``pumping platform                            applicable to all
                                          complex''.                                    deepwater ports
                                                                                regardless of design or
                                                                                cargo. There is no
                                                                                change in applicability
                                                                                because all manned
                                                                                deepwater ports are
                                                                                pumping platform
                                                                                complexes.

410(a) (current 510(a))................  Substitute ``Coast     Clarification........  We would clarify that the
                                          Guard District                                District Commander
                                          Commander in the                              approves applications to
                                          area where the                                establish a private aid
                                          deepwater port will                           to navigation.
                                          be built'' for
                                          ``Commandant (CG-
                                          5P)''.
480(a) (current 580(a))................  Remove ``of a pumping  Clarification........  The proposed change
                                          platform complex''.                           standardizes terminology
                                                                                applicable to all
                                                                                deepwater ports
                                                                                regardless of design or
                                                                                cargo.
485(a) (current 585(a))................  Substitute             Clarification........  The proposed change
                                          ``deepwater port''                            standardizes terminology
                                          for ``pumping                                 applicable to all
                                          platform complex''.                           deepwater ports
                                                                                regardless of design or
                                                                                cargo. There is no
                                                                                change in applicability
                                                                                because all manned
                                                                                deepwater ports are
                                                                                pumping platform
                                                                                complexes.
650....................................  Remove...............  Clarification;         We would transfer the
                                                                 Nonsubstantive         substance of this
                                                                 reorganization.        provision to Sec.
                                                                                149.52(d), and revise it
                                                                                to apply to all
                                                                                deepwater ports
                                                                                regardless of design or
                                                                                cargo.
----------------------------------------------------------------------------------------------------------------
                                                    PART 150
----------------------------------------------------------------------------------------------------------------
10.....................................  In (b), remove         Correction...........  We would remove this
                                          reference to part                             incorrect reference.
                                          148 approval of                               Approval of manuals is
                                          manuals.                                      addressed in part 150.
                                         Revise (c) and         Clarification........  We would remove existing
                                          redesignate (d) and                           (c) because the process
                                          (e).                                          is described in detail
                                                                                in proposed Sec.
                                                                                150.25. Existing (d) and
                                                                                (e) would be
                                                                                redesignated as (c) and
                                                                                (d), respectively.
                                         Add new (e)..........  Clarification........  The proposed change would
                                                                                make explicit in our
                                                                                regulations that the
                                                                                Coast Guard's current
                                                                                practice is to review
                                                                                the operations manual
                                                                                every five years, in
                                                                                conjunction with our
                                                                                review of the
                                                                                environmental impact
                                                                                statement (EIS) (the
                                                                                Council on Environmental
                                                                                Quality recommends that,
                                                                                as a rule of thumb, the
                                                                                EIS be carefully
                                                                                reexamined no later than
                                                                                once every five years--
                                                                                see https://ceq.doe.gov/nepa/regs/40/30-40.HTM#32).
15.....................................  In (i)(4)(vii),        Clarification........  We would clarify that the
                                          substitute ``zones                            procedures described
                                          and areas described                           must account for any
                                          under subpart J of                            protective zone or area
                                          this part'' for ``a                           that could apply,
                                          safety zone, area to                          regardless of a
                                          be avoided, and                               deepwater port's design
                                          anchorage area''.                             or cargo.
                                         Add new (o)..........  Informational........  Deepwater ports are ports
                                                                                subject to U.S.
                                                                                jurisdiction and used by
                                                                                oceangoing tankers
                                                                                greater than 400 gross
                                                                                tons, and as such their
                                                                                operators must comply
                                                                                with 33 CFR 158.135,
                                                                                which requires ports to
                                                                                hold certificates of
                                                                                adequacy (or waivers),
                                                                                evidencing their
                                                                                capability to receive
                                                                                regulated substances.
                                                                                For informational
                                                                                purposes, we would
                                                                                restate that requirement
                                                                                here.
                                         Revise (y) (current    Informational........  Under 33 CFR 106.410 and
                                          (x)).                                         106.415, security plans
                                                                                must be periodically
                                                                                audited, and reviewed
                                                                                every 5 years by the
                                                                                Coast Guard. For
                                                                                informational purposes,
                                                                                we would restate those
                                                                                requirements here.
                                         Revise (bb) (current   Clarification........  This change would reflect
                                          (aa)).                                        MARAD's current policy,
                                                                                requiring each deepwater
                                                                                port to maintain a
                                                                                prevention, monitoring,
                                                                                and mitigation program
                                                                                (PMMP) as a license
                                                                                condition.
                                         Add (cc).............  Clarification........  MARAD currently requires,
                                                                                as a license condition,
                                                                                each deepwater port to
                                                                                comply with 49 CFR
                                                                                192.605 and with other
                                                                                applicable PHMSA
                                                                                regulations in 49 CFR
                                                                                parts 190-199. We would
                                                                                make that requirement
                                                                                explicit in our
                                                                                regulations.
25.....................................  Revise heading.......  Clarification........  We would amend for better
                                                                                clarity.
                                         Add (c)(1)...........  Clarification........  We would clarify the
                                                                                existing local authority
                                                                                to approve or reject
                                                                                revisions to the
                                                                                operations manual.
                                         Revise (c)(2)(current  Clarification........  We would clarify the
                                          (d)).                                         existing local authority
                                                                                to approve or reject
                                                                                revisions to the
                                                                                operations manual.
                                         Revise (e)(current     Clarification........  We would clarify the
                                          (f)).                                         existing local authority
                                                                                to approve or reject
                                                                                revisions to the
                                                                                operations manual.

                                         Add new (f)..........  Clarification........  We would make explicit
                                                                                the existing authority
                                                                                of other Federal
                                                                                agencies to propose
                                                                                operations manual
                                                                                amendments to the Coast
                                                                                Guard.
30.....................................  Revise...............  Clarification........  We would update Coast
                                                                                Guard organizational
                                                                                terminology and clarify
                                                                                what our current process
                                                                                is for coordinating with
                                                                                other Federal agencies.
35.....................................  Revise...............  Informational........  Updated Coast Guard
                                                                                internal organization.
40.....................................  Add paragraph (b)....  Nonsubstantive         We would consolidate
                                                                 reorganization.        current 33 CFR 150.40
                                                                                and 150.45 into a single
                                                                                section dealing with
                                                                                deviations from the
                                                                                operations manual. In
                                                                                new (b), we would update
                                                                                references to Coast
                                                                                Guard internal
                                                                                organization.
45.....................................  Remove...............  Nonsubstantive         We would transfer the
                                                                 reorganization.        substance of this
                                                                                section to Sec.
                                                                                150.40. Text from
                                                                                existing Sec.   150.45
                                                                                now in proposed Sec.
                                                                                150.40(b).
50.....................................  Revise heading.......  Clarification........  The proposed change would
                                                                                reduce the risk of
                                                                                confusing a deepwater
                                                                                port with an Outer
                                                                                Continental Shelf
                                                                                facility.
100....................................  Add (b)..............  Clarification........  We would make explicit
                                                                                the current Coast Guard
                                                                                practice of sometimes
                                                                                allowing, for reasons of
                                                                                government economy,
                                                                                representatives from
                                                                                other Federal agencies
                                                                                to accompany Coast Guard
                                                                                inspectors on inspection
                                                                                visits to deepwater
                                                                                ports.
105....................................  Revise...............  Clarification........  We would clarify the
                                                                                existing procedure for
                                                                                proposing a self-
                                                                                inspection program; to
                                                                                make it clear that it is
                                                                                the operator, not the
                                                                                owner, who performs the
                                                                                duties required by this
                                                                                section; and to make
                                                                                explicit the existing
                                                                                Coast Guard regulatory
                                                                                responsibility to
                                                                                validate the contents
                                                                                and results of deepwater
                                                                                port self-inspections.
107....................................  Add..................  Procedural change....  We would add this section
                                                                                to require deepwater
                                                                                port operators to notify
                                                                                the Coast Guard when a
                                                                                Federal or State agency
                                                                                schedules an inspection
                                                                                and keep inspection
                                                                                records, both of which
                                                                                operators currently do
                                                                                without their being
                                                                                formally required. We
                                                                                would also make it
                                                                                explicit that, as a
                                                                                matter of government
                                                                                economy, Coast Guard
                                                                                personnel sometimes
                                                                                accompany Federal or
                                                                                State inspectors on
                                                                                inspection visits.
110....................................  Add ``or of changes    Procedural change....  We would require
                                          in class status.''                            deepwater port operators
                                          to existing language.                         to notify us of changes
                                                                                in the status of
                                                                                classification society-
                                                                                approved components,
                                                                                which may present safety
                                                                                issues that warrant
                                                                                adjustment to the
                                                                                deepwater port's
                                                                                operations. Operators
                                                                                currently provide this
                                                                                notification without
                                                                                being formally required
                                                                                to do so.
225....................................  Add second sentence..  Clarification........  This section currently
                                                                                requires appropriate
                                                                                training for deepwater
                                                                                port personnel. We would
                                                                                clarify our expectation,
                                                                                which is in line with
                                                                                current practice at the
                                                                                one existing manned
                                                                                deepwater port, that all
                                                                                personnel will receive
                                                                                basic safety training.
380....................................  Substitute ``ships     Clarification........  We would provide greater
                                          routing measures''                            technical accuracy and
                                          for the example                               use familiar
                                          ``(e.g., no                                   International Maritime
                                          anchoring area)''                             Organization
                                          from Table                                    terminology.
                                          150.380(a).
                                         Remove ``(for example  Clarification........  Because the surface
                                          an SPM)'' from Table                          components used by
                                          150.380(a).                                   deepwater ports vary so
                                                                                widely, we would remove
                                                                                an example that may
                                                                                confuse some license
                                                                                applicants.
                                         Revise (b)...........  Clarification........  We would update
                                                                                references to Coast
                                                                                Guard internal
                                                                                organization.
435(b).................................  Add ``unless'' clause  Provide additional     We would allow operations
                                                                 regulatory             to continue during an
                                                                 flexibility.           electrical storm so long
                                                                                as they are conducted in
                                                                                compliance with
                                                                                appropriate safety
                                                                                provisions contained in
                                                                                the operations manual.
715....................................  Add reference to 33    Clarification........  Deepwater port lights are
                                          CFR 66.01-11.                                 private aids to
                                                                                navigation and therefore
                                                                                subject to 33 CFR 66.01-
                                                                                11. We would make that
                                                                                explicit in deepwater
                                                                                port regulations.
720....................................  Add reference to 33    Clarification........  Would clarify that other
                                          CFR 67.10.                                    existing Coast Guard
                                                                                regulations for sound
                                                                                signals still apply.

812....................................  Add ``and the          Clarification........  Coast Guard marine
                                          environment''.                                casualty regulations
                                                                                that currently apply to
                                                                                vessels and facilities,
                                                                                including deepwater
                                                                                ports, protect
                                                                                environmental safety as
                                                                                well as the safety of
                                                                                life and property; see,
                                                                                e.g., 33 CFR 140.1, 46
                                                                                CFR 4.03-1. We would
                                                                                make explicit the need
                                                                                to consider
                                                                                environmental damage in
                                                                                connection with this
                                                                                section.
830....................................  Revise...............  Procedural change....  This section currently
                                                                                requires the one
                                                                                existing oil deepwater
                                                                                port to report oil
                                                                                pollution incidents in
                                                                                accordance with 33 CFR
                                                                                part 135, for which the
                                                                                underlying authority may
                                                                                have been repealed. (See
                                                                                Coast Guard notice of
                                                                                inquiry, 76 FR 67385;
                                                                                Nov. 1, 2011; a follow-
                                                                                on rulemaking has begun
                                                                                under RIN 1625-AA03 and
                                                                                docket number USCG-2004-
                                                                                17697.) We would require
                                                                                reports to be made in
                                                                                accordance with 33 CFR
                                                                                part 153 subpart B,
                                                                                which has reporting
                                                                                requirements similar to
                                                                                those in part 135. We
                                                                                would also restate the
                                                                                existing 33 CFR 135.307
                                                                                requirements for the
                                                                                contents of pollution
                                                                                reports.
915(a).................................  Add ``or the           Clarification........  Coast Guard marine
                                          environment''.                                casualty regulations
                                                                                that currently apply to
                                                                                vessels and facilities,
                                                                                including deepwater
                                                                                ports, protect
                                                                                environmental safety as
                                                                                well as the safety of
                                                                                life and property; see,
                                                                                e.g., 33 CFR 140.1, 46
                                                                                CFR 4.03-1. We would
                                                                                make explicit the need
                                                                                to consider
                                                                                environmental damage in
                                                                                connection with this
                                                                                section.
----------------------------------------------------------------------------------------------------------------

V. Regulatory Analyses

    The Coast Guard developed this proposed rule after considering the
statutes and E.O.s related to rulemaking that are discussed in this
part.

A. Regulatory Planning and Review

    Executive Orders 12866 (``Regulatory Planning and Review'') and
13563 (``Improving Regulation and Regulatory Review'') direct agencies
to assess the costs and benefits of available regulatory alternatives
and, if regulation is necessary, to select regulatory approaches that
maximize net benefits (including potential economic, environmental,
public health and safety effects, distributive impacts, and equity).
Executive Order 13563 emphasizes the importance of quantifying both
costs and benefits, of reducing costs, of harmonizing rules, and of
promoting flexibility. This notice of proposed rulemaking has been
designated a ``significant regulatory action'' although not
economically significant, under section 3(f) of E.O. 12866.
Accordingly, the notice of proposed rulemaking has been reviewed by the
Office of Management and Budget (OMB).
    The Coast Guard proposes revisions to its regulations for the
licensing, construction, design, equipment, and operation of deepwater
ports, which are offshore fixed or floating structures, other than
vessels, used as ports or terminals for the import or export of oil and
natural gas. The proposed revisions would provide additional
information, clarify existing regulations, provide additional
regulatory flexibility, and add new requirements to ensure safety.
    One objective of the proposed rule is to ensure that adequate
information is submitted with a deepwater port application. Through the
experience of processing past applications, Coast Guard and other
Federal agencies have identified additional, specific types of
information that are necessary to ensure a timely review of, and
decision on, deepwater port applications. For past applications, this
additional information has been requested during the review process,
causing delays in the review and approval of applications. Specifying
that the additional information is required at the beginning of the
process will not increase the application process burden, but is
expected to result in more efficient and timely reviews of any future
applications.
    Further, the proposed rule codifies various technical and
operational requirements. During the application review process, and
after the actual construction and operation of new deepwater ports, the
Coast Guard gained additional insight into the technical and
operational requirements that will help ensure operations are conducted
efficiently and in a manner that furthers safety, security, and
environmental protection. These technical and operational requirements
are currently standard industry practice or are existing requirements
(e.g., from another agency, etc.). The proposed rule consolidates these
requirements to facilitate understanding and compliance of deepwater
port owners and operators.
    Table 2 below provides a summary of the final rule's costs and
benefits.

             Table 2--Summary of the Proposed Rule's Impacts
------------------------------------------------------------------------
                     Category                              Summary
------------------------------------------------------------------------
Applicability.....................................  Deepwater ports in
                                                     waters beyond the
                                                     territorial limits
                                                     of the United
                                                     States.
Affected Population...............................  Future deepwater
                                                     port applicants 3
                                                     existing deepwater
                                                     ports.
Cost Impacts......................................  No additional costs
                                                     identified.
Benefits..........................................  More efficient and
                                                     timely reviews of
                                                     deepwater port
                                                     applications.
                                                    Consolidation of
                                                     technical and
                                                     operating
                                                     requirements for
                                                     existing deepwater
                                                     ports.

                                                    Potential cost
                                                     savings from the
                                                     following
                                                     provisions:
                                                       1. Sec.   148.8
                                                        Nominate CE.
                                                       2. Sec.   148.105
                                                        Equivalent means
                                                        of certifying
                                                        accuracy of
                                                        maps.
                                                       3. Sec.
                                                        148.707.
                                                       4. Sec.   149.51
                                                        Allows foreign
                                                        national
                                                        engineers.
                                                       5. Sec.   149.52
                                                        Allows for
                                                        adoption of
                                                        classification
                                                        society
                                                        standards.
                                                       6. Sec.   150.435
                                                        Authorizes
                                                        continuation of
                                                        cargo transfer
                                                        operations
                                                        during
                                                        electrical
                                                        storm.
                                                       7. Sec.   150.15
                                                        Limits scope of
                                                        audits to
                                                        modifications.
------------------------------------------------------------------------

Affected Population
    One oil deepwater port began operation before 2006. Since 2006, the
Coast Guard has processed, or is processing, eight deepwater port
applications to site, construct, and operate deepwater ports. After
review of those applications, two LNG deepwater ports have been
constructed, one has been issued a license to construct, and one has
initial approval through a favorable ROD from MARAD. The applicants for
the other four applications have withdrawn their applications. The
population of currently operating deepwater ports is three: the one
pre-2006 oil port and two LNG ports.
    The potential number of additional deepwater port applications over
the next 10 years is dependent on changing market conditions and
economic forces. The existing deepwater ports were built when the
forecasts for imports of LNG to the United States, such as those made
by the Energy Information Administration (EIA), were predicting high
levels of LNG imports. With recent changes in the natural gas and oil
markets, EIA now projects continued decline in LNG imports and
increasing volumes of LNG exports.\18\ The financial and technical
feasibility of using deepwater ports for LNG exports has not yet been
demonstrated, making a projection of the number of future deepwater
port applications difficult. The Coast Guard, for the purpose of this
rulemaking, estimates that it will receive at least one future
deepwater port application in the next 10 years, based on the one
entity that has expressed interest in submitting a new application. The
Coast Guard is proposing changes to enhance the efficiency and
timeliness of any future applications.
---------------------------------------------------------------------------

    \18\ http://www.eia.gov/forecasts/aeo/pdf/0383(2014).pdf.
---------------------------------------------------------------------------

Costs
    Table 3 details numerous proposed changes in the regulation with an
assessment of the cost impacts of the change. These changes fall into
the following categories:
     May result in possible time or cost savings as they allow
for greater flexibility in complying with existing requirements.
     Clarify information to be submitted with the deepwater
port application. These information requirements do not result in
additional costs to industry as this information has been required
under existing 33 CFR 148.107 in the past during application processing
and review. Based on experience with each of the previous applicant
reviews, the Coast Guard has consistently requested this information at
some point in the processing of the application. The proposed
regulatory changes clarify that the information is required up front to
allow for the more timely review of the application, thus saving the
applicant the time and expense of additional submissions.
     Implementation may be optional.
     Clarify the Coast Guard's existing need for certain
additional information that it specifies during the license process and
which the license applicant provides; the intended impact of the
clarification is to notify the applicant that, in the interest of
expeditious processing of the application, this information should be
provided up front. As the information is already being provided, there
is no new cost impact.
     May be administrative and would not result in costs. Many
of these changes clarify the relationship between various Federal
agencies with responsibility for deepwater ports application,
licensing, and review. These types of changes do not impose any
behavioral changes by applicants of deepwater ports. These changes are
labeled ``Administrative,'' described as clarifications, and will have
no cost impact. Other ``Administrative'' proposed changes reword
definitions or delete outdated references.

Overall, Coast Guard has not identified additional costs associated
with complying with the proposed rule, and sees potential for some
minor cost savings. Table 3 provides a detailed list of the changes
proposed by the Coast Guard. The changes with potential cost savings
include the following:
     Proposed Sec.  148.8 allows an applicant to nominate a CE
during the application processing phase. Currently, an applicant
nominates a CE later in the application process. By allowing the
nomination earlier, we believe that the applicants will have potential
cost savings by identifying potential problems or challenges earlier in
the process rather than later, when more work has been done on the
application.
     Proposed Sec.  148.105 allows for equivalent means of
certifying the accuracy of maps. Applicants have experienced delays
when certified geologists were not available to certify the accuracy of
maps. The Coast Guard had no alternative but to stop the clock, often
delaying application processing by several months. The intent of this
proposed revision is to permit the use of specialists who do not
possess a professional certification, but are able to provide proof of
equivalent technical expertise and experience, to certify work studies
and reports required to satisfactorily process a deepwater port
application. Allowing certifications by technical personnel possessing
alternate credentialing will help to eliminate extensive delays in
projects, waiting for expertise that is limited and in high demand.
Also, proposed Sec.  148.105 allows for the use of data older than 5
years under certain conditions. Use of older data could result in
potential cost savings due to the avoidance of gathering new data.
     Proposed Sec.  148.214 allows for resubmission of a
modified application without incurring a fee. Under the existing
process, an application can be re-submitted after modification, but the
applicant must pay the filing fee.
     Proposed Sec.  149.51 allows foreign-national engineers to
submit design and construction plans on behalf of the licensee. The
potential cost savings come from the flexibility of allowing the
applicant to contract services from a larger pool of engineers. The
applicant

may have existing relationships with foreign engineers as the
construction of LNG ports is multinational. Thus, the expertise of the
foreign engineer may allow for more rapid review, greater institutional
knowledge, and prior professional relationships which could result in
potential cost savings.
     Proposed Sec.  149.52 allows for adoption of
classification society standards. Many maritime companies rely on
classification standards to satisfy insurance, safety management system
(SMS), and other requirements. The Coast Guard's adoption of
classification society standards eliminates the potential for duplicate
effort. The Coast Guard recognizes that work already completed by a
classification society can be used in the application process. An
example is the APL submerged turret loading buoy system to import
natural gas. The first natural gas deepwater port was Gulf Gateway,
which used the APL submerged turret loading buoy system. There were no
existing classification standards that addressed these types of ports
or their components. Classification societies (American Bureau of
Shipping (ABS) and Det Norske Veritas (DNV)) had to develop standards
as the post-licensing review and approval process was taking place.
Additional review on the part of the Coast Guard to grant equivalency
approvals for some major port components and systems (emergency alarms,
shutoffs, etc.) caused some delays in schedule. The classification
societies have developed a highly detailed body of information on the
submerged turret loading buoy-type deepwater ports, as well as
practical experience with the actual deepwater port operations. This
information, adopted as classification society standards, will improve
and expedite the post-licensing engineering review and approval
process.
     Proposed Sec.  150.435 authorizes continuation of cargo
transfer operations during an electrical storm. The potential cost
savings derives from the ability to continue safe operations during
certain electrical storms in accordance with the deepwater port's
plans. The LNG port operators have stated that they cannot shut down
operations during electrical storms as this will lead to potentially
hazardous situations due to static electricity build-up.

           Table 3--Assessment of Impacts of the Proposed Rule
------------------------------------------------------------------------
     Description of change        Type of change        Cost impact
------------------------------------------------------------------------
Sec.   148.3 What Federal agencies are responsible for implementing the
 Deepwater Port Act?
------------------------------------------------------------------------
Clarify the Coast Guard's role  Administrative:    No cost.
 as the lead agency              Clarification of
 responsible for preparing the   existing role.
 environmental impact analysis
 under NEPA, compliance with
 NEPA and other relevant
 environmental laws, and
 matters relating to
 navigation safety and
 security, engineering and
 safety standards, and
 facility inspections.
PHMSA is the Federal agency     Administrative:    No cost.
 with jurisdiction over the      Clarification of
 construction and operation of   existing
 pipeline components of a        authority of
 deepwater port.                 PHMSA.
Expands the description of      Administrative:    No cost.
 responsibilities for the        Clarification of
 Coast Guard and cooperating     existing
 Federal agencies.               authority of
                                 cooperating
                                 Federal agencies.
Delete the reference to an      Administrative:    No cost.
 expired Interagency MOU         Deletion of
 between the Coast Guard and     outdated
 MARAD.                          reference.
------------------------------------------------------------------------
Sec.   148.5 How are terms used in this subchapter defined?
------------------------------------------------------------------------
Definition clarifies the        Administrative:    No cost.
 requirements of a security      Definition.
 plan's scope and contents and
 would align with 33 CFR
 subchapter H.
Definition specifies the        Administrative:    No cost.
 components that comprise the    Definition.
 flexible riser and umbilical
 portion of a STL buoy system.
Moved from Sec.   149.5.......  Administrative:    No cost.
                                 Move.
Definition clarifies that the   Administrative:    No cost.
 operator of a deepwater port    Definition.
 may be either the person who
 receives the license to
 operate (licensee), or the
 licensee's designated
 representative who is
 responsible for the day to
 day operation of the
 deepwater port.
Definition clarifies            Administrative:    No cost.
 jurisdictional boundaries       Definition.
 regarding Federal agency
 oversight of deepwater
 pipelines between the Coast
 Guard and PHMSA regarding
 oversight of deepwater port
 pipelines.
Definition clarifies that the   Administrative:    No cost.
 PLEM includes the last          Definition.
 downstream valve prior to the
 deepwater port pipeline.
Definition to account for a     Administrative:    No cost.
 new proposed post-licensing     Definition.
 requirement.
Moved from Sec.   149.5.......  Administrative:    No cost.
                                 Move.
Moved from Sec.   149.5.......  Administrative:    No cost.
                                 Move.
Definition distinguishes        Administrative:    No cost.
 between deepwater ports that    Definition.
 use STL buoys to affect cargo
 transfer and deepwater ports
 that use single point
 moorings for cargo transfer
 operations.
------------------------------------------------------------------------

Sec.   148.8 How are certifying entities designated and used for
 purposes of this subchapter?
------------------------------------------------------------------------
Allows the applicant to         Administrative:    Possible time and
 nominate a CE during the        Provides           cost savings. The CE
 application processing phase    flexibility in     can be nominated and
 in order to begin the           nominating CE      chosen during MARAD
 technical review necessary      earlier in         evaluation period
 for the approval of design,     process.           rather than waiting
 construction, installation,                        until after the ROD,
 operation, maintenance and                         allowing an earlier
 decommissioning plans for any                      start to
 proposed deepwater port.                           certification. The
                                                    CE could begin a
                                                    technical review
                                                    during MARAD
                                                    evaluation period to
                                                    identify potential
                                                    problems and
                                                    solutions before
                                                    work has progressed
                                                    further on an
                                                    application.
------------------------------------------------------------------------
Sec.   148.105 What must I include in my application?
------------------------------------------------------------------------
Clarifies that MARAD, and not   Administrative:    No cost.
 the Coast Guard, is the lead    Clarification of
 agency responsible for          MARAD and the
 matters regarding the DWPA      Coast Guard's
 financial responsibility        existing roles
 aspect of a deepwater port      re: DWPA
 application.                    financial
                                 responsibility.
Removes and replaces            Administrative:    No cost.
 ``operator'' with               Clarification of
 ``licensee'' as the             who is
 responsible party for costs     financially
 associated with removal of      responsible
 port components.                party.
Clarifies that the applicant    Administrative:    No cost.
 must provide with its           Clarification of
 application a completed         need for
 consistency certification       consistency
 stating that the proposed       certificate to
 deepwater port complies with    comply with
 each affected State's Coastal   existing Coastal
 Management Program per 15 CFR   Zone Management
 part 930, subpart D.            Program
                                 requirements.
Allows an applicant to provide  Administrative:    Possible time and
 an equivalent means of          Provides           cost savings. As the
 certifying the accuracy of      flexibility in     Coast Guard
 the leasing maps or             means of           processed
 protraction diagrams, as an     certifying         applications, it
 alternative to using a          accuracy of maps   became aware of the
 professional surveyor.          and diagrams.      limited availability
                                                    of registered
                                                    professional
                                                    surveyors authorized
                                                    to certify Outer
                                                    Continental Shelf
                                                    leasing maps or
                                                    protraction
                                                    diagrams. This
                                                    resulted in delays
                                                    in application
                                                    processing. By
                                                    allowing for
                                                    equivalent means of
                                                    certification, this
                                                    proposed change
                                                    would broaden the
                                                    spectrum of persons
                                                    who would be able to
                                                    provide the
                                                    necessary
                                                    professional
                                                    competency to
                                                    certify the accuracy
                                                    or correctness of
                                                    the leasing maps or
                                                    protraction
                                                    diagrams, and
                                                    minimize delays in
                                                    application
                                                    processing.
Requires the site plan showing  Clarifies          No cost. Information
 proposed anchorage and          information        has been required
 mooring areas to also include   needed to          from all past
 areas associated with           support            applicants.
 construction and installation   application.       Clarifying
 of deepwater port components                       information needed
 (e.g., pipelaying) in                              up front does not
 addition to deepwater port                         result in additional
 operations.                                        cost but instead
                                                    helps prevent
                                                    delays.
Allow exceptions to 5-year      Administrative:    Potential time and
 limit on age of data for        Provides           cost savings. The
 certain hydrographic data.      flexibility by     proposed change
                                 allowing the use   would allow the use
                                 of data older      of older data, with
                                 than 5 years       Coast Guard
                                 under certain      approval. Use of
                                 circumstances.     older information
                                                    may result in costs
                                                    avoided to develop
                                                    new data.
Requires an applicant to        Clarifies          No cost. Information
 provide MetOcean data that      information        has been required
 includes prevailing winds,      needed to          from all past
 currents, waves and storm       support            applicants.
 history in the affected area    application.       Clarifying
 of the proposed deepwater                          information needed
 port site.                                         up front does not
                                                    result in additional
                                                    cost but instead
                                                    helps prevent
                                                    delays.
Requires an applicant to        Clarifies          No cost. Information
 provide vessel traffic data     information        has been required
 to support analysis of          needed to          from all past
 navigational safety and         support            applicants.
 security hazards.               application.       Clarifying
                                                    information needed
                                                    up front does not
                                                    result in additional
                                                    cost but instead
                                                    helps prevent
                                                    delays.
Clarifies that geological       Clarifies          No cost. Information
 survey data includes not just   information        has been required
 soil analysis, but also the     needed to          from all past
 overall physical                support            applicants.
 characteristics of the ocean    application.       Clarifying
 bottom (e.g., soil mechanics).                     information needed
                                                    up front does not
                                                    result in additional
                                                    cost but instead
                                                    helps prevent
                                                    delays.
Formalizes the independent      Clarifies          No cost. Formalizes
 risk and consequence            information        existing process
 assessment process that has     needed to          (information already
 been customarily submitted as   support            submitted as a
 a supplement to the             application.       supplement).
 application.
Requires the applicant to       Clarifies          No cost. Information
 identify in the environmental   information        has been required
 evaluation section of the       needed to          from all past
 application a reasonable        support            applicants.
 range of alternatives to the    application.       Clarifying
 proposed action to include                         information needed
 deepwater port location,                           up front does not
 pipeline routes and landfall                       result in additional
 locations (if applicable),                         cost but instead
 construction methods, and                          helps prevent
 deepwater port design and                          delays.
 technologies used during
 operations.

Requires the applicant to       Clarifies          No cost. Information
 include in the deepwater port   information        already compiled and
 application a request for a     needed to          submitted by all
 COA as defined at 33 CFR        support            applicants to comply
 158.120 or a request for        application.       with MARPOL and
 waiver if compliance is                            APPS.
 impracticable or unreasonable.
------------------------------------------------------------------------
Sec.   148.107 What happens if I supplement my application?
------------------------------------------------------------------------
Allows for suspension of        Administrative:    No cost. Existing
 timeline if information         Formalizes         process for
 required is not provided in a   existing process   suspending timelines
 timely manner.                  for suspending     already in use when
                                 timeline.          applicable.
Superseded....................  Administrative:    No cost.
                                 Removes and
                                 replaces with
                                 (d) and (e).
Superseded....................  Administrative:    No cost.
                                 Removes and
                                 replaces with
                                 (d) and (e).
Superseded....................  Administrative:    No cost.
                                 Removes and
                                 replaces with
                                 (d) and (e).
Replaces (2)..................  Administrative:    No cost.
                                 Formalizes
                                 existing process
                                 for suspending
                                 timeline.
Replaces (3)..................  Administrative:    No cost.
                                 Formalizes
                                 existing process
                                 for suspending
                                 timeline.
------------------------------------------------------------------------
Sec.   148.125 What are the application fees?
------------------------------------------------------------------------
Adds environmental analysis as  Administrative:    No cost. Formalizes
 examples of costs for           Adding             current industry
 application and post-license    environmental      practice. Clarifies
 review.                         analysis as        current practice
                                 example.           when processing
                                                    deepwater port
                                                    applications that
                                                    costs for
                                                    environmental
                                                    analyses must be
                                                    paid by applicant
                                                    prior to commencing
                                                    operation of
                                                    deepwater port.
------------------------------------------------------------------------
Sec.   148.209 How is the application processed?
------------------------------------------------------------------------
Removes reference to outdated   Administrative:    No cost.
 MOU.                            Removes
                                 reference to
                                 outdated MOU.
------------------------------------------------------------------------
Sec.   148.211 What must I do if I need to change my application?
------------------------------------------------------------------------
Formalizes process in the case  Administrative:    No cost.
 of a significant change or      Formalizes
 required information.           existing process.
------------------------------------------------------------------------
Sec.   148.214 May I resubmit my application?
------------------------------------------------------------------------
Formalizes process for re-      Administrative:    Potential cost
 submittal of application.       Formalizes         savings. Formalizes
 Allows for resubmission of      process to allow   process that allows
 application with no filing      for re-submittal   for resubmission of
 fee.                            of application.    modified application
                                                    with no filing fee.
------------------------------------------------------------------------
Sec.   148.217 How can a State be designated as an Adjacent Coastal
 State?
------------------------------------------------------------------------
States that MARAD determines    Administrative:    No cost.
 whether a State should be       Clarifies
 considered an Adjacent          respective
 Coastal State, and that         duties of Coast
 MARAD, in consultation with     Guard and MARAD.
 the Coast Guard, would
 designate the Adjacent
 Coastal States.
------------------------------------------------------------------------
Sec.   148.228 What if a formal evidentiary hearing is necessary?
------------------------------------------------------------------------
Establishes procedures to be    Administrative:    No cost.
 used for a formal evidentiary   Provides
 hearing.                        procedures for
                                 existing
                                 hearings.
Removes (b)-(d)...............  Administrative:    No cost.
                                 Removes
                                 superseded
                                 requirements.
------------------------------------------------------------------------
Sec.  Sec.   148.230 through 148.256
------------------------------------------------------------------------
Removes.......................  Administrative:    No cost.
                                 Removes
                                 superseded
                                 requirements.
------------------------------------------------------------------------
Sec.   148.276 What is the timeline for approving or denying an
 application?
------------------------------------------------------------------------

Describes timeline for action   Administrative:    No cost.
 on a license including the      Clarifies timing
 publishing of a notice of       for publication
 application.                    of notice of
                                 application.
Describes MARAD public          Administrative:    No cost.
 hearings in Adjacent Coastal    Clarifies
 States.                         process for
                                 Adjacent Coastal
                                 State public
                                 hearings.
------------------------------------------------------------------------
Sec.   148.283 When may the application process be stopped and an
 application be treated as withdrawn?
------------------------------------------------------------------------
Clarifies that MARAD and        Administrative:    No cost.
 Commandant will provide a       Clarification of
 joint written notice to the     joint written
 applicant of action taken       notice procedure.
 under this section.
Clarifies when a suspended      Administrative:    No cost.
 application is considered       Substitutes
 withdrawn.                      ``withdrawn''
                                 for
                                 ``suspended'' to
                                 describe when an
                                 application
                                 process is
                                 stopped.
------------------------------------------------------------------------
Sec.   148.405 What are the procedures for notifying the Commandant (CG-
 5P) of proposed site evaluation and pre-construction testing?
------------------------------------------------------------------------
Clarifies that BOEM guidelines  Information for    No cost. Does not add
 for geological and              submission with    a new requirement,
 geophysical surveys should be   application:       but clarifies what
 applied when the applicant      Clarifies use of   standards would be
 plans to use bottom and sub-    BOEM guidelines    sufficient for the
 bottom acoustic profiling       for certain data.  Coast Guard to
 during deepwater port site                         properly evaluate an
 evaluation and pre-                                applicant's
 construction activities.                           deepwater port site
                                                    evaluation and pre-
                                                    construction testing
                                                    plans. Applicants
                                                    currently use BOEM
                                                    guidelines.
------------------------------------------------------------------------
Sec.   148.605 What are the procedures under OPA 90 for adjusting a
 deepwater port's limit of liability under 33 U.S.C. 2704(d)(2)?
------------------------------------------------------------------------
Clarifies that Coast Guard may  Administrative:    No cost. Explains
 lower the OPA 90 limit of       Clarifies          process to lower oil
 liability for deepwater ports   process for        spill liability
 under 33 U.S.C. 2704(d)(2) on   existing           limits. Requires no
 a port-by-port basis, after     authority for CG   change of behavior.
 evaluating oil spill risk and   to lower the OPA
 economic analyses.              90 limit of
                                 liability for
                                 deepwater ports.
Discusses that the OPA 90       Administrative:    No cost. Explains OPA
 limit of liability of a         Sets minimum       90 liability
 deepwater port will not be      level for OPA 90   adjustments.
 reduced to less than $50        limit of           Requires no change
 million, and may be increased   liability          of behavior.
 following a reduction, as the   adjustments and
 Coast Guard deems               describes
 appropriate, if the design,     process for
 construction, or operation of   increases as
 the deepwater port changes,     appropriate.
 or if oil spill incidents
 related to the deepwater
 port, or to deepwater ports
 generally, indicate that a
 higher limit is needed.
Describes that requests for     Administrative:    No cost. Explains OPA
 adjustments to the OPA 90       Clarifies          90 liability
 deepwater port limit of         process for        adjustments.
 liability may be submitted      existing           Requires no change
 with a license application or   authority for CG   of behavior.
 upon receipt of a license       to lower OPA 90
 from MARAD to construct and     limit of
 operate the proposed            liability.
 deepwater port.
Describes the contents of       Additional         No cost. The industry
 requests to adjust the limit    Information:       is currently
 of liability under 33 U.S.C.    Lists              required by OPA 90
 2704(d)(2), including a risk    information        to perform this risk
 analysis of the deepwater       required to        analysis.
 port to determine its maximum   support an
 most probable oil discharge     adjustment to
 and an economic analysis to     liability.
 determine the removal costs
 and damages of such a spill.
------------------------------------------------------------------------
Sec.   148.707 What type of criteria will be used in an environmental
 evaluation and how will they be applied?
------------------------------------------------------------------------
(b) Expands the list of         Additional         No cost. The intent
 resource areas which will be    Information:       of this revision is
 considered in the               Clarifies          to clarify that the
 environmental impact analysis   existing           existing NEPA and
 to include, without being       requirements for   DWPA requirements
 limited to, threatened          NEPA submissions.  must be met. This
 species; marine protected                          has always been
 areas; marine, coastal, and                        required under NEPA
 migratory birds; marine                            and DWPA in order to
 mammals; and fisheries.                            develop and publish
                                                    the EIS, and to
                                                    initiate Endangered
                                                    Species Act Section
                                                    7 consultation w/
                                                    NFMS & FWS.
------------------------------------------------------------------------
148.715 How is an environmental review conducted?
------------------------------------------------------------------------
Adds the following to the       Administrative:    No cost.
 existing list of factors:       Specifies data
 geographic relevance, age of    already required
 data, and methods of data       and data quality
 analysis.                       for Coast Guard
                                 review.
------------------------------------------------------------------------
Sec.   148.737 What environmental statutes must an applicant follow?
------------------------------------------------------------------------

Removes the list of             Administrative:    No cost.
 environmental statutes and      Replaces list of
 executive orders and replaces   statutes with
 it with a reference to the      reference to Web
 list on the Commandant Web      site so list can
 site.                           be kept current.
------------------------------------------------------------------------
Sec.   149.5 What definitions apply to this part?
------------------------------------------------------------------------
Moves to definitions section    Administrative:    No cost.
 148.5.                          Moved.
------------------------------------------------------------------------
Sec.   149.15 What is the process for submitting alterations and
 modifications affecting the design and construction of a deepwater
 port?
------------------------------------------------------------------------
Contains procedures for         Administrative:    No cost.
 preparation and submission of   Removed to Sec.
 plans pertaining to design,      149.54.
 construction and operation of
 the deepwater port, and the
 Coast Guard's review and
 approval of these proposed
 plans.
------------------------------------------------------------------------
Sec.   149.20 What must the District Commander be notified of and when?
------------------------------------------------------------------------
Adds that the District          Administrative:    No cost. Current
 Commander must be notified of   Clarifies          industry practice
 the construction of a STL       existing           that all STL buoy
 buoy.                           practice by        applicants notify
                                 adding STL buoy.   District Commander.
------------------------------------------------------------------------
Sec.   149.51 What construction drawings and specifications are
 required?
------------------------------------------------------------------------
Allows a foreign national       Qualifications:    Potential cost
 engineer, possessing            Allows             savings due to
 qualifications equivalent to    equivalent         flexibility.
 those required in the United    qualifications
 States for a professional       for foreign
 engineer, to submit design      national
 and construction plans on       engineer.
 behalf of the licensee.
------------------------------------------------------------------------
Sec.   149.52 What are the design standards?
------------------------------------------------------------------------
Clarifies what the appropriate  Classification     Provides alternative
 classification society          standards:         for compliance that
 requirements are for            Allows the use     has potential cost
 deepwater ports. This           of                 savings due to use
 proposed change would be        classification     of existing industry
 added to explicitly allow for   society            classification
 the adoption of                 standards as       society standards by
 classification society          generally used     recognizing work
 standards generally used        within the         already completed by
 within the offshore industry    industry.          a classification
 that are at least equivalent                       society, eliminating
 to rules established by any                        the potential for
 recognized classification                          duplicating effort.
 society recognized by the
 Coast Guard.
------------------------------------------------------------------------
Sec.   149.54 What is the process for submitting alterations and
 modifications affecting the design, construction, and operations of a
 deepwater port?
------------------------------------------------------------------------
Moved from another section....  Administrative:    No cost.
                                 Moves existing
                                 text from other
                                 section.
------------------------------------------------------------------------
Sec.   149.57 What is the review and approval process for the design,
 construction, and commissioning for Deepwater Ports for operation?
------------------------------------------------------------------------
Provides standardization of     Administrative:    No cost. Uses
 the deepwater port              Describes          existing Coast Guard
 commissioning process,          process,           resources.
 ensures all levels of the       clarifies
 Coast Guard with deepwater      responsibilities.
 port responsibilities are
 appraised of a deepwater
 port's pending operational
 approval, and clarifies for
 the licensee the identity of
 the responsible Coast Guard
 official with daily
 operational oversight.
------------------------------------------------------------------------
Sec.   149.58 What is the role of the certifying entity in the review
 and approval process for the design, construction, and commissioning
 for Deepwater Ports for operation?
------------------------------------------------------------------------
Describes the scope and         Certifying         No cost. Current
 duration of a CE's              entity:            industry practice.
 responsibility during each      Describes scope    Clarifies the role
 phase of design,                and duration of    of the technical
 construction, and operations,   CE                 contractor they have
 and would apply to all          responsibility.    already been
 nominated CEs whether                              employing to develop
 nominated under proposed Sec.                      the application to
   148.8 or not.                                    assume the role as
                                                    CE for the design,
                                                    construction,
                                                    installation, and
                                                    commencement of
                                                    deepwater port
                                                    operations.
------------------------------------------------------------------------
Sec.   149.115 What are the requirements for pipeline end manifold
 shutoff valves?
------------------------------------------------------------------------

Revises to indicate that the    Equipment          No cost. Formalizes
 PLEM's shutoff valve must be    requirement:       current industry
 operable from a remote          Pipeline end       practice. Remotely-
 location because that           manifold's         operated shutoff
 capability must be available    shutoff valve      valves are already
 for operations on unmanned      must be operable   required to be
 deepwater ports as well as      from remote        installed on all
 during emergencies.             location.          currently active
                                                    deepwater ports.
                                                    (i.e., 49 CFR 193
                                                    (PHMSA) for LNG
                                                    deepwater ports), as
                                                    well as be designed
                                                    and maintained in
                                                    accordance with
                                                    Classification
                                                    Society Rules (ABS
                                                    and DNV).
------------------------------------------------------------------------
Sec.   149.206 What are the requirements for survival craft and rescue
 boats?
------------------------------------------------------------------------
Aligns the requirements for     Survival craft:    No cost. Formalizes
 survival craft and rescue       Aligns             current industry
 boats for manned deepwater      requirements       practice. LOOP is
 ports with Coast Guard          with MODU CFRs.    the only manned
 requirements for survival                          deepwater port and
 craft and rescue boats for                         is currently
 MODUs in 46 CFR 108.520-                           equipped w/SOLAS-
 108.575.                                           compliant survival
                                                    craft, thus already
                                                    complying with this
                                                    regulation change.
                                                    The cost for
                                                    operating and
                                                    maintaining these
                                                    craft is already
                                                    factored into port
                                                    operational budget.
                                                    Future manned
                                                    deepwater ports are
                                                    also expected to
                                                    comply with SOLAS
                                                    survival craft
                                                    requirements.
------------------------------------------------------------------------
Sec.   149.306 through 149.315.
------------------------------------------------------------------------
Removes sections..............  Administrative:    No cost.
                                 Removed.
------------------------------------------------------------------------
Sec.   150.10 What are the general requirements for operations manuals?
------------------------------------------------------------------------
To ensure operations manuals    Operations         No cost. Formalizes
 are subject to continuous       manual: 5-year     current industry
 review and reflect the          cycle to           practice and
 deepwater port's actual         resubmit           recognizes
 operational profile, the        operational        established
 Coast Guard proposes in Sec.    manual for         procedure. Deepwater
  150.10(e) to establish a 5-    review.            port operators have
 year cycle for the operator                        been submitting
 to re-submit the operations                        their operations
 manual to the Commandant (CG-                      manuals on a 5-year
 5P) to be re-reviewed and re-                      cycle for nearly 10
 approved. This 5-year review                       years to comply with
 cycle would coincide with the                      MTSA requirements,
 existing 5-year environmental                      permits, and
 baseline reassessment                              requirements from
 requirement found at Sec.                          other Federal
 150.15(bb).                                        agencies.
------------------------------------------------------------------------
Sec.   150.15 What must the operations manual include?
------------------------------------------------------------------------
Require that the operations     Operations         No cost. Formalizes
 manual include either the       manual:            current industry
 deepwater port's COA that       Specifies          practice.
 certifies the deepwater port    inclusion of
 meets the requirements for      existing COA in
 reception facilities as         manual.
 required under 33 CFR part
 158, or to include a waiver
 of the COA issued by the
 responsible Sector Commander
 or MSU Commander with COTP
 and OCMI authority.
Comprehensive audit program to  Audit program for  No cost. The
 ensure that the deepwater       port security      deepwater port
 port operator has an approved   plan:              security plan is a
 and regularly reviewed          Establishes a      subset of the
 deepwater port security plan.   requirement for    operations manual.
 To help fulfill this            annual audit of    As stated above,
 verification requirement, the   port security      LOOP and the LNG
 Coast Guard would implement     plan. Results      deepwater port
 an annual audit program for     are submitted as   operators are
 deepwater ports that would      attachment to      already employing
 align with, and the report of   existing annual    contractors to
 audit results would be an       self-inspection    conduct and produce
 attachment to, the annual       report.            port security
 self-inspection report that                        assessments and to
 the operator is already                            update the
 required to provide to the                         operations and
 responsible Sector Commander                       security plans as
 or MSU Commander with COTP                         needed. This
 and OCMI authority as                              regulatory revision
 specified at Sec.   150.105.                       is formalizing what
 This proposed requirement                          is current industry
 would allow the Sector                             practice and meets
 Commander or MSU Commander                         the approval of the
 with COTP and OCMI authority                       cognizant COTP.
 to verify that the deepwater
 port operator has the
 necessary personnel and
 procedures in place to
 respond to a security
 incident in a manner that
 adequately protects the
 deepwater port, human health,
 and the environment.
Establishes that the deepwater  Audit program for  No cost. Formalizes
 port security plan must be      port security      current industry
 audited if there is a change    plan:              practice. Existing
 in ownership or operations of   Establishes        Coast Guard
 the deepwater port, or if       requirement for    deepwater port
 there have been modifications   audit of           regulations (Sec.
 to the deepwater port.          security plan if   150.15(x)) require
                                 there is a         the operator to
                                 change in          maintain a security
                                 ownership,         plan ``comparable to
                                 operations or      part 106.'' Part
                                 modification to    106, in turn,
                                 the port.          requires the
                                                    security plan to be
                                                    audited annually and
                                                    to be submitted to
                                                    Coast Guard for re-
                                                    approval every 5
                                                    years. No currently
                                                    operating deepwater
                                                    port has had more
                                                    than annual audits.

Limits the scope of audits of   Audit program for  No cost. Clarifies
 the port security plan to       port security      existing
 only those sections affected    plan: Clarifies    requirements in
 by the modifications.           existing           106.415(b)(3).
                                 requirements in
                                 106.415(b)(3).
Requires submittal of the       Audit program for  No cost. Formalizes
 proposed amendment to the       port security      current industry
 cognizant Sector Commander or   plan:              practice. Existing
 MSU Commander with COTP and     Establishes        Coast Guard
 OCMI authority, with copy to    process if audit   deepwater port
 the Commandant for review and   results require    regulations (Sec.
 approval.                       amendment.         150.15(x)) require
                                                    the operator to
                                                    maintain a security
                                                    plan ``comparable to
                                                    part 106.'' Part
                                                    106, in turn,
                                                    requires the
                                                    security plan to be
                                                    audited annually and
                                                    to be submitted to
                                                    Coast Guard for re-
                                                    approval every 5
                                                    years.
Establishes that the Sector     Security plans:    No cost. Formalizes
 Commander or MSU Commander      Establishes        current industry
 with COTP and OCMI authority    requirement for    practice. Existing
 will normally perform an        Sector Commander   Coast Guard
 annual security inspection to   or MSU Commander   deepwater port
 verify the findings in the      with COTP and      regulations (Sec.
 audit. The Sector Commander     OCMI authority     150.15(x)) require
 or MSU Commander with COTP      to perform         the operator to
 and OCMI authority will         annual security    maintain a security
 perform a more detailed         inspection and 5-  plan ``comparable to
 deepwater port security plan    year security      part 106.'' Part
 review at prescribed 5-year     plan review.       106, in turn,
 intervals following initial                        requires the
 approval of the deepwater                          security plan to be
 port security plan and will                        audited annually and
 include onsite inspection of                       to be submitted to
 personnel assignments and                          Coast Guard for re-
 qualifications, observance of                      approval every 5
 security drills, and other                         years.
 security exercises as
 necessary.
Adopts the use of a formal      Operations         No cost. Current
 PMMP. Currently, every          manual: Requires   industry practice as
 licensed deepwater port has a   that existing      every deepwater port
 PMMP as a condition of the      PMMP be            has a PMMP to get a
 MARAD-issued license by         incorporated as    license. This also
 making the PMMP a requirement   part of the        harmonizes with
 of the operations manual.       operations         MARAD requirements.
                                 manual.
Requires the operator to        Procedural manual  No cost. Formalizes
 develop a manual that           for pipelines:     current industry
 addresses deepwater port        Requires           practice and is also
 pipeline operations,            development of a   currently required
 maintenance and emergencies.    procedures         as a condition of
 This manual, which would be     manual for         the MARAD-issued
 an appendix to the operations   pipelines          license for PHMSA
 manual, would incorporate       incorporating      approval. Has been
 procedures that meet the        existing PHMSA     submitted by all
 requirements of PHMSA           requirements.      applicants for
 regulations.                                       deepwater ports.
------------------------------------------------------------------------
Sec.   150.25 When will the Coast Guard require amendments to the
 operations manual?
------------------------------------------------------------------------
Amends the regulation to        Administrative:    No cost.
 clarify that if the             Clarifies
 responsible Sector Commander    responsibility
 or MSU Commander with COTP      of Sector
 and OCMI authority determines   Commander or MSU
 that the licensee's proposed    Commander with
 amendments to the operations    COTP and OCMI
 manual are inadequate, the      authority with
 COTP may return the proposed    respect to
 amendments to the licensee      operations
 for revision.                   manual
                                 amendments.
Explicitly enables other        Administrative:    No cost.
 Federal agencies to propose     Enables other
 amendments of the operations    Federal agencies
 manual to Commandant.           to propose
                                 amendments to
                                 operations
                                 manual.
------------------------------------------------------------------------
Sec.   150.30 How may the licensee propose an amendment to the
 operations manual?
------------------------------------------------------------------------
Adds new paragraph (a) to       Amendment to       No cost. Formalizes
 state that the applicant must   Operations         current industry
 provide Commandant with a       Manual: Process    practice. These
 copy of the proposed            for submittal      types of changes
 amendment. Commandant would     and notification   requiring Coast
 then notify MARAD prior to      of amendment.      Guard review and
 approval of significant                            approval are already
 changes to the deepwater                           routinely submitted
 port's operations.                                 electronically to
                                                    Coast Guard.
------------------------------------------------------------------------
Sec.   150.100 What are the requirements for inspecting deepwater ports?
------------------------------------------------------------------------
Adds new paragraph (b) to       Administrative:    No cost.
 affirm that other Federal       Clarifies that
 agency representatives may      representatives
 accompany Coast Guard           from other
 personnel during an             Federal agencies
 inspection of a deepwater       can accompany
 port to verify compliance in    Coast Guard
 those areas of operations       personnel during
 over which each agency has      an inspection.
 jurisdiction.
------------------------------------------------------------------------
Sec.   150.105 What are the requirements for annual self-inspection?
------------------------------------------------------------------------

Revises the procedures for      Self-inspection    No cost. Clarifies
 development and approval of a   Program:           existing procedures
 deepwater port self-            Clarifies          for development of
 inspection program by which     existing           self-inspection
 deepwater ports may, prior to   procedures for     program.
 commencement of operations,     development of
 submit a self-inspection        self-inspection
 program to the responsible      program.
 Sector Commander or MSU
 Commander with COTP and OCMI
 authority for consideration
 and approval.
Requires that the responsible   Administrative:    No cost.
 Sector Commander or MSU         Clarifies
 Commander with COTP and OCMI    procedures for
 authority validate the          validation of
 results of each inspection.     inspections.
 If the Sector Commander or
 MSU Commander with COTP and
 OCMI authority determines the
 deepwater port is not
 operating in conformity with
 its operations manual or
 license, the Sector Commander
 or MSU Commander with COTP
 and OCMI authority must
 direct appropriate corrective
 action and notify Commandant
 (CG-5P) and, if there is a
 possible violation of a
 license condition, notify
 MARAD.
------------------------------------------------------------------------
Sec.   150.107 What notice must be given in the event of inspections?
------------------------------------------------------------------------
Requires that the operator      Notification of    No cost. Formalizes
 notify the responsible Sector   inspection:        current industry
 Commander or MSU Commander      Operator must      practice. These
 with COTP and OCMI authority    notify Sector      types of changes
 when a Federal or State         Commander or MSU   requiring Coast
 agency schedules an             Commander with     Guard review and
 inspection, and retain the      COTP and OCMI      approval are already
 record of results of any        authority of       routinely submitted
 Federal or State agency         Federal or State   to Coast Guard.
 inspection, and make those      inspection and
 records available for review    retain records
 upon request from the           of inspections.
 responsible Sector Commander
 or MSU Commander with COTP
 and OCMI authority or his or
 her designated representative.
------------------------------------------------------------------------
Sec.   150.110 What are the notification requirements upon receipt of
 classification society certifications?
------------------------------------------------------------------------
Requires that the deepwater     Notification of    No cost. Formalizes
 port operator notify the        classification     current industry
 responsible Sector Commander    status: Operator   practice. These
 or MSU Commander with COTP      must notify        types of changes
 and OCMI authority of any       Sector Commander   requiring Coast
 changes to the deepwater        or MSU Commander   Guard review and
 port's classification status    with COTP and      approval are already
 to ensure the deepwater         OCMI authority     routinely submitted
 port's operations are carried   of changes to      to Coast Guard.
 out in a manner that is safe    classification
 for personnel and protective    status.
 of the environment.
------------------------------------------------------------------------
Sec.   150.225 What training and instruction are required?
------------------------------------------------------------------------
Ensures that all employees,     Training:          No cost. Consolidates
 regardless of status, receive   Requires that      existing training
 basic safety training as soon   all employees      requirements that
 as practicable after            receive basic      are currently
 reporting to the deepwater      safety training.   scattered throughout
 port.                                              part 150. All
                                                    deepwater ports
                                                    currently require
                                                    basic safety
                                                    training for all
                                                    crew and persons
                                                    other than crew on
                                                    deepwater ports.
------------------------------------------------------------------------
Sec.   150.435 When are cargo transfers not allowed?
------------------------------------------------------------------------
Authorizes continuation of      Cargo transfers:   Potential cost
 cargo transfers during an       Allows             savings due to
 electrical storm in the         continuation of    flexibility in
 vicinity of the deepwater       cargo transfers    continuing
 port so long as the             during             operations. Also,
 operations manual contains      electrical         LNG ports must
 approved procedures, with       storms if          maintain operations
 which the deepwater port        certain            to avoid possible
 operator is in compliance, to   procedures are     hazardous
 ensure the safety of            used.              situations.
 personnel, equipment and the
 environment.
------------------------------------------------------------------------
Sec.   150.830 Reporting a pollution incident.
------------------------------------------------------------------------
Requires that the person in     Notification of    No cost. Already
 charge report oil pollution     oil pollution      required in Sec.
 incidents involving a           incidents:         135.307.
 deepwater port according to     Requires that
 Sec.  Sec.   135.305 and        person in charge
 135.307.                        report oil
                                 pollution
                                 incidents.
------------------------------------------------------------------------

Benefits
    The benefits of the proposed rule are summarized below. See Table 4
for more detailed marginal benefit analysis.
Part 148
    The main purpose of the revisions to 33 CFR part 148 in this
proposed rule is to clarify the deepwater port application process. The
roles of the Coast Guard, MARAD, BOEM, and other Federal agencies would
be further clarified to insure applicants better understand the
application process. The

Coast Guard also proposed to revise the definitions used in parts 148,
149, and 150 to reflect actual operations.
    The benefits for 33 CFR part 148 would come from incorporating
lessons learned from the history of deepwater port applications. The
Coast Guard frequently finds that applications cannot be fully
processed without time-consuming delays to obtain additional data from
applicants. The result may require the Coast Guard to ``stop the
clock'' on the application review process. This proposed rule will
likely reduce the periods when the ``clock is stopped,'' and expedite
the application process.
Part 149
    The proposed changes in 33 CFR part 149 are mainly technical and
administrative in nature to clarify the review and approval process.
The proposed changes would allow for increased flexibility in the
review and approval process and for certifying entities.
Part 150
    The proposed changes to part 150 of Title 33 would consolidate
operational requirements and codify current industry practice to
improve understanding of, and compliance with, good operational
practices.

          Table 4--Assessment of Benefits of the Proposed Rule
------------------------------------------------------------------------
                                                  Beneficial impact of
       Section          Description of change            change
------------------------------------------------------------------------
Sec.   148.3 What     Describes Coast Guard's   Clarifies for applicant
 Federal agencies      role as the lead agency   the roles and
 are responsible for   responsible for NEPA      responsibilities of
 implementing the      compliance. Also          Coast Guard and other
 Deepwater Port Act?   describes the             Federal agencies to
                       responsibilities of       enhance understanding
                       PHMSA and other federal   of application process.
                       agencies. Deletes
                       reference to expired
                       MOU.
Sec.   148.5 How are  Administrative            Clarification of various
 terms in this         definitions and           terms.
 subchapter defined?   reorganization.
Sec.   148.8 How are  Allows the applicant to   Possible time and cost
 certifying entities   nominate a CE during      savings. The CE can be
 designated and used   the application           nominated and chosen
 for purposes of       processing phase in       during the MARAD
 this subchapter.      order to begin the        evaluation period,
                       technical review          rather than waiting
                       necessary for the         until after the ROD,
                       approval of design,       allowing earlier start
                       construction,             to certification. The
                       installation,             CE could begin
                       operation, maintenance    technical review during
                       and decommissioning       MARAD evaluation period
                       plans for any proposed    to identify potential
                       deepwater port.           problems and solutions
                                                 before work has
                                                 progressed on a
                                                 application.
Sec.   148.105 What   Various Administrative    Clarifies roles of Coast
 must I include in     measures.                 Guard and MARAD, and
 my application?                                 who is a financially
                                                 responsible party, and
                                                 provides consistency
                                                 with Coastal Zone
                                                 Management Act
                                                 procedures to enhance
                                                 understanding of
                                                 application process.
Sec.   148.105 What   Provides flexibility in   Possible time and cost
 must I include in     means of certifying       savings. As the Coast
 my application?       accuracy of maps and      Guard processed
                       diagrams.                 applications, it became
                                                 aware of the
                                                 unavailability of
                                                 registered professional
                                                 surveyors authorized to
                                                 certify Outer
                                                 Continental Shelf
                                                 leasing maps or
                                                 protraction diagrams.
                                                 This resulted in delays
                                                 in application
                                                 processing. By allowing
                                                 for equivalent
                                                 certifications, this
                                                 proposed change would
                                                 broaden the spectrum of
                                                 persons who could
                                                 certify the accuracy or
                                                 correctness of the
                                                 leasing maps or
                                                 protraction diagrams,
                                                 and minimize delays in
                                                 application processing.
Sec.   148.105 What   Allows use of data older  Potential time and cost
 must I include in     than 5 years under        savings. The proposed
 my application?       certain circumstances.    change would allow the
                                                 use of older data, with
                                                 Coast Guard approval.
                                                 Use of older
                                                 information may result
                                                 in costs avoided to
                                                 develop new data.
Sec.   148.105 What   Specifies various         Clarifies information to
 must I include in     information to be         be included with the
 my application?       included with             application to prevent
                       application.              ``stopping the clock''
                                                 if information is
                                                 requested during
                                                 application review.
Sec.   148.107 What   Various Administrative    Clarifies existing
 happens if I          changes, including        process and enhances
 supplement my         formalizing existing      understanding by
 application?          process for suspending    removing outdated
                       timeline.                 discussion.
Sec.   148.125 What   Administrative change     Clarifies the existing
 are the application   that adds environmental   practice that
 fees?                 analysis as examples of   environmental analysis
                       costs for application     costs are part of
                       and post-license review.  application and post-
                                                 license review.
Sec.   148.209 How    Administrative change     Clarifies existing
 is the application    that removes reference    process by removing
 processed?            to outdated MOU.          outdated references.
Sec.   148.211 What   Formalizes existing       Clarifies existing
 must I do if I need   process in the case of    process to enhance
 to change my          a significant change or   understanding of
 application?          required information.     application process.
Sec.   148.214 May I  Formalizes process to     Potential cost savings.
 resubmit my           allow for re-submittal    The proposed change
 application?          of application.           allows for the
                                                 resubmission of an
                                                 application after a
                                                 modification with no
                                                 filing fee. The
                                                 existing process allows
                                                 resubmission, but a
                                                 filing fee for the re-
                                                 submittal applies.
Sec.   148.217 How    Clarifies respective      Clarifies existing
 can a State be        duties of Coast Guard     process to enhance
 designated as an      and MARAD.                understanding of
 Adjacent Coastal                                application process.
 State?
Sec.   148.228 What   Provides procedures for   Clarifies existing
 if a formal           existing hearings and     process to enhance
 evidentiary hearing   removes superseded        understanding of
 is necessary?         requirements.             application process.

Sec.  Sec.   148.230  Removes superseded        Clarifies existing
 through 148.256       requirements.             process to enhance
                                                 understanding of
                                                 application process.
Sec.   148.276 What   Describes timing for      Clarifies existing
 is the timeline for   publication of notice     process to enhance
 approving or          of application and        understanding of
 denying an            process for Adjacent      application process.
 application?          Coastal State public
                       hearings.
Sec.   148.283 When   Describes that MARAD and  Clarifies existing
 may the application   Commandant will provide   process to enhance
 process be stopped    joint written statement   understanding of
 and an application    to the applicant of       application process.
 be treated as         action taken under this
 withdrawn?            section.
Sec.   148.405 What   Clarifies that BOEM       Clarifies existing
 are the procedures    guidelines for            process to enhance
 for notifying the     geological and            understanding of
 Commandant (CG-5P)    geophysical surveys       application process.
 of proposed site      should be applied when
 evaluation and pre-   the applicant plans to
 construction          use bottom and sub-
 testing?              bottom acoustic
                       profiling during
                       deepwater port site
                       evaluation and pre-
                       construction activities.
Sec.   148.605 What   Clarifies process for     Clarifies existing
 are the procedures    existing authority for    process to enhance
 under OPA 90 for      Coast Guard to lower      understanding of
 adjusting a           the OPA 90 limit of       application process.
 deepwater port's      liability for deepwater
 limit of liability    ports; sets minimum
 under 33 U.S.C.       level for OPA 90 limit
 2704(d)(2)?           of liability
                       adjustments and
                       describes process for
                       increases as
                       appropriate; lists
                       information required to
                       support an adjustment
                       to liability.
Sec.   148.707 What   Clarifies existing        Clarifies information to
 type of criteria      requirements for NEPA     be included with the
 will be used in an    submissions.              Application to prevent
 environmental                                   ``stopping the clock''
 evaluation and how                              if information is
 will they be                                    requested during
 applied?                                        application review.
Sec.   148.707 What   Deletes requirement to    Possible time and cost
 type of criteria      consider future           savings. Consideration
 will be used in an    environmental             of future environmental
 environmental         regulations as            regulations time
 evaluation and how    unreasonable.             consuming and requires
 will they be                                    speculation. Allows
 applied?                                        focus on complying with
                                                 existing regulations.
Sec.   148.715 How    Adds the following to     Clarifies information to
 is an environmental   the existing list of      be included with the
 review conducted?     factors: Geographic       application to prevent
                       relevance, age of data,   ``stopping the clock''
                       and methods of data       if information is
                       analysis.                 requested during
                                                 application review.
Sec.   148.737 What   Replaces list of          Allows for easier update
 environmental         statutes with reference   of list of statutes
 statutes must an      to Web site so list can   that applicant must
 applicant follow?     be kept current.          follow.
Sec.   149.5 What     Moves to definition       Administrative to
 definitions apply     section 148.5.            enhance understanding
 to this part?                                   of application process
                                                 by consolidating
                                                 definitions.
Sec.   149.20 What    Adds that the District    Clarifies existing
 must the District     Commander must be         requirement by adding
 Commander be          notified of the           STL.
 notified of and       construction of a
 when?                 submerged turret
                       loading (STL) buoy.
Sec.   149.51 What    Allows a foreign          Potential cost savings
 construction          national engineer,        due to flexibility by
 drawings and          possessing                allowing equivalent
 specifications are    qualifications            qualifications for
 required?             equivalent to those       foreign national
                       required in the United    engineer thereby
                       States for a              avoiding potential
                       professional engineer,    delays.
                       to submit design and
                       construction plans on
                       behalf of the licensee.
Sec.   149.52 What    Clarifies what the        Potential cost savings
 are the design        appropriate               due to use of existing
 standards?            classification society    industry classification
                       requirements are for      society standards.
                       deepwater ports. This
                       proposed change would
                       be added to explicitly
                       allow for the adoption
                       of classification
                       society standards
                       generally used within
                       the offshore industry
                       that are at least
                       equivalent to rules
                       established by any
                       recognized
                       classification society
                       recognized by the Coast
                       Guard.
Sec.   149.54 What    Moves existing text from  Reorganizes text to
 is the process for    other section.            enhance understanding.
 submitting
 alterations and
 modifications
 affecting the
 design,
 construction, and
 operations of a
 deepwater port?
Sec.   149.57 What    Provides standardization  Describes the review and
 is the review and     of the deepwater port     approval process and
 approval process      commissioning process,    clarifies
 for the design,       ensures all levels of     responsibilities to
 construction, and     the Coast Guard with      facilitate
 commissioning for     deepwater port            understanding of the
 Deepwater Ports for   responsibilities are      process.
 operation?            appraised of a
                       deepwater port's
                       pending operational
                       approval, and clarifies
                       for the licensee the
                       identity of the
                       responsible Coast Guard
                       official with daily
                       operational oversight.

Sec.   149.58 What    Describes the scope and   Clarifies scope and
 is the role of the    duration of a CE's        duration of CE's
 certifying entity     responsibility during     responsibility to
 in the review and     each phase of design,     enhance understanding
 approval process      construction, and         of how the CE assists
 for the design,       operations, and would     the application
 construction, and     apply to all nominated    process.
 commissioning for     CEs whether nominated
 Deepwater Ports for   under proposed Sec.
 operation?            148.8 or not.
                       (discussed previously
                       under ``B. Part 148, 2.
                       Application Information