Passenger Vessel Services Act of 1886

See also: Merchant Marine Act of 1920 (Jones Act) regarding cargo vessels

The Passenger Vessel Services Act of 1886 (sometimes abbreviated to PVSA, Passenger Services Act, or PSA) is a piece of United States legislation which came into force in 1886 relating to cabotage. Essentially, it says:

No foreign vessels shall transport passengers between ports or places in the United States, either directly or by way of a foreign port, under a penalty of $200 (now $300) for each passenger so transported and landed.

Any vessel subject to the Merchant Marine Act of 1920 counts as a US vessel. Under the Passenger Vessel Services Act of 1886 (46 USC §289), foreign-flagged vessels cannot transport passengers directly between U.S. ports. The handful of U.S.-flagged cruise ships in operation are registered in the U.S. to permit cruises between the Hawaiian Islands, or from the continental U.S. to Hawaii. The Passenger Services Act, however, does not prohibit foreign-flagged ships departing from and returning to the same U.S. port or foreign-flagged ships departing from a U.S. port, visiting a foreign port, and then continuing to a second U.S. port. However, in order to embark in a US port and disembark in a second US port, the vessel must visit a distant foreign port outside of North America (Bermuda counts as part of North America). It does not prevent a ship from taking on passengers at a US port and then returning them to another U.S. city by ground or air, or vice versa, as long as the cruise ship returns to its departing point without stopping (a "cruise to nowhere"), or stops in at least one foreign port.

In accordance with this law, Cruise lines that operate foreign-flagged vessels are fined $300 for each passenger who boarded such a vessel in one US port and and left the vessel at another port. The cruise lines typically pass this cost on the passengers who "jump the ship". Exemptions are available in the case of family emergencies etc.

Exceptions

Pride of Aloha (now Norwegian Sky), NCL America's formerly US-flagged ship, which is not required to call on foreign ports.

Some exceptions have been made to the requirement of the Passenger Services Act. For example, Canadian vessels may transport passengers between Rochester, New York and Alexandria Bay, New York (46 USC §289a) and between ports in southern Alaska (46 USC §289b), until such time as a U.S. carrier enters the market.

As of October 30, 2003, foreign vessels are also allowed to transport passengers (but not cargo) between the US mainland and Puerto Rico (46 USC §289c). However, this exemption will disappear if US-flagged ships resume passenger operations of this type.

Inter-island transportation in Hawaii

The law has had an interesting consequence with regard to the cruise ship industry within the state of Hawaii. Foreign-flagged cruise ships may carry passengers between ports in the Hawaiian Islands as long as no passenger permanently leaves the vessel at ports other than the origination port and the vessel makes at least one call at a foreign port. Norwegian Cruise Line created a subsidiary, NCL America, and introduced three new US-flagged vessels: Pride of Aloha in 2004, Pride of America in 2005, and Pride of Hawaii in 2006. Previously, with its foreign-flagged vessels, NCL needed to include a four day detour to Tabuaeran (Fanning Atoll) in the Line Islands (Republic of Kiribati) on its Hawaiian itineraries.

Reportedly due to financial losses, in 2007 NCL renamed Pride of Hawaii to Norwegian Jade, and re-flagged and relocated the ship to Europe. In 2008, NCL also relocated Pride of Aloha to Florida, re-flagging it and renaming it to Norwegian Sky at the same time. Thus the Pride of America is the sole NCL ship currently in Hawaii service.

See also

• Merchant Marine Act of 1920, commonly referred to as the Jones Act - similar law applied to cargo transportation

External links

• Hawaii government page