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                                                  Calendar No. 505

115th Congress}                                            { Report
                                 SENATE
  2d Session  }                                            { 115-292

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

    MARITIME AUTHORIZATION AND ENHANCEMENT ACT FOR FISCAL YEAR 2019

                               __________

                              R E P O R T

                                 of the

           COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION

                                   on

                                S. 2717

[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]


                  July 9, 2018.--Ordered to be printed
       
       
                                __________
                                                 
       
                    U.S. GOVERNMENT PUBLISHING OFFICE                    
                              WASHINGTON : 2018    
       
       
            
       
       
       SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
                     one hundred fifteenth congress
                             second session

                   JOHN THUNE, South Dakota, Chairman
ROGER F. WICKER, Mississippi         BILL NELSON, Florida
ROY BLUNT, Missouri                  MARIA CANTWELL, Washington
TED CRUZ, Texas                      AMY KLOBUCHAR, Minnesota
DEB FISCHER, Nebraska                RICHARD BLUMENTHAL, Connecticut
JERRY MORAN, Kansas                  BRIAN SCHATZ, Hawaii
DAN SULLIVAN, Alaska                 EDWARD J. MARKEY, Massachusetts
DEAN HELLER, Nevada                  TOM UDALL, New Mexico
JAMES M. INHOFE, Oklahoma            GARY C. PETERS, Michigan
MIKE LEE, Utah                       TAMMY BALDWIN, Wisconsin
RON JOHNSON, Wisconsin               TAMMY DUCKWORTH, Illinois
SHELLEY MOORE CAPITO, West Virginia  MARGARETWOODHASSAN,NewHampshire
CORY GARDNER, Colorado               CATHERINE CORTEZ MASTO, Nevada
TODD C. YOUNG, Indiana               JON TESTER, Montana
                       Nick Rossi, Staff Director
                 Adrian Arnakis, Deputy Staff Director
                    Jason Van Beek, General Counsel
                 Kim Lipsky, Democratic Staff Director
           Christopher Day, Democratic Deputy Staff Director





                                                  Calendar No. 505

115th Congress}                                            { Report
                                 SENATE
  2d Session  }                                            { 115-292

======================================================================
 
    MARITIME AUTHORIZATION AND ENHANCEMENT ACT FOR FISCAL YEAR 2019

                                _______
                                

                  July 9, 2018.--Ordered to be printed

                                _______
                                

Mr. Thune, from the Committee on Commerce, Science, and Transportation, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 2717]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Commerce, Science, and Transportation, to 
which was referred the bill (S. 2717) to reauthorize provisions 
relating to the Maritime Administration, having considered the 
same, reports favorably thereon with an amendment (in the 
nature of a substitute) and recommends that the bill (as 
amended) do pass.

                          Purpose of the Bill

    The purpose of this legislation is to do the following: 
support national defense and the United States Merchant Marine 
by authorizing the Maritime Administration (MARAD) for fiscal 
year (FY) 2019, including the National Security Multi-Mission 
Vessel Program; implement Department of Transportation (DOT) 
Office of Inspector General (OIG) recommendations to improve 
protections and incident reporting related to sexual assault 
and harassment; improve merchant mariner training for cadets by 
providing additional opportunities for on-the-job experience 
via the Sea Year program and by supporting State Maritime 
Academy training vessels; and create new opportunities for 
domestic ship recycling by streamlining the import process.

                          Background and Needs

    MARAD was established in 1950 to foster, promote, and 
develop the merchant marine industry of the United States. 
MARAD, an operating administration within the DOT, is tasked 
with the following: administering the Maritime Security Program 
(MSP) to support 60 U.S.-flag vessels in the movement of cargo 
on international waters, thereby supporting military sealift 
capacity in times of war or national emergency; managing the 
Ready Reserve Force, funded by the Department of Defense; 
managing disposal of the National Defense Reserve Fleet (NDRF) 
when ships are no longer deemed useful for defense or missions; 
promoting U.S.-flag vessels by monitoring cargo preference 
requirements; overseeing the U.S. Merchant Marine Academy 
(USMMA) to educate future U.S. mariners; administering loan and 
grant programs, including the Maritime Loan Guarantee Program 
(Title XI Program) and Assistance to Small Shipyards Program; 
promoting port infrastructure development and congestion 
mitigation in the transportation system through education and 
coordination; informing the Department of Homeland Security on 
the availability of coastwise-qualified vessels supporting 
State maritime academies; and other functions.

 THE UNITED STATES MERCHANT MARINE ACADEMY (USMMA) AND STATE MARITIME 
                               ACADEMIES

    Overseen by MARAD, the USMMA is a Federal service academy 
that has been training merchant mariners for more than 70 
years, offering baccalaureate degrees specializing in 
engineering and maritime transportation. In exchange for a 
tuition waiver and room and board, a graduate incurs certain 
service obligations. On June 23, 2016, the Middle States 
Commission on Higher Education (MSCHE) placed the USMMA's 
accreditation under warning status due to the USMMA's failure 
to meet several of the MSCHE's accreditation standards.\1\ One 
standard was related to sexual misconduct response provisions, 
and the remaining issues were related to independence in 
governance, budgeting, and administrative functions.
---------------------------------------------------------------------------
    \1\The Middle States Commission on Higher Education (MSCHE), 
``Statement of Accreditation Status.'' (http://www.msche.org/Documents/
SAS/494/Statement%20of%20Accreditation%20
Status.htm).
---------------------------------------------------------------------------

            SEXUAL ASSAULT AND SEXUAL HARASSMENT PREVENTION

    The Committee included provisions in the National Defense 
Authorization Act (NDAA) for FY 2009 that require the Secretary 
of Transportation (Secretary) and the USMMA to implement 
policies that would address sexual assault and harassment at 
the USMMA.\2\ An October 2014 DOT Inspector General (IG) report 
noted deficiencies in the USMMA's effort.\3\ All nine of the 
report's recommendations have been resolved and closed, but 
student surveys, focus group results, and accreditation board 
findings have caused increased focus on these sexual assault 
and harassment issues at the USMMA.
---------------------------------------------------------------------------
    \2\P.L. 110-417.
    \3\U.S. Department of Transportation, ``Better Program Management 
and Oversight are Required for USMMA's Efforts to Address Sexual 
Assault and Harassment,'' 2014. 
(https://www.oig.dot.gov/sites/default/files/
USMMA%20Sexual%20Assualt%20and%20Sexual
%20Harassment%20Audit%20Report%5E10-23-14.pdf).
---------------------------------------------------------------------------
    In response, the Committee included provisions in the NDAA 
for FY 2018\4\ requiring MARAD to ensure each student 
participating in the Sea Year program is provided or has access 
to a functional satellite communication device. The law 
prohibits the denial of the use of such device whenever the 
student determines that use is necessary to prevent or report 
sexual harassment or assault. The NDAA for FY 2018 also 
requires actions at the USMMA to address sexual harassment, 
dating violence, domestic violence, sexual assault, and 
stalking. These actions include minimum training requirements 
for staff, minimum procedures for handling reports, minimum 
requirements to combat retaliation, minimum training 
requirements for cadets, requirements for sexual assault 
response coordinators, access to an emergency helpline, 
requirements for protection of USMMA cadets onboard commercial 
vessels, and training requirements for sexual assault 
investigators.
---------------------------------------------------------------------------
    \4\P.L. 115-91.
---------------------------------------------------------------------------
    In March 2018, the DOT IG reported on the effectiveness of 
the USMMA's Sexual Assault Prevention and Response program.\5\ 
They found that MARAD and the USMMA have made progress 
implementing recommendations from past studies and action 
plans, but have missed target dates and lack a risk-based 
approach to prioritization. The USMMA reported completion of 62 
of 138 recommendations derived from past studies and action 
plans, including those necessary to maintain its accreditation. 
The report found that the USMMA's lack of full compliance with 
its procedures, particularly for sexual harassment, limits its 
ability to respond to incidents and report to Congress. For 
example, the USMMA lacks documentation related to reports of 
sexual harassment, which impacts its ability to provide 
survivor services and accurately assess its progress in 
addressing sexual harassment. The DOT IG made recommendations 
to improve the program's effectiveness.
---------------------------------------------------------------------------
    \5\U.S. Department of Transportation, ``Gaps in USMMA's Sexual 
Assault Prevention and Response Program Limit Its Effectiveness,'' 
2018. (https://www.oig.dot.gov/sites/default/files/
USMMA%20SAPR%20Final%20Report.pdf).
---------------------------------------------------------------------------
    The National Security Multi-Mission Vessel (NSMV) Program, 
also known as the School Ship Replacement Program, is charged 
with replacing training ships for the USMMA and the six State 
Maritime Academies (SMAs). In accordance with section 51504 of 
title 46, United States Code, six National Defense Reserve 
Fleet training ships are on loan from MARAD to each of the six 
SMAs under a custodial agreement. While the MARAD FY 2018 and 
FY 2019 budget requests did not include funds for replacement 
of the training ships, the White House issued an Addendum to 
the FY 2019 Budget requesting $300 million for the retrofitting 
of two used cargo vessels in order to replace two of the 
existing, aging SMA vessels.\6\ The Consolidated Appropriations 
Act, 2018 included $300 million for the NSMV Program to 
construct and design a new SMA training vessel.\7\
---------------------------------------------------------------------------
    \6\Addendum to the FY 2019 Budget Request, February 12, 2018. 
(https://www.whitehouse.gov/wp-content/uploads/2018/02/Addendum-to-the-
FY-2019-Budget.pdf).
    \7\P.L. 115-141.
---------------------------------------------------------------------------

               MANAGEMENT OF THE MARITIME ADMINISTRATION

    In 2017, MARAD contracted with the National Academy of 
Public Administration (NAPA) to undertake an independent review 
of the agency's core functions, its role within the DOT, and 
its benefit to the Nation. The report on the independent review 
found that MARAD has broad statutory missions directed toward 
maritime industry support, mariner training, and national 
security.\8\ The report also found that programs are generally 
directed toward ensuring that the country has a sufficient 
number of U.S.-flag vessels and U.S.-citizen qualified 
mariners. The report offered 27 recommendations, all of which 
MARAD committed to giving full consideration.\9\
---------------------------------------------------------------------------
    \8\National Academy of Public Administration. 2017. Maritime 
Administration: Defining Its Mission, Aligning Its Programs, and 
Meeting Its Objectives. (https://www.napawash.org/uploads/
Academy_Studies/11.27.17_MARAD_FINAL_Report.pdf).
    \9\Maritime Administration. Statement from Maritime Administration
on the National Academy of Public Administration Report.
(https://www.marad.dot.gov/newsroom/news_release/2017/statement-from-
maritime-
administration-on-the-national-academy-of-public-administration-
pendingdraftworkflow/).
---------------------------------------------------------------------------
    The Maritime Workforce Working Group (MWWG) is required by 
section 3517 of the NDAA for FY 2017.\10\ The purpose of the 
group is to produce a report assessing the number of citizen 
mariners available to crew the surge sealift fleet in times of 
national emergency, and to determine whether the Coast Guard's 
Merchant Mariner Licensing and Documentation System is valuable 
to MARAD for assessing the number of qualified mariners. The 
report, released in September 2017, found there were sufficient 
mariners to crew the Ready Reserve Force for a short-term 
surge. For a long-term surge, the report found approximately 20 
percent more mariners would be needed to sustain the surge 
fleet and concurrently operate the commercial fleet.\11\
---------------------------------------------------------------------------
    \10\P.L. 113-328.
    \11\Maritime Administration. Maritime Workforce Working Group 
Report. 2017. (https://www.marad.dot.gov/wp-content/uploads/pdf/MWWG-
Report-to-Congress-FINALR3.pdf).
---------------------------------------------------------------------------
    For years in which required by the NDAA for FY 2017, MARAD 
may submit to the Committee a combined document including both 
the Biennial Assessment of the Ship Disposal Program and the 
annual Vessel Operating Revolving Fund (VORF) Transactions 
Report. The Committee also encourages MARAD to consider 
consolidating additional public ship disposal reports not 
mandated by Congress, such as the Office of Ship Disposal 
Programs Annual Report, into this combined yearly report and to 
make this document publicly available on MARAD's website.

                         Summary of Provisions

    If enacted, S. 2717, the Maritime Authorization and 
Enhancement Act for Fiscal Year 2019, would do the following:
   Support national defense and the United States 
Merchant Marine by reauthorizing MARAD, including the National 
Security Multi-Mission Vessel Program.
   Address DOT OIG recommendations to improve 
protections and incident reporting related to sexual assault 
and harassment.
   Improve merchant mariner training for cadets by 
providing additional opportunities for on-the-job experience 
via the Sea Year program and by supporting State Maritime 
Academy training vessels.
   Create new opportunities for domestic ship recycling 
by streamlining the import process.

                          Legislative History

    MARAD is traditionally reauthorized annually as part of the 
defense authorization bill. MARAD was last authorized on 
December 12, 2017, as part of the NDAA for FY 2018; the agency 
was reauthorized for FY 2018.
    On April 24, 2018, the Committee's Subcommittee on Surface 
Transportation and Merchant Marine Infrastructure, Safety, and 
Security held a maritime transportation oversight hearing 
entitled, ``Maritime Transportation: Opportunities and 
Challenges,'' that, among other topics, examined opportunities 
and challenges for MARAD and the USMMA. Mark H. Buzby, Maritime 
Administrator and Rear Admiral James Helis, Superintendent of 
the USMMA, testified on the challenges facing the U.S. maritime 
sector and opportunities to ensure its long-term viability and 
the implementation of the requirements of the NDAA for FY 2017 
for the improvement of sexual assault and harassment prevention 
and response at the USMMA.
    On April 25, 2018, the Committee met in open Executive 
Session and, by a voice vote, ordered S. 2717 to be reported 
favorably with an amendment (in the nature of a substitute). 
Senator Fischer offered an amendment (in nature of a 
substitute) that was adopted. An additional amendment from 
Senator Baldwin was also adopted; the amendment would add 
certain Buy America provisions to the assistance for shipyards 
grant program.

                            Estimated Costs

    In accordance with paragraph 11(a) of rule XXVI of the 
Standing Rules of the Senate and section 403 of the 
Congressional Budget Act of 1974, the Committee provides the 
following cost estimate, prepared by the Congressional Budget 
Office:

S. 2717--Maritime Authorization and Enhancement Act for Fiscal Year 
        2019

    Summary: S. 2717 would reauthorize programs administered by 
the Maritime Administration (MARAD), which oversees the 
nation's merchant marine--the civilian mariners and fleet of 
U.S. vessels engaged primarily in waterborne commerce. CBO 
estimates that implementing S. 2717 would cost $500 million 
over the 2019-2023 period, assuming appropriation of the 
authorized amounts.
    S. 2717 also would permanently extend MARAD's authority to 
issue war risk insurance to certain vessels. Enacting that 
provision would affect direct spending; therefore pay-as-you-go 
procedures would apply, but CBO estimates that any such effects 
would be negligible in any year. Enacting the bill would not 
affect revenues.
    CBO estimates that enacting S. 2717 would not significantly 
increase net direct spending or on-budget deficits in any of 
the four consecutive 10-year periods beginning in 2029.
    S. 2717 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA).
    Estimated cost to the Federal Government: The estimated 
budgetary effect of S. 2717 is shown in the following table. 
The costs of the legislation fall primarily within budget 
function 400 (transportation).

----------------------------------------------------------------------------------------------------------------
                                                                By fiscal year, in millions of dollars--
                                                      ----------------------------------------------------------
                                                        2018    2019    2020    2021    2022    2023   2019-2023
----------------------------------------------------------------------------------------------------------------
                                 INCREASES IN SPENDING SUBJECT TO APPROPRIATION
 
Authorization Level..................................       0     500       0       0       0       0       500
Estimated Outlays....................................       0     219     126     114      41       0       500
----------------------------------------------------------------------------------------------------------------

    Basis of estimate: For this estimate, CBO assumes that S. 
2717 will be enacted near the start of fiscal year 2019.
    S. 2717 would authorize appropriations totaling $500 
million in 2019 for programs administered by MARAD, including:
           $300 million to plan, design, and construct 
        training vessels through the National Security Multi-
        Mission Vessel Program;
           $69 million for the U.S. Merchant Marine 
        Academy;
           $60 million for operations and program 
        support provided by MARAD's headquarters;
           $33 million to guarantee loans used to 
        construct or modernize U.S. vessels or shipyards;
           $32 million to provide financial and other 
        support to state maritime academies; and
           $6 million to dispose of vessels in the 
        National Defense Reserve Fleet.
    By comparison, funding provided to MARAD for those 
activities in 2018 totals $554 million. Assuming appropriation 
of the amounts authorized under S. 2717, CBO estimates that 
implementing the bill would cost $219 million in 2019 and $500 
million over the 2019-2023 period. That estimate is based on 
historical spending patterns for MARAD.
    This estimate does not include spending for the Maritime 
Security Program, through which MARAD maintains a core fleet of 
privately owned U.S. flag ships operating in international 
commerce that are also available to provide additional capacity 
to support the Department of Defense during war and national 
emergencies. S. 2717 would authorize $300 million for that 
program in 2019--the same amount that is already authorized for 
that year under current law. As a result, this estimate 
includes no additional spending related to that program, which 
would fall within budget function 050 (defense).
    Pay-As-You-Go considerations: S. 2717 would permanently 
extend MARAD's authority to issue war risk insurance to certain 
vessels. Under current law, MARAD is authorized, through 2020, 
to provide such insurance to owners of private vessels (in 
exchange for premiums) and to indemnify (at no cost) vessels 
operating on behalf of the U.S. government. Because any 
spending for claims related to such insurance would not be 
contingent on further legislation, enacting the proposed 
extension would increase direct spending. However, using 
information from MARAD, CBO estimates that, on average, 
expected costs for claims stemming from both the premium and 
nonpremium lines of insurance issued to vessels (including 
offsetting receipts from premiums charged to owners of private 
vessels) would be negligible in any year.
    Increase in long-term direct spending and deficits: CBO 
estimates that enacting S. 2717 would not increase net direct 
spending or on-budget deficits in any of the four consecutive 
10-year periods beginning in 2029.
    Mandates: S. 2717 contains no intergovernmental or private-
sector mandates as defined in UMRA.
    Previous CBO estimate: On May 18, 2018, CBO transmitted a 
cost estimate for H.R. 5515, the National Defense Authorization 
Act for Fiscal Year 2019, as reported by the House Committee on 
Armed Services on May 15, 2018. H.R. 5515 would authorize 
appropriations for MARAD that total $565 million--$65 million 
more than the amounts authorized under S. 2717; as a result, 
our estimate of MARAD-related spending under H.R. 5515 is 
higher. Both bills would permanently extend the agency's 
authority to issue war risk insurance for certain vessels; our 
estimates of the budgetary effects stemming from those 
provisions are the same.
    Estimate prepared by: Federal Costs: Megan Carroll; 
Mandates: Jon Sperl.
    Estimate reviewed by: Kim P. Cawley, Chief, Natural and 
Physical Resources Cost Estimates Unit; H. Samuel Papenfuss, 
Deputy Assistant Director for Budget Analysis.

                      Regulatory Impact Statement

    In accordance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee provides the 
following evaluation of the regulatory impact of the 
legislation, as reported:

                       NUMBER OF PERSONS COVERED

    This measure, as reported, would not create any new 
programs or impose any new significant regulatory requirements, 
and, therefore, would not subject any individuals or businesses 
to new significant regulations.
    This measure would set new Buy America requirements for the 
Assistance to Small Shipyards Program, though MARAD has 
included Buy America requirements in grant requirements prior 
to this statutory change. The program funds grants for an 
estimated 10 to 15 shipyards per year.
    This measure would affect students at the USMMA by making 
improvements to the policy on sexual harassment and sexual 
assault. This measure would authorize funding to begin 
recapitalization of the fleet of school ships that are used by 
the State Maritime Academies in Texas, Maine, Massachusetts, 
New York, and California. Students at these academies would be 
affected.
    This measure would allow streamlined import of marine 
vessels containing regulated levels of polychlorinated 
biphenyls for recycling in U.S. shipyards, and would affect 
both vessel importers and ship recyclers by allowing them 
increased opportunities for vessel recycling.

                            ECONOMIC IMPACT

    Enactment of this legislation is not expected to have any 
significant adverse impacts on the Nation's economy. It should 
have a positive impact by increasing the number of ships 
recycled in United States shipyards.

                                PRIVACY

    S. 2717 will not have any adverse impact on the privacy of 
individuals.

                               PAPERWORK

    S. 2717 would not impose substantial paperwork burden on 
individuals or businesses. Where the bill does require 
additional paperwork for vessel importers, this would be offset 
by the benefits of increased opportunity for the U.S. ship 
recycling industry. In addition, the bill would expand 
requirements on MARAD to ensure it maintains data to conduct 
annual assessments of the effectiveness of its policies, 
procedures, and training on sexual assault and harassment and 
to ensure data regarding sexual harassment are included in the 
USMMA's annual report on the subject. It would also require 
MARAD to submit a report to Congress describing its program in 
implementing and completing each of the recommendations made in 
the DOT OIG's report identifying gaps in the USMMA's Sexual 
Assault Prevention and Response Program. Finally, it would 
require MARAD to submit to Congress a report on the impediments 
to the application of the Uniform Code of Military Justice at 
the USMMA.

                   Congressionally Directed Spending

    In compliance with paragraph 4(b) of rule XLIV of the 
Standing Rules of the Senate, the Committee provides that no 
provisions contained in the bill, as reported, meet the 
definition of congressionally directed spending items under the 
rule.

                      Section-by-Section Analysis


Sec. 1. Short title; table of contents.

    This section would provide that the bill may be cited as 
the ``Maritime Authorization and Enhancement Act for Fiscal 
Year 2019'', and includes a table of contents.

Section 2. Authorization of the Maritime Administration.

    This section would authorize appropriations for FY 2019 to 
DOT for programs associated with maintaining the United States 
merchant marine, including the USMMA, the SMAs, the National 
Security Multi-Mission Vessel Program, MARAD operations and 
programs, the ship disposal program, and the maritime 
guaranteed loan program.

Section 3. Concurrent jurisdiction.

    This section would allow the Secretary of Transportation to 
relinquish, at the Secretary's discretion, certain jurisdiction 
over the USMMA to local law enforcement, as necessary, to 
enable concurrent jurisdiction with the State of New York. Such 
authority would allow local law enforcement to prosecute 
crimes, such as sexual assault, in lieu of Federal law 
enforcement.

Section 4. United States Merchant Marine Academy policy on sexual 
        harassment, dating violence, domestic violence, sexual assault, 
        and stalking.

    This section would require the USMMA policy on sexual 
harassment and sexual assault to include procedures for 
maintaining the data necessary to conduct annual assessments of 
the effectiveness of its policies, procedures, and training. It 
would also expand retaliation protections to include USMMA 
personnel. It would clarify that data regarding sexual 
harassment are required to be included in the USMMA's annual 
report on sexual assault and harassment. This section is based 
on recommendations from the DOT OIG's Report identifying gaps 
in the USMMA's Sexual Assault Prevention and Response Program.

Section 5. Report on implementation of recommendations for the United 
        States Merchant Marine Academy Sexual Assault Prevention and 
        Response Program.

    This section would require the Maritime Administrator to 
submit to Congress a report describing the progress of MARAD in 
implementing and completing each of the recommendations made in 
the DOT OIG's report identifying gaps in the USMMA's Sexual 
Assault Prevention and Response Program.

Section 6. Report on the application of the UCMJ to the United States 
        Merchant Marine Academy.

    This section would require the Maritime Administrator to 
submit to Congress a report on the impediments to the 
application of the Uniform Code of Military Justice at the 
USMMA.

Section 7. Electronic records on mariner availability to meet national 
        security needs.

    This section would require the Secretary of Homeland 
Security to coordinate with the Secretary of Transportation to 
ensure that, to the extent feasible, electronic records provide 
information on mariner availability to meet national security 
needs for credentialed mariners crewing strategic sealift 
vessels.

Section 8. Small shipyard grants.

    This section would require the Maritime Administrator to 
post a notice of funding opportunity regarding small shipyard 
grants not more than 15 days after the date of enactment of the 
relevant appropriations Act for the fiscal year.

Section 9. Domestic ship recycling facilities.

    This section would establish a streamlined process for 
obtaining consent from the Environmental Protection Agency to 
import vessels containing regulated levels of polychlorinated 
biphenyls into the United States for recycling.

Section 10. Sea Year on contracted vessels.

    This section would allow the Secretary of Transportation to 
meet USMMA cadet Sea Year training needs by requiring two USMMA 
cadets, if available, to be placed on each MSP and Military 
Sealift Command vessel. This section would allow the Secretary 
or the Commander of the Military Sealift Command to waive the 
requirements if such placement would create an undue burden on 
the vessel. These requirements would not affect the discretion 
of the Secretary to determine whether to place a USMMA cadet on 
a vessel; the Secretary would retain discretion to determine 
whether a cadet is available to be placed on an MSP or MSC 
vessel. These requirements also would not affect the authority 
of the Coast Guard regarding a vessel security plan approved 
under section 70103 of title 46, United States Code, or the 
discretion of the master of the vessel to ensure the safety of 
all crew members.

Section 11. GAO report on national maritime strategy.

    This section would require the Comptroller General to 
submit to Congress a report on national maritime strategy, 
including the following: key challenges, if any, to ensuring 
that the U.S. marine transportation system and merchant marine 
are sufficient to support U.S. economic and defense needs; the 
extent to which a national maritime strategy incorporates 
desirable characteristics of successful national strategies; 
and the extent to which Federal efforts to establish national 
maritime strategy are duplicative or fragmented.

Section 12. Department of Transportation Inspector General report on 
        Title XI Program.

    This section would require the DOT OIG to submit to 
Congress a report on the financial controls and protections 
included in the policies and procedures of the DOT for 
approving loan applications for the Title XI Program.

Section 13. Multiyear contracts.

    This section would clarify that nothing in the existing 
contracting authority for the National Security Multi-Mission 
Vessel Program, as codified in the NDAA for FY 2017, may be 
construed to prohibit MARAD from entering into a multiyear 
contract for the procurement of up to five new vessels within 
the National Security Multi-Mission Vessel Program.

Section 14. Use of State academy training vessels.

    This section would require the Maritime Administrator, upon 
consultation with the SMAs, to implement a program of vessel 
capacity sharing among the SMAs as necessary to ensure that 
training needs of each academy are met. The Committee included 
ship sharing language for the SMAs to ensure that none of the 
programs go without training billets for their cadets. However, 
this is not a sustainable long-term solution and the Committee 
urges MARAD to consider alternative ways to immediately address 
the critical lack of a suitable training vessel in the Gulf of 
Mexico, such as procurement of a domestic or international 
vessel to convert for training billets.

Section 15. Permanent authority of the Secretary of Transportation to 
        issue vessel war risk insurance.

    This section would amend chapter 539 of title 46, United 
States Code, to make permanent the authority of the Secretary 
to provide vessel war risk insurance. This authority has been 
in place since 1950.

Section 16. Buy America.

    This section would make changes to the Assistance to Small 
Shipyards Program. This section would provide for the 
reallocation of unused small shipyard grants to fund other 
qualifying grants. This section would establish certain Buy 
America requirements. MARAD has already included a Buy America 
provision in recent grant agreements for this program.

Section 17. Navigation system study and report.

    This section would require the Maritime Administrator to 
conduct a comprehensive study of the Great Lakes-Saint Lawrence 
Seaway navigation system to examine the current state of the 
system and make recommendations for improvements.

Section 18. Miscellaneous.

    This section would clarify the definition of commercial 
vessel for the purposes of USMMA training requirements and 
streamline sexual assault training recordkeeping. This section 
would limit certain training recordkeeping to those persons who 
are required to have such training. The section also would 
allow the Secretary of Commerce to waive bond requirements for 
certain vessel repairs, similar to authority already granted 
the Secretary of Transportation. These requirements currently 
require an annual congressional waiver, which has been granted 
for several years. This section would remove certain funding 
limitations for the SMAs, consistent with overall appropriation 
levels, as long as the academies meet certain admission 
requirements.

                        Changes in Existing Law

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
material is printed in italic, existing law in which no change 
is proposed is shown in roman):

             TITLE 40. PUBLIC BUILDINGS, PROPERTY, AND WORKS


                 SUBTITLE II. PUBLIC BUILDINGS AND WORKS

                             PART A. GENERAL

                           CHAPTER 31. GENERAL

                          SUBCHAPTER III. BONDS

Sec. 3134. Waivers for certain contracts

  (a) Military.--The Secretary of the Army, the Secretary of 
the Navy, the Secretary of the Air Force, or the Secretary of 
Transportation may waive this subchapter with respect to cost-
plus-a-fixed fee and other cost-type contracts for the 
construction, alteration, or repair of any public building or 
public work of the Federal Government and with respect to 
contracts for manufacturing, producing, furnishing, 
constructing, altering, repairing, processing, or assembling 
vessels, aircraft, munitions, materiel, or supplies for the 
Army, Navy, Air Force, or Coast Guard, respectively, regardless 
of the terms of the contracts as to payment or title.
  (b) Transportation.--The Secretary of Transportation may 
waive this subchapter with respect to contracts for the 
construction, alteration, or repair of vessels when the 
contract is made under sections 1535 and 1536 of title 31 or 
subtitle V of title 46, regardless of the terms of the 
contracts as to payment or title.
  (c) National Oceanic and Atmospheric Administration.--The 
Secretary of Commerce may waive this subchapter with respect to 
contracts for the construction, alteration, or repair of 
vessels, regardless of the terms of the contracts as to payment 
or title, when the contract is made under the Act entitled ``An 
Act to define the functions and duties of the Coast and 
Geodetic Survey, and for other purposes'', approved August 6, 
1947 (33 U.S.C. 883a et seq.).

                           TITLE 46. SHIPPING


                     SUBTITLE II. VESSELS AND SEAMEN

      PART E. MERCHANT SEAMEN LICENSES, CERTIFICATES, AND DOCUMENTS

    CHAPTER 75. GENERAL PROCEDURES FOR LICENSING, CERTIFICATION, AND 
                             DOCUMENTATION

Sec. 7502. Records

  (a) The Secretary shall maintain records, including 
electronic records, on the issuances, denials, suspensions, and 
revocations of licenses, certificates of registry, merchant 
mariners' documents, and endorsements on those licenses, 
certificates, and documents.
  (b) The Secretary may prescribe regulations requiring a 
vessel owner or managing operator of a commercial vessel, or 
the employer of a seaman on that vessel, to maintain records of 
each individual engaged on the vessel subject to inspection 
under chapter 33 on matters of engagement, discharge, and 
service for not less than 5 years after the date of the 
completion of the service of that individual on the vessel. The 
regulations may require that a vessel owner, managing operator, 
or employer shall make these records available to the 
individual and the Coast Guard on request.
  (c) The Secretary shall coordinate with the Secretary of 
Transportation to ensure that, to the extent feasible, 
electronic records provide information on mariner availability 
and respective credentials to meet national security needs for 
credentialed mariners crewing strategic sealift vessels.
  [(c)](d) A person violating this section, or a regulation 
prescribed under this section, is liable to the United States 
Government for a civil penalty of not more than $5,000.

                           TITLE 46. SHIPPING


                       SUBTITLE V. MERCHANT MARINE

                     PART B. MERCHANT MARINE SERVICE

           CHAPTER 513. UNITED STATES MERCHANT MARINE ACADEMY

Sec. 51307. Places of training

  [The Secretary]
   (a) In General.--The Secretary of Transportation may provide 
for the training of cadets at the United States Merchant Marine 
Academy--
          (1) on vessels [owned or subsidized by] owned, 
        subsidized by, or contracted with the United States 
        Government, including in accordance with subsections 
        (b), (c), and (d);
          (2) on other documented vessels, with the permission 
        of the owner;
          (3) in shipyards or plants and with industrial or 
        educational organizations; and
          (4) on any other vessel considered by the Secretary 
        to be necessary or appropriate or in the national 
        interest.
  (b) Maritime Security Program Vessels.--Subject to subsection 
(d), the Secretary shall require an operator of a vessel 
participating in the Maritime Security Program under chapter 
531 of this title to carry on each Maritime Security Program 
vessel 2 United States Merchant Marine Academy cadets, if 
available, on each voyage.
  (c) Military Sealift Command Vessels.--Subject to subsection 
(d), the Secretary and Commander of the Military Sealift 
Command shall require an operator of a vessel contracted for 
service for the United States Navy's Military Sealift Command 
to carry on each such vessel 2 United States Merchant Marine 
Academy cadets, if available, on each voyage, if the vessel--
          (1) is flagged in the United States; and
          (2) is rated at 10,000 gross tons or higher.
  (d) Waiver.--If it is determined at any time by the Secretary 
or the Commander of the Military Sealift Command that cadets 
from the United States Merchant Marine Academy would place an 
undue burden on a vessel or vessel operator, the Secretary or 
Commander may waive the requirements described in subsection 
(b) or (c).

Sec. 51318. Policy on sexual harassment, dating violence, domestic 
                    violence, sexual assault, and stalking

  (a) Required Policy.--
          (1) In general.--The Secretary of Transportation 
        shall direct the Superintendent of the United States 
        Merchant Marine Academy to prescribe a policy on sexual 
        harassment, dating violence, domestic violence, sexual 
        assault, and stalking applicable to the cadets and 
        other personnel of the Academy.
          (2) Matters to be specified in policy.--The policy on 
        sexual harassment, dating violence, domestic violence, 
        sexual assault, and stalking prescribed under this 
        subsection shall include--
                  (A) a program to promote awareness and 
                prevention of the incidence of rape, 
                acquaintance rape, domestic violence, dating 
                violence, stalking, and other sexual offenses 
                of a criminal nature that involve cadets or 
                other Academy personnel;
                  (B) procedures for documenting, tracking, and 
                maintaining the data required to conduct the 
                annual assessments to determine the 
                effectiveness of the policies, procedures, and 
                training program of the Academy with respect to 
                sexual harassment, dating violence, domestic 
                violence, sexual assault, and stalking 
                involving cadets or other Academy personnel, as 
                required by subsection (c);
                  [(B)](C) procedures that a cadet or other 
                Academy personnel should follow in the case of 
                an occurrence of sexual harassment, dating 
                violence, domestic violence, sexual assault, or 
                stalking, including--
                          (i) specifying the person or persons 
                        to whom an alleged occurrence of sexual 
                        harassment, dating violence, domestic 
                        violence, sexual assault, or stalking, 
                        should be reported by the victim and 
                        the options for confidential reporting;
                          (ii) specifying any other person whom 
                        the victim should contact; and
                          (iii) procedures on the preservation 
                        of evidence potentially necessary for 
                        proof of a criminal sexual offense;
                  (D) procedures for investigating sexual 
                harassment, dating violence, domestic violence, 
                sexual assault, or stalking involving a cadet 
                or other Academy personnel to determine whether 
                disciplinary action is necessary;
                  [(C)](E) a procedure for disciplinary action 
                in cases of alleged criminal sexual assault 
                involving a cadet or other Academy personnel;
                  [(D)](F) any other sanction authorized to be 
                imposed in a substantiated case of sexual 
                harassment, dating violence, domestic violence, 
                sexual assault, or stalking involving a cadet 
                or other Academy personnel in rape, 
                acquaintance rape, or any other criminal sexual 
                offense, whether forcible or nonforcible;
                  [(E)](G) procedures through which--
                          (i) questions regarding sexual 
                        harassment, dating violence, domestic 
                        violence, sexual assault, or stalking 
                        can be confidentially asked and 
                        confidentially answered;
                          (ii) victims can report incidents of 
                        sexual harassment, dating violence, 
                        domestic violence, sexual assault, or 
                        stalking confidentially; and
                          (iii) the privacy of victims of 
                        sexual harassment, dating violence, 
                        domestic violence, sexual assault, or 
                        stalking will be protected; and
                  [(F)](H) required training on the policy for 
                all cadets and other Academy personnel, 
                including the specific training required for 
                personnel who process allegations of sexual 
                harassment, dating violence, domestic violence, 
                sexual assault, or stalking involving Academy 
                personnel.
          (3) Minimum training requirements for certain 
        individuals regarding sexual harassment, dating 
        violence, domestic violence, sexual assault, and 
        stalking.--
                  (A) Requirement.--The Maritime Administrator 
                shall direct the Superintendent of the United 
                States Merchant Marine Academy to develop a 
                mandatory training program at the Academy for 
                each individual who is involved in implementing 
                the Academy's student disciplinary grievance 
                procedures, including each individual who is 
                responsible for--
                          (i) resolving complaints of reported 
                        sexual harassment, dating violence, 
                        domestic violence, sexual assault, and 
                        stalking;
                          (ii) resolving complaints of reported 
                        violations of the sexual misconduct 
                        policy of the Academy; or
                          (iii) conducting an interview with a 
                        victim of sexual harassment, dating 
                        violence, domestic violence, sexual 
                        assault, or stalking.
                  (B) Consultation.--The Superintendent shall 
                develop the training program described in 
                subparagraph (A) in consultation with national, 
                State, or local sexual assault, dating 
                violence, domestic violence, or stalking victim 
                advocacy, victim services, or prevention 
                organizations.
                  (C) Elements.--The training required by 
                subparagraph (A) shall include the following:
                          (i) Information on working with and 
                        interviewing persons subjected to 
                        sexual harassment, dating violence, 
                        domestic violence, sexual assault, or 
                        stalking.
                          (ii) Information on particular types 
                        of conduct that would constitute sexual 
                        harassment, dating violence, domestic 
                        violence, sexual assault, or stalking, 
                        regardless of gender, including same-
                        sex sexual harassment, dating violence, 
                        domestic violence, sexual assault, or 
                        stalking.
                          (iii) Information on consent and the 
                        effect that drugs or alcohol may have 
                        on an individual's ability to consent.
                          (iv) Information on the effects of 
                        trauma, including the neurobiology of 
                        trauma.
                          (v) Training regarding the use of 
                        trauma-informed interview techniques, 
                        which means asking questions of an 
                        individual who has been a victim of 
                        sexual harassment, dating violence, 
                        domestic violence, sexual assault, or 
                        stalking in a manner that is focused on 
                        the experience of the victim, does not 
                        judge or blame the victim, and is 
                        informed by evidence-based research on 
                        the neurobiology of trauma.
                          (vi) Training on cultural awareness 
                        regarding how dating violence, domestic 
                        violence, sexual assault, or stalking 
                        may impact midshipmen differently 
                        depending on their cultural background.
                          (vii) Information on sexual assault 
                        dynamics, sexual assault perpetrator 
                        behavior, and barriers to reporting.
                  (D) Implementation.--
                          (i) Development and approval 
                        schedule.--The training program 
                        required by subparagraph (A) shall be 
                        developed not later than 90 days after 
                        the date of the enactment of the 
                        National Defense Authorization Act for 
                        Fiscal Year 2018.
                          (ii) Completion of training.--Each 
                        individual who is required to complete 
                        the training described in subparagraph 
                        (A) shall complete such training not 
                        later than--
                                  (I) 270 days after the date 
                                of the enactment of the 
                                National Defense Authorization 
                                Act for Fiscal Year 2018; or
                                  (II) 180 days after starting 
                                a position with 
                                responsibilities that include 
                                the activities described in 
                                clause (i), (ii), or (iii) of 
                                subparagraph (A).
          (4) Availability of policy.--The Secretary shall 
        ensure that the policy developed under this subsection 
        is available to--
                  (A) all cadets and employees of the Academy; 
                and
                  (B) the public.
          (5) Consultation and assistance.--In developing the 
        policy under this subsection, the Secretary may consult 
        with or receive assistance from such Federal, State, 
        local, and national organizations and subject matter 
        experts as the Secretary considers appropriate.
          (6) Consistency with the higher education act of 
        1965.--The Secretary shall ensure that the policy 
        developed under this subsection meets the requirements 
        set out in section 485(f)(8) of the Higher Education 
        Act of 1965 (20 U.S.C. 1092(f)(8)).
  (b) Development Program.--
          (1) In general.--The Maritime Administrator shall 
        ensure that the development program of the Academy 
        includes a section that--
                  (A) describes the relationship between honor, 
                respect, and character development and the 
                prevention of sexual harassment, dating 
                violence, domestic violence, sexual assault, 
                and stalking at the Academy;
                  (B) includes a brief history of the problem 
                of sexual harassment, dating violence, domestic 
                violence, sexual assault, and stalking in the 
                merchant marine, in the Armed Forces, and at 
                the Academy; and
                  (C) includes information relating to 
                reporting sexual harassment, dating violence, 
                domestic violence, sexual assault, and 
                stalking, victims' rights, and dismissal for 
                offenders.
          (2) Minimum requirements to combat retaliation.--
                  (A) Requirement for plan.--Not later than 90 
                days after the date of the enactment of the 
                National Defense Authorization Act for Fiscal 
                Year 2018, the Maritime Administrator shall 
                direct the Superintendent of the United States 
                Merchant Marine Academy to implement and 
                maintain a plan to combat retaliation against 
                cadets at the Academy and other Academy 
                personnel who report sexual harassment, dating 
                violence, domestic violence, sexual assault, or 
                stalking.
                  (B) Violation of code of conduct.--The 
                Superintendent shall consider an act of 
                retaliation against a cadet at the Academy who 
                reports sexual harassment, dating violence, 
                domestic violence, sexual assault, or stalking 
                as a Class I violation of the Midshipman 
                Regulations of the Academy or equivalent code 
                of conduct.
                  (C) Retaliation definition.--The 
                Superintendent shall work with the sexual 
                assault prevention and response staff of the 
                Academy to define ``retaliation'' for purposes 
                of this subsection.
          (3) Minimum resource requirements.--
                  (A) In general.--The Maritime Administrator 
                shall ensure the staff at the Academy are 
                provided adequate and appropriate sexual 
                harassment, dating violence, domestic violence, 
                sexual assault, and stalking prevention and 
                response training materials and resources. Such 
                resources shall include staff as follows:
                          (i) Sexual assault response 
                        coordinator.
                          (ii) Prevention educator.
                          (iii) Civil rights officer.
                          (iv) Staff member to oversee Sea 
                        Year.
                  (B) Communication.--The Director of the 
                Office of Civil Rights of the Maritime 
                Administration shall create and maintain a 
                direct line of communication to the sexual 
                assault response staff of the Academy that is 
                outside of the chain of command of the Academy.
          (4) Minimum training requirements.--The 
        Superintendent shall ensure that all cadets receive 
        training on the sexual harassment, dating violence, 
        domestic violence, sexual assault, and stalking 
        prevention and response sections of the development 
        program of the Academy, as described in paragraph (1), 
        as follows:
                  (A) An initial training session, which shall 
                occur not later than 7 days after a cadet's 
                initial arrival at the Academy.
                  (B) Additional training sessions, which shall 
                occur biannually following the cadet's initial 
                training session until the cadet graduates or 
                leaves the Academy.
  (c) * * *
  (d) Annual Report.--
          (1) In general.--For each Academy program year, the 
        Superintendent shall submit to the Secretary a report 
        that provides information about sexual harassment and 
        sexual assault involving cadets or other Academy 
        personnel.
          (2) Contents.--Each report submitted under paragraph 
        (1) shall include, for the Academy program year covered 
        by the report--
                  (A) the number of sexual assaults, rapes, and 
                other sexual offenses, including sexual 
                harassment, involving cadets or other Academy 
                personnel that have been reported to Academy 
                officials;
                  (B) the number of the reported cases 
                described in subparagraph (A) that have been 
                substantiated;
                  (C) the policies, procedures, and training 
                implemented by the Superintendent and the 
                leadership of the Academy in response to 
                incidents of sexual harassment and sexual 
                assault involving cadets and other Academy 
                personnel; and
                  (D) a plan for the actions that will be taken 
                in the following Academy program year regarding 
                prevention of, and response to, incidents of 
                sexual harassment and sexual assault involving 
                cadets and other Academy personnel.
          (3) Survey and focus group results.--
                  (A) Survey results.--Each report under 
                paragraph (1) for an Academy program year that 
                begins in an odd-numbered calendar year shall 
                include the results of the survey conducted in 
                that program year under subsection (c)(2).
                  (B) Focus group results.--Each report under 
                paragraph (1) for an Academy program year in 
                which the Secretary is not required to conduct 
                the survey described in subsection (c)(2) shall 
                include the results of the focus group 
                conducted in that program year under subsection 
                (c)(3).
          (4) Reporting requirement.--
                  (A) By the superintendent.--For each incident 
                of sexual harassment or sexual assault reported 
                to the Superintendent, the Superintendent shall 
                provide to the Secretary and the Board of 
                Visitors of the Academy a report that 
                includes--
                          (i) the facts surrounding the 
                        incident, except for any details that 
                        would reveal the identities of the 
                        people involved; and
                          (ii) the Academy's response to the 
                        incident.
                  (B) By the secretary.--[The Secretary] Not 
                later than January 15 of each year, the 
                Secretary shall submit a copy of each report 
                received under subparagraph (A) and the 
                Secretary's comments on the report to the 
                Committee on Commerce, Science, and 
                Transportation of the Senate and the Committee 
                on Transportation and Infrastructure of the 
                House of Representatives.
  (e) * * *

Sec. 51322. Protection of cadets from sexual assault onboard vessels

  (a) Riding Gangs.--
          (1) Certification of compliance.--The Maritime 
        Administrator shall require the owner or operator of 
        any commercial vessel that is carrying a cadet from the 
        United States Merchant Marine Academy to certify 
        compliance of the vessel with the International 
        Convention for Safety of Life at Sea, 1974 (32 UST 47) 
        and section 8106 of this title.
          (2) Information for cadets.--The Maritime 
        Administrator shall ensure that the Academy informs 
        cadets preparing for Sea Year of the obligations that 
        vessel owners and operators have to provide for the 
        security of individuals aboard a vessel under United 
        States law, including chapter 81 and section 70103(c) 
        of this title.
  (b) Checks of Commercial Vessels.--
          (1) Requirement.--Not less frequently than 
        biennially, staff of the Academy or staff of the 
        Maritime Administration shall conduct both random and 
        targeted unannounced checks of not less than 10 percent 
        of the commercial vessels that host a cadet from the 
        Academy.
          (2) Removal of students.--If staff of the Academy or 
        staff of the Maritime Administration determine that a 
        commercial vessel is in violation of the sexual assault 
        policy developed by the Academy through a check 
        conducted under paragraph (1), the staff may--
                  (A) remove any cadet of the Academy from the 
                vessel; and
                  (B) report the violation to the owner or 
                operator of the vessel.
  [(c) Maintenance of Sexual Assault Training Records.--The 
Maritime Administrator shall require the owner or operator of a 
commercial vessel, or the seafarer union for a commercial 
vessel, to maintain records of sexual assault training for the 
crew and passengers of any vessel hosting a cadet from the 
Academy.]
  (c) Maintenance of Sexual Assault Training Records.--The 
Maritime Administrator shall require the owner or operator of a 
commercial vessel, or the seafarer union for a commercial 
vessel, to maintain records of sexual assault training for any 
person required to have such training.
  (d) Sea Year Survey.--
          (1) Requirement.--The Maritime Administrator shall 
        require each cadet from the Academy, upon completion of 
        the cadet's Sea Year, to complete a survey regarding 
        the environment and conditions during the Sea Year of 
        the vessel to which the cadet was assigned.
          (2) Availability. the maritime administrator shall 
        make available to the public for each year.--
                  (A) the questions used in the survey required 
                by paragraph (1); and
                  (B) the aggregated data received from such 
                surveys.

           CHAPTER 515. STATE MARITIME ACADEMY SUPPORT PROGRAM

Sec. 51504. Use of training vessels

  (a) * * *
  [(g) Removing Vessels From Service and Vessel Sharing.--The 
Secretary may not--
          [(1) take a vessel, currently in use as a training 
        vessel under this section, out of service to implement 
        an alternative program (including vessel sharing) 
        unless the vessel is incapable of being maintained in 
        good repair as required by subsection (d); or
          [(2) implement a program requiring a State maritime 
        academy to share its training vessel with another State 
        maritime academy, except with the express consent of 
        Congress.]
  (g) Vessel Capacity Sharing.--
          (1) In general.--Not later than 90 days after the 
        date of enactment of the Maritime Authorization and 
        Enhancement Act for Fiscal Year 2019, the Secretary, 
        acting through the Maritime Administrator, shall upon 
        consultation with the maritime academies, and to the 
        extent feasible with the consent of the maritime 
        academies, implement a program of vessel sharing, 
        requiring maritime academies to share training capacity 
        vessels provided by the Secretary among maritime 
        academies, as necessary to ensure that training needs 
        of each academy are met.
          (2) Program of vessel capacity sharing.--For purposes 
        of this subsection, a program of vessel capacity 
        sharing shall include--
                  (A) ways to maximize the available underway 
                training capacity available in the fleet of 
                training vessels;
                  (B) coordinating the dates and duration of 
                training cruises with the academic calendars of 
                maritime academies;
                  (C) coordinating academic programs designed 
                to be implemented aboard training vessels among 
                maritime academies; and
                  (D) identifying ways to minimize costs.
          (3) Evaluation.--Not later than 30 days after the 
        beginning of each fiscal year, the Secretary, acting 
        through the Maritime Administrator, shall evaluate the 
        vessel capacity sharing program under this subsection 
        to determine the optimal utilization of State maritime 
        training vessels, and modify the program as necessary 
        to improve utilization.

Sec. 51505. Annual payments for maintenance and support

  (a) Payment Agreements.--The Secretary of Transportation may 
make an agreement (effective for not more than 4 years) with 
the following academies to provide annual payments to those 
academies for their maintenance and support:
          (1) One State maritime academy in each State that 
        satisfies section 51506(a) of this title.
          (2) Each regional maritime academy that satisfies 
        section 51506(a) of this title.
  (b) Payments.--
          (1) In general.--Subject to paragraph (2), an annual 
        payment to an academy under subsection (a) shall be at 
        least equal to the amount given to the academy for its 
        maintenance and support by the State in which it is 
        located, or, for a regional maritime academy, by all 
        States cooperating to sponsor the academy.
          [(2) Maximum.--The amount under paragraph (1) may not 
        be more than $25,000. However, if the academy satisfies 
        section 51506(b) of this title, the amount shall be--
                  [(A) $100,000 for a State maritime academy; 
                and
                  [(B) $300,000 for fiscal year 2006, $400,000 
                for fiscal year 2007, and $500,000 for fiscal 
                year 2008 and each fiscal year thereafter for a 
                regional maritime academy.]
          (2) Maximum.--The amount under paragraph (1) may not 
        be more than $25,000, unless the academy satisfies 
        section 51506(b) of this title.

                  PART C. FINANCIAL ASSISTANCE PROGRAMS

                     CHAPTER 539. WAR RISK INSURANCE

[Sec. 53912. Expiration date

  [The authority of the Secretary of Transportation to provide 
insurance and reinsurance under this chapter expires on 
December 31, 2020.]

                       CHAPTER 541. MISCELLANEOUS

Sec. 54101. Assistance for small shipyards

  (a) Establishment of Program.--Subject to the availability of 
appropriations, the Administrator of the Maritime 
Administration shall execute agreements with shipyards to 
provide assistance--
          (1) in the form of grants, loans, and loan guarantees 
        to small shipyards for capital improvements; and
          (2) for maritime training programs to foster 
        technical skills and operational productivity relating 
        to shipbuilding, ship repair, and associated 
        industries.
  (b) Awards.--
          (1) In general.--In providing assistance under the 
        program, the Administrator shall consider projects that 
        foster--
                  (A) efficiency, competitive operations, and 
                quality ship construction, repair, and 
                reconfiguration; and
                  (B) employee skills and enhanced productivity 
                related to shipbuilding, ship repair, and 
                associated industries.
          (2) Timing of grant notice.--The Administrator shall 
        post a Notice of Funding Opportunity regarding grants 
        awarded under this section not more than 15 days after 
        the date of enactment of the appropriations Act for the 
        fiscal year concerned.
          [(2)](3) Timing of grants.--The Administrator shall 
        award grants under this section not later than 120 days 
        after the date of the enactment of the appropriations 
        Act for the fiscal year concerned.
          [(3)](4) Reuse of unexpended grant funds.--
        Notwithstanding [paragraph (2)] paragraph (3), amounts 
        awarded as a grant under this section that are not 
        expended by the grantee shall remain available to the 
        Administrator for use for grants under this section.
  (c) Use of Funds.--
          (1) In general.--Assistance provided under this 
        section may be used to--(A) make capital and related 
        improvements in small shipyards; and
                  (B) provide training for workers in 
                shipbuilding, ship repair, and associated 
                industries.
          (2) Administrative costs.--Not more than 2 percent of 
        amounts made available to carry out the program may be 
        used for the necessary costs of grant administration.
          (3) Buy america.--
                  (A) In general.--Notwithstanding any other 
                provision of law, the Secretary of 
                Transportation shall not obligate any funds 
                authorized to be appropriated to carry out this 
                chapter unless any steel, iron, and 
                manufactured products used in the project 
                authorized under this chapter are produced in 
                the United States.
                  (B) Exception.--The provisions of 
                subparagraph (A) shall not apply where the 
                Secretary finds--
                          (i) that their application would be 
                        inconsistent with the public interest;
                          (ii) that such materials and products 
                        are not produced in the United States 
                        in sufficient and reasonably available 
                        quantities and of a satisfactory 
                        quality; or
                          (iii) that inclusion of domestic 
                        material will increase the cost of the 
                        overall project by more than 25 
                        percent.
  (d) Prohibited Uses.--Grants awarded under this section may 
not be used to construct buildings or other physical facilities 
or to acquire land.
  (e) Matching Requirements; Allocation.--
          (1) Federal funding.--Federal funds for any eligible 
        project under this section shall not exceed 75 percent 
        of the total cost of such project.
          (2) Allocation of funds.--The Administrator may not 
        award more than 25 percent of the funds appropriated to 
        carry out this section for any fiscal year to any small 
        shipyard in one geographic location that has more than 
        600 employees.
  (f) Applications.--
          (1) In general.--To be eligible for assistance under 
        this section, an applicant shall submit an application, 
        in such form, and containing such information and 
        assurances as the Administrator may require, within 60 
        days after the date of enactment of the appropriations 
        Act for the fiscal year concerned.
          (2) Minimum standards for payment or reimbursement.--
        Each application submitted under paragraph (1) shall 
        include--
                  (A) a comprehensive description of--
                          (i) the need for the project;
                          (ii) the methodology for implementing 
                        the project; and
                          (iii) any existing programs or 
                        arrangements that can be used to 
                        supplement or leverage assistance under 
                        the program.
                  (B) [Not enacted]
          (3) Procedural safeguards.--The administrator, in 
        consultation with the office of the inspector general, 
        shall issue guidelines to establish appropriate 
        accounting, reporting, and review procedures to ensure 
        that--
                  (A) grant funds are used for the purposes for 
                which they were made available;
                  (B) grantees have properly accounted for all 
                expenditures of grant funds; and
                  (C) grant funds not used for such purposes 
                and amounts not obligated or expended are 
                returned.
          (4) Project approval required.--The administrator may 
        not award a grant under this section unless the 
        administrator determines that--
                  (A) sufficient funding is available to meet 
                the matching requirements of subsection (e);
                  (B) the project will be completed without 
                unreasonable delay; and
                  (C) the recipient has authority to carry out 
                the proposed project.
  (g) Audits and Examinations.--All grantees under this section 
shall maintain such records as the Administrator may require 
and make such records available for review and audit by the 
Administrator.
  (h) Small Shipyard Defined.--In this section, the term 
``small shipyard'' means a shipyard facility in one geographic 
location that does not have more than 1,200 employees.
  (i) Authorization of Appropriations.--There are authorized to 
be appropriated to the Administrator of the Maritime 
Administration for each of fiscal years 2018, 2019, and 2020 to 
carry out this section $35,000,000.

   FLOYD D. SPENCE NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 
                                  2001


                          [Public Law 106	398]

SEC. 3502. SCRAPPING OF NATIONAL DEFENSE RESERVE FLEET VESSELS

                        [54 U.S.C. 308704 note]

  (a) [Reserved].
  (b) Selection of Scrapping Facilities.--The Secretary of 
Transportation may scrap obsolete vessels pursuant to section 
6(c)(1) of the National Maritime Heritage Act of 1994 (16 
U.S.C. 5405(c)(1)) through qualified scrapping facilities, 
using the most expeditious scrapping methodology and location 
practicable. Scrapping facilities shall be selected under that 
section on a best value basis consistent with the Federal 
Acquisition Regulation, as in effect on the date of contract 
award, without any predisposition toward foreign or domestic 
facilities taking into consideration, among other things, the 
ability of facilities to scrap vessels--
          (1) at least cost to the Government;
          (2) in a timely manner;
          (3) giving consideration to worker safety and the 
        environment; and
          (4) in a manner that minimizes the geographic 
        distance that a vessel must be towed when towing a 
        vessel poses a serious threat to the environment.
  (c) Scrapping of Imported Vessels.--
          (1) In general.--Notwithstanding any other provision 
        of law, domestic ship scrapping facilities selected by 
        the Secretary of Transportation in accordance with 
        subsection (b) may import into the United States, for 
        the purpose of dismantling, marine vessels that contain 
        regulated levels of polychlorinated biphenyls that are 
        integral to a vessel's structure, equipment, or systems 
        necessary for its operation.
          (2) No tsca prior authorization required.--In lieu of 
        rulemaking by the Administrator of the Environmental 
        Protection Agency under section 6(e) of the Toxic 
        Substances Control Act (15 U.S.C. 2605(e)), imports of 
        vessels containing regulated levels of polychlorinated 
        biphenyls shall be subject to prior notification and 
        consent in accordance with this subsection.
          (3) Notification.--
                  (A) Contents.--An importer of 1 or more 
                vessels containing regulated levels of 
                polychlorinated biphenyls shall submit a 
                notification to the Environmental Protection 
                Agency not less than 75 days before a vessel is 
                imported into the United States under this 
                subsection. The import notification may cover 
                up to one year of shipments of vessels 
                containing regulated levels of polychlorinated 
                biphenyls being sent to the same ship scrapping 
                facility, and shall contain, at a minimum, the 
                following items:
                          (i) The name, contact name, address, 
                        telephone number, e-mail address, and 
                        EPA Identification Number (if 
                        applicable) of the ship scrapping 
                        facility and the recognized trader, if 
                        the ship scrapping facility is not the 
                        importer.
                          (ii) The name, contact name, address, 
                        telephone number, e-mail address, and 
                        EPA Identification Number (if 
                        applicable) of each facility where 
                        polychlorinated biphenyls or hazardous 
                        materials contained on a vessel will be 
                        stored and disposed of, including any 
                        polychlorinated biphenyls storage or 
                        disposal facility approved under the 
                        Toxic Substances Control Act (15 U.S.C. 
                        2601 et seq.).
                          (iii) The types of polychlorinated 
                        biphenyls or polychlorinated biphenyls 
                        items expected to be removed from the 
                        vessels.
                          (iv) The number of vessels proposed 
                        for import and maximum tonnage.
                          (v) The period of time covered by the 
                        import notice (not to exceed one year) 
                        and the start and end dates of 
                        shipment.
                  (B) Form.--Each notice under this paragraph 
                shall be clearly marked ``PCB Waste Import 
                Notice'' and shall be submitted to the 
                Environmental Protection Agency in such form 
                and manner as the Environmental Protection 
                Agency may require.
                  (C) Revised notification.--If an importer 
                wishes to change any of the information 
                specified on the original notification, the 
                importer must submit a revised notification, 
                containing notification of the changes, to the 
                Environmental Protection Agency.
          (4) Consent.--
                  (A) In general.--An importer shall not import 
                vessels containing regulated levels of 
                polychlorinated biphenyls until the importer 
                has received consent from the Administrator of 
                the Environmental Protection Agency.
                  (B) Terms.--Importers shall only import 
                vessels under the terms of the consent issued 
                by the Administrator of the Environmental 
                Protection Agency under this paragraph and 
                subject to the condition that the facility 
                shall establish a valid written contract, chain 
                of contracts, or equivalent arrangements with 
                other United States facilities, where 
                applicable, to manage the polychlorinated 
                biphenyls and hazardous waste expected to be 
                removed from the vessel or vessels.
          (5) Report to the environmental protection agency.--
        Any ship scrapping facility authorized by this 
        subsection to import vessels containing regulated 
        levels of polychlorinated biphenyls shall file with the 
        Administrator of the Environmental Protection Agency, 
        not later than April 1 of each year, a report 
        providing, for each vessel imported in accordance with 
        this subsection, the following information:
                  (A) The vessel name and approximated tonnage.
                  (B) Registration number and flag of the 
                vessel.
                  (C) The date of import.
                  (D) The types, quantities, and final 
                destination of all polychlorinated biphenyls 
                and hazardous waste removed.
                  (E) The EPA-issued consent number under which 
                the vessel was imported.
          (6) Applicable laws.--Once a vessel has been imported 
        pursuant to this subsection, the manufacturing, 
        processing, distribution in commerce, use, and disposal 
        of any polychlorinated biphenyls and hazardous waste 
        contained on the vessel shall be carried out in 
        accordance with applicable Federal, State, and local 
        laws and regulations.
          (7) Authority.--The Administrator of the 
        Environmental Protection Agency may promulgate 
        additional standards or procedures for the import of 
        ships that contain regulated levels of polychlorinated 
        biphenyls and hazardous waste, for the purpose of 
        recycling, under this subsection, if--
                  (A) the benefits of such additional standards 
                or procedures exceed the costs of those 
                standards or procedures;
                  (B) not later than 180 days prior to 
                promulgating such additional standards or 
                procedures, the Administrator of the 
                Environmental Protection Agency submits a 
                report to the Committee on Commerce, Science, 
                and Transportation of the Senate and the 
                Committee on Transportation and Infrastructure 
                of the House of Representatives demonstrating 
                compliance with subparagraph (A) and the 
                reasons such standards or procedures are 
                necessary; and
                  (C) the Administrator of the Environmental 
                Protection Agency receives the concurrence of 
                the Maritime Administrator on any such 
                additional standards or procedures.
  [(c)](d) Comprehensive Management Plan.--
          (1) Requirement to develop plan.--The Secretary of 
        Transportation shall prepare, publish, and submit to 
        the Congress by not later than 180 days after the date 
        of the enactment of this Act a comprehensive plan for 
        management of the vessel disposal program of the 
        Maritime Administration in accordance with the 
        recommendations made in the Government Accountability 
        Office in report number GAO-05-264, dated March 2005.
          (2) Contents of plan.--The plan shall--
                  (A) include a strategy and implementation 
                plan for disposal of obsolete National Defense 
                Reserve Fleet vessels (including vessels added 
                to the fleet after the enactment of this 
                paragraph) in a timely manner, maximizing the 
                use of all available disposal methods, 
                including dismantling, use for artificial 
                reefs, donation, and Navy training exercises;
                  (B) identify and describe the funding and 
                other resources necessary to implement the 
                plan, and specific milestones for disposal of 
                vessels under the plan;
                  (C) establish performance measures to track 
                progress toward achieving the goals of the 
                program, including the expeditious disposal of 
                ships commencing upon the date of the enactment 
                of this paragraph;
                  (D) develop a formal decisionmaking framework 
                for the program; and
                  (E) identify external factors that could 
                impede successful implementation of the plan, 
                and describe steps to be taken to mitigate the 
                effects of such factors.
  [(d)](e) Implementation of Management Plan.--
          (1) Requirement to implement.--Subject to the 
        availability of appropriations, the Secretary shall 
        implement the vessel disposal program of the Maritime 
        Administration in accordance with--
                  (A) the management plan submitted under 
                subsection (c); and
                  (B) the requirements set forth in paragraph 
                (2).
          (2) Utilization of domestic sources.--In the 
        procurement of services under the vessel disposal 
        program of the Maritime Administration, the Secretary 
        shall--
                  (A) use full and open competition; and
                  (B) utilize domestic sources to the maximum 
                extent practicable.
  [(e)](f) Failure to Submit Plan.--
          (1) Private management contract for disposal of 
        maritime administration vessels.--The Secretary of 
        Transportation, subject to the availability of 
        appropriations, shall promptly award a contract using 
        full and open competition to expeditiously implement 
        all aspects of disposal of obsolete National Defense 
        Reserve Fleet vessels.
          (2) Application.--This subsection shall apply 
        beginning 180 days after the date of the enactment of 
        this subsection, unless the Secretary of Transportation 
        has submitted to the Congress the comprehensive plan 
        required under subsection (c).
  [(f)](g) Briefings.--The Maritime Administrator shall, upon 
request, provide briefings to the Committee on Transportation 
and Infrastructure, the Committee on Natural Resources, 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, on the progress 
made in recycling vessels, problems encountered with recycling 
vessels, issues relating to vessel recycling, and other issues 
relating to vessel recycling and disposal.

        NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2017


                          [Public Law 114	328]

SEC. 3514. SEA YEAR COMPLIANCE

                         [54 U.S.C. 51318 note]

  (a) Vessel Operator Requirements.--[Not later than]
          (1) Not later than 90 days after the date of the 
        enactment of this Act, the Maritime Administrator, in 
        consultation with operators of commercial vessels of 
        the United States, shall establish--
          [(1)](A) criteria that vessel operators must meet in 
        order to participate in the Sea Year program of the 
        United States Merchant Marine Academy that addresses 
        sexual harassment, sexual assault, and other 
        inappropriate conduct; and
          [(2)](B) a process for verifying compliance with the 
        criteria.
          (2) For the purposes of this section, vessels 
        operated by any of the following entities shall not be 
        considered commercial vessels:
                  (A) Any entity or agency of the United 
                States.
                  (B) The government of a State or territory.
                  (C) Any political subdivision of a State or 
                territory.
                  (D) Any other municipal organization.
  (b) Provision of Satellite Phone.--
          (1) In general.--The Maritime Administrator shall 
        ensure that each cadet from the United States Merchant 
        Marine Academy who is participating in the Sea Year 
        program is provided a functional satellite 
        communication device. A cadet may not be denied from 
        using the device whenever the student determines that 
        use of the device is necessary to prevent or report 
        sexual harassment or sexual assault.
          (2) Check-in.--Not less often than once each week 
        during a cadet's participation in the Sea Year program, 
        the cadet shall check-in with designated personnel at 
        the Academy via the satellite communication device 
        provided under paragraph (1). A text message sent via 
        the satellite device shall meet the requirement for a 
        weekly check-in for purposes of this paragraph.

                                  [all]