Page:United States Statutes at Large Volume 93.djvu/879

 PUBLIC LAW 96-112—NOV. 16, 1979

93 STAT. 847

Public Law 96- 112 96th Congress An Act To authorize appropriations for the fiscal year 1980 for certain maritime programs of the Department of Commerce, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Maritime Appropriation Authorization Act for Fiscal Year 1980". SEC. 2. Funds are authorized to be appropriated without fiscal year limitation as the appropriation Act may provide for the use of the Department of Commerce, for the fiscal year 1980, as follows: (1) For acquisition, construction, or reconstruction of vessels and construction-differential subsidy and cost of national defense features incident to the construction, reconstruction, or reconditioning of ships, not to exceed $101,000,000; except that— (A) no funds authorized by this paragraph may be paid to subsidize the construction of any vessel which will not be offered for enrollment in a Sealift Readiness program approved by the Secretary of Defense; and (B) in paying the funds authorized by this paragraph, the construction subsidy rate otherwise applicable may be reduced by 5 percent unless the Secretary of Commerce, in his discretion, determines that the vessel to be constructed is part of an existing or future vessels series. (2) For payment of obligations incurred for operating-differential subsidy, not to exceed $256,208,000; except that— (A) no funds authorized by this paragraph may be paid for the operation of any vessel which is not offered for participation in a Sealift Readiness program approved by the Secretary of Defense; and (B) an operator receiving funds under this paragraph may elect, for all or a portion of its ships, to suspend its operating differential subsidy contract with all attendant statutory and contractual restrictions, except as to those pertaining to the domestic intercosistal or coastwise service, including any agreement providing for the replacement of vessels, if— (i) the vessel is less than ten years of age, (ii) the suspension period is not less than twelve months, (iii) the operator's financial condition is maintained at a level acceptable to the Secretary of Commerce, and (iv) the owner agrees to pay to the Secretary, upon such terms and conditions as he may prescribe, an amount which bears the same proportion to the construction-differential subsidy paid by the Secretary as the portion of the suspension period during which the vessel is operated in any preference trade from which a subsidized vessel would otherwise be excluded by law or contract bears to the entire economic life of the vessel. Any operator making an election under subparagraph (B) is entitled to full reinstatement of the suspended contract on

Nov. 16, 1979 [S. 640] Maritime Appropriation Authorization Act for Fiscal Year 1980.

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