[Federal Register Volume 67, Number 93 (Tuesday, May 14, 2002)]
[Notices]
[Pages 34427-34434]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-12029]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

[Docket No. 960223046-2083-07; I.D. 032002A]
RIN 0648-ZA09


Financial Assistance for Research and Development Projects to 
Strengthen and Develop the U.S. Fishing Industry

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

ACTION: Notice of solicitation for applications.

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SUMMARY: NMFS (hereinafter ``we'' or ``us'') issues this document to 
describe how to apply for funding under the Saltonstall-Kennedy (S-K) 
Grant Program and how we will determine whether to fund a proposal.
    Under the S-K Program, we provide financial assistance for research 
and development projects that address various aspects of U.S. fisheries 
(commercial or recreational), including, but not limited to, 
harvesting, processing, marketing, and associated infrastructures.

DATES: We must receive your application by the close of business July 
15, 2002 in one of the offices listed in section I.H. Application 
Addresses of this document. You must submit one signed original and 
nine signed copies of the completed application (including supporting 
information). We will not accept facsimile applications.

ADDRESSES: You can get an application package from, and send your 
completed application(s) to, the NMFS Regional Administrator located at 
any of the offices listed in section I.H. of this document. You may 
also get the application package from the S-K Home Page (see section 
I.I.). However, we cannot accept completed applications electronically.

FOR FURTHER INFORMATION CONTACT: Alicia L. Jarboe, S-K Program Manager, 
(301) 713-2358.

SUPPLEMENTARY INFORMATION:

I. Introduction

    We are soliciting applications for Federal assistance under the 
Saltonstall-Kennedy Act (S-K Act), as amended (15 U.S.C. 713c-3). This 
document describes how you can apply for funding under the S-K Grant 
Program, and how we will determine which applications we will fund. We 
will set aside $5 million of the expected $10.3 million available to 
fund projects under a new priority under section II.A., Atlantic Salmon 
Aquaculture Development Considering the Endangered Species Status of 
Atlantic Salmon. We will use the remaining estimated $5.3 million to 
fund the other priorities under sections II.B.-F.

A. Background

    The S-K Act established a fund (known as the S-K fund) that the 
Secretary of Commerce uses to provide grants or cooperative agreements 
for fisheries research and development projects addressed to any aspect 
of U.S. fisheries, including, but not limited to, harvesting, 
processing, marketing, and associated infrastructures. U.S. fisheries 
include any fishery, commercial or recreational, that is, or may be, 
engaged in by citizens or nationals of the United States, or citizens 
of the Northern Mariana Islands (NMI), the Republic of the Marshall 
Islands, Republic of Palau, and the Federated States of Micronesia.
    The objectives of the S-K Grant Program, and, therefore, the 
funding priorities, have changed since the program began in 1980. The 
program has evolved as fishery management laws and policies, and 
research needs, have evolved in response to changing circumstances.
    The original focus of the program was to develop underutilized 
fisheries within the U.S. Exclusive Economic Zone (EEZ, i.e., 3-200 
miles (5.6-370.4 kilometers) off the coast). This focus was driven in 
part by the Magnuson-Stevens Fishery Conservation and Management Act 
(Magnuson-Stevens Act). The Magnuson-Stevens Act, originally passed in 
1976, directed us to give the domestic fishing industry priority access 
to the fishery resources in the EEZ. In 1980, the American Fisheries 
Promotion Act (AFPA) amended the S-K Act to stimulate commercial and 
recreational fishing efforts in underutilized fisheries. The 
competitive S-K Program initiated as a result of the AFPA included 
fisheries development and marketing as funding priorities.
    In the following years, the efforts to Americanize the fisheries 
were successful to the point that most nontraditional species were 
fully developed and some traditional fisheries became overfished. 
Therefore, we changed the emphasis of the S-K Program to address 
conservation and management issues and aquaculture.
     In 1996, the Sustainable Fisheries Act (SFA) (Pub. L. 104-297), 
was enacted. The SFA amended the Magnuson-Stevens Act and supported 
further adjustment to the S-K Program to address the current condition 
of fisheries.
    The Magnuson-Stevens Act, as amended by the SFA, requires us to 
undertake efforts to prevent overfishing, rebuild overfished fisheries, 
insure conservation, protect essential fish habitat (EFH), and realize 
the full potential of U.S. fishery resources. It further requires that 
we take into account the importance of fishery resources to fishing 
communities; provide for the sustained participation of such 
communities; and, to the extent possible, minimize the adverse economic 
impacts of conservation and management measures on such communities. 
The Magnuson-Stevens Act defines a ``fishing community'' as ``a 
community which is substantially dependent on or substantially engaged 
in the harvest or processing of fishery resources to meet social and 
economic needs, and includes fishing vessel

[[Page 34428]]

owners, operators, and crew and United States fish processors that are 
based in such community.'' (16 U.S.C. 1802 (16)). We have refocused the 
S-K Program to address the needs of fishing communities as defined by 
the Magnuson-Stevens Act.
    The NOAA Strategic Plan, updated in 1998, has also shaped the S-K 
Program. The Strategic Plan has three goals under its Environmental 
Stewardship Mission: Build Sustainable Fisheries (BSF), Recover 
Protected Species, and Sustain Healthy Coasts. The fisheries research 
and development mission of the S-K Program directly relates to the BSF 
goal. There are three BSF objectives in the Strategic Plan:
    1. Eliminate and prevent overfishing and excess harvesting 
capacity.
    2. Attain economic sustainability in fishing communities.
    3. Develop environmentally and economically sound marine 
aquaculture.
    For the FY 2002 S-K Grant Program announced in this document, we 
have attempted to address the most important needs of fishing 
communities in terms of the preceding BSF objectives. This goal is 
reflected in the funding priorities listed in section II of this 
document. Successful applications will be those aimed at helping 
fishing communities to resolve issues that affect their ability to 
fish; make full use of currently managed species or explore the 
potential for development of new sustainable managed fisheries; develop 
environmentally sound aquaculture; and address the socioeconomic 
impacts of overfishing and excess harvesting capacity.
    The S-K Program is open to applicants from a variety of sectors, 
including industry, academia, and state and local governments. We 
encourage applications that involve collaboration between industry and 
the other sectors listed.

B. Changes from the Last Solicitation Notice

    We have made several changes in this document from the last S-K 
Grant Program solicitation notice published on March 7, 2001 (66 FR 
13701). Therefore, we encourage you to read the entire document before 
preparing your application.
    The scope of the program for FY 2002 is not limited to species 
under Federal jurisdiction (whether under Fishery Management Plans 
(FMPs) or not), but includes state managed fisheries as well.
    We have added a new priority under section II.A., Atlantic Salmon 
Aquaculture Development Considering the Endangered Species Status of 
Atlantic Salmon. Maine's Atlantic salmon aquaculture industry is the 
top producer of cultured salmon in the United States and provides 2,500 
jobs, generates $140 million in personal income, and serves as an 
increasingly important source of food protein to U.S. consumers.
    Atlantic salmon in the eight Maine rivers were listed as endangered 
under the Endangered Species Act (ESA) (16 U.S.C. 1531-1544) in 
November 2000. Interbreeding with and competition from escaped farm-
raised salmon from Maine's aquaculture industry may threaten the wild 
salmon population in the Gulf of Maine. The continuation of the 
Atlantic salmon aquaculture industry depends on eliminating the threats 
the industry poses to the endangered wild Atlantic salmon.
    We will use $5 million of the expected $10.3 million available to 
fund only projects under this priority. The remaining $5.3 million will 
be allocated, in no predetermined amounts, among the other priority 
areas, including the additional priorities mentioned below.
    Another new priority is Fishing Capacity Reduction under the 
Magnuson Stevens Act Sections 312(b)-(e). This replaces the priority 
Planning for Fishing Community Transition in our FY 2001 program.
    We have also added a priority entitled, Fisheries Socioeconomics.
    The Commerce Pre-Award Notification Requirements for Grants and 
Cooperative Agreements published in the Federal Register October 1, 
2001 (66 FR 49917), are applicable to this solicitation. Therefore, 
this solicitation does not include a discussion of the individual 
requirements.

C. Funding

    We expect to have approximately $10.3 million available for grant 
awards for Fiscal Year (FY) 2002, which began on October 1, 2001. 
However, we cannot guarantee that sufficient funds will be available to 
make awards for all proposals deserving of funding.In order to be 
funded under the S-K Grant Program, applications must propose 
activities that: address one of the funding priorities listed in 
section II of this document; are expected to produce a direct benefit 
(e.g., tool, information, service, or technology) to the fishing 
community (as defined in section I.A. of this document); and can be 
accomplished within 18 months. Acceptable research and development 
activities include applied research, demonstration projects, pilot or 
field testing, or business plan development. However, we will not fund 
projects that primarily involve infrastructure construction, port and 
harbor development, or start-up or operational costs for private 
business ventures. Furthermore, if your proposed project primarily 
involves data collection, we will only consider it if it is directed to 
a specific problem or need and has a fixed duration. We will not 
consider data collection programs of a continuing nature.

D. Eligibility

    You are eligible to apply for a grant or a cooperative agreement 
under the S-K Grant Program if:
    1. You are a citizen or national of the United States;
    2. You are a citizen of the NMI, being an individual who qualifies 
as such under section 8 of the Schedule on Transitional Matters 
attached to the constitution of the NMI;
    3. You are a citizen of the Republic of the Marshall Islands, 
Republic of Palau, or the Federated States of Micronesia; or
    4. You represent an entity that is a corporation, partnership, 
association, or other non-Federal entity, non-profit or otherwise 
(including Indian tribes), if such entity is a citizen of the United 
States or NMI, within the meaning of section 2 of the Shipping Act, 
1916, as amended (46 U.S.C. app. 802).
    We support cultural and gender diversity in our programs and 
encourage women and minority individuals and groups to submit 
applications. Furthermore, we recognize the interest of the Secretaries 
of Commerce and Interior in defining appropriate fisheries policies and 
programs that meet the needs of the U.S. insular areas, so we also 
encourage applications from individuals, government entities, and 
businesses in U.S. insular areas.
    We are strongly committed to broadening the participation of 
Minority Serving Institutions (MSIs), which include Historically Black 
Colleges and Universities, Hispanic Serving Institutions, and Tribal 
Colleges and Universities, in all of our programs, including S-K. 
Therefore, we encourage all applicants to include meaningful 
participation of MSIs.
    We encourage applications from members of the fishing community, 
and applications that involve fishing community cooperation and 
participation. We will consider the extent of fishing community 
involvement when evaluating the potential benefit of funding a 
proposal.
    You are not eligible to submit an application under this program if 
you are an employee of any Federal agency, a Fishery Management Council 
(Council), or an employee of a Council.

[[Page 34429]]

 However, Council members who are not Federal employees can submit an 
application to the S-K Program.
    Our employees (whether full-time, part-time, or intermittent) are 
not allowed to help you prepare your application, except that S-K 
Program staff may provide you with information on program goals, 
funding priorities, application procedures, and completion of 
application forms. Since this is a competitive program, NMFS and NOAA 
employees will not help with conceptualizing, developing, or 
structuring proposals, or write letters of support for a proposal.

E. Duration and Terms of Funding

    We will award grants or cooperative agreements for a maximum period 
of 18 months. We award cooperative agreements in those situations where 
we anticipate having substantial involvement in the project. 
``Substantial involvement'' means we will share responsibility for 
management, control, direction, or performance of the project with you, 
the recipient of the award.
    We do not fund multi-year projects under the S-K Program. If we 
select your application for funding and you wish to continue work on 
the project beyond the funding period, you must submit another proposal 
to the competitive process for consideration, and you will not receive 
preferential treatment.
    Even though we are publishing this announcement, we are not 
required to award any specific grant or cooperative agreement, nor are 
we required to obligate any part or the entire amount of funds 
available.

F. Cost Sharing

    We are requiring cost sharing in order to leverage the limited 
funds available for this program and to encourage partnerships among 
government, industry, and academia to address the needs of fishing 
communities. You must provide a minimum cost share of 10 percent of 
total (Federal and non-Federal combined) project costs, but your cost 
share must not exceed 50 percent of total costs.
    You may find this formula useful:
    1. Total Project Cost (Federal and non-Federal cost share combined) 
x .9 = Maximum Federal Share.
    2. Total Cost - Federal share = Applicant Share.
    For example, if the proposed total budget for your project is 
$100,000, the maximum Federal funding you can apply for is $90,000 
($100,000 x .9). Your cost share in this case would be $10,000 
($100,000 - $90,000).
    For a total project cost of $100,000, you must contribute at least 
$10,000, but no more than $50,000 (10-50 percent of total project 
cost). Accordingly, the Federal share you apply for would range from 
$50,000 to $90,000. If your application does not comply with these cost 
share requirements, we will return it to you and will not consider it 
for funding.
    The funds you provide as cost sharing may include funds from 
private sources or from state or local governments, or the value of in-
kind contributions. You may not use Federal funds to meet the cost 
sharing requirement except as provided by Federal statute. In-kind 
contributions are non-cash contributions provided to you by non-Federal 
third parties. In-kind contributions may include, but are not limited 
to, personal services volunteered to perform tasks in the project, and 
permission to use, at no cost, real or personal property owned by 
others.
    We will determine the appropriateness of all cost sharing 
proposals, including the valuation of in-kind contributions, on the 
basis of guidance provided in 15 CFR parts 14 and 24. In general, the 
value of in-kind services or property you use to fulfill your cost 
share will be the fair market value of the services or property. Thus, 
the value is equivalent to the cost for you to obtain such services or 
property if they had not been donated. You must document the in-kind 
services or property you will use to fulfill your cost share.
    If we decide to fund your application, we will require you to 
account for the total amount of cost share included in the award 
document. (See 66 FR 49918, October 1, 2001, for additional information 
on cost sharing).

G. Catalog of Federal Domestic Assistance (CFDA)

    The S-K Grant Program is listed in the CFDA under 11.427, Fisheries 
Development and Utilization Research and Development Grants and 
Cooperative Agreements Program.

H. Application Addresses

    Northeast Region, NMFS, One Blackburn Drive, Gloucester, MA 01930; 
(978) 281-9267.
    Southeast Region, NMFS, 9721 Executive Center Drive, North,
    St. Petersburg, FL 33702-2432, (727) 570-5324.
    Southwest Region, NMFS, 501 West Ocean Boulevard, Suite 4200, Long 
Beach, CA 90802-4213, (562) 980-4033.
    Pacific Islands Area Office, NMFS, 1601 Kapiolani Boulevard, Suite 
1110, Honolulu, HI 96814-4700, (808) 973-2937.
    Northwest Region, NMFS, 7600 Sand Point Way, N.E., BIN C15700, 
Building 1, Seattle, WA 98115, (206) 526-6115.
    Alaska Region, NMFS, P.O. Box 21668, Juneau, AK 99802 or
    Federal Building, 709 West 9th Street, 4th Floor, Juneau, AK 99801-
1668, (907) 586-7224.

I. Electronic Access Addresses

    This solicitation and the application package are available on the 
NMFS S-K Home Page at: www.nmfs.noaa.gov/sfweb/skhome.html.
    A copy of the Commerce Pre-Award Notification Requirements for 
Grants and Cooperative Agreements (66 FR 49917) is also available on 
the S-K Home Page.
    The CFDA is available at: www:cfda.gov/.
    The 1998 updated Executive Summary of the NOAA Strategic Plan is 
available at: www.strategic.noaa.gov/ and the Magnuson-Stevens Act is 
available at: www.nmfs.noaa.gov/sfa/magact/.
    A list of institutions considered to be MSIs is available at: 
www.ed.gov/offices/OCR/minorityinst.html.
    The Buyback Framework regulations pertaining to Priority B (50 CFR 
600.1000 et seq.) are available at: www.access.gpo.gov/nara/cfr/waisidx_01/50cfr600_01.html.
    Federal Business Opportunities (replacement for the Commerce 
Business Daily) is available at: www.fedbizopps.gov.

II. Funding Priorities

    Your proposal must address one of the six priorities listed here.
    If we do not receive proposals that adequately respond to the 
priorities listed, we may use S-K funds to carry out a national program 
of research and development addressed to aspects of U.S. fisheries 
pursuant to section 713c-3(d) of the S-K Act, as amended.
    The priorities are not listed in any particular order and each is 
of equal importance, although the funds are partitioned between 
priority A and the remaining priorities. We will set aside $5 million 
to fund projects under Priority A. The remaining estimated $5.3 million 
may be used to fund projects under Priorities B through F. There is no 
similar predetermined allocation for portions of the $5.3 million among 
Priorities B through F.
    If we do not receive sufficient fundable applications to use the 
entire $5 million reserved for Priority A, we will carry the remainder 
over to address the Atlantic salmon aquaculture priority in our FY 2003 
competition.

[[Page 34430]]

A. Atlantic Salmon Aquaculture Development Considering the Endangered 
Species Status of Atlantic Salmon

    Promote the continued development of the Atlantic salmon 
aquaculture industry, by minimizing the potential for negative impacts 
on wild Atlantic salmon, which is listed as endangered under the ESA. 
Acceptable activities include the development and testing of:
    More secure cages to reduce farmed fish escapement;
    Brood stock strains that grow more quickly, better resist disease, 
or pose less genetic threat to North Atlantic wild salmon stocks;
    Improved marks or tags to trace potential escapes of farmed fish;
    Vaccines or other methods to prevent the spread of disease between 
farmed fish and wild fish; and
    Improved methods to monitor sea cage integrity and farmed fish 
disease.
    Note, if your application addresses Priority A you should submit it 
to the NMFS Northeast Region, regardless of your location (see I.H., 
Application Addresses).

B. Fishing Capacity Reduction under the Magnuson-Stevens Act Sections 
312(b)-(e)

    Promote the reduction of excess harvesting capacity in appropriate 
fisheries by analyses and evaluations that prepare the proponents of 
buybacks financed by NMFS loans under Title XI of the Merchant Marine 
Act to consider, plan for, organize, justify, support, and effect 
financed buybacks. (See 50 CFR part 600.1000, et seq. for framework 
rules governing buybacks; see section I.I. for electronic address of 
rules.) Acceptable activities include, but are not limited to:
    1. Analyzing cost/benefit to determine a fishery's potential for 
financed buyback, including:
    a. Establishing the type of financed buyback (i.e., permit only or 
permit and vessel buyback) that reduces the maximum capacity at the 
least cost in the least amount of time;
    b. Knowledgeably estimating various capacity ranges in a fishery 
that could be bought back at various cost ranges;
    c. Evaluating harvesters' pre-buyback cost-income, how various 
buyback capacity/cost ranges could change post-buyback cost-income, the 
prospective ability of post-buyback harvesters to pay the estimated 
fees to service the buyback loan, and the benefits to them of doing so; 
and
    d. Assuming the fishery's FMP already prohibits new entrants to the 
fishery, establishing the scope and possible content of appropriate FMP 
amendments that might first be required to effectively and permanently 
resolve latent capacity in that fishery prior to buyback, and to 
prevent post-buyback vessel upgrading or other circumstances from 
replacing the capacity that a buyback removes.
    2. Evaluating detailed means and methods for industry buyback 
proponents in the fishery to efficiently and effectively:
    a. Survey potential referendum voters (each permit holder in the 
buyback fishery) to establish the prospective degree of interest in, 
and support for, a financed buyback in that fishery, and
    b. Prepare a successful financed buyback application and
    business plan (see 50 CFR 600.1003).
    In addition to the above, responsible proponents of financed 
buybacks in individual fisheries may also submit proposals to prepare 
actual financed buyback applications and business plans for that 
fishery.
    Note, depending on the type of activity you propose, you may be 
required to obtain approval under the Paperwork Reduction Act (PRA) for 
surveys, etc., related to this priority. You should consider this when 
preparing your application and estimated time lines.

C. Conservation Engineering

    Reduce or eliminate adverse interactions between fishing operations 
and nontargeted, protected, or prohibited species, including the 
inadvertent take, capture, or destruction of such species. These 
include juvenile or sublegal-sized fish and shellfish, females of 
certain crabs, fish listed under the ESA, marine turtles, seabirds, or 
marine mammals.
    Improve the survivability of fish discarded or intentionally 
released and of protected species released in fishing operations.
    Reduce or eliminate impacts of fishing activity on EFH that 
adversely affect the sustainability of the fishery.

D. Optimum Utilization of Harvested Resources under Federal or State 
Management

    Reduce or eliminate factors such as diseases, human health hazards, 
and quality problems that limit the utilization of fish and their 
products in the United States and abroad.
    Increase public knowledge of the safe handling and use of fish and 
their products.
    Develop usable products from economic discards (defined in the 
Magnuson-Stevens Act as ``fish which are the target of a fishery, but 
which are not retained because they are of an undesirable size, sex, or 
quality, or for other economic reasons''), underutilized species, and 
byproducts of processing.
    Facilitate industry cooperation and outreach to promote and enhance 
marketability of regional U.S. fishery products.
    Collect data on population dynamics, life histories, etc., of fish 
not currently under Federal FMPs, for the Councils to determine the 
feasibility of a new federally managed fishery that could provide 
additional fishing opportunity.

E. Marine Aquaculture

    Advance the implementation of marine aquaculture by addressing 
technical aspects such as systems engineering, environmental 
compatibility, and culture technology.
    Reduce or eliminate legal and social barriers to aquaculture 
development, e.g., legal constraints, use conflicts, exclusionary 
mapping, and appropriate institutional roles.
    Address environmental issues for marine aquaculture, e.g., measure 
and reduce water quality and benthic community impacts; evaluate and 
reduce negative interactions between aquaculture and wild stocks, 
protected resources, and EFH; develop best management practices with 
scientific analysis and assessment of risk. Note, proposals pertaining 
to Atlantic salmon aquaculture should be submitted under Priority A.
    Develop effective enhancement strategies for marine and anadromous 
species to help in the recovery of wild stocks.

F. Fisheries Socioeconomics

    Improve the understanding of the socioeconomic aspects of fisheries 
to increase the knowledge base for making decisions that affect 
commercial, recreational, and subsistence fishing. Examples could 
include, but are not limited to, ethnographic baseline data on specific 
fishing communities; cost-income data; analyses of the socioeconomic 
impacts of specific management measures in certain fisheries; analyses 
of factors influencing demand for recreational fishing trips by 
anglers; and, market analyses to determine factors that influence 
demand and supply of specific seafood products, including imports.
    Such initiatives must be discrete projects that can be carried out 
within an 18-month maximum project period. Studies must not duplicate 
or overlap any other ongoing socioeconomic data collection and analyses 
programs. We encourage projects that are industry-

[[Page 34431]]

sponsored but involve the academic community or management agencies.
    Note, depending on the type of activity you propose, you may be 
required to obtain approval under the PRA for surveys, etc., related to 
this priority. You should consider this when preparing your application 
and estimated time lines.

III. How to Apply

    You must follow the instructions in this document in order to apply 
for a grant or cooperative agreement under the S-K Program. Your 
application must be complete and must follow the format described here. 
Your application should not be bound in any manner and must be printed 
on one side only. You must submit one signed original and nine signed 
copies of your application.

A. Cover Sheet

    You must use Office of Management and Budget (OMB) Standard Form 
424 and 424B (4-92) as the cover sheet for each project. (In order to 
complete item 16 of Standard Form 424, see section V.A.3. of this 
document.)

B. Project Summary

    You must complete NOAA Form 88-204 (10-01), Project Summary, for 
each project. You must list on the Project Summary form the specific 
priority to which the application responds (see section II. of this 
document).

C. Project Budget

    You must submit a budget for each project, using NOAA Form 88-205 
(10-01), Project Budget and associated instructions. You must provide 
detailed cost estimates showing total project costs. Indicate the 
breakdown of costs between Federal and non-Federal shares, divided into 
cash and in-kind contributions. To support the budget, describe briefly 
the basis for estimating the value of the cost sharing derived from in-
kind contributions. Specify estimates of the direct costs in the 
categories listed on the Project Budget form.
    You may also include in the budget an amount for indirect costs if 
you have an established indirect cost rate with the Federal government. 
For this solicitation, the total dollar amount of the indirect costs 
you propose in your application must not exceed the indirect cost rate 
negotiated and approved by a cognizant Federal agency prior to the 
proposed effective date of the award, or 100 percent of the total 
proposed direct costs dollar amount in the application, whichever is 
less.
    Furthermore, the Federal share of the indirect costs you propose 
must not exceed 25 percent of the total proposed direct costs. If your 
application requests more than 25 percent of the total costs as Federal 
funds to cover indirect costs, the application will be returned to you 
and will not be considered for funding.
    If you have an approved indirect cost rate above 25 percent of the 
total proposed direct cost, you may use the amount above the 25-percent 
level up to the 100-percent level as part of the non-Federal share. You 
must include a copy of the current, approved, negotiated indirect cost 
agreement with the Federal government with your application. (See 66 FR 
49919, October 1, 2001, for further information on indirect costs.)
    We will not consider fees or profits as allowable costs in your 
application.
    The total costs of a project consist of all allowable costs you 
incur, including the value of in-kind contributions, in accomplishing 
project objectives during the life of the project. A project begins on 
the effective date of an award agreement between you and an authorized 
representative of the U.S. Government and ends on the date specified in 
the award. Accordingly, we cannot reimburse you for time that you 
expend or costs that you incur in developing a project or preparing the 
application, or in any discussions or negotiations you may have with us 
prior to the award. We will not accept such expenditures as part of 
your cost share.

D. Narrative Project Description

    You must provide a narrative description of your project that may 
be up to 15 pages long. The narrative should demonstrate your knowledge 
of the need for the project, and show how your proposal builds upon any 
past and current work in the subject area, as well as relevant work in 
related fields. You should not assume that we already know the relative 
merits of the project you describe. You must describe your project as 
follows:
    1. Project goals and objectives. Identify the specific priority 
listed in section II to which the proposed project responds. Identify 
the problem/opportunity you intend to address and describe its 
significance to the fishing community. State what you expect the 
project to accomplish.
    If you are applying to continue a project we previously funded 
under the S-K Program, describe in detail your progress to date and 
explain why you need additional funding. We will consider this 
information in evaluating your current application.
    2. Project impacts. Describe the anticipated impacts of the project 
on the fishing community in terms of reduced bycatch, increased product 
yield, or other measurable benefits. Describe how you will make the 
results of the project available to the public.
    3. Evaluation of project. Specify the criteria and procedures that 
you will use to evaluate the relative success or failure of a project 
in achieving its objectives.
    4. Need for government financial assistance. Explain why you need 
government financial assistance for the proposed work. List all other 
sources of funding you have or are seeking for the project.
    5. Federal, state, and local government activities and permits. 
List any existing Federal, state, or local government programs or 
activities that this project would affect, including activities 
requiring: certification under state Coastal Zone Management Plans; 
section 404 or section 10 permits issued by the Corps of Engineers; 
experimental fishing or other permits under FMPs; environmental impact 
statements to meet the requirements of the National Environmental 
Policy Act; scientific permits under the ESA and/or the Marine Mammal 
Protection Act; or Magnuson-Stevens Act EFH consultation if the project 
may adversely affect areas identified as EFH. Describe the relationship 
between the project and these FMPs or activities, and list names and 
addresses of persons providing this information. You can get 
information on these activities from the NMFS Regions (see Section 
I.H., Application Addresses). If we select your project for funding, 
you are responsible for complying with all applicable requirements.
    6. Project statement of work. The statement of work is an action 
plan of activities you will conduct during the period of the project. 
You must prepare a detailed narrative, fully describing the work you 
will perform to achieve the project goals and objectives. The narrative 
should respond to the following questions:
    (a) What is the project design? What specific work, activities, 
procedures, statistical design, or analytical methods will you 
undertake?
    (b) Who will be responsible for carrying out the various 
activities? (Highlight work that will be subcontracted and provisions 
for competitive subcontracting.)
    (c) What are the major products and how will project results be 
disseminated? Describe products of the project, such as a manual, 
video, technique, or piece of equipment. Indicate how project results 
will be disseminated to potential users.
    (d) What are the project milestones? List milestones, describing 
the specific

[[Page 34432]]

activities and associated time lines to conduct the scope of work. 
Describe the time lines in increments (e.g., month 1, month 2), rather 
than by specific dates. Identify the individual(s) responsible for the 
various specific activities.
    This information is critical for us to conduct a thorough review of 
your application, so we encourage you to provide sufficient detail.
    7. Participation by persons or groups other than the applicant. 
Describe how government and non-government entities, particularly 
members of fishing communities, will participate in the project, and 
the nature of their participation. We will consider the degree of 
participation by members of the fishing community in determining which 
applications to fund.
    8. Project management. Describe how the project will be organized 
and managed. Identify the principal investigator and other participants 
in the project. If you do not identify the principal investigator, we 
will return your application without further consideration. Include 
copies of any agreements between you and the participants describing 
the specific tasks to be performed. Provide a statement no more than 
two pages long of the qualifications and experience (e.g., resume or 
curriculum vitae) of the principal investigator(s) and any consultants 
and/or subcontractors, and indicate their level of involvement in the 
project. If any portion of the project will be conducted through 
consultants and/or subcontracts, you must follow procurement guidance 
in 15 CFR part 24, ``Grants and Cooperative Agreements to State and 
Local Governments,'' and 15 CFR part 14, ``Uniform Administrative 
Requirements for Grants and Agreements with Institutions of Higher 
Education, Hospitals, Other Non-Profit, and Commercial Organizations.'' 
If you select a consultant and/or a subcontractor prior to submitting 
an application, indicate the process that you used for selection.

E. Supporting Documentation

    You should include any relevant documents and additional 
information (i.e., maps, background documents) that will help us to 
understand the project and the problem/opportunity you seek to address.

IV. Screening, Evaluation, and Selection Procedures

A. Initial Screening of Applications

    When we receive applications at any of the NMFS Regional Offices, 
we will first screen them to ensure that they were received by the 
deadline date (see DATES); include OMB form 424 signed and dated by an 
authorized representative (see section III. A. of this document); were 
submitted by an eligible applicant (see section I.D. of this document); 
provide for at least a 10-percent cost share but not more than 50 
percent (see section I.F. of this document); involve an eligible 
activity (see section I.C. of this document); address one of the 
funding priorities for species under Federal or State jurisdiction (see 
section II.A.-F. of this document); include a budget and a statement of 
work including milestones (see sections III.C. and III.D.6 of this 
document); and identify the principal investigator (see section III 
D.8. of this document). Note, if we find, at any point in the process, 
that your application does not fully conform to these requirements and 
the deadline for submission has passed, we will return it to you 
without further consideration.
    We do not have to screen applications before the submission 
deadline, nor do we have to give you an opportunity to correct
    any deficiencies that cause your application to be rejected.

B. Evaluation of Proposed Projects

1. Technical Evaluation
    After the initial screening, we will solicit individual evaluations 
of each project application from three or more appropriate private and 
public sector experts to determine the technical merit. No consensus 
recommendations will be made. Reviewers will be required to certify 
that they do not have a conflict of interest concerning the 
application(s) they are reviewing. They will assign scores ranging from 
a minimum of 60 (poor) to a maximum of 100 (excellent) to applications 
based on the following criteria, with weights shown in parentheses:
    a. Soundness of project design/conceptual approach. Applications 
will be evaluated on the conceptual approach; the likelihood of project 
results in the time frame specified in the application; whether there 
is sufficient information to evaluate the project technically; and, if 
so, the strengths and/or weaknesses of the technical design relative to 
securing productive results. (50 percent)
    b. Project management and experience and qualifications of 
personnel. The organization and management of the project will be 
evaluated. The project's principal investigator and other personnel, 
including consultants and contractors participating in the project, 
will be evaluated in terms of relevant experience and qualifications. 
Applications that include consultants and contractors will be reviewed 
to determine if your involvement, as the primary applicant, is 
necessary to the conduct of the project and the accomplishment of its 
objectives. (25 percent)
    c. Project evaluation. The methods you propose to monitor and 
evaluate the success or failure of the project in terms of meeting its 
original objectives will be examined for potential effectiveness. (10 
percent)
    d. Project costs. The justification and allocation of the budget in 
terms of the work to be performed will be evaluated. Unreasonably high 
or low project costs will be taken into account. (15 percent)
    Following the technical review, we will determine the weighted 
score for each individual review and average the individual technical 
review scores to determine the final technical score for each 
application. Then, we will rank applications in descending order by 
their final technical scores and determine a ``cutoff'' score that is 
based on the amount of funds available for grants. We will eliminate 
from further consideration those applications that scored below the 
cutoff.
2. Constituent Panel(s)
    For those applications at or above the cutoff technical evaluation 
score, we will solicit individual comments and evaluations from a panel 
or panels of three or more representatives selected by the Assistant 
Administrator for Fisheries (AA), NOAA. Regardless of the total number 
of panels convened, we will convene a separate panel for projects 
addressing Priority A dealing with Atlantic salmon aquaculture. Panel 
members will be chosen from the fishing industry, state government, 
non-government organizations, and others, as appropriate. We will 
provide panelists with a summary of the technical evaluations, and, for 
applications to continue a previously funded project, information on 
progress on the funded work to date.
    Each panelist will evaluate the applications in terms of the 
significance of the problem or opportunity being addressed, the degree 
to which the project involves collaboration with fishing community 
members and other appropriate collaborators, proposed means to 
disseminate project results, and the merits of funding each project. 
Each panelist will provide a rating from 0-4 (poor to excellent) for 
each project, and provide comments if they wish. Panelists will not 
reach consensus on recommendations or scores. Panel members will be 
required to certify that

[[Page 34433]]

they do not have a conflict of interest and that they will maintain 
confidentiality of the panel deliberations.
    Following the Constituent Panel meeting, we will average the 
individual ratings for each project. We will then develop a ranking of 
projects based on the individual ranks within each of the priority 
areas. Final rankings will consider projects addressing Priority A 
separately from projects addressing priorities B through F.

C. Selection Procedures and Project Funding

    After projects have been evaluated and ranked, we will use this 
information, along with input from the NMFS Regional Administrators 
(RAs) and Office Directors (ODs), to develop recommendations for 
project funding. RAs/ODs will prepare a written justification for any 
recommendations for funding that fall outside the ranking order, or for 
any cost adjustments.
    The AA will review the funding recommendations and comments of the 
RAs/ODs and determine the projects to be funded. The AA will make two 
sets of final funding decisions: one for proposals addressing priority 
A and a second set for those addressing Priorities B through F. In 
making the final selections, the AA may consider costs, geographical 
distribution, and duplication with other federally funded projects. 
Awards are not necessarily made to the highest ranked applications.
    We will notify you in writing whether your application is selected 
or not. Furthermore, if your application is not selected, we will 
return it to you. Successful applications will be incorporated into the 
award document.
    The exact amount of funds, the scope of work, and terms and 
conditions of a successful award will be determined in preaward 
negotiations between you and NOAA/NMFS representatives. The funding 
instrument (grant or cooperative agreement) will be determined by NOAA 
Grants. You should not initiate your project in expectation of Federal 
funding until you receive a grant award document signed by an 
authorized NOAA official.

V. Administrative Requirements

A. Your Obligations as an Applicant

    The Commerce Pre-Award Notification Requirements for Grants and 
Cooperative Agreements published in the Federal Register, October 1, 
2001 (66 FR 49917), are applicable to this solicitation. However, 
please note that Commerce will not implement the requirements of 
Executive Order 13202 (66 FR 49921), pursuant to guidance issued by the 
OMB in light of a court opinion which found that the Executive Order 
was not legally authorized. See Building and Construction Trades 
Department v. Allbaugh, 172 F. Supp. 2d 138 (D.D.C. 2001). This 
decision is currently on appeal. When the case has been finally 
resolved, Commerce will provide further information on implementation 
of Executive Order 13202.
    In addition, you must:
    1. Meet all application requirements and provide all information 
necessary for the evaluation of the proposal(s), including one signed 
original and nine signed copies of the application.
    2. Be available to respond to questions during the review and 
evaluation of the proposal(s).
    3. Complete Item 16 on Standard Form 424 (4-92) regarding clearance 
by the State Point Of Contact (SPOC) established as a result of 
Executive Order 12372. You can get the list of SPOCs from any of the 
NMFS offices listed in this document or from the S-K Home Page (see 
section I.I. of this document). It is also included in the CFDA. You 
must contact the SPOC, if your state has one, to see if applications to 
the S-K Program are subject to review. If SPOC clearance is required, 
you are responsible for getting that clearance in time to submit your 
application to the S-K Program by the deadline (see DATES).
    4. Complete Standard Form 424B (4-92), ``Assurances--Non-
construction Programs.''

B. Your Obligations as a Successful Applicant (Recipient)

    If you are awarded a grant or cooperative agreement for a project, 
you must:
    1. Manage the day-to-day operations of the project, be responsible 
for the performance of all activities for which funds are granted, and 
be responsible for the satisfaction of all administrative and 
managerial conditions imposed by the award.
    2. Keep records sufficient to document any costs incurred under the 
award, and submit financial status reports (SF 269) to NOAA's Grants 
Management Division in accordance with the award conditions.
    3. Submit semiannual project status reports on the use of funds and 
progress of the project to us within 30 days after the end of each 6-
month period. You will submit these reports to the individual 
identified as the NMFS Program Officer in the funding agreement.
    4. Submit a final report within 90 days after completion of each 
project to the NMFS Program Officer. The final report must describe the 
project and include an evaluation of the work you performed and the 
results and benefits in sufficient detail to enable us to assess the 
success of the completed project.
    We are committed to using available technology to achieve the 
timely and wide distribution of final reports to those who would 
benefit from this information. Therefore, you are required to submit 
final reports in electronic format, in accordance with the award terms 
and conditions, for publication on the S-K Home Page. You may charge 
the costs associated with preparing and transmitting your final reports 
in electronic format to the grant award. We will consider requests for 
exemption from the electronic submission requirement on a case-by-case 
basis.
    We will provide you with OMB-approved formats for the semiannual 
and final reports.
    5. In addition to the final report in section V.B.4. of this 
document, we request that you submit any publications printed with 
grant funds (such as manuals, surveys, etc.) to the NMFS Program 
Officer for dissemination to the public. Submit either three hard 
copies or an electronic version of any such publications.
    We reserve the right to conduct a post-closeout evaluation of 
project results in terms of demonstrated benefit to fishing 
communities, as indicated by awareness of the work conducted, state of 
knowledge advanced, adoption of techniques or methods developed, 
implementation of plans prepared, etc. Evaluation may be conducted by 
appropriate individuals within or outside NOAA. If this process 
requires any additional information from you, we will first obtain the 
proper clearances under the PRA.

Classification

    Prior notice and an opportunity for public comments are not 
required by the Administrative Procedure Act (5 U.S.C. 553(a)(2))or any 
other law for this notice concerning grants, benefits, and contracts.
    Furthermore, because a notice is not a regulation, a regulatory 
flexibility analysis is not required by the Regulatory Flexibility Act 
or any other law, and none has been prepared.
    This action has been determined to be not significant for purposes 
of Executive Order 12866.
    Applications under this program are subject to Executive Order 
12372, ``Intergovernmental Review of Federal Programs.''

[[Page 34434]]

    This document contains collection-of-information requirements 
subject to the PRA. The use of Standard Forms 424, 424B, and SF-LLL 
(Disclosure of Lobbying Activities) have been approved by the Office of 
Management and Budget (OMB) under the respective control numbers 0348-
0043, 0348-0040, and 0348-0046. NOAA-specific requirements have been 
approved under OMB control number 0648-0135. These requirements and 
their estimated response times are 1 hour for a project summary, 1 hour 
for a budget form, 2.5 hours for a semiannual report, and 13 hours for 
a final report. These estimates 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 this collection of information, 
including suggestions for reducing this burden, to Alicia Jarboe, F/
SF2, Room 13112, 1315 East West Highway, Silver Spring, MD 20910-3282.
    Notwithstanding any other provision of law, no person is required 
to respond to, nor shall any person be subject to a penalty for failure 
to comply with, a collection of information subject to the requirements 
of the PRA unless that collection of information displays a currently 
valid OMB control number.
    A solicitation for applications can also be obtained through 
``FedBizOpps.''

    Dated: May 8, 2002.
William T. Hogarth,
Assistant Administrator for Fisheries, National Marine Fisheries 
Service
[FR Doc. 02-12029 Filed 5-13-02; 8:45 am]
BILLING CODE 3510-22-S