46 CFR § 295.22 - Commencement and termination of operations.

---
identifier: "/us/cfr/t46/s295.22"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "46 CFR § 295.22 - Commencement and termination of operations."
title_number: 46
title_name: "Shipping"
section_number: "295.22"
section_name: "Commencement and termination of operations."
chapter_name: "MARITIME ADMINISTRATION, DEPARTMENT OF TRANSPORTATION"
subchapter_number: "C"
subchapter_name: "REGULATIONS AFFECTING SUBSIDIZED VESSELS AND OPERATORS"
part_number: "295"
part_name: "MARITIME SECURITY PROGRAM (MSP)"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "46 App. U.S.C. 1171  46 App. U.S.C. 1114 (b), 49 CFR 1.66."
regulatory_source: "62 FR 37737, July 15, 1997, unless otherwise noted."
cfr_part: "295"
---


# 295.22 Commencement and termination of operations.

(a) *Time frames.* A Contractor that has been awarded a MSP Operating Agreement shall commence operations of the Eligible Vessel, under the applicable agreement or a subsequently renewed agreement, within the time frame specified as follows:

(1) *Existing vessel.* Within one year after the initial effective date of the MSP Operating Agreement in the case of a vessel in existence on that date and after notification to MARAD within 30 days of the Contractor's intent; or

(2) *New building.* Within 30 months after the initial effective date of the MSP Operating Agreement in the case of a vessel to be constructed after that date.

(b) *Unused authority.* In the event of a termination of unused authority pursuant to paragraph (a) of this section, such authority shall revert to MARAD.