Solicitation of Applications for the Award of Two Maritime Security Program Operating Agreements
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Abstract
The Maritime Administration (MARAD) requests applications from qualified candidates to enter into Maritime Security Program (MSP) Operating Agreements for the operation of two U.S.-registered merchant vessels in international trade, subject to the availability of appropriations. The MSP maintains a fleet of active, commercially viable, militarily useful, privately-owned U.S.-flagged vessels that are engaged in international trade and are capable of supporting both U.S. economic competitiveness in peacetime and national defense and security requirements in times of conflict or emergency. This request for applications provides, among other things, application criteria and a deadline for submitting applications for vessel enrollment into MSP.
Full Text
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<title>Federal Register, Volume 88 Issue 102 (Friday, May 26, 2023)</title>
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[Federal Register Volume 88, Number 102 (Friday, May 26, 2023)]
[Notices]
[Pages 34221-34223]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-11287]
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DEPARTMENT OF TRANSPORTATION
Maritime Administration
Solicitation of Applications for the Award of Two Maritime
Security Program Operating Agreements
AGENCY: Maritime Administration, Department of Transportation.
ACTION: Notice.
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SUMMARY: The Maritime Administration (MARAD) requests applications from
qualified candidates to enter into Maritime Security Program (MSP)
Operating Agreements for the operation of two U.S.-registered merchant
vessels in international trade, subject to the availability of
appropriations. The MSP maintains a fleet of active, commercially
viable, militarily useful, privately-owned U.S.-flagged vessels that
are engaged in international trade and are capable of supporting both
U.S. economic competitiveness in peacetime and national defense and
security requirements in times of conflict or emergency. This request
for applications provides, among other things, application criteria and
a deadline for submitting applications for vessel enrollment into MSP.
DATES: Applications must be received no later than June 26, 2023.
ADDRESSES: Applications may be submitted in hard copy or
electronically. Applications may be submitted electronically to
<a href="/cdn-cgi/l/email-protection#b8cbddd9d4d1decccbcdc8c8d7caccf8dcd7cc96dfd7ce"><span class="__cf_email__" data-cfemail="6f1c0a0e0306091b1c1a1f1f001d1b2f0b001b41080019">[email protected]</span></a> and in hard copy to the U.S. Department of
Transportation, Maritime Administration, Maritime Security Program,
Room W25-310, 1200 New Jersey Avenue SE, Washington, DC 20590.
Application forms and instructions are available on the MARAD website
at https://
[[Page 34222]]
maritime.dot.gov/national-security/strategic-sealift/maritime-security-
program-msp. Applicants with large electronic files should contact
Richard Wanerman, Office of Sealift Support by telephone at (202) 366-
2306 or email at <a href="/cdn-cgi/l/email-protection#d587bcb6bdb4a7b1fb82b4bbb0a7b8b4bb95b1baa1fbb2baa3"><span class="__cf_email__" data-cfemail="5e0c373d363f2c3a70093f303b2c333f301e3a312a70393128">[email protected]</span></a> for large file transfer
options.
FOR FURTHER INFORMATION CONTACT: David Hatcher, Director, Office of
Sealift Support, Telephone (202) 366-0688. For legal questions, contact
Joseph Click, Office of Chief Counsel, Division of Maritime Programs,
(202) 366-5882. For military utility questions, contact Tim Boemecke,
U.S. Department of Defense, United States Transportation Command, (618)
220-1452.
SUPPLEMENTARY INFORMATION:
Background
46 U.S.C. 53102(a) directs the Secretary of Transportation
(Secretary), in consultation with the Secretary of Defense (SecDef), to
establish a fleet of active, commercially-viable, militarily-useful,
privately-owned, U.S.-registered vessels to meet national defense and
other security requirements and to maintain a United States presence in
international commercial shipping. In accordance with 46 U.S.C.
53103(d), MARAD may not enter into Operating Agreements for MSP
covering more than 60 vessels in any given fiscal year. Payments to
participating operators are subject to the availability of
appropriations and are limited to the following amounts: $5.3 million
per ship for fiscal years (FY) 2023 through 2025; $5.8 million per ship
for FYs 2026 through 2028; $6.3 million per ship for FYs 2029 through
2031; and $6.8 million per ship for FYs 2032 through 2035.
On January 1, 2021, Congress established the Tanker Security
Program (TSP) in section 3511(a) of the National Defense Authorization
Act for FY 2021 (NDAA FY 21) (Pub. L. 116-283) (codified at 46 U.S.C.
53401-12), directing the Secretary and SecDef to establish a
substantially-similar program to MSP for product tankers. NDAA FY 21
Sec. 3511(c)(3) further directed the Secretary to approve any
applications for TSP from any MSP Operating Agreement holders that
operated product tank vessels under MSP Operating Agreements at the
time of NDAA FY 21's enactment. MARAD subsequently published the Tanker
Security Program Application Solicitation in the Federal Register on
December 9, 2022 (87 FR 75688-89), and received an application on
January 31, 2023, from the sole operator of the two product tankers in
MSP to operate them under TSP.
Under 46 CFR 296.24(a), MARAD seeks to ensure that MSP Operating
Agreement holders operate the maximum number of statutorily authorized
vessels under MSP Operating Agreements at any given time. The maximum
number is currently fixed at 60 vessels by 46 U.S.C. 53103(d). As the
TSP application of January 31, 2023, will create two vacancies in the
MSP fleet during FY 2023, MARAD is publishing this solicitation
pursuant to 46 U.S.C. 53103(c) and 46 CFR 296.24 to select up to two
eligible vessels from qualified applicants to operate in MSP and to
award two MSP Operating Agreements to cover their operation (one
agreement per vessel). MARAD expects to enter into MSP Operating
Agreements with successful applicants as soon as practicable following
the commencement of TSP. Consistent with the National Security
Requirements section below, successful applicants will be required to
make their commercial transportation resources available upon request
by SecDef during times of war or national emergency.
Application Criteria
46 U.S.C. 53103(c) and 46 CFR 296.24(a)(1)-(a)(3) establish a
priority system whereby applications for subsequent award of MSP
Operating Agreements are first evaluated on the basis of vessel type,
as determined by Department of Defense (DoD) requirements, with
secondary consideration based upon the citizenship status of the
applicant, as defined in 46 U.S.C. 50501.
Vessel Requirements
Acceptable vessels for these MSP Operating Agreements must meet the
requirements of 46 U.S.C. 53102(b) and 46 CFR 296.11. In addition, the
Commander, USTRANSCOM, has established DoD general evaluation criteria
on the military requirements for eligible MSP vessels. Priority
consideration, consistent with the requirements of 46 U.S.C. 53103(c),
will be given to applications providing for enrollment of the following
vessel types in order of priority:
1. Roll-On/Roll-Off (RO/RO) Vessels.
2. Geared Containerships and Multi-Purpose/Heavy Lift Vessels
capable of carrying ammunition.
3. All other vessel types, which will be considered after all
applications for the above listed vessel types have been reviewed.
For each individual application, the offered vessel's recognized
classification society vessel-type designation will serve as the
primary factor in determining the priority category in which the vessel
is placed.
National Security Requirements
Successful applicants will be required to enter into an Emergency
Preparedness Agreement (EPA) pursuant to 46 U.S.C. 53107 prior to or on
the first effective date of the awarded MSP Operating Agreement. The
Voluntary Intermodal Sealift Agreement (VISA), as published in Federal
Register at 79 FR 64462 (Oct. 29, 2014) and renewed at 84 FR 51710
(Sept. 30, 2019), is the designated EPA for all non-tank vessels
operating in MSP.
Documentation
Vessels must be documented in the United States under 46 U.S.C.
chapter 121 prior to operation under any MSP Operating Agreement and
receipt of any payments under those Operating Agreements. Further,
MARAD must receive proof of U.S. Coast Guard vessel documentation and
inspection and must approve all relevant charter and management
agreements governing the prospective operation of the vessel before the
vessel will be eligible to receive MSP payments. If a vessel being
offered for consideration by an applicant is not currently registered
in the United States, MARAD requires the applicant to provide MARAD
with a proposed plan for bringing the vessel under U.S. vessel
registration.
Vessel Operation
Vessels operating under MSP Operating Agreements shall be operated
exclusively in foreign commerce as defined in 46 U.S.C. 53101(4) or in
permissible mixed foreign commerce and domestic trade as provided by 46
U.S.C. 53105(a)(1)(A). Additionally, in accordance with 46 U.S.C.
53105(a)(2), any vessel selected under this solicitation may not engage
in trades between points in the United States and its territories,
either directly or via a foreign port, notwithstanding 46 U.S.C.
12111(b) & 55101(b).
USMMA Cadet Safe Training Environment Requirements
In accordance with 46 U.S.C. 51307, the operator of any vessel
selected under this solicitation must implement and enforce a MARAD-
approved plan under 46 U.S.C. 51322 and the Every Mariner Builds A
Respectful Culture (EMBARC) program to prevent and respond to sexual
assault and harassment against any merchant marine cadet sailing aboard
that vessel in fulfillment of their educational
[[Page 34223]]
requirements. If an applicant currently has a MARAD approved EMBARC
plan in place for other vessels it operates at the time it applies
under this solicitation, it must state so in its application and
describe the steps it has taken to implement the plan on its other
vessels. If an applicant does not currently have an EMBARC plan, it
must describe the steps it will take to implement and enforce such a
plan in the application. If awarded an MSP Operating Agreement, the
applicant must fully implement, or be prepared to fully implement, a
MARAD approved EMBARC plan onboard the selected vessel prior to the
execution of the Operating Agreement and the receipt of payments under
it.
Award
MARAD does not guarantee the award of any MSP Operating Agreements
in response to applications submitted under this notice. In the event
that MARAD does not award any operating agreements or does not select
an application for award, MARAD will provide the applicant with a
written explanation why the application was denied, consistent with the
requirements of 46 U.S.C. 53103(c).
Protection of Confidential Commercial or Financial Information
If the application includes information that the applicant
considers to be a trade secret or confidential commercial or financial
information (CCFI), the applicant should do the following: (1) Note on
the front cover that the submission ``Contains Confidential Commercial
or Financial Information (CCFI)''; (2) mark each affected page ``CCFI''
in the header or footer; and (3) highlight or otherwise denote those
portions of each page that the applicant considers to contain CCFI.
MARAD will protect such information from disclosure to the extent
allowed under applicable law. In the event MARAD receives a Freedom of
Information Act (FOIA) request for the information, procedures
described in the Department's FOIA regulation at 49 CFR 7.29 will be
followed. Only information that is ultimately determined to be
confidential under that procedure will be exempt from disclosure under
FOIA.
(Authority: 46 U.S.C. 53102 and 53103; 46 CFR 296.24; 49 CFR 1.92
and 1.93.)
By Order of the Maritime Administrator.
T. Mitchell Hudson, Jr.,
Secretary, Maritime Administration.
[FR Doc. 2023-11287 Filed 5-25-23; 8:45 am]
BILLING CODE 4910-81-P
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