47.501
Definitions
FAR 47.501 defines key vessel terms essential for compliance with U.S.-flag cargo preference requirements in government ocean transportation contracts.
Overview
FAR 47.501 provides definitions for key terms used throughout Subpart 47.5, which governs ocean transportation by U.S.-flag vessels in government contracting. Understanding these definitions is essential for correctly interpreting requirements related to vessel selection, cargo movement, and compliance with cargo preference laws. The section clarifies distinctions between vessel types (e.g., dry bulk carrier, tanker), ownership and registration status (e.g., foreign-flag, U.S.-flag), and operational arrangements (e.g., bareboat charter). These definitions underpin compliance with regulations that prioritize U.S.-flag vessels for government cargo and ensure proper application of related contracting rules.
Key Rules
- Vessel Type Definitions
- Clearly distinguishes between dry bulk carriers, dry cargo liners, and tankers based on cargo type and operational use.
- Flag and Ownership Status
- Defines what constitutes a U.S.-flag vessel, foreign-flag vessel, government vessel, and privately owned U.S.-flag commercial vessel, including specific ownership and registration criteria.
Responsibilities
- Contracting Officers: Must use these definitions to determine vessel eligibility and compliance with cargo preference requirements.
- Contractors: Should ensure accurate vessel classification and documentation in proposals and performance.
- Agencies: Must apply these definitions consistently in oversight and reporting related to ocean transportation contracts.
Practical Implications
- This section exists to eliminate ambiguity in vessel classification and ensure uniform application of cargo preference laws.
- Accurate understanding of these terms is critical for compliance, especially when selecting vessels for government cargo.
- Misclassification can lead to noncompliance, contract disputes, or penalties.