33 U.S.C. § 1504 — Procedure
submitted 51 years ago by Pub. L. 93-627 to r/title-33-NAVIGATION-AND-NAVIGABLE-WATERS · 3,535 words · no verdicts yet
This section governs regulations and applications for deepwater-port licenses. It sets information, review, hearing, fee, environmental, and deadline rules for those applications.
(a) Regulations. Despite section 468(b) of title 6, the Secretary* may issue regulations under section 553 of title 5, without regard to subsection (a) of that section, to carry out this chapter. The regulations may cover applications, issuing, transferring, renewing, suspending, and ending licenses. They must provide full consultation and cooperation with interested Federal agencies and departments and potentially affected coastal States, and consideration of interested members of the public. The Secretary may amend or rescind the regulations consistently with this chapter. (b) Additional regulations. Consulting the Interior Secretary and NOAA Administrator, the Secretary must as soon as practicable after January 3, 1975, issue regulations for site evaluation and preconstruction testing at possible deepwater-port locations that may (1) harm the environment, (2) interfere with authorized Outer Continental Shelf uses, or (3) threaten human health or welfare. Those activities may then occur only under these regulations, which must be consistent with this chapter. (c) Applications. (1)(A) Every applicant must submit a detailed plan containing the information required by paragraph (2). (B) Within 21 days after receiving an application*, the Secretary must decide whether it contains all required information. If it does, within five days the Secretary must publish in the Federal Register a notice and plan summary. If it does not, the Secretary must notify the applicant of deficiencies and take no further action until they are corrected. (C) Publishing the notice makes subsection (f) apply. (2) Each application must include necessary financial, technical, and other information, including: (A) names, addresses, citizenship, phone numbers, and ownership interests of each person* owning more than 3 percent of the applicant; (B) when feasible, the same identifying information for each person with whom the applicant made or proposes a significant construction* or operating contract, plus each contract; (C) each affiliate’s identifying information and how it is associated with the applicant or persons disclosed under (A) or (B); (D) proposed port location and capacity, including all components; (E) type and design of all port components and associated storage; (F) for phased construction, each phase and anticipated completion dates for its specific components; (G) known locations and capacities of existing and proposed storage and pipelines for oil* moved through the port; (H) known locations and capacities of refineries receiving that oil and the expected amount each will refine; (I) the applicant’s financial and technical ability to build or operate the port; (J) other qualifications for a license; (K) the registry nation and the nationality or citizenship of officers and crew on vessels reasonably expected to serve a natural-gas port; (L) construction, operation, and maintenance procedures, including oil-spill prevention, containment, and cleanup; and (M) other information the Secretary requires to decide environmental impact. (3) On written request, the Secretary may exempt a person from these or implementing regulations’ information-filing rules if the information is unnecessary for section 1503 decisions and the exemption will not limit public review and evaluation. (d) Application area. (1) When publishing an application notice, the Secretary must publish a Federal Register description of an application area around the proposed site where building that port would, when the application was filed, eliminate the need for another port. (2) "Application area" means any reasonable geographic area where a port may be built and operated. It may not exceed a circle centered at the main loading and unloading point, with a radius equal to the distance from that point to the nearest adjacent coastal State’s high-water mark. (3) The Secretary must invite other applications in the area. Intent notices are due within 60 days after the original notice, and completed applications within 90 days. The Secretary must publish properly received applications. A late intent notice or application cannot be considered until pending applications for the area are denied. (4) This subsection does not apply to natural-gas ports. (e) Federal recommendations. (1) Within 30 days after January 3, 1975, the Interior Secretary, EPA Administrator, Army Corps Chief of Engineers, NOAA Administrator, and other agencies with relevant expertise or jurisdiction must send the Secretary written comments about their responsibilities. (2) An application is also an application for every required Federal authorization. When its notice is published, the Secretary must send it to agencies with jurisdiction for comment, review, conditions, and other legally required action. Each agency must recommend approval or denial within 45 days after the last public hearing for the area. A disapproval recommendation must detail the legal or regulatory defects and how to amend the application. (f) NEPA. (1) "Lead agency" has the meaning in section 111 of the National Environmental Policy Act. (2)(A) For every application, the Maritime Administration is the Federal lead agency under that Act. (B) Compliance through the Maritime Administration fulfills the lead agency’s responsibilities under that Act for this chapter. (g) Notice and hearings. A license may issue only after public notice and hearings. At least one hearing must occur in each adjacent coastal State*, and anyone interested may present relevant material. After those hearings, if the Secretary finds specific material factual issues suitable for a formal evidentiary hearing, at least one adjudicatory hearing must occur in the District of Columbia under title 5 section 554. Its record is the basis for approval or denial. Hearings must be consolidated with other agencies’ hearings when practicable. All public hearings on all applications in an area must be consolidated and finished within 240 days after the initial notice. (h) Fees. (1)(A) An applicant must pay the Secretary, when filing, a nonrefundable fee set by regulation. (B) The applicant must also repay the United States and the appropriate adjacent coastal State* for extra processing costs. (2)(A) A "directly related land-based facility" means an onshore tank farm and pipelines connecting it to the port. (B) Unless law forbids it, an adjacent coastal State* may set reasonable port-use fees, and that State and any State containing directly related land facilities may set reasonable facility-use fees. (C) Fees may compensate for unrecovered economic costs of building and operating the port and facilities, including ad valorem taxes, and environmental and administrative costs. (D) Fees may not exceed the State’s applicable economic, environmental, and administrative costs. (E) The Secretary must approve each fee. (3) A licensee* must pay annually in advance the fair-market rent, set by the Interior Secretary, for the United States outer Continental Shelf seabed and subsoil used by the port, including the needed pipeline right-of-way. (i) Approval. (1) The Secretary must approve or deny an application within 90 days after the last hearing. (2) If multiple applications exist, unless one clearly best serves the national interest, the Secretary must license in this order: (A) an adjacent State or States, subdivision, agency, instrumentality, or wholly owned corporation; (B) a person not engaged in producing, refining, or marketing oil and not an affiliate* of such a person or affiliate; (C) any other person. (3) To decide whether one clearly best serves the national interest, the Secretary must consider environmental effects under section 1505 criteria, national security including effects on the United States or an allied country as defined in title 10 section 2350f(d)(1), completion-date differences, and construction or operating-cost differences that may significantly affect consumers’ oil costs. (4)(A) The Secretary must approve or deny a natural-gas-port application within 90 days after the last hearing. (B) If the Secretary misses that deadline, the reporting requirements in paragraphs (1), (2), and (3) do not apply. (5)(A) An "amended license application" is a natural-gas-port application first submitted before the President’s March 13, 2020 COVID-19 proclamation, later revised based on Secretary guidance and resubmitted. (B) The Secretary must expedite eligible amended applications. (C) Eligibility requires a natural-gas facility; an earlier determination that the original project was unlikely to significantly harm species or habitat consistent with law including NEPA; a determination that the original environmental review still applies and no new review is needed; and an affirmative original Record of Decision. (D) The Secretary must decide within 270 consecutive days after finding the amended application complete and compliant. (j) LNG tankers. (1) The Secretary must create and operate a program promoting transport of liquefied natural gas* to and from the United States on United States-flag vessels. (2) When the Coast Guard contributes to FERC’s shore licensing of an onshore or State-waters LNG or LPG terminal, it must give FERC the subsection (c)(2)(K) information for reasonably expected serving vessels. (k) Transparency. (1) "Applicable deadline" means the deadline under section 1503(c)(6), section 1503(d)(3), subsection (c)(1)(B), subsection (d)(3), subsection (e)(1) or (2), subsection (g), or subsection (i)(1) or (4)(A). (2) If the Secretary suspends or delays one, the Secretary must give the applicant and publish in the Federal Register a written statement explaining why, describing and requesting needed information and application status at lead and cooperating agencies, and identifying the deadline. (3)(A) The applicant may request a meeting with appropriate Transportation Department personnel and relevant cooperating-agency representatives, who must provide technical, status, process, timeline, and other needed information. (B) The meeting must occur within 30 days after the request. (4) After a request and at least every 30 days until the delay ends, the Secretary must report the delay, elapsed time, and its nature and circumstances to the Senate Commerce, Science, and Transportation Committee and House Transportation and Infrastructure Committee. (5) If a deadline is delayed, within 120 days after it and at least every 120 days until the delay ends, the Secretary or designee must brief those committees on elapsed time and the delay’s nature and circumstances.
Notwithstanding section 468(b) of title 6, the Secretary* shall have the authority to issue regulations to carry out the purposes and provisions of this chapter, in accordance with the provisions of section 553 of title 5, without regard to subsection (a) thereof. Such regulations shall pertain to, but need not be limited to, application*, issuance, transfer, renewal, suspension, and termination of licenses. Such regulations shall provide for full consultation and cooperation with all other interested Federal agencies and departments and with any potentially affected coastal State*, and for consideration of the views of any interested members of the general public. The Secretary is further authorized, consistent with the purposes and provisions of this chapter, to amend or rescind any such regulation.
The Secretary, in consultation with the Secretary of the Interior and the Administrator of the National Oceanic and Atmospheric Administration, shall, as soon as practicable after January 3, 1975, prescribe regulations relating to those activities involved in site evaluation and preconstruction testing at potential deepwater port* locations that may (1) adversely affect the environment; (2) interfere with authorized uses of the Outer Continental Shelf; or (3) pose a threat to human health and welfare. Such activity may thenceforth not be undertaken except in accordance with regulations prescribed pursuant to this subsection. Such regulations shall be consistent with the purposes of this chapter.
Each person* that submits to the Secretary an application shall include in the application a detailed plan that contains all information required under paragraph (2).
Not later than 21 days after the date of receipt of an application, the Secretary shall—
determine whether the application contains all information required under paragraph (2); and
if the Secretary determines that such information is contained in the application, not later than 5 days after making the determination, publish in the Federal Register—
a notice of the application; and
a summary of the plans; or
if the Secretary determines that all required information is not contained in the application—
notify the applicant of the applicable deficiencies; and
take no further action with respect to the application until those deficiencies have been remedied.
On publication of a notice relating to an application under subparagraph (B)(ii)(I), the Secretary shall be subject to subsection (f).
Each application shall include such financial, technical, and other information as the Secretary determines to be necessary or appropriate, including—
the name, address, citizenship, telephone number, and the ownership interest in the applicant, of each person having any ownership interest in the applicant of greater than 3 per centum;
to the extent feasible, the name, address, citizenship, and telephone number of any person with whom the applicant has made, or proposes to make, a significant contract for the construction* or operation of the deepwater port and a copy of any such contract;
the name, address, citizenship, and telephone number of each affiliate* of the applicant and of any person required to be disclosed pursuant to subparagraphs (A) or (B), together with a description of the manner in which such affiliate is associated with the applicant or any person required to be disclosed under subparagraph (A) or (B);
the proposed location and capacity of the deepwater port, including all components thereof;
the type and design of all components of the deepwater port and any storage facilities associated with the deepwater port;
with respect to construction in phases, a detailed description of each phase, including anticipated dates of completion for each of the specific components thereof;
the location and capacity of existing and proposed storage facilities and pipelines which will store or transport oil* transported through the deepwater port, to the extent known by the applicant or any person required to be disclosed pursuant to subparagraphs (A), (B), or (C);
with respect to any existing and proposed refineries which will receive oil transported through the deepwater port, the location and capacity of each such refinery and the anticipated volume of such oil to be refined by each such refinery, to the extent known by the applicant or any person required to be disclosed pursuant to subparagraphs (A), (B), or (C);
the financial and technical capabilities of the applicant to construct or operate the deepwater port;
other qualifications of the applicant to hold a license under this chapter;
the nation of registry for, and the nationality or citizenship of officers and crew serving on board, vessels transporting natural gas* that are reasonably anticipated to be servicing the deepwater port;
a description of procedures to be used in constructing, operating, and maintaining the deepwater port, including systems of oil spill prevention, containment, and cleanup; and
such other information as may be required by the Secretary to determine the environmental impact of the proposed deepwater port.
Upon written request of any person subject to this subsection, the Secretary may make a determination in writing to exempt such person from any of the informational filing provisions enumerated in this subsection or the regulations implementing this section if the Secretary determines that such information is not necessary to facilitate the Secretary’s determinations under section 1503 of this title and that such exemption will not limit public review and evaluation of the deepwater port project.
At the time notice of an application is published pursuant to subsection (c) of this section, the Secretary shall publish a description in the Federal Register of an application area encompassing the deepwater port site proposed by such application and within which construction of the proposed deepwater port would eliminate, at the time such application was submitted, the need for any other deepwater port within that application area.
As used in this section, “application area” means any reasonable geographical area within which a deepwater port may be constructed and operated. Such application area shall not exceed a circular zone, the center of which is the principal point of loading and unloading at the port, and the radius of which is the distance from such point to the high water mark of the nearest adjacent coastal State*.
The Secretary shall accompany such publication with a call for submission of any other applications for licenses for the ownership, construction, and operation of a deepwater port within the designated application area. Persons intending to file applications for such license shall submit a notice of intent to file an application with the Secretary not later than 60 days after the publication of notice pursuant to subsection (c) of this section and shall submit the completed application no later than 90 days after publication of such notice. The Secretary shall publish notice of any such application received in accordance with subsection (c) of this section. No application for a license for the ownership, construction, and operation of a deepwater port within the designated application area for which a notice of intent to file was received after such 60-day period, or which is received after such 90-day period has elapsed, shall be considered until the application pending with respect to such application area have been denied pursuant to this chapter.
This subsection shall not apply to deepwater ports for natural gas.
Not later than 30 days after January 3, 1975, the Secretary of the Interior, the Administrator of the Environmental Protection Agency, the Chief of Engineers of the United States Army Corps of Engineers, the Administrator of the National Oceanic and Atmospheric Administration, and the heads of any other Federal departments or agencies having expertise concerning, or jurisdiction over, any aspect of the construction or operation of deepwater ports shall transmit to the Secretary written comments as to their expertise or statutory responsibilities pursuant to this chapter or any other Federal law.
An application filed with the Secretary shall constitute an application for all Federal authorizations required for ownership, construction, and operation of a deepwater port. At the time notice of any application is published pursuant to subsection (c) of this section, the Secretary shall forward a copy of such application to those Federal agencies and departments with jurisdiction over any aspect of such ownership, construction, or operation for comment, review, or recommendation as to conditions and for such other action as may be required by law. Each agency or department involved shall review the application and, based upon legal considerations within its area of responsibility, recommend to the Secretary, the approval or disapproval of the application not later than 45 days after the last public hearing on a proposed license for a designated application area. In any case in which the agency or department recommends disapproval, it shall set forth in detail the manner in which the application does not comply with any law or regulation within its area of responsibility and shall notify the Secretary how the application may be amended so as to bring it into compliance with the law or regulation involved.
In this subsection, the term “lead agency” has the meaning given the term in section 111 of the National Environmental Policy Act of 1969 (42 U.S.C. 4336e).
For all applications, the Maritime Administration shall be the Federal lead agency for purposes of the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
Compliance with the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) in accordance with subparagraph (A) shall fulfill the requirement of the Federal lead agency in carrying out the responsibilities under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) pursuant to this chapter.
A license may be issued only after public notice and public hearings in accordance with this subsection. At least one such public hearing shall be held in each adjacent coastal State*. Any interested person may present relevant material at any hearing. After hearings in each adjacent coastal State are concluded if the Secretary determines that there exists one or more specific and material factual issues which may be resolved by a formal evidentiary hearing, at least one adjudicatory hearing shall be held in accordance with the provisions of section 554 of title 5 in the District of Columbia. The record developed in any such adjudicatory hearing shall be basis for the Secretary’s decision to approve or deny a license. Hearings held pursuant to this subsection shall be consolidated insofar as practicable with hearings held by other agencies. All public hearings on all applications for any designated application area shall be consolidated and shall be concluded not later than 240 days after notice of the initial application has been published pursuant to subsection (c).
Each person applying for a license pursuant to this chapter shall remit to the Secretary at the time the application is filed a nonrefundable application fee established by regulation by the Secretary.
In addition to a fee under subparagraph (A), an applicant shall also reimburse the United States and the appropriate adjacent coastal State for any additional costs incurred in processing an application.
In this paragraph, the term “directly related land-based facility”, with respect to a deepwater port facility, means an onshore tank farm and any pipelines connecting the tank farm to the deepwater port facility.
Notwithstanding any other provision of this chapter, and unless prohibited by law, an adjacent coastal State may fix reasonable fees for the use of a deepwater port facility, and such State and any other State in which land-based facilities directly related to a deepwater port facility are located may set reasonable fees for the use of such land-based facilities.
A fee may be established pursuant to this paragraph as compensation for any economic cost attributable to the construction and operation of the applicable deepwater port and the applicable land-based facilities, which cannot be recovered under other authority of the applicable State or political subdivision thereof, including, but not limited to, ad valorem taxes, and for environmental and administrative costs attributable to the construction and operation of the applicable deepwater port and the applicable land-based facilities.
The amount of a fee established under this paragraph shall not exceed the applicable economic, environmental, and administrative costs of the applicable State.
A fee established under this paragraph shall be subject to the approval of the Secretary.
A licensee* shall pay annually in advance the fair market rental value (as determined by the Secretary of the Interior) of the subsoil and seabed of the outer Continental Shelf of the United States to be utilized by the deepwater port, including the fair market rental value of the right-of-way necessary for the pipeline segment of the port located on such subsoil and seabed.
The Secretary shall approve or deny any application for a designated application area submitted pursuant to this chapter not later than 90 days after the last public hearing on a proposed license for that area.
In the event more than one application is submitted for an application area, the Secretary, unless one of the proposed deepwater ports clearly best serves the national interest, shall issue a license according to the following order of priorities:
First, to an adjacent coastal State (or combination of States), any political subdivision thereof, or agency or instrumentality, including a wholly owned corporation of any such government.
Second, to a person who is neither (i) engaged in producing, refining, or marketing oil, nor (ii) an affiliate of any person who is engaged in producing, refining, or marketing oil or an affiliate of any such affiliate.
Third, to any other person.
In determining whether any one proposed deepwater port clearly best serves the national interest, the Secretary shall consider the following factors:
The degree to which the proposed deepwater ports affect the environment, as determined under criteria established pursuant to section 1505 of this title.
National security, including an assessment of the implications for the national security of the United States or an allied country (as that term is defined in section 2350f(d)(1) of title 10) of the United States.
Any significant differences between anticipated completion dates for the proposed deepwater ports.
Any differences in costs of construction and operation of the proposed deepwater ports, to the extent that such differential may significantly affect the ultimate cost of oil to the consumer.
The Secretary shall approve or deny any application for a deepwater port for natural gas submitted pursuant to this chapter not later than 90 days after the last public hearing on a proposed license.
If the Secretary fails to approve or deny an application for a deepwater port for natural gas by the applicable deadline under subparagraph (A), the reporting requirements under paragraphs (1), (2), and (3) shall not apply to the application.
In this paragraph, the term “amended license application” means a license application for a deepwater port for natural gas—
that was originally submitted to the Secretary prior to the issuance of the proclamation issued by the President on March 13, 2020, with respect to the Coronavirus Disease 2019 (COVID–19) pandemic; and
with respect to which the applicant, based on guidance offered by the Secretary, has made subsequent revisions since the submission of the initial license application and submitted such revised application.
The Secretary shall expedite the review and subsequent approval or denial of amended license applications submitted pursuant to this section that meet the eligibility criteria described in subparagraph (C).
To be eligible for review under this paragraph, an amended license application shall meet the following criteria:
The amended license application is for a natural gas deepwater port facility.
The Secretary had determined that the project as specified in the initial license application was not likely to have any significant adverse environmental impact on species and habitat, consistent with law including National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
The Secretary has determined that the results of the environmental review conducted for the initial license application is still applicable to the amended license application and an additional environmental review is not required.
The Secretary had published an affirmative Record of Decision for the initial license application.
The Secretary shall approve or deny an amended license application submitted pursuant to this paragraph by no later than 270 consecutive days after the date on which the Secretary determines that the amended license application is complete and meets the requirements under this section.
The Secretary shall develop and implement a program to promote the transportation of liquefied natural gas to and from the United States on United States flag vessels.
When the Coast Guard is operating as a contributing agency in the Federal Energy Regulatory Commission’s shoreside licensing process for a liquefied natural gas or liquefied petroleum gas terminal located on shore or within State seaward boundaries, the Coast Guard shall provide to the Commission the information described in subsection (c)(2)(K) with respect to vessels reasonably anticipated to be servicing that port.
In this subsection, the term “applicable deadline”, with respect to an applicant, means the deadline or date applicable to the applicant under any of the following:
Section 1503(c)(6) of this title.
Section 1503(d)(3) of this title.
Subsection (c)(1)(B) (including clause (ii)(I) of that subsection).
Subsection (d)(3).
Paragraph (1) or (2) of subsection (e).
Subsection (g).
Paragraph (1) or (4)(A) of subsection (i).
If the Secretary suspends or delays an applicable deadline, the Secretary shall submit to the applicant, and publish in the Federal Register, a written statement—
describing the reasons for the suspension or delay;
describing and requesting any information necessary to issue the applicable license or permit and the status of applicable license or permit application at the lead agency and any cooperating agencies; and
identifying the applicable deadline with respect to the statement.
An applicant that receives a statement under paragraph (2) may submit to the Secretary a request for a meeting with appropriate personnel of the Department of Transportation and representatives of each cooperating Federal agency, as appropriate, determined by the Secretary to be relevant with respect to the application, including such officials as are appropriate, who shall provide technical assistance, status, process, and timeline updates and additional information as necessary.
A meeting requested under clause (i) shall be held not later than 30 days after the date on which the Secretary receives the request under that clause.
On receipt of a request under paragraph (3)(A), and not less frequently than once every 30 days thereafter until the date on which the application process is no longer suspended or delayed, the Secretary shall submit a notice of the delay, including a description of the time elapsed since the applicable deadline and the nature and circumstances of the applicable suspension or delay, to—
the Committee on Commerce, Science, and Transportation of the Senate; and
the Committee on Transportation and Infrastructure of the House of Representatives.
If the Secretary suspends or delays an applicable deadline, not later than 120 days after that applicable deadline, and not less frequently than once every 120 days thereafter until the date on which the application process is no longer suspended or delayed, the Secretary (or a designee of the Secretary) shall provide a briefing regarding the time elapsed since the applicable deadline and the nature and circumstances of the applicable suspension or delay to—
the Committee on Commerce, Science, and Transportation of the Senate; and
the Committee on Transportation and Infrastructure of the House of Representatives.
Source credit: (Pub. L. 93–627, § 5, Jan. 3, 1975, 88 Stat. 2131; Pub. L. 98–419, § 2(f), Sept. 25, 1984, 98 Stat. 1607; Pub. L. 104–324, title V, § 505, Oct. 19, 1996, 110 Stat. 3927; Pub. L. 107–295, title I, § 106(c), (f), (g), Nov. 25, 2002, 116 Stat. 2086–2088; Pub. L. 109–241, title III, § 304(c)(1), July 11, 2006, 120 Stat. 527; Pub. L. 111–281, title IX, § 903(d), Oct. 15, 2010, 124 Stat. 3011; Pub. L. 116–283, div. G, title LVXXXV [LXXXV], § 8502(b)(2), Jan. 1, 2021, 134 Stat. 4747; Pub. L. 118–31, div. C, title XXXV, § 3514(k)(4), Dec. 22, 2023, 137 Stat. 814; Pub. L. 118–159, div. C, title XXXV, § 3538, Dec. 23, 2024, 138 Stat. 2316; Pub. L. 119–60, div. G, title LXXIII, § 7342(a), (b), Dec. 18, 2025, 139 Stat. 1777.)
- 1975Enacted · Pub. L. 93-627 · 88 Stat. 2131
- 1984Amended · Pub. L. 98-419 · 98 Stat. 1607
- 1996Amended · Pub. L. 104-324 · 110 Stat. 3927
- 2002Amended · Pub. L. 107-295 · 116 Stat. 2086
- 2006Amended · Pub. L. 109-241 · 120 Stat. 527
- 2010Amended · Pub. L. 111-281 · 124 Stat. 3011
- 2021Amended · Pub. L. 116-283 · 134 Stat. 4747
- 2023Amended · Pub. L. 118-31 · 137 Stat. 814
- 2024Amended · Pub. L. 118-159 · 138 Stat. 2316
- 2025Amended · Pub. L. 119-60 · 139 Stat. 1777
A history note hasn’t been published yet. The record shows enactment by Pub. L. 93-627 on 1975-01-03.
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