Boarding of Vessels in the United States

DEPARTMENT OF THE TREASURY

Customs Service

19 CFR Part 4

RIN 1515-AC29

Boarding of Vessels in the United States

AGENCY: U.S. Customs Service, Treasury.

ACTION: Proposed rule.

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SUMMARY: This document proposes, as a primary focus, to amend the

Customs Regulations regarding the boarding of vessels arriving in ports

of the United States. It is intended that the Customs Regulations

regarding this subject accurately reflect and implement amendments to

the underlying statutory authority, enacted as part of the Customs

Modernization Act, as well as policy determinations necessitated as a

result of those amendments. To this same end, certain general

amendments are proposed to the regulations concerning vessel entry and

clearance as well as the issuance of permits to lade and unlade

merchandise.

DATES: Comments must be received on or before September 4, 1998.

ADDRESSES: Written comments may be addressed to and inspected at the

Regulations Branch, U.S. Customs Service, 1300 Pennsylvania Avenue,

N.W., 3rd Floor, Washington, D.C. 20229.

FOR FURTHER INFORMATION CONTACT:

Legal aspects: Larry L. Burton, Office of Regulations and Rulings, 202-

927-1287.

Operational aspects: William Scopa, Office of Field Operations, 202-

927-3112.

SUPPLEMENTARY INFORMATION:

Background

On December 8, 1993, amendments to certain Customs and navigation

laws became effective as the result of the North American Free Trade

Agreement Implementation Act (Pub. L. 103-182), Title VI of which is

popularly known as the Customs Modernization Act (the Act). Sections

653 and 656 of the Act significantly amended the statutes governing the

entry and the lading and unlading of vessels in the United States.

These operations are governed, respectively, by Secs. 434 and 448 of

the Tariff Act of 1930, as amended (19 U.S.C. 1434 and 1448).

Prior to the subject amendments, the entry of vessels of the United

States and vessels of foreign countries had been governed by separate

statutes (19 U.S.C.

[[Page 36380]]

1434 and 1435), neither of which included elements concerning

preliminary vessel entry or the boarding of vessels. The Act repealed

19 U.S.C. 1435 and amended 19 U.S.C. 1434 to provide for the entry of

American and foreign-documented vessels under the same statute.

Additionally, the amended 19 U.S.C. 1434 now provides authority for the

promulgation of regulations regarding preliminary vessel entry, and

while neither mandating boarding for all vessels nor specifying that

optional boarding must be accomplished at any particular stage of the

vessel entry process, the amended law does require that a sufficient

number of vessels be boarded to ensure compliance with the laws

enforced by the Customs Service.

The general authority provided for Customs to board vessels is

found in Sec. 581, Tariff Act of 1930, as amended (19 U.S.C. 1581).

Prior to amendment, 19 U.S.C. 1448 as previously cited had linked the

granting of preliminary vessel entry to a mandatory boarding

requirement and physical presentation of manifest documents to a

Customs boarding officer. The amended 19 U.S.C. 1448 no longer contains

provisions regarding preliminary vessel entry, vessel boarding, or

manifest presentation, all of which are now provided for in other

statutes; the statute now provides that Customs may electronically

issue permits to lade or unlade merchandise pursuant to an authorized

data interchange system as an alternative to physical document

presentation.

The regulations which implement the statutory authority for

boarding, the granting of preliminary and formal vessel entry, the

issuance of permits to lade and unlade merchandise, and vessel

clearance are contained in Secs. 4.1, 4.3, 4.8, 4.9, 4.30, 4.60 and

4.61 of the Customs Regulations (19 CFR 4.1, 4.3, 4.8, 4.9, 4.30, 4.60

and 4.61). Various of these provisions still contain mandatory boarding

and physical document presentation requirements, and of course do not

include any reference to the new electronic permit issuance option.

This document proposes to amend the cited sections in order to properly

implement the amended statutory authority and revised Customs

interpretations.

This document proposes to amend Sec. 4.1 by removing all reference

to the mandatory boarding of vessels. The amended 19 U.S.C. 1434 makes

it clear that boarding is discretionary with Customs and is only

required to the extent determined necessary to enforce the laws with

which we are charged. This is accomplished by deleting paragraph (b)

and making necessary amendments to paragraph (a) of the section.

Section 4.3 is proposed to be amended by identifying the vessels

subject to entry in the simplified outline format presented in the

statute itself. The use of this format makes much of the current

language of Sec. 4.3 unnecessary. The proposal provides for vessel

entry within 24 hours after arrival. Although the amended statute

provides that the time may be extended by regulation to a period not to

exceed 48 hours, Customs believes that 24 hours is adequate. The

proposal also includes procedures for allowing Customs, in its

discretion, to allow vessels to enter at places other than the

customhouse as well as at locations outside of the actual port of entry

limits. This discretion is conferred by statute.

Proposed amendments to Sec. 4.8 are offered in this document. The

proposal would amend the regulation by providing that preliminary entry

may be granted after, at the time of, or even before the actual arrival

of a vessel in the United States. Different procedures are established

to apply to these differing circumstances.

Also proposed are amendments to Sec. 4.9 of the regulations

concerning the actual vessel entry process. The proposed amendments

make it clear that for the purpose of the vessel entry statute, Customs

does not interpret bonded merchandise to include bonded vessel stores

or ship's supplies. We consider the term to refer to in-bond

transportation of merchandise. This interpretation makes it necessary

to define specific procedures applicable to certain United States

vessels sailing between domestic ports.

It is proposed that Sec. 4.16 be removed from the regulations. The

section currently provides that parties may apply for entry and

clearance to be accomplished aboard a vessel. The amended entry and

clearance statutes permit those functions to be accomplished elsewhere

than at the customhouse pursuant to regulations. Amendments to

Secs. 4.3 and 4.61 as proposed in this document would permit entry and

clearance aboard vessels. These changes would render Sec. 4.16

redundant.

The regulation relating to the granting of lading and unlading

permits in Sec. 4.30 is also proposed to be amended. Specifically,

procedures are established which are applicable to newly-emerging

commercial entities, such as those created by vessel sharing and slot

chartering agreements.

Section 4.60 is sought to be amended by utilizing the simplified

outline format appearing in the amended vessel clearance statute (46

U.S.C. App. 91). This would replace the present paragraph format which

reflects the clearance language prior to its amendment.

It is proposed to amend Sec. 4.61 by allowing clearance filings to

be accomplished by authorized electronic means. The proposal also

establishes that clearances may be necessary for departures other than

for foreign ports as was the case under the law prior to its amendment.

As in the proposed entry regulation, this section would also

incorporate special procedures applicable to certain United States

vessels sailing between domestic ports.

The proposal also makes some changes to the list of elements

appearing in current Sec. 4.61(b), which are required to be satisfied

prior to the granting of clearance. The reference to ``crew'' is

removed from paragraph (b)(8) of the current section, due to the repeal

of the underlying statute (46 U.S.C. App. 674) by enactment of section

690(a)(22) of Pub. L. 103-182 (December 8, 1993). The reference to

``pratique'' is removed from paragraph (b)(14) of the current section,

as a result of amendments to the Public Health Service Regulations

which eliminate the pratique but leave in place other health-related

documentary requirements. Finally, paragraph (b)(17) of the current

section is removed because the underlying statute in this regard, 7

U.S.C. 516, which restricted the exportation of tobacco seeds, was

repealed by Sec. 1019 of Pub. L. 102-237 (December 13, 1991).

Amendments are proposed to Sec. 4.68 to reflect amendments to laws

enforced by Customs on behalf of other agencies, and to eliminate the

antiquated reference to the whale fishery.

Finally, Sec. 4.70 is proposed to be amended to eliminate the

reference to the former Public Health Service's certificate of free

pratique. New Public Health Service foreign quarantine regulations are

now in effect.

Comments

Before adopting this proposal, consideration will be given to any

written comments that are timely submitted to Customs. Comments

submitted will be available for public inspection in accordance with

the Freedom of Information Act (5 U.S.C. 552), Sec. 1.4, Treasury

Department Regulations (31 CFR 1.4), and Sec. 103.11(b), Customs

Regulations (19 CFR 103.11(b)), on regular business days between the

hours of 9:00 a.m. and 4:30 p.m. at the Regulations Branch, U.S.

Customs Service, 1300 Pennsylvania Avenue, N.W., 3rd Floor, Washington,

D.C.

[[Page 36381]]

Regulatory Flexibility Act and Executive Order 12866

The proposed rule would amend the Customs Regulations principally

in order to accurately reflect and implement changes to the underlying

statutory authority regarding the boarding of vessels arriving in ports

of the United States. To this same end, certain general amendments to

the regulations are proposed concerning vessel entry and clearance as

well as the issuance of permits to lade and unlade merchandise. As

such, under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.), it

is certified that, if adopted, the proposed rule will not have a

significant economic impact on a substantial number of small entities.

Accordingly, it is not subject to the regulatory analysis or other

requirements of 5 U.S.C. 603 and 604. Nor does the document meet the

criteria for a ``significant regulatory action'' as specified in E.O.

12866.

Paperwork Reduction Act

The collections of information contained in this notice of proposed

rulemaking have previously been reviewed and approved by the Office of

Management and Budget (OMB) in accordance with the Paperwork Reduction

Act of 1995 (44 U.S.C. 3507) and assigned the following OMB Control

Numbers:

1515-0013--Application-Permit-Special License, Unlading-Lading-Overtime

Services (Customs Form 3171);

1515-0060--Master's Oath of Vessels in Foreign Trade (Customs Form

1300);

1515-0078--Cargo Declaration (inward and outward) (Customs Form 1302);

and

1515-0144--Customs Bond Structure (Customs Form 301 and Customs Form

5297).

An agency may not conduct or sponsor, and a person is not required

to respond to, a collection of information unless the collection of

information displays a valid control number assigned by OMB. This

document restates the collections of information without substantive

change.

Comments concerning suggestions for reducing the burden of the

collections of information should be sent to the Regulations Branch,

Office of Regulations and Rulings, U.S. Customs Service, 1300

Pennsylvania Avenue, N.W., 3rd Floor, Washington, D.C. 20229. A copy

should also be sent to U.S. Customs Service, Information Services

Group, Attention: J. Edgar Nichols, Room 3.2-C, 1300 Pennsylvania

Avenue, N.W., 3rd Floor, Washington, D.C. 20229.

Drafting Information: The principal author of this document was

Larry L. Burton, Office of Regulations and Rulings, U.S. Customs

Service. However, personnel from other offices participated in its

development.

List of Subjects in 19 CFR Part 4

Customs duties and inspection, Entry, Freight, Harbors, Inspection,

Merchandise, Reporting and recordkeeping requirements, Vessels.

Proposed Amendments to the Regulations

It is proposed to amend part 4, Customs Regulations (19 CFR part

4), as set forth below.

PART 4--VESSELS IN FOREIGN AND DOMESTIC TRADES

1. The specific authority citations for Secs. 4.1, 4.9 and 4.68

would be revised, and a specific authority citation for Sec. 4.61 would

be added in appropriate numerical order, to read as follows:

Authority: * * *

Section 4.1 also issued under 19 U.S.C. 1581(a); 46 U.S.C. App.

163;

* * * * *

Section 4.9 also issued under 42 U.S.C. 269;

* * * * *

Section 4.61 also issued under 46 U.S.C. App. 883;

* * * * *

Section 4.68 also issued under 46 U.S.C. App. 817d, 817e;

* * * * *

2. It is proposed to amend Sec. 4.1 by revising paragraph (a) to

read as set forth below; and by removing paragraph (b) and

redesignating paragraphs (c), (d), (e), (f), and (g), as paragraphs

(b), (c), (d), (e) and (f), respectively:

Sec. 4.1 Boarding of vessels; cutter and dock passes.

(a) Every vessel arriving at a Customs port shall be subject to

such supervision while in port as the port director considers

necessary. The port director may detail Customs officers to remain on

board a vessel to secure enforcement of this part. Customs may

determine to board as many vessels as considered necessary to ensure

compliance with the laws it enforces.

* * * * *

3. It is proposed to amend part 4 by removing and reserving

Footnote 1.

4. It is proposed to revise Sec. 4.3 to read as follows:

Sec. 4.3 Vessels required to enter; place of entry.

(a) Formal entry required. Unless specifically excepted by law,

within 24 hours after the arrival at any port or place in the United

States, the following vessels are required to make formal entry:

(1) Any vessel from a foreign port or place;

(2) Any foreign vessel from a domestic port;

(3) Any vessel of the United States having merchandise on board

that is being transported in-bond (not including bonded ship's stores

or supplies), or foreign merchandise for which entry has not been made;

or

(4) Any vessel that has visited a hovering vessel as defined in 19

U.S.C. 1401(k), or has delivered or received merchandise or passengers

while outside the territorial sea.

(b) Completion of entry. (1) When vessel entry is to be made at the

customhouse, either the master, licensed deck officer, or purser may

appear in person during regular working hours to complete preliminary

or formal vessel entry; or, necessary documents properly executed by

the master or other authorized officer may be delivered at the

customhouse by the vessel agent or other personal representative of the

master.

(2) The appropriate Customs port director may permit the entry of

vessels to be accomplished at locations other than the customhouse, and

services may be requested outside of normal business hours. Customs may

take local resources into consideration in allowing formal entry to be

transacted on board vessels themselves or at other mutually convenient

approved sites and times within or of outside port limits. When

services are requested to be provided outside the limits of a Customs

port, the appropriate port director to whom an application must be

submitted is the director of the port located nearest to the point

where the proposed services would be provided. That port director must

be satisfied that the place designated for formal entry will be

sufficiently under Customs control at the time of entry, and that the

expenses incurred by Customs will be reimbursed as authorized. It may

be required that advance notice of vessel arrival be given as a

condition for granting requests for optional entry locations. A master,

owner, or agent of a vessel who desires that entry be made at an

optional location shall file with the appropriate port director an

application on Customs Form 3171 and a single entry or continuous bond

on Customs Form 301 containing the bond conditions set forth in

Sec. 113.64 of this chapter, in such amount as that port director deems

appropriate but not less than $1,000. If the application is approved,

the port

[[Page 36382]]

director or a designated Customs officer shall formally enter the

vessel.

5. It is proposed to revise Sec. 4.8 to read as follows:

Sec. 4.8 Preliminary entry.

(a) Generally. Preliminary entry allows a U.S. or foreign vessel

arriving under circumstances that require it formally to enter, to

commence lading and unlading operations prior to making formal entry.

Preliminary entry may be accomplished electronically pursuant to an

authorized electronic data interchange system, or by any other means of

communication approved by the Customs Service.

(b) Requirements and conditions. Preliminary entry must be made in

compliance with Sec. 4.30, and may be granted prior to, at, or

subsequent to arrival of the vessel. The granting of preliminary vessel

entry by Customs at or subsequent to arrival of the vessel, is

conditioned upon the presentation to Customs of all forms,

electronically or otherwise, comprising a complete manifest as provided

in Sec. 4.7. Vessels seeking preliminary entry in advance of arrival

may do so by presenting to Customs a complete Customs Form 1302 (Cargo

Declaration) showing all cargo on board the vessel and Customs Form

3171, electronically or otherwise, no less than 48 hours prior to

vessel arrival. The CF 3171 shall also serve as notice of intended date

of arrival. The port director may allow for the presentation of the CF

1302 and CF 3171 less than 48 hours prior to arrival in order to grant

advanced preliminary entry if a vessel voyage takes less than 48 hours

to complete from the last foreign port to the first U.S. port, or if

other reasonable circumstances warrant. Preliminary entry granted in

advance of arrival will become effective upon arrival at the port

granting preliminary entry. Additionally, Customs must receive

confirmation of a vessel's estimated time of arrival in a manner

acceptable to the port director.

6. It is proposed to revise Sec. 4.9 to read as follows:

Sec. 4.9 Formal entry.

(a) General. Section 4.3 provides which vessels are subject to

formal entry and where and when entry must be made. The formal entry of

an American vessel is governed by section 434, Tariff Act of 1930 (19

U.S.C. 1434). The term ``American vessel'' means a vessel of the United

States (see Sec. 4.0(b)) as well as, when arriving by sea, a vessel

entitled to be documented except for its size (see Sec. 4.0(c)). The

formal entry of a foreign vessel arriving within the limits of any

Customs port is also governed by section 434, Tariff Act of 1930 (19

U.S.C. 1434). The required oath on entry shall be executed on Customs

Form 1300. Alternatively, information necessary for formal entry may be

transmitted electronically pursuant to a system authorized by Customs.

(b) Procedures. Under certain circumstances, American vessels

arriving in ports of the United States directly from other United

States ports must make entry. Entry of such vessels is required when

they have merchandise aboard that is being transported in-bond, or when

they have unentered foreign merchandise aboard. For the purposes of the

vessel entry requirements, merchandise transported in-bond does not

include bonded ship's stores or supplies. While American vessels

transporting unentered foreign merchandise must fully comply with the

usual formal entry procedures, American vessels carrying no unentered

foreign merchandise but that have in-bond merchandise aboard may

satisfy vessel entry requirements by making a required report of

arrival, and providing certain bill of lading information to Customs

concerning the in-bond cargo. If the cargo in question is being moved

under the ``paperless'' in-bond procedures described in the Customs

Handbook on Automated Manifest Interface Requirements (a copy of which

is provided to each Automated Manifest System participant), a list of

the bill of lading numbers for the in-bond cargo must be provided to

Customs. If ``paperless'' in-bond procedures are not applicable to the

cargo, copies of the relevant bills of lading must be presented to

Customs prior to the start of any cargo unlading. Report of arrival

together with providing bill of lading information to Customs as

specified in this paragraph satisfies all entry requirements for the

subject vessels.

(c) Delivery of vessel document. The master of any foreign vessel

shall exhibit the vessel's document to the port director on or before

the entry of the vessel. After the net tonnage has been noted, the

document may be delivered to the consul of the nation to which such

vessel belongs, in which event the vessel master shall certify to the

port director the fact of such delivery (see section 434, Tariff Act of

1930, as amended (19 U.S.C. 1434), as applied through section 438,

Tariff Act of 1930, as amended (19 U.S.C. 1438)). If not delivered to

the consul, the document shall be deposited in the customhouse. Whether

delivered to the foreign consul or deposited at the customhouse, the

document shall not be delivered to the master of the foreign vessel

until clearance is granted under Sec. 4.61. It shall not be lawful for

any foreign consul to deliver to the master of any foreign vessel the

register, or document in lieu thereof, deposited with him in accordance

with the provisions of 19 U.S.C. 1434 until such master shall produce

to him a clearance in due form from the director of the port where such

vessel has been entered. Any consul violating the provisions of this

section is liable to a fine of not more than $5,000 (section 438,

Tariff Act of 1930, as amended; 19 U.S.C. 1438).

(d) Failure to make required entry; penalties. Any master who fails

to make entry as required by this section or who presents or transmits

electronically any document required by this section that is forged,

altered, or false, may be liable for certain civil penalties as

provided under 19 U.S.C. 1436, in addition to penalties applicable

under other provisions of law. Further, any vessel used in connection

with any such violation is subject to seizure and forfeiture.

7. It is proposed to amend part 4 by removing and reserving

Sec. 4.16.

8. It is proposed to amend Sec. 4.30 by adding the word ``fees''

between the words ``clearance'' and ``under'' where appearing in

paragraph (a); and by revising paragraph (b) to read as follows:

Sec. 4.30 Permits and special licenses for unlading and lading.

* * * * *

(b) Application for a permit or special license shall be made by

the master, owner, or agent of the vessel on Customs Form 3171, or

electronically pursuant to an authorized electronic data interchange

system or other means of communication approved by the Customs Service,

and shall specifically indicate the type of service desired at that

time, unless a term permit or term special license has been issued.

Vessels that arrive in a Customs port with more than one vessel carrier

sharing or leasing space on board the vessel (such as under a vessel

sharing or slot charter arrangement) are required to indicate on the CF

3171 all carriers on board the vessel and indicate whether each carrier

is transmitting its cargo declaration electronically or is presenting

it on the Customs Form 1302. In the case of a term permit or term

special license, upon entry of each vessel, a copy of the term permit

or special license must be submitted to Customs during official hours

in advance of the rendering of services so as to update the nature of

the services desired and the exact times they will be needed. Permits

must also be updated to reflect any other needed changes including

those in name of vessel and in slot charter or vessel

[[Page 36383]]

sharing parties. An agent of a vessel may limit his application to

operations involved in the entry and unlading of the vessel or to

operations involved in its lading and clearance. Such limitation shall

be specifically noted on the application.

* * * * *

9. It is proposed to amend Sec. 4.60 by revising paragraph (a) to

read as follows:

Sec. 4.60 Vessels required to clear.

(a) Unless specifically excepted by law, the following vessels must

obtain clearance from the Customs Service before departing from a port

or place in the United States:

(1) All vessels departing for a foreign port or place;

(2) All foreign vessels departing for another port or place in the

United States;

(3) All American vessels departing for another port or place in the

United States that have merchandise on board which is being transported

in-bond (not including bonded ship's stores or supplies), or foreign

merchandise for which entry has not been made; and

(4) All vessels departing for points outside the territorial sea to

visit a hovering vessel or to receive merchandise or passengers while

outside the territorial sea.

* * * * *

10. It is proposed to revise Sec. 4.61 to read as follows:

Sec. 4.61 Requirements for clearance.

(a) Application for clearance. Application for clearance for a

vessel shall be made by filing the oath, Customs Form 1300, and a

General Declaration, Customs Form 1301, by or on behalf of the master

at the customhouse. The master, licensed deck officer, or purser may

appear in person to clear the vessel, or documents properly executed by

the master or other proper officer may be delivered at the customhouse

by the vessel agent or other personal representative of the master.

Necessary information may also be transmitted electronically pursuant

to a system authorized by Customs. Clearance shall be granted either on

Customs Form 1378 or by approved electronic means. Customs port

directors may permit the clearance of vessels at locations other than

the customhouse, and at times outside of normal business hours. Customs

may take local resources into consideration in allowing clearance to be

transacted on board vessels themselves or at other mutually convenient

sites and times either within or outside of port limits. Customs must

be satisfied that the place designated for clearance is sufficiently

under Customs control at the time of clearance, and that the expenses

incurred by Customs will be reimbursed as authorized. Customs may

require that advance notice of vessel departure be given prior to

granting requests for optional clearance locations.

(b) When clearance required. Under certain circumstances, American

vessels departing from ports of the United States directly for other

United States ports must obtain Customs clearance. The clearance of

such vessels is required when they have merchandise aboard that is

being transported in-bond, or when they have unentered foreign

merchandise aboard. For the purposes of the vessel clearance

requirements, merchandise transported in-bond does not include bonded

ship's stores or supplies. While American vessels transporting

unentered foreign merchandise must fully comply with usual clearance

procedures, American vessels carrying no unentered foreign merchandise

but that have in-bond merchandise aboard may satisfy vessel clearance

requirements by reporting intended departure within 72 hours prior

thereto by any means of communication that is satisfactory to the local

Customs port director, and by providing certain bill of lading

information to Customs concerning the in-bond cargo. If the cargo in

question is being moved under the ``paperless'' in-bond procedures as

described in the Customs Handbook on Automated Manifest Interface

Requirements (a copy of which is provided to each Automated Manifest

System participant), a list of the bill of lading numbers for the in-

bond cargo must be provided to Customs. If ``paperless'' in-bond

procedures are not applicable to the cargo, copies of the relevant

bills of lading must be presented to Customs prior to vessel departure.

Report of departure together with providing bill of lading information

to Customs as specified in this paragraph satisfies all clearance

requirements for the subject vessels.

(c) Verification of compliance. Before clearance is granted to a

vessel bound to a foreign port as provided in Sec. 4.60 and this

section, the port director shall verify compliance with respect to the

following matters:

(1) Accounting for inward cargo (see Sec. 4.62).

(2) Outward Cargo Declarations; shippers export declarations (see

Sec. 4.63).

(3) Documentation (see Sec. 4.0(c)).

(4) Verification of nationality and tonnage (see Sec. 4.65).

(5) Verification of inspection (see Sec. 4.66).

(6) Inspection under State laws (46 U.S.C. App. 97).

(7) Closed ports or places (see Sec. 4.67).

(8) Passengers (see Sec. 4.68).

(9) Shipping articles and enforcement of Seamen's Act (see

Sec. 4.69).

(10) Medicine and slop chests.

(11) Load line regulations (see Sec. 4.65a).

(12) Carriage of United States securities, etc. (46 U.S.C. App.

98).

(13) Carriage of mail.

(14) Public Health regulations (see Sec. 4.70).

(15) Inspection of vessels carrying livestock (see Sec. 4.71).

(16) Inspection of meat, meat-food products, and inedible fats (see

Sec. 4.72).

(17) Neutrality exportation of arms and munitions (see Sec. 4.73).

(18) Payment of State and Federal fees and fees due the Government

of the Virgin Islands of the United States (46 U.S.C. App. 100).

(19) Orders restricting shipping (see Sec. 4.74).

(20) Estimated duties deposited or a bond given to cover duties on

foreign repairs and equipment for vessels of the United States (see

Sec. 4.14).

(21) Illegal discharge of oil (see Sec. 4.66a).

(22) Attached or arrested vessel.

(23) Immigration laws.

(d) Vessel built for foreign account. A new vessel built in the

United States for a foreign account shall be cleared under a

certificate of record, Coast-Guard Form 1316, in lieu of a marine

document.

(e) Clearance not granted. Clearance shall not be granted to any

foreign vessel using the flag of the United States or any distinctive

signs or markings indicating that the vessel is an American vessel (22

U.S.C. 454a).

(f) Clearance in order of itinerary. Unless otherwise provided in

this section, every vessel bound for a foreign port or ports shall be

cleared for a definite port or ports in the order of its itinerary, but

an application to clear for a port or place for orders, that is, for

instructions to masters as to destination of the vessel, may be

accepted if the vessel is in ballast or if any cargo on board is to be

discharged in a port of the same country as the port for which

clearance is sought.

11. It is proposed to amend part 4 by removing and reserving

Footnotes 97, 99 and 100a through 101.

12. It is proposed to revise Sec. 4.68 to read as follows:

Sec. 4.68 Federal Maritime Commission certificates for certain

passenger vessels.

No vessel having berth or stateroom accommodations for 50 or more

passengers and embarking passengers at

[[Page 36384]]

U.S. ports shall be granted a clearance at the port or place of

departure from the United States unless it is established that the

vessel has valid certificates issued by the Federal Maritime

Commission.

13. It is proposed to revise Sec. 4.70 to read as follows:

Sec. 4.70 Public Health Service requirements.

No clearance shall be granted to a vessel subject to the foreign

quarantine regulations of the Public Health Service.

Bonni G. Tischler,

Acting Commissioner of Customs.

Approved: June 8, 1998.

John P. Simpson,

Deputy Assistant Secretary of the Treasury.

[FR Doc. 98-17815 Filed 7-2-98; 8:45 am]

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