VES-3-OT:RR:BSTC:CCR HQ H265492 KLQ
Mr. Stephen New
Talon Marine Services
2303 North Randolph Avenue, Suite #4
Portland, Oregon 97227
RE: Coastwise Transportation; 46 U.S.C. § 55103; 19 C.F.R. § 4.50(b).
Dear Mr. New:
This is in response to your correspondence of June 8, 2015, in which you inquire about the coastwise transportation of the two individuals mentioned therein aboard the R/V GEO EXPLORER. Our decision follows.
FACTS
The voyage in question involves the transportation of the subject individuals aboard the non-coastwise-qualified R/V GEO EXPLORER (“the vessel”). The individuals will embark the vessel in Astoria, Oregon on or about June 13, 2015 and will disembark in Astoria, Oregon on or about June 25, 2015.
ISSUE
Whether the transportation of the subject individuals constitutes a violation of 46 U.S.C. § 55103?
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.
In its administration of 46 U.S.C. § 55103, U.S. Customs and Border Protection has consistently ruled that the carriage of passengers entirely within territorial waters, even though the passengers disembark at their point of embarkation and the vessel touches no other coastwise point, is considered coastwise trade subject to the coastwise laws. However, the transportation of passengers to the high seas (i.e. beyond U.S. territorial waters) and back to the point of embarkation, assuming the passengers do not go ashore, even temporarily, at another United States point, often called a “voyage-to-nowhere,” is not considered coastwise trade.
Based on the facts provided, the proposed itinerary is a voyage-to-nowhere. The vessel will transport the subject passengers to and from the same coastwise point via the high seas. Therefore, the subject transportation does not violate 46 U.S.C. § 55103.
HOLDING
The transportation of the subject individuals does not constitute a violation of 46 U.S.C. § 55103.
Sincerely,
Lisa L. Burley
Chief/Supervisory Attorney-Advisor
Cargo Security, Carriers and Restricted Merchandise Branch
Office of International Trade, Regulations and Rulings