Voluntary Intermodal Sealift Agreement; Extension and Modification

<NOTICE> DEPARTMENT OF TRANSPORTATION <SUBAGY>Maritime Administration</SUBAGY> <SUBJECT>Voluntary Intermodal Sealift Agreement; Extension and Modification</SUBJECT> <HD SOURCE="HED">AGENCY:</HD> Maritime Administration, Department of Transportation. <HD SOURCE="HED">ACTION:</HD> Notice. <SUM> <HD SOURCE="HED">SUMMARY:</HD> The Maritime Administration (MARAD) announces the extension of the Voluntary Intermodal Sealift Agreement (VISA) until October 1, 2029, pursuant to Section 708 of the Defense Production Act of 1950, as amended. VISA is intended to make intermodal shipping services/systems, including ships, ships' space, intermodal facilities and equipment, and related management services, available to the Department of Defense (DoD) as required to support the emergency deployment and sustainment of U.S. Armed Forces through cooperation among the maritime industry, the Department of Transportation (DOT), and DoD. In addition to extending VISA for an additional 5 years for existing participants, MARAD is modifying VISA for new applicants by making certain modifications to the Agreement, including clarification of what is meant by shipping services/systems, and the required vessel certifications for program entry. MARAD has also updated references to authorities and statutory and regulatory citations. </SUM> <DATES> <HD SOURCE="HED">DATES:</HD> This agreement will be effective on October 1, 2024, superseding the existing VISA agreement, as published in the <E T="04">Federal Register</E> on October 29, 2014 (79 FR 64462-70) and renewed on September 30, 2019 (84 FR 51710-11). </DATES> <FURINF> <HD SOURCE="HED">FOR FURTHER INFORMATION CONTACT:</HD> David J. Hatcher, Office of Sealift Support, Room W25-310, Maritime Administration, 1200 New Jersey Avenue SE, Washington, DC 20590, (202) 366-0688, Fax (202) 366-5904. </FURINF> <SUPLINF> <HD SOURCE="HED">SUPPLEMENTARY INFORMATION:</HD> Section 708 of the Defense Production Act of 1950, as amended (50 U.S.C. 4558) (DPA Sec. 708), authorizes the President to consult with representatives of industry, business, finance, agriculture, labor, and other interests to establish voluntary emergency preparedness agreements, following a finding that conditions exist which may pose a direct threat to the national defense or its preparedness programs. It further authorizes the President to delegate that authority to individuals who are appointed by and with the advice and consent of the Senate, upon the condition that such individuals obtain the prior approval of the Attorney General after the Attorney General's consultation with the Federal Trade Commission (FTC). Section 401 of Executive Order (E.O.) 13603 (Mar. 16, 2012) delegated this authority of the President to the Secretary of Transportation (SecTrans), among others. In accordance with 49 CFR 1.93(l), SecTrans delegated VISA's sponsorship authority to the Maritime Administrator, in consultation and coordination with the DOT's Office of Intelligence, Security and Emergency Response. Through advance arrangements in joint planning, VISA participants will provide capacity to support a significant portion of surge and sustainment requirements in the deployment of U.S. military forces during a time of war or national emergency, or whenever the Secretary of Defense (or delegate) determines that it is necessary for national security or contingency operations. The text of VISA was first published in the <E T="04">Federal Register</E> on February 13, 1997, effective for an initial two-year term expiring on February 13, 1999 (62 FR 6838-46). The VISA document had been extended and subsequently published in the <E T="04">Federal Register</E> every two years. Effective September 30, 2009, Congress amended DPA Sec. 708 to note that each voluntary agreement expires five (5) years after the date it becomes effective. MARAD updated the VISA agreement language most recently in 2014, as published in the <E T="04">Federal Register</E> on October 29, 2014 (79 FR 64462-70), and extended the effective period of that language by five years until October 1, 2024, by notice in the <E T="04">Federal Register</E> on September 30, 2019 (84 FR 51710-11). The agreement published in this notice incorporates, among other changes: (1) updates to vessel eligibility requirements, as first published in the <E T="04">Federal Register</E> on January 31, 2018 (83 FR 4552-54); (2) changes to the requirements for coastwise trading waivers under 46 U.S.C. 501, pursuant to statutory amendments enacted in 2021 and 2022; (3) clarifications of certain definitions and obligations on VISA stakeholders; and (4) certain non-substantive clerical updates. In accordance with DPA Sec. 708(f)(2), the Maritime Administrator continues to find that VISA is necessary to respond to direct threats to the national defense or its preparedness programs, and sought a concurrent finding from the Assistant Attorney General for the Antitrust Division, Department of Justice (whose authority has been delegated from the Attorney General in accordance with 28 CFR 0.40(l)), in consultation with the Chair of the Federal Trade Commission, that the objectives of VISA may not be reasonably achieved through either a voluntary plan having fewer anticompetitive effects or the absence of such a voluntary agreement or plan of action. By notice in the <E T="04">Federal Register</E> on October 2, 2024 (89 FR 80264-65), the Assistant Attorney General for the Antitrust Division, Department of Justice, in consultation with the Chair of the Federal Trade Commission, made such a concurrent finding on September 26, 2024. Therefore, in accordance with DPA Sec. 708(f)(2), VISA may be extended for another five-year term. The text published herein supersedes the 2014 language, as renewed in 2019, for an effective period of five years, ending October 1, 2029. Copies of this agreement will be made available to the public upon request. <HD SOURCE="HD1">Voluntary Intermodal Sealift Agreement (VISA)</HD> <HD SOURCE="HD1">Table of Contents</HD> <EXTRACT> <FP SOURCE="FP-2">Definitions</FP> <FP SOURCE="FP-2">Preface</FP> <FP SOURCE="FP-2">I. Purpose</FP> <FP SOURCE="FP-2">II. Authorities</FP> <FP SOURCE="FP1-2">A. MARAD</FP> <FP SOURCE="FP1-2">B. USTRANSCOM</FP> <FP SOURCE="FP-2">III. General</FP> <FP SOURCE="FP1-2">A. Concept</FP> <FP SOURCE="FP1-2"> B. Responsibilities </FP> <FP SOURCE="FP1-2">C. Termination of Charter, Leases and Other Contractual Arrangements</FP> <FP SOURCE="FP1-2">D. Modification/Amendment of This Agreement</FP> <FP SOURCE="FP1-2">E. Administrative Expenses</FP> <FP SOURCE="FP1-2">F. Record Keeping</FP> <FP SOURCE="FP1-2">G. MARAD Reporting Requirements</FP> <FP SOURCE="FP-2">IV. Joint Planning Advisory Group (JPAG)</FP> <FP SOURCE="FP-2">V. Activation of VISA Contingency Provisions</FP> <FP SOURCE="FP1-2">A. General</FP> <FP SOURCE="FP1-2">B. Notification of Activation</FP> <FP SOURCE="FP1-2">C. Voluntary Capacity</FP> <FP SOURCE="FP1-2">D. Stage I</FP> <FP SOURCE="FP1-2">E. Stage II</FP> <FP SOURCE="FP1-2">F. Stage III</FP> <FP SOURCE="FP1-2">G. Partial Activation</FP> <FP SOURCE="FP-2">VI. Participant Terms and Conditions</FP> <FP SOURCE="FP1-2">A. Participation</FP> <FP SOURCE="FP1-2">B. Agreement of Participant</FP> <FP SOURCE="FP1-2">C. Effective Date and Duration of Agreement</FP> <FP SOURCE="FP1-2">D. Participant Termination of VISA</FP> <FP SOURCE="FP1-2">E. Carrier Coordination Agreements</FP> <FP SOURCE="FP1-2">F. Vessel Qualifications</FP> <FP SOURCE="FP1-2">G. Enrollment of Intermodal Capacity—Vessels, Facilities, and Equipment</FP> <FP SOURCE="FP1-2">H. War Risk Insurance</FP> <FP SOURCE="FP1-2">I. Antitrust Defense</FP> <FP SOURCE="FP1-2">J. Breach of Contract Defense</FP> <FP SOURCE="FP1-2">K. Vessel Sharing Agreements</FP> <FP SOURCE="FP-2">VII. Application and Agreement</FP> </EXTRACT> <HD SOURCE="HD1">Abbreviations</HD> <EXTRACT> <FP SOURCE="FP-1">CCA—Carrier Coordination Agreement</FP> <FP SOURCE="FP-1">CFR—Code of Federal Regulations</FP> <FP SOURCE="FP-1">CONOPS—Concept of Operations</FP> <FP SOURCE="FP-1">DoD—United States Department of Defense</FP> <FP SOURCE="FP-1">DOJ—United States Department of Justice</FP> <FP SOURCE="FP-1">DOT—United States Department of Transportation</FP> <FP SOURCE="FP-1">DPA—Defense Production Act of 1950, as amended (50 U.S.C. Chapter 55)</FP> <FP SOURCE="FP-1">E.O.-Executive Order</FP> <FP SOURCE="FP-1">FEMA—Federal Emergency Management Agency</FP> <FP SOURCE="FP-1">FMC—Federal Maritime Commission</FP> <FP SOURCE="FP-1">FOIA—Freedom of Information Act (5 U.S.C. 552)</FP> <FP SOURCE="FP-1">FTC—Federal Trade Commission</FP> <FP SOURCE="FP-1">JCS—Joint Chiefs of Staff</FP> <FP SOURCE="FP-1">JPAG—Joint Planning Advisory Group</FP> <FP SOURCE="FP-1">MARAD—Maritime Administration</FP> <FP SOURCE="FP-1">MSP—Maritime Security Program (46 U.S.C. 53101-11)</FP> <FP SOURCE="FP-1">SecDef—United States Secretary of Defense</FP> <FP SOURCE="FP-1">SecTrans—United States Secretary of Transportation</FP> <FP SOURCE="FP-1">U.S.C.—United States Code</FP> <FP SOURCE="FP-1">USCG—United States Coast Guard</FP> <FP SOURCE="FP-1">USTRANSCOM—United States Transportation Command, inclusive of its military service component commands Air Mobility Command, Military Sealift Command, and Military Surface Deployment and Distribution Command, and its subordinate command Joint Enabling Capabilities Command</FP> <FP SOURCE="FP-1">VISA—Voluntary Intermodal Sealift Agreement</FP> <FP SOURCE="FP-1">VSA—Vessel Sharing Agreement</FP> </EXTRACT> <HD SOURCE="HD1">Definitions</HD> For purposes of this Agreement, the following definitions apply: <EXTRACT> <FP SOURCE="FP-1">Administrator—Maritime Administrator, unless otherwise stipulated.</FP> <FP SOURCE="FP-1">Agreement—Agreement (proper noun) refers to VISA.</FP> <FP SOURCE="FP-1">Attorney Gen ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Preview showing 10k of 60k characters. 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