Frequently Asked Questions

Q. What is a COFR?

A. COFR is a vessel Certificate of Financial Responsibility (Water Pollution) issued by the NPFC to a vessel applicant providing evidence of financial responsibility, in accordance with the Oil Pollution Act of 1990 (OPA 90) and CERCLA. The Coast Guard have transitioned to a paperless COFR, which is an electronic record accessible on their website when the COFR is issued. Operators will no longer be required to carry a paper COFR aboard the vessel. COFR validity will be verified electronically.

Q. How long can an operator be inactive with the USCG before it's considered to be new?

A. 90 days

Q. What is the minimum GT?

A. 300 GT

Q. What exactly is a bridging letter?

A. A letter whereby the Owner of the vessel(s) gives the bareboat charter permission to operate the vessel(s)

Q. Which US Territories outside of the contiguous U.S.A. require COFRS?

Hawaii
American Samoa
Baker Island
Guam
Howard Island
Jarvis Island
Johnston Atoll
Kingman Reef
Midway Atoll
Northern Marianas
Palmyra Atoll
Wake Atoll
US Virgin Islands

NOTE: The Marshalls Islands are a US trust territory and not subject to OPA 90 as the US Federal Government does not have Constitional authority over the Marshall Islands.

Q. What are the COFR Limits (OPA90 and CERCLA)

A. The limits under CERCLA are the greater of $5,000,000 or $300 per gross ton. Effective on July 31st 2009 for Operators, the OPA90 Limits are undergoing a Consumer Price Index adjustment as shown below.

Q. Which are approved PANDI Clubs?

A. The 13 IGA Clubs approved by both Shoreline and Arvak are:

1. American Steamship
2. Brittania
3. Gard
4. Japan Shipowners
5. London Steamship
6. North of England
7. Shipowners
8. Skuld
9. Standard Steamship
10. Steamship
11. Swedish Club
12. UK Mutual
13. West of England

Shoreline will cover this non-IGA club at 10% a.p.:
Noord Nederlansche P&I (NNPC)

Arvak will cover these non-IGA P&I clubs at 10% a.p.:

1. British Marine
2. Hanseatic Pandi
3. Korea P&I

Q. Which are the International Association of Classification Societies?

A. The members of IACS are:

1. American Bureau (ABS)
2. Bureau Veritas (BV)
3. China Classification (CCS)
4. Germanischer Lloyd (GL)
5. Indian Register (IRS)
6. Korean Register (KR)
7. Lloyds Register (LR)
8. Nippon Kaiji Kyokai (NK)
9. Der Norske Veritas (NK)
10. Registrano Italiano (RINA)
11. Russian Register (RS)

Q. Who is required to have International Carried Bonds – Continuous Entry ?

A. US Customs require Bonds for cargo and/or crew. Bonds are issued to the entity responsible for filing the cargo manifest (AMS – automated manifest system) for which a SCAC code is required. If this entity is also responsible for the passenger/crew manifest (APIS – advanced passenger information system) the one Bond will suffice. Where a different entity is responsible for the passengers/crew a separate APIS Bond is required.

US Customs take 10 working days to process the Bond and require a notarized Power of Attorney.

If a Bond application is required urgently then a Single Entry Bond can be obtained at the same fee as a Continuous Entry Bond. A POA is REQUIRED for this and each SEB covers one vessel and one port; so if there are mutiple ports than a SEB per port is required if insufficient time has been allowed to apply for a continuous entry Bond.

Q. What port requires a $150,000 ICB bond?

A. Miami

Q. Do Individual Vessels require ICB Bonds?

A. Bonds are issued to the entity responsible for the cargo and/or crew manifests irrespective of the number of vessels.

Q. How is a Voyage Defined?

A. A voyage is defined as "each movement carrying cargo to or from any port or place in or involving transfer of such cargo at a place within United States Waters, and/or the EEZ as defined in the Oil Pollution Act of 1990 (OPA 90) and the relevant Presidential Proclamation. Even if a part cargo is loaded, discharged, or transferred within the EEZ, it will be considered a voyage. However the loading, discharging, or transferring of the same cargo in ports or at multiple ports will not be treated as multiple voyages." Notwithstanding the above, the voyage is deemed to attach upon the vessel's entry into U.S. Waters/EEZ and to terminate on the earlier of the vessel's departure from U.S. Waters/EEZ or the expiry of 30 days from the time and date of entry. Should the vessel remain in U.S. Waters/EEZ beyond the 30th day, a new voyage will be deemed to attach and will terminate on the earlier of the vessel's departure from U.S. Waters/EEZ or the expiry of 30 days from the time and date of reattachment and so forth.

(**) Any vessel that discharges at LOOP and then proceeds into port(s) is not considered to have performed a LOOP voyage.

A vessel can go into US waters for 30 days and call multiple ports for loading/discharging and that is ONE call. If the vessel stays beyond 30 days, a second voyage is deemed commenced and if it is still continuously in US waters for another 30 days, a third is deemed commenced and so on until it eventually leaves US waters.