Coastwise Transportation; 46 U.S.C. § 55103; 19 CFR 4.50(b)

HQ H053325 March 4, 2009 VES-3-02:OT:RR:BSTC:CCI H053325 ALS CATEGORY: Carriers Mr. Adam Young Marine Agent Norton Lilly International 952 Houston Northcutt Boulevard, Suite 100 Mount Pleasant, South Carolina 29464 RE: Coastwise Transportation; 46 U.S.C. § 55103; 19 CFR 4.50(b) Dear Mr. Young: This letter is in response to your request of March 3, 2009, with respect to the coastwise transportation of certain individuals. Our ruling is set forth below. FACTS: You ask whether certain individuals may be transported on the non-coastwise qualified WASHINGTON EXPRESS ("vessel"), from Charleston, South Carolina and eventually back to Charleston. The individuals will embark on March 5, 2009 in Charleston and disembark in Charleston on March 15, 2009. You state that the individuals will be onboard to make modifications to the main engine. ISSUE: Whether the subject individuals are “passengers" within the meaning of 46 U.S.C. § 55103 and 19 CFR 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 (recodified by Pub. L. 109-304, enacted on October 6, 2006) and provides that: 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 is wholly owned by citizens of the United States for purposes of engaging in the coastwise traffic; and 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. Penalty. The penalty for violating subsection (a) is $300 for each passenger transported and landed. Section 4.50(b), Customs and Border Protection (CBP) Regulations (19 CFR 4.50(b)) provides as follows: A passenger within the meaning of this part is any person carried on a vessel who is not connected with the operation of such vessel, her navigation, ownership, or business. You state that the individuals will be embarking in Charleston, as well as disembarking in Charleston. In accordance with 46 U.S.C. § 55103(a), transportation of riders on a non-coastwise-qualified vessel, whether passengers or not, is not violative of that statute when the transportation is not between two different coastwise points. In this case, the individuals at issue are transported from Charleston and then back to Charleston without disembarking at another coastwise point. As such there is no coastwise transportation in this case, regardless of the status of the individuals at issue. Therefore, the proposed transportation of the individuals at issue is not in violation of 46 U.S.C. § 55103. HOLDING: The proposed transportation of the individuals at issue is not a coastwise movement. Therefore the proposed transportation is not in violation of 46 U.S.C. § 55103. Sincerely, Glen E. Vereb Chief Cargo Security, Carriers and Immigration Branch