d.
14 U.S.C. SS 147. Authorizes the Coast Guard to cooperate with the Department of
Commerce.
e.
14 U.S.C. SS 148. Authorizes the Coast Guard to provide certain maritime
instruction.
7.
PROHIBITED INDEMNIFICATION AGREEMENTS OR CLAUSES. An agreement to
indemnify is an agreement to assume financial, legal, or other liabilities on behalf of that
other party. Neither the Coast Guard nor any person in the Coast Guard may agree to
indemnify any other party absent specific federal statutory authorization. Federal law,
31 U.S.C. SS 1341(a)(1)(A) and 1341(a)(1)(B), commonly referred to as the Anti-
Deficiency Act, prohibits all officers and employees of the United States from making or
authorizing expenditures or obligations exceeding appropriated funding and from obligating
payment of money before it is appropriated. A typical indemnification clause violates both
provisions of that Act because it potentially obligates the federal government (or Coast
Guard) to pay an unspecified, unlimited, and unappropriated amount of money should
someone else's property be lost, damaged or destroyed, some person be injured or killed, or
other parties to the MOU/MOA incur legal liabilities or expenses. Should any prospective
party to a MOU/MOA request or demand that the Coast Guard agree to an indemnification
clause, contact the Chief Counsel's office (G-LGL) for assistance.
8.
FORMAT. Enclosure (1) is the format for a two-party MOU/MOA used when the
MOU/MOA originates with the Coast Guard. The wording of the agreement may be
appropriately changed to reflect multiple parties. Enclosure (1) may also be tailored to
accommodate the subject matter of the agreement and needs of the parties, or to conform to
an applicable law, regulation or directive. If a party other than the Coast Guard originates
the MOU/MOA, the format may differ from enclosure (1). However, every MOU/MOA in
which the Coast Guard is a party should include the following basic information:
a.
Parties. The parties to be bound by the agreement must be identified.
b.
Authority. The legal authority for the agreement must be cited. Federal law,
applicable DOT Orders, Commandant Instructions or other directives are referenced.
c.
Purpose. The purpose or reason for entering the agreement must be stated.
d.
Responsibilities. A description of the duties and responsibilities of the parties must be
provided. The description should be as specific and detailed as necessary. Extreme
details may be provided in an appendix rather than the body of the MOU/MOA.
e.
Reporting and Documentation. The MOU/MOA must specify whether follow-up
reports or documentation of actions taken are required and state how often and to
whom they are to be submitted.
f.
Points of Contact. Points of Contact for all parties are provided, including names,
office symbols, addresses and phone numbers. Fax numbers, e-mail and Internet
addresses should
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