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106th Congress                                                   Report
  1st Session           HOUSE OF REPRESENTATIVES                 106-51

=======================================================================



 
                 COAST GUARD AUTHORIZATION ACT OF 1999

                                _______
                                

 March 11, 1999.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______


 Mr. Shuster, from the Committee on Transportation and Infrastructure, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 820]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Transportation and Infrastructure, to whom 
was referred the bill (H.R. 820) to authorize appropriations 
for fiscal years 2000 and 2001 for the Coast Guard, and for 
other purposes, having considered the same, report favorably 
thereon with an amendment and recommend that the bill as 
amended do pass.
  The amendment is as follows:
  Strike out all after the enacting clause and insert in lieu 
thereof the following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Coast Guard Authorization Act of 
1999''.

SEC. 2. TABLE OF CONTENTS.

  The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.

                         TITLE I--AUTHORIZATION

Sec. 101. Authorization of appropriations.
Sec. 102. Authorized levels of military strength and training.

                         TITLE II--MISCELLANEOUS

Sec. 201. Vessel NOT A SHOT.
Sec. 202. Costs of clean-up of Cape May lighthouse.
Sec. 203. Clarification of Coast Guard authority to control vessels in 
          territorial waters of the United States.
Sec. 204. Coast Guard search and rescue for Lake Michigan.

                         TITLE I--AUTHORIZATION

SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

  Funds are authorized to be appropriated for necessary expenses of the 
Coast Guard, as follows:
          (1) For the operation and maintenance of the Coast Guard--
                  (A) for fiscal year 2000, $3,084,400,000, of which--
                          (i) $25,000,000 shall be derived from the Oil 
                        Spill Liability Trust Fund to carry out the 
                        purposes of section 1012(a)(5) of the Oil 
                        Pollution Act of 1990;
                          (ii) not less than $663,000,000 shall be 
                        available for expenses related to drug 
                        interdiction; and
                          (iii) $5,500,000 shall be available for the 
                        commercial fishing vessel safety program; and
                  (B) for fiscal year 2001, $3,207,800,000, of which--
                          (i) $25,000,000 shall be derived from the Oil 
                        Spill Liability Trust Fund to carry out the 
                        purposes of section 1012(a)(5) of the Oil 
                        Pollution Act of 1990;
                          (ii) not less than $689,500,000 shall be 
                        available for expenses related to drug 
                        interdiction; and
                          (iii) $5,500,000 shall be available for the 
                        commercial fishing vessel safety program.
          (2) For the acquisition, construction, rebuilding, and 
        improvement of aids to navigation, shore and offshore 
        facilities, vessels, and aircraft, including equipment related 
        thereto--
                  (A) for fiscal year 2000, $691,300,000, of which--
                          (i) $20,000,000 shall be derived from the Oil 
                        Spill Liability Trust Fund to carry out the 
                        purposes of section 1012(a)(5) of the Oil 
                        Pollution Act of 1990;
                          (ii) not less than $280,300,000 shall be 
                        available for expenses related to drug 
                        interdiction;
                          (iii) $100,000,000 shall be available for 
                        modernization of the national distress response 
                        system; and
                          (iv) $3,000,000 shall be available for 
                        completion of the design of a replacement 
                        vessel for the Coast Guard icebreaker MACKINAW; 
                        and
                  (B) for fiscal year 2001, $792,000,000, of which--
                          (i) $20,000,000 shall be derived from the Oil 
                        Spill Liability Trust Fund to carry out the 
                        purposes of section 1012(a)(5) of the Oil 
                        Pollution Act of 1990;
                          (ii) not less than $233,000,000 shall be 
                        available for expenses related to drug 
                        interdiction;
                          (iii) $110,000,000 shall be available for 
                        modernization of the national distress response 
                        system; and
                          (iv) $128,000,000 shall be available for 
                        construction or acquisition of a replacement 
                        vessel for the Coast Guard icebreaker MACKINAW.
          (3) For research, development, test, and evaluation of 
        technologies, materials, and human factors directly relating to 
        improving the performance of the Coast Guard's mission in 
        support of search and rescue, aids to navigation, marine 
        safety, marine environmental protection, enforcement of laws 
        and treaties, ice operations, oceanographic research, and 
        defense readiness--
                  (A) for fiscal year 2000, $21,700,000; and
                  (B) for fiscal year 2001, $23,000,000,
        to remain available until expended, of which $3,500,000 shall 
        be derived each fiscal year from the Oil Spill Liability Trust 
        Fund to carry out the purposes of section 1012(a)(5) of the Oil 
        Pollution Act of 1990.
          (4) For retired pay (including the payment of obligations 
        otherwise chargeable to lapsed appropriations for this 
        purpose), payments under the Retired Serviceman's Family 
        Protection and Survivor Benefit Plans, and payments formedical 
care of retired personnel and their dependents under chapter 55 of 
title 10, United States Code--
                  (A) for fiscal year 2000, $730,000,000; and
                  (B) for fiscal year 2001, $785,000,000.
          (5) For alteration or removal of bridges over navigable 
        waters of the United States constituting obstructions to 
        navigation, and for personnel and administrative costs 
        associated with the Bridge Alteration Program--
                  (A) for fiscal year 2000, $11,000,000; and
                  (B) for fiscal year 2001, $11,000,000,

        to remain available until expended.
          (6) For environmental compliance and restoration at Coast 
        Guard facilities (other than parts and equipment associated 
        with operations and maintenance)--
                  (A) for fiscal year 2000, $19,500,000; and
                  (B) for fiscal year 2001, $21,000,000,

        to remain available until expended.

SEC. 102. AUTHORIZED LEVELS OF MILITARY STRENGTH AND TRAINING.

  (a) Active Duty Strength.--The Coast Guard is authorized an end-of-
year strength for active duty personnel of--
          (1) 40,000 as of September 30, 2000; and
          (2) 44,000 as of September 30, 2001.
  (b) Military Training Student Loads.--The Coast Guard is authorized 
average military training student loads as follows:
          (1) For recruit and special training--
                  (A) for fiscal year 2000, 1,500 student years; and
                  (B) for fiscal year 2001, 1,500 student years.
          (2) For flight training--
                  (A) for fiscal year 2000, 100 student years; and
                  (B) for fiscal year 2001, 100 student years.
          (3) For professional training in military and civilian 
        institutions--
                  (A) for fiscal year 2000, 300 student years; and
                  (B) for fiscal year 2001, 300 student years.
          (4) For officer acquisition--
                  (A) for fiscal year 2000, 1,000 student years; and
                  (B) for fiscal year 2001, 1,000 student years.

                        TITLE II--MISCELLANEOUS

SEC. 201. VESSEL NOT A SHOT.

  Notwithstanding section 27 of the Merchant Marine Act, 1920 (46 App. 
U.S.C. 883), section 8 of the Act of June 19, 1886 (46 App. U.S.C. 
289), and section 12106 of title 46, United States Code, the Secretary 
of Transportation may issue a certificate of documentation with 
appropriate endorsement for employment in the coastwise trade for the 
vessel NOT A SHOT (United States official number 911064).

SEC. 202. COSTS OF CLEAN-UP OF CAPE MAY LIGHTHOUSE.

  Of amounts authorized by this Act for fiscal year 2000 for 
environmental compliance and restoration of Coast Guard facilities, 
$99,000 shall be available to reimburse the owner of the former Coast 
Guard lighthouse facility at Cape May, New Jersey, for costs incurred 
for clean-up of lead contaminated soil at that facility.

SEC. 203. CLARIFICATION OF COAST GUARD AUTHORITY TO CONTROL VESSELS IN 
                    TERRITORIAL WATERS OF THE UNITED STATES.

  The Ports and Waterways Safety Act (33 U.S.C. 1221 et seq.) is 
amended by adding at the end the following:

``SEC. 15. ENTRY OF VESSELS INTO TERRITORIAL SEA; DIRECTION OF VESSELS 
                    BY COAST GUARD.

  ``(a) Notification of Coast Guard.--Under regulations prescribed by 
the Secretary, a commercial vessel entering the territorial sea of the 
United States shall notify the Secretary not later than 24 hours before 
that entry and provide the following information:
          ``(1) The name of the vessel.
          ``(2) The port or place of destination in the United States.
          ``(3) The time of entry into the territorial sea.
          ``(4) Any information requested by the Secretary to 
        demonstrate compliance with applicable international agreements 
        to which the United States is a party.
          ``(5) If the vessel is carrying dangerous cargo, a 
        description of that cargo.
          ``(6) A description of any hazardous conditions on the 
        vessel.
          ``(7) Any other information requested by the Secretary.
  ``(b) Denial of Entry.--The Secretary may deny entry of a vessel into 
the territorial sea of the United States if--
          ``(1) the Secretary has not received notification for the 
        vessel in accordance with subsection (a); or
          ``(2) the vessel is not in compliance with any other 
        applicable law relating to marine safety, security, or 
        environmental protection.
  ``(c) Direction of Vessel.--The Secretary may direct the operation of 
any vessel in the navigable waters of the United States as necessary 
during hazardous circumstances, including the absence of a pilot 
required by State or Federal law, weather, casualty, vessel traffic, or 
the poor condition of the vessel.''.

SEC. 204. COAST GUARD SEARCH AND RESCUE FOR LAKE MICHIGAN.

  (a) In General.--
          (1) Requirements.--Notwithstanding any other law, the 
        Secretary of Transportation--
                  (A) shall continue to operate and maintain the 
                seasonal Coast Guard air search and rescue facility 
                located in Muskegon, Michigan, until at least September 
                30, 2001; and
                  (B) shall establish a new seasonal Coast Guard air 
                search and rescue facility for Southern Lake Michigan 
                to serve the Chicago metropolitan area and the 
                surrounding environment, and operate that facility 
                until at least September 30, 2001.

        In establishing the facility under subparagraph (B), the 
        Secretary shall study Illinois sites in the Chicago 
        metropolitan area, including Waukegan, Illinois.
          (2) Authorization of appropriations.--In addition to the 
        other amounts authorized by this Act, there are authorized to 
        be appropriated to the Secretary of Transportation--
                  (A) for operation and maintenance of the Coast Guard 
                air search and rescue facility in Muskegon, Michigan--
                          (i) $3,252,000 for fiscal year 2000; and
                          (ii) $3,252,000 for fiscal year 2001;
                  (B) for acquisition, construction, and improvement of 
                facilities and equipment for the Coast Guard air search 
                and rescue facility for Southern Lake Michigan 
                established under paragraph (1)(B)--
                          (i) $8,100,000 for fiscal year 2000; and
                          (ii) $13,000,000 for fiscal year 2001; and
                  (C) for operation and maintenance of the Coast Guard 
                air search and rescue facility for Southern Lake 
                Michigan established under paragraph (1)(B)--
                          (i) $5,505,000 for fiscal year 2000; and
                          (ii) $4,060,000 for fiscal year 2001.
          (3) Limitation on closing or downsizing other facilities.--
        The Secretary of Transportation may not close or downsize any 
        Coast Guard facility for the purpose of accommodating the 
        capability required pursuant to paragraphs (1) and (2).
  (b) Study of Search and Rescue Capabilities for Lake Michigan.--Not 
later that 1 year after the date of the enactment of this Act, the 
Secretary of Transportation shall study, determine, and report to the 
Congress the overall aircraft and vessel search and rescue capability 
for Lake Michigan, including--
          (1) the capability of all Federal, State, and local 
        government and nongovernment entities that perform search and 
        rescue functions for Lake Michigan; and
          (2) the adequacy of that overall capability.
  (c) Plan for Search and Rescue Response for Chicago, Illinois.--Not 
later than 6 months after the date of the enactment of this Act, the 
Secretary of Transportation shall prepare, submit to the Congress, and 
begin implementing a comprehensive plan for aircraft and vessel search 
and rescue response for Lake Michigan in the vicinity of Chicago, 
Illinois.
  (d) Use of Helicopters for Drug Interdiction.--During the portion of 
each year when the seasonal facilities required under subsection (a)(1) 
are not in operation, the Secretary of Transportation shall use 
helicopters assigned to those facilities for drug interdiction.

                          Purpose of the Bill

    The primary purpose of H.R. 820 is to authorize funds for 
the United States Coast Guard for fiscal years 2000, and 2001. 
Funding is authorized for the following accounts within the 
Coast Guard's budget: Operating Expenses; Acquisition, 
Construction and Improvement; Research, Development, Test and 
Evaluation; Retired Pay; Alteration of Bridges; and 
Environmental Compliance and Restoration.
    This bill also:
          Sets end-of-year strength levels for active duty 
        military personnel and establishes military training 
        levels;
          Waives certain U.S. coastwise trade laws for a 
        particular vessel;
          Authorizes $99,000 in the Coast Guard's environmental 
        compliance and restoration of Coast Guard facilities 
        account to reimburse the owners of the former Coast 
        Guard lighthouse at Cape May, New Jersey, for costs 
        incurred for clean-up of lead contaminated soil at the 
        facility;
          Clarifies the requirements for vessels entering the 
        United States territorial sea and the Coast Guard's 
        authority over those vessels; and
          Requires the Coast Guard to maintain air facilities 
        at Muskegon, Michigan, and in the area of Chicago, 
        Illinois.

                               Background

    The United States Coast Guard, established in 1915 as part 
of the Department of the Treasury, is responsible for 
performing Federal functions that trace their beginnings back 
to the founding of this country. The Coast Guard assumed the 
duties of five previously established agencies: the Lighthouse 
service, established in 1789; the Revenue Cutter Service, 
established in 1790; the Steamboat Inspection Service, 
established in 1838; the Life-Saving Service, established in 
1848; and the Bureau of Navigation, established in 1884.
    The Coast Guard remained a part of the Department of 
Treasury until 1967, when it was transferred to the newly 
created Department of Transportation.
    Today's Coast Guard has primary responsibility for the 
promotion of safety of life and property at sea; the 
enforcement of all applicable Federal laws on, over, and under 
the high seas and United States waters; the maintenance of aids 
to navigation, the protection of the marine environment; 
icebreaking activities; and the safety and security of vessels, 
ports, waterways, and their related facilities.
    As a military service and a branch of the Armed Forces, the 
Coast Guard also maintains a readiness to operate as a 
specialized service in the Navy upon the declaration of war or 
when the President directs. The Coast Guard has defended our 
Nation in every war since 1790, including the 1990-1991 
conflict in the Persian Gulf. -
    The Coast Guard's legal responsibilities have expanded 
enormously over the past 20 years. Many of the laws the Coast 
Guard administers are codified in subtitle II of title 46, 
United States Code. Beyond the broad responsibilities described 
above, the Coast Guard enforces the following laws:
    The Western Hemisphere Drug Elimination Act, which provides 
a three-year increase of Coast Guard drug interdiction 
resources to respond to the illegal drug threat facing our 
country. -
    The Anti-Drug Abuse Acts of 1986 and 1988, which expand the 
Coast Guard's role in waterborne and airborne marine drug 
interdiction.
    The Maritime Drug Law Enforcement Act, which authorizes the 
Coast Guard to search and seize any vessel that is 
manufacturing, distributing, or possessing with the intent to 
manufacturer or distribute, any controlled substance in the 
United States.
    The Deepwater Port Act of 1974, which directs the Coast 
Guard to oversee offshore oil port operation and construction.
    The Port and Waterways Safety Act of 1974, which directs 
the Coast Guard to ensure port and merchant vessel safety.
    The Port and Tanker Safety Act of 1978, which authorizes 
the Coast Guard to inspect foreign tankers, evaluate crew 
standards, and monitor offshore lightering activities in U.S. 
waters.
    The Omnibus Diplomatic Security and Antiterrorism Act of 
1986, which requires the Coast Guard to maintain and improve 
port, harbor, and coastal facilities security.
    The Federal Boating Safety Act of 1971, which authorizes 
the Coast Guard to prescribe standards for the manufacture of 
pleasure boats and associated equipment.
    The Recreational Boating Safety and Facilities Improvement 
Act of 1980, which establishes the Recreational Boating and 
Facilities Improvement Fund, which the Coast Guard uses to 
promote recreational boating safety and access through a state 
grant program.
    The Federal Water Pollution Control Act of 1972 (popularly 
known as the Clean Water Act), which requires the Coast Guard 
to regulate discharges of oil and sewage from vessels.
    The Oil Pollution Act of 1990 (OPA 90), which expands the 
Coast Guard's authority over oil spills, and establishes a 
comprehensive regime for oil spill compensation, liability, 
response, and research and development.
    The Marine Protection, Research and Sanctuaries Act of 
1972, which gives the Coast Guard enforcement authority over 
ocean dumping and marine sanctuaries.
    The Act to Prevent Pollution from Ships, which requires the 
Coast Guard to administer and enforce international 
environmental pollution agreements through vessel and port 
certification and inspections.
    The Marine Plastic Pollution Research and Control Act of 
1987, which requires the Coast Guard to enforce prohibitions on 
the disposal of plastic materials and other garbage at sea and 
to establish regulations for vessel waste management.
    The Hazardous Materials Transportation Act, which requires 
the Coast Guard to enforce safety standards for the waterborne 
transportation of hazardous materials.
    The Intervention on the High Seas Act, which authorizes the 
Coast Guard to intervene in situations involving pollution 
discharges on the high seas that pose a threat to the United 
States and its territorial waters.
    The Fishery Conservation and Management Act of 1976, which 
assigns joint responsibility to the Coast Guard and the 
National Marine Fisheries Services to enforce U.S. fisheries 
laws within the 200-mile Exclusive Economic Zone of the United 
States.
    The Outer Continental Shelf Lands Act Amendments of 1978, 
which authorizes the Coast Guard to enforce environmental and 
safety regulations governing oil and gas development activities 
on the outer Continental Shelf.
    The National Invasive Species Act of 1996, which amends the 
Nonindigenous Aquatic Nuisance Prevention and Control Act of 
1990 to strengthen and improve the nation's response to threats 
posed by aquatic nuisance species.

                            Committee Action

    On February 11, 1999, the Subcommittee on Coast Guard and 
Maritime Transportation held a hearing on the Administration's 
fiscal year 2000 budget request for the United States Coast 
Guard. The Subcommittee received testimony from Admiral James 
M. Loy, Commandant, U.S. Coast Guard; Vincent Patton, III, 
Master Chief Petty Officer, U.S. Coast Guard; and John H. 
Anderson, Jr., Issue Area Director, Transportation Issues, 
General Accounting Office.
    In his testimony, Admiral Loy expressed his support of the 
President's fiscal year 2000 budget request and explained the 
three principal themes of the budget request. The Admiral 
stated his belief that the fiscal year 2000 budget request 
permits the continuation of the basic Coast Guard services 
currently enjoyed by the American people, addresses the Coast 
Guard's readiness needs by funding pay and personnel 
initiatives for recruiting, and provides funds both to operate 
the capital assets provided in the fiscal year 1999 emergency 
supplemental appropriations act and expands the Coast Guard's 
drug interdiction activities.
    Admiral Loy also discussed the importance of modernizing 
the Coast Guard's older technology, including sensors, ships, 
and aircraft. The Coast Guard's Integrated Deepwater System 
acquisition project is the agency's major recapitalization 
effort of the next ten years. The Admiral further mentioned 
that the Coast Guard's National Distress System, the coastal 
maritime distress communications network, is in dire need of 
modernization, and that the budget will provide funding to 
begin updating Coast Guard communications and recording 
equipment and the specific capability to locate vessels in 
distress by shore-based radio direction finding. This project 
will help to enhance the Coast Guard search and rescue 
readiness by keeping America's commercial and recreational 
mariners safe.
    Master Chief Petty Officer Vincent Patton, who represents 
the 42,000 Coast Guard reserve and active-duty enlisted 
personnel, stated that he believes there are four common areas 
of concern among Coast Guard enlisted personnel. These areas 
include housing, family health care, pay and benefits, and 
workforce shortages. Master Chief Patton stated that the new 
Basic Allowance for Housing (BAH) program often fails to meet 
the financial needs of Coast Guard enlisted members and that 
Congress should provide additional funding for this important 
program. He also explained the problems enlisted families have 
with the Department of Defense's TRICARE health program, which 
often does not cover the entire cost of health care in certain 
parts of the country. He explained that the shortage of Coast 
Guard personnel has brought on an alarming increase in workload 
that is dramatically affecting certain Coast Guard member's 
quality of life.
    John Anderson, Director of Transportation Issues, at the 
General Accounting Office (GAO), testified about several Coast 
Guard issues which his agency has been investigating. He 
discussed the Coast Guard's progress in justifying its 
Deepwater Replacement Project and addressing the GAO's concerns 
about the project's affordability, the Coast Guard's plans for 
spending its fiscal year 1999 emergency funds, and the budget 
strategies the agency may have to consider in the future to 
address continuing budget constraints.
    Mr. Anderson concluded that while the Coast Guard has made 
progress in addressing GAO's concerns about the justification 
and affordability of the Deepwater Project, additional work is 
needed to sufficiently justify the project. He further noted 
that the Coast Guard will obligate 78 percent of the $377 
million in emergency funds that it received in fiscal year 1999 
emergency appropriations during the current fiscal year. 
Finally, the GAO reported that additional Coast Guard cost-
cutting measures to improve efficiency are possible, and that 
the Coast Guard should renew its efforts in this area.-
    On February 24, 1999, the Subcommittee on Coast Guard and 
Maritime Transportation met to mark up a Discussion Draft of 
the Coast Guard Authorization Act of 1999. The Subcommittee 
considered one amendment to the Discussion Draft which was 
offered by Mr. DeFazio. The amendment clarifies the 
requirements for vessels entering the United States territorial 
sea and the Coast Guard's authority over those vessels. 
Currently, a vessel must provide notice to the local Coast 
Guard Captain of the Port 24 hours before entering a port of 
the United States. This amendment requires a vessel to give the 
Coast Guard 24 hours notice before entering the territorial 
waters (12 miles off the coast) of the United States. Mr. 
DeFazio's amendment also clarifies current Coast Guard 
authority to direct the movement of a vessel during hazardous 
circumstances, including when a pilot required by State or 
Federal law is not on board the vessel. The DeFazio amendment 
was agreed to by voice vote. The Discussion Draft bill, as 
amended, was ordered reported to the full Committee by voice 
vote in the presence of a quorum.
    The Discussion Draft bill, as amended by the Subcommittee, 
was introduced as H.R. 820 by Chairman Shuster on February 24, 
1999, with Mr. Oberstar, Mr. Gilchrest, and Mr. DeFazio as 
cosponsors. The bill was referred to the Committee on 
Transportation and Infrastructure.
    On March 11, 1999, the Transportation and Infrastructure 
Committee met to consider H.R. 820. The Committee considered 
one amendment to H.R. 820 which was offered by Mr. Ehlers. The 
amendment requires the Coast Guard to maintain the air search 
and rescue facility at Muskegon, Michigan, until September 30, 
2001, and to establish a new air search and rescue facility in 
the Chicago, Illinois, area until September 30, 2001. The 
amendment also authorizes additional funds to establish and 
operate the air facilities and requires the Coast Guard to 
study search and rescue capabilities for Southern Lake 
Michigan. The amendment passed by voice vote.
    H.R. 820, as amended by the Committee, was ordered reported 
to the House of Representatives by a voice vote in the presence 
of a quorum.

                      Section-by-Section Analysis

                         SECTION 1. SHORT TITLE

    This section states that the Act may be cited as the Coast 
Guard Authorization Act of 1999.

                        TITLE I--AUTHORIZATIONS

              SECTION 101. AUTHORIZATION OF APPROPRIATIONS

    The Administration requests approximately $4.2 billion for 
fiscal year 2000, to fund Coast Guard programs and activities, 
of which approximately $4.1 billion requires an authorization. 
This funding level is approximately $117 million less than the 
amounts appropriated for these programs in fiscal year 1999, 
but it is $168 million more than the President's fiscal year 
1999 request.
    Section 101 of this draft bill authorizes approximately 
$4.6 billion for Coast Guard programs and activities in fiscal 
year 2000. This includes the amounts requested by the 
President, with an additional $380 million for Coast Guard drug 
interdiction activities (consistent with the provisions of the 
Western Hemisphere Drug Elimination Act) , $3 million to 
complete the design of a replacement for the Coast Guard Great 
Lakes icebreaker Mackinaw, $1.5 million to expand the 
commercial fishing vessel safety program, and $100 million to 
accelerate the national distress and response system 
modernization project. Section 101 also authorizes $4.8 billion 
for Coast Guard programs in fiscal year 2001.
    The authorization levels contained in this draft bill for 
the Coast Guard in fiscal year 2000 and 2001 are as follows:

                        [In millions of dollars]
------------------------------------------------------------------------
                                   President's
                                      FY2000     T&I; FY2000   T&I; FY2001
                                     request     authorized   authorized
------------------------------------------------------------------------
Operating Expenses-..............       $2,941       $3,084       $3,208
Acquisition, Construction &                350         691-          792
 Improvement.....................
Environmental Compliance &                 19-          19-           21
 Restoration.....................
Research, Development, Test &               22          22-           19
 Evaluation......................
Alteration of Bridges............           0-          11-           11
Retired Pay......................         730-         730-          785
                                  --------------------------------------
      Total......................       $4,062       $4,557       $4,836
------------------------------------------------------------------------

Operating expenses

    Section 101(1) of H.R. 820 authorizes $3.08 billion for 
Coast Guard operating expenses for fiscal year 2000. This is 
the amount requested by the President, with an additional $142 
million for illicit drug interdiction operations, and an 
additional $1.5 million for Coast Guard fishing vessel 
examiners. This subsection also requires that no less than $663 
million of the operating expense account be available for 
expenses related to drug interdiction. It further requires that 
$5.5 million be available for the Coast Guard commercial 
fishing vessel safety program to insure that the Coast Guard 
has adequate funding available for additional personnel to 
perform voluntary safety examinations of commercial fishing 
vessels. These voluntary examinations help protect the lives of 
commercial fishermen who work in one of the most dangerous 
occupations in the country.
    Section 101 also authorizes $3.21 billion for Coast Guard 
operating expenses for fiscal year 2001. This amount includes 
the level requested by the President in fiscal year 2000, plus 
a four percent inflation adjustment, an additional $148 million 
in Operating Expenses for the continuation of drug interdiction 
activities begun in fiscal year 2000, and $1.5 million for the 
continuation of the increased Coast Guard effort to provide 
voluntary commercial fishing vessel safety examinations.
    The Administration's budget request for the Operating 
Expenses (OE) account in fiscal year 2000 is $2.941 billion, an 
increase of $125 million (4.4 percent) over the fiscal year 
1999 appropriated level, to fund continued operation and 
maintenance of a wide range of multi-mission vessels, aircraft, 
shore units, and aids-to-navigation.
    The following table illustrates how the fiscal year 2000 
Coast Guard OE account is allocated among missions compared to 
the fiscal year 1998 allocation and fiscal year 1999 estimates:

------------------------------------------------------------------------
                                     (Actual)    (Planned)    (Planned)
                                    percent of   percent of   percent of
                                   OE in FY98-  OE in FY99-   OE in FY00
------------------------------------------------------------------------
Drug Interdiction-...............        16.6-        17.2-         17.7
Search and Rescue-...............        12.7-        11.6-         11.6
Aids to Navigation/Ice Operations-       19.3-        19.8-         19.2
 ................................
Defense Readiness-...............         2.5-         2.1-          2.1
Marine Environmental Protection-.        11.0-        11.5-         11.5
Other Law Enforcement-...........         2.6-         2.5-          2.4
Marine Transportation Safety-....        14.2-        13.6-         13.7
Fisheries Law Enforcement-.......        16.8-        16.3-         16.3
Migrant Interdiction -...........         4.3-         5.4-          5.5
------------------------------------------------------------------------

    The Coast Guard's Operating Expense account request 
includes an additional $99.4 million for enhanced Coast Guard 
personnel entitlements. These additional personnel costs 
include the fiscal year 2000 pay raise of 4.4 percent, Coast 
Guard inclusion in new Department of Defense entitlements, 
escalating health care costs, and the annualization of past pay 
raises. The President has requested $38 million to operate new 
Coast Guard facilities during fiscal year 2000 which includes 
$15 million to operate seven newly-constructed coastal buoy 
tenders and $539,000 for additional personnel to operate the 
newly established Vessel Traffic Service in New Orleans. The 
budget also includes $600,000 to conduct major maintenance to 
ensure continued operation of the Coast Guard ice breaker 
Mackinaw until its retirement. -
    The President's request also calls for operating expense 
reductions of $50 million. These reductions include $16 million 
for the decommissioning of eight aging buoy tenders slated for 
replacement in fiscal year 2000 and millions of dollars in 
savings from capital investment in new technology and 
management efficiencies. The Coast Guard also plans to close 
two small Coast Guard air facilities, Air Facility Long Island, 
New York, and Air Facility Muskegon, Michigan. In addition, 
recent fuel price reductions will save the Coast Guard 
approximately $10 million in fiscal year 2000.

Drug interdiction

    The President's fiscal year 2000 budget request includes an 
increase of $46 million in the Coast Guard's operating expense 
budget to allow the Coast Guard to operate the Coast Guard drug 
interdiction assets which were acquired with funds provided in 
the fiscal year 1999 supplemental appropriations act. This 
includes funds to operate six additional coastal patrol boats 
in the Caribbean and other illicit drug maritime transit zone 
areas. The additional fiscal year 2000 drug funding would also 
allow the Coast Guard to operate three maritime patrol aircraft 
and eight deployable pursuit boats in the drug transit zones.
    Title VIII of the Omnibus Consolidated Appropriations Act, 
P.L. 105-277, contains the Western Hemisphere Drug Elimination 
Act. This legislation authorizes billions of dollars in funding 
during fiscal years 1999, 2000, and 2001 for the U.S. Customs 
Service, the U.S. Coast Guard, the Department of Defense, the 
Department of State, the U.S. Agency for International 
Development, the Department of Agriculture, and the Drug 
Enforcement Administration to enhance their current drug 
interdiction programs as well as establish new interdiction and 
source country programs.
    In order to fully implement the Western Hemisphere Drug 
Elimination Act, this bill authorizes an additional $142 
million in operating expenses for fiscal year 2000 and $148 
million in operating expenses for fiscal year 2001. These 
increased funds will allow the Coast Guard to operate 15 
additional Coastal Patrol Boats (for a total of 65 coastal 
patrol boats), a regional law enforcement training center in 
San Juan, Puerto Rico, several maritime patrol aircraft, two 
medium to high endurance cutters, six medium endurance cutters, 
and seven PC-170 vessels which the Coast Guard is expected to 
receive from the U.S. Navy.
    The Committee is concerned that the level of Coast Guard 
drug interdiction has fallen well below what is necessary to 
effectively fight the War on Drugs. The Committee believes that 
the $46 million increase in drug interdiction resources 
requested by the President is not adequate to respond to the 
alarming level of teenage drug use in this country.
    The Committee is convinced by recent evidence that 
effective drug interdiction raises the street price of drugs, 
driving drug use down. Federal programs that get at the problem 
before the drugs arrive in this country by sea and air routes 
only account for about twelve percent of the President's 
Federal drug spending budget of about $15 billion. Working with 
foreign nations, these expenditures result in the seizure of 
about a third of the world's illicit drug production. Some 
experts doubt that relationship exists between drug seizures 
and price on the street, a correlation expected from the law of 
supply and demand. To examine this issue, the President 
commissioned a study about the effectiveness of cocaine 
interdiction from the Institute for Defense Analysis. The 
study,released last year, found a clear, strong link between 
supply disruptions and rising street prices for cocaine in the United 
States. When street prices rise, use falls, especially among casual 
users. The Committee believes that the results of this study are 
especially significant as we focus on ways to eliminate teenage drug 
use. The Committee has concluded that the level of drug interdiction 
provided in this bill will ensure that sufficient Federal resources are 
devoted to this critical mission to fight and win the War on Drugs.

Convention for Safe Containers

    The Committee is aware of ongoing negotiations between the 
U.S. Coast Guard and U.S. onion exporters regarding compliance 
with the Convention for Safe Containers. The Committee 
encourages the Coast Guard to make every effort to arrive at a 
safe but economical solution to this matter. Above all, the 
Committee is concerned that compliance with the Convention for 
Safe Containers not result in reducing onion exports from the 
United States.

Coast Guard ground vehicles in South Texas

    The Coast Guard needs dependable and efficient ground 
vehicles to conduct drug interdiction beach patrols in South 
Texas. The Committee is aware of concerns about the current age 
and condition of the Blazers the Coast Guard is using to 
conduct these operations and believes that the Coast Guard 
should assign more modern and mission capable vehicles to this 
duty.

Air Station Cape Cod

    Air Station Cape Cod is located on the Massachusetts 
Military Reservation (MMR), where the Commonwealth of 
Massachusetts is developing a long term master plan to guide 
future improvements at the base, including the development and 
protection of long-term water supplies for Air Station Cape 
Cod, other base tenants, and local communities.
    The Coast Guard is directed to revise its own master plan 
for Air Station Cape Cod, to assess the feasibility of locating 
or consolidating other operations from within the First 
District at Air Station Cape Cod or within the MMR, and to 
reassess long term property and management requirements to best 
serve the interest of the Coast Guard at Air Station Cape Cod.

Marine electrical cable

    It has been brought to the Committee's attention that the 
Coast Guard has accepted standards for marine electrical cable 
different from the standards contained in the Code of Federal 
Regulations and that this was done without giving the affected 
U.S. manufacturers the opportunity for notice and comment 
through the regulatory process. The Committee believes that the 
Coast Guard should undertake a formal rulemaking process before 
deciding whether IEC 92-350/353, IEEE Std. 45 [1998 edition], 
and UL 1309 are approved for use.

Acquisition, construction, and improvements

    Section 101(2) of this bill authorizes $691 million in 
fiscal year 2000 for the Coast Guard's acquisition, 
construction, and improvement (AC&I;) account. This amount 
includes the President's AC&I; request with an additional $238 
million for drug interdiction assets, $3 million for the design 
study for the Mackinaw icebreaker replacement project, and $100 
million to speed up the Coast Guard's new National Distress 
System Modernization Project. Specifically, this subsection 
also requires the Coast Guard to spend not less than $280 
million of the AC&I; authorization for expenses related to drug 
interdiction, that $100 million shall be available for 
modernization of the national distress response system, and 
that $3 million shall be available for completion of the design 
of a replacement vessel for the Coast Guard icebreaker 
Mackinaw.
    Section 101(2) also authorizes $792 million for the Coast 
Guard's AC&I; account for fiscal year 2001. This amount includes 
the President's AC&I; funding baseline with an additional $189 
million for drug interdiction assets, $128 million to construct 
the Mackinaw Great Lakes icebreaker replacement, and $110 
million to speed up the procurement of the Coast Guard's new 
National Distress System Modernization Project. Specifically, 
this subsection also requires that not less than $233 million 
shall be available for AC&I; expenses related to drug 
interdiction, that $110 million shall be available for 
modernization of the national distress response system, and 
that $128 million shall be available for construction or 
acquisition of a replacement vessel for the Coast Guard 
icebreaker Mackinaw.
    The Coast Guard icebreaker Mackinaw was launched on March 
4, 1944, to meet the needs of the United States to keep our 
steel industry supplied with sufficient iron ore, limestone, 
and coal. Today, the Mackinaw continues to provide for our 
nation's economic and national security by allowing cargo ships 
to sail later into the winter and begin their spring movements 
earlier. U.S.-flag lake carriers move nearly 58 million tons of 
iron ore, 23 million tons of stone, such as limestone, and 20 
million tons of coal each season. In addition millions of tons 
of these commodities and agricultural produce are exported 
through the Great Lakes and the St. Lawrence Seaway.
    H.R. 820 authorizes $3 million dollars for fiscal year 2000 
to fund a design competition for the replacement vessel for the 
Mackinaw. The Coast Guard estimates that there will be $2.5 to 
$3 million left over from the $5.3 million appropriated for 
fiscal year 1999 to complete the conceptual design for the 
replacement vessel. Therefore, $5.5 to 6 million will be 
available for the design competition. H.R. 820 also authorizes 
$128 million in fiscal year 2001 to fund the construction of 
multi-missioned icebreaker to replace the Mackinaw. This vessel 
will be able to tend buoys during the Spring, Summer and Fall 
seasons and provide icebreaking services during the winter. The 
Committee believes that supporting the Great Lakes icebreaking 
mission of the Coast Guard is as important as supporting the 
Deepwater replacement project, whichprovides for the Coast 
Guard's capital replacement for vessels and aircraft operating more 
than 50 miles at sea from the Atlantic, Gulf, and West Coasts of the 
United States. H.R. 820 strikes the proper balance between the needs of 
the Great Lakes and our coastal waters.
    The Administration has requested an appropriation of $350.3 
million, a $275 million (44 percent) decrease relative to the 
amount appropriated in fiscal year 1999, to build and improve 
the Coast Guard's vessel, aircraft and boat fleets, shore 
facilities, and information management resources. The 
Administration assumes that the Coast Guard's Acquisition, 
Construction and Improvements account would include $41 million 
in an unspecified navigation user fee. If authorized by 
Congress, these new navigation user fees would reduce the 
appropriation to the AC&I; account by the amount collected. If 
no user fee is authorized, the full $350 million for the AC&I; 
account is proposed to be appropriated from the General Fund. 
Details of this controversial proposal have not been released. 
A broad coalition of ship operators, maritime labor 
representatives, and shippers is strongly opposed to a 
navigation user charge. The Committee does not support the 
proposed navigation user charge.
    Authority exists for the head of a Federal agency to 
establish charges for services or things of value provided by 
the agency under the User Charge Statute, section 9701 of title 
31, United States Code. That authority allows charges to be 
established administratively in narrow, specific circumstances, 
and only when involving specific charges for specific services 
to specific individuals or companies. Many believe that an 
attempt to administratively collect fees from vessel operators 
for general aids to navigation in U.S. ports and waterways 
would exceed the authority of agency heads to establish charges 
under the User Charge Statute. Supreme Court decisions on the 
User Charge Statute have held that charges that are simply 
``revenue raisers'' are actually taxes, and must be based on 
specific statutory authority. The Coast Guard currently 
collects legitimate user fees for the specific services it 
provides to specific individuals, including ship inspections, 
licensing of and issuance of documents to merchant mariners and 
documentation of vessels.
    Section 207 of the Coast Guard Authorization Act of 1998 
prohibits the Secretary of Transportation from establishing any 
fee of this type before September 30, 2001.
    The fiscal year 2000 request includes $166 million for two 
seagoing buoy tenders, twenty additional motor life boats and 
other vessel projects; $22 million for upgraded sensors and 
avionics on Coast Guard helicopters and fixed wing aircraft; 
$54 million for enhancement to Coast Guard information systems, 
National Distress System, and commercial satellite 
communication system; and $56 million for renovations and 
improvements to Coast Guard facilities. Funding of $44 million 
is also included in the Coast Guard's AC&I; budget for the 
deepwater capability replacement analysis, in support of 
recapitalization of the Coast Guard's large cutters and 
aircraft assets to begin in 2002.
    The Committee increased the President's AC&I; request for 
fiscal year 2000 in three specific areas. The first would allow 
the Coast Guard to construct 15 coastal patrol boats for $81 
million, establish a regional law enforcement training center 
in San Juan, Puerto Rico, for $4 million, obtain maritime 
patrol aircraft for $17 million, obtain two medium or high 
endurance cutters for $36 million, and begin construction of 
six medium endurance cutters for $100 million. These assets 
would allow the Coast Guard to execute its role under the 
Western Hemisphere Drug Elimination Act, Public Law 105-277, 
which was enacted last year by Congress.
    The second increase for AC&I; provides the Coast Guard with 
an additional $3 million to perform a design study for the 
Mackinaw ice breaker replacement project.
    The third increase provides an additional $100 million to 
speed up the Coast Guard's modernization of our National 
Distress System, compressing the Administration's five year 
modernization project into two years. The Committee believes 
that finishing this project three years early is critical to 
improving the ability of mariners in distress to notify the 
Coast Guard when they are in trouble. The National Distress 
System, the coastal maritime distress communications system, is 
in dire need of modernization. Much of the equipment is 
obsolete. Communications technology is readily available that 
would give the Coast Guard the capability to save additional 
lives. Full funding of this important project will help the 
Coast Guard enhance its search and rescue readiness, keeping 
America's commercial and recreational mariners safe, and 
increasing the Coast Guard's ability to save lives, such as 
those that were tragically lost aboard the sailing vessel 
Morning Dew off the coast of South Carolina and the fishing 
vessel Adriatic off the New Jersey coast.
    The Committee also authorizes $792 million for the Coast 
Guard's fiscal year 2001 AC&I; account. This includes $189 
million to complete the purchase of six medium endurance 
cutters begun in fiscal year 2000, $128 million to construct 
the Mackinaw ice breaker replacement, and $110 million to 
complete the Coast Guard's National Distress System 
Modernization Project.

Research and development

    Section 101(3) authorizes $21.7 million for Coast Guard 
research and development for fiscal year 2000 and $23 million 
for fiscal year 2001. This is the level requested by the 
President for Coast Guard Research and Development for fiscal 
year 2000. The amount authorized for fiscal year 2001 includes 
improved fire safety measures for tank vessels, risk-based 
planning and management, ballast water management, law 
enforcement (nonlethal force and concealed spaces), mobile 
communications systems, and video training systems. These 
research and development funds support the development of 
techniques, methods, research, hardware, systems, and planning 
to improve the productivity of existing Coast Guard missions.

Retired pay

    Section 101(4) authorizes $730 million in fiscal year 2000 
and $785 in fiscal year 2001 for Coast Guard retired pay. These 
funds provide annuities and medical care forretired military 
personnel and former Lighthouse Service members, their dependents, and 
survivors.

Alteration of bridges

    The Bridge Alteration program provides the Federal 
government's share of the costs for altering or removing 
bridges determined to be obstructions to navigation. Currently, 
under the Truman-Hobbs Act of 1940, (33 U.S.C. 511 et seq.), 
the Coast Guard shares, with the bridge owner, the cost of 
altering railroad and publicly-owned highway bridges which 
obstruct the free movement of vessel traffic.
    The Administration recommends that funding for the 
alteration of obstructive highway and railroad bridges be 
provided from the Federal Aid Highways program. Under the 
proposal, the Secretary would make available $11 million in 
fiscal year 2000 for the alteration of railroad and highway 
bridges which have been determined to be unreasonable 
obstructions to navigation. The Coast Guard would continue to 
administer the program.
    Section 101(5) of H.R. 820 authorizes $11 million in fiscal 
year 2000 and $11 million in fiscal year 2001 for the Coast 
Guard's current bridge program. The fiscal year 2000 
authorization includes funds to continue the replacement of the 
Sidney Lanier Bridge in Brunswick, Georgia, the Florida Avenue 
Bridge in New Orleans, Louisiana, and the Chelsea Bridge in 
Boston.

Environmental compliance

    Section 101(6) authorizes $19.5 million for fiscal year 
2000 to mitigate environmental problems resulting from the 
operation of former and current Coast Guard facilities, and to 
ensure that Coast Guard facilities are in compliance with 
applicable environmental laws and regulations. This is the 
amount requested by the President. Section 101 further 
authorizes $21 million for environmental compliance and 
restoration in fiscal year 2000.

    section 102. authorized levels of military strength and training

    This section authorizes 40,000 Coast Guard active duty 
military personnel at the end of fiscal year 2000, and 44,000 
active duty military personnel at the end of fiscal year 2001. 
This is an increase (primarily for drug interdiction) over the 
level of 38,159 active duty military personnel requested by the 
President.

                        TITLE II--MISCELLANEOUS

                     section 201. vessel not a shot

    Section 201 authorizes the Secretary of Transportation to 
issue a certificate of documentation with appropriate 
endorsement for employment in the coastwise trade for the 
vessel Not a Shot. The vessel Not a Shot, U.S. official number 
911064, is a 32 foot vessel for which no information concerning 
the place of construction is available. The owner believes that 
the vessel was built in the U.S. in 1978. The vessel owner 
plans to employ the vessel in conducting commercial fishing 
tours.

          section 202. costs of cleanup of cape may lighthouse

    Section 202 of this bill authorizes the Coast Guard to 
spend $99,000 to reimburse the owners of the Cape May 
Lighthouse, formerly a Coast Guard facility, for the cleanup of 
lead contaminated soil at the lighthouse.

section 203. clarification of coast guard authority to control vessels 
               in territorial waters of the united states

    Section 203 amends the Port and Waterways Safety Act to 
require all vessels entering the 12 mile territorial sea of the 
United States to provide notice to the Coast Guard 24 hours 
before entering those waters. Current Coast Guard regulations 
require these vessels to provide 24 hours notice before 
entering a port or place in the United States. This section 
also clarifies that the Coast Guard has the authority to direct 
the safe operations of all vessels in the 12 mile territorial 
sea and other navigable waters of the United States during 
hazardous circumstances such as when a pilot is not on board 
the vessel.
    After the recent accident involving the New Carissa 
grounding in Oregon, the Committee agrees that the Coast Guard 
should be given earlier notice of vessels arriving in our 
territorial waters and that the Coast Guard should take an 
active role in directing vessel movements during hazardous 
times on a vessel. This may include making recommendations to 
the ship's master on customarily safe procedures for a given 
area, such as continuing to be underway until a pilot can 
safely board the ship, or on steps that should not be taken 
such as anchoring in unsafe or environmentally sensitive areas. 
The Coast Guard should assume that a ship entering the U.S. 
territorial sea without a pilot on board who is familiar with 
local waters is in need of supervision to ensure it's safe 
passage rather than waiting for the ship to call in to request 
additional information on customary practices in these waters.

  section 204. coast guard air search and rescue facilities for lake 
                                michigan

    Section 204 of this bill requires the Coast Guard to 
maintain search and rescue air facilities at Muskegon, 
Michigan, until September 30, 2001, and also in the area of 
Chicago, Illinois, until September 30, 2001. This amendment 
authorizes additional funds to establish and operate the air 
facilities and requires the Coast Guard to study search and 
rescue capabilities for Southern Lake Michigan. Finally, the 
amendment requires the Secretary of Transportation, within six 
months of the bill's enactment, to prepare andbegin 
implementing a comprehensive plan for aircraft and vessel search and 
rescue response for Lake Michigan in the vicinity of Chicago, Illinois.

            Committee Oversight Findings and Recommendations

    With respect to the requirements of clause 3(c)(1) of rule 
XIII of the Rules of the House of Representatives, the 
Committee on Transportation and Infrastructure's oversight 
findings and recommendations are reflected in the body of this 
report.

                        Cost of the Legislation

    Clause 3(d)(2) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison by the 
Committee of the costs which would be incurred by enactment of 
H.R. 820. However, clause 3(d)(2) of that Rule provides that 
this requirement does not apply when the Committee has included 
in its report a timely submitted cost estimate of the bill 
prepared by the Director of the Congressional Budget Office 
under section 403 of the Congressional Budget Act of 1974.

                   Constitutional Authority Statement

    Article 1, section 8 of the Constitution of the United 
States grants Congress the authority to enact this bill.

                    Compliance With House Rule XIII

    1. Congressional Budget Act. With respect to the 
requirements of clause 3(c)(2) of rule XIII of the Rules of the 
House of Representatives and section 308(a) of the 
Congressional Budget Act of 1974, H.R. 820 does not contain any 
new budget authority, spending authority, credit authority, or 
an increase or decrease in revenues or tax expenditures.
    2. Government Reform Oversight Findings. With respect to 
the requirement of clause 3(c)(4) of rule XIII of the Rules of 
the House of Representatives, the Committee has received no 
report of oversight findings and recommendations from the 
Committee on Government Reform and Oversight on the subject of 
H.R. 820.
    3. Congressional Budget Office Cost Estimate. With respect 
to the requirement of clause 3(c)(3) of rule XIII of the Rules 
of the House of Representatives and section 402 of the 
Congressional Budget Act of 1974, the Committee has received 
the following cost estimate for H.R. 820 from the Director of 
the Congressional Budget Office.

               Congressional Budget Office Cost Estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                    Washington, DC, March 11, 1999.
Hon. Bud Shuster,
Chairman, Committee on Transportation and Infrastructure, House of 
        Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 820, the Coast 
Guard Authorization Act of 1999.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Deborah Reis.
            Sincerely,
                                          Dan L. Crippen, Director.
    Enclosure.

H.R. 820--Coast Guard Authorization Act of 1999

    Summary: H.R. 820 would authorize appropriations totaling 
$7.9 billion for discretionary programs of the U.S. Coast Guard 
(USCG) for fiscal years 2000 and 2001. For 2000, the bill would 
authorize about $3.8 billion, including about $3.1 billion for 
operating expenses, $691 million for acquisition and other 
capital projects, $22 million for research activities, $11 
million for bridge alterations, and $19.5 million for 
environmental compliance. For 2001, the bill would authorize 
$4.1 billion, including $3.2 billion for operations, $792 
million for capital projects, $23 million for research, $11 
million for bridge alterations and $21 million for 
environmental compliance. Of the amounts authorized for each 
year, $48.5 million would be derived from the Oil Spill 
Liability Trust Fund (OSLTF). H.R. 820 also would authorize the 
appropriation of $730 million and $785 million for retirement 
benefits in 2000 and 2001, respectively.
    H.R. 820 contains no integovermental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would have no impact on the budgets of state, local, or 
tribal governments.
    Estimated cost to the Federal Government: Assuming 
appropriation of the entire amounts authorized for 
discretionary programs, fiscal year 2000 funding would be $305 
million (or 9 percent) more than the 1999 appropriation. 
Funding for 2001 would grow by an additional 6 percent. The 
estimated budgetary effects of the legislation are summarized 
in the following table. The costs of this legislation fall 
within budget functions 300 (natural resources and environment) 
and 400 (transportation).

----------------------------------------------------------------------------------------------------------------
                                                            By fiscal years, in millions of dollars--
                                               -----------------------------------------------------------------
                                                   1999       2000       2001       2002       2003       2004
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

USCG Spending Under Current Law:
    Budget Authority/Authorization Level\1\...      3,540         29         29          0          0          0
    Estimated Outlays.........................      3,276        911        376        180         57         20
Proposed Changes:
    Authorization Level.......................          0      3,816      4,047          0          0          0
    Estimated Outlays.........................          0      2,609      3,405      1,003        449        205
USCG Spending Under H.R. 820:
    Authorization Level\1\....................      3,540      3,845      4,076          0          0          0
    Estimated Outlays.........................      3,276      3,520      3,781      1,183        506        225
----------------------------------------------------------------------------------------------------------------
\1\ The 1999 level is the amount appropriated for that year.

    Amounts provided in the bill for Coast Guard retirement 
have not been included in the above table because such pay is 
an entitlement under current law, requiring no annual 
authorization of appropriations.
    Basis of estimate: For purposes of this estimate, CBO 
assumes that H.R. 820 will be enacted fiscal year 1999, and 
that the full amounts authorized for USCG programs will be 
appropriated for each fiscal year.
    The additional authorizations for 2000 and 2001 are the 
amounts stated in the bill for discretionary accounts, 
excluding $28.5 million of the $48.5 million to be derived from 
the OSLTF. (These amounts, which consist of $25 million for 
Coast Guard operations and $3.5 million for research, have been 
excluded because such funding is already authorized under 
existing law.) Outlays are estimated on the basis of historical 
spending patterns for Coast Guard programs.
    Other provisions of H.R. 820 are not expected to have any 
significant impact on the federal budget.
    Pay-as-you-go considerations: None.
    Intergovernmental and private-sector impact: H.R. 820 
contains no intergovernmental private-sector mandates as 
defined in UMRA and would have no impact on the budgets of 
state, local, or tribal governments.
    Estimate prepared by: Deborah Reis.
    Estimate approved by: Robert A. Sunshine, Deputy Assistant 
Director for Budget Analysis.

                    Compliance With Public Law 104-4

    H.R. 820 contains no unfunded mandates.

                Applicability to the Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act (Public Law 
104-1).

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (new matter is 
printed in italic and existing law in which no change is 
proposed is shown in roman):

            SECTION 15 OF THE PORTS AND WATERWAYS SAFETY ACT

SEC. 15. ENTRY OF VESSELS INTO TERRITORIAL SEA; DIRECTION OF VESSELS BY 
                    COAST GUARD.

  (a) Notification of Coast Guard.--Under regulations 
prescribed by the Secretary, a commercial vessel entering the 
territorial sea of the United States shall notify the Secretary 
not later than 24 hours before that entry and provide the 
following information:
          (1) The name of the vessel.
          (2) The port or place of destination in the United 
        States.
          (3) The time of entry into the territorial sea.
          (4) Any information requested by the Secretary to 
        demonstrate compliance with applicable international 
        agreements to which the United States is a party.
          (5) If the vessel is carrying dangerous cargo, a 
        description of that cargo.
          (6) A description of any hazardous conditions on the 
        vessel.
          (7) Any other information requested by the Secretary.
  (b) Denial of Entry.--The Secretary may deny entry of a 
vessel into the territorial sea of the United States if--
          (1) the Secretary has not received notification for 
        the vessel in accordance with subsection (a); or
          (2) the vessel is not in compliance with any other 
        applicable law relating to marine safety, security, or 
        environmental protection.
  (c) Direction of Vessel.--The Secretary may direct the 
operation of any vessel in the navigable waters of the United 
States as necessary during hazardous circumstances, including 
the absence of a pilot required by State or Federal law, 
weather, casualty, vessel traffic, or the poor condition of the 
vessel.