[Federal Register Volume 79, Number 67 (Tuesday, April 8, 2014)]
[Proposed Rules]
[Pages 19419-19452]
[FR Doc No: 2014-07321]

Vol. 79

Tuesday,

No. 67

April 8, 2014

Part II

 Department of Homeland Security

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 Coast Guard

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46 CFR Part 69

 Tonnage Regulations Amendments; Proposed Rule

Federal Register / Vol. 79 , No. 67 / Tuesday, April 8, 2014 /
Proposed Rules

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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

46 CFR Part 69

[Docket No. USCG-2011-0522]
RIN 1625-AB74

Tonnage Regulations Amendments

AGENCY: Coast Guard, DHS.

ACTION: Notice of proposed rulemaking.

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SUMMARY: The Coast Guard proposes to amend its tonnage regulations by
implementing amendments to the tonnage measurement law made by the
Coast Guard Authorization Act of 2010. This rulemaking would also
codify principal technical interpretations issued by the Coast Guard,
and incorporate administrative, non-substantive clarifications of and
updates to the tonnage regulations. The Coast Guard believes these
changes will lead to a better understanding of regulatory requirements.

DATES: Comments and related material must either be submitted to our
online docket via http://www.regulations.gov on or before July 7, 2014
or reach the Docket Management Facility by that date.

ADDRESSES: You may submit comments identified by docket number USCG-
2011-0522 using any one of the following methods:
    (1) Federal eRulemaking Portal: http://www.regulations.gov.
    (2) Fax:<PHONE_NUMBER>.
    (3) Mail: Docket Management Facility (M-30), U.S. Department of
Transportation, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue SE., Washington, DC 20590-0001.
    (4) Hand delivery: Same as mail address above, between 9 a.m. and 5
p.m., Monday through Friday, except Federal holidays. The telephone
number is<PHONE_NUMBER>.
    To avoid duplication, please use only one of these four methods.
See the ``Public Participation and Request for Comments'' portion of
the SUPPLEMENTARY INFORMATION section below for instructions on
submitting comments.

FOR FURTHER INFORMATION CONTACT: If you have questions on this proposed
rule, call or email Mr. Marcus Akins, Marine Safety Center, Tonnage
Division (MSC-4), Coast Guard; telephone<PHONE_NUMBER>, email
<EMAIL_ADDRESS>If you have questions on viewing or submitting
material to the docket, call Barbara Hairston, Program Manager, Docket
Operations, telephone<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Table of Contents for Preamble

I. Public Participation and Request for Comments
    A. Submitting Comments
    B. Viewing Comments and Documents
    C. Privacy Act
    D. Public Meeting
II. Abbreviations
III. Background
IV. Discussion of Proposed Rule
V. Regulatory Analyses
    A. Regulatory Planning and Review
    B. Small Entities
    C. Assistance for Small Entities
    D. Collection of Information
    E. Federalism
    F. Unfunded Mandates Reform Act
    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

    We encourage you to participate in this rulemaking by submitting
comments and related materials. All comments received will be posted
without change to http://www.regulations.gov and will include any
personal information you have provided.

A. Submitting Comments

    If you submit a comment, please include the docket number for this
rulemaking (USCG-2011-0522), indicate the specific section of this
document to which each comment applies, and provide a reason for each
suggestion or recommendation. You may submit your comments and material
online or by fax, mail, or hand delivery, but please use only one of
these means. We recommend that you include your name and a mailing
address, an email address, or a phone number in the body of your
document so that we can contact you if we have questions regarding your
submission.
    To submit your comment online, go to http://www.regulations.gov and
insert ``USCG-2011-0522'' in the ``Search'' box. Click on ``Submit a
Comment'' in the ``Actions'' column. If you submit your comments by
mail or hand delivery, submit them in an unbound format, no larger than
8\1/2\ by 11 inches, suitable for copying and electronic filing. If you
submit comments by mail and would like to know that they reached the
Facility, please enclose a stamped, self-addressed postcard or
envelope.
    We will consider all comments and material received during the
comment period and may change this proposed rule based on your
comments.

B. Viewing Comments and Documents

    To view comments, as well as documents mentioned in this preamble
as being available in the docket, go to http://www.regulations.gov and
insert ``USCG-2011-0522'' in the ``Search'' box. Click ``Search.''
Click the ``Open Docket Folder'' in the ``Actions'' column. If you do
not have access to the Internet, you may view the docket online by
visiting the Docket Management Facility in Room W12-140 on the ground
floor of the Department of Transportation West Building, 1200 New
Jersey Avenue SE., Washington, DC 20590, between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays. We have an agreement
with the Department of Transportation to use the Docket Management
Facility.

C. Privacy Act

    Anyone can search the electronic form of comments received into any
of our dockets by the name of the individual submitting the comment (or
signing the comment, if submitted on behalf of an association,
business, labor union, etc.). You may review a Privacy Act notice
regarding our public dockets in the January 17, 2008, issue of the
Federal Register (73 FR 3316).

D. Public Meeting

    We plan to hold one public meeting on this NPRM. We will publish a
notice with the specific date and location of the meeting in the
Federal Register as soon as we know this information. Individuals
interested in receiving this notice personally should submit their
contact information to<EMAIL_ADDRESS>with ``Tonnage Public Meeting''
in the subject line. We plan to record this meeting using an audio-
digital recorder and make that audio recording available through a link
in our online docket. We will also provide a written summary of the
meeting and comments and will place that summary in the docket.
    For information on facilities or services for individuals with
disabilities or to request special assistance at the public meeting,
contact Mr. Marcus Akins at the telephone number or email address
indicated under the FOR FURTHER INFORMATION CONTACT section of this
notice.

II. Abbreviations

BLS Bureau of Labor Statistics
CFR Code of Federal Regulations

FR Federal Register
GRT Gross Register Tons
GT ITC Gross Tonnage Measurement under the Convention Measurement
System
IMO International Maritime Organization
ITC (1969) International Tonnage Certificate (1969)
MSC Marine Safety Center
MSSC Marine Safety and Security Council
MTN Marine Safety Center Technical Note
NAICS North American Industry Classification System
NEPA National Environmental Policy Act 1969 (42 U.S.C. 432-4370f)
NPRM Notice of Proposed Rulemaking
NT ITC Net tonnage under the Convention Measurement System
NVIC Navigation and Vessel Inspection Circular
Sec.  Section symbol
U.S.C. United States Code

III. Background

    The tonnage measurement law, codified in Title 46, United States
Code, Subtitle II, Part J, ``Measurement of Vessels,'' provides for
assignment of gross and net tonnages to any vessel to which a law of
the United States applies based on the vessel's tonnage. These
parameters reflect a vessel's size and useful capacity, respectively,
and are used for a variety of purposes, including the application of
vessel safety, security, and environmental regulations, and the
assessment of taxes and fees.
    Depending on the vessel's size, voyage type, and other
considerations, vessels are measured under the newer internationally-
based Convention Measurement System, or the older domestic Regulatory
Measurement System, of which there are three sub-systems: The Standard,
Dual, and Simplified systems. Because variations between the two
overarching systems may yield substantively different tonnages, the
law, as amended in 1986, provides for owners of vessels measured under
the Convention Measurement System to be additionally measured under the
Regulatory Measurement System, and to use Regulatory Measurement System
tonnage when applying certain tonnage-based requirements of older laws.
    The Coast Guard administers the implementing regulations for the
tonnage measurement law, which are found in Title 46, Code of Federal
Regulations, Part 69, ``Measurement of Vessels'', and referred to as
the tonnage regulations. Other than several changes of an
administrative nature, the Coast Guard has not amended these
regulations since an extensive rewrite in 1989 to reflect changes made
by the 1986 amendments to the tonnage measurement law.
    Assignment and use of tonnage under four different measurement
systems presents some unique challenges, especially with regard to
interpreting requirements on vessel eligibility for measurement under
these systems, and applying domestic and international tonnage-based
laws, particularly in situations where two sets of tonnages may be
assigned to a vessel. To provide clarity and address the complexities
of tonnage applicability requirements under the 1986 amended law, in
1993 we issued Navigation and Vessel Inspection Circular (NVIC) 11-93,
``Application of Tonnage Measurement Systems to U.S. Flag Vessels.''
This NVIC has been updated three times and provides current Coast Guard
interpretations related to vessel eligibility for measurement under the
various systems, and how the assigned tonnages may be used.
    Additionally, to keep pace with rapidly evolving vessel designs, in
1999 the Coast Guard issued an additional tonnage interpretative policy
document: Marine Safety Center Technical Note (MTN) 01-99, ``Tonnage
Technical Policy.'' That document provides interpretations of the
detailed rules of the tonnage regulations for measuring vessels and
calculating tonnages, and was intended primarily for use by
organizations that perform tonnage measurement work on our behalf.
However, recognizing the importance of these interpretations to vessel
designers, builders, owners, and others interested in the tonnage
rules, we notified the public via the Federal Register when we updated
MTN 01-99, starting with Change 6 (68 FR 71118 dated December 22,
2003).
    The Coast Guard Authorization Act of 2010 (Pub. L. 111-281, Title
III, Sec.  303, Oct. 15, 2010, 124 Stat. 2924) (the 2010 Coast Guard
Authorization Act) included amendments which updated, clarified, and
eliminated inconsistencies in the tonnage measurement law, and
precluded the owners of certain foreign flag vessels that engage solely
on U.S. domestic voyages from obtaining a future measurement under the
Regulatory Measurement System. Those amendments require related changes
to the tonnage regulations. In addition, although NVIC 11-93 and MTN
01-99, as amended, have proven useful in supplementing the requirements
of the tonnage regulations, we consider that some of the associated
interpretations are better suited for codification, and are appropriate
for inclusion in the tonnage regulations.
    We developed the proposed rule to implement the 2010 amendments to
the tonnage measurement law, codify principal policy interpretations,
and incorporate additional clarifications and other administrative
updates to the tonnage regulations. In identifying interpretations for
codification, we took into consideration the frequency of their use,
and potential impact on vessel designs or operations. We also balanced
the benefit of increased clarity against the loss of flexibility to
further develop and apply interpretations of a secondary nature to
evolving ship designs, and to apply superseded interpretations in
special circumstances under the grandfathering provisions of MTN 01-99,
as amended. We expect the public to benefit from the proposed rule
through increased visibility of principal policy interpretations
applied during tonnage measurement. We also expect the public to
benefit from the elimination of inconsistencies and incorporation of
clarifications or updates that are either consistent with longstanding
Coast Guard policy or reflective of current Coast Guard practice.

IV. Discussion of Proposed Rule

    In the paragraphs below, we discuss the specific proposed
amendments to the tonnage regulations, along with the reasons for
implementing them. We organized the discussion according to the subpart
and section number in which each change would appear in the text of 46
CFR part 69. Additional information about the need for and impact of
these proposed amendments is provided in Section V.A., ``Regulatory
Planning and Review,'' of this rulemaking.

Subpart A--General

Sec.  69.1 Purpose.
    We propose amending this section to align it with Sections 303(c)
and (f) of the 2010 Coast Guard Authorization Act, which eliminates
disparate treatment of documented and undocumented U.S. flag vessels,
and to reflect the use of tonnage for environmental and security
purposes. In addition, we propose relocating the descriptions of each
measurement system to the corresponding definitions in Sec.  69.9.
Sec.  69.3 Applicability.
    We propose amending this section to align it with the tonnage
measurement law, Title 46 U.S.C. 14104, which requires the measurement
of all U.S. and foreign flag vessels, regardless of size, for which the
application of an international agreement or other law of the United
States depends on the vessel's tonnage. This proposed change expands
the scope of the regulations to apply to foreign flag vessels, as well
as

U.S. flag vessels, and removes a 5 net ton minimum size restriction for
measurement of U.S. flag vessels.
Sec.  69.5 Vessels required or eligible to be measured.
    We propose deleting this section, as the proposed changes to Sec.
69.3 address which vessels are required or are eligible to be measured.
Sec.  69.7 Vessels transiting the Panama and Suez Canals.
    We propose amending this section to delete the requirement that
vessels transiting the Panama Canal be measured under the Panama Canal
tonnage measurement regulations formerly located in 35 CFR part 135.
Due to the transfer of the Panama Canal to the Republic of Panama, the
United States government no longer has responsibility for Panama Canal
tonnage assignments. We also propose deletion of the requirement that
vessels be measured under specific Suez Canal measurement rules, and
all other references to these rules, as they are similarly not the
responsibility of the United States government and are subject to
change by the Arab Republic of Egypt. Our proposed new language alerts
vessel owners to potential special tonnage certificate requirements
when transiting the Panama and Suez Canals and states that measurement
organizations authorized by the respective canal authorities may issue
these special tonnage certificates.
Sec.  69.9 Definitions.
    We propose amending this section to reflect new terms and concepts
introduced in this rule, and to clarify existing definitions.
    We propose defining the new terms ``deck cargo,'' ``gross register
tonnage,'' ``gross tonnage ITC,'' ``net register tons,'' ``non-self-
propelled vessel,'' ``Regulatory Measurement System,''
``remeasurement,'' and ``self-propelled vessel'' based on definitions
for similar terms in NVIC 11-93, as amended. We propose defining the
new term ``portable enclosed space'' based on the definition of the
term ``temporary deck equipment'' in the NVIC, but renaming it for
consistency with common industry usage. We propose defining the new
term ``U.S. flag vessel,'' which replaces the term ``vessel of United
States registry or nationality or operated under the authority of the
United States'' that is used in the tonnage measurement law, and
referencing ``U.S. flag vessel'' in the definition for the new term
``foreign flag vessel.'' We propose defining the new term ``register
ton'' based on the definition of this term in the tonnage regulations
as they existed prior to 1989. We propose defining the new term
``authorized measurement organization'' based on its usage in Sec.
69.15. We propose defining the new term ``tonnage threshold'' based on
common industry usage.
    We propose revising the definitions of the terms ``Convention
Measurement System,'' ``Dual Measurement System,'' ``Simplified
Measurement System,'' and ``Standard Measurement System'' to provide a
more detailed description of each system, and to include the word
``Regulatory'' for clarity. We propose revising the definition of
``Commandant'' to update the mailing address for the Marine Safety
Center. We propose revising the definition of the term ``National
Vessel Documentation Center'' to remove unnecessary reference to the
organization's address. We propose revising the definition of the term
``overall length'' to include reference to the vessel's hull,
consistent with the length definition of 46 U.S.C. 14522 and
corresponding definitions in MTN 01-99, as amended. We propose revising
the definition of the term ``tonnage'' to provide a more comprehensive
and accurate description of this volumetric parameter.
    We propose changing the term ``vessel engaged on a foreign voyage''
to ``vessel that engages on a foreign voyage'' consistent with language
established by Section 303(c) of the 2010 Coast Guard Authorization
Act. We propose deleting the definitions for ``gross tonnage'' and
``net tonnage'' and relocating relevant information to the definition
of ``tonnage'' to help avoid confusion over the use of these terms in
the context of tonnage assignments under the Convention Measurement
System.
Sec.  69.11 Determining the measurement system or systems for a
particular vessel.
    We propose amending this section to align with Sections 303(c) and
(f) of the 2010 Coast Guard Authorization Act. These amendments provide
for identical tonnage measurement treatment of documented and
undocumented U.S. flag vessels and preclude foreign flag vessels
greater than 79 feet in length from being measured under the Regulatory
Measurement System. This proposed change is not retroactive. We also
propose relocating the language addressing how tonnage thresholds are
applied to the newly proposed Sec.  69.20.
Sec.  69.13 Applying the provisions of a measurement system.
    We propose amending this section to require Coast Guard
interpretations be observed when vessels are measured, consistent with
existing written agreements between the measurement organizations and
the Coast Guard and requirements of MTN 01-99, ``Tonnage Technical
Policy,'' and MTN 01-98, ``Tonnage Administrative Policy,'' as amended.
We also propose amendments to identify that Coast Guard interpretations
are published by, and may be obtained from, the Coast Guard Marine
Safety Center, in order to facilitate access to interpretive documents
such as MTN 01-98 and 01-99, as amended. Additionally, we propose
amendments that would allow grandfathering of superseded tonnage
measurement rules under this part. These amendments are based on
similar grandfathering provisions for interpretations of the tonnage
measurement rules in MTN 01-99, as amended, except that grandfathering
is not extended to an identical sister vessel, consistent with
grandfathering approaches used in applying other marine safety
regulations. The grandfathering provisions take into account the
effective date of the regulation and the contract date for construction
of, or modification to, the vessel. These provisions allow for
grandfathering of previous interpretations only if the codified
conditions for grandfathering are met.
Sec.  69.15 Authorized measurement organizations.
    We propose amending this section for consistency with the proposed
changes in Sec.  69.11, which would establish new nomenclature for each
measurement system. Additionally, we propose changes to this section to
establish consistent terminology regarding the Coast Guard measurement
of vessels of war and vessels of any type being measured under the
Simplified Regulatory Measurement System. We also propose changes to
delete reference to obtaining application forms from the National
Vessel Documentation Center, consistent with the proposed changes in
Sec.  69.205 regarding measurement of undocumented vessels.
Sec.  69.17 Application for measurement services.
    We propose amending this section to state specifically that a
vessel owner is responsible for applying for vessel measurement or
remeasurement. We also propose omitting reference to boiler
installation as indicative of the stage of vessel construction, because
of the decreasing use of steam as a means of propulsion.

Sec.  69.19 Remeasurement and adjustment of tonnage.
    We propose amending this section to clarify that remeasurement may
be optionally performed to reflect the latest measurement rules, or may
be required as a result of a change in the use of spaces or vessel
service, for example, as might occur if a water ballast justification
approval was in effect under Sec.  69.117(f)(4). This latter
requirement is consistent with current practice as guided by NVIC 11-93
CH-2, MTN 01-98 CH 3 and MTN 01-98 CH 9. In addition, we propose a
change to delete an outdated and unnecessary reference to the
documentation regulations.
Sec.  69.20 Applying tonnage thresholds.
    We propose adding this new section to provide comprehensive
requirements within the tonnage measurement regulations on how tonnage
thresholds in international agreements and Federal statutes and
regulations are to be applied, including alternate tonnage thresholds.
These requirements are based on provisions of the tonnage measurement
law and the Convention, and are consistent with the interpretations of
NVIC 11-93, as amended. We intend for this section, along with
accompanying definitions proposed for Sec.  69.9, to help provide a
suitable framework for development of future tonnage-based regulations,
allowing tonnage thresholds to be specified in an unambiguous manner.
Sec.  69.25 Penalties.
    We propose amending this section to reflect implementation of the
Federal Civil Penalties Inflation Adjustment Act, as amended, which
increased the civil penalty amounts for a general violation and a false
statement to $30,000 (74 FR 68150 dated December 23, 2009).
Sec.  69.27 Delegation of authority to measure vessels.
    We propose amending this section to delete an outdated reference to
49 CFR 1.46 and to make this section consistent with the measurement
system nomenclature established in Sec.  69.11.
Sec.  69.28 Acceptance of measurement by a foreign country.
    We propose adding this new section to implement the provisions of
Section 303(i) of the 2010 Coast Guard Authorization Act for accepting
tonnage assignments for foreign flag vessels measured under laws and
regulations similar to those in 46 U.S.C. 14501. This section would
also incorporate the provisions of the tonnage measurement law as
amended in 1986 for acceptance of tonnage assignments for foreign flag
vessels measured under laws similar to those in 46 U.S.C. 14306.

Subpart B--Convention Measurement System

Sec.  69.53 Definitions.
    We propose defining the new term ``boundary bulkhead'' based on the
definition in MTN 01-99, as amended. We also propose deletion of the
terms ``gross tonnage'' and ``net tonnage'' from this section for the
reasons described in the discussion of the proposed amendments to Sec.
69.9.
Sec.  69.55 Application for measurement services.
    We propose amending this section to specify ``delivery date''
instead of the less-specific ``build date.''
Sec.  69.57 Gross tonnage ITC.
    We propose to amend this section to reflect new terminology
proposed in Sec.  69.9, which describes tonnage measured under the
Convention as gross tonnage ITC (GT ITC).
Sec.  69.59 Enclosed spaces.
    We propose to amend this section to incorporate the concept of
temporary deck equipment--now generalized to ``portable enclosed
space''--found in NVIC 11-93, as amended, which states that ``any
enclosed space of a semi-permanent nature located on the weather decks
of a vessel and which cannot be considered as deck cargo'' should be
considered enclosed volume to be included in tonnage.
Sec.  69.61 Excluded spaces.
    We propose incorporating interpretations from MTN 01-99, as
amended, providing for treatment of a qualifying space ``open to the
sea'' and below the upper deck as an excluded space.
Sec.  69.63 Net tonnage ITC.
    We propose revising this section to reflect new terminology
proposed in Sec.  69.9, which describes tonnage measured under the
Convention as GT ITC and net tonnage ITC (NT ITC).
Sec.  69.65 Calculation of volumes.
    We propose revising this section to delete the reference to
specific volume calculation methods, including Simpson's first rule of
integration, because these methods can yield inaccurate results if
misapplied. Also, we propose revising this section to delete the
discussion regarding cargo space insulation as this is addressed
elsewhere in Subpart B.
Sec.  69.69 Tonnage Certificates.
    We propose expanding the text of this section to more completely
reflect the requirements of the Convention. Specifically, we propose
adding language to preclude a vessel undergoing an alteration resulting
in a decrease in net tonnage as measured under the Convention from
being reissued a new International Tonnage Certificate (ITC (1969))
reflecting the lower net tonnage within 12 months following the date of
the original measurement and allowing a 3-month grace period after flag
transfer. We also propose expanding the text to reflect tonnage
certificate practices established in MTN 01-98, as amended, and Section
303(e) of the 2010 Coast Guard Authorization Act. Specifically, we
propose to add language requiring the measurement organization to issue
a U.S. Tonnage Certificate as evidence of measurement under the
Convention Measurement System if an ITC (1969) is not issued, and
clarifying that the ITC (1969) is delivered to the owner or master of
the vessel.
Sec.  69.71 Change of net tonnage.
    We propose replacing ``Coast Guard'' with ``Commandant'' to
identify the specific Coast Guard office which determines the magnitude
of an alteration of a major character.
Sec.  69.73 Treatment of unique or otherwise novel type vessels.
    We propose revising the title of this section to make it explicit
that it addresses ``novel'' vessel types, and to clarify that
submission of plans and sketches is not required in all cases.
Sec.  69.75 Figures.
    We propose updating the existing figures to resolve minor labeling
inconsistencies, and for visual clarity.

Subpart C--Standard Regulatory Measurement System

Sec.  69.101 Purpose.
    We propose amending this section to reflect the newly proposed
title of Subpart C.
Sec.  69.103 Definitions.
    We propose amending this section to reflect new terms and concepts
introduced in Subpart C of this rule.
    We propose adding ``line of the normal frames'' to describe the
imaginary horizontal line that connects the inboard faces of the
smallest normal frames. We propose adding ``tonnage station'' to
describe the longitudinal location of each transverse section
corresponding to where depth and

breadth measurements are taken. We propose adding ``zone of influence
method'' to describe a method of determining volumes of under-deck
spaces. We propose amending the terms ``gross tonnage'' and ``net
tonnage'' to read ``gross register tonnage'' and ``net register
tonnage'' to reflect newly proposed terminology in Sec.  69.9 (``gross
register tonnage'' and ``net register tonnage'') used to describe
tonnages determined under the Standard system. We propose amending the
term ``superstructure'' to reflect the newly proposed term ``portable
enclosed spaces.'' We propose amending the term ``uppermost complete
deck'' to reflect that specific requirements have been established in
the newly proposed Sec.  69.108.
    We also propose incorporating Standard system terms published in
MTN 01-99, as amended. These terms include: ``line of the ordinary
frames,'' ``normal frame,'' ``ordinary frame,'' ``tonnage interval,''
and ``water ballast double bottom.'' We propose adding ``line of the
ordinary frames'' to describe the line of intersection of: 1) The
imaginary surface running longitudinally that is tangent to the inboard
faces of the ordinary frames (or the inside of the vessel's skin, if
there are no ordinary frames); and 2) the imaginary plane running
transversely through the vessel at the tonnage station of interest. We
propose adding ``normal frame'' to describe a frame, regardless of
size, used to stiffen a structure, ``ordinary frame'' to describe the
primary frames used for strengthening the hull, and ``tonnage
interval'' to describe the longitudinal distance between transverse
sections of a vessel's under-deck or superstructure when divided into
an even number of equal parts for purposes of volume integration. We
propose adding ``water ballast double bottom'' to describe a space at
the bottom of a vessel between the inner and outer bottom plating that
is used solely for water ballast.
Sec.  69.105 Application for measurement services.
    We propose amending this section to be consistent with the proposed
amendments to Sec.  69.55, which specify ``delivery date'' instead of
the less specific ``build date.''
Sec.  69.107 Gross and net register tonnages.
    We propose revising the text of this section to reflect newly
proposed terminology in Sec.  69.9 (``gross register tonnage'' and
``net register tonnage'') used to describe tonnages determined under
the Standard system. We also propose adding language to reflect that
the U.S. Tonnage Certificate issued under Sec.  69.15(d) indicates
measurement for both the Convention and Regulatory Measurement Systems,
as applicable, and need not be carried aboard, consistent with Section
303(e) of the 2010 Coast Guard Authorization Act and MTN 01-98, as
amended.
Sec.  69.108 Uppermost complete deck.
    We propose this new section to incorporate comprehensive
requirements related to the ``uppermost complete deck'' as interpreted
by MTN 01-99, as amended. We propose to restrict the uppermost deck
from extending above any space exempted as open space, extending below
the waterline, or resting directly on consecutive or alternating
ordinary bottom frames or floors for over half of the tonnage length.
Further, we propose to identify deck discontinuities whose presence
would disqualify a deck as being the uppermost complete deck, such as
certain through-deck openings, middle line openings, deck recesses, and
notches.
Sec.  69.109 Under-deck tonnage.
    We propose revising the text of this section to incorporate the
following clarifications and principal interpretations of MTN 01-99, as
amended.
    Identifying the tonnage deck. We propose describing the decks in
Sec.  69.109(c) as ``enumerated'' decks to clarify that a disqualified
deck cannot be considered when determining the tonnage deck.
    Enumerating the decks to identify the second deck from the keel. We
propose revising Sec.  69.109(d) to clarify how enumerated decks are
determined using the term ``uppermost complete deck'' as proposed in
this rulemaking. Our intent with this revision is to provide details on
specific deck discontinuities that may disqualify a deck from being
enumerated.
    Identifying the line of the tonnage deck. We propose amending Sec.
69.109(e)(2) to delete the phrase ``at different levels from stem to
stern'' and replace it with ``is stepped'' to utilize a more commonly
used term for a deck with multiple heights. We also propose amending
Sec.  69.109(e)(2) to institute minimum breadth and length criteria for
steps used in establishing the line of the tonnage deck.
    Tonnage length. We propose modifying Sec.  69.109(f)(1) and (2) to
reflect that the frames evaluated in determining the tonnage length
should be the ``ordinary frames.'' Also, we propose deleting the
sentence ``When a headblock extends inboard past the face of the end
side frames or when the headblock plates are excessive in length, the
tonnage length terminates at the extreme end of the vessel less a
distance equal to the thickness of an ordinary side frame and shell
plating.'' in paragraph (f)(2). This sentence becomes unnecessary as
the proposed changes to paragraphs (f)(1) and (2) require that ordinary
frames determine the tonnage length and not the headblock. We propose
to further revise the tonnage length language of paragraph (f) by
adding paragraph (f)(4), which provides for a maximum reduction in
tonnage length of 8\1/2\ feet from the inboard surface of the skin of
the hull at the bow and stern, and requires the after terminus of the
tonnage length to be aft of the rudderstock for vessels fitted with
one.
    Division of vessel into transverse sections. With the establishment
of the proposed term ``tonnage station,'' we propose amending Sec.
69.109(g)(2) to reflect that the vessel should be divided into
sequentially numbered ``tonnage stations'' beginning at the stem.
    Depths of transverse sections. We propose amending Sec.  69.109(h)
by replacing the terms ``double bottom'' and ``cellular double bottom''
with ``water ballast double bottom'' to reflect that depths of
transverse sections are measured to only those double bottoms used
solely for ballast.
    Breadths of transverse sections. We propose amending Sec.
69.109(i) by replacing the terms ``double bottom'' and ``cellular
double bottom'' with ``water ballast double bottom'' to reflect that
depths of transverse sections are measured only to those double bottoms
used solely for ballast.
    Steps in double bottom. We propose amending Sec.  69.109(m) by
replacing the term ``double bottom'' with ``water ballast double
bottom'' to reflect that measurement in parts only applies only to
those vessels fitted with double bottoms used solely for ballast.
    Spaces open to the sea. We propose revising Sec.  69.109(n) to
delete the existing language regarding outside shaft tunnel exclusions
and to insert new language regarding spaces open to the sea. We propose
deleting language on outside shaft tunnel exclusions because outside
shaft tunnels are no longer commonly used in vessel construction, and
because the approach of subtracting out external volumes yields
inconsistent results depending on the depths of associated ordinary
frames. We propose the new language on spaces open to the sea to
provide direction on the measurement treatment

of any under-deck space that has been determined to be open to the sea.
    Open vessels. We propose amending Sec.  69.109(o) to incorporate
the term ``uppermost complete deck.'' Our intent here is to simplify
the definition of an open vessel with the use of this term.
    General requirements on ordinary frames. We propose adding Sec.
69.109(p) to provide requirements on the measurement treatment of
ordinary frames in the under-deck, including construction, frame
spacing, different sized frames, frame openings, and asymmetrical
framing. The use of deep ordinary frames to reduce the sectional area
of under-deck tonnage section, informally known as ``deep framing,''
has become common in vessel construction, and clarity on this matter is
important to ensure tonnage assignments consistent with the principles
of the underlying statute.
Sec.  69.111 Between-deck tonnage.
    In Sec.  69.111(b)(2), we propose deleting the phrase ``at
different levels from stem to stern'' and replacing it with the more
commonly used phrase ``is stepped'' as proposed in Sec.  69.109. We
also propose incorporating the interpretations of MTN 01-99, as
amended, to codify a minimum size of a longitudinal step being used as
the basis for establishing the line of the uppermost complete deck. We
propose amending Sec.  69.111(c) to replace the phrase ``face of the
normal side frames'' with the phrase ``line of the normal frames'' as
proposed in Sec.  69.103.
Sec.  69.113 Superstructure tonnage.
    We propose revising this section to incorporate the concept of
temporary deck equipment--now generalized to ``portable enclosed
space''--as enclosed volume to be included in tonnage, from NVIC 11-93,
as amended. We also propose amending Sec.  69.113(b)(1), (b)(3), and
(f) to clarify that measurements are to be taken to the newly proposed
term ``line of the normal frames.'' Lastly, we propose amending Sec.
69.113(a) to define superstructure tonnage as the tonnage of all
superstructure spaces.
Sec.  69.115 Excess hatchway tonnage.
    We propose revising Sec.  69.115(c) to reflect newly proposed
terminology in Sec.  69.9 (``tonnage'' and ``gross register tonnage'')
used to describe tonnages determined under the Standard system.
Sec.  69.117 Spaces exempt from inclusion in gross tonnage.
    We propose revising Sec.  69.117 for clarity and consistency with
newly proposed terminology in Sec.  69.9 (``tonnage'' and ``gross
register tonnage'') used to describe tonnages determined under the
Standard system. Additionally, we propose revising the text of this
section to incorporate the following principal interpretations of MTN
01-99, as amended.
    Passenger space. We propose amending the definition of passenger
space to preclude passenger support spaces and spaces used by both
passengers and crew from being exempted as a passenger space. Moreover,
the proposed amendments include the minimum height above the uppermost
complete deck for exemptible passenger spaces. The proposed amendments
also remove the prohibition of exempting a passenger space as an open
space when it has berthing accommodations.
    Open structures. We propose revising Sec.  69.117(d) to incorporate
additional requirements derived from the interpretations of MTN 01-99,
as amended, for the treatment of structures considered open to the
weather. We propose amending Sec.  69.117(d)(1) to provide additional
requirements for open structure exemptions. The amendments address open
space exemptions for structures, prohibiting the progression of open
space vertically between structures, and allowing a space outside a
structure's boundary bulkhead to be considered open to the weather if
it is eligible to be treated as an excluded space under Sec.  69.61.
    We propose amending Sec.  69.117(d)(2) to provide additional
criteria for bulkheads in open structures. The additional criteria
include: Precluding an end bulkhead from having a permanent obstruction
within 2\1/2\ feet of an opening, requiring it to be fitted with a deck
or platform that is a minimum of 2\1/2\ feet wide, and requiring
circulation of open space between compartments via openings or series
of openings to progress open space to two separate interior
compartments.
    We propose amending Sec.  69.117(d)(3) to provide additional
requirements for considering interior compartments to be open to the
weather. These requirements would preclude open space from progressing
from a space that is considered open under proposed Sec.
69.117(d)(1)(iii) unless the space may also be considered open to the
weather under another provision of Sec.  69.117.
    We propose revising paragraphs (d)(5) and (d)(6) of Sec.  69.117 to
reflect that cover plates must be fitted against the weather side of a
bulkhead in order for an opening that is temporarily closed by cover
plates to be considered open to the weather.
    We propose revising Sec.  69.117(d)(7) to insert the phrase
``notwithstanding the opening size requirements of paragraph (d)(2) of
this section'' in the beginning of the first sentence. Our intent with
this revision is to emphasize that an opening considered open to the
weather under Sec.  69.117(d)(7) need not also meet the size
requirements of Sec.  69.117(d)(2). To incorporate the concept of
opposite side openings, we propose adding Sec.  69.117(d)(8). This
concept is intended to allow structures to be considered open if both
sides have openings that are not separated by a bulkhead and the
openings meet certain size criteria.
    Open space below a shelter deck. We propose amending Sec.
69.117(e) to reflect newly proposed terminology in Sec.  69.9
(``tonnage'' and ``gross register tonnage'') used to describe tonnages
determined under the Standard system and to replace the phrase ``next
lower deck'' with the phrase ``uppermost complete deck'' for clarity.
In addition, to prevent closure of a middle line opening used to exempt
space below a shelter deck, we propose adding language precluding
battening, caulking, seals, or gaskets of any material from being used
in association with a middle line opening cover.
    Water ballast spaces. We propose amending Sec.  69.117(f) to
reflect newly proposed terminology in Sec.  69.9 (``tonnage'' and
``gross register tonnage'') used to describe tonnages determined under
the Standard system. We also propose deleting Sec.  69.117(f)(4)(iii)
because it is no longer necessary to use a form similar to Coast Guard
Stability Test Form CG-993-9 to provide the required ballast water
justification calculations. This form, given as an example in the
current regulations, is no longer an active stability test form, and
current stability software programs are capable of providing
comprehensive calculations in a variety of acceptable formats.
    Zones of influence. We propose amending Sec.  69.117(g) to
incorporate the interpretation of MTN 01-99, as amended, requiring the
use of the zone of influence method for calculating water ballast tank
volumes under certain circumstances. This method corrects for the
influence that a four multiplier has when applying Simpson's first rule
to geometries that exhibit abrupt sectional area changes. Applying this
rule absent such a correction may result in an exempted volume in a
deep-framed portion of the hull that exceeds the volume of the space
included in tonnage.

Sec.  69.119 Spaces deducted from gross register tonnage.
    We propose revising Sec.  69.119 to reflect newly proposed
terminology in Sec.  69.9 (``tonnage'' and ``net register tonnage'')
used to describe tonnages determined under the Standard system.
Sec.  69.121 Engine Room Deduction.
    We propose revising Sec.  69.121 to reflect newly proposed
terminology in Sec.  69.9 (``gross register tonnage'' and ``net
register tonnage'') used to describe tonnages determined under the
Standard system.
Sec.  69.123 Figures.
    We propose updating the existing figures to resolve minor labeling
inconsistencies, and for visual clarity.

Subpart D--Regulatory Measurement System--Dual Measurement

Sec.  69.151 Purpose.
    We propose revising Sec.  69.151 to reflect newly proposed
terminology in Sec.  69.9 (``tonnage'' and ``net register tonnage'')
used to describe tonnages determined under the Standard system.
Sec.  69.153 Application of other laws.
    We propose revising the text of this section to reflect newly
proposed terminology in Sec.  69.9 (``gross register tonnage'') used to
describe tonnages determined under the Dual system.
Sec.  69.155 Measurement requirements.
    We propose revising the text of this section to delete references
to the ``Standard Measurement System'' and ``Dual Measurement System'',
leaving only references to their respective subparts. This change is
needed to avoid a conflict with proposed revised terminology in Sec.
69.9 for related terms (``Standard Regulatory Measurement System'' and
``Dual Regulatory Measurement System'').
Sec.  69.157 Definitions.
    We propose revising Sec.  69.157 to reflect newly proposed
terminology in Sec.  69.9 (``tonnage'' and ``gross register tonnage'')
used to describe tonnages determined under the Dual system.
Sec.  69.159 Application for measurement services.
    We propose revising the text of this section to delete the
reference to the ``Standard Measurement System'', leaving only the
reference to a specific section in subpart C. This change is needed to
avoid a conflict with proposed revised terminology in Sec.  69.9 for
the related term (``Standard Regulatory Measurement System'').
Sec.  69.161 Gross and net register tonnages.
    We propose revising the text of this section to reflect newly
proposed terminology in Sec.  69.9 (``gross register tonnage'' and
``net register tonnage'') used to describe tonnages measured under the
Dual system. We also propose adding language to reflect that the U.S.
Tonnage Certificate issued under Sec.  69.15(d) indicates measurement
for both the Convention and Regulatory Measurement Systems, as
applicable, and need not be carried aboard, consistent with Section
303(e) of the 2010 Coast Guard Authorization Act and MTN 01-98, as
amended.
Sec.  69.163 Under-deck tonnage.
    We propose revising the text of this section to delete the
reference to the ``Dual Measurement System'', leaving only a reference
to a subpart. This change is needed to avoid a conflict with proposed
revised terminology in Sec.  69.9 for the related term (``Dual
Regulatory Measurement System'').
Sec.  69.165 Between-deck tonnage.
    We propose revising the text of this section to delete the
reference to the ``Dual Measurement System'', leaving only a reference
to a subpart. This change is needed to avoid a conflict with proposed
revised terminology in Sec.  69.9 for the related term (``Dual
Regulatory Measurement System'').
Sec.  69.167 Superstructure tonnage.
    We propose revising the text of this section to delete the
reference to the ``Dual Measurement System'', leaving only a reference
to a subpart. This change is needed to avoid a conflict with proposed
revised terminology in Sec.  69.9 for the related term (``Dual
Regulatory Measurement System'').
Sec.  69.169 Spaces exempt from inclusion in tonnage.
    We propose revising the text of this section to delete the word
``gross'', consistent with the proposed revised terminology in Sec.
69.9 (``tonnage'').
Sec.  69.173 Tonnage assignments for vessels with only one deck.
    We propose revising Sec.  69.173 to reflect newly proposed
terminology in Sec.  69.9 (``gross register tonnage'' and ``net
register tonnage'') used to describe tonnages determined under the Dual
system.
Sec.  69.175 Tonnage assignments for vessels with a second deck.
    We propose revising Sec.  69.175 to reflect newly proposed
terminology in Sec.  69.9 (``gross register tonnage'' and ``net
register tonnage'') used to describe tonnages determined under the Dual
system. Additionally, we propose revising Sec.  69.175 by incorporating
language from MTN 01-99, as amended, into paragraph (a) to clarify
which gross and net tonnage should be used when more than one gross and
one net register tonnage is assigned, and into paragraph (c) by
requiring a load line to be assigned at a level below the line of the
second deck.
Sec.  69.177 Markings.
    We propose revising Sec.  69.177 to reflect newly proposed
terminology in Sec.  69.9 (``gross register tonnage'' and ``net
register tonnage'') used to describe tonnages determined under the Dual
system. Additionally, we propose revising paragraph Sec.  69.177(d) to
add the MTN 01-99, as amended, exception which allows the line of the
second deck to be marked on the side of the vessel if the second deck
is the actual freeboard deck for purposes of load line assignment.
Sec.  69.181 Locating the line of the second deck.
    We propose updating the existing examples for visual clarity.
Sec.  69.183 Figures.
    We propose updating the existing figures to resolve minor labeling
inconsistencies, and for visual clarity.

Subpart E--Simplified Regulatory Measurement System

Sec.  69.201 Purpose.
    We propose amending this section to reflect the newly proposed
title of Subpart E.
Sec.  69.205 Application for measurement services.
    We propose amending this section to address vessels measured under
the Simplified system that are not documented as vessels of the United
States. The proposed text clarifies that a completed application for
simplified measurement serves as evidence of measurement under the
Simplified system. As accepted under current Coast Guard practice,
vessel owners would not have to submit this application to the Coast
Guard. For consistency with Sec. Sec.  69.55 and 69.105, we also
propose amending this section to list the vessel information currently
required to be provided by the owner when completing the Application
for Simplified Measurement (form CG-5397). We propose deleting
reference to a specific section of the Builders Certificate and First
Transfer of Title (form CG-1261). This would enable

form CG-1261 to be changed without causing a need to revise the tonnage
regulations.
Sec.  69.207 Measurements.
    We propose relaxing the tolerance on measurements consistent with
current practice and the instructions on the Application for Simplified
Measurement (form CG-5397).
Sec.  69.209 Gross and net register tonnages.
    We propose revising Sec.  69.209 to reflect newly proposed
terminology in Sec.  69.9 (``gross register tonnage'' and ``net
register tonnage'') used to describe tonnages determined under the
Standard system. Additionally, we propose revising this section to
identify that a vessel's Certificate of Documentation serves as
evidence of measurement under the Simplified system, as described in
NVIC 11-93, as amended.
Sec.  69.211 Treatment of unique or otherwise novel type vessels.
    We propose adding this section to provide the public with the Coast
Guard office to contact for questions on a vessel for which the
simplified measurement rules may not readily be applied.

V. Regulatory Analyses

    The Coast Guard developed this rule after considering numerous
statutes and executive orders related to rulemaking. Below we summarize
our analyses based on these statutes or executive orders.

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 proposed rule is not a significant
regulatory action under section 3(f) of Executive Order 12866,
Regulatory Planning and Review, as supplemented by Executive Order
13563, Improving Regulation and Regulatory Review, and does not require
an assessment of potential costs and benefits under section 6(a)(3) of
that Order. The Office of Management and Budget (OMB) has not reviewed
it under that Order. Nonetheless, we developed an analysis of the costs
and benefits of the proposed rule to ascertain its probable impacts on
industry. We consider all estimates and analysis in this Regulatory
Analysis to be draft and subject to change in consideration of public
comments.
    A draft Regulatory Assessment follows:
    The primary objective of the proposed rule is to implement
amendments to the tonnage measurement law made by the 2010 Coast Guard
Authorization Act. One amendment precludes the owner of a foreign flag
vessel of 79 feet or more in length that engages solely on U.S.
domestic voyages from obtaining a future measurement under the
Regulatory Measurement System, with an exception allowed for a Canadian
flag vessel operating solely on the Great Lakes. The remaining
amendments eliminate inconsistencies and incorporate clarifications or
updates that are either consistent with longstanding Coast Guard policy
or reflective of current Coast Guard practice.
    In addition, the Coast Guard seeks to facilitate understanding of,
and compliance with, existing tonnage measurement regulations by
codifying principal technical interpretations that have been issued by
the Coast Guard to keep pace with developments in vessel designs. These
interpretations have been included in Coast Guard policy documents made
available to the public via Coast Guard Web sites, and are used by
authorized measurement organizations that perform tonnage work on the
Coast Guard's behalf. These codifications have been described in the
section ``Discussion of Proposed Rule''.
    To meet these objectives, the proposed rule would update the
tonnage regulations to reflect changes mandated by the 2010 Coast Guard
Authorization Act and codify principal interpretations from Coast Guard
policy documents. The proposed rule would also incorporate
clarifications of, and updates to, the tonnage regulations that are of
an administrative and non-substantive nature.
    Table 1 provides a summary of the proposed rule's costs and
benefits.

             Table 1--Summary of the Proposed Rule's Impacts
------------------------------------------------------------------------
           Category                             Summary
------------------------------------------------------------------------
Applicability................  U.S. and foreign flag vessels to which a
                                law of the United States applies based
                                on vessel tonnage.
Affected Population..........  Vessels that will be initially measured
                                or remeasured under the tonnage
                                regulations, estimated at 10,000 vessels
                                per year.
Cost Impacts.................  No additional costs as changes are
                                consistent with current practice or
                                policy.
Non-quantified Benefits......  Adds flexibility to use foreign flag
                                tonnages. Clarifies tonnage measurement
                                requirements. Facilitates understanding
                                of regulations, leading to more
                                effective and efficient tonnage
                                certifications.
------------------------------------------------------------------------

Affected Population
    The tonnage regulations, as amended by the proposed rule, apply to
all U.S. and foreign flag vessels to which the application of a law of
the United States depends on the vessel's tonnage. Once assigned
initially, tonnages remain valid until a vessel changes flag, or
undergoes a change that substantially affects its tonnage.
    Because none of the proposed changes are retroactive, the
population potentially affected by this rulemaking is limited to
vessels which will be measured in the future, including those
remeasured following alterations, modifications, or other changes
substantially affecting their tonnage. The Coast Guard estimates this
population to be approximately 10,000 vessels each year, based on the
8,615 simplified measurement applications and 386 formal measurement
applications submitted annually, and our estimate of approximately
1,000 additional vessels that are measured annually without the
submission of a measurement application.\1\
---------------------------------------------------------------------------

    \1\ Refer to Collection of Information 1625-0022 for more
comprehensive information on measurement application submissions.
The Coast Guard does not collect information on measurement of
vessels for which measurement applications are not submitted, but
estimates that on the order of 1,000 such vessels are measured per
year based on the number of inquiries received by the Marine Safety
Center from the public and Coast Guard field units.

---------------------------------------------------------------------------

Cost Impacts
    Table 2 details 112 changes to the tonnage regulations in the
proposed rule, with an assessment of the cost impacts of each change. A
summary follows:
     The single change to implement the statutory amendment
that would preclude certain foreign flag vessels of 79 ft or more in
length from being measured under the Regulatory Measurement System
could potentially prevent operation of a future vessel in a similar
manner to that of currently operating vessels. No such vessels have
been brought into service within the last 10 years. Further, other
options to operate similar vessels (e.g., under U.S. flag) are
available. Thus, no cost impact from this proposed change is expected.
     The six remaining changes needed for statutory alignment
are consistent with current Coast Guard interpretations or industry
practice, and would not result in any additional cost as described in
the following table.
     The 26 changes related to codification of principal Coast
Guard technical interpretations would result in no additional cost,
because the interpretations have been used for tonnage work for
multiple years.
     The 79 changes labeled ``Administrative'' are of non-
substantive nature and merely provide clarity and would not result in
any additional cost.
    Overall, the Coast Guard has not identified any costs associated
with complying with the proposed rule.

        Table 2--Assessment of Cost Impacts of the Proposed Rule
------------------------------------------------------------------------
      Description of change         Type of change        Cost impact
------------------------------------------------------------------------
                           Subpart A--General
------------------------------------------------------------------------
                           Sec.   69.1 Purpose
------------------------------------------------------------------------
Eliminates the disparate          Mandatory           No cost.
 treatment of documented and       statutory           Consistent with
 undocumented U.S. flag vessels.   alignment.          policy in effect
                                                       since 1993 (NVIC
                                                       11-93).
Expands the explanation of the    Administrative:     No cost.
 use of tonnage to include         Clarification on
 environmental and security        tonnage usage.
 purposes.
Relocates the descriptions of     Administrative:     No cost.
 each measurement system to the    Editorial change
 corresponding definitions in      to improve
 Sec.   69.9.                      usability.
------------------------------------------------------------------------
                        Sec.   69.3 Applicability
------------------------------------------------------------------------
Expands the scope to apply to     Mandatory           No cost.
 foreign flag vessels.             statutory           Consistent with
                                   alignment.          Coast Guard
                                                       practice since
                                                       the 1986
                                                       amendments to the
                                                       tonnage law.
Removes the 5 net ton minimum     Administrative:     No cost.
 size restriction.                 Clarification       Consistent with
                                   that statutory      policy in effect
                                   requirements for    since 1993 (NVIC
                                   measurement apply   11-93).
                                   to vessels of all
                                   sizes.
------------------------------------------------------------------------
         Sec.   69.5 Vessels required or eligible to be measured
------------------------------------------------------------------------
Deletes section to align with     Administrative:     No cost.
 proposed revised Sec.   69.3.     Editorial
                                   realignment.
------------------------------------------------------------------------
        Sec.   69.7 Vessels transiting the Panama and Suez Canals
------------------------------------------------------------------------
Deletes requirement for vessels   Administrative:     No cost.
 transiting the Panama and Suez    Update to reflect
 Canals to be measured under the   lack of Coast
 respective Panama and Suez        Guard
 Canal measurement systems.        responsibility
                                   for canal
                                   measurements,
                                   consistent with
                                   statutory changes.
------------------------------------------------------------------------
                         Sec.   69.9 Definitions
------------------------------------------------------------------------
Adds definitions for tonnage      Administrative:     No cost.
 measurement terms.                New definitions.
Revises definitions for tonnage   Administrative:     No cost.
 measurement terms.                Clarifications
                                   and updates.
Changes term ``vessel engaged on  Mandatory           No cost.
 a foreign voyage''.               statutory           Consistent with
                                   alignment.          current practice.
------------------------------------------------------------------------
    Sec.   69.11 Determining the measurement system or systems for a
                            particular vessel
------------------------------------------------------------------------
Eliminates the disparate          Mandatory           No cost.
 treatment of documented and       statutory           Consistent with
 undocumented U.S. flag vessels.   alignment.          policy in effect
                                                       since 1993 (NVIC
                                                       11-93).
Precludes certain foreign flag    Mandatory           No cost. Not
 vessels of 79 ft or more in       statutory           retroactive. No
 length from being measured        alignment.          such foreign
 under the Regulatory                                  vessels have been
 Measurement System.                                   brought into
                                                       service using the
                                                       regulatory
                                                       measurement
                                                       system in recent
                                                       years.

Relocates ``how tonnage           Administrative:     No cost.
 thresholds are applied''          Editorial change.
 language to proposed Sec.
 69.20.
------------------------------------------------------------------------
   Sec.   69.13 Deviating from the provisions of a measurement system
------------------------------------------------------------------------
Requires authorized measurement   Administrative:     No cost.
 organizations to observe Coast    Clarifies extent    Consistent with
 Guard's interpretations of        of measurement      written
 tonnage laws and regulations.     organization        agreements with
                                   authority.          measurement
                                                       organizations,
                                                       and policy in
                                                       effect since 1998
                                                       (see MTN 01-98
                                                       and MTN 01-99).
Identifies that Coast Guard       Administrative:     No cost.
 interpretations may be obtained   Facilitates
 from the Marine Safety Center.    public access to
                                   interpretive
                                   documents.
Allows grandfathering of          Administrative:     No cost. Precludes
 superseded tonnage measurement    Facilitates         mandatory
 rules.                            transition to       retroactive
                                   codified            application of
                                   interpretations.    codified
                                                       interpretations.
------------------------------------------------------------------------
            Sec.   69.15 Authorized measurement organizations
------------------------------------------------------------------------
Establishes new nomenclature      Administrative:     No cost.
 consistent with proposed          Editorial change.
 revisions to Sec.   69.9 and
 Sec.   69.11.
Deletes information that is       Administrative:     No cost.
 repeated in the regulations or    Editorial change.
 is available elsewhere.
------------------------------------------------------------------------
            Sec.   69.17 Application for measurement services
------------------------------------------------------------------------
Identifies that the vessel owner  Administrative:     No cost.
 is responsible to apply for       Clarification
 vessel measurement or             consistent with
 remeasurement.                    existing practice.
Omits reference to boiler         Administrative:     No cost.
 installation as indicator of      Update to reflect
 stage of vessel construction.     decreasing use of
                                   steam propulsion.
------------------------------------------------------------------------
          Sec.   69.19 Remeasurement and adjustment of tonnage
------------------------------------------------------------------------
Clarifies circumstances under     Administrative:     No cost.
 which a vessel must undergo       Clarification.
 remeasurement.
------------------------------------------------------------------------
                Sec.   69.20 Applying tonnage thresholds
------------------------------------------------------------------------
Provides comprehensive            Administrative:     No cost.
 requirements on how tonnage       Facilitates         Consistent with
 thresholds are to be applied.     public              the tonnage
                                   understanding of    measurement law
                                   longstanding        and policy in
                                   statutory           effect since 1993
                                   requirements.       (See NVIC 11-93).
------------------------------------------------------------------------
                         Sec.   69.25 Penalties
------------------------------------------------------------------------
Updates civil penalty amounts as  Administrative:     No cost.
 per the Federal Civil Penalties   Update.
 Inflation Adjustment Act.
------------------------------------------------------------------------
         Sec.   69.27 Delegation of authority to measure vessels
------------------------------------------------------------------------
Revises section to reflect the    Administrative:     No cost.
 proposed nomenclature in Sec.     Editorial change.
 69.11.
Deletes outdated reference to 49  Administrative:     No cost.
 CFR 1.46.                         Update.
------------------------------------------------------------------------
       Sec.   69.28 Acceptance of measurement by a foreign country
------------------------------------------------------------------------
Adds provisions for accepting     Mandatory           No cost. Provides
 tonnage assignments for certain   statutory           flexibility to
 foreign flag vessels.             alignment.          use foreign flag
                                                       tonnages
------------------------------------------------------------------------
                Subpart B--Convention Measurement System
------------------------------------------------------------------------
                        Sec.   69.53 Definitions
------------------------------------------------------------------------
Adds definition for tonnage       Administrative:     No cost.
 measurement term.                 New definitions.
Revises tonnage measurement       Administrative:     No cost.
 terms consistent with proposed    Editorial change.
 revisions to Sec.   69.9.
------------------------------------------------------------------------
            Sec.   69.55 Application for measurement services
------------------------------------------------------------------------
Requires the ``delivery date''    Administrative:     No cost.
 to be specified on a tonnage      Clarification.
 application instead of the less
 specific ``build date''.
------------------------------------------------------------------------

                     Sec.   69.57 Gross tonnage ITC
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Clarification.
   69.9.
------------------------------------------------------------------------
                      Sec.   69.59 Enclosed spaces
------------------------------------------------------------------------
Incorporates interpretations on   Codification:       No cost.
 treatment of portable spaces.     Principal           Interpretation in
                                   interpretation      effect since 1999
                                   from policy         (NVIC 11-93 CH-2
                                   document.           and MTN 01-99).
------------------------------------------------------------------------
                      Sec.   69.61 Excluded spaces
------------------------------------------------------------------------
Incorporates interpretations on   Codification:       No cost.
 treatment of qualifying spaces    Principal           Interpretation in
 as excluded spaces ``open to      interpretation      effect since 1999
 the sea''.                        from policy         (MTN 01-99).
                                   document.
------------------------------------------------------------------------
                      Sec.   69.63 Net tonnage ITC
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Clarification.
   69.9.
------------------------------------------------------------------------
                   Sec.   69.65 Calculation of volumes
------------------------------------------------------------------------
Removes language addressing       Administrative:     No cost. Reflects
 specific calculation methods to   Clarification.      increased use of
 ensure that accepted naval                            computer-based
 architecture practices are used                       computational
 in all cases.                                         methods
------------------------------------------------------------------------
                    Sec.   69.69 Tonnage certificates
------------------------------------------------------------------------
Incorporates more complete        Administrative:     No cost.
 requirements from the 1969        Clarification.
 Tonnage Convention for
 reissuance of an International
 Tonnage Certificate (1969)
 under certain circumstances,
 including the 3-month grace
 period following flag transfer.
Requires issuance of a U.S.       Mandatory           No cost.
 Tonnage Certificate as evidence   statutory           Consistent with
 of measurement under the          alignment.          policy in effect
 Convention Measurement System                         since 1998 (MTN
 under certain circumstances,                          01-98).
 and that the International
 Tonnage Certificate (1969) is
 delivered to the vessel's owner
 or master.
------------------------------------------------------------------------
                   Sec.   69.71 Change of net tonnage
------------------------------------------------------------------------
Clarifies that Commandant         Administrative:     No cost.
 determines the magnitude of       Clarification.
 alterations of a major
 character.
------------------------------------------------------------------------
    Sec.   69.73 Treatment of unique or otherwise novel type vessels
------------------------------------------------------------------------
Revises section title and         Administrative:     No cost.
 clarifies that submission of      Clarification.
 plans and sketches is not
 required in all cases.
------------------------------------------------------------------------
                          Sec.   69.75 Figures
------------------------------------------------------------------------
Updates the existing figures to   Administrative:     No cost.
 resolve minor labeling            Clarifications
 inconsistencies, and for visual   and updates.
 clarity.
------------------------------------------------------------------------
            Subpart C--Standard Regulatory Measurement System
------------------------------------------------------------------------
                          Sec.   69.101 Purpose
------------------------------------------------------------------------
Reflects proposed revised title   Administrative:     No cost.
 of Subpart C.                     Clarification.
------------------------------------------------------------------------
                        Sec.   69.103 Definitions
------------------------------------------------------------------------
Adds definitions for tonnage      Administrative:     No cost.
 measurement terms.                New definitions.
Revises definitions for tonnage   Administrative:     No cost.
 measurement terms.                Clarifications
                                   and updates.
------------------------------------------------------------------------
           Sec.   69.105 Application for measurement services
------------------------------------------------------------------------
Requires the ``delivery date''    Administrative:     No cost.
 to be specified on a tonnage      Clarification.
 application instead of the less
 specific ``build date''.
------------------------------------------------------------------------
              Sec.   69.107 Gross and net register tonnages
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Clarification.
   69.9.
------------------------------------------------------------------------

Clarifies that the U.S. Tonnage   Administrative:     No cost.
 Certificate reflects              Clarification.
 measurement for the Convention
 and Regulatory Measurement
 Systems, as applicable, and
 need not be carried aboard.
------------------------------------------------------------------------
                  Sec.   69.108 Uppermost complete deck
------------------------------------------------------------------------
Establishes comprehensive         Codification:       No cost.
 requirements related to the       Principal           Interpretations
 ``uppermost complete deck''.      interpretations     in effect since
                                   from policy         2003 (MTN 01-99
                                   document.           CH-5).
------------------------------------------------------------------------
                    Sec.   69.109 Under-deck tonnage
------------------------------------------------------------------------
Clarifies that enumerated decks   Administrative:     No cost.
 are used to determine the         Clarification.
 tonnage deck.
Establishes how to determine      Codification:       No cost.
 enumerated decks.                 Principal           Interpretation in
                                   interpretation      effect since 2003
                                   from policy         (MTN 01-99 CH-5).
                                   document.
Replaces the phrase ``at          Codification:       No cost.
 different levels from stem to     Principal           Interpretation in
 stern'' with the more commonly    interpretation      effect since 2005
 used term ``stepped''.            from policy         (MTN 01-99 CH-7).
                                   document.
Establishes minimum breadth and   Codification:       No cost.
 length criteria for steps used    Principal           Interpretation in
 in establishing the line of the   interpretation      effect since 2005
 tonnage deck.                     from policy         (MTN 01-99 CH-7).
                                   document.
Reflects that the frames          Administrative:     No cost.
 evaluated in determining the      Clarification.
 tonnage length should be
 ``ordinary frames''.
Deletes the sentence ``when a     Codification:       No cost.
 headblock extendsthickness of     Principal           Interpretation in
 an ordinary side frame and        interpretation      effect since 2003
 shell plating''.                  from policy         (MTN 01-99 CH-5).
                                   document.
Provides for a maximum reduction  Codification:       No cost.
 in the tonnage length of 8\1/2\   Principal           Interpretation in
 feet.                             interpretation      effect since 2003
                                   from policy         (MTN 01-99 CH-5).
                                   document.
Requires that the under-deck      Administrative:     No cost.
 sections, referred to as          Clarification.
 ``tonnage stations,'' be
 sequentially numbered.
Replaces the terms ``double       Administrative:     No cost.
 bottom'' and `cellular double     Clarification.
 bottom'' with ``water ballast
 double bottom''.
Deletes the existing language     Codification:       No cost.
 regarding outside shaft tunnel    Principal           Interpretation in
 exclusions and inserts new        interpretation      effect since 2005
 ``open to the sea'' language.     from policy         (MTN 01-99 CH-7).
                                   document.
Incorporates the term             Administrative:     No cost.
 ``uppermost complete deck''.      Clarification.
Provides requirements on the      Codification:       No cost.
 measurement treatment of          Principal           Interpretations
 ordinary frames in the under-     interpretations     on different
 deck, including construction,     from policy         sized framing in
 frame spacing, different sized    document.           effect since in
 frames, frame openings, and                           effect since 1950
 asymmetrical framing.                                 (Treasury
                                                       Decision 52578).
                                                       Other
                                                       interpretations
                                                       in effect since
                                                       2002 (MTN 01-99
                                                       CH-4).
------------------------------------------------------------------------
                   Sec.   69.111 Between-deck tonnage
------------------------------------------------------------------------
Replaces the phrase ``at          Codification:       No cost.
 different levels from stem to     Principal           Interpretation in
 stern'' with the more commonly    interpretation      effect since 2005
 used term ``stepped''.            from policy         (MTN 01-99 CH-7).
                                   document.
Requires a minimum size for a     Codification:       No cost.
 longitudinal step being used as   Principal           Interpretation in
 the basis for establishing the    interpretation      effect since 2005
 line of the uppermost complete    from policy         (MTN 01-99 CH-7).
 deck.                             document.
Replaces the phrase ``face of     Administrative:     No cost.
 the normal side frames'' with     Clarification.
 the phrase ``line of the normal
 frames''.
------------------------------------------------------------------------
                  Sec.   69.113 Superstructure tonnage
------------------------------------------------------------------------
Incorporates interpretations on   Codification:       No cost.
 treatment of portable spaces.     Principal           Interpretations
                                   interpretations     in effect since
                                   from policy         1997 (NVIC 11-93
                                   document.           CH-2).
Clarifies that measurements are   Administrative:     No cost.
 to be taken to the ``line of      Clarification.
 the normal frames''.
Defines superstructure tonnage    Administrative:     No cost.
 as the tonnage of all             Clarification.
 superstructure spaces.
------------------------------------------------------------------------
                  Sec.   69.115 Excess hatchway tonnage
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Clarification.
   69.9.
------------------------------------------------------------------------
          Sec.   69.117 Spaces exempt from inclusion in tonnage
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
Amends the definition of          Codification:       No cost.
 passenger space to preclude       Principal           Interpretation in
 passenger support spaces and      interpretation      effect since 2005
 spaces used by both passengers    from policy         (MTN 01-99 CH-7).
 and crew from being exempted as   document.
 passenger space.
Establishes the minimum height    Codification:       No cost.
 above the uppermost complete      Principal           Interpretation in
 deck for exemptible passenger     interpretation      effect since 2005
 spaces.                           from policy         (MTN 01-99 CH-7).
                                   document.
Removes the prohibition of        Codification:       No cost.
 exempting a passenger space as    Principal           Interpretation in
 an open space when it has         interpretation      effect since 2003
 berthing accommodations.          from policy         (MTN 01-99 CH-5).
                                   document.

Establishes requirements on open  Codification:       No cost.
 structure exemptions for          Principal           Interpretation in
 structures divided into           interpretation      effect since 2005
 compartments.                     from policy         (MTN 01-99 CH-7).
                                   document.
Prohibits the progression of      Codification:       No cost.
 open space vertically between     Principal           Interpretations
 structures and allows a space     interpretations     in effect since
 outside a structure's boundary    from policy         2003 (MTN 01-99
 bulkhead meeting certain          document.           CH-6).
 conditions to be considered
 open to the weather.
Provides end opening and          Codification:       No cost.
 interior space circulation        Principal           Interpretations
 requirements.                     interpretations     in effect since
                                   from policy         2003 (MTN 01-99
                                   document.           CH-6).
Requires compartments from which  Codification:       No cost.
 open space progresses to meet     Principal           Interpretations
 certain opening requirements.     interpretations     in effect since
                                   from policy         2003 (MTN 01-99
                                   document.           CH-6).
Requires temporary cover plates   Codification:       No cost.
 to be fitted against the          Principal           Interpretations
 weather side of a bulkhead in     interpretations     in effect since
 applying open to the weather      from policy         2003 (MTN 01-99
 criteria.                         document.           CH-6).
Specifies that in applying the    Administrative:     No cost.
 size requirements of              Clarification.
 69.117(d)(7), an opening need
 not also meet the size
 requirements of 69.117(d)(2).
Provides for exemption of space   Codification:       No cost.
 in way of opposite side           Principal           Interpretations
 openings.                         interpretations     in effect since
                                   from policy         2003 (MTN 01-99
                                   document.           CH-6).
Replaces the phrase ``next lower  Administrative:     No cost.
 deck'' with the phrase            Clarification.
 ``uppermost complete deck''.
Precludes battening, caulking,    Codification:       No cost.
 seals, or gaskets of any          Principal           Interpretation in
 material from being used in       interpretation      effect since 2003
 association with a middle line    from policy         (MTN 01-99 CH-6).
 opening cover.                    document.
Deletes the requirement to        Administrative:     No cost. Reflects
 provide calculations in a         Update.             increased use of
 specific format.                                      computer-based
                                                       computational
                                                       methods.
Requires use of the zone of       Codification:       No cost.
 influence method to ensure        Principal           Interpretation in
 accuracy and consistency in       interpretation      effect since 2003
 calculating volumes of exempted   from policy         (MTN 01-99 CH-6).
 under-deck spaces.                document.
------------------------------------------------------------------------
               Sec.   69.119 Spaces deducted from tonnage
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
------------------------------------------------------------------------
                   Sec.   69.121 Engine room deduction
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
------------------------------------------------------------------------
                          Sec.   69.123 Figures
------------------------------------------------------------------------
Updates the existing figures to   Administrative:     No cost.
 resolve minor labeling            Clarifications
 inconsistencies, and for visual   and updates.
 clarity.
------------------------------------------------------------------------
              Subpart D--Dual Regulatory Measurement System
------------------------------------------------------------------------
                          Sec.   69.151 Purpose
------------------------------------------------------------------------
Reflects proposed revised title   Administrative:     No cost.
 of Subpart D.                     Clarification.
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
------------------------------------------------------------------------
                 Sec.   69.153 Application of other laws
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
------------------------------------------------------------------------
                 Sec.   69.155 Measurement requirements
------------------------------------------------------------------------
Deletes references to the         Administrative:     No cost.
 ``Standard Measurement System''   Editorial change.
 and ``Dual Measurement System''.
------------------------------------------------------------------------
                        Sec.   69.157 Definitions
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
------------------------------------------------------------------------
           Sec.   69.159 Application for measurement services
------------------------------------------------------------------------
Deletes reference to the          Administrative:     No cost.
 ``Standard Measurement System''.  Editorial change.
------------------------------------------------------------------------
              Sec.   69.161 Gross and net register tonnages
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
Clarifies that the U.S. Tonnage   Administrative:     No cost.
 Certificate reflects              Clarification.
 measurement for the Convention
 and Regulatory Measurement
 Systems, as applicable, and
 need not be carried aboard.
------------------------------------------------------------------------
                    Sec.   69.163 Under-deck tonnage
------------------------------------------------------------------------
Deletes reference to the ``Dual   Administrative:     No cost.
 Measurement System''.             Editorial change.
------------------------------------------------------------------------

                   Sec.   69.165 Between-deck tonnage
------------------------------------------------------------------------
Deletes reference to the ``Dual   Administrative:     No cost.
 Measurement System''.             Editorial change.
------------------------------------------------------------------------
                  Sec.   69.167 Superstructure tonnage
------------------------------------------------------------------------
Deletes reference to the ``Dual   Administrative:     No cost.
 Measurement System''.             Editorial change.
------------------------------------------------------------------------
           Sec.   69.169 Spaces exempt from inclusion tonnage
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
------------------------------------------------------------------------
    Sec.   69.173 Tonnage assignments for vessels with only one deck
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
------------------------------------------------------------------------
    Sec.   69.175 Tonnage assignments for vessels with a second deck
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
Clarifies that the vessel owner   Administrative:     No cost.
 may elect to use the lower set    Clarification.
 of tonnages when opting for
 single tonnage assignment under
 the Dual Measurement System.
Requires a load line to be        Codification:       No cost.
 assigned at a level below the     Principal           Interpretation in
 line of the second deck.          interpretation      effect since 2003
                                   from policy         (MTN 01-99 CH-5).
                                   document.
------------------------------------------------------------------------
                         Sec.   69.177 Markings
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
Adds exception to allow the line  Codification:       No cost.
 of the second deck to be marked   Principal           Interpretation in
 on the side of the vessel if      interpretation      effect since 2003
 the second deck is the actual     from policy         (MTN 01-99 CH-5).
 freeboard deck for purposes of    document.
 load line assignment.
------------------------------------------------------------------------
           Sec.   69.181 Locating the line of the second deck
------------------------------------------------------------------------
Updates the existing examples     Administrative:     No cost.
 for visual clarity.               Clarifications
                                   and updates.
------------------------------------------------------------------------
                          Sec.   69.183 Figures
------------------------------------------------------------------------
Updates the existing figures to   Administrative:     No cost.
 resolve minor labeling            Clarifications
 inconsistencies, and for visual   and updates.
 clarity.
------------------------------------------------------------------------
           Subpart E--Simplified Regulatory Measurement System
------------------------------------------------------------------------
                          Sec.   69.201 Purpose
------------------------------------------------------------------------
Reflects proposed revised title   Administrative:     No cost.
 of Subpart E.                     Clarification.
------------------------------------------------------------------------
           Sec.   69.205 Application for measurement services
------------------------------------------------------------------------
Specifies how vessel owners not   Administrative:     No cost. Provides
 seeking documentation should      Clarification.      additional
 process an application for                            guidance.
 simplified measurement.
------------------------------------------------------------------------
Specifies that a completed        Administrative:     No cost.
 application for simplified        Clarification.
 measurement serves as evidence
 of measurement under the
 Simplified system.
Specifies the vessel information  Administrative:     No cost.
 required to be provided by the    Clarification.
 owner when completing the
 Application for Simplified
 Measurement.
Deletes reference to a specific   Administrative:     No cost.
 section of the Builders           Removes unneeded
 Certificate and First Transfer    requirement from
 of Title form (CG-1261) to        the regulations.
 allow for revisions to this
 form without the need to revise
 regulations.
------------------------------------------------------------------------
                       Sec.   69.207 Measurements
------------------------------------------------------------------------
Relaxed measurement tolerances    Administrative:     No cost--matches
 consistent with current           Update.             existing
 practice.                                             practice.
------------------------------------------------------------------------
              Sec.   69.209 Gross and net register tonnage
------------------------------------------------------------------------
Revises nomenclature consistent   Administrative:     No cost.
 with proposed revisions to Sec.   Editorial change.
   69.9.
Specifies that a vessel's         Administrative:     No cost.
 Certificate of Documentation      Clarification.
 serves as evidence of
 measurement under the
 Simplified system.
------------------------------------------------------------------------

    Sec.   69.211 Treatment of unique or otherwise novel type vessels
------------------------------------------------------------------------
Identifies the Coast Guard        Administrative:     No cost.
 office to contact for questions   Facilitates
 on a vessel for which the         resolutions of
 simplified measurement rules      questions from
 may not readily be applied.       public.
------------------------------------------------------------------------

Benefits
    Part 69 Subpart A (Sections 69.1-69.29):
    The revisions to 46 CFR part 69 subpart A would clarify and update
general tonnage measurement requirements, consistent with the changes
mandated by the 2010 Coast Guard Authorization Act, and codify certain
interpretations affecting vessels measured under the four U.S.
measurement systems. These changes are expected to benefit the public
through increased regulatory clarity and by adding flexibility to use
foreign flag tonnages.
    Part 69 Subparts B, C and D (Sections 69.51-69.183):
    The proposed revisions to 46 CFR part 69 subparts B, C, and D would
clarify and update tonnage measurement requirements, and codify
principal interpretations of the tonnage technical rules. These changes
are expected to benefit the public through increased regulatory clarity
and by facilitating understanding of the tonnage measurement
regulations, which could help avert costs and delays associated with
bringing vessels into regulatory compliance.
    Part 69 Subpart E (Sections 69.201-69.209):
    The proposed revisions to 46 CFR part 69 subpart E would clarify
and update tonnage measurement requirements, and are expected to
benefit the public through increased regulatory clarity.
    Table 3 summarizes the benefits of the proposed rule.

                      Table 3--Summary of Benefits
------------------------------------------------------------------------
              Requirement                            Benefit
------------------------------------------------------------------------
Part 69 Subpart A (Sections 69.1-69.29)   Clarifies tonnage
                                          measurement requirements.
Part 69 Subparts B, C and D (Sections     Clarifies tonnage
 69.51-69.183).                           measurement requirements.
                                          Facilitates the
                                          understanding of tonnage
                                          measurement requirements to
                                          allow more effective and
                                          efficient tonnage
                                          certifications
Part 69 Subpart E (Sections 69.201-       Clarifies tonnage
 69.209).                                 measurement requirements.
------------------------------------------------------------------------

Alternatives
    The Coast Guard concluded that some changes to the existing tonnage
regulations are required to implement changes to the tonnage
measurement law made by the 2010 Coast Guard Authorization Act. Based
on the preceding discussion, we further concluded that the additional
changes to the tonnage regulations described above could provide a net
benefit to the public, and should also be made.
    In arriving at these conclusions, the Coast Guard considered two
alternatives to the proposed approach in order to maximize net benefits
(including potential economic, environmental, public health and safety
effects, distributive impacts, and equity). Table 4 summarizes these
three alternative approaches, including the costs and benefits. A brief
description of the alternatives that were not adopted follows the
table.

                                 Table 4--Description of Regulatory Alternatives
----------------------------------------------------------------------------------------------------------------
           Alternative                           Description                         Costs and benefits
----------------------------------------------------------------------------------------------------------------
Proposed Approach................  Revise regulations to:                  --No cost.
                                   --Reflect statutory changes;            --Clarifies requirements.
                                   --Codify principal interpretations;     --Adds flexibility to use foreign
                                   --Include administrative changes.        flag tonnages.
                                                                           --Facilitates understanding of
                                                                            regulations.
Alternative 1....................  Revise regulations to:                  --Reduces flexibility in applying
                                   --Reflect statutory changes;             regulations.
                                   --Codify all interpretations;           --Clarifies requirements.
                                   --Include administrative changes.       --Adds flexibility to use foreign
                                                                            flag tonnages.
                                                                           --Facilitates understanding of
                                                                            regulations.
                                                                           --No costs short run, but in the long-
                                                                            run we anticipate that the new
                                                                            regulations would be too detailed
                                                                            and lead to compliance difficulties.
Alternative 2....................  Revise regulations to:                  --No cost.
                                   --Reflect statutory changes.            --Adds flexibility to use foreign
                                                                            flag tonnages.
                                                                           --No enhanced understanding of
                                                                            tonnage regulations with increased
                                                                            compliance challenges/costs.
----------------------------------------------------------------------------------------------------------------

Alternative 1--Codify All Interpretations
    Alternative 1 would revise the tonnage regulations to incorporate
not only the changes and principal interpretations of the proposed
alternative, but to also include all published Coast Guard
interpretations. This would consolidate all tonnage interpretative
information into one source. Unlike the proposed alternative,
Alternative 1 would induce an additional cost and burden to both
industry and government due to a lack of flexibility in applying
regulations.
    Initially, we believed this alternative, when compared to the
current situation of a regulation not reflective of published
interpretations, would produce some additional benefit due to the
increased visibility of both the principal and secondary
interpretations. We concluded that, over time, new technologies and
vessel construction practices would lead to difficulties in complying
with an overly detailed regulation. This would likely lead to
additional requests for clarifications and interpretations and
additional rulemakings, potentially causing tonnage certification
delays and negatively impact design innovations. Based on these
considerations, we did not accept Alternative 1.
Alternative 2--Incorporate Only Mandatory Changes
    Alternative 2 would amend the tonnage regulations to only
incorporate changes that reflect the tonnage technical amendments of
the 2010 Coast Guard Authorization Act, while continuing the Coast
Guard's practice of communicating tonnage regulation interpretations to
industry via policy documents. This would sustain the Coast Guard's
current flexibility in applying tonnage measurement interpretations and
preclude additional costs to industry. However, it would not clarify
tonnage measurement requirements or increase the understanding of the
tonnage measurement regulations. Based on this consideration, we did
not accept Alternative 2.

B. Small Entities

    Under the Regulatory Flexibility Act (5 U.S.C. 601-612), we have
considered whether this proposed rule would have a significant economic
impact on a substantial number of small entities. The term ``small
entities'' comprises small businesses, not-for-profit organizations
that are independently owned and operated and are not dominant in their
fields, and governmental jurisdictions with populations of less than
50,000.
    Our economic analysis concludes that this proposed rule would have
no cost impact and would not affect the small entities described above.
    Business entities are categorized by the North American Industry
Classification System (NAICS) codes.\2\ We identified the NAICS codes
for the population affected by the proposed rule. Table 5 presents
these NAICS codes, their descriptions, and their SBA size criteria.
---------------------------------------------------------------------------

    \2\ Small business information can be accessed online at http://www.sba.gov/size/indextableofsize.html.

                                     Table 5--NAICS Codes With SBA Threshold
----------------------------------------------------------------------------------------------------------------
               NAICS Code                        NAICS Description               SBA Small entity threshold
----------------------------------------------------------------------------------------------------------------
11411...................................  Fishing........................  $4,00,000 revenue.
483111..................................  Deep sea freight transportation  500 employees.
483112..................................  Deep sea passenger               500 employees.
                                           transportation.
483113..................................  Coastal and great lakes freight  500 employees.
                                           transportation.
483114..................................  Coastal and great lakes          500 employees.
                                           passenger transportation.
483211..................................  Inland water freight             500 employees.
                                           transportation.
483212..................................  Inland water passenger           500 employees.
                                           transportation.
488310..................................  Port and Harbor Operations.....  $25,000,000 revenue.
488330..................................  Navigational Services to         $7,000,000 revenue.
                                           Shipping.
----------------------------------------------------------------------------------------------------------------

    We estimate that this rule would not impose additional costs and
should have no impact on small entities because the Coast Guard has not
identified any costs associated with complying with the proposed rule.
    Therefore, the Coast Guard certifies under 5 U.S.C. 605(b) that
this proposed rule, if promulgated, will not have a significant
economic impact on a substantial number of small entities. If you think
that your business, organization, or governmental jurisdiction
qualifies as a small entity and that this rule would have a significant
economic impact on it, please submit a comment to the Docket Management
Facility at the address under ADDRESSES. In your comment, explain why
you think it qualifies and how and to what degree this rule would
economically affect it.

C. Assistance for Small Entities

    Under section 213(a) of the Small Business Regulatory Enforcement
Fairness Act of 1996 (Pub. L. 104-121), we want to assist small
entities in understanding this proposed rule so that they can better
evaluate its effects on them and participate in the rulemaking. If the
proposed rule would affect your small business, organization, or
governmental jurisdiction and you have questions concerning its
provisions or options for compliance, please consult Mr. Marcus Akins,
Marine Safety Center, Tonnage Division (MSC-4), Coast Guard; telephone
(703) 872-6787 or email<EMAIL_ADDRESS>The Coast Guard will
not retaliate against small entities that question or complain about
this rule or any policy or action of the Coast Guard.
    Small businesses may send comments on the actions of Federal
employees who enforce, or otherwise determine compliance with, Federal
regulations to the Small Business and Agriculture Regulatory
Enforcement Ombudsman and the Regional Small Business Regulatory
Fairness Boards. The Ombudsman evaluates these actions annually and
rates each agency's responsiveness to small business. If you wish to
comment on actions by employees of the Coast Guard, call 1-888-REG-FAIR
(1-888-734-3247).

D. Collection of Information

    This proposed rule would call for no new collection of information
under the

Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520). The current
Office of Management and Budget approval number for this part, 1625-
0028, remains unchanged and effective.

E. Federalism

    A rule has implications for federalism under Executive Order 13132,
Federalism, if it has a substantial direct effect on the States, on the
relationship between the national government and the States, or on the
distribution of power and responsibilities among the various levels of
government. We have analyzed this proposed rule under that Order and
have determined that it is consistent with the fundamental federalism
principles and preemption requirements described in Executive Order
13132. Our analysis is explained below.
    It is well settled that States may not regulate in fields reserved
for regulation by the Coast Guard. Under Title 46, United States Code,
Subtitle II, Part J, ``Measurement of Vessels,'' Congress specifically
mandated the Secretary to measure vessels in the manner provided by the
statute and the Convention. The authority to carry out these functions
was specifically delegated to the Coast Guard by the Secretary. As this
proposed rulemaking implements amendments to the tonnage measurement
law, as well as incorporates technical interpretations and
administrative clarifications of existing tonnage regulations, it falls
within the scope of authority Congress granted exclusively to the
Secretary and States may not regulate within this field. Therefore, the
rule is consistent with the principles of federalism and preemption
requirements in Executive Order 13132.
    While it is well settled that States may not regulate in categories
in which Congress intended the Coast Guard to be the sole source of a
vessel's obligations, the Coast Guard recognizes the key role that
State and local governments may have in making regulatory
determinations. Additionally, for rules with implications and
preemptive effect, Executive Order 13132 specifically directs agencies
to consult with State and local governments during the rulemaking
process.
    Therefore, the Coast Guard invites State and local governments and
their representative national organizations to indicate their desire
for participation and consultation in this rulemaking process by
submitting comments to this NPRM. In accordance with Executive Order
13132, the Coast Guard will provide a federalism impact statement to
document: (1) The extent of the Coast Guard's consultation with State
and local officials who submit comments to this proposed rule; (2) a
summary of the nature of any concerns raised by State or local
governments and the Coast Guard's position thereon; and (3) a statement
of the extent to which the concerns of State and local officials have
been met. We will also report to the Office of Management and Budget
any written communications with the States.

F. Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538)
requires Federal agencies to assess the effects of their discretionary
regulatory actions. In particular, the Act addresses actions that may
result in the expenditure by a State, local, or tribal government, in
the aggregate, or by the private sector of $100,000,000 (adjusted for
inflation) or more in any one year. Though this proposed rule would not
result in such an expenditure, we do discuss the effects of this rule
elsewhere in this preamble.

G. Taking of Private Property

    This proposed rule would not cause a taking of private property or
otherwise have taking implications under Executive Order 12630,
Governmental Actions and Interference with Constitutionally Protected
Property Rights.

H. Civil Justice Reform

    This proposed rule meets applicable standards in sections 3(a) and
3(b)(2) of Executive Order 12988, Civil Justice Reform, to minimize
litigation, eliminate ambiguity, and reduce burden.

I. Protection of Children

    We have analyzed this proposed rule under Executive Order 13045,
Protection of Children from Environmental Health Risks and Safety
Risks. This rule is not an economically significant rule and would not
create an environmental risk to health or risk to safety that might
disproportionately affect children.

J. Indian Tribal Governments

    This proposed rule does not have tribal implications under
Executive Order 13175, Consultation and Coordination with Indian Tribal
Governments, because it would not have a substantial direct effect on
one or more Indian tribes, on the relationship between the Federal
Government and Indian tribes, or on the distribution of power and
responsibilities between the Federal Government and Indian tribes.

K. Energy Effects

    We have analyzed this proposed rule under Executive Order 13211,
Actions Concerning Regulations That Significantly Affect Energy Supply,
Distribution, or Use. We have determined that it is not a ``significant
energy action'' under that order because it is not a ``significant
regulatory action'' under Executive Order 12866 and is not likely to
have a significant adverse effect on the supply, distribution, or use
of energy. The Administrator of the Office of Information and
Regulatory Affairs has not designated it as a significant energy
action. Therefore, it does not require a Statement of Energy Effects
under Executive Order 13211.

L. Technical Standards

    The National Technology Transfer and Advancement Act (NTTAA) (15
U.S.C. 272 note) directs agencies to use voluntary consensus standards
in their regulatory activities unless the agency provides Congress,
through the Office of Management and Budget, with an explanation of why
using these standards would be inconsistent with applicable law or
otherwise impractical. Voluntary consensus standards are technical
standards (e.g., specifications of materials, performance, design, or
operation; test methods; sampling procedures; and related management
systems practices) that are developed or adopted by voluntary consensus
standards bodies.
    This proposed rule does not use technical standards. Therefore, we
did not consider the use of voluntary consensus standards.

M. Environment

    We have analyzed this proposed rule under Department of Homeland
Security Management Directive 023-01 and Commandant Instruction
M16475.lD, which guide the Coast Guard in complying with the National
Environmental Policy Act of 1969 (NEPA) (42 U.S.C. 4321-4370f), and
have made a preliminary determination that this action is one of a
category of actions that do not individually or cumulatively have a
significant effect on the human environment. A preliminary
environmental analysis checklist supporting this determination is
available in the docket where indicated under the ``Public
Participation and Request for Comments'' section of this preamble. This
action falls under section 2.B.2, figure 2-1, paragraph (34)(a) and (d)
of the Instruction and involves regulations which are editorial or
procedural and regulations concerning [follow lit]admeasurement[/

follow lit] of vessels. We seek any comments or information that may
lead to the discovery of a significant environmental impact from this
proposed rule.

List of Subjects in 46 CFR Part 69

    Measurement standards, Penalties, Reporting and recordkeeping
requirements, Vessels.

    For the reasons discussed in the preamble, the Coast Guard proposes
to amend 46 CFR part 69 as follows:

Title 46

PART 69--MEASUREMENT OF VESSELS

Subpart A--General

0
1. The authority citation for part 69 continues to read as follows:

    Authority:  46 U.S.C. 2301, 14103; Department of Homeland
Security Delegation No. 0170.1.

0
2. Revise Sec.  69.1 to read as follows:

Sec.  69.1  Purpose.

    This part implements legislation concerning the measurement of
vessels to determine their tonnage (part J of 46 U.S.C. subtitle II).
Tonnage is used for a variety of purposes, including the application of
vessel safety, security, and environmental protection regulations and
the assessment of taxes and fees. This part indicates the particular
measurement system or systems under which the vessel is required or
eligible to be measured, describes the measurement rules and procedures
for each system, identifies the organizations authorized to measure
vessels under this part, and provides for the appeal of measurement
organizations' decisions.
0
3. Revise Sec.  69.3 to read as follows:

Sec.  69.3  Applicability.

    This part applies to any vessel for which the application of an
international agreement or other law of the United States to the vessel
depends on the vessel's tonnage.

Sec.  69.5  [Removed and Reserved]

0
4. Remove and reserve Sec.  69.5.
0
5. Revise Sec.  69.7 to read as follows:

Sec.  69.7  Vessels transiting the Panama and Suez Canals.

    For vessels that will transit the Panama Canal and/or Suez Canal,
the respective canal authorities may require special tonnage
certificates in addition to those issued under this part. These special
certificates may be issued by measurement organizations who have
received appropriate authorization from the respective canal
authorities.
0
6. Revise Sec.  69.9 to read as follows:

Sec.  69.9  Definitions.

    As used in this part--
    Authorized measurement organization means an entity that is
authorized to measure vessels under this part.
    Commandant means Commandant of the Coast Guard at the following
address: Commanding Officer, Marine Safety Center (MSC-4), US Coast
Guard Stop 7410, 4200 Wilson Boulevard, Suite 400, Arlington, VA 20598-
7410
    Convention means the International Convention on Tonnage
Measurement of Ships, 1969.
    Convention Measurement System means the measurement system under
subpart B of this part, which is based on the rules of the Convention.
It uses the vessel's total enclosed volume as the principal input for
tonnage calculations along with other characteristics related to the
vessel's carrying capacity, including the volume of cargo spaces and
number of passengers. Tonnages assigned under this system are expressed
in terms of gross tonnage ITC (GT ITC) or net tonnage ITC (NT ITC).
    Deck cargo means freight carried on the weather decks of a vessel
for the purpose of its transport between two separate and distinct
locations, and which is off-loaded from the vessel in its original
container (if applicable) without undergoing any processing or other
use while onboard the vessel.
    Dual Regulatory Measurement System means the measurement system of
subpart D of this part, which is one of three sub-systems of the
Regulatory Measurement System. It is based on the rules of the Standard
Measurement System, with adjustments that allow for the assignment of
two sets of Regulatory Measurement System tonnages whose use depends on
the loading condition of the vessel. Tonnages assigned under this
system are expressed in terms of gross register tons (GRT) or net
register tons (NRT).
    Foreign flag vessel means a vessel that is not a U.S. flag vessel.
    Great Lakes means the Great Lakes of North America and the St.
Lawrence River west of a rhumb line drawn from Cap des Rosiers to West
Point, Anticosti Island, and, on the north side of Anticosti Island,
the meridian of longitude 63 degrees west.
    Gross register tonnage (GRT) means the gross tonnage measurement of
the vessel under the Regulatory Measurement System. Refer to Sec.
69.20 of this subpart for information on applying tonnage thresholds
expressed in terms of gross register tons (also referred to as GRT).
    Gross tonnage ITC (GT ITC) means the gross tonnage measurement of
the vessel under the Convention Measurement System (subpart B of this
part). In international conventions, this parameter may be referred to
as ``gross tonnage (GT)''. Refer to Sec.  69.20 of this subpart for
information on applying tonnage thresholds expressed in terms of gross
tonnage ITC.
    National Vessel Documentation Center means the organizational unit
designated by the Commandant to process vessel documentation
transactions and maintain vessel documentation records.
    Net register tonnage (NRT) means the net tonnage measurement of the
vessel under the Regulatory Measurement System. Refer to Sec.  69.20 of
this subpart for information on applying tonnage thresholds expressed
in terms of net register tons.
    Non-self-propelled vessel means a vessel that is not a self-
propelled vessel.
    Overall length means the horizontal distance of the vessel's hull
between the foremost part of a vessel's stem to the aftermost part of
its stern, excluding fittings and attachments.
    Portable enclosed space means an enclosed space that is not deck
cargo, and whose method of attachment to the vessel is not permanent in
nature. Examples of portable enclosed spaces include modular living
quarters, housed portable machinery spaces, and deck tanks used in
support of shipboard industrial processes.
    Register ton means a unit of volume equal to 100 cubic feet.
    Regulatory Measurement System means the measurement system that
comprises subparts C, D, and E of this part (Standard, Dual, and
Simplified Regulatory Measurement Systems, respectively), and is
sometimes referred to as the national measurement system of the United
States. Tonnages assigned under this system are expressed in terms of
gross register tons (GRT) or net register tons (NRT).
    Remeasurement means the process by which tonnages and registered
dimensions of a vessel that was previously measured are reassigned to
that vessel, or are verified to be correct, as appropriate.
    Self-propelled vessel means a vessel with means of self-propulsion,
including sails.
    Simplified Regulatory Measurement System means the measurement
system of subpart E of this part, which is one of three sub-systems of
the Regulatory Measurement System. It is based on the rules of the
Standard Measurement System but employs a simplified computational
method using hull

dimensions as the principal inputs. Tonnages assigned under this system
are expressed in terms of gross register tons (GRT) or net register
tons (NRT).
    Standard Regulatory Measurement System means the measurement system
of subpart C of this part, which is one of three sub-systems of the
Regulatory Measurement System. It is based on the rules of the British
Merchant Shipping Act of 1854 and uses volumes of internal spaces as
the principal inputs for tonnage calculations, allowing for exemptions
or deductions of qualifying spaces according to their location and use.
Tonnages assigned under this system are expressed in terms of gross
register tons (GRT) or net register tons (NRT).
    Tonnage means the volume of a vessel's spaces, including portable
enclosed spaces, as calculated under a measurement system in this part,
and is categorized as either gross or net. Gross tonnage refers to the
volumetric measure of the overall size of a vessel. Net tonnage refers
to the volumetric measure of the useful capacity of the vessel. Deck
cargo is not included in tonnage.
    Tonnage threshold means a delimitating tonnage value specified in
an international convention or a Federal statute or regulation.
    U.S. flag vessel means a vessel of United States registry or
nationality, or one operated under the authority of the United States.
    Vessel of war means ``vessel of war'' as defined in 46 U.S.C. 2101.
    Vessel that engages on a foreign voyage means a vessel--
    (1) That arrives at a place under the jurisdiction of the United
States from a place in a foreign country;
    (2) That makes a voyage between places outside of the United
States;
    (3) That departs from a place under the jurisdiction of the United
States for a place in a foreign country; or
    (4) That makes a voyage between a place within a territory or
possession of the United States and another place under the
jurisdiction of the United States not within that territory or
possession.
0
7. Revise Sec.  69.11 to read as follows:

Sec.  69.11  Determining the measurement system or systems for a
particular vessel.

    (a) Convention Measurement System (subpart B). (1) Except as
otherwise provided in this section, this system applies to any vessel
for which the application of an international agreement or other law of
the United States to the vessel depends on the vessel's tonnage.
    (2) This system does not apply to the following vessels:
    (i) A vessel of war unless the government of the country to which
the vessel belongs elects to measure the vessel under this chapter.
    (ii) A vessel of less than 79 feet in overall length.
    (iii) A U.S. flag vessel, or one of Canadian registry or
nationality, or operated under the authority of Canada, and that is
operating only on the Great Lakes, unless the vessel owner requests.
    (iv) A U.S. flag vessel, the keel of which was laid or was at a
similar stage of construction before January 1, 1986, unless the vessel
owner requests or unless the vessel subsequently undergoes a change