46 U.S.C. § 57104 — Acquisition of vessels from sale of obsolete vessels
submitted 20 years ago by Pub. L. 109-304 to r/title-46-SHIPPING · 174 words · no verdicts yet
This law lets the Secretary of Transportation buy replacement vessels using money earned from selling obsolete National Defense Reserve Fleet vessels for scrap. Both the acquired and the sold vessels are valued at scrap value, and a vessel sold for scrap abroad doesn't need separate approval to transfer it to a non-citizen.
(a) In General. The Secretary of Transportation may buy suitable documented vessels using money from the Vessel* Operations Revolving Fund, when that money came from selling obsolete vessels out of the National Defense Reserve Fleet.
(b) Valuation. Both the newly acquired vessel and the obsolete vessel* being sold are valued at their scrap value in domestic or foreign markets, as of the acquisition or sale date. Both values must be calculated the same way, including a fair estimate of the cost to move the sold vessel to the scrapping site.
(c) Costs Incident to Lay-Up. The Fund can also pay for costs related to laying up a vessel acquired under this section.
(d) Transfers to Non-Citizens. A vessel sold from the Fleet under this section can be scrapped in an approved foreign market without needing a separate, additional approval to transfer it to someone who isn't a U.S. citizen.
The Secretary of Transportation may acquire suitable documented vessels with amounts in the Vessel* Operations Revolving Fund derived from the sale of obsolete vessels in the National Defense Reserve Fleet.
The acquired and obsolete vessels shall be valued at their scrap value in domestic or foreign markets as of the date of the acquisition for or sale from the Fleet. However, the value assigned to those vessels shall be determined on the same basis, with consideration given to the fair value of the cost of moving the vessel sold from the Fleet to the place of scrapping.
Costs incident to the lay-up of the vessel acquired under this section may be paid from amounts in the Fund.
A vessel sold from the Fleet under this section may be scrapped in an approved foreign market without obtaining additional separate approval from the Secretary to transfer the vessel to a person not a citizen of the United States.
Source credit: (Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1660.)
- 2006Enacted · Pub. L. 109-304 · 120 Stat. 1660
A history note hasn’t been published yet. The record shows enactment by Pub. L. 109-304 on 2006-10-06.
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