Sponsors
The bill makes it easier and faster for compliant vessels to obtain coastwise privileges and for the Coast Guard to issue safety rules—reducing legal ambiguity and speeding protections—while increasing competition for incumbent operators and raising risks of weaker enforcement or rushed regulations.
Vessel owners that meet U.S. legal requirements can obtain coastwise endorsements more straightforwardly, expanding their ability to operate in domestic trade.
The Coast Guard must issue safety and security regulations within 90 days, which could improve vessel safety and protect crews and passengers sooner.
Removing uncertain statutory cross-references and repealing section 12132 simplifies Title 46, reducing legal ambiguity for operators and regulators.
Some vessels may gain coastwise eligibility under a broader standard, increasing competition and potentially lowering wages or rates for existing domestic operators.
Repealing the 'loss of coastwise trade privileges' provision may reduce explicit statutory penalties or enforcement clarity for misuse of coastwise privileges.
The 90-day deadline for issuing regulations could produce rushed or unclear rules, imposing compliance costs and uncertainty for vessel owners and operators.
Based on analysis of 2 sections of legislative text.
Introduced June 12, 2025 by Mike Lee · Last progress June 12, 2025
Rewrites the federal coastwise trade rules in title 46, U.S. Code so that coastwise endorsements may be issued to any vessel that qualifies under U.S. law to engage in coastwise trade, and directs the U.S. Coast Guard Commandant to issue implementing safety and security regulations within 90 days of enactment. It also makes conforming statutory edits and repeals across title 46 to remove or simplify cross-references and eligibility-limiting language. The change removes and replaces several existing statutory provisions that previously limited or defined coastwise trade eligibility, consolidating eligibility language and leaving the Coast Guard to define applicable safety and security requirements by regulation. No new appropriations are included and the bill focuses on statutory eligibility language and regulatory direction rather than funding or new programs.