[Federal Register Volume 65, Number 3 (Wednesday, January 5, 2000)]
[Rules and Regulations]
[Pages 380-390]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-34065]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

50 CFR Part 679

[Docket No. 991228352-9352-01; I.D. 121099C]
RIN 0648-AM83


Fisheries of the Exclusive Economic Zone Off Alaska; Permit 
Requirements for Vessels, Processors, and Cooperatives Wishing to 
Participate in the Bering Sea and Aleutian Islands Pollock Fishery 
Under the American Fisheries Act

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

ACTION: Emergency interim rule; request for comments.

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SUMMARY: NMFS issues an emergency interim rule to implement permit 
requirements for vessels, processors, and cooperatives wishing to 
participate in the Bering Sea and Aleutian Islands management area 
(BSAI) pollock fishery under the American Fisheries Act (AFA). This 
emergency interim rule is necessary to provide participants in the BSAI 
pollock fishery with the opportunity to apply for permits to 
participate in the BSAI pollock fishery prior to the scheduled start of 
the fishery on January 20, and to implement sideboard restrictions to 
protect other Alaska fisheries from negative impacts as a result of 
fishery cooperatives formed under the AFA.

DATES: Effective December 30, 1999 through June 27, 2000. Comments on 
the emergency rule must be received by January 20, 2000.

ADDRESSES: Comments must be sent to Sue Salveson, Assistant 
Administrator, Sustainable Fisheries Division, NMFS, Alaska Region, 
P.O. Box 21668, Juneau, AK 99802, Attn: Lori Gravel. Comments also may 
be sent via facsimile (fax) to 907-586-7465. Comments will not be 
accepted if submitted via e-mail or Internet. Courier or hand delivery 
of comments may be made to NMFS in the Federal Building, Room 453, 709 
West 9th Street, Juneau, AK 99801, and marked Attn: Lori 
Gravel.
    Copies of the Environmental Assessment/ Regulatory Impact Review/ 
Initial Regulatory Flexibility Analysis (EA/RIR/IRFA) prepared for 
Amendments 61/61/13/8 and for this action may be obtained from North 
Pacific Fishery Management Council, 605 West 4th Ave, Suite 306, 
Anchorage, AK 99501, 907-271-2809. Send comments on collection-of-
information requirements to the NMFS, Alaska Region, and to the Office 
of Information and Regulatory Affairs, Office of Management and Budget 
(OMB), Washington, DC 20503, Attn: NOAA Desk Officer.

FOR FURTHER INFORMATION CONTACT: Kent Lind, 907-586-7228 or 
[email protected]

SUPPLEMENTARY INFORMATION:
    NMFS manages the U.S. groundfish fisheries in the exclusive 
economic zone of the BSAI and Gulf of Alaska (GOA) under the fishery 
management plans for the groundfish fisheries of the BSAI and GOA 
(FMPs). With Federal oversight, the State of Alaska manages the FMPs 
for Commercial King Crab and Tanner Crab fisheries in the BSAI and the 
Scallop Fishery off Alaska. The North Pacific Fishery Management 
Council (Council) prepared, and NMFS approved, the FMPs under the 
authority of the Magnuson-Stevens Fishery Conservation and Management 
Act (Magnuson-Stevens Act). Regulations implementing the FMPs appear at 
50 CFR part 679. General regulations governing U.S. fisheries also 
appear at 50 CFR 600.

American Fisheries Act--Background Information

    The AFA made profound changes in the management of the groundfish 
fisheries of the BSAI and, to a lesser extent, the groundfish fisheries 
of the

[[Page 381]]

GOA and crab fisheries of the BSAI. With respect to the groundfish and 
crab fisheries off Alaska, the AFA established a new allocation scheme 
for BSAI pollock thatallocates 10 percent of the BSAI pollock total 
allowable catch (TAC) to the Western Alaska Community Development Quota 
(CDQ) Program and, after allowance for incidental catch of pollock in 
other fisheries, allocates the remaining TAC as follows: 50 percent to 
vessels harvesting pollock for processing by inshore processors, 40 
percent to vessels harvesting pollock for processing by catcher/
processors, and 10 percent to vessels harvesting pollock for processing 
by motherships;provided for the buyout and scrapping of nine pollock 
catcher/processors through a combination of $20 million in Federal 
appropriations and $75 million in direct loan obligations; established 
a fee of six-tenths (0.6) of one cent for each pound round weight of 
pollock harvested by catcher vessels delivering to inshore processors 
for the purpose of repaying the $75 million direct loan obligation; 
listed by name and/or provided qualifying criteria for those vessels 
and processors eligible to participate in the non-CDQ portion of the 
BSAI pollock fishery; increased observer coverage and scale 
requirements for AFA catcher/processors; established limitations for 
the creation of fishery cooperatives in the catcher/processor, 
mothership, and inshore industry sectors; required that NMFS grant 
individual allocations of the inshore BSAI pollock TAC to inshore 
catcher vessel cooperatives which form around a specific inshore 
processor and agree to deliver the bulk of their catch to that 
processor; required harvesting and processing restrictions (commonly 
known as ``sideboards'') on fishermen and processors who have received 
exclusive harvesting or processing privileges under the AFA to protect 
the interests of fishermen and processors who have not directly 
benefitted from the AFA; and established excessive share harvesting 
caps for BSAI pollock and directed the Council to develop excessive 
share caps for BSAI pollock processing and for the harvesting and 
processing of other groundfish.
    Since the passage of the AFA in October 1998, NMFS has begun to 
implement specific provisions of the AFA through a variety of 
mechanisms. For the 1999 fishing year, NMFS implemented the new AFA 
pollock allocations and harvest restrictions on catcher/processors 
through the interim and final BSAI harvest specifications (64 FR 50, 
January 4, 1999; and 64 FR 12103, March 11, 1999). Required changes to 
the CDQ program were implemented through an emergency interim rule (64 
FR 3877, January 26, 1999; extended at 64 FR 34743, June 29, 1999). The 
increase in observer coverage levels for pollock catcher/processors and 
regulatory authority to manage AFA catcher/processor sideboard limits 
through directed fishing closures were implemented through a separate 
emergency interim rule (64 FR 3435, January 22, 1999; corrected at 64 
FR 7814, February 17, 1999; and extended at 64 FR 33425, June 6, 1999). 
In December 1998, NMFS administered the buyout of the nine catcher/
processors declared ineligible under the AFA, and is currently 
overseeing the scrapping of the eight vessels scheduled for scrapping 
under the AFA.
    The Council has taken an active role in the development of 
management measures to implement the various provisions of the AFA. The 
Council began consideration of the implications of the AFA during a 
special meeting in November 1998, during which it began consideration 
of AFA-related actions that were required for the 1999 fishing year. At 
its December 1998 meeting, the Council voted to recommend approval of 
the two emergency rules cited here, recommended AFA-related provisions 
to the 1999 BSAI harvest specifications for groundfish, and began an 
analysis of a suite of AFA-related management measures that 
subsequently became known as Amendments 61/61/13/8 to the FMPs for the 
BSAI groundfish fishery, GOA groundfish fishery, BSAI king and Tanner 
crab fishery, and Alaska scallop fishery, respectively. The Council 
conducted an initial review of Amendments 61/61/13/8 and related AFA 
measures at its April 1999 meeting, and took final action on these 
amendments at its June 1999 meeting.
    The suite of permit requirements in this emergency interim rule 
duplicates, and would give immediate effect to, the permit requirements 
proposed under Amendments 61/61/13/8. NMFS is issuing this emergency 
interim rule to give immediate effect to all AFA-related permit 
requirements so that the fishing industry has the opportunity to apply 
for and receive AFA-related fishing permits prior to the start of the 
2000 fishing year. An emergency rule is necessary to provide an 
opportunity for inshore catcher vessels to form cooperatives for the 
2000 fishing year. Inshore sector cooperatives will provide the inshore 
industry with the ability to more effectively meet the temporal and 
spatial dispersion objectives of NMFS' Steller sea lion conservation 
measures that are being published in separate rulemakings. Without this 
emergency interim rule, the inshore sector of the BSAI pollock industry 
would be unable to form cooperatives prior to the start of the 2000 
fishing year as provided for in the AFA, and would lose a valuable 
method of meeting the temporal and spatial dispersion objectives of 
NMFS' Steller sea lion conservation measures. In addition, this 
emergency action is necessary to implement section 211(c)(1) of the AFA 
which mandates sideboard restrictions to prevent AFA catcher vessels 
from exceeding ``in the aggregate the traditional harvest levels of 
such vessels in other fisheries under the authority of the North 
Pacific Council as a result of fishery cooperatives in the directed 
pollock fishery, [and] protect processors not eligible to participate 
in the directed pollock fishery from adverse effects as a result of the 
AFA or fishery cooperatives in the directed pollock fishery.'' Such 
sideboard protections must be implemented prior to January 1, 2000, to 
prevent adverse economic impacts on the participants of other 
groundfish and crab fisheries that open January 2000.
    The permitting requirements contained in this emergency interim 
rule will be repeated in the proposed rule to implement Amendments 61/
61/13/8 to provide the public an opportunity to comment on AFA permit 
requirements before they are made effective on a permanent basis. If 
Amendments 61/61/13/8 are approved by NMFS, then this emergency interim 
rule would be superseded by the final rule to implement the amendments.
    This emergency interim rule establishes new permit requirements for 
AFA catcher/processors, AFA catcher vessels, AFA motherships, AFA 
inshore processors, and AFA inshore cooperatives. Any vessel used to 
engage in directed fishing for a non-CDQ allocation of pollock in the 
BSAI and any processor that receives pollock harvested in a non-CDQ 
directed pollock fishery in the BSAI is required to maintain a valid 
AFA permit onboard the vessel or at the plant location at all times 
while non-CDQ pollock is being harvested or processed. These new AFA 
permits do not exempt a vessel operator, vessel owner, or pollock 
processor from any other applicable permit or licensing requirements 
required by State or Federal regulations. However, vessels fishing for 
BSAI pollock under the CDQ program and processors processing pollock 
harvested under the CDQ program are not required to have AFA permits in 
order to participate in the CDQ fishery.
    This emergency interim rule does not establish an application 
deadline for

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vessel or processor permits. However, once issued, AFA vessel and 
processor permits are valid until December 31, 2004. AFA vessel and 
processor permits may not be used on or transferred to another vessel 
or processor, except under the replacement vessel provisions outlined 
here. However, AFA permits may be amended to reflect any change in the 
ownership of the vessel or processor. In contrast to vessel and 
processor permits, AFA inshore cooperative permits are valid only for 
the fishing year for which they are issued, but are renewable on an 
annual basis.



AFA Permit Applications

    Application forms for all AFA permits are available upon request 
from the NMFS Alaska Region (see ADDRESSES) and are available for 
downloading on the NMFS Alaska Region home page (http://
www.fakr.noaa.gov). AFA vessel and processor permits will be issued to 
the current owner of a qualifying vessel or processor if he/she submits 
to the Regional Administrator a completed AFA permit application that 
is subsequently approved. This emergency interim rule also establishes 
an appeals process under which applicants may appeal the NMFS 
determinations related to AFA permits and AFA inshore cooperative 
allocations. The appeals process for AFA permits is similar to the 
process currently in place for the individual fishing quota program and 
license limitation program (LLP) appeals.

AFA Catcher/Processor Permits

    Under the AFA, the statutory list of qualified catcher/processors 
took effect on January 1, 1999, and NMFS has already issued AFA 
catcher/processor permits to the owners of all qualified catcher/
processors. Under this emergency interim rule, currently permitted AFA 
catcher/processors will be issued new AFA permits that will be valid 
until December 31, 2004. NMFS will reissue AFA catcher/processor 
permits automatically, and the owners of AFA catcher/processors are not 
required to re-submit AFA permit applications. Two categories of AFA 
catcher/processor permits will be issued: Vessels listed by name in 
sections 208(e)(1) through (20) of the AFA will be reissued 
unrestricted AFA catcher/processor permits; vessels qualifying for AFA 
catcher/processor permits under section 208(e)(21) will be reissued 
restricted AFA catcher/processor permits, which limits them, in the 
aggregate, to harvesting no more than 0.5 percent of the catcher/
processor sector TAC allocation.

AFA Catcher Vessel Permits

    Under the AFA, a catcher vessel is qualified to fish for BSAI 
pollock if it is listed by name in the AFA or if its history of 
participation in the BSAI pollock fishery meets certain criteria set 
out in the AFA. Under this emergency interim rule, AFA catcher vessel 
permits may be endorsed to authorize directed fishing for pollock for 
delivery to catcher/processors, AFA inshore processors, and/or AFA 
motherships. Under the AFA, a catcher vessel may be authorized to 
engage in directed fishing for pollock for delivery to both AFA inshore 
processors and AFA motherships, depending on its qualifying catch 
history. However, a vessel that is eligible to deliver to catcher/
processors is ineligible for an endorsement to deliver to inshore 
processors or motherships. An applicant for an AFA catcher vessel 
permit is required to indicate the sector endorsement(s) for which the 
vessel qualifies. NMFS is establishing an official AFA record that 
includes the relevant catch histories of all potentially qualifying 
vessels and will review for verification all claims of endorsement 
qualification against the official AFA record.

AFA Catcher Vessel Crab Sideboard Endorsements

    Under section 211(c)(1)(A) of the AFA, the Council is required to 
recommend measures to limit the participation of AFA catcher vessels in 
BSAI crab fisheries. Section 211(c)(2)(C) of the AFA also prohibits 
section 208(b) catcher vessels (i.e., AFA catcher vessels eligible to 
deliver to catcher/processors) ``from participating in a directed 
fishery for any species of crab in the Bering Sea and Aleutian Islands 
Management Area unless the catcher vessel harvested crab in the 
directed fishery for that species of crab in such Area during 1997.'' 
In June 1999, the Council developed final recommendations for limits on 
the participation of AFA catcher vessels in BSAI crab fisheries in 
order to comply with these two provisions of the AFA.
    NMFS will implement these catcher vessel crab sideboard limits 
recommended by the Council through crab sideboard endorsements on the 
AFA catcher vessel permits. The owner of a catcher vessel who wishes to 
participate in any BSAI crab fishery must apply for and receive a 
sideboard endorsement for that crab species on the vessel's AFA catcher 
vessel permit. AFA catcher vessel permits may be endorsed for the 
Bristol Bay Red King Crab, St. Matthew Island blue king crab, Pribilof 
Island red or blue king crab, Aleutian Islands brown king crab, 
Aleutian Islands red king crab, Opilio Tanner crab, and Bairdi Tanner 
crab fisheries based on a vessel's history of participation in each of 
those fisheries. The specific qualifying years for each fishery are set 
out in Sec. 679.4(l)(3)(ii)(D) of this emergency interim rule. While 
the Council's recommended qualifying years for some crab fisheries are 
different from the 1997 qualifying year specified in the AFA for 
section 208(b) catcher vessels, the practical effects of the Council's 
recommended qualifying years are the same as those specified in the AFA 
because the same set of subsection 208(b) of the AFA catcher vessels 
would qualify for crab sideboard endorsements under either the 
Council's recommended qualification criteria, or the criteria set out 
in section 211(c)(2)(C) of the AFA. Therefore, the Council's 
recommended qualifying criteria are consistent with those set forth in 
section 211(c)(2)(C) of the AFA.
    The Council based some of its crab sideboard recommendations on 
whether a particular vessel is ``LLP qualified'' for a particular crab 
fishery. To implement this recommendation, the AFA catcher vessel 
permit application contains questions related to vessel catch history 
using the same qualifying years as the LLP program. This rule requires 
applicants for AFA catcher vessel permits to indicate on the permit 
application which AFA crab sideboard endorsements the vessel qualifies 
for based on the qualifying criteria set out in this rule. NMFS will 
review for verification all claims of qualification.
    Owners of catcher vessels should be aware that qualification for a 
crab sideboard endorsement does not in and of itself provide sufficient 
authorization to participate in a BSAI crab fishery. Existing 
regulations require the vessel also to have a valid LLP permit for that 
fishery. To participate in a BSAI crab fishery, the operator of an AFA 
catcher vessel must have a valid LLP license for that crab fishery as 
well as an AFA catcher vessel permit containing an endorsement for that 
crab fishery.

Exemptions to Catcher Vessel Groundfish Sideboards

    NMFS through subsequent rulemaking will be implementing sideboard 
measures to restrict AFA catcher vessels from exceeding, in the 
aggregate, their historic harvests in other groundfish fisheries based 
on recommendations made by the Council at its June 1999 meeting. These 
groundfish sideboards will apply to all AFA catcher vessels in the 
aggregate

[[Page 383]]

regardless of sector and regardless of participation in a cooperative 
except that catcher vessels less than 125 ft whose annual BSAI pollock 
landings averaged less than 1700 mt from 1995-1997 (i.e., landed less 
than 5,100 mt of pollock over the 3-year period) are exempt from BSAI 
Pacific cod sideboards if they made 30 or more legal landings of BSAI 
Pacific cod in the BSAI directed fishery for Pacific cod. In addition, 
AFA catcher vessels that meet the same vessel length and BSAI pollock 
landing criteria and that made 40 or more legal landings of GOA 
groundfish would be exempt from groundfish sideboards in the GOA.
    In recommending these exemptions, the Council noted that many of 
the AFA catcher vessels with relatively low catch histories of BSAI 
pollock have traditionally targeted BSAI Pacific cod and GOA groundfish 
during much of the year and may be only minor participants in the BSAI 
pollock fishery. The Council believed that imposing aggregate 
sideboards on such vessels in the BSAI Pacific cod fishery and GOA 
groundfish fisheries could severely harm the owners of such vessels 
given their historically high levels of participation in non-pollock 
fisheries, and the fact that their historic dedication to fisheries 
other groundfish fisheries may account for their lower catch histories 
of BSAI pollock during the AFA qualifying years. The owners of vessels 
who believe their vessel may be eligible for one or both of these 
exemptions must apply for the sideboard exemption on their AFA catcher 
vessel permit application form.

AFA Mothership Permits

    Under subsection 208(d) of the AFA, three motherships are 
authorized by vessel name to process pollock harvested in the BSAI 
directed pollock fishery for delivery to motherships. Under this 
emergency interim rule, NMFS will issue to the owner of a mothership an 
AFA mothership permit if the mothership is listed by name in sections 
208(d)(1) through (3) of the AFA. However, the owner of a mothership 
wishing to process pollock harvested by a fishery cooperative also must 
apply for and receive a cooperative processing endorsement on its AFA 
mothership permit. This requirement is necessary because NMFS must 
identify and place crab processing restrictions on any entity that owns 
or controls an AFA mothership or an AFA inshore processor that receives 
pollock harvested by a cooperative.
    Subsection 211(c)(2)(A) of the AFA imposes crab processing 
restrictions on the owners of AFA mothership and AFA inshore processors 
that receive pollock from a fishery cooperative. Under the AFA, these 
processing limits extend not only to the AFA processing facility 
itself, but also to any entity that directly or indirectly owns or 
controls a 10-percent or greater interest in the AFA mothership or in 
the AFA inshore processor. To implement the crab processing 
restrictions contained in subsection 211(c)(2)(A) of the AFA, NMFS is 
requiring that applicants for AFA mothership and AFA inshore processor 
permits disclose on their permit applications all entities directly or 
indirectly owning or controlling a 10-percent or greater interest in 
the AFA mothership or AFA inshore processor and the names of BSAI crab 
processors in which such entities directly or indirectly own or control 
a 10-percent or greater interest. An applicant for an AFA mothership or 
an AFA inshore processor permit who does not disclose this crab 
processor ownership information may receive an AFA mothership permit or 
an AFA inshore processor permit but will be denied an endorsement 
authorizing the processor to receive and process pollock harvested by a 
fishery cooperative.

AFA Inshore Processor Permits

    Under the AFA, inshore processors are authorized to receive and 
process BSAI pollock harvested in the directed fishery, based on their 
levels of processing in 1996 and 1997. NMFS will provide to an 
applicant an unrestricted AFA inshore processor permit if the 
Administrator, Alaska Region, NMFS (Regional Administrator) determines 
that the inshore processing facility annually processed more than 2,000 
metric tons (mt) round weight of pollock harvested in the inshore 
directed pollock fishery in each of 1996 and 1997. NMFS will provide to 
an applicant a restricted AFA inshore processor permit if the Regional 
Administrator determines that the inshore processing facility processed 
pollock harvested in the inshore directed pollock fishery during 1996 
or 1997, but did not process annually more than 2,000 mt round weight 
of pollock in each of 1996 and 1997. A restricted AFA inshore processor 
permit will prohibit the inshore processing facility from processing 
more than 2,000 mt round weight of BSAI pollock harvested in the 
directed fishery in any one year.
    The owner of an AFA inshore processor wishing to process pollock 
harvested by a fishery cooperative must also have a cooperative 
processing endorsement on the AFA inshore processing permit. The 
requirements for an AFA inshore processor cooperative processing 
endorsement are the same as those listed for AFA motherships above.
    At its June 1999 meeting, the Council also recommended that each 
AFA inshore processor be restricted to operating in the single 
geographic location in which it operated in 1996 or 1997 when 
processing pollock harvested in the BSAI directed pollock fishery. 
However, at its December 1999 meeting, the Council changed its June 
1999 recommendation and recommended instead that inshore processors be 
held to a single geographic location during a fishing year. This 
revised recommendation would allow a stationary floating processor to 
change locations between fishing years instead of holding them to the 
location in which they operated in 1996 or 1997.
    The purpose of this recommendation is to implement section 
210(f)(1)(A) of the AFA, which includes vessels in a single geographic 
location in Alaska state waters. To implement this restriction, this 
emergency rule limits shoreside (land-based) processors to operating in 
the physical location in which the facility first processed pollock 
during a fishing year. Stationary floating processors are restricted to 
operating in a location within Alaska state waters that is within 5 
nautical miles (nm) of the position in which the stationary floating 
processor first processed BSAI pollock harvested in the BSAI directed 
pollock fishery during a fishing year. NMFS believes that 5 nm is an 
appropriate distance for this requirement because it allows the 
operator of a floating processor some flexibility in choosing an 
appropriate anchorage, but it still requires that the processor be 
located in the same body of water for the duration of a fishing year.

Inshore Cooperative Fishing Permits

    Under this emergency interim rule, NMFS will issue to an inshore 
catcher vessel cooperative formed for the purpose of cooperatively 
managing directed fishing for pollock during 2000 an AFA inshore 
cooperative fishing permit if NMFS receives the cooperative's completed 
application by December 31, 1999, and the Regional Administrator 
approves it. Applications for an inshore cooperative fishing permit 
must be accompanied by a copy of the cooperative contract itself and by 
a copy of a letter from a party to the contract requesting a business 
review letter on the fishery cooperative from the Department of Justice 
and any response to such request. The Regional Administrator will not 
approve applications for an inshore cooperative fishing permit that are 
not received by

[[Page 384]]

the NMFS Alaska Region on or before December 31, 1999.
    As part of the application for an inshore cooperative fishing 
permit, the cooperative's designated representative, who is signing the 
permit on behalf of the various members, is required to certify that: 
(1) Each catcher vessel in the cooperative is a qualified catcher 
vessel meaning that the vessel owner(s) has applied for an AFA catcher 
vessel permit and has delivered more pollock harvested in the BSAI 
pollock directed pollock fishery to the designated AFA inshore 
processor than to any other AFA inshore processor during the year prior 
to the year in which the cooperative fishing permit would be in effect, 
(2) the cooperative contract was signed by the owners of at least 80 
percent of the qualified catcher vessels that delivered pollock 
harvested in the BSAI directed pollock fishery to the cooperative's 
designated AFA inshore processor during the year prior to the year in 
which the cooperative fishing permit would be in effect, (3) the 
cooperative contract requires that the cooperative deliver at least 90 
percent of its BSAI pollock catch to its designated AFA processor, and 
(4) each member vessel is an AFA-eligible catcher vessel and has no 
permit sanctions or other type of sanctions against it that would 
prevent it from fishing for groundfish in the BSAI. A catcher vessel 
that is ineligible to harvest BSAI pollock due to permit sanctions or 
to lack of an AFA or other required permit may not be a member of an 
inshore cooperative that receives an inshore cooperative fishing 
permit. To add or subtract a qualified catcher vessel to or from a 
cooperative fishing permit, the cooperative must submit a new 
application prior to the December 31 deadline, and the new application 
must be subsequently approved by the Regional Administrator. Inshore 
cooperative fishing permits issued under this emergency interim rule 
are valid for the 2000 fishing year only.

Replacement Vessels

    In the event of the actual total loss or constructive total loss of 
an AFA catcher vessel, AFA mothership, or AFA catcher/processor, the 
owner of such vessel may designate a replacement vessel that will be 
eligible in the same manner as the original vessel after submission of 
an application for an AFA replacement vessel that is subsequently 
approved by NMFS. The AFA contains specific restrictions on replacement 
vessels that are set out in detail in the emergency interim rule 
regulatory text at Sec. 679.4(l)(7). In this emergency rule, NMFS has 
made one change from the language of the statute. Section 208(g)(5) of 
the AFA states that a vessel may be used as a replacement vessel for an 
eligible AFA vessel if:

    the eligible vessel is less than 165 feet in registered length, 
of fewer than 750 gross registered tons, and has engines incapable 
of producing less than 3,000 shaft horsepower, the replacement 
vessel is less than each of such thresholds and does not exceed by 
more than 10 percent the registered length, gross registered tons or 
shaft horsepower of the eligible vessel;

    NMFS believes that Congress intended this clause to apply to 
eligible vessels with engines incapable of producing more than 3,000 
shaft horsepower rather than engines incapable of producing less than 
3,000 shaft horsepower because no catcher vessel operating in Alaska 
has engines incapable of producing less than 3,000 shaft horsepower. 
Any marine engine is capable of producing less than 3,000 shaft 
horsepower at less than full throttle or at idle. Therefore, in this 
emergency rule, the phrase ``incapable of producing more than 3,000 
shaft horsepower'' is used to implement section 208(g)(5) of the AFA.
    An existing AFA vessel may be designated as a replacement vessel 
for a lost AFA vessel. In the event that an existing AFA catcher vessel 
is designated as a replacement for a lost AFA catcher vessel, the catch 
histories of the two vessels may be merged for the purpose of making 
inshore cooperative allocations.

Official AFA Record and Appeals

    In order to issue AFA permits, NMFS is compiling available 
information about vessels and processors that were used to participate 
in the BSAI pollock fisheries during the qualifying periods. 
Information in the official AFA record will include vessel ownership 
information, documented harvests made from vessels during AFA 
qualifying periods, vessel characteristics, and documented amounts of 
pollock processed by pollock processors during AFA qualifying periods. 
The official AFA record is presumed to be correct for the purpose of 
determining eligibility for AFA permits. An applicant for an AFA permit 
has the burden of proving correct any information submitted in an 
application that is inconsistent with the official record.
    This rule also establishes an appeals process under which the 
owners of vessels and processors may appeal NMFS determinations about 
either AFA eligibility or inshore cooperative allocations. The appeals 
process for AFA permits and inshore cooperative allocations is based on 
the existing appeals process in place for the individual fishing quota 
and license limitation programs.

Changes to Definitions

    Under this emergency interim rule, new definitions are added for 
``ADF&G processor code,'' ``AFA catcher/processor,'' ``AFA catcher 
vessel,'' ``AFA inshore processor,'' ``AFA mothership,'' ``Designated 
primary processor,'' ``Official AFA record,'' ``Restricted AFA catcher/
processor,'' ``Restricted AFA inshore processor,'' ``Stationary 
floating processor,'' ``Unrestricted AFA catcher/processor,'' and 
``Unrestricted AFA inshore processor'' to describe vessels and 
processors permitted to participate in the BSAI pollock fishery under 
the AFA. The definitions of ``AFA crab processor,'' and ``AFA inshore 
and/or mothership entity'' are added to implement the crab processing 
sideboard restrictions required under the AFA. The definition of 
``Designated primary processor'' is added to describe the processor to 
which an inshore fishery cooperative will deliver at least 90 percent 
of its BSAI pollock. The definition for ``Official AFA record'' is 
added to describe the relevant catch histories and other data relevant 
to all potentially qualifying vessels and processors in the BSAI 
pollock fisheries. The definition for ``Stationary floating processor'' 
is added to define a vessel of the United States operating solely as a 
mothership in Alaska State waters that remains anchored or otherwise 
remains stationary in a single geographic location while processing 
groundfish harvested in the GOA or BSAI.

Classification

    The Assistant Administrator for Fisheries, NOAA, has determined 
that this rule is necessary to respond to an emergency situation and 
that it is consistent with the Magnuson-Stevens Act, AFA, and other 
applicable laws.
    Because prior notice and opportunity for public comment are not 
required for this rule by 5 U.S.C. 553, or any other law, the 
analytical requirements of the Regulatory Flexibility Act, 5 U.S.C. 601 
et seq., are inapplicable.
    This emergency interim rule has been determined to be significant 
for the purposes of E.O. 12866.
    NMFS finds that there is good cause to waive the requirement to 
provide prior notice and an opportunity for public comment pursuant to 
authority set forth at 5 U.S.C. 5(b)(B). This action is necessary to 
implement the permit requirements of the AFA that authorize vessels and 
processors to fish for and process pollock, and to provide an

[[Page 385]]

opportunity for inshore catcher vessels to form cooperatives for the 
2000 fishing year. Inshore sector cooperatives will provide the inshore 
industry with the ability to more effectively meet the temporal and 
spatial dispersion objectives of NMFS's Steller sea lion conservation 
measures that are being published separately from this emergency rule. 
Delaying the effectiveness of this emergency interim rule to provide 
prior notice and opportunity for comment would effectively deny the 
inshore sector of the BSAI pollock industry the opportunity to form 
cooperatives prior to the start of the 2000 fishing year as provided 
for in the AFA. Therefore, this sector of the industry would lose a 
valuable method of meeting the temporal and spatial dispersion 
objectives of NMFS's Steller sea lion conservation measures. Delaying 
the start date of the 2000 pollock fishery to accommodate delayed 
permitting requirements would conflict with the investment-backed 
expectations of the regulated community, could disrupt the supply of 
seafood products to the United States and consequently, would be 
contrary to the public interest. Likewise, the need to avoid delaying 
the start of the pollock season constitutes good cause, pursuant to 
authority set forth at 5 U.S.C. 553(d)(3), not to delay the effective 
date of this rule for 30 days. In addition, the regulated community has 
been aware since the June 1999 Council meeting that these new 
requirements would be necessary and have had ample time to prepare for 
compliance, making the 30-day delay in effective date unnecessary.
    Notwithstanding any other provision of law, no person is required 
to respond to nor shall a 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 currently 
valid OMB control number.
    This rule contains collection-of-information requirements subject 
to the Paperwork Reduction Act (PRA) and that have been approved by OMB 
under control number 0648-0393. Public reporting burden for these 
collections of information is estimated to average as follows: For the 
operator to complete the AFA catcher vessel permit application is 2 
hours; for an operator of an AFA mothership or manager of an inshore 
processor to complete the AFA mothership or inshore processor permit 
application is 2 hours; for a co-operative representative to complete 
the AFA inshore cooperative permit application is 2 hours; and for an 
operator to complete the AFA permit application for a replacement 
vessel is 30 minutes. The estimated response times shown include the 
time for reviewing instructions, searching existing data sources, 
gathering and maintaining the data needed, and completing and reviewing 
the collections of information. Send comments regarding this burden 
estimate or any other aspect of these collections of information, 
including suggestions for reducing this burden, to NMFS and OMB (see 
ADDRESSES).
    The President has directed Federal agencies to use plain language 
when communicating with the public, through regulations or otherwise. 
Therefore, NMFS seeks public comment on any ambiguity or unnecessary 
complexity arising from the language used in this emergency interim 
rule.

List of Subjects in 50 CFR Part 679

    Alaska, Fisheries, Recordkeeping and reporting requirements.

    Dated: December 28, 1999.
Penelope D. Dalton,
Assistant Administrator for Fisheries, National Marine Fisheries 
Service.
    For the reasons set forth in the preamble, 50 CFR part 679 is 
amended as follows:

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

    1. The authority citation for 50 CFR part 679 is revised to read as 
follows:

    Authority: Title II of Division C, Pub. L. 105-277, 112 Stat. 
2681; Sec. 3027, Pub. L. 106-31, 113 Stat. 57 (16 U.S.C. 773 et 
seq., 1801 et seq, and 3631 et seq.).
    2. In Sec. 679.2, definitions of ``ADF&G processor code,'' ``AFA 
catcher/processor,'' ``AFA catcher vessel,'' ``AFA crab facility,'' 
``AFA inshore or mothership entity,'' ``AFA inshore processor,'' ``AFA 
mothership,'' ``Designated primary processor,'' ``Official AFA 
record,'' ``Restricted AFA catcher/processor,'' ``Restricted AFA 
inshore processor,'' ``Stationary floating processor,'' ``Unrestricted 
AFA catcher/processor,'' and ``Unrestricted AFA inshore processor,'' 
are added in alphabetical order to read as follows:


Sec. 679.2  Definitions.

* * * * *
    ADF&G processor code means State of Alaska Department of Fish & 
Game (ADF&G) Intent to operate processor license number (example: 
F12345).
    AFA catcher/processor means a catcher/processor permitted to 
harvest BSAI pollock under Sec. 679.4(l)(2).
     AFA catcher vessel means a catcher vessel permitted to harvest 
BSAI pollock under Sec. 679.4(l)(3).
    AFA crab facility means a processing plant, catcher/processor, 
mothership, floating processor or any other operation that processes 
Bering Sea or Aleutian Island king or Tanner crab in which any 
individual, corporation or other entity that is part of an AFA entity 
either directly or indirectly owns a 10 percent or greater interest, or 
exercises 10 percent or greater control.
    (1) Indirect ownership standard. For purposes of this definition, 
an indirect ownership interest is one that passes through one or more 
intermediate entities. An entity's percentage of indirect interest is 
equal to the entity's percentage of direct interest in an intermediate 
entity multiplied by the intermediate entity's percentage of direct, or 
indirect, interest in the crab processing facility.
    (2) 10 percent control standard. Also for purposes of this 
definition, an entity is deemed to exercise 10 percent or greater 
control of a crab processing facility if the entity controls another 
entity that directly or indirectly owns a 10 percent or greater 
interest in the crab processing facility.
    (i) The term ``control'' includes:
    (A) Ownership of more than 50 percent of the entity;
    (B) The right to direct the business of the entity;
    (C) The right to limit the actions of or replace the chief 
executive officer, a majority of the board of directors, any general 
partner, or any person serving in a management capacity of the entity; 
or
    (D) The right to direct the operation or manning of the crab 
processing facility.
    (ii) The term ``control'' does not include the right to simply 
participate in the above actions.
    AFA inshore or mothership entity means an entity that owns a 
mothership and/or inshore processor that processes pollock harvested in 
the directed BSAI pollock fishery.
    (1) 10-percent ownership standard. For purposes of this definition, 
all individuals, corporations or other entities that either directly or 
indirectly own a 10 percent or greater interest in the mothership and/
or inshore processor, as the case may be, are considered as comprising 
a single AFA inshore or mothership entity. An indirect interest is one 
that passes through one or more intermediate entities. An entity's 
percentage of indirect interest is equal to the entity's percentage of 
direct interest in an intermediate entity multiplied by the 
intermediate entity's percentage of direct, or indirect, interest in 
the mothership and/or inshore processor, as the case may be.

[[Page 386]]

    (2) 10 percent control standard. Also for purposes of this 
definition, any individual, corporation or other entity that controls 
another entity that directly or indirectly owns a 10 percent or greater 
interest in the mothership and/or inshore processor, as the case may 
be, is considered a part of the same AFA inshore or mothership entity 
of which the controlled entity is a part.
    (i) The term ``control'' includes:
    (A) Ownership of more than 50 percent of the entity;
    (B) The right to direct the business of the entity;
    (C) The right to limit the actions of or replace the chief 
executive officer, a majority of the board of directors, any general 
partner, or any person serving in a management capacity of the entity; 
or
    (D) The right to direct the operation or manning of the mothership 
and/or inshore processor, as the case may be.
    (ii) The term ``control'' does not include the right to simply 
participate in the above actions.
    AFA inshore processor means a shoreside processor or stationary 
floating processor permitted to process BSAI pollock under 
Sec. 679.4(l)(4).
    AFA mothership means a mothership permitted to process BSAI pollock 
under Sec. 679.4(l)(5).
* * * * *
    Designated primary processor means an AFA inshore processor that is 
designated by an inshore pollock cooperative as the AFA inshore 
processor to which the cooperative will deliver at least 90 percent of 
its annual BSAI pollock allocation during the year in which the AFA 
inshore cooperative fishing permit is in effect.
* * * * *
    Official AFA record means the information prepared by the Regional 
Administrator about vessels and processors that were used to 
participate in the BSAI pollock fisheries during the qualifying periods 
specified in Sec. 679.4(l). Information in the official AFA record 
includes vessel ownership information, documented harvests made from 
vessels during AFA qualifying periods, vessel characteristics, and 
documented amounts of pollock processed by pollock processors during 
AFA qualifying periods. The official AFA record is presumed to be 
correct for the purpose of determining eligibility for AFA permits. An 
applicant for an AFA permit will have the burden of proving correct any 
information submitted in an application that is inconsistent with the 
official record.
* * * * *
    Restricted AFA catcher/processor means an AFA catcher/processor 
permitted to harvest BSAI pollock under Sec. 679.4(l)(2)(ii).
    Restricted AFA inshore processor means an AFA inshore processor 
permitted to harvest pollock under Sec. 679.4(l)(5)(i)(B).
* * * * *
    Stationary floating processor means a vessel of the United States 
operating as a processor in Alaska State waters that remains anchored 
or otherwise remains stationary in a single geographic location while 
receiving or processing groundfish harvested in the GOA or BSAI.
* * * * *
    Unrestricted AFA catcher/processor means an AFA catcher/processor 
permitted to harvest BSAI pollock under Sec. 679.4(l)(2)(i).
    Unrestricted AFA inshore processor means an AFA inshore processor 
permitted to harvest pollock under Sec. 679.4(l)(5)(i)(A).
* * * * *
    3. In Sec. 679.4, a new paragraph (l) is added to read as follows:


Sec. 679.4  Permits.

* * * * *
    (l) AFA permits (applicable through June 27, 2000)--(1) General--
(i) Applicability. In addition to any other permit and licensing 
requirements set out in this part, any vessel used to engage in 
directed fishing for a non-CDQ allocation of pollock in the BSAI and 
any shoreside processor, stationary floating processor, or mothership 
that receives pollock harvested in a non-CDQ directed pollock fishery 
in the BSAI must have a valid AFA permit onboard the vessel or at the 
facility location at all times while non-CDQ pollock is being harvested 
or processed. An AFA permit does not exempt a vessel operator, vessel, 
or processor from any other applicable permit or licensing requirement 
required under this part or in other state or Federal regulations.
    (ii) Duration. Except as provided in paragraph (l)(6)(iv) of this 
section, and unless suspended or revoked, AFA vessel and processor 
permits are valid until December 31, 2004.
    (iii) Application for permit. NMFS will issue AFA vessel and 
processor permits to the current owner(s) of a qualifying vessel or 
processor if the owner(s) submits to the Regional Administrator a 
completed AFA permit application that is subsequently approved.
    (iv) Amended permits. AFA vessel and processor permits may not be 
used on or transferred to any vessel or processor that is not listed on 
the permit. However, AFA permits may be amended to reflect any change 
in the ownership of the vessel or processor. An application to amend an 
AFA permit must include the following:
    (A) The original AFA permit to be amended, and
    (B) A completed AFA permit application signed by the new vessel or 
processor owner.
    (2) AFA catcher/processor permits --(i) Unrestricted. NMFS will 
issue to an owner of a catcher/processor an unrestricted AFA catcher/
processor permit if the catcher/processor is one of the following (as 
listed in AFA paragraphs 208(e)(1) through (20)):
    AMERICAN DYNASTY (USCG documentation number 951307);
    KATIE ANN (USCG documentation number 518441);
    AMERICAN TRIUMPH (USCG documentation number 646737);
    NORTHERN EAGLE (USCG documentation number 506694);
    NORTHERN HAWK (USCG documentation number 643771);
    NORTHERN JAEGER (USCG documentation number 521069);
    OCEAN ROVER (USCG documentation number 552100);
    ALASKA OCEAN (USCG documentation number 637856);
    ENDURANCE (USCG documentation number 592206);
    AMERICAN ENTERPRISE (USCG documentation number 594803);
    ISLAND ENTERPRISE (USCG documentation number 610290);
    KODIAK ENTERPRISE (USCG documentation number 579450);
    SEATTLE ENTERPRISE (USCG documentation number 904767);
    US ENTERPRISE (USCG documentation number 921112);
    ARCTIC STORM (USCG documentation number 903511);
    ARCTIC FJORD (USCG documentation number 940866);
    NORTHERN GLACIER (USCG documentation number 663457);
    PACIFIC GLACIER (USCG documentation number 933627);
    HIGHLAND LIGHT (USCG documentation number 577044);
    STARBOUND (USCG documentation number 944658).
    (ii) Restricted. NMFS will issue to an owner of a catcher/processor 
a restricted AFA catcher/processor permit if the catcher/processor is 
not listed in Sec. 679.4(l)(2)(i) and is determined by the Regional 
Administrator to have harvested more than 2,000 mt of pollock in the 
1997 BSAI directed pollock fishery.
    (3) AFA catcher vessel permits. NMFS will issue to an owner of a 
catcher vessel an AFA catcher vessel permit containing sector 
endorsements and sideboard restrictions upon receipt and approval of a 
completed application for an AFA catcher vessel permit.

[[Page 387]]

    (i) Qualifying criteria--(A) Catcher vessels delivering to catcher/
processors. NMFS will endorse an AFA catcher vessel permit to authorize 
directed fishing for pollock for delivery to a catcher/processor if the 
catcher vessel:
    (1) Is one of the following (as listed in paragraphs 208(b)(1) 
through (7) of the AFA):
    AMERICAN CHALLENGER (USCG documentation number 633219);
    FORUM STAR (USCG documentation number 925863);
    MUIR MILACH (USCG documentation number 611524);
    NEAHKAHNIE (USCG documentation number 599534);
    OCEAN HARVESTER (USCG documentation number 549892);
    SEA STORM (USCG documentation number 628959);
    TRACY ANNE (USCG documentation number 904859); or
    (2) Is not listed in Sec. 679.4(l)(3)(i)(A)(1) and is determined by 
the Regional Administrator to have delivered at least 250 metric tons 
and at least 75 percent of the pollock it harvested in the directed 
BSAI pollock fishery in 1997 to catcher/processors for processing by 
the offshore component.
    (B) Catcher vessels delivering to AFA motherships. NMFS will 
endorse an AFA catcher vessel permit to authorize directed fishing for 
pollock for delivery to an AFA mothership if the catcher vessel:
    (1) Is one of the following (as listed in paragraphs 208(c)(1) 
through (19) and subsection 211(e) of the AFA):
    ALEUTIAN CHALLENGER (USCG documentation number 603820);
    ALYESKA (USCG documentation number 560237);
    AMBER DAWN (USCG documentation number 529425);
    AMERICAN BEAUTY (USCG documentation number 613847);
    CALIFORNIA HORIZON (USCG documentation number 590758);
    MAR-GUN (USCG documentation number 525608);
    MARGARET LYN (USCG documentation number 615563);
    MARK I (USCG documentation number 509552);
    MISTY DAWN (USCG documentation number 926647);
    NORDIC FURY (USCG documentation number 542651);
    OCEAN LEADER (USCG documentation number 561518);
    OCEANIC (USCG documentation number 602279);
    PACIFIC ALLIANCE (USCG documentation number 612084);
    PACIFIC CHALLENGER (USCG documentation number 518937);
    PACIFIC FURY (USCG documentation number 561934);
    PAPADO II (USCG documentation number 536161);
    TRAVELER (USCG documentation number 929356);
    VESTERAALEN (USCG documentation number 611642);
    WESTERN DAWN (USCG documentation number 524423);
    LISA MARIE (USCG documentation number 1038717); or
    (2) Is not listed in Sec. 679.4(l)(3)(i)(B)(1) and is determined by 
the Regional Administrator to have delivered at least 250 mt of pollock 
for processing by motherships in the offshore component of the BSAI 
directed pollock fishery in any one of the years 1996 or 1997, or 
between January 1, 1998, and September 1, 1998, and is not eligible for 
an endorsement to deliver pollock to catcher/processors under 
Sec. 679.4(l)(3)(i)(A).
    (C) Catcher vessels delivering to AFA inshore processors. NMFS will 
endorse an AFA catcher vessel permit to authorize directed fishing for 
pollock for delivery to an AFA inshore processor if the catcher vessel:
    (1) Is the LISA MARIE (USCG documentation number 1038717); or
    (2) Is not eligible for an endorsement to deliver pollock to 
catcher/processors under Sec. 679.4(l)(3)(i)(A), and:
    (i) Is determined by the Regional Administrator to have delivered 
at least 250 mt of pollock harvested in the directed BSAI pollock 
fishery for processing by the inshore component in any one of the years 
1996 or 1997, or between January 1, 1998, and September 1, 1998; or
    (ii) Is less than 60 ft (18.1 meters) LOA and is determined by the 
Regional Administrator to have delivered at least 40 mt of pollock 
harvested in the directed BSAI pollock fishery for processing by the 
inshore component in any one of the years 1996 or 1997, or between 
January 1, 1998 and September 1, 1998.
    (ii) Application for AFA catcher vessel permit. A completed 
application for an AFA catcher vessel permit must contain:
    (A) Vessel information. The vessel name, ADF&G registration number, 
USCG documentation number, vessel telephone number (if any), gross 
tons, shaft horsepower, and registered length (in feet);
    (B) Owner information. Owner name(s), tax ID number(s), business 
mailing address(es), business telephone number(s), business fax 
number(s), business e-mail address(es), and managing company (if any);
    (C) Vessel AFA qualification information. AFA catcher vessel permit 
endorsement(s) requested; and
    (D) Vessel crab activity information required for crab sideboard 
endorsements. The owner of an AFA catcher vessel wishing to participate 
in any BSAI king or Tanner crab fishery must apply for a crab sideboard 
endorsement authorizing the catcher vessel to retain that crab species. 
An AFA catcher vessel permit may be endorsed for a crab species if the 
owner requests a crab sideboard endorsement, provides supporting 
documentation that the catcher vessel made the required legal 
landing(s) of a crab species, and the Regional Administrator verifies 
the legal landing(s) according to the following criteria:
    (1) Bristol Bay Red King Crab (BBRKC): A legal landing of any BSAI 
king or Tanner crab species in 1996, 1997, or on or before February 7, 
1998. A BBRKC sideboard endorsement also authorizes a vessel to retain 
Bairdi Tanner crab harvested during the duration of a BBRKC opening if 
the vessel is otherwise authorized to retain Bairdi Tanner crab while 
fishing for BBRKC under state and Federal regulations.
    (2) St. Matthew Island blue king crab: A legal landing of St. 
Matthew Island blue king crab in that fishery in 1995, 1996, or 1997.
    (3) Pribilof Island red and blue king crab: A legal landing of 
Pribilof Island blue or red king crab in that fishery in 1995, 1996, or 
1997.
    (4) Aleutian Islands (Adak) brown king crab: A legal landing of 
Aleutian Islands brown king crab during in each of the 1997/1998 and 
1998/1999 fishing seasons.
    (5) Aleutian Islands (Adak) red king crab: A legal landing of 
Aleutian Islands red king crab in each of the 1995/1996 and 1998/1999 
fishing seasons.
    (6) Opilio Tanner crab: A legal landing of Chionoecetes(C.) opilio 
Tanner crab in each of 4 or more years from 1988 to 1997.
    (7) Bairdi Tanner crab: A legal landing of C. bairdi Tanner crab in 
1995 or 1996.
    (E) Vessel exemptions from AFA catcher vessel groundfish sideboard 
directed fishing closures.  An AFA catcher vessel permit may contain 
exemptions from certain groundfish sideboard directed fishing closures. 
If a vessel owner is requesting an exemption from groundfish sideboard-
directed closures, the application must provide supporting 
documentation that the catcher vessel qualifies for the exemption based 
on the criteria set out below. The Regional Administrator will review 
the vessel's catch history according to the following criteria:
    (1) BSAI Pacific cod. For a catcher vessel to qualify for an 
exemption from AFA catcher vessel sideboards in the BSAI Pacific cod 
fishery, the catcher vessel must be less than 125 ft LOA,

[[Page 388]]

have harvested a combined total of less than 5,100 mt of BSAI pollock, 
and have made 30 or more legal landings of Pacific cod in the BSAI 
directed fishery for Pacific cod during the combined years 1995, 1996, 
and 1997.
    (2) GOA groundfish species. For a catcher vessel to qualify for an 
exemption from AFA catcher vessel sideboards in the GOA groundfish 
fisheries, the catcher vessel must be less than 125 ft LOA, have 
harvested a combined total of less than 5,100 mt of BSAI pollock and 
made 40 or more legal landings of GOA groundfish during the combined 
years 1995, 1996, and 1997.
    (F) Certification of notary and applicant. Owner signature(s), date 
of signature, printed name(s), and stamp and signature of a notary 
public.
    (4) AFA mothership permits. NMFS will issue to an owner of a 
mothership an AFA mothership permit if the mothership is one of the 
following (as listed in paragraphs 208(d)(1) through (3) of the AFA):
    EXCELLENCE (USCG documentation number 967502);
    GOLDEN ALASKA (USCG documentation number 651041); and
    OCEAN PHOENIX (USCG documentation number 296779).
    (i) Cooperative processing endorsement. The owner of an AFA 
mothership who wishes to process pollock harvested by a fishery 
cooperative formed under Sec. 679.60 must apply for and receive a 
cooperative processing endorsement on the vessel's AFA mothership 
permit.
    (ii) Application for AFA mothership permit. A completed application 
for an AFA mothership permit must contain:
    (A) Type of permit requested. Type of processor and whether 
requesting an AFA co-operative endorsement.
    (B) Mothership information. The mothership name, ADF&G processor 
code, USCG documentation number, Federal fisheries permit number, gross 
tons, shaft horsepower, and registered length (in feet).
    (C) Owner information. Owner name(s), tax ID number(s), business 
mailing address(es), business telephone number(s), business fax 
number(s), business e-mail address(es), and managing company (if any);
    (D) AFA crab facility ownership information. If the applicant is 
applying for a cooperative pollock processing endorsement, the AFA 
mothership application must list the name, type of facility, ADF&G 
processor code, and percentage of ownership or control of each of each 
AFA crab facility that is owned or controlled by the AFA mothership 
entity that owns or controls the AFA mothership; and
    (E) Certification of notary and applicant. Owner signature(s), date 
of signature, printed name(s), and notary stamp and signature of a 
notary public.
    (5) AFA inshore processor permits. NMFS will issue to an owner of a 
shoreside processor or stationary floating processor an AFA inshore 
processor permit upon receipt and approval of a completed application.
    (i) Qualifying criteria--(A) Unrestricted processors. NMFS will 
issue an unrestricted AFA inshore processor permit to a shoreside 
processor or stationary floating processor if the Regional 
Administrator determines that the processor facility processed annually 
more than 2,000 mt round-weight of pollock harvested in the inshore 
component of the directed BSAI pollock fishery during each of 1996 and 
1997.
    (B) Restricted processors. NMFS will issue a restricted AFA inshore 
processor permit to a shoreside processor or stationary floating 
processor if the Regional Administrator determines that the facility 
processed pollock harvested in the inshore component of the directed 
BSAI pollock fishery during 1996 or 1997, but did not process annually 
more than 2,000 mt round-weight of BSAI pollock during each of 1996 and 
1997.
    (ii) Cooperative processing endorsement. The owner of an AFA 
inshore processor who wishes to process pollock harvested by a fishery 
cooperative formed under Sec. 679.61 must apply for and receive a 
cooperative processing endorsement on the AFA inshore processor permit.
    (iii) Single geographic location requirement. An AFA inshore 
processor permit authorizes the processing of pollock harvested in the 
BSAI directed pollock fishery in only a single geographic location 
during a fishing year. For the purpose of this paragraph, single 
geographic location means:
    (A) Shoreside processors. The physical location at which the land-
based shoreside processor first processed BSAI pollock harvested in the 
BSAI directed pollock fishery during a fishing year;
    (B) Stationary floating processors. A location within Alaska state 
waters that is within 5 nm of the position in which the stationary 
floating processor first processed BSAI pollock harvested in the BSAI 
directed pollock fishery during a fishing year.
    (iv) Application for permit. A completed application for an AFA 
inshore processor permit must contain:
    (A) Type of permit requested. Type of processor, whether requesting 
an AFA cooperative endorsement, and amount of BSAI pollock processed in 
1996 and 1997;
    (B) Stationary floating processor information. The vessel name, 
ADF&G processor code, USCG documentation number, Federal processor 
permit number, gross tons, shaft horsepower, registered length (in 
feet), and business telephone number, business FAX number, and business 
E-mail address used onboard the vessel.
    (C) Shoreside processor information. The processor name, Federal 
processor permit number, ADF&G processor code, business street address; 
business telephone and FAX numbers, and business e-mail address.
    (D) Owner information. Owner name(s), tax ID number(s), business 
mailing address(es), business telephone number(s), business fax 
number(s), business e-mail address(es), and managing company (if any);
    (E) AFA crab facility ownership information. If the applicant is 
applying for a cooperative pollock processing endorsement, the AFA 
inshore processor application must list the name, type of facility, 
ADF&G processor code, and percentage of ownership or control of each of 
each AFA crab facility that is owned or controlled by the AFA inshore 
processor entity that owns or controls the AFA inshore processor; and
    (F) Certification of notary and applicant. Owner signature(s), date 
of signature, printed name(s), and notary stamp and signature of a 
notary public.
    (6) Inshore cooperative fishing permits--(i) General. NMFS will 
issue to an inshore catcher vessel cooperative formed under section 1 
of the Act of June 25, 1934 (15 U.S.C. 521) for the purpose of 
cooperatively managing directed fishing for pollock for processing by 
an AFA inshore processor an AFA inshore cooperative fishing permit upon 
receipt and approval of a completed application.
    (ii) Application for permit. A completed application for an inshore 
cooperative fishing permit must contain the following information:
    (A) Cooperative contact information. Name of cooperative; name of 
cooperative representative; and business mailing address, business 
telephone number, business fax number, and business e-mail address of 
the cooperative;
    (B) Designated cooperative processor. The name and physical 
location of AFA Inshore Processor that is designated in the cooperative 
contract as the processor to whom the cooperative has agreed to deliver 
at least 90 percent of its BSAI pollock catch. If the processor is a 
stationary floating processor, the single geographic location (latitude 
and

[[Page 389]]

longitude) at which the processor will process BSAI pollock under the 
AFA; and Federal processor permit number of the AFA inshore processor;
    (C) Cooperative contract information. A copy of the cooperative 
contract and a written certification that:
    (1) The contract was signed by the owners of at least 80 percent of 
the qualified catcher vessels. For the purpose of this paragraph, a 
catcher vessel is a qualified catcher vessel if:
    (i) it delivered more pollock harvested in the BSAI inshore 
directed pollock fishery to the AFA inshore processor designated under 
paragraph (l)(6)(ii)(B) of this section than to any other shoreside 
processor or stationary floating processor during the year prior to the 
year in which the cooperative fishing permit will be in effect; and
    (ii) the owner(s) of the catcher vessel in question has submitted a 
completed application for an AFA catcher vessel permit to the Regional 
Administrator that was received on or before December 31, 1999 and 
which is not subsequently denied.
    (2) The cooperative contract requires that the cooperative deliver 
at least 90 percent of its BSAI pollock catch to its designated AFA 
processor; and
    (3) Each catcher vessel in the cooperative is a qualified catcher 
vessel and is otherwise eligible to fish for groundfish in the BSAI, 
has an AFA catcher vessel permit with an inshore endorsement, and has 
no permit sanctions or other type of sanctions against it that would 
prevent it from fishing for groundfish in the BSAI;
    (D) Business review letter. A copy of a letter from a party to the 
contract requesting a business review letter on the fishery cooperative 
from the Department of Justice, and any response to such request;
    (E) Vessel information. For each cooperative catcher vessel member: 
Vessel name, ADF&G registration number, USCG documentation number, AFA 
permit number; and
    (F) Certification of notary and applicant. Signature and printed 
name of cooperative representative, date of signature, and notary stamp 
or seal of a notary public.
    (iii) Duration of cooperative fishing permits. Inshore cooperative 
fishing permits are valid for 1 calendar year.
    (iv) Add or subtract vessels to a cooperative fishing permit. The 
cooperative representative must submit a new application to add or 
subtract a catcher vessel to or from an inshore cooperative fishing 
permit to the Regional Administrator prior to the application deadline. 
Upon approval by the Regional Administrator, NMFS will issue an amended 
cooperative fishing permit.
    (v) Application deadline. An inshore cooperative fishing permit 
application and any subsequent contract amendments that add or subtract 
vessels must be received by the Regional Administrator by December 31 
prior to the year in which the inshore cooperative fishing permit will 
be in effect. Inshore cooperative fishing permit applications or 
amendments to inshore fishing cooperative permits received after 
December 31 will not be accepted by the Regional Administrator for the 
subsequent fishing year.
    (7) Replacement vessels. (i) In the event of the actual total loss 
or constructive total loss of an AFA catcher vessel, AFA mothership, or 
AFA catcher/processor, the owner of such vessel may replace such vessel 
with a replacement vessel. The replacement vessel will be eligible in 
the same manner as the original vessel after submission and approval of 
an application for an AFA replacement vessel provided that:
    (A) Such loss was caused by an act of God, an act of war, a 
collision, an act or omission of a party other than the owner or agent 
of the vessel, or any other event not caused by the willful misconduct 
of the owner or agent;
    (B) The replacement vessel was built in the United States and if 
ever rebuilt, was rebuilt in the United States;
    (C) The USCG certificate of documentation with fishery endorsement 
for the replacement vessel is issued within 36 months of the end of the 
last year in which the eligible vessel harvested or processed pollock 
in the directed pollock fishery;
    (D) If the eligible vessel is greater than 165 ft (50.3 meters (m)) 
in registered length, or more than 750 gross registered tons, or has 
engines capable of producing more than 3,000 shaft horsepower, the 
replacement vessel is of the same or lesser registered length, gross 
registered tons, and shaft horsepower;
    (E) If the eligible vessel is less than 165 ft (50.3 m) in 
registered length, of fewer than 750 gross registered tons, and has 
engines incapable of producing more than 3,000 shaft horsepower, the 
replacement vessel is less than each of such thresholds and does not 
exceed by more than 10 percent the registered length, gross registered 
tons or shaft horsepower of the eligible vessel; and
    (F) If the replacement vessel is already an AFA catcher vessel, the 
inshore cooperative catch history of both vessels may be merged in the 
replacement vessel for the purpose of determining inshore cooperative 
allocations except that a catcher vessel with an endorsement to deliver 
pollock to AFA catcher/processors may not be simultaneously endorsed to 
deliver pollock to AFA motherships or AFA inshore processors.
    (ii) Application for permit. A completed application for an AFA 
permit for replacement vessel must contain:
    (A) Identification of lost AFA eligible vessel.
    (1) Name, ADF&G vessel registration number, USCG documentation 
number, AFA permit number, gross tons, shaft horsepower, and registered 
length from USCG documentation of the vessel;
    (2) Name(s), tax ID number(s), business mailing address(es), 
telephone number(s), FAX number(s), and e-mail address(es) of owner(s);
    (3) Last year in which this vessel harvested or processed pollock 
in a BSAI directed pollock fishery; and
    (4) Description of how the vessel was lost or destroyed. Attach a 
USCG Form 2692 or insurance papers to verify the claim.
    (B) Identification of replacement vessel.
    (1) Name, ADF&G vessel registration number, USCG documentation 
number, gross tons, shaft horsepower, registered length, net tons, and 
length overall (in feet) from USCG documentation, and Federal Fisheries 
Permit number of the vessel;
    (2) Name(s), tax ID number(s), business mailing address(es), 
business telephone number(s), business FAX number(s), and business e-
mail address(es) of the owner(s);
    (3) YES or NO indication of whether the vessel was built in the 
United States; and
    (4) YES or NO indication of whether the vessel has ever been 
rebuilt, and if so whether it was rebuilt in the United States.
    (C) Certification of applicant and notary. Signature(s) and printed 
name(s) of owner(s) and date of signature; signature, notary stamp or 
seal of notary public, and date notary commission expires.
    (8) Application evaluations and appeals--(i) Initial evaluation. 
The Regional Administrator will evaluate an application for an AFA 
fishing or processing permit submitted in accordance with this 
paragraph (1) and compare all claims in the application with the 
information in the official AFA record. Claims in the application that 
are consistent with information in the official AFA record will be 
accepted by the Regional Administrator. Inconsistent claims in the 
application, unless supported by evidence, will not be

[[Page 390]]

accepted. An applicant who submits inconsistent claims or fails to 
submit the information specified in the application for an AFA permit 
will be provided a 60-day evidentiary period to submit the specified 
information, submit evidence to verify the applicant's inconsistent 
claims, or submit a revised application with claims consistent with 
information in the official AFA record. An applicant who submits claims 
that are inconsistent with information in the official AFA record has 
the burden of proving that the submitted claims are correct.
    (ii) Additional information and evidence. The Regional 
Administrator will evaluate additional information or evidence to 
support an applicant's inconsistent claims submitted within the 60-day 
evidentiary period. 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 are 
correct, the official AFA record will be amended and the information 
will be used in determining whether the applicant is eligible for an 
AFA permit. 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 that the applicant did not meet the burden of proof to 
change information in the official AFA record.
    (iii) Sixty-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 AFA 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 required information 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 the purposes of the initial 
administrative determination.
    (iv) Initial administrative determinations (IAD). The Regional 
Administrator 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 AFA 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 also 
will indicate which claims cannot be approved based on the available 
information or evidence. An applicant who receives an IAD may appeal 
under the appeals procedures set out at Sec. 679.43. An applicant who 
avails himself or herself of the opportunity to appeal an IAD will 
receive an interim AFA permit that authorizes a person to participate 
in an AFA pollock fishery, and will have the specific endorsements and 
designations based on the claims in his or her application. An interim 
AFA permit will expire upon final agency action.
    (v) Effect of cooperative allocation appeals. An AFA inshore 
cooperative may appeal the pollock quota share issued to the 
cooperative under Sec. 679.61; however, final agency action on the 
appeal must occur prior to December 15 for the results of the appeal to 
take effect during the subsequent fishing year.
[FR Doc. 99-34065 Filed 12-30-99; 9:50 am]
BILLING CODE 3510-22-F