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46 U.S.C. § 53402 — Establishment of the Tanker Security Fleet
Federal law — U.S. Code and appendices · legal_authorities
**(a) In General.—** The Secretary of Transportation, in consultation with the Secretary of Defense, shall establish a fleet of active, commercially viable, militarily useful, privately owned product tank vessels to meet national defense and other security requirements and maintain a United States presence in international commercial shipping. The fleet shall consist of privately owned vessels of the United States for which there are in effect operating agreements under this chapter, and shall be known as the “Tanker Security Fleet” (hereafter in this chapter referred to as the “Fleet”).
**(b) Vessel Eligibility.—** A vessel is eligible to be included in the Fleet if the vessel—
(1) meets the requirements under paragraph (1), (2), (3), or (4) of subsection (c);
(2) is operated (or in the case of a vessel to be constructed, will be operated) in providing transportation in United States foreign commerce;
(3) is self-propelled;
(4) is not more than 10 years of age on the date the vessel is first included in the Fleet;
(5) is determined by the Secretary of Defense to be suitable for use by the United States for national defense or military purposes in time of war or national emergency;
(6) is commercially viable, as determined by the Secretary of Transportation; and
(7) is—
(A) a vessel of the United States; or
(B) not a vessel of the United States, but—
(i) the owner of the vessel has demonstrated an intent to have the vessel documented under chapter 121 of this title if it is included in the Fleet; and
(ii) at the time an operating agreement is entered into under this chapter, the vessel is eligible for documentation under chapter 121 of this title.
**(c) Requirements Regarding Citizenship of Owners, Charterers, and Operators.—**
(1) **Vessels ow
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Source location: Title 46, Chapter 534, § 53402; chapter-534-tanker-security-fleet.md
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**(a) In General.—** The Secretary of Transportation, in consultation with the Secretary of Defense, shall establish a fleet of active, commercially viable, militarily useful, privately owned product tank vessels to meet national defense and other security requirements and maintain a United States presence in international commercial shipping. The fleet shall consist of privately owned vessels of the United States for which there are in effect operating agreements under this chapter, and shall be known as the “Tanker Security Fleet” (hereafter in this chapter referred to as the “Fleet”).
**(b) Vessel Eligibility.—** A vessel is eligible to be included in the Fleet if the vessel—
(1) meets the requirements under paragraph (1), (2), (3), or (4) of subsection (c);
(2) is operated (or in the case of a vessel to be constructed, will be operated) in providing transportation in United States foreign commerce;
(3) is self-propelled;
(4) is not more than 10 years of age on the date the vessel is first included in the Fleet;
(5) is determined by the Secretary of Defense to be suitable for use by the United States for national defense or military purposes in time of war or national emergency;
(6) is commercially viable, as determined by the Secretary of Transportation; and
(7) is—
(A) a vessel of the United States; or
(B) not a vessel of the United States, but—
(i) the owner of the vessel has demonstrated an intent to have the vessel documented under chapter 121 of this title if it is included in the Fleet; and
(ii) at the time an operating agreement is entered into under this chapter, the vessel is eligible for documentation under chapter 121 of this title.
**(c) Requirements Regarding Citizenship of Owners, Charterers, and Operators.—**
(1) **Vessels owned and operated by section 50501 citizens.—** — A vessel meets the requirements of this paragraph if, during the period of an operating agreement under this chapter that applies to the vessel, the vessel will be owned and operated by one or more persons that are citizens of the United States under [section 50501 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title46-section50501&num=0&edition=prelim).
(2) **Vessels owned by a section 50501 citizen, or united states citizen trust, and chartered to a documentation citizen.—** — A vessel meets the requirements of this paragraph if—
(A) during the period of an operating agreement under this chapter that applies to the vessel, the vessel will be—
(i) owned by a person that is a citizen of the United States under [section 50501 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title46-section50501&num=0&edition=prelim) or that is a United States citizen trust; and
(ii) demise chartered to a person—
(I) that is eligible to document the vessel under chapter 121 of this title;
(II) the chairman of the board of directors, chief executive officer, and a majority of the members of the board of directors of which are citizens of the United States under [section 50501 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title46-section50501&num=0&edition=prelim), and are appointed and subjected to removal only upon approval by the Secretary of Transportation; and
(III) that certifies to the Secretary of Transportation that there are no treaties, statutes, regulations, or other laws that would prohibit the program participant for the vessel from performing its obligations under an operating agreement under this chapter;
(B) in the case of a vessel that will be demise chartered to a person that is owned or controlled by another person that is not a citizen of the United States under [section 50501 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title46-section50501&num=0&edition=prelim), the other person enters into an agreement with the Secretary of Transportation not to influence the operation of the vessel in a manner that will adversely affect the interests of the United States; and
(C) the Secretary of Transportation and the Secretary of Defense notify the Committee on Armed Services and the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Armed Services and the Committee on Transportation and Infrastructure of the House of Representatives that the Secretaries concur with the certification required under subparagraph (A)(ii)(III), and have reviewed and agree that there are no legal, operational, or other impediments that would prohibit the owner or operator for the vessel from performing its obligations under an operating agreement under this chapter.
(3) **Vessels owned and operated by a defense contractor.—** — A vessel meets the requirements of this paragraph if—
(A) during the period of an operating agreement under this chapter that applies to the vessel, the vessel will be owned and operated by a person that—
(i) is eligible to document a vessel under chapter 121 of this title;
(ii) operates or manages other vessels of the United States for the Secretary of Defense, or charters other vessels to the Secretary of Defense;
(iii) has entered into a special security agreement for the purpose of this paragraph with the Secretary of Defense;
(iv) makes the certification described in paragraph (2)(A)(ii)(III); and
(v) in the case of a vessel described in paragraph (2)(B), enters into an agreement referred to in that paragraph; and
(B) the Secretary of Transportation and the Secretary of Defense notify the Committee on Armed Services and the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Armed Services and the Committee on Transportation and Infrastructure of the House of Representatives that they concur with the certification required under subparagraph (A)(iv), and have reviewed and agree that there are no legal, operational, or other impediments that would prohibit the program participant for the vessel from performing its obligations under an operating agreement under this chapter.
(4) **Vessels owned by documentation citizens and chartered to section 50501 citizens.—** — A vessel meets the requirements of this paragraph if, during the period of an operating agreement under this chapter, the vessel will be—
(A) owned by a person who is eligible to document a vessel under chapter 121 of this title; and
(B) demise chartered to a person that is a citizen of the United States under [section 50501 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title46-section50501&num=0&edition=prelim).
**(d) Request by Secretary of Defense.—** The Secretary of Defense shall request that the Secretary of Homeland Security issue any waiver under [section 501 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title46-section501&num=0&edition=prelim) that the Secretary of Defense determines is necessary for purposes of this chapter.
**(e) Vessel Standards.—**
(1) **Certificate of inspection.—** — A vessel used to provide oceangoing transportation the Secretary of the department in which the Coast Guard is operating determines meets the criteria of subsection (b) but which, on the date of enactment of this section, is not documented under chapter 121, shall be eligible for a certificate of inspection if the Secretary of the department in which the Coast Guard is operating determines that—
(A) the vessel is classed by and designed in accordance with the rules of the American Bureau of Shipping, or another classification society accepted by the Commandant of the Coast Guard;
(B) the vessel complies with applicable international agreements and associated guidelines, as determined by the country in which the vessel was documented immediately before becoming documented under chapter 121 of this title; and
(C) the country has not been identified by the Commandant of the Coast Guard as inadequately enforcing international vessel regulations as to that vessel.
(2) **Continued eligibility for certificate.—** — Subsection (a) shall not apply to any vessel that has failed to comply with the applicable international agreements and associated guidelines referred to in paragraph (1)(B).
(3) **Reliance on classification society.—**
(A) *In general.—* — The Commandant of the Coast Guard may rely on a certification from the American Bureau of Shipping or, subject to subparagraph (B), another classification society accepted by the Commandant of the Coast Guard, to establish that a vessel is in compliance with the requirements of paragraph (1).
(B) *Foreign classification society.—* — The Commandant of the Coast Guard may accept certification from a foreign classification society under subparagraph (A) only—
(i) to the extent that the government of the foreign country in which the society is headquartered provides access on a reciprocal basis to the American Bureau of Shipping; and
(ii) if the foreign classification society has offices and maintains records in the United States.
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Federal law — U.S. Code and appendices · legal_authorities
**(a) On Request of Secretary of Defense.—**
(1) **In general.—** — On request of the Secretary of Defense, the head of an agency responsible for the administration of the navigation or vessel-inspection laws shall waive compliance with those laws to the extent the Secretary considers necessary in the interest of national defense to address an immediate adverse effect on military operations.
(2) **Submittal of explanation to congress.—** — Not later than 24 hours after making a request under paragraph (1), the Secretary of Defense shall submit to the Committee on Transportation and Infrastructure and the Committee on Armed Services of the House of Representatives and the Committee on Commerce, Science, and Transportation and the Committee on Armed Services of the Senate a written explanation of the circumstances requiring such a waiver in the interest of national defense, including a confirmation that there are insufficient qualified vessels to meet the needs of national defense without such a waiver.
**(b) By Head of Agency.—**
(1) **In general.—** — Upon a determination by the President that a waiver of the navigation or vessel-inspection laws is necessary in the interest of national defense, the head of an agency responsible for the administration of such laws,11 So in original. The comma probably should not appear. may waive compliance with such laws—
(A) following a determination in accordance with the requirements of paragraph (3) by the Maritime Administrator, acting in the Administrator’s capacity as Director, National Shipping Authority, of the non-availability of qualified United States flag capacity to meet national defense requirements;
(B) not earlier than 48 hours after a waiver request is published under paragraph (6)(A); and
(C) on a vessel
Source: Supplied U.S. Code snapshot — release unconfirmed · 46 U.S.C. § 501
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Federal law — U.S. Code and appendices · legal_authorities
**(a) In General.—** In this subtitle, a corporation, partnership, or association is deemed to be a citizen of the United States only if the controlling interest is owned by citizens of the United States. However, if the corporation, partnership, or association is operating a vessel in the coastwise trade, at least 75 percent of the interest must be owned by citizens of the United States.
**(b) Additional Requirements for Corporations.—** In this subtitle, a corporation is deemed to be a citizen of the United States only if, in addition to satisfying the requirements in subsection (a)—
(1) it is incorporated under the laws of the United States or a State;
(2) its chief executive officer, by whatever title, and the chairman of its board of directors are citizens of the United States; and
(3) no more of its directors are noncitizens than a minority of the number necessary to constitute a quorum.
**(c) Determination of Controlling Corporate Interest.—** The controlling interest in a corporation is owned by citizens of the United States under subsection (a) only if—
(1) title to the majority of the stock in the corporation is vested in citizens of the United States free from any trust or fiduciary obligation in favor of a person not a citizen of the United States;
(2) the majority of the voting power in the corporation is vested in citizens of the United States;
(3) there is no contract or understanding by which the majority of the voting power in the corporation may be exercised, directly or indirectly, in behalf of a person not a citizen of the United States; and
(4) there is no other means by which control of the corporation is given to or permitted to be exercised by a person not a citizen of the United States.
**(d) Determination of 75 Percent Corporate Inter
Source: Supplied U.S. Code snapshot — release unconfirmed · 46 U.S.C. § 50501
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Federal law — U.S. Code and appendices · legal_authorities
In this chapter:
(1) **Foreign commerce.—** — The term “foreign commerce” means—
(A) commerce or trade between the United States, its territories or possessions, or the District of Columbia, and a foreign country; and
(B) commerce or trade between foreign countries.
(2) **Participating fleet vessel.—** — The term “participating Fleet vessel” means any product tank vessel covered by an operating agreement under this chapter on or after January 1, 2022, that—
(A) meets the requirements of one of paragraphs (1) through (4) of [section 53402(b) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title46-section53402/b&num=0&edition=prelim); and
(B) is no more than 20 years of age.
(3) **Person.—** — The term “person” includes corporations, partnerships, and associations existing under, or authorized by, laws of the United States, or any State, territory, district, or possession thereof, or any foreign country.
(4) **Product tank vessel.—** — The term “product tank vessel” means a double-hulled tank vessel capable of carrying simultaneously more than 2 separated grades of refined petroleum products.
(5) **Program participant.—** — The term “program participant” means an owner or operator of a vessel that enters into an operating agreement covering a participating fleet vessel with the Secretary under section 53403.
(6) **Secretary.—** — The term “Secretary” means the Secretary of Transportation, unless the context indicates otherwise.
(7) **United states citizen trust.—** — The term “United States citizen trust”—
(A) means a trust for which—
(i) each of the trustees is a citizen of the United States; and
(ii) the application for documentation of the vessel under chapter 121 of this title includes an affidavit of each tr
Source: Supplied U.S. Code snapshot — release unconfirmed · 46 U.S.C. § 53401
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Federal law — U.S. Code and appendices · legal_authorities
Page 419
TITLE 46—SHIPPING
§ 53402
includes an affidavit of each trustee stat-
ing that the trustee is not aware of any
reason involving a beneficiary of the trust
that is not a citizen of the United States,
or involving any other person who is not a
citizen of the United States, as a result of
which the beneficiary or other person
would hold more than 25 percent of the ag-
gregate power to influence or limit the ex-
ercise of the authority of the trustee with
respect to matters involving any owner-
ship or operation of the vessel that may
adversely affect the interests of the United
States;
(B) does not include a trust for which any
person that is not a citizen of the United
States has authority to direct, or participate
in directing, a trustee for a trust in matters
involving any ownership or operation of the
vessel that may adversely affect the inter-
ests of the United States or in removing a
trustee without cause, either directly or in-
directly through the control of another per-
son, unless the trust instrument provides
that persons who are not citizens of the
United States may not hold more than 25
percent of the aggregate authority to so di-
rect or remove a trustee; and
(C) may include a trust for which a person
who is not a citizen of the United States
holds more than 25 percent of the beneficial
interest in the trust.
(8) LONG
TERM
CHARTER.—The term ‘‘long
term charter’’ means any time charter of a
product tank vessel to the United States Gov-
ernment that, together with options, occurs
for a continuous period of more than 180 days.
(Added Pub. L. 116–283, div. C, title XXXV,
§ 3511(a), Jan. 1, 2021, 134 Stat. 4408; amended
Pub. L. 117–81, div. C, title XXXV, § 3515(a), Dec.
27, 2021, 135 Stat. 2243.)
Editorial Notes
AMENDMENTS
Source: Supplied 2024 U.S. Code historical extraction · 46 U.S.C. § 53402
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