Coast Guard Commercial Vessel Compliance (CVC) Office Chief, Capt. Mark Neeland, provided an overview of the CVC’s policies during a 2025 MariTrends presentation.
“The mission here is to develop (and) maintain policy standards for prevention activities of the Coast Guard to achieve marine safety, security, and stewardship mission success,” Neeland said. The CVC office is split into four divisions overseeing domestic vessels, port state control, commercial fishing vessel safety standards, and U.S.-flagged deep-draft vessels operating globally.
Neeland said the U.S. passenger vessel fleet currently totals 6,758 active vessels. Excursion vessels make up the largest segment at 41%, followed by charter fishing vessels (14%); ferries (9%); cruises, crew boats and water taxies (7% each); and diving, parasailing, and sailing vessels (3-4% each). Geographically, Florida, Georgia, and South Carolina account for the largest share of vessels (Southeast District 7, 1,380 boats), with New England (District 1, 1,310 boats) and the Gulf Coast (District 8, 1,031 boats) following closely. Neeland noted that over the past five years, the passenger vessel population grows by an average of 661 vessels annually.
Inspections are a cornerstone of the CVC’s operations. Annually, the Coast Guard conducts approximately 12,000 inspections, identifying around 19,000 deficiencies. “Our inspectors work tirelessly to ensure compliance while addressing issues promptly to avoid disruptions to operations,” Neeland emphasized.
Key deficiency categories include structural issues (19.5%), propulsion and auxiliary machinery (15%), and lifesaving appliances (14%). Fire safety, previously a leading concern, has seen improvement. “You, as operators, are doing a great job addressing fire safety issues. Concentrated inspection campaigns are yielding results,” Neeland said.
Neeland then spoke to the Coast Guard’s risk-based inspection program, which assesses vessels by analyzing casualty data and vessel characteristics to prioritize inspections. Neeland offered a scenario where factors such as hull material, passenger capacity, and operating routes play significant roles.
“Whenever the Coast Guard generally talks about risk, we ultimately look at this equation...Risk is equal to probability times the severity of an incident,” Neeland explained. “If…a wood boat has a serious marine casualty, then there may come out that there's a correlation between wood as a hull material, and so as a result, or wood vessels will increase. So that's one thing. Just as an operator, when we're doing risk based, if somebody has a boat a lot like yours, would have a marine casualty, it counts against you on the probability side of the risk equation.
“The severity really is, ‘How bad would things be if they went wrong?’ And really, when we take a look at the severity, we're looking primarily at passenger counts, right? The more passengers you have, the worse a potential outcome could be. And then we're looking at your route. If you're operating on a very short route, chances are you have a lot more resources available to you where, if you're offshore and something goes bad, it's just far more challenging to potentially get out there, so the severity could be far worse,” Neeland noted. “When we talk about a risk based inspection program, the objective is to increase oversight on small passenger vessels where we think have the highest risk factors.”
Neeland mentioned the appeals for inspection-related issues, which he outlined as a good means of checks and balances. “Appeals are a good thing,” he said. “They provide opportunities to refine policies and improve inspector training. While most appeals are resolved at the local or district level, a few reach headquarters.”
Looking ahead, the Coast Guard is addressing several significant regulatory challenges. One of the key focus areas is workforce training and qualification. The modernization of the Coast Guard’s training program is aimed at enhancing the effectiveness and efficiency of marine inspectors. The new approach involves hybrid learning systems and more practical, on-the-job training, allowing trainees to begin their education without waiting for a quota at the training center in Yorktown. Neeland noted this change promises to increase training capacity and efficiency, ensuring that inspectors are better equipped to handle the complexities of marine inspections.
Meanwhile, Neeland said the Coast Guard continues to make progress in other areas of marine safety, such as the implementation of cybersecurity regulations, the oversight of alternative fuels like ammonia and hydrogen, and the development of regulations under the Vessel Incidental Discharge Act (VIDA). These initiatives, Neeland said, are eating up a significant amount of staff resources with each of these areas requiring careful consideration and coordination to ensure that safety standards evolve in line with emerging technologies and industry practices.
