MARITIME TRAINING For training cadets as officers of the Merchant Marine at the Merchant Marine Academy at Kings Point, New York; not to exceed $2,500 for contingencies for the Superintendent, United States Merchant Marine Academy, to be expended in his discretion; purchase of one passenger motor vehicle for replacement only; and uniform and textbook allowances for cadet midshipmen, at an average yearly cost of not to exceed [$300] $400 per cadet; [$4,484,000, of which $750,000 shall remain available until expended for construction of a library building] $3,950,000: Provided, That, except as herein provided for uniform and textbook allowances, this appropriation shall not be used for compensation or allowances for cadets: Provided further, That reimbursement may be made to this appropriation for expenses in support of activities financed from the appropriations for "Research and development" and "Ship construction". (Department of Commerce Appropriation Act, 1965.) Program and Financing (in thousands of dollars) 67 740 147 Public Law 415, 84th Congress (70 Stat. 25) established the Merchant Marine Academy at Kings Point, N.Y., to provide a program for the training of officers for service in the merchant marine. A 4-year training course is provided, including 1 year of sea duty, designed to qualify graduates for licenses as merchant marine officers. The Academy provides subsistence, quarters, tuition, uniform and textbooks allowance, and medical care for the cadets. A cadet training liaison staff in Washington, D.C., provides staff assistance to the Maritime Administrator on training matters and assists in the selection and appointment of cadets. Object Classification (in thousands of dollars) Identification code 06-70-1707-0-1-502 Identification code 06-70-1707-0-1-502 Program by activities: Permanent positions.. 11.3 Operating costs: Positions other than 6 6 11.4 Special personal service payments. Other personnel compensation.. 56 33 56 24 Unfunded adjustments to operating costs: Property transferred in without charge... 164 179 179 -50 21.0 Total operating costs, funded. Capital outlay... 3,174 153 22.0 Transportation of things. Travel and transportation of persons.. 80 3 23.0 899 Rent, communications, and utilities. 24.0 Printing and reproduction.. 81 11 25.1 Other services. 631 3,327 Change in selected resources 1. 140 25.2 Services of other agencies. 1 1 26.0 Supplies and materials.. 442 31.0 Equipment... 185 32.0 Lands and structures.. 106 STATE MARINE SCHOOLS For financial assistance to State marine schools and the students thereof as authorized by the Maritime Academy Act of 1958 (72 Stat. 622-624), [$1,725,000] $1,600,000, of which [$540,000] $360,000 is for maintenance and repair of vessels loaned by the United States for use in connection with such State marine schools, and [$1,185,000] $1,240,000, to remain available until expended, is for liquidation of obligations incurred under authority granted by said Act, to enter into contracts to make payments for expenses incurred in the maintenance and support of marine schools, and to pay allowances for uniforms, textbooks, and subsistence of cadets at State marine schools. (Department of Commerce Appropriation Program and Financing (in thousands of dollars) Act, 1965.) enrolled; (b) allowance to cadets for uniforms, textbooks, and subsistence; and (c) repairs to Federal training vessels loaned to the schools. The Maritime Academy Act (72 Stat. 622) provides contract authority for the Secretary of Commerce to enter into agreements with States to provide these grants and allowances over a 4-year period. This act provides contract authority without limit as to amount or fiscal year. The new obligational authority includes the estimated obligations to be incurred under this authority. Maintenance and repair of training vessels are accomplished through annual appropriations. Object Classification (in thousands of dollars) GENERAL PROVISIONS-MARITIME ADMINISTRATION No additional vessel shall be allocated under charter, nor shall any vessel be continued under charter by reason of any extension of chartering authority beyond June 30, 1949, unless the charterer shall agree that the Maritime Administration shall have no obligation upon redelivery to accept or pay for consumable stores, bunkers, and slop-chest items, except with respect to such minimum amounts of bunkers as the Maritime Administration considers advisable to be retained on the vessel and that prior to such redelivery all consumable stores, slop-chest items, and bunkers over and above such minimums shall be removed from the vessel by the charterer at his own expense. Notwithstanding any other provision of this Act, the Maritime Administration is authorized to furnish utilities and services and make necessary repairs in connection with any lease, contract, or occupancy involving Government property under control of the Maritime Administration, and payments received by the Maritime Administration for utilities, services, and repairs so furnished or made shall be credited to the appropriation charged with the cost thereof: Provided, That rental payments under any such lease, contract, or occupancy on account of items other than such utilities, General and special funds-Continued GENERAL PROVISIONS-MARITIME ADMINISTRATION-Continued services, or repairs shall be covered into the Treasury as miscellaneous receipts. No obligations shall be incurred during the current fiscal year from the construction fund established by the Merchant Marine Act, 1936, or otherwise, in excess of the appropriations and limitations contained in this Act, or in any prior appropriation Act, and all receipts which otherwise would be deposited to the credit of said fund shall be covered into the Treasury as miscellaneous receipts. (Department of Commerce Appropriation Act, 1965.) 1 Balances of selected resources are identified on the statement of financial condition. Under the Merchant Marine Act, 1936, the Maritime Administration received authority to insure construction loans and mortgages with aggregate outstanding balances of up to $1 billion, on certain types of cargo- and passengercarrying vessels. Budget program.-The fund reflects the sale in 1965 of the SS Titan for $8.3 million, involving a $7.3 million, 15 year mortgage. A loss of $3.4 million was incurred incident to default of the insured mortgage of this vessel, which is the difference between the acquisition cost of mortgage and the sale price. No additional mortgage defaults are reflected in the estimates for 1965 and 1966. Financing. The redemption of defaulted loans or mortgages is financed from insurance premiums and fees, together with such amounts as may be made available by borrowings from the Treasury Department, pursuant to Public Law 85-520 (72 Stat. 358). During 1964, Treasury loan totaling $5.1 million was made to purchase defaulted mortgages guaranteed by the Maritime Administration on SS Goldstream and SS New Yorker. Operating results and financial condition.-As of June 1964, balances outstanding plus commitments for additional ship mortgages total $454.5 million. The outstanding balances for loans and mortgages at the end of 1965 and 1966 are projected at $513 million and $580 million, respectively. During 1964 an advance of $266 thousand was made to a mortgagor with depleted working capital to meet a semi-annual mortgage installment. To avoid mortgage defaults two deferments in the amouut of $2.3 million were authorized during 1964. No additional funds are programmed for advances in 1965 and 1966. Earnings resulting from premium and interest receipts, are retained to meet possible additional requirements for advances to mortgagors. The fund in 1965 and 1966 reflects Treasury borrowing repayments of $4.2 million and $4.8 million, respectively. During 1964 repayments of $4.4 million were made of which $1.2 million was for Treasury borrowings and the remainder for liquidation of liability to the general fund. Revenue, Expense, and Retained Earnings (in thousands of dollars) -2,689 -870 -2,579 -819 -299 -515 -2,640 -1,183 -644 -264 -1,041 -48 -23 year: Treasury balance. -432 U.S. securities (par). -3,520 -758 24.98 Unobligated balance available, end of year: Treasury balance.... U.S. securities (par). 25.47 Unobligated balance lapsing (repayment of borrowings from Treasury): Authorization to spend from public debt receipts.. VESSEL OPERATIONS REVOLVING FUND-continued 2. Charter operations.-As of June 30, 1964, there were three Government-owned vessels under charter to private operators. 3. Experimental ship operations.-The 1966 estimate provides for the costs of operating the NS Savannah through June 30, 1966. Included are crew salaries and training expenses, subsistence, maintenance and repair of the vessel, maintaining and operating the nuclear propulsion plant, insurance, port expense, service and husbanding contracts, agent's compensation, procurement of spare parts, etc. In 1966 the ship will make domestic and foreign voyages, either by agent contract or commercial charter operation. Financing.-Expenses are financed from revenue and reimbursements from Military Sea Transportation Service and other appropriations, in accordance with 65 Stat. 59. Operating results and financial condition-1. Vessel operations.-Rates charged the Military Sea Transportation Service cover full costs arising under general agency agreement for ship operations. 2. Charter operations.-A net income of $93 thousand will result from operation of charters to private operators in 1966. The $334 thousand net income for 1964 is due largely to charter hire adjustment of prior year contracts. The fund may be reimbursed from research and development appropriation for losses incurred under commercial charter of NS Savannah. 3. Experimental ship operation-NS Savannah.—The full costs of operating the NS Savannah are charged to the fund. Operating costs are partially offset by revenue from passenger and commercial cargo estimated at $500 thousand. The fund is also reimbursed for losses incurred in operation of the NS Savannah from the research and development appropriation. Revenue, Expense, and Retained Earnings (in thousands of dollars) |