Spiegel Grove was decommissioned 2 October 1989 and her name struck from the Navy list on 13 December 1989. The vessel was transferred to the Maritime Administration in the James River fleet.

In 1998, title passed to the state of Florida, with the plan of sinking the hull to make an artificial reef off Key Largo. To achieve this, the EPA had to increase the acceptable amount of PCB (a toxic chemical substance) remaining in future wrecks from 2 ppm to 50 ppm.

Red tape and financial problems delayed the sinking of USS Spiegel Grove for several years, but the ship was finally moved from Virginia to Florida in May 2002. The ship sank prematurely, on 17 May 2002. During the sinking the ex-Spiegel Grove suddenly started rolling on her starboard side, ending up upside down on the sea bottom and leaving her bow protruding slightly out of the ocean. On 10–11 June, at a cost of $250,000 dollars, the ship was rolled onto her starboard side by Resolve Marine Group, and on 26 June the site was opened to recreational divers. In the next week, over a thousand divers visited the site. The depth of wreck requires that divers have an advanced diving certification.

The ex-Spiegel Grove is located on Dixie Shoal, 6 miles (10 km) off the Florida Keys in the Florida Keys National Marine Sanctuary. Her exact location is 25°04′00.2″N 80°18′00.7″W Coordinates: 25°04′00.2″N 80°18′00.7″W.

In July 2005, Hurricane Dennis shifted the former USS Spiegel Grove onto her keel, right-side-up, which was the position originally intended when she was sunk.

Source: Wikipedia