Subchapter M at a glanceDec 1, 2017 01:11 PM
Subchapter M became law on June 20, 2016, creating a comprehensive towing vessel safety system that includes company compliance, vessel compliance, vessel standards and oversight.
The rule, with exceptions, applies to all U.S.-flag towing vessels 26 feet or more and those less than 26 feet moving a barge carrying oil or hazardous material in bulk. It lays out inspection criteria as well as new equipment, construction and operational requirements for towing vessels.
The rule affects approximately 5,500 towing vessels engaged in pushing, pulling or hauling, and the 1,096 companies that own or operate them. Towing vessels not covered by the rule include those inspected under Subchapter I, workboats and recreational towing vessels.
The annual cost to the towing industry for Subchapter M compliance will be $32.7 million, according to the final rule published in the Federal Register. Government costs are expected to be $8.8 million per year.
Based on the mitigation of risks from towing vessel accidents in terms of lives lost, injuries, oil spilled and property damage, the rule is expected to yield an annual net benefit of $4.9 million.