VES-13-18-CO:R:IT:C 111295 KVS
Chief
Residual Liquidation and Protest Branch
6 World Trade Center
New York, NY 10048-0954
RE: Vessel repair; untimely application; collision
Vessel: S/S CORONADO V-TC-259
Vessel Repair Entry No. C11-0002176-0
Date of Arrival: July 27, 1988
Port of Arrival: Philadelphia, Pennsylvania
Dear Sir:
This is in response to your memorandum dated October 23,
1989 (received by our office on September 18, 1990) which
transmits for our review an application for review filed in
connection with the CORONADO, vessel repair entry no. C11-
0002176-0. Our findings are set forth below.
FACTS:
The CORONADO, an American-flag vessel, underwent certain
foreign shipyard operations at Falmouth, England, between July 9-
10, 1988. The vessel arrived in the United States on July 27,
1988 at Philadelphia, Pennsylvania. Formal entry was made on
August 4, 1988.
An application for relief and supporting documentation were
filed on November 14, 1988, requesting relief on the grounds that
repairs were necessitated by reason of collision damage. These
documents, together with an accompanying memorandum dated October
23, 1989, were apparently transmitted to Customs Headquarters but
never received. The documents were later re-transmitted to
Headquarters and received on September 18, 1990.
ISSUE:
Whether, in the absence of an extension, an application for
relief filed 110 days after the date of the vessel's arrival may
be considered by Customs on its merits.
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LAW AND ANALYSIS:
Title 19, United States Code, section 1466(a) provides, in
pertinent part, for payment of duty in the amount of 50 percent
ad valorem on the cost of foreign repairs to vessels engaged,
intended to engage, or documented under the laws of the United
States to engage in the foreign or coastwise trade.
The Customs Regulations provide specific time limitations
for the submission of an application for relief of vessel repair
duties. This time period is contained in section 4.14(d)(1)(ii),
which states:
The application for relief, with supporting
evidence, shall be filed within 60 days from
the date of first arrival of the vessel.
However, if good cause is shown, the
appropriate vessel repair unit may authorize
one 30-day extension of time to file beyond
the 60-day filing period.
Furthermore, the regulations specify that the time period
for filing the application for relief is concurrent with the time
period for submission of costs. Section 4.14(b)(2)(ii)(B)
states:
The 60-day time period to submit evidence of
cost on the entry is concurrent with the 60-
day time period to submit an application for
relief under paragraph (d)(1)(ii) of this
section and will not operate to provide
additional time to submit an application for
relief. A request for additional time to
submit evidence of cost may include a request
for additional time to submit an application
for relief.
This additional time to submit evidence of cost and an
application for relief is found in section 4.14(b)(2)(ii),
Customs Regulations:
If before the end of the 60-day period, the
party that is required to furnish the
evidence of cost submits a written request
for an extension of time beyond the 60-day
period, together with a satisfactory
explanation of the delay, to the appropriate
vessel repair liquidation unit, that unit may
grant an additional 30-day extension of time
to submit cost evidence. Any request for a
further extension of time to furnish evidence
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of cost shall be submitted to Headquarters,
U.S. Customs Service...for approval.
In the case under consideration, the CORONADO arrived at
Philadelphia, Pennsylvania, on July 27, 1988. Under the
regulations, the vessel had until September 25, 1988, to submit
an application for relief and evidence of cost. Here, the
application and supporting documentation were not filed until
November 14, 1988. The record before us contains no indication
that a request for time in which to file was ever requested or
granted. Accordingly, the application for relief is denied.
HOLDING:
In the absence of an extension, an application for relief
and supporting documentation filed 110 days after the vessel's
date of arrival may not be considered by Customs on the merits.
Sincerely,
B. James Fritz
Chief
Carrier Rulings Branch