The Federal Maritime Commission (FMC) is currently inviting public comments on the information collection requirements associated with its financial responsibility regulations for cruise lines and other passenger vessel operators (PVOs). These requirements apply to cruise lines that embark passengers at US ports and operate vessels with 50 or more passenger berths.

Under 46 CFR part 540, cruise operators must demonstrate financial responsibility to (1) cover liability for death or injury to passengers, and (2) indemnify passengers in the event of nonperformance of transportation. The Commission is now reviewing these requirements as part of a review of the administrative burden of these requirements with the Office of Management and Budget (OMB) pursuant to the Paperwork Reduction Act.

This is a timely opportunity for cruise lines to share their perspectives on the administrative burden and practical impact of these long-standing regulations.

Through the comment period, the FMC is seeking input on the following:

• Whether the information collection is necessary and useful for the FMC’s regulatory function;
• The accuracy of the estimated reporting burden;
• Ways to enhance the quality, utility, and clarity of the information collected; and
• Methods to minimize the collection burden through improved technology or automation.

Why This Matters

While the scope of the current notice is limited to information collection, this process is often a precursor to deeper regulatory review. Cruise lines that find the reporting requirements particularly burdensome — or believe more efficient processes could be implemented — have a unique window to raise those concerns and propose improvements before the FMC proceeds with adjustments to this process.

How We Can Help

Our team is available to assist cruise line clients in evaluating whether to submit comments and in drafting input that effectively communicates operational realities and legal concerns. For clients who have encountered friction in meeting the FMC’s documentation or certification requirements, this is an opportunity to have your voice heard.

The comment deadline is July 16, 2025.

If you have questions or are considering submitting a comment, please contact us to discuss your position and how best to engage in this process.