[Federal Register Volume 68, Number 229 (Friday, November 28, 2003)]
[Proposed Rules]
[Pages 66784-66795]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-29598]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

50 CFR Part 648

[Docket No. 031119283-3283-01; I.D. 110703A]
RIN 0648-AQ80


Fisheries of the Northeastern United States; Summer Flounder, 
Scup, and Black Sea Bass Fisheries; 2004 Specifications; 2004 Research 
Set-Aside Projects

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

ACTION: Proposed rule; request for comments.

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SUMMARY: NMFS proposes specifications for the 2004 summer flounder, 
scup, and black sea bass fisheries. The implementing regulations for 
the Fishery Management Plan for the Summer Flounder, Scup, and Black 
Sea Bass Fisheries (FMP) require NMFS to publish specifications for the 
upcoming fishing year for each of the species and to provide an 
opportunity for public comment. NMFS requests comment on proposed 
management measures for the 2004 summer flounder, scup, and black sea 
bass fisheries. The intent of this action is to establish 2004 harvest 
levels and other measures to attain the target fishing mortality (F) or 
exploitation rates, as specified for these species in the FMP. In 
addition, NMFS has conditionally approved three research projects for 
the harvest of the quota that has been recommended by the Council to be 
set aside for research purposes. In anticipation of receiving 
applications for Experimental Fishing Permits (EFPs) to conduct this 
research, the Assistant Regional Administrator for Sustainable 
Fisheries, Northeast Region, NMFS (Assistant Regional Administrator), 
has made a preliminary determination that the activities authorized 
under the EFPs issued in response to the approved Research Set-Aside 
(RSA) projects would be consistent with the goals and objectives of the 
FMP. However, further review and consultation may be necessary before a 
final determination is made to issue any EFP.

DATES: Comments on this proposed rule must be received on or before 
December 15, 2003.

ADDRESSES: Copies of the specifications document, including the 
Environmental Assessment, Regulatory Impact Review, and Initial 
Regulatory Flexibility Analysis (EA/RIR/IRFA) and other supporting 
documents for the specifications are available from Daniel Furlong, 
Executive Director, Mid-Atlantic Fishery Management Council, Room 2115, 
Federal Building, 300 South Street, Dover, DE 19901-6790. The 
specifications document is also accessible via the Internet at http://www.mafmc.org. Written comments on the proposed rule should be sent to 
Patricia A. Kurkul, Regional Administrator, NMFS, Northeast Regional 
Office, One Blackburn Drive, Gloucester, MA 01930. Mark the outside of 
the envelope ``Comments--2004 Summer Flounder, Scup, and Black Sea Bass 
Specifications.'' Comments may also be sent via facsimile (fax) to 
(978) 281-9135. Comments will not be accepted if submitted via e-mail 
or the Internet.

FOR FURTHER INFORMATION CONTACT: Sarah McLaughlin, Fishery Policy 
Analyst, (978) 281-9279, fax (978) 281-9135, e-mail 
[email protected].

SUPPLEMENTARY INFORMATION:

Background

    The summer flounder, scup, and black sea bass fisheries are managed 
cooperatively by the Atlantic States Marine Fisheries Commission 
(Commission) and the Mid-Atlantic Fishery Management Council (Council), 
in consultation with the New England and South Atlantic Fishery 
Management Councils. The management units specified in the FMP include 
summer flounder (Paralichthys dentatus) in U.S. waters of the Atlantic 
Ocean from the southern border of North Carolina (NC) northward to the 
U.S./Canada border, and scup (Stenotomus chrysops) and black sea bass 
(Centropristis striata) in U.S. waters of the Atlantic Ocean from 
35[deg]13.3' N. lat. (the latitude of Cape Hatteras Lighthouse, Buxton, 
NC) northward to the U.S./Canada border. Implementing regulations for 
these fisheries are found at 50 CFR part 648, subparts A, G (summer 
flounder), H (scup), and I (black sea bass).
    The regulations outline the process for specifying annually the 
catch limits for the summer flounder, scup, and black sea bass 
commercial and recreational fisheries, as well as other management 
measures (e.g., mesh requirements, minimum fish sizes, gear 
restrictions, possession restrictions, and area restrictions) for these 
fisheries. The measures are intended to achieve the annual targets set 
forth for each species in the FMP, specified either as an F rate or an 
exploitation rate (the proportion of fish available at the beginning of 
the year that are removed by fishing during the year). Once the catch 
limits are established, they are divided into quotas based on formulas 
contained in the FMP.
    As required by the FMP, a Monitoring Committee for each species, 
made up of members from NMFS, the Commission, and both the Mid-Atlantic 
and New England Fishery Management Councils, is required to review 
annually the best available scientific information and to recommend 
catch limits and other management measures that will achieve the target 
F or exploitation rate for each fishery. The Council's Demersal Species 
Committee and the Commission's Summer Flounder, Scup, and Black Sea 
Bass Management Board (Board) then consider the Monitoring Committees' 
recommendations and any public comment and make their own 
recommendations. While the Board action is final, the Council's 
recommendations must be reviewed by NMFS to assure that they comply 
with FMP objectives. The Council and Board made their annual 
recommendations at a joint meeting held August 4-7, 2003.

Explanation of Research Set-Aside

    In 2001, regulations were implemented under Framework Adjustment 1 
to the FMP to allow up to 3 percent of the Total Allowable Landings 
(TAL) for each of the species to be set aside each year for scientific 
research purposes. For the 2004 fishing year, a Request for Proposals 
was published in January 2003 to solicit research proposals based upon 
the research priorities that were identified by the Council (68 FR 
3864, January 27, 2003). The deadline for submission of proposals was 
March 28, 2003. Three applicants were notified in August 2003 that 
their research proposals had received favorable preliminary review. For 
informational purposes, this proposed rule includes a statement

[[Page 66785]]

indicating the amount of quota that has been preliminarily set aside 
for research purposes, as recommended by the Council and Board, and a 
brief description of the three RSA projects. The RSA amounts may be 
adjusted in the final rule establishing the annual specifications for 
the summer flounder, scup, and black sea bass fisheries or, if the 
total amount of the quota set-aside is not awarded, NMFS will publish a 
notice in the Federal Register to restore the unused RSA amount to the 
applicable TAL.
    For 2004, three RSA projects have been conditionally approved by 
NMFS, and are currently awaiting award by the NOAA Grants Office. The 
total RSA quota, approved by the Council and Board, allocated for all 
three projects are: 174,750 lb (79 metric tons (mt)) of summer 
flounder; 160,000 lb (73 mt) of scup; 134,792 lb (61 mt) of black sea 
bass; 281,250 lb (128 mt) of Loligo squid; and 297,750 lb (135 mt) of 
bluefish.
    The University of Rhode Island submitted a proposal to develop a 
fishery-independent scup survey that utilizes unvented fish traps 
fished on hard bottom areas in southern New England waters to 
characterize the size composition of the scup population. Survey 
activities would be conducted from May 1 through November 30, 2004, at 
six rocky bottom study sites located offshore, where there is a minimal 
scup pot fishery and no active trawl fishery. One vessel would conduct 
the project. Sampling would occur off the coasts of Rhode Island and 
southern Massachusetts. The RSA allocated for this project is 12,292 lb 
(5.6 mt) of black sea bass and 40,000 lb (18 mt) of scup.
    The National Fisheries Institute and Rutgers University submitted a 
proposal to conduct a second year of work on the development/refinement 
of a commercial vessel-based survey program in the Mid-Atlantic region 
that tracks the migratory behavior of selected recreationally and 
commercially important species. Information gathered during this 
project would supplement the NMFS finfish survey databases and include 
development of ways to better evaluate how seasonal migration of fish 
in the Mid-Atlantic influences stock abundance estimates. One vessel 
would conduct research trawl survey work in the Mid-Atlantic along six 
offshore transects near Alvin, Hudson, Wilmington, Baltimore, and 
Washington Canyons. Up to 16, 2-hour tows would be conducted among 10 
sites along each transect from 45 to 225 fathoms (82 to 411 meters). 
The Baltimore and Hudson Canyons transects would be surveyed in January 
and May and all six transects would be surveyed in March. Additional 
transects may be conducted if necessary. Approximately 20 vessels 
operating from Rhode Island to North Carolina would participate in the 
project over the period of January 1 through December 31, 2004. The RSA 
allocated for the project is 74,750 lb (40 mt) of summer flounder; 
120,000 lb (54 mt) of scup; 281,250 lb (128 mt) of Loligo squid; 51,000 
lb (23 mt) of black sea bass; and 104,816 lb (48 mt) of bluefish.
    The Cornell Cooperative Extension of Suffolk County, New York, 
submitted a proposal to evaluate fish escapement from certain gear and 
fish behavior of black sea bass, and is intended to enhance fishery 
information relative to the black sea bass pot fishery in the Mid-
Atlantic region. With the use of experimental pots and underwater 
video, various escape vent configurations would be investigated. The 
project would also explore black sea bass mortality in pots left 
fishing during closed periods. Additionally, a sea sampling and 
dockside sampling program for black sea bass that supplements the NMFS 
black sea bass tagging program would be implemented. One vessel would 
conduct the project, and sampling would occur off Long Island, New 
York, from April 1 through December 31, 2004. The RSA allocated for the 
project is 71,500 lb (32 mt) of black sea bass.
    Regulations under the Magnuson-Stevens Fishery Conservation and 
Management Act (Magnuson-Stevens Act) require publication of this 
notification to provide interested parties the opportunity to comment 
on applications for proposed EFPs.

Explanation of Quota Adjustments Due to Quota Overages

    This proposed rule calculates commercial quotas based on the 
proposed TALs and Total Allowable Catches (TACs) and the formulas for 
allocation contained in the FMP. In 2002, NMFS published final 
regulations to implement a regulatory amendment (67 FR 6877, February 
14, 2002) that revised the way in which the commercial quotas for 
summer flounder, scup, and black sea bass are adjusted if landings in 
any fishing year exceed the quota allocated (thus resulting in a quota 
overage). If NMFS approves a different TAL or TAC at the final rule 
stage, the commercial quotas will be recalculated based on the formulas 
in the FMP. Likewise, if new information indicates that overages have 
occurred and deductions are necessary, NMFS will publish notice of the 
adjusted quotas in the Federal Register. NMFS anticipates that the 
information necessary to determine whether overage deductions are 
necessary will be available by time of publication of the final rule to 
implement these specifications. The commercial quotas contained in this 
proposed rule for summer flounder, scup, and black sea bass do not 
reflect any deductions for overages. The final rule, however, will 
contain quotas that have been adjusted consistent with the procedures 
described above and contained in the regulatory amendment. Accordingly, 
landings information will be based upon: (1) Landings reported for the 
period January 1-October 31, 2003; (2) landings from the period 
November 1-December 31, 2002; and (3) late reported landings for the 
period January 1-October 31, 2002.

Summer Flounder

    The FMP specifies a target fishing mortality rate (F) of 
Fmax, that is, the level of fishing that produces maximum 
yield per recruit. The best available scientific information indicates 
that, for 2004, Fmax for summer flounder is 0.26 (equal to 
an exploitation rate of about 22 percent from fishing).
    The status of the summer flounder stock is evaluated annually. The 
most recent stock assessment, updated by the Northeast Fisheries 
Science Center (NEFSC) Southern Demersal Working Group in June 2003, 
indicated that the summer flounder stock is not overfished and 
overfishing is not occurring, according to the definitions in the FMP. 
This conclusion was derived from the fact that, in 2002, the estimated 
total stock biomass of 124 million lb (56,246 mt) is 5 percent above 
the biomass threshold of 117.3 million lb (53,200 mt) under which the 
stock is considered overfished (\1/2\ Bmsy), and the 
estimated F of 0.23 was below the FMP overfishing definition of 
F=Fmax=0.26. In addition, spawning stock biomass (SSB) has 
increased steadily from 20.5 million lb (9,303 mt) in 1993 to 93 
million lb (42,185 mt) in 2002, the highest value in the time series. 
Although the stock is no longer considered overfished, additional 
rebuilding is necessary because the Magnuson-Stevens Act requires that 
stocks be rebuilt to the level that produces maximum sustainable yield 
on a continuing basis, i.e., 234.6 million lb (106,400 mt) for summer 
flounder.
    The Summer Flounder Monitoring Committee reviewed the stock status 
and recommended a TAL of 28.2 million lb (12,791 mt), an increase of 21 
percent relative to the 2003 TAL. The Monitoring Committee determined 
that this TAL would have at least a 50-percent probability of achieving 
the

[[Page 66786]]

Ftarget (0.26) that is specified in the FMP, if the 2003 TAL 
and assumed discard levels are not exceeded. The TAL associated with 
the target F is allocated 60 percent to the commercial sector and 40 
percent to the recreational sector; therefore, the initial TAL would be 
allocated 16.92 million lb (7,675 mt) to the commercial sector and 
11.28 million lb (5,117 mt) to the recreational sector. The commercial 
quota is then allocated to the coastal states based upon percentage 
shares specified in the FMP.
    The Council and Board adopted the Summer Flounder Monitoring 
Committee's recommendation. The Council and Board also agreed to set 
aside 174,750 lb (79.3 mt) of the summer flounder TAL for research 
activities. After deducting the RSA, the TAL would be divided into a 
commercial quota of 16.82 million lb (7,630 mt) and a recreational 
harvest limit of 11.21 million lb (5,085 mt).
    In addition, the Commission is expected to maintain the voluntary 
measures currently in place to reduce regulatory discards that occur as 
a result of landing limits established by the states. The Commission 
established a system whereby 15 percent of each state's quota would be 
voluntarily set aside each year to enable vessels to land an incidental 
catch allowance after the directed fishery has been closed. The intent 
of the incidental catch set-aside is to reduce discards by allowing 
fishermen to land summer flounder caught incidentally in other 
fisheries during the year, while also ensuring that the state's overall 
quota is not exceeded. These Commission set-asides are not included in 
any tables in this document, because NMFS does not have authority to 
establish such subcategories.
    NMFS proposes to implement the 28.2-million lb (12,791-mt) TAL with 
a 174,750-lb (79.3-mt) RSA, as recommended by the Council and Board. 
The 11.21-million lb (5,085-mt) recreational harvest limit would be 
allocated on a coastwide basis. The commercial quota would be allocated 
to the states as shown in Table 1. Table 1 presents the allocations by 
state, with and without the commercial portion of the 174,750-lb (79.3-
mt) RSA deduction. These state quota allocations are preliminary and 
are subject to a reduction if there are overages of a state's 2003 
quota (using the landings information and procedures described 
earlier). Any commercial quota adjustments will be published in the 
Federal Register in the final rule implementing these specifications.

                                         Table 1.--2004 Proposed Initial Summer Flounder State Commercial Quotas
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                                                                                           Commercial quota                Commercial quota less RSA
                             State                                Percent share  -----------------------------------------------------------------------
                                                                                         lb              kg \1\              lb              kg \1\
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ME............................................................           0.04756             8,047             3,650             7,997             3,628
NH............................................................           0.00046                78                35                77                35
MA............................................................           6.82046         1,154,022           523,461         1,146,871           520,217
RI............................................................          15.68298         2,653,560         1,203,647         2,637,117         1,196,188
CT............................................................           2.25708           381,898           173,228           379,531           172,154
NY............................................................           7.64699         1,293,871           586,896         1,285,853           583,259
NJ............................................................          16.72499         2,829,868         1,283,620         2,812,332         1,275,665
DE............................................................           0.01779             3,010             1,365             2,991             1,357
MD............................................................           2.03910           345,016           156,498           342,878           155,528
VA............................................................          21.31676         3,606,796         1,636,032         3,584,445         1,625,894
NC............................................................          27.44584         4,643,836         2,106,430         4,615,059         2,093,377
                                                               -------------------
        Total.................................................         100.00001        16,920,002         7,674,862        16,815,152        7,627,303
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Kilograms are as converted from pounds and do not add to the converted total due to rounding.

Scup

    Scup was most recently assessed at the 35th Northeast Regional 
Stock Assessment Review Committee (SARC 35) in June 2002. SARC 35 
concluded that scup are no longer overfished, but stock status with 
respect to overfishing cannot currently be evaluated, due to a lack of 
reliable discard estimates and information regarding the length 
composition of scup landings and discards. Scup SSB is increasing. The 
NEFSC spring survey 3-year average (2001 through 2003) for scup SSB was 
3.31 kg/tow, which is about 19 percent higher than the threshold that 
defines the stock as overfished (2.77 kg/tow).
    SARC 35 indicated that relative exploitation rates on scup have 
declined in recent years, although the absolute value of F cannot be 
determined. Overall, most recent scup survey observations indicate 
strong recruitment and some rebuilding of age structure. SARC 35 noted 
that the stock can likely sustain modest increases in catch, but that 
such increases should be taken with due consideration of the 
uncertainties associated with the stock status determination.
    The target exploitation rate for scup for 2004 is 21 percent. The 
FMP specifies that the TAC associated with a given exploitation rate be 
allocated 78 percent to the commercial sector and 22 percent to the 
recreational sector. Scup discard estimates are deducted from both 
sectors' TACs to establish TALs for each sector (TAC less discards = 
TAL). The commercial TAL is then allocated on a percentage basis to 
three quota periods, as specified in the FMP: Winter I (January-
April)--45.11 percent; Summer (May-October)--38.95 percent; and Winter 
II (November-December)--15.94 percent.
    The proposed scup specifications for 2004 are based on an 
exploitation rate in the rebuilding schedule that was approved when 
scup was added to the FMP in 1996, prior to passage of the Sustainable 
Fisheries Act (SFA). Subsequently, to comply with the SFA amendments to 
the Magnuson-Stevens Act, the Council prepared Amendment 12, which 
proposed to maintain the existing rebuilding schedule for scup 
established by Amendment 8. On April 28, 1999, NMFS disapproved that 
rebuilding plan for scup because the rebuilding schedule did not appear 
to be sufficiently risk-averse. NMFS advised the Council that the 
exploitation rate reflects the overfishing definition (converted to an 
F rate) which is conceptually sound and supported by NMFS. Therefore, 
for the short term, the proposed scup specifications for 2004 are based 
on an exploitation rate of 21 percent. NMFS believes that the long-term 
risks associated with the disapproved rebuilding plan are not

[[Page 66787]]

applicable to the proposed specifications since they apply only for one 
fishing year and will be reviewed, and modified as appropriate, by the 
Council and NMFS annually. The scup stock has shown signs of 
significant rebuilding and is no longer overfished. It is, therefore, 
not necessary for 2004 to deviate from the specified exploitation rate. 
Furthermore, setting the scup specifications using an exploitation rate 
of 21 percent is a more risk-averse approach to managing the resource 
than not setting any specifications until the Council submits, and NMFS 
approves, a revised rebuilding plan that complies with all Magnuson-
Stevens Act requirements.
    The Scup Monitoring Committee reviewed the available data in making 
its recommendation to the Council. The Scup Monitoring Committee 
recommended a scup TAC of 13.15 million lb (5,965 mt), and a TAL of 
11.0 million lb (4,990 mt), i.e., a 33-percent reduction from the 2003 
TAL. The Council and Board rejected the Monitoring Committee's TAC and 
TAL recommendations, and instead adopted an 18.65-million lb (8,460-mt) 
TAC and a 16.5-million lb (7,484-mt) TAL (i.e., the same amounts as 
implemented in 2003). The reduction proposed by the Monitoring 
Committee was in response to lower survey biomass index in the spring 
2003 survey than in the spring 2002 survey. However, the reference 
point measure specified in the FMP is a three-year moving average of 
the survey biomass index rather than a single index data point. The 
rationale of the Council and the Board for the rejection of the 
Monitoring Committee recommendation was based on a comparison of the 
three-year moving average biomass index calculated this year (3.31 kg/
tow) compared with the index value calculated last year (3.30 kg/tow). 
Because the value for 2001 through 2003 is slightly higher than the 
value for 2000 through 2002, the Council did not support a 
recommendation for a 33-percent decrease in the scup quota. NMFS is 
proposing to implement the Council's and Board's TAC/TAL recommendation 
because it is considered likely to achieve the 21-percent exploitation 
rate that is required by the FMP.
    Using the sector allocation specified in the FMP (commercial--78 
percent; recreational--22 percent), the Council's recommendation would 
result in a commercial TAC of 14.55 million lb (6,600 mt) and a 
recreational TAC of 4.10 million lb (1,860 mt). Using the same 
commercial and recreational discard estimates used for the 2003 
specifications (i.e., 2.08 million lb (943 mt) for the commercial 
sector, and 70,000 lb (32 mt) for the recreational sector), the Scup MC 
recommendation would result in an initial commercial TAL of 12.47 
million lb (5,656 mt) and recreational harvest limit of 4.03 million lb 
(1,828 mt). The Council and Board also agreed to set aside 160,000 lb 
(73 mt) of the scup TAL for research activities. The TAL, after 
deducting the 160,000-lb (73-mt) RSA, would result in a commercial 
quota of 12.35 million lb (5,600 mt) and a recreational harvest limit 
of 3.99 million lb (1,812 mt).
    NMFS is proposing to retain the current Winter period possession 
limits of 15,000 lb (6.8 mt) for Winter I (January-April), with a 
reduction to 1,000 lb (454 kg) when 80 percent of the Winter I quota is 
projected to be harvested, and 1,500 lb (680 kg) for Winter II 
(November-December). Public comments are requested on these proposed 
measures.
    The final rule to implement Framework 3 to the FMP (68 FR 62250, 
November 3, 2003) implemented a process, for years in which the full 
Winter I commercial scup quota is not harvested, to allow unused quota 
from the Winter I period to be rolled over to the quota for the Winter 
II period. In any year that NMFS determines that the landings of scup 
during Winter I are less than the Winter I quota for that year, NMFS 
will, through a notification in the Federal Register, increase the 
Winter II quota for that year by the amount of the Winter I 
underharvest, and adjust the Winter II possession limits consistent 
with the amount of the quota increase, based on the possession limits 
presented in Table 2.

          Table 2.--Potential Increase in Winter II Possession Limits Based on the Amount of Scup Rolled Over From Winter I to Winter II Period
--------------------------------------------------------------------------------------------------------------------------------------------------------
              Initial Winter II possession limit                 Rollover from Winter I to Winter II     Increase in initial         Final Winter II
-----------------------------------------------------------------------------------------------------   Winter II possession     possession limit after
                                                                                                                limit            rollover from  Winter I
                                                                                                     --------------------------       to Winter II
                      lb                              kg                   lb                 mt                               -------------------------
                                                                                                           lb           kg           lb           kg
--------------------------------------------------------------------------------------------------------------------------------------------------------
1,500.........................................             680                0-499,999        0-227            0            0        1,500          680
1,500.........................................             680          500,000-999,999      227-454          500          227        2,000          907
1,500.........................................             680      1,000,000-1,499,999      454-680        1,000          454        2,500         1134
1,500.........................................             680      1,500,000-1,999,999      680-907        1,500          680        3,000         1361
1,500.........................................             680      2,000,000-2,500,000    907-1,134        2,000          907        3,500         1587
--------------------------------------------------------------------------------------------------------------------------------------------------------

    Table 3 presents the 2004 commercial allocation recommended by the 
Council with, and without, the 160,000-lb (73-mt) RSA deduction. These 
2004 allocations are preliminary and may be subject to downward 
adjustment due to 2003 overages in the final rule implementing these 
specifications, using the procedures for calculating overages described 
earlier.

 Table 3.--2004 Proposed Initial Total Allowable Catch, Commercial Scup Quota, and Possession Limits, in lb (kg)
----------------------------------------------------------------------------------------------------------------
                                                                                    Commercial
     Period           Percent           TAC          Discards       Commercial      quotas less     Possession
                                                                       quota            RSA           limits
----------------------------------------------------------------------------------------------------------------
Winter I........           45.11       6,563,505         938,288       5,625,217       5,568,920     \1\ 15,0001
                                     (2,977,186)       (425,605)     (2,551,582)     (2,526,045)         (6,804)
Summer..........           38.95       5,667,225         810,160       4,857,065       4,808,455           (\3\)
                                     (2,570,636)       (367,486)     (2,203,150)     (2,181,101)  ..............

[[Page 66788]]

 
Winter II.......           15.94       2,319,270         331,522       1,987,718       1,967,825           1,500
                                     (1,052,014)       (150,391)       (901,623)       (892,600)           (680)
                 -----------------
    Total \2\...          100.00      14,550,000       2,080,000      12,470,000      12,345,200  ..............
                                     (6,599,837)       (943,482)      (5,656,355     (5,599,745)  ..............
----------------------------------------------------------------------------------------------------------------
\1\ The Winter I landing limit would drop to 1,000 lb (454 kg) upon attainment of 80 percent of the seasonal
  allocation.
\2\ Totals subject to rounding error.
\3\ Not applicable.

    The Council and Board did not recommend any other changes to the 
existing commercial minimum mesh size, minimum mesh threshold 
possession limit, or the commercial minimum fish size. Therefore, these 
management measures are proposed to remain unchanged.

Scup Gear Restricted Areas (GRAs)--Request for Comments

    In 2000, the 31st Stock Assessment Review Committee (SARC 31) 
emphasized the need to reduce scup mortality resulting from discards in 
the scup fishery and in other fisheries. In response to that 
recommendation, GRAs were established during the 2000 fishing year (65 
FR 33486, May 24, 2000, and 65 FR 81761, Dec. 27, 2000) and modified 
for the 2001 fishing year (66 FR 12902, March 1, 2001). The GRAs 
prohibit trawl vessels from fishing for, or possessing, certain non-
exempt species (Loligo squid, black sea bass, and silver hake 
(whiting)) when fishing with mesh smaller than that required to fish 
for scup during the effective periods (January 1 through March 15 for 
the Southern GRA, and November 1 through December 31 for the Northern 
GRA).
    For 2003, the Council recommended allowing vessels to fish for non-
exempt species with small mesh in the GRAs, provided they use specially 
modified trawl nets, and carry observers, consistent with Atlantic 
Coastal Cooperative Statistics Program observer standards. Instead, 
NMFS implemented an alternative program (the GRA Exemption Program), 
requiring 100-percent observer coverage for all vessels fishing with 
small mesh for non-exempt species in the GRAs, using the modified gear. 
This alternative imposed significantly fewer administrative and 
enforcement complexities, and was intended to provide more data to 
evaluate the effectiveness of the gear modifications (68 FR 60, January 
2, 2003).
    Since the final rule for the 2003 fishing year, the Council has 
reviewed a number of analyses conducted by Council staff and others and 
noted that in some years the distribution of Loligo squid and scup 
overlapped, increasing the potential for scup discards. However, they 
were concerned that Loligo squid fishermen would be restricted from 
areas and during times when Loligo squid and scup did not co-occur. As 
such, the Council recommended a GRA Access Program, patterned after the 
program used to provide access to sea scallops in the groundfish closed 
areas in 1999 through 2001, that would allow small mesh fisheries to 
occur in the GRAs until a pre-determined level of scup discards was 
reached to trigger a closure to small mesh gear. The triggers for the 
Northern and Southern GRA would be 50,000 lb (22.68 mt) and 70,000 lb 
(31.75 mt) of scup discards, respectively. These were chosen by the 
Council as appropriate levels to indicate that discards had become 
significant and that the areas should be closed to small mesh 
fisheries. The Council recommended that the NMFS Northeast Fisheries 
Science Center determine the level of observer coverage necessary to 
provide an accurate estimate of scup discards with a high confidence 
level.
    The Council recommended the following requirements of the GRA 
Access Program:
    (1) All qualified vessels that wish to participate in the GRA 
Exemption Program must enroll in the program and obtain a Letter of 
Authorization from the Regional Administrator;
    (2) All participating vessels must have installed on board an 
operational vessel monitoring system (VMS) unit;
    (3) A vessel planning to fish in the GRAs must submit a report 
through the VMS e-mail messaging system of its intention to fish in the 
GRA prior to the 25th of the month before the month in which the 
anticipated trip(s) are to be taken. The report must include the 
following information: Vessel name and permit number; owner and 
operator's names; owner and operator's phone numbers; and number of 
trips anticipated in the GRA during the month;
    (4) In addition to the above advance notice for accessing the GRA, 
for the purpose of randomly selecting vessels to carry a NMFS-certified 
observer, a vessel must notify NMFS of its intention to fish in the GRA 
at least 5 working days prior to the date it intends to depart on each 
trip into a GRA. For each of these reports, vessels must submit the 
following information: Vessel name and permit number; owner and 
operator's names; owner and operator's phone numbers; date and time of 
departure; port of departure; and the specific GRA to be fished;
    (5) A vessel which does not have a valid Coast Guard Inspection 
Sticker is deemed inadequate or unsafe for purposes of carrying a NMFS-
certified observer and will be prohibited from participating in the 
Area Access Program until the vessel is inspected by the Coast Guard 
and receives its inspection sticker;
    (6) On the day that the vessel leaves port to fish under the GRA 
Access Program, the vessel owner or operator must declare the vessel 
into the GRA Access Program through the VMS prior to leaving port;
    (7) The vessel owner will be responsible for paying the cost of the 
observer; and
    (8) The GRA Access Program for each area would end when the discard 
of scup was projected to be 50,000 lb (22.68 mt) for the Northern GRA 
and 70,000 lb (31.75 mt) for the Southern GRA. Termination of the GRA 
Access Program for each area will be made through notification in the 
Federal Register.
    The Council recommended that once the triggers are reached and the 
GRAs are closed to small mesh fishermen, the existing GRA Exemption 
Program (described at 68 FR 60) resume.
    NMFS proposes to implement the Council's recommendations regarding 
access to the GRAs as described above, with the exception of the 
resumption of the GRA Exemption program once a

[[Page 66789]]

discard trigger is met, the requirement to notify NMFS of the intention 
to fish in the GRA the month before the month in which the anticipated 
trip(s) are to be taken, and the random selection of vessels to carry a 
NMFS-certified observer. NMFS maintains that the purpose of the GRA 
Access Program should be to record data regarding the use and 
effectiveness of gear modifications employed by the participating 
vessels in attempts to reduce scup bycatch, and also to monitor scup 
discards so that the GRA Access Program can be discontinued when the 
trigger is reached. Also, because the trigger amount involves only scup 
that are discarded, only limited information must be collected under 
the GRA Access Program. The Northeast Fisheries Science Center has 
recommended that NMFS utilize individuals to serve as ``scup GRA 
monitors,'' rather than NMFS-certified observers as required under the 
current regulations, to collect data on scup discards. A similar system 
exists for monitoring in the Atlantic sea scallop fishery. NMFS 
proposes that approved scup GRA monitors be placed on 100 percent of 
the vessels that participate in the GRA Access program. NMFS is seeking 
comment on the implementation of the proposed GRA Access Program and 
the use of NMFS-approved scup GRA monitors.

Black Sea Bass

    Black sea bass was last assessed in June 1998 at SARC 27, which 
indicated that the species was overexploited and at a low biomass 
level. However, the best available current information on stock status 
indicates that the stock has increased in recent years and is no longer 
overfished. The SSB estimate for 2003 (using a 3-year moving average of 
2001-2003) is 0.509 kg/tow, about 30 percent higher than the 2000-2002 
average of 0.391 kg/tow.
    For 2004, the target exploitation rate for black sea bass is 25 
percent. The Black Sea Bass Monitoring Committee reviewed the stock 
status and the projections based upon these data and recommended that 
the TAL for 2004 be set at 8 million lb (3,629 mt), an increase of 
almost 18 percent relative to the 2003 TAL. The FMP specifies that the 
TAL associated with a given exploitation rate be allocated 49 percent 
to the commercial sector and 51 percent to the recreational sector; 
therefore, the initial TAL would be allocated 3.92 million lb (1,778 
mt) to the commercial sector and 4.08 million lb (1,851 mt) to the 
recreational sector. The Council and Board adopted this TAL, indicating 
that it would achieve the 25-percent exploitation rate, and agreed to 
set aside 134,792 lb (61 mt) for research activities. After deducting 
the RSA, the TAL would be divided into a commercial quota of 3.86 
million lb (1,751 mt) and a recreational harvest limit of 4.01 million 
lb (1,819 mt). The Council and Board recommended that all other 
measures remain unchanged. NMFS proposes to implement the 8.0-million 
lb (3,629-mt) TAL with a 134,792-lb (61-mt) RSA, as recommended by the 
Council and Board. The final rule to implement Amendment 13 to the FMP 
(68 FR 10181, March 4, 2003) established an annual (calendar year) 
coastwide quota for the commercial black sea bass fishery to replace 
the quarterly quota allocation system.

Classification

    This proposed rule has been determined to be not significant for 
purposes of Executive Order 12866.
    The Council prepared an Initial Regulatory Flexibility Analysis 
(IRFA) that describes the economic impact this proposed rule, if 
adopted, would have on small entities. A description of the action, why 
it is being considered, and the legal basis for this action are 
contained in the preamble to this rule. This proposed rule does not 
duplicate, overlap, or conflict with other Federal rules. A copy of the 
complete IRFA can be obtained from the Northeast Regional Office of 
NMFS (see ADDRESSES) or via the Internet at http:/www.nero.nmfs.gov. A 
summary of the analysis follows.
    The economic analysis assessed the impacts of the various 
management alternatives. In the EA, the no action alternative is 
defined as follows: (1) No proposed specifications for the 2004 summer 
flounder, scup, and black sea bass fisheries would be published; (2) 
the indefinite management measures (minimum sizes, bag limits, 
possession limits, permit and reporting requirements, etc.) would 
remain unchanged; (3) there would be no quota set-aside allocated to 
research in 2004; (4) the existing GRA regulations would remain in 
place for 2004; and (5) there would be no specific cap on the allowable 
annual landings in these fisheries (i.e., there would be no quota). 
Implementation of the no action alternative would be inconsistent with 
the goals and objectives of the FMP, its implementing regulations, and 
the Magnuson-Stevens Act. In addition, the no action alternative would 
substantially complicate the approved management program for these 
fisheries, and would very likely result in overfishing of the 
resources. Therefore, the no action alternative is not considered to be 
a reasonable alternative to the preferred action.
    Alternative 1 consists of the harvest limits proposed by the 
Council and Board for summer flounder, scup, and black sea bass. 
Alternative 2 consists of the most restrictive quotas (i.e., lowest 
landings) considered by the Council and the Board for all of the 
species. Alternative 3 consists of the least restrictive quotas (i.e., 
highest landings) considered by the Council and Board for all three 
species. Although Alternative 3 would result in higher landings for 
2004, it would also likely exceed the biological targets specified in 
the FMP.
    First, a preliminary adjusted quota was calculated by deducting the 
RSA from the TAL. Then, the preliminary commercial quota overages for 
the 2003 fishing year were deducted from the initial 2004 quota 
alternatives. The quota overages were calculated according to the 
procedures described earlier, using available data as of September 
2003. The resulting preliminary adjusted commercial quotas alternatives 
presented in Table 4 are provisional and may be further adjusted in the 
final rule implementing the 2004 specifications.

                     Table 4.--Comparison of the Alternatives of Quota Combinations Reviewed
                                                 [In million lb]
----------------------------------------------------------------------------------------------------------------
                                                                                       2004
                                                                       2003         Preliminary        2004
                                   2004 initial      2004 RSA       Commercial       adjusted       Preliminary
                                        TAL                       quota  overage    commercial     recreational
                                                                                      quota*       harvest limit
----------------------------------------------------------------------------------------------------------------
                                         Quota Alternative 1 (Preferred)
----------------------------------------------------------------------------------------------------------------
Summer Flounder Preferred                 *28.20            0.17            0.05           16.77           11.21
 Alternative....................
Scup Preferred Alternative                 16.50            0.16            0.00           12.35            3.99
 (Status quo)...................

[[Page 66790]]

 
Black Sea Bass Preferred                    8.00            0.13            0.00            3.86            4.01
 Alternative....................
---------------------------------
     Quota Alternative 2 (Most Restrictive)
-------------------------------------------------
Summer Flounder.................           23.30            0.17            0.05           13.83            9.25
Scup Alternative 2..............           11.00            0.16            0.00            8.06            2.78
Black Sea Bass Alternative 2                6.80            0.13            0.00            3.27            3.40
 (Status Quo)...................
---------------------------------
     Quota Alternative 3 (Least Restrictive)
-------------------------------------------------
Summer Flounder Alternative 3...           30.10            0.17            0.05           17.91           11.97
Scup Alternative 3..............           22.00            0.16            0.00           16.64            5.20
Black Sea Bass Alternative 3....            8.90            0.13            0.00            4.30           4.47
----------------------------------------------------------------------------------------------------------------
 * Note that preliminary quotas are provisional and may change to account for overage of the 2003 quotas.

    Table 5 presents the percent change associated with each of 
commercial quota alternatives (adjusted for overages and RSA) compared 
to the final adjusted quotas for 2003.

 Table 5.--Percent Change Associated With Adjusted Commercial Quota Alternatives Compared to 2003 Adjusted Quota
----------------------------------------------------------------------------------------------------------------
                                                                  Total changes including overages and RSA
                                                           -----------------------------------------------------
                                                                                    Quota             Quota
                                                                  Quota         alternative 2     alternative 3
                                                              alternative 1         (most            (least
                                                               (preferred)      restrictive)      restrictive)
----------------------------------------------------------------------------------------------------------------
                                                 Summer Flounder
----------------------------------------------------------------------------------------------------------------
Aggregate Change..........................................            +21.30            *+0.03            +29.55
-----------------------------------------------------------
                                                      Scup
----------------------------------------------------------------------------------------------------------------
Aggregate Change..........................................            *+2.07            -33.39            +37.52
-----------------------------------------------------------
                                                 Black Sea Bass
----------------------------------------------------------------------------------------------------------------
Aggregate Change..........................................            +28.24            *+8.64           +42.86
----------------------------------------------------------------------------------------------------------------
 * Denotes status quo management measures. The status quo or ``no action'' measure for summer flounder, scup,
  and black sea bass refers to what most likely will occur in the absence of implementing the proposed
  regulation.

    All vessels that would be impacted by this proposed rulemaking are 
considered to be small entities; therefore, there would be no 
disproportionate impacts between large and small entities. The 
categories of small entities likely to be affected by this action 
include commercial and charter/party vessel owners holding an active 
Federal permit for summer flounder, scup, or black sea bass, as well as 
owners of vessels that fish for any of these species in state waters. 
The Council estimates that the proposed 2004 quotas could affect 2,122 
vessels that held a Federal summer flounder, scup, and/or black sea 
bass permit in 2002. However, the more immediate impact of this rule 
will likely be felt by the 1,041 vessels that actively participated 
(i.e., landed these species) in these fisheries in 2002.
    The Council estimated the total revenues derived from all species 
landed by each vessel during calendar year 2002 to determine a vessel's 
dependence and revenue derived from a particular species. This estimate 
provided the base from which to compare the effects of the proposed 
quota changes from 2003 to 2004.
    The Council's analysis of the harvest limits in Alternative 1 
(Preferred Alternative) indicated that these harvest levels would 
produce a revenue increase for 1,036 commercial vessels that are 
expected to be impacted by this rule. The remaining 5 vessels, which 
landed scup only, were projected to incur small revenue losses (i.e., 
less than 5 percent) due to the decrease in the adjusted scup quota. No 
vessels were expected to have revenue losses of greater than 5 percent.
    The Council also analyzed changes in total gross revenue that would 
occur as a result of the quota alternatives. Assuming 2002 ex-vessel 
prices (summer flounder--$1.51/lb; scup--$0.66/lb; and black sea bass--
$1.73/lb), the 2004 quotas in Preferred Alternative 1 (after overages 
have been applied) would increase total summer flounder, scup, and 
black sea bass revenues by approximately $4.4 million, $165,000, and 
$1.5 million, respectively, relative to 2003 revenues.
    Assuming that the total ex-vessel gross revenue associated with the 
Preferred Alternative for each fishery is

[[Page 66791]]

distributed equally among the vessels that landed that species in 2002, 
the average increase in gross revenue per vessel associated with the 
preferred quota would be $5,585 for summer flounder, $331 for scup, and 
$1,998 for black sea bass. The number of vessels landing summer 
flounder, scup, and black sea bass in 2002 was 796, 499, and 736, 
respectively.
    The overall increase in gross revenue associated with the three 
species combined in 2004 compared to 2003 is approximately $6.1 million 
(assuming 2002 ex-vessel prices) under the Preferred Alternative. If 
this amount is distributed equally among the 1,041 vessels that landed 
summer flounder, scup, and/or black sea bass in 2002, the average 
increase in revenue would be approximately $5,842 per vessel.
    The Council's analysis of the harvest limits of Alternative 2 
(i.e., the most restrictive harvest limits) indicated that these 
harvest limits would produce a revenue increase for 371 commercial 
vessels, primarily because a large proportion of their revenues were 
derived from black sea bass, and a revenue loss for the other 670 
commercial vessels expected to be impacted by this rule. Assuming 2002 
ex-vessel prices as described above, the 2004 quotas in Alternative 2 
(after overages have been applied) would increase total summer flounder 
and black sea bass revenues by approximately $6,600 and $400,000, 
respectively, and decrease total scup revenues by approximately $2.7 
million, relative to 2003 revenues.
    Assuming that the total ex-vessel gross revenue associated with 
Alternative 2 is distributed equally among the vessels that landed that 
species in 2002, the average change in gross revenue per vessel 
associated with Alternative 2 would be an $8 increase for summer 
flounder, a $5,343 decrease for scup, and a $611 increase for black sea 
bass. The number of vessels landing summer flounder, scup, and black 
sea bass in 2002 was 796, 499, and 736, respectively.
    The overall reduction in gross revenue associated with the three 
species combined in 2004 compared to 2003 is approximately $2.2 million 
(assuming 2002 ex-vessel prices) under Alternative 2. If this amount is 
distributed equally among the 1,041 vessels that landed summer 
flounder, scup, and/or black sea bass in 2002, the average decrease in 
revenue would be approximately $2,123 per vessel.
    The Council's analysis of the harvest limits of Alternative 3 
(i.e., the least restrictive harvest limits) indicated that these 
harvest limits would produce a revenue increase for all 1,041 
commercial vessels. Assuming 2002 ex-vessel prices as described above, 
the 2004 quotas in Alternative 3 (after overages have been applied) 
would increase total summer flounder, scup, and black sea bass revenues 
by approximately $6.2 million, $3.0 million, and $2.2 million, 
respectively, relative to 2003 revenues.
    Assuming that the total ex-vessel gross revenue associated with 
Alternative 3 is distributed equally between the vessels that landed 
that species in 2002, the average increase in gross revenue per vessel 
associated with Alternative 3 would be $7,748 for summer flounder, 
$6,005 for scup, and $3,032 for black sea bass. The number of vessels 
landing summer flounder, scup, and black sea bass in 2002 was 796, 499, 
and 736, respectively.
    The overall increase in gross revenue associated with the three 
species combined in 2004 compared to 2003 is approximately $11.4 
million (assuming 2002 ex-vessel prices) under Alternative 3. If this 
amount is distributed equally among the 1,041 vessels that landed 
summer flounder, scup, and/or black sea bass in 2002, the average 
increase in revenue would be approximately $10,947 per vessel.
    The Council also prepared an analysis of the alternative 
recreational harvest limits. The 2004 recreational harvest limits were 
compared with previous years through 2002, the most recent year with 
complete recreational data.
    Landing statistics from the last several years show that 
recreational summer flounder landings have generally exceeded the 
recreational harvest limits, ranging from a 5-percent overage in 1993 
to a 122-percent overage in 2000. In 2001, summer flounder recreational 
landings were 11.64 million lb (5,280 mt), exceeding the harvest limit 
of 7.16 million lb (3,248 mt) by 63 percent. In 2002, recreational 
landings were 7.96 million lb (3,611 mt), 18 percent below the 
recreational harvest limit of 9.72 million lb (4,409 mt).
    For summer flounder, the adjusted 2004 preferred recreational 
harvest limit of 11.21 million lb (5,085 mt) in Alternative 1 would be 
greater than the recreational harvest limits for the years 1993 through 
2003. The adjusted summer flounder Alternative 2 recreational harvest 
limit of 9.25 million lb (4,196 mt) (the status quo alternative) would 
be less than 1 percent lower than the 2003 recreational harvest limit, 
and represents a 16-percent increase from 2002 recreational landings. 
The adjusted Alternative 3 recreational harvest limit of 11.97 million 
lb (5,430 mt) would be a 29-percent increase from the 2003 recreational 
harvest limit, and represents a 50-percent increase from 2002 landings. 
If Alternative 1, 2, or 3 is chosen, it is possible that more 
restrictive management measures may be required to prevent anglers from 
exceeding the 2004 recreational harvest limit, depending upon the 
effectiveness of the 2003 recreational management measures. More 
restrictive regulations could affect demand for party/charter boat 
trips. However, party/charter activity in the 1990s has remained 
relatively stable, so the effects may be minimal. Currently, neither 
behavioral or demand data are available to estimate how sensitive 
party/charter boat anglers might be to proposed fishing regulations. 
Overall, it is expected that positive social and economic impacts would 
occur as a result of the 21-percent increase in the recreational 
harvest limit, relative to 2003. The Council intends to recommend 
specific measures to attain the 2004 summer flounder recreational 
harvest limit in December 2003, and will provide additional analysis of 
the measures upon submission of its recommendations in early 2004.
    Scup recreational landings declined over 89 percent for the period 
1991 to 1998, then increased by 517 percent from 1998 to 2000. In 2002, 
recreational landings were 3.62 million lb (1,642 mt). Under Preferred 
Alternative 1 (the status quo alternative), the adjusted scup 
recreational harvest limit for 2004 would be 3.99 million lb (1,810 
mt), less than 1 percent lower than the 2003 recreational harvest 
limit, and represents a 10-percent increase from 2002 recreational 
landings. The Alternative 2 scup recreational harvest limit of 2.78 
million lb (1,261 mt) for 2004 would be 31 percent less than the 2003 
recreational harvest limit, and 23 percent less than 2002 recreational 
landings. The Alternative 3 scup recreational harvest limit of 5.20 
million lb (2,359 mt) in 2004 would be an increase of 30 percent from 
the 2003 recreational harvest limit and an increase of 44 percent from 
2002 recreational landings. With Alternative 2, and possibly 
Alternative 1, more restrictive management measures might be required 
to prevent anglers from exceeding the 2003 recreational harvest limit, 
depending largely upon the effectiveness of the 2003 recreational 
management measures. As described above for the summer flounder 
fishery, the effect of greater restrictions on scup party/charter boats 
is unknown at this time. Although the proposed recreational harvest 
limit is approximately 20,000 lb (9.07 mt) less

[[Page 66792]]

than the adjusted limit for 2003, it is not likely that more effort 
controls (e.g., bag limits) will be required to constrain 2004 
recreational landings. Overall, positive social and economic impacts 
are expected to occur as a result of the scup recreational harvest 
limit for 2004. The Council intends to recommend specific measures to 
attain the 2004 scup recreational harvest limit in December 2003, and 
will provide additional analysis of the measures upon submission of its 
recommendations early in 2004.
    Black sea bass recreational landings increased slightly from 1991 
to 1995. Landings decreased considerably from 1996 to 1999, and then 
substantially increased in 2000. In 2001 and 2002, recreational 
landings were 3.42 million lb (1,551 mt) and 4.46 million lb (2,023 
mt), respectively. For the recreational fishery, the adjusted 2004 
harvest limit under Alternative 1 is 4.01 million lb (1,558 mt), a 2-
percent increase from the 2003 recreational harvest limit and a 10-
percent decrease from 2002 recreational landings. Under Alternative 2, 
the 2004 recreational harvest limit would be 3.40 million lb (1,542 
mt), a less than 1-percent decrease from the 2003 recreational harvest 
limit and a 23-percent decrease from 2002 recreational landings. As 
such, this alternative could cause some negative economic impacts due 
to decreased fishing opportunity, depending upon the effectiveness of 
the 2002 recreational black sea bass measures. The 2004 recreational 
harvest limit under Alternative 3 would be 4.47 million lb (2,027 mt), 
a 30-percent increase from the 2003 recreational harvest limit and a 
less than 1-percent decrease from 2002 recreational landings. 
Alternative 3 would likely result in positive economic impacts on the 
recreational fishery because of an increase in fishing opportunities. 
The Council intends to recommend specific measures to attain the 2004 
black sea bass recreational harvest limit in December 2003, and will 
provide additional analysis of the measures upon submission of its 
recommendations early in 2004. Overall, positive social and economic 
impacts are expected to occur as a result of the preferred black sea 
bass recreational harvest limit for 2004.
    The costs and benefits of allowing small mesh experimental nets to 
fish in the GRAs under the GRA Exemption Program were described in the 
proposed rule (67 FR 70904, November 27, 2002) and the final rule (68 
FR 60, January 2, 2003) implementing the 2003 specifications. Those 
impacts are not repeated here. These costs and benefits could also be 
realized under the proposed 2004 GRA Access Program. The costs would 
include gear changes to accommodate mesh modifications and fees for at-
sea observer coverage; the benefits would be derived from an increase 
in Loligo squid landings. Thus, positive economic impacts on the Loligo 
squid fishery would be expected relative to the GRA measure without the 
small mesh experimental net provision. However, in order to participate 
in the 2004 GRA Access Program, vessels would have to comply with new 
requirements that are analyzed below.
    All vessels participating in the GRA Access Program must have 
installed on board an operational VMS unit. VMS is a comprehensive 
information system that serves as an important enforcement and catch 
monitoring tool, and has been in place in New England for the past 
several years for Atlantic sea scallops, Northeast multispecies, and 
Atlantic herring. In New England, this type of system has been employed 
to replace the Days-at-Sea call-in system, provide accurate location 
data, and provide information used in other analyses. VMS requirements 
are located at 50 CFR 648.9.
    It is estimated that the initial maximum cost of a VMS to vessel 
owners will be approximately $5,000 to $6,000 per vessel. The annual 
maintenance fee for the VMS system is approximately $1,800 per vessel. 
Based on the number of vessels that had directed Loligo squid trips 
(i.e., greater than 50 percent of the total landings were Loligo squid) 
in the GRAs (1996-1999) it is expected that up to 72 vessels may 
participate in this program. The VMS monitoring system currently 
employed by NMFS to monitor vessel activity for the Atlantic Sea 
Scallop FMP, Northeast Multispecies FMP, and Atlantic Herring FMP is 
expected to be sufficient to monitor additional vessel activity (up to 
72 more vessels) proposed under the GRA Access Program. Therefore, the 
implementation of the VMS system under the GRA Access Program is not 
expected to increase government costs.
    A survey of small Northeast fishing vessels (less than 65 feet in 
length) whose primary gear was otter trawl and reported landings in New 
England indicated that average total operating cost per trip for small 
trawlers in 1996 was $267. A survey of large Northeast fishing vessels 
(greater than 65 feet in length) whose primary gear was otter trawl and 
reported landings in New England in 1997 indicated that the average 
total operating cost per trip for large trawlers in 1997 was $2,608. 
For both surveys, trip expenses were divided into eight categories 
(fuel, oil, ice, food and water, lumpers fees, supplies, consignment 
fees, and other expenses). More detail on the surveys is presented in 
Amendment 13 to the Summer Flounder, Scup, and Black Sea Bass FMP.
    The utilization of the proposed VMS system under the GRA Access 
Program may substantially increase operating costs and decrease profits 
for vessels that elect to participate in the program. Nevertheless, 
participation in this program is not mandatory and it is expected that 
individual vessels will assess changes in costs and revenues to their 
operations before they participate in this program. If a vessel owner 
chooses to participate in the program, it is likely that the additional 
costs of carrying an observer and using the modified gear would be 
offset by increased landings of non-exempt species (Loligo squid, 
silver hake (whiting), and black sea bass). As such, an increase in 
Loligo landings relative to 2003 would have positive economic impacts 
on the Loligo fishery, relative to the status quo. However, it is not 
possible to assess the exact monetary value associated with the 
additional harvest because quantitative data on these nets are limited.
    The cost of one at-sea observer day for a NMFS-certified observer 
is approximately $1,150, which would be paid by the vessel owner 
intending to fish in the GRAs. Fishing trips to the Southern GRA are 
expected to last approximately 4 days, and trips to the Northern GRA 
are expected to last approximately 3 days. Therefore, the total 
observer costs are estimated to be $4,600 and $3,450 for trips in the 
Southern and Northern GRAs, respectively. The observer costs would be 
in addition to operating costs. The average ex-vessel value (1996-1999) 
of Loligo in directed trips in the Southern GRA is $24,013 and in the 
Northern GRA was $4,456. These values are based on the average landings 
of Loligo from 1996-1999 in the GRAs, and the average ex-vessel value 
(1996-1999) of Loligo, adjusted to 2001 dollars. Therefore, the 
requirement to carry at-sea observers would increase vessel operating 
costs. However, larger vessels fishing in the Southern GRA would be 
most likely to recoup any increased operating costs due to their 
greater harvest capacity. The observer requirement is anticipated to 
impose a larger negative impact on the profits of vessels fishing in 
the Northern GRA given the average ex-vessel value of Loligo in 
directed trips, as described above. However, as described above, 
because only limited information must be collected under the GRA Access 
Program, NMFS is

[[Page 66793]]

proposing to use approved scup GRA monitors rather than NMFS-certified 
observers. This likely would reduce the costs associated with data 
collection for each participating vessel. Individual vessels would need 
to assess changes in costs and revenues upon their operations before 
participating in the non-mandatory Scup GRA Access Program. An analysis 
of Vessel Trip Report (VTR) data (1996-1999) indicates that, on 
average, 72 vessels had directed Loligo trips (i.e., greater than 50 
percent of the total landings were Loligo) in the GRAs, for a total of 
209 trips. Assuming that all of these vessels choose to fish the same 
number of trips in the GRAs, a 100-percent observer requirement would 
mean that approximately 209 trips would be required to carry observers 
in the GRAs. The actual total number of trips required to carry an 
observer would vary, depending upon the individual decisions of vessel 
owners regarding the potentially increased profitability of fishing in 
the GRAs versus additional observer costs.
    The proposed (status quo) commercial scup possession limits for 
Winter I (15,000 lb (6.8 mt) per trip) and Winter II (1,500 lb (680 kg) 
per trip) were chosen as an appropriate balance between the economic 
concerns of the industry (e.g., landing enough scup to make the trip 
economically viable) and the need to ensure the equitable distribution 
of the quota over the period. The proposed Winter I possession limit 
was selected specifically to coordinate with the 15,000 lb (6.8 mt) per 
week possession limits recommended by the Commission to be implemented 
by most states while satisfying concerns about enforcement of 
possession limits. Changes in possession limits can impact 
profitability in various ways. These impacts would vary depending on 
fishing practices. These possession limits are expected to constrain 
commercial landings to the commercial TAL, and distribute landings 
equitably throughout the periods to avoid derby-style fishing effort 
and associated market gluts. According to anecdotal information 
potential price fluctuations occur as result of irregular supply. The 
recommended possession limits for Winter I would allow fishermen to 
determine when the best time for them to fish and further help to avoid 
market gluts and unsafe fishing practices. Because the Council 
determined that the status quo scup possession limits minimize negative 
economic impacts on the industry, alternatives to the proposed 
possession limits were not analyzed.
    The final rule to implement Framework 3 to the FMP (68 FR 62250, 
November 3, 2003) implemented a process, for years in which the full 
Winter I commercial scup quota is not harvested, to allow unused quota 
from the Winter I period to be rolled over to the quota for the Winter 
II period. In any year that NMFS determines that the landings of scup 
during Winter I are less than the Winter I quota for that year, NMFS 
will, through a notification in the Federal Register, increase the 
Winter II quota for that year by the amount of the Winter I 
underharvest, and adjust the Winter II possession limits consistent 
with the amount of the quota increase, based on the possession limits 
established through the annual specifications-setting process.
    Framework 3 allows for the transfer of unused scup quota from 
Winter I to Winter II period. A complete description and impact 
analysis of the provision allowing the rollover of unused quota from 
Winter I to Winter II period is found in Framework 3. Overall it is 
anticipated that allowing the transfer of unused quota from Winter I to 
Winter II period will result in positive economic and social impacts to 
fishermen and communities as quota not landed in Winter I due to poor 
weather conditions, changes in the distribution of scup, or market 
conditions (i.e., low price) will not be lost. In addition, any scup 
regulatory discards which have occurred in Winter II (i.e., when the 
fishery closes early) can be converted into landings.
    The summer flounder RSA allocation in the Preferred Alternative, if 
made available to the commercial fishery, could be worth as much as 
$263,873 dockside, based on a 2002 ex-vessel price of $1.51/lb. 
Assuming an equal reduction in fishing opportunity among all active 
vessels (i.e., the 796 vessels that landed summer flounder in 2002), 
this could result in a loss in potential revenue of approximately $331 
per vessel. Changes in the summer flounder recreational harvest limit 
as a result of the 174,750-lb (79-mt) RSA are not expected to be 
significant. The RSA would reduce the recreational harvest limit from 
11.28 million lb (5,117 mt) to 11.21 million lb (5,085 mt). It is 
unlikely that the recreational possession, size, or seasonal limits 
would change as the result of the RSA allocation.
    The scup RSA allocation in the Preferred Alternative, if made 
available to the commercial fishery, could be worth as much as $105,600 
dockside, based on a 2002 ex-vessel price of $0.66/lb. Assuming an 
equal reduction in fishing opportunity for all active commercial 
vessels (i.e., the 499 vessels that landed scup in 2002), this could 
result in a loss of potential revenue of approximately $212 per vessel. 
Changes in the scup recreational harvest limit as a result of the RSA 
allocation would be insignificant. The 160,000-lb (73-mt) RSA would 
reduce the scup recreational harvest limit from 4.03 million lb (1,828 
mt) to 3.99 million lb (1,812 mt). It is unlikely that scup 
recreational possession, size, or seasonal limits would change as the 
result of the RSA allocation.
    The black sea bass RSA allocation in the Preferred Alternative, if 
made available to the commercial fishery, could be worth as much as 
$233,190 dockside, based on a 2002 ex-vessel price of $1.73/lb. 
Assuming an equal reduction in fishing opportunity for all active 
commercial vessels (i.e., the 736 vessels that caught black sea bass in 
2002), this could result in a loss of approximately $317 per vessel. 
Changes in the black sea bass recreational harvest limit as a result of 
the RSA allocation would be insignificant. The 134,792-lb (61-mt) RSA 
would reduce the black sea bass recreational harvest limit from 4.08 
million lb (1,851 mt) to 4.01 million lb (1,819 mt). It is unlikely 
that the black sea bass possession, size, or seasonal limits would 
change as the result of this RSA allocation.
    Overall, long-term benefits are expected as a result of the RSA 
program due to improved fisheries data and information. If the total 
amount of quota set-aside is not awarded for any of the three 
fisheries, the unused set-aside amount will be restored to the 
appropriate fishery's TAL.
    In summary, the 2004 commercial quotas and recreational harvest 
limits contained in the Preferred Alternative would result in 
substantially higher summer flounder and black sea bass landings and a 
small increase in scup landings, relative to 2003. The proposed 
specifications contained in the Preferred Alternative were chosen 
because they allow for the maximum level of landings, yet still achieve 
the fishing mortality and exploitation targets specified in the FMP. 
While the commercial quotas and recreational harvest limits specified 
in Alternative 3 would provide for even larger increases in landings 
and revenues, they would not achieve the fishing mortality and 
exploitation targets specified in the FMP.
    The proposed possession limits for scup were chosen in part because 
they are intended to provide for economically viable fishing trips that 
will be equitably distributed over the entire quota period.

[[Page 66794]]

    The economic effects of the existing GRAs will not change as a 
result of this proposed rule. The proposed action would allow small-
mesh vessels to fish for non-exempt species in the GRAs until a pre-
determined level of scup discards is reached to trigger a closure to 
small mesh gear. Although the Scup GRA Access Program does impose 
additional voluntary compliance and operating costs, this alternative 
is expected to minimize both the reporting burden on small entities and 
the administrative support required of NMFS to oversee the program. The 
intent of the observer coverage is to record data regarding the use and 
effectiveness of any gear modifications employed by the observed 
vessels in attempts to reduce scup bycatch, and also to monitor scup 
discards so that the GRA Exemption Program can be discontinued when the 
trigger is reached.
    Finally, the revenue decreases associated with the RSA program are 
expected to be minimal, and are expected to yield important long-term 
benefits associated with improved fisheries data. It should also be 
noted that fish harvested under the RSAs would be sold, and the profits 
would be used to offset the costs of research. As such, total gross 
revenue to the industry would not decrease if the RSAs are utilized.
    This proposed rule contains collection-of-information requirements 
subject to review and approval by OMB under the Paperwork Reduction Act 
(PRA). These requirements have been submitted to OMB for approval. 
Public reporting burden for these collections of information, including 
time for reviewing instructions, searching existing data sources, 
gathering and maintaining the data needed, and completing and reviewing 
the collection of information, is estimated to average 5 seconds per 
response for automatically-transmitted data from a VMS (transmitted 24 
times per day), 10 minutes per response for the daily transmission of 
discard data collected by the scup GRA monitor, 2 minutes per response 
for a request for GRA authorization, 2 minutes for a notification at 
least 5 days prior to departing on a fishing trip to a GRA, and 2 
minutes for a report declaring into the fishery on the day the vessel 
leaves port to fish under the GRA Access Program.
    Public comment is sought regarding whether this proposed collection 
of information is necessary for the proper performance of the functions 
of the agency, including whether the information shall have practical 
utility; the accuracy of the burden estimate; ways to enhance the 
quality, utility, and clarity of the information to be collected; and 
ways to minimize the burden of the collection of information, including 
through the use of automated collection techniques or other forms of 
information technology. Send comments on these or any other aspects of 
the collection of information to Patricia A. Kurkul (see ADDRESSES), 
and by e-mail to [email protected], or fax to (202) 395-7285.
    Notwithstanding any other provision of the law, no person is 
required to respond to, nor shall any person be subject to penalty for 
failure to comply with, a collection of information subject to the 
requirements of the PRA, unless that collection of information displays 
a currently valid OMB Control Number.

List of Subjects in 50 CFR Part 648

    Fisheries, Fishing, Reporting and recordkeeping requirements.

    Dated: November 21, 2003.
John Oliver,
Deputy Assistant Administrator for Operations, National Marine 
Fisheries Service.
    For the reasons set out in the preamble, 50 CFR part 648 is 
proposed to be amended as follows:

PART 648--FISHERIES OF THE NORTHEASTERN UNITED STATES

    1. The authority citation for part 648 continues to read as 
follows:

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

    2. In Sec.  648.14, paragraph (a)(122) is revised to read as 
follows:


Sec.  648.14  Prohibitions.

    (a) * * *
    (122) Fish for, catch, possess, retain or land Loligo squid, silver 
hake, or black sea bass in or from the areas and during the time 
periods described in Sec.  648.122(a) or (b) while in possession of any 
trawl nets or netting that do not meet the minimum mesh restrictions or 
that are obstructed or constricted as specified in Sec.  648.122 and 
Sec.  648.123(a), unless the nets or netting are stowed in accordance 
with Sec.  648.23(b), or unless the vessel is in compliance with the 
Gear Restricted Area Access Program requirements specified at Sec.  
648.122(d).
    3. In Sec.  648.122, paragraphs (a)(1), (b)(1), and (d) are revised 
to read as follows:


Sec.  648.122  Time and area restrictions.

    (a) * * *
    (1) Restrictions. From January 1 through March 15, all trawl 
vessels in the Southern Gear Restricted Area that fish for or possess 
non-exempt species as specified in paragraph (a)(2) of this section, 
except for vessels participating in the Gear Restricted Area Access 
Program as specified in paragraph (d) of this section, must fish with 
nets that have a minimum mesh size of 4.5 inches (11.43 cm) diamond 
mesh, applied throughout the codend for at least 75 continuous meshes 
forward of the terminus of the net. For codends with fewer than 75 
meshes, the minimum-mesh-size codend must be a minimum of one-third of 
the net, measured from the terminus of the codend to the headrope, 
excluding any turtle excluder device extension, unless otherwise 
specified in this section. The Southern Gear Restricted Area is an area 
bounded by straight lines connecting the following points in the order 
stated (copies of a chart depicting the area are available from the 
Regional Administrator upon request):

                      Southern Gear Restricted Area
------------------------------------------------------------------------
                     Point                        N. Lat.      W. Long.
------------------------------------------------------------------------
SGA1..........................................   39[deg]20'   72[deg]50'
SGA2..........................................   39[deg]20'   72[deg]25'
SGA3..........................................   38[deg]00'   73[deg]55'
SGA4..........................................   37[deg]00'   74[deg]40'
SGA5..........................................   36[deg]30'   74[deg]40'
SGA6..........................................   36[deg]30'   75[deg]00'
SGA7..........................................   37[deg]00'   75[deg]00'
SGA8..........................................   38[deg]00'   74[deg]20'
SGA1..........................................   39[deg]20'   72[deg]50'
------------------------------------------------------------------------

    (b) * * *
    (1) Restrictions. From November 1 through December 31, all trawl 
vessels in the Northern Gear Restricted Area I that fish for or possess 
non-exempt species as specified in paragraph (b)(2) of this section, 
except for vessels participating in the Gear Restricted Area Access 
Program as specified in paragraph (d) of this section, must fish with 
nets that have a minimum mesh size of 4.5 inches (11.43 cm) diamond 
mesh, applied throughout the codend for at least 75 continuous meshes 
forward of the terminus of the net. For codends with fewer than 75 
meshes, the minimum-mesh-size codend must be a minimum of one-third of 
the net, measured from the terminus of the codend to the headrope, 
excluding any turtle excluder device extension, unless otherwise 
specified in this section. The Northern Gear Restricted Area I is an 
area bounded by straight lines connecting the following points in the 
order stated (copies of a chart depicting the area are available from 
the Regional Administrator upon request):

[[Page 66795]]



                     Northern Gear Restricted Area I
------------------------------------------------------------------------
                     Point                        N. Lat.      W. Long.
------------------------------------------------------------------------
NGA1..........................................   41[deg]00'   71[deg]00'
NGA2..........................................   41[deg]00'   71[deg]30'
NGA3..........................................   40[deg]00'   72[deg]40'
NGA4..........................................   40[deg]00'   72[deg]05'
NGA1..........................................   41[deg]00'   71[deg]00'
------------------------------------------------------------------------

* * * * *
    (d) Gear Restricted Area Access Program--Vessels that are subject 
to the provisions of the Southern and Northern Gear Restricted Areas, 
as specified in paragraphs (a) and (b) of this section, respectively, 
may fish for, or possess, non-exempt species using trawl nets having a 
minimum mesh size less than that specified in paragraphs (a) and (b) of 
this section, provided that:
    (1) The vessel possesses on board all valid required Federal 
fishery permits and a Scup GRA Access Program Authorization issued by 
the Regional Administrator, Northeast Region, and is in compliance with 
all conditions and restrictions specified in the Scup GRA Access 
Program Authorization;
    (2) The vessel carries a NMFS-approved scup GRA monitor on board if 
any portion of the trip will be, or is, in a GRA;
    (3) The vessel has installed on board an operational VMS unit that 
meets the requirements specified in Sec.  648.9;
    (4) In addition to the above advance notice for accessing a GRA, a 
vessel owner or operator must notify NMFS of his/her intention to fish 
in the GRA at least 5 working days prior to the date he/she intends to 
depart on each trip into a GRA. For each of these reports, a vessel 
owner or operator must submit the following information: Vessel name 
and permit number; owner and operator's names; owner and operator's 
phone numbers; date and time of departure; port of departure; and the 
specific GRA to be fished;
    (5) On the day that the vessel leaves port to fish under the GRA 
Access Program, the vessel owner or operator must declare the vessel 
into the GRA Access Program, in accordance with instructions to be 
provided by the Regional Administrator prior to the vessel leaving 
port;
    (6) The owner or operator of a vessel with a GRA Access 
Authorization submit reports through the VMS, in accordance with 
instructions to be provided by the Regional Administrator, for each day 
fished when declared into the GRA Access Program. The reports must be 
submitted in 24-hour intervals, for each day beginning at 0000 hours 
and ending at 2400 hours. The reports must be submitted by 0900 hours 
of the following day and must include the following information:
    (i) Total pounds/kilograms of scup discarded.
    (ii) [Reserved]
    (7) A vessel which does not have a valid Coast Guard Inspection 
Sticker is deemed inadequate or unsafe for purposes of carrying a NMFS-
approved GRA monitor and will be prohibited from participating in the 
GRA Access Program until the vessel is inspected by the Coast Guard and 
receives its inspection sticker;
    (8) The vessel owner will be responsible for paying the cost of the 
GRA monitor; and
    (9) The GRA Access Program for each GRA will end when the discard 
of scup is projected to be 50,000 lb (22.68 mt) for the Northern GRA 
and 70,000 lb (31.75 mt) for the Southern GRA. Termination of the GRA 
Access Program for each area will be made through notification in the 
Federal Register and notification of vessel operators by fax.

[FR Doc. 03-29598 Filed 11-26-03; 8:45 am]
BILLING CODE 3510-22-P