[Federal Register Volume 88, Number 114 (Wednesday, June 14, 2023)]
[Proposed Rules]
[Pages 38765-38789]
[FR Doc No: 2023-12513]

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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Parts 140 and 146

46 CFR Parts 4 and 109

[Docket No. USCG-2013-1057]
RIN 1625-AB99

Marine Casualty Reporting on the Outer Continental Shelf

AGENCY: Coast Guard, DHS.

ACTION: Supplemental notice of proposed rulemaking.

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SUMMARY: The Coast Guard proposes changing the reporting criteria for
certain casualties that occur on foreign floating outer continental
shelf (OCS) facilities (FOFs), mobile offshore drilling units (MODUs),
and vessels engaged in OCS activities. In this supplemental notice of
proposed rulemaking (SNPRM), the Coast Guard revises the approach
described in the notice of proposed rulemaking (NPRM) published in 2014
and responds to

public comments about the NPRM. The Coast Guard proposes this action to
harmonize the casualty-reporting regimes that apply to foreign and U.S.
FOFs, MODUs, and vessels engaged in OCS activities and to account for
the changes in technology on the OCS, since the casualty-reporting
regulations were originally published in 1982. In addition, in response
to public comment on the 2014 NPRM, the Coast Guard proposes to raise
the property damage dollar threshold that triggers a casualty report
from $25,000 to $75,000 for fixed facilities on the OCS because the
original regulation setting the property damage threshold amount was
issued in the 1980s and has not since been updated. Through this SNRPM,
the Coast Guard would update Coast Guard regulations to keep up with
technology, improve awareness of accident trends on the OCS, improve
safety on the OCS, and reduce the regulatory burden on operators of
fixed OCS platforms.

DATES: Comments and related material must be received before September
12, 2023.

ADDRESSES: You may submit comments identified by docket number USCG-
2013-1057 using the Federal eRulemaking Portal at www.regulations.gov.
    See the ``Public Participation and Request for Comments'' portion
of the SUPPLEMENTARY INFORMATION section below for instructions on
submitting comments.
    Collection of information. Submit comments on the collection of
information discussed in section IX.D. of this preamble both to the
Coast Guard's online docket and to the Office of Information and
Regulatory Affairs (OIRA) in the White House Office of Management and
Budget (OMB) using their website www.reginfo.gov/public/do/PRAMain.
Comments sent to OIRA on the collection of information must reach OMB
on or before the comment due date listed on their website.

FOR FURTHER INFORMATION CONTACT: If you have questions on this
supplemental proposed rule, call or email CDR Amanda Fahrig, Office of
Investigations and Casualty Analysis (CG-INV), telephone<PHONE_NUMBER>,
email, [email protected].

SUPPLEMENTARY INFORMATION:

Table of Contents for Preamble

I. Public Participation and Request for Comments
II. Abbreviations
III. Basis and Purpose
IV. Regulatory History
V. Background
VI. Discussion of Proposed Rule
VII. Discussion of Comments on the NPRM
VIII. Differences between the NPRM and SNPRM
IX. Regulatory Analyses
    A. Regulatory Planning and Review
    B. Small Entities
    C. Assistance for Small Entities
    D. Collection of Information
    E. Federalism
    F. Unfunded Mandates
    G. Taking of Private Property
    H. Civil Justice Reform
    I. Protection of Children
    J. Indian Tribal Governments
    K. Energy Effects
    L. Technical Standards
    M. Environment

I. Public Participation and Request for Comments

    The Coast Guard views public participation as essential to
effective rulemaking and will consider all comments and material
received during the comment period. Your comment can help shape the
outcome of this rulemaking. If you submit a comment, please include the
docket number for this rulemaking, indicate the specific section of
this document to which each comment applies, and provide a reason for
each suggestion or recommendation.
    Submitting comments. We encourage you to submit comments through
the Federal eRulemaking Portal at www.regulations.gov. To do so, go to
https://www.regulations.gov, type USCG-2013-1057 in the search box and
click ``Search.'' Next, look for this document in the Search Results
column, and click on it. Then click on the Comment option. If you
cannot submit your material by using www.regulations.gov, call or email
the person in the FOR FURTHER INFORMATION CONTACT section of this SNPRM
for alternate instructions.
    Viewing material in docket. To view documents mentioned in this
SNPRM as being available in the docket, find the docket as described in
the previous paragraph, and then select ``Supporting & Related
Material'' in the Document Type column. Public comments will also be
placed in our online docket and can be viewed by following instructions
on the www.regulations.gov Frequently Asked Questions (FAQ) web page.
That FAQ page also explains how to subscribe for email alerts that will
notify you when comments are posted or if a final rule is published. We
review all comments received, but we will only post comments that
address the topic of the proposed rule. We may choose not to post off-
topic, inappropriate, or duplicate comments that we receive.
    Personal information. We accept anonymous comments. Comments we
post to www.regulations.gov will include any personal information you
have provided. For more about privacy and submissions to the docket,
see the Department of Homeland Security's eRulemaking System of Records
notice (85 FR 14226, March 11, 2020).
    Public meeting. We do not plan to hold a public meeting but we will
consider doing so if public comments indicate that a meeting would be
helpful. We would issue a separate Federal Register notice to announce
the date, time, and location of such a meeting.

II. Abbreviations

BLS U.S. Bureau of Labor Statistics
BSEE Bureau of Safety and Environmental Enforcement
CFR Code of Federal Regulations
COI Collection of information
DHS Department of Homeland Security
FOF Floating OCS facility
FR Federal Register
IADC International Association of Drilling Contractors
ICR Information Collection Request
MCR Marine casualty reports
MISLE Marine Information for Safety and Law Enforcement
MODU Mobile offshore drilling unit
NAICS North American Industry Classification System
NMA National Mariners Association
NOSAC National Offshore Safety Advisory Committee
NPRM Notice of proposed rulemaking
OCS Outer continental shelf
OIRA Office of Information and Regulatory Affairs
OMB Office of Management and Budget
OOC Offshore Operators Committee
SNPRM Supplemental notice of proposed rulemaking
Sec.  Section
U.S.C. United States Code

III. Basis and Purpose

    Through Title 43 of the United States Code (U.S.C.), Section
1333(d)(1), Congress authorizes the Secretary of the Department in
which the Coast Guard is operating to promulgate and enforce reasonable
regulations to promote safety of life and property on the outer
continental shelf (OCS), artificial islands, installations, and other
devices permanently or temporarily attached to the seabed, and in
waters adjacent to such artificial islands, installations, or devices.
The Secretary delegates this authority to the Commandant of the Coast
Guard through the Department of Homeland Security (DHS) Delegation No.
00170.1 (90), Revision No. 01.2.
    In this supplemental notice of proposed rulemaking (SNPRM), the
Coast Guard revises the proposals detailed in the notice of proposed
rulemaking (NPRM) published on January 10, 2014 (79 FR 1780) to account
for public comment as well as to simplify our explanation of the

proposed regulatory changes. Through this SNPRM, we would collect more
comprehensive casualty data to help protect the safety of life and
property on the OCS, account for changes in technology, and improve the
Coast Guard's maritime domain awareness.
    In addition, through this SNPRM, the Coast Guard seeks to reduce
the regulatory burden on fixed OCS facilities by raising the monetary
property damage threshold amount for reporting a marine casualty from
$25,000 to $75,000.

IV. Regulatory History

    The Coast Guard published an NPRM titled ``Marine Casualty
Reporting on the Outer Continental Shelf'' on January 10, 2014 (79 FR
1780). In the NPRM, we explained our rationale for changing the
criteria under which foreign floating OCS facilities (FOFs), mobile
offshore drilling units (MODUs), and vessels engaged in OCS activities
report marine casualties. While we propose most of the same criteria
changes in this SNPRM, we utilize a different regulatory approach and
offer additional proposals in response to public comment. This SNPRM
completely replaces the 2014 NPRM and reference to the NPRM should not
be necessary to review and comment on the Coast Guard's proposed
supplemental changes.
    In section VII of this SNPRM, we also address the comments received
in response to the NPRM.

V. Background

    The Coast Guard's regulations for OCS activities appear in Title 33
of the Code of Federal Regulations (CFR) subchapter N, parts 140
through 147. Regulations for reporting casualties on the OCS reside in
33 CFR part 146--Operations. The terms ``OCS facility,'' ``floating OCS
facility,'' ``mobile offshore drilling unit,'' and ``fixed OCS
facility'' are defined in 33 CFR part 140--General.
    The owner, operator, or person in charge of a U.S. or foreign FOF,
fixed OCS facility, MODU, or vessel must submit marine casualty reports
(MCRs) in accordance with the applicable regulations. 33 CFR 146.30--
Notice of casualties, applies to U.S. and foreign OCS facilities
including MODUs affixed to the seabed. 33 CFR 146.301 and 33 CFR
146.303--Subpart D--Vessels--Notice of Casualty, apply to U.S. and
foreign vessels, including MODUs not affixed to the seabed, engaged in
OCS activities other than U.S. vessels already required to report
marine casualties under 46 CFR subpart 4.05--Notice of Marine
Casualties and Voyage Records. In 1987 (52 FR 47526, 47536, December
14, 1987), the Coast Guard amended 46 CFR 109.411--Notice and reporting
of casualty, to require the owner, operator, or person in charge of a
U.S. MODU must report accidents in accordance with 46 CFR part 4.
    The criteria for reporting casualties are not identical between
titles 33 and 46 of the CFR. The differences in these regulations
result from the fact that the original title 33 CFR casualty reporting
regulations published in 1956 (21 FR 900, February 9, 1956) applied to
stationary artificial islands and fixed structures. In 1982 (47 FR
9366, March 4, 1982), the Coast Guard extended application of these
regulations to floating facilities and vessels engaged in OCS
activities to implement amendments to the Outer Continental Lands Act
(Pub. L. 95-372) and did not align the reporting criteria with 46 CFR
part 4. Table 1 shows the significant reporting differences between
titles 33 and 46 of the CFR. In particular, table 1 shows that, because
of the evolution of the casualty reporting requirements on the OCS,
U.S. MODUs are regulated by two different reporting regimes and that
the casualty reporting requirements for foreign MODUs are less
stringent than those for U.S. MODUs.

       Table 1--Coast Guard Marine Casualty Reporting Requirements
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            Topic                33 CFR part 146        46 CFR part 4
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Statutory authority.........  43 U.S.C. 1333......  43 U.S.C. 1333; 46
                                                     U.S.C. 2103, 2303a,
                                                     2306, 6101, 6301.
Applies to..................  U.S. and foreign      U.S. vessels and
                               FOFs, fixed OCS       MODUs in any
                               facilities, MODUs     waters.
                               when in contact      Foreign vessels in
                               with the seabed,      U.S. waters.
                               and vessels engaged
                               in OCS activities.
Reportable casualties.......  No similar            Vessel in distress
                               requirement for       or loss of
                               vessel in distress.   communication with
                                                     vessel.
                              Death...............  Death.
                              Injuries to 5+        Injury.
                               persons.
                              Incapacitation >72    No similar
                               hours.                incapacitation
                                                     requirement.
                              Property damage       Property damage
                               >$25,000.             >$75,000.
                              Damage affecting the  Grounding.
                               usefulness of        Allision:
                               primary lifesaving
                               or firefighting
                               equipment.
                                                    Loss of--
                                                     Main
                                                     propulsion.
                                                     Primary
                                                     steering.
                                                     Associated
                                                     systems or
                                                     components
                                                     affecting
                                                     maneuverability.
                                                    Impairment of--
                                                     Vessel
                                                     operation.
                                                     Vessel
                                                     components.
                                                     Cargo.
                                                    Material or adverse
                                                     impact to vessel's--

                                                     Seaworthiness.
                                                     Fitness for
                                                     service.
                                                     Fitness for
                                                     route.
                                                     Examples--
                                                     fire, flooding,
                                                     failure of or
                                                     damage to fire
                                                     extinguishing,
                                                     lifesaving,
                                                     auxiliary power,
                                                     and bilge pumping
                                                     systems.
                                                    Significant harm to
                                                     the environment.
When to report..............  As soon as possible.  Immediately after
                                                     addressing
                                                     resultant safety
                                                     concerns.
Subsequent reports..........  Within 10 days,       Within 5 days,
                               describe possible     written casualty
                               contributing          report required.
                               factors.
Alcohol/drug testing........  Required............  Required.
------------------------------------------------------------------------

    Under 33 CFR 146.30 (facilities) and 146.303 (vessels), the owner,
operator, or person in charge of an FOF, a fixed OCS facility, a MODU
(when in contact with the seabed of the OCS for exploration or
exploitation of subsea resources), or a vessel when engaged in OCS
activities, must report to the Coast Guard as soon as possible any
casualties involving:
     Death;
     Injury to five or more persons in a single incident;
     Injury causing any person to be incapacitated for more
than 72 hours;
     Damage affecting the usefulness of primary lifesaving or
firefighting equipment; and
     Certain other property damage in excess of $25,000.
    The reporting party must follow the initial report in writing with
a description of the factors that may have contributed to the casualty,
including whether there is any evidence of alcohol or drug use by
individuals directly involved in the casualty. The written report must
be submitted on Coast Guard Form CG-2692 ``Report of Marine Casualty,
Commercial Diving Casualty, or OCS-Related Casualty'' or in a narrative
that supplies the same information as in the form. The CG-2692 form or
narrative can be supplemented, as necessary by appended Forms CG-2692 A
``Barge Addendum,'' CG-2692B ``Report of Mandatory Chemical Testing
Following a Serious Marine Incident Involving Vessels in Commercial
Service,'' CG-2693C ``Personnel Casualty Addendum,'' and/or CG-2692D
``Involved Persons and Witnesses Addendum.'' \1\
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    \1\ The CG-2692 form and other CG-2692 addendum forms are
accessible at https://www.dco.uscg.mil/Our-Organization/Assistant-Commandant-for-Prevention-Policy-CG-5P/Inspections-Compliance-CG-5PC-/Office-of-Investigations-Casualty-Analysis/2692-Reporting-Forms-NVIC-01-15/.
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    U.S. vessels operating anywhere and foreign vessels operating
within the navigable waters of the United States are subject to the
marine casualty reporting requirements found in 46 CFR part 4. The
regulations in 46 CFR part 4 also apply to U.S. MODUs operating on the
OCS because 46 CFR 109.411 requires U.S. MODUs to report casualties in
accordance with 46 CFR part 4. U.S. FOFs also report casualties under
46 CFR part 4. Title 46 CFR part 4 does not apply to foreign vessels,
FOFs, or MODUs operating on waters beyond the navigable waters of the
United States, except for certain foreign tank vessels operating in the
Exclusive Economic Zone. See 46 CFR 4.05-2(b).
    Under 46 CFR part 4, a vessel's owner, agent, master, operator, or
person-in-charge must report to the Coast Guard, casualties involving:
     Allision;
     Collision;
     Explosion;
     Failures or occurrences, regardless of cause, which impair
any aspect of a vessel's operation, components, or cargo;
     Fire;
     Flooding;
     Foundering;
     Grounding;
     Impacts to vessel seaworthiness or fitness for service or
route;
     Loss of life, or injury requiring professional medical
treatment;
     Loss of main propulsion or vessel maneuverability;
     Property damage in excess of $75,000;
     Reduction or loss of electrical power, propulsion, or
steering capability;
     Significant harm to the environment;
     Stranding; or
     Vessel in distress or loss of communication with vessel.
    The initial MCR required under 46 CFR 4.05-1 must be followed
within 5 days by a written report on the CG-2692 form. See 46 CFR 4.05-
10. Additionally, under 46 CFR 4.05-12, the Coast Guard requires the
marine employer to determine whether there is any evidence of alcohol
or drug use by individuals directly involved in the casualty. This
information can be included on the CG-2692 form or, as necessary, on a
CG-2692B form. Reports for closed investigations of reportable marine
casualties investigated by the US Coast Guard from 2002 to present are
publicly available at the USCG Maritime Information Exchange.\2\
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    \2\ https://cgmix.uscg.mil/IIR/Default.aspx. Users should select
``Search IIR'' in the top left corner.
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    During their casualty analysis, the members of the marine board of
investigation for the foreign MODU Deepwater Horizon casualty \3\ noted
the inconsistencies between 33 CFR part 146 and 46 CFR part 4. In their
accident report, the board members emphasized the disparate casualty
reporting and chemical testing requirements between U.S. MODUs and
foreign MODUs operating beyond navigable waterways of the United
States. U.S. FOFs, MODUs, and vessels engaged in OCS activities report
casualties under 46 CFR part 4, whereas foreign FOFs, MODUs, and
vessels engaged in OCS activities report casualties under 33 CFR part
146. The reporting criteria in 33 CFR part 146 includes fewer types of
casualties than the reporting criteria in 46 CFR part 4. Thus, foreign
FOFs, foreign MODUs, and foreign vessels engaged in OCS activity have a
less comprehensive casualty-reporting regime than their U.S.
counterparts. These differences are important in the offshore oil and
gas exploration, development, and production industry because a lack of
casualty data could hamper early detection of risks. As the coastal
State with jurisdiction, we propose that it is the same casualty
reporting standards of foreign vessels, MODUs, and floating facilities
that engage in OCS activities as their U.S. counterparts. Additionally,
having a uniform reporting standard for both U.S. and foreign FOFs,
MODUs, and vessels that engage in OCS activities equalizes the
regulatory burden.
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    \3\ Report of Investigation into the Circumstances Surrounding
the Explosion, Fire, Sinking and Loss of Eleven Crew Members Aboard
the MOBILE OFFSHORE DRILLING UNIT DEEPWATER HORIZON--In the GULF OF
MEXICO April 20-22, 2010. See docket USCG-2013-1057.
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    Further, the Coast Guard believes the casualty reporting
regulations in 33 CFR parts 140 and 146 lag both technological
developments and present-day operations in the OCS industry, because
the Coast Guard has not updated marine casualty reporting requirements
on the OCS since 1982. At that time, MODUs affixed to the seabed, such
as jack-up units, conducted most of the oil and natural gas exploration
on the OCS in waters to about 500 feet deep. Similarly, oil and gas
companies erected fixed facilities to produce oil and natural gas
because these types of facilities are feasible to the same 500-foot
water depth.
    In the past 30 years, the use of floating MODUs and facilities has
become commonplace as exploration and production activities moved into
deeper waters of the OCS. Today, FOFs and MODUs operate in waters up to
8,000 feet deep, much further offshore, and distant from emergency
assistance. These floating facilities and MODUs are more like ocean-
going vessels than fixed OCS facilities and MODUs grounded to the
seabed.
    Therefore, in this SNPRM, as in the NPRM, the Coast Guard proposes
changing the criteria by which foreign FOFs, MODUs, and vessels engaged
in OCS activities report casualties. This action would improve
collection and analysis of casualty information on the OCS to help the
Coast Guard and industry develop policies and procedures that prevent
future marine casualties.
    In this SNPRM, the Coast Guard also proposes raising the dollar
threshold for reporting property damage under 33

CFR part 146. The Coast Guard established the property damage threshold
of $25,000 in 33 CFR part 146 through a final rule that published on
March 4, 1982 (47 FR 9366). The $25,000 threshold has not been changed
in over 30 years and has not kept pace with inflation. Over time, this
has resulted in reports of a greater number of casualties involving
relatively minor property damage.
    Until recently, a similar situation existed with reporting property
damage under 46 CFR part 4. In that case, to account for inflation, the
Coast Guard published a final rule titled ``Marine Casualty Reporting
Property Damage Thresholds'' on March 19, 2018 (83 FR 11889) (hereafter
the 2018 Final Rule). In that final rule, the Coast Guard raised the
property damage reporting criteria in 46 CFR part 4 from $25,000 per
incident to $75,000 based on the CPI-U increase between 1980 (82.408)
and 2016 (240.007).\4\ The Coast Guard sees no reason why the property
damage threshold in 33 CFR part 146 should be different than the
threshold in 46 CFR part 4. Accordingly, through this supplemental
proposed rule, we would raise the reportable monetary property damage
threshold amount to $75,000 in 33 CFR part 146. Raising the threshold
to $75,000 would only apply to fixed OCS facilities because, through
this supplemental proposed rule, FOFs, MODUs, and vessels operating on
the OCS would be required to report casualties under the criteria in 46
CFR part 4, which has already been raised to $75,000 for property
damage.
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    \4\ 2016 was the most recent full year of data available at the
time of the analysis for the final rule (83 FR 11889). See CPI
Detailed Report, Data for December 2016, Table 24, https://www.bls.gov/cpi/cpid1512.pdf.
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VI. Discussion of the Supplemental Proposed Rule

    Based on the comments we received to our 2014 NPRM, we are
proposing changes to that proposal requiring foreign FOFs, MODUs, and
vessels engaged in an OCS activity to report casualties under 46 CFR
part 4.
    The comments we received about the 2014 NPRM led us to decide on
two substantive changes to the proposals in the 2014 NPRM. First, we
decided not to propose changing the casualty reporting requirement for
fixed OCS facilities. Second, we decided to propose increasing the
property damage dollar threshold to $75,000 and align title 33 of the
CFR with title 46 of the CFR. These changes are fully discussed in
sections V, VI, and VIII of this SNPRM.
    These substantive changes to our proposals in the 2014 NPRM
necessitate we re-propose our regulatory changes through this SNPRM. As
discussed above, this SNPRM completely replaces the 2014 NPRM and
reference to the NPRM should not be necessary to review and comment on
the Coast Guard's proposed supplemental changes. Consequently, the
Coast Guard proposes the following amendments to the CFR through this
SNPRM.

33 CFR 140.10--Definitions

    We propose adding dynamically positioned floating facilities to the
definition of floating OCS facility. The dynamic positioning systems in
use on the OCS today did not exist when the current regulations were
published in 1982. At that time, secure anchoring was the only reliable
method of maintaining station. With modern controls, computers, and
Global Positioning Systems, FOFs can safely remain on station without
the need for complex anchoring systems. We did not propose this change
in the 2014 NPRM because, at that time, the Coast Guard was developing
two related rulemakings that addressed standards for dynamic
positioning systems. These were titled ``Outer Continental Shelf
Activities'' (USCG-1998-3868) (withdrawn on September 19, 2019, see 83
FR 47324) and ``Requirements for MODUs and Other Vessels Conducting
Outer Continental Shelf Activities with Dynamic Positioning Systems''
(USCG-2014-0063) (withdrawn on May 20, 2022, see 87 FR 30849).

33 CFR 140.201--General

    We propose removing the specific types of casualties listed in
paragraphs (a) through (c) and, instead, referencing 33 CFR 146.30 and
46 CFR part 4, which apply to all fixed OCS facilities and floating OCS
facilities, MODUs, and vessels, respectively. We retain the
requirements of paragraphs (d) and (e) and re-designate them as (c) and
(d).

33 CFR 140.203--Investigations Procedures

    We propose updating U.S. Geological Survey to U.S. Bureau of Safety
and Environmental Enforcement. This proposed change is an
administrative correction because the U.S. Geological Survey no longer
conducts investigations of casualties on the OCS.

33 CFR 146.30--Notice of Casualties

    We propose applying the casualty reporting criteria listed in this
section to FOFs only. See the discussion of proposed 46 CFR 4.03-1
below, in which we propose to require the owner, operator, or person in
charge of FOFs, MODUs, and vessels engaged in an OCS activity to report
casualties under 46 CFR part 4. We also propose to raise the dollar
threshold for reporting property damage from $25,000 per incident to
$75,000. In addition, we propose removing the phrase ``. . . drydocking
or demurrage . . .'' in paragraph (d), as these terms do not apply to a
fixed OCS facility.
    Finally, in 33 CFR 146.30, we propose to require the owner,
operator, or person in charge of foreign FOFs, MODUs, and vessels
engaged in an OCS activity to include in the written casualty report
required under 46 CFR 4.05-12 information relating to alcohol or drug
involvement. This is not a new requirement as it is currently included
in 33 CFR 146.35 that applies collectively to FOFs and fixed OCS
facilities. We repeat it in the proposed 33 CFR 146.30 because this
section would now distinguish between reporting requirements for fixed
and floating facilities and to ensure FOFs reporting under 46 CFR part
4 are aware of their continued responsibility to include drug and
alcohol information.

33 CFR 146 Subpart D, Vessels--Notice of Casualty

    We propose removing subpart D, Vessels--Notice of Casualty, in 33
CFR part 146 because, through this proposed change, the vessels
currently reporting under subpart D requirements would report
casualties under the provisions of 46 CFR part 4. Accordingly, we also
propose re-designating the current subpart E, Vessels--Safety and
Security Notice of Arrival as the new subpart D.

46 CFR 4.01-1--Scope of Regulation

    We propose revising the existing text for clarity.

46 CFR 4.01-3--Reporting Exclusion

    We propose exempting the owner, operator, or person in charge of
FOFs, and MODUs from casualty reporting requirements for deaths or
injuries of shipyard or harbor workers when the casualty does not
result from either a reportable casualty or a reportable equipment
failure and the incident is reportable to the Occupational Safety and
Health Administration (OSHA) under 29 CFR part 1904.

Subpart 46 CFR 4.03--Definitions

    We propose adding Sec.  4.03-0, Definitions in this subpart, to
explain that subpart 4.03 contains terms defined for purposes of part
4.

46 CFR 4.03-1--Marine Casualty or Accident

    We propose amending the definition of Marine casualty or accident
to include casualties on an FOF, MODU, or vessel when they are engaged
in an OCS activity. We would also revise the existing list of events
included in the definition of Marine casualty or accident for clarity.

46 CFR 4.03-2--Serious Marine Incident

    We propose amending the definition of Serious marine incident to
include incidents on an FOF, MODU, or vessel when they are engaged in
an OCS activity.

46 CFR 4.03-65--Significant Harm to the Environment

    We propose amending the definition of Significant harm to the
environment to include incidents on an FOF, MODU, or vessel when they
are engaged in an OCS activity.

46 CFR 4.03-80--Outer Continental Shelf (OCS)

    In this new section, we propose adding the definition for Outer
continental shelf (OCS) from 33 CFR 140.10.

46 CFR 4.03-85--OCS Activity

    In this new section, we propose adding the definition for OCS
activity from 33 CFR 140.10.

46 CFR 4.03-90--Floating OCS Facility

    In this new section, we propose adding the revised definition for
Floating OCS facility from 33 CFR 140.10.

46 CFR 4.03-95--Mobile Offshore Drilling Unit (MODU)

    In this new section, we propose adding the definition for Mobile
offshore drilling unit (MODU) from 33 CFR 140.10.

46 CFR Subpart 4.04--Notice of Potential Vessel Casualty

    We propose broadening the applicability of reporting requirements
to include all FOFs, MODUs, and vessels engaged in an OCS activity.

46 CFR Subpart 4.05--Notice of Marine Casualty and Voyage Records

    We propose broadening the notice and record retention requirements
to include all FOFs, MODUs, and vessels engaged in an OCS activity.

46 CFR Subpart 4.06--Mandatory Chemical Testing Following Serious
Marine Incidents Involving Vessels in Commercial Service

    We propose broadening the post-casualty chemical testing
requirements to include all FOFs and MODUs when engaged in an OCS
activity. We also propose adding a new paragraph 4.06-15(b)(3) allowing
the owner, operator, or person in charge of an FOF, MODU, or vessel to
request an alternative drug testing process in lieu of the drug testing
requirements in 49 CFR part 40--Procedures for Transportation Workplace
Drug and Alcohol Testing Programs, referenced in 46 CFR 4.06-15.

46 CFR 4.07-45--Foreign Units of Coast Guard, Investigation by

    We propose broadening the applicability to all FOFs and MODUs when
engaged in an OCS activity.

46 CFR 109.411--Notice and Reporting of Casualty

    We propose amending the existing text to provide clarity regarding
the persons responsible for providing notice and the reporting of
marine casualties involving U.S. MODUs. This proposed change is also
consistent with the language in subpart 4.05 regarding the persons
responsible for the notice and reporting of marine casualties.

VII. Discussion of Comments on the 2014 NPRM

    In the 2014 NPRM, the Coast Guard proposed requiring that the
owners, operators, or person-in-charge of all U.S. and foreign fixed
OCS facilities, FOFs, MODUs, and vessels engaged in an OCS activity
report casualties under the criteria of 46 CFR part 4 instead of 33 CFR
part 146.
    We received seven responses with comments about the NPRM including
one response from a Federal agency, one response from a Federal
advisory committee, four responses from industry organizations, and one
response from the general public. We summarize the comments and our
responses in the paragraphs that follow.
    The Department of the Interior Bureau of Safety and Environmental
Enforcement (BSEE) and the Coast Guard share jurisdiction on the OCS.
After reviewing the NPRM, BSEE recommended we retain casualty reporting
for fixed OCS platforms in 33 CFR subchapter N. The Coast Guard concurs
and does not propose to change the reporting procedures for fixed OCS
facilities in this SNPRM except to raise the dollar threshold for
reporting property damage.
    We received five comments from the National Offshore Safety
Advisory Committee (NOSAC). NOSAC is a Federal Advisory Committee,
subject to the Federal Advisory Committee Act (Title 5 U.S.C.
Appendix). The Coast Guard regularly consults NOSAC on ``matters
relating to activities directly involved with, or in support of, the
exploration of offshore mineral and energy resources, to the extent
that such matters are within the jurisdiction of the Coast Guard.'' The
Coast Guard approved a task statement for NOSAC to address the NPRM and
NOSAC completed their report on September 24, 2014. A copy of the NOSAC
report is included in the rulemaking docket.\5\
---------------------------------------------------------------------------

    \5\ A copy of NOSAC's report is included in the rulemaking
docket, www.regulations.gov/document/USCG-2013-1057-0009.
---------------------------------------------------------------------------

    The members of NOSAC asserted that some of the vessel populations
we used in the NPRM's cost and benefit analysis were underestimated,
but not to a degree that would significantly affect the outcomes of our
cost and benefit estimates. The Coast Guard notes NOSAC's comment,
however, we do not plan to revise our estimate methodology because
vessel and facility populations fluctuate on the OCS depending on
industry dynamics and the number and frequency of new leases. The data
used in this SNPRM reflects changes in the population since 2014 that
make the data provided in NOSAC's comment out of date. In addition, we
added detail on the affected population to address concerns that the
population of industrial vessels in the Marine Information for Safety
and Law Enforcement (MISLE) database undercounts the affected
population. We believe the numbers in our analyses represent the
affected vessel and OCS facility populations because they are taken
from the most current information about FOFs, MODUs, and vessels
working on the OCS.
    The members of NOSAC also asserted that we underestimated
collection of information costs by not including the effort of a
company's internal review of an accident report prior to submission.
NOSAC submitted a similar comment to the NPRM we published on raising
the property damage dollar threshold amount in 46 CFR part 4, which we
discussed in the subsequent 2018 Final Rule. The Coast Guard agrees
with this comment and, in this SNPRM, we increased our estimated
collection of information costs by 10 percent of the casualty reports
to account for internal company review required by some of the more
complex reports, as was done in the 2018 Final Rule.

    The members of NOSAC also urged us to raise the property damage
reporting threshold from $25,000 per incident to at least $100,000. We
partially agree and propose in this SNPRM to raise the dollar threshold
amount in 33 CFR 146.30 to $75,000. As previously mentioned, through
our 2018 Final Rule, we raised the property damage reporting criteria
in 46 CFR part 4 from $25,000 per incident to $75,000 to account for
inflation. We do not see any reason why the property damage threshold
in 33 CFR part 146 should be different than the threshold in 46 CFR
part 4. Accordingly, for the same reasons that we increased the
property damage threshold amount in 46 CFR part 4, for consistency in
accident reporting, and in response to comments, we propose to make the
same increase to the dollar threshold amount in 33 CFR part 146.
    In addition to the comments we received from BSEE and NOSAC, we
received six public comments on the NPRM. These comments came from two
industry groups, one company, one mariner's association, one student,
and one unaffiliated person.
    The National Mariners Association (NMA) \6\ expressed its
longstanding concerns about the failures of employers to submit
accident reports in a timely manner. We understand the association's
concern as timely intervention is only possible when casualty reports
are promptly reported. It is for this reason that Coast Guard
regulations prescribe when casualty reports must be submitted.
Violations of the Coast Guard's casualty reporting regulations, whether
in 46 CFR part 4 or 33 CFR part 146, are subject to civil penalties, as
set forth in 46 U.S.C. 6103 and 43 U.S.C. 1350, respectively.
---------------------------------------------------------------------------

    \6\ https://www.nationalmariners.us.
---------------------------------------------------------------------------

    The Offshore Operators Committee (OOC),\7\ generally supported the
proposed rule and noted that the Coast Guard did not seek to harmonize
accident reporting requirements between the Coast Guard and BSEE
through the NPRM.
---------------------------------------------------------------------------

    \7\ https://www.theooc.org.
---------------------------------------------------------------------------

    The Coast Guard and BSEE are aware that some accidents lead to dual
investigations. These investigations are based on accident information
collected through separate Office of Management and Budget (OMB)
approved Information Collection Requests (ICRs) that are not identical.
In this SNPRM, the Coast Guard would update the ICR governing accident
information collection under 46 CFR part 4 to apply to foreign FOFs,
MODUs, and vessels operating on the OCS. However, this action would not
eliminate the possibility of dual investigations or address the
differences between the Coast Guard and BSEE's ICRs.
    In a joint publication titled, ``United States Coast Guard & Bureau
of Safety and Environmental Enforcement Joint Activity Summary 2017-
2018,'' \8\ the Coast Guard and BSEE describe how they collaborate on
OCS inspections and investigations. In 2017, the Coast Guard and BSEE
established a memorandum of agreement titled ``BSEE/USCG MOA: OCS-05''
regarding incident notification and investigations.\9\ This memorandum
details jurisdiction, responsibilities, enforcement, training,
regulatory coordination, and information sharing. While sharing
accident information is hampered by differences in information
technology infrastructure, software, and security requirements, the
memorandum explains how the Coast Guard and BSEE have agreed to
collaborate as much as possible. The BSEE and Coast Guard Prevention
Working Group also continues to seek solutions that would lead to
closer cooperation and reciprocity.
---------------------------------------------------------------------------

    \8\ https://www.bsee.gov/sites/bsee.gov/files/bsee-uscg-joint-summary-final-5-1-2018.pdf.
    \9\ https://www.bsee.gov/sites/bsee.gov/files/interagency-agreements-mous-moas/bsee-uscg-moa-ocs-05-18jan2017.pdf.
---------------------------------------------------------------------------

    In its comments, the OOC also criticized the Coast Guard for
continued reliance on a burdensome paper-based accident reporting
system. The Coast Guard agrees that we do not have a fully online
accident reporting system. However, the fillable Coast Guard accident
report forms (CG-2692 series) are available online at www.dco.uscg.mil/Portals/9/DCO%20Documents/5p/CG-5PC/INV/docs/CG_2692.pdf?ver=2019-07-24-113027-740 and can be submitted via email to the appropriate Coast
Guard office. BSEE regulations in 30 CFR 250.190(b) also allow
submission of a CG-2692 form to fulfill its reporting requirements if
the narrative contains the required information.
    The OOC, NMA, and International Association of Drilling Contractors
(IADC),\10\ also expressed concerns, from a resource standpoint, about
the Coast Guard's ability to adequately investigate marine casualties
on the OCS. These three organizations remarked that additional casualty
reports will overwhelm the Coast Guard's investigative resources. In
addition, they believe the Coast Guard's assignment practices lead to
frequent turnover and the lack of experienced personnel often results
in inconsistencies in enforcement actions.
---------------------------------------------------------------------------

    \10\ https://www.iadc.org.
---------------------------------------------------------------------------

    We believe this SNPRM would not significantly affect our inspection
and investigation resources because we estimate the number of
additional casualty reports submitted for foreign FOFs, MODUs, and
vessels under 46 CFR part 4 would be small, as shown in the regulatory
analysis below. Additionally, we estimate this increase in the number
of casualty reports would be offset partially by a decrease in reports
from fixed OCS facilities resulting from our proposed increase from
$25,000 to $75,000 as the threshold for reporting property damage.
While we note the commenters' concerns about Coast Guard training and
assignment practices, those issues are beyond the scope of this
rulemaking, and we do not propose to address them in this SNPRM. The
Coast Guard addresses the potential for inconsistencies in enforcement
actions through our current employment policies and procedures. We hold
general training programs, maintain an extensive portfolio of guidance
and policy preferences, and conduct ongoing oversight. We also assign
qualified civilian personnel in lieu of uniformed members, who are
subject to transfers, as investigating officers to help maintain
consistency in accident investigation actions and analyses.
    In addition to the comments discussed above, the IADC expressed
support for the 2014 proposed rule and commended the Coast Guard for
its continuing collaboration with BSEE to alleviate duplicate
reporting. The IADC also recommended the Coast Guard confirm that same
or similar Department of Labor exemption, which applies to health
information in ``Occupational Safety and Health Administration form
300, Log of Work-Related Injuries and Illnesses,'' should apply to
marine casualty reporting as well. The Coast Guard notes this concern
and confirms that we safeguard personal health information in
accordance with Coast Guard policy and the Department of Health and
Human Service's Health Insurance Portability and Accountability Act
Privacy regulations.\11\ In this SNPRM we are not proposing any changes
to the regulations related to this topic.
---------------------------------------------------------------------------

    \11\ 45 CFR part 160 and subparts A and E of 45 CFR part 164.
---------------------------------------------------------------------------

    The IADC also asked for clarification of the proposed 46 CFR 4.03-
1(b) in the NPRM because it implied that a marine casualty can occur
only when an event is caused by or involves a vessel and, in

that case, conflicts with the proposed 46 CFR 4.03-1(a).
    We agree that the NPRM's language for proposed 46 CFR 4.03-1(b) was
confusing given our goal is to require FOFs and MODUs to report
casualties under the more comprehensive reporting criteria contained in
46 CFR part 4. In the NPRM, we proposed including FOFs and MODUs in the
definition of ``vessel'' for the purposes of that proposed rule. We
decided that this approach could cause confusion and we seek to resolve
that issue in this SNPRM by proposing revisions to 33 CFR 146.30 and
146.301 and 46 CFR 4.03-1 that distinctly delineate the regulation's
applicability to vessels, FOFs, and MODUs.
    One public commenter expressed support for the Coast Guard's goal
of collecting better casualty information on the OCS. The Coast Guard
appreciates this support. Another public commenter expressed the
opinion that the proposed rule would have no significant use or benefit
because it does not help other important national interests such as
poverty or the national debt. The commenter stated that casualty
reporting to help measure the kind of marine life that is being killed
is important in certain respects, and the commenter further stated that
the Coast Guard should not undertake rules that collect casualty data
on marine life because the Coast Guard's mission is to provide
reasonably free, safe, and unobstructed passage for waterborne traffic
while considering the needs of land transportation. We believe the
commenter may be under a misimpression that the phrase ``marine
casualty'' in the NPRM refers to or includes the deaths of marine life.
The Coast Guard acknowledges this comment and wishes to clarify that
the definition of marine casualty does not include the death of marine
life.

VIII. Differences Between the NPRM and SNPRM

    In this SNPRM, we no longer propose that fixed OCS facilities would
report casualties under the criteria of 46 CFR part 4 and instead we
propose they continue to report casualties in accordance with 33 CFR
parts 140 and 146. In the 2014 NPRM, we proposed to move all OCS
facilities marine casualty reporting requirements from 33 CFR
subchapter N to 46 CFR part 4. In this SNPRM, we have moved away from
that approach and instead use the term ``Floating OCS Facility'' to
differentiate between floating and fixed facilities.
    The 46 CFR part 4 regulations are vessel casualty regulations for
floating entities and provide appropriate regulations for floating OCS
facilities but not necessarily for fixed OCS facilities for the
following reasons. Floating OCS facilities experience similar types of
accidents as other vessels, such as flooding, loss of stability, and
inability to maintain station. Therefore, we believe it is appropriate
to continue to propose that floating OCS facilities report casualties
under 46 CFR part 4. However, fixed OCS facilities do not experience
substantially similar casualties. In addition, as explained in Section
VII of this supplemental proposed rule, BSEE recommended we do not
change the reporting criteria for fixed OCS facilities because they are
sufficient. In agreement with BSEE's recommendation, the fixed
facilities marine casualty reporting requirements would remain in
subchapter N because the current accident reporting regime for fixed
OCS facilities is sufficient for collecting accident data and
responding to trends in that population. The 33 CFR part 140 and 146
are more relevant and tailored to fixed platforms and facilities. We
concur that the regulations in 33 CFR parts 140 and 146 are more
appropriate for fixed OCS facilities. Therefore, we proposed that fixed
OCS facilities would continue to report casualties under 33 CFR parts
140 and 146, and not 46 CFR part 4.
    In this SNPRM, we propose revising the definition of Floating OCS
facility in 33 CFR 140.10 by adding language to include dynamically
positioned facilities. We propose this change to update our regulations
with technology changes on the OCS since the regulations were published
in 1982. At that time, complex anchoring systems were the only reliable
means of keeping floating facilities on location. Modern controls,
computers, and Global Positioning Systems have replaced anchoring
systems for station keeping.
    In this SNPRM, we propose revisions to 33 CFR 146.30 to raise the
dollar amount threshold for reporting property damage from $25,000 to
$75,000 to account for inflation over the past 30-plus years and to
help reduce the regulatory burden on fixed OCS facilities.
    In this SNPRM, we are not proposing to remove 33 CFR 146.30 through
146.45, because we are no longer proposing to combine them in 33 CFR
146.50.
    In this SNPRM, we no longer seek to add a new 33 CFR 140.50,
because our SNPRM proposal to have FOFs, MODUs, and vessels engaged in
OCS activities report casualties under 46 CFR part 4 makes it
unnecessary.
    In the 2014 NPRM, we proposed adding to 46 CFR part 4 a new
definition for OCS unit that included any OCS facility, vessel, rig,
platform, or other vehicle or structure. We also proposed adding
another new definition in 46 CFR part 4 for the term vessel that
included OCS unit. We proposed this approach as a convenient device to
avoid writing ``facility, vessel, rig, platform or other vehicle or
structure'' each time they were needed in the regulatory text. However,
after reviewing the comments on the NPRM, we ultimately abandoned this
approach because the resulting definition of vessel in 46 CFR part 4
would conflict with the statutory definition found in 1 U.S.C. 3: of
``. . . every description of watercraft or other artificial contrivance
used, or capable of being used, as a means of transportation on
water.'' Therefore, in this SNPRM, we propose, instead, adding in 46
CFR part 4 the title 33 of the CFR definitions for OCS activity,
floating OCS facility, and MODU and writing out how this SNPRM applies
to each.
    In this SNPRM, we propose to revise the language in 46 CFR 109.411
to provide clarity regarding the persons responsible for providing
notice and reporting of marine casualties involving U.S. MODUs. We did
not propose this change in the NPRM.
    The differences between the NPRM and SNPRM are summarized in table
2.

             Table 2--Summary of Changes From NPRM to SNPRM
------------------------------------------------------------------------
                                      NPRM                  SNPRM
------------------------------------------------------------------------
Affected Population.........  Fixed OCS facilities  Fixed OCS facilities
                               report under 46 CFR   remain under 33 CFR
                               part 4.               parts 140 and 146.
Affected Population           NPRM created a term   SNPRM separately
 Description.                  ``OCS Units'' in an   defines ``vessel
                               attempt to leverage   engaged in OCS
                               a consolidated        activity,''
                               definition.           ``floating OCS
                                                     facility,'' and
                                                     ``MODU.''

Property Damage Threshold...  Threshold in title    Threshold raised to
                               33 of the CFR         $75,000 to be
                               listed as $25,000.    consistent with
                                                     prior update to 46
                                                     CFR part 4.
------------------------------------------------------------------------

IX. Regulatory Analyses

    We developed this SNPRM after considering numerous statutes and
Executive orders related to rulemaking. A summary of our analyses based
on these statutes or Executive orders follows.

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 SNPRM is a significant regulatory action, although not
economically significant, under section 3(f) of Executive Order 12866.
The Office of Management and Budget (OMB) has reviewed it under that
Executive order. Section 6(a)(3) of Executive Order 12866 requires an
assessment of potential costs and benefits. We fully explain our
assessment in the remaining paragraphs of this section.
    In this SNPRM, as in the NPRM, the Coast Guard proposes to amend
regulations in which marine casualties, under 33 CFR subchapter N, are
reported for foreign vessels, MODUs, and floating facilities operating
on the OCS. The proposed amendments would align casualty reporting
requirements for U.S. and foreign FOFs, MODUs, and vessels engaged in
an OCS activity under the 46 CFR part 4 reporting requirements. In
addition to the change from the NPRM, the Coast Guard proposes in this
SNPRM, to update the property damage threshold for reporting under 33
CFR part 146 to align with the threshold in 46 CFR part 4, which was
raised in the 2018 Final Rule.\12\
---------------------------------------------------------------------------

    \12\ ``Marine Casualty Reporting Property Damage Thresholds''
(83 FR 11889, March 19, 2018).
---------------------------------------------------------------------------

    The proposed threshold change addresses a concern raised by NOSAC
in its comment on the 2014 NPRM, that the property damage threshold for
casualty reporting should be increased from $25,000 to account for
inflation.\13\ Acting on that comment, the Coast Guard updated the
threshold under 46 CFR part 4 to $75,000 in the 2018 Final Rule and
would propose to do the same under title 33 of the CFR in this SNPRM.
---------------------------------------------------------------------------

    \13\ NOSAC Approved Final Report--Marine Casualty Reporting,
September 24, 2014, www.regulations.gov/document?D=USCG-2013-1057-0009.
---------------------------------------------------------------------------

    The 2018 Final Rule also adjusted the burden hours of the ICR for
MCRs in response to NOSAC's comment, to account for review of a draft
MCR by company management and legal counsel. This SNPRM continues to
use the updated burden implemented in the 2018 Final Rule to account
for additional review of some casualty reports, this change was not
initially included in the 2014 NPRM.\14\ We added additional detail on
the affected population since the NPRM to address NOSAC's concerns that
the population of industrial vessels in the MISLE database undercounts
the affected population, particularly FOFs.\15\ The affected population
numbers have also been reviewed by the floating OCS facilities working
group to ensure accuracy. The impacts of the proposed changes of this
SNPRM are summarized in table 3.
---------------------------------------------------------------------------

    \14\ Ibid.
    \15\ Ibid.

              Table 3--Summary of the Impacts of the SNPRM
------------------------------------------------------------------------
             Category                              Summary
------------------------------------------------------------------------
Applicability.....................  Requires marine casualties,
                                     involving foreign FOFs, MODUs, and
                                     vessels engaged in OCS activities,
                                     to be reported under 46 CFR part 4
                                     as consistent with U.S. FOFs,
                                     MODUs, and vessels.
                                    Raises the monetary reportable
                                     marine casualty dollar threshold in
                                     33 CFR part 146 from $25,000 to
                                     $75,000 to align with 46 CFR part
                                     4.
Affected Population...............  For marine casualties on FOFs,
                                     MODUs, and vessels currently
                                     required to be reported under 33
                                     CFR part 146:
                                        588 foreign FOFs, MODUs,
                                        and vessels would shift
                                        reporting to 46 CFR part 4.
                                     1,754 fixed platforms would
                                     continue to report under 33 CFR
                                     part 146.
Costs (2019 dollars, 7% Discount    Cost for U.S. Government:
 Rate).                             10-Year: $25,806.
                                    Annualized: $3,674.
                                    Cost for Foreign Industry:
                                    10-Year: $95,039.
                                    Annualized: $13,531.
                                    On average, we anticipate an
                                     increase of 78 marine casualty
                                     reports annually.
Cost Saving to Industry (2019       Savings for U.S. industry:
 dollars, 7% Discount Rate).        10-Year: ($8,389).
                                    Annualized: ($1,194).
                                    Savings for Foreign Industry:
                                    10-Year: ($11,542).
                                    Annualized: ($1,643).
                                    Reduced reporting from raising the
                                     property damage threshold for a
                                     reportable marine casualty.

Net Cost (2019 dollars, 7%          Net Cost for U.S. Government and
 Discount Rate).                     Industry:
                                    10-Year: $17,417.
                                    Annualized: $2,480.
                                    Net Cost for Foreign Industry:
                                    10-Year: $83,497.
                                    Annualized: $11,888.
Unquantified Benefits.............  Increases the Coast Guard's domain
                                     awareness through harmonization of
                                     marine casualty reporting
                                     requirements across CFR parts.
                                     Potential for risk mitigation if
                                     problems are mitigated before they
                                     develop into more serious
                                     accidents.
------------------------------------------------------------------------

    This SNPRM has been determined a significant regulatory action
under Executive Order 12866. Therefore, in accordance with OMB Circular
A-4, we have prepared an accounting statement showing the
classification of impacts associated with this SNPRM.\16\ The first A-4
in table 4 is the total U.S. cost, including the annualized cost to the
US government, $3,674, and the annualized cost saving to US industry,
$1,194 for a total annualized monetized cost of $2,480. The second A-4
shown in table 5 is the total cost of the rule including net annualized
foreign costs $11,888, for an annualized monetized cost of $14,368.
---------------------------------------------------------------------------

    \16\ www.whitehouse.gov/sites/whitehouse.gov/files/omb/circulars/A4/a-4.pdf.

               Table 4--OMB A-4 Accounting Statement for U.S. Costs to Industry and Government 2021-2031 Period of Analysis--2019 Dollars
--------------------------------------------------------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------------------------------------------------------
                  Category                        Primary estimate
                                                  Minimum estimate
                                                    High estimate          Source
--------------------------------------------------------------------------------------------------------------------------------------------------------
Benefits:
    Annualized monetized benefits...........         None           7%         None           7%         None           7%  RA.
                                                     None           3%         None           35         None           3%
                                             -----------------------------------------------------------------------------------------------------------
    Annualized quantified, but non-                                               None                                      RA.
     monetized, benefits.
                                             -----------------------------------------------------------------------------------------------------------
    Unquantifiable Benefits.................  Increased domain awareness from additional MCRs. Potential for risk           RA.
                                              mitigation by increasing awareness of early accident indicators.
--------------------------------------------------------------------------------------------------------------------------------------------------------
Cost:
    Annualized monetized cost...............       $2,480           7%         None           7%         None           7%  RA.
                                                   $2,480           3%         None           3%         None           3%  RA.
                                             -----------------------------------------------------------------------------------------------------------
    Annualized quantified, but non-                                               None                                      RA.
     monetized, cost.
                                             -----------------------------------------------------------------------------------------------------------
    Qualitative (unquantified) cost.........                                                                                RA.
--------------------------------------------------------------------------------------------------------------------------------------------------------
Transfers:

                                                                        ...........
    Annualized monetized transfers: ``on           Not calculated
     budget''.
                                                   Not calculated
                                                   Not calculated               RA.
                                             -----------------------------------------------------------------------------------------------------------
    From who to whom?.......................                                                                                RA.
                                             -----------------------------------------------------------------------------------------------------------
    Annualized monetized transfers (``off-              None
     budget'').
                                                        None
                                                        None
                                             -----------------------------------------------------------------------------------------------------------
    From who to whom?.......................            None
                                                        None
                                                        None
--------------------------------------------------------------------------------------------------------------------------------------------------------
Miscellaneous Analyses/Category:

                                                                        ...........
    Effects on State, local, and tribal                 None
     governments.
                                                        None
                                                        None
                                             -----------------------------------------------------------------------------------------------------------
    Effects on small businesses.............  Will not have a significant economic impact on a substantial number of small  RA.
                                              entities.
                                             -----------------------------------------------------------------------------------------------------------
    Effects on wages........................            None
                                                        None
                                                        None
                                             -----------------------------------------------------------------------------------------------------------
    Effects on growth.......................      No determination
                                                  No determination
                                                  No determination
--------------------------------------------------------------------------------------------------------------------------------------------------------

                    Table 5--OMB A-4 Accounting Statement for All Costs Including Foreign 2021-2031 Period of Analysis--2019 Dollars
--------------------------------------------------------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------------------------------------------------------
                  Category                        Primary estimate
                                                  Minimum estimate
                                                    High estimate          Source
--------------------------------------------------------------------------------------------------------------------------------------------------------
Benefits:
    Annualized monetized benefits...........         None           7%         None           7%         None           7%  RA.
                                                     None           3%         None           3%         None           3%
                                             -----------------------------------------------------------------------------------------------------------
    Annualized quantified, but non-                                               None                                      RA.
     monetized, benefits.
                                             -----------------------------------------------------------------------------------------------------------
    Unquantifiable Benefits.................  Increased domain awareness from additional MCRs. Potential for risk           RA.
                                              mitigation by increasing awareness of early accident indicators.
--------------------------------------------------------------------------------------------------------------------------------------------------------

Cost:
    Annualized monetized cost...............      $14,368           7%         None           7%         None           7%  RA.
                                                  $14,368           3%         None           3%         None           3%  RA.
                                             -----------------------------------------------------------------------------------------------------------
    Annualized quantified, but non-                                               None                                      RA.
     monetized, cost.
                                             -----------------------------------------------------------------------------------------------------------
    Qualitative (unquantified) cost.........                                                                                RA.
--------------------------------------------------------------------------------------------------------------------------------------------------------
Transfers:

                                                                        ...........
    Annualized monetized transfers: ``on           Not calculated
     budget''.
                                                   Not calculated
                                                   Not calculated               RA.
                                             -----------------------------------------------------------------------------------------------------------
    From who to whom?.......................                                                                                RA.
                                             -----------------------------------------------------------------------------------------------------------
    Annualized monetized transfers (``off-              None
     budget'').
                                                        None
                                                        None
    From who to whom?.......................            None
                                                        None
                                                        None
--------------------------------------------------------------------------------------------------------------------------------------------------------
Miscellaneous Analyses/Category:

                                                                        ...........
    Effects on State, local, and tribal                 None
     governments.
                                                        None
                                                        None
                                             -----------------------------------------------------------------------------------------------------------
    Effects on small businesses.............  Will not have a significant economic impact on a substantial number of small  RA.
                                              entities.
                                             -----------------------------------------------------------------------------------------------------------
    Effects on wages........................            None
                                                        None
                                                        None
    Effects on growth.......................      No determination
                                                  No determination
                                                  No determination
--------------------------------------------------------------------------------------------------------------------------------------------------------

Affected Population
    As in the NPRM,\17\ the affected population comprises all foreign
FOFs identified in the MISLE database as floating production systems
and floating production storage offloading vessels, as well as various
types of industrial vessels,\18\ MODUs, and lift boats. Table 6 shows
detail on the affected population to address concerns that the
population of industrial vessels in the MISLE database undercounts the
affected population. Since the 2014 NPRM, MISLE now distinguishes FOFs,
so we listed those separately from industrial vessels to show that the
population is not undercounted. We excluded types that did not have an
ocean-going route under the assumption that they would not operate on
the OCS. In table 5, U.S. fixed OCS facilities are listed as an
affected population only because of SNPRM proposal to update the
property damage threshold for reporting a marine casualty, no other
trigger for reporting a casualty would change under 33 CFR part 146.
---------------------------------------------------------------------------

    \17\ ``Marine Casualty Reporting on the Outer Continental
Shelf'' (79 FR 1780, January 10, 2014).
    \18\ The following vessel types are excluded: cable laying,
dredger, dredger barge, factory ship, fishing support vessel,
floating dry dock, orbital launch, offshore service vessel, pilot
vessel, radio ship, and seabed mining vessel. Supply vessels not
listed as offshore service vessels and operating on an ocean route
are included.

                      Table 6--Affected Population
------------------------------------------------------------------------
                                            NPRM (2014)    SNPRM (2020)
------------------------------------------------------------------------
Moved to Report under 46 CFR part 4:
    Industrial Vessels (Foreign)........             310             310
    Oil Supply Vessels (Foreign)........               9               0
    MODUs (Foreign) *...................              73             257
    Lift Boats (Foreign)................             N/A              13
    Floating OCS Facilities (Foreign)...              28               8
                                         -------------------------------
        Total Foreign Vessels...........             420             588
Updated Property Damage Threshold:
    Fixed Platforms (All U.S.)..........             N/A           1,754
------------------------------------------------------------------------
* This number reflects active MODUs as reported by MISLE. It does not
  necessarily show how many are actively drilling, or in contact with
  the seabed.

Baseline Reporting
    Table 7 describes the different events that prompt reporting of a
marine casualty under 33 CFR part 146 and 46 CFR part 4. Title 46 CFR
part 4 has more casualty reporting triggers than 33 CFR part 146.
Therefore, an FOF, MODU, or vessel would report more casualties under
46 CFR part 4 than under 33 CFR part 146.

   Table 7--Current Coast Guard Marine Casualty Reporting Requirements
------------------------------------------------------------------------
            33 CFR part 146                       46 CFR part 4
------------------------------------------------------------------------
Death..................................  Death.
Injuries to 5+ persons.................  Injury.
Incapacitation >72 hours; Property       Property damage >$75,000.
 damage >$25,000 (fixed facilities
 only).
                                         Grounding.

(33 CFR 146.30 and 146.303.)
                                         Allision.
                                         Vessel in distress or loss of
                                          communication with vessel.
                                         Loss of--
                                          Main propulsion.
                                             Primary steering.
                                          Associated systems or
                                          components affecting
                                          maneuverability.
                                         Impairment of--
                                          Vessel operation.
                                          Vessel components.
                                          Cargo.
                                         Material or adverse impact to
                                          vessels'--
                                          Seaworthiness.
                                          Fitness for service.
                                          Fitness for route.
                                             Examples--fire,
                                             flooding, failure of or
                                             damage to fire
                                             extinguishing, lifesaving,
                                             auxiliary power, bilge
                                             pumping systems.
                                         Significant harm to the
                                          environment (defined in 46 CFR
                                          4.03-65).
                                         (46 CFR 4.04-1, 4.04-2, and
                                          4.05-1.)
------------------------------------------------------------------------

    The transfer of marine casualty reporting of FOFs, MODUs, and
vessels to 46 CFR part 4 would require an increase in the types of
reportable casualties, including injury to fewer than five persons,
grounding, stranding, foundering, flooding, collision, allision,
explosion, fire, loss of propulsion, loss of steering, and impaired
operations. There are already some voluntary submissions of MCRs for
incidents on foreign FOFs, MODUs, and vessels involving the above
criteria, although they are not required under 33 CFR part 146. Even
with a count of active foreign FOFs, MODUs, and vessels each year, we
are unable to determine the number of incidents that were non-
reportable under 33 CFR part 146, but would have been reportable under
46 CFR part 4. Without aligned reporting, we are unable to compare how
often one type of incident occurs on foreign FOFs, MODUs, and vessels
compared to their U.S. counterparts, while accounting for differences
in the total population sizes, how much of those populations actively
report, and general risk levels between the two populations.
    The reports for non-fatal types of incidents described as voluntary
for foreign FOFs, MODUs, and vessels are mandatory for U.S. FOFs,
MODUs, and vessels and would become mandatory for all flags with this
SNPRM. We show the number of voluntary and mandatory MCR by flag type
in table 8. From 2015 to 2019, MISLE recorded 188 total voluntary
reports of casualties that met the reporting criteria under 46 CFR part
4 from a total of 114 uniquely identified foreign FOFs, MODUs, and
vessels reporting under title 33 of the CFR.\19\ Table 8 shows the
number of MCRs from foreign FOFs, MODUs, and vessels that met the
criteria for a reportable casualty under title 46 of the CFR but not
under title 33 of the CFR, meaning those reports were submitted
voluntarily. Table 9 shows the number of unique foreign FOFs, MODUs,
and vessels that submitted voluntary reports in each year. These
reports are unique only within each year; across the entire range from
2015 to 2019, there were 78 unique entities meaning 36 foreign FOFs,
MODUs, or vessels submitted reports in multiple years.
---------------------------------------------------------------------------

    \19\ Voluntary reports are identified by keywords included in
the activity title that match a reporting criterion, such as
``grounding'' or ``ground.'' Subjectivity or error in the entry of a
casualty into MISLE or overlapping reporting criteria may cause
error in identifying the cause of a report.

                                         Table 8--Casualty Reports by Type From Foreign FOFs, MODUs, and Vessels
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                Grand        Annual
                                                                   2015         2016         2017         2018         2019        total       average
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                               Reportable Under Title 46 of the CFR but Not Under Title 33
--------------------------------------------------------------------------------------------------------------------------------------------------------
Injury <5 & >0...............................................           47           23           24           43           21  ...........  ...........
Grounding....................................................            0            4            6            0            0  ...........  ...........
Allision.....................................................            0            2            3            1            0  ...........  ...........
Stranding....................................................            0            0            0            0            0  ...........  ...........
Loss of Propulsion...........................................            1            1            0            0            0  ...........  ...........
Loss of Steering.............................................            0            0            0            0            0  ...........  ...........
Impaired Operation...........................................            0            0            0            0            0  ...........  ...........
Foundering...................................................            0            0            0            0            0  ...........  ...........
Flooding.....................................................            0            0            3            0            0  ...........  ...........
Collision....................................................            1            0            0            0            0  ...........  ...........
Explosion....................................................            0            0            0            0            0  ...........  ...........
Fire.........................................................            5            1            1            1            0  ...........  ...........
                                                              ------------------------------------------------------------------------------------------
    Total....................................................           54           31           37           45           21          188         37.6
--------------------------------------------------------------------------------------------------------------------------------------------------------

                                                          Reportable Under Title 33 of the CFR
--------------------------------------------------------------------------------------------------------------------------------------------------------
Fatality.....................................................            3            0            1            1            0            5          1.0
Injury >5....................................................            0            0            0            0            0            0            0
--------------------------------------------------------------------------------------------------------------------------------------------------------

                      Table 9--Number of Unique Reporting Foreign FOFs, MODUs, and Vessels
----------------------------------------------------------------------------------------------------------------
                                                                                Annual
      2015             2016            2017            2018            2019            Total          average
----------------------------------------------------------------------------------------------------------------
           32               19              20              23              20             114            22.8
----------------------------------------------------------------------------------------------------------------

    Similarly, from 2015 to 2019, MISLE recorded 803 total reports from
498 identified U.S. FOFs, MODUs, and vessels that matched the reporting
criteria for voluntary reports from foreign FOFs, MODUs, and vessels,
although those types of reports are mandatory for U.S. FOFs, MODUs, and
vessels. Table 10 shows the number of MCRs from U.S. FOFs, MODUs, and
vessels that met the criteria for a reportable casualty under title 46
of the CFR but not under title 33 of the CFR. Table 11 shows the number
of unique U.S. FOFs, MODUs, and vessels that submitted reports in each
year. These are unique only within each year, across the entire range
from 2015 to 2019, there were 382 unique entities meaning 116 U.S.
FOFs, MODUs, or vessels submitted reports in multiple years.

                                          Table 10--Casualty Reports by Type From U.S. FOFs, MODUs, and Vessels
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                Grand        Annual
                                                                   2015         2016         2017         2018         2019        total       average
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                          Reportable Under Title 46 of the CFR
--------------------------------------------------------------------------------------------------------------------------------------------------------
Injury <5 & >0...............................................          118           94          116          115           99  ...........  ...........
Grounding....................................................            8           20           16            6           10  ...........  ...........
Allision.....................................................           23           15           16           12           13  ...........  ...........
Stranding....................................................            0            0            0            0            0  ...........  ...........
Loss of Propulsion...........................................            4            3           12            5            3  ...........  ...........
Loss of Steering.............................................            1            1            0            0            0  ...........  ...........
Impaired Operation...........................................            0            0            0            0            0  ...........  ...........
Foundering...................................................            0            0            0            0            0  ...........  ...........
Flooding.....................................................           14           12           10            6           10  ...........  ...........
Collision....................................................            8            5            9            3            3  ...........  ...........
Explosion....................................................            0            0            0            0            0  ...........  ...........
Fire.........................................................            5            3            1            2            2  ...........  ...........
                                                              ------------------------------------------------------------------------------------------
    Total....................................................          181          153          180          149          140          803        160.6
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                          Reportable Under Title 33 of the CFR
--------------------------------------------------------------------------------------------------------------------------------------------------------
Fatality.....................................................            3            1            1            2            0            7          1.4
Injury >5....................................................            0            0            0            0            0            0            0
--------------------------------------------------------------------------------------------------------------------------------------------------------

                       Table 11--Number of Unique Reporting U.S. FOFs, MODUs, and Vessels
----------------------------------------------------------------------------------------------------------------
                                                                                Annual
      2015             2016            2017            2018            2019            Total          average
----------------------------------------------------------------------------------------------------------------
          107               95             114             102              80             498            99.6
----------------------------------------------------------------------------------------------------------------

    For MCRs involving fatalities, which are mandatory for everyone, an
average 0.04 fatality reports from 2015 to 2019 were submitted for
foreign FOFs, MODUs, and vessels, compared to an average of 0.01
fatality reports submitted for U.S. FOFs, MODUs, and vessels.\20\ Table
13 shows the 5-year average number of MCRs per unique FOF, MODU, and
vessel. The averages presented were rounded to two decimal places for
presentation, but were not rounded in the calculations for the
estimates in this analysis.
---------------------------------------------------------------------------

    \20\ The 5-year average of fatality reports per reporting
foreign FOFs, MODUs, and vessels is 0.04 ((3 + 0 + 1 + 1 + 0) / (32
+ 19 + 20 + 23 + 20)) or ((0.09 + 0.00 + 0.05 + 0.04 + 0.00)/5) as
shown above. The 5-year average of fatality reports per reporting
U.S. FOF, MODU, and vessel is 0.01 ((3 + 1 + 1 + 2 + 0) / (107 + 95
+ 114 + 102 + 80)) or ((0.03 + 0.01 + 0.01 + 0.02 + 0.00)/5).

   Table 13--5-Year Average Casualty Reports per Unique FOF, MODU, and
                         Vessel, From 2014-2019
------------------------------------------------------------------------
                                              Foreign          U.S.
------------------------------------------------------------------------
Average number of FOF, MODU, and vessels           22.80           99.60
 reporting annually.....................
Average number of non-fatality reports..           37.60          160.60
Average number of fatality reports......            1.00            1.40
------------------------------------------------------------------------
* Ratios are sensitive to rounding and were not rounded in the
  calculations for the analysis.

    Currently, fatal MCRs are mandatory for both populations while, in
this sample, non-fatal MCRs are voluntary for foreign FOFs, MODUs, and
vessels.
Costs From Increased Reporting
    Under this SNPRM, the Coast Guard would require that owners and
operators of foreign FOFs, MODUs, and vessels engaged in an OCS
activity report marine casualties using the CG-2692 form under the
reporting requirements of 46 CFR part 4 instead of the requirements
under 33 CFR part 146. All U.S. entities already comply with these
requirements. To estimate the potential increase in non-fatal MCRs
generated by foreign FOFs, MODUs, and vessels, the Coast Guard
estimates how many MCRs would be generated if the average number of
non-fatality MCRs for the foreign population matched those of the U.S.
population. Coast Guard estimates this by taking the proportion of US
non-fatality reports to fatality reports and foreign non-fatality
reports to fatality reports and solving for foreign non-fatality
reports as shown in equation (A). Coast Guard believes that this is the
best approximation available, given uncertainty about differences in
the total population sizes, differences in the percentage of the active
populations that report MCRs, and differences in general risk levels of
operations between the two populations. The Coast Guard welcomes any
suggestions or data that may better account for these uncertainties.
[GRAPHIC] [TIFF OMITTED] TP14JN23.000

    Using the figures for average annual reports from Table 12, we then
apply the formula shown in (A), assuming that the total value of
foreign non-fatality reports is unknown and that the 37.60 non-fatality
reports from foreign FOFs, MODUs, and vessels are voluntary but not
equal to the total number of reports that would be realized under this
proposed rule. The result is 114.71 foreign non-fatality reports, the
total number of non-fatality reports that would have been reported, if
the proportion of foreign fatality reports was the same as US fatality
reports. The calculation of this 114.7 is shown in the equations (B),
(C), and (D).
[GRAPHIC] [TIFF OMITTED] TP14JN23.001

    In (B), we assume that the U.S. non-fatality reports is equal to
160.60 as shown in Table 12, that U.S. fatality reports is equal to
1.40, and that foreign fatality reports is equal to 1.0. In (C), we
begin solving the proportion for x by multiplying 160.60 by 1.0 and
multiplying 1.40 by x, which results in 160.67 = 1.40x. Finally, in
(D), we divide 160.60 by 1.40, which equals 114.71, the total number of
foreign non-fatality reports.
    Then, we subtract the number of voluntary reports already received
from the foreign population to get the marginal increase in MCRs. This
is the total of 114.71 foreign non- fatality reports minus the 37.60
voluntary foreign non-fatality reports, for an increase of 77.11
reports. Therefore, Coast Guard assumes that by making the requirements
for reporting non-fatal casualties by foreign FOFs, MODUs, and vessels
the same as for US FOFs, MODUs, and vessels, that foreign FOFs, MODUs,
and vessels would report an average of 78 more non-fatality reports per
year, rounding 77.11 up to the nearest whole number.
    Table 14 summarizes the annual cost of additional MCRs submitted
for foreign FOFs, MODUs, and vessels. The time burden and wage cost of
generating MCRs comes from the collection of information (COI) ``OMB
Control No. 1625-0001, Report of Marine Casualty and Chemical Testing
of Commercial Vessel Personnel.'' It lists the burden hour per response
for an MCR as 1 hour, with a corresponding loaded hourly wage of $30,
which is equivalent to the 2019 GS-3 Outside Government Wage.\21\ In
this SNPRM, we use the 2019 U.S. Bureau of Labor Statistics (BLS) wage
for captains, mates, and pilots of water vessels, which is a loaded
hourly wage of $64.14,\22\ instead of the 2019

Commandant Instruction 7310.1T, Reimbursable Standard Rates \23\ wage
used in the NPRM because we believe it is a closer match to the
occupation of the submitter and, therefore, more accurate. In the 2018
Final Rule updating the property damage threshold for 46 CFR part 4,
the Coast Guard acknowledged industry comments that some particularly
complex reports require additional review before submission to the
Coast Guard. Thus, the Coast Guard uses the same adjustment for MCRs
under 33 CFR and assumes that 10 percent of MCRs have an additional
burden-hour response of 10 hours, to account for internal company
review conducted by lawyers or upper management. This assumption does
not increase the number of MCRs but increases the burden time for each
MCR, the total increase in reports is 78 and 8 of those reports will
take 11 hours to prepare instead of 1 hour. The current collection
lists a corresponding wage rate of $110, equivalent to the 2019 GS-14
Outside Government Wage.\24\ As above, for this SNPRM, we use the BLS
wage for lawyers, which is a loaded hourly wage of $106.61,\25\ instead
of the Commandant Instruction wage, because we believe it more
accurately reflects who is performing this review of the more complex
report.
---------------------------------------------------------------------------

    \21\ www.reginfo.gov/public/do/PRAViewDocument?ref_nbr=201903-1625-001.
    \22\ The 2019 mean wage for captains, mates, and pilots of water
vessels is $42.03 (www.bls.gov/oes/2019/may/oes535021.htm). The load
factor is equal to the ratio of total compensation
(CMU2010000520000D) over wages and salaries (CMU2020000520000D) from
2019 or $33.20 divided by $21.76, or 1.526. The loaded wage is the
mean wage multiplied by the load factor. The loaded wage, $64.14,
equals $42.03 multiplied by 1.526. Series are from the Bureau of
Labor Statistics, Employer Cost for Employee Compensation for
Private Industry Workers, Transportation and Material Moving.
    \23\ www.uscg.mil/Portals/0/NPFC/docs/7310/Cl_7310_1T.pdf?ver=2019-01-28-080829-207.
    \24\ Ibid.
    \25\ The 2019 mean wage for lawyers is $69.86 (www.bls.gov/oes/2019/may/oes231011.htm). The load factor is equal to the ratio of
total compensation (CMU2010000520000D) over wages and salaries
(CMU2020000520000D) from 2019 or $33.20 divided by $21.7676, or
1.526. The loaded wage is the mean wage multiplied by the load
factor. The loaded wage, $106.61, equals $69.86 multiplied by 1.526.
Series are from the Bureau of Labor Statistics, Employer Cost for
Employee Compensation for Private Industry Workers, Transportation
and Material Moving.

           Table 14--Annual Cost of Additional Casualty Reports From Foreign FOFs, MODUs, and Vessels
----------------------------------------------------------------------------------------------------------------
                                  Annual       Burden  hours    Annual  hour                      Annual  cost
                                 responses     per  response       burden         Wage  rate         burden
                                         (A)             (B)   (C) = (A) x (B)             (D)   (E) = (C) x (D)
----------------------------------------------------------------------------------------------------------------
Marine Casualty Report......              78               1                78          $64.14            $5,003
Additional Burden for 10% of               8              10                80          106.61             8,529
 Respondents *..............
                             -----------------------------------------------------------------------------------
    Total Annual Cost.......  ..............  ..............  ................  ..............           $13,531
----------------------------------------------------------------------------------------------------------------
* Note that these increased review times do not constitute separate MCRs. Rather, they increase the total burden
  time of a single report. We have only 78 new reports, 8 of which will require 11 total hours to prepare.

    Table 15 shows the annual costs across a 10-year period of
analysis. This annual cost of $13,531 generates a total cost of $95,039
over 10 years in 2019 dollars discounted at 7 percent, or $13,531
annualized.

                                    Table 15--Cost to Industry Over 10 Years
----------------------------------------------------------------------------------------------------------------
                                                                      Annual            Total,  discounted
                              Year                                 undiscounted  -------------------------------
                                                                       cost             7%              3%
----------------------------------------------------------------------------------------------------------------
1...............................................................         $13,531         $12,646         $13,137
2...............................................................          13,531          11,819          12,755
3...............................................................          13,531          11,046          12,383
4...............................................................          13,531          10,323          12,023
5...............................................................          13,531           9,648          11,672
6...............................................................          13,531           9,017          11,332
7...............................................................          13,531           8,427          11,002
8...............................................................          13,531           7,875          10,682
9...............................................................          13,531           7,360          10,371
10..............................................................          13,531           6,879          10,069
                                                                 -----------------------------------------------
    Total.......................................................         135,315          95,039         115,426
    Annualized..................................................  ..............          13,531          13,531
----------------------------------------------------------------------------------------------------------------

Benefits
    Through this SNPRM, the Coast Guard would update our casualty
reporting regulations under 33 CFR part 146, issued in 1955, to keep up
with technology and recognize that floating OCS facilities and MODUs
are more like ocean-going vessels than the fixed OCS facilities the
regulations were originally written to address. We would also harmonize
reporting requirements for all foreign FOFs, MODUs, and vessels to the
same reporting standards as their U.S. counterparts. These proposed
changes would help provide consistency on the OCS and increase our
maritime domain awareness by creating the mechanism for more complete
casualty data that leads to planning contingencies, evaluating risks,
and identifying trends.
    Coast Guard District, Area, Headquarters, Area, District, and local
offices, and the OCS National Center of Expertise analyze and share
accident information. In addition, the Coast Guard ``Marine Safety
Manual'' \26\ contains guidance about broad distribution of accident
and inspection information when potentially hazardous or systemic
problems are found with a vessel, operator, or type of equipment. This
data helps the Coast Guard identify and address safety issues
proactively while improving the accuracy of Coast Guard's decision
making and policy

development. Therefore, we believe a qualitative benefit of this
proposed supplemental rule would come from the Coast Guard receiving
reports of casualties that we would not otherwise receive.
---------------------------------------------------------------------------

    \26\ www.uscg.mil/guidance.
---------------------------------------------------------------------------

Cost Savings From Property Damage Threshold Update
    As a supplement to the reporting change for foreign FOFs, MODUs,
and vessels in this SNPRM, the Coast Guard would also align reporting
by updating the property damage threshold for reporting a marine
casualty under 33 CFR 146.30 from $25,000 to $75,000 to align with the
threshold listed in 46 CFR 4.05-1. The threshold in 46 CFR part 4 was
previously updated to $75,000 in the 2018 Final Rule.\27\ Raising the
threshold for reportable property damage would decrease the number of
marine casualties reported, since more damage would have to be incurred
to meet the reportable threshold. The decrease in reports from the
threshold update would mitigate the increase in reports generated by
the cost section of this supplemental proposed rulemaking. In the
following analysis, we apply the updated damage threshold of $75,000 to
reports submitted for fixed OCS facilities under 33 CFR part 146 as
well as to the estimated increase of 66 MCRs, which used the $25,000
threshold when reported. Fixed OCS facilities were not included in the
analysis of the 2018 Final Rule. So, the reduction in reports from
fixed OCS reporting facilities was never estimated.\28\
---------------------------------------------------------------------------

    \27\ ``Marine Casualty Reporting Property Damage Thresholds''
(83 FR 11889, March 19, 2018).
    \28\ See page 11891 of 83 FR 11889 under ``E. Amending the
Dollar Amount Thresholds for Outer Continental Shelf Casualty
Reporting in Title 33 of the CFR.''
---------------------------------------------------------------------------

    To estimate the decrease in reports, the Coast Guard identified
MCRs submitted in the last 3 years that were generated because of
property damage alone and would no longer meet the updated higher
damage threshold for reporting. These are MCRs with property damage
between the threshold of $25,000 and the proposed threshold of $75,000.
We did not include fatality or injury, as these types of incidents are
reportable regardless of property damage.
    The Coast Guard identified 41 total reports submitted for FOFs,
MODUs, and vessels currently reporting under 33 CFR part 146, generated
because of property damage between $25,000 and $75,000 for a 5-year
average of 9 reports annually. We then apply the same assumption that
10 percent of MCRs have an additional burden hour response of 10 hours
to account for additional review time. We use the same assumed burden
hour and wage used above for MCRs, with a corresponding loaded wage
rate of $64.14. Table 16 shows how these assumptions generate a total
annual saved cost of $1,643 that can be applied to the increased costs
described in the Costs from Increased Reporting section to reduce net
costs.

     Table 16--Decreased Reporting Costs for Foreign FOFs, MODUs, and Vessels Moving to Title 46 of the CFR
----------------------------------------------------------------------------------------------------------------
                                 Estimated
                              responses that
                                 would no      Burden  hours     Annual hour                       Annual cost
                                longer meet    per  response       burden          Wage rate          saved
                                 reporting
                                 threshold
                                         (A)             (B)   (C) = (A) x (B)             (D)   (E) = (C) x (D)
----------------------------------------------------------------------------------------------------------------
Decrease from Property                    -9               1                -9          $64.14              $577
 Damage Threshold...........
Additional Burden for 10% of              -1              10               -10          106.61             1,066
 Respondents................
                             -----------------------------------------------------------------------------------
    Total Cost Saved........  ..............  ..............  ................  ..............             1,643
----------------------------------------------------------------------------------------------------------------

    Table 17--shows how this annual savings of $1,643 generates $11,542
in cost savings over 10 years in 2019 dollars, discounted at 7 percent,
or $1,643 annualized.

                    Table 17--Cost Savings to Foreign FOFs, MODUs, and Vessels Over 10 Years
----------------------------------------------------------------------------------------------------------------
                                                                      Annual             Total, discounted
                              Year                                 undiscounted  -------------------------------
                                                                       cost             7%              3%
----------------------------------------------------------------------------------------------------------------
1...............................................................          -1,643         -$1,536         -$1,595
2...............................................................          -1,643          -1,435          -1,549
3...............................................................          -1,643          -1,341          -1,504
4...............................................................          -1,643          -1,254          -1,460
5...............................................................          -1,643          -1,172          -1,418
6...............................................................          -1,643          -1,095          -1,376
7...............................................................          -1,643          -1,023          -1,336
8...............................................................          -1,643            -956          -1,297
9...............................................................          -1,643            -894          -1,259
10..............................................................          -1,643            -835          -1,223
                                                                 -----------------------------------------------
    Total.......................................................         -16,433         -11,542         -14,018
    Annualized..................................................  ..............          -1,643          -1,643
----------------------------------------------------------------------------------------------------------------

    For fixed OCS facilities, we identified three reports generated
because of property damage between $25,000 and $75,000, and applied the
same assumption that 10 percent of MCRs have an additional burden hour
response of 10 hours to account for additional review time. Since we
assume any fraction of a report would be a whole report, we round the
5-year average of 0.15 up to one report. Table 18 shows how we use the
same burden hour and wage assumptions as above to generate an annual
cost savings of $1,194, which reduces the net cost of this rule.

                                              Table 18--Decreased Reporting Costs for Fixed OCS Facilities
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                         Estimated
                                                      responses that
                                                         would no     Rounding up to   Burden hours      Annual hour                       Annual cost
                                                        longer meet    nearest whole   per response        burden          Wage rate          saved
                                                         reporting        number
                                                         threshold
                                                                                (A)             (B)   (C) = (A) x (B)             (D)   (E) = (C) x (D)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Decrease from Property Damage Threshold.............              -2              -2               1                -2           64.14               128
Additional Burden for 10% of Respondents............           -0.15              -1              10               -10          106.61             1,066
                                                     ---------------------------------------------------------------------------------------------------
    Total Cost Saved................................  ..............  ..............  ..............  ................  ..............             1,194
--------------------------------------------------------------------------------------------------------------------------------------------------------

    Table 19 shows how this annual savings of $1,194 generates $8,389
in cost savings over 10 years discounted at 7 percent, or $1,194
annualized.

                          Table 19--Cost Savings to Fixed OCS Facilities Over 10 Years
----------------------------------------------------------------------------------------------------------------
                                                                      Annual             Total, discounted
                              Year                                 undiscounted  -------------------------------
                                                                       cost             7%              3%
----------------------------------------------------------------------------------------------------------------
1...............................................................         -$1,194         -$1,116         -$1,160
2...............................................................          -1,194          -1,043          -1,126
3...............................................................          -1,194            -975          -1,093
4...............................................................          -1,194            -911          -1,061
5...............................................................          -1,194            -852          -1,030
6...............................................................          -1,194            -796          -1,000
7...............................................................          -1,194            -744            -971
8...............................................................          -1,194            -695            -943
9...............................................................          -1,194            -650            -915
10..............................................................          -1,194            -607            -889
                                                                 -----------------------------------------------
    Total.......................................................         -11,944          -8,389         -10,188
    Annualized..................................................  ..............          -1,194          -1,194
----------------------------------------------------------------------------------------------------------------

    Together, these cost savings to industry total $2,838 ($1,643 +
$1,194) annually. Table 20 shows how these annual savings generate
$19,931 in cost savings to industry over 10 years discounted at 7
percent, or $2,838 annualized.

                                          Table 20--Total Cost Savings
----------------------------------------------------------------------------------------------------------------
                                                                      Annual             Total, discounted
                              Year                                 undiscounted  -------------------------------
                                                                      savings           7%              3%
----------------------------------------------------------------------------------------------------------------
1...............................................................         -$2,838         -$2,652         -$2,755
2...............................................................          -2,838          -2,479          -2,675
3...............................................................          -2,838          -2,316          -2,597
4...............................................................          -2,838          -2,165          -2,521
5...............................................................          -2,838          -2,023          -2,448
6...............................................................          -2,838          -1,891          -2,377
7...............................................................          -2,838          -1,767          -2,307
8...............................................................          -2,838          -1,652          -2,240
9...............................................................          -2,838          -1,544          -2,175
10..............................................................          -2,838          -1,443          -2,112
                                                                 -----------------------------------------------
    Total.......................................................         -28,377         -19,931         -24,206
    Annualized..................................................  ..............          -2,838          -2,838
----------------------------------------------------------------------------------------------------------------

Cost to Government
    The increase of 78 MCRs would be mitigated by a total decrease of
11 reports; 9 from the increased property damage threshold for FOFs,
MODUs, and vessels, and 2 from the update to fixed OCS facilities.
Following the methodology in appendix B of the COI number 1625-0001, we
do not assume that the 10 percent of reports that take longer to
prepare for submission would take longer for the Coast Guard to review.
The burden hour established in the COI already accounts for variance in
the time to review MCRs of differing complexity and severity.
    We assume that there is 1 hour of processing time at a GS-9 wage of
$54.84 for each MCR.\29\ For the 67 additional responses, there is a
total annual cost of $3,674, as shown in table 21.
---------------------------------------------------------------------------

    \29\ Casualty reports are reviewed at Coast Guard Headquarters
and the 2020 Washington, DC locality wage of $32.33 for a GS-9, Step
5, employee is used (www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/salary-tables/pdf/2020/DCB_h.pdf). The load factor is
1.70 (rounded) estimated by dividing $67.00 average total
compensation per hour by $39.50 average hourly wage from tables 4
and 2, respectively, of the 2017 Congressional Budget Office report,
``Comparing the Compensation of Federal and Private-Sector Employees
2011-2015'' (www.cbo.gov/system/files/115th-congress-2017-2018/reports/52637-federalprivatepay.pdf). The loaded wage is the mean
wage multiplied by the load factor. The loaded wage, $54.84, equals
$32.33 multiplied by 1.6962.

                                          Table 21--Cost to Government
----------------------------------------------------------------------------------------------------------------
                                                   Burden hours
          Cost category              Responses     per response    Annual hours      Wage rate      Annual cost
----------------------------------------------------------------------------------------------------------------
Processing MCR..................              67               1              67          $54.84          $3,674
                                 -------------------------------------------------------------------------------
    Total Annual Cost...........  ..............  ..............  ..............  ..............           3,674
----------------------------------------------------------------------------------------------------------------

    Table 22 shows how the annual cost of $3,674 generates a total cost
of $25,806 over 10 years in 2019 dollars, discounted at 7 percent, or
$3,674 annualized.

                                   Table 22--Cost to Government Over 10 Years
----------------------------------------------------------------------------------------------------------------
                                                                      Annual             Total, discounted
                              Year                                 undiscounted  -------------------------------
                                                                       cost             7%              3%
----------------------------------------------------------------------------------------------------------------
1...............................................................          $3,674          $3,434          $3,567
2...............................................................           3,674           3,209           3,463
3...............................................................           3,674           2,999           3,362
4...............................................................           3,674           2,803           3,264
5...............................................................           3,674           2,620           3,169
6...............................................................           3,674           2,448           3,077
7...............................................................           3,674           2,288           2,987
8...............................................................           3,674           2,138           2,900
9...............................................................           3,674           1,999           2,816
10..............................................................           3,674           1,868           2,734
                                                                 -----------------------------------------------
    Total.......................................................          36,742          25,806          31,341
    Annualized..................................................  ..............           3,674           3,674
----------------------------------------------------------------------------------------------------------------

Net Cost

    The net annualized costs of this rule would be $14,368 [($13,531 +
$3,674)--$2,838], discounted at 7-percent. Table 23 shows the sum of
the net costs over 10 years for a total net cost of $100,914 in 2019
dollars discounted at 7 percent, or $14,368 annualized.

                                                                Table 23--Total Net Costs
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                Total, discounted
                          Year                                Cost to         Cost to      Cost savings      Net cost    -------------------------------
                                                             industry       government      to industry                         7%              3%
--------------------------------------------------------------------------------------------------------------------------------------------------------
1.......................................................         $13,531          $3,674        $(2,838)         $14,368         $13,428         $13,949
2.......................................................          13,531           3,674         (2,838)          14,368          12,550          13,543
3.......................................................          13,531           3,674         (2,838)          14,368          11,729          13,149
4.......................................................          13,531           3,674         (2,838)          14,368          10,961          12,766
5.......................................................          13,531           3,674         (2,838)          14,368          10,244          12,394
6.......................................................          13,531           3,674         (2,838)          14,368           9,574          12,033
7.......................................................          13,531           3,674         (2,838)          14,368           8,948          11,682
8.......................................................          13,531           3,674         (2,838)          14,368           8,362          11,342
9.......................................................          13,531           3,674         (2,838)          14,368           7,815          11,012
10......................................................          13,531           3,674         (2,838)          14,368           7,304          10,691
                                                         -----------------------------------------------------------------------------------------------
    Total...............................................  ..............  ..............  ..............         143,680         100,914         122,562