[Federal Register Volume 67, Number 199 (Tuesday, October 15, 2002)]
[Proposed Rules]
[Pages 63600-63603]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-26136]


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DEPARTMENT OF COMMERCE

National Oceanic Atmospheric Administration

50 CFR Part 679

[Docket No. 020920220-2220-01; I.D. 090302E]
RIN 0648-AL97


Fisheries of the Exclusive Economic Zone Off Alaska; Western 
Alaska Community Development Quota Program

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

ACTION: Proposed rule; request for comments.

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SUMMARY: NMFS proposes amendments to the regulations governing the 
halibut fishery under the Western Alaska Community Development Quota 
(CDQ) Program. The proposed amendments would increase the Regulatory 
Area (Area) 4E trip limit from 6,000 lb. (2.72 metric tons (mt)) to 
10,000 lb. (4.54 mt) and modify the Area 4 Catch Sharing Plan (CSP) to 
allow CDQ Program participants to harvest allocations of Area 4D 
halibut CDQ in Area 4E. This proposed action is intended to enhance 
harvesting opportunities for halibut CDQ fishermen and to further the 
goals and objectives of the North Pacific Fishery Management Council 
(Council) with respect to the CDQ program and the Pacific halibut 
fishery, consistent with the regulations and resource management 
objectives of the International Pacific Halibut Commission (IPHC).

DATES: Comments on this proposed rule must be received by November 14, 
2002.

ADDRESSES: Comments should be sent to Sue Salveson, Assistant Regional 
Administrator for Sustainable Fisheries, Alaska Region, NMFS, P.O. Box 
21668, Juneau, AK 99802, Attn: Lori Gravel-Durall, or delivered to the 
Federal Building, 709 West 9th Street, Room 413-1, Juneau, AK. Comments 
also may be sent via facsimile (fax) to 907-586-7465. Comments will not 
be accepted if submitted via e-mail or the Internet. Copies of the 
Environmental Assessment/Regulatory Impact Review/Initial Regulatory 
Flexibility Analysis (EA/RIR/IRFA) prepared for this proposed 
regulatory action may be obtained from the same address.

FOR FURTHER INFORMATION CONTACT: Obren Davis, 907-586-7228, e-mail 
[email protected].

SUPPLEMENTARY INFORMATION:

Background

    The Secretary of Commerce (Secretary) is responsible for 
implementing the Convention between the United States and Canada for 
the Preservation of the Halibut Fishery of the Northern Pacific Ocean 
and Bering Sea, as provided by the Northern Pacific Halibut Act of 1982 
(Halibut Act), at 16 U.S.C. 773. Section 773c(c) of the Halibut Act 
authorizes the Regional Fishery Management Council having authority for 
the geographical area concerned to develop regulations governing the 
allocation and catch of Pacific halibut (Hippoglossus stenolepis) in 
U.S. Convention waters. Such regulations must be approved by the 
Secretary before being implemented and may be in addition to 
regulations developed by the IPHC.
    In December 1991, the Council adopted a limited access system for 
managing the halibut fishery in and off Alaska under authority of the 
Halibut Act. This limited access system included an Individual Fishing 
Quota (IFQ) program for Areas 2C through 4D, and the CDQ program for 
Areas 4B through 4E. These programs were designed to allocate specific 
harvesting privileges among U.S. fishermen and eligible western Alaska 
communities to resolve management and conservation problems associated 
with ``open access'' fishery management, and to promote the development 
of fishery-based economic opportunities in western Alaska. The IFQ and 
CDQ programs initially were implemented by regulations published in the 
Federal Register on November 9, 1993 (58 FR 59375). Fishing for halibut 
under these two programs began March 15, 1995.
    Under the regulations established for the halibut IFQ and CDQ 
programs, the catch limit of halibut that is annually established for 
each area by the IPHC is divided among qualified halibut quota share 
holders. Halibut catch limits in Areas 4B, 4C, and 4D are divided 
between the IFQ and CDQ programs. Twenty percent of the Area 4B, 50 
percent of the Area 4C, and 30 percent of the Area 4D annual catch 
limits are allocated to the CDQ Program. One hundred percent of the 
Area 4E annual catch limit is allocated to the CDQ program. The halibut 
CDQ reserves are divided among eligible CDQ communities in accordance 
with Community Development Plans (CDP) submitted by CDQ managing 
organizations (CDQ groups) and approved by NMFS. This proposed action 
affects only halibut CDQ harvested in Areas 4D and 4E.
    Since 1995, four different CDQ groups have received annual 
allocations of Area 4D halibut and two CDQ groups have received annual 
allocations of Area 4E halibut. Between 1995 and 2001, the annual 
halibut CDQ reserve ranged from 231,000 to 609,000 lb. (104.78 to 
276.24 mt) in Area 4D and from 120,000 to 390,000 lb. (54.43 to 176.9 
mt) in Area 4E. Amounts specified for halibut catch limits, reserves, 
and allocations are all in net (headed and gutted) weight. Halibut CDQ 
in Areas 4D and 4E must be allocated to the CDQ groups that represent 
eligible communities located in, or proximate to, Areas 4D and 4E, 
respectively.

Catch Sharing Plan (CSP) for Area 4

    The CSP for Area 4 originally was developed by the Council to 
apportion the IPHC's halibut catch limit for Area 4 among Areas 4A, 4B, 
4C, 4D, and 4E as necessary to carry out the socioeconomic objectives 
of the IFQ and CDQ programs. The Area 4 CSP was published in the 
Federal Register on March 20, 1996 (61 FR 11337), and implemented by 
the IPHC that same year.
    NMFS subsequently modified the Area 4 CSP to remove Areas 4A and 4B 
from the CSP in 1998. This change was to allow the catch limits for 
these two areas and a combined Area 4C-4E to be set according to the 
IPHC's revised area specific biomass-based methodology. The IPHC 
considers that Areas 4A, 4B,

[[Page 63601]]

and 4C-E each have a separate halibut population. A complete 
description of the proposed revisions to the Area 4 CSP, catch limit 
apportionments, and geographical description of each subarea was 
published in the Federal Register on January 12, 1998 (63 FR 1812). 
These modifications were approved March 17, 1998 (63 FR 13000). 
Beginning in 1998, the IPHC has annually implemented the measures 
specified in the Area 4 CSP to apportion the combined Area 4C-E catch 
limit among Areas 4C, 4D, and 4E. The annual management measures for 
halibut fisheries in 2002 were published on March 20, 2002 (67 FR 
12885).
    Four out of six CDQ groups have received halibut CDQ allocations in 
Area 4D since 1995, including Bristol Bay Economic Development 
Corporation (BBEDC), Coastal Villages Region Fund (CVRF), Norton Sound 
Economic Development Corporation (NSEDC), and Yukon Delta Fisheries 
Development Association (YDFDA). Past and current allocations 
recommended by the State of Alaska and approved by the Secretary have 
allocated both Area 4D and Area 4E halibut CDQ to only two groups, 
BBEDC and CVRF, based on their historical participation in the Area 4E 
halibut fishery and the contents of their CDP applications. NSEDC and 
YDFDA have received only Area 4D halibut CDQ: residents of communities 
represented by these two groups (with the exception of two of NSEDC's 
communities) must travel extended distances offshore to harvest Area 4D 
halibut CDQ or the quota must be harvested by large, non-local vessels.
    In 1999, CDQ groups that received Area 4D quota expressed a desire 
to increase the amount of halibut CDQ that could be harvested in their 
locally-based inshore halibut fishery by being allowed to harvest Area 
4D halibut CDQ in Area 4E. All four of these groups represent 
communities along the western Alaska coast, ranging from Bristol Bay 
(south) to the Bering Strait (north). Almost all of the 56 communities 
represented by these groups are adjacent to Area 4E: only two are in 
Area 4D. In January 1999, these groups approached the IPHC at its 
annual meeting and requested a determination as to whether it would be 
acceptable to harvest halibut CDQ allocated to Area 4D in Area 4E. The 
IPHC had no objection to the request because it considers the halibut 
in Areas 4C, 4D,and 4E to be a single stock unit. This issue was also 
raised at the February 1999 Council meeting. The Council requested that 
NMFS prepare an analysis of the proposal to allow Area 4D halibut CDQ 
to be harvested in Area 4E. The Council also recommended modifying the 
Area 4E halibut catch limit (see Area 4E Trip Limit, below).
    NMFS prepared an EA/RIR/IRFA that examined the proposal to allow 
Area 4D halibut CDQ to be harvested in Area 4E. In October 2001, the 
Council approved the release of the EA/RIR/IRFA for public review. In 
December 2001, the Council recommended allowing halibut CDQ that was 
allocated in Area 4D to be harvested in Area 4E. In January 2002, the 
IPHC noted that allowing Area 4D halibut CDQ to be harvested in Area 4E 
would constitute a change to the Area 4 CSP that would need to be 
addressed by NMFS in rulemaking. Hence, if approved by the Secretary, 
this proposed rule would modify the Area 4 CSP to incorporate the 
Council's specific recommendation that Area 4D halibut CDQ may be 
harvested either in Area 4D or in Area 4E.

The Proposed Revision of the CSP

    This rule proposes to change the Area 4 CSP to allow Area 4D 
halibut CDQ to be harvested in Area 4E. However, no changes are 
proposed to the existing Area 4 CSP framework that apportions the 
combined Area 4C-E annual catch limit among Areas 4C, 4D, and 4E. The 
authority to allocate the annual Area 4 catch limit according to the 
Area 4 CSP is specified at 50 CFR 300.63(b) and will continue to be 
implemented by the IPHC in its annual management measures pursuant to 
50 CFR 300.62. The following paragraph would be added to the Area 4 
CSP:
    A CDQ group with an allocation of Area 4D halibut CDQ may 
harvest all or part of that allocation in Area 4E. This provision is 
based on the Council's recommendation in December 2001 to allow CDQ 
fishermen in Area 4E additional halibut CDQ harvesting 
opportunities. The framework that allocates the IPHC catch limits 
among Areas 4C, 4D, and 4E remains unchanged.
    For example: under the existing Area 4 CSP, an annual combined Area 
4C-E catch limit of 4,450,000 lb. (2,018.5 mt) would be apportioned as 
follows: 2,030,000 lb. (920.8 mt) to Area 4C, 2,030,000 lb. (920.8 mt) 
to Area 4D, and 390,000 lb. (176.9 mt) to Area 4E. These amounts are 
further split between the IFQ and CDQ halibut fisheries. Thirty 
percent, or 609,000 lb. (276.3 mt), of the Area 4D catch limit is 
allocated to the Area 4D CDQ reserve. One hundred percent of the Area 
4E catch limit is allocated to the Area 4E CDQ reserve. Under the 
proposed revision to the Area 4 CSP, a combined total of 999,000 lb. 
(453.1 mt) of halibut potentially could be harvested in Area 4E, an 
amount equal to 22 percent of the combined Area 4C-E catch limit.
    The Council recommended allowing the harvest of Area 4D halibut in 
Area 4E and allowing amounts of Area 4D halibut CDQ that had been 
transferred to Area 4E to be transferred back to Area 4D. NMFS proposes 
to implement the Council's intent without requiring the CDQ groups to 
submit documents requesting transfers of halibut CDQ between Areas 4D 
and 4E. The Council intended that the maximum amount of halibut CDQ 
that could be caught in Area 4D would be the amount of halibut CDQ 
allocated to each CDQ group for Area 4D. In addition, they intended 
that the maximum amount of halibut CDQ that could be caught in Area 4E 
would be the sum of the amount of halibut CDQ allocated for Areas 4D 
and 4E combined.
    NMFS proposes to monitor each CDQ group's halibut CDQ catch in 
Areas 4D and 4E. If the catch in Area 4E exceeds the group's initial 
allocation for Area 4E, then NMFS will automatically subtract this 
additional catch from the group's Area 4D allocation. Halibut CDQ catch 
from Area 4D also will be subtracted from each group's Area 4D 
allocation. Any amount of halibut CDQ catch in Area 4E that exceeds the 
4E allocation and is subtracted from the Area 4D allocation will no 
longer be available for harvest in Area 4D. This procedure would allow 
each CDQ group to decide where to catch its Area 4D halibut CDQ 
allocation without requiring transfers. Each CDQ group would be 
required to monitor the harvest of Area 4D and 4E halibut CDQ to ensure 
that: (1) its total catch in Area 4D does not exceed its Area 4D 
allocation, minus any portion of its Area 4D quota harvested in Area 
4E, (2) its total catch in Area 4E does not exceed the sum of its Area 
4D and Area 4E allocations, minus any portion of its Area 4D allocation 
harvested in Area 4D, and (3) its total catch in Areas 4D and 4E does 
not exceed the sum of its Area 4D and Area 4E allocations.
    This proposed change would provide an opportunity for CDQ groups 
that receive Area 4D halibut CDQ to increase the amount of halibut CDQ 
available to local, nearshore fishermen. If the CDQ groups chose to do 
this, the halibut CDQ harvesting opportunities for large vessels in the 
Area 4D halibut CDQ fishery would have a corresponding decrease in 
available halibut CDQ because Area 4D quota could shift to local 
nearshore fishermen. However, most of the annual Area 4D halibut CDQ 
harvest in recent years has been made by large catcher/processors that 
are targeting groundfish CDQ species such as Pacific cod. These vessels 
catch halibut incidentally along with cod and

[[Page 63602]]

other groundfish. CDQ groups may choose to account for this 
incidentally caught halibut by accruing it towards either their annual 
Area 4D halibut CDQ allocation or to their annual halibut Prohibited 
Species Quota (PSQ). CDQ groups receive annual allocations of halibut 
PSQ to account for halibut catch in directed groundfish fisheries. If a 
group chooses to shift part or all of its Area 4D halibut CDQ 
allocation to its nearshore halibut fishery, it still has an 
alternative allocation of halibut to use for catch accounting purposes.

Area 4E Trip Limit

    In 1988, the Council developed, and the Secretary of Commerce 
(Secretary) approved, fishing trip limits for Area 4C of 10,000 lb. 
(4.54 mt) and Area 4E of 6,000 lb. (2.72 mt) (53 FR 20327, June 3, 
1988). In 1994, the Council recommended and the Secretary approved a 
fishing trip limit for Area 4B of 10,000 lb. (4.54 mt) (59 FR 22522, 
May 2, 1994). These provisions were intended to enhance fishing 
opportunities for operators of vessels that landed their total annual 
catch within either Areas 4B, 4C, or 4E. Specifically, the Area 4E trip 
limit was devised to protect fishermen who landed their total annual 
catch of halibut at ports in Area 4E from competition with fishermen 
using vessels large enough to land their Area 4E halibut catch at ports 
in other regulatory areas. The Area 4E trip limit was incorporated into 
the Pacific halibut fishery regulations in 1988, and into 50 CFR part 
676 (now promulgated as 50 CFR part 679) in 1993, as one of the rules 
implementing the halibut and sablefish IFQ and CDQ programs (58 FR 
59375, November 9, 1993).
    In December 1994, the Council recommended eliminating the trip 
limits in Areas 4B, 4C, and 4E, as these limits were deemed unnecessary 
due to the forthcoming implementation of the IFQ and CDQ programs. 
Subsequently, these restrictions were removed from the Pacific halibut 
regulations at 50 CFR part 301 (now 50 CFR part 300) (60 FR 14651, 
March 20, 1995). The Area 4E trip limit restriction, however, was 
inadvertently kept in 50 CFR part 679. In October 1998, NMFS informed 
the Council that this oversight would be corrected by removing the Area 
4E trip limit from 50 CFR part 679. The Council declined to approve 
this correction, and voted instead to retain the 6,000 lb. (2.72 mt) 
trip limit through September 1 of each year. The Council also 
recommended that CDQ groups with unharvested Area 4E halibut CDQ offer 
such quota to other CDQ groups during the last half of August, prior to 
the date when the trip limit would be lifted. The Council's rationale 
for retaining an Area 4E trip limit was to prevent consolidation of the 
halibut fishery in this area, to the possible detriment of local 
fishermen.
    In December 2001, the Council confirmed its intent to retain the 
trip limit in Area 4E, but recommended that it be increased to 10,000 
lb. (4.54 mt) and that it be in effect annually only through September 
1. The Council reasoned that retention of the trip limit would continue 
to foster the near-shore small-scale halibut CDQ fishery in western 
Alaska, which is typically conducted by small vessels under 32 feet 
(9.73 m) length overall. Moderately increasing the trip limit, however, 
could allow harvesters greater operational flexibility during the 
spring and summer months, particularly for local vessels capable of 
packing more than 6,000 lb. (2.72 mt) of halibut during a fishing trip. 
Eliminating the trip limit during the fall months would offer CDQ 
groups the ability to harvest halibut CDQ using vessels large enough to 
safely operate in adverse weather and sea conditions. Typically, the 
trip limit is an economic constraint to using larger vessels in the 
Area 4E halibut CDQ fishery. This proposed rule would modify the Area 
4E trip limit to increase it from 6,000 to 10,000 lb. (2.72 to 4.54 mt) 
and would specify that the Area 4E trip limit would be effective only 
through September 1 of each year.

Classification

    The Council recommended this action to the Secretary for adoption 
pursuant to its authority under the Halibut Act. NMFS prepared an EA/
RIR/IRFA for the proposed revisions to the Area 4 CSP and the Area 4E 
trip limit regulatory amendment that describes the management 
background, the purpose and need for action, the management 
alternatives, and the socioeconomic impacts of the alternatives (see 
ADDRESSES).
    The IRFA estimates the total number of small entities that would be 
affected by this action, and analyzes the potential economic impact of 
the proposed action on those small entities as required by the 
Regulatory Flexibility Act (RFA). A summary of the IRFA follows.
    The Area 4 CSP modification and the proposed revision to 50 CFR 
part 679 would have no negative impacts in and of themselves, but are 
intended to increase the harvesting flexibility for participants in the 
halibut CDQ fishery in Areas 4D and 4E. These changes would allow CDQ 
groups with halibut CDQ in these areas to tailor their halibut CDQ 
fishing operations to enhance economic opportunities for the western 
Alaska communities that they represent.
    NMFS considers most of the fishing operations that would be 
affected by this proposed rule to be small entities, based on criteria 
established by the RFA. The universe of small entities is comprised of 
four CDQ groups, 58 CDQ-eligible villages, 224 catcher vessels, and 31 
halibut registered buyers for a total of 317 small entities.
    A range of alternatives was considered for each proposed action. 
Three alternatives were considered in association with the action that 
would modify the Area 4 CSP: a no action alternative; allowing Area 4D 
halibut CDQ to be harvested in Area 4E (the preferred alternative); 
and, allowing halibut CDQ specifically allocated to Area 4D or 4E to be 
harvested in either of these two areas. There are four alternatives 
associated with the action to modify the Area 4E trip limit: a no 
action alternative; increasing the trip limit to 10,000 pounds through 
September 1 each year (the preferred alternative); suspending the Area 
4E trip limit predicated on a given CDQ group first making its 
unharvested Area 4E halibut CDQ available to other CDQ groups each 
fall; and, removing the trip limit entirely.
    The IRFA shows that the selection of the no action alternative for 
either proposed action would unnecessarily limit the further 
development of the local inshore halibut CDQ fishery and the complete 
utilization of the Area 4D or Area 4E halibut CDQ allocations.
    The preferred alternatives for Actions 1 and 2 constitute the least 
burdensome alternatives to regulated small entities, among the suite of 
options available, while simultaneously achieving the objectives of the 
proposed actions. In other words, no other alternatives were identified 
which would reduce the potential adverse impacts on small entities, 
while achieving the Council's objectives for the Area 4 Halibut CDQ 
Program.
    This proposed rule does not contain a collection-of-information 
requirement subject to review and approval by the Office of Management 
and Budget under the Paperwork Reduction Act. This proposed rule does 
not duplicate, overlap, or conflict with other Federal regulations.
    This proposed rule has been determined to be not significant for 
purposes of Executive Order 12866.

List of Subjects in 50 CFR Part 679

    Alaska, Fisheries, Reporting and recordkeeping requirements.


[[Page 63603]]


    Dated: October 7, 2002.
William T. Hogarth,
Assistant Administrator for Fisheries, National Marine Fisheries 
Service.

    For the reasons set out in the preamble, 50 CFR part 679 is 
proposed to be amended as follows:

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

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

    Authority: 16 U.S.C. 773 et seq., 1801 et seq., and 3631 et 
seq.; 16 U.S.C. 1540(f); Pub. L. 105-277, Title II of Division C; 
Pub. L. 106-31, Sec. 3027; and Pub. L. 106-554, Sec. 209.

    2. In Sec.  679.31, paragraph (b)(3)(iv) is revised to read as 
follows:


Sec.  679.31  CDQ reserves

* * * * *
    (b) * * *
    (3) * * *
    (iv) Area 4E. In IPHC regulatory area 4E, 100 percent of the 
halibut quota shall be made available to eligible communities located 
in, or proximate to, IPHC regulatory area 4E. A fishing trip limit of 
10,000 lb. (4.54 mt) applies to halibut CDQ harvested in IPHC 
regulatory area 4E through September 1.
* * * * *
[FR Doc. 02-26136 Filed 10-11-02; 8:45 am]
BILLING CODE 3510-22-S