[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3151 Introduced in House (IH)]

<DOC>






119th CONGRESS
  1st Session
                                H. R. 3151

  To support the national defense and economic security of the United 
States by supporting vessels, ports, and shipyards of the United States 
                    and the U.S. maritime workforce.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 1, 2025

Mr. Kelly of Mississippi (for himself, Mr. Garamendi, Mr. Wittman, Mr. 
   Norcross, Mr. Higgins of Louisiana, Mr. Khanna, Ms. Elfreth, Mr. 
  DesJarlais, Mr. McCormick, Mr. Krishnamoorthi, Mr. Rutherford, Mr. 
Gooden, Mr. LaLota, Ms. Pingree, Ms. Hoyle of Oregon, Mr. Messmer, Mr. 
   Haridopolos, Mrs. Kiggans of Virginia, Mr. Fields, Mr. Carter of 
   Louisiana, Mr. Deluzio, Mr. Moskowitz, Mr. Bera, Ms. Scanlon, Mr. 
Harrigan, Mr. Golden of Maine, Mr. Bergman, Mr. Fallon, Mr. Van Orden, 
   Mr. Wied, Ms. Tokuda, Mr. Moore of Alabama, Mr. Fitzpatrick, Ms. 
 Scholten, Mr. Moore of North Carolina, Mr. Strong, Mr. Luttrell, and 
  Mr. Zinke) introduced the following bill; which was referred to the 
   Committee on Armed Services, and in addition to the Committees on 
Transportation and Infrastructure, Ways and Means, Energy and Commerce, 
    Foreign Affairs, Oversight and Government Reform, Education and 
   Workforce, Financial Services, the Judiciary, Natural Resources, 
Science, Space, and Technology, and Veterans' Affairs, for a period to 
      be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the 
                          committee concerned

_______________________________________________________________________

                                 A BILL


 
  To support the national defense and economic security of the United 
States by supporting vessels, ports, and shipyards of the United States 
                    and the U.S. maritime workforce.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Shipbuilding and 
Harbor Infrastructure for Prosperity and Security for America Act of 
2025'' or the ``SHIPS for America Act of 2025''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Sense of Congress.
Sec. 4. Definitions.
                 TITLE I--OVERSIGHT AND ACCOUNTABILITY

Sec. 101. Maritime Security Advisor; Maritime Security Board.
Sec. 102. Maritime Transportation System National Advisory Committee.
Sec. 103. Direct hire authority; Authorization for administrative 
                            expenses.
Sec. 104. Implementation plan.
Sec. 105. Federal Maritime Commission report on vessels of the United 
                            States.
                 TITLE II--MARITIME SECURITY TRUST FUND

Sec. 201. Maritime Security Trust Fund established.
Sec. 202. Regular tonnage taxes.
Sec. 203. Presidential suspension of tonnage taxes and light money.
                     TITLE III--SEALIFT CAPABILITY

Sec. 301. Sealift capability.
Sec. 302. National Freight Strategic Plan.
Sec. 303. Foreign shipping practices; controlled carriers.
    TITLE IV--VESSELS OF THE UNITED STATES IN INTERNATIONAL COMMERCE

                 Subtitle A--Strategic Sealift Programs

Sec. 401. Strategic Commercial Fleet.
Sec. 402. Fleet testing and briefing requirement.
Sec. 403. Assessment of undersea cable repair contingencies.
Sec. 404. Modification to duties relating to equipment and repair of 
                            vessels.
                      Subtitle B--Cargo Preference

Sec. 411. United States Government cargo.
Sec. 412. Cargo preference implementation regulations.
Sec. 413. Cargo preference oversight and audit.
Sec. 414. Financing the transportation of agricultural products and 
                            other cargo.
Sec. 415. Importation from China on American ships.
Sec. 416. Priority for vessels of the United States.
Sec. 417. Moving cargo on vessels of the United States.
Sec. 418. Transportation requirements for certain exports sponsored by 
                            the Secretary of Agriculture.
Sec. 419. Clarifying amendments.
Sec. 420. Energizing American shipbuilding.
Sec. 421. Goods imported on vessels of the United States.
Sec. 422. Ship America Office.
                     Subtitle C--Regulatory Reform

Sec. 431. Alternate standards.
Sec. 432. Rulemaking committee on commercial maritime regulations and 
                            standards.
Sec. 433. Amendments to Shipowners' Limitation of Liability Act of 
                            1851.
                         TITLE V--SHIPBUILDING

             Subtitle A--Shipbuilding Financial Incentives

Sec. 501. Shipbuilding financial incentives.
Sec. 502. Assistance for small shipyards.
Sec. 503. Federal Ship Financing (title XI) Program.
Sec. 504. Construction Reserve Fund.
Sec. 505. Capital Construction Fund.
Sec. 506. Anticipated commercial vessel construction survey.
Sec. 507. Streamlined environmental review.
Sec. 508. Eligibility for loan guarantees.
Sec. 509. Reports.
Sec. 510. Export control report.
               Subtitle B--Department of Defense Programs

Sec. 511. Assessment of the use of commercial best practices for Navy 
                            shipbuilding.
Sec. 512. Plan of action for use of Defense Production Act of 1950 
                            authorities.
Sec. 513. Military Sealift Command.
         Subtitle C--Shipbuilding Innovation and Infrastructure

Sec. 521. United States Center for Maritime Innovation.
Sec. 522. National Shipbuilding Research Program.
Sec. 523. Assessment on maritime infrastructure readiness.
                    TITLE VI--WORKFORCE DEVELOPMENT

                    Subtitle A--Workforce Incentives

Sec. 601. Public service loan forgiveness for Merchant Marines.
Sec. 602. Eligibility for educational assistance.
Sec. 603. Eligibility of mariners to attend Naval Postgraduate School.
Sec. 604. Reimbursement of qualifying spouse relicensing costs and 
                            business costs.
Sec. 605. Noncompetitive eligibility for Federal employment.
Sec. 606. United States Merchant Marine Career Retention Program.
                     Subtitle B--Workforce Pipeline

Sec. 611. Maritime workforce promotion and recruitment.
Sec. 612. Centers of Excellence for Domestic Maritime Workforce 
                            Training and Education.
Sec. 613. Maritime Career and Technical Education Advisory Committee.
Sec. 614. Military candidates to Mariner Careers Recruitment Exchange.
Sec. 615. Maritime worker data collection.
Sec. 616. Military to maritime transition.
Sec. 617. Early maritime education and youth involvement.
Sec. 618. International scholarship for mariner and naval architecture 
                            exchanges.
 Subtitle C--United States Merchant Marine Academy and State Maritime 
                               Academies

Sec. 621. Authorization of appropriations for United States Merchant 
                            Marine Academy infrastructure and 
                            facilities modernization.
Sec. 622. United States Merchant Marine Academy.
Sec. 623. Retirement service credit for service as a midshipman at the 
                            United States Merchant Marine Academy.
Sec. 624. State maritime academies.
Sec. 625. Enforcement of service obligation requirements.
Sec. 626. Fuel funding for training ships operated by State maritime 
                            academies.
Sec. 627. State Maritime Academy Sea Term Scholarship Programs.
Sec. 628. Naval joint exercise involvement for training ships operated 
                            by State maritime academies.
            Subtitle D--Maritime Credentialing Modernization

Sec. 631. Merchant mariner credentialing modernization.
Sec. 632. Revising merchant mariner deck training requirements.
Sec. 633. Inspections for transportation security.
Sec. 634. Renewal of merchant mariner licenses and documents.
Sec. 635. Merchant seamen licenses, certificates, and documents; 
                            manning of vessels.
Sec. 636. Reactivation of expired license.
       TITLE VII--AMENDMENTS TO THE INTERNAL REVENUE CODE OF 1986

Sec. 701. United States Vessel Investment credit.
Sec. 702. Certain payments for maritime security excluded from gross 
                            income.
Sec. 703. Elimination of 30-day limitation on domestic operations.
Sec. 704. Qualifying shipping activities.
Sec. 705. Qualifying vessel.
Sec. 706. Credit for construction of shipyard facilities.
Sec. 707. Tax incentives relating to merchant marine capital 
                            construction funds.
Sec. 708. Exemption of student incentive payment agreements from gross 
                            income.
Sec. 709. Maritime fuel tax parity.
Sec. 710. Treatment of maritime prosperity zones as opportunity zones.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Strategic sealift, made up of Government and commercial 
        vessels and mariners, is a critical capability for executing 
        the maritime defense strategy and the wartime and peacetime 
        economy of the United States.
            (2) Ensuring a modern and ready capability will require 
        significant investment, policy prioritization, and the 
        innovation of the people of the United States.
            (3) The worldwide ocean economy is worth between 
        $3,000,000,000,000 and $6,000,000,000,000, according to the 
        United Nations Conference on Trade and Development. Yet, 
        vessels of the United States carry less than 2 percent of 
        United States international commercial cargoes by weight.
            (4) The United States has fewer than 200 oceangoing vessels 
        of the United States, of which only approximately 80 vessels 
        participate in international commerce, compared with more than 
        5,500 Chinese documented vessels.
            (5) Bracketed by the Atlantic, Pacific, and Arctic oceans, 
        the prosperity and security of the United States has always 
        been tied to its position as a maritime Nation. Throughout 
        human history, the strength of maritime nations has been 
        directly tied to the strength of their maritime industry. The 
        United States won two world wars on the back of a strong 
        maritime industry.
            (6) Decades of apathy by the United States Government has 
        harmed our strategically important maritime industry. Our 
        weakened shipbuilding capacity, undersized maritime workforce, 
        and shrinking fleet of shipping vessels means the United States 
        relies on other nations to conduct international commerce and 
        lacks the strategic sealift to support the United States 
        military during wartime.
            (7) Today, there are just 20 shipbuilders in the United 
        States capable of building oceangoing vessels--down from more 
        than 80 at the end of the Second World War.
            (8) During World War II, the United States Merchant Marine 
        powered the Allies to victory with more than 10,000 oceangoing 
        vessels of the United States. Today there are just 80 vessels 
        of the United States engaged in international trade.
            (9) The People's Republic of China has made investments in 
        the maritime industry a strategic priority over the past 20 
        years.
            (10) As of 2023, shipyards in the United States had fewer 
        than 5 shipbuilding orders for oceangoing vessels, while 
        shipyards in the People's Republic of China had more than 1,700 
        orders, according to BRS Group. According to the Office of 
        Naval Intelligence, the People's Republic of China became the 
        world's top shipbuilding and shipping nation, boasting 230 
        times more shipbuilding capacity than the United States.
            (11) With just 12,000 United States merchant mariners 
        operating oceangoing vessels, the United States may not have a 
        sufficient number of mariners to fully power the strategic 
        sealift vessels necessary in a future prolonged conflict.
            (12) The American Civil Society of Engineers assesses that 
        the United States has a national maintenance backlog amounting 
        to $125,000,000,000 for bridges, $163,000,000,000 for ports, 
        and $6,800,000,000 for inland waterways.
            (13) The maritime industry is inherently international. 
        Eighty percent of United States goods are imported by sea, of 
        which 98 percent come into the United States on foreign 
        documented vessels. Only 2 percent of such goods come into the 
        United States on vessels of the United States, leaving the 
        United States economy disproportionately dependent on 
        oceangoing trade controlled by often adversarial foreign 
        nations. The Nation's ability to provide services in both 
        international and interstate commerce is critical to national 
        and economic defense.
            (14) Since November 2023, vessels engaged in international 
        commerce have been threatened by the Houthis, which has 
        threatened global supply chains, increased costs, and required 
        naval force protection operations in the Red Sea through the 
        United States-led Operation Prosperity Guardian that formed in 
        December 2023.
            (15) A fleet of commercial shipping vessels of the United 
        States, crewed with citizen mariners, that is competitive in 
        domestic and international trade enhances the United States 
        military's readiness, allows the United States to more 
        strategically compete with China, and underwrites the security 
        and survival of the United States in times of crisis and war.

SEC. 3. SENSE OF CONGRESS.

    It is the sense of Congress that the United States must--
            (1) create a more favorable domestic and global maritime 
        environment for vessels of the United States engaged in 
        international commerce, shipbuilding, ship repair, maritime 
        logistics, the maritime workforce, and naval power, 
        contributing to assured access to the world's oceans free from 
        coercion from strategic competitors and asymmetric adversaries;
            (2) increase domestic shipbuilding and ship repair 
        capacity, with programs and policies that enable the growth of 
        United States shipyards and the maritime industrial base, 
        enhance military sealift capacity, expand the United States 
        maritime workforce, and enhance national security;
            (3) revitalize the international fleet of vessels of the 
        United States and foster a comparative advantage for the United 
        States through targeted incentives and regulatory reforms to 
        make the fleet competitive with international carriers and to 
        gain a sustainable share of the global maritime market in order 
        to bolster supply chains, strengthen economic security, and 
        lower prices, while protecting the United States economy from 
        economic coercion;
            (4) take all measures necessary to ensure that sufficient 
        military, civil, and commercial resources will be available 
        with assured access to meet defense deployment needs and 
        essential economic activities for our Nation in times of 
        crisis, war, or peace;
            (5) recognize that a vibrant commercial shipbuilding 
        industry provides supply chain resiliencies and creates 
        economies of scale that improve military, Coast Guard, and 
        Government shipbuilding and support military operations through 
        strategic sealift to defend the freedom of the seas;
            (6) nurture the comparative advantages of the United States 
        to innovate to better compete in the global maritime 
        marketplace, grow the maritime workforce, and create a 
        favorable environment for investments to build modern maritime 
        facilities and world-class academic institutions;
            (7) ensure better coordination between Federal agencies, 
        including the Maritime Administration, the United States Coast 
        Guard, the Department of Defense, the Federal Maritime 
        Commission, and all other Federal agencies with a maritime 
        nexus, to protect, regulate, and support the United States 
        maritime industry, resolve disputes, and implement a whole-of-
        Government national maritime strategy;
            (8) recognize that, while a strong Navy is the surest 
        guarantee of peace, building the Navy, sustaining the Navy, and 
        supplying the Navy is founded on a robust commercial industrial 
        base;
            (9) establish reliable long-term demand signals for, and 
        investments in, oceangoing commercial vessels that are built in 
        the United States, documented under the laws of the United 
        States, and crewed by United States mariners;
            (10) evaluate past and present maritime efforts to take 
        actions to revitalize the United States maritime industry;
            (11) strengthen the United States intercoastal and domestic 
        trade fleet, which is the foundation upon which a revitalized 
        United States-documented shipping and domestic shipbuilding 
        industry will be built;
            (12) recognize the important role that the support craft, 
        passenger, and fishing vessel fleet play in the United States 
        maritime industry;
            (13) encourage the shipping of commercial cargo on vessels 
        of the United States, with the aim of growing the size and 
        carrying capacity of the international fleet of vessels of the 
        United States;
            (14) grow the shipping capacity of vessels of the United 
        States and guarantee United States Government cargo during 
        peacetime;
            (15) develop a whole-of-Government effort to expand, 
        develop, and protect the maritime workforce;
            (16) recognize the need for more workers in the maritime 
        sector and stimulate growth in the United States maritime and 
        shipbuilding industries, including by increasing access to 
        early maritime education, commissioning national marketing 
        campaigns to demonstrate how United States shipbuilding, United 
        States-documented shipping, and maritime workers are critical 
        to national security, and implementing workforce accelerator 
        programs;
            (17) remove barriers to training mariners, including 
        reevaluating Coast Guard training requirements regarding 
        faculty credentials, instructional facility designs, sea time 
        requirements, and other identified barriers, consistent with 
        international treaty obligations;
            (18) expand and nurture a robust mariner workforce that 
        enhances the national security and strategic sealift readiness 
        of the United States by increasing the number of United States 
        mariners and improving existing pathways and establishing new 
        pathways for new, current, and former merchant mariners to go 
        to sea;
            (19) recognize that the United States Merchant Marine 
        Academy and our State maritime academies are critical to 
        training the next generation