VES-3-06-CO:R:IT:C 112370 MLR
Captain Mato Bozovic
Odessa America Cruise Co.
170 Old Country Road
Suite 608
Mineola, New York 11501
RE: Coastwise Trade; Passengers; 46 U.S.C. app. 289; M/V GRUZIYA
Dear Mr. Bozovic:
This is in response to your facsimile dated July 1, 1992,
requesting a ruling as to whether a proposed cruise itinerary is
in compliance with 46 U.S.C. app. 289. Our ruling is set forth
below.
FACTS:
As per our ruling HQ 112324 informing you that your proposed
itinerary would be in violation of the passenger coastwise law,
you have revised your itinerary. The revised cruise itinerary
for the M/V GRUZIYA, a non-coastwise-qualified vessel is as
follows:
Cruise Dates: October 11-27, 1992
PORT ARRIVAL DEPARTURE REMARKS
New York/New York ------ Sun. 10/11 Embark
03:00 PM Passengers
Newport News/Virginia Mon. 10/12 Mon. 10/12
(For Williamsburg) 10:00 AM 06:00 PM
At Sea Tue. 10/13
Charleston/ Wed. 10/14 Wed. 10/14
South Carolina 08:00 AM 06:00 PM
At Sea Thu. 10/15
At Sea Fri. 10/16
Port Antonio/Jamaica Sat. 10/17 Sat. 10/17
08:00 AM 06:00 PM
At Sea Sun. 10/18
Cartagena, Colombia Mon. 10/19 Mon. 10/19
08:00 AM 03:00 PM
Panama Canal Tue. 10/20 Tue. 10/20
(Semi Transit) 10:00 AM 10:00 PM
Limon/Costa Rica Wed. 10/21 Wed. 10/21
08:00 AM 10:00 PM
At Sea Thu. 10/22
At Sea Fri. 10/23
Belize City/Belize Sat. 10/24 Sat. 10/24
07:00 AM 06:00 PM
Cancun/Mexico Sun. 10/25 Sun. 10/25
08:00 AM 10:00 PM
At Sea Mon. 10/26
St. Petersburg/Florida Tue. 10/27 Disembark
08:00 AM Passengers
ISSUE:
Whether the transportation of passengers aboard a non-
coastwise-qualified vessel on the itinerary described above
constitutes a violation of 46 U.S.C. app. 289.
LAW AND ANALYSIS:
Title 46, United States Code Appendix, section 883 (the
merchandise coastwise law often called the "Jones Act") prohibits
the transportation of merchandise between United States coastwise
points, either directly or via a foreign port, or for any part of
the transportation, in any vessel other than a vessel built in
and documented under the laws of the United States and owned by
persons who are citizens of the United States.
In interpreting section 883, Customs has ruled that a point
in United States territorial waters is a point in the United
States embraced within the coastwise laws. The territorial
waters of the United States consist of the territorial sea,
defined as the belt, 3 nautical miles wide, seaward of the
territorial sea baseline, and to points located in internal
waters, landward of the territorial sea baseline, in cases where
the baseline and the coastline differ.
Title 46, United States Code Appendix, section 289 (46
U.S.C. app. 289, the passenger coastwise law), prohibits the
transportation of passengers between points embraced within the
coastwise laws of the United States, either directly or by way of
a foreign port, in a non-coastwise-qualified vessel (i.e., any
vessel not built in and documented under the laws of the United
States and owned by persons who are citizens of the United
States). For purposes of section 289, "passenger" is defined as
"...any person carried on a vessel who is not connected with the
operation of such vessel, her navigation, ownership, or
business." {19 CFR 4.50(b)}.
The applicable Customs Regulations promulgated pursuant to
46 U.S.C. app. 289 are set forth in title 19, Code of Federal
Regulations, section 4.80a (19 CFR 4.80a). Section 4.80a(b)(2),
Customs Regulations {19 CFR 4.80a(b)(2)}, provides that a
coastwise violation occurs if a passenger is on a voyage to one
or more coastwise points and a nearby foreign port or ports (but
at no other foreign port) and the passenger disembarks at a
coastwise port other than the port of embarkation. Section
4.80a(b)(3), Customs Regulations {19 CFR 4.80a(b)(3)}, provides
that no coastwise violation occurs if a passenger is on a voyage
to one or more coastwise ports and a distant foreign port or
ports (whether or not the voyage includes a nearby foreign port
or ports) and the passenger disembarks at a coastwise port
provided the passenger has proceeded with the vessel to a distant
foreign port.
Section 4.80a(a)(3) of the Customs Regulations defines a
distant foreign port as any foreign port that is not a nearby
port. A nearby foreign port is defined as
any foreign port in North America, Central America, the
Bermuda Islands, or the West Indies (including the
Bahama Islands, but not including the Leeward Islands
of the Netherlands Antilles, i.e., Aruba, Bonaire, and
Curacao). A port in the U.S. Virgin Islands shall be
treated as a nearby foreign port.
{19 CFR 4.80a(2)}. (See also 19 CFR 4.80a(a)(1) and (4) for the
definitions of the terms "coastwise port", "embark", and
"disembark," as those terms are used in the regulation.)
In regard to the proposed cruise itinerary, the
transportation of a passenger from New York, New York, to St.
Petersburg, Florida, would not constitute a violation of the
passenger coastwise law because the passenger has made a voyage
between coastwise points which includes a call at a "distant
foreign port" (Cartagena, Colombia).
HOLDING:
The transportation of passengers aboard a non-coastwise-
qualified vessel on the itinerary described above does not
constitute a violation of 46 U.S.C. app. 289, in that the voyage
includes a call at a "distant foreign port".
Sincerely,
B. James Fritz
Chief
Carrier Rulings Branch