Newly Released CBP HQ Rulings on April 11

April 13, 2023 by Ben Perkins|Customs Rulings

The Customs Rulings Online Search System (CROSS) was updated April 11 with the following headquarters rulings (ruling revocations and modifications will be detailed elsewhere in a separate article as they are announced in the Customs Bulletin):

H328183: Coastwise Transportation; Lifting; Outer Continental Shelf; Wind Turbines; 46 U.S.C. §§ 55102, 55103; Merchandise; Passengers; Lifting; Vessel Equipment; Deck Module; 19 C.F.R §§ 4.50(b), 4.80, 4.80a, 4.80b.

Ruling: (1), (2) Neither the proposed transportation of the installation crew for the entirety of this project by a non-coastwise qualified vessel nor the proposed alternative housing and transportation constitute violations of the Passenger Vessel Services Act. (3), (4) Neither the proposed transfer of the crew's tools, nor the preparing and transferring of meals between the vessel and the platform would violate the Jones Act. (5) If the materials are unladen and laden on the platform at the same coastwise point, not Jones Act violation would occur. If the vessel unlades the merchandise at a different point than it laded the merchandise, then a violation of the Jones Act would occur.

Issues: (1) Whether transporting the installation crew for the project by a non-coastwise qualified vessel violates the PVSA. (2) In the alternative, whether housing and transporting the installation crew between the standoff position and the platform violates the PVSA. (3) Whether transportation of the installation crew’s tools on the vessel or (4) preparing the meals aboard the vessel and transferring the meals to the platform would violate the Jones Act. (5) Whether transferring materials as described in any of the three scenarios violates the Jones Act,

Items: N/A

Reason: (1), (2) Individuals transported between coastwise points are not classified as “passengers” if they are required to contribute to the accomplishment of the operation or navigation of the vessel. (3), (4) The tools are "vessel equipment" and the means are "vessel supplies" rather that "merchandise." (5) The activities described in the first scenario do not constitute coastwise trade. Provided the materials and laded and unloaded in the same location, no coastwise transportation would take place.

Ruling Date: April 11, 2023