United States Court of Appeals for the Fifth Circuit ____________ United States Court of Appeals Fifth Circuit

No. 23-20118 FILED April 17, 2024 ____________ Lyle W. Cayce Diamond Services Corporation, Clerk

Plaintiff—Appellant,

versus Curtin Maritime Corporation; Department of Homeland Security; National Vessel Documentation Center; United States Coast Guard; United States of America; Commandant Linda L. Fagan, United States Coast Guard; Port of Houston Authority,

Defendants—Appellees. ______________________________

Appeal from the United States District Court for the Southern District of Texas USDC No. 4:22-CV-2117 ______________________________ Before Richman, Chief Judge, and Haynes and Duncan, Circuit Judges. Stuart Kyle Duncan, Circuit Judge: Under federal law, vessels may dredge in United States waters only if they are “built in the United States.” The agency tasked with making this determination is the United States Coast Guard. Curtin Maritime Corporation (“Curtin”) sought the Coast Guard’s ruling that its dredging barge, the DB AVALON (“AVALON”), could operate in United States Case: 23-20118 Document: 68-1 Page: 2 Date Filed: 04/17/2024

No. 23-20118

waters, despite the fact that the vessel would incorporate foreign-made spuds and a crane. The Coast Guard ruled the AVALON would be considered United States-built. One of Curtin’s competitors challenged that ruling as arbitrary and capricious. The district court deferred to the Coast Guard’s reasonable interpretation of its own regulations, see Kisor v. Wilkie, 139 S. Ct. 2400, 2415 (2019); Auer v. Robbins, 519 U.S. 452 (1997), and granted the Coast Guard summary judgment. We AFFIRM. I. A. Federal law imposes certain requirements before a vessel may dredge in the navigable waters of the United States. Among other things, a vessel must have “a certificate of documentation [“COD”] with a coastwise endorsement.” 46 U.S.C. § 55109(a)(3). 1 CODs are issued by the National Vessel Documentation Center (“NVDC”), an arm of the Coast Guard. Only vessels “built” or “rebuilt” in the United States are eligible for a coastwise endorsement. Id. §§ 12112(a)(2)(A), 12132(b). A vessel is rebuilt in the United States “only if the entire rebuilding, including the construction of any major component of the hull or superstructure, was done in the United States.” Id. § 12101(a). Coast Guard regulations flesh out this statutory framework. The regulations consider a vessel built in the United States if (1) “[a]ll major components of its hull and superstructure are fabricated in the United States,” and (2) “[t]he vessel is assembled entirely in the United States.” 46 C.F.R. § 67.97(a), (b). Conversely, a vessel is “deemed rebuilt foreign” (hence, not built or rebuilt in the United States) when “any considerable part _____________________ 1 The vessel must also be wholly owned by and, if applicable, chartered by U.S. citizens. See id. § 55109(a)(1), (2).

2 Case: 23-20118 Document: 68-1 Page: 3 Date Filed: 04/17/2024

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of its hull or supers