VES-03-02 OT:RR:BSTC:CCR HQ H277943 ASZ
Jacob Soifert
APL MARITIME LTD
6110 Executive Blvd
Rockville, MD 20852-3903
RE: Coastwise Transportation; 46 U.S.C. § 55103; 19 C.F.R. § 4.50(b).
Dear Mr. Soifert:
This is in response to your correspondence of July 29, 2016, in which you inquire about the coastwise transportation of the two individuals mentioned therein aboard the M/V APL PHILIPPINES. Our decision follows.
FACTS
The voyage in question involves the transportation of the subject individuals aboard the non-coastwise-qualified M/V APL PHILIPPINES (“the vessel”). The individuals will embark the vessel in San Pedro, California on or about August 3, 2016 and will disembark in Oakland, California on or about August 5, 2016. You state that the individuals are the spouse and daughter of the Captain of the subject vessel.
ISSUE
Whether the individuals described in the FACTS section are “passengers” within the meaning of 46 U.S.C. § 55103 and 19 C.F.R. § 4.50(b).
LAW and ANALYSIS
Generally, the coastwise laws prohibit the transportation of passengers or merchandise between points in the United States embraced within the coastwise laws in any vessel other than a vessel built in, documented under the laws of, and owned by citizens of the United States. Such a vessel, after it has obtained a coastwise endorsement from the U.S. Coast Guard, is said to be “coastwise qualified.”
The coastwise laws generally apply to points in the territorial sea, which is defined as the belt, three nautical miles wide, seaward of the territorial sea baseline, and to points located in internal waters, landward of the territorial sea baseline. The coastwise law applicable to the carriage of passengers is found in 46 U.S.C. § 55103 which provides:
(a) In General. Except as otherwise provided in this chapter or chapter 121 of this title, a vessel may not transport passengers between ports or places in the United States to which the coastwise laws apply, either directly or via a foreign port, unless the vessel-
(1) is wholly owned by citizens of the United States for purposes of engaging in coastwise trade; and
(2) has been issued a certificate of documentation with a coastwise endorsement under chapter 121 or is exempt from documentation but would otherwise be eligible for such a certificate and endorsement.
(b) Penalty. The penalty for violating subsection (a) is $300 for each passenger transported and landed.
Section 4.50 (b) of the Customs and Border Protection (“CBP”) Regulations provide:
A passenger within the meaning of this part is any person carried on a vessel who is not connected with the operation of the vessel, her navigation, ownership, or business.
In the present case, you state that the individuals are the spouse and daughter of the Captain of the subject vessel. It is CBP’s longstanding position that the spouse and children of officers of a vessel are not passengers for purposes of the passenger coastwise statute. See General Letter No. 117 (May 20, 1916) from the former Bureau of Navigation. The Captain is an “officer of a vessel.” Therefore, the Captain’s
immediate family members, may be aboard a non-coastwise-qualified vessel during a coastwise voyage and are not “passengers” within the meaning of 46 U.S.C. § 55103 and 19 C.F.R. § 4.50(b). Accordingly, the coastwise transportation of the individuals would not be in violation of 46 U.S.C. § 55103.
HOLDING
The individuals described in the FACTS section above are not “passengers” within the meaning of 46 U.S.C. § 55103 and 19 C.F.R. § 4.50(b). Therefore, the coastwise transportation of such individuals would not be in violation of 46 U.S.C. § 55103.
Sincerely,
Lisa L. Burley
Chief/Supervisory Attorney-Advisor
Cargo Security, Carriers and Restricted Merchandise Branch
Office of Trade, Regulations and Rulings