A bill to revitalize the maritime industry in the United States, and for other purposes.

Amends the Merchant Marine Act, 1936 to create a new title establishing in the Treasury the Procure and Charter Revolving Fund (Fund) to consist of all moneys appropriated to the Fund, all moneys received for the charter or disposal of vessels constructed under the title, interest and investment income and capital appreciation, and any other moneys as made available for the Fund.

Declares that, if the balance in the Fund plus anticipated moneys from charters is insufficient to support maintenance of vessels constructed under the title, the Fund shall be terminated and the vessels shall be transferred to the National Defense Reserve Fleet.

Requires the Fund to be administered by the Secretary of Transportation. Allows the Fund to be used for: (1) construction of vessels in private shipyards in the United States; (2) charter of vessels to U.S. citizens for U.S. documentation and operation in the domestic trade, foreign commerce of the United States, or international trade, or transfer of vessels constructed under the title to the National Defense Reserve Fleet. Requires vessel construction contracts under the title to be advertised and let upon sealed competitive bids.

Directs the Secretary of Transportation to construct vessels in private shipyards in the United States that are capable of serving as naval or military auxiliaries, are economically viable, or are otherwise unavailable in sufficient numbers for requisitioning in time of war or emergency.

Allows the Secretary of Transportation to charter a vessel constructed under the title to a U.S. citizen after advertisement and competitive bid or negotiated procurement.

Allows the Secretary of Transportation to: (1) dispose of a vessel constructed under the title; and (2) award a contract to the bidder with the proposal which is the most financially advantageous to the Fund.

Allows the Secretary of the Navy to incorporate sealift enhancement or national defense features in a vessel constructed under the title. Directs the Secretary to use moneys authorized to be appropriated for that purpose. Directs the Secretary of the Navy, subject to appropriations laws, to make additional payments to compensate a charterer for the loss of capacity or efficiency attributable to sealift enhancement or national defense features.

Authorizes the Secretary of Transportation to impose requirements on the charter relating to deposits, insurance, and maintenance of the vessel. Allows the Secretary to inspect a charter vessel.

Authorizes the Secretary of Transportation to terminate the charter contract under current provisions relating to requisition or purchase of vessels in time of emergency.

Sets forth a formula for a minimum charter amount.

Authorizes the Secretary of the Navy to charter a vessel constructed under the title, for use by the Navy, under specified procedures.

Declares that a U.S. citizen who charters a vessel is not eligible to receive an operating-differential subsidy (ODS) for that vessel under the Merchant Marine Act, 1936, except when the vessel is engaged as an ocean tramp.

Authorizes appropriations for FY 1989 to capitalize the Fund.

Revises or adds definitions of "privately owned United States-flag commercial vessels," "vessels of the United States," and "a United States-flag vessel eligible to carry cargoes" (under specified provisions) as these terms apply to certain existing cargo preference provisions.

Amends the Merchant Marine Act, 1936 to deem, notwithstanding any other provision, certain liner vessels to have been built in the United States for the purposes of the title relating to operating-differential subsidy, except for provisions of that title relating to capital construction funds. Allows an operator receiving or applying for ODS to acquire certain liner vessels in a foreign shipyard if that operator or another operator has placed a firm order for an equivalent vessel in a private shipyard in the United States, or has entered into a charter contract under the title created by this Act.