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Federal Register / Vol. 86, No. 228 / Wednesday, December 1, 2021 / Rules and Regulations regulatory requirement to establish and maintain evidence of financial responsibility to any tank vessel greater than 100 gross tons but less than or equal to 300 gross tons using any place subject to the jurisdiction of the United States.
2 Reporting requirements. We also reorganize, clarify, and update the reporting requirements for submitting a COFR Application. Examples of new requirements include documenting evidence of financial responsibility submitted in support of an Application or a request for COFR renewal and adding into regulatory text the current practice of guarantor notification.
This set of changesincluding 138.150, which is dedicated to reporting requirements and expressly links those requirements to enforcement provisionsaims to address instances in which COFR Operators fail to report changes to their status, as was previously required by 33 CFR
138.90e. These failures included failing to report a vessels financial changes in a timely manner, failing to report a vessel transfer to a new owner, and failing to secure a guaranty and apply for a new COFRand had resulted in compliance gaps. These previous gaps compromised emergency responses where an inability to confirm financial responsibility had caused untimely responses to oil spills and undermined the COFR program.
Lastly, these revisions ensure that the Director receives the most current and accurate information when issuing a
COFR. These revisions improve the Coast Guards ability to verify vessel compliance with COFR regulations. For example, if an owner sells a vessel located in a place subject to U.S.
jurisdiction, the new owner is now a responsible party and is immediately subject to the COFR program. However, enforcing compliance with the COFR
programs requirements depends on the Coast Guard knowing about the vessel transfer. The regulatory revisions mitigate the risk of uninsured responsible parties and derelict vessels.
3 Revise COFR regulations to incorporate improved management practices and technological advancements. We also amend the COFR regulations to reflect changes in the NPFCs management of the COFR
program. The revisions include the following:
Expressly authorizes COFR
Operators, guarantors, and agents for service of process to submit signed scanned documents;
Permits COFR Operators submitting Applications or requests for COFR
renewal by email or fax to pay the COFR
Application and certification fees up to 21 days after submission. This method replaces the requirement to pay certification fees before the NPFC issues the COFR;
Updates and simplifies the provisions that detail how to apply gross tonnage assigned under different measurement systems. This reflects changes in the law since OPA 90s initial legislation and conforms the
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regulatory text to the Coast Guards Tonnage Regulations Amendments final rule 81 FR 18701, March 31, 2016, which amended the U.S. tonnage regulations in 46 CFR part 69;
Adds new provisions describing the COFR programs procedures for determining the acceptability of COFR
guarantors; and Implements the Electronic COFR
eCOFR. These regulatory changes help manage the COFR program more effectively, reduce the burden to the public, and accommodate the frequent changes in vessel operation during the normal course of maritime commerce.
4 Clarifies terminology. Terminology in COFR regulations is now consistent with applicable law and COFR program business practices. These changes included using terms of art consistently and simplifying terminology.
B. Discussion of Specific Changes to Existing COFR Regulations Table 1 provides a section-number crosswalk between the existing COFR
regulations and those in this final rule.
The crosswalk assists the reader in comparing those currently in the CFR
with those that will become effective January 3, 2022. Following table 1 is a discussion of the substantive changes, including new requirements or updates to the rule that match current Coast Guard practice. We applied plain language doctrine required by Executive Order 13563 to make these regulations easier to understand.

TABLE 1CROSSWALK OF EXISTING COFR REGULATIONS AND THOSE IN THIS FINAL RULE
Existing COFR regulations
Final rule COFR regulations
Part 138Financial Responsibility for Water Pollution Vessels and OPA 90 Limits of Liability Vessels, Deepwater Ports and Onshore Facilities.
Subpart AFinancial Responsibility for Water Pollution Vessels

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138.10 Scope
138.15 Applicability
138.20 Definitions
138.30 General
138.30c through f
138.40 Forms
138.45 Where to apply for and renew Certificates
138.50 Time to apply
138.60 Applications, general instructions
138.65 Issuance of Certificates
138.70 Renewal of Certificates
138.80 Financial responsibility, how established
138.80f untitled and 138.85 Implementation schedule for amendments to applicable amounts by regulation.
138.90ac Individual and Fleet Certificates
138.90d and e, untitled
138.100 Non-owning operators responsibility for identification
138.110
138.120
138.130

Master Certificates
Certificates, denial or revocation
Fees

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Part 138Evidence of Financial Responsibility for Water Pollution Vessels and OPA 90 Limits of Liability Vessels, Deepwater Ports and Onshore Facilities.
Subpart AEvidence of Financial Responsibility for Water Pollution Vessels.
138.10 Scope and purpose.
138.20 Applicability.
138.30 Definitions.
138.40 General requirements.
138.50 How to apply vessel gross tonnages.
138.60 Forms and submissions; ensuring submission timeliness.
138.60 Forms and submissions; ensuring submission timeliness.
138.80 Applying for COFR.
138.80 Applying for COFR.
138.70 Issuance and renewal of COFR.
138.90 Renewing COFR.
138.110 How to establish and maintain evidence of financial responsibility.
138.100 How to calculate a total applicable amount.
138.80
138.150
138.160
tion.
138.80
138.140
138.120

Applying for COFR.
Reporting requirements.
Non-owning COFR Operators responsibility for identificaApplying for COFR.
Application withdrawals, COFR denials and revocations.
Fees.

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