HQ 0112992 - Applicability of the coastwise laws to the use of coastwise qualified vessel to shuttle crew, scientists, and research specimens to and from an oceanographic research vessel. - United States International Trade Commision Rulings

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HQ 112992

January 12, 1994

VES-3-14-CO:R:IT:C 112992 DEC

CATEGORY: CARRIER

Mr. Earl P. Verrett
Aries Marine Corporation
Conventional Manager
P.O. Drawer 51789
Lafayette, Louisiana 70505

RE: Applicability of the coastwise laws to the use of coastwise qualified vessel to shuttle crew, scientists, and research specimens to and from an oceanographic research vessel.

Dear Mr. Verrett:

Reference is made to your facsimile transmittal of January 6, 1993, in which you inquired as to the legality of utilizing a coastwise-qualified vessel to shuttle scientific personnel to and from your oceanographic research operations aboard the M/V RAMBO.

FACTS:

The Aries Marine Corporation operates the Panamanian-flag M/V RAMBO. In support of its request for a ruling, Aries Marine has indicated that the M/V RAMBO will be conducting oceanographic research outside the territorial waters of the United States. Aries Marine plans to use the coastwise-qualified vessel, SPIRIT, to shuttle a fresh crew, scientists, and research specimens back to Port Hueneme, California, in order to continue their research activities.

ISSUE:

Whether a coastwise-qualified vessel may shuttle a fresh crew, scientists, and research specimens to a vessel engaged in oceanographic research and transport the existing crew back to the United States without being in violation of the coastwise laws.

LAW AND ANALYSIS:

The Act of June 19, 1886, as amended (24 Stat. 81; 46 U.S.C. app. 289, sometimes called the coastwise passenger law), provides that:

No foreign vessel shall transport passengers between ports or places in the United States either directly
or by way of a foreign port, under a penalty of $200 for each passenger so transported and landed.

Customs has consistently interpreted this prohibition to apply to all vessels except United States-built, owned, and properly documented vessels (see, 46 U.S.C. 12106, 12110; 46 U.S.C. app. 883; 19 C.F.R. 4.80).

The coastwise law pertaining to the transportation of merchandise, as amended (41 U.S.C. app. 883, often called the Jones Act), provides that:

No merchandise, including merchandise owned by the United States Government . . . shall be transported by water, or by land and water . . . between points in the United States. . . embraced within the coastwise laws, either directly or via a foreign port, or for any part of the transportation, in any other vessel than a vessel built in and documented under the laws of the United States and owned by persons who are citizens of the United States . . ..

For purposes of the coastwise laws, a point in the United States territorial waters is considered a point embraced within the coastwise laws. The territorial waters of the United States consist of the territorial sea, defined as the belt, three nautical miles wide, adjacent to the coast of the United States and seaward of the territorial sea baseline.

For purposes of section 289, "passenger" is defined in section 4.50(b), Customs Regulations (19 C.F.R. 4.50(b)), as "...any person carried on a vessel who is not connected with the operation of such vessel, her navigation, ownership, or business." "Merchandise," as used in section 883, includes any article, including valueless merchandise pursuant to the amendment of section 883 by the Act of June 7, 1988 (Public Law 100-329; 102 Stat. 588).

The use of a coastwise-qualified vessel to transport a relief crew and scientists together with research specimens from a research vessel between coastwise points does not violate the coastwise laws so long as the crew, scientists, and specimens were initially transported aboard the research vessel or, alternatively, transported to the research vessel aboard a coastwise-qualified vessel.

Customs has long held that the use of a vessel solely engaged in oceanographic research is not considered a use in the coastwise trade (Headquarters Ruling Letter 110399 (Aug. 23, 1989). We have held that the use of non-coastwise-qualified vessels to engage in oceanographic research, including the transportation of persons participating in the research to, from, and between research sites
in United States territorial waters, whether or not the persons participating in the research temporarily leave the vessels at the research sites, would not violate the coastwise laws. Further, we have held that the collection of marine specimens at the research sites and the transportation of those specimens from the research sites to points in the United States would not violate the coastwise laws. Of course, if such a vessel transported between coastwise points, or provided part of the transportation between coastwise points, of any persons other than the vessel crew and scientists and students engaged in the oceanographic research or any merchandise other than the usual supplies and equipment necessary for that research and/or research specimens or samples, the coastwise laws would be violated.

This interpretation of the coastwise laws is buttressed by the Act of July 30, 1965 (Public Law 89-99; 79 Stat. 424; 46 U.S.C. app. 441-444, often called the Oceanographic Research Vessel Act), as amended, section 3 (46 U.S.C. app. 443) which provides that "[a]n oceanographic research vessel shall not be deemed to be engaged in trade or commerce." In defining the term "oceanographic research vessel," this Act defines oceanographic research as "...including, but not limited to, such studies pertaining to the sea as seismic, gravity meter and magnetic exploration and other marine geophysical or geological surveys, atmospheric research, and biological research" (46 U.S.C. app. 441(1)).

HOLDING:

Applying the principles set forth in the Law and Analysis section of this ruling, the use of the SPIRIT, a coastwise-qualified vessel, to shuttle crew, scientists, and research specimens to the RAMBO, a vessel engaged in oceanographic research, does not present a violation of the coastwise laws.

Sincerely,

Arthur P. Schifflin

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