[Code of Federal Regulations]
[Title 20, Volume 3]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 20CFR702.175]

[Page 874]
 
                      TITLE 20--EMPLOYEES' BENEFITS
 
  CHAPTER VI--EMPLOYMENT STANDARDS ADMINISTRATION, DEPARTMENT OF LABOR
 
PART 702--ADMINISTRATION AND PROCEDURE--Table of Contents
 
                      Subpart A--General Provisions
 
Sec. 702.175  Effect of work on excluded vessels; reinstatement of certification.

    (a) When a vessel other than a small commercial vessel, as defined 
in Sec. 702.172, enters a facility which has been certified as exempt 
from coverage, the exemption shall automatically terminate as of the 
date such a vessel enters the facility. The exemption shall also 
terminate on the date a contract for a Federal maritime subsidy is 
entered into, and, in the situation where the facility undertakes to 
build a vessel other than a small vessel, when the construction first 
takes on the characteristics of a vessel, i.e., when the keel is laid. 
All duties, obligations and requirements imposed by the Act, including 
the duty to secure compensation liability as required by sections 4 and 
32 of the Act, 33 U.S.C. 904 and 932, and to keep records and forward 
reports, are effective immediately. The employer shall notify the 
Director or his/her designee immediately where this occurs.
    (b) Where an exemption certification is terminated because of 
circumstances described in (a), the employer may apply for reinstatement 
of the exemption once the event resulting in termination of the 
exemption ends. The reapplication shall consist of a reaffirmation of 
the nature of the business, an explanation of the circumstances leading 
to the termination of exemption, and an affidavit by the appropriate 
person affirming that the circumstances prompting the termination no 
longer exists nor will they reoccur in the forseeable future and that 
the facility is engaged in building, repairing or dismantling 
exclusively small vessels. The Director or the Director's designee shall 
respond to the complete reapplication within ten working days of 
receipt.

[50 FR 397, Jan. 3, 1985, as amended at 51 FR 4283, Feb. 3, 1986]