House provision.
Section 706. Authority to Settle
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision which 
authorizes the head of any department or agency responsible for 
recovering amounts for which a person is liable under this 
title may consider, compromise, and settle a claim for such 
amounts from the Oil Spill Liability Trust Fund, if the claim 
has not been referred to the Attorney General and does not 
exceed $500,000.
Section 707. Report on Implementation of the Oil Pollution Act of 1990
      The House bill does not contain a comparable provision.
      Section 319 of the Senate amendment would require the 
Coast Guard to provide a report to Congress with respect to a 
number of recent issues arising from implementation of the Oil 
Pollution Act (OPA) of 1990.
      The Conference Substitute adopts the Senate provision, as 
amended to make technical changes.
Section 708. Loans for Fishermen and Aquaculture Producers Impacted by 
        Oil Spills
      The House amendment does not contain a comparable 
provision.
      Section 320 of the Senate amendment would allow the use 
of the Oil Spill Liability Trust Fund to provide loans to 
qualified fishermen and aquaculture producers who have been 
impacted by an oil spill, until such time as adequate interim 
payments are made under the Act, or in the event that no 
interim payments are made.
      The Conference substitute adopts the Senate provision.

                               TITLE VIII

Section 801. Enforcement
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adds a new section to Chapter 
701 of title 46, United States Code, to provide express 
authority to carry a firearm, to seize property, and to make an 
arrest while at a maritime facility under guidelines to be 
approved by the Secretary and the Attorney General. The 
provision would also allow State and local law enforcement 
personnel to make warrantless arrests for felony violations of 
duly promulgated Coast Guard security zone regulations.
      The conferees understand the need to clarify the Coast 
Guard's law enforcement authority while conducting onshore port 
security operations and have authorized members of the Coast 
Guard to make arrests and seize property while conducting port 
security operations at facilities defined under section 70101 
of title 46. The conferees do not intend this section to 
authorize members of the Coast Guard to use this authority 
while in transit to or from such facilities. The conferees 
fully expect that before this authority is used, the Coast 
Guard will properly train all service members who could use 
this authority in the execution of their duties.
Section 802. In Rem Liability for Civil Penalties
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference establishes in rem liability for any 
vessel used to violate regulations issued under the 
authorization of the Maritime Transportation Security Act in 
order to recover financial penalties assessed following such 
violations, and certain costs related to compliance with 
lawfully issued orders. The substitute authorizes the Captain 
of the Port to withhold clearance of any vessel if the owner or 
operators are suspected to be subject to a financial penalty 
resulting from violations of port security violations. The 
substitute also allows clearance to be granted upon the filing 
of a surety bond.
Section 803. Maritime Information
      Section 618 of the House bill authorizes funds to the 
Secretary of the department in which the Coast Guard is 
operating to implement a system to collect, integrate, and 
analyze information regarding vessels operating on or inbound 
to U.S. waters and to implement a long-range automatic vessel 
tracking system for all vessels operating in U.S. waters.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute requires the Secretary to 
develop a long-range vessel tracking system consistent with 
international treaties, conventions, and agreements to which 
the United States is a party, and allows the Secretary to 
acquire vessel risk profiling data from the private sector. It 
also requires the Secretary to develop a plan to improve the 
collection, collaboration, coordination, dissemination and use 
of maritime information by Federal agencies. The Secretary is 
required to submit this plan to Congressional committees.
      In considering its recommendations under subsection (b), 
the conferees encourage the Department to be aware of the 
important role played by existing non-profit maritime 
associations in the collection and dissemination of maritime 
information and encourage the Department to work with maritime 
exchanges to build upon and improve communications with the 
private sector.
Section 804. Maritime Security Transportation Grants
      Section 622 of the House bill transfers authority for the 
port security grant program from the Secretary of 
Transportation, acting through the Maritime Administration, to 
the Secretary of the Department of Homeland Security, acting 
through the Commandant of the Coast Guard. Section 627 of the 
House bill directs the Secretary of Transportation, in making 
grants for implementation of security plans, to give priority 
to otherwise eligible projects concerning implementation of 
security plans with respect to public transportation systems.
      The Senate amendment does not contain a comparable 
section.
      The Conference substitute adopts, in lieu of sections 622 
and 627 of the House bill, a provision that directs the 
Secretary to establish a grant program for implementation of 
the Area Maritime Transportation Security Plans and Facility 
Security Plans that will be reviewed by the Federal Maritime 
Security Coordinator and the Maritime Administration prior to a 
grant being awarded. In addition, the Secretary is required to 
transmit a report and provide recommendations for the grant 
process.
Section 805. Security Assessments of Waters under the Jurisdiction of 
        the United States
      Section 623 of the House bill directs the Secretary of 
the department in which the Coast Guard is operating to conduct 
a vulnerability assessment of the navigable waters adjacent to 
Indian Point Energy Center in Westchester County, New York and 
to report on that assessment to specified congressional 
committees.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute directs the Secretary to 
conduct vulnerability assessments of waters adjacent to nuclear 
facilities in the United States. The conferees do not intend 
this section to require the Coast Guard to conduct 
vulnerability assessments of nuclear facilities. The conferees 
understand the Federal agencies with oversight of such 
facilities are conducting such assessments.
Section 806. Membership of Area Maritime Security Advisory Committees
      Section 414 of the House bill requires Area Maritime 
Security Advisory Committees to include members from the port 
industry, terminal operators, port labor organizations, and 
other users of port areas.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts the House provision.
Section 807. Joint Operations Center for Port Security
      The House bill does not contain a comparable provision.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute requires the Secretary to 
submit a report to Congressional committees of jurisdiction 
regarding the establishment of joint operational centers for 
port security, and an estimate of the number, location and 
costs of such centers that would be necessary to implement port 
security measures outlined in the Marine Transportation 
Security Act of 2002.
Section 808. Investigations
      Section 606 of the House bill authorizes the Secretary of 
Transportation to carry out an Agile Port and Intelligent 
Border Security National Demonstration Project under agreement 
with the Center for the Commercial Deployment of Transportation 
Technologies.
      The Senate amendment does not contain a comparable 
provision.
      The Conference substitute adopts a provision that directs 
the Secretary of the department in which the Coast Guard is 
operating to conduct certain investigations and pilot projects 
to enhance the security at American ports. The section 
authorizes an amount of $35 million for each of the next four 
fiscal years to award grants and to fund programs that would 
investigate or demonstrate methods of improving port security. 
The provision also authorizes the Secretary to establish 
National Port Security Centers at colleges and universities to 
conduct these investigations and requires the Secretary to 
submit to Congress a report annually to ensure that funds 
authorized under this section are used to support 
investigations and pilot programs outlined in this section. In 
awarding grants and funding pilot programs, the Committee 
encourages the Secretary to focus funding authorized to 
implement this section on research and development of 
technologies that maximize security while minimizing the 
disruption of maritime transportation and commerce.
Section 809. Vessel and Intermodal Security Reports
      Section 610 of the House bill requires the Secretary of 
the department in which the Coast Guard is operating to provide 
Congress with a report that will provide a complete breakdown 
of the number and types of cargo containers and vessels that 
enter the United States each year, and the cost incurred to 
conduct security inspections on those containers and vessels.
      The Senate amendment does not contain a similar 
provision.
      The Conference substitute adopts the House provision with 
an amendment that requires the Secretary and the Inspector 
General of the department in which the Coast Guard is operating 
to submit a number of reports, plans, evaluations, and take 
actions regarding the security of marine intermodal 
transportation, specifically the security of cargo containers.

                From the Committee on Transportation and 
                Infrastructure, for consideration of the House 
                bill and the Senate amendments, and 
                modifications committed to conference:
                                   Don Young,
                                   Howard Coble,
                                   John J. Duncan, Jr.,
                                   Pete Hoekstra,
                                   Frank Lo Biondo,
                                   Rob Simmons,
                                   Mario Diaz-Balart,
                                   James L. Oberstar,
                                   Bob Filner,
                                   Timothy Bishop,
                                   Nick Lampson,
                For consideration of the House bill and Senate 
                amendments, and modifications committed to 
                conference:
                                   Chris Cox,
                                   Bennie G. Thompson,
                                 Managers on the Part of the House.

                                   John McCain,
                                   Ted Stevens,
                                   Trent Lott,
                                   Kay Bailey Hutchison,
                                   Olympia Snowe,
                                   Fritz Hollings,
                                   Daniel K. Inouye,
                                   John Breaux,
                                   Ron Wyden,
                From the Committee on Environment and Public 
                Works:
                                   Jim Inhofe,
                                   Jim Jeffords,
                                Managers on the Part of the Senate.