46 U.S.C. § 57103 — Donation of vessels in the National Defense Reserve Fleet

(a) In General. The Secretary of Transportation may convey the United States Government's right, title, and interest in an obsolete National Defense Reserve Fleet vessel^* if the recipient: (1) is a nonprofit organization, State^*, or municipal corporation or political subdivision of a State; (2) agrees not to use or allow use of the vessel for commercial transportation; (3) agrees to make it available to the Government whenever the Secretary indicates it is needed; (4) agrees to hold the Government harmless for post-conveyance claims arising from asbestos, polychlorinated biphenyls, lead paint, or other hazardous substances, except claims arising from Government use; (5) has both a conveyance plan and a business plan describing the intended use, and each plan has been submitted to and approved by the Secretary; (6) has provided proof, as the Secretary determines, of enough resources for the transfer, needed repairs and modifications, and beginning the intended use; and (7) agrees that when it no longer needs the vessel as described in the business plan, (A) at the Secretary's discretion it will reconvey the vessel to the Government in good condition except for ordinary wear and tear, or (B) if its board has decided to dissolve it under the law of its State of incorporation, then (i) it will distribute the vessel as an asset to a person determined exempt from taxation under section 501(c)(3) of the Internal Revenue Code of 1986 (26 U.S.C. 501(c)(3)), or to the Federal Government or a State or local government for a public purpose, and (ii) a court with jurisdiction in the county where its principal office is located will dispose of the vessel for purposes the court determines or to organizations the court determines are organized exclusively for public purposes.

(b) Other Equipment. At the Secretary's discretion, additional equipment from other obsolete Fleet vessels may be conveyed to assist with maintenance, repairs, or modifications.

(c) Additional Terms. The Secretary may require any additional terms the Secretary considers appropriate.

(d) Delivery of Vessel. If a conveyance is made, the vessel must be delivered to the recipient at a time and place the Secretary determines, in an "as is" condition.

(e) Limitations. Before delivery, if the Secretary determines that a different disposition would better serve the Government's interests, the Secretary must pursue that more favorable disposition and is not liable for damages caused by an intended recipient's reliance on the proposed transfer.

(f) Reversion. Every conveyance must include terms providing that all right, title, and interest conveyed reverts to the Government if the Secretary determines the vessel was used other than as described in the business plan required by subsection (a)(5).