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Federal Register / Vol. 86, No. 181 / Wednesday, September 22, 2021 / Proposed Rules
DEPARTMENT OF HOMELAND
SECURITY
Coast Guard 33 CFR Part 187
Docket No. USCG20180160
RIN 1625AC28

Uniform Certificate of Title Act for Vessels Coast Guard, DHS.
Notice of proposed rulemaking.

AGENCY:
ACTION:

The Coast Guard proposes changes to its regulations for certifying a States titling system for undocumented vessels to increase States participation in the Vessel Identification System VIS. The proposed changes would allow States that have adopted the recommendations of the model Uniform Certificate of Title Act for Vessels to certify their titling provisions with the Coast Guard. Once certified and participating in the VIS, a State is able to confer preferred mortgage status on financial instruments that apply to undocumented vessels, which benefits the owners of those vessels. While many of the proposed changes to the certification guidelines relate to the technical requirements of recording and maintaining titling documentation, the most significant change would be to implement a system of branding permanently marking titles for vessels that have sustained structural damage. This would help prevent a process known as title washing, where severe vessel damage is concealed by transferring the title to a different State.
DATES: Comments and related material must be received by the Coast Guard on or before November 22, 2021. Comments sent to the Office of Management and Budget OMB on collection of information must reach OMB on or before November 22, 2021.
ADDRESSES: You may submit comments identified by docket number USCG
20180160 using the Federal eRulemaking Portal at https
www.regulations.gov. See the Public Participation and Request for Comments portion of the SUPPLEMENTARY INFORMATION section for further instructions on submitting comments.
Collection of information. Submit comments on the collection of information discussed in section VI.D of this preamble both to the Coast Guards online docket and to the Office of Information and Regulatory Affairs OIRA in the White House Office of SUMMARY:

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Management and Budget OMB using their website www.reginfo.gov/public/
do/PRAMain. Comments sent to OIRA
on collection of information must reach OMB on or before the comment due date listed on their website.
FOR FURTHER INFORMATION CONTACT: For information about this document call or email W. Vann Burgess, Boating Safety Division, Program Management and Operations Branch CGBSX21, Coast Guard; telephone 2023721071, email william.v.burgess@uscg.mil.
SUPPLEMENTARY INFORMATION:
Table of Contents for Preamble I. Public Participation and Request for Comments II. Abbreviations III. Basis and Purpose IV. Background A. Current 33 CFR part 187, subpart D
B. UCOTAV
V. Discussion of Proposed Rule VI. Regulatory Analyses A. Regulatory Planning and Review B. Small Entities C. Assistance for Small Entities D. Collection of Information E. Federalism F. Unfunded Mandates Reform Act G. Taking of Private Property H. Civil Justice Reform I. Protection of Children J. Tribal Governments K. Energy Effects L. Technical Standards M. Environment
I. Public Participation and Request for Comments The Coast Guard views public participation as essential to effective rulemaking, and will consider all comments and material received during the comment period. Your comment can help shape the outcome of this rulemaking. If you submit a comment, please include the docket number for this rulemaking, indicate the specific section of this document to which each comment applies, and provide a reason for each suggestion or recommendation.
We encourage you to submit comments through the Federal eRulemaking Portal at https
www.regulations.gov. If you cannot submit your material by using https
www.regulations.gov, contact the person in the FOR FURTHER INFORMATION
CONTACT section of this proposed rule for alternate instructions. Documents mentioned in this proposed rule, and all public comments, will be available in our online docket at https
www.regulations.gov, and can be viewed by following that websites instructions.
Additionally, if you visit the online docket and sign up for email alerts, you will be notified when comments are posted or a final rule is published.

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We accept anonymous comments. All comments received will be posted without change to https
www.regulations.gov and will include any personal information you have provided. For more about privacy and submissions in response to this document, see the Department of Homeland Securitys eRulemaking System of Records notice 85 FR 14226, March 11, 2020.
We do not plan to hold a public meeting, but will consider doing so if public comments indicate a meeting would be helpful. We would issue a separate Federal Register notice to announce the date, time, and location of such a meeting.
II. Abbreviations BLA Boating Law Administrator BSX U.S. Coast Guards Office of Auxiliary and Boating Safety CFR Code of Federal Regulations DHS Department of Homeland Security DOT Department of Transportation FR Federal Register MOA Memorandum of Agreements NCCUSL National Conference of Commissioners on Uniform State Laws NBSAC National Boating Safety Advisory Council NASBLA National Association of State Boating Law Administrators NPRM Notice of proposed rulemaking OMB Office of Management and Budget PRA Paperwork Reduction Act of 1995
RA Regulatory Analysis RFA Regulatory Flexibility Act of 1980
Section UCC Uniform Commercial Code UCOTAV Uniform Certificate of Title Act for Vessels U.S.C. United States Code VIS Vessel Identification System
III. Basis and Purpose The purpose of this rulemaking is to revise Coast Guard guidelines for State vessel titling systems so that they align with the Uniform Certificate of Title Act for Vessels UCOTAV. As discussed in more detail below, we expect that aligning Coast Guard guidelines with UCOTAV would increase States participation in the Vessel Identification System VIS, thereby benefitting the owners of undocumented vessels by providing them access to preferred mortgages.
The legal basis for this rulemaking is Title 46 of the United States Code U.S.C., sections 2103, 12501a, and 31322d. Section 2103 authorizes the Secretary of the department in which the Coast Guard is operating to issue regulations to carry out the provisions of Subtitle II, Vessels and Seamen, of Title 46 of the U.S.C., in which Section 12501a appears. Section 12501a requires the Secretary to establish a VIS

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