M/V NORTH SEA; 46 U.S.C. § 55103; 19 C.F.R. § 4.80; 19 C.F.R. § 4.80a.

U.S. Department of Homeland Security Washington, DC 20229 U.S. Customs and Border Protection HQ H269413 October 20, 2015 VES-3-02-OT:RR:BSTC:CCR H269413 WRB CATEGORY: Carriers Capt. Robert J. Peacock Quoddy Pilots, USA 99 Toll Bridge Road Eastport, ME 04631 RE: M/V NORTH SEA; 46 U.S.C. § 55103; 19 C.F.R. § 4.80; 19 C.F.R. § 4.80a. Dear Mr. Peacock: This is in response to your September 23, 2015, ruling request to the Port Director of Lubec, Maine, on behalf of Quoddy Pilots, USA (hereinafter “Quoddy”), regarding the proposed use of a non-coastwise-qualified vessel to transport pilots to a Canadian piloting station. Your letter was forwarded to our office for direct response to you. Our ruling on this matter is set forth below. FACTS Quoddy proposes to use the non-coastwise-qualified vessel M/V NORTH SEA (hereinafter the “vessel) to embark pilots at Eastport, Maine, and transport them to the pilot station off Campobello Island, New Brunswick, Canada. Once there, the pilots would disembark the vessel, board the vessels to which they are assigned, and pilot those vessels to Eastport. The photograph below provided by Quoddy depicts the vessel:
ISSUE Whether the use of the subject vessel as described in the FACTS section above would be in violation of 46 U.S.C. § 55103 and 19 C.F.R. § 4.80. 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 transportation 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. The Customs and Border Protection (“CBP”) Regulations, promulgated under the authority of 46 U.S.C. § 55103, provide, in pertinent part: (a) No vessel shall transport, either directly or by way of a foreign port, any passenger or merchandise between points in the United States embraced within the coastwise laws, including points within a harbor, or merchandise for any part of the transportation between such points, unless it is: (1) Owned by a citizen and is so documented under the laws of the United States as to permit it to engage in the coastwise trade; …. Thus, pursuant to 46 U.S.C. § 55103, there is no coastwise violation when a passenger embarks at a coastwise point and disembarks at a foreign destination. See 19 C.F.R. §§ 4.80, 4.80a. In the present matter, the pilots would be transported as passengers from Eastport to the pilot station off Campobello Island, New Brunswick, Canada, aboard the vessel. However, the pilots would not return to Eastport as passengers from Canada. Rather, they would be serving as marine pilots aboard the vessels to which they are assigned. Therefore, given that the subject vessel would not transport passengers coastwise, there would be no violation of section 55103. HOLDING The use of the subject vessel as described in the FACTS section above would not violate 46 U.S.C. § 55103 and 19 C.F.R. § 4.80. Sincerely, Lisa L. Burley Chief/Supervisory Attorney-Advisor Cargo Security, Carriers and Restricted Merchandise Branch Office of International Trade, Regulations and Rulings U.S. Customs and Border Protection