Definition of ``Passenger'' for Purpose of the Coastwise Laws

DEPARTMENT OF THE TREASURY

Customs Service

19 CFR Part 4

Definition of ``Passenger'' for Purpose of the Coastwise Laws

AGENCY: U.S. Customs Service, Department of the Treasury.

ACTION: Withdrawal of proposed changes of position.

-----------------------------------------------------------------------

SUMMARY: This document withdraws proposed changes of position with

respect to the definition of the term ``passenger'' for purpose of the

coastwise passenger statute. Customs has concluded that it is not

appropriate to change its position at this time inasmuch as it will

consider changing the definition of passenger contained in 19 CFR

4.50(b) as part of a proposed revision to 19 CFR part 4 which will

occur as a result of the recent enactment of title VI of the North

American Free Trade Agreement Implementation Act the ``Customs

Modernization Act'').

EFFECTIVE DATE: February 4, 1994.

FOR FURTHER INFORMATION CONTACT: Gerry O'Brien, Office of Regulations

and Rulings, Carrier Rulings Branch, 202-482-6940.

SUPPLEMENTARY INFORMATION:

Background

On August 14, 1991, Customs published a notice in the Federal

Register (56 FR 40283) proposing to change its position with respect to

the definition of ``passenger'' for purposes of the coastwise passenger

statute (46 U.S.C. App. 289). Customs stated that it was considering

the revocation of its position that: (a) Persons transported free of

charge as an inducement for patronage or good will are not passengers;

and (b) persons transported free of charge who are less than

substantially connected with the operation, navigation, ownership, or

business of a vessel are not passengers. The effect of these proposed

changes of position would have been that persons considered to be

passengers as a result of the changes could not have been transported

between coastwise points or in the coastwise trade unless they were

transported in United States coastwise-qualified vessels.

The proposed changes of position would not have effected any actual

change to the specific wording of the definition of passenger contained

in 19 CFR 4.50(b). Customs will consider proposing an amendment to the

definition of passenger in 19 CFR 4.50(b) as part of a proposed

revision to its vessel regulations which Customs expects will occur as

a result of the recent enactment of title VI of the North American Free

Trade Agreement Implementation Act (Public Law 103-182; the ``Customs

Modernization Act''). In view of the enactment of the Customs

Modernization Act, and the many regulatory changes which will occur as

a result, Customs believes that it is not appropriate to go forward

with the proposed changes of position at this time. Accordingly, the

proposal is withdrawn.

George J. Weise,

Commissioner of Customs.

Approved: December 30, 1993.

John P. Simpson,

Deputy Assistant Secretary of the Treasury.

[FR Doc. 94-2622 Filed 2-3-94; 8:45 am]

BILLING CODE 4820-02-P