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84 STAT 829

Effective date.

SEC. 3. The provisions of this Act shall be effective July 1, 1970. Notwithstanding the provisions of section (c) of the Fish and Wildlife Act of 1956, as amended, any balance remaining in the fisheries loan fund at the close of June 30, 1970, shall be available to make loans for the purposes of section 4 of said Áct from July 1, 1970, to the close of June 30, 1980.

Approved August 24, 1970.

LEGISLATIVE HISTORY:

HOUSE REPORT No. 91-1273 accompanying H. R. 14124 (Comm. on Merchant
Marine and Fisheries).

SENATE REPORT No. 91-862 (Comm. on Commerce).

CONGRESSIONAL RECORD, Vol. 116 (1970):

May 15, considered and passed Senate.

July 20, considered and passed House, amended, in lieu of H. R. 14124.
Aug. 12, Senate agreed to House amendment.

Public Law 91-414 91st Congress, S. 3617 September 25, 1970

An Act

To amend the Marine Resources and Engineering Development Act of 1966 to continue the National Council on Marine Resources and Engineering Development.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That subsection (f) of section 3 of the Marine Resources and Engineering Development Act of 1966 (33 U.S.C. 1102(f)) is amended by striking out “June 30, 1970" and inserting in lieu thereof "June 30, 1971". Approved September 25, 1970.

84 STAT. 865

80 Stat. 205;
83 Stat. 10.

LEGISLATIVE HISTORY:

HOUSE REPORT No. 91-1387 accompanying H. R. 16607 (Comm. on Merchant

Marine and Fisheries).

SENATE REPORT No. 91-1008 (Comm. on Commerce).

CONGRESSIONAL RECORD, Vol. 116 (1970):

July 10, considered and passed Senate.

Sept. 14, considered and passed House, in lieu of H. R. 16607.

(30)

1

Public Law 91-469
91st Congress, H. R. 15424
October 21, 1970

An Act

To amend the Merchant Marine Act, 1936.

84 STAT. 1018

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 101 of Merohant the Merchant Marine Act, 1936 (46 U.S.C. 1101), is amended as follows:

Marine.
Act of 1970.

(1) by striking out of subdivision (a) the words "on all routes". 49 Stat. 1985. (2) by striking out the final "and" in subdivision (c) and changing the period at the end of subdivision (d) to a comma and inserting "and (e) supplemented by efficient facilities for shipbuilding and ship repair."

SEC. 2. Section 209 (b) of the Merchant Marine Act, 1936 (46 U.S.C. Appropriations. 1119(b)), is amended by striking out the period at the end thereof 81 Stat. 193. and inserting a colon and the following: "Provided, however, That

the Congress hereby finds and declares that the national policy set forth

in section 101 of this Act requires that there should be authorized Supra.
and appropriated for fiscal years 1971 through 1980 such sums as may
be necessary to construct 300 ships of such sizes, types and designs
as the Secretary of Commerce may consider best suited to carry out
the purposes and policy of this Act."

SEC. 3. Section 210 of the Merchant Marine Act, 1936 (46 U.S.C. 1120), is amended as follows:

(1) by striking out of the second paragraph the words "on all

routes".

(2) by inserting a new fifth paragraph as follows: "Fourth, the creation and maintenance of efficient shipbuilding and repair capacity in the United States with adequate numbers of skilled personnel to provide an adequate mobilization base."

SEC. 4. Section 211 of the Merchant Marine Act, 1936 (46 U.S.C. 1121), is amended as follows:

(1) By striking the final "and" in subsection (a) and inserting a comma in lieu thereof and changing the semicolon to a comma and inserting the words “and to other national requirements;".

(2) By redesignating subsections (b), (c), (d), (e), (f), (g), (h), and (i), as subsections (c), (d), (e), (f), (g), (h), (i), and (j), respectively.

(3) By inserting a new subsection (b) to read as follows: "(b) The bulk cargo carrying services that should, for the promotion, development, expansion, and maintenance of the foreign commerce of the United States and for the national defense or other national requirements be provided by United States-flag vessels whether or not operating on particular services, routes, or lines;" (4) Redesignated subsection (c) is amended by inserting after the word "speed," the words "method of propulsion,".

(5) Redesignated subsection (c) is amended by inserting at the end thereof, immediately before the semicolon, a comma and the words "or which should be employed to provide the bulk cargo carrying services necessary to the promotion, maintenance, and expansion of the foreign commerce of the United States and its national defense or other national requirements whether or not such vessels operate on a particular service, route, or line".

SEC. 5. Redesignated subsection (e) of section 211 of the Merchant Marine Act, 1936, is amended as follows:

(a) By striking out the words "in particular services, routes, and lines".

49 Stat. 1989.

Studies,
records.

Bulk cargo

carrying
services.

84 STAT. 1019

Constructiondifferential subsidy.

49 Stat. 1995;

66 Stat. 760.

Post, p. 1022.

Shipyard records,

availability.

(b) By striking out the words "service, route, or line" and inserting in lieu thereof the word "vessel".

SEC. 6. Section 501 of the Merchant Marine Act, 1936 (46 U.S.C. 1151), is amended as follows:

(1) Subsection (a) is amended as follows:

(a) By striking out the words "Any citizen of the United States" and inserting in lieu thereof the words "Any proposed ship purchaser who is a citizen of the United States or any shipyard of the United States".

(b) By inserting in subdivision (2) after the designation (2) the words "if the applicant is the proposed ship purchaser" and a comma. (c) By striking out of subdivision (3) the words "to replace wornout or obsolete tonnage with new and modern ships, or otherwise".

(d) By the insertion of a new sentence at the end of subdivision (3) to read as follows: "The Secretary of Commerce may give preferred consideration to applications that will tend to reduce construc tion-differential subsidies and that propose the construction of ships of high transport capability and productivity."

(2) Subsection (c) is amended by inserting in the first sentence after the words "Any citizen of the United States" the words "or any shipyard of the United States".

SEC. 7. Section 502 of the Merchant Marine Act, 1936 (46 U.S.C. 1152), is amended as follows:

(1) Subsection (a) is amended as follows:

(a) By striking out of the first sentence the words ", on behalf of the applicant,".

(b) By striking out of the second sentence the words "applicant, the Commission" and inserting in lieu thereof the words "proposed ship purchaser, the Secretary of Commerce".

(c) By inserting after the second sentence the following new sentence: "Notwithstanding the provisions of the first sentence of section 505 of this Act with respect to competitive bidding, the Secretary of Commerce is authorized, at any time prior to June 30, 1973, to accept a price for the construction of the ship which has been negotiated between a shipyard and a proposed ship purchaser if (i) the negotiated price will result in a construction-differential subsidy that is equal to or less than 45 per centum in fiscal 1971, 43 per centum in fiscal 1972, and 41 per centum in fiscal 1973; (ii) the proposed ship purchaser and the shipyard submit backup cost details and evidence that the negotiated price is fair and reasonable; (iii) the Secretary of Commerce finds that the negotiated price is fair and reasonable; and (iv) the shipyard agrees that the Comptroller General of the United States or any of his duly authorized representatives shall, until the expiration of three years after final payment have access to and the right to examine any pertinent books, documents, papers, and records of the shipyard or any of its subcontractors related to the negotiation or performance of any contract or subcontract negotiated under this subsection and will include in its subcontracts a provision to that effect."

(d) By striking out of the last sentence the words "with the applicant for the purchase by him" and inserting in lieu thereof the words "for the sale" immediately prior to the words "of such vessel" and by inserting after the words "upon its completion," the words "to the applicant if he is the proposed ship purchaser and if not to another citizen of the United States, if the Secretary of Commerce determines that such citizen possesses the ability, experience, financial resources, and other qualifications necessary to enable it to operate and maintain the vessel".

(2) Subsection (b) is amended as follows:

84 STAT. 1020

76 Stat. 1200;

By striking out of the first sentence the word "may" and 83 Stat. 44. inserting in lieu thereof the word "shall".

(b) By striking out of the first sentence the words "the construction of the proposed vessel", and inserting in lieu thereof the words "the construction of that type vessel”.

(c) By inserting after the first sentence of subsection (b) the following: "The Secretary of Commerce shall recompute such estimated foreign cost annually unless, in the opinion of the Secretary, there has been a significant change in shipbuilding market conditions. The Secretary shall publish notice of his intention to compute or recompute such estimated foreign cost and shall give interested persons, including but not limited to shipyards and shipowners and associations thereof, an opportunity to file written statements. The Secretary's consideration shall include, but not be limited to, all relevant matter so filed, and his determination shall include or be accompanied by a concise explanation of the basis of his determination."

(d) By striking out of the next to the last sentence the words "in any case exceeds the foregoing applicable percentage of such cost" and inserting in lieu thereof the words "exceeds the following percentages: in fiscal year 1971, 45 per centum; in fiscal year 1972, 43 per centum; in fiscal year 1973, 41 per centum; in fiscal year 1974, 39 per centum; in fiscal year 1975, 37 per centum; in fiscal year 1976 and thereafter, 35 per centum,".

46 USC 1152.

Foreign cost, annual computation, publioation.

(e) By inserting in the next to the last sentence after the words "the Secretary may negotiate" the words "with any bidder, whether or not such bidder is the lowest bidder" and a comma; by striking out the words "on behalf of the applicant" and inserting in lieu thereof the words "with such bidder, notwithstanding the provisions of the first sentence of section 505 with respect to competitive bidding,"; and Post, p. by inserting before the words "or less" at the end of the sentence a comma and the words "or as close thereto as possible,”.

(f) By inserting after the next to the last sentence the following new sentence: "Commencing with the fiscal year 1972 no construction contract requiring a construction-differential in excess of the applicable percentages set forth in the preceding sentence shall be entered into unless the Secretary shall have given due consideration to the likelihood that the above percentages will not be attained and that the commitment to the ship construction program may not be continued. If the Secretary of Commerce enters into such a contract, he shall notify the Commission on American Shipbuilding of such contract and the Commission on American Shipbuilding shall, not later than six months after such notification, submit its report on the American shipbuilding industry."

(3) Subsection (c) is amended as follows:

(a) By inserting after the third word the words "of sale".

(b) By striking out the word "applicant" wherever it appears, and inserting in lieu thereof the word "purchaser”.

(e) By striking out of the third sentence the words "at the rate of 32 per centum per annum".

(d) By striking out of the third sentence the words "applicant's purchase" and inserting in lieu thereof the words "purchaser's portion of the".

(e) By striking out of the third sentence the word "applicant's” and inserting in lieu thereof the word "purchaser's".

(f) By inserting in the third sentence, immediately before the period at the end thereof, the words "at a rate not less than (i) a rate determined by the Secretary of the Treasury, taking into considera

1022.

Constructiondifferential, limitation.

52 Stat. 956. 46 USC 1152.

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