ment notifying the contractor of the audit findings, interpretations, or decisions of the appropriate Coast Director's office. However, the Maritime Administrator may, at his discretion, extend this limitation in the case of extenuating circumstances.

(b) The appellant will be notified, in writing, if a hearing is to be held or if additional facts are to be submitted for consideration in connection with the appeal.

(c) After a decision has been rendered by the Maritime Administrator, the appellant will be notified accordingly, in writing.

§ 205.4 Finality of decisions.

A decision of the Maritime Administrator shall be final on all questions of fact involved in the appeal, unless determined by a court of competent jurisdiction to have been fraudulent, capricious, arbitrary, so grossly erroneous as necessarily to imply bad faith, or not supported by substantial evidence.

CONTRACTS WITH DISPUTES ARTICLE § 205.5 Contracts containing disputes article.

Where the contract contains a disputes article the contractor may dispute audit findings, interpretations, or decisions made by the Maritime Administration pursuant to the provisions of said contract and the decision on such dispute and any appeal therefrom shall be governed by the terms of the disputes article of the contract.

Subpart A-Charges for Statistical or Economic Data

AUTHORITY: The provisions of this Subpart A issued under secs. 3, 204, 49 Stat. 293, as amended, 1987, as amended; 15 U.S.C. 192, 46 U.S.C. 1114. Interpret or apply sec. 1, 40 Stat. 1256, as amended, sec. 1, 49 Stat. 292; 15 U.S.C. 192, 189a.

SOURCE: The provisions of this Subpart A contained in General Order 85, 23 F.R. 2640, Apr. 22, 1958, as amended by Amdt. 1, 27 F.R. 12189, Dec. 8, 1962, unless otherwise noted.

The basic statistical data required by the Martime Subsidy Board in considering applications for operating-differential subsidy under Title VI, Merchant Marine Act, 1936, as amended, include:

(a) For each year of a given 5-year period, the outbound and inbound liner and non-liner cargo, broken down into commercial and military, carried by applicant on each service for which subsidy is sought;

(b) For each year of a given 5-year period, outbound and inbound liner and non-liner cargo, broken down between commercial and military, showing United States-flag and foreign-flag carryings for areas and countries covered by each service for which subsidy is requested;

(c) For a single year, usually the last complete year before the hearing, typical outbound and inbound itineraries and vessel types employed by each United States-flag and foreign-flag line serving countries on the service for which subsidy is sought; and

(d) For each year of a given 5-year period, number of sailings per annum by each United States-flag line and by all foreign-flag lines serving countries on the service for which subsidy is sought.

(a) To recover the cost to the Federal Government of statistical or economic data furnished within the purview of § 206.3, including the direct and indirect costs thereof, the Maritime Administration will make a charge of:

$6.00 per hour for regular time, and $9.00 per hour for overtime,

for each employee's time required to produce the information.

(b) Although the rates set forth in paragraph (a) of this section apply specifically to data for use in connection with applications for operating-differential subsidy, the same hourly rates will be charged for other types of statistical or economic data requested, which are determined by the Maritime Administration to provide a special benefit to the recipient.

(a) Applicants desiring statistical or economic data should submit a formal written request therefor to the Maritime Administrator. If the data requested are determined by the Maritime Subsidy Board/Maritime Administration to provide a special benefit to the recipient, the project will be undertaken, at the discretion of the Maritime Administrator or his designee, on the basis of the nature and scope of the work, its estimated cost, availability of personnel and other services, and other pertinent information.

(b) Upon approval of the project, the applicant will be requested to make payment in advance in the amount of the estimated cost of the work, based on the charges set forth in § 206.4.

(c) Cost estimates of $500 or less will be established as fixed fees. Such fixed

fees will be kept as close to the actual cost as possible.

(d) Cost estimates of more than $500 shall be subject to revision as the work progresses, to reflect actual costs. If the advance payment is insufficient to cover the actual cost, the applicant will be required to make such additional payment as may be required before the project is completed. Conversely, if the advance payment is more than the actual cost, the difference will be refunded to the applicant.

Subpart B-Charges for Copies of Regulations

AUTHORITY: The provisions of this Subpart B issued under sec. 1, 49 Stat. 292, sec. 1. 49 Stat. 1335, sec. 204, 49 Stat. 1987, sec. 501, 65 Stat. 290, 56 Stat. 1067; 15 U.S.C. 189a, 189, 46 U.S.C. 1114, 5 U.S.C. 140, 606.

SOURCE: The provisions of this Subpart B contained in G.O. 91, 27 F.R. 1169, Feb. 8. 1962. Redesignated at 29 F.R. 1471, Jan. 29, 1964.

§ 206.10 Mailing list.

Persons may be placed on the mailing list to receive copies of the General Orders issued by the Maritime Administration and/or the Maritime Subsidy Board, and National Shipping Authority orders (32A CFR Ch. XVIII), upon request, written or oral, to the Secretary, Maritime Administration, Washington, D.C., 20235. The charge for this service is $10.00 per calendar year.

§ 206.11 Individual copies of orders.

Single copies of the orders referred to in § 206.310 may be obtained, upon request, written or oral, to the Secretary, Maritime Administration, Washington, D.C., 20235, at a cost of 25 cents each. Subpart C-Applications for Sale of Subsidized Vessel

(a) Applications by owners for the sale of subsidized vessels to a private party where appraisal is made for the Maritime Administration by an independent vessel appraiser shall be filed with the Secretary, Maritime Subsidy Board, Washington, D.C., 20235.

(b) Fee. Each such application shall be accompanied by the sum of $400, which sum will be retained to recover the cost of processing the application. (Sec. 4, 5 U.S.C. 1003) [G.O. 105, 31 F.R. 3397, Mar. 4, 1966]

221.14

221.13 Uniform Bareboat Charter of a Government-owned dry-cargo vessel under section 705 of the Merchant Marine Act, 1936, as amended, "Form No. 705". Charges for processing applications for the approval required by sections 9 and 37, Shipping Act, 1916, as amended, or by Maritime Administration contracts covering foreign-flag vessels under the concontractual control of the Maritime Administration. Fee for processing applications for approval of surrender of marine documents of vessels under sec. 30, subsection O(a), Merchant Marine Act, 1920, as amended.

221.15

§ 221.4 Approval of certain transactions covered by sec. 37, Shipping Act, 1916, as amended.

Subject to the exceptions stated in § 221.6, the Department of Commerce, Maritime Administration, hereby grants the approval required by section 37 of the Shipping Act, 1916, as amended (40 Stat. 901; 46 U.S.C. 835), to the following transactions:

(a) The sale, mortgage, lease, charter, delivery, or transfer and agreement for the sale, mortgage, lease, charter, delivery or transfer to any person not a citizen of the United States of vessels as defined in § 221.5, or of any interest therein, owned in whole or in part by any person a citizen of the United States, or by a corporation organized under the laws of the United States, or of any State, Territory, District, or Possession thereof, and which are not documented under the laws of the United States, or the last documentation of which was not under the laws of the United States;

(b) The transfer to, or placing under, any foreign registry or flag of any such vessel;

(c) The entrance into any contract, agreement, or understanding to construct such vessel within the United States for, or to be delivered to, a person not a citizen of the United States;

(d) The making of agreements or the effecting of understandings whereby there is vested in or for the benefit of any person not a citizen of the United States, the controlling interest or the majority of the voting power in a corporation which is organized under the laws of the United States or any State, Territory, District, or Possession thereof, and which owns such a vessel and which transaction is not otherwise subject to the provisions of section 37 of the Shipping Act, 1916, as amended; and

(e) The departure from any port of the United States of any vessel which was constructed in whole or in part within the United States, has not been documented under the laws of the United States, and has never cleared for any foreign port.

[G.O. 58, 4th Rev., 28 F.R. 11823, Nov. 6, 1963]

§ 221.5 Types of vessels approved by § 221.4.

The following types of vessels are approved by § 221.4: Undocumented vessels designed and fabricated specifically for recreational or commercial use, whether constructed or to be constructed when possessing all of the following characteristics:

(a) Having an overall length of 65 feet or less;

(b) Designed or equipped for propulsion by an engine or engines of the reciprocating type, totalling 600 horsepower (manufacturer's rated horsepower) or

less;

(c) Designed for a full load displacement of less than 45 tons (For the purposes of this Order, it will be presumed that a vessel of less than 55 feet in length will have a displacement less than 45 tons. For vessels between 55 feet and 65 feet in length, the owner must supply to the local Customs inspector at the port of departure (1) a certificate of the builder as to the displacement tonnage of the vessel, or (2) a certificate of a naval architect as to the displacement tonnage of the vessel, or (3) a certificate of the owner as to the key dimensions of the vessel (length, beam and draft));

(d) Not of hydrofoil design;

(e) Not equipped with any navigational apparatus of the kinds or types requiring a validated license from the Bureau of International Commerce; and

(f) Not equipped with any munitions items of the kinds or types requiring a validated license from the State Department.

[G.O. 58, 4th Rev., 28 F.R. 11823, Nov. 6, 1963] § 221.6 Exceptions to approvals granted by SS 221.4 and 221.5.

Approval granted by and defined in §§ 221.4 and 221.5 shall not apply to any transactions involving nationals of Country Group countries X, Y, and Z hereinafter named, whether residing in the United States or in foreign countries, or any person not a citizen of the United States residing in any such country, or to vessels exported to destinations within such countries. Country Group X countries are: Hong Kong and Macao; Country Group Y countries are: Albania, Bulgaria, Czechoslovakia, East Germany (Soviet Zone of Germany and the Soviet Sector of Berlin), Estonia, Hungary, Latvia, Lithuania, Outer Mongolia, and the Union of Soviet Socialist Republics;

Country Group Z countries are: China, including Manchuria (and excluding Taiwan (Formosa) (includes Inner Mongolia; the provinces of Tsinghai and Sikang; Sinkiang; Tibet; the former Kwantung Leased Territory, the present Port Arthur Naval Base Area and Liaoning Province), North Korea, Communist-controlled area of Viet Nam, and

Cuba.

[G.O. 58, 4th Rev., Amdt. 1, 31 F.R. 10642, Aug. 10, 1966]

§ 221.7

Approval of charters of certain Ivessels to aliens.

(a) The Department of Commerce, Maritime Administration, hereby approves under sections 9 and 37 of the Shipping Act, 1916, as amended (52 Stat. 964; 40 Stat. 901; 46 U.S.C. 808 and 835) the charter to a person not a citizen of the United States of any vessel (including space in such vessel) documented under the laws of the United States, or the last documentation of which was under the laws of the United States, or owned in whole or in part by any person a citizen of the United States, or by a corporation organized under the laws of the United States or of any State, Territory, District or possession thereof, for a period of not more than six (6) months, or for a voyage or voyages the duration of which will probably not exceed six (6) months, except:

(1) Demise or bareboat charters.

(2) For the carriage of cargoes of any kind to or from the Soviet Union, Latvia, Lithuania, Estonia, Poland, Czechoslovakia, Hungary, Rumania Bulgaria, Albania, North Korea, the Soviet Zone of Germany, Manchuria, Communist China, the Communist-controlled area of Viet Nam, or Cuba.

(3) For use in the fisheries.

(b) A copy of any such charter, as executed, which is approved by this Section shall be filed with the Secretary of the Maritime Administration as soon as may be practicable, but in any event not later than twenty (20) days after the beginning of the charter period or within such further time as may be permitted by the Maritime Administration.

(c) When any charter, subcharter, contract of affreightment, lease or contract for the chartering of space with a non-citizen declares, states or provides that the duration thereof is to be, or may be, for a period in excess of six (6) months, such charter, subcharter, contract of affreightment, lease or contract,

shall be deemed to be for the entire period of time specifically declared therein, notwithstanding the inclusion of a special provision or provisions therein that the period of the duration in excess of six (6) month is to be subject to the approval of the Maritime Administration, or the inclusion therein of a provision permitting the substitution of another vessel other than a vessel of United States registry. To become effective such charter, subcharter, contract of affreightment, lease or contract will require the prior approval of the Maritime Administration prior to the date of the commencement of the first six (6) months.

(d) The duration or period of time of any new charter, lease or contract with the same non-citizen charterer, or with any non-citizen charterer, which is an affiliate, or associate, or subsidiary, or related company, or holding company of the original non-citizen charterer, covering the same vessel and entered into and executed within thirty (30) days after the termination of any charter, lease or contract or consecutive voyages, approval to which is granted by the blanket approval provided for hereinabove, is to be added to the duration or period of time covered by the previous charter, lease or contract, and, if the duration of the two charters, leases or contracts, when added together, cover a period in excess of six (6) months, such new charter, lease or contract shall be construed as a renewal or extension of the old charter, lease or contract and I will require the prior approval of the Maritime Administration before it can become effective, notwithstanding the inclusion in said new charter, lease or contract of a provision permitting the substitution of another vessel other than a vessel of United States registry. [G.O. 59, 2d Rev., 22 F.R. 2910, Apr. 25, 1957, as amended by G.O. 59, 2d Rev., Amdt. 1, 25 F.R. 10270, Oct. 26, 1960]

Act, 1916, as amended (sec. 4, 40 Stat. 902; 46 U.S.C. 838), a declaration or declarations as prescribed by this § 221.11.

(a) Form MA-4557 and, in connection therewith when appropriate, Form MA4557-A shall be filed by a corporation; Form MA-4558 shall be filed by an individual; Form MA-4559 shall be filed by a partner, joint owner, or member of copartnership or unincorporated company or association; Form MA-4560 and, in connection therewith when appropriate, Form MA-4560-A shall be filed by a mutual insurance company; Form MA4561 shall be filed by a mutual savings bank; Form MA-4562 shall be filed by a corporation within the purview of Public Law 85-902 (72 Stat. 1736); and Form MA-4563 shall be filed by a trustee to whom a mortgage of a vessel is given (but not in substitution for any other declaration required to be filed under this section).

(b) Forms MA-4557, MA-4557-A, MA4558, and MA-4559 for execution by the respective parties indicated shall read as follows:

(Give cause of surrender) that I am a citizen of the United States of America by birth, having been born at

on

(City) (State) (Date of birth) (or) by naturalization before the for

(Name of Court) (District, County, or State) having been issued

on

(Date naturalized)

Naturalization Certificate No.

that the president or other chief executive officer and chairman of the board and all

See footnotes on page 36.