[Senate Report 118-22]
[From the U.S. Government Publishing Office]
Calendar No. 60
118th Congress } { Report
SENATE
1st Session } { 118-22
_______________________________________________________________________
CHANGING AGE-DETERMINED ELIGIBILITY TO STUDENT INCENTIVE PAYMENTS ACT
__________
R E P O R T
of the
COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
on
S. 467
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
May 10, 2023.--Ordered to be printed
_________
U.S. GOVERNMENT PUBLISHING OFFICE
39-010 WASHINGTON : 2023
SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
one hundred eighteenth congress
first session
MARIA CANTWELL, Washington, Chair
AMY KLOBUCHAR, Minnesota TED CRUZ, Texas
BRIAN SCHATZ, Hawaii JOHN THUNE, South Dakota
EDWARD J. MARKEY, Massachusetts ROGER WICKER, Mississippi
GARY C. PETERS, Michigan DEB FISCHER, Nebraska
TAMMY BALDWIN, Wisconsin JERRY MORAN, Kansas
TAMMY DUCKWORTH, Illinois DAN SULLIVAN, Alaska
JON TESTER, Montana MARSHA BLACKBURN, Tennessee
KYRSTEN SINEMA, Arizona TODD C. YOUNG, Indiana
JACKY ROSEN, Nevada TED BUDD, North Carolina
BEN RAY LUJAN, New Mexico ERIC SCHMITT, Missouri
JOHN HICKENLOOPER, Colorado SHELLEY MOORE CAPITO, West Virginia
RAPHAEL WARNOCK, Georgia CYNTHIA LUMMIS, Wyoming
PETER WELCH, Vermont J.D. VANCE, Ohio
Lila Helms, Staff Director
Brad Grantz, Minority Staff Director
Calendar No. 60
118th Congress } { Report
SENATE
1st Session } { 118-22
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CHANGING AGE-DETERMINED ELIGIBILITY TO STUDENT INCENTIVE PAYMENTS ACT
_______
May 10, 2023.--Ordered to be printed
_______
Ms. Cantwell, from the Committee on Commerce, Science, and
Transportation, submitted the following
R E P O R T
[To accompany S. 467]
[Including cost estimate of the Congressional Budget Office]
The Committee on Commerce, Science, and Transportation, to
which was referred the bill (S. 467) to modify the age
requirement for the Student Incentive Payment Program of the
State maritime academies, having considered the same, reports
favorably thereon with an amendment and recommends that the
bill (as amended) do pass.
Purpose of the Bill
The purpose of S. 467, the Changing Age-Determined
Eligibility To Student Incentive Payment (CADETS) Act, as
reported, is to update the age eligibility of the Maritime
Administration's Student Incentive Payment Program.
Background and Needs
S. 467, the CADETS Act, would update the Maritime
Administration's (MARAD) Student Incentive Payment (SIP)
Program's age eligibility. Currently, students must be between
the ages of 17 to 25 to qualify for the SIP Program. Students
are also required to obtain a commission in the U.S. Navy
Reserve, which accepts members between the ages of 17 and 42
depending on their prior military service.
SIP is a federally funded program that provides financial
assistance to cadets seeking to become licensed officers in the
U.S. Merchant Marine who are enrolled in the Strategic Sealift
Officer Program (SSOP) at one of six State maritime
academies.\1\ The program provides financial assistance of up
to $8,000 per school year, not to exceed 4 years or $32,000.
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\1\U.S. Department of Transportation, Maritime Administration,
``The Student Incentive Payment (SIP) Program,'' updated December 7,
2022 (https://www.maritime.dot.gov/education/maritime-academies/
student-incentive-payment-sip-program).
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Programs like SIP enable the recruitment of a wider pool of
candidates to become officers, especially prior service
military veterans. However, the merchant mariner force is at
least 1,800 officers short of wartime needs. The average age of
a merchant mariner is 47.\2\ The recruitment and training of
qualified officers to replace and expand the aging workforce is
vital to national security.
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\2\Geoffrey Brown, ``U.S. Strategic Sealift's Merchant Mariner
Problem,'' The Maritime Executive, July 2, 2021 (https://www.maritime-
executive.com/editorials/u-s-strategic-sealift-s-
merchant-mariner-problem).
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SSOP is the primary capability to supply the U.S. armed
forces globally. Having an adequate supply of officers in the
SSOP to run sealift ships is an essential component of national
defense. SSOP is composed of naval reserve officers who are
licensed U.S. Merchant Marine officers with experience in
sealift, maritime operations, and logistics. These officers are
eligible to be called up to crew the ships of the Ready Reserve
Fleet and Military Sealift Command in the event of war or
national emergencies.\3\
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\3\U.S. Navy, Naval Service Training Command, Naval Reserve
Officers Training Corps, ``Strategic Sealift Midshipman Program
(SSMP),'' (https://www.netc.navy.mil/Commands/Naval-Service-Training-
Command/NROTC/SSMP/).
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SIP requires the following post-graduation service
obligations: 3 years of service in the maritime industry,
maintenance of U.S. Coast Guard Merchant Mariner credentials
for 6 years, and service in a Naval Reserve commission as a
strategic sealift officer for 8 years. Students enrolled in the
SIP Program must apply for and be accepted as a midshipman in
the Naval or Merchant Marine Reserve and be accepted for
enlisted reserve status.\4\ Current SIP age requirements
prohibit cadets older than 25 from enrolling in the program.
State maritime academies have a number of older cadets--many of
them veterans--who currently are not eligible for the SIP
Program due to this age requirement.
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\4\U.S. Department of Transportation, Maritime Administration,
``The Student Incentive Payment (SIP) Program,'' updated December 7,
2022 (https://www.maritime.dot.gov/education/maritime-academies/
student-incentive-payment-sip-program).
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Summary of Provisions
S. 467, the CADETS Act, as reported, would allow the
Secretary of Transportation to make an agreement with qualified
students who meet the age requirement for enlistment in the
Navy Reserve at the time of graduation.
Legislative History
S. 467 was introduced on February 16, 2023, by Senator
Peters (for himself and Senators Young, Cruz, Klobuchar, Braun,
and Baldwin) and was referred to the Committee on Commerce,
Science, and Transportation of the Senate. Senator Markey is an
additional cosponsor. On March 22, 2023, the Committee met in
open Executive Session and, by voice vote, ordered S. 467
reported favorably with an amendment.
Estimated Costs
In accordance with paragraph 11(a) of rule XXVI of the
Standing Rules of the Senate and section 403 of the
Congressional Budget Act of 1974, the Committee provides the
following cost estimate, prepared by the Congressional Budget
Office:
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
S. 467 would modify the age requirement for the Maritime
Administration's (MARAD's) Student Incentive Payment (SIP)
program, which provides financial support of $8,000 each year
to cadets enrolled in the Strategic Sealift Midshipmen Program
at state maritime academies. Under current law, a student must
be between the ages of 17 and 25 at the time of enrollment to
be eligible for SIP assistance. S. 467 would extend eligibility
to students that meet the age requirement for enlistment or
commission in the Navy Reserve, which is generally between the
ages of 17 and 41, at graduation.
Using information from MARAD, CBO estimates that only a
small number of people would qualify and apply for SIP
assistance under the expanded eligibility rules and that the
costs to fund those applicants would total about $1 million
over the 2023-2028 period. In addition, CBO estimates that it
would cost the agency less than $500,000 to amend the SIP
program's guidelines, forms, and regulations. In total, CBO
estimates that implementing S. 467 would cost $1 million over
the 2023-2028 period; such spending would be subject to the
availability of appropriated funds.
The CBO staff contact for this estimate is Aaron Krupkin.
The estimate was reviewed by H. Samuel Papenfuss, Deputy
Director of Budget Analysis.
Phillip L. Swagel,
Director, Congressional Budget Office.
Regulatory Impact Statement
In accordance with paragraph 11(b) of rule XXVI of the
Standing Rules of the Senate, the Committee provides the
following evaluation of the regulatory impact of the
legislation, as reported:
NUMBER OF PERSONS COVERED
S. 467 would expand the age eligibility for an already
existing student financial aid program for maritime academies
and, therefore, will not subject any individuals or businesses
to new regulations.
ECONOMIC IMPACT
S. 467 is anticipated to have a positive economic impact by
expanding the recruitment and training potential for the U.S.
Merchant Marine, a workforce that is currently aging and in
need of growth to keep up with economic and national security
demands.
PRIVACY
S. 467 would not have any adverse impact on the personal
privacy of the individuals.
PAPERWORK
S. 467 would expand age eligibility for an existing
educational financial assistance program and would not generate
additional paperwork.
Congressionally Directed Spending
In compliance with paragraph 4(b) of rule XLIV of the
Standing Rules of the Senate, the Committee provides that no
provisions contained in the bill, as reported, meet the
definition of congressionally directed spending items under the
rule.
Section-by-Section Analysis
Section 1. Short title.
This section would provide that the bill may be cited as
the ``Changing Age-Determined Eligibility To Student Incentive
Payments Act'' or the ``CADETS Act''.
Section 2. Age requirement for the Student Incentive Payment Program of
the State Maritime Academies.
This section would amend section 51509 of title 46, United
States Code, to allow the Secretary of Transportation to enter
into financial assistance agreements for the SIP Program with
students who meet the age requirement for enlistment or
commission in the U.S. Navy Reserve at the time of graduation
from their State Maritime Academy.
Changes in Existing Law
In compliance with paragraph 12 of rule XXVI of the
Standing Rules of the Senate, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
material is printed in italic, existing law in which no change
is proposed is shown in roman):
* * * * * * *
UNITED STATES CODE
* * * * * * *
TITLE 46--SHIPPING
* * * * * * *
Subtitle V--Merchant Marine
* * * * * * *
PART B--MERCHANT MARINE SERVICE
* * * * * * *
CHAPTER 515--STATE MARITIME ACADEMY SUPPORT PROGRAM
* * * * * * *
Sec. 51509. Student incentive payment agreements
(a) * * *
* * * * * * *
(h) * * *
(i) Age Requirement.--The Secretary may make an agreement
under this section only with a qualified student who will meet
the age requirement for enlistment or commission in the Navy
Reserve at the time of graduation from the academy.
* * * * * * *
[all]