FR 2024-28446

The Maritime Administration (MARAD) of the U.S. Department of Transportation is currently seeking public feedback on a request for the coastwise endorsement eligibility of a foreign-built vessel named the SEA CZAR. This endorsement involves assessing whether the vessel can operate commercially in U.S. waters, specifically offering passenger charters in the Pacific Northwest region, stretching from Tacoma to the Canadian border and including areas like the San Juan Islands and Lake Washington. The intent is to determine if this endorsement would adversely affect U.S. vessel builders or businesses reliant on U.S.-flagged vessels.

Summary of the Document

The document essentially opens the floor for public comment on the potential implications of granting coastwise operational rights to the SEA CZAR. The comments are being solicited until January 6, 2025, and can be submitted via an online portal or through mail. This process is part of the due diligence required by MARAD before permitting foreign-built vessels to operate under specific conditions in U.S. waters.

Significant Issues and Concerns

There are several notable areas that may not be immediately clear to the general public:

1. Technical Language: The notice uses specific legal terminologies like "coastwise endorsement eligibility" and references to legal codes such as "46 U.S.C. 12121." Such terms can be unfamiliar to those without a background in maritime law, creating barriers to understanding.

2. Submission Instructions: The instructions for comment submission may seem complex, with multiple options and particular procedures that might overwhelm or confuse potential commenters.

3. Confidentiality of Comments: The document suggests a formalized way to submit confidential comments, requiring specific phraseology in emails, which might be unclear to some, thereby discouraging participation.

4. Lack of Transparency: Information about the requestor and why this specific vessel needs an endorsement is not explicitly provided. This opacity could raise concerns about potential bias or preferential treatment.

5. Definition of Impact: The criteria for determining what constitutes an "unduly adverse effect" on U.S. businesses is vague, leaving stakeholders uncertain about what information or arguments they should present.

Broader Public Impact

For the general public, particularly those interested in maritime activities or residing in the affected geographic region, the document offers an opportunity to participate in policy-making that could influence local maritime commerce. By understanding and providing input, individuals have a chance to voice support or concerns about foreign competition in the U.S. waters where the SEA CZAR intends to operate.

Impact on Specific Stakeholders

• U.S. Vessel Builders and Businesses: The primary stakeholders are U.S. vessel builders and businesses that utilize U.S.-flag vessels. They might perceive the endorsement of a foreign-built vessel as a potential threat to their operations, potentially leading to competitive disadvantages. Their input is crucial in helping MARAD make an informed decision.

• Maritime Operators: Operators involved in charter services might view this as setting a precedent for allowing more foreign competitors into the U.S. market, affecting competitive dynamics.

• Consumers: On a positive note, consumers in the region may benefit from increased options for maritime services. However, oversight is necessary to ensure that safety and quality standards are maintained.

While aimed at gathering diverse perspectives, the complexity and perceived lack of transparency in the document may dissuade full participation. Making the process more accessible and transparent could lead to a more balanced view on the potential impacts of the SEA CZAR’s coastwise endorsement.