HQ 109998: New York Vessel Repair Entry No. 85-414443-9, S/T TEXACO CALIFORNIA

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                            HQ 109998

                          July 5, 1989

VES-13-18-CO:R:P:C 109998 GV

CATEGORY: Carriers

Deputy Assistant Regional Commissioner
Classification and Value Division
ATTN: Regional Vessel Repair Liquidation Unit
6 World Trade Center
New York, New York 10048-0945

RE:  New York Vessel Repair Entry No. 85-414443-9, S/T TEXACO
     CALIFORNIA

Dear Sir:

     Upon our receipt in January, 1989, of an application and
accompanying documentation forwarded by you regarding the above
referenced vessel repair entry dated August 9, 1985, we have
reviewed the entire record.  Our findings are set forth below.

FACTS:

     The S/T TEXACO CALIFORNIA is a U.S.-flag vessel owned by
Texaco Marine Services.  During the voyage in question the
subject vessel called at Lisbon, Portugal, and Pembroke, England,
where foreign work was performed.  The vessel arrived in New
York, New York, on August 2, 1985.  Pursuant to a request for an
extension of time to submit the proper documentation, the
operators submitted an application for relief dated October 30,
1985.

     In addition to the application, the following documentation
was submitted by the applicant to support the request for relief:
invoices and a credit schedule from Lisnave dated July 22, 1985;
additional information from Lisnave dated June 4, 1986, which
segregated costs; invoices and a report from the American Bureau
of Shipping; and previous Customs rulings regarding the dutiable
status of various items under the vessel repair statute.

ISSUE:

     Whether the foreign work performed on the subject vessel for
which the applicant seeks relief is dutiable under 19 U.S.C.
1466.
                                2

LAW AND ANALYSIS:

     Title 19, United States Code, section 1466 provides in
pertinent part for payment of duty in the amount of 50 percent ad
valorem on the cost of foreign repairs to vessels documented
under the laws of the United States to engage in foreign or
coastwise trade, or vessels intended to engage in such trade.

     At the outset we note that although the subject vessel
arrived at New York on August 2, 1985, the vessel repair entry
was not filed until August 9, 1985.  Pursuant to section
4.14(b)(2), Customs Regulations (19 CFR 4.14(b)(2)) an entry must
be filed with Customs at the port of arrival within five working
days after arrival.  Despite the late filing of this entry we
will nevertheless address the merits of this case; however,
future late filings will not receive the same consideration.

     Upon reviewing the record in its entirety, we find the
following items subject to full credit in view of the fact that
the work listed was not performed:

     Item 102 - Ballast Slops

     Item 107 - Bunker Tanks Aft

     Item 109 - Rudder Welding

     Item 111 - Hull Bilge Keel

     Item 112 - Caulking

     Item 118 - Bulkhead Test--Cofferdams

     Item 128 - Cargo Pipeline Test

     Item 129 - Domestic Water Tank

     Item 138 - Handrail and Pipe Hanger Repairs

     Item 142 - Fore Peak Coating

     Item 148 - 6" Bunker Line Main Deck

     Item 149 - Port Cofferdam Ladder Repair Aft

     Item 151 - Diesel Fire Pump

     Item 152 - Alteration to Deepwell Pump Emergency Sections
          (5)

     Item 153 - Gas Freer Assembly Removal
                                3

     Item 157 - Deck Renewal

     Item 304 - Main Lube Oil Sump

     Item 305 - Main Lube Oil Coolers

     Item 404 - Cargo Pipe Line Test

     Item 503 - Auxiliary Condenser

     Item 506 - Deaerator Examination, Cleaning and Repair

     Item 510 - Fuel Oil Transfer Pump Worthington

     Item 518 - Electrical Reciprocating Ridge Pump

     Item 520 - Clapper Valve Repair

     Item 521 - Sea Valve Repairs

     Item 603 - Heat Lamps

     Item 701 - Shell Plate Renewals

     Item 702 - Bulkhead Stiffeners

     Item 703 - Port Stbd.

     Item 801 - Dedicated Clean Ballast Modification

     The following items are considered to be nondutiable either
as modifications to the hull and fittings and/or otherwise
nondutiable costs incurred:

  Item 101 - Owners Preamble (note: this item is nondutiable
             with the exception of the services of the certified
             chemist for the purposes of obtaining a gas-free
             certificate.  The cost of such services should be
             apportioned between that work which is dutiable and
             that work which is not)

  Item 103 - Air Blowers

  Item 104 - Drydocking

  Item 115 - Docking Plugs

  Item 119 - Lifeboat Weight Test

  Item 120 - Cargo Boom Test

  Item 135 - Deepwell Pumps
                                4

  Item 137 - Heating Coils

  Item 140 - Focsle Deck Opening

  Item 143 - Midships Boom Alteration

  Item 162 - Additional Services

  Item 165 - Additional Docking Plug

  Item 174 - Additional Work--Cargo Line Drains

  Item 203 - Internal Desuperheator

  Item 213 - Port and Starboard Casing and Stack

  Item 216 - Air Heater Repairs (i.e., ineffective repairs,
             redone in Item 233)

  Item 220 - Insulation of Boiler Steam Lines and Mountings

  Item 226 - Additional Work--Boiler Hydro.

  Item 228 - Additional--Main Steam Line Hydro.

  Item 231 - Additional Work--F.0. Heater

  Item 309 - Main Propulsion Reduction Gear

  Item 311 - After Line Shaft Bearing

  Item 312 - Steam Valve Relocation/Modification

  Item 401 - Rudder Pintle

  Item 407 - Steering Gear Waterbury Pump Size 5 Type A

  Item 411 - Slop Line Relocation from 4C Intro 3C/Modification

  Item 504 - First Stage Feed Heater

  Item 505 - Feedwater Heaters 3d and 4th Stage Chemical
             Cleaning

  Item 601 - Main Switchboard and Energy Switchboard Examination

  Item 602 - Megger Test-Power Circuits

  Item 604 - Floodlight Modifications
                                5

  The following items are considered to be foreign repairs
dutiable in their entirety:

  Item 116 - Rudder Palm Bolts

  Item 124 - Spare Anchor

  Item 125 - Cargo Tank

  Item 126 - Grab Rungs (Cargo Tanks)

  Item 130 - Lifeboat Diesel Engine Overboard

  Item 131 - Port Light Repair

  Item 132 - Pusnes Winch Repairs

  Item 136 - Manhole Cover Fwd. Fuel Oil Tank

  Item 144 - Stack Door Repair

  Item 145 - Stbd. Running Light Repair

  Item 146 - Fireroom Overhead Doors

  Item 147 - Pumproom Watertight Doors Coaming P/S (two)

  Item 156 - Inert Gas Scrubber Overboard Hull Penetration

  Item 158 - Liquid Seal Tank, Priming System for Cargo Pumps

  Item 161 - Ship Base Line

  Item 163 - Additional--Hull Painting

  Item 164 - Additional Work--Hull Anodes

  Item 167 - Additional--Anchor Chain

  Item 168 - Additional Work--Cargo Tanks Repairs

  Item 169 - Additional--Strong Back Plates

  Item 170 - Additional Work--Lifeboat Diesel

  Item 171 - Additional Work--Pusnes Winches

  Item 173 - Additional Work--Draft/Marks

  Item 175 - Stack Door Repair
                                6
  Item 176 - Additional Work--Pumproom WTD

  Item 177 - Additional Work--Liquid Seal Tank

  Item 205 - Port and Stbd. Boiler Hydrostatic Testing

  Item 206 - Sectional Header Caulking

  Item 208 - Main Steam Line Hydrostatic Testing

  Item 212 - Fuel Oil Heaters (4) Chemical Cleaning

  Item 214 - Boiler Casing Repair

  Item 215 - Boiler Mounting Renewal

  Item 218 - Fuel Oil Heater Steam Valve Renewal

  Item 219 - Furnace Wind Box Repair (P/S Boiler)

  Item 221 - Smoke Stack Transition Piece Repair

  Item 222 - F.D. Fan Repairs

  Item 223 - Steam Line to Aft Main Feed Pump

  Item 224 - Additional--Boiler Cleaning

  Item 225 - Additional Work--Boiler Mounts

  Item 227 - Additional--Safety Valves

  Item 230 - Additional--Water Supply

  Item 232 - Additional--Casing/Stack Test

  Item 233 - Additional--Rework Item 216

  Item 234 - Additional--F.O. Heater Valves

  Item 235 - Additional Work--Furnace/Windbox

  Item 310 - Main Thrust Bearing

  Item 313 - Astern Maneuvering Valve

  Item 315 - Additional Work--H.P. Turbine

  Item 318 - Additional Work--Reduction Gear

  Item 319 - Additional Work--Steam Valve
                                7

  Item 403 - Rudder Post Packing Gland

  Item 406 - Steering Gear Maintenance and Examination

  Item 410 - Pumproom Ventilation Duct

  Item 415 - Balanced Flanges on Manifold

  Item 416 - Additional Works--Heating Coils

  Item 417 - Additional Work--Steering Gear

  Item 419 - Additional Work--Blkd. Spools

  Item 421 - Additional Work--Pumproom Vent Ducts

  Item 423 - Additional Work

  Item 509 - Fuel Oil Service (Note: although this item does not
             appear on the July 22, 1985, Lisnave invoice, it
             does appear on the June 4, 1986, Lisnave invoice)

  Item 511 - Lube Oil Service

  Item 514 - Feed Pump Coffin Horizontal Centrifugal Type CG

  Item 516 - General Service Pump

  Item 517 - Butterworth Pump

  Item 519 - Misc. Engine Room Valves

  Item 522 - Auxiliary Circ. Pump Foundation

  Item 523 - Cross Over Main/Aux. Circ.

  Item 526 - Low Main Injection Strainer Plate

  Item 527 - Butterworth Pump Foundation Bracket

  Item 528 - General Service Pump Foundation

  Item 529 - Sail Line Renewal

  Item 532 - Additional--lst Stage Heater

  Item 533 - Additional--3d/4th Stage Heater

  Item 537 - Additional--L.O. Service Pump

  Item 539 - Additional Work--Gen. Service
                                8

  Item 543 - Additional Work--Sux. Circ. Fan

  Item 544 - Additional--X-Over Main Aux. Circ.

  Item 545 - Add'l Work--Boiler Fwd. Pump Line

  Item 606 - CO2 Eng. Room

  Item 607 - Add'l Work--Floodlights

  Item 710 - Shell Framing P.S. Engine Room I.W.O. Main
             Circulating Pump

  Item 712 - Additional--Shaft Alley

  The following items are considered to be dutiable in their
entirety with the exception of those that have segregated
nondutiable costs and those for which partial credit has been
given:

  Item 105 - Hull Preparation For Paint--(Dutiable except for
             the cost of crane/staging)

  Item 106 - Hull Painting--(Dutiable except for the cost of
             crane/staging)

  Item 108 - Rudder Internal Coating--(Dutiable except for the
             cost of staging)

  Item 110 - Hull Anodes--(Dutiable except of the cost of crane
             and staging)

  Item 113 - Bottom Welding--(Dutiable except for amount of
             partial credit)

  Item 114 - Anchor Chains--(Dutiable except for cost of crane
             and staging)

  Item 121 - Structural Fractures--(Dutiable except for amount
             of partial credit)

  Item 122 - Anchor Windlass Repairs--(Dutiable except for
             amount of partial credit)

  Item 123 - Anchor Chain Repairs/Chain Locker--(Dutiable except
             for cost of crane and staging)

  Item 127 - Strong Back Plates (Hatch Covers)--(Dutiable except
             for amount of partial credit)

  Item 133 - Deck Penetration Fittings--(Dutiable except for
                                9

             the cost of staging)

  Item 134 - Draft/Loading Marks--(Dutiable except for the cost
             of staging)

  Item 150-  Piping Renewals to Anchor Windlass--(Dutiable
             except for the cost of staging)

  Item 154 - Cofferdam Coating--(Dutiable except for the cost of
             staging and the amount of partial credit)

  Item 155 - Anchor Riding Pawl Renewal--(Dutiable except for
             amount of partial credit)

  Item 159 - Blasting/Coating Water Tanks--(Dutiable except Part
             B covering services, blowers and rental air
             compressors)

  Item 160 - Fire Line Pipe Section--(Dutiable except for the
             cost of transportation)

  Item 166 - Additional Windlass Repair--(Dutiable except for
             the cost of transportation)

  Item 172 - Additional Work--Deck Penetration--(Dutiable except
             for the cost of staging)

  Item 201 - Main Boilers--(Dutiable except for the cost of
             staging)

  Item 202 - Boiler Refractory Two (2) Boilers--(Dutiable except
             for transport/crane costs and the cost of removing
             debris)

  Item 204 - Port and Stbd. Boiler Mounting, Open and Remove--
             (Dutiable except for amount of partial credit)

  Item 207 - Boiler Safety Valves--(Dutiable except for cost of
             transportation)

  Item 209 - Boiler Repairs--(Dutiable except for cost of
             transportation)

  Item 217 - Deck Penetration Eye--Hye Equipment--(Dutiable
             except for amount of partial credit)

  Item 229 - Additional--Steam Line Baskets--(Dutiable except
             for cost of transportation)

  Item 236 - Additional Work--Smoke Stack--(Dutiable except for
             the cost of staging)
                               10

  Item 301 - Tailshaft Withdrawal--(Dutiable except of the
             cost of transportation)

  Item 302 - Working Propeller Pitch Check and Polishing--
             (Dutiable except for use of crane and amount of
             partial credit)

  Item 303 - HP/L.P. Turbine Couplings and Bolts--(Dutiable
             except for the amount of partial credit)

  Item 306 - HP Turbine--(Dutiable except for cost of
             staging)

  Item 307 - L.P. Turbine--(Dutiable except cost of
             staging)

  Item 308 - Main Turbo Generator Sets--(Dutiable except for
             cost of transportation)

  Item 314 - Additional Tailshaft--(Dutiable except for cost of
             transportation)

  Item 316 - Additional Work--L.P. Turbine--(Dutiable except for
             cost of transportation)

  Item 317 - Additional Work--T.G. Sets--(Dutiable except for
             cost of transportation)

  Item 402 - Rudder Pintle Bearings Top and Bottom--(Dutiable
             except for staging and transportation)

  Item 404 - Heating Coils Hydrostatic Test and Repairs--
             (Dutiable except for amount of partial credit)

  Item 408 - Bulkhead Spool Pieces--(Dutiable except for cost of
             staging, crane and rigging)

  Item 409 - Rudder Repairs--(Dutiable except for costs of
             staging and transportation)

  Item 412 - Deepwell Cargo Pump Turbines--(Dutiable except for
             cost of transportation)

  Item 413 - Deepwell Cargo Pump Repairs--(Dutiable except for
             cost of transportation and amount of partial
             credit)

  Item 414 - Ventilation Ducts in Pump Room--(Dutiable except
             for costs of transportation, staging, rigging,
             crane and amount of partial credit)

  Item 418 - Additional Work--Steering Pumps--(Dutiable except
                               11

             for cost of transportation)

  Item 420 - Additional Work--Rudder--(Dutiable except for costs
             of staging and crane)

  Item 422 - Additional--Deepwell Pump Turbine--(Dutiable except
             for costs of transportation and staging)

  Item 424 - Additional--Pipes in Tank 3C--(Dutiable except for
             cost of transportation)

  Item 425 - Strainer Box Ballast Pump No.2--(Dutiable except
             for cost of transportation)

  Item 426 - Additional--Pipe in Tank 5C--(Dutiable except for
             cost of transportation)

  Item 501 - Sea Valves and Sea Chest Stainers--(Dutiable except
             for cost of transportation)

  Item 502 - Main Condenser--(Dutiable except for cost of
             staging)

  Item 507 - Main Circulator Worthington--(Dutiable except
             amount of partial credit)

  Item 512 - Main Condensate Pump Worthington Size 3 UZS-
             1--(Dutiable except for amount of partial credit)

  Item 513 - Auxiliary Condensate Pump--(Dutiable except for
             amount of partial credit)

  Item 515 - Feed Pump Warren Horizontal Centrifugal Six Stage
             General Electric Turbine--Special Survey--(Dutiable
             except for Part A)

  Item 524 - Boiler Feed Pump Steam Line Valve--(Dutiable except
             for amount of partial credit)

  Item 525 - Microphor Tank Renewal--(Dutiable except for cost
             of staging and crane)

  Item 530 - Additional Work--Sea Valves--(Dutiable except for
             cost of transportation)

  Item 531 - Additional Work--(Dutiable except for costs of
             rigging, crane service and staging)

  Item 534 - Additional Work--Main Circ--(Dutiable except for
             the cost of transportation)

  Item 535 - Additional Work--Aux. Circ.--(Dutiable except for
                               12

             the cost of transportation)

  Item 536 - Additional Work--F.0. Service Pump--(Dutiable
             except for the cost of transportation)

  Item 538 - Additional Work--Warren Pump--(Dutiable except for
             the cost of transportation)

  Item 540 - Additional Work--BTWH Coffin Pump--(Dutiable except
             for the cost of transportation)

  Item 541 - Additional Work--Engine Valve--(Dutiable except for
             the cost of staging and transportation)

  Item 542 - Additional Work--Sea Valve Repairs--(Dutiable
             except for the cost of transportation)

  Item 546 - Additional Work--Low Mn. Suct Strainer--(Dutiable
             except for the cost of transportation)

  Item 605 - Additional--Electric Motor--(Dutiable except for
             the cost of transportation)

  Item 704 - Hull Inserts--(Dutiable except for the cost of
             staging)

  Item 705 - Steel Repairs--(Dutiable except for the cost of
             staging and the amount of partial credit)

  Item 706 - Shaft Alley Steel Repair--(Dutiable except for the
             amount of partial credit)

  Item 707 - Boiler Flat--(Dutiable except for the amount of
             partial credit)

  Item 708 - Shaft Alley Double Bottoms--(Dutiable except for
             the amount of partial credit)

  Item 709 - Lazarette Insert/Repairs--(Dutiable except for the
             cost of staging)

  Item 711 - Additional Work--Boiler Flat--(Dutiable except for
             the cost of transportation)

  Item 713 - Additional Work--Lazarette--(Dutiable except for
             the cost of staging)

  Item 901 - Cargo Tank Coating Repair--(Dutiable except for the
             costs of staging, ventilation and lighting)

  Upon further review of the file we note that the applicant has
submitted documentation from the American Bureau of Shipping
                               13

(ABS) covering fees and charges for services rendered in
conjunction with various surveys of the subject vessel.  In this
regard we note that ABS invoice no. 830791 refers to ABS reports
LB 4476, LB 4487, and LB 4487-X.  Of these reports, only LB 4476
was contained in the file.  In order to support a claim of
nondutiability, ABS invoices and the corresponding reports must
be submitted.  Accordingly, in regard to the surveys listed on
ABS invoice no. 830791, all are considered to be non-dutiable
periodic surveys with the exception of the following: the
propeller damage and temporary repairs; rudder and rudder stock
repairs; hull damage repairs; port and starboard boiler repairs;
tanker requirements and annual load line inspection (the latter
two surveys, although listed on the ABS invoice, were not
contained in report no. LB 4476 which was the only ABS report
submitted.

  Further in this regard, we note ABS invoice no. 830792 covers
a "Statement of Fact Certificate Test Hose Handling Booms."  This
invoice refers to ABS report no. LB 4488 which was not submitted.
Accordingly, the entire cost of this item is dutiable.

  In addition, we note that although the vessel repair entry
lists anchor repairs which took place in Pembroke, England, the
file contains no documentation (i.e., invoices, bills, etc.) from
England.  Accordingly, the total cost of the materials and labor
listed on the entry for this particular items is dutiable.

HOLDING:

  The foreign work performed on the subject vessel for which the
applicant seeks relief is dutiable as noted above.

  Please advise the applicant for his information that petitions
for relief must be filed within 30 days after your decision is
mailed; further, the applicant, should a petition be filed and
subsequently denied, will be banned from further consideration
for administrative relief unless a supplementary petition or a
protest is filed within 90 days following your decision letter in
the case of a supplementary petition, or, in the case of a
protest, the time period as provided by 19 CFR 4.14(f).

                           Sincerely,




                           B. James Fritz
                           Chief
                           Carrier Rulings Branch