[§ 13] Proviso. not less than $10 for each dead-weight ton of the vessel as computed before such reconditioning thereof is commenced. The date of the completion of such installation and the amount of the dead-weight tonnage of the vessel shall be fixed by the Secretary of Transportation: Depreciation. Provided further, That in fixing the minimum price at which the vessel may thus be sold the Secretary of Transportation may deduct from the aggregate amount above prescribed 5 per centum thereof per annum from the date of the installation to the date of sale as depreciation: And provided further, That no part of such fund shall be expended upon the reconditioning of any vessel unless the Secretary of Transportation shall have first made a binding contract for a satisfactory sale of such vessel in accordance with the provisions of this Act, or for the charter or lease of such vessels for a period of not less than five years by a capable, solvent operator; or unless the Secretary of Transportation is prepared and intends to directly put such vessel in operation immediately upon completion. Such vessel, in any of the enumerated instances, shall be documented under the laws of the United States and shall remain documented under such laws for a period of not less than five years from the date of the completion of the installation, and during such period it shall be operated only on voyages which are not exclusively coastwise. Documentation. 46 App. U.S.C. 872. Sale of property. 46 App. U.S.C. 873. War Department not to pay charter hire on Government vessels. 46 App. U.S.C. 874. Housing Act repealed. SEC. 13. That the Secretary of Transportation is further authorized to sell all property other than vessels transferred to him under section 4 upon such terms and conditions as the Secretary of Transportation may determine and prescribe. SEC. 15. That the board shall not require payment from the War Department for the charter hire of vessels owned by the United States Government furnished by the board from July 1, 1918, to June 30, 1919, inclusive, for the use of such department. SEC. 16. That all authorization to purchase, build, requisition, lease, exchange, or otherwise acquire houses, buildings, or land under the Act entitled “An Act to authorize and empower the United States Shipping Board Emergency Fleet Corporation to purchase, lease, requisition, or otherwise acquire, and to sell or otherwise dispose of improved or unimproved lands, houses, buildings, and for other purposes," approved March 1, 1918, is hereby terminated: Provided, however, That expenditures may be made under said Act for the repair of houses and buildings already constructed, and the completion of such houses or buildings as have heretofore Sale of houses, been contracted for or are under construction, if considered advisable, and the board is authorized and directed Limitations. completion of etc. to dispose of all such properties or the interests of the United States in all such properties at as early a date as practicable, consistent with good business and the best interests of the United States. [§ 19] and Navy De SEC. 17. The possession and control of such other 46 App. U.S.C. docks, piers, warehouses, wharves and terminal equip- 875. ment and facilities or parts thereof, including all lease- President may hold easements, rights of way, riparian rights and other transfer War rights, estates or interests therein or appurtenant thereto which were acquired by the War Department or the Navy Department for military or naval purpose during the war emergency may be transferred by the President to the Secretary of Transportation whenever the President deems such transfer to be for the best interests of the United States. partment port facilities over to board. facilities to The President may at any time he deems it neces- President may sary, by order setting out the need therefor and fixing transfer port the period of such need, permit or transfer the posses- War or Navy sion and control of any part of the property taken over Department. by or transferred to the Secretary of Transportation under this section to the War Department or the Navy Department for their needs, and when in the opinion of the President such need therefore ceases the possession and control of such property shall revert to the Secretary of Transportation. None of such property shall be sold except as may be hereafter provided by law. SEC. 19. (1) The Secretary of Transportation is authorized and directed in aid of the accomplishment of the purposes of this Act: (a) To make all necessary rules and regulations to carry out the provisions of this Act; And the Federal Maritime Commission is authorized and directed in aid of the accomplishment of the purpose of this Act: Sale in order to may: FMC may: (b) To make rules and regulations affecting shipping in the foreign trade not in conflict with law and order Make rules to adjust or meet general or special conditions unfavor- and regulations governable to shipping in the foreign trade, whether in any ing shipping particular trade or upon any particular route or in com- in foreign merce generally, and which arise out of or result from trade. foreign laws, rules, or regulations or from competitive methods or practices employed by owners, operators, agents, or masters of vessels of a foreign country; and Request de(c) To request the head of any department, board, make, susbureau, or agency of the Government to suspend, pend, modify, modify or annul rules or regulations which have been or annul established by such department, board, bureau, or rules and regagency, or to make new rules or regulations affecting fecting shipping in the foreign trade other than such rules or shipping. partments to ulations af [§ 19] Approve rules and regulations relating to shipping. May refer U.S. owned vessels not to be given preference over private vessels. 46 App. U.S.C. 877. Not applicableSamoan Islands. sessions. Secretary to establish adequate insular steamship service. regulations relating to the Public Health Service, the Consular Service, and the Steamboat-Inspection Service. (2) No rule or regulation shall hereafter be established by any department, board, bureau, or agency of the Government which affects shipping in the foreign trade, except rules or regulations affecting the Public Health Service, the Consular Service, and the Steamboat-Inspection Service, until such rule or regulation has been submitted to the board for its approval and final action has been taken thereon by the board or the President. (3) Whenever the head of any department, board, bureau, or agency of the Government refuses to suspend, modify, or annul any rule or regulation, or make a new rule or regulation upon request of the board, as provided in subdivision (c) of paragraph (1) of this section, or objects to the decision of the board in respect to the approval of any rule or regulation, as provided in paragraph (2) of this section, either the board or the head of the department, board, bureau, or agency which has established or is attempting to establish the rule or regulation in question may submit the facts to the President who is hereby authorized to establish or suspend, modify, or annul such rule or regulation. (4) No rule or regulation shall be established which in any manner gives vessels owned by the United States any preference or favor over those vessels documented under the laws of the United States and owned by persons who are citizens of the United States. SEC. 21. That from and after February 1, 1922, the coastwise laws of the United States shall extend to the island Territories and possessions of the United States not now covered thereby, and the Secretary of TransExtension of portation is directed prior to the expiration of such year coastwise laws to have established adequate steamship service at reato insular pos- sonable rates to accommodate the commerce and the passenger travel of said islands and to maintain and operate such service until it can be taken over and operated and maintained upon satisfactory terms by private capital and enterprise: Provided, That if adequate shipping service is not established by February 1, 1922, the President may President shall extend the period herein allowed for the extend period. establishment of such service in the case of any island Territory or possession for such time as may be necessary for the establishment of adequate shipping facilities therefor: Provided further, That, until Congress Rules and reg- shall have authorized the registry as vessels of the ulations gov- United States of vessels owned in the Philippine Iserning lands, the Government of the Philippine Islands is hereby authorized to adopt, from time to time, and enforce regulations governing the transportation of merchandise and passengers between ports or places in the shipping in Philippines. [§ 23] until pro Philippine Archipelago: And provided further, That the foregoing provisions of this section shall not take effect Law not to with reference to the Philippine Islands until the Presi- take effect in dent of the United States after a full investigation of Philippines the local needs and conditions shall, by proclamation, claimed by declare that an adequate shipping service has been es- President. tablished as herein provided and fix a date for the going into effect of the same: And further provided, That the coastwise laws of the United States shall not extend to the Virgin Islands of the United States until the President of the United States shall, by proclamation, declare that such coastwise laws shall extend to the Virgin Islands and fix a date for the going into effect of same. Not applicaable-Virgin 49 Stat. 1207. Islands. 48 Stat. 963. Act authorvessels to enizing foreign gage in coast built vessels excepted. SEC. 22. That the Act entitled "An Act giving the United States Shipping Board power to suspend present provisions of law and permit vessels of foreign registry under the Act of August 18, 1914, to engage in the coastwise trade during the present war and for a period wise trade of one hundred and twenty days thereafter, except the repealed. coastwise trade with Alaska," approved October 6, 1917, American is hereby repealed: Provided, That all foreign-built ves- owned sels admitted to American registry, owned on February foreign1, 1920, by persons citizens of the United States, and all foreign-built vessels owned by the United States at the time of the enactment of this Act, when sold and owned by persons citizens of the United States, may engage in the coastwise trade so long as they continue in such ownership, subject to the rules and regulations of such trade: Provided, That the board is authorized to issue permits for the carrying of passengers in foreign ships if it deems it necessary to do so, operating between the Territory of Hawaii and the Pacific Coast up to February 1, 1922. Not applica able-Samoan Islands. Foreign vessels authorized to carry be passengers tween United States and Hawaii. 46 App. U.S.C. 878. Vessels exempted from war and excess-profits tax. SEC. 23. That the owner of a vessel documented under the laws of the United States and operated in foreign trade shall, for each of the ten taxable years while so operated, beginning with the first taxable year ending after the enactment of this Act, be allowed as a deduction for the purpose of ascertaining his net income subject to the war-profits and excess-profits taxes imposed by Title III of the Revenue Act of 1918 an amount equivalent to the net earnings of such vessel during such taxable year, determined in accordance with rules and regulations to be made by the board: Provided, Funds must That such owner shall not be entitled to such deduction be invested in unless during such taxable year he invested, or set constructing aside under rules and regulations to be made by the board in a trust fund for investment in the building in shipyards in the United States of new vessels of a type and kind approved by the board, an amount, to be determined by the Secretary of the Treasury and certified new vessels. [§ 23] Owner to furnish twothirds of con struction cost. 45 Stat. 881. 46 U.S.C. 879. 41 Stat. 998. 46 App. U.S.C. 883. by him to the board, equivalent to the war-profits and excess-profits taxes that would have been payable by such owner on account of the net earnings of such vessels but for the deduction allowed under the provisions of this section: Provided further, That at least twothirds of the cost of any vessel constructed under this paragraph shall be paid for out of the ordinary funds or capital of the person having such vessel constructed. During the period of ten years from June 5, 1920, any person, a citizen of the United States, who may sell a vessel documented under the laws of the United States and built prior to January 1, 1914, shall be exempt from all income taxes that would be payable upon any of the proceeds of such sale under the Revenue Act of 1918, or under any subsequent Revenue Act in force during such ten-year period, if the entire proceeds thereof shall be invested in the building of new ships in American shipyards, such ships to be documented under the laws of the United States and to be of a type approved by the Board. The basis of any such new ship shall be reduced by the amount of the gain from such sale exempt from taxation under this paragraph. SEC. 27. That no merchandise shall be transported by water, or by land and water, on penalty of forfeiture of the merchandise (or a monetary amount up to the value thereof as determined by the Secretary of the Treasury to be recovered from any cosignor, seller, owner, importer, consignee, agent, or other person or persons so transporting or causing said merchandise to be transported), between points in the United States, including Districts, Territories, and possessions thereof embraced within the coastwise laws, either directly or via a foreign port, or for any part of the transportation, in any other vessel than a vessel built in and documented under the laws of the United States and owned by persons who are citizens of the United States, or vessels to which the privilege of engaging in the coastwise trade-Ameri- trade is extended by sections 18 or 22 of this Act: Procan vessels- vided, That no vessel having at any time acquired the lawful right to engage in the coastwise trade, either by virtue of having been built in or documented under the Coastwise not applicable, Samoan Islands. 1 With respect to transportation of passengers in the coastwise trade, see the Act of June 19, 1886, as amended (46 App. U.S.C. 289), providing: "No foreign vessel shall transport passengers between ports or places in the United States, either directly or by way of a foreign port, under a penalty of two hundred dollars for each passenger so transported and landed." For a limited exception in the trades between the United States and Puerto Rico, see Public Law 98-563, approved October 30, 1984, page 248, infra. See also 46 App. U.S.C. 289a with respect to the transportation of passengers in Canadian vessels between Rochester and Alexandria Bay, New York, and 46 App. U.S.C. 289b concerning the transportation of passengers and merchandise in Canadian vessels between points in Alaska and the United States. See also Act of December 27, 1950 (Public Law 891, 81st Cong.; 64 Stat. 1120), set forth in Appendix I. |