article: SECTION 1. SHORT TITLE. This Act may be cited as the ``Maritime Administration Authorization Act for Fiscal Years 2000 and 2001''. SEC. 2. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEARS 2000 AND 2001. Funds are hereby authorized to be appropriated, as Appropriations Acts may provide, for the use of the Department of Transportation for the Maritime Administration as follows: (1) For expenses necessary for operations and training activities, not to exceed $72,164,000 for the fiscal year ending September 30, 2000. (2) For the costs, as defined in section 502 of the Federal Credit Reform Act of 1990, of guaranteed loans authorized by title XI of the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 1271 et seq.), $6,000,000, to be available until expended. In addition, for administrative expenses related to loan guarantee commitments under title XI of the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 1271 et seq.), $3,893,000. (3) For the fiscal year ending September 30, 2001, such sums as may be necessary. SEC. 3. AMENDMENTS TO TITLE XI OF THE MERCHANT MARINE ACT, 1936. (a) Section 1108(a) of the Merchant Marine Act, 1936 (46 App. U.S.C. 1279a(a)) is amended by striking the language preceding the proviso and inserting in its place the following: ``(a) Creation.--If the proceeds of an obligation guaranteed under this title are to be used to finance the construction, reconstruction, or reconditioning of a vessel or vessels which will serve as security for the guarantee of the Secretary, the Secretary is authorized to accept and hold, in escrow under an escrow agreement with the obligor, proceeds of that obligation (together with such interest as may be earned thereon and, if required by the Secretary, an amount equal to 6 month's interest on the obligation). The Secretary may not release funds from the escrow until the Secretary first determines that the obligor has paid its portion of the actual cost of constructing, reconstructing, or reconditioning the vessel or vessels and, second, determines that the funds to be released are needed to pay, or make reimbursements in connection with payments previously made to the shipyard or other contractors for work performed, or to pay for other approved costs, with respect to the vessel or vessels.''. (b) Title XI of the Merchant Marine Act, 1936, is amended by inserting immediately after section 1108, the following new section: ``SEC. 1109. RESERVE FUNDS AND COLLATERAL ACCOUNTS. ``(a) Creation of Funds and Accounts.--There is hereby established in the Treasury a deposit fund into which the Secretary is authorized to deposit cash belonging to an obligor so long as the Secretary has a security interest in such cash. The account shall be governed by the terms of an agreement, as described hereunder, to be entered into by the Secretary and an obligor. ``(b) Terms of Agreement.--The Secretary and an obligor shall enter into a reserve fund or other collateral account agreement to govern the making of deposits and withdrawals and the retention, use, and reinvestment of the cash deposited under subsection (a) above. The agreement shall contain such terms and conditions as are further required hereunder and as are considered by the Secretary to be necessary to protect fully the interests of the United States. ``(c) Investment.--The Secretary is authorized to invest and reinvest any part of the cash of a reserve fund or collateral account in obligations of the United States with such maturities that these funds and accounts will be available as required for purposes of the agreement. Cash balances of the deposit fund in excess of current requirements shall be maintained in a form of uninvested funds and the Secretary of the Treasury shall pay interest on these funds. ``(d) Income.--The cash deposited in a reserve fund or collateral account may not be withdrawn without the consent of the Secretary. The Secretary may retain and offset any or all of the cash on deposit in a reserve fund or collateral account, and any income realized thereon, as part of the Secretary's recovery against an obligor that has defaulted on an obligation. In the absence of a default on an obligation, the Secretary may pay any income realized on a reserve fund or collateral account in accordance with the terms of the agreement.''. SEC. 4. AMENDMENTS TO TITLE IX OF THE MERCHANT MARINE ACT, 1936. (a) Title IX of the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 101 et seq.) is amended by adding immediately after section 902 the following new section: ``SEC. 903. DOCUMENTATION OF CERTAIN DRY CARGO VESSELS. ``The restrictions of section 901(b)(1) of this Act concerning the building, rebuilding, or documentation of a vessel in a foreign country shall not apply to dry bulk vessels and breakbulk vessels over 5,000 deadweight tons and constructed, reconstructed, or acquired in a foreign shipyard within one year of the date of enactment of this section and prior to enactment of the OECD Shipbuilding Trade Agreement Act, whichever occurs earlier, and have transferred to United States flag registry under section 12105 of title 46, United States Code, except that (1) such vessels have nonemergency shipyard repairs, and other shipyard work necessary to conform the vessel to United States flag standards, performed in a shipyard of the United States, (2) such vessels comply with the standards set forth in section 1137 of the Coast Guard Authorization Act of 1996 (46 App. U.S.C. 1187 note), (3) such vessels shall not be granted approval under section 9(e) of the Shipping Act, 1916, as amended on October 19, 1996, and (4) the provisions of section 607 of this Act shall not apply to vessels constructed, reconstructed, modified, or acquired pursuant to this section.''. (b) Section 901b(c)(2) of the Merchant Marine Act, 1936, as amended (46 U.S.C. App. 1241f(c)(2)) is amended by striking ``1986.'' and inserting ``1986, the 18-month period commencing April 1, 1999, and the 12-month period beginning on the first day of October in the year 2000 and each year thereafter.''. SEC. 5. EXTENSION OF WAR RISK INSURANCE AUTHORITY. Section 1214 of the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 1294) is amended by striking ``June 30, 2000'' and inserting ``June 30, 2005''. SEC. 6. TRANSPORTATION REPORT ON MARITIME ACTIVITIES. Section 208 of the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 1118) is amended by-- (1) striking ``and the Secretary of Transportation shall''; and (2) inserting ``and the Secretary of Transportation, by April 1 of each odd-numbered year, shall'' before ``make''. SEC. 7. OWNERSHIP OF THE JEREMIAH O'BRIEN. Section 3302 of title 46, United States Code, is amended by striking ``owned by the United States Maritime Administration'' and inserting in lieu thereof ``owned by the National Liberty Ship Memorial, Inc.''.
summary: (Sec. 3) Amends the Merchant Marine Act, 1936 to revise loan guarantee escrow fund provisions. Establishes a Treasury fund to hold related collateral, and provides for Secretary-obligor reserve funds. (Sec. 4) Exempts certain foreign-origin dry bulk and breakbulk cargo vessels that have transferred to United States flag registry from the three-year restriction on carrying U.S.- procured, furnished, or financially supported cargo (including agricultural cargo) (Sec. 5) Extends war risk insurance authority. (Sec. 6) Reduces specified United States Maritime Administration reporting requirements. (Sec. 7) Amends Federal law to state that ownership the vessel "Jeremiah O'Brien" shall belong to the National Liberty Ship Memorial, Inc., rather than the United States Maritime Administration.