---
kind: "section"
citation: "46 U.S.C. § 57103"
title: "46"
title_heading: "Shipping"
number: "57103"
heading: "Donation of vessels in the National Defense Reserve Fleet"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/46/57103"
units:
  - "Subtitle V — Merchant Marine"
  - "Part F — Government-Owned Merchant Vessels"
  - "Chapter 571 — General Authority"
---

# §57103. Donation of vessels in the National Defense Reserve Fleet

- (a) **In General.—** The [Secretary](/usc/46/53101.md?p=8) of Transportation may convey the right, title, and interest of the [United States](/usc/46/53101.md?p=10) Government in any [vessel](/usc/46/53501.md?p=9) of the National Defense Reserve [Fleet](/usc/46/53101.md?p=3) that has been identified by the [Secretary](/usc/46/53101.md?p=8) as an [obsolete vessel](/usc/46/57301.md?p=2), if the recipient—
  - (1) is a non-profit organization, a State, or a municipal corporation or political subdivision of a State;
  - (2) agrees not to use, or allow others to use, the [vessel](/usc/46/53501.md?p=9) for commercial transportation purposes;
  - (3) agrees to make the [vessel](/usc/46/53501.md?p=9) available to the Government whenever the [Secretary](/usc/46/53101.md?p=8) indicates that it is needed by the Government;
  - (4) agrees to hold the Government harmless for any claims arising from exposure to asbestos, polychlorinated biphenyls, lead paint, or other hazardous substances after conveyance of the [vessel](/usc/46/53501.md?p=9), except for claims arising from use of the [vessel](/usc/46/53501.md?p=9) by the Government;
  - (5) has a conveyance plan and a business plan that describes the intended use of the [vessel](/usc/46/53501.md?p=9), each of which has been submitted to and approved by the [Secretary](/usc/46/53101.md?p=8);
  - (6) has provided proof, as determined by the [Secretary](/usc/46/53101.md?p=8), of resources sufficient to accomplish the transfer, necessary repairs and modifications, and initiation of the intended use of the [vessel](/usc/46/53501.md?p=9); and
  - (7) agrees that when the recipient no longer requires the [vessel](/usc/46/53501.md?p=9) for use as described in the business plan required under [paragraph (5)](#a-5)—
    - (A) the recipient will, at the discretion of the [Secretary](/usc/46/53101.md?p=8), reconvey the [vessel](/usc/46/53501.md?p=9) to the Government in good condition except for ordinary wear and tear; or
    - (B) if the Board of Trustees of the recipient has decided to dissolve the recipient according to the laws of the State in which the recipient is incorporated, then—
      - (i) the recipient shall distribute the [vessel](/usc/46/53501.md?p=9), as an asset of the recipient, to a [person](/usc/46/53101.md?p=6) that has been determined exempt from taxation under section 501(c)(3) of the Internal Revenue Code of 1986 ([26 U.S.C. 501(c)(3)](/usc/26/501.md?p=c-3)), or to the Federal Government or a State or local government for a public purpose; and
      - (ii) the [vessel](/usc/46/53501.md?p=9) shall be disposed of by a court of competent jurisdiction of the county in which the principal office of the recipient is located, for such purposes as the court shall determine, or to such organizations as the court shall determine are organized exclusively for public purposes.
- (b) **Other Equipment.—** At the [Secretary](/usc/46/53101.md?p=8)’s discretion, additional equipment from other [obsolete vessels](/usc/46/57301.md?p=2) of the [Fleet](/usc/46/53101.md?p=3) may be conveyed to assist the recipient with maintenance, repairs, or modifications.
- (c) **Additional Terms.—** The [Secretary](/usc/46/53101.md?p=8) may require any additional terms the [Secretary](/usc/46/53101.md?p=8) considers appropriate.
- (d) **Delivery of Vessel.—** If conveyance is made under this section, the [vessel](/usc/46/53501.md?p=9) shall be delivered to the recipient at a time and place to be determined by the [Secretary](/usc/46/53101.md?p=8). The [vessel](/usc/46/53501.md?p=9) shall be conveyed in an “as is” condition.
- (e) **Limitations.—** If at any time prior to delivery of the [vessel](/usc/46/53501.md?p=9) to the recipient, the [Secretary](/usc/46/53101.md?p=8) determines that a different disposition of the [vessel](/usc/46/53501.md?p=9) would better serve the interests of the Government, the [Secretary](/usc/46/53101.md?p=8) shall pursue the more favorable disposition of the [obsolete vessel](/usc/46/57301.md?p=2) and shall not be liable for any damages that may result from an intended recipient’s reliance upon a proposed transfer.
- (f) **Reversion.—** The [Secretary](/usc/46/53101.md?p=8) shall include in any conveyance under this section terms under which all right, title, and interest conveyed by the [Secretary](/usc/46/53101.md?p=8) shall revert to the Government if the [Secretary](/usc/46/53101.md?p=8) determines the [vessel](/usc/46/53501.md?p=9) has been used other than as described in the business plan required under [subsection (a)(5)](#a-5).

## Source credit

(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1659; Pub. L. 112–213, title IV, § 408(a), Dec. 20, 2012, 126 Stat. 1571; Pub. L. 118–31, div. C, title XXXV, § 3514(j)(5), Dec. 22, 2023, 137 Stat. 812.)

## Notes

| Historical and Revision Notes |  |  |
| --- | --- | --- |
| Revised<br>Section | Source (U.S. Code) | Source (Statutes at Large) |
| 57103 | 46 App.:1158(b). | June 29, 1936, ch. 858, title V, § 508(b), as added Pub. L. 108–136, title XXXV, § 3512(2), Nov. 24, 2003, 117 Stat. 1789. |

In subsection (a), before paragraph (1), the words “Notwithstanding section 1160(j) of this title” are omitted as unnecessary because section 46 App. U.S.C. 1160(j) is restated in section 57101 of the revised title and that section contains an exception which includes this section. In paragraph (1), the words “Commonwealth, or possession of the United States” and “or the District of Columbia” are omitted as unnecessary because of the definition of “State” in chapter 1 of the revised title.

### Editorial Notes

### Amendments

2023—Pub. L. 118–31, § 3514(j)(5)(A), struck out “nonretention” before “vessels” in section catchline.

Subsec. (a). Pub. L. 118–31, § 3514(j)(5)(B), struck out “of insufficient value to warrant its further preservation” after “obsolete vessel”.

2012—Pub. L. 112–213 substituted “Donation of nonretention vessels in the National Defense Reserve Fleet” for “Sale of obsolete vessels in National Defense Reserve Fleet” in section catchline.