[Federal Register Volume 64, Number 151 (Friday, August 6, 1999)]
[Rules and Regulations]
[Pages 42826-42830]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-20206]



[[Page 42826]]

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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

15 CFR Part 902

50 CFR Part 679

[Docket No. 990407088-9199-02; I.D. 030999A]
RIN 0648-AK69


Fisheries of the Exclusive Economic Zone Off Alaska; License 
Limitation Program

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

ACTION: Final rule.

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SUMMARY: NMFS issues a final rule that amends regulations implementing 
the License Limitation Program (LLP) by adding an application process 
and a transfer process for LLP licenses. This action is necessary to 
complete final implementation of the LLP, and is intended to further 
the objectives of the Fishery Management Plan (FMP) for the Groundfish 
Fishery of the Bering Sea and Aleutian Islands Area, the FMP for 
Groundfish of the Gulf of Alaska, and the FMP for the Commercial King 
and Tanner Crab Fisheries in the Bering Sea/Aleutian Islands.

DATES: Effective September 7, 1999.

ADDRESSES: Comments regarding the collection-of-information 
requirements contained in this final rule should be sent to Susan J. 
Salveson, Assistant Regional Administrator for Sustainable Fisheries, 
Sustainable Fisheries Division, Alaska Region, NMFS, 709 West 
9th Street, Room 453, Juneau, AK 99801, and to the Office of 
Information and Regulatory Affairs, Office of Management and Budget, 
Washington, DC 20503 (Attention: NOAA Desk Officer).

FOR FURTHER INFORMATION CONTACT: John Lepore, 907-586-7228.

SUPPLEMENTARY INFORMATION: The U.S. groundfish fisheries of the Gulf of 
Alaska (GOA) and the Bering Sea and Aleutian Islands Management Area 
(BSAI) in the exclusive economic zone (EEZ) are managed by NMFS 
pursuant to the FMPs for groundfish in the respective management areas. 
The commercial king crab and Tanner crab fisheries in the Bering Sea 
and the Aleutian Islands Area are managed by the State of Alaska with 
Federal oversight, pursuant to the FMP for those fisheries. The FMPs 
were prepared by the North Pacific Fishery Management Council 
(Council), pursuant to the Magnuson-Stevens Fishery Conservation and 
Management Act (Magnuson-Stevens Act), 16 U.S.C. 1801, et seq., and are 
implemented by regulations at 50 CFR part 679. General regulations at 
50 CFR part 600 also apply.
    Fishing under the LLP for the commercial groundfish fisheries in 
the EEZ of the GOA and the BSAI and the commercial king crab and Tanner 
crab fisheries in the EEZ of the Bering Sea and the Aleutian Islands 
Area is scheduled to begin January 1, 2000. The LLP replaces the Vessel 
Moratorium Program, which expires on December 31, 1999 (64 FR 3651, 
January 25, 1999).
    This rule establishes the application and transfer processes for 
LLP licenses. The proposed rule, on which this rule is based, was 
published April 19, 1999 (64 FR 19113). Further information on the 
purpose of and eligibility criteria for the LLP can be found in the 
preamble to the final rule implementing Amendment 39 to the FMP for the 
Groundfish Fishery of the BSAI, Amendment 41 to the FMP for Groundfish 
of GOA, and Amendment 5 to the FMP for the Commercial King and Tanner 
Crab Fisheries in the Bering Sea/Aleutian Islands (63 FR 52642, October 
1, 1998).

Application Process for LLP Licenses

    This rule provides that a limited application period of no less 
than 90 days will be specified by notification in the Federal Register. 
A limited application period means that an applicant will have a 
specific time period to apply for an LLP license. An application for an 
LLP license postmarked after the ending date of the application period 
will be denied. NMFS anticipates that this application period will 
begin in August or September 1999.
    NMFS currently is compiling a database containing information on 
vessels that participated in the groundfish and crab fisheries during 
the qualifying periods for LLP licenses. Sources of information for 
this database include weekly production reports and observer reports 
from NMFS and fish tickets, processor annual reports, and vessel 
registration information from the State of Alaska. NMFS will create the 
official LLP record from only complete and verifiable information from 
the database. The official LLP record will be presumed to be correct 
for the purpose of determining eligibility. An applicant that includes 
information in an application that is inconsistent with information in 
the official LLP record will have the burden of proving that the 
information submitted in the application is correct.
    NMFS will develop a summary of qualifications from the official LLP 
record for each person who appears to be eligible for an LLP license. 
NMFS will send a copy of the summary of qualifications along with an 
application form to these persons. Applications also will be provided 
to persons on request. An applicant who agrees with the summary of 
qualifications may include that information in his or her application. 
Using the information from the summary of qualifications will expedite 
application processing because the information will be consistent with 
information in the official LLP record.
    An applicant may include information in the application other than 
that contained in the summary of qualifications if an applicant 
disagrees with the information provided in the summary of 
qualifications or if that information is incomplete. However, the 
applicant must prove that the information submitted in the application 
that is inconsistent with, or in addition to, information provided in 
the summary of qualifications is correct.
    An applicant can meet this burden of proof by submitting evidence 
along with the application to verify the inconsistent or additional 
information provided on the application form. Information provided on 
the application form that cannot be verified with this evidence will 
not be accepted. The applicant will be notified that the information 
provided in the application cannot be verified and will be provided 
with a 60-day evidentiary period to submit further evidence to prove 
the information contained in the application is correct. This 60-day 
period will also be provided for an applicant to provide further 
information if the information provided on his or her application form 
is incomplete. Only one 60-day period will be provided for each 
applicant.
    Examples of evidence that can be used to verify information 
inconsistent with or in addition to information provided in the summary 
of qualifications are: (1) State fish tickets or weekly production 
reports to verify documented harvests not found in the official LLP 
record, (2) an abstract of title or sales contract to verify vessel 
ownership, and (3) a written contract transferring or retaining the 
fishing history of a qualified vessel. Other forms of evidence will be 
accepted if that evidence verifies submitted information.
    Information provided on an application form that cannot be verified 
at the conclusion of the 60-day evidentiary period will not be 
accepted, and claims based on that information

[[Page 42827]]

will be denied. At that time, NMFS will issue an initial administrative 
determination (IAD) indicating why those claims are denied. An 
applicant may appeal the IAD pursuant to the provisions of Sec. 679.43.
    An applicant who held a license the previous year will be eligible 
for a non-transferable license pending the final resolution of his or 
her claims pursuant to the license renewal provisions of 5 U.S.C. 558. 
This non-transferable license will be issued to an applicant in the 
IAD, will authorize the applicant to deploy a vessel to conduct 
directed fishing for license limitation groundfish or crab species as 
specified on the license, and will have specific endorsements and 
designations based on verified and unverified claims of the applicant. 
The non-transferable license will be effective until final agency 
action.
    If any of an applicant's claims are in dispute, the entire license 
received by the applicant will be non-transferable until final 
resolution of all the disputed claims, including portions of the 
license that are based on claims that can be verified. This will 
prevent an applicant from transferring away the portion of the license 
that was based on verified claims and keeping the non-transferable 
portion based on disputed claims. Such transfer activity could lead to 
additional participants in the affected fisheries. A non-transferable 
license expires on final agency action. At that time, the person who 
appealed will either receive a transferable license, or no license at 
all, depending on the final agency action.

Transfer Process for LLP Licenses

    The transfer process for LLP licenses will enable a license holder 
to request a transfer of an LLP license to any person that meets the 
eligibility requirements. The following requirements must be met for 
eligibility: The designated transferee must meet the U.S. Citizenship 
requirements of Chapter 121, Title 46, U.S.C., the parties to the 
transfer cannot have any fines, civil penalties, other payments due and 
outstanding, or outstanding permit sanctions resulting from Federal 
fishing violations, and the transfer cannot cause the designated 
transferee to exceed the license cap in Sec. 679.7(i)(1).
    A complete transfer application must be submitted to the 
Administrator, Alaska Region, NMFS (Regional Administrator), for 
approval before a transfer can occur. Transfer application forms will 
be available on request. An incomplete application will be returned to 
the applicant with identification of specific information that is 
necessary to make the application complete. Specific information for a 
transfer application includes (1) identification information for all 
parties to the transfer, (2) evidence of the eligibility of the 
designated transferee to document a fishing vessel, (3) a copy of the 
contract or sales agreement for the transfer, (4) the signatures of the 
parties to the transfer, and (5) identification information for the 
vessel to be deployed based on the transferred license. A transferee 
may choose not to designate a vessel at the time of transfer, in which 
case the license will be transferred but it cannot be used to deploy a 
vessel until one is designated. A designated vessel means any vessel 
named on the license, including the same vessel that was named on the 
license before the transfer.
    The rule also provides for transfer requests by court order, by 
operation of law, or as part of a security agreement. This provision 
will accommodate a transfer that is not voluntarily requested by the 
permit holder. Under those circumstances, the Regional Administrator 
will review the information in the transfer application or other 
documents and determine whether the requested transfer conflicts with 
other provisions of the LLP regulations or other applicable law (e.g., 
transfer to a person who could not document a fishing vessel under 
Chapter 121, Title 46, U.S.C.). If the Regional Administrator 
determines that the transfer (1) is not in conflict with other 
provisions of the LLP and (2) is not voluntary, the transfer will be 
allowed notwithstanding the annual limit on LLP license transfers 
explained here.
    A request to change the vessel designated on the license is closely 
related to a transfer of a license between two persons. A license 
holder may deploy only the vessel designated on the license; therefore, 
a person must request a change of that designated vessel if the license 
holder plans to deploy a vessel other than the one currently designated 
on the license. A request to change the vessel designated on the 
license can be done at the same time and on the same form as the 
license transfer. Alternatively, the transferee may choose to retain 
the vessel designated on the license before the transfer. These 
designations are considered part of the transfer and will not count 
separately towards the annual transfer limit explained here. If the 
transferee chooses not to designate a vessel at time of transfer (i.e., 
specifies ``none'' on the transfer form), the license cannot be used 
until a vessel is designated. The vessel designation that occurs after 
a transfer in which a person designates no vessel will not count 
separately towards the annual limit on transfers. Otherwise, a request 
to change the vessel designated on the license will be counted towards 
the annual limit on transfers.
    Finally, a license holder is limited to one voluntary license 
transfer (or one designated vessel change not accompanying a transfer) 
per calendar year. This limit is designed to restrict the incidence of 
intraseason movement of licenses among operators and vessels. 
Intraseason movement of licenses was identified by the Council as 
behavior that could significantly contribute to overcapacity and excess 
effort in the affected fisheries.

Comments on and Changes to the Proposed Rule

    NMFS received no comments on the proposed rule and made only non-
substantive changes to the regulatory text as proposed. Besides changes 
for clarity and readability, a provision was added at 
Sec. 679.4(k)(7)(v) indicating the transfer process must be used to 
change a vessel designated on an LLP license. The preamble to the 
proposed rule indicated that the transfer process would have to be used 
to change the vessel designated on the license. This activity, under 
both the proposed and final rules, would count toward the voluntary 
transfer limit.
    NOAA codifies its OMB control numbers for information collection at 
15 CFR part 902. Part 902 collects and displays the control numbers 
assigned to information collection requirements of NOAA by OMB pursuant 
to the Paperwork Reduction Act (PRA). This final rule codifies OMB 
control number 0648-0334 for Sec. 679.4(k)(6) and (k)(7).
    Under NOAA Administrative Order 25-11, dated December 17, 1990, the 
Under Secretary for Oceans and Atmosphere has delegated to the 
Assistant Administrator for Fisheries, NOAA, the authority to sign 
material for publication in the Federal Register.

Classification

    The Regional Administrator has determined that this rule is 
necessary for the conservation and management of the groundfish 
fisheries off Alaska and the Commercial king and Tanner crab fisheries 
in the Bering Sea and the Aleutian Islands and that it is consistent 
with the Magnuson-Stevens Fishery Conservation and Management Act and 
other applicable law.
    This final rule has been determined to be not significant for 
purposes of E.O. 12866.
    The Chief Counsel for Regulation, Department of Commerce, certified 
to

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the Chief Counsel for Advocacy of the Small Business Administration 
when this rule was proposed that, if adopted as proposed, it would not 
have a significant economic impact on a substantial number of small 
entities. No comments were received regarding this certification. As a 
result, a regulatory flexibility analysis was not prepared.
    Notwithstanding any other provisions of the law, no person is 
required to respond to, nor shall any person be subject to penalty for 
failure to comply with a collection of information, subject to the 
requirements of the PRA, unless that collection of information displays 
a currently valid OMB control number.
    This rule contains a revised collection-of-information requirement 
subject to the Paperwork Reduction Act (PRA). This revision has 
approved by OMB under control number 0648-0334. The public reporting 
burden for this collection of information is estimated to average 2.5 
hours per response for an application for initial issuance, 1 hour per 
response for an application for transfer, and 4 hours per response for 
an appeal. These response times 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 these burden 
estimates or any other aspect of the data requirements, including 
suggestions for reducing the burden, to NMFS, P.O. Box 21668, Juneau, 
AK 99802, and to the Office of Information and Regulatory Affairs, 
Office of Management and Budget, Washington, DC 20503 (Attn: NOAA Desk 
Officer). OMB approved the original collection of information 
requirement for the LLP under OMB control number 0648-0334. Please 
refer to this number in any correspondence regarding this request.

List of Subjects

15 CFR Part 902

    Reporting and recordkeeping requirements.

50 CFR Part 679

    Alaska, Fisheries, Reporting and recordkeeping requirements.

    Dated: July 30, 1999.
Andrew A. Rosenberg,
Deputy Assistant Administrator for Fisheries, National Marine Fisheries 
Service.
    For the reasons set out in the preamble, 15 CFR part 902, chapter 
IX, and 50 CFR part 648, chapter VI, are amended as follows:

15 CFR Chapter IX

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, the table in paragraph (b) is amended by adding 
under 50 CFR the following entries in numerical order:


Sec. 902.1  OMB control numbers assigned pursuant to the Paperwork 
Reduction Act.

* * * * *
    (b) * * *

------------------------------------------------------------------------
 CFR part or section where the information     Current OMB control (all
     collection requirement is located        numbers begin with 0648)
------------------------------------------------------------------------
 
                  *        *        *        *        *
50 CFR
 
                  *        *        *        *        *
679.4(k)(6)(iii)                            -0334
679.4(k)(6)iv)                              -0334
679.4(k)(7)(iii)                            -0334
 
                  *        *        *        *        *
------------------------------------------------------------------------

50 CFR Chapter VI

PART 679--FISHERIES OF THE EXCLUSIVE ECONOMIC ZONE OFF ALASKA

    1. The authority citation for part 679 continues to read as 
follows:

    Authority: 16 U.S.C. 773 et seq., 1801 et seq., and 3631 et seq.

    2. In Sec. 679.2, the definition for ``Official LLP record'' is 
added in alphabetical order to read as follows:


Sec. 679.2  Definitions.

* * * * *
    Official LLP record means the information prepared by the Regional 
Administrator about vessels that were used to participate in the 
groundfish and crab fisheries during the qualifying peiods for the 
License Limitation Program (LLP). Information in the official LLP 
record includes vessel ownership information, documented harvests made 
from vessels during the qualification periods, and vessel 
characteristics. The official LLP record is presumed to be correct for 
the purpose of determining eligibility for licenses. An applicant for a 
license under the LLP will have the burden of proving that information 
submitted in an application that is inconsistent with the official LLP 
record is correct.
* * * * *
    3. In Sec. 679.4, reserved paragraphs (k)(6) and (k)(7) are added 
to read as follows:


Sec. 679.4  Permits.

* * * * *
    (k) * * *
    (6) Application for a groundfish license or a crab species license. 
(i) General. The Regional Administrator will issue a groundfish license 
or a crab species license to an applicant if a complete application is 
submitted by or on behalf of the applicant during the specified 
application period, and if that applicant meets all the criteria for 
eligibility in paragraph (k) of this section. An application that is 
postmarked or delivered after the ending date for the application 
period for the License Limitation Program specified in the Federal 
Register will be denied. An application form will be sent to the last 
known address of a person identified as an eligible applicant by the 
official LLP record. An application form may be requested from the 
Regional Administrator.
    (ii) Application period. An application period of no less than 90 
days will be specified by notification in the Federal Register and 
other information sources deemed appropriate by the Regional 
Administrator.
    (iii) Contents of application. To be complete, an application for a 
groundfish license or a crab species license must be signed by the 
applicant, or the individual representing the applicant, and contain 
the following, as applicable:
    (A) Name, business address, telephone number, and FAX number of the 
applicant;
    (B) Name, state registration number (e.g., ADF&G number), and, if 
applicable, the USCG documentation number of the vessel being used as 
the basis for eligibility for a license; and name, state registration 
number (e.g., ADF&G number), and, if applicable, the USCG documentation 
number of the vessel to be deployed with the license if different than 
the vessel used as the basis of eligibility for a license;
    (C) Name of the managing company, if any;
    (D) Valid evidence of the documented harvests that are the basis of 
eligibility for a license, including harvest area, gear used, date of 
landing, and, if applying for a crab species license, species;
    (E) Valid evidence of LOA on June 24, 1992, of the vessel used as 
the basis of eligibility for a license, except if that

[[Page 42829]]

vessel was under reconstruction on that date, valid evidence of LOA on 
the date reconstruction was completed and valid evidence of when 
reconstruction began and ended;
    (F) Valid evidence of LOA on June 17, 1995, of the vessel used as 
the basis of eligibility for a license, except if that vessel was under 
reconstruction on that date, valid evidence of LOA on the date 
reconstruction was completed, and valid evidence of when reconstruction 
began and ended;
    (G) Valid evidence to support the applicant's claim for a vessel 
designation of catcher vessel or catcher/processor vessel;
    (H) Valid evidence of ownership of the vessel being used as the 
basis for eligibility for a license (for USCG documented vessels, valid 
evidence must be the USCG Abstract of Title), or if eligibility is 
based on a fishing history that has been separated from a vessel, valid 
evidence of ownership of the fishing history being used as the basis of 
eligibility for a license; and
    (I) Valid evidence of the LOA of the vessel to be deployed by the 
license if different than the vessel used as the basis for eligibility 
for a license.
    (iv) Other information required for special circumstances.
    (A) Successor-in-interest. If an applicant is applying as the 
successor-in-interest to an eligible applicant, an application, to be 
complete, also must contain valid evidence proving the applicant's 
status as a successor-in-interest to that eligible applicant and:
    (1) Valid evidence of the death of that eligible applicant at the 
time of application, if the eligible applicant was or is an individual; 
or
    (2) Valid evidence that the eligible applicant is no longer in 
existence at the time of application, if the eligible applicant is not 
an individual.
    (B) Norton Sound crab species license endorsement. If an applicant 
is applying for a crab species license endorsement for Norton Sound and 
if the applicant is a person, an application, to be complete, must 
contain valid evidence that the applicant was a State of Alaska permit 
holder for the Norton Sound king crab summer fishery in 1993 or 1994. 
If the applicant is a corporation, an application, to be complete, must 
contain valid evidence that the corporation owned or had a lease for a 
vessel on June 17, 1995, that participated in the Norton Sound king 
crab summer fishery in 1993 or 1994.
    (C) Extended general qualification period. If an applicant is 
applying for a license based on meeting the general qualification 
period requirements of paragraph (k)(4)(i)(A)(2) or (k)(4)(i)(B)(2) of 
this section, the application, to be complete, must indicate which 
single endorsement area the applicant has selected for license. A 
license cannot be endorsed for more than one area, notwithstanding the 
fact that the applicant may have the documented harvests to qualify for 
more than one endorsement area.
    (D) Unavoidable circumstances. If an applicant is applying for a 
license based on an unavoidable circumstance pursuant to paragraph 
(k)(8)(iv) of this section, an application, to be complete, must 
contain the information required by that paragraph and valid evidence 
of the date the vessel on which the application is based was lost, 
damaged, or otherwise unable to participate in the fishery, and the 
date a documented harvest was made from the replacement vessel.
    (v) Application evaluation. The Regional Administrator will 
evaluate an application submitted during the specified application 
period and compare all claims in the application with the information 
in the official LLP record. Claims in the application that are 
consistent with information in the official LLP record will be accepted 
by the Regional Administrator. Inconsistent claims in the application, 
unless verified by evidence, will not be accepted. Pursuant to 
paragraph (k)(6)(vii) of this section, an applicant who submits 
inconsistent claims, or an applicant who fails to submit the 
information specified in paragraphs (k)(6)(iii) and (k)(6)(iv) of this 
section, will be provided a 60-day evidentiary period pursuant to 
paragraph (k)(6)(vii) of this section to submit the specified 
information, submit evidence to verify his or her inconsistent claims, 
or submit a revised application with claims consistent with information 
in the official LLP record. An applicant who submits claims that are 
inconsistent with information in the official LLP record has the burden 
of proving that the submitted claims are correct.
    (vi) Additional information or evidence. The Regional Administrator 
will evaluate additional information or evidence to support an 
applicant's inconsistent claims submitted within the 60-day evidentiary 
period pursuant to paragraph (k)(6)(vii) of this section. If the 
Regional Administrator determines that the additional information or 
evidence meets the applicant's burden of proving that the inconsistent 
claims in his or her application is correct, the official LLP record 
will be amended and the information will be used in determining whether 
the applicant is eligible for a license. However, if the Regional 
Administrator determines that the additional information or evidence 
does not meet the applicant's burden of proving that the inconsistent 
claims in his or her application is correct, the applicant will be 
notified by an initial administrative determination, pursuant to 
paragraph (k)(6)(viii) of this section, that the applicant did not meet 
the burden of proof to change the information in the official LLP 
record.
    (vii) 60-day evidentiary period. The Regional Administrator will 
specify by letter a 60-day evidentiary period during which an applicant 
may provide additional information or evidence to support the claims 
made in his or her application, or to submit a revised application with 
claims consistent with information in the official LLP record, if the 
Regional Administrator determines that the applicant did not meet the 
burden of proving that the information on the application is correct 
through evidence provided with the application. Also, an applicant who 
fails to submit information as specified in paragraphs (k)(6)(iii) and 
(k)(6)(iv) of this section will have 60 days to provide that 
information. An applicant will be limited to one 60-day evidentiary 
period. Additional information or evidence, or a revised application, 
received after the 60-day evidentiary period specified in the letter 
has expired will not be considered for purposes of the initial 
administrative determination.
    (viii) Initial administrative determinations (IAD). The Regional 
will prepare and send an IAD to the applicant following the expiration 
of the 60-day evidentiary period if the Regional Administrator 
determines that the information or evidence provided by the applicant 
fails to support the applicant's claims and is insufficient to rebut 
the presumption that the official LLP record is correct, or if the 
additional information, evidence, or revised application is not 
provided within the time period specified in the letter that notifies 
the applicant of his or her 60-day evidentiary period. The IAD will 
indicate the deficiencies in the application, including any 
deficiencies with the information, the evidence submitted in support of 
the information, or the revised application. The IAD will also indicate 
which claims cannot be approved based on the available information or 
evidence. An applicant who receives an IAD may appeal pursuant to 
Sec. 679.43. An applicant who avails himself or herself of the 
opportunity to appeal an IAD will not receive a transferable license 
until after the final resolution of that appeal, notwithstanding the 
eligibility of that applicant for some claims based on

[[Page 42830]]

consistent information in the application.
    (ix) Issuance of a non-transferable license. The Regional 
Administrator will issue a non-transferable license to the applicant on 
issuance of an IAD if required by the license renewal provisions of 5 
U.S.C. 558. A non-transferable license authorizes a person to deploy a 
vessel to conduct directed fishing for license limitation groundfish or 
crab species as specified on the non-transferable license, and will 
have the specific endorsements and designations based on the claims in 
his or her application. A non-transferable license will expire upon 
final agency action.
    (7) Transfer of a groundfish license or a crab species license--(i) 
General. The Regional Administrator will transfer a groundfish license 
or a crab species license if a complete transfer application is 
submitted to Restricted Access Management, Alaska Region, NMFS, and if 
the transfer meets the eligibility criteria as specified in paragraph 
(k)(7)(ii) of this section. An application form may be requested from 
the Regional Administrator.
    (ii) Eligibility criteria for transfers. A groundfish license or 
crab species license can be transferred if:
    (A) The designated transferee is eligible to document a fishing 
vessel under Chapter 121, Title 46, U.S.C.;
    (B) The parties to the transfer do not have any fines, civil 
penalties, other payments due and outstanding, or outstanding permit 
sanctions resulting from Federal fishing violations;
    (C) The transfer will not cause the designated transferee to exceed 
the license caps in Sec. 679.7(i); and
    (D) The transfer does not violate any other provision specified in 
this part.
    (iii) Contents of application. To be complete, an application for a 
groundfish license transfer or a crab species license transfer must be 
signed by the license holder and the designated transferee, or the 
individuals representing them, and contain the following, as 
applicable:
    (A) Name, business address, telephone number, and FAX number of the 
license holder and the designated transferee;
    (B) Name, state registration number (e.g., ADF&G number), and, if 
applicable, the USCG documentation number of the vessel to be deployed 
with the license (i.e., the designated vessel) after the transfer is 
approved;
    (C) Valid evidence that the designated transferee is a person 
eligible to document a fishing vessel under Chapter 121, Title 46, 
U.S.C.;
    (D) A legible copy of a contract or sales agreement that specifies 
the license to be transferred, the license holder, the designated 
transferee, the monetary value or the terms of the license transfer, 
and the signature of the license holder and the designated transferee; 
and
    (E) Information regarding whether a broker was used for the 
transaction, whether the license was collateralized, and other 
information the Regional Administrator deems necessary for measuring 
program performance.
    (iv) Incomplete applications. The Regional Administrator will 
return an incomplete transfer application to the applicant and identify 
any deficiencies if the Regional Administrator determines that the 
application does not meet all the criteria identified in paragraph 
(k)(7) of this section.
    (v) Transfer by court order, operation of law, or as part of a 
security agreement. The Regional Administrator will transfer a 
groundfish license or a crab species license based on a court order, 
operation of law, or a security agreement if the Regional Administrator 
determines that the transfer application is complete and the transfer 
will not violate any of the provisions of this section.
    (vi) Voluntary transfer limitation. A groundfish license or a crab 
species license may be voluntarily transferred only once in any 
calendar year. A voluntary transfer is a transfer other than one 
pursuant to a court order, operation of law, or a security agreement. 
An application for transfer that would cause a person to exceed the 
transfer limit of this provision will not be approved.
    (vii) Request to change the designated vessel. A request to change 
the vessel designated on an LLP groundfish or crab species license must 
be made on a transfer application. If this request is approved and made 
separately from a license transfer, it will count towards the annual 
limit on voluntary transfers specified in paragraph (k)(7)(vi) of this 
section.
* * * * *
[FR Doc. 99-20206 Filed 8-5-99; 8:45 am]
BILLING CODE 3510-22-F