ALCOAST 014/09 COMDTNOTE 16700 SUBJ: CANCELLATION OF NAVIGATION AND VESSEL INSPECTION CIRCULAR (NVIC) 05-05, AS AMENDED, GUIDANCE ON ASSESSING THE SUITABILITY OF A WATERWAY FOR LIQUEFIED NATURAL GAS (LNG) MARINE TRAFFIC, AND RELEASE OF NVIC 05-08 GUIDANCE RELATED TO WATERFRONT LIQUEFIED NATURAL GAS (LNG) FACILITIES ACTION 1. EFFECTIVE IMMEDIATELY NVIC 05-05, AS AMENDED, IS CANCELLED AND NVIC 05-08 IS RELEASED. 2. NVIC 05-08 OUTLINES THE CURRENT COAST GUARD POLICY ON WATERFRONT LNG FACILITIES. IT SUPERCEDES NVIC 05-05 AND SHOULD BE USED TO PROVIDE GUIDANCE TO PROPOSED OPERATORS OF LNG FACILITIES AS WELL AS COTPS TO DEVELOP THEIR RECOMMENDATION TO THE FEDERAL ENERGY REGULATORY COMMISSION (FERC) ON THE SUITABILITY OF A WATERWAY FOR A PROPOSED LNG FACILITY. 3. PROGRAM POLICY CHANGES INCLUDE: A. CLARIFICATION OF THE ROLE OF THE LETTER OF RECOMMENDATION (LOR) AS A GUIDANCE DOCUMENT VICE A "MAJOR FEDERAL ACTION" B. EMPHASIS ON THE COAST GUARDS ROLE AS A "COOPERATING AGENCY" TO (FERC) FOR THEIR NEPA PROCESS C. REPLACES THE WATERWAY SUITABILITY REPORT (WSR) WITH A LOR ANALYSIS DOCUMENT THAT PROVIDES FERC WITH INFORMATION NEEDED FOR THEIR NEPA ANALYSIS D. ESTABLISHES A TIMELINE FOR SUBMITTING THE COAST GUARDS RECOMMENDATIONS ON THE SUITABILITY OF THE WATERWAY TO FERC. 3. CAPTAINS OF THE PORT WHO HAVE ALREADY ISSUED A WSR FOR LNG PROJECTS CURRENTLY UNDER REVIEW AND/OR AWAITING FINAL ACTION BY THE COAST GUARD SHOULD CONSIDER THE WSR EQUIVALENT TO THE LOR ANALYSIS DESCRIBED IN NVIC 05-08. COTPS SHOULD CONSIDER THE INFORMATION IN NVIC 05-08 AND TAKE ACTION, AS APPROPRIATE, TO COMPLETE THE PROCESS OF ISSUING A LOR AS REQUIRED BY 33 CFR 127.009. 4. ANY QUESTIONS CONCERNING THIS ALCOAST SHOULD BE DIRECTED TO CDR PATRICK CLARK AT (202) 372-1410 OR MR. KEN SMITH AT (202) 372-1413. 5. RADM BRIAN M. SALERNO, ASSISTANT COMMANDANT FOR MARINE SAFETY, SECURITY, AND STEWARDSHIP, SENDS. 6. INTERNET RELEASE AUTHORIZED