Evolution of Offshore Wind and the Coastwise Laws

Jonathan K. Waldron, Dana S. Merkel, and Vanessa C. DiDomenico


Over the past year, a number of new interpretations related to the application of the coastwise laws to the developing offshore wind industry in the United States have clarified how construction and operation of offshore wind farms will proceed. The U.S. coastwise laws, which impose restrictions on the transportation of merchandise and passengers, as well as towing and dredging operations, are interpreted and enforced by U.S. Customs and Border Protection (โ€œCBPโ€).

There was much uncertainty in the offshore wind industry for many years with respect to how the coastwise laws should apply to offshore wind farm construction and operation. Following the 2021 National Defense Authorization Act, which clarified that the coastwise laws apply to offshore wind on the U.S. outer continental shelf (โ€œOCSโ€) as they do for oil and gas, CBP began issuing rulings applying the laws to the offshore wind industryโ€”and industry is requesting more and more CBP rulings to clarify how the contemplated offshore wind work can be performed in compliance with the law. Although some issues are still pending, this article provides an update on some of the most recent and noteworthy interpretations.

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Blank Rome Named โ€œLaw Firm of the Yearโ€ in Admiralty & Maritime Law in U.S. News โ€“ Best Lawyersยฎ 2023 โ€œBest Law Firmsโ€

Our firm was named โ€œLaw Firm of the Yearโ€ in Admiralty & Maritime Law in the 2023 โ€œBest Law Firmsโ€ survey by U.S. News & World Report โ€“ Best Lawyersยฎ. Only one law firm per legal practice area received the โ€œBest Law Firmโ€ recognition.

Our Maritime practice group was also ranked Tier 1 nationally and ranked Tier 1 regionally in Houston, New York City, and Washington, D.C., in Admiralty & Maritime Law.

To view Blank Romeโ€™s full rankings, please click here.

Perspectives: Intentional about Inclusionย (2022โ€“2023)

Welcome to the 2022โ€“2023 edition ofย Perspectives, Blank Romeโ€™s diversity, equity, and inclusion (โ€œDEIโ€) magazine.

In this edition, you will find:

  • Interviews with our Diversity & Inclusion Committee co-chairs and new laterals;
  • A profile of our Chief Operating Officer Shonette Gaston;
  • Recaps of our inaugural DEI Summit and our sixth annual Womenโ€™s Leadership Summit;
  • Updates on our recruitment, mentorship and sponsorship, and client partnership programs;
  • Accolades and events from the past year; and more!

We would be delighted to hear from you. If you have any comments or suggestions, or if you would like to partner with our firm on future DEI initiatives and programs, please contact Director of Diversity & Inclusion Krystal Studavent Ramsey.

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Read Perspectives

To read the 2022โ€“2023 edition of Blank Romeโ€™s Perspectives, please click here.


ยฉ 2023 Blank Rome LLP. All rights reserved. Please contact Blank Rome for permission to reprint. Notice: The purpose of this update is to identify select developments that may be of interest to readers. The information contained herein is abridged and summarized from various sources, the accuracy and completeness of which cannot be assured. This update should not be construed as legal advice or opinion, and is not a substitute for the advice of counsel.

The BR Privacy & Security Download: October 2023

October 2023

Welcome to this month’s issue of The BR Privacy & Security Download, the digital newsletter of Blank Romeโ€™s Privacy, Security & Data Protection practice. We invite you to share this resource with your colleagues and visit Blank Romeโ€™s Privacy, Security & Data Protection webpage for more information about our team.

Read the newsletter here.

The BR State + Local Tax Spotlight: October 2023

October2023

Note from the Editors

Welcome to the October 2023 edition ofย The BR State + Local Tax Spotlight. We know the importance of remaining up to date on State + Local Tax developments, which appear often and across numerous jurisdictions. Staying informed on significant legislative developments and judicial decisions helps tax departments function more efficiently, along with improving strategy as well as planning. That is whereย The BR State + Local Tax Spotlightย can help. In each edition, we will highlight important State + Local Tax developments that could impact your business.

We invite you to share The BR State + Local Tax Spotlight with your colleagues and visit Blank Romeโ€™s State + Local Tax webpage for more information about our team. Click here to add State + Local Tax to your subscription preferences.

Joshua M. Sivin and Melanie L. Lee


Clickย hereย to download this edition ofย The BR State + Local Tax Spotlight.

Severe Weather Emergency Recovery Team (โ€œSWERTโ€)

SWERT is an interdisciplinary group of Blank Rome attorneys and government relations professionals with decades of experience helping companies and individuals recover from severe weather events, including hurricanes, wildfires, mudslides, snowstorms, earthquakes, and tornadoes. We are ready to assist those in the path of storms and other severe weather events.ย 

Learn more at blankrome.com/SWERT.

Now Availableโ€”Print Edition of MAINBRACE: March 2023

Did you miss our digital edition of MAINBRACE: March 2023?

You can download our newly released PDF version here.

Note from the Editor

William R. Bennett III, Editor

This is my first publication as editor of Mainbrace. Truth be told, when I was asked to be editor, I thought it was a joke, laughed and asked โ€œseriously?โ€ In short, I was concerned I was not up to the task. Well, โ€œwhyโ€ you may ask, โ€œseems like a simple and ordinary note for a law firm to pump out.โ€ Not so my friends, not so.

It is important to note that Mainbrace is not merely another โ€œpublicationโ€ generated by a law firmโ€™s marketing team. Mainbrace is much more. Mainbrace has a long history of providing the maritime legal and business community with articles that are relevant to the then present-day industry concerns. It is a collaboration among skilled and talented lawyers who somehow find the time to author enlightening articles. Is Mainbrace the โ€œGray Ladyโ€? No, but she is our lady and we hold her dearly.

Believe it or not, Mainbrace has been in publication since 1990! In fact, the first publicationโ€”Vol. 1 No. Iโ€”was issued in March 1990 by the law firm of Healy & Baillie, which joined Blank Rome in 2006. โ€œHow did it last so long?โ€ you ask. Simply put, the sustainability of Mainbrace is directly related to the efforts of Tom Belknap, who spearheaded the publication of Mainbrace for nearly 15 years. And should any of our readers desire to read ANY issue of Mainbrace since its first publication in March 1990, Tom can supply you with a copyโ€”all of which are safely tucked away in a binder in his office.

To Tom Belknap, our partner and friend: Bravo Zulu, Bravo Zulu!

I do not take lightly taking over the conn of Mainbrace from Tom and having to safely navigate her publication in the future. Admittedly, I wonโ€™t do so alone, for I am surrounded by a crew of brilliant legal minds who will supply me with articles to publish. And to them, I am grateful.

Lastly, to our readers, we take pride in every issue of Mainbrace we publish and will continue to author and publish meaningful and informative articles that meet your expectations.

Will Jones Act Waivers Be a Viable Option in the Future?

Dana S. Merkel, Jonathan K. Waldron, and Jeanne M. Grasso


Companies often ask if it is possible to obtain a Jones Act waiver in emergency circumstances or otherwise when they know that there may not be domestic Jones Act vessels available to perform the transportation or installation of cargo. Historically, waivers have been very difficult to obtain and recent Congressional developments will make them even more difficult to obtain.

Background

The Jones Act prohibits the โ€œtransportation of merchandise by water, or by land and water, between points in the United States . . . either directly or via a foreign portโ€ unless the vessel is U.S. built, U.S.-flag, and 75 percent U.S. owned. Jones Act requirements can only be waived if โ€œnecessary in the interest of national defense.โ€ 46 U.S.C. ยง 501 (the โ€œWaiver Provisionโ€).

It is extremely difficult and rare to obtain a waiver of the Jones Act. The Waiver Provision has always limited waivers to situations where such waiver is needed for national defense purposes.

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A Practical Approach to Reduce MARPOL Enforcement Risks in the United States

Kierstan L. Carlson and Jeanne M. Grasso


Readers of Mainbrace know well that the United States has been aggressively enforcing compliance with MARPOL for decades. Often referred to as โ€œmagic pipeโ€ cases, the U.S. Department of Justice (โ€œDOJโ€) has brought criminal MARPOL prosecutions against owners and operators of ships running the gamut from fishing vessels to bulkers, tankers, container ships, and cruise ships. These prosecutions have involved underlying violations of MARPOL Annex I (oil), but also Annex V (garbage) and more recently Annex VI (air emissions).

Criminal MARPOL cases are extraordinarily costly and disruptive to vessel owners/operators. Not only are significant fines levied against violators, but companies convicted of MARPOL violations suffer attendant reputational damage that can impact charter hire prospects and incur significant costs for paying wages, housing, and per diem to the crew members whom the government requires to remain in the United States for the duration of the criminal case. On top of that are the costs associated with a comprehensive Environmental Compliance Plan for the fleet, along with costs associated with a Third-Party Auditor and a Court-Appointed Monitor.

Unlike other areas of U.S. criminal enforcement, MARPOL prosecutions have continued at a steady pace, across administrations led by different political parties. This is due, in part, to the fact that the Act to Prevent Pollution from Ships (โ€œAPPSโ€), the U.S. statute that implemented MARPOL, is enforced by the U.S. Coast Guard (โ€œUSCGโ€), which is typically less affected by political change than other executive agencies responsible for criminal enforcement. Perhaps more importantly, APPS includes a whistleblower provision pursuant to which anyone who provides information to the USCG that leads to a conviction may be awarded up to 50 percent of the criminal penalty imposed under APPS. Potential awards incentivize seafarers to report misconduct to the USCG instead of to the company, even in cases where there is an open-reporting program. It also gives the USCG and DOJ a significant advantage, as they often receive photos and videos of the alleged improper conduct before their investigation even begins.

Continue reading “A Practical Approach to Reduce MARPOL Enforcement Risks in the United States”