The United States Coast Guard has proposed an update to its Streamlined Inspection Program (SIP) to reflect advances in digital recordkeeping, vessel maintenance systems, third-party auditing and risk-based verification.
Originally established in 1994, SIP provides an alternative, company-managed approach to demonstrating compliance with U.S. vessel inspection regulations. Draft Navigation and Vessel Inspection Circular (NVIC) 02-99, Change 1 would move the program away from legacy paper records and prescriptive annual physical inspections toward a more data-driven model.
Major Changes Proposed
The draft guidance would:
- Use existing QMS, SMS or TSMS programs
- Expand tank barge flexibilities nationwide
- Introduce risk-based document verification
- Encourage digital compliance records
- Recognize qualified third-party audits
- Simplify deficiency reporting and correction
- Allow certain minor, non-structural temporary repairs without prior Coast Guard approval or survey
- Introduce probation as an intermediate step before disenrollment
- Add national oversight of disenrollment decisions
What Could This Mean for Vessel Operators?
If adopted, the changes could reduce duplicated inspections and administrative work for operators with strong compliance and maintenance systems. They would also place greater emphasis on the quality, consistency and accessibility of vessel records.
Digital systems alone do not ensure compliance. Maintenance records, deficiency reports, inspection findings and corrective actions must accurately reflect vessel condition and demonstrate that required work has been properly managed.
This makes it important for operators to review both their engineering practices and the documentation supporting them. NETSCo can assist with condition surveys, structural and finite element analysis, stability evaluations, machinery and systems engineering, and class and flag documentation. Our team can also review vessel regulatory records and recommend best practices for maintaining compliance.
Public Comments Due September 23
Comments on the draft must be submitted by September 23, 2026, using docket number USCG-2026-0041.
Review the USCG Maritime Commons summary or read the Federal Register notice and submit comments.