Maritime Advantage Results In National Economic Resiliency and Security Act
A BILL
To promote and recruit the United States maritime industry workforce, and for other purposes.
Sec. 2 Findings
Sec. 3 Purpose
Sec. 4 Establishing national oversight
Sec. 5 Strategy on development of naval rearm at sea capability
Sec. 6 Vessels constructed with construction-differential
“56701. Vessels constructed with construction-differential
“(a) Ready Reserve Force—The Secretary of Transportation, in consultation with the Secretary of the Navy, shall assign any vessel that is constructed after the date of enactment of this section with a construction-differential under title V of the Merchant Marine Act, 1936 (46 App. U.S.C. 1151 et seq.) to the Ready Reserve Force component of the National Defense Reserve Fleet.
“(b) Vessel construction manager
“(1) In general—The Secretary shall seek to enter into an agreement with a vessel construction manager under which the vessel construction manager shall act as the agent for managing construction of the vessel that is the subject of a contract of sale between a purchaser and the Secretary of Transportation entered into under section 502(a) of the Merchant Marine Act, 1936 (46 App. U.S.C. 1152(a)) after the date of enactment of this section.
“(2) Requirements—The Secretary shall require that a vessel construction manager described in paragraph (1) ensures that vessels are built using commercial standards, are militarily useful, and are built using mature, proven, and repeatable design concepts.
“(c) Condition
“(1) In general—The owner of any vessel that is constructed after the date of enactment of this section with a construction differential under title V of the Merchant Marine Act, 1936 (46 App. U.S.C. 1151 et seq.) and that is assigned as a Ready Reserve Force vessel under subsection (a) shall agree to provide effective control of such vessel to the United States during—
“(A) a national emergency declared by Presidential proclamation; or
“(B) a period for which the President has proclaimed that the security of the national defense makes it advisable.
“(2) Compensation—During a period described in paragraph (1), the owner of a vessel described in such paragraph shall be compensated for the use of the vessel by the United States at the rate the Secretary considers just compensation for the use of the vessel.”
Sec. 7 Conforming amendments
Sec. 8 Reports
Sec. 9 Privileging United States-flagged fleet
Sec. 10 Cargo preferences
“(d) Waivers—Notwithstanding any other provision of law, when the President, the Secretary of Defense, or the Secretary of Transportation declares the existence of an emergency justifying a temporary waiver of this section or section 55314, the President, the Secretary of Defense, or the Secretary of Transportation, following a determination by the Maritime Administrator, acting in the Administrator’s capacity as Director, National Shipping Authority, of the non-availability of qualified United States flag capacity at fair and reasonable rates for commercial vessels of the United States to meet the requirements of this section or section 55314, may waive compliance with such section to the extent, in the manner, and on the terms the Maritime Administrator, acting in such capacity, prescribes, and no other waivers of the requirements of this section or section 55314 shall be authorized.”
Sec. 11 Payments for Maritime Security Program
“(C) $8,500,000 for each of fiscal years 2024 through 2035.”
Sec. 12 Innovation incubator program
Sec. 13 Assessment on marine infrastructure readiness
Sec. 14 Contracting
Sec. 15 Campaign objectives
Sec. 16 Target Audience
Sec. 17 Reporting and accountability
Sec. 18 Sealift capability
“IX Strategic Sealift
“90101. Objectives and policy
“(a) Objectives—It is necessary for the national defense and the development of the domestic and foreign commerce of the United States that the United States have a United States-flag strategic sealift—
“(1) sufficient to meet defense deployment and essential economic activities for the United States in times of crisis or war;
“(2) sufficient to respond unilaterally to national security threats and ensure economic security resilience for the Nation’s trade; and
“(3) built, operated, and maintained during peace, crisis, and war primarily in the United States to protect and ensure national security resiliency and avoid foreign coercion of critical supply chains.
“(b) Policy—It is the policy of the United States to encourage and aid the development and maintenance of a strategic sealift satisfying the objectives described in subsection (a).
“90102. Procurement, maintenance, and operation
“(a) In general—The Secretary of Transportation and the Secretary of Defense shall build, acquire, maintain, coordinate, support, and operate a sufficient and privileged civil, commercial, and military sealift capability.
“(b) Supplemental capability—In establishing sealift capability under this subtitle, the Secretary of Transportation and Secretary of Defense shall continue to operate a sufficient Maritime Security Program, Tanker Security Program, Military Sealift Command, and Ready Reserve Force to provide capacity and resiliency for unilateral United States strategic sealift in peace, crisis, and war.
“90103. Sealift prioritization
“(a) In general—In maintaining, coordinating, supporting, and operating sealift capability under this subtitle, prioritization for sealift capability under this subtitle during wartime and crisis shall be in the following order:
“(1) Commercial United States-flagged vessels.
“(2) United States Government owned and operated sealift vessels.
“(3) Treaty allied flagged vessels.
“(4) Partner state flagged shipping vessels.
“(b) Prioritization—In moving through the order of priority under this section, the Secretary of Defense shall determine the timing of moving through such priority.
“90104. Interaction with programs
“The Secretaries of Transportation and Defense may acquire, maintain, and repair ships from treaty allies using best practices to be transportable between the Maritime Security Program, Tanker Security Program, Ready Reserve Fleet, and the fleet under this subtitle.
“90105. International agreements
“(a) In general—In maintaining, coordinating, supporting, and operating sealift capability under this subtitle, the Department of State shall lead an interagency effort to establish and update agreements with treaty allies of the United States and partners to meet wartime sealift requirements of such allies and partners and augment United States sealift requirements during crisis and war.
“(b) Report—Not later than March 1, 2025, the Secretary of State, in coordination with the Secretary of Defense, shall provide to Congress an evaluation of the status of treaty allies sealift assurances under subsection (a), including an assessment of international agreements described in such subsection and recommendations for updating such agreements to reflect the global security environment.
“90106. Briefing on shipbuilding capacity
“(a) In general—Not later than March 1, 2025, the Secretary of Transportation and Secretary of Defense shall brief Congress on the capacity of the United States shipbuilding industry to meet the requirements to build, maintain, and repair the strategic sealift fleet described under this subtitle.
“(b) Contents—In briefing Congress under subsection (a), the Secretary of Transportation and Secretary of Defense shall include an assessment and recommendations for improving the critical shipbuilding infrastructure, workforce recruitment, development and retention, and critical supply chains and critical repair parts of the United States, including ways in which allies and partners can contribute.
“90107. Briefing on privileging fleet
“(a) In general—Not later than March 1, 2025, the Secretary of Transportation, in coordination with the Secretaries of Homeland Security and Commerce and the Federal Maritime Commission, shall brief Congress on available options for establishing privileges for the United States-owned commercial fleet participating in the international ocean-based trading market that will sustain and significantly grow the United States-flagged fleet.
“(b) Contents—In briefing Congress under subsection (a), the Secretary shall provide recommendations for and potential incentives, including a wide spectrum of tax and credit incentives, for civil, commercial, and government entities, including allies and partners, to ship goods on United States-flag fleet.
“90108. Report on privilege
“(a) In general—Not later than March 1, 2025, the Secretary of Transportation, in coordination with the Secretary of Commerce and the Director of the Office of Management and Budget, shall submit to Congress a report including ways to ensure the sealift fleet under this subtitle is privileged in regulation, taxation, fees, and policy compared to foreign vessels conducting trade with a United States domiciled entity, while remaining consistent with the international obligations of the United States.
“(b) Contents—In submitting the report under subsection (a), the Secretary of Transportation shall include options for regulating foreign flagged shipping trade with the United States in order to sustain and grow the Maritime Security Program, Tanker Security Program, and other commercial United States-flag ships that comprise the sealift fleet under this subtitle.
“90109. Report on requirements for sealift force deployment
“(a) In general—Not later than March 1, 2025, the Secretary of Defense shall submit to Congress a report on requirements to maintain, improve, or grow the Maritime Security Program, Tanker Security Program, and Ready Reserve Force, the sealift fleet under this subtitle over the decade following the date of enactment of this section.
“(b) Contents—The report under subsection (a) shall include a plan for making the Ready Reserve Force active in international trade through a public-private partnership that enables financing, building, manning, operating, maintaining, and repairing the program vessels, while guaranteeing assured effective control in times of crisis or war.
“90110. Report on domestic build requirements
“Not later than March 1, 2025, the Secretary of Transportation shall submit to Congress a report that includes a plan to fund and phase in a domestic build requirement for the Maritime Security Program, Tanker Security Program, Ready Reserve Fleet, and the sealift fleet under this section, considering the full range of domestic and treaty Ally civil, commercial, and government partner arrangements and resource sharing.
“90111. Assessment on marine infrastructure readiness
“(a) In general—Not later than March 1, 2026, and every two years thereafter, the Secretaries of Defense, Homeland Security, Commerce, and Transportation shall provide Congress an assessment on—
“(1) the readiness and sufficiency of America’s marine infrastructure, shipping industry, shipbuilding industry, and United States-flagged, owned, and operated fleets to meet strategic sealift requirements and operate in a contested environment;
“(2) the vulnerability of the United States’ economy to coercion or control from our nation’s strategic competitors through the ocean-going trades; and
“(3) critical infrastructure vulnerabilities in America’s maritime transportation system, to include ports, shipyards, repair yards, inland waterways, and the domestic fleet, and foreign investment in maritime infrastructure, and how to de-risk the maritime sector for such vulnerabilities.
“(b) Secretary of State—Not later than March 1, 2026, and every two years thereafter, the Secretary of State shall provide Congress an assessment on—
“(1) the current arrangements and agreements with treaty allies for access to the global maritime transportation infrastructure such as ports, harbors, and waterways; and
“(2) the current assurances, arrangements, and agreements with Treaty allies to augment United States sealift capabilities in times of crisis and war.”