Documentation versus State Registration

S

SailMaster

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Mar 31, 2012
139
Nord Cantieri 38 St Marys
Hello All,

We just recently moved from Florida to Georgia and I am considering applying for Fed Documentation. Id like to know what the advantages are of either direction. The vessel has never been documented before.

Thanks in advance
 
Terry Cox

Terry Cox

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Dec 25, 2000
5,939
Hunter Passage 42 Shelter Bay, WA
Our State requires registration regardless. It makes some sense to document your vessel with the Coast Guard if you have plans to sail your boat out of the country. Documenting is supposed to help with vessel recovery in the event some foreign country seizes it. No experience here, but that is my opinion and I'm sticking with it.
 
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PaulK

PaulK

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Dec 1, 2009
1,415
Sabre 402 Southport, CT
Documentation also enables liens to be traced more easily, making it easier to sell the boat when that time comes. The buyer can make sure the title is clear in one operation, instead of having to check in every state you may have visited in the boat and had work done. Our state requires paying the registration fee also, but if you're documented you don't have to put the state registration numbers on the bow, so it looks nicer.
 
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berner73

berner73

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Jul 26, 2009
291
. . .
Not specific to FL, but this is a recent thread related to your question. Suggest you do a search here and CF/Sailnet to learn more.

www.sailnet.com

Should I transfer CG Documentation?

I just bought an 1987 O'day 322. The previous owner has it documented, I got the notarized bill of sale from him and was all set to transfer the documentation until I saw the $348 fee while finishing up the app online. Now I'm wondering if it's really worth it, I know what BOAT stands for, but I...
www.sailnet.com www.sailnet.com
 
C

Capt jgw

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Feb 8, 2014
1,300
Columbia 36 Muskegon
PaulK said:
Documentation also enables liens to be traced more easily, making it easier to sell the boat when that time comes. The buyer can make sure the title is clear in one operation, instead of having to check in every state you may have visited in the boat and had work done. Our state requires paying the registration fee also, but if you're documented you don't have to put the state registration numbers on the bow, so it looks nicer.
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Actually federal law prohibits putting state numbers on documented vessels, so it's the same everywhere. I wish they'd prohibit the states from requiring registration, but that ain't gonna happen.
 
Don S/V ILLusion

Don S/V ILLusion

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Sep 25, 2008
7,460
Alden 50 Sarasota, Florida
Capt jgw said:
Actually federal law prohibits putting state numbers on documented vessels, so it's the same everywhere. I wish they'd prohibit the states from requiring registration, but that ain't gonna happen.
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It’s more a difference of WHERE the numbers go.
 
D

dlochner

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Jan 11, 2014
13,010
Sabre 362 113 Fair Haven, NY
In the vast majority of states, it is not an either or decision. Most states require boats that are in the state over a specified period of time be registered in that state regardless of whether they are documented or not. This ensures that sales tax has been paid and the registration fees go to support the state in which the boat is used. Not all boats are eligible for documentation, only boats meeting a minimum tonnage are eligible.

While many (most) states provide titles for boats it can be hard to trace them across state lines. Documentation provides a central registry of ownership. Banks often require boats to be documented for this reason.

Documented boats that are also state registered can not display the state registration numbers, however, they can be required to display annual registration decals. Documented boats must have the documentation numbers attached to the boat in a manner where the removal of those numbers would be obvious. In the days of wooden ships, the number was often carved into a deck beam.
 
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BigEasy

BigEasy

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Jun 21, 2004
2,920
Beneteau 343 Slidell, LA
DLochner has it correctly summed up.
When I documented my boat, it had to be registered in LA also, and appropriate sales tax paid. It could not be titled in LA because it was Coast Guard documented. So there is an important distinction in a given state regarding registration & title. Apparently, the Coast Guard documentation certificate is considered a title. If your boat is not Coast Guard documented, state registration is required as well as a state title. I am not required to place state registration numbers on the starboard and port bow topside because it is Coast Guard documented; however, a small square registration decal, that has an expiration date, is required. A new decal is issued every couple years, and you guessed it, a renewal registration fee is paid.
 
B

Benny17441

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May 24, 2004
7,174
CC 30 South Florida
Documentation is mainly used in cases where the Boat purchase is financed by a Bank or Finance Co. It allows the lender to perfect a collateral lien on the boat as loan security. A lien on a DMV Title does not afford them the security they require and will insist that the buyer Document the boat. The other main reason why a boat may be documented is if it will will travel extensively internationally or if it will be docked or stored at a foreign Country. It will facilitate the entering and departing procedures overseas as well as an overseas sale. Documentation is all about Title, each State also has their own registration requirements and usage fees. You will still be required to get the sticker decals and pay a yearly registration fee in the State where you may decide to keep the Boat. The USCG Documentation also carries a yearly fee as opposed to a DMV Title which only carries a fee at the time of issue for as long as you own the boat. It costs to Document a boat and unless there is a valid reason for it to document one is unwarranted.
 
BigEasy

BigEasy

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Jun 21, 2004
2,920
Beneteau 343 Slidell, LA
Benny17441 said:
Documentation is mainly used in cases where the Boat purchase is financed by a Bank or Finance Co. It allows the lender to perfect a collateral lien on the boat as loan security. A lien on a DMV Title does not afford them the security they require and will insist that the buyer Document the boat.
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Benny, not sure about this, because the PO of my boat, purchased new and financed thru a bank in ‘07; however, it was not documented. I decided to document when I purchased it in 2012.
 
Valiant

Valiant

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Oct 12, 2020
1
Hunter 40.5 Avondale,Az
First time US doc registration is around $350. Every year after that just $75. Way cheaper if boat is in California to go US Reg instead of state!
 
nightowle

nightowle

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Aug 28, 2006
578
Bavaria 35E seattle
Big Easy: not all lenders require CG documentation. In WA it is most often seen where the purchase price is over $100k. But it's always up to the individual lender as to whether they will require CG documentation. That's why some boats that have or had loans might not be documented.
 
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D

dlochner

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Jan 11, 2014
13,010
Sabre 362 113 Fair Haven, NY
Valiant said:
First time US doc registration is around $350. Every year after that just $75. Way cheaper if boat is in California to go US Reg instead of state!
Click to expand
The annual fee is $26 if you renew your documentation through the USCG Documentation Center. A 5 year option is available for 5 times the annual cost.

The renewal process is painless, go to the website complete the renewal form and pay the fee. Takes minutes. There are companies that will do this for you for a fee. Collecting $50 for a 5 minute task is a good job if you can get it.

 
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sail sfbay

sail sfbay

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Feb 21, 2013
4,638
Hunter 46 Point Richmond, CA
SailMaster said:
.........Id like to know what the advantages are of either direction.............
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In addition to what others have said, a documented boat creates a boat name and hailing port history. For example, a boat I just bought was previously named Virginia Ann hailing from Los Angeles CA, Miller Time hailing from San Diego CA, 5th Quarter hailing from Portland OR and will change the name to Oasis hailing from San Francisco CA. Besides it avoids the annual or bi-annual registration sticker.
 
D

dlochner

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Jan 11, 2014
13,010
Sabre 362 113 Fair Haven, NY
nightowle said:
Big Easy: not all lenders require CG documentation. In WA it is most often seen where the purchase price is over $100k. But it's always up to the individual lender as to whether they will require CG documentation. That's why some boats that have or had loans might not be documented.
Click to expand
If the loan is a "Preferred Ships Mortgage" the lender will require documentation. This mortgage provides additional protection to the lender in the case of default.

Annapolis Admiralty and Maritime Law Attorneys Lochner Law Firm, P.C. - Admiralty and Maritime Law, Boat, Boatinglaw, Boating Law, Law - BOATINGLAW.COM - Preferred Ships Mortgage

The Preferred Ships Mortgage provides the finance of a vessel competitive status among competing claims that might arise against a vessel. The lender of an ocean vessel, if eligible, should always secure its loan with a Preferred Ship Mortgage. Otherwise, in that unfortunate event where the...
www.boatinglaw.com
 
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Bristol35-5sailboat

Bristol35-5sailboat

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Jun 17, 2012
24
Bristol 35.5 Escanaba
Our sailboat, Adena, is documented. We really did not want the state registration sticker on the lovely Flag Blue hull, so we put the annual sticker on the mast a foot or so above the deck. It is easily visible, and shows that we have paid the state fee.
 
Ken Cross

Ken Cross

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Oct 24, 2010
2,405
Hunter 30 Everett, WA
Our boat was documented when we bought her. It also had a lean against it that was paid off when we purchased it. Just to make sure things went well, we went through a marine escrow service. we also removed the documentation because we only sail between the US and Canada. It caused problems. The loan company somehow messed up the paperwork to the feds. Then the escrow company closed up shop. It took us over a year to get a title.

Ken
 
Bob S

Bob S

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Sep 27, 2007
1,804
Beneteau 393 New Bedford, MA
dlochner said:
Documented boats must have the documentation numbers attached to the boat in a manner where the removal of those numbers would be obvious. In the days of wooden ships, the number was often carved into a deck beam.
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My boat was documented when I bought her. I have looked everywhere but could not find where the PO might have placed this.
 
D

dlochner

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Jan 11, 2014
13,010
Sabre 362 113 Fair Haven, NY
Bob S said:
My boat was documented when I bought her. I have looked everywhere but could not find where the PO might have placed this.
Click to expand
Because he was required to attach the numbers, it does not mean that he actually did attach the numbers. They should be in a reasonably obvious place where someone could easily find them. On my 30 I put vinyl numbers on the inside of a locker near several seacocks and covered it with a layer of fiberglass and epoxy. On my current boat the numbers are affixed to a board inside a wet locker.
 
Bob S

Bob S

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Sep 27, 2007
1,804
Beneteau 393 New Bedford, MA
Should be pretty hard to hide. On my 30 I placed it in the lazarette in 3" vinyl numbers GOPR0498.JPG
 
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