[Federal Register Volume 61, Number 64 (Tuesday, April 2, 1996)]
[Rules and Regulations]
[Pages 14465-14477]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-7625]



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 Rules and Regulations
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  Federal Register / Vol. 61, No. 64 / Tuesday, April 2, 1996 / Rules 
and Regulations  

[[Page 14465]]


DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

15 CFR Part 902

50 CFR Parts 611 and 655

[Docket No. 951208293-6065-02; I.D. 110995B]
RIN 0648-AF01


Atlantic Mackerel, Squid, and Butterfish Fisheries; Amendment 5

AGENCY: National Marine Fisheries Service (NMFS), National Oceanic and 
Atmospheric Administration (NOAA), Commerce.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: NMFS issues this final rule to implement approved measures 
contained in Amendment 5 to the Fishery Management Plan for the 
Atlantic Mackerel, Squid, and Butterfish Fisheries (FMP). Amendment 5 
(Amendment) is intended to further the Americanization of the fisheries 
and to implement measures to prevent overfishing and avoid 
overcapitalization of the domestic fleet. In addition, NMFS informs the 
public of the approval by the Office of Management and Budget (OMB) of 
the collection-of-information requirements contained in this rule and 
publishes the OMB control numbers for these collections.

EFFECTIVE DATE: May 2, 1996.

ADDRESSES: Copies of Amendment 5, final environmental impact statement, 
regulatory impact review, and other supporting documents are available 
upon request from David R. Keifer, Executive Director, Mid-Atlantic 
Fishery Management Council, Room 2115, Federal Building, 300 South New 
Street, Dover, DE 19901-6790.
    Comments regarding the collection-of-information requirements 
contained in this rule should be sent to Dr. Andrew Rosenberg, 
Director, Northeast Region, NMFS, One Blackburn Drive, Gloucester, MA 
01930-2298, and to the Office of Information and Regulatory Affairs, 
Office of Management and Budget (OMB), Washington, D.C. 20503 
(Attention: NOAA Desk Officer).

FOR FURTHER INFORMATION CONTACT: Myles Raizin, Fishery Policy Analyst, 
508-281-9104.

SUPPLEMENTARY INFORMATION:

Background

    Amendment 5 was developed in response to concerns regarding 
overcapitalization expressed by industry representatives at several 
meetings of the Mid-Atlantic Fishery Management Council (Council) and 
its Squid, Mackerel, and Butterfish Committee in the early 1990's. 
Increases in domestic squid landings and a stagnation in the growth of 
butterfish landings at well below the maximum sustainable yield (MSY) 
for that species moved the Council to develop this comprehensive 
amendment. Details concerning the development of the Amendment are 
provided in the proposed rule which was published in the Federal 
Register on December 20, 1995 (60 FR 65618).
    Amendment 5, as adopted by the Council, contained moratoria on 
entry into the Illex and the Loligo squid and butterfish fisheries 
based on specified criteria. It also proposed a minimum mesh size for 
the Loligo fishery with an exemption for the sea herring fishery and 
the summer Illex fishery beyond the 50-fathom curve; an annual 
specification process for all four species; reduction of the MSY for 
Loligo from 44,000 metric tons (mt) to 36,000 mt; a modification of the 
formula for arriving at the allowable biological catch for Atlantic 
mackerel; elimination of joint venture processing and total allowable 
level of foreign fishing for Loligo and Illex squid and butterfish; and 
establishment of vessel operator permits, dealer permits and reporting, 
and vessel reporting requirements.
    In the proposed rule, NMFS noted that it had specific concerns 
about the following proposed measures: (1) The moratorium entry 
criteria, (2) the proposal to constrain the allowable biological catch 
(ABC) specified for Atlantic mackerel by the long-term potential catch 
(LTPC) estimate, and (3) the proposed exemptions from the Loligo 
minimum mesh requirement. The proposed rule requested the public to 
comment on all proposed measures, but to focus on these in particular.
    NMFS, on behalf of the Secretary of Commerce, reviewed Amendment 5 
in light of the administrative record underlying it and the public 
comments received relative to the Amendment and the proposed rule. NMFS 
has decided, based upon this review, that several provisions of the 
Amendment are inconsistent with the national standards of the Magnuson 
Fishery Conservation and Management Act (Magnuson Act). Therefore, the 
following measures have been disapproved: (1) The Illex moratorium, (2) 
the use of LTPC to cap ABC for Atlantic mackerel, and (3) the exemption 
from the minimum mesh requirement for the Loligo fishery for a vessel 
fishing for sea herring whose catch is comprised of 75 percent or more 
of sea herring.

Comments and Responses

    A total of thirty commenters provided 14 substantively different 
comments on the proposed rule to implement Amendment 5. The commenters 
were members of Congress, industry associations, state agencies, the 
New England Fishery Management Council, and various individuals. 
Fourteen commenters supported and five opposed the Amendment in its 
entirety. The remaining eleven commenters opposed at least one 
management measure.
    Comment 1: Seventeen commenters supporting the moratoria permit 
measures believe the fisheries for Illex and Loligo squid are at full 
harvesting capacity and urged quick approval.
    Response 1: The fishery for Loligo is considered to be fully 
utilized or fully exploited while the fishery for Illex remains 
underutilized or underexploited. The Loligo moratorium was approved 
while the Illex moratorium was disapproved for the reasons stated in 
the following response.
    Comment 2: Three commenters believed the Amendment satisfies 
National Standards 1, 4, and 5.
    Response 2: NMFS reviewed the Amendment and determined that most of 
the Amendment was consistent with the Magnuson Act. However, NMFS 
determined that three measures were inconsistent with the national 
standards. NMFS disapproved the Illex moratorium, the minimum mesh

[[Page 14466]]
exemption for the sea herring fishery, and the use of LTPC to cap 
Atlantic mackerel ABC. The Illex moratorium is not consistent with 
National Standard 4, because the overall impact of the measure has 
discriminatory effects that render the allocation of fishing privileges 
in the Illex fishery unfair and inequitable. Specifically, the criteria 
arbitrarily exclude vessels that may have historically landed Illex 
catches smaller than 5,000 lb (2.27 mt) per trip. These vessels, which 
may have routinely caught more than the 2,500 lb (1.13 mt) incidental 
catch allowance specified in the Amendment, would be eliminated from 
the directed fishery under the threshold catch criterion. Employing a 
threshold catch criterion to qualify for the Illex moratorium that 
operates on a per/trip basis is less inclusive of such vessels than the 
Loligo/butterfish criteria, which required 20,000 lb (9.07 mt) of 
cumulative landings within a 30-day period. This discriminatory impact 
is further exacerbated by the fact that the extension of the qualifying 
period back to 1981 allows larger-scale past participants to qualify, 
even if they are not present participants in the fishery, while 
smaller-scale present participants do not.
    The criterion that allows vessels equipped with refrigerated sea 
water systems (RSW) or plate or blast systems by May 1994 to qualify 
for a moratorium permit has the effect of revising the control date for 
a selected portion of the industry. There is no explanation as to why 
this select group should be treated differently from others in the 
fishery. As worded, the criterion would allow any vessel equipped with 
an RSW system or plate or blast freezers before the relevant date to 
qualify for a moratorium permit if the owner could demonstrate the 
required number of landings prior to the implementation date of this 
Amendment. This would allow vessels to enter the fishery that had never 
fished for Illex squid. This is not fair and equitable to those that 
have participated in the fishery and conflicts with the Council's goal 
to prevent overcapitalization in the fishery.
    NMFS disapproved the sea herring exemption from the minimum mesh 
size for Loligo, because NMFS law enforcement officials advise that 
this measure is not enforceable. Ascertaining at-sea the percentage of 
herring in the entire catch is virtually impossible. The cost of 
establishing a system or procedure to measure the percentage of herring 
on board would be prohibitive. Consequently, this measure is 
inconsistent with National Standard 7.
    NMFS disapproved the measure to cap the annual ABC specification 
for Atlantic mackerel, because such a cap on ABC would not allow the 
annual specifications to reflect variations and contingencies in the 
stock, which is inconsistent with National Standard 6. The most recent 
stock assessment estimates mean spawning stock biomass (SSB) at 
2,100,000 mt. The annual specifications for 1996, which were calculated 
to maintain SSB at 900,000 mt, resulted in an ABC specification of 
1,175,500 mt. The current stock assessment estimates LTPC at 150,000 
mt/year. Consequently, the constrained level of ABC would not be 
reasonably reflective of the size of the Atlantic mackerel stock.
    Comment 3: Six commenters want to alter the vessel replacement 
provisions proposed in Amendment 5 by allowing vessel upgrades to 10 
percent and allowing vessel characteristics from multiple vessels to be 
combined into one vessel. One commenter thought vessel replacement 
should be based on carrying capacity.
    Response 3: These proposed changes were not contained in the 
proposed rule because they were not offered as measures in Amendment 5. 
A further amendment to the FMP would be needed to accomplish these 
changes. The commenters should direct these comments to the Council.
    Comment 4: Ten commenters opposed Amendment 5, believing that the 
Illex moratorium is discriminatory.
    Response 4: The Illex moratorium was disapproved, as noted above.
    Comment 5: Nine commenters opposed the Illex moratorium permit on 
the basis that Illex is underutilized.
    Response 5: The Illex moratorium was disapproved because of its 
inconsistency with National Standard 4, not because the fishery is not 
fully utilized. While recent harvest levels have not approached the 
MSY, recent scientific information strongly suggests that the MSY 
should be adjusted downward in response to new life history 
information. This is likely to result in a revised assessment of the 
utilization status of the species. In any event, the issue of whether 
or not to impose a moratorium in the Illex fishery is within the 
prerogative of the Council. If the Council believes that a moratorium 
is necessary and appropriate for the conservation of the Illex fishery, 
and develops an administrative record that leads NMFS to conclude that 
the moratorium is consistent with the Magnuson Act and other applicable 
law, it will be approved.
    Comment 6: Six commenters believed that the moratorium on Illex 
would deprive displaced groundfish vessels of an alternative fishery.
    Response 6: See response to Comment 5.
    Comment 7: Three commenters opposed both moratoria permits on the 
grounds that they do not follow the limited entry guidelines discussed 
in the Magnuson Act.
    Response 7: The Council did consider the provisions of section 
303(b)(6) expressly in the Amendment. The several factors noted in this 
section merely have to be taken into account by the Council in 
determining whether to limit access to a fishery. It is up to the 
Council what weight, if any, should be accorded to any of these factors 
or whether or not to make a provision in the Amendment for any of the 
factors.
    Comment 8: One commenter opposed the refrigerated seawater/blast 
freezer provision for the Illex moratorium permit.
    Response 8: The Illex moratorium was disapproved, as noted above.
    Comment 9: One commenter felt that the Council can accomplish its 
goals only by establishing a moratorium eligibility criterion that 
considers the three moratorium species together as a unit for purposes 
of qualifying for a moratorium permit. He proposed raising the 
criterion to 50,000 lb (22.7 mt) of landings per year, in any 2 years 
during the qualification period, for any one or any combination of the 
three species.
    Response 9: The Council analyzed the impact of using the same 
qualifying criteria for all three fisheries and determined that it 
would defeat the purpose of the limited entry provision and increase 
the chances of overcapitalization in the industry. A 50,000 lb (22.7 
mt) criterion as described in the comment, is not discussed as an 
alternative in the Amendment. The Council may exercise its judgment as 
to how best to accomplish its management goals. The Secretary will 
support the Council's judgment if it is consistent with the Magnuson 
Act and other applicable law.
    Comment 10: Four commenters believed that the Illex moratorium 
should be disapproved pending further scientific investigation.
    Response 10: The Illex moratorium was disapproved. However, the 
21st Northeast Regional Stock Assessment Workshop (SAW 21) reassessed 
both squid stocks and the results of the assessment and the SAW 
members' management advice will be available soon.
    Comment 11: One commenter believed the Council would use the

[[Page 14467]]
same qualifying criteria as was used to determine eligibility for the 
summer flounder moratorium permit and invested money into refitting his 
vessel. He protested the fact that his vessel will not qualify for the 
squid fisheries under the criteria specified in the Amendment.
    Response 11. The Council has the authority to propose regulations 
that are unique to an individual fishery. It is unfortunate that the 
commenter invested money without making inquiries about possible 
qualifying criteria. The fact that the Council intended to use criteria 
different than those in the summer flounder moratorium was well known 
before Amendment 5 was taken to public hearings.
    Comment 12: One commenter stated that Article 1, section 9 of the 
United States Constitution states that ``no bill of Attainder or ex-
post facto Law shall be passed,'' yet the time frame for qualifying for 
the moratorium permits was clearly retroactive, having been announced 
in June of 1994. The commenter felt that this retroactive date 
disqualified him for a moratorium permit without due process.
    Response 12: The rule implementing the moratorium is not a bill of 
Attainder; it neither rises to the level of a legislative act, nor 
pronounces an individual guilty of a crime without due process. The use 
of a date that precedes the publication date of this rule as a basis 
for qualifying for a moratorium permit does not amount to an ``ex-post 
facto Law.'' A control date document was published in the Federal 
Register on August 13, 1992 (57 FR 36384). This legal document advised 
the public that entry into the fishery after its publication date might 
not guarantee future access to the fishery if the Council developed an 
amendment to the FMP that limited access. The control date was later 
changed by the Council when it adopted August 13, 1993, in the 
Amendment as the end date for the qualifying period. Consequently, the 
fact that the control date could be used as a qualifying criterion was 
announced to the public long before this rule was published.
    The publication of the control date signified the inception of a 
long process that differentiates the legislative from the rulemaking 
process. During this process, Amendment 5, which included the control 
date and qualification period, was developed, debated, subjected to 
public scrutiny, and finally adopted by the Council for submission to 
NMFS. The control date criterion was not adopted after the fact, as the 
public was aware of the control date throughout the process. To prevent 
the Council from choosing a moratorium qualifying date that preceded 
the date of the final rule would seriously impair the value of any 
moratorium; the time needed to bring a fishery management plan or 
amendment containing a moratorium provision to the implementation stage 
would allow for a dramatic increase in effort in the fishery affected, 
thereby thwarting the Council's ability to limit effort and conserve 
the resource. This result runs contrary to the broad responsibility 
invested in the Council by the framers of the Magnuson Act.
    Comment 13: Two commenters believed that a mesh size of 2\3/8\ 
inches, as opposed to 1\7/8\ inches, is needed in the Loligo fishery to 
address issues of juvenile escapement of Loligo and discard of small 
scup and butterfish.
    Response 13: No mesh selectivity studies have been done to analyze 
the effect of different mesh sizes and configuration on the escapement 
of juvenile squid. Thus, no scientific support exists for the 
commenter's contention. New Jersey fishermen testified that they use 
1\7/8\ inch mesh and experienced no problems of juvenile escapement. 
The imposition of a minimum mesh size is an important first step in 
conserving the resource. NMFS has encouraged the Council to investigate 
the escapement issue and to adjust the mesh size through the framework 
mechanism in Amendment 5, should the Council's conclusions warrant such 
action.
    Comment 14: The overfishing definitions for Loligo and Illex squid 
are outdated and meaningless.
    Response 14: Amendment 5 does not propose new overfishing 
definitions for the squids. SAW 21 reassessed both squid species and 
the results of that assessment will be used to establish new 
overfishing definitions. Such definitions must be implemented by a 
future plan amendment.

Changes From the Proposed Rule

    Since three management measures published in the proposed rule are 
disapproved, the following provisions have been removed: Provisions at 
Sec. 655.4 and other appropriate sections regarding the issuance or use 
of a Loligo moratorium permit; the provision at Sec. 655.22(b)(2) that 
would use LTPC to constrain ABC for Atlantic mackerel; and the sea 
herring exemption at Sec. 655.25(a)(2).

Classification

    The Director, Northeast Region, NMFS, determined that the approved 
measures of Amendment 5 are necessary for the conservation and 
management of the Atlantic Mackerel, Squid, and Butterfish Fisheries 
and that they are consistent with the Magnuson Act and other applicable 
laws.
    The Assistant General Counsel for Legislation and Regulation of the 
Department of Commerce certified to the Chief Counsel for Advocacy, 
Small Business Administration, that this rule would not have a 
significant economic impact on a substantial number of small entities. 
The reasons were published in the proposed rule on December 20, 1995 
(60 FR 65618). As such, no regulatory flexibility analysis was required 
and none has been prepared.
    This final rule contains collection-of-information requirements 
subject to review and approval by OMB under the Paperwork Reduction Act 
(PRA). The collection of this information has been approved by OMB 
under control numbers 0648-0229, 0648-0018, 0648-0212, 0648-0202, and 
0648-0306. The response times for these requirements are estimated to 
be: 2 minutes per response for dealer reporting, 6 minutes per response 
for employment data, 30 minutes per response for vessel permits and 
vessel permit appeals, 45 minutes per response for vessel I.D. 
requirements, 1 hour per response for operator permits, 5 minutes per 
response for dealer permits, and 2 minutes per response for the 
observer notification requirement.
    The response estimates shown include the time for reviewing 
instructions, searching existing data sources, gathering and 
maintaining the data needed, and completing and reviewing the 
collection of information. Send comments regarding any of these burden 
estimates or any other aspect of the collection of information, 
including suggestions for reducing burdens, to Dr. Andrew Rosenberg and 
OMB (see ADDRESSES). Notwithstanding any other provision of the law, no 
person is required to respond to, nor shall any person be subject to a 
penalty for failure to comply with a collection of information, subject 
to the requirements of the PRA, unless that collection of information 
displays a current valid OMB Control Number.
    This final rule has been determined to be not significant for 
purposes of E.O. 12866.

List of Subjects

15 CFR Part 902

    Reporting and recordkeeping requirements.

50 CFR Part 611

    Fisheries, Foreign relations, Reporting and recordkeeping 
requirements.

[[Page 14468]]


50 CFR Part 655

    Fisheries, Reporting and recordkeeping requirements.

    Dated: March 21, 1996.
Gary Matlock,
Program Management Officer, National Marine Fisheries Service.

    For the reasons set out in the preamble, 15 CFR part 902, 50 CFR 
parts 611 and 655 are amended as follows:

PART 902--NOAA INFORMATION COLLECTION REQUIREMENTS UNDER THE 
PAPERWORK REDUCTION ACT: OMB CONTROL NUMBERS

    1. The authority citation for part 902 continues to read as 
follows:

    Authority: 44 U.S.C. 3501 et seq.

    2. In Sec. 902.1, paragraph (b) the table is amended by adding in 
the left column under 50 CFR, in numerical order, ``655.4'', ``655.5'', 
``655.6'', ``655.7'', and ``655.8'', and in the right column, in 
corresponding positions, the control numbers ``and -0212'', `` -0202'', 
``and -0229'', `` -0018'', and `` -0306''.

PART 611--FOREIGN FISHING

    3. The authority citation for part 611 continues to read as 
follows:

    Authority: 16 U.S.C. 1801 et seq., 16 U.S.C. 971 et seq., 22 
U.S.C. 1971 et seq., and 16 U.S.C. 1361 et seq.

    4. In Sec. 611.50, paragraphs (b)(3), (b)(4)(i), and (b)(4)(ii) are 
revised to read as follows:


Sec. 611.50  Northwest Atlantic Ocean fishery.

* * * * *
    (b) * * *
    (3) TALFF. The Atlantic mackerel TALFF for the Northwest Atlantic 
Ocean fishery is published in the Federal Register. Current TALFFs are 
also available from the Regional Director. The procedure for 
determining and adjusting the Atlantic mackerel TALFF is set forth in 
50 CFR part 655.
    (4) * * *
    (i) The other allocated species, namely: Atlantic herring, Atlantic 
mackerel, butterfish (as a bycatch of Atlantic mackerel), and river 
herring (including alewife, blueback herring, and hickory shad); and
    (ii) The prohibited species, namely: American plaice, American 
shad, Atlantic cod, Atlantic menhaden, Atlantic redfish, Atlantic 
salmon, all marlin, all spearfish, sailfish, swordfish, black sea bass, 
bluefish, croaker, haddock, ocean pout, pollock, red hake, scup, sea 
turtles, sharks (except dogfish), silver hake, spot, striped bass, 
summer flounder, tilefish, yellowtail flounder, weakfish, white hake, 
short-finned squid, long-finned squid, windowpane flounder, winter 
flounder, witch flounder, Continental Shelf fishery resources, and 
other invertebrates (except non-allocated squids).
* * * * *
    5. Part 655 is revised to read as follows:

PART 655--ATLANTIC MACKEREL, SQUID, AND BUTTERFISH FISHERIES

Subpart A--General Provisions

Sec.
655.1  Purpose and scope.
655.2  Definitions.
655.3  Relation to other laws.
655.4  Vessel permits.
655.5  Operator permit.
655.6  Dealer permit.
655.7  Recordkeeping and reporting requirements.
655.8  Vessel identification.
655.9  Prohibitions.
655.10  Facilitation of enforcement.
655.11  Penalties.

Subpart B--Management Measures

655.20  Fishing year.
655.21  Maximum optimum yields.
655.22  Procedures for determining initial annual amounts.
655.23  Closure of the fishery.
655.24  Time and area restrictions for directed foreign fishing.
655.25  Gear restrictions.
655.26  Minimum fish sizes. [Reserved]
655.27  Possession limits. [Reserved]
655.28  At-sea observer coverage.
655.29  Transfer-at-sea.
655.30  Experimental fishery.

    Figure 1 to part 655--Exemption line to minimum net mesh-size 
requirement for Loligo squid.

    Authority: 16 U.S.C. 1801 et seq.

Subpart A--General Provisions


Sec. 655.1  Purpose and scope.

    (a) The regulations in this part govern the conservation and 
management of Atlantic mackerel, Illex squid, Loligo squid, and 
butterfish.
    (b) The regulations governing fishing for Atlantic mackerel, Illex 
squid, Loligo squid, and butterfish by vessels other than vessels of 
the United States are contained in 50 CFR part 611.
    (c) This part implements the Fishery Management Plan for the 
Atlantic Mackerel, Squid, and Butterfish Fisheries of the Northwest 
Atlantic Ocean.


Sec. 655.2  Definitions.

    In addition to the definitions in the Magnuson Act and in 
Sec. 620.2 of this chapter, the terms used in this part have the 
following meanings:
    Atlantic butterfish or butterfish means the species Peprilus 
triacanthus.
    Atlantic mackerel or mackerel means the species Scomber scombrus.
    Atlantic Mackerel, Squid, and Butterfish Monitoring Committee or 
Monitoring Committee means a committee made up of staff representatives 
of the Mid-Atlantic and New England Fishery Management Councils, and 
the Northeast Regional Office and Northeast Fisheries Science Center of 
NMFS. The Council Executive Director or a designee chairs the 
Committee.
    Being rerigged means physical alteration of the vessel or its gear 
had begun to transform the vessel into one capable of fishing 
commercially for Loligo squid or butterfish.
    Charter or party boat means any vessel that carries passengers for 
hire to engage in fishing.
    Council means the Mid-Atlantic Fishery Management Council.
    Dealer means any person who receives squid, mackerel, or butterfish 
for a commercial purpose, other than solely for transport on land, from 
the owner or operator of a vessel issued a permit under Sec. 655.4.
    Fishery Management Plan (FMP) means the Fishery Management Plan for 
the Atlantic mackerel, squid, and butterfish fisheries of the Northwest 
Atlantic Ocean, as revised by subsequent amendments.
    Fishing for commercial purposes means any fishing or fishing 
activity that results in the harvest of Atlantic mackerel, squid, or 
butterfish, one or more of which (or parts thereof) is sold, traded, or 
bartered.
    Fishing trip or trip means a period of time during which fishing is 
conducted, beginning when the vessel leaves port and ending when the 
vessel returns to port.
    Gross registered tonnage (GRT) means the gross tonnage specified on 
the U.S. Coast Guard documentation.
    Illex means the species Illex illecebrosus (short-finned or summer 
squid).
    Joint venture harvest means U.S.-harvested Atlantic mackerel 
transferred to foreign vessels in the EEZ.
    Land means to begin offloading fish or to offload fish at sea or on 
land, or to enter port with fish.
    Liner means a piece of mesh rigged inside the main or outer net.
    Loligo means the species Loligo pealei (long-finned or bone squid).
    Metric ton (mt) means 1,000 kg or 2,204.6 lb.
    Operator means the master, captain, or other individual aboard a 
fishing vessel and in charge of that vessel's operations.
    Personal use means use not for sale, barter, or trade.
    
[[Page 14469]]

    Postmark means independently verifiable evidence of date of 
mailing, such as U.S. Postal Service postmark, United Parcel Service 
(U.P.S.) or other private carrier postmark, certified mail receipt, 
overnight mail receipt, or receipt received upon hand delivery to an 
authorized representative of NMFS.
    Recreational fishing means fishing that neither is intended to, nor 
results in, the barter, trade, or sale of fish.
    Recreational fishing vessel means any vessel from which no fishing 
other than recreational fishing is conducted. Charter and party boats 
are not considered recreational fishing vessels.
    Regional Director means the Director, Northeast Region, NMFS, 1 
Blackburn Drive, Gloucester, MA 01930-2298, or a designee.
    Reporting month means the period of time beginning at 0001 hours 
local time on the first day of each calendar month and ending at 2400 
hours local time on the last day of each calendar month.
    Reporting week means a period of time beginning at 0001 hours local 
time on Sunday and ending at 2400 hours local time the following 
Saturday.
    Squid means Loligo pealei and Illex illecebrosus.
    Substantially similar harvesting capacity means the same or less 
GRT and vessel registered length for commercial vessels.
    Transfer means to begin to remove, to pass over the rail, or 
otherwise take away fish from any vessel and move them to another 
conveyance.
    Under construction means that the keel has been laid.
    Vessel registered length means the registered length specified on 
U.S. Coast Guard Documentation, or state registration if the state 
registered length is verified by a NMFS authorized official.


Sec. 655.3  Relation to other laws.

    (a) The relation of this part to other laws is set forth in 
Sec. 620.3 of this chapter and paragraphs (b) through (d) of this 
section.
    (b) Additional regulations governing domestic fishing for Northeast 
Multispecies, which affect this part, are found at 50 CFR part 651.
    (c) Additional regulations governing domestic fishing for summer 
flounder, which affect this part, are found at 50 CFR part 625.
    (d) Nothing in these regulations supersedes more restrictive state 
management measures.


Sec. 655.4  Vessel permits.

    (a) General--(1) Requirement. Beginning on January 1, 1997, any 
vessel of the United States, including party or charter vessels, that 
fishes for, possesses, or lands Atlantic mackerel, squid, or butterfish 
in or from the EEZ, must have been issued and carry on board a valid 
Loligo squid and butterfish moratorium permit, or a valid incidental 
catch permit, or a valid Atlantic mackerel and Illex squid permit, or a 
valid party or charterboat permit issued under this section. This 
requirement does not apply to recreational fishing vessels. Until 
January 1, 1997, vessels that have been issued 1995 Federal squid, 
mackerel, and butterfish permits and are not otherwise subject to 
permit sanctions due to enforcement proceedings, may fish for, possess, 
or land squid, Atlantic mackerel or butterfish in or from the EEZ.
    (2) Condition. Vessel owners who apply for a fishing vessel permit 
under this section must agree as a condition of the permit that the 
vessel's fishing activities, catch and pertinent gear (without regard 
to whether such fishing occurs in or from the EEZ or landward of the 
EEZ, and without regard to where such fish or gear are possessed, taken 
or landed) will be subject to all requirements of this part. All such 
fishing activities, catch and gear will remain subject to all 
applicable state requirements. If a requirement of this part differs 
from a management measure required by state law, any vessel owner 
permitted to fish in the EEZ must comply with the more restrictive 
requirement.
    (b) Moratorium permit--(1) Loligo squid and butterfish. A vessel is 
eligible for a moratorium permit to fish for and retain Loligo squid or 
butterfish in excess of the incidental catch allowance specified in 
paragraph (c)(1) of this section, if it meets any of the following 
criteria:
    (i) The vessel landed and sold at least 20,000 lb (9.07 mt) of 
Loligo or butterfish in any 30-consecutive-day period between August 
13, 1981, and August 13, 1993; or
    (ii) The vessel is replacing a vessel of substantially similar 
harvesting capacity that involuntarily left the Loligo or butterfish 
fishery during the effective period of the moratorium, and both the 
entering and replaced vessels are owned by the same person. Vessel 
permits issued to vessels that involuntarily leave the fishery may not 
be combined to create larger replacement vessels.
    (iii) Vessels that are judged unseaworthy by the U.S. Coast Guard 
for reasons other than lack of maintenance may be replaced by a vessel 
of substantially similar harvesting capacity during the effective 
period of the moratorium.
    (2) Restriction. No one may apply for the permit specified in 
paragraph (b)(1) of this section more than 12 months after the 
effective date of these regulations, or the event specified under 
paragraph (i)(1) of this section. This section does not affect annual 
permit renewals.
    (3) Appeal of denial of permit. (i) Any applicant denied a 
moratorium permit may appeal to the Regional Director within 30 days of 
the notice of denial. Any such appeal shall be in writing. The only 
ground for appeal is that the Regional Director erred in concluding 
that the vessel did not meet the criteria in paragraph (b)(1)(i) of 
this section. The appeal shall set forth the basis for the applicant's 
belief that the Regional Director's decision was made in error.
    (ii) The appeal may be presented, at the option of the applicant, 
at a hearing before an officer appointed by the Regional Director.
    (iii) The hearing officer shall make a recommendation to Regional 
Director.
    (iv) The decision on the appeal by the Regional Director is the 
final decision of the Department of Commerce.
    (c) Incidental catch permit. (1) Any vessel of the United States 
may obtain a permit to fish for or retain up to 2,500 lb (1.13 mt) of 
Loligo squid or butterfish as an incidental catch in another directed 
fishery.
    (2) Adjustments to the incidental catch. The incidental catch 
allowance may be revised by the Regional Director based upon a 
recommendation by the Council following the procedure set forth in 
Sec. 655.22. NMFS will publish an adjustment in the Federal Register. 
The public may comment on the adjustment for 30 days after the date of 
publication. After consideration of public comments, NMFS may publish a 
notification of adjustment to the incidental catch allowance in the 
Federal Register.
    (d) Atlantic mackerel and Illex squid permit. The owner of any 
vessel of the United States must obtain a permit under this part to 
fish for or retain Atlantic mackerel or Illex squid in or from the EEZ.
    (e) Party and charter boat permit. The owner of any party or 
charter boat must obtain a permit under this part to fish for or retain 
in or from the EEZ Atlantic mackerel, squid or butterfish while 
carrying passengers for hire.
    (f) Vessel permit application. (1) An application for a permit 
under this section must be submitted and signed by the owner of the 
vessel on an appropriate form obtained from the Regional Director at 
least 30 days prior to the date on which the applicant desires to have 
the permit made effective. The Regional Director will

[[Page 14470]]
notify the applicant of any deficiency in the application pursuant to 
this section. Applicants for moratorium permits shall provide 
information with the application sufficient for the Regional Director 
to determine if the vessel meets any eligibility requirements. Dealer 
weighout forms, joint venture receipts, and notarized statements from 
marine architects or surveyors or shipyard officials will be considered 
acceptable forms of proof.
    (2) Information requirements. In addition to applicable information 
required to be provided by paragraph (f)(1) of this section, an 
application for a permit under this section must contain at least the 
following information, and any other information required by the 
Regional Director: Vessel name; owner name, mailing address, and 
telephone number; U.S. Coast Guard documentation number and a valid 
copy of the vessel's U.S. Coast Guard documentation or, if 
undocumented, the state registration number and a copy of the current 
state registration; home port and principal port of landing; overall 
length; gross tonnage; net tonnage; engine horsepower; year the vessel 
was built; type of construction; type of propulsion; approximate fish 
hold capacity; type of fishing gear used by the vessel; number of crew; 
permit category; if the owner is a corporation, a copy of the 
Certificate of Incorporation showing the principals in the corporation, 
and the names and addresses of all shareholders owning 25 percent or 
more of the corporation's shares; if the owner is a partnership, a copy 
of the Partnership Agreement and the names and addresses of all 
partners; if there is more than one owner, names of all owners that 
have acquired more than a 25-percent interest; the name and signature 
of the owner or the owner's authorized representative; permit number of 
any current or, if expired, previous Federal fishery permit issued to 
the vessel; and a copy of the charter/party boat license and number of 
passengers the vessel is licensed to carry (charter and party boats); 
and any other information required by the Regional Director to manage 
the fishery.
    (g) Fees. The Regional Director may charge a fee to recover 
administrative expenses of issuing a permit required under this 
section. The amount of the fee is calculated in accordance with the 
procedures of the NOAA Finance Handbook (available from Regional 
Director) for determining administrative costs of each special product 
or service. The fee may not exceed such costs and is specified on each 
application form. The appropriate fee must accompany each application; 
if it does not, the application will be considered incomplete for 
purposes of paragraph (h) of this section. Any fee paid by an 
insufficient commercial instrument shall render any permit issued on 
the basis thereof null and void.
    (h) Issuance. (1) Except as provided in subpart D of 15 CFR part 
904, the Regional Director will issue a permit under this section 
within 30 days of receipt of the application unless:
    (i) The applicant has failed to submit a complete application as 
described in paragraph (f) of this section. An application is complete 
when all requested forms, information, documentation, and fees, if 
applicable, have been received; or
    (ii) The application was not received by the Regional Director by 
the deadlines set forth in paragraph (b)(3) of this section; or
    (iii) The applicant has failed to comply with all applicable 
reporting requirements of Sec. 655.7 during the 12 months immediately 
preceding the date of the application.
    (2) Upon receipt of an incomplete application, or an application 
from a person who has not complied with all applicable reporting 
requirements of Sec. 655.7 during the 12 months immediately preceding 
the application, the Regional Director will notify the applicant of the 
deficiency. If the applicant fails to correct the deficiency within 30 
days of the Regional Director's notification, the application will be 
deemed abandoned.
    (i) Expiration. Except as provided in paragraph (b)(1)(ii) of this 
section, a permit expires:
    (1) When the owner retires the vessel from the fishery;
    (2) Upon the renewal date specified on the permit; or
    (3) When the ownership of the vessel changes; however, the Regional 
Director may authorize the continuation of a moratorium permit for the 
Loligo squid and butterfish fisheries if the new owner requests. 
Applications for permit continuations must be addressed to the Regional 
Director.
    (j) Duration. A permit is valid until it is revoked, suspended, or 
modified under 15 CFR part 904, or until it otherwise expires, or 
ownership changes, or the applicant has failed to report any change in 
the information on the permit application to the Regional Director as 
specified in paragraph (m) of this section.
    (k) Replacement. Replacement permits for an otherwise valid permit 
may be issued by the Regional Director when requested in writing by the 
owner or authorized representative, stating the need for replacement, 
the name of the vessel, and the Federal fisheries permit number 
assigned. An application for a replacement permit will not be 
considered a new application. An appropriate fee may be charged for 
issuance of the replacement permit.
    (l) Transfer. Permits issued under this part are not transferable 
or assignable. A permit is valid only for the fishing vessel and owner 
for which it is issued.
    (m) Change in application information. Any change in the 
information specified in paragraph (f)(2) of this section must be 
submitted by the applicant in writing to the Regional Director within 
15 days of the change. If the written notice of the change in 
information is not received by the Regional Director within 15 days, 
the permit is null and void.
    (n) Alteration. Any permit that has been altered, erased, or 
mutilated is invalid.
    (o) Display. The permit must be maintained in legible condition and 
displayed for inspection upon request by any authorized officer.
    (p) Sanctions. Procedures governing enforcement-related permit 
sanctions and denials are found at subpart D of 15 CFR part 904.


Sec. 655.5  Operator permit.

    (a) General. Beginning June 3, 1996, any operator of a vessel 
issued a valid Federal Atlantic mackerel, Loligo, Illex, or butterfish 
permit under this part, or any operator of a vessel fishing for 
Atlantic mackerel, Loligo, Illex, or butterfish in the EEZ or in 
possession of Atlantic mackerel, Loligo, Illex, or butterfish in or 
harvested from the EEZ, must have and carry on board a valid operator's 
permit issued under this part. An operator permit issued pursuant to 
part 649, 650, or 651 shall satisfy the permitting requirement of this 
section.
    (b) Operator application. Applicants for a permit under this 
section must submit a completed permit application on an appropriate 
form obtained from the Regional Director. The application must be 
signed by the applicant and submitted to the Regional Director at least 
30 days prior to the date on which the applicant desires to have the 
permit made effective. The Regional Director will notify the applicant 
of any deficiency in the application pursuant to this section.
    (c) Condition. Vessel operators who apply for an operator's permit 
under this section must agree as a condition of this permit that the 
operator and vessel's fishing, catch, and pertinent gear (without 
regard to whether such fishing occurs in the EEZ or landward of the 
EEZ, and without regard to where such fish or gear are possessed, 
taken,

[[Page 14471]]
or landed), are subject to all requirements of this part while fishing 
in the EEZ or on board a vessel permitted under Sec. 655.4. The vessel 
and all such fishing, catch, and gear will remain subject to all 
applicable state or local requirements. Further, such operators must 
agree as a condition of this permit that, if the permit is suspended or 
revoked pursuant to 15 CFR part 904, the operator cannot be aboard any 
fishing vessel issued a Federal Fisheries Permit or any vessel subject 
to Federal fishing regulations while the vessel is at sea or engaged in 
offloading. If a requirement of this part and a management measure 
required by state or local law differ, any operator issued a permit 
under this part must comply with the more restrictive requirement.
    (d) Information requirements. An applicant must provide at least 
all the following information and any other information required by the 
Regional Director: Name, mailing address, and telephone number; date of 
birth; hair color; eye color; height; weight; social security number 
(optional); and signature of the applicant. The applicant must also 
provide two recent (no more than 1 year old) color passport-size 
photographs.
    (e) Fees. The Regional Director may charge a fee to recover the 
administrative expense of issuing a permit required under this section. 
The amount of the fee is calculated in accordance with the procedures 
of the NOAA Finance Handbook for determining the administrative costs 
of each special product or service. The fee may not exceed such costs 
and is specified on each application form. The appropriate fee must 
accompany each application; if it does not, the application will be 
considered incomplete for purposes of paragraph (f) of this section. 
Any fee paid by an insufficiently funded commercial instrument shall 
render any permit issued on the basis thereof null and void.
    (f) Issuance. Except as provided in subpart D of 15 CFR part 904, 
the Regional Director shall issue an operator's permit within 30 days 
of receipt of a completed application if the criteria specified herein 
are met. Upon receipt of an incomplete or improperly executed 
application, the Regional Director will notify the applicant of the 
deficiency in the application. If the applicant fails to correct the 
deficiency within 30 days following the date of notification, the 
application will be deemed abandoned.
    (g) Expiration. A Federal operator permit will expire upon the 
renewal date specified in the permit.
    (h) Duration. A permit is valid until it is revoked, suspended or 
modified under 15 CFR part 904, or otherwise expires, or the applicant 
has failed to report a change in the information on the permit 
application to the Regional Director as specified in paragraph (k) of 
this section.
    (i) Replacement. Replacement permits, for otherwise valid permits, 
may be issued by the Regional Director when requested in writing by the 
applicant, stating the need for replacement and the Federal operator 
permit number assigned. An applicant for a replacement permit must also 
provide two recent color passport-size photos of the applicant. An 
application for a replacement permit will not be considered a new 
application. An appropriate fee may be charged.
    (j) Transfer. Permits issued under this section are not 
transferable or assignable. A permit is valid only for the person to 
whom it is issued.
    (k) Change in application information. Notice of a change in the 
permit holder's name, address, or telephone number must be submitted in 
writing to, and received by, the Regional Director within 15 days of 
the change in information. If written notice of the change in 
information is not received by the Regional Director within 15 days, 
the permit is void.
    (l) Alteration. Any permit that has been altered, erased, or 
mutilated is invalid.
    (m) Display. Any permit issued under this part must be maintained 
in legible condition and displayed for inspection upon request by any 
authorized officer.
    (n) Sanctions. Vessel operators with suspended or revoked permits 
may not be aboard a federally permitted fishing vessel in any capacity 
while the vessel is at sea or engaged in offloading. Procedures 
governing enforcement related permit sanctions and denials are found at 
subpart D of 15 CFR part 904.
    (o) Vessel owner responsibility. Vessel owners are responsible for 
ensuring that their vessels are operated by an individual with a valid 
operator's permit issued under this section.


Sec. 655.6  Dealer permit.

    (a) General. Beginning on January 1, 1997, all dealers must have a 
valid permit issued under this part in their possession.
    (b) Dealer application. Applicants for a permit under this section 
must submit a completed application on an appropriate form provided by 
the Regional Director. The application must be signed by the applicant 
and submitted to the Regional Director at least 30 days before the date 
upon which the applicant desires to have the permit made effective. The 
Regional Director will notify the applicant of any deficiency in the 
application pursuant to this section.
    (c) Information requirements. Applications must contain at least 
the following information and any other information required by the 
Regional Director: Company name, place(s) of business, mailing 
address(es) and telephone number(s), owner's name; dealer permit number 
(if a renewal); and name and signature of the person responsible for 
the truth and accuracy of the report. If the dealer is a corporation, a 
copy of the Certificate of Incorporation must be included with the 
application. If the dealer is a partnership, a copy of the Partnership 
Agreement and the names and addresses of all partners must be included 
with the application.
    (d) Fees. The Regional Director may charge a fee to recover the 
administrative expense of issuing a permit required under this section. 
The amount of the fee is calculated in accordance with the procedures 
of the NOAA Finance Handbook for determining the administrative costs 
of each special product or service. The fee may not exceed such costs 
and is specified with each application form. The appropriate fee must 
accompany each application; if it does not, the application will be 
considered incomplete for purposes of paragraph (e) of this section. 
Any fee paid by an insufficiently funded commercial instrument shall 
render any permit issued on the basis thereof null and void.
    (e) Issuance. Except as provided in subpart D of 15 CFR part 904, 
the Regional Director will issue a permit at any time during the 
fishing year to an applicant unless the applicant has failed to submit 
a completed application. An application is complete when all requested 
forms, information, and documentation have been received and the 
applicant has submitted all applicable reports specified in 
Sec. 655.7(a). Upon receipt of an incomplete or improperly executed 
application, the Regional Director will notify the applicant of the 
deficiency in the application. If the applicant fails to correct the 
deficiency within 30 days following the date of notification, the 
application will be deemed abandoned.
    (f) Expiration. A permit will expire upon the renewal date 
specified in the permit.
    (g) Duration. A permit is valid until it is revoked, suspended, or 
modified

[[Page 14472]]
under 15 CFR part 904, or otherwise expires, or ownership changes, or 
the applicant has failed to report any change in the information on the 
permit application to the Regional Director as required by paragraph 
(j) of this section.
    (h) Replacement. Replacement permits, for otherwise valid permits, 
may be issued by the Regional Director when requested in writing by the 
applicant, stating the need for replacement and the Federal dealer 
permit number assigned. An application for a replacement permit will 
not be considered a new application. An appropriate fee may be charged.
    (i) Transfer. Permits issued under this part are not transferable 
or assignable. A permit is valid only for the person to whom, or other 
business entity to which, it is issued.
    (j) Change in application information. Within 15 days after a 
change in the information contained in an application submitted under 
this section, a written report of the change must be submitted to, and 
received by, the Regional Director. If written notice of the change in 
information is not received by the Regional Director within 15 days, 
the permit is void.
    (k) Alteration. Any permit that has been altered, erased, or 
mutilated is invalid.
    (l) Display. Any permit, or a valid duplicate thereof, issued under 
this part must be maintained in legible condition and displayed for 
inspection upon request by any authorized officer.
    (m) Federal versus state requirements. If a requirement of this 
part differs from a fisheries management measure required by state law, 
any dealer issued a Federal dealer permit must comply with the more 
restrictive requirement.
    (n) Sanctions. Procedures governing enforcement-related permit 
sanctions and denials are found at subpart D of 15 CFR part 904.


Sec. 655.7  Recordkeeping and reporting requirements.

    (a) Dealers--(1) Weekly report. Beginning on January 1, 1997, 
dealers must send by mail, to the Regional Director or official 
designee, on a weekly basis, on forms supplied by or approved by the 
Regional Director, a report of fish purchases. If authorized in writing 
by the Regional Director, dealers may submit reports electronically or 
through other media. The following information and any other 
information required by the Regional Director must be provided in the 
report: Name and mailing address of dealer; dealer number; name and 
permit number of the vessels from which fish are landed or received; 
dates of purchases; pounds by species; price by species; and port 
landed. If no fish are purchased during the week, a report so stating 
must be submitted. All report forms must be signed by the dealer or 
other authorized individual.
    (2) Annual report. All persons required to submit reports under 
paragraph (a)(1) of this section are required to complete the 
``Employment Data'' section of the Annual Processed Products Reports; 
completion of the other sections on that form is voluntary. Reports 
must be submitted to the address supplied by the Regional Director.
    (3) Inspection. Upon the request of an authorized officer, or by an 
employee of NMFS designated by the Regional Director to make such 
inspections, the dealer must make immediately available for inspection 
copies of the required reports that have been submitted, or should have 
been submitted, and the records upon which the reports were based.
    (4) Record retention. Copies of reports, and records upon which the 
reports were based, must be retained and available for review for 1 
year after the date of the last entry on the report. The dealer must 
retain such reports and records at its principal place of business.
    (5) Submitting reports. Reports must be received, or postmarked if 
mailed, within 3 days after the end of each reporting week. Each dealer 
will be sent forms and instructions, including the address to which to 
submit reports, shortly after receipt of a dealer permit.
    (6) At-sea activities. All persons purchasing, receiving, or 
processing any mackerel, squid, or butterfish at sea for landing at any 
port of the United States must submit information identical to that 
required by paragraphs (a)(1) and (2) of this section and provide those 
reports to the Regional Director or designee on the same frequency 
basis.
    (b) Vessel owners--(1) Fishing log reports. Beginning on January 1, 
1997, the owner of any vessel issued a Federal Atlantic mackerel, 
Loligo squid, butterfish or Illex squid permit under Sec. 655.4 must 
maintain on board the vessel, and submit, an accurate daily fishing log 
report for all fishing trips, regardless of species fished for or 
taken, on forms supplied by or approved by the Regional Director. If 
authorized in writing by the Regional Director, vessel owners may 
submit reports electronically. At least the following information, and 
any other information required by the Regional Director, must be 
provided: Vessel name, U.S. Coast Guard (USCG) documentation number (or 
state registration number if undocumented); permit number; date/time 
sailed; date/time landed; trip type; number of crew; number of anglers 
(if a charter or party boat); gear fished; quantity and size of gear; 
mesh/ring size; chart area fished; average depth; latitude/longitude 
(or loran station and bearings); total hauls per area fished; average 
tow time duration; pounds by species of all species landed or 
discarded; dealer permit number; dealer name; date sold; port and state 
landed; and vessel operator's name, signature, and operator permit 
number.
    (2) When to fill in the log. Fishing log reports must be filled in, 
except for information required but not yet ascertainable, before 
offloading has begun. All information in paragraph (b)(1) of this 
section must be filled in for each fishing trip before starting the 
next fishing trip.
    (3) Inspection. Upon the request of an authorized officer, or an 
employee of NMFS designated by the Regional Director to make such 
inspections, at any time during or after a trip, owners and operators 
must make immediately available for inspection the fishing log reports 
currently in use, or to be submitted.
    (4) Record retention. Copies of the fishing log reports must be 
retained and available for review for 1 year after the date of the last 
entry on the report.
    (5) Submitting reports. Fishing log reports must be received or 
postmarked, if mailed, within 15 days after the end of the reporting 
month. Each owner will be sent forms and instructions, including the 
address to which to submit reports, shortly after receipt of a Federal 
Fisheries Permit. If no fishing trip is made during a month, a report 
so stating must be submitted.


Sec. 655.8  Vessel identification.

    (a) Vessel name. Each fishing vessel owner subject to this part 
must affix permanently the vessel's name on the port and starboard 
sides of the bow and, if possible, on its stern if the vessel is over 
25 ft (7.6 m) in length.
    (b) Official number. Each fishing vessel owner subject to this 
section must display the vessel's official number on the port and 
starboard sides of its deckhouse or hull, and on an appropriate weather 
deck, so as to be visible from above by enforcement vessels and 
aircraft if the vessel is over 25 ft (7.6 m) in length. The official 
number is the U.S. Coast Guard documentation number, or the vessel's 
state registration number for vessels not required to be documented 
under title 46 of the United States Code.
    (c) Numerals. Except as provided in paragraph (e) of this section, 
the official

[[Page 14473]]
number must be permanently affixed in block arabic numerals in 
contrasting color at least 18 inches (45.7 cm) in height for vessels 
over 65 ft (19.8 m) in length, and at least 10 inches (25.4 cm) in 
height for all other vessels over 25 ft (7.6 m) in length.
    (d) Duties of owner. Any vessel owner subject to this part will:
    (1) Keep the vessel's name and official number clearly legible and 
in good repair; and
    (2) Ensure that no part of the vessel, its rigging, its fishing 
gear, or any other object obstructs the view of the official number 
from any enforcement vessel or aircraft.
    (e) Nonpermanent marking. Vessels carrying recreational fishing 
parties on a per capita basis or by charter must use markings that meet 
the above requirements, except for the requirement that they be affixed 
permanently to the vessel. The nonpermanent markings must be displayed 
in conformity with the above requirements when the vessel is fishing 
for Atlantic mackerel, squid, or butterfish.


Sec. 655.9  Prohibitions.

    (a) In addition to the general prohibitions specified in Sec. 620.7 
of this chapter, it is unlawful for any person owning or operating a 
vessel issued a valid Federal Atlantic mackerel, squid, or butterfish 
permit under Sec. 655.4, or issued an operator permit under Sec. 655.5, 
to do any of the following:
    (1) Possess more than the incidental catch allowance of Loligo 
squid or butterfish unless issued a moratorium permit pursuant to 
Sec. 655.4(b).
    (2) Use any vessel for taking, catching, harvesting, or landing of 
any Atlantic mackerel, squid, or butterfish, except as provided in 
Sec. 655.4(a), unless the vessel has on board a valid permit issued 
under Sec. 655.4.
    (3) Fail to report to the Regional Director within 15 days any 
change in the information contained in the permit application for a 
vessel, as specified in Sec. 655.4(m).
    (4) Falsify or fail to affix and maintain vessel markings as 
required by Sec. 655.8.
    (5) Take, retain, or land Atlantic mackerel, squid, or butterfish 
in excess of a trip allowance specified under Sec. 655.23.
    (6) Take, retain, or land Atlantic mackerel, squid, or butterfish 
after a total closure specified under Sec. 655.23.
    (7) Make any false statement, written or oral, to an authorized 
officer, concerning the taking, catching, landing, purchase, sale, or 
transfer of any mackerel, squid, or butterfish.
    (8) Fish with or possess nets or netting that do not meet the 
minimum mesh requirement for Loligo specified in Sec. 655.25(a) or that 
are modified, obstructed, or constricted, if subject to the minimum 
mesh requirement, unless the nets or netting are stowed in accordance 
with Sec. 655.25(b) or the vessel is fishing under an exemption 
specified in Sec. 655.25(a).
    (9) Sell or transfer Atlantic mackerel, squid, or butterfish to 
another person for a commercial purpose, other than transport, unless 
that person has a dealer permit issued under Sec. 655.6.
    (10) Falsify information in order to qualify a vessel for a 
moratorium permit pursuant to Sec. 655.4(b).
    (11) Transfer squid, or butterfish at sea to another vessel unless 
that other vessel is issued a valid moratorium permit issued pursuant 
to Sec. 655.4(b) or a letter of authorization issued by the Regional 
Director.
    (12) Fail to comply with any measures implemented pursuant to 
Sec. 655.22.
    (13) Refuse to embark an observer if requested by the Regional 
Director.
    (14) Assault, resist, oppose, impede, harass, intimidate, or 
interfere with or bar by command, impediment, threat, coercion or 
refusal of reasonable assistance an observer conducting his or her 
duties aboard a vessel.
    (15) Carry passengers for hire while fishing commercially under a 
permit issued pursuant to Sec. 655.4(b), Sec. 655.4(c), or 
Sec. 655.4(d).
    (16) Fail to carry on board a letter of authorization if fishing in 
an experimental fishery pursuant to Sec. 655.30.
    (17) Employ an operator aboard a vessel who has not been issued an 
operator permit that meets the requirements of Sec. 655.5.
    (b) It is unlawful for the owner and operator of a party or charter 
boat issued a permit (including a moratorium permit) pursuant to 
Sec. 655.4, when the boat is carrying passengers for hire, to do any of 
the following:
    (1) Violate any recreational fishing measures established pursuant 
to Sec. 655.22(d)
    (2) Sell or transfer Atlantic mackerel, squid, or butterfish to 
another person for a commercial purpose.
    (3) Refuse to embark an observer if requested by the Regional 
Director.
    (c) It is unlawful for any person to do any of the following:
    (1) Possess in or harvest from the EEZ Atlantic mackerel, squid, or 
butterfish unless the person is operating a vessel, other than a 
recreational fishing vessel, issued a permit pursuant to Sec. 655.4, 
and the permit is on board the vessel, and has not been surrendered, 
revoked, or suspended.
    (2) Possess nets or netting with mesh not meeting the minimum size 
requirement of Sec. 655.25 that do not meet the net stowage provisions 
of Sec. 655.25, if the person possesses Loligo squid harvested in or 
from the EEZ.
    (3) If subject to the permitting requirements in Sec. 655.4, 
Sec. 655.5, or Sec. 655.6, to offload, to cause to be offloaded, sell 
or buy, whether on land or at sea, as an owner, operator, dealer, 
buyer, or receiver, without accurately and completely preparing and 
submitting in a timely fashion the documents required by Sec. 655.7.
    (4) Transfer Loligo squid or butterfish within the EEZ, unless the 
vessels participating in the transfer are issued valid moratorium 
permits pursuant to Sec. 655.4(b) or valid letters of authorization 
pursuant to Sec. 655.29.
    (5) Purchase or otherwise receive, except for transport on land, 
Atlantic mackerel, squid, or butterfish from the owner or operator of a 
vessel issued a permit pursuant to Sec. 655.4, unless in possession of 
a valid permit issued under Sec. 655.6.
    (6) Purchase or otherwise receive for a commercial purpose, 
Atlantic mackerel, squid, or butterfish caught by other than a vessel 
issued a permit pursuant to Sec. 655.4, unless the vessel has not been 
issued a permit under this part and is fishing exclusively within the 
waters under the jurisdiction of any state.
    (7) Make any false statements, oral or written, to an authorized 
officer concerning the catching, taking, harvesting, landing, purchase, 
sale, possession, or transfer of any Atlantic mackerel, squid, or 
butterfish.
    (8) Fail to report to the Regional Director within 15 days any 
change in information contain in the permit application.
    (9) Assault, resist, impede, oppose, harass, intimidate, or 
interfere with or bar by command, impediment, threat, coercion, or 
refusal of reasonable assistance to an observer conducting his or her 
duties aboard a vessel.
    (10) Operate a vessel fishing for Atlantic mackerel, squid, or 
butterfish within the EEZ, unless issued an operator permit that meets 
the requirements of Sec. 655.5.
    (11) Violate any other provisions of this part, the Magnuson Act, 
or any regulation or permit issued under the Magnuson Act.
    (d) All Atlantic mackerel and butterfish possessed on board a party 
or charter boat issued a permit under Sec. 655.4 are deemed to have 
been harvested from the EEZ.
    (e) It is unlawful for any person to violate any terms of a letter 
authorizing experimental fishing pursuant to Sec. 655.30 or to fail to 
keep such letter on

[[Page 14474]]
board the vessel during the period of the experiment.


Sec. 655.10  Facilitation of enforcement.

    See Sec. 620.8 of this chapter.


Sec. 655.11  Penalties.

    See Sec. 620.9 of this chapter.

Subpart B--Management Measures


Sec. 655.20  Fishing year.

    The fishing year is the 12-month period beginning on January 1 and 
ending on December 31.


Sec. 655.21  Maximum optimum yields.

    The optimum yields (OYs) specified pursuant to Sec. 655.22 during a 
fishing year may not exceed the following amounts:
    (a) Atlantic mackerel: That quantity of mackerel that is less than 
or equal to ABC specified pursuant to Sec. 655.22;
    (b) Loligo squid: 36,000 mt (79,362,000 lb);
    (c) Illex squid: 30,000 mt (66,135,000 lb); and
    (d) Butterfish: 16,000 mt (35,272,000 lb).


Sec. 655.22  Procedures for determining initial annual amounts.

    (a) Initial annual specifications. The Atlantic Mackerel, Squid, 
and Butterfish Monitoring Committee (Monitoring Committee) will meet 
annually to develop specifications regarding:
    (1) The initial optimum yield (IOY), domestic annual harvest (DAH), 
and domestic annual processing (DAP) for the squids;
    (2) The IOY, DAH, DAP and bycatch level of the total allowable 
level of foreign fishing (TALFF), if any, for butterfish; and
    (3) The IOY, DAH, DAP, joint venture processing (JVP), if any, and 
TALFF, if any, for Atlantic mackerel.
    (4) The Monitoring Committee will recommend these specifications to 
the Mackerel, Squid, and Butterfish Committee (Committee) of the 
Council. As a basis for establishing these specifications and 
restrictions, the Monitoring Committee will review available data 
pertaining to the following:
    (i) Commercial and recreational landings;
    (ii) Current estimates of fishing mortality;
    (iii) Stock status;
    (iv) The most recent estimates of recruitment;
    (v) Virtual population analysis results;
    (vi) Levels of noncompliance by harvesters or individual states;
    (vii) Impact of size/mesh regulations;
    (viii) The results of a survey of domestic processors and joint 
venture operators of estimated Atlantic mackerel processing capacity 
and intent to use that capacity;
    (ix) The results of a survey of fishermen's trade associations of 
estimated Atlantic mackerel harvesting capacity and intent to use that 
capacity;
    (x) Any other relevant information.
    (b) Guidelines. The specifications determined pursuant to paragraph 
(a) by the Monitoring Committee will be consistent with the following 
guidelines:
    (1) Squid. (i) The most recent biological data, including data on 
discards, will be reviewed annually under the procedures specified in 
paragraph (a) of this section. ABC for any fishing year is either the 
maximum OY specified in Sec. 655.21, or a lower amount if stock 
assessments indicate that the potential yield is less than the maximum 
OY.
    (ii) IOY is a modification of ABC based on social and economic 
factors.
    (2) Atlantic mackerel. (i) Atlantic mackerel ABC, the allowable 
biological catch in U.S. waters, is derived using the following terms: 
C=the estimated catch of mackerel in Canadian waters for the upcoming 
fishing year; S=the mackerel spawning stock size at the beginning of 
the year for which quotas are specified; and T=a spawning stock size 
that must be maintained in the year following the year for which quotas 
are specified, where T900,000 mt(1,984,050,000 lbs). 
Consequently, ABC=S-C-T.
    (ii) IOY is less than or equal to ABC and represents a modification 
of ABC, based on social and economic factors.
    (iii) IOY is composed of DAH and TALFF. DAH, DAP and JVP are 
projected by reviewing data from sources specified in this paragraph 
(a) and other relevant data including past domestic landings, projected 
amounts of mackerel necessary for domestic processing and for joint 
ventures during the fishing year, projected recreational landings, and 
other data pertinent for such a projection. The JVP component of DAH is 
the portion of DAH that domestic processors either cannot or will not 
use. In addition, IOY is based on such criteria as contained in the 
Magnuson Act, specifically section 201(e), and the application of the 
following economic factors:
    (A) Total world export potential by mackerel producing countries;
    (B) Total world import demand by mackerel consuming countries;
    (C) U.S. export potential based on expected U.S. harvests, expected 
U.S. consumption, relative prices, exchange rates, and foreign trade 
barriers;
    (D) Increased/decreased revenues to the U.S. from foreign fees;
    (E) Increased/decreased revenues to U.S. harvesters (with/without 
joint ventures);
    (F) Increased/decreased revenues to U.S. processors and exporters;
    (G) Increases/decreases in U.S. harvesting productivity due to 
decreases/increases in foreign harvest;
    (H) Increases/decreases in U.S. processing productivity; and
    (I) Potential impact of increased/decreased TALFF on foreign 
purchases of U.S. products and services and U.S.-caught fish, changes 
in trade barriers, technology transfer, and other considerations.
    (iv) The Council may also recommend that certain ratios of TALFF to 
purchases of domestic harvested fish and/or domestic processed fish be 
established in relation to the initial annual amounts.
    (3) Butterfish. (i) The most recent biological data, including data 
on discards, will be reviewed annually under the procedures specified 
in paragraph (a) of this section. If this review indicates that the 
stock cannot support a level of harvest equal to the maximum OY, the 
Council will recommend establishing an ABC less than the maximum OY for 
the fishing year. This level represents the modification of maximum OY 
to reflect biological and ecological factors. If the stock is able to 
support a harvest level equivalent to the maximum OY, the ABC is to be 
set at that level.
    (ii) IOY is a modification of ABC based on social and economic 
factors. The IOY is composed of a DAH and bycatch TALFF which is equal 
to 0.08 percent of the allocated portion of the Atlantic mackerel 
TALFF.
    (c) Adjustments. The specifications established pursuant to this 
section may be adjusted by the Regional Director, in consultation with 
the Council, during the fishing year by publishing a notification in 
the Federal Register stating the reasons for such an action with a 30-
day comment period.
    (d) Recommended measures. Based on the review of the data described 
in paragraph (a) of this section, the Monitoring Committee will 
recommend to the Committee the following measures it determines are 
necessary to assure that the specifications are not exceeded:
    (1) Commercial quotas;
    (2) The amount of Loligo squid and butterfish that may be retained, 
possessed and landed by vessels issued the incidental catch permit 
specified in Sec. 655.4(c);
    (3) Commercial minimum fish sizes;
    
[[Page 14475]]

    (4) Commercial trip limits;
    (5) Commercial seasonal quotas;
    (6) Minimum mesh sizes;
    (7) Commercial gear restrictions;
    (8) Recreational harvest limit;
    (9) Recreational minimum fish size;
    (10) Recreational possession limits;
    (11) Recreational season.
    (e) Annual fishing measures. (1) The Committee shall review the 
recommendations of the Monitoring Committee. Based on these 
recommendations and any public comment, the Committee shall make its 
recommendations to the Council with respect to the specifications and 
any other measures necessary to assure that the specifications are not 
exceeded. The Council shall review these recommendations. Based on 
these recommendations, and any public comment, the Council shall make 
recommendations to the Regional Director. Included in the 
recommendation will be supporting documents, as appropriate, concerning 
the environmental, economic, and social impacts of the proposed action. 
The Regional Director will review these recommendations, and on or 
about November 1 of each year, and will publish a notification in the 
Federal Register of proposed specifications and any other measures 
necessary to assure that the specifications are not exceeded. If the 
specifications differ from those recommended by the Council, the 
reasons for any differences must be clearly stated and the revised 
specifications must satisfy the criteria set forth in this section. The 
Federal Register notification of proposed specifications will provide 
for a 30-day public comment period.
    (2) The Council's recommendations will be available for inspection 
at the office of the Regional Director during the public comment 
period.
    (3) On or about December 15 of each year, the Secretary will make a 
final determination concerning the specifications for each species and 
the other measures contained in the notification of proposed 
specifications. After the Secretary considers all relevant data and any 
public comments, a notification of final specifications and response to 
public comments will be published in the Federal Register. If the final 
amounts differ from those recommended by the Council, the reason(s) for 
the difference(s) must be clearly stated and the revised specifications 
must be consistent with the guidelines set forth in paragraph (b) of 
this section.


Sec. 655.23  Closure of the fishery.

    (a) General. The Secretary shall close the directed Atlantic 
mackerel, Illex squid, Loligo squid, or butterfish fishery in the EEZ 
when U.S. fishermen have harvested 80 percent of the DAH, if such 
closure is necessary to prevent the DAH from being exceeded. The 
closure will be in effect for the remainder of the fishing year, with 
incidental catches allowed as specified in paragraph (c) of this 
section, until the entire DAH is attained. When the Regional Director 
projects that DAH will be attained for any of the species, the 
Secretary shall close the fishery in the EEZ to all fishing for that 
species, and the incidental catches specified in paragraph (c) of this 
section will be prohibited.
    (b) Notification. The Secretary will take the following actions if 
it is determined that a closure is necessary:
    (1) Notify, in advance, the Executive Directors of the Mid-
Atlantic, New England, and South Atlantic Councils;
    (2) Mail notifications of the closure to all holders of permits 
issued under Secs. 655.4, 655.5 and 655.6 at least 72 hours before the 
effective date of the closure;
    (3) Provide for adequate notification of the closure to 
recreational participants in the fishery; and
    (4) Publish a notification of closure in the Federal Register.
    (c) Incidental catches. During a period of closure of a directed 
fishery, the trip limit for the species for which the fishery is closed 
is 10 percent by weight of the total amount of fish on board for 
vessels with Loligo/butterfish moratorium permits or Illex or mackerel 
commercial permits. During a period of closure of the directed fishery 
for Loligo or butterfish, the trip limit for vessels issued an 
incidental catch permit for those species is 10 percent by weight of 
the total amount of fish on board, or the allowed level of incidental 
catch specified in Sec. 655.4(c)(1), whichever is less.


Sec. 655.24  Time and area restrictions for directed foreign fishing.

    Foreign fishing is regulated under the provisions specified in 
Sec. 611.50(b)(2).


Sec. 655.25  Gear restrictions.

    (a) Mesh restriction and exemption. Owners or operators of otter 
trawl vessels possessing Loligo squid harvested in or from the EEZ may 
only fish with nets having a minimum mesh size of 1\7/8\ inches (48 mm) 
diamond mesh, inside stretch measure, applied throughout the entire net 
unless they are fishing during the months of June, July, August, and 
September for Illex seaward of the following coordinates (see Figure 1 
to part 655):

------------------------------------------------------------------------
             Point                     Latitude            Longitude    
------------------------------------------------------------------------
Point M1.......................  43 deg.58.0' N.      67 deg.22.0' W.   
Point M2.......................  43 deg.50.0' N.      68 deg.35.0' W.   
Point M3.......................  43 deg.30.0' N.      69 deg.40.0' W.   
Point M4.......................  43 deg.20.0' N.      70 deg.00.0' W.   
Point M5.......................  42 deg.45.0' N.      70 deg.10.0' W.   
Point M6.......................  42 deg.13.0' N.      69 deg.55.0' W.   
Point M7.......................  41 deg.00.0' N.      69 deg.00.0' W.   
Point M8.......................  41 deg.45.0' N.      68 deg.15.0' W.   
Point M9.......................  42 deg.10.0' N.      67 deg.10.0' W.   
Point M10......................  41 deg.18.6' N.      66 deg.24.8' W.   
Point M11......................  40 deg.55.5' N.      66 deg.38.0' W.   
Point M12......................  40 deg.45.5' N.      68 deg.00.0' W.   
Point M13......................  40 deg.37.0' N.      68 deg.00.0' W.   
Point M14......................  40 deg.30.0' N.      69 deg.00.0' W.   
Point M15......................  40 deg.22.7' N.      69 deg.00.0' W.   
Point M16......................  40 deg.18.7' N.      69 deg.40.0' W.   
Point M17......................  40 deg.21.0' N.      71 deg.03.0' W.   
Point M18......................  39 deg.41.0' N.      72 deg.32.0' W.   
Point M19......................  38 deg.47.0' N.      73 deg.11.0' W.   
Point M20......................  38 deg.04.0' N.      74 deg.06.0' W.   
Point M21......................  37 deg.08.0' N.      74 deg.46.0' W.   
Point M22......................  36 deg.00.0' N.      74 deg.52.0' W.   
Point M23......................  35 deg.45.0' N.      74 deg.53.0' W.   
Point M24......................  35 deg.28.0' N.      74 deg.52.0' W.   
------------------------------------------------------------------------

    Vessels fishing under this exemption may not have ``available for 
immediate use,'' as described in paragraph (b) of this section, any net 
with mesh size less than 1\7/8\ inches (48 mm) diamond mesh when the 
vessel is landward of the specified coordinates.
    (b) Net stowage requirements. Otter trawl vessels possessing Loligo 
squid that are subject to the minimum mesh size may not have 
``available for immediate use'' any net, or any piece of net, not 
meeting the minimum mesh size requirement, or any net, or any piece of 
net, with mesh that is rigged in a manner that is inconsistent with the 
minimum mesh size. A net that conforms to one of the following 
specifications and that can be shown not to have been in recent use, is 
considered not to be ``available for immediate use'':
    (1) A net stowed below deck, provided:
    (i) It is located below the main working deck from which the net is 
deployed and retrieved;
    (ii) The towing wires, including the leg wires, are detached from 
the net; and
    (iii) It is fan-folded (flaked) and bound around its circumference; 
or
    (2) A net stowed and lashed down on deck, provided:
    (i) It is fan-folded (flaked) and bound around its circumference;
    (ii) It is securely fastened to the deck or rail of the vessel; and
    (iii) The towing wires, including the leg wires, are detached from 
the net; or
    (3) A net that is on a reel and is covered and secured, provided:
    
[[Page 14476]]

    (i) The entire surface of the net is covered with canvas or other 
similar material that is securely bound;
    (ii) The towing wires, including the leg wires, are detached from 
the net; and
    (iii) The codend is removed from the net and stored below deck; or
    (4) Nets that are secured in a manner authorized in writing by the 
Regional Director and published in the Federal Register.
    (c) Mesh obstruction or constriction. Any combination of mesh or 
liners that effectively decreases the mesh below the minimum size is 
prohibited, except that a liner may be used to close the opening 
created by the rings in the rearmost portion of the net, provided the 
liner extends no more than 10 meshes forward of the rearmost portion of 
the net.
    (d) Net obstruction or constriction. The owner or operator of a 
fishing vessel shall not use any device, gear, or material, including, 
but not limited to, nets, net strengtheners, ropes, lines, or chafing 
gear, on the top of the regulated portion of a trawl net that results 
in an effective mesh opening of less than 1\7/8\ inches (48 mm) (inside 
stretch measure); Net strengtheners (covers), splitting straps and/or 
bull ropes or wire may be used, provided they do not constrict the top 
of the regulated portion of the net to less than an effective mesh 
opening of 1\7/8\ inches (48 mm) (inside stretch measure). The ``top of 
the regulated portion of the net'' means the 50 percent of the entire 
regulated portion of the net which (in a hypothetical situation) would 
not be in contact with the ocean bottom during a tow if the regulated 
portion of the net were laid flat on the ocean floor. For the purpose 
of this paragraph, head ropes shall not be considered part of the top 
of the regulated portion of a trawl net. Net strengtheners (covers) may 
not have an effective mesh opening of less than 4.5-inch (11.43-cm) 
(inside stretch measure).


Sec. 655.26  Minimum fish sizes.  [Reserved]


Sec. 655.27  Possession limits. [Reserved]


Sec. 655.28  At-sea observer coverage.

    (a) The Regional Director may require observers for any vessel 
holding a permit issued under Sec. 655.4.
    (b) Owners of vessels selected for observer coverage must notify 
the appropriate Regional or Center Director, as specified by the 
Regional Director, before commencing any fishing trip that may result 
in the harvest of Atlantic mackerel, Loligo squid, Illex squid, or 
butterfish. Notification procedures will be specified in selection 
letters to vessel owners.
    (c) An owner or operator of a vessel on which a NMFS-approved 
observer is embarked must:
    (1) Provide accommodations and food that are equivalent to those 
provided to the crew;
    (2) Allow the observer access to and use of the vessel's 
communications equipment and personnel upon request for the 
transmission and receipt of messages related to the observer's duties;
    (3) Allow the observer access to and use of the vessel's navigation 
equipment and personnel upon request to determine the vessel's 
position;
    (4) Allow the observer free and unobstructed access to the vessel's 
bridge, working decks, holding bins, weight scales, holds, and any 
other space used to hold, process, weigh, or store fish; and
    (5) Allow the observer to inspect and copy any records associated 
with the catch and distribution of fish for that trip.


Sec. 655.29  Transfer-at-sea.

    Only vessels issued a moratorium permit under Sec. 655.4(b) may 
transfer Loligo or butterfish at sea. Unless authorized in writing by 
the Regional Director, vessels issued an incidental catch permit under 
Sec. 655.4(c) are prohibited from transferring or attempting to 
transfer Loligo or butterfish from one vessel to another vessel.


Sec. 655.30  Experimental fishery.

    (a) The Regional Director, in consultation with the Executive 
Director of the Council, may exempt any person or vessel from the 
requirements of this part for the conduct of experimental fishing 
beneficial to the management of the Atlantic mackerel, squid, or 
butterfish resource or fishery.
    (b) The Regional Director may not grant such an exemption unless 
he/she determines that the purpose, design, and administration of the 
exemption is consistent with the objectives of the FMP, the provisions 
of the Magnuson Act, and other applicable law, and that granting the 
exemption will not:
    (1) Have a detrimental effect on the Atlantic mackerel, squid, or 
butterfish resource and fishery;
    (2) Cause any quota to be exceeded; or
    (3) Create significant enforcement problems.
    (c) Each vessel participating in any exempted experimental fishing 
activity is subject to all provisions of this FMP except those 
necessarily relating to the purpose and nature of the exemption. The 
exemption will be specified in a letter issued by the Regional Director 
to each vessel participating in the exempted activity. This letter must 
be carried on board the vessel seeking the benefit of such exemption.
    4. Figure 1 to part 655 is added to read as follows:

BILLING CODE 3510-22-P

[[Page 14477]]
[GRAPHIC] [TIFF OMITTED] TR02AP96.000



BILLING CODE 3510-22-C

Figure 1 to Part 655--Exemption Line to Minimum Net Mesh-size 
Requirement for Loligo Squid

[FR Doc. 96-7625 Filed 4-1-96; 8:45 am]
BILLING CODE 3510-22-P