P.L. 109-241 Sec. 603 Limits on Liability

SEC. 603. LIMITS ON LIABILITY.

(a) Adjustment of Liability Limits.--

(1) Tank vessels.--Section 1004(a)(1) of the Oil Pollution

Act of 1990 (33 U.S.C. 2704(a)(1)) is amended by striking

subparagraphs (A) and (B) and inserting the following:

``(A) with respect to a single-hull vessel,

including a single-hull vessel fitted with double sides

only or a double bottom only, $3,000 per gross ton;

``(B) with respect to a vessel other than a vessel

referred to in subparagraph (A), $1,900 per gross ton;

or

``(C)(i) with respect to a vessel greater than 3,000

gross tons that is--

``(I) a vessel described in subparagraph (A),

$22,000,000; or

``(II) a vessel described in subparagraph (B),

$16,000,000; or

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``(ii) with respect to a vessel of 3,000 gross tons

or less that is--

``(I) a vessel described in subparagraph (A),

$6,000,000; or

``(II) a vessel described in subparagraph (B),

$4,000,000;''.

(2) Other vessels.--Section 1004(a)(2) of such <<NOTE: 33

USC 2704.>> Act (33 U.S.C. 2794(a)(2)) is amended--

(A) by striking ``$600 per gross ton'' and inserting

``$950 per gross ton''; and

(B) by striking ``$500,000'' and inserting

``$800,000,''.

(3) <<NOTE: 33 USC 2704 note.>> Limitation on application.--

In the case of an incident occurring before the 90th day

following the date of enactment of this Act, section 1004(a)(1)

of the Oil Pollution Act of 1990 (33 U.S.C. 2704(a)(1)) shall

apply as in effect immediately before the effective date of this

subsection.

(b) Adjustment to Reflect Consumer Price Index.--Section 1004(d)(4)

of the Oil Pollution Act of 1990 (33 U.S.C. 2704(d)(4)) is amended to

read as follows:

``(4) Adjustment to reflect consumer price index.--

The <<NOTE: President. Regulations. Deadline.>> President, by

regulations issued not later than 3 years after the date of

enactment of the Delaware River Protection Act of 2006 and not

less than every 3 years thereafter, shall adjust the limits on

liability specified in subsection (a) to reflect significant

increases in the Consumer Price Index.''.

(c) <<NOTE: 33 USC 2704 note.>> Report.--

(1) Initial report.--Not later than 45 days after the date

of enactment of this Act, the Secretary of the department in

which the Coast Guard is operating shall submit a report on

liability limits described in paragraph (2) to the Committee on

Commerce, Science, and Transportation of the Senate and the

Committee on Transportation and Infrastructure of the House of

Representatives.

(2) Contents.--The report shall include, at a minimum, the

following:

(A) An analysis of the extent to which oil

discharges from vessels and nonvessel sources have or

are likely to result in removal costs and damages (as

defined in section 1001 of the Oil Pollution Act of 1990

(33 U.S.C. 2701)) for which no defense to liability

exists under section 1003 of such Act and that exceed

the liability limits established in section 1004 of such

Act, as amended by this section.

(B) An analysis of the impacts that claims against

the Oil Spill Liability Trust Fund for amounts exceeding

such liability limits will have on the Fund.

(C) Based on analyses under this paragraph and

taking into account other factors impacting the Fund,

recommendations on whether the liability limits need to

be adjusted in order to prevent the principal of the

Fund from declining to levels that are likely to be

insufficient to cover expected claims.

(3) Annual updates.--The Secretary shall provide an update

of the report to the Committees referred to in paragraph (1) on

an annual basis.