[Federal Register Volume 69, Number 19 (Thursday, January 29, 2004)]
[Proposed Rules]
[Pages 4362-4434]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-1541]



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Part II





Department of Commerce





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National Oceanic and Atmospheric Administration



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50 CFR Part 648



Magnuson-Stevens Fishery Conservation and Management Act Provisions; 
Fisheries of the Northeastern United States; Northeast (NE) 
Multispecies Fishery; Amendment 13; Proposed Rule

  Federal Register / Vol. 69, No. 19 / Thursday, January 29, 2004 / 
Proposed Rules  

[[Page 4362]]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

50 CFR Part 648

[Docket No. 040112010-4010-01; I.D. 122203A]
RIN 0648-AN17


Magnuson-Stevens Fishery Conservation and Management Act 
Provisions; Fisheries of the Northeastern United States; Northeast (NE) 
Multispecies Fishery; Amendment 13

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 regulations to implement measures in Amendment 
13 to the NE Multispecies Fishery Management Plan (FMP). Amendment 13 
was developed by the New England Fishery Management Council (Council) 
to end overfishing and rebuild NE multispecies (groundfish) stocks 
managed under the authority of the Magnuson-Stevens Fishery 
Conservation and Management Act (Magnuson-Stevens Act), and to make 
other changes in the management of the groundfish fishery. The proposed 
measures include: Changes in the days-at-sea (DAS) baseline for 
determining historical participation in the groundfish fishery; DAS 
reductions from the baseline; creation of new categories of DAS and 
criteria for their allocation and use in the fishery; changes in 
minimum fish size and possession limits for recreationally caught fish; 
a new limited access permit category for Handgear vessels; elimination 
of the northern shrimp fishery exemption line; access to groundfish 
closed areas for tuna purse seiners; an exemption program for southern 
New England (SNE) scallop dredge vessels; modifications to Vessel 
Monitoring System (VMS) requirements; changes to procedures for 
exempted fisheries; changes to the process for making periodic 
adjustments to management measures in the groundfish fishery; revisions 
to trip limits for cod and yellowtail flounder; changes in gear 
restrictions, including minimum mesh sizes and gillnet limits; a DAS 
Transfer Program; a DAS Leasing Program; implementing measures for the 
U.S./Canada Resource Sharing Understanding for cod, haddock, and 
yellowtail flounder on Georges Bank (GB); Special Access Programs 
(SAPs) to allow targeted harvest of healthy stocks of groundfish; 
revisions to overfishing definitions and control rules; measures to 
protect Essential Fish Habitat (EFH); new reporting requirements; 
sector allocation procedures; and a GB Cod Hook Gear Sector Allocation. 
The effort-reduction measures in Amendment 13 are intended to end 
overfishing on all stocks and constitute rebuilding programs for those 
groundfish stocks that require rebuilding. Other measures are intended 
to provide flexibility and business options for permit holders.

DATES: Comments must be received by 5 p.m., February 27, 2004.

ADDRESSES: Written comments should be sent to Patricia A. Kurkul, 
Regional Administrator, National Marine Fisheries Service, One 
Blackburn Drive, Gloucester, MA 01930. Mark the outside of the 
envelope, ``Comments on the Proposed Rule for Groundfish Amendment 
13.'' Comments also may be sent via facsimile (fax) to (978) 281-9135. 
Comments will not be accepted if submitted via e-mail or Internet.
    Written comments regarding the burden-hour estimates or other 
aspects of the collection-of-information requirements contained in this 
rule should be submitted to the Regional Administrator at the address 
above and by e-mail to [email protected], or fax to 
Administrator at the address above and by e-mail to [email protected] or fax to (202) 395-7285.
    Copies of Amendment 13, its Regulatory Impact Review (RIR), the 
Preliminary Regulatory Economic Evaluation (PREE), and the Draft Final 
Supplemental Environmental Impact Statement (FSEIS) are available from 
Paul J. Howard, Executive Director, New England Fishery Management 
Council, 50 Water Street, The Tannery-Mill 2, Newburyport, MA 01950. 
NMFS prepared an Initial Regulatory Flexibility Act analysis, which is 
contained in the Classification section of this proposed rule.

FOR FURTHER INFORMATION CONTACT: Thomas Warren, Fishery Policy Analyst, 
phone: 978-281-9347, fax: 978-281-9135; email: [email protected].

SUPPLEMENTARY INFORMATION:

Background

    The Council has been developing Amendment 13 since 1999, in order 
to bring the FMP into conformance with all Magnuson-Stevens Act 
requirements, including ending overfishing and rebuilding all 
overfished groundfish stocks. Significant events in the history of that 
development are described below.
    On December 28, 2001, a decision was rendered by the U.S. District 
Court for the District of Columbia (Court) on a lawsuit brought by the 
Conservation Law Foundation, Center for Marine Conservation, National 
Audubon Society and Natural Resources Defense Council against NMFS 
(Conservation Law Foundation, et al., v. Evans, et al., Case No. 
00CVO1134, (D.D.C., December 28, 2001)). The lawsuit alleged that 
Framework Adjustment 33 to the FMP violated the overfishing, rebuilding 
and bycatch provisions of the Magnuson-Stevens Act (16 U.S.C. 1801 et 
seq.), as amended by the Sustainable Fisheries Act (SFA), and the Court 
granted plaintiffs' Motion for Summary Judgment on all counts. The 
Court did not impose a remedy, but instead asked the parties to the 
lawsuit to propose remedies consistent with the Court's findings. The 
Court specifically found that Framework 33 failed to meet the FMP's 
Amendment 9 and SFA overfishing and rebuilding targets. Amendment 9 
established overfishing and rebuilding objectives intended to meet SFA 
requirements, but did not implement or analyze any specific measures 
necessary to meet the new overfishing and rebuilding objectives. 
Framework 33, which was developed after Amendment 9, was an annual 
adjustment required by Amendment 7 to meet Amendment 7 targets.
    From April 5-9, 2002, plaintiffs, defendants and intervenors 
engaged in Court-assisted mediation to try to agree upon mutually 
acceptable short-term and long-term solutions to present to the Court 
as a possible settlement. Although these discussions ended with no 
settlement, several of the parties continued mediation and filed with 
the Court a Settlement Agreement Among Certain Parties (Settlement 
Agreement) on April 16, 2002. The Settlement Agreement called for 
short-term measures to reduce overfishing while the Council completed 
its development of Amendment 13.
    On April 29, 2002, NMFS published an interim final rule (67 FR 
21139) under the authority of section 304(e), consistent with section 
305(c), of the Magnuson-Stevens Act, which allows for interim measures 
to reduce overfishing until an amendment to stop overfishing and 
rebuild fish stocks is implemented, to implement the short-term 
measures called for by the Settlement Agreement. On May 6, 2002 (67 FR 
30331), NMFS corrected the April 29, 2002, interim final rule to bring 
it into full compliance with the

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Order. NMFS further amended the April 29, 2002, interim final rule on 
June 5, 2002 (67 FR 38608) to bring the regulations into conformance 
with a May 23, 2002, Order issued by the Court in response to a motion 
for reconsideration. NMFS proposed additional, more restrictive interim 
measures on July 1, 2002 (67 FR 44139), and implemented those measures 
on August 1, 2002 (67 FR 50292), also as required by the terms of the 
Settlement Agreement. A final rule implementing a regulatory amendment 
to correct minor oversights in the August 1, 2002, interim final rule, 
was published on January 28, 2003 (68 FR 4113), and another minor 
correction to the August 1, 2002, interim final rule was published 
March 25, 2003 (68 FR 14347). Descriptions of the measures implemented 
through the interim rules can be found in the preamble to those rules 
and are not repeated here.
    The Order specified that management measures implemented by the 
August 1, 2002, interim final rule remain in effect until the 
completion of Amendment 13, which was initially scheduled to be in 
effect no later than August 22, 2003. However, due to the need for 
additional time to address concerns related to NMFS's Northeast 
Fisheries Science Center's (NEFSC) trawl survey and new biological 
reference points developed for the NE multispecies stocks, NMFS and two 
of the plaintiffs filed a motion with the Court requesting an extension 
of the August 22, 2003, implementation schedule until May 1, 2004. On 
December 4, 2002, the Court granted an extension of the Court-ordered 
timeline for Amendment 13 implementation until May 1, 2004.
    On January 22, 2003, NMFS published a Notice of Continuation of 
Regulations in the Federal Register to inform the public that NMFS was 
continuing the interim regulations for a second 180-day period, ending 
July 27, 2003. Under section 305(c)(3)(B) of the Magnuson-Stevens Act, 
interim regulations implemented under section 305(c) are limited to two 
consecutive 180-day periods. Because the Order required that the 
interim management measures remain in effect until Amendment 13 is 
implemented, and because the Court granted an extension of the original 
schedule for implementation of Amendment 13 to May 1, 2004, in response 
to unanticipated events, NMFS proposed, on April 24, 2003 (68 FR 
20096), an emergency action under authority of section 305(c) of the 
Magnuson-Stevens Act. In addition to continuing the August 1, 2002, 
measures specified in the Settlement Agreement and Order, the April 24, 
2003, emergency rule proposed a pilot program to allow limited access 
NE multispecies vessels to lease their NE multispecies DAS. The 
proposed emergency rule was corrected on May 9, 2003 (68 FR 24914), and 
notification of changes to that rule was published June 20, 2003 (68 FR 
36970). Due to the newness and potential controversiality of the DAS 
Leasing Program, NMFS extended the comment period through June 10, 
2003, on the DAS leasing aspect of the proposed emergency rule only (68 
FR 28188; May 23, 2003). On June 27, 2003 (68 FR 38234), NMFS published 
a final emergency rule that implemented many of the same measures 
implemented through the August 1, 2002, interim final rule, with some 
modifications in response to public comment, but did not implement the 
DAS Leasing Program. Because of the public comments received and the 
controversial aspects of the DAS Leasing Program, NMFS concluded that 
it would be better to develop such a program through the Council 
process than through emergency rulemaking; thus, NMFS withdrew the 
proposed DAS Leasing Program (68 FR 41549, July 14, 2003). The measures 
implemented through the June 27, 2003, emergency rule remain in effect 
at this time. The emergency measures were continued in effect through 
publication of a notice of continuation in the Federal Register on 
December 22, 2003 (68 FR 71032), pursuant to section 305(c) of the 
Magnuson-Stevens Act.
    Amendment 13 was developed by the Council to end overfishing of all 
groundfish stocks and to rebuild all groundfish stocks that are 
overfished, and includes measures to minimize bycatch, to implement 
improved reporting and recordkeeping requirements, and to address other 
conservation and management issues. Amendment 13 also contains measures 
to minimize the adverse effects of fishing on EFH, in accordance with 
the Settlement Agreement resulting from the legal challenge American 
Oceans Campaign, et al. v. Daley, et al. (Civil Case Number 99-982 
(GK)). In accordance with the EFH Settlement Agreement, Amendment 13 
evaluates the impacts of fishing on EFH through analysis in the FSEIS 
and includes management measures designed to minimize the adverse 
effects of fishing on EFH to the extent practicable.
    A notice of availability of a Draft Environmental Impact Statement 
for the EFH components of Amendment 13 was published on April 4, 2003 
(68 FR 16511), with public comment accepted through July 2, 2003. A 
notice of availability of the Draft Supplemental Environmental Impact 
Statement (DSEIS), which analyzed the impacts of all of the measures 
under consideration in Amendment 13, was published on August 29, 2003 
(68 FR 52018), with public comments accepted through October 15, 2003. 
A correction to the DSEIS was published on September 19, 2002 (68 FR 
54900).
    A notice of availability for Amendment 13, as submitted by the 
Council for review by the Secretary of Commerce, was published in the 
Federal Register on December 29, 2003 (68 FR 74939). The comment period 
on Amendment 13 ends on February 27, 2004. In addition to the 
implementing measures proposed in this rule, Amendment 13 contains 
changes to overfishing definitions and other aspects of the management 
program that are not reflected in regulations.

Proposed Measures

    Amendment 13 proposes a large number of changes to the management 
regime for the NE groundfish fishery. In order to provide the public 
with the clearest information possible on how the groundfish 
regulations would appear if Amendment 13 is approved and implemented, 
NMFS is publishing in this proposed rule the entirety of 50 CFR part 
648, subpart F, that pertain to the groundfish fishery as they would 
appear if this proposed rule is adopted as final. The proposed 
regulations also reflect revisions to the existing text in subpart F 
that are not a result of Amendment 13; these revisions would remove 
obsolete language and improve organization and clarity of the 
regulations, but they are not substantive changes. A description of the 
proposed management measures follows.
1. Recreational Measures
    The bag limit (possession limit) for cod aboard a private 
recreational vessel (i.e., not a charter/party vessel) fishing while in 
the Exclusive Economic Zone (EEZ), or caught in the EEZ, would be 
changed to 10 cod per person per day, with no possession limit for 
haddock, year-round. The current possession limit is 10 cod and/or 
haddock, combined, per person per trip, from April 1 through November 
30; and 10 cod and/or haddock, combined, per person per trip, no more 
than 5 of which may be cod, when fishing in the Gulf of Maine (GOM) 
from December 1 through March 31. The current seasonal bag limit 
restrictions for private recreational fishing vessels would be 
eliminated.
    The possession limit for cod aboard a charter/party vessel fishing 
in the GOM would be changed to 10 cod per person

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per day, year-round. The current possession limit when fishing in the 
GOM is 10 cod per person per trip, from April 1 through November 30; 
and 5 cod per person per trip, from December 1 through March 31. As 
with private recreational vessels, the current seasonal bag limit 
restrictions for charter/party vessels would be eliminated.
    For charter/party vessels issued a Federal multispecies permit, and 
for private recreational vessels, any trip in excess of 15 hours and 
covering 2 calendar days would be considered a 2-day trip for purposes 
of calculating allowable bag limits. Allowable bag limits for 
recreational vessels conducting trips longer than 2 consecutive 
calendar days would be determined by adding 24 hours for each 
additional day to the 15-hour minimum, 2-day trip requirement. For 
example, to possess 3-days equivalent of the bag limit, a recreational 
vessel would have to fish at least 39 hours (15 plus 24) over a 3-
consecutive-day period.
    The minimum size for cod allowed to be possessed by persons fishing 
aboard private recreational and charter/party vessels subject to these 
regulations would be reduced from the current 23 inches (58.4 cm) total 
length (TL) to 22 inches (55.9 cm) TL. The minimum size for haddock 
would be reduced from 22 inches (55.9 cm) to 19 inches (48.2 cm) TL.
2. Handgear Permit
    A new limited access permit category, called Handgear A, would be 
created for qualified vessels fishing with handgear (rod and reel, 
handline, or tub-trawl gear). To qualify for a Handgear A permit, a 
vessel must have been previously issued a NE multispecies open access 
Handgear permit, and must have landed at least a total of 500 lb (227 
kg) of cod, haddock, or pollock, when fishing under the open access 
Handgear permit category, in at least one of the fishing years from 
1997 through 2002 (fishing years are May 1 through April 30). Landings 
would need to be documented through dealer reports submitted to NMFS or 
other NMFS-approved entity, prior to January 29, 2004. A process would 
be established to allow vessel owners to appeal denials of Handgear A 
permits, if they believe the denials were based on incorrect 
information.
    Vessels fishing under the limited access Handgear A permit would be 
allowed to land up to 300 lb (136 kg) of cod, one Atlantic halibut, and 
the daily possession limit restrictions allowed for the remaining 
regulated groundfish species. Handgear A permits would be transferrable 
between vessels, with the transfers not subject to vessel size and 
horsepower upgrade restrictions. In addition to handline and rod-and-
reel gear, open access Handgear and limited access Handgear A permit 
holders would be allowed to fish hand-hauled tub-trawl gear, with a 
maximum of 250 hooks. Definitions of ``handgear'' and ``tub-trawl'' 
would be added to Sec. 648.2.
    The trip limits under the current open access Handgear permit 
category would be modified to allow vessels to possess up to 75 lb 
(34.0 kg) of cod and one Atlantic halibut, and the daily possession 
limit restrictions allowed for the remaining regulated groundfish 
species. Open access Handgear permitted vessels are currently subject 
to possession limits of 300 lb (136 kg) of cod, haddock, and yellowtail 
flounder, combined; one Atlantic halibut; and the daily possession 
limits allowed for the remaining regulated groundfish species. The cod 
trip limit for both the limited access Handgear A permit and the open 
access Handgear permit would be adjusted proportional to changes in the 
GOM cod trip limits for groundfish DAS vessels in the future, as 
necessary.
    The creation of a limited access Handgear A permit would provide 
historical participants in this specialized component of the groundfish 
fishery with higher cod trip limits than they currently have, and 
provide holders of the Handgear A permits the flexibility to transfer 
or upgrade their vessels with little or no increase in fishing 
mortality to groundfish stocks, because of the specialized nature of 
the gear they fish.
3. Northern Shrimp Exempted Fishery
    Amendment 13 proposes to remove the restriction that the northern 
shrimp fishery be conducted shoreward of the small-mesh fishery 
exemption line (Sec. 648.80(a)(5)). All other restrictions for 
participation in the northern shrimp fishery would remain in effect. 
This measure would provide greater flexibility to the northern shrimp 
fishery, by enabling the fishery to pursue shrimp over a larger area 
than is currently allowed, without jeopardizing conservation measures 
for groundfish stocks.
4. Tuna Purse Seine Access to Groundfish Closed Areas
    Tuna purse seine gear is currently defined as exempted gear in the 
FMP. Under Amendment 13, tuna purse seine vessels would be allowed to 
fish in all groundfish closed areas, including Closed Area (CA) I, CA 
II, and Nantucket Lightship Closed Area (NLCA), subject to existing 
restrictions for using exempted gear in those areas. Fishing for, 
landing, or possessing any groundfish by vessels using purse seine gear 
would be prohibited, and vessels fishing under this exemption could not 
have on board gear capable of catching groundfish. Fishing under this 
exemption would not be allowed in the CA II Habitat Area of Particular 
Concern (HAPC). If the Administrator, Northeast Region, NMFS (Regional 
Administrator) determines that tuna purse seine vessels are adversely 
affecting habitat or groundfish stocks, individual vessels, or all 
vessels, could be prohibited from one or more of the groundfish closed 
areas.
    Tuna purse seine gear is currently allowed in the groundfish 
seasonal closure areas and in the GOM year-round closure areas. The 
intent of this measure is to provide flexibility to purse seine vessels 
to pursue tuna, using exempted gear, throughout the groundfish 
management area, with the exception of the CA II HAPC. Because of the 
type of gear used in this fishery, and based on several years of 
experimental fishing, impacts on groundfish are expected to be minimal.
5. SNE Scallop Dredge Exemption Program
    Unless otherwise prohibited in Sec. 648.81, or unless prohibited 
under the scallop regulations, vessels with a limited access scallop 
permit that have declared out of the scallop DAS program as specified 
in Sec. 648.10, or that have used up their scallop DAS allocations, 
unless otherwise restricted, and vessels issued a General Category 
scallop permit, would be allowed to fish in statistical areas 537, 538, 
539, and 613, defined as the SNE Scallop Dredge Exemption Area, when 
not fishing under a groundfish DAS, with certain restrictions. A vessel 
meeting the above requirements and fishing in the SNE Scallop Dredge 
Exemption Area could not fish for, possess on board, or land any 
species of fish (as defined in the Magnuson-Stevens Act) other than 
Atlantic sea scallops. The combined dredge width used by such vessels 
could not exceed 10.5 ft (3.2 m), measured at the widest point in the 
bail of the dredge. Dredges would be required to have at least an 8-
inch (20.3-cm) twine top, to minimize bycatch of groundfish. The 
exemption would not provide access to the NLCA, unless specifically 
authorized through the groundfish FMP.
    This measure would provide flexibility for vessels to fish for sea 
scallops in this area, as authorized under the Atlantic Sea Scallop 
Fishery Management Plan (Sec. 648.52(a)) in an

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area of SNE where such fishing is not currently allowed. The use of 
scallop dredges, with the restrictions that would be required under 
this proposed measure, is not expected to result in significant catches 
of groundfish.
6. Modified VMS Operational Requirements
    Under Amendment 13, a vessel using a VMS could opt out of the VMS 
program for a minimum period of 1 calendar month by notifying the 
Regional Administrator. Such notification would be required to include 
the date the vessel would resume transmitting VMS reports. After 
receiving confirmation from the Regional Administrator, the vessel 
operator could stop sending VMS reports to NMFS, but could not engage 
in any fishery until the VMS is turned back on. This would enable 
vessel owners to turn off power to the VMS unit and to save on the 
costs of VMS polling during periods when their vessel is under repair 
or, for some other reason, is not engaged in fishing.
7. Standards for Certification of Exempted Fisheries
    Vessels are currently prohibited from fishing in the GOM, GB, and 
SNE exemption areas unless fishing: (1) Under a groundfish or scallop 
DAS; (2) with exempted gear; (3) under the small-vessel exemption; (4) 
under the scallop state-waters exemption; or (5) in an exempted 
fishery. Under current regulations (Sec. 648.80(a)(8) and (b)(4)), an 
exempted fishery may be added in an existing fishery for which there is 
sufficient information to determine the amount of regulated groundfish 
species bycatch if the Regional Administrator, after consultation with 
the Council, determines that the percentage of regulated species caught 
as bycatch is, or can be reduced to, less than 5 percent, by weight, of 
total catch, and that such exemption will not jeopardize the fishing 
mortality objectives.
    Under Amendment 13, the standards for certification of exempted 
fisheries that were implemented through Amendment 7 to the FMP would 
continue to be used, but with the following changes:
    The incidental catch standard (5 percent of the total catch, by 
weight) could be modified by the Council or Regional Administrator, for 
those groundfish stocks that are not in an overfished condition, or if 
overfishing is not occurring. In order for the Council or Regional 
Administrator to modify the exemption standard, it must be demonstrated 
that the modification would not cause a delay in a rebuilding program, 
would not result in overfishing of a stock, and would not result in a 
stock becoming overfished. Other factors would also be considered in 
the certification of an exempted fishery, such as the impact of the 
fishery on juvenile fish, sacrifices in yield that would result from 
increases in fishing mortality, the ratio of target species to 
regulated species, the status of stock rebuilding, recent recruitment 
of groundfish species, etc. Under the proposed procedures, the 
incidental catch standard could be modified either through a Council 
action (framework adjustment) that would change the standard for all 
exempted fisheries, or on a case-by-case basis for specific exempted 
fisheries.
    On a case-by-case basis, through approval by the Regional 
Administrator, with notification to the public through rulemaking 
consistent with the Administrative Procedure Act (APA), or through 
Council development of a framework action for NOAA Fisheries 
consideration, an exempted fishery in the GOM, GB, or SNE exemption 
areas, and a small mesh fishery in that portion of the Mid-Atlantic 
(MA) Regulated Mesh Area (RMA) outside of the SNE exemption area, could 
be authorized to possess and land certain regulated groundfish. In 
making that determination, the Council or Regional Administrator would 
consider the status of the stock or stocks caught in the exempted 
fishery; the risk that allowing possession of groundfish would result 
in increased landings of groundfish; the extent of the exempted 
fishery, in terms of both time and area; the possibility of expansion 
of the exempted fishery; whether the exempted fishery should be allowed 
to take place in a groundfish closed area; impacts of the exempted 
fishery on any groundfish stock that is overfished; and whether 
overfishing is already occurring on a stock that would be caught by the 
exempted fishery. Possession by an exempted fishery could be allowed 
for a groundfish stock under a rebuilding program, but only if it can 
be determined that the catch of that stock by the exempted fishery 
would not likely result in exceeding the rebuilding fishing mortality 
rate for that stock.
    The intent of the proposed changes is to allow greater flexibility 
to the Council and NMFS to administer the exempted fishery program as 
groundfish stocks rebuild, while continuing to protect the groundfish 
stocks.
8. Flexible Area Action System (FAAS)
    The FAAS management system, currently contained in Sec. 648.85, 
would be eliminated by Amendment 13. The FAAS system was developed by 
the Council to provide a mechanism to respond quickly to bycatch 
problems in the groundfish fishery. However, experience demonstrated 
that it was infeasible to use the system as originally intended, due to 
administrative constraints that prevented the rapid action that was 
initially anticipated.
9. Periodic Adjustments to the FMP
    The current annual process to make adjustments to the FMP (Sec. 
648.90) would be revised to be a biennial adjustment process. The Plan 
Development Team (PDT) would perform a review and submit management 
recommendations to the Council every 2 years, with a review of each of 
the regulated multispecies, Atlantic halibut, and ocean pout. The first 
review would be in 2005, to determine necessary changes for the 2006 
fishing year. This review would be completed by the PDT, based on the 
most current and best scientific information available. The PDT would 
consider relevant data and information provided by the NEFSC, as well 
as by the states, the Atlantic States Marine Fisheries Commission, the 
U.S. Coast Guard (USCG), and other sources. Adjustments would continue 
to be implemented on May 1 of the relevant year (the beginning of the 
fishing year). The PDT would recommend, for the Council's 
consideration, new measures, if necessary, to address current 
management needs in the FMP, within the scope of a framework 
adjustment. The PDT would review the most current data pertaining to 
landings, stock status, and fishing mortality rates; enforcement 
issues; DAS use; social and economic impacts; and any other relevant 
information. The Council would then hold at least two Council meetings 
and submit its recommendations to the Regional Administrator by 
December 1. The Regional Administrator would review the Council's 
recommendations, including the supporting analyses, and undertake 
rulemaking, consistent with the APA, to meet the May 1 implementation 
date. If the Council fails to submit measures by February 1, the 
Regional Administrator would be authorized to choose any PDT 
alternative not specifically rejected by the Council. For the 2005 
review, an updated groundfish assessment, peer reviewed by independent 
scientists, would be conducted to facilitate the PDT review for the 
adjustment, if needed, for the 2006 fishing year. The PDT would also 
prepare an annual Stock Assessment and Fishery Evaluation (SAFE) 
Report, which would

[[Page 4366]]

include the most recent biological and socio-economic information.
    In addition to the biennial review discussed above, the PDT would 
meet to conduct a review of the groundfish fishery by September 2008 to 
determine the need for a framework action for the 2009 fishing year. 
For the 2008 review, a benchmark assessment, peer reviewed by 
independent scientists, would be completed for each of the regulated 
multispecies stocks and for Atlantic halibut and ocean pout. The 
interim biomass targets specified in Amendment 13 would be examined 
during this benchmark assessment to evaluate the efficacy of the 
rebuilding program. Based on findings from the benchmark assessment, a 
determination would be made as to whether the Amendment 13 biomass 
targets are still considered valid, given the response of the stocks to 
the management measures in Amendment 13 that were expected to result in 
certain stock levels by 2008.
    Under the proposed procedures, the existing Multispecies Monitoring 
Committee would be folded into the PDT, and would cease to exist as a 
separate committee. As a result, the PDT membership would be revised to 
include technical staff from the Council, the NMFS Northeast Regional 
Office, the NEFSC (biologists, social scientists, and economists), 
technical personnel from state management agencies or qualified 
researchers, a representative from the USCG, the Chair of the 
Groundfish Advisory Panel, and another interested parties designated by 
the Council Chair. The PDT would continue to provide technical support 
to the Groundfish Committee in the development of FMP amendments. In 
addition, it would monitor the FMP and develop options for framework 
adjustments through the new biennial adjustment process.
    The proposed adjustment process is intended to provide greater 
stability to the management of the groundfish fishery by adjusting 
management measures less frequently. It is also intended to be more 
streamlined than the current process.
10. Rebuilding Program
    The proposed rebuilding program for groundfish stocks is the heart 
of Amendment 13. The Council adopted Alternative 5 in the DSEIS, which 
was based on management measures developed by the Council and on an 
industry proposal put forward by the Northeast Seafood Coalition, as 
its proposed rebuilding program. The intent is to rebuild all 
overfished groundfish stocks primarily through effort-reduction 
measures that are phased in over a period of several years. Because 
several stocks are currently not overfished, others are being 
overfished (i.e., the fishing mortality rates on these stocks are too 
high), and some are in need of rebuilding to the levels that can 
produce maximum sustainable yield (MSY) on a continuing basis, a 
mixture of management measures is proposed to achieve all of the 
objectives. Amendment 13 attempts to balance the need to end 
overfishing of some stocks as quickly as possible, with the need to 
consider the economic and social impacts of effort reduction measures 
on the participants in the fishery and on fishing communities. The 
proposed measures to accomplish this are summarized as follows:

DAS Allocations

    DAS, which form the effort currency in the groundfish fishery, 
would be reallocated, beginning in fishing year 2004. The allocation of 
DAS would be based on historic participation in the groundfish DAS 
fishery. The number of DAS that would be allocated to the fishery as a 
whole is based on the number that was determined to be appropriate and 
necessary to rebuild overfished stocks and end overfishing. The 
proposed DAS allocation is based on an expected DAS use rate, and takes 
into account additional DAS use that may result from implementation of 
a DAS Leasing Program, which is also proposed in Amendment 13. The DAS 
Leasing Program is described in more detail later in this preamble.
    The allocation of a vessel's DAS would be calculated from that 
vessel's DAS baseline, defined as the maximum DAS used by that vessel 
in any single fishing year from qualifying fishing years 1996 through 
2001 (May 1, 1996, through April 30, 2002). Qualifying years would be 
only those in which the vessel landed a total of 5,000 lb (2,268 kg) or 
more of regulated groundfish species. Landings would need to be 
documented through dealer reports submitted to NMFS or other NMFS-
approved entity, prior to April 30, 2003. For fishing years 2004 and 
2005, 60 percent of a vessel's DAS baseline would be defined as its 
``Category A'' DAS, and 40 percent of a vessel's DAS baseline would be 
defined as its ``Category B'' DAS. Category B DAS would be further 
categorized as ``regular B'' DAS and ``reserve B'' DAS, each 
representing 20 percent of the vessel's DAS baseline. The difference 
between a vessel's fishing year 2001 DAS allocation and its DAS 
baseline would be the vessel's ``Category C'' DAS. Upon implementation 
of Amendment 13, either regular or reserve B DAS could be used in any 
approved SAPs, but neither could be used outside of an approved SAP. 
The procedures and restrictions applying to the use of regular B DAS 
when fishing outside of a SAP have not been developed, and would need 
to be implemented through future Council action, such as a framework. 
Category C DAS would not be made available to fish at this time.
    Because groundfish DAS vessels would be allocated DAS based on 
their historical fishing records, the Fleet DAS permit category and the 
Large Mesh Fleet DAS permit category would be eliminated, since these 
categories represented a fleet average of DAS. Upon approval of 
Amendment 13, vessels currently fishing in the Fleet DAS and Large Mesh 
Fleet DAS permit categories would automatically be reissued permits in 
the Individual DAS and Large Mesh Individual DAS permit categories, 
respectively. Vessels affected by this change would have an opportunity 
to reapply for a different permit category.

DAS Use

    Under Amendment 13, Category A DAS could be used to target any 
regulated groundfish stock. Beginning with the implementation of 
Amendment 13, any Category B DAS (i.e., regular or reserve B DAS) could 
be utilized to fish in approved SAPs, subject to the requirements of 
the SAPs. Amendment 13 would require that each vessel would be required 
to have at least 1 Category A DAS remaining for each regular B DAS it 
intends to fish.
    A vessel would be required to declare its intent to use a Category 
B DAS at the start of a fishing trip, and would need to specify which 
type of (regular or reserve) B DAS would be used on that trip. Even 
though regular B DAS could initially be used only while fishing within 
a SAP, NMFS would need to track the usage of both types of B DAS by 
each vessel, starting with the implementation of Amendment 13. That 
would enable NMFS and the vessels to know how many of each type of B 
DAS each vessel has remaining for the fishing year, should the Council 
develop a program for use of regular B DAS during the fishing year.
    Vessel owners should be aware that Amendment 13 provides that, 
should a program for use of regular B DAS outside of SAPs be developed 
by the Council and implemented in the middle of a fishing year, the 
vessel would need to have Category A DAS available in order to fish the 
regular B DAS outside of a SAP during the remainder of that fishing 
year.

[[Page 4367]]

    As groundfish stocks rebuild, there may be opportunities to 
increase the number of available Category A DAS. In that circumstance, 
Amendment 13 calls for all Category B DAS (regular and reserve) to be 
converted to Category A DAS before any Category C DAS would be 
converted to Category A DAS. If necessary to achieve rebuilding 
targets, Category A DAS could be changed to Category B DAS by the 
Council. Any DAS carried over from the 2003 fishing year into the 2004 
fishing year would be classified as regular B DAS. For any DAS carried 
over from the 2004 fishing year into the 2005 fishing year, and for all 
subsequent fishing years, the carried-over DAS would be determined as 
follows: If a vessel has Category A DAS remaining, these would be 
carried over first; if the vessel has fewer than 10 A DAS remaining, 
then the vessel's regular B DAS would be carried over, up to a total of 
10 DAS; if the vessel has fewer than 10 A DAS and regular B DAS, 
combined, remaining, then the vessel's reserve B DAS would be carried 
over, up to a total of 10 DAS, combined. For example, if a vessel ended 
a fishing year with 3 A DAS, 6 regular B DAS, and 10 reserve B DAS, 
that vessel's carry-over DAS would be 10 DAS, comprised of the 
following: 3 A DAS, 6 regular B DAS, and 1 reserve B DAS. Category C 
DAS could not be carried over and could not be fished.

Default Measures

    Amendment 13 would establish fishing mortality rate targets to end 
overfishing and rebuild all of the managed groundfish stocks. Some of 
the fishing mortality rates would be immediately reduced to a level 
that would end overfishing. For several other stocks, reductions in 
fishing mortality rates would be phased in, in order to mitigate 
impacts of the reductions. To ensure that the scheduled fishing 
mortality reductions under Amendment 13 are realized by fishing year 
2006, specifically for American plaice and SNE/MA yellowtail flounder, 
which may require an additional reduction in the fishing mortality rate 
to completely end overfishing, the following default measures would 
automatically become effective on May 1, 2006: An additional 5-percent 
reduction in DAS, which would allow a vessel to fish up to 55 percent 
of its DAS baseline allocation as A DAS, and 45 percent as B DAS; and 
differential DAS counting for vessels fishing in the SNE RMA, where DAS 
would be counted at a rate of 1.5 to 1. On May 1, 2009, there would be 
an additional DAS reduction of 10 percent, which would allow a vessel 
to fish up to 45 percent of its DAS baseline allocation as A DAS, and 
55 percent as B DAS, to ensure rebuilding for GB cod, GOM cod, CC/GOM 
yellowtail flounder, SNE/MA yellowtail flounder, American plaice, white 
hake, and SNE/MA winter flounder. A stock assessment update is 
scheduled to occur in 2005, and a benchmark assessment would be 
conducted in 2008 to determine whether the default measures are 
necessary, or whether existing measures have proven sufficient to 
achieve the necessary reductions in fishing mortality. The default 
measures would not occur if the Regional Administrator determines that 
the Amendment 13 projected target biomass levels for relevant stocks 
under Amendment 13, based on the 2005 and 2008 stock assessments, have 
been or are projected to be attained with at least a 50-percent 
probability in the 2006 and 2009 fishing years, and overfishing is not 
occurring on those stocks. If these criteria are met, the Regional 
Administrator would publish that determination in the Federal Register, 
consistent with the requirements of the APA.

Trip Limits

    The following modifications to the cod and yellowtail flounder trip 
limits are proposed, in order to meet Amendment 13 objectives:
    GOM cod: The possession limit would be increased to 800 lb (363 
kg)/DAS, with a limit of 4,000 lb (1,814 kg)/trip.
    GB cod: The possession limit would be reduced to 1,000 lb (454 kg)/
DAS, with a limit of 10,000 lb (4,536 kg)/trip, unless the vessel 
elects to fish, through an annual declaration, exclusively with hook 
gear under the GB Cod Hook Gear Trip Limit Exemption Program. Similar 
to the Day or Trip Gillnet Category designation, a vessel would need to 
declare into the GB Cod Hook Gear Trip Limit Exemption Program when 
applying for its limited access groundfish permit.
    The GB cod trip limit for hook vessels would be as follows:
    January 1 through March 31: 2,000 lb (907 kg)/DAS;
    April 1 through June 30: No hook gear (jig or demersal longline) 
fishing allowed on GB;
    July 1 through September 15 (directed cod season for hook vessels): 
2,000 lb (907 kg)/DAS; during this period, vessels could not land 
groundfish on Fridays or Saturdays; and September 16 through December 
31 (restricted cod season): 600 lb (272 kg)/DAS.
    Cape Cod (CC)/GOM yellowtail flounder, when fishing in the SNE/MA 
stock areas:
    April 1 through May 31, and October 1 through November 30: 250 lb 
(113 kg)/trip; and
    June 1 through September 30, and December 1-March 31: 750 lb (340 
kg)/DAS, with a 3,000-lb (1,361-kg)/trip possession limit.
    SNE/MA yellowtail flounder, when fishing in the SNE/MA yellowtail 
flounder area (the SNE/MA stock area):
    March 1 through June 30: 250 lb (113 kg)/trip; and
    July 1 through February 28 (or 29): 750 lb (340 kg)/DAS, with a 
3,000-lb (1,361-kg)/trip possession limit.

Modifications to Gear Restrictions

    Gear restrictions would be modified as follows, in order to meet 
Amendment 13 objectives:
    For Day gillnet vessels fishing in the GOM RMA: The minimum mesh 
size for flatfish nets would be reduced from 7-inch (17.8-cm) mesh to 
6.5-inch (16.5-cm) mesh.
    For Trip gillnet vessels fishing in the GB RMA: The number of 
gillnets that could be used would be increased from 50 to 150.
    For Day gillnet vessels fishing in the MA RMA: The number of 
roundfish gillnets that could be used would be reduced from 80 to 75, 
and the minimum mesh size would be increased from 5.5-inch (14.0-cm) 
diamond or 6.0-inch (15.2-cm) square to 6.5-inch mesh (16.5-cm) (square 
or diamond); and
    The number of flatfish gillnets that could be used would be reduced 
from 160 to 75, and the minimum mesh size would be increased from 5.5-
inch (14.0-cm) diamond or 6.0-inch (15.2-cm) square to 6.5-inch (16.5-
cm) mesh (square or diamond).
    A summary of the proposed gear requirements appears in Table 1.

[[Page 4368]]



                               Table 1.--Gear Restrictions by Regulated Mesh Areas
----------------------------------------------------------------------------------------------------------------
                                     Gulf of Maine       Georges bank             SNE            Mid-Atlantic
----------------------------------------------------------------------------------------------------------------
                                 MINIMUM MESH SIZE RESTRICTIONS FOR GILLNET GEAR
----------------------------------------------------------------------------------------------------------------
NE Multispecies Day Gillnet       Roundfish nets      All nets            All nets            Roundfish nets
 Category *.                      6.5'' (16.5 cm)     6.5'' (16.5 cm)     6.5'' (16.5 cm)     6.5'' (16.5 cm)
                                   mesh; 50-net        mesh; 50-net        mesh; 75-net        mesh; 75-net
                                   allowance; 2 tags/  allowance; 2 tags/  allowance; 2 tags/  allowance; 2 tags/
                                   net.                net.                net.                net.
                                 --------------------                                        -------------------
                                  Flatfish nets                                               Flatfish nets
                                  6.5'' (16.5 cm)                                             6.5'' (16.5 cm)
                                   mesh; 100-net                                               mesh; 75-net
                                   allowance; 1 tag/                                           allowance; 2 tags/
                                   net.                                                        net.
---------------------------------
NE Multispecies Trip Gillnet      All nets            All nets            All nets            All gillnet gear
 Category *.                      6.5'' (16.5 cm)     6.5'' (16.5 cm)     6.5'' (16.5 cm)     6.5'' (16.5 cm)
                                   mesh; 150-net       mesh; 150-net       mesh; 75-net        mesh; 75-net
                                   allowance; 1 tag/   allowance; 2 tags/  allowance; 2 tags/  allowance 2 tags/
                                   net.                net.                net.                net.
---------------------------------
Monkfish Vessels **.............                       10'' (25.4 cm) mesh/150-net allowance
                                 ---------------------
                                                                     1 tag/net
---------------------------------
                                  MINIMUM MESH SIZE RESTRICTIONS FOR TRAWL GEAR
----------------------------------------------------------------------------------------------------------------
Codend only mesh size *.........   6.5'' (16.5 cm) diamond or square      7.0'' (17.8 cm)     6.5'' (16.5 cm)
                                                                           diamond or 6.5''    diamond or
                                                                           (16.5 cm) square.   square.
---------------------------------
Large Mesh Category--entire net.   8.5'' (21.59 cm) diamond or square                         7.5'' (19.0 cm)
                                                                                               diamond or 8.0''
                                                                                               (20.3 cm) square.
---------------------------------
                        MAXIMUM NUMBER OF HOOKS AND SIZE RESTRICTIONS FOR HOOK GEAR * * *
----------------------------------------------------------------------------------------------------------------
Limited access multi species      2,000 hooks.......  3,600 hooks.......  2,000 hooks.......  4,500 hooks (Hook
 vessels.                                                                                      gear vessels
                                                                                               only).
                                 ---------------------
                                      No less than 6'' (15.2 cm) spacing allowed between the fairlead rollers
                                 ---------------------
                                   12/0 circle hooks required for longline gear               N/A.
----------------------------------------------------------------------------------------------------------------
* When fishing under a NE multispecies DAS.
** Monkfish Category C and D vessels, when fishing under a monkfish DAS.
*** When fishing under a NE multispecies DAS or when fishing under the Small Vessel permit.

11. DAS Transfer Program
    Limited access NE multispecies permit holders would be allowed to 
transfer DAS permanently to other limited access permit holders, 
subject to the following restrictions and conditions:
    The length overall (LOA) baseline or gross registered tonnage 
baseline of the buyer/transferee vessel could not be more than 10 
percent greater, and its horsepower could not be more than 20 percent 
greater than the baseline of the seller/transferor vessel. The seller/
transferor vessel would also be required to retire from all state and 
Federal commercial fisheries and to relinquish permanently all Federal 
and state fishing permits. Category A and B DAS that are transferred 
would be reduced by 40 percent; Category C DAS that are transferred 
would be reduced by 90 percent. Vessel permits under Confirmation of 
Permit History (CPH) could be transferred, but vessels fishing under a 
sector allocation would be prohibited from transferring DAS during the 
fishing year in which the vessel is participating in the sector.
    The intent of the permit transfer measures is to allow vessel 
owners the flexibility to retire from the fishery, while reducing the 
overall DAS in the fishery. The requirement that all other permits be 
relinquished is intended to prevent vessels from transferring their 
groundfish permits and continuing to fish, potentially increasing 
effort in other fisheries that may already be fully or overcapitalized.
12. DAS Leasing Program
    Amendment 13 proposes a program to allow limited access NE 
multispecies permit holders to lease groundfish DAS to one another in 
fishing years 2004 and 2005, under the conditions and restrictions 
described below. For purposes of this program, the term ``lease'' 
refers to the transfer of the use of DAS from one limited access 
groundfish vessel to another, for no more than 1 fishing year. 
Implementation of the proposed program would provide the industry an 
opportunity to mitigate economic impacts of the effort reduction 
measures proposed in Amendment 13.

Eligibility

    All vessels with a valid limited access groundfish DAS permit would 
be eligible to lease groundfish Category A DAS to or from another such 
vessel, subject to certain restrictions. Eligible vessels acquiring DAS 
through leasing would be termed lessees; eligible vessels leasing-out 
DAS would be termed lessors. DAS associated with a CPH could not be 
leased. Vessels issued a Small Vessel or Handgear A permit, i.e., 
vessels that do not require the use of groundfish DAS, would not be 
allowed to lease DAS, and vessels participating in an approved sector 
under the proposed Sector Allocation Program in Amendment 13 would not 
be allowed to lease DAS to non-sector vessels during the fishing year 
in which the vessel is participating in the sector.

[[Page 4369]]

Application Procedures

    An eligible vessel wanting to lease groundfish DAS would be 
required to submit a complete application to the Regional Administrator 
at least 45 days prior to the time that the vessel intends to fish the 
leased DAS. Vessels with a VMS would likely be able to receive 
notification of an approved lease agreement sooner than 45 days. Upon 
approval of the application by NMFS, the lessor and lessee would be 
sent written confirmation of the approved application. Leased DAS would 
be effective only during the fishing year for which they were leased. A 
vessel could lease to as many qualified vessels as desired, provided 
that all of the restrictions and conditions are complied with.
    An application to lease DAS could be submitted at any time 
throughout the fishing year, up until March 1. A complete application 
would consist of the following: Lessor's owner name, vessel name, 
permit number and official number or state registration number; 
lessee's owner name, vessel name, permit number and official number or 
state registration number; the number of groundfish DAS to be leased; 
total price paid for the leased DAS; signatures of lessor and lessee; 
and the date the form was completed. Information obtained from the 
application would be held confidential in accordance with the 
requirements of the Magnuson-Stevens Act and applicable regulations.
    The Regional Administrator could reject an application for any of 
the following reasons, including, but not limited to: The application 
is incomplete or submitted past the March 1 deadline; the lessor or 
lessee has not been issued a valid limited access groundfish permit, or 
is otherwise not eligible; the lessor's or lessee's DAS are under 
sanction pursuant to an enforcement proceeding; the lessor's or 
lessee's vessel is determined not in compliance with the conditions and 
restrictions of 50 CFR part 648; or the lessor has an insufficient 
number of allocated or unused groundfish DAS available to lease. Upon 
denial of an application, the Regional Administrator would send a 
letter to the applicant describing the reason(s) for the application's 
rejection. The decision by the Regional Administrator would be the 
final agency decision. There would be no appeal process.

Conditions and Restrictions

    No subleasing of groundfish DAS would be allowed. This means that, 
once a lease application is approved by NMFS, the leased DAS could not 
be leased a second time, even if the lessee was prevented from fishing 
the leased DAS due to circumstances beyond his/her control (e.g., a 
vessel sinking). This restriction is necessary to ensure NMFS' ability 
to administer and account for all leased DAS in an efficient manner. 
Vessels would not be allowed to lease carry-over DAS. Only Category A 
DAS could be leased, and all leased DAS would be Category A DAS.
    Vessels would be allowed to lease as few as 1 DAS to any one 
vessel. The maximum number of DAS that could be leased by a lessee is 
the lessee's vessel's DAS allocation for the 2001 fishing year 
(excluding any carryover DAS). The lessee would be able to fish that 
number of DAS as Category A DAS, in addition to the Category A DAS 
balance the vessel had prior to acquiring the leased DAS. For example, 
if a person wants to lease DAS for a vessel with a limited access 
groundfish permit, and that vessel had 88 DAS allocated to it in 
fishing year 2001, the maximum DAS it could lease would be 88. If the 
same vessel has 53 Category A DAS allocated to it in fishing year 2004, 
that vessel could hold and fish up to 141 Category A DAS for 2004 (the 
53 A DAS allocated for fishing year 2004 plus the 88 DAS allocated to 
that vessel in fishing year 2001).
    A lessor could not lease DAS to any vessel with a baseline 
horsepower rating that is 20 percent or more greater than that of the 
horsepower baseline of the lessee vessel. A lessor also could not lease 
DAS to any vessel with a baseline LOA that is 10 percent or more 
greater than that of the baseline of the lessee vessel's LOA. This is 
intended to constrain effort by ensuring that leased DAS would be 
fished by vessels of similar fishing power.

History of DAS Use and Landings

    Because, in the future, DAS use and landing history may be used to 
determine fishing rights, the proposed program includes a presumption 
for how such history would be accounted for. For ease of 
administration, history of leased DAS use would be presumed to remain 
with the lessor vessel, and landings resulting from the use of the 
leased DAS would be presumed to be attributed to the lessee vessel. 
However, the history of used leased DAS would be presumed to remain 
with the lessor only if the lessee actually fished the leased DAS in 
accordance with the DAS notification program. For purposes of DAS-use 
history, leased DAS would be considered to be the first DAS to be used, 
followed by the allocated DAS. For example, if a vessel had an 
allocation of 50 DAS, leased an additional 20 DAS, and actually fished 
a total of 60 DAS during the fishing year, the lessor of the 20 DAS 
would be attributed with 20 DAS, for purposes of its DAS-use history, 
because the lessee vessel would be presumed to have used its 20 leased 
DAS first. This same vessel would be presumed to have only fished 40 of 
its 50 allocated DAS for the purposes of its DAS-use history. History 
of fish landings would be presumed to be attributed to the vessel that 
actually landed the fish (lessee). Attributing landings history to the 
lessor would be inconsistent with the current vessel reporting system 
used for all other fisheries in the Northeast Region, and would be 
extremely difficult and costly for NMFS to implement.
    In the case of multiple lessors, the leased DAS actually used would 
be attributed to the lessors based on the order in which such leases 
were approved by NMFS. For example, if lessee Vessel A has 50 allocated 
DAS, leases 30 DAS from lessor Vessel B on August 1, and leases another 
10 DAS from lessor Vessel C on August 5, then the first 30 DAS used by 
lessee Vessel A during that fishing year would be attributed to lessor 
Vessel B, the next 20 DAS would be attributed to lessor Vessel C, and 
the next 50 DAS would be attributed to lessee Vessel A, for purposes of 
DAS-use history.

Monkfish Category C and D vessels

    It is possible that a vessel with both a limited access groundfish 
permit and a limited access monkfish permit (monkfish Category C or D 
vessels), because of the groundfish DAS reductions proposed under 
Amendment 13, could have more allocated monkfish DAS than groundfish A 
DAS. Such vessel would be allowed to fish under a monkfish-only DAS 
when groundfish DAS are no longer available, provided the vessel fishes 
under the provisions of the monkfish Category A or B permit, or unless 
otherwise noted below. Under this proposed rule, monkfish Category C 
and D vessels that have remaining monkfish-only DAS at the time of 
implementation of Amendment 13, and that have submitted a groundfish 
DAS Leasing Application that has been approved by NMFS, would be 
required to fish their available ``monkfish-only'' DAS in conjunction 
with their leased groundfish A DAS, to the extent that the vessel has 
groundfish A DAS available. This is consistent with the original intent 
of the Monkfish Fishery Management Plan (Monkfish FMP).
    If a monkfish Category C or D vessel leases groundfish A DAS to 
another vessel, the vessel would be required to forfeit a monkfish DAS 
for each

[[Page 4370]]

groundfish A DAS that the vessel leases, equal in number to the 
difference between the number of remaining groundfish A DAS and the 
number of unused monkfish DAS at the time of the lease. For example, if 
a lessor vessel that had 40 unused monkfish DAS and 47 allocated 
groundfish A DAS leased 10 of its groundfish A DAS, the lessor would 
forfeit the use of 3 of its monkfish DAS (40 monkfish DAS -37 
groundfish A DAS = 3 DAS) because it would have 3 fewer groundfish A 
DAS than monkfish DAS after the lease. The Monkfish FMP specifies that 
monkfish Category C and D vessels must fish a groundfish A DAS 
concurrently with a monkfish DAS. Not deducting monkfish DAS in a 
situation where groundfish A DAS are leased (transferred) would allow 
monkfish and groundfish A DAS to be fished independently. This could 
create a significant effort increase in the monkfish fishery.
13. U.S./Canada Resource Sharing Understanding
    Amendment 13 would adopt and implement the U.S./Canada Resource 
Sharing Understanding (Understanding). Under the Understanding, 
management of GB cod, GB haddock, and GB yellowtail flounder would be 
subject to the terms of the Understanding within two specified areas on 
GB referred to as the U.S./Canada Management Areas (composed of the 
Western U.S./Canada Area and the Eastern U.S./Canada Area). The Eastern 
U.S./Canada Area is composed of statistical areas 561 and 562, and is 
the U.S./Canada management area for GB cod and GB haddock (cod/haddock 
management area). The Eastern U.S./Canada Area has been modified 
slightly to encompass all of CA II for the purpose of better 
administration of the Understanding. The Western U.S./Canada Area is 
composed of statistical areas 522 and 525. The U.S./Canada management 
area for GB yellowtail flounder is composed of both the Eastern and 
Western U.S./Canada Areas.
    Measures to implement the Understanding proposed in Amendment 13 
are intended to allow the U.S. groundfish fishery to harvest, but not 
exceed, the U.S. allocation of these three shared stocks. The 
Understanding specifies an allocation of TAC for these three stocks for 
each country, based on a formula that considers historical catch 
percentages and current resource distribution. Annual harvest levels 
and recommended management measures for the U.S./Canada Management 
Areas would be determined through a process involving the Council, the 
Transboundary Management Guidance Committee, and the U.S./Canada 
Steering Committee. Based on information available at this time, the 
U.S. TACs in fishing year 2004 are expected to be as follows: 300 mt 
(metric tons) for GB cod; 5,100 mt for GB haddock; and 6,000 mt for GB 
yellowtail flounder. The Council will consider these recommendations at 
its January 2004 Council meeting; any different recommendation would be 
implemented through proposed and final rulemaking. Once any one of 
these TACs is reached, the Eastern U.S./Canada Area would be closed to 
all fishing by gear capable of catching groundfish, with the exception 
of an approved SAP, provided that TAC for the target species is still 
available. The Western U.S./Canada Area would not be closed, but would 
have other restrictions imposed, such as trip limits, as necessary, as 
the GB yellowtail flounder TAC is approached.
    Amendment 13 is intended to constrain catches of the three shared 
stocks by U.S. vessels to ensure that they will not exceed the U.S. 
allocations. The proposed management measures to implement the 
understanding are as follows: All NE multispecies DAS vessels fishing 
on a groundfish DAS in the U.S./Canada Management Areas would be 
required to utilize a fully functional VMS for the remainder of the 
fishing year. Vessels would be required to declare, through their VMS, 
prior to departure on a trip, the portion of the U.S./Canada Management 
Area they intend to fish in. For the purposes of selecting vessels for 
observer deployment, a vessel fishing in the U.S./Canada Area must 
provide notice to NMFS at least 5 working days prior to the beginning 
of any trip which it declares into the U.S./Canada Area. This 
notification would ensure that the desired level of observer coverage 
may be achieved in the U.S./Canada Area. Once declared into a specific 
area, a vessel could not fish outside of that area for the remainder of 
that fishing trip. Vessels making a trip in these areas would be 
required to report their GB cod, GB haddock and GB yellowtail flounder 
catches (including discards) through their VMS on a daily basis. 
Because these are ``hard'' TACs, and any overages in a given year would 
be paid back in a lower TAC for that stock in the next fishing year, it 
is essential that catches be reported in a timely manner. Groundfish 
vessels not under DAS would not be subject to the VMS requirement. To 
ensure enforceability of the Understanding, all groundfish vessels 
fishing with a VMS would be polled at least twice per hour, regardless 
of whether the vessel is fishing in one of the U.S./Canada Management 
Areas.
    As an incentive to fish on the shared stocks in the Eastern U.S./
Canada Area, DAS would not be counted until the vessel crosses the 
boundary line into that Area. To reduce bycatch of cod and other 
species, all groundfish trawl vessels fishing in either of the U.S./
Canada Management Areas would also be required to fish with, and have 
on board only, either a flatfish net or a haddock separator trawl, 
which are defined in this proposed rule. NMFS has worked with gear 
experts in the industry to develop the proposed gear definitions and 
requests specific comment from the public on those definitions.
    A cod trip limit within the U.S./Canada Management Areas of 500 lb 
(227 kg)/DAS, not to exceed 5 percent of the total catch on board, 
would be implemented for all groundfish permitted vessels, unless 
further restricted, to create an incentive to avoid catching cod.
    Amendment 13 provides that, when specified portions of the TACs 
have been harvested, reduced trip limits would be imposed for all 
groundfish permitted vessels to slow the harvest of any stock that is 
approaching its TAC. When 70 percent of a specified stock is projected 
to be caught, and catch rates indicate that the TAC for that stock will 
be caught by the end of the fishing year, the following trip limits 
would go into place: Haddock: 1,500 lb (680 kg/day), 15,000 lb (6,804 
kg)/trip; yellowtail flounder: 1,500 lb (680 kg)/day, 15,000 lb (6,804 
kg)/trip. When 100 percent of a shared stock TAC is projected to be 
caught, the Eastern U.S./Canada Area would be closed to all fishing 
that may take cod, haddock, or yellowtail flounder by vessels capable 
of catching groundfish, unless a SAP allows some fishing in the area on 
a specific stock. The Western U.S./Canada Area would not be closed, but 
would have other restrictions imposed, such as trip limits, as 
necessary, as the GB yellowtail flounder TAC is approached.
    The U.S./Canada Management Area measures would remain in place 
until altered through one of two procedures. For periodic adjustments, 
the Regional Administrator, through rulemaking consistent with the APA, 
could adjust gear requirements, modify access to fishing within the 
U.S./Canada Management Areas, and/or adjust trip limits to attempt to 
achieve, but not exceed, the annual TACs. Inseason adjustments could be 
made at the points when 30 percent and 60 percent of the TACs for each 
of the relevant stocks are projected to have been harvested. In

[[Page 4371]]

addition, the Regional Administrator, in consultation with the Council, 
could withdraw from provisions of the Understanding if the provisions 
are determined by the Regional Administrator to be inconsistent with 
the provisions of the Magnuson-Stevens Act or other applicable law, or 
with the goals and objectives of the FMP. If the Regional Administrator 
withdraws from the Understanding, all management measures in place at 
that time would remain in place until changed through appropriate 
procedures under the FMP or the Magnuson-Stevens Act.
    Other existing fisheries prosecuted in the U.S./Canada Management 
Areas would be unaffected by the Understanding measures, except that 
landings of GB cod, GB haddock, and GB yellowtail flounder caught in 
the U.S./Canada Management Areas would be counted against the 
Understanding TACs, regardless of gear type used.
14. SAPs
    Amendment 13 would implement a process to develop SAPs, which are 
intended to facilitate access in closed or highly restricted areas to 
groundfish stocks that can support an increase in fishing mortality, 
and management of, and access to, non-groundfish stocks. The premise 
for SAP development is that specific fisheries can be developed that 
would not undermine achievement of the goals of the FMP, because some 
groundfish stocks are in better condition than others. A SAP would 
allow fishing for either regulated groundfish or species in other 
fisheries, without compromising efforts to rebuild overfished stocks or 
end overfishing of regulated multispecies. A SAP would represent a 
narrowly defined fishery that would be prosecuted in such a way as to 
avoid or minimize impacts on groundfish stocks of concern, as well as 
minimize bycatch and impact on EFH.

SAP Program Procedures

    The proposed SAP program would define minimum criteria that would 
be utilized in the future to develop and implement SAPs. The proposed 
program is comprised of two parts: One that would define a process and 
standards for SAPs for the groundfish fishery, and a second that would 
define a process and standards for SAPs for non-groundfish fisheries. 
Under both proposed processes, in order for a SAP to be established, 
there would need to be sufficient information available to demonstrate 
that the SAP would not adversely impact efforts to control fishing 
mortality on groundfish stocks of concern; would, to the extent 
practicable, minimize bycatch; and would minimize, to the extent 
practicable, adverse effects on EFH caused by fishing. If that 
information is not available, the first step in getting authorization 
of a SAP would be collection of information necessary to demonstrate 
the feasibility of the SAP through an experimental fishery.

SAPs for Vessels Harvesting Groundfish

    Amendment 13 proposed that implementation of SAPs for vessels 
harvesting groundfish could be through a framework adjustment or FMP 
amendment, using the proposed and final rulemaking procedures; or an 
expedited process in which the Council, or an industry participant or 
other member of the public could propose a SAP, which would then be 
reviewed and approved or disapproved by the Regional Administrator, in 
consultation with the Council, through publication in the Federal 
Register. This expedited approach is intended to allow more rapid 
implementation of a SAP than the framework action approach. In order to 
be approved under this process, the SAP must apply to a groundfish 
stock(s) for which the previous year's landings fell short of the TAC. 
The application must also demonstrate that the SAP will not catch more 
than the previous year's TAC shortfall, and that implementation of the 
SAP will not result in overfishing of any stock, or cause any stock to 
become overfished. This is intended to ensure that the biological 
impacts on the target stock fall within the range of the biological and 
economic impacts analyzed in Amendment 13. In order to demonstrate 
consistency with the goals of the FMP, the application would be 
required to specify the number of vessels that would participate in the 
SAP, and the estimated catch rates of the species to be harvested. The 
proposed SAP also could not modify any of the measures that minimize, 
to the extent practicable, the adverse impacts of fishing activity on 
EFH. This also is intended to ensure that any habitat impacts of the 
proposed SAP would fall within the range of the impacts analyzed in the 
FSEIS for Amendment 13. The proposed SAP, to be approved, could not 
increase fishing mortality on a groundfish stock of concern. This, too, 
is intended to ensure that the impacts of the SAP fall within the range 
of impacts analyzed in the FSEIS for Amendment 13. This could be 
accomplished in several ways: (1) By adoption of a limitation on catch 
of the stock of concern, for example through a specific TAC for that 
stock in the SAP, which would have to be adequately monitored through 
observer coverage; (2) by adopting gear or fishing techniques 
demonstrated to reduce or prevent the catch of the stocks of concern, 
including demonstration that the reduction is sufficient that any 
increase in time fishing (effort) will not increase the catch of a 
stock of concern beyond that which would result in the absence of the 
proposed SAP; and (3) by sufficient overall effort reduction or 
redirection to ensure that there is no net increase in bycatch 
mortality. Any SAP would be conducted within a defined area. 
Participation in the SAP could not be limited to vessels or individuals 
from a particular state or political subdivision. The SAP would be 
required to reduce discards and/or discard mortality of all species, to 
the extent practicable. In order for a SAP to be approved under the 
expedited process, it could not have significant impacts as defined by 
the National Environmental Protection Act (NEPA), or if the impacts are 
significant, these impacts would have to have been analyzed in the 
FSEIS for Amendment 13 or some later action. The proposed SAP would be 
required to specify the type of data reporting to be utilized to 
monitor the status of harvest, and should include a realistic plan of 
implementation. Finally, the Regional Administrator should take into 
account available enforcement resources and the enforcement record of 
vessel owners and operators of vessels that would participate in the 
SAP, to help ensure that adherence to the prescribed conditions of the 
SAP could be assured, if approved.
    Under Amendment 13, if a SAP request is submitted to the Regional 
Administrator for approval through the expedited process, the Regional 
Administrator would: (1) Perform an initial review to ensure the 
required elements are present; (2) if all required elements are 
present, notify the Council of receipt of the SAP proposal within 21 
days of receipt of the application; and (3) publish a notice in the 
Federal Register requesting comment on the SAP proposal within a 30-day 
comment period. After considering comments from the Council and the 
public, the Regional Administrator would make a determination on the 
proposed SAP and, if approved, issue a permit authorization for an 
exemption to existing regulations or promulgate new regulations, as 
appropriate, within 60 days of the end of the comment period. The 
expedited process could only be used if it is found to be consistent 
with the APA and other applicable law.

[[Page 4372]]

SAPs for Vessels Harvesting Non-groundfish Species

    Implementation of SAPs allowing vessels to harvest non-groundfish 
stocks could be accomplished through a framework adjustment or FMP 
amendment, using normal rulemaking procedures, or through an expedited 
process similar to the process previously described for vessels 
harvesting groundfish. In order to demonstrate consistency with the 
goals of the FMP, the application for the proposed SAP would be 
required to estimate the catch rates of the species to be harvested.

Proposed SAPs

    In addition to a proposed process for implementing SAPs in the 
future, Amendment 13 proposes four SAPs to be implemented as part of 
Amendment 13. Three of the SAPs would be available to vessels when 
fishing under their category B DAS (the CA II Yellowtail Flounder SAP, 
the CA II Haddock SAP, and the CA I Hook Gear Haddock SAP). The 
remaining SAP, the SNE/MA Winter Flounder SAP, would allow access to a 
limited amount of winter flounder outside of the DAS program. 
Descriptions of each of the proposed SAPs follows.

CA II Yellowtail Flounder SAP

    This SAP would be intended to allow harvesting of GB yellowtail 
flounder. Vessels would be allowed to fish in the CA II Yellowtail 
Flounder SAP, using B DAS, under the following conditions and 
restrictions. From June 1 through December 31, vessels could make up to 
two trips per month into the CA II Yellowtail Flounder Access Area to 
target yellowtail flounder. Because this SAP lies within the Eastern 
U.S./Canada Area, vessels fishing in this SAP would be subject to the 
VMS, reporting, observer deployment, and gear requirements of the 
Understanding. DAS would not be counted until the vessel crosses the 
boundary into the Eastern U.S./Canada Area. In addition, vessels would 
be limited to 30,000 lb (13,608 kg) of yellowtail flounder per trip; 
the cod trip limit would be one fifth of the cod possession limit 
specified for the Eastern U.S./Canada Area (i.e., one fifth of 500 lb 
(227 kg) of cod per DAS, or 100 lb (45.4 kg) per DAS), not to exceed 5 
percent of the total catch on board; and the total number of trips into 
the SAP in a fishing year would be limited to 320. The Regional 
Administrator would have broad authority to modify possession 
restrictions and trip limits under this SAP.

CA II Haddock SAP

    This SAP would be intended to allow fishing for GB haddock. Vessels 
would be allowed to fish in the CA II Haddock SAP, using B DAS, under 
the following conditions and restrictions. From May 1 through February 
28 (or 29 in leap year), vessels fishing under the provisions of this 
SAP could harvest GB haddock. Because this SAP lies within the Eastern 
U.S./Canada Area, vessels fishing in this SAP would be subject to the 
VMS, reporting, observer deployment, and gear requirements of the 
Understanding. DAS would not be counted until the vessel crosses the 
boundary into the Eastern U.S./Canada Area. Participating vessels would 
be subject to a cod possession limit of one-fifth of the cod possession 
limit specified for the Eastern U.S./Canada Area (i.e., one fifth of 
500 lb (227 kg) of cod per DAS, or 100 lb (45.4 kg)), not to exceed 5 
percent of the total catch on board. The Regional Administrator would 
have broad authority to modify possession restrictions and trip limits 
under this SAP.

CA I Hook Gear SAP

    This SAP would be intended to allow fishing for GB haddock. Vessels 
would be allowed to fish in the CA I Hook Gear SAP, using B DAS, under 
the following conditions and restrictions. From September 16 through 
December 31, vessels fishing under the provisions of this SAP could 
harvest GB haddock. Although this area lies outside of the U.S./Canada 
Management Area, vessels would be required to utilize a fully 
functional VMS when participating in this SAP. In addition, vessels 
would be restricted to 400 lb (181.4 kg) of cod per trip, and the area 
would close once 77,161 lb (35 mt) of cod is caught. Each vessel would 
be required to have an industry-funded observer on board when 
participating in this SAP.

SNE/MA Winter Flounder SAP

    This SAP would be intended to reduce discards of SNE winter 
flounder in the summer flounder fishery. Under this proposed SAP, a 
vessel fishing for summer flounder west of 7230' W. 
long.; using mesh authorized by the Fishery Management Plan for the 
Summer Flounder, Scup, and Black Sea Bass Fisheries; and not fishing on 
a groundfish DAS, would be allowed to possess and land up to 200 lb 
(90.7 kg) of winter flounder, subject to the following restrictions: 
(1) The vessels must possess a valid Federal summer flounder permit; 
(2) the weight of winter flounder could not exceed the weight of summer 
flounder on board; (3) while in the program, the vessel could not fish 
on a groundfish DAS; (4) all fishing would have to take place west of 
72 30' W. long.; and (5) possession and/or landing of 
other groundfish species would be prohibited.
15. EFH Measures
    These measures would be intended to minimize impacts of the 
groundfish fishery on EFH to the maximum extent practicable. Amendment 
13 would designate portions of the year-round closed areas, as well as 
new areas, as level 3 habitat closed areas. A level 3 habitat closed 
area is defined as an area that is closed indefinitely, on a year-round 
basis, to all bottom-tending mobile gear. Other measures not 
specifically designed to minimize impacts on EFH, but that would have 
benefits in terms of minimizing impacts on EFH, would also be relied 
upon to meet the EFH provisions of the Magnuson-Stevens Act. The list 
of fishing gears prohibited from use in the year-round closed areas 
would be expanded to include clam dredges. Use of shrimp trawls within 
closed areas would also be prohibited, except in the Western GOM Closed 
Area.
16. Reporting Requirements

Dealer Reporting

    Dealers would be required to report daily, once an electronic 
dealer reporting system is developed and implemented by NMFS. Dealers 
would be required to report the current set of data elements for all 
fish purchases; the disposition of the landings; and a trip identifier, 
which would be reported by all parties in the transaction. 
Implementation of electronic dealer reporting for all dealers may be 
accomplished through a separate rulemaking.

Vessel Reporting

    Once a viable electronic system becomes available for reporting by 
vessels, that system would replace the current VTR system. Vessels 
would be required to report all of the information currently required 
by the VTR, as well as a password, a trip identifier, and landings 
information by statistical area for each trip. Reports would be 
required to be submitted at least at the current statistical area level 
of reporting. Vessels would have the option of using any approved, 
viable electronic means possible to report this information. The trip 
identifier would be required to be reported by all parties in the 
transaction. Implementation of electronic vessel reporting would be

[[Page 4373]]

accomplished through a separate rulemaking.
17. Sector Allocation
    Amendment 13 proposes a process for allowing a sector of the 
groundfish fishery to develop a plan, based on an allocation of 
allowable catch or effort (DAS), that only members of the sector could 
participate in. The intent would be to provide flexibility to the 
industry and to encourage stewardship of the resource and less need for 
Council and NMFS involvement, so long as certain criteria are adhered 
to, including FMP objectives and Magnuson-Stevens Act requirements. 
Under the proposed process, a self-selected group of groundfish permit 
holders could agree to form a sector and submit a binding plan for 
management of that sector's allocation of catch or effort. Allocations 
to a sector could be based either on catch, through TACs requiring 
closure of a fishery upon reaching the TAC (hard TAC); or on effort 
(DAS), with target TACs specified for the sector. Vessels within the 
sector would be allowed to pool harvesting resources and consolidate 
operations in fewer vessels, if they desired. This could promote 
efficiency and reduce impacts of that portion of the fishery on 
habitat, for example. A primary motivation for the formation of a 
sector would be assurance that members of the sector would not face 
reductions of catch or effort as a result of the actions of vessels 
outside of the sector (i.e., if the other vessels exceeded their target 
TACs).

Formation of a Sector

    Participation in a self-selecting sector would be voluntary. 
Vessels that do not choose to join a sector would remain in a common 
pool and would fish under the regulations governing the remainder of 
the fishery. In order to form a sector, the sector applicant(s) would 
need to submit to the Council, at least 1 year prior to the date that 
it plans to begin operation, a proposal requesting that the Council 
initiate a framework adjustment to authorize an allocation of catch or 
effort, subject to compliance with general requirements described below 
and any analytical documents necessary to comply with NEPA. Should the 
Council and NMFS publish and ultimately approve the framework action, 
the sector would then be required to submit a legally binding plan of 
operations (operations plan) for the sector to the Council and to the 
Regional Administrator. The operations plan must contain at least the 
following: (1) A list of all parties, vessels, and vessel owners who 
will participate in the sector; (2) a contract signed by all sector 
participants indicating their agreement to abide by the operations 
plan; (3) the name of a designated representative or agent for service 
of process; (4) historic information on the catch or effort history of 
the sector participants, and any additional historic information 
specified in the framework adjustment; (5) a plan and analysis of the 
specific management rules the sector participants will agree to abide 
by in order to avoid exceeding the allocated TAC (or target TAC under a 
DAS allocation), including detailed plans for enforcement of the sector 
rules and for the monitoring and reporting of landings and discards; 
(6) a plan that defines the procedures by which members of the sector 
that do not abide by the rules of the sector would be disciplined or 
removed from the sector, and a procedure for notifying NMFS of such 
expulsions from the sector; (7) if applicable, a plan of how the TAC or 
DAS allocated to the sector will be assigned to each vessel; (8) if the 
operations plan is inconsistent with, or outside the scope of the NEPA 
analysis associated with the sector proposal/framework adjustment, a 
supplemental NEPA analysis may be required with the operations plan. 
The sector and all participants in the sector would be jointly and 
severally liable for any violations of applicable Federal fishery 
regulations. Once the operations plan is deemed complete, NMFS would 
solicit public comment on the operations plan through publication of a 
notice of proposed rulemaking in the Federal Register. Upon 
consideration of the comments received, the Regional Administrator 
would approve or disapprove the operations plan through publication of 
a final determination consistent with the APA. Approved sectors would 
be required to submit an annual year-end report to NMFS and the 
Council, within 60 days of the end of the fishing year, that summarizes 
the fishing activities of its members, including harvest levels of all 
federally managed species by sector vessels, enforcement actions, and 
other relevant information required to evaluate the performance of the 
sector.

Movement Between Sectors

    Each sector would be permitted to set its own rules with regard to 
movement between sectors, which would be contained in the operations 
plan. Once a vessel signs a binding contract to participate in a 
sector, that vessel would be required to remain in the sector for the 
remainder of the fishing year. In the situation where a sector is 
implemented in the middle of the fishing year, vessels that fish under 
the DAS program outside the sector allocation in a given fishing year 
could not participate in a sector during the same fishing year, unless 
the operations plan provides for an acceptable accounting for DAS used 
prior to implementation of the sector. If a permit for a vessel 
participating in a sector is transferred during the fishing year, the 
new owner must also comply with the sector regulations for the 
remainder of the fishing year. Vessels removed from a sector for 
violation of the sector rules would not be eligible to fish under the 
NE multispecies regulations for the remainder of the fishing year.

General Requirements for All Sector Allocation Proposals

    Allocation of fishery resources to a sector would be based on 
documented accumulated landings for the 5-year period prior to 
submission of a sector allocation proposal to the Council, of each 
participant in the sector. Any allocations of GB cod for fishing years 
2004 through 2007 would be based upon a proposed sector's documented 
accumulated landings during the 1996 through 2001 fishing years, but no 
sector would be allocated more than 20 percent of a stock's TAC. Once 
an allocated TAC is projected to be attained, sector operations would 
be terminated for the remainder of the fishing year. If, in a 
particular fishing year the sector exceeds its TAC, the sector's 
allocation would be reduced by the amount of the overage in the 
following fishing year. If the sector does not exceed its TAC, but 
other vessels in the general pool do, the sector's quota in the 
following year would not be reduced as a result of such overages. 
Sectors may participate in SAPs in accordance with the rules of the 
SAP. The sector must submit an annual, year-end report to the Council 
and NMFS on the fishing activities of its members, including harvest 
levels of all vessels for cod and other federally managed limited 
access species, enforcement actions, and other information needed to 
evaluate the performance of the sector.

GB Cod Hook Gear Sector

    One sector allocation proposal was developed sufficiently to be 
considered by the Council in Amendment 13. If approved, the GB Cod Hook 
Gear Sector would be allocated a maximum of 20 percent of the GB cod 
TAC for each fishing year. Participating vessels would be required to 
use only hook gear. For each fishing year, the sector's allocation of 
the GB cod TAC, up to the maximum of 20 percent of the total GB cod 
TAC, would be determined by calculating the percentage of all landings 
of GB cod

[[Page 4374]]

made by the participating vessels, based on their landings histories 
for the qualifying period of 1996-2001. This calculation would be 
performed as follows: (1) The accumulated landings of GB cod by the 
sector participants for the 6 fishing years 1996-2001 would be summed; 
(2) the accumulated landings of GB cod by all vessels (sector 
participants and non-participants) during the 6 fishing years 1996-2001 
would be summed; (3) the accumulated landings of GB cod by the sector 
participants from 1996-2001 would then be divided by the accumulated 
landings of GB cod by all vessels for 1996-2001; this would result in 
the percentage of the GB cod TAC for the next fishing year that would 
be allocated to the sector (up to 20 percent of the total GB cod TAC). 
This procedure would be repeated for each fishing year, using the 
landings history of GB cod by the sector participants from 1996-2001, 
and the GB cod TAC for that fishing year. If, in a particular fishing 
year, the sector exceeds its TAC, the sector's allocation would be 
reduced by the amount of the overage in the following fishing year. 
When the GB cod TAC is reached, participants in the sector would be 
prohibited from using any fishing gear that is capable of harvesting 
groundfish for the remainder of the year. Participating vessels could 
only harvest groundfish in the GB cod Hook Sector Area (statistical 
areas 521, 522, 525, 526, 533, 534, 537, 538, 539, 541, 542, 543, 561, 
and 562). No leasing of DAS would be allowed by participants in the 
sector during any fishing year of their participation. If the sector is 
approved in Amendment 13, the applicant would be required to submit its 
operations plan to the Council and NMFS for approval and public 
notification prior to its implementation. Because of this process, the 
GB Hook Sector could not be implemented until after May 1, 2004. In 
order to constrain effort in the fishery to the necessary levels, and 
because the sector would be based on a hard TAC allocation, any vessel 
that had fished a groundfish DAS during fishing year 2004, prior to the 
implementation of the sector, would not be allowed to participate in 
the sector for the first year, unless the operations plan provides for 
an acceptable accounting for DAS used prior to implementation of the 
sector. New participants could join the sector at the beginning of a 
new fishing year, but once in the sector, a vessel would be required to 
stay in the sector through the remaining portion of the 5-year period.
18. Closed Area Rationale
    When any new closed areas are adopted, the Council would define the 
intent and specific purpose for the closure and explicitly describe the 
duration of the closure, who can fish in the closed area, and who 
cannot fish in the closed area.
19. Frameworkable Items
    Amendment 13 proposes that the following management measures could 
be adjusted through a framework action, in addition to those measures 
currently identified as framework measures in the FMP:
    Revisions to status determination criteria, including, but not 
limited to, changes in the target fishing mortality rates, minimum 
biomass thresholds, numerical estimates of parameter values, and the 
use of a proxy for biomass;
    DAS allocations (such as the category of DAS under the DAS reserve 
program), DAS baselines, etc.;
    Modifications to capacity measures, such as changes to the DAS 
transfer or DAS leasing measures;
    Calculation of area-specific TACs, area management boundaries, and 
adoption of area-specific management measures;
    Sector allocation requirements and specifications, including 
establishment of a new sector;
    Measures to implement the U.S./Canada Resource Sharing 
Understanding, including any specified TACs (hard or target);
    Changes to administrative measures;
    Additional uses for regular B DAS;
    Future uses for C DAS;
    Reporting requirements;
    The GOM Inshore Conservation and Management Stewardship Plan;
    GB cod gillnet sector allocation;
    Allowable percent of TAC available to a sector through a sector 
allocation;
    Categorization of DAS;
    DAS leasing provisions;
    Adjustments for steaming time;
    Adjustments to the Handgear Only permits;
    Gear requirements to improve selectivity, reduce bycatch, and/or 
reduce impacts of the fishery on EFH;
    SAP modifications; and
    Anything else analyzed with respect to this action.
20. MSY Control Rules
    An MSY control rule is intended to provide management advice to the 
Council as to what the appropriate fishing mortality rate (F) would be 
at a given stock size. Under Amendment 13, the MSY control rule for all 
stocks, with the exception of Atlantic halibut, would be:
    The F calculated to rebuild the stock to Bmsy in 10 years, when \1/
2\ Bmsy00' 
N. lat. in the GOM/GB RMA; and (5) the yellowtail flounder landing 
limit north of 4000' N. lat. in the SNE/MA RMA. The 
Nantucket Lightship Party/Charter Exemption Program does not currently 
specify a minimum enrollment requirement. The two yellowtail flounder 
possession authorization programs would be revised by Amendment 13 and 
would also have a 7-day minimum enrollment requirement. The original 
intent of the 30-day minimum enrollment requirement was to increase the 
enforceability of these programs. However, due to advances in 
technology and the increased use of VMS by commercial fishing vessels, 
NMFS has concluded that the 30-day minimum enrollment requirement is no 
longer necessary for enforcement purposes. Members of the fishing 
industry and the Council have requested that NMFS reduce the 30-day 
minimum enrollment requirement in order to provide them with more 
flexibility with regard to their fishing practices.
24. Policy on Cooperative Research
    Because allocation of DAS is based on a vessel's historical DAS 
use, Amendment 13 would establish a policy that a vessel would not lose 
allocated DAS due to its participation in a research project or 
experimental fishery, if that participation can be adequately 
documented. If a permit holder believes that allocation of DAS under 
Amendment 13 has been limited by the vessel's participation in a 
research project or experimental fishery, the permit holder could 
provide to the Regional Administrator documentation to substantiate the 
time the vessel spent participating in a research project(s) that was 
not considered in Amendment 13 DAS allocation. The Regional 
Administrator would consider such requests on a case-by-case basis, 
review the information submitted, and consider adjusting that vessel's 
DAS allocation accordingly.

Request for Comments

    The public is invited to comment on any of the measures proposed in 
this rule. NMFS is especially interested in receiving comments on 
several proposed measures for which the agency has concern, 
particularly regarding whether the measures are consistent with 
achieving the mortality reduction objectives and whether there is 
sufficient analysis in the FSEIS to support the proposed measures. A 
description of these measures follows.

SAPs

    Amendment 13 proposes four SAPs: The CA II Yellowtail Flounder SAP; 
the CA II Haddock SAP; the CA I Hook Gear Haddock SAP; and the SNE/MA 
Winter Flounder SAP. For two of these SAPs, the CA II Haddock SAP and 
the CA I Hook Gear Haddock SAP, the Amendment 13 document appears to 
lack sufficient analysis to determine the impacts of these programs. 
For the CA II Haddock SAP, the document states that there is no recent 
information available on catch rates of groundfish or other species 
inside the area. The document further cautions that recent VTR data 
from the area adjacent to the CA II Haddock SAP indicates that, for 
most months, vessels reported landing more cod than haddock, on a per 
trip basis. Although Amendment 13 would implement a haddock separator 
trawl gear requirement in this area (trawl gear that is expected to 
reduce cod bycatch), there may not be enough data at this time to 
justify access to this area, given the need to keep fishing mortality 
on GB cod low.
    An experimental fishery is currently being conducted to determine 
whether a directed hook-gear fishery for haddock in CA I could be 
developed that would have very low bycatch of GB cod. However, the 
experiment has not been completed, and the data are of limited temporal 
scope, so there is little information on whether or not a directed hook 
fishery for haddock in CA I could avoid GB cod catches throughout the 
year. Amendment 13 also proposes 100-percent observer coverage for this 
SAP, but does not state

[[Page 4376]]

how this would be accomplished. The costs for 100-percent coverage 
could be very high, and lower coverage levels would likely accomplish 
the same objectives.

Prohibition on Surfclam and Ocean Quahog Dredge Gear in Groundfish 
Closed Areas

    Amendment 13 proposes to exclude clam dredge gear from the NLCA, 
the Cashes Ledge Closure Area, and the Western GOM (WGOM) Closure Area 
to protect EFH for groundfish. There are seven EFH Closure Areas 
proposed under Amendment 13. One of the EFH Closure Areas, the 
Nantucket Lightship Habitat Closure Area, lies within a large portion 
of the NLCA and extends northward of this area. The proposed Cashes 
Ledge Habitat Closure Area is located within the existing Cashes Ledge 
Closure Area, with the exception of the northeast corner of the habitat 
area, and the proposed WGOM Habitat Closure Area almost fully 
encompasses the existing WGOM Closure Area. Amendment 13 proposes to 
exclude hydraulic clam dredges from the EFH Closure Areas. However, 
restricting clam dredge gear from the EFH Closure Areas within areas 
already closed exclusively to protect groundfish may be problematic, in 
that there appears to be little rationale provided for this measure.

Exemption to Allow Shrimp Trawl Gear in the WGOM Closure Area

    Amendment 13 would create Level 3 Habitat Closures for the proposed 
EFH Closure Areas, except that, for the WGOM Habitat Closure Area, 
shrimp trawl gear would be allowed. NMFS is concerned that allowing 
shrimp trawl gear to be used in the WGOM Habitat Closure Area could 
compromise effectiveness of this habitat closure. Furthermore, there 
appears to be little justification in Amendment 13 to support this 
exemption.

Abbreviated Process to Implement SAPs

    Amendment 13 proposes an abbreviated process to implement future 
SAPs, whereby the Regional Administrator would be given the authority, 
upon submission and review of a proposed SAP by a member of the public, 
to implement this program, provided certain conditions are met. The SAP 
could only be considered if it falls within the range of impacts 
analyzed in Amendment 13 or ``other'' management action. Since the only 
SAPs that appear to have been fully analyzed in Amendment 13 are the CA 
II Yellowtail Flounder SAP and the SNE/MA Winter Flounder SAP, and 
assuming that ``other'' management actions would analyze proposed SAPs, 
this authority appears to be unnecessary. Amendment 13 would provide 
for SAPs to be approved through the framework adjustment process. The 
framework process may be a more appropriate vehicle for consideration 
of proposed SAPs than the proposed abbreviated process for SAP 
implementation.

Proration of DAS

    If Congress approves H.R. 2673, the Omnibus 2004 Appropriations 
bill, with the current provisions regarding the New England groundfish 
(sec. 105.(a) and (b)), implementation of Amendment 13 would be delayed 
until at least October 1, 2004. Because this proposed rule is designed 
for a May 1, 2004, implementation, which coincides with the beginning 
of the fishing year, an October 1, 2004, implementation would fall in 
the middle of the fishing year. If implementation were delayed, some of 
the management measures and analyses thereof described in this proposed 
rule may require modification in order to take into account the new 
date of implementation. DAS allocations would need to be prorated to 
take into account DAS already used in the 2004 fishing year, issuance 
of limited access Handgear A permits would be delayed, and there would 
be complications regarding certain aspects of implementation of the 
SAPs, the U.S./Canada Understanding TACs, the GB Cod Hook Sector 
Allocation, and the DAS Leasing Program.

Classification

    At this time, NMFS has not determined that the FMP amendment that 
this proposed rule would implement is consistent with the national 
standards of the Magnuson-Stevens Act and other applicable laws. NMFS, 
in making that determination, will take into account the data, views, 
and comments received during the comment period.
    The Council prepared a DEIS for the EFH components of Amendment 13; 
a notice of its availability was published on April 4, 2003 (68 FR 
16511). A notice of availability of the DSEIS, which analyzed the 
impacts of all of the measures under consideration in Amendment 13, was 
published on August 29, 2003 (68 FR 52018); a correction to the DSEIS 
was published on September 19, 2002 (68 FR 54900).
    This proposed rule has been determined to be significant for 
purposes of Executive Order 12866.
    NMFS, pursuant to section 603 of the Regulatory Flexibility Act 
(RFA), prepared this initial regulatory flexibility analysis (IRFA) as 
a supplement to the Council submission of Amendment 13 to the Fishery 
Management Plan for Northeast Multispecies (Amendment 13). The IRFA 
describes the economic impact that this proposed rule, if adopted, 
would have on small entities.
    The Council, in its submission, included a Regulatory Flexibility 
Act Analysis (RFAA) in support of the proposed action. In this 
analysis, the baseline (no-action alternative) is the set of measures 
that were in place prior to the first set of interim measures 
implemented under the settlement agreement (i.e., FY 2001 fishing 
measures). The use of this baseline was adopted by the Council. Copies 
of Amendment 13, which includes the Council's RFAA, can be obtained 
from the Council (see ADDRESSES). Tables and sections that are 
referenced in this IRFA refer to those contained in Amendment 13. A 
description of the reasons why this action is being considered is found 
in the preamble to this proposed rule, the Executive Summary and 
Section 1.0, Volume 1, of Amendment 13. The objectives of, and legal 
basis for, the proposed rule are found in the preamble to this proposed 
rule and Section 1.0, Volume 1, of Amendment 13. There are no federal 
rules that may duplicate, overlap, or conflict with the proposed rule.

Description of and Estimate of the Number of Small Entities to Which 
the Proposed Rule Will Apply

    The proposed action would implement changes affecting any vessel 
holding a limited access groundfish permit, an open access hand gear-
only permit, and vessels that hold an open access party/charter permit. 
Based on fishing year 2002 (FY2002) data the total number of small 
entities that may be affected would be 1,442 limited access permit 
holders, 1,994 hand gear permits, and 685 party/charter permits. 
However, since an open access permit holder may hold more than one 
permit, the total number of unique entities holding either a hand gear 
or a party/charter permit was 2,250 of which 1,565 held only a hand 
gear permit, 306 held only a party/charter permit, and 379 held both a 
hand gear and a party/charter permit. The SBA size standard for small 
commercial fishing entities is $3.5 million in gross receipts while the 
size standard for small party/charter operators is 100 employees. The 
commercial fishing size standard would apply to limited access permit 
holders as well as open access hand-gear only permits. Available data 
based on 1998-

[[Page 4377]]

2001 average gross receipts show that the maximum gross receipts for 
any single commercial fishing vessel was $1.3 million. For this reason, 
each vessel is treated as a single entity for purposes of size 
determination and impact assessment. This means that all commercial 
fishing entities would fall under the SBA size standard. Since all 
entities were deemed to fall under the SBA size standard for small 
commercial fishing entities, there would be no disproportionate impacts 
between small and large entities.

Economic Impacts of Proposed Action

Recreational Measures

    The proposed action would implement a 10 cod/person/day bag limit 
for private recreational vessels and party/charter vessels in the GOM 
and a minimum size for cod 22 inches (55.9 cm) and haddock 19 inches 
(48.3 cm). This would relax current restrictions on the bag limit for 
Gulf of Maine party/charter passengers and would permit passengers to 
retain a two-day equivalent of the daily bag limit on trips that take 
place over two calendar days and that are at least 15-hours in 
duration. These measures would affect any vessel that chooses to take 
passengers for-hire in the Gulf of Maine where cod are caught. While 
there are a large number of vessels that hold a party/charter 
groundfish permit, there have only been about 120 vessels that have 
actually reported landing Gulf of Maine cod when taking passengers for 
hire. Of these vessels, the majority earn at least 75 percent of 
fishing income from passenger fees. Although the impact of a relaxation 
of the bag limit cannot be estimated using available data there is 
little doubt that the higher bag limit will be more attractive to 
party/charter customers which should result in higher passenger loads 
and an overall improvement in party/charter business profits.

Commercial Measures

Measures to Address Stock Rebuilding Requirements

    The proposed action would implement both a change in baseline DAS 
allocations and a number of management measures that would affect the 
manner in which available DAS allocations may be used.
    The Settlement Agreement assigned baseline DAS allocations based 
solely on DAS that had been called-in during fishing years 1996 to 2000 
and granted a minimum allocation of 10 DAS to all limited access permit 
holders. The proposed action would change this baseline by adding 
FY2001 to the qualification period but would also require that only 
years in which at least 5,000 pounds of regulated groundfish would 
count toward qualification. Vessels that either called in no DAS at all 
or never landed more than 5,000 pounds in a single year would receive a 
baseline allocation of zero although their full pre-settlement 
agreement allocation would be placed in Category C DAS.
    Preliminary analysis of the proposed action indicates that the 
majority (599) of vessels would see no change in their effective effort 
baseline, while 272 vessels would receive a higher allocation than 
their Settlement Agreement baseline. However, 52 vessels would have a 
lower baseline and 519 vessels would receive a zero baseline 
allocation. Of the vessels with a zero baseline, 394 were vessels that 
had received a minimum allocation under the Settlement Agreement and 
125 were vessels whose baseline allocation was more than 10 DAS.
    In effect, the proposed action places greater weight on providing 
for continued participation in the groundfish fishery to those vessels 
that may be comparatively more active and that may be more dependent on 
the groundfish fishery for business income. That is, reducing the 
potential pool of qualifying DAS makes it possible to achieve the same 
conservation objective with a lower DAS reduction to all remaining 
vessels that will receive a baseline allocation.
    Vessels that receive no baseline allocation in FY2004 would not be 
able to fish for regulated groundfish until all stocks have been 
rebuilt and all Category B DAS have been converted to Category A DAS. 
While this prohibition may not have an immediate impact on fishing 
income (i.e. vessels that received no allocation have either not 
participated in the groundfish fishery over a five-year period or did 
participate but at a very low level) but a loss of DAS does mean that 
the equity value of the business would be reduced. A loss in equity 
would affect the resale value of the vessel and may affect the ability 
to obtain business loans.
    A total of 923 vessels would receive a non-zero baseline 
allocation; approximately the annual average number of vessels that 
have participated in the groundfish fishery since 1996. For these 
qualifying vessels the action would have no affect on economic 
opportunities for the 519 vessels with no change in baseline DAS. It 
would increase economic opportunity for 272 vessels, while 52 boats 
with DAS allocations receive lower allocations. Approximately 500 
vessels will receive zero DAS.
    Since all entities were deemed to fall under the SBA size standard 
for small commercial fishing entities, disproportionality does not 
apply as a standard against which small entity impacts would be 
compared to large entity impacts. Nevertheless, in section 5.4.4, 
revenue impacts were estimated for several different vessel categories 
including total value of groundfish sales where groundfish sales 
classes were broken into four intervals based on quartiles of the 
distribution of 1998-2001 average groundfish sales for participating 
vessels. The findings in section 5.4.4 indicate that relative changes 
in total fishing income would have lower impact on vessels with total 
groundfish sales of less than $35,000. Overall, vessels with the 
highest groundfish sales, as opposed to those with lower sales, may be 
expected to be more affected by Amendment 13 management measures. 
However, the proposed action would have lower revenue impact than any 
of the non-selected alternatives. To examine whether the proposed 
action would have impacts based on total sales, the revenue impacts 
were summarized by gross sales intervals where intervals were 
established as the quartiles of the distribution of 1998-2001 average 
gross sales. Due to differences in dependence on groundfish and normal 
fishing patterns, these total revenue losses are not equally 
distributed across all vessels. In fact, revenue changes were found to 
be quite skewed, which means that reporting average or even median 
vessel impacts fails to identify the full range of revenue losses 
across the groundfish fleet. For this reason, revenue impacts are 
reported for the 10th, 25th, 50th (median), 75th and 90th percentile of 
the distribution of impacted vessels sorted in ascending order from 
most negatively to least impacted vessel (Table 184). Each percentile 
forms an interval that represents a specific number of vessels as well 
as the lower and upper range of impact on vessels between percentiles.
    Relative changes in total fishing revenues were not markedly 
different across all sales intervals at least among the 55 most 
impacted vessels in each sales interval, although the estimated impact 
at the 10th percentile was greatest (-44.7 percent) for vessels with 
sales less than $65,000 (Table 369). However, revenue impacts on the 
remaining 150 or so vessels in this sales category were generally lower 
and were even positive for some vessels as compared to vessels with 
higher gross sales. In fact, the overall impact was

[[Page 4378]]

generally most burdensome on vessels with highest gross sales ($300,000 
or more). Note that these estimated impacts would be higher for all 
sales intervals for any of the non-selected alternatives versus the no-
action alternative. Based on the estimated changes in gross fishing 
revenue, the proposed action would have higher impact on vessels with 
highest total sales and would not, therefore, have a disproportionate 
impact on vessels with smallest total sales.
    Change in gross revenues provides an incomplete picture of the 
impact of the proposed action on vessel profitability, making it 
difficult to determine whether any given vessel may cease business 
operations. Unfortunately, while available data permit tracking 
landings and revenues by vessel, no comparable data collection system 
exists to collect a comprehensive set of operating, fixed, and debt 
service costs for the groundfish fleet. This means that it is not 
possible to directly provide a reliable numerical estimate of current 
profit levels or how many vessels may not be able to remain profitable 
once the Proposed action is implemented. However, a relative measure of 
profitability change and percent of possible business failures was 
estimated by simulating vessel costs and returns by using a combination 
of the cost data developed for the break-even DAS analysis (see Section 
4.4.5), available data, and the estimated reduction in effective 
effort. Specifically, empirical data were used to fit theoretical 
probability distributions for fixed costs, costs per day, annual 
revenue on groundfish trips, annual revenue on trips where groundfish 
were not landed, days absent on groundfish trips, and days absent on 
trips where groundfish were not landed. A Monte Carlo simulation was 
then run using 1,000 iterations to produce 1,000 different possible 
financial profiles or equivalent profit levels for each gear and size 
class developed for the break-even analysis. By simultaneously 
simulating a baseline scenario and the Proposed action (the baseline 
groundfish days absent reduced by 45 percent) each realization produces 
a paired estimate of profit for the baseline and the Proposed action. 
In this manner, groundfish revenue is directly linked to the DAS 
reduction but so too are the operating cost savings associated with a 
reduction in groundfish effort. For calculations used to estimate 
profitability, see section 7.3.3.7.2.
    The potential business failure rate ranged from 25 to 35 percent 
for small vessels using long-line gear depending on debt levels (Table 
371). For vessels that may remain above break-even, median reduction in 
profit level ranged from 47 percent to 56 percent for vessels with no 
debt and high debt respectively. Across all vessels, reductions in 
profit levels could exceed 80 percent while some vessels may experience 
more modest changes in profitability (between 8.0 and 25 percent 
depending on debt level). Available data does not make it possible to 
determine the mix of small long-line vessels by debt level. However, 
assuming a medium debt level represents a fleet average, 17 out of a 
total of 51 small long-line vessels (see Table 175 for total vessels by 
size-gear groupings) may be expected to cease business operations.
    Larger long-line vessels had higher overall fishing revenues in 
FY2000 than small long-line vessels, but also had higher estimated 
costs. These costs represented a small overall increase in proportion 
to increases in total fishing revenues which means that business 
failure rates for these vessels are likely to be lower. Failure rates 
were estimated to range from a low of 9 percent for vessels with no 
debt and a high of 15 percent for vessels with high annual debt 
payments (Table 372). Median estimated reduction in profit level was 
also lower than small long-line vessels but still exceeded 37 percent, 
regardless of debt level. At the medium debt failure rate, a total of 3 
of 24 large long-line vessels may cease business operations under the 
Proposed action.
    Business failure rates for small gillnet vessels may range from 19 
to 24 percent depending on debt level (Table 373). Median reduction in 
profit would be about 35 percent, but may be much higher (more than 80 
percent) for some vessels or may be less than 1 percent for others. 
Assuming a medium debt failure rate, 14 of 63 small gillnet vessels may 
be expected to cease business operations.
    As was the case for larger hook vessels, larger gillnet vessels had 
higher overall fishing revenues but costs were not higher by the same 
proportion. For this reason, failure rates for large gillnet vessels 
were somewhat lower (from 15 to 21 percent) than for small gillnet 
vessels (Table 374). However, potential reductions in profit levels for 
vessels that would still be above break-even may be higher for large, 
as compared to small gillnet vessels. Specifically, median profit 
reduction may be at least 50 percent; about 15 percentage points 
greater than estimated median impacts on small gillnet vessels. Using 
the medium debt level failure rate, a total of 23 of 118 large gillnet 
vessels may be expected to cease business operations.
    Small trawl vessels (less than 50 feet in length) may have business 
failure rates between 27 and 33 percent depending on level of debt 
payments (Table 375). Median losses in profit levels for vessels that 
may still be able to break-even may be between 50 and 60 percent with 
some vessels experiencing much larger reduction in profitability (90 
percent or greater for vessels with high debt), while others may 
experience much lower reductions in profit. Assuming that medium debt 
is consistent with a fleet average, about 55 of 187 small trawl vessels 
may go out of business under the Proposed action.
    The business failure rate for medium trawl vessels was estimated to 
range between 18 and 27 percent (Table 376). This failure rate was 
lower than that of small trawl vessels suggesting that these vessels 
may be able to take advantage of economies of scale which makes them 
somewhat more resilient to adverse economic conditions. Median 
reduction in profit level ranged within a narrow interval of from 45 to 
48 percent. Based on the medium debt failure rate, 48 of 218 trawl 
vessels would not be able to remain in business after Amendment 13 is 
implemented.
    Large trawl vessels had the highest debt levels and generally had 
higher trip and fixed costs than any other vessel size or gear 
category. These higher costs were not offset by proportionally higher 
revenue which tends to produce lower profit margins than other vessel 
gear/size classes. For this reason, the estimated business failure rate 
(between 31 and 43 percent) was the highest for large trawl vessels 
(Table 377). Similarly, reductions in profit, as measured at the 
median, were also generally higher (53 to 61 percent) as were 
reductions in profitability for both the most affected and least 
affected vessels. Applying the medium debt failure rate to the 187 
large trawl vessels included in the economic analysis in Section 4.4.4 
results in a potential for 68 business failures.

Discussion

    Based on the above analysis, a total of 228 vessels of varying 
sizes and gear groups may not be able to remain in business under the 
proposed action. This estimate was based on the assumption that all 
vessels had a medium level of debt and may range from 190 to 260, 
depending upon which debt level best represents a fleet-wide average. 
These estimates are also contingent on the extent to which the 
simulated cost and returns reflect actual financial conditions in the 
groundfish fleet. Unfortunately, not enough cost data, particularly on 
fixed costs and debt payments, has been collected to evaluate the 
veracity of these results.

[[Page 4379]]

This difficulty aside, the profitability analysis did not take into 
account differences in potential revenue generation that may exist for 
vessels that fish predominately in the Gulf of Maine, as compared to 
elsewhere. The analysis also does not account for differences in how 
area closures may affect vessels, particularly small as compared to 
large vessels. Finally, the analysis only took into account the 
potential effort reduction associated with the expected use of Category 
A DAS.

Measures Proposed To Mitigate Adverse Economic Impacts of the Proposed 
Action

    The proposed action contains a number of measures that would 
provide small entities with some degree of flexibility to be able to 
offset at least some portion of the estimated losses in profit. The 
major offsetting measures include the opportunity to use additional 
``B'' DAS, leasing of DAS, DAS transfer, and sector allocation. As 
designed, the proposed action would achieve target fishing mortality 
rates for most stocks but would achieve higher then necessary reduction 
for others.

Category B DAS

    Category B DAS would be subdivided into two categories, one which 
would be used in Special Access Programs (reserve B DAS), while the use 
of the remaining B days or Regular B DAS will be determined in a 
Framework Action. The primary purpose of B DAS is to provide access to 
and increased yield from stocks that may be fished at higher levels. 
These opportunities would enhance profitability for vessels that may be 
able to participate in any one or more of these special fisheries.

DAS Leasing or Transfer

    Particularly for vessels with few alternative fisheries, reductions 
in profit may be offset by the ability to acquire more DAS either 
through leasing or DAS transfer. The former would make DAS available to 
a vessel for a single fishing season whereas the latter would be a 
permanent transfer of DAS from one vessel to another. Transferred DAS 
would be subject to a 40-percent conservation tax on the transfer, but 
vessels would be able to acquire both Category A and Category B DAS. By 
contrast, a DAS lease would not be subject to a conservation tax but 
vessels would be only allowed to acquire Category A DAS. It is not 
known which option any given vessels may choose to pursue, but analysis 
clearly suggests that making DAS available in some form of exchange can 
improve overall profitability for both buyer and seller. The following 
describes this analysis.
    The economic impact of a DAS leasing program was estimated by 
simulating a quota market using a math programming model. The model 
maximized industry profits by choosing the days each vessel will fish 
(if any) of their own allocation, days they will lease from other 
vessels, and the number of their days they will lease to other vessels. 
Each vessel can only fish a maximum number of days at sea, which is the 
sum of their days and their FY 2001 allocation. Days fished above their 
allocation of days must be leased from other vessels. In the model, 
vessels were constrained to be either a lessee or lessor, although in a 
real world situation a vessel could be a lessee and a lessor 
simultaneously. Restrictions were placed on the model which did not 
allow days to be leased by larger vessels from smaller vessels, which 
were consistent with the restrictions passed by the Council. Results 
from the model yielded a very efficient outcome in terms of maximizing 
industry profit with as few vessels as possible. In reality, the actual 
leasing of DAS among industry participants may not be as profitable as 
projected by the math programming model. An individual vessel's 
activity level chosen by the model is determined by its productivity, 
the maximum allowable days it can fish, the lease price for days at 
sea, daily fishing costs, and the prices of each species, and a 
restriction which prohibit leasing of days from smaller vessels by 
bigger vessels. The model doesn't differentiate between areas fished, 
where vessels land their fish, and a variety of other factors that will 
influence the amount of DAS leased, including other fisheries in which 
the vessel can participate, and it assumes perfect information among 
participants.
    Vessels were grouped together regardless of gear type, and then 
stratified into fleets of 100 vessels. Each fleet was then paired with 
itself, and then with every other fleet to simulate trades between all 
1,345 vessels which could potentially lease quota. For each sector 
pair, the model was run 50 times in order to incorporate a stochastic 
lease price, which was generated based on results from a previous LP 
model. Lease prices used in the model ranged from $218 to $2,093, with 
a mean of $1,029. Results from the simulations were used to examine 
changes in profitability which would occur from allowing days at sea 
leasing.
    Results from the simulation runs were stratified by gear type and 
length of vessel. Class 1 vessels were less than 50 feet; class 2 
vessels were between 50 and 69 feet, and class 3 vessels were 70 feet 
and greater. The three gear types examined were hook (50 vessels), 
trawl (1,126 vessels) and gillnet (169 vessels). There were more 
vessels in the model than had Category A DAS in the proposed action. 
Because vessels can fish up to the total of their Category A DAS and 
their FY 2001 allocation, vessels with zero Category A DAS can still 
lease days at sea, and therefore need to be included in the model. 
Because the model is attempting to maximize industry profit, under a 
DAS leasing scheme, fewer vessels will fish (Table 378). However, mean 
profits for all vessels will be higher than if DAS trading were not 
allowed, and all vessels fished their allocation (Table 379). Mean 
profits are also higher than those generated by actual fishing during 
calendar year 2002 by vessels actually fishing. Vessels which choose to 
lease all their quota can greatly enhance their profit since the owner 
is getting all the revenue from the lease without incurring any costs, 
and in particular not having to pay labor costs. The decision from a 
vessel perspective on whether to lease quota to other vessels is based 
on whether they can lease their quota for more then they would earn 
after paying expenses including payments to the crew. If a vessel 
decides to lease quota from other vessels, it is based on whether they 
can earn more from a leased day at sea than what they will pay for the 
lease plus what they will pay to the crew, and to cover other expenses.
    Model results generally showed the flow of lease days going from 
larger vessels to smaller vessels. Trawl and gillnet vessels less than 
50 feet in length were projected to use more days at sea than in 2002 
under a DAS leasing scheme (Table 380). Trawl and gillnet vessels 
greater than 50 feet saw their days at sea usage decline from 2002 
levels. Hook vessels were projected to see their days at sea increase. 
Restrictions on DAS trading make it difficult for larger vessels to 
lease from smaller vessels, but the opposite does not hold. Small 
vessels have a large potential number of vessels that they can lease 
from, which is what model results show. Examination of both tables 378 
and 379 show that larger vessels can profit by leasing their days to 
smaller vessels. For example, length class 2 trawl vessels average 
profit was $68,387 using an average of 36.92 days of effort under a DAS 
leasing scheme, while their average profit was $31,428 using 46.13 days 
of effort in 2002. Small trawl vessels average profit was $41,111 using 
31.9 days of effort under days at sea

[[Page 4380]]

leasing, while their 2002 average profit was $12,271, and their average 
days at sea was 25.13. This demonstrates that both sectors would be 
better off with a DAS leasing program than fishing at their calendar 
year 2002 effort levels.
    Additionally, the average profit levels were projected to be higher 
under DAS leasing than if the vessels fished at their allocated 2004 
levels. This demonstrates DAS provides substantial regulatory relief to 
vessels compared with no leasing (no-action alternative).

Hand Gear A Permit

    The proposed action would convert the existing open access hand-
gear permit into a limited access category and an open access category 
Handgear A permits. Vessels that qualify for a limited access permit 
would benefit from a relaxation of the cod trip limit and would not be 
subject to trip limits on any other species. Vessels that do not 
qualify for limited access would still be able to obtain an open access 
permit but the cod trip limit would be much lower than current hand-
gear only permit holders may retain. Available data show that even 
though a large number of open access hand-gear permits have been issued 
in the past not much more than 10 percent of these permits actually 
report landings of any amount of either cod or haddock. A preliminary 
assessment of qualification indicates that approximately 150 vessels 
would qualify for a limited access hand-gear A permit which just about 
as many vessels with documented landings in any given year since 1997. 
Thus, the conversion to a limited access permit with the potential to 
achieve higher landings and higher incomes overall also may permit the 
majority of small entities currently participating in the fishery to 
continue operating. The no-action alternative would yield no economic 
benefits as compared to the proposed action. Therefore, the proposed 
alternative is favorable when compared to the no-action.

Elimination of the Area Restriction for the Northern Shrimp Exempted 
Fishery

    The northern shrimp fishery would no longer be restricted to the 
area shoreward to the small mesh fishery exemption line. All other 
restrictions remain in effect. The elimination of the line will 
increase potential economic benefits for shrimp fishermen without harm 
to the multispecies stock. Recent studies have shown that with other 
devices such as the Nordmore grate, bycatch of regulated multispecies 
is minimal. The no-action alternative would yield no economic benefits 
and would not change the economic conditions in the shrimp fishery. 
Therefore, the proposed alternative is favorable when compared to the 
no-action. For further detail of the economic impacts relating to the 
measures see section 5.4.11.

Tuna Purse Seine Vessel Access to Groundfish Closed Areas

    Tuna purse seine gear is defined as exempted gear for the purposes 
of the multispecies FMP. Tuna purse seine vessels will be allowed into 
all groundfish closed areas, subject only to the normal restrictions 
for using an exempted gear in the area. This would benefit the purse 
seiners by expanding groundfish areas available for fishing and, thus, 
allow those vessels to increase profitability. The Council recognizes 
that part of the seine contains mesh less than the regulated mesh size 
for the multispecies fisheries. For further detail on the economic 
impacts of the proposed alternatives, see section 5.4.10.

Southern New England General Category Scallop Vessel Exemption Program

    Unless otherwise prohibited in 50 CFR 648.81, vessels with a 
limited access scallop permit that have declared out of the DAS program 
as specified in 648.10, or that have used up their DAS allocations, and 
vessels issued a general category scallop permit, may fish in the 
statistical areas 537, 538, 539, and 613--defined as the Southern New 
England General Category Scallop Exemption Area--when not under a NE 
multispecies DAS. This would relieve a restriction and allow scallop 
vessels to enter expanded areas for the harvest of scallops, relieving 
a restriction and allowing those vessels to increase profits, if 
available (see section 5.4.12). The no-action alternative would yield 
no economic benefits because vessels would be precluded from 
participating in this program. Therefore, the proposed alternative is 
favorable when compared to the no-action.

Modified VMS Operation Requirement

    A vessel using a VMS can opt out of the fishery for a minimum 
period of one calendar month by notifying the Regional Administrator. 
Notification must include the date a vessel will resume transmitting 
VMS reports. After receiving confirmation from the RA, the vessel 
operator can stop sending VMS reports. During the period out of the VMS 
program, the vessel cannot engage in any fisheries until the VMS is 
turned back on. This would reduce operating costs associated withVMS 
operation (see section 3.4.11). The no-action alternative would yield 
no economic benefits. Therefore, the proposed alternative is favorable 
when compared to the no-action.

Observer Coverage Level Adjusted by NMFS

    No later than 2006, NMFS would determine if a 10 percent level of 
observer coverage is sufficient to monitor catches and discards in the 
groundfish fishery with an acceptable level of precision and accuracy. 
The level of observer coverage will be adjusted (increased or 
decreased) consistent with that analysis. The present cost for a NMFS-
approved observer is estimated to be $1150 per day at sea. Based upon 
the analysis conducted by 2006, costs associated with the observer 
coverage program may increase or decrease.

Revised Standards for Certification for Bycatch/Exempted Fisheries

    The standards for certification of a bycatch/exempted fishery that 
were implemented through Amendment 7 would continue to be used. 
However, this measure would allow the RA to modify the 5 percent 
bycatch rule and make additional modifications on a one-to-one basis 
under an accepted set of conditions. The economic benefits or costs are 
uncertain with this measure since the RA could decrease the percentage 
used in the bycatch rule as well as increase it. However, the measure 
seems to be intented to allow a very controlled expansion of fishing 
areas, thus, benefitting vessels economically while conserving critical 
species. The effect of the no-action alternative would depend on the 
Regional Administrator's determination on a case-by-case basis, e.g., 
if the RA lowered the acceptable bycatch percentage, the no-action 
alternative would have a beneficial impact, but if the acceptable 
bycatch percentage was increased, the no-action would have a negative 
impact.

Flexible Area Action System (FAAS)

    The FAAS would be eliminated under the proposed action. This system 
has not been used in recent years and its elimination should have no 
economic impact on multispecies vessels.

Periodic Adjustment Process

    The annual adjustment process is revised to be a biennial 
adjustment, with the PDT performing a review and submitting management 
recommendations to the Council every two years. This would tend to have 
a positive effect on profitability of individual vessels since it would

[[Page 4381]]

expand their planning horizon making their fishing operations more 
efficient and profitable. The no-action alternative would yield no 
economic benefits. Therefore, the proposed alternative is favorable 
when compared to the no-action.

U.S./Canada Resource Sharing Understanding

    Management of Georges Bank cod, haddock, and yellowtail flounder 
would be subject to the terms of the United States/Canada resource 
sharing agreement. The agreement specifies an allocation of Georges 
Bank cod, haddock, and yellowtail flounder for each country. The 
management objective is for the shared cod, haddock, and yellowtail 
flounder to achieve, but not exceed the U.S. allocation fraction. This 
allocation would be based on a formula, which includes historical catch 
percentage and present resource distribution. The economic implications 
of this agreement would depend on the specific allocation, the 
reduction in DAS attributable to steaming time, and other economic 
considerations such as fuel prices and Canadian and U.S. fish prices. 
This measure would most likely benefit larger vessels who traditionally 
fish Georges Bank. It would also allow each country to plan its fishing 
activities in advance which could result in a more efficient use of the 
limited resources found on Georges Bank, thus, increasing the 
profitability of individual vessels engaged in the fishery (see section 
5.49.2.3). The no-action alternative would yield no economic benefits 
as this system would not be established and fishermen would not be in a 
position to benefit from management measures established through this 
Understanding. Therefore, the proposed alternative is favorable when 
compared to the no-action.

Sector Allocation

    Under this measure, sector allocation may be used to apportion part 
or all of groundfish fishery resources to various industry sectors. A 
self-selected group of permit holders may agree to form a sector and 
submit a binding plan for management of that sector's allocation of 
catch or effort. Allocations to each sector may be based on catch (hard 
TACs) or effort (DAS) with target TACs specified for each sector. 
Vessels within the sector would be allowed to pool harvesting resources 
and consolidate operations in fewer vessels if they desired. One of the 
major benefits of self selecting sectors is that they provide 
incentives to self-govern, therefore, reducing the need for Council-
mandated measures. A primary motivation for the formation of a sector 
is assurance that members of the sector would not face reductions of 
catch or effort as a result of the actions of vessels outside the 
sector (i.e., if the other vessels exceed their target TACs). This 
measure could benefit vessels within a sector since they would be able 
to better plan and control their fishing operations. However, as sector 
plans evolve, each plan would need to include an economic analysis to 
determine the extent, if any, that vessels outside the sector are 
negatively impacted. By creating a process for the formation of self-
selecting sectors, this Amendment creates an opportunity for groups of 
vessels to adapt their fishing behavior so that they remain 
economically viable in the face of increasing restrictions imposed to 
rebuild groundfish stocks. The ability to form a sector could be an 
important component of providing flexibility to small commercial 
fishing entities to mitigate the economic impacts of the Amendment. 
Further, depending on the geographic location of the membership of a 
given sector, sector allocation could also provide an opportunity for 
fishing communities to reduce economic impacts. The no-action 
alternative would yield no economic benefits. Therefore, the proposed 
alternative is favorable when compared to the no-action. For additional 
detail on the economic impacts of the proposed alternatives see section 
5.4.9.3.

GB Hook Sector

    The proposed action would create a voluntary sector for longline/
hook vessels on GB. This provides an opportunity for vessels to 
mitigate the impacts of the management alternatives. By organizing into 
a cooperative, vessels may be able to develop more efficient ways to 
harvest groundfish and minimize the inefficiencies that result from the 
regulations. While it is not possible to estimate the economic impacts 
of a sector until the actual participants are known, the pool of 
participants will probably be the vessels that have used longline gear 
to fish on GB in the past.
    For fishing years 1996 through 2000, 182 vessels reported using 
longline gear to catch GB cod. This alternative also includes access to 
CAI to harvest haddock. From 1996 through 2000, 44 hookvessels reported 
landing GB haddock, roughly one-fourth of the total number that 
reported landing GB cod. Allowing access to CAI for vessels that choose 
to participate in the sector may increase the ability of these vessels 
to target GB haddock, further mitigating the impacts of the rebuilding 
programs.

Frameworkable Items

    The Council has submitted, for approval, a number of items to be 
frameworkable. There are no economic impacts from this measure. 
However, each future framework action would need to contain an analysis 
of economic impact when applicable.

Measures To Minimize Adverse Effects of Fishing on EFH

    The proposed action would implement habitat closed areas that are 
modifications of existing closed areas (Alternative 10B). For all VTR 
records retained for analysis, the total estimated gross revenue from 
all species reported during calendar year 2001 was $296.3 million. The 
proposed Level 3 habitat closure would allow stationary bottom tending 
gear and mid-water trawl gear to continue to fish in a closed area. As 
a result, total revenues earned by vessels using these gears would not 
be reduced. The revenue losses from prohibiting bottom tending mobile 
gear in a Level 3 closure ranged from 8.1 percent (Alternative 5b) to 
0.5 percent (Alternatives 6, 10A and 10B) (Table 295). Compared to the 
effects from a Level 1 closure where all fishing is prohibited, the 
revenue losses for the remaining alternatives were 1 to 2 percent 
lower. However, revenue losses for some specific species groups were 
substantially reduced. Since a large proportion of monkfish are landed 
with gillnet gear the Level 3 closure would mitigate a substantial 
proportion of estimated monkfish revenue losses associated with a level 
1 closure. Similarly, revenue losses for the ``other'' species group 
would be mitigated under a Level 3 closure because a significant 
proportion of these revenues are comprised of lobster landings from 
trap gear. Revenue losses for groundfish would be partially offset by a 
Level 3 closure since gillnet and hook segments of the groundfish 
fishery would not be affected. However, bottom trawl gear accounts for 
the majority of groundfish effort, hence, groundfish revenue losses 
would still range between 9 and 14 percent for all gear for all 
alternatives except Alternatives 6, 10A, and 10B. Since a Level 3 
habitat closure does not provide any relief to fisheries using mobile 
bottom-tending gear the share of revenue impact for fisheries that are 
dominated by these mobile gears increases relative to other fishery 
impacts. The surf clam/ocean quahog fishery would be impacted by a 0.9 
percent revenue loss. The surf clam/ocean quahog fishery would further 
be impacted since under proposed Alternative 7 since surf clam/ocean

[[Page 4382]]

quahog dredges would not continue to be exempted from regulations 
prohibiting the use of that gear in multispecies closed areas. 
Therefore, while short-term revenue losses are estimated to be 0.9 
percent there may be longer term impacts which cannot be estimated 
until further closures are undertaken.
    In addition to Alternatives 7 and 10b, the Council has also adopted 
Alternative 2 to address impacts of fishing on EFH. There are no 
anticipated economic impacts resulting from the selection of 
Alternative 2. This Alternative relies on the habitat benefits of other 
non-habitat related management measures implemented through Amendment 
13 to meet the EFH provisions of the Magnuson-Stevens Act. The No-
Action alternative would increase profitability for those vessels 
prohibited in closed areas when compared to the proposed action which 
restricts fishing in those areas. Affected gear types include clam 
dredges and bottom trawl gear.

Economic Impacts of Alternatives to the Proposed Action

    This section describes the impacts of management measures that were 
considered by the Council but were not adopted as part of Amendment 13. 
Unless otherwise stated, these impacts compare the economic results of 
the measure compared to the baseline period.

Recreational Measures

    Two alternatives to the preferred action were considered: the 
status quo (settlement agreement measures) and a measure featuring a 
trip bag limit for cod with a closed season.
    Under the status quo settlement agreement measures, charter/party 
operators would be directly affected by the enrollment requirement. The 
enrollment program would remove the possibility of charter/party 
vessels switching back-and-forth between commercial fishing and 
carrying passengers for hire for those vessels that still want to be 
able to take recreational passengers into any one of the rolling 
closure areas. Vessels that forego the exemption program would still be 
able to switch between commercial and recreational activities, but may 
sacrifice some charter/party business to competitors if catch rates are 
actually higher, or even perceived to be higher, inside the closed 
areas. Given the increase in the minimum size limit, charter/party 
vessels may experience a reduction in passenger demand. However, the 
minimum fish size increase will have a relatively small effect on 
charter/party keep opportunities. Following implementation of the 
minimum fish size increases in 1996 and 1997, passengers and trips have 
increased on charter/party vessels. Further, among alternative 
management measures, size limits are generally supported by the 
recreational fishing public. Therefore, the change in minimum size 
would not seem likely to result in a substantial reduction in passenger 
demand for charter/party trips in the GOM or GB.
    The status quo alternative would retain a bag limit on charter/
party anglers fishing for Atlantic cod in the GOM. Industry 
representatives have indicated in the past that passenger demand is, in 
part, driven by angler expectations, and that one important component 
of angler expectations is the opportunity to have a ``big trip.'' As 
the argument goes, even though these expectations are realized on only 
a small fraction of trips, imposition of a bag limit would cause 
individuals to lose interest in taking a charter/party trip. The extent 
to which anglers would respond in the manner described is not known, 
nor have there been any studies that document angler response to 
changes in charter/party bag limits.
    The third alternative would increase the minimum size of cod, 
reduce the minimum size of haddock, prohibit fishing in the Gulf of 
Maine from December through March, and implement a 10 cod/trip limit. 
While the reduction in the haddock minimum size would represent a 
potential increase in economic benefits this option would yield smaller 
economic benefits than the proposed action due to the closed season.
    From 1995-2000, an average of 72.7 percent of vessels that reported 
taking party/charter groundfish trips made 100 percent of their fishing 
income from party/charter operations conducted in the groundfish 
fishery. The remaining 27.3 percent earned income from other fishing 
activities. About ten percent earned less than 50 percent of their 
fishing income from party/charter operations. These vessels could be 
commercial vessels that are taking party/charter trips to compensate 
for reduced income from commercial fishing or to maintain a year-round 
income during times of area closures. The communities most likely to be 
impacted by these measures are those that are adjacent to Gulf of Maine 
closure areas and those in which the most party/charter vessels are 
homeported. These communities are Gloucester and the North Shore of 
Massachusetts, Portsmouth and the NH Seacoast, southern Maine, and the 
South Shore of Massachusetts.

Management Alternatives To Address Rebuilding Requirements

    The Council considered 4 stock rebuilding alternatives to the 
proposed action: Up to a 65 percent reduction in DAS; a reduction in 
DAS with gear modifications; area management; and a hard TAC 
alternative.
Alternative 1--Up to a 65 Percent Reduction in DAS
    Alternative 1 contains two different proposed DAS use levels and 
two different trip limit alternatives for GB Cod. Alternative 1A has a 
DAS use of 28,400 days and a Georges Bank cod trip limit of 2,000 
pounds per DAS, up to 20,000 pounds per trip. Alternative 1B has the 
same GB cod trip limit, but would reduce DAS use to 41,050 in the first 
year, with used DAS declining to 22,100 DAS in the fourth year after 
implementation. Alternative 1C would have the same DAS use as 1A, but 
would implement a GB cod trip limit that would vary by gear and season. 
Similarly, Alternative 1D would implement the same GB cod trip limit as 
1C but would reduce DAS use to the same level as 1B. Alternative 1A 
would result in an estimated reduction of $45.6 million in total 
fishing income, while Alternative 1B would result in an estimated 
reduction of $28.3 million in the first year. Due to a more restrictive 
GB cod trip limit, Alternative 1C would result in an estimated 
reduction in total fishing revenues of $49.1 million and Alternative 1D 
would result in a reduction of $33 million.
    Vessel-level impacts are not uniformly distributed with some 
vessels being much more impacted than others. Because of the tendency 
for revenue impacts to be skewed, revenue impacts are reported for the 
10th, 25th, 50th (median), 75th and 90th percentile of the distribution 
of impacted vessels sorted in ascending order from most negatively to 
least impacted vessel (Table 192). Each percentile forms an interval 
that represents a specific number of vessels as well as the lower and 
upper range of impact on vessels between percentiles. For example, 
since there are 848 vessels included in the analysis, there are 85 
(rounding to the nearest whole number) vessels at or below the 10th 
percentile. Gross revenues for these vessels would decline 46.3 percent 
or greater for Alternative 1A, but would decline 29.8 percent or more 
for Alternative 1B. Similarly, the revenue loss for the 127 vessels 
between the 10th and 25th percentile would range from 46.3 to 40.1

[[Page 4383]]

percent for Alternative 1A and from 29.8 to 25.4 percent for 
Alternative 1B. The revenue loss for the median (50th percentile) 
vessel was 24.0 percent and the revenue loss at the 25th percentile was 
40.1 percent.
    At the upper end of the distribution of impacted vessels are some 
vessels that may realize an increase in fishing revenues, in spite of 
the DAS reductions proposed under Alternative 1. For example, the 85 
vessels above the 90th percentile would realize either no change, or 
some modest improvement in fishing income, because of the increase in 
the GOM cod trip limit from 400 lb under No Action to 800 pounds per 
day, as well as differences in the suite of closures between what had 
been in place in FY2001 and that proposed under Alternative 1. That is, 
compared to No Action, Alternative 1 measures permit a small number of 
vessels (about 10 percent) to be more efficient. For these vessels, the 
gain in efficiency is sufficient to more than offset the DAS losses 
resulting in a net increase in fishing income relative to No Action. 
This highlights the relationship between efficiency and regulatory 
design. That is, economic impacts may be reduced by identifying 
measures that permit vessels to operate as efficiently as possible 
within available effort allocations. The trip limit is one such 
example; the tradeoff between DAS and area closures is another. For 
example, for vessels with limited range a larger DAS reduction with 
fewer area closures may yield higher revenues as compared to a lower 
DAS reduction with more area closures.
    At a fleet-wide level, Alternatives 1C and 1D have similar 
predicted revenue losses to that of Alternatives 1A and 1B. However, 
because of the comparatively more restrictive GB cod trip limit, 
Alternatives 1C and 1D revenue losses are 2-3 percent larger.
    The impact on individual vessels depends on a variety of factors. 
Vessels that have a relatively high dependence on groundfish would be 
more affected by a given reduction in groundfish trip income than 
another vessel that is engaged in other fisheries. For example, if 
vessel A earned 80 percent and vessel B earned 20 percent of annual 
revenue from groundfish trips, a 20-percent reduction in groundfish 
revenue for both vessels would result in 16-percent reduction in total 
fishing income for vessel A, but would be only a 4 percent reduction in 
total annual fishing revenue for vessel B. For Alternative 1A and 1B 
the loss of gross fishing revenue increases with higher dependence on 
groundfish trip income (Table 193). For Alternative 1A, the median 
revenue loss for vessels that depend on groundfish for 25 percent or 
less of fishing revenue was estimated to be 3.2 percent while the 
median loss for vessels with 75 percent or greater dependence on 
groundfish was 41.1 percent. This difference between vessels from lower 
to higher levels of dependence on groundfish trip income is consistent 
for all percentiles. As noted above, the revenue losses for Alternative 
1B are lower across all dependence categories. Alternative 1C and 1D 
revenue losses are higher, but not appreciably so, for vessels with 
groundfish dependence below 75 percent. Among vessels that are most 
dependent on groundfish, the revenue losses for Alternative 1C are 3 to 
5 percentage points higher as compared to Alternative 1A with the same 
used DAS. Similarly, the losses of Alternative 1D exceed that of 1B 
particularly among vessels at or below the 10th percentile (i.e. the 
most affected vessels).
    Dependence on groundfish is defined as the proportion of groundfish 
trip income of total fishing income. This magnitude of dependence does 
not take into account the level of total fishing income since a vessel 
with $5,000 in total fishing income could have the same level of 
dependence on groundfish as a vessel with $500,000 in total fishing 
income. In relative terms the impact on these two vessels may be the 
same but the total losses may be very different since the former may 
have income from other non-fishing sources while for the latter fishing 
may be the sole source of income and may support a larger number of 
people. To examine the relative impact on vessels with differing levels 
of groundfish revenues the estimated distribution of no action revenues 
was divided into approximate quartiles resulting in the following 
revenue classes; $35,000 or less, $35,001 to $100,000, $100,001 to 
$250,000, and $250,001 or more.
    As was the case for groundfish dependence, the relative impact on 
vessels with higher gross sales was estimated to be greater at all 
percentiles, although the relative impact for the most affected vessels 
(the 10th percentile) was approximately the same (-47 percent) for all 
sales categories from $35,001 and above (Table 194). It is important to 
note that the fact that estimated relative revenue losses were 
generally higher for vessels with higher gross sales also means that 
the revenue losses in absolute terms would also be greater.
    The relative impact on vessels with gross groundfish sales of 
$35,000 or less was substantially lower than vessels with higher gross 
sales. In fact, 25 percent of these vessels were estimated to earn 
higher fishing income under either Alternative 1A or 1B as compared to 
No Action. Vessels with increased revenue tended to be smaller vessels 
using gillnet or hook gear; vessels that would benefit relatively more 
from the increased GOM cod trip limit and whose revenue would be more 
sensitive to differences in area closures between No Action and 
Alternative 1. Estimated losses of gross revenues were higher for 
Alternative 1C and 1D as compared to 1A and 1B but the relative 
distribution of losses among sales intervals was similar; with revenue 
impacts tending to increase with sales.
    The relative revenue loss was lower for hook gear than for either 
gillnet or trawl gears for both Alternative 1A and 1B (Table 195). 
Since cod represents a higher proportion of trip income for hook gear 
than for gillnet or trawl gear, revenue impacts associated with DAS 
reductions are offset by the higher GOM cod trip limit that for some 
vessels is enough to result in a net increase in fishing revenue.
    Estimated revenue losses were similar among the most impacted 
gillnet and trawl vessels but estimated revenue changes tended to be 
less severe for gillnet vessels above the 25th percentile as compared 
to the trawl vessels. For example, the revenue loss of the median 
gillnet vessel was 12.0 percent as compared to 29.5 percent for the 
median trawl vessel. Gillnet losses tended to be lower than trawl 
losses, because like hook gear, cod represents a higher proportion of 
trip income so gillnet gear tends to benefit proportionally more from a 
change in cod trip limits than trawl gear. Note that total losses on 
trawl vessels is not only greater in relative terms but would also be 
greater in absolute terms since there are more than twice as many trawl 
vessels than either gillnet or hook vessels.
    The more restrictive GB cod trip limit for Alternative 1C and 1D 
results in only a small loss on trawl vessels compared to Alternatives 
1A and 1B but would have a larger loss on both gillnet and hook gears. 
However, these losses are not uniform for all hook and gillnet vessels. 
That is, vessels that rely on Gulf of Maine stocks would not be 
affected by a change in Georges Bank cod trip limits, whereas vessels 
that fish primarily on GB are more affected.
    The estimated relative loss of total annual fishing revenue was 
lower for vessels under 50-feet for either Alternative 1A or 1B, 
although the Alternative 1A impact on the most affected small vessels 
was not substantially less (40.3 percent) than either medium (46.6 
percent) or large (46.3 percent) vessels (Table 196). The

[[Page 4384]]

distribution of revenue impact was similar for both medium and large 
vessels indicating that neither vessel size class would be 
disproportionately affected relative to each other under either 
Alternative 1A or 1B. Since hook and gillnet vessels tend to be small, 
the economic impacts on small vessels of Alternatives 1C and 1D was 
proportionally greater than Alternatives 1A and 1B.
    The relative revenue loss for small hook vessels was less than that 
of larger hook vessels, although not substantially so (Table 197). 
Unlike hook gear, small gillnet vessels were less affected than larger 
gillnet vessels but there was a greater difference in revenue loss with 
larger gillnet vessels being substantially more impacted at all 
percentiles than small gillnet vessels. For trawl gear, the 
distribution of revenue losses was similar across all size classes at 
least up to the 50th percentile. Above the 50th percentile small 
vessels tended to be proportionally less affected than either medium or 
large vessels and large vessels tended to be less impacted than medium 
vessels. As noted previously, due to the lower DAS reductions the 
revenue impacts for Alternative 1B were lower across all gear and size 
groupings than that of Alternative 1A.
    Alternative 1A would have greatest revenue impact (i.e., loss) on 
vessels from Maine home ports as compared to those vessels from other 
states (Table 198). The distribution of revenue loss was similar across 
all states except for New Jersey at the 10th percentile ranging from a 
loss of 42.8 percent in Rhode Island to 47.8 percent in Massachusetts. 
At the 25th percentile, Maine and Massachusetts's vessel revenue 
reductions were higher than all other states at 42.5 percent and 42.4 
percent respectively. However, at higher percentiles Maine vessels were 
estimated to experience higher revenue loss than any other state at 
both the 50th and 75th percentiles.
    Across all states, only New Jersey and Rhode Island (and quite 
likely New York) did not have any vessels with unchanged or increased 
fishing revenues under Alternative 1A. Vessels from these states are 
most likely to fish on GB or Southern New England and so would not be 
likely to benefit from an increase in the GOM cod trip limit.
    Across port groups the relative distribution of estimated revenue 
losses was similar at and below the 25th percentile for the port groups 
of Boston, Gloucester, New Bedford, MA, and Portland, ME, Portsmouth, 
NH, and Upper Mid-Coast, Maine (Table 199). For these ports and port 
groups, the revenue losses on the most affected vessels ranged from 
43.0 percent in Boston to 45.9 percent in Portland. Revenue losses at 
the 50th percentile ranged from nearly 30 percent in Portsmouth to 43.6 
percent in Portland. Overall, Portland, Maine had the highest revenue 
reduction at the 25th, 50th, and 75th percentile. However, the total 
impact on the ports of New Bedford and Gloucester would likely be 
greater because the number of vessels operating out of these ports is 
greater. Among other ports the groups including Point Judith, 
Provincetown, and South Shore Massachusetts all had roughly equivalent 
revenue losses across all percentiles. Revenue losses on home port 
vessels in states with proportionally more vessels that rely on GB cod 
would be comparatively more affected under Alternative 1C and 1D as 
compared to 1A and 1B than vessels from states that have greater 
reliance on Gulf of Maine stocks. As noted previously, revenue losses 
of Alternatives 1C and 1D are larger for vessels that fish 
predominantly on GB and fish for GB cod in particular. This is 
particularly notable for the Chatham/Harwich port group that is home to 
a concentration of hook and gillnet vessels.

Alternative 2--Reduction in Allocated DAS With Gear Modifications

    Alternative 2 would implement a suite of measures that would 
require a number of gear changes over and above what current 
regulations require. Alternative 2 would also implement a set of area 
closures that differ from no action and differ from that of Alternative 
1. The DAS would be similar to current regulations (under the FW 33 
court order) except that under Alternative 2A vessels that fished in 
the GOM would take a 30 percent reduction in DAS instead of 20 percent 
while Alternative 2B would result in the same proportional DAS 
reduction for all vessels but would restrict the total number of DAS 
that could be fished in the GOM to 70 percent of allocated DAS. In all 
other respects there are no differences between 2A and 2B.
    In addition to DAS and area controls, Alternative 2 has a number of 
proposed gear restrictions that have been designed to reduce fishing 
mortality to desired levels. Alternative 2 also includes a hard TAC as 
a backstop measure, in case any one of the other effort reduction 
measures are not as effective as anticipated. The analysis presented 
below reports the impacts of fishing revenues for Alternative 2 with 
and without the TAC backstop. In this manner, the economic impact of 
the management measures modeled in the Closed Area Model can be 
contrasted with that of the TAC backstop. The Closed Area Model, 
however, does not include the impacts of some of the gear changes 
(haddock separator trawl, raised footrope trawl, mesh changes, etc). If 
these measures are as effective as expected, the revenue impacts would 
be more severe than those shown here for the alternative without the 
hard TAC. Nevertheless, removing the hard TAC from Alternative 2A and 
2B and showing the economic impacts does demonstrate that these two 
alternatives may have slightly different distributive economic impacts.
    Alternative 2B provides some flexibility to vessels to fish outside 
the GOM rather than be subject to a different DAS reduction. Because of 
this flexibility, the estimated gross revenue loss (Table 200) for 
Alternative 2B ($30.2 million) was slightly less than that of 2A ($31.6 
million). This difference may be underestimated because the area 
closure model imposes constraints on fishing location decisions that 
are consistent with recent fishing history. This means that a vessel 
that never fished outside the GOM under the no action would not choose 
to do so under Amendment 13, even though it may be advantageous. Given 
this limitation, the revenue losses associated with Alternative 2B may 
be overestimated relative to Alternative 2A, which would tend to 
obscure the difference in relative economic effect between the two ways 
of administering DAS controls in the GOM.
    As modeled, Alternative 2 does not meet conservation objectives 
without the hard TAC backstop. With a hard TAC, the added flexibility 
offered by the different DAS management options under Alternative 2A 
and 2B is eliminated because the hard TAC becomes more constraining 
than DAS allocations. This means that the estimated economic effects of 
the hard TAC backstop were the same regardless of the proposed DAS 
administration under Alternative 2A or 2B. The total loss of gross 
revenue was estimated to be $64.2 million. Note that this impact may be 
overestimated because the effectiveness of the gear changes could not 
be quantified. Should the gear changes be as effective as anticipated, 
or more so, then the hard TAC may not be constraining or would at least 
not be as constraining as predicted. Nevertheless, even though the 
economic impact would likely be lower it would probably still be 
greater than that estimated for Alternative 2A and 2B without the hard 
TAC backstop since that analysis underestimates revenue impacts because 
assumed catch rates, hence

[[Page 4385]]

fishing revenue, would be overestimated.
    At the vessel-level the estimated revenue losses associated with 
Alternative 2 with the hard TAC were higher by about 30 percent at the 
10th and 25th percentile. The difference in impact at the median was 
not quite as high but was still higher by 23 percent (-37.1 percent for 
Alternative 2 with a hard TAC as compared to -13.8 percent for 
Alternative 2 without a TAC backstop).
    Without the TAC backstop the impact on annual estimated gross 
fishing revenue increased, as dependence on groundfish revenue 
increased (Table 201). The median loss for vessels that rely on 
groundfish was less than 1 percent, but was almost 25 percent for 
vessels with 75 percent or greater reliance on groundfish. Among those 
most dependent on groundfish, estimated revenue loss was 63 percent or 
more for 37 of 371 vessels.
    For some vessels, the estimated revenue change was positive 
suggesting some vessels would see modest improvements in total fishing 
revenues under Alternative 2. Such an increase in gross revenue results 
relative to the No Action because of the increase in the GOM cod trip 
limit as well as some differences in area closures. Note that positive 
changes in revenues tend to be associated with vessels that are less 
dependent on groundfish.
    With the hard TAC backstop the estimated revenue losses for vessels 
least dependent on groundfish would be greater but not by more than 6 
percent at any given percentile. However, for vessels with greater 
dependence on groundfish for total fishing revenue, the estimated 
impact of the hard TAC backstop was much greater, particularly among 
the most affected vessels (i.e. at the 10th percentile). For example, 
the impact on gross revenues for vessels that depend on groundfish for 
25 to 50 percent of revenue would be almost -33 percent with a hard TAC 
as compared to about -20 percent without a TAC backstop.
    The estimated impact of Alternative 2 without the TAC backstop was 
generally less for vessels with gross sales of $35,000 or less (Table 
202). Across all categories of gross sales the largest reduction in 
gross revenue was 50.9 percent or greater for vessels with gross sales 
between $100 and $250 thousand. However, at the 25th and 50th 
percentile revenue losses within this sales category were similar to 
that of vessels with sales of between $35,000 and $100,000 and to 
vessels with sales in excess of $250,000. Above the 50th percentile the 
proportional change in revenue impacts was greatest for vessels with 
gross sales above $250,000.
    With a hard TAC backstop, the estimated revenue losses were larger 
across all categories of gross sales at all percentiles with revenue 
reductions at the 10th percentile of 70 percent or more for vessels 
with gross sales of $35,000 to $250,000. Estimated impact on the median 
vessel was highest (-49.9 percent) for vessels with gross sales of more 
than $250,000 and lowest (-12.9 percent) for vessels with $35,000 or 
less in gross sales.
    Alternative 2 contains a modest increase in the GOM cod trip limit 
compared to what had been implemented during FY2001. However, 
Alternative 2 has a trip limit on GB cod that is much lower than that 
of the No Action which means that vessels that depend on GB cod for the 
majority of fishing revenue would be significantly affected under this 
particular Alternative. The difference in cod trip limits between GOM 
and GB is evident in the estimated revenue impacts of both gillnet and 
hook gear. Without a hard TAC backstop the revenue impacts for these 
two sectors show markedly different effects depending upon whether a 
vessel might fish in the GOM or GB as estimated revenue losses for 
gillnet vessels ranged from -56.9 percent at the 10th percentile to a 
gain of 0.7 percent at the 90th percentile (Table 203). The range of 
revenue loss on hook gear was even greater with 8 vessels experiencing 
a loss of 73.7 percent or more with the same number of vessels 
experiencing revenue increases of 6.3 percent at the 90th percentile. 
Revenue loss on vessels using trawl gear ranged between -33.4 percent 
and no change in revenue at the 10th percentile and 90th percentiles 
respectively. The disproportionate loss in revenue for hook and gillnet 
vessels operating on GB is due to the greater reliance on cod for 
fishing revenue as compared to trawl gear.
    With the hard TAC backstop, the disparity across gear groups does 
not disappear altogether, but it is reduced . Specifically, at the 10th 
percentile gillnet and hook gear impacts were estimated to be -75.9 
percent and -78.5 percent, respectively. The impact on trawl gear was 
still lower at 67 percent. The analysis showed a much smaller 
difference among gear groups than estimated impacts without the hard 
TAC. The median vessel impact across gear groups was similar ranging 
between -34 and -38.1 percent.
    Without a hard TAC backstop, the relative impacts of Alternative 2 
on vessels of different sizes were similar for Alternatives 2A and 2B 
(Table 204). Across size classes the impacts on medium and large 
vessels were similar as there were only modest differences in revenue 
change at any percentile from the 10th to the 90th. By contrast, small 
vessels were substantially more affected at the 10th percentile (58.8 
percent loss) than either medium (36.1 percent) or large (33.3 percent) 
vessels.
    With a hard TAC backstop the impact was still proportionally 
greater on small vessels (-75.7 percent) at the 10th percentile but the 
relative distribution of impacts across vessels of differing sizes was 
similar at all other percentiles.
    For trawl gear there was little difference among small, medium or 
large vessels in the distribution of revenue impacts (Table 205). For 
example, revenue impacts without a TAC backstop among the most 
negatively affected trawl vessels ranged from -32.4 percent for medium 
vessels and -35.1 percent for small vessels. Median impacts also fell 
within a relatively narrow range of -12.6 percent to -15.0 percent for 
large and medium trawl vessels, respectively. With a hard TAC backstop 
the relative distribution of impacts across trawl vessels was similar 
although estimated revenue impacts were consistently greater for small 
followed by medium then large vessels at the 10h, 25th, and 50th 
percentiles. At higher percentiles medium-sized vessels tended to be 
most impacted compared to other trawl vessels.
    Both with and without the hard TAC backstop, small hook and small 
gillnet vessels tended to be comparatively more impacted than larger 
hook or gillnet vessels although both gear/size groupings were 
disproportionately affected relative to either trawl or gillnet gears. 
Without the TAC backstop, both small and larger gillnet vessels were 
similarly affected up to the 25th percentile but median impacts were 
lower for small gillnet vessels (-6.0 percent) compared to medium 
gillnet vessels (-14.4 percent). These larger gillnet vessels were 
estimated to experience larger revenue changes at higher percentiles as 
well. With the TAC backstop, efficiency gains from the increase in the 
GOM cod trip limit are lost as TACs. The TAC backstop, once reached, 
reduces overall fishing opportunities.
    Without a TAC backstop, Alternative 2 measures would have least 
impact on New Jersey vessels and would have greatest overall impact on 
Massachusetts vessels (Table 206). The median vessel impact (-23.2 
percent) was greater for Massachusetts vessels than any other state and 
the impact on the most affected vessels was -58.8

[[Page 4386]]

percent or more which exceeded the next closest state (New Hampshire) 
by almost 19 percentage points.
    The overall impact on gross annual revenues was similar for Rhode 
Island and for New York/Connecticut vessels as revenue impacts ranged 
from -20.7 percent/-17.2 percent to no change/+0.7 percent in Rhode 
Island and New York/Connecticut respectively. Among the remaining 
states the relative impact on New Hampshire vessels was greater than 
that of Maine vessels since the estimated revenue loss was greater at 
all percentiles for New Hampshire than for Maine vessels.
    The hard TAC backstop would increase estimated revenue reductions 
but the overall pattern of effects across differing states would be 
unchanged. The state of Massachusetts would still be most impacted 
followed by New Hampshire and Maine. The relative distribution of 
impacts on Rhode Island and New York/Connecticut would still be roughly 
equivalent and New Jersey vessels would be least affected.
    Across all ports and port groups the largest reduction in annual 
fishing income would be in the port group of Chatham/Harwich with 
three-fourths of all vessels losing at least 29.7 percent of fishing 
revenue and half of all vessels losing more than half of fishing 
income. The impacts on these ports are directly related to the 
reduction in the GB cod trip limit as this port group is a center for 
the Cape Cod hook and gillnet fleet that relies heavily on GB cod for 
fishing revenue.
    The Chatham/Harwich port group would still be the most impacted 
area under a TAC backstop with three-fourths of all vessels losing 
nearly 50 percent of annual fishing income. Among the most impacted 
vessels the estimated revenue loss was at least 77 percent.
    Without a hard TAC backstop, the distribution of revenue changes 
was similar for the ports of Provincetown, Gloucester, New Bedford, 
Boston, and South Shore Massachusetts, and the New Hampshire Seacoast. 
Thus, even though the revenue losses among these ports do differ, 
Alternative 2 does not disproportionately disadvantage these ports over 
one another. Ports that may be expected to experience lowest revenue 
impact include Point Judith and the Eastern Long Island port group.
    The hard TAC backstop would change the relative distribution of 
impacts across port groups. As noted previously, Chatham/Harwich would 
be most impacted but Gloucester would also be disproportionately 
affected whereas the relative distribution of impacts on the ports of 
New Bedford, New Hampshire Seacoast, Portland, Portsmouth, 
Provincetown, and Upper Mid-Coast Maine would be similar.

Alternative 3--Area Management

    As proposed, other than area-species TACs, Alternative 3 (area 
management) would not implement any specific new measures as these 
would be developed later by some yet to be determined form of area 
management team or other type of governing body. The area closure model 
was used to estimate the impacts of current measures that would remain 
in place as well as the economic impact of a hard TAC. As noted 
previously, the area closure model treats a hard TAC as equivalent to 
an individual vessel quota and so does not evaluate area-specific 
quotas without also prorating those quotas by species and areas to 
individual vessels. However, the area closure model also limits fishing 
choices to areas that had been fished by a given vessel. This means 
that the area closure model already incorporates some aspects that 
would be consistent with assignment of a species-area TAC so the 
results may reasonably approximate the impact of an area TAC 
particularly one that is based primarily on logbook records.
    Other than area-specific TACs the default management measures 
including trip limits, area closures and DAS allocations are identical 
to Alternative 4. For this reason, the economic impact of the 
Alternative 3 measures with a hard TAC are discussed with Alternative 4 
(section 5.4.4.5).

Alternatives 3, 4, and 4A--Hard TAC Alternatives

    Alternative 3, 4 and 4A implement a hard TAC in addition to 
different suites of area closures, DAS allocations, and gear 
restrictions. In spite of these differences, the estimated impact of 
all three alternatives was approximately the same because the hard TAC 
becomes the primary measure that constrains individual vessels. Note 
that the gear differences between Alternatives 4 and 4A could not be 
taken into account because the base data for the area closure model 
included catch information for 1998-2001. These years would be 
consistent with Alternative 4A but would not reflect the effect of 
current gear restrictions that are also proposed for Alternative 4. How 
this effects the analysis is unclear. On the one hand, larger mesh 
associated with Alternative 4 may result in lower catch rates and the 
TAC might not be reached as quickly while on the other hand, DAS 
allocations are lower.
    As noted previously, Alternative 3 was modeled in its default form 
as though it were identical to Alternative 4. Therefore, in the 
following discussion, Alternatives 3 and 4 are referred to as a single 
alternative, called Alternative 3/4. Given that the default would 
likely be changed once the specific management areas, method for 
assigning TACs, and most importantly, mechanism for developing measures 
for each area have been determined, the estimated impact of Alternative 
3/4 may be an upper-bound. Presumably, management measures by area 
would be designed so as to reduce overall economic impacts on area 
participants, but the form that these measures will take cannot be 
anticipated at this time.
    For both Alternative 3/4 and 4A the total revenue loss from all 
species on groundfish trips was estimated to be $59.9 million. Median 
revenue loss was estimated to be 35 to 36 percent (Table 208). Revenue 
losses for the most affected vessels would be at least 63.2 percent 
while revenue losses for the least affected vessels would be 
approximately 5 percent.
    The relative distribution of impacts for both Alternative 3/4 and 
4A are virtually identical. This does not necessarily mean that the two 
alternatives affect all vessels the same way. That is, the impact on 
the median vessel (or at any other percentile ) may be the same for 
both alternatives but may not be the same vessel. The primary source of 
differential impact across Alternative 3/4 and 4A is likely to be the 
area closures particularly for vessels that fish within a limited range 
and/or within a relatively short season. However, even though the two 
Alternatives affect different vessels differently, the overall 
estimated impact on the groundfish fleet was similar.
    The impact on gross revenue losses increases with dependence on 
groundfish (Table 209). Estimated revenue impacts ranged between -13.8 
percent at the 10th percentile to -0.1 percent at the 90th percentile 
for vessels that rely on groundfish for less than one-quarter of annual 
fishing revenue.
    By contrast, gross revenues for vessels most dependent on 
groundfish were estimated to decline by at least 70 percent for the 37 
vessels at or below the 10th percentile. At the 90th percentile, 
vessels were estimated to lose between 35 and 37 percent of gross 
revenue for Alternative 3/4 and 4A, respectively.
    At the 10th percentile, estimated revenue reductions ranged from 61 
to 67 percent regardless of the amount of annual gross groundfish sales 
(Table 210). At the 25th percentile, the revenue reductions were lower 
(about 40 percent) for vessels with groundfish

[[Page 4387]]

sales of $35,000 or less as compared to vessels with higher groundfish 
sales (52 to 55 percent). Similarly, the revenue changes for vessels 
with the least groundfish sales at higher percentiles were also lower 
than that of vessels with more than $35,000 in groundfish sales at the 
same percentile. However, the relative distribution of revenue impacts 
was similar for each sales interval above $35,000.
    The relative distribution of estimated changes in annual fishing 
revenue was comparable across gear groups for both Alternative 3/4 and 
4A (Table 211). Although the estimated revenue reduction at every 
percentile was consistently ordered from lowest (hook gear) to highest 
(trawl gear), the difference in impact at each percentile was no more 
than five percentage points. Thus, even though the total revenue loss 
would be largest on trawl gear (nearly 70 percent of total vessels), 
Alternative 3/4 would not place any given vessel at a competitive 
disadvantage based solely on gear.
    The distributions of estimated revenue reductions were similar for 
all vessels size classes for both Alternatives 4 and 4A (Table 212). At 
the 10th percentile estimated losses were largest for small vessels 
(64.2 percent for Alternative 4A) as compared to medium (63.2 percent) 
and large vessels (58.7 percent), although these differences are not 
large. At all other percentiles estimated revenue reductions were 
higher for medium than for either small or large vessels, but once 
again, the difference across vessel length categories was less than 10 
percentage points.
    Alternatives 3/4 and 4A would have similar impacts among hook 
vessels of differing size although estimated revenue reductions among 
10 percent of the most affected vessels would be greater for small 
(60.6 percent) than for large (52.2 percent) hook vessels. However, the 
difference between the two size classes of hook vessels is less than 
five percentage points at all other percentiles.
    Small trawl vessels would be comparatively more affected by either 
Alternative 3/4 or 4A at all percentiles up to the median vessel as 
compared to either medium or large trawl vessels. Similarly, medium-
sized trawl vessels were estimated to incur higher revenue losses than 
large vessels at all percentiles. Thus, Alternative 3/4 and 4A would 
tend to have disproportional affects across vessel size classes with 
large vessels being least impacted followed by medium and small 
vessels, although the difference in economic effect by vessel size 
class is not large.
    The estimated revenue losses among gillnet vessels of differing 
size was similar with no more than four to five percentage points 
separating either size class across all percentiles. Thus, Alternative 
3/4 and Alternative 4A would not result in disproportionate economic 
impacts among gillnet vessels of differing lengths.
    The estimated revenue changes across different states would be 
similar for New Hampshire and Massachusetts vessels up to the 25th 
percentile (Table 214). Revenue reductions for Massachusetts (45.8 
percent), Maine (43.5 percent) and New Hampshire (45.1 percent) were 
similar at the 25th percentile, but estimated reductions on New 
Hampshire vessels were larger than either Maine or Massachusetts at the 
75th and the 90th percentiles.
    Alternatives 3/4 and 4A would have the least impact on New Jersey 
vessels. The estimated revenue reduction on Rhode Island vessels was 
similar to that of New York/Connecticut vessels although Rhode Island 
vessels were more negatively affected at all percentiles.
    Across ports or port groups median estimated revenue losses 
exceeded 50 percent in the ports of Gloucester, Portland, and Boston. 
This means that half of all vessels in these three port groups would 
lose more than half of annual fishing revenue under either Alternative 
3/4 or 4A. Median revenue losses were lower in the port groups of 
Chatham/Harwich, New Bedford, NewHampshire Seacoast, Portsmouth, 
Provincetown, and Upper Mid-Coast Maine, but still were at least 44 
percent. By contrast, median vessel revenue losses in Eastern Long 
Island and Point Judith were 13.5 percent and 26.1 percent respectively 
(Table 215).

Measures To Minimize Adverse Effects of Fishing on EFH

    A level 1 habitat closure under Alternative 10B, as opposed to the 
proposed level 3 closure, would produce a decrease in total gross 
revenues of 1.3 percent for proposed Alternative 10B and between 1.3 
percent and 12.8 percent for other alternatives (Table 294).
    Under a level 3 closure, revenue impacts across species were more 
varied across alternatives than total revenue impacts. The impact on 
monkfish revenue was between 11 and 18 percent under any of the 
variants of Alternative 5. By contrast, scallop revenue impacts were 
largest under Alternative 5b (10.8 percent) but were less than 1.5 
percent for Alternatives 5a, c, and d. Revenue losses for small mesh 
fisheries for whiting and squid were similar (about 3 percent) for 
Alternatives 5a, b, and c but were less than 1 percent for all others. 
Revenue losses for combined ``other species (dogfish, skates, lobster, 
shrimp, herring, mackerel, tunas, and clams) were greatest for 
Alternatives 5b (12.7 percent) and 5c (11.4 percent) but were similar 
all other habitat alternatives (from 3.5 to 6.5 percent). Revenue 
losses for groundfish were highest for Alternative 5b (21.6 percent) 
and lowest for Alternative 10A (1.6 percent). With only a few 
exceptions, revenue losses for groundfish exceeded that of all other 
species across all alternatives. Revenue losses for combined summer 
flounder, black sea bass, and scup were 0.1 percent for all 
alternatives other than the variants of Alternative 5. Among these 
alternatives, revenue losses were similar for Alternatives 5a, c, and 
d.

Tuna Purse Seine Vessel Access to Groundfish Closed Areas

    The Council considered 2 alternatives to the proposed action for 
tuna purse seines--no action, and access with restrictions. Under the 
no action alternative, there are no changes to current fishing 
practices. Fishing vessel revenues and operating costs are not expected 
to change. Therefore, there is no net change in the economic impacts 
under this option. As a result of the no action alternative, however, 
tuna purse seine vessels are limited in the area that they can fish. 
This may constrain their ability to fish at times that avoid the 
seasonal glut of tuna landings that result from the General Category 
sub-period openings. If this occurs and purse seine vessels land their 
catches at the beginning of a sub-period, ex-vessel prices could be 
depressed resulting in lower gross revenues for both the General and 
Purse Seine category vessels. It is not possible to predict how often 
this may occur, since the distribution of tuna varies considerably over 
time.
    The access with restrictions option would allow tuna purse seine 
vessels to fish in all groundfish closed areas, but limits fishing in 
closed areas to water depths of 30 fathoms or greater (or alter nets to 
less than the depth of water) and excludes the vessels from any HAPC. 
Allowing vessels to fish in closed areas may reduce vessel operating 
costs because it expands the area available to locate and fish on tuna 
schools. While allowing tuna purse seine vessels to fish in three areas 
presently closed to them may decrease vessel costs, this option also 
significantly changes current access to the seasonal closures in the 
Gulf of Maine and the WGOM closed area. Most of the seasonal closures 
occur in the winter and early spring and are not in

[[Page 4388]]

effect during the purse seine fishing season. The Cashes Ledge closure 
(July through October, November if triggered) and the October and 
November closures of thirty minute square blocks 124 and 125 do occur 
during the purse seine season. In addition, the year round WGOM closure 
area may also be important to purse seine vessels. This option does 
provide some increased ability for purse seine vessels to avoid fishing 
during periods of high landings from General category vessels because 
it allows partial access to all groundfish year round closed areas. 
This may reduce the likelihood and extent of market gluts and result in 
higher ex-vessel prices for both categories of vessels. Because certain 
types of fixed gear are allowed in the groundfish closed areas (lobster 
and hagfish pots), allowing tuna purse seine vessels into these areas 
may increase the likelihood of gear conflicts. Given the small number 
of tuna purse seine sets and the historically low number of reported 
gear conflict incidents, the likelihood of significant gear conflicts 
is very low.

GB Gillnet Sector

    An additional GB sector allocation that would allocate part of the 
groundfish resource to gillnet vessels on GB was not approved. Instead, 
the Council chose to develop a framework action at a later date when 
sufficient data were available to estimate the impacts of a sector 
gillnet fishery. If successful, economic benefits similar to those 
discussed for the GB hook sector would be expected.

Hand Gear Only Permit

    The no-action alternative would not change any economic benefits or 
costs relative to the baseline. Alternative 2 would not change the trip 
limits but would remove the prohibition of issuing permits to vessels 
that had never held any such permit. Alternative 2 would have no 
additional economic impact on vessels that may participate in the 
fishery but would provide, albeit limited, an opportunity for new 
participants.

Other Capacity Control Alternatives to DAS Tansfers

    The Council also considered DAS absorption, permit transfer, DAS 
transfers, freeze on unused DAS, DAS reserve, and mandatory latent 
effort categorizations. Each of the capacity alternatives is designed 
to provide greater economic opportunity and flexibility in all 
fisheries while maintaining the character of the existing fleet and to 
achieve some long-term reduction in the number of vessels permitted to 
fish in Northeast fisheries. Many of these alternatives require that 
with the transfer of its permits the selling vessel must retire from 
fishing in state or federal open and limited access fisheries. While 
this expands economic opportunities for some vessels, it eliminates 
participation of others in the groundfish and other fisheries. This may 
reduce participation in the capacity reduction programs. Measures which 
define effective effort may have widely varied impacts on permit 
holders depending on their history in the groundfish fishery, 
benefitting some and severely limiting others. For additional detail on 
the economic impacts of the other alternatives dealing with capacity 
control, see section 5.4.9.4.

Description of the Projected Reporting, Recordkeeping, and Other 
Compliance Requirements of the Proposed Rule

Reporting and Recordkeeping Requirements

    The proposed measures under Amendment 13 include the following 
provisions requiring either new or revised reporting and recordkeeping 
requirements: (1) Initial vessel application for a limited access 
Handgear A permit; (2) limited access Handgear A permit appeals; (3) 
DAS baseline appeals; (4) DAS Transfer Program application; (5) VMS 
purchase and installation; (6) automated VMS polling of vessel position 
twice per hour while fishing within the U.S./Canada Area; (7) VMS proof 
of installation; (8) SAP area and DAS use declaration via VMS prior to 
each trip into a SAP; (9) notice requirements for observer deployment 
prior to every trip into the CA I Hook Gear SAP; (10) expedited 
submission of a proposed SAP; (11) request to power down VMS for at 
least 1 month; (12) GB Hook Gear Cod Trip Limit Exemption declaration; 
(13) request for an LOA to participate in the GOM Cod Landing 
Exemption; (14) request for an LOA to participate in the Yellowtail 
Flounder Possession/Landing Exemption for the Northern Yellowtail Trip 
Limit Area; (15) request for an LOA to participate in the Yellowtail 
Flounder Possession/Landing Exemption in SNE and MA RMAs; (16) request 
for an LOA to participate in the Monkfish Southern Fishery Management 
Area Landing Limit and Minimum Fish Size Exemption; (17) request for an 
LOA to participate in the Skate Bait-only Possession Limit Exemption; 
(18) submission of a sector allocation proposal; (19) submission of a 
plan of operations for an approved sector allocation; (20) daily 
electronic catch and discard reports of GB cod, GB haddock, and GB 
yellowtail flounder when fishing within the U.S./Canada Area and/or the 
associated SAPs; and (21) annual reporting requirement for sectors. The 
compliance costs associated with most of these new reporting and 
recordkeeping requirements are minimal, consisting only of postage and 
copying costs.

Other Compliance Requirements

    All groundfish DAS vessels participating in the U.S./Canada 
Understanding, and all participants in SAPs, with the exception of the 
SNE/MA Winter Flounder SAP, must use VMS within these programs. Any 
vessel that does not currently possess a VMS must obtain one prior to 
fishing in a SAP or in the U.S./Canada Management Area. The cost of 
purchasing and installing VMS, along with the associated operational 
costs is currently estimated at $3,600 per vessel.
    Participation in the CA I Hook Gear SAP would require observers to 
be on board each vessel. It is estimated that the cost of complying 
with this regulation would be $1,150 per day at sea.
    The required changes to mesh size were estimated to affect 424 
trawl vessels fishing in the GOM or GB area, and 221 trawl vessels 
fishing in the SNE area. The average cost to replace a codend was 
estimated to be $1,250. The mesh changes were estimated to affect 18 
Day gillnet vessels that use tie-down nets in the GOM. The average cost 
to these vessels to replace their nets is estimated to be $7,794. The 
mesh changes were estimated to affect 31 Day gillnet vessels that use 
stand-up nets in the GOM. The average cost to these vessels to replace 
their nets was $9,300. The mesh changes were estimated to affect 25 
Trip gillnet vessels that fish in the GOM. The average cost to these 
vessels to replace their nets was estimated to be $18,352. The mesh 
changes were estimated to affect 32 gillnet vessels that fished in 
either GB or SNE. The average cost to these vessels to replace their 
nets was estimated to be $8,800. Finally, the requirement for 
groundfish vessels to fish with a haddock separator trawl or a flatfish 
net when fishing in the U.S./Canada Resource Sharing Understanding 
areas was estimated to affect 400 vessels. The average cost for these 
vessels to replace their nets with a flatfish net was estimated to be 
$747, and the average cost associated with purchasing and installing a 
separator panel, for the purposes of being in compliance with the 
haddock separator trawl net requirement, was estimated to be 
approximately $7,500.

[[Page 4389]]

    This rule contains collection-of-information requirements subject 
to review and approval by OMB under the Paperwork Reduction Act. These 
requirements have been submitted to OMB for approval. Public reporting 
burden for these collections of information are estimated to average, 
as follows:
    1. Initial vessel application for a limited access Handgear A 
permit, OMB Control Number 0648-0202, (10 min/response);
    2. Limited access Handgear A permit appeals, OMB Control Number 
0648-0202, (2 hr/response);
    3. DAS baseline appeal, OMB Control Number 0648-0202, (2 hr/
response);
    4. DAS Transfer Program application, OMB Control Number 0648-0202, 
(5 min/response);
    5. VMS purchase and installation, OMB Control Number 0648-0202, (1 
hr/response);
    6. Automated VMS polling of vessel position twice per hour while 
fishing within the U.S./Canada Area, OMB Control Number 0648-0202, (5 
sec/response)
    7. VMS proof of installation, OMB Control Number 0648-0202, (5 min/
response);
    8. SAP area and DAS use declaration via VMS prior to each trip into 
a SAP, OMB Control Number 0648-0202, (5 min/response);
    9. Notice requirements for observer deployment prior to every trip 
into the CA I Hook Gear SAP, OMB Control Number 0648-0202, (2 min/
response);
    10. Expedited submission of a proposed SAP, OMB Control Number 
0648-0202, (20 hr/response);
    11. Request to power down VMS for at least 1 month, OMB Control 
Number 0648-0202, (5 min/response);
    12. GB Hook Gear Cod Trip Limit Exemption declaration, OMB Control 
Number 0648-0202, (5 min/response);
    13. Request for an LOA to participate in the GOM Cod Landing 
Exemption, OMB Control Number 0648-0202, (5 min/response);
    14. Request for an LOA to participate in the Yellowtail Flounder 
Possession/Landing Exemption for the Northern Yellowtail Trip Limit 
Area, OMB Control Number 0648-0202, (5 min/response);
    15. Request for an LOA to participate in the Yellowtail Flounder 
Possession/Landing Exemption in SNE and MA RMAs, OMB Control Number 
0648-0202, (5 min/response);
    16. Request for an LOA to participate in the Monkfish Southern 
Fishery Management Area Landing Limit and Minimum Fish Size Exemption, 
OMB Control Number 0648-0202, (5 min/response);
    17. Request for an LOA to participate in the Skate Bait-only 
Possession Limit Exemption, OMB Control Number 0648-0202, (5 min/
response);
    18. Submission of a sector allocation proposal, OMB Control Number 
0648-0202, (50 hr/response);
    19. Submission of a plan of operations for an approved sector 
allocation, OMB Control Number 0648-0202, (50 hr/response);
    20. Daily electronic catch and discard reports of GB cod, GB 
haddock, and GB yellowtail flounder when fishing within the U.S./Canada 
Area and/or the associated SAPs, OMB Control Number 0648-0212, (0.25 
hr/response);
    21. Annual reporting requirement for sectors, OMB Control Number 
0648-0202, (6 hours/response). These estimates include the time for 
reviewing instructions, searching existing data sources, gathering and 
maintaining the data needed, and completing and reviewing the 
collection information; and
    22. Trip notification for vessels participating in the Agreement 
Management Areas for the purpose of observer coverage, OMB Control 
Number 0648-0202, (5 min/response).
    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 NMFS and 
to OMB (see 3ADDRESSES).
    Notwithstanding any other provision of the law, no person is 
required to respond to, and no person shall 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: January 21, 2004.
Rebecca Lent,
Deputy Assistant Administrator for Regulatory Programs, National Marine 
Fisheries Service.

    For the reasons stated 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. 648.2, new definitions for ``Bottom tending mobile 
gear,'' ``DAS Lease,'' ``DAS Lessee,'' ``DAS Lessor,'' ``Hand gear,'' 
``Sector,'' ``Static gear,'' ``Stock of concern,'' ``Sub-lease,'' 
``Tub-trawl,'' and ``Tuna purse seine gear,'' are added in alphabetical 
order, to read as follows:


Sec. 648.2  Definitions.

* * * * *
    Bottom tending mobile gear, with respect to the NE multispecies 
fishery, means gear in contact with the ocean bottom, and towed from a 
vessel, which is moved through the water during fishing in order to 
capture fish, and includes otter trawls, beam trawls, hydraulic 
dredges, non-hydraulic dredges, and seines (with the exception of a 
purse seine).
* * * * *
    DAS Lease, with respect to the NE multispecies limited access 
fishery, means the transfer of the use of DAS from one limited access 
NE multispecies vessel to another limited access NE multispecies vessel 
for a period not to exceed a single fishing year.
    DAS Lessee, with respect to the NE multispecies limited access 
fishery, means the NE multispecies limited access vessel owner and/or 
the associated vessel that acquires the use of DAS from another NE 
multispecies limited access vessel.
    DAS Lessor, with respect to the NE multispecies limited access 
fishery, means the NE multispecies limited access vessel owner and/or 
the associated vessel that transfers the use of DAS to another NE 
multispecies limited access vessel.
* * * * *
    Handgear, with respect to the NE multispecies fishery, means 
handline gear, rod and reel gear, and tub-trawl gear.
* * * * *
    Sector, with respect to the NE multispecies fishery, means a group 
of vessels that have voluntarily signed a contract and agree to certain 
fishing restrictions, and that have been allocated a portion of the TAC 
of a species, or an allocation of DAS.
* * * * *
    Static gear, with respect to the NE multispecies fishery, means 
stationary gear, usually left for a period of time in one place, that 
depends on fish moving

[[Page 4390]]

to the gear, and includes gillnets, longlines, handgear, traps, and 
pots.
    Stock of concern, with respect to the NE multispecies fishery, 
means a stock that is in an overfished condition, or that is subject to 
overfishing.
    Sub-lease, with respect to the NE multispecies fishery, means the 
leasing of DAS that have already been leased to another vessel.
* * * * *
    Tub-trawl, with respect to the NE multispecies fishery, means gear 
designed to be set horizontally on the bottom, with an anchored 
mainline to which are attached three or more gangions and hooks. Tub-
trawls are retrieved only by hand, not by mechanical means.
    Tuna purse seine gear, with respect to the NE multispecies fishery, 
means encircling gear designed and utilized to harvest pelagic tuna.
* * * * *
    3. In Sec. 648.4, paragraph (a)(1)(i)(A), paragraph (a)(1)(i)(E) 
introductory text, paragraphs (a)(1)(i)(G), (I)(1) and (M), and 
paragraph (c)(2)(iii) are revised to read as follows:


Sec. 648.4  Vessel permits.

    (a) * * *
    (1) * * *
    (i) * * *
    (A) Eligibility. To be eligible to apply for a limited access NE 
multispecies permit, as specified in Sec. 648.82, a vessel must have 
been issued a limited access NE multispecies permit for the preceding 
year, be replacing a vessel that was issued a limited access NE 
multispecies permit for the preceding year, or be replacing a vessel 
that was issued a confirmation of permit history; unless otherwise 
specified in this paragraph. For the fishing year beginning May 1, 
2004, a vessel may apply for a limited access Handgear A permit 
described in Sec. 648.82(b)(6), if it meets the criteria described 
under paragraphs (a)(1)(i)(A)(1) and (2) of this section:
    (1) The vessel must have been previously issued a valid NE 
multispecies open access Handgear permit during at least 1 fishing year 
during the fishing years 1997 through 2002; and
    (2) The vessel must have landed and reported to NMFS at least 500 
lb (226.8 kg) of cod, haddock, or pollock, when fishing under the open 
access Handgear permit in at least 1 of the fishing years from 1997 
through 2002, as indicated by NMFS dealer records (live weight), 
submitted to NMFS prior to May 31, 2003.
* * * * *
    (E) Replacement vessels. With the exception of vessels that have 
obtained a limited access Handgear A permit described in Sec. 
648.82(b)(6), to be eligible for a limited access permit under this 
section, the replacement vessel must meet the following criteria and 
any other applicable criteria under paragraph (a)(1)(i)(F) of this 
section:
* * * * *
    (G) Consolidation restriction. Except as provided for in the NE 
Multispecies DAS Leasing Program, as specified in Sec. 648.82(k), and 
the NE Multispecies DAS Transfer Program as specified in Sec. 
648.82(l), limited access permits and DAS allocations may not be 
combined or consolidated.
* * * * *
    (I) * * *
    (1) A vessel may be issued a limited access NE multispecies permit 
in only one category during a fishing year. Vessels may not change 
limited access NE multispecies permit categories during the fishing 
year, except as provided in paragraph (a)(1)(i)(I)(2) of this section. 
A vessel issued a limited access NE multispecies Hook-gear permit or a 
limited access Handgear A permit may not change its limited access 
permit category at any time.
* * * * *
    (M) Appeal of denial of permit--(1) Eligibility. Any applicant 
eligible to apply for a limited access multispecies Handgear A permit 
who is denied such permit may appeal the denial to the Regional 
Administrator within 30 days of the notice of denial. Any such appeal 
must be based on the grounds that the information used by the Regional 
Administrator was based on incorrect data, must be in writing, and must 
state the grounds for the appeal.
    (2) Appeal review. The Regional Administrator will appoint a 
designee who will make the initial decision on the appeal. The 
appellant may request a review of the initial decision by the Regional 
Administrator by so requesting in writing within 30 days of the notice 
of the initial decision. If the appellant does not request a review of 
the initial decision within 30 days, the initial decision is the final 
administrative action of the Department of Commerce. Such review will 
be conducted by a hearing officer appointed by the Regional 
Administrator. The hearing officer shall make findings and a 
recommendation to the Regional Administrator, which shall be advisory 
only. Upon receiving the findings and the recommendation, the Regional 
Administrator will issue a final decision on the appeal. The Regional 
Administrator's decision is the final administrative action of the 
Department of Commerce.
    (3) Status of vessels pending appeal. A vessel denied a limited 
access Handgear A multispecies permit may fish under the limited access 
multispecies Handgear A category, provided that the denial has been 
appealed, the appeal is pending, and the vessel has on board a letter 
from the Regional Administrator authorizing the vessel to fish under 
the limited access category. The Regional Administrator will issue such 
a letter for the pendency of any appeal. Any such decision is the final 
administrative action of the Department of Commerce on allowable 
fishing activity, pending a final decision on the appeal. The letter of 
authorization must be carried on board the vessel. If the appeal is 
finally denied, the Regional Administrator shall send a notice of final 
denial to the vessel owner; the authorizing letter becomes invalid 5 
days after receipt of the notice of denial.
* * * * *
    (c) * * *
    (2) * * *
    (iii) An application for a limited access NE multispecies permit 
must also contain the following information:
    (A) For vessels fishing for NE multispecies with gillnet gear, with 
the exception of vessels fishing under the Small Vessel permit 
category, an annual declaration as either a Day or Trip gillnet vessel 
designation as described in Sec. 648.82(k). A vessel owner electing a 
Day or Trip gillnet designation must indicate the number of gillnet 
tags that he/she is requesting, and must include a check for the cost 
of the tags. A permit holder letter will be sent to the owner of each 
eligible gillnet vessel, informing him/her of the costs associated with 
this tagging requirement and providing directions for obtaining tags. 
Once a vessel owner has elected this designation, he/she may not change 
the designation or fish under the other gillnet category for the 
remainder of the fishing year. Incomplete applications, as described in 
paragraph (e) of this section, will be considered incomplete for the 
purpose of obtaining authorization to fish in the NE multispecies 
gillnet fishery and will be processed without a gillnet authorization.
    (B) For vessels fishing with hook gear, and electing to fish under 
the GB Hook Gear Cod Trip Limit Program, as described in Sec. 
648.86(b)(2)(ii), an annual declaration as a participant of this 
program must be obtained according to instructions provided by the 
Regional Administrator. Once a vessel owner has

[[Page 4391]]

elected into this program, he/she may not fish outside of this trip 
limit program for the remainder of the fishing year.
* * * * *
    4. In Sec. 648.7, paragraphs (a)(1) introductory text, (a)(1)(i), 
and (b)(1)(i) are revised to read as follows:


Sec. 648.7  Recordkeeping and reporting requirements.

    (a) * * *
    (1) Detailed weekly report. Until otherwise required by the 
Regional Administrator, federally permitted dealers must submit to the 
Regional Administrator, or official designee, a detailed weekly report, 
within the time periods specified in paragraph (f) of this section, on 
forms supplied by or approved by the Regional Administrator, and a 
report of all fish purchases, except for surfclam and ocean quahog 
dealers or processors, who are required to report only surfclam and 
ocean quahog purchases. Once authorized in writing by the Regional 
Administrator, all dealers must submit daily reports electronically or 
through other media. The following information, and any other 
information required by the Regional Administrator, must be provided in 
the report:
    (i) All dealers issued a dealer permit under this part, with the 
exception of those utilizing the surfclam or ocean quahog dealer 
permit, must provide: Dealer name and mailing address; dealer permit 
number; name and permit number or name and hull number (USCG 
documentation number or state registration number, whichever is 
applicable) of vessels from which fish are landed or received; trip 
identifier for a trip from which fish are landed or received; dates of 
purchases; pounds by species (by market category, if applicable); price 
per pound by species (by market category, if applicable) or total value 
by species (by market category, if applicable); port landed; signature 
of person supplying the information; and any other information deemed 
necessary by the Regional Administrator. The dealer or other authorized 
individual must sign all report forms. If no fish are purchased during 
a reporting week, no written report is required to be submitted. If no 
fish are purchased during an entire reporting month, a report so 
stating on the required form must be submitted.
* * * * *
    (b) * * *
    (1) * * *
    (i) Unless otherwise required under Sec. 648.85(a), the owner or 
operator of any valid permit under this part must maintain on board the 
vessel, and submit, an accurate fishing log report for each fishing 
trip, regardless of species fished for or taken, on forms supplied by 
or approved by the Regional Administrator. Once authorized in writing 
by the Regional Administrator, a vessel owner or operator must submit 
trip reports electronically, for example by using a VMS or other media. 
At that time electronic trip reports would replace the Fishing Vessel 
Trip Report. With the exception of those vessel owners or operators 
fishing under a surfclam or ocean quahog permit, at least the following 
information and any other information required by the Regional 
Administrator must be provided: Vessel name; USCG documentation number 
(or state registration number, if undocumented); permit number; date/
time sailed; date/time landed; trip type; number of crew; number of 
anglers (if a charter or party boat); gear fished; quantity and size of 
gear; mesh/ring size; chart area fished; average depth; latitude/
longitude (or loran station and bearings); total hauls per area fished; 
average tow time duration; hail weight, in pounds (or count of 
individual fish, if a party or charter vessel), by species, of all 
species, or parts of species, such as monkfish livers, landed or 
discarded; and, in the case of skate discards, ``small'' (i.e., less 
than 23 inches (58.42 cm), total length) or ``large'' (i.e., 23 inches 
(58.42 cm) or greater, total length) skates; dealer permit number; 
dealer name; date sold, port and state landed; and vessel operator's 
name, signature, and operator's permit number (if applicable).
* * * * *
    5. In Sec. 648.9, paragraphs (b)(5) and (c) are revised to read as 
follows:


Sec. 648.9  VMS requirements.

* * * * *
    (b) * * *
    (5) The VMS shall provide accurate hourly position transmissions 
every day of the year unless otherwise required under paragraph 
(c)(1)(ii) of this section, or unless exempted under paragraph (c)(2) 
of this section. In addition, the VMS shall allow polling of individual 
vessels or any set of vessels at any time, and receive position reports 
in real time. For the purposes of this specification, ``real time'' 
shall constitute data that reflect a delay of 15 minutes or less 
between the displayed information and the vessel's actual position.
* * * * *
    (c) Operating requirements for all vessels. (1) Except as provided 
in paragraph (c)(2) of this section, or unless otherwise required by 
Sec. 648.58(h) or paragraph (c)(1)(ii) of this section, all required 
VMS units must transmit a signal indicating the vessel's accurate 
position, as specified under paragraph (c)(1)(i) of this section.
    (i) At least every hour, 24 hours a day, throughout the year.
    (ii) At least twice per hour, 24 hours a day, throughout the year 
for all NE multispecies vessels that elect to fish with a VMS specified 
in Sec. 648.10(b) or are required to fish with a VMS as specified in 
Sec. 648.85(a).
    (2) Power Down Exemption. (i) Any vessel required to transmit the 
vessel's location at all times, as required in paragraph (c)(1) of this 
section, is exempt from this requirement if it meets one or more of the 
following conditions and requirements:
    (A) The vessel will be continuously out of the water for more than 
72 consecutive hours, the vessel signs out of the VMS program by 
obtaining a valid letter of exemption pursuant to paragraph (c)(2)(ii) 
of this section, and the vessel complies with all conditions and 
requirements of said letter;
    (B) For vessels fishing with a valid NE multispecies limited access 
permit, the vessel owner signs out of the VMS program for a minimum 
period of 1 calendar month by obtaining a valid letter of exemption 
pursuant to paragraph (c)(2)(ii) of this section, the vessel does not 
engage in any fisheries until the VMS unit is turned back on, and the 
vessel complies with all conditions and requirements of said letter; or
    (C) The vessel has been issued an Atlantic herring permit, and is 
in port, unless required by other permit requirements for other 
fisheries to transmit the vessel's location at all times.
    (ii) Letter of exemption.--(A) Application. A vessel owner may 
apply for a letter of exemption from the VMS transmitting requirements 
specified in paragraph (c)(1) of this section for his/her vessel by 
sending a written request to the Regional Administrator and providing 
the following: The location of the vessel during the time an exemption 
is sought; and the exact time period for which an exemption is needed 
(i.e., the time the VMS signal will be turned off and turned on again); 
and, in the case of a vessel meeting the conditions of paragraph 
(c)(2)(i)(A) of this section, sufficient information to determine that 
the vessel will be out of the water for more than 72 continuous hours. 
The letter of exemption must be on board the vessel at all times, and 
the vessel may not turn off the VMS signal until the letter of 
exemption has been received.
    (B) Issuance. Upon receipt of an application, the Regional 
Administrator

[[Page 4392]]

may issue a letter of exemption to the vessel if it is determined that 
the vessel owner provided sufficient information as required under 
paragraph (c)(2) of this section, and that the issuance of the letter 
of exemption will not jeopardize accurate monitoring of the vessel's 
DAS. Upon written request, the Regional Administrator may change the 
time period for which the exemption is granted.
* * * * *
    6. In Sec. 648.10, paragraphs (b), (c), and (f) are revised to read 
as follows:


Sec. 648.10  DAS notification requirements.

* * * * *
    (b) VMS Notification. (1) The following vessels must have installed 
on board an operational VMS unit that meets the minimum performance 
criteria specified in Sec. 648.9(b), or as modified pursuant to Sec. 
648.9(a):
    (i) A scallop vessel issued a Full-time or Part-time limited access 
scallop permit;
    (ii) A scallop vessel issued an occasional limited access permit 
when fishing under the Sea Scallop Area Access Program specified in 
Sec. 648.58;
    (iii) A scallop vessel fishing under the Small Dredge program 
specified in Sec. 648.51(e);
    (iv) A vessel issued a limited access NE multispecies, monkfish, 
Occasional scallop, or Combination permit, whose owner elects to 
provide the notifications required by paragraph (b) of this section, 
unless otherwise authorized or required by the Regional Administrator 
under paragraph (d) of this section.
    (v) A vessel issued a limited access NE multispecies permit 
electing to fish under the U.S./Canada Resource Sharing Understanding, 
as specified in Sec. 648.85(a).
    (2) The owner of such a vessel specified in paragraph (b)(1) of 
this section must provide documentation to the Regional Administrator 
at the time of application for a limited access permit that the vessel 
has an operational VMS unit installed on board that meets those 
criteria, unless otherwise allowed under this paragraph (b). If a 
vessel has already been issued a limited access permit without the 
owner providing such documentation, the Regional Administrator shall 
allow at least 30 days for the vessel to install an operational VMS 
unit that meets the criteria and for the owner to provide documentation 
of such installation to the Regional Administrator. A vessel that is 
required to, or whose owner has elected to, use a VMS unit is subject 
to the following requirements and presumptions:
    (i) A vessel that has crossed the VMS Demarcation Line specified 
under paragraph (a) of this section is deemed to be fishing under the 
DAS program, unless the vessel's owner or authorized representative 
declares the vessel out of the scallop, NE multispecies, or monkfish 
fishery, as applicable, for a specific time period by notifying the 
Regional Administrator through the VMS prior to the vessel leaving 
port, or unless the vessel's owner or authorized representative 
declares the vessel will be fishing in the Eastern U.S./Canada Area as 
described in Sec. 648.85(a)(2)(iii) under the provisions of that 
program.
    (ii) A Part-time scallop vessel may not fish in the DAS allocation 
program unless it declares into the scallop fishery for a specific time 
period by notifying the Regional Administrator through the VMS.
    (iii) Notification that the vessel is not under the DAS program 
must be received prior to the vessel leaving port. A vessel may not 
change its status after the vessel leaves port or before it returns to 
port on any fishing trip.
    (iv) DAS for a vessel that is under the VMS notification 
requirements of paragraph (b) of this section, with the exception of 
vessels that have elected to fish in the Eastern U.S./Canada Area, 
pursuant to Sec. 648.85(a), begin with the first hourly location signal 
received showing that the vessel crossed the VMS Demarcation Line 
leaving port. DAS end with the first hourly location signal received 
showing that the vessel crossed the VMS Demarcation Line upon its 
return to port. For those vessels that have elected to fish in the 
Eastern U.S./Canada Area pursuant to Sec. 648.85(a)(2)(i), the 
requirements of paragraph (b) of this section begin with the first 30-
minute location signal received showing that the vessel crossed into 
the Eastern U.S./Canada Area and end with the first location signal 
received showing that the vessel crossed out of the Eastern U.S./Canada 
Area upon beginning its return trip to port.
    (v) If the VMS is not available or not functional, and if 
authorized by the Regional Administrator, a vessel owner must provide 
the notifications required by paragraphs (b)(2)(i), (ii), (iii), and 
(v) of this section by using the call-in notification system described 
under paragraph (c) of this section, instead of using the VMS specified 
in this paragraph (b).
    (3)(i) A vessel issued a limited access NE multispecies, monkfish, 
Occasional scallop, or Combination permit must use the call-in 
notification system specified in paragraph (c) of this section, unless 
the owner of such vessel has elected, under paragraph (b)(3)(iii) of 
this section, to provide the notifications required by paragraph (b) of 
this section, or unless the vessel has elected to fish in the Eastern 
U.S./Canada Area or Western U.S./Canada Area, as described under Sec. 
648.85(a)(2)(i), unless otherwise authorized under paragraph (b)(2)(v) 
of this section.
    (ii) Unless otherwise required by paragraph (b)(1)(v) of this 
section, upon recommendation by the Council, the Regional Administrator 
may require, by notification through a letter to affected permit 
holders, notification in the Federal Register, or other appropriate 
means, that a NE multispecies vessel issued an Individual DAS or 
Combination Vessel permit install on board an operational VMS unit that 
meets the minimum performance criteria specified in Sec. 648.9(b), or 
as modified as provided under Sec. 648.9(a). An owner of such a vessel 
must provide documentation to the Regional Administrator that the 
vessel has installed on board an operational VMS unit that meets those 
criteria. If a vessel has already been issued a permit without the 
owner providing such documentation, the Regional Administrator shall 
allow at least 30 days for the vessel to install an operational VMS 
unit that meets the criteria and for the owner to provide documentation 
of such installation to the Regional Administrator. A vessel that is 
required to use a VMS shall be subject to the requirements and 
presumptions described under paragraphs (b)(2)(i) through (v) of this 
section.
    (iii) A vessel issued a limited access NE multispecies, monkfish, 
Occasional scallop, or Combination permit may be authorized by the 
Regional Administrator to provide the notifications required by this 
paragraph (b) using the VMS specified in this paragraph (b). The owner 
of such vessel becomes authorized by providing documentation to the 
Regional Administrator at the time of application for an Individual or 
Combination vessel limited access NE multispecies permit that the 
vessel has installed on board an operational VMS unit that meets the 
minimum performance criteria specified in Sec. 648.9(b), or as modified 
as provided under Sec. 648.9(a). Vessels that are authorized to use the 
VMS in lieu of the call-in requirement for DAS notification shall be 
subject to the requirements and presumptions described under paragraphs 
(b)(2)(i) through (v) of this section. Those who elect to use the VMS 
do not need to call in DAS as specified in paragraph (c) of this 
section. Vessels

[[Page 4393]]

that do call in are exempt from the prohibition specified in Sec. 
648.14(c)(2).
    (c) Call-in notification. Owners of vessels issued limited access 
NE multispecies, monkfish or red crab permits who are participating in 
a DAS program and who are not required to provide notification using a 
VMS, and scallop vessels qualifying for a DAS allocation under the 
Occasional category and who have not elected to fish under the VMS 
notification requirements of paragraph (b) of this section, are subject 
to the following requirements:
    (1) Less than 1 hour prior to leaving port, for vessels issued a 
limited access NE multispecies DAS permit or, for vessels issued a 
limited access NE multispecies DAS permit and a limited access monkfish 
Category C or D permit, unless otherwise specified in this paragraph 
(c)(1), and, prior to leaving port for vessels issued a limited access 
monkfish Category A or B permit, the vessel owner or authorized 
representative must notify the Regional Administrator that the vessel 
will be participating in the DAS program by calling the Regional 
Administrator and providing the following information: Owner and caller 
name and phone number, vessel's name and permit number, type of trip to 
be taken, port of departure, and that the vessel is beginning a trip. A 
DAS begins once the call has been received and a confirmation number is 
given by the Regional Administrator, or when a vessel leaves port, 
whichever occurs first, unless otherwise specified in paragraph (c)(6) 
of this section. Vessels issued a limited access monkfish Category C or 
D permit that are allowed to fish as a Category A or B vessel in 
accordance with the provisions of Sec. 648.92(b)(2)(ii), are subject to 
the call-in notification requirements for limited access monkfish 
Category A or B vessels specified under this paragraph (c)(1) for those 
monkfish DAS where there is not a concurrent NE multispecies DAS.
    (2) The vessel's confirmation numbers for the current and 
immediately prior NE multispecies, monkfish or red crab fishing trip 
must be maintained on board the vessel and provided to an authorized 
officer upon request.
    (3) At the end of a vessel's trip, upon its return to port, the 
vessel owner or owner's representative must call the Regional 
Administrator and notify him/her that the trip has ended by providing 
the following information: Owner and caller name and phone number, 
vessel name, port of landing and permit number, and that the vessel has 
ended a trip. A DAS ends when the call has been received and 
confirmation has been given by the Regional Administrator, unless 
otherwise specified in paragraph (b)(2)(iv) of this section.
    (4) The Regional Administrator will furnish a phone number for DAS 
notification call-ins upon request.
    (5) Any vessel that possesses or lands per trip more than 400 lb 
(181 kg) of scallops, and any vessel issued a limited access NE 
multispecies permit subject to the NE multispecies DAS program and 
call-in requirement that possesses or lands regulated species, except 
as provided in Sec.Sec. 648.17 and 648.89, any vessel issued a limited 
access monkfish permit subject to the monkfish DAS program and call-in 
requirement that possesses or lands monkfish above the incidental catch 
trip limits specified in Sec. 648.94(c), and any vessel issued a 
limited access red crab permit subject to the red crab DAS program and 
call-in requirement that possesses or lands red crab above the 
incidental catch trip limits specified in Sec. 648.263(b)(1), shall be 
deemed in its respective DAS program for purposes of counting DAS, 
regardless of whether the vessel's owner or authorized representative 
provided adequate notification as required by paragraph (c) of this 
section.
* * * * *
    (f) Additional NE multispecies call-in requirements--(1) Spawning 
season call-in. With the exception of vessels issued a valid Small 
Vessel category permit, or the Handgear A permit category, vessels 
subject to the spawning season restriction described in Sec. 648.82 
must notify the Regional Administrator of the commencement date of 
their 20-day period out of the NE multispecies fishery through either 
the VMS system or by calling and providing the following information: 
Vessel name and permit number, owner and caller name and phone number 
and the commencement date of the 20-day period.
    (2) Gillnet call-in. Vessels subject to the gillnet restriction 
described in Sec. 648.82(j)(1)(ii) must notify the Regional 
Administrator of the commencement date of their time out of the NE 
multispecies gillnet fishery using the procedure described in paragraph 
(f)(1) of this section.
    7. In Sec. 648.14, paragraphs (a)(39), (40), (43), (47), (52), 
(55), (90), (104), (116), (126); (b)(1) through (4); (c)(1), (3), (7), 
(10) through (15), (18), (21), (23), (24), (26), and (29) through (33); 
the introductory text to paragraph (d); and paragraph (d)(2) are 
revised; and paragraphs (a)(128) through (162) and (c)(34) through (50) 
are added to read as follows:


Sec. 648.14  Prohibitions.

    (a) * * *
    (39) Enter or be in the area described in Sec. 648.81(b)(1) on a 
fishing vessel, except as provided in Sec. 648.81(b)(2)
    (40) Enter or be in the area described in Sec. 648.81(c)(1) on a 
fishing vessel, except as allowed under Sec. 648.81(c)(2) and (i).
* * * * *
    (43) Violate any of the provisions of Sec. 648.80, including 
paragraphs (a)(5), the small-mesh northern shrimp fishery exemption 
area; (a)(6), the Cultivator Shoal whiting fishery exemption area; 
(a)(9), Small-mesh Area 1/Small-mesh Area 2; (a)(10), the Nantucket 
Shoals dogfish fishery exemption area; (a)(12), the Nantucket Shoals 
mussel and sea urchin dredge exemption area; (a)(13), the GOM/GB 
monkfish gillnet exemption area; (a)(14), the GOM/GB dogfish gillnet 
exemption area; (a)(15), the Raised Footrope Trawl Exempted Whiting 
Fishery; (b)(3), exemptions (small mesh); (b)(5), the SNE monkfish and 
skate trawl exemption area; (b)(6), the SNE monkfish and skate gillnet 
exemption area; (b)(8), the SNE mussel and sea urchin dredge exemption 
area; (b)(9), the SNE little tunny gillnet exemption area; and (b)(11), 
the SNE General Category Scallop exemption area. Each violation of any 
provision in Sec. 648.80 constitutes a separate violation.
* * * * *
    (47) Fish for the species specified in Sec. 648.80(d) or (e) with a 
net of mesh size smaller than the applicable mesh size specified in 
Sec. 648.80(a)(3) or (4), (b)(2), or (c)(2), or possess or land such 
species, unless the vessel is in compliance with the requirements 
specified in Sec. 648.80(d) or (e), or unless the vessel has not been 
issued a NE multispecies permit and fishes for NE multispecies 
exclusively in state waters, or unless otherwise specified in Sec. 
648.17.
* * * * *
    (52) Enter, be on a fishing vessel in, or fail to remove gear from 
the EEZ portion of the areas described in Sec. 648.81(d)(1) through 
(g)(1), except as provided in Sec. 648.81(d)(2), (e)(2), (f)(2), 
(g)(2), and (i).
* * * * *
    (55) Purchase, possess, or receive as a dealer, or in the capacity 
of a dealer, regulated species in excess of the possession limits 
specified in Sec. 648.85 or Sec. 648.86 applicable to a vessel issued a 
multispecies permit, unless otherwise specified in Sec. 648.17.
* * * * *
    (90) Use, set, haul back, fish with, possess on board a vessel, 
unless stowed in accordance with Sec. 648.23(b), or fail to

[[Page 4394]]

remove, sink gillnet gear and other gillnet gear capable of catching NE 
multispecies, with the exception of single pelagic gillnets (as 
described in Sec. 648.81(f)(2)(ii)), in the areas and for the times 
specified in Sec. 648.80(g)(6)(i) and (ii), except as provided in 
Sec.Sec. 648.81(f)(2)(ii) and 648.80(g)(6)(i) and (ii), or unless 
otherwise authorized in writing by the Regional Administrator.
* * * * *
    (104) Fish for, harvest, possess, or land regulated species in or 
from the closed areas specified in Sec. 648.81(a) through (f), unless 
otherwise specified in Sec. 648.81(c)(2)(iii), (f)(2)(i), and 
(f)(2)(iii).
* * * * *
    (116) Fish for, harvest, possess, or land any species of fish in or 
from the GOM/GB Inshore Restricted Roller Gear Area described in Sec. 
648.80(a)(3)(vii) with trawl gear where the diameter of any part of the 
trawl footrope, including discs, rollers or rockhoppers, is greater 
than 12 inches (30.48 cm).
* * * * *
    (126) Call in DAS in excess of that allocated, leased, or 
permanently transferred, in accordance with the restrictions and 
conditions of Sec. 648.82.
* * * * *
    (128) Fish for, harvest, possess or land any regulated NE 
multispecies from the areas specified in Sec. 648.85(a)(1), unless in 
compliance with the restrictions and conditions specified in Sec. 
648.85(a)(1) through (8).
    (129) Enter or fish in the Western U.S./Canada Area or Eastern 
U.S./Canada Area specified in Sec. 648.85(a)(1), unless declared into 
the area in accordance with Sec. 648.85(a)(3)(ii).
    (130) If declared into one of the areas specified in Sec. 
648.85(a)(1), fish during that same trip outside of the declared area, 
or enter or exit the declared area more than once per trip.
    (131) If the vessel has been issued a limited access NE 
multispecies DAS permit, and is in the area specified in Sec. 
648.85(a), fail to comply with the VMS requirements in Sec. 
648.85(a)(3)(i).
    (132) If fishing with trawl gear under a NE multispecies DAS in the 
Agreement Management Areas defined in Sec. 648.85(a)(1), fail to fish 
with a haddock separator trawl or a flounder trawl net, as specified in 
Sec. 648.85(a)(3)(iii).
    (133) If fishing under an NE multispecies DAS in the Western U.S./
Canada Area or Eastern U.S./Canada Area specified in Sec. 648.85(a)(1), 
exceed the trip limits specified in Sec. 648.85(a)(3)(iv), unless 
further restricted under Sec. 648.85(b).
    (134) If fishing under a NE multispecies DAS, enter or fish in the 
Western U.S./Canada Area or Eastern U.S./Canada Area specified in Sec. 
648.85(a)(1), if the area is closed as described in Sec. 
648.85(a)(3)(iv)(E), unless fishing in an approved Special Access 
Program (SAP) specified in Sec. 648.85(b)(3) or (4).
    (135) If fishing under an NE multispecies DAS in the Western U.S./
Canada Area or Eastern U.S./Canada Area specified in Sec. 648.85(a)(1), 
fail to report landings in accordance with Sec. 648.85(a)(3)(v).
    (136) If fishing under the Closed Area II Yellowtail Flounder SAP, 
fish for, harvest, possess or land any regulated NE multispecies from 
the area specified in Sec. 648.85(b)(3)(ii), unless in compliance with 
the restrictions and conditions specified in Sec. 648.85(b)(3)(i) 
through (x).
    (137) Enter or fish in Closed Area II as specified in Sec. 
648.81(b), unless declared into the area in accordance with Sec. 
648.85(b)(3)(v) or (4)(v).
    (138) Enter or fish in Closed Area II under the Closed Area II 
Yellowtail Flounder SAP outside of the season specified in Sec. 
648.85(b)(3)(iii).
    (139) If fishing in the Closed Area II Yellowtail Flounder SAP 
specified in Sec. 648.85(b)(3), exceed the number of trips specified 
under Sec. 648.85(b)(3)(vii).
    (140) If fishing in the Closed Area II Yellowtail Flounder SAP 
specified in Sec. 648.85(b)(3), exceed the trip limits specified in 
Sec. 648.85(b)(3)(viii).
    (141) If declared into the areas specified in Sec. 648.85(b), enter 
or exit the declared areas more than once per trip.
    (142) If fishing under the Closed Area II Haddock SAP, fish for, 
harvest, possess or land any regulated NE multispecies from the area 
specified in Sec. 648.85(b)(4)(ii), unless in compliance with the 
restrictions and conditions specified in Sec. 648.85(b)(4)(i) through 
(x).
    (143) Enter or fish in Closed Area II under the Closed Area II 
Haddock SAP outside of the season specified in Sec. 648.85(b)(4)(iii).
    (144) If fishing in the Closed Area II Haddock SAP specified in 
Sec. 648.85(b)(4), exceed the number of trips specified in Sec. 
648.85(b)(4)(vi).
    (145) If fishing in the Closed Area II Haddock SAP specified in 
Sec. 648.85(b)(4), exceed the trip limits specified in Sec. 
648.85(b)(4)(viii).
    (146) If fishing in the Closed Area I Hook Gear SAP, fish for, 
harvest, possess or land any regulated NE multispecies from the area 
specified in Sec. 648.85(b)(5)(ii), unless in compliance with the 
restrictions and conditions specified in Sec. 648.85(b)(5)(i) through 
(viii).
    (147) Enter or fish in Closed Area I under the Closed Area I Hook 
Gear SAP outside of the season specified in Sec. 648.85(b)(5)(iii).
    (148) If the vessel is fishing under the Closed Area I Hook Gear 
SAP, fail to comply with the VMS requirements in Sec. 648.85(b)(5)(iv).
    (149) Enter or fish in Closed Area I specified in Sec. 648.81(a), 
unless declared into the area in accordance with Sec. 648.85(b)(5)(v).
    (150) If fishing in the Closed Area I Hook Gear SAP specified in 
Sec. 648.85(b)(5), exceed the trip limits specified in Sec. 
648.85(b)(5)(vi).
    (151) Enter or fish in Closed Area I, specified in Sec. 648.81(a), 
after the Closed Area I Hook Gear SAP is closed, as described in Sec. 
648.85(b)(5)(vii).
    (152) If fishing in Closed Area I under the Closed Area I Hook Gear 
SAP, fail to carry an observer on board the vessel, as required under 
Sec. 648.85(b)(5)(viii).
    (153) If fishing under the SNE/MA Winter Flounder SAP, described in 
Sec. 648.85(b)(6), fail to comply with the restrictions and conditions 
under Sec. 648.85(b)(6)(i) through (iv).
    (154) If fishing under an approved Sector, as authorized under Sec. 
648.87, fail to abide by the restrictions specified in Sec. 
648.87(b)(1).
    (155) If fishing under an approved Sector, as authorized under Sec. 
648.87, fail to remain in the sector for the remainder of the fishing 
year as required under Sec. 648.87(b)(1).
    (156) If fishing under the Georges Bank (GB) Cod Hook Sector, as 
authorized under Sec. 648.87, fish in the NE multispecies DAS program 
in a given fishing year, or if fishing under a NE multispecies DAS, 
fish under the GB Cod Hook Sector in a given fishing year, unless as 
provided under paragraph (b)(1)(xii) of that section.
    (157) If a vessel has agreed to participate in a Sector, fail to 
remain in the Sector for the entire fishing year, as required under 
Sec. 648.87(b)(1)(xi).
    (158) If a vessel is removed from a Sector for violation of the 
Sector rules, fish under the NE Multispecies regulations for non-Sector 
vessels.
    (159) If fishing under the GB Cod Hook Sector, fish with gear other 
than jigs, demersal longline, or handgear.
    (160) Land or possess on board a vessel, more than the possession 
or landing limits specified in Sec. 648.88(a)(1), if fishing under an 
open access Handgear permit.
    (161) Possess on board gear other than that specified under Sec. 
648.88(a)(2)(i), or fish with hooks greater than the number specified 
under Sec. 648.88(a)(2)(iii), if fishing under an open access Handgear 
permit.

[[Page 4395]]

    (162) Fish for, possess, or land regulated multispecies from March 
1 to March 20, if issued an open access Handgear permit.
    (b) * * *
    (1) Land, or possess on board a vessel, more than the possession or 
landing limits specified in Sec. 648.86 (a), (b), (c), (d), (g), and 
(h), or to violate any of the other provisions of Sec. 648.86, unless 
otherwise specified in Sec. 648.17.
    (2) [Reserved]
    (3) While fishing in the areas specified in Sec. 648.86(g)(1)(i) or 
(g)(2)(i), with a NE multispecies Handgear A permit, or under the NE 
multispecies DAS program, or under the limited access monkfish Category 
C or D permit provisions, possess yellowtail flounder in excess of the 
limits specified under Sec. 648.86(g)(1)(ii) or (g)(2)(ii), 
respectively, unless fishing under the recreational or charter/party 
regulations, or transiting in accordance with Sec. 648.23(b).
    (4) If fishing in the areas specified in Sec. 648.86(g)(1)(i) or 
(g)(2)(i), with an NE multispecies Handgear A permit, or under the NE 
multispecies DAS program, or under the limited access monkfish Category 
C or D permit provisions, fail to comply with the requirements 
specified in Sec. 648.81(g)(1)(ii) or (g)(2)(ii), respectively.
    (c) * * *
    (1) Fish for, possess at any time during a trip, or land per trip 
more than the possession limit of NE multispecies specified in Sec. 
648.86(d) after using up the vessel's annual DAS allocation or when not 
participating in the DAS program pursuant to Sec. 648.82, unless 
otherwise exempted under Sec. 648.82(b)(5) or Sec. 648.89.
* * * * *
    (3) Combine, transfer, or consolidate DAS allocations, except as 
provided for under the NE Multispecies DAS Leasing Program or the NE 
Multispecies DAS Transfer Program, as specified under Sec. 648.82(k) 
and (l), respectively.
* * * * *
    (7) Possess or land per trip more than the possession or landing 
limits specified under Sec. 648.86(a), (b), (c), (d), (g), and (h), and 
under Sec. 648.82(b)(5) or (6), if the vessel has been issued a limited 
access multispecies permit.
* * * * *
    (10) Enter, fail to remove sink gillnet gear or gillnet gear 
capable of catching multispecies from, or be in the areas, and for the 
times, described in Sec. 648.80(g)(6)(i) and (ii), except as provided 
in Sec.Sec. 648.80(g)(6)(i) and 648.81(i).
    (11) If the vessel has been issued a limited access multispecies 
permit and fishes under a multispecies DAS, fail to comply with gillnet 
requirements and restrictions specified in Sec. 648.82(j).
    (12) If the vessel has been issued a limited access Day gillnet 
category designation, fail to comply with the restriction and 
requirements specified in Sec. 648.82(j)(1).
    (13) If the vessel has been issued a limited access Trip gillnet 
category designation, fail to comply with the restrictions and 
requirements specified in Sec. 648.82(j)(2).
    (14) If the vessel has been issued a limited access multispecies 
permit and fishes under a multispecies DAS will gillnet gear, fail to 
comply with gillnet tagging requirements specified in Sec. 
648.80(a)(3)(iv)(A)(4), (a)(3)(iv)(B)(4), (a)(3)(iv)(C), 
(a)(4)(iv)(A)(3), (a)(4)(iv)(B)(3), (b)(2)(iv)(C), (b)(2)(iv)(F), 
(c)(2)(v)(A)(2), and (c)(2)(v)(B)(2), or fail to produce, or cause to 
be produced, gillnet tags when requested by an authorized officer.
    (15) Produce, or cause to be produced, gillnet tags under Sec. 
648.80(a)(3)(iv)(C), without the written confirmation from the Regional 
Administrator described in Sec. 648.80(a)(3)(iv)(C).
* * * * *
    (18) [Reserved]
* * * * *
    (21) Fail to declare, and be, out of the non-exempt gillnet fishery 
as required by Sec. 648.82(j)(1)(ii), using the procedure specified in 
Sec. 648.82(h).
* * * * *
    (23) [Reserved]
    (24) Enter port, while on a multispecies DAS trip, in possession of 
more than the allowable limit of cod specified in Sec. 648.86(b)(1)(i), 
unless the vessel is fishing under the cod exemption specified in Sec. 
648.86(b)(4) or under the GB Hookgear Cod Trip Limit Program specified 
in Sec. 648.86(b)(2)(ii).
* * * * *
    (26) Enter port, while on a multispecies DAS trip, in possession of 
more than the allowable limit of cod specified in Sec. 648.86(b)(2)(ii) 
or (iii).
* * * * *
    (29) Enter, be on a fishing vessel in, or fail to remove gear from 
the areas described in Sec. 648.81(d)(1), (e)(1), (f)(1), and (g)(1) 
during the time periods specified, except as provided in Sec. 
648.81(i), (d)(2), (e)(2), (f)(2), and (g)(2).
    (30) If fishing with bottom tending mobile gear, fish in, enter, be 
on a fishing vessel in, the Essential Fish Habitat (EFH) Closure Areas 
described in Sec. 648.81(h)(1)(i) through (vi), with the exception of 
shrimp trawls fishing in the area described in Sec. 648.81(h)(i).
    (31) If the vessel has been issued a Charter/party permit or is 
fishing under charter/party regulations, fail to comply with the 
requirements specified in Sec. 648.81(f)(2)(iii) when fishing in the 
areas described in Sec. 648.81(d)(1) through (f)(1) during the time 
periods specified in those sections.
    (32) [Reserved]
    (33) Fail to remain in port for the appropriate time specified in 
Sec. 648.86(b)(2)(iii)(A), except for transiting purposes, provided the 
vessel complies with Sec. 648.86(b)(3).
    (34) Lease NE multispecies DAS or use leased DAS that have not been 
approved for leasing by the Regional Administrator as specified in Sec. 
648.82(k).
    (35) Provide false information on the application for NE 
multispecies DAS leasing, as required under Sec. 648.82(k)(3).
    (36) Act as lessor or lessee of a NE multispecies Category B DAS, 
or Category C DAS.
    (37) Act as Lessor or Lessee of NE multispecies DAS, if the vessels 
are not in accordance with the size restrictions specified in Sec. 
648.82(k)(4)(ix).
    (38) Sub-lease NE multispecies DAS.
    (39) Lease more than the maximum number of DAS allowable under Sec. 
648.82(k)(4)(iv).
    (40) Lease NE multispecies DAS to a vessel that does not have a 
valid limited access multispecies permit.
    (41) Lease NE multispecies DAS associated with a Confirmation of 
Permit History.
    (42) Lease NE multispecies DAS if the number of unused allocated 
DAS is less than the number of DAS requested to be leased.
    (43) Lease NE multispecies DAS in excess of the duration specified 
in Sec. 648.82(k)(4)(viii)
    (44) Transfer NE multispecies DAS or use transferred DAS that have 
not been approved for transfer by the Regional Administrator as 
specified under Sec. 648.82(l).
    (45) Provide false information on the application for NE 
multispecies DAS Transfer, as required under Sec. 648.82(l)(2).
    (46) Permanently transfer only a portion of a vessels total 
allocation of DAS.
    (47) Permanently transfer NE multispecies DAS between vessels, if 
such vessels are not in accordance with the size restrictions specified 
in Sec. 648.82(l)(1)(ii).
    (48) If permanently transferring NE multispecies DAS to another 
vessel, fail to forfeit all state and Federal fishing permits, or fish 
in any state or Federal commercial fishery indefinitely.
    (49) If fishing under the cod trip limit specified in Sec. 
648.86(b)(2)(ii), fail to

[[Page 4396]]

obtain an annual declaration, or fish north of the exemption line 
specified in Sec. 648.86(b)(4).
    (50) If fishing under the GB Hookgear Cod Trip Limit Program 
specified in Sec. 648.86(b)(ii), land fish on any Friday or Saturday.
    (d) In addition to the general prohibitions specified in Sec. 
600.725 of this chapter and in paragraphs (a), (b), and (c) of this 
section, it is unlawful for any person owning or operating a vessel 
issued an open access multispecies handgear permit to do any of the 
following, unless otherwise specified in Sec. 648.17:
* * * * *
    (2) Use or possess on board, gear capable of harvesting NE 
multispecies, other than rod and reel, or handline gear, or tub-trawls, 
while in possession of, or fishing for, NE multispecies.
* * * * *
    8. In Sec. 648.23, paragraphs (b)(1)(iii)(A) and (b)(1)(iv)(A) are 
revised to read as follows:


Sec. 648.23  Gear restrictions.

* * * * *
    (b) * * *
    (1) * * *
    (iii) * * *
    (A) The net is on a reel, its entire surface is covered with canvas 
or other similar opaque material, and the canvas or other material is 
securely bound;
* * * * *
    (iv) * * *
    (A) The net is on a reel, its entire surface is covered with canvas 
or other similar opaque material, and the canvas or other material is 
securely bound;
* * * * *
    9. Section 648.80 is revised to read as follows:


Sec. 648.80  NE Multispecies regulated mesh areas and restrictions on 
gear and methods of fishing.

    Except as provided in Sec. 648.17, all vessels must comply with the 
following minimum mesh size, gear and methods of fishing requirements, 
unless otherwise exempted or prohibited.
    (a) Gulf of Maine (GOM) and GB Regulated Mesh Areas--(1) GOM 
Regulated Mesh Area. The GOM Regulated Mesh Area (copies of a map 
depicting the area are available from the Regional Administrator upon 
request) is that area:
    (i) Bounded on the east by the U.S.-Canada maritime boundary, 
defined by straight lines connecting the following points in the order 
stated:

------------------------------------------------------------------------
              Point                    N. Lat.             W. Long.
------------------------------------------------------------------------
G1..............................  (\1\)              (\1\)
G2..............................  43  6722
                                   58'                '
G3..............................  42  6744
                                   53.1'              .4'
G4..............................  42  6728
                                   31'                .1'
CII3............................  42  6720
                                   22'                ' (the U.S.-Canada
                                                      Maritime Boundary)
 
------------------------------------------------------------------------
\1\ The intersection of the shoreline and the U.S.-Canada Maritime
  Boundary.

    (ii) Bounded on the south by straight lines connecting the 
following points in the order stated:

------------------------------------------------------------------------
              Point                    N. Lat.             W. Long.
------------------------------------------------------------------------
CII3............................  42  6720
                                   22'                ' (the U.S.-Canada
                                                      Maritime Boundary)
G6..............................  42  6720
                                   20'                '
G7..............................  42  6930
                                   20'                '
G8..............................  42  6930
                                   00'                '
G9..............................  42  (\1\)
                                   00'
------------------------------------------------------------------------
\1\ The intersection of the Cape Cod, MA, coastline and 4200' N. lat.

    (2) GB Regulated Mesh Area. The GB Regulated Mesh Area (copies of a 
map depicting the area are available from the Regional Administrator 
upon request) is that area:
    (i) Bounded on the north by the southern boundary of the GOM 
Regulated Mesh Area as defined in paragraph (a)(1)(ii) of this section; 
and
    (ii) Bounded on the east by straight lines connecting the following 
points in the order stated:

------------------------------------------------------------------------
                                                             Approximate
            Point                 N. Lat.       W. Long.       loran C
                                                              bearings
------------------------------------------------------------------------
CII3.........................  420
                                                       0'
G11............................  4050  700
                                  '                    0'
NL1............................  4050  694
                                  '                    0'
NL2............................  4018  694
                                  .7'                  0'
NL3............................  4022  690
                                  .7'                  0'
                                 (\2\)                690
                                                       0'
------------------------------------------------------------------------
\1\ South facing shoreline of Cape Cod.
\2\ Southward to its intersection with the EEZ.

    (3) GOM Regulated Mesh Area minimum mesh size and gear 
restrictions--(i) Vessels using trawls. Except as provided in 
paragraphs (a)(3)(i) and (vi) of this section, and unless otherwise 
restricted under paragraph (a)(3)(iii) of this section, the minimum 
mesh size for any trawl net, except midwater trawl, on a vessel or used 
by a vessel fishing under a DAS in the NE multispecies DAS program in 
the GOM Regulated Mesh Area is 6-inch (15.2-cm) diamond mesh or 6.5-
inch (16.5-cm) square mesh, applied throughout the body and extension 
of the net, or any combination thereof, and 6.5-inch (16.5-cm) diamond 
mesh or square mesh applied to the codend of the net as defined in 
paragraphs (a)(3)(i)(A) and (B) of this section, provided the vessel 
complies with the requirements of paragraph (a)(3)(vii) of this 
section. This restriction does not apply to nets or pieces of nets 
smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to 
vessels that have not been issued a NE multispecies permit and that are 
fishing exclusively in state waters.
    (A) For vessels greater than 45 ft (13.7 m) in length overall, a 
diamond mesh codend is defined as the first 50 meshes counting from the 
terminus of the net, and a square mesh codend is defined as the first 
100 bars counting from the terminus of the net.
    (B) For vessels 45 ft (13.7 m) or less in length overall, a diamond 
mesh codend is defined as the first 25 meshes counting from the 
terminus of the net, and a square mesh codend is defined as the first 
50 bars counting from the terminus of the net.
    (ii) Vessels using Scottish seine, midwater trawl, and purse seine. 
Except as provided in paragraphs (a)(3)(ii) and (vi) of this section, 
and unless otherwise restricted under paragraph (a)(3)(iii) of this 
section, the minimum mesh size for any Scottish seine, midwater trawl, 
or purse seine on a vessel or used by a vessel fishing under a DAS in 
the NE multispecies DAS program in the GOM Regulated Mesh Area is 6-
inch (15.2-cm) diamond mesh or 6.5-inch (16.5-cm) square mesh applied 
throughout the net, or any combination thereof, provided the vessel 
complies with the requirements of paragraph (a)(3)(vii) of this 
section. This restriction does not apply to nets or pieces of nets 
smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to 
vessels that have not been issued a NE multispecies permit and that are 
fishing exclusively in state waters.
    (iii) Large-mesh vessels. When fishing in the GOM Regulated Mesh 
Area, the minimum mesh size for any trawl net vessel, or sink gillnet, 
on a vessel or used by a vessel fishing under a DAS in the Large-mesh 
DAS program, specified in Sec. 648.82(b)(4), is 8.5-inch (21.6-cm) 
diamond or square mesh throughout the entire net. This restriction does 
not

[[Page 4397]]

apply to nets or pieces of nets smaller than 3 ft (0.9 m) x 3 ft (0.9 
m), (9 sq ft (0.81 sq m)), or to vessels that have not been issued a NE 
multispecies permit and that are fishing exclusively in state waters.
    (iv) Gillnet vessels--(A) Trip gillnet vessels.--(1) Mesh size. 
Except as provided in paragraphs (a)(3)(iv) and (vi) of this section, 
and unless otherwise restricted under paragraph (a)(3)(iii) of this 
section, for vessels that obtain an annual designation as a Trip 
gillnet vessel, the minimum mesh size for any sink gillnet when fishing 
under a DAS in the NE multispecies DAS program in the GOM Regulated 
Mesh Area is 6.5 inches (16.5 cm) throughout the entire net. This 
restriction does not apply to nets or pieces of nets smaller than 3 ft 
(0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to vessels that have 
not been issued a NE multispecies permit and that are fishing 
exclusively in state waters.
    (2) Number of nets. A Trip gillnet vessel fishing under a NE 
multispecies DAS and fishing in the GOM Regulated Mesh Area may not 
fish with, haul, possess, or deploy more than 150 gillnets, except as 
provided in Sec. 648.92(b)(8)(i). Vessels may fish any combination of 
roundfish and flatfish gillnets up to 150 nets, and may stow nets in 
excess of 150.
    (3) Net size requirements. Nets may not be longer than 300 ft (91.4 
m), or 50 fathoms (91.4 m) in length.
    (4) Tags. Roundfish or flatfish nets must be tagged with one tag 
per net, secured to every other bridle of every net within a string of 
nets.
    (B) Day gillnet vessels--(1) Mesh size. Except as provided in 
paragraphs (a)(3)(iv) and (vi) of this section, and unless otherwise 
restricted under paragraph (a)(3)(iii) of this section, for vessels 
that obtain an annual designation as a Day gillnet vessel, the minimum 
mesh size for any sink gillnet when fishing under a DAS in the NE 
multispecies DAS program in the GOM Regulated Mesh Area is 6.5 inches 
(16.5 cm) throughout the entire net. This restriction does not apply to 
nets or pieces of nets smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq 
ft (0.81 sq m)), or to vessels that have not been issued a NE 
multispecies permit and that are fishing exclusively in state waters.
    (2) Number of nets. A day gillnet vessel fishing under a NE 
multispecies DAS and fishing in the GOM Regulated Mesh Area may not 
fish with, haul, possess, or deploy more than 50 roundfish sink 
gillnets or 100 flatfish (tie-down) sink gillnets, each of which must 
be tagged pursuant to paragraph (a)(3)(iv)(C) of this section, except 
as provided in Sec. 648.92(b)(8)(i). Vessels may fish any combination 
of roundfish and flatfish gillnets up to 100 nets, and may stow 
additional nets not to exceed 160 nets, counting deployed nets.
    (3) Net size requirements. Nets may not be longer than 300 ft (91.4 
m), or 50 fathoms (91.4 m) in length.
    (4) Tags. Roundfish nets must be tagged with two tags per net, with 
one tag secured to each bridle of every net, within a string of nets, 
and flatfish nets must have one tag per net, with one tag secured to 
every other bridle of every net within a string of nets. Gillnet 
vessels must also abide by the tagging requirements in paragraph 
(a)(3)(iv)(C) of this section.
    (C) Obtaining and replacing tags. Tags must be obtained as 
described in Sec. 648.4(c)(2)(iii), and vessels must have on board 
written confirmation issued by the Regional Administrator, indicating 
that the vessel is a Day gillnet vessel or a Trip gillnet vessel. The 
vessel operator must produce all net tags upon request by an authorized 
officer. A vessel may have tags on board in excess of the number of 
tags corresponding to the allowable number of nets, provided such tags 
are onboard the vessel and can be made available for inspection.
    (1) Lost tags. Vessel owners or operators are required to report 
lost, destroyed, and missing tag numbers as soon as feasible after tags 
have been discovered lost, destroyed or missing, by letter or fax to 
the Regional Administrator.
    (2) Replacement tags. Vessel owners or operators seeking 
replacement of lost, destroyed, or missing tags must request 
replacement of tags by letter or fax to the Regional Administrator. A 
check for the cost of the replacement tags must be received by the 
Regional Administrator before tags will be re-issued.
    (v) Hook gear restrictions. Unless otherwise specified in paragraph 
(a)(3)(v) of this section, vessels fishing with a valid NE multispecies 
limited access permit and fishing under a NE multispecies DAS, and 
vessels fishing with a valid NE multispecies limited access Small-
Vessel permit, in the GOM Regulated Mesh Area, and persons on such 
vessels, are prohibited from fishing, setting, or hauling back, per 
day, or possessing on board the vessel, more than 2,000 rigged hooks. 
All longline gear hooks must be circle hooks, of a minimum size of 12/
0. An unbaited hook and gangion that has not been secured to the ground 
line of the trawl on board a vessel is deemed to be a replacement hook 
and is not counted toward the 2,000-hook limit. A ``snap-on'' hook is 
deemed to be a replacement hook if it is not rigged or baited. The use 
of de-hookers (``crucifiers'') with less than 6-inch (15.2-cm) spacing 
between the fairlead rollers is prohibited. Vessels fishing with a 
valid NE multispecies limited access Hook Gear permit and fishing under 
a multispecies DAS in the GOM Regulated Mesh Area, and persons on such 
vessels, are prohibited from possessing gear other than hook gear on 
board the vessel. Vessels fishing with a valid NE multispecies limited 
access Handgear A permit are prohibited from fishing, or possessing on 
board the vessel, gear other than handgear. Vessels fishing with tub-
trawl gear are prohibited from fishing, setting, or hauling back, per 
day, or possessing on board the vessel more than 250 hooks.
    (vi) Other restrictions and exemptions. Vessels are prohibited from 
fishing in the GOM or GB Exemption Area as defined in paragraph (a)(17) 
of this section, except if fishing with exempted gear (as defined under 
this part) or under the exemptions specified in paragraphs (a)(5) 
through (7), (a)(9) through (14), (d), (e), (h), and (i) of this 
section; or if fishing under a NE multispecies DAS; or if fishing under 
the Small Vessel or Handgear A exemptions specified in Sec. 
648.82(b)(5) and (6), respectively; or if fishing under the scallop 
state waters exemptions specified in Sec. 648.54 and paragraph (a)(11) 
of this section; or if fishing under a scallop DAS in accordance with 
paragraph (h) of this section; or if fishing pursuant to a NE 
multispecies open access Charter/Party or Handgear permit, or if 
fishing as a charter/party or private recreational vessel in compliance 
with the regulations specified in Sec. 648.89. Any gear on a vessel, or 
used by a vessel, in this area must be authorized under one of these 
exemptions or must be stowed as specified in Sec. 648.23(b).
    (vii) Rockhopper and roller gear restrictions. For all trawl 
vessels fishing in the GOM/GB Inshore Restricted Roller Gear Area, the 
diameter of any part of the trawl footrope, including discs, rollers, 
or rockhoppers, must not exceed 12 inches (30.5 cm). The GOM/GB Inshore 
Restricted Roller Gear Area is defined by straight lines connecting the 
following points in the order stated:

                   Inshore Restricted Roller Gear Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
GM1............................  42 00'
GM2............................  42 00'
GM3............................  42 00'
GM23...........................  42 00'               eq>50'
GM24...........................  43 00'               eq>50'
GM11...........................  43 00'               eq>00'

[[Page 4398]]

 
GM17...........................  43 30'               eq>00'
GM18...........................  43 30'
------------------------------------------------------------------------
\1\ Massachusetts shoreline.
\2\ Cape Cod shoreline on Cape Cod Bay.
\3\ Cape Cod shoreline on the Atlantic Ocean.
\4\ Maine shoreline.

    (4) GB regulated mesh area minimum mesh size and gear restrictions-
-(i) Vessels using trawls. Except as provided in paragraph (a)(3)(vi) 
of this section, and this paragraph (a)(4)(i), and unless otherwise 
restricted under paragraph (a)(4)(iii) of this section, the minimum 
mesh size for any trawl net, except midwater trawl, and the minimum 
mesh size for any trawl net when fishing in that portion of the GB 
Regulated Mesh Area that lies within the SNE Exemption Area, as 
described in paragraph (b)(10) of this section, that is not stowed and 
available for immediate use in accordance with Sec. 648.23(b), on a 
vessel or used by a vessel fishing under a DAS in the NE multispecies 
DAS program in the GB Regulated Mesh Area is 6-inch (15.2-cm) diamond 
mesh or 6.5-inch (16.5-cm) square mesh applied throughout the body and 
extension of the net, or any combination thereof, and 6.5-inch (16.5-
cm) diamond mesh or square mesh applied to the codend of the net as 
defined under paragraph (a)(3)(i) of this section, provided the vessel 
complies with the requirements of paragraph (a)(3)(vii) of this 
section. This restriction does not apply to nets or pieces of nets 
smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to 
vessels that have not been issued a NE multispecies permit and that are 
fishing exclusively in state waters.
    (ii) Vessels using Scottish seine, midwater trawl, and purse seine. 
Except as provided in paragraph (a)(3)(vi) of this section, and this 
paragraph (a)(4)(ii), and unless otherwise restricted under paragraph 
(a)(4)(iii) of this section, the minimum mesh size for any Scottish 
seine, midwater trawl, or purse seine, and the minimum mesh size for 
any Scottish seine, midwater trawl, or purse seine, when fishing in 
that portion of the GB Regulated Mesh Area that lies within the SNE 
Exemption Area, as described in paragraph (b)(10) of this section, that 
is not stowed and available for immediate use in accordance with Sec. 
648.23(b), on a vessel or used by a vessel fishing under a DAS in the 
NE multispecies DAS program in the GB Regulated Mesh Area is 6-inch 
(15.2-cm) diamond mesh or 6.5-inch (16.5-cm) square mesh applied 
throughout the net, or any combination thereof, provided the vessel 
complies with the requirements of paragraph (a)(3)(vii) of this 
section. This restriction does not apply to nets or pieces of nets 
smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to 
vessels that have not been issued a NE multispecies permit and that are 
fishing exclusively in state waters.
    (iii) Large-mesh vessels. When fishing in the GB Regulated Mesh 
Area, the minimum mesh size for any trawl net vessel, or sink gillnet, 
and the minimum mesh size for any trawl net, or sink gillnet, when 
fishing in that portion of the GB Regulated Mesh Area that lies within 
the SNE Exemption Area, as described in paragraph (b)(10) of this 
section, that is not stowed and available for immediate use in 
accordance with Sec. 648.23(b), on a vessel or used by a vessel fishing 
under a DAS in the Large-mesh DAS program, specified in Sec. 
648.82(b)(5), is 8.5-inch (21.6-cm) diamond or square mesh throughout 
the entire net. This restriction does not apply to nets or pieces of 
nets smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), 
or to vessels that have not been issued a NE multispecies permit and 
that are fishing exclusively in state waters.
    (iv) Gillnet vessels. Except as provided in paragraph (a)(3)(vi) of 
this section and this paragraph (a)(4)(iv), for Day and Trip gillnet 
vessels, the minimum mesh size for any sink gillnet, and the minimum 
mesh size for any roundfish or flatfish gillnet when fishing in that 
portion of the GB Regulated Mesh Area that lies within the SNE 
Exemption Area, as described in paragraph (b)(10) of this section, that 
is not stowed and available for immediate use in accordance with Sec. 
648.23(b), when fishing under a DAS in the NE multispecies DAS program 
in the GB Regulated Mesh Area is 6.5 inches (16.5 cm) throughout the 
entire net. This restriction does not apply to nets or pieces of nets 
smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to 
vessels that have not been issued a NE multispecies permit and that are 
fishing exclusively in state waters.
    (A) Trip gillnet vessels--(1) Number of nets. A Trip gillnet vessel 
fishing under a NE multispecies DAS and fishing in the GB Regulated 
Mesh Area may not fish with, haul, possess, or deploy more than 150 
nets, except as provided in Sec. 648.92(b)(8)(i). Vessels may fish any 
combination of roundfish and flatfish gillnets, up to 150 nets, and may 
stow nets in excess of 150.
    (2) Net size requirements. Nets may not be longer than 300 ft (91.4 
m), or 50 fathoms (91.4 m) in length.
    (3) Tags. Roundfish or flatfish nets must be tagged with two tags 
per net, with one tag secured to each bridle of every net within a 
string of nets.
    (B) Day gillnet vessels--(1) Number of nets. A Day gillnet vessel 
fishing under an NE multispecies DAS and fishing in the GB Regulated 
Mesh Area may not fish with, haul, possess, or deploy more than 50 
nets, except as provided in Sec. 648.92(b)(8)(i).
    (2) Net size requirements. Vessels may fish any combination of 
roundfish and flatfish gillnets, up to 50 nets. Such vessels, in 
accordance with Sec. 648.23(b), may stow additional nets not to exceed 
150, counting the deployed net. Nets may not be longer than 300 ft 
(91.4 m).
    (3) Tags. Roundfish or flatfish nets must be tagged with two tags 
per net, with one tag secured to each bridle of every net within a 
string of nets.
    (4) Obtaining and replacing tags. See paragraph (a)(3)(iv)(C) of 
this section.
    (v) Hook gear restrictions. Unless otherwise specified in this 
paragraph (a)(4)(v), vessels fishing with a valid NE multispecies 
limited access permit and fishing under an NE multispecies DAS, and 
vessels fishing with a valid NE multispecies limited access Small-
Vessel permit, in the GB Regulated Mesh Area, and persons on such 
vessels, are prohibited from possessing gear other than hook gear on 
board the vessel and prohibited from fishing, setting, or hauling back, 
per day, or possessing on board the vessel, more than 3,600 rigged 
hooks. All longline gear hooks must be circle hooks, of a minimum size 
of 12/0. An unbaited hook and gangion that has not been secured to the 
ground line of the trawl on board a vessel is deemed to be a 
replacement hook and is not counted toward the 3,600-hook limit. A 
``snap-on'' hook is deemed to be a replacement hook if it is not rigged 
or baited. The use of de-hookers (``crucifiers'') with less than 6-inch 
(15.2-cm) spacing between the fairlead rollers is prohibited. Vessels 
fishing with a valid NE multispecies limited access Hook gear permit 
and fishing under a multispecies DAS in the GB Regulated Mesh Area, and 
persons on such vessels, are prohibited from possessing gear other than 
hook gear on board the vessel. Vessels fishing with a valid NE 
multispecies limited access Handgear A permit are prohibited from 
fishing or possessing on board the vessel, gear other than hand gear. 
Vessels fishing with tub-trawl gear are prohibited from fishing, 
setting, or hauling back, per day, or possessing on board the vessel 
more than 250 hooks.

[[Page 4399]]

    (5) Small Mesh Northern Shrimp Fishery Exemption. Vessels subject 
to the minimum mesh size restrictions specified in this paragraph (a) 
may fish for, harvest, possess, or land northern shrimp in the GOM, GB, 
SNE, and MA Regulated Mesh Areas, as described under paragraphs (a)(1), 
(a)(2), (b)(1), and (c)(1) of this section, respectively, with nets 
with a mesh size smaller than the minimum size specified, if the vessel 
complies with the requirements of paragraphs (a)(5)(i) through (iii) of 
this section.
    (i) Restrictions on fishing for, possessing, or landing fish other 
than shrimp. An owner or operator of a vessel fishing in the northern 
shrimp fishery under the exemption described in this paragraph (a)(5) 
may not fish for, possess on board, or land any species of fish other 
than shrimp, except for the following, with the restrictions noted, as 
allowable incidental species: Longhorn sculpin; combined silver hake 
and offshore hake--up to an amount equal to the total weight of shrimp 
possessed on board or landed, not to exceed 3,500 lb (1,588 kg); and 
American lobster--up to 10 percent, by weight, of all other species on 
board or 200 lobsters, whichever is less, unless otherwise restricted 
by landing limits specified in Sec. 697.17 of this chapter. Silver hake 
and offshore hake on board a vessel subject to this possession limit 
must be separated from other species of fish and stored so as to be 
readily available for inspection.
    (ii) Requirement to use a finfish excluder device (FED). A vessel 
must have a rigid or semi-rigid grate consisting of parallel bars of 
not more than 1-inch (2.54-cm) spacing that excludes all fish and other 
objects, except those that are small enough to pass between its bars 
into the codend of the trawl, secured in the trawl, forward of the 
codend, in such a manner that it precludes the passage of fish or other 
objects into the codend without the fish or objects having to first 
pass between the bars of the grate, in any net with mesh smaller than 
the minimum size specified in paragraphs (a)(3) and (4) of this 
section. The net must have an outlet or hole to allow fish or other 
objects that are too large to pass between the bars of the grate to 
exit the net. The aftermost edge of this outlet or hole must be at 
least as wide as the grate at the point of attachment. The outlet or 
hole must extend forward from the grate toward the mouth of the net. A 
funnel of net material is allowed in the lengthening piece of the net 
forward of the grate to direct catch towards the grate. (Copies of a 
schematic example of a properly configured and installed FED are 
available from the Regional Administrator upon request.)
    (iii) Time restrictions. A vessel may only fish under this 
exemption during the northern shrimp season, as established by the 
Commission and announced in the Commission's letter to participants.
    (6) Cultivator Shoal Whiting Fishery Exemption Area. Vessels 
subject to the minimum mesh size restrictions specified in paragraphs 
(a)(3) and (4) of this section may fish with, use, or possess nets in 
the Cultivator Shoal Whiting Fishery Exemption Area with a mesh size 
smaller than the minimum size specified, if the vessel complies with 
the requirements specified in paragraph (a)(6)(i) of this section. The 
Cultivator Shoal Whiting Fishery Exemption Area (copies of a map 
depicting the area are available from the Regional Administrator upon 
request) is defined by straight lines connecting the following points 
in the order stated:

             Cultivator Shoal Whiting Fishery Exemption Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
C1.............................  4210  681
                                  '                    0'
C2.............................  4130  684
                                  '                    1'
CI4............................  4130  683
                                  '                    0'
C3.............................  4112  683
                                  .8'                  0'
C4.............................  4105  682
                                  '                    0'
C5.............................  4155  674
                                  '                    0'
C1.............................  4210  681
                                  '                    0'
------------------------------------------------------------------------

    (i) Requirements. (A) A vessel fishing in the Cultivator Shoal 
Whiting Fishery Exemption Area under this exemption must have on board 
a valid letter of authorization issued by the Regional Administrator.
    (B) An owner or operator of a vessel fishing in this area may not 
fish for, possess on board, or land any species of fish other than 
whiting and offshore hake combined--up to a maximum of 30,000 lb 
(13,608 kg), except for the following, with the restrictions noted, as 
allowable incidental species: Herring; longhorn sculpin; squid; 
butterfish; Atlantic mackerel; dogfish; red hake; monkfish and monkfish 
parts--up to 10 percent, by weight, of all other species on board or up 
to 50 lb (23 kg) tail-weight/166 lb (75 kg) whole-weight of monkfish 
per trip, as specified in Sec. 648.94(c)(4), whichever is less; and 
American lobster--up to 10 percent, by weight, of all other species on 
board or 200 lobsters, whichever is less, unless otherwise restricted 
by landing limits specified in Sec. 697.17 of this chapter.
    (C) Counting from the terminus of the net, all nets must have a 
minimum mesh size of 3-inch (7.6-cm) square or diamond mesh applied to 
the first 100 meshes (200 bars in the case of square mesh) for vessels 
greater than 60 ft (18.3 m) in length and applied to the first 50 
meshes (100 bars in the case of square mesh) for vessels less than or 
equal to 60 ft (18.3 m) in length.
    (D) Fishing is confined to a season of June 15 through October 31, 
unless otherwise specified by notification in the Federal Register.
    (E) When a vessel is transiting through the GOM or GB Regulated 
Mesh Areas specified under paragraphs (a)(1) and (2) of this section, 
any nets with a mesh size smaller than the minimum mesh specified in 
paragraphs (a)(3) or (4) of this section must be stowed in accordance 
with one of the methods specified in Sec. 648.23(b), unless the vessel 
is fishing for small-mesh multispecies under another exempted fishery 
specified in this paragraph (a).
    (F) A vessel fishing in the Cultivator Shoal Whiting Fishery 
Exemption Area may fish for small-mesh multispecies in exempted 
fisheries outside of the Cultivator Shoal Whiting Fishery Exemption 
Area, provided that the vessel complies with the more restrictive gear, 
possession limit, and other requirements specified in the regulations 
of that exempted fishery for the entire participation period specified 
on the vessel's letter of authorization and consistent with paragraph 
(a)(15)(i)(G) of this section.
    (ii) Sea sampling. The Regional Administrator shall conduct 
periodic sea sampling to determine if there is a need to change the 
area or season designation, and to evaluate the bycatch of regulated 
species, especially haddock.
    (iii) Annual review. The NEFMC shall conduct an annual review of 
data to determine if there are any changes in area or season 
designation necessary, and to make appropriate recommendations to the 
Regional Administrator following the procedures specified in Sec. 
648.90.
    (7) Transiting. (i) Vessels fishing in the Small Mesh Area 1/Small 
Mesh Area 2 fishery, as specified in paragraph (a)(9) of this section, 
may transit through the Scallop Dredge Fishery Exemption Area as 
specified in paragraph (a)(11) of this section with nets of mesh size 
smaller than the minimum mesh size specified in paragraphs (a)(3) or 
(4) of this section, provided that the nets are stowed and not 
available for immediate use in accordance with one of the methods 
specified in Sec. 648.23(b). Vessels fishing in the Small Mesh Northern 
Shrimp Fishery, as specified in paragraph (a)(3) of this section, may 
transit through the GOM, GB, SNE, and MA Regulated

[[Page 4400]]

Mesh Areas, as described in paragraphs (a)(1), (a)(2), (b)(1), and 
(c)(1) of this section, respectively, with nets of mesh size smaller 
than the minimum mesh size specified in paragraphs (a)(3), (a)(4), 
(b)(2), and (c)(2) of this section, provided the nets are stowed and 
not available for immediate use in accordance with one of the methods 
specified in Sec. 648.23(b).
    (ii) Vessels subject to the minimum mesh size restrictions 
specified in paragraphs (a)(3) or (4) of this section may transit 
through the Scallop Dredge Fishery Exemption Area defined in paragraph 
(a)(11) of this section with nets on board with a mesh size smaller 
than the minimum size specified, provided that the nets are stowed in 
accordance with one of the methods specified in Sec. 648.23(b), and 
provided the vessel has no fish on board.
    (iii) Vessels subject to the minimum mesh size restrictions 
specified in paragraphs (a)(3) or (4) of this section may transit 
through the GOM and GB Regulated Mesh Areas defined in paragraphs 
(a)(1) and (2) of this section with nets on board with a mesh size 
smaller than the minimum mesh size specified and with small mesh 
exempted species on board, provided that the following conditions are 
met:
    (A) All nets with a mesh size smaller than the minimum mesh size 
specified in paragraphs (a)(3) or (4) of this section are stowed in 
accordance with one of the methods specified in Sec. 648.23(b).
    (B) A letter of authorization issued by the Regional Administrator 
is on board.
    (C) Vessels do not fish for, possess on board, or land any fish, 
except when fishing in the areas specified in paragraphs (a)(6), 
(a)(10), (a)(15), (b), and (c) of this section. Vessels may retain 
exempted small-mesh species as provided in paragraphs (a)(6)(i), 
(a)(10)(i), (a)(15)(i), (b)(3), and (c)(3) of this section.
    (8) Addition or deletion of exemptions--(i) Exemption allowing no 
regulated multispecies bycatch. An exemption may be added in an 
existing fishery for which there are sufficient data or information to 
ascertain the amount of regulated species bycatch, if the Regional 
Administrator, after consultation with the NEFMC, determines that the 
percentage of regulated species caught as bycatch is, or can be reduced 
to, less than 5 percent, by weight, of total catch, unless otherwise 
specified in this paragraph (a)(8)(i), and that such exemption will not 
jeopardize fishing mortality objectives. The 5-percent regulated 
species incidental bycatch standard could be modified for a stock that 
is not in an overfished condition, or if overfishing is not occurring 
on that stock. When considering modifications of the standard, it must 
be shown that the change will not delay a rebuilding program, or result 
in overfishing or an overfished condition. In determining whether 
exempting a fishery may jeopardize meeting fishing mortality 
objectives, the Regional Administrator may take into consideration 
various factors including, but not limited to, juvenile mortality, 
sacrifices in yield that will result from that mortality, the ratio of 
target species to regulated species, status of stock rebuilding, and 
recent recruitment of regulated species. A fishery can be defined, 
restricted, or allowed by area, gear, season, or other means determined 
to be appropriate to reduce bycatch of regulated species. Notification 
of additions, deletions, or modifications will be made through issuance 
of a rule in the Federal Register.
    (ii) Exemption allowing regulated species bycatch. An exemption may 
be added in an existing fishery that would allow vessels to retain and 
land regulated multispecies, under the restrictions specified in 
paragraphs (a)(8)(ii)(A) through (C) of this section, if the Regional 
Administrator, after consultation with the NEFMC, considers the status 
of the regulated species stock or stocks caught in the fishery, the 
risk that this exemption would result in a targeted regulated species 
fishery, the extent of the fishery in terms of time and area, and the 
possibility of expansion in the fishery. Bycatch in exempted fisheries 
under this paragraph (a)(8)(ii) are subject, at a minimum, to the 
following restrictions:
    (A) A prohibition on the possession of regulated multispecies that 
are overfished or where overfishing is occurring;
    (B) A prohibition on the possession of regulated species in NE 
multispecies closure areas; and
    (C) A prohibition on allowing an exempted fishery to occur that 
would allow retention of a regulated multispecies stock under an 
ongoing rebuilding program, unless it can be determined that the catch 
of the stock in the exempted fishery is not likely to result in 
exceeding the rebuilding mortality rate.
    (iii) The NEFMC may recommend to the Regional Administrator, 
through the framework procedure specified in Sec. 648.90(b), additions 
or deletions to exemptions for fisheries, either existing or proposed, 
for which there may be insufficient data or information for the 
Regional Administrator to determine, without public comment, percentage 
catch of regulated species.
    (iv) Bycatch in exempted fisheries authorized under this paragraph 
(a)(8) are subject, at a minimum, to the following restrictions:
    (A) With the exception of fisheries authorized under paragraph 
(a)(8)(ii) of this section, a prohibition on the possession of 
regulated species;
    (B) A limit on the possession of monkfish or monkfish parts of 10 
percent, by weight, of all other species on board or as specified by 
Sec. 648.94(c)(3), (4), (5) or (6), as applicable, whichever is less;
    (C) A limit on the possession of lobsters of 10 percent, by weight, 
of all other species on board or 200 lobsters, whichever is less; and
    (D) A limit on the possession of skate or skate parts in the SNE 
Exemption Area described in paragraph (b)(10) of this section of 10 
percent, by weight, of all other species on board.
    (9) Small Mesh Area 1/Small Mesh Area 2--(i) Description. (A) 
Unless otherwise prohibited in Sec. 648.81, a vessel subject to the 
minimum mesh size restrictions specified in paragraphs (a) (3) or (4) 
of this section may fish with or possess nets with a mesh size smaller 
than the minimum size, provided the vessel complies with the 
requirements of paragraphs (a)(5)(ii) or (a)(9)(ii) of this section, 
and Sec. 648.86(d), from July 15 through November 15, when fishing in 
Small Mesh Area 1; and from January 1 through June 30, when fishing in 
Small Mesh Area 2. While lawfully fishing in these areas with mesh 
smaller than the minimum size, an owner or operator of any vessel may 
not fish for, possess on board, or land any species of fish other than: 
Silver hake and offshore hake--up to the amounts specified in Sec. 
648.86(d), butterfish, dogfish, herring, Atlantic mackerel, scup, 
squid, and red hake.
    (B) Small-mesh Areas 1 and 2 are defined by straight lines 
connecting the following points in the order stated (copies of a chart 
depicting these areas are available from the Regional Administrator 
upon request):

                            Small Mesh Area I
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
SM1............................  4303  70
                                  '                    27'
SM2............................  4257  70
                                  '                    22'
SM3............................  4247  703
                                  '                    2'
SM4............................  4245  702
                                  '                    9'
SM5............................  4243  703
                                  '                    2'
SM6............................  4244  703
                                  '                    9'
SM7............................  4249  704
                                  '                    3'
SM8............................  4250  704
                                  '                    1'
SM9............................  4253  704
                                  '                    3'
SM10...........................  4255  704
                                  '                    0'
SM11...........................  4259  703
                                  '                    2'
SM1............................  4303  702
                                  '                    7'
------------------------------------------------------------------------


[[Page 4401]]


                           Small Mesh Area II
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
SM13...........................  4305  695
                                  .6'                  5'
SM14...........................  4310  694
                                  .1'                  3.3'
SM15...........................  4249  694
                                  .5'                  0'
SM16...........................  4241  694
                                  .5'                  0'
SM17...........................  4236  695
                                  .6'                  5'
SM13...........................  4305  695
                                  .6'                  5'
------------------------------------------------------------------------

    (ii) Raised footrope trawl. Vessels fishing with trawl gear must 
configure it in such a way that, when towed, the gear is not in contact 
with the ocean bottom. Vessels are presumed to be fishing in such a 
manner if their trawl gear is designed as specified in paragraphs 
(a)(9)(ii) (A) through (D) of this section and is towed so that it does 
not come into contact with the ocean bottom.
    (A) Eight-inch (20.3-cm) diameter floats must be attached to the 
entire length of the headrope, with a maximum spacing of 4 ft (122.0 
cm) between floats.
    (B) The ground gear must all be bare wire not larger than \1/2\-
inch (1.2-cm) for the top leg, not larger than \5/8\-inch (1.6-cm) for 
the bottom leg, and not larger than \3/4\-inch (1.9-cm) for the ground 
cables. The top and bottom legs must be equal in length, with no 
extensions. The total length of ground cables and legs must not be 
greater than 40 fathoms (73 m) from the doors to wingends.
    (C) The footrope must be longer than the length of the headrope, 
but not more than 20 ft (6.1 m) longer than the length of the headrope. 
The footrope must be rigged so that it does not contact the ocean 
bottom while fishing.
    (D) The raised footrope trawl may be used with or without a chain 
sweep. If used without a chain sweep, the drop chains must be a maximum 
of \3/8\-inch (0.95-cm) diameter bare chain and must be hung from the 
center of the footrope and each corner (the quarter, or the junction of 
the bottom wing to the belly at the footrope). Drop chains must be hung 
at intervals of 8 ft (2.4 m) along the footrope from the corners to the 
wing ends. If used with a chain sweep, the sweep must be rigged so it 
is behind and below the footrope, and the footrope is off the bottom. 
This is accomplished by having the sweep longer than the footrope and 
having long drop chains attaching the sweep to the footrope at regular 
intervals. The forward end of the sweep and footrope must be connected 
to the bottom leg at the same point. This attachment, in conjunction 
with the headrope flotation, keeps the footrope off the bottom. The 
sweep and its rigging, including drop chains, must be made entirely of 
bare chain with a maximum diameter of \5/16\ inches (0.8 cm). No 
wrapping or cookies are allowed on the drop chains or sweep. The total 
length of the sweep must be at least 7 ft (2.1 m) longer than the total 
length of the footrope, or 3.5 ft (1.1 m) longer on each side. Drop 
chains must connect the footrope to the sweep chain, and the length of 
each drop chain must be at least 42 inches (106.7 cm). One drop chain 
must be hung from the center of the footrope to the center of the 
sweep, and one drop chain must be hung from each corner. The attachment 
points of each drop chain on the sweep and the footrope must be the 
same distance from the center drop chain attachments. Drop chains must 
be hung at intervals of 8 ft (2.4 m) from the corners toward the wing 
ends. The distance of the drop chain that is nearest the wing end to 
the end of the footrope may differ from net to net. However, the sweep 
must be at least 3.5 ft (1.1 m) longer than the footrope between the 
drop chain closest to the wing ends and the end of the sweep that 
attaches to the wing end.
    (10) Nantucket Shoals Dogfish Fishery Exemption Area. Vessels 
subject to the minimum mesh size restrictions specified in paragraphs 
(a) (3) or (4) of this section may fish with, use, or possess nets of 
mesh smaller than the minimum size specified in the Nantucket Shoals 
Dogfish Fishery Exemption Area, if the vessel complies with the 
requirements specified in paragraph (a)(10)(i) of this section. The 
Nantucket Shoals Dogfish Fishery Exemption Area (copies of a map 
depicting this area are available from the Regional Administrator upon 
request) is defined by straight lines connecting the following points 
in the order stated:

                 Nantucket Shoals Dogfish Exemption Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
NS1............................  4145  700
                                  '                    0'
NS2............................  4145  692
                                  '                    0'
NS3............................  4130  692
                                  '                    0'
Cl1............................  4130  692
                                  '                    3'
NS5............................  4126  692
                                  .5'                  0'
NS6............................  4050  692
                                  '                    0'
NS7............................  4050  700
                                  '                    0'
NS1............................  4145  700
                                  '                    0'
------------------------------------------------------------------------

    (i) Requirements. (A) A vessel fishing in the Nantucket Shoals 
Dogfish Fishery Exemption Area, under the exemption, must have on board 
a letter of authorization issued by the Regional Administrator and may 
not fish for, possess on board, or land any species of fish other than 
dogfish, except as provided under paragraph (a)(10)(i)(D) of this 
section.
    (B) Fishing is confined to June 1 through October 15.
    (C) When transiting the GOM or GB Regulated Mesh Areas, specified 
under paragraphs (a) (1) and (2) of this section, any nets with a mesh 
size smaller than the minimum mesh size specified in paragraphs (a) (3) 
and (4) of this section must be stowed and unavailable for immediate 
use in accordance with Sec. 648.23(b).
    (D) Incidental species provisions. The following species may be 
possessed and landed, with the restrictions noted, as allowable 
incidental species in the Nantucket Shoals Dogfish Fishery Exemption 
Area: Longhorn sculpin; silver hake--up to 200 lb (90.7 kg); monkfish 
and monkfish parts--up to 10 percent, by weight, of all other species 
on board or up to 50 lb (23 kg) tail-weight/166 lb (75 kg) whole-weight 
of monkfish per trip, as specified in Sec. 648.94(c)(4), whichever is 
less; American lobster--up to 10 percent, by weight, of all other 
species on board or 200 lobsters, whichever is less, unless otherwise 
restricted by landing limits specified in Sec. 697.17 of this chapter; 
and skate or skate parts--up to 10 percent, by weight, of all other 
species on board.
    (E) A vessel fishing in the Nantucket Shoals Dogfish Fishery 
Exemption Area, under the exemption, must comply with any additional 
gear restrictions specified in the letter of authorization issued by 
the Regional Administrator.
    (ii) Sea sampling. The Regional Administrator may conduct periodic 
sea sampling to determine if there is a need to change the area or 
season designation, and to evaluate the bycatch of regulated species.
    (11) GOM Scallop Dredge Exemption Area. Unless otherwise prohibited 
in Sec. 648.81, vessels with a limited access scallop permit that have 
declared out of the DAS program as specified in Sec. 648.10, or that 
have used up their DAS allocations, and vessels issued a General 
Category scallop permit, may fish in the GOM Scallop Dredge Fishery 
Exemption Area when not under a NE multispecies DAS, providing the 
vessel complies with the requirements specified in paragraph (a)(11)(i) 
of this section. The GOM Scallop Dredge Fishery Exemption Area is 
defined by the straight lines connecting the following points in the 
order stated (copies of a map depicting the area are available from the 
Regional Administrator upon request):

[[Page 4402]]



                    GOM Scallop Dredge Exemption Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
SM1............................  4135  700
                                  '                    0'
SM2............................  4135  694
                                  '                    0'
SM3............................  4249  694
                                  .5'                  0'
SM4............................  4312  690
                                  '                    0'
SM5............................  4341  680
                                  '                    0'
G2.............................  4358  672
                                  '                    2'
G1.............................  (1)                  (1)
------------------------------------------------------------------------
\1\ Northward along the irregular U.S.-Canada maritime boundary to the
  shoreline.

    (i) Requirements. (A) A vessel fishing in the GOM Scallop Dredge 
Fishery Exemption Area specified in this paragraph (a)(11) may not fish 
for, possess on board, or land any species of fish other than Atlantic 
sea scallops.
    (B) The combined dredge width in use by, or in possession on board, 
vessels fishing in the GOM Scallop Dredge Fishery Exemption Area may 
not exceed 10.5 ft (3.2 m), measured at the widest point in the bail of 
the dredge.
    (C) The exemption does not apply to the Cashes Ledge Closure Area 
or the Western GOM Area Closure specified in Sec. 648.81(d) and (e).
    (ii) [Reserved]
    (12) Nantucket Shoals Mussel and Sea Urchin Dredge Exemption Area. 
A vessel may fish with a dredge in the Nantucket Shoals Mussel and Sea 
Urchin Dredge Exemption Area, provided that any dredge on board the 
vessel does not exceed 8 ft (2.4 m), measured at the widest point in 
the bail of the dredge, and the vessel does not fish for, harvest, 
possess, or land any species of fish other than mussels and sea 
urchins. The area coordinates of the Nantucket Shoals Mussel and Sea 
Urchin Dredge Exemption Area are the same coordinates as those of the 
Nantucket Shoals Dogfish Fishery Exemption Area specified in paragraph 
(a)(10) of this section.
    (13) GOM/GB Dogfish and Monkfish Gillnet Fishery Exemption Area. 
Unless otherwise prohibited in Sec. 648.81, a vessel may fish with 
gillnets in the GOM/GB Dogfish and Monkfish Gillnet Fishery Exemption 
Area when not under a NE multispecies DAS if the vessel complies with 
the requirements specified in paragraph (a)(13)(i) of this section. The 
GOM/GB Dogfish and Monkfish Gillnet Fishery Exemption Area is defined 
by straight lines connecting the following points in the order stated:

------------------------------------------------------------------------
                  N. Lat.                              W. Long.
------------------------------------------------------------------------
4135'.......................  7000'
4249.5'.....................  7000'
4249.5'.....................  6940'
4312'.......................  6900'
(1)........................................  6900'
------------------------------------------------------------------------
\1\ Due north to Maine shoreline.

    (i) Requirements. (A) A vessel fishing under this exemption may not 
fish for, possess on board, or land any species of fish other than 
monkfish, or lobsters in an amount not to exceed 10 percent by weight 
of the total catch on board, or 200 lobsters, whichever is less.
    (B) All gillnets must have a minimum mesh size of 10-inch (25.4-cm) 
diamond mesh throughout the net.
    (C) Fishing is confined to July 1 through September 14.
    (ii) [Reserved]
    (14) GOM/GB Dogfish Gillnet Exemption. Unless otherwise prohibited 
in Sec. 648.81, a vessel may fish with gillnets in the GOM/GB Dogfish 
and Monkfish Gillnet Fishery Exemption Area when not under a NE 
multispecies DAS if the vessel complies with the requirements specified 
in paragraph (a)(14)(i) of this section. The area coordinates of the 
GOM/GB Dogfish and Monkfish Gillnet Fishery Exemption Area are 
specified in paragraph (a)(13) of this section.
    (i) Requirements. (A) A vessel fishing under this exemption may not 
fish for, possess on board, or land any species of fish other than 
dogfish, or lobsters in an amount not to exceed 10 percent by weight of 
the total catch on board, or 200 lobsters, whichever is less.
    (B) All gillnets must have a minimum mesh size of 6.5-inch (16.5-
cm) diamond mesh throughout the net.
    (C) Fishing is confined to July 1 through August 31.
    (ii) [Reserved]
    (15) Raised Footrope Trawl Exempted Whiting Fishery. Vessels 
subject to the minimum mesh size restrictions specified in paragraphs 
(a)(3) or (4) of this section may fish with, use, or possess nets in 
the Raised Footrope Trawl Whiting Fishery area with a mesh size smaller 
than the minimum size specified, if the vessel complies with the 
requirements specified in paragraph (a)(15)(i) of this section. This 
exemption does not apply to the Cashes Ledge Closure Areas or the 
Western GOM Area Closure specified in Sec. 648.81(d) and (e). The 
Raised Footrope Trawl Whiting Fishery Area (copies of a chart depicting 
the area are available from the Regional Administrator upon request) is 
defined by straight lines connecting the following points in the order 
stated:

          Raised Footrope Trawl Whiting Fishery Exemption Area
                    [September 1 through November 20]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
RF 1...........................  4214  700
                                  .05'                 8.8'
RF 2...........................  4209  694
                                  .2'                  7.8'
RF 3...........................  4154  693
                                  .85'                 5.2'
RF 4...........................  4141  693
                                  .5'                  2.85'
RF 5...........................  4139  694
                                  '                    4.3'
RF 6...........................  4145  695
                                  .6'                  1.8'
RF 7...........................  4152  695
                                  .3'                  2.55'
RF 8...........................  4155  695
                                  .5'                  3.45'
RF 9...........................  4208  700
                                  .35'                 4.05'
RF 10..........................  4204  701
                                  .75'                 6.95'
RF 11..........................  4200  701
                                  '                    3.2'
RF 12..........................  4200  702
                                  '                    4.1'
RF 13..........................  4207  703
                                  .85'                 0.1'
RF 1...........................  4214  700
                                  .05'                 8.8'
------------------------------------------------------------------------


          Raised Footrope Trawl Whiting Fishery Exemption Area
                    [November 21 through December 31]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
RF 1...........................  4214  700
                                  .05'                 8.8'
RF 2...........................  4209  694
                                  .2'                  7.8'
RF 3...........................  4154  693
                                  .85'                 5.2'
RF 4...........................  4141  693
                                  .5'                  2.85'
RF 5...........................  4139  694
                                  '                    4.3'
RF 6...........................  4145  695
                                  .6'                  1.8'
RF 7...........................  4152  695
                                  .3'                  2.55'
RF 8...........................  4155  695
                                  .5'                  3.45'
RF 9...........................  4208  700
                                  .35'                 4.05'
RF 1...........................  4214  700
                                  .05'                 8.8'
------------------------------------------------------------------------

    (i) Requirements. (A) A vessel fishing in the Raised Footrope Trawl 
Whiting Fishery under this exemption must have on board a valid letter 
of authorization issued by the Regional Administrator. To obtain a 
letter of authorization, vessel owners must write to or call during 
normal business hours the Northeast Region Permit Office and provide 
the vessel name, owner name, permit number, and the desired period of 
time that the vessel will be enrolled. Since letters of authorization 
are effective the day after they are requested, vessel owners should 
allow appropriate processing and mailing time. To withdraw from a 
category, vessel owners must write to or call the Northeast Region 
Permit Office. Withdrawals are effective the day after the date of 
request. Withdrawals may occur after a minimum of 7 days of enrollment.
    (B) All nets must be no smaller than a minimum mesh size of 2.5-
inch (6.35-cm) square or diamond mesh, subject to the restrictions as 
specified in paragraph (a)(15)(i)(D) of this section. An owner or 
operator of a vessel enrolled in the raised footrope whiting fishery 
may not fish for, possess on board, or land any species of fish other 
than whiting and

[[Page 4403]]

offshore hake, subject to the applicable possession limits as specified 
in Sec. 648.86, except for the following allowable incidental species: 
Red hake, butterfish, dogfish, herring, mackerel, scup, and squid.
    (C) [Reserved]
    (D) All nets must comply with the minimum mesh sizes specified in 
paragraphs (a)(15)(i)(B) of this section. Counting from the terminus of 
the net, the minimum mesh size is applied to the first 100 meshes (200 
bars in the case of square mesh) from the terminus of the net for 
vessels greater than 60 ft (18.3 m) in length and is applied to the 
first 50 meshes (100 bars in the case of square mesh) from the terminus 
of the net for vessels less than or equal to 60 ft (18.3 m) in length.
    (E) Raised footrope trawl gear is required and must be configured 
as specified in paragraphs (a)(9)(ii)(A) through (D) of this section.
    (F) Fishing may only occur from September 1 through November 20 of 
each fishing year, except that it may occur in the eastern portion only 
of the Raised Footrope Trawl Whiting Fishery Exemption Area from 
November 21 through December 31 of each fishing year.
    (G) A vessel enrolled in the Raised Footrope Trawl Whiting Fishery 
may fish for small-mesh multispecies in exempted fisheries outside of 
the Raised Footrope Trawl Whiting Fishery exemption area, provided that 
the vessel complies with the more restrictive gear, possession limit 
and other requirements specified in the regulations of that exempted 
fishery for the entire participation period specified on the vessel's 
letter of authorization. For example, a vessel may fish in both the 
Raised Footrope Trawl Whiting Fishery and the Cultivator Shoal Whiting 
Fishery Exemption Area, and would be restricted to a minimum mesh size 
of 3 inches (7.6 cm), as required in the Cultivator Shoal Whiting 
Fishery Exemption Area; the use of the raised footrope trawl; and the 
catch and bycatch restrictions of the Raised Footrope Trawl Whiting 
Fishery, except for scup.
    (ii) Sea sampling. The Regional Administrator shall conduct 
periodic sea sampling to evaluate the bycatch of regulated species.
    (16) GOM Grate Raised Footrope Trawl Exempted Whiting Fishery. 
Vessels subject to the minimum mesh size restrictions specified in 
paragraphs (a)(3) or (4) of this section may fish with, use, and 
possess in the GOM Grate Raised Footrope Trawl Whiting Fishery area 
from July 1 through November 30 of each year, nets with a mesh size 
smaller than the minimum size specified, if the vessel complies with 
the requirements specified in paragraphs (a)(16)(i) and (ii) of this 
section. The GOM Grate Raised Footrope Trawl Whiting Fishery Area 
(copies of a chart depicting the area are available from the Regional 
Administrator upon request) is defined by straight lines connecting the 
following points in the order stated:

     GOM Grate Raised Footrope Trawl Whiting Fishery Exemption Area
                      [July 1 through November 30]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
GRF1...........................  4315  703
                                  '                    5.4'
GRF2...........................  4315  700
                                  '                    0'
GRF3...........................  4325  700
                                  .2'                  0'
GRF4...........................  4341  692
                                  .8'                  0'
GRF5...........................  4358  692
                                  .8'                  0'
------------------------------------------------------------------------

    (i) Mesh requirements and possession restrictions. (A) All nets 
must comply with a minimum mesh size of 2.5-inch (6.35-cm) square or 
diamond mesh, subject to the restrictions specified in paragraph 
(a)(16)(i)(B) of this section. An owner or operator of a vessel 
participating in the GOM Grate Raised Footrope Trawl Exempted Whiting 
Fishery may not fish for, possess on board, or land any species of 
fish, other than whiting and offshore hake, subject to the applicable 
possession limits as specified in paragraph (a)(16)(i)(C) of this 
section, except for the following allowable incidental species: Red 
hake, butterfish, herring, mackerel, squid, and alewife.
    (B) All nets must comply with the minimum mesh size specified in 
paragraph (a)(16)(i)(A) of this section. Counting from the terminus of 
the net, the minimum mesh size is applied to the first 100 meshes (200 
bars in the case of square mesh) from the terminus of the net for 
vessels greater than 60 ft (18.3 m) in length and is applied to the 
first 50 meshes (100 bars in the case of square mesh) from the terminus 
of the net for vessels less than or equal to 60 ft (18.3 m) in length.
    (C) An owner or operator of a vessel participating in the GOM Grate 
Raised Footrope Trawl Exempted Whiting Fishery may fish for, possess, 
and land combined silver hake and offshore hake only up to 7,500 lb 
(3,402 kg). An owner or operator fishing with mesh larger than the 
minimum mesh size specified in paragraph (a)(16)(i)(A) of this section 
may not fish for, possess, or land silver hake or offshore hake in 
quantities larger than 7,500 lb (3,402 kg).
    (ii) Gear specifications. In addition to the requirements specified 
in paragraph (a)(16)(i) of this section, an owner or operator of a 
vessel fishing in the GOM Grate Raised Footrope Trawl Exempted Whiting 
Fishery must configure the vessel's trawl gear as specified in 
paragraphs (a)(16)(ii)(A) through (C) of this section.
    (A) An owner or operator of a vessel fishing in the GOM Grate 
Raised Footrope Trawl Exempted Whiting Fishery must configure the 
vessel's trawl gear with a raised footrope trawl as specified in 
paragraphs (a)(9)(ii)(A) through (C) of this section. In addition, the 
restrictions specified in paragraphs (a)(16)(ii)(B) and (C) apply to 
vessels fishing in the GOM Grate Raised Footrope Trawl Exempted Whiting 
Fishery.
    (B) The raised footrope trawl must be used without a sweep of any 
kind (chain, roller frame, or rockhopper). The drop chains must be a 
maximum of \3/8\-inch (0.95 cm) diameter bare chain and must be hung 
from the center of the footrope and each corner (the quarter, or the 
junction of the bottom wing to the belly at the footrope). Drop chains 
must be at least 42 inches (106.7 cm) in length and must be hung at 
intervals of 8 ft (2.4 m) along the footrope from the corners to the 
wing ends.
    (C) The raised footrope trawl net must have a rigid or semi-rigid 
grate consisting of parallel bars of not more than 50 mm (1.97 inches) 
spacing that excludes all fish and other objects, except those that are 
small enough to pass between its bars into the codend of the trawl. The 
grate must be secured in the trawl, forward of the codend, in such a 
manner that it precludes the passage of fish or other objects into the 
codend without the fish or objects having to first pass between the 
bars of the grate. The net must have an outlet or hole to allow fish or 
other objects that are too large to pass between the bars of the grate 
to exit the net. The aftermost edge of this outlet or hole must be at 
least as wide as the grate at the point of attachment. The outlet or 
hole must extend forward from the grate toward the mouth of the net. A 
funnel of net material is allowed in the lengthening piece of the net 
forward of the grate to direct catch towards the grate.
    (iii) Annual review. On an annual basis, the Groundfish PDT will 
review data from this fishery, including sea sampling data, to 
determine whether adjustments are necessary to ensure that regulated 
species bycatch remains at a minimum. If the Groundfish PDT recommends 
adjustments to ensure that regulated species bycatch remains at a 
minimum, the Council may take action

[[Page 4404]]

prior to the next fishing year through the framework adjustment process 
specified in Sec. 648.90(b), and in accordance with the Administrative 
Procedure Act.
    (17) GOM/GB Exemption Area--Area definition. The GOM/GB Exemption 
Area (copies of a map depicting this area are available from the 
Regional Administrator upon request) is that area:
    (i) Bounded on the east by the U.S.-Canada maritime boundary, 
defined by straight lines connecting the following points in the order 
stated:

                Gulf of Maine/Georges Bank Exemption Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
G1.............................  (\1\)                (\1\)
G2.............................  4358  672
                                  '                    2'
G3.............................  4253  674
                                  .1'                  4.4'
G4.............................  4231  672
                                  '                    8.1'
G5.............................  4118  662
                                  .6'                  4.8'
------------------------------------------------------------------------
\1\ The intersection of the shoreline and the U.S.-Canada Maritime
  Boundary.

    (ii) Bounded on the south by straight lines connecting the 
following points in the order stated:

 
----------------------------------------------------------------------------------------------------------------
            Point                  N. Lat.          W. Long.               Approximate loran C bearings
----------------------------------------------------------------------------------------------------------------
G6..........................  4055.5'            >38'
G7..........................  4000' W. lat.
                               >45.5'            >00'
G8..........................  4000' W. lat.
                               >37'              >00'
G9..........................  4030'              >00'
NL3.........................  4022.7'            >00'
NL2.........................  4018.7'            >40'
NL1.........................  4050'              >40'
G11.........................  4050'              >00'
G12.........................  ................  7000' \1\
----------------------------------------------------------------------------------------------------------------
\1\ Northward to its intersection with the shoreline of mainland Massachusetts.

    (b) Southern New England (SNE) Regulated Mesh Area--(1) Area 
definition. The SNE Regulated Mesh Area (copies of a map depicting this 
area are available from the Regional Administrator upon request) is 
that area:
    (i) Bounded on the east by the western boundary of the GB Regulated 
Mesh Area described under paragraph (a)(2)(iii) of this section; and
    (ii) Bounded on the west by a line beginning at the intersection of 
7400' W. long. and the south facing shoreline of Long 
Island, NY, and then running southward along the 7400' 
W. long. line.
    (2) Gear restrictions--(i) Vessels using trawls. Except as provided 
in paragraphs (b)(2)(i) and (vi) of this section, and unless otherwise 
restricted under paragraph (b)(2)(iii) of this section, the minimum 
mesh size for any trawl net, not stowed and not available for immediate 
use in accordance with section Sec. 648.23(b), except midwater trawl, 
on a vessel or used by a vessel fishing under a DAS in the NE 
multispecies DAS program in the SNE Regulated Mesh Area is 6-inch 
(15.2-cm) diamond mesh or 6.5-inch (16.5-cm) square mesh, applied 
throughout the body and extension of the net, or any combination 
thereof, and 6.5-inch (16.5-cm) square mesh or, 7-inch (17.8-cm) 
diamond mesh applied to the codend of the net, as defined under 
paragraph (a)(3)(i) of this section. This restriction does not apply to 
nets or pieces of nets smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq 
ft (0.81 sq m)), or to vessels that have not been issued a NE 
multispecies permit and that are fishing exclusively in state waters.
    (ii) Vessels using Scottish seine, midwater trawl, and purse seine. 
Except as provided in paragraphs (b)(2)(ii) and (vi) of this section, 
the minimum mesh size for any Scottish seine, midwater trawl, or purse 
seine, not stowed and not available for immediate use in accordance 
with section Sec. 648.23(b), on a vessel or used by a vessel fishing 
under a DAS in the NE multispecies DAS program in the SNE Regulated 
Mesh Area is 6-inch (15.2-cm) diamond mesh or 6.5-inch (16.5-cm) square 
mesh applied throughout the net, or any combination thereof. This 
restriction does not apply to nets or pieces of nets smaller than 3 ft 
(0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to vessels that have 
not been issued a NE multispecies permit and that are fishing 
exclusively in state waters.
    (iii) Large-mesh vessels. When fishing in the SNE Regulated Mesh 
Area, the minimum mesh size for any trawl net vessel, or sink gillnet, 
not stowed and not available for immediate use in accordance with 
section Sec. 648.23(b) on a vessel or used by a vessel fishing under a 
DAS in the Large-mesh DAS program, specified in Sec. 648.82(b)(4), is 
8.5-inch (21.6-cm) diamond or square mesh throughout the entire net. 
This restriction does not apply to nets or pieces of nets smaller than 
3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to vessels that 
have not been issued a NE multispecies permit and that are fishing 
exclusively in state waters.
    (iv) Gillnet vessels. For Day and Trip gillnet vessels, the minimum 
mesh size for any sink gillnet not stowed and not available for 
immediate use in accordance with section Sec. 648.23(b), when fishing 
under a DAS in the NE multispecies DAS program in the SNE Regulated 
Mesh Area, is 6.5 inches (16.5 cm) throughout the entire net. This 
restriction does not apply to nets or pieces of nets smaller than 3 ft 
(0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to vessels that have 
not been issued a NE multispecies permit and that are fishing 
exclusively in state waters. Gillnet vessels must also abide by the 
tagging requirements in paragraph (a)(3)(iv)(C) of this section.
    (A) Trip gillnet vessels--(1) Number of nets. A Trip gillnet vessel 
fishing under a NE multispecies DAS and fishing in the SNE Regulated 
Mesh Area, may not fish with, haul, possess, or deploy more than 75 
nets, except as provided in Sec. 648.92(b)(8)(i). Vessels may fish any 
combination of roundfish and flatfish gillnets up to 75 nets. Such 
vessels, in accordance with Sec. 648.23(b), may stow nets in excess of 
75 nets.
    (2) Net size requirements. Nets may not be longer than 300 ft (91.4 
m), or 50 fathoms (91.4 m) in length.
    (3) Tags. Roundfish or flatfish gillnets must be tagged with two 
tags per net, with one tag secured to each bridle of every net within a 
string of gillnets.
    (B) Day gillnet vessels--(1) Number of nets. A Day gillnet vessel 
fishing under a NE multispecies DAS and fishing in the SNE Regulated 
Mesh Area may not fish with, haul, possess, or deploy more than 75 
nets, except as provided in Sec. 648.92(b)(8)(i). Such vessels, in 
accordance with Sec. 648.23(b), may stow

[[Page 4405]]

additional nets not to exceed 160, counting deployed nets.
    (2) Net size requirements. Nets may not be longer than 300 ft (91.4 
m), or 50 fathoms (91.4 m), in length.
    (3) Tags. Roundfish or flatfish gillnets must be tagged with two 
tags per net, with one tag secured to each bridle of every net within a 
string of nets.
    (C) Obtaining and replacing tags. See paragraph (a)(3)(iv)(C) of 
this section.
    (v) Hook gear restrictions. Unless otherwise specified in this 
paragraph (b)(2)(v), vessels fishing with a valid NE multispecies 
limited access permit and fishing under a NE multispecies DAS, and 
vessels fishing with a valid NE multispecies limited access Small-
Vessel permit, in the SNE Regulated Mesh Area, and persons on such 
vessels, are prohibited from fishing, setting, or hauling back, per 
day, or possessing on board the vessel, more than 2,000 rigged hooks. 
All longline gear hooks must be circle hooks, of a minimum size of 12/
0. An unbaited hook and gangion that has not been secured to the ground 
line of the trawl on board a vessel is deemed to be a replacement hook 
and is not counted toward the 2,000-hook limit. A ``snap-on'' hook is 
deemed to be a replacement hook if it is not rigged or baited. The use 
of de-hookers (``crucifiers'') with less than 6-inch (15.2-cm) spacing 
between the fairlead rollers is prohibited. Vessels fishing with a 
valid NE multispecies limited access Hook Gear permit and fishing under 
a multispecies DAS in the SNE Regulated Mesh Area, and persons on such 
vessels, are prohibited from possessing gear other than hook gear on 
board the vessel. Vessels fishing with a valid NE multispecies limited 
access Handgear A permit are prohibited from fishing, or possessing on 
board the vessel, gears other than handgear. Vessels fishing with tub-
trawl gear are prohibited from fishing, setting, or hauling back, per 
day, or possessing on board the vessel more than 250 hooks.
    (vi) Other restrictions and exemptions. Vessels are prohibited from 
fishing in the SNE Exemption Area, as defined in paragraph (b)(10) of 
this section, except if fishing with exempted gear (as defined under 
this part) or under the exemptions specified in paragraphs (b)(3), 
(b)(5) through (9), (b)(11), (c), (e), (h) and (i) of this section, or 
if fishing under a NE multispecies DAS, if fishing under the Small 
Vessel or Handgear A exemptions specified in Sec. 648.82(b)(5) and 
(b)(6), respectively, or if fishing under a scallop state waters 
exemption specified in Sec. 648.54, or if fishing under a scallop DAS 
in accordance with paragraph (h) of this section, or if fishing under a 
General Category scallop permit in accordance with paragraphs 
(a)(11)(i)(A) and (B) of this section, or if fishing pursuant to a NE 
multispecies open access Charter/Party or Handgear permit, or if 
fishing as a charter/party or private recreational vessel in compliance 
with the regulations specified in Sec. 648.89. Any gear on a vessel, or 
used by a vessel, in this area must be authorized under one of these 
exemptions or must be stowed as specified in Sec. 648.23(b).
    (3) Exemptions--(i) Species exemptions. Owners and operators of 
vessels subject to the minimum mesh size restrictions specified in 
paragraphs (a)(4) and (b)(2) of this section, may fish for, harvest, 
possess, or land butterfish, dogfish (trawl only), herring, Atlantic 
mackerel, ocean pout, scup, shrimp, squid, summer flounder, silver hake 
and offshore hake, and weakfish with nets of a mesh size smaller than 
the minimum size specified in the GB and SNE Regulated Mesh Areas when 
fishing in the SNE Exemption Area defined in paragraph (b)(10) of this 
section, provided such vessels comply with requirements specified in 
paragraph (b)(3)(ii) of this section and with the mesh size and 
possession limit restrictions specified under Sec. 648.86(d).
    (ii) Possession and net stowage requirements. Vessels may possess 
regulated species while in possession of nets with mesh smaller than 
the minimum size specified in paragraphs (a)(4) and (b)(2) of this 
section when fishing in the SNE Exemption Area defined in paragraph 
(b)(10) of this section, provided that such nets are stowed and are not 
available for immediate use in accordance with Sec. 648.23(b), and 
provided that regulated species were not harvested by nets of mesh size 
smaller than the minimum mesh size specified in paragraphs (a)(4) and 
(b)(2) of this section. Vessels fishing for the exempted species 
identified in paragraph (b)(3)(i) of this section may also possess and 
retain the following species, with the restrictions noted, as 
incidental take to these exempted fisheries: Conger eels; sea robins; 
black sea bass; red hake; tautog (blackfish); blowfish; cunner; John 
Dory; mullet; bluefish; tilefish; longhorn sculpin; fourspot flounder; 
alewife; hickory shad; American shad; blueback herring; sea raven; 
Atlantic croaker; spot; swordfish; monkfish and monkfish parts--up to 
10 percent, by weight, of all other species on board or up to 50 lb (23 
kg) tail-weight/166 lb (75 kg) whole weight of monkfish per trip, as 
specified in Sec. 648.94(c)(4), whichever is less; American lobster--up 
to 10 percent, by weight, of all other species on board or 200 
lobsters, whichever is less; and skate and skate parts--up to 10 
percent, by weight, of all other species on board.
    (4) Addition or deletion of exemptions. Same as in paragraph (a)(8) 
of this section.
    (5) SNE Monkfish and Skate Trawl Exemption Area. Unless otherwise 
required or prohibited by monkfish or skate regulations under this 
part, a vessel may fish with trawl gear in the SNE Monkfish and Skate 
Trawl Fishery Exemption Area when not operating under a NE multispecies 
DAS if the vessel complies with the requirements specified in paragraph 
(b)(5)(i) of this section, and the monkfish and skate regulations, as 
applicable, under this part. The SNE Monkfish and Skate Trawl Fishery 
Exemption Area is defined as the area bounded on the north by a line 
extending eastward along 4010[min] N. lat., and bounded 
on the west by the western boundary of the SNE Exemption Area as 
defined in paragraph (b)(10)(ii) of this section.
    (i) Requirements. (A) A vessel fishing under this exemption may 
only fish for, possess on board, or land monkfish and incidentally 
caught species up to the amounts specified in paragraph (b)(3) of this 
section.
    (B) All trawl nets must have a minimum mesh size of 8-inch (20.3-
cm) square or diamond mesh throughout the codend for at least 45 
continuous meshes forward of the terminus of the net.
    (C) A vessel not operating under a multispecies DAS may fish for, 
possess on board, or land skates, provided:
    (1) The vessel is called into the monkfish DAS program (Sec. 
648.92) and complies with the skate possession limit restrictions at 
Sec. 648.322;
    (2) The vessel has an LOA on board to fish for skates as bait only, 
and complies with the requirements specified at Sec. 648.322(b); or
    (3) The vessel possesses and/or lands skates or skate parts in an 
amount not to exceed 10 percent by weight of all other species on board 
as specified at paragraph (b)(3) of this section.
    (ii) [Reserved]
    (6) SNE Monkfish and Skate Gillnet Exemption Area. Unless otherwise 
required by monkfish regulations under this part, a vessel may fish 
with gillnet gear in the SNE Monkfish and Skate Gillnet Fishery 
Exemption Area when not operating under a NE multispecies DAS if the 
vessel complies with the requirements specified in paragraph (b)(6)(i) 
of this section; the monkfish regulations, as applicable, under 
Sec.Sec. 648.91 through 648.94; and the skate regulations, as 
applicable, under Sec.Sec. 648.4 and 648.322. The SNE

[[Page 4406]]

Monkfish and Skate Gillnet Fishery Exemption Area is defined by a line 
running from the Massachusetts shoreline at 4135[min] N. 
lat. and 7000[min] W. long., south to its intersection 
with the outer boundary of the EEZ, southwesterly along the outer 
boundary of the EEZ, and bounded on the west by the western boundary of 
the SNE Exemption Area, as defined in paragraph (b)(10)(ii) of this 
section.
    (i) Requirements. (A) A vessel fishing under this exemption may 
only fish for, possess on board, or land monkfish and incidentally 
caught species up to the amounts specified in paragraph (b)(3) of this 
section.
    (B) All gillnets must have a minimum mesh size of 10-inch (25.4-cm) 
diamond mesh throughout the net.
    (C) All nets with a mesh size smaller than the minimum mesh size 
specified in paragraph (b)(6)(i)(B) of this section must be stowed as 
specified in Sec. 648.23(b).
    (D) A vessel not operating under a NE multispecies DAS may fish 
for, possess on board, or land skates, provided:
    (1) The vessel is called into the monkfish DAS program (Sec. 
648.92) and complies with the skate possession limit restrictions at 
Sec. 648.322;
    (2) The vessel has a Letter of Authorization on board to fish for 
skates as bait only, and complies with the requirements specified at 
Sec. 648.322(b); or
    (3) The vessel possesses and/or lands skates or skate parts in an 
amount not to exceed 10 percent, by weight, of all other species on 
board as specified at paragraph (b)(3) of this section.
    (ii) [Reserved]
    (7) SNE Dogfish Gillnet Exemption Area. Unless otherwise required 
by monkfish regulations under this part, a gillnet vessel may fish in 
the SNE Dogfish Gillnet Fishery Exemption Area when not operating under 
a NE multispecies DAS if the vessel complies with the requirements 
specified in paragraph (b)(7)(i) of this section and the applicable 
dogfish regulations under subpart L of this part. The SNE Dogfish 
Gillnet Fishery Exemption Area is defined by a line running from the 
Massachusetts shoreline at 4135[min] N. lat. and 
7000[min] W. long., south to its intersection with the 
outer boundary of the EEZ, southwesterly along the outer boundary of 
the EEZ, and bounded on the west by the western boundary of the SNE 
Exemption Area as defined in paragraph (b)(10)(ii) of this section.
    (i) Requirements. (A) A vessel fishing under this exemption may 
only fish for, possess on board, or land dogfish and the bycatch 
species and amounts specified in paragraph (b)(3) of this section.
    (B) All gillnets must have a minimum mesh size of 6-inch (15.2-cm) 
diamond mesh throughout the net.
    (C) Fishing is confined to May 1 through October 31.
    (ii) [Reserved]
    (8) SNE Mussel and Sea Urchin Dredge Exemption. A vessel may fish 
with a dredge in the SNE Exemption Area, as defined in paragraph 
(b)(10) of this section, provided that any dredge on board the vessel 
does not exceed 8 ft (2.4 m), measured at the widest point in the bail 
of the dredge, and the vessel does not fish for, harvest, possess, or 
land any species of fish other than mussels and sea urchins.
    (9) SNE Little Tunny Gillnet Exemption Area. A vessel may fish with 
gillnet gear in the SNE Little Tunny Gillnet Exemption Area when not 
operating under a NE multispecies DAS with mesh size smaller than the 
minimum required in the SNE Regulated Mesh Area, if the vessel complies 
with the requirements specified in paragraph (b)(9)(i) of this section. 
The SNE Little Tunny Gillnet Exemption Area is defined by a line 
running from the Rhode Island shoreline at 4118.2[min] 
N. lat. and 7151.5[min] W. long. (Watch Hill, RI), 
southwesterly through Fishers Island, NY, to Race Point, Fishers 
Island, NY; and from Race Point, Fishers Island, NY, southeasterly to 
4106.5[min] N. lat. and 7150.2[min] W. 
long.; east-northeastly through Block Island, RI, to 
4115[min] N. lat. and 7107[min] W. long.; 
then due north to the intersection of the RI-MA shoreline.
    (i) Requirements. (A) A vessel fishing under this exemption may 
fish only for, possess on board, or land little tunny and the allowable 
incidental species and amounts specified in paragraph (b)(3) of this 
section and, if applicable, paragraph (b)(9)(i)(B) of this section. 
Vessels fishing under this exemption may not possess regulated species.
    (B) A vessel may possess bonito as an allowable incidental species.
    (C) The vessel must have a letter of authorization issued by the 
Regional Administrator on board.
    (D) All gillnets must have a minimum mesh size of 5.5-inch (14.0-
cm) diamond mesh throughout the net.
    (E) All nets with a mesh size smaller than the minimum mesh size 
specified in paragraph (b)(9)(i)(D) of this section must be stowed in 
accordance with one of the methods described under Sec. 648.23(b) while 
fishing under this exemption.
    (F) Fishing is confined to September 1 through October 31.
    (ii) The Regional Administrator shall conduct periodic sea sampling 
to evaluate the likelihood of gear interactions with protected 
resources.
    (10) SNE Exemption Area--Area definition. The SNE Exemption Area 
(copies of a map depicting this area are available from the Regional 
Administrator upon request) is that area:
    (i) Bounded on the east by straight lines connecting the following 
points in the order stated:

                   Southern New England Exemption Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
G5.............................  4118  662
                                  .6'                  4.8'
G6.............................  4055  663
                                  .5'                  8'
G7.............................  4045  680
                                  .5'                  0'
G8.............................  4037  680
                                  '                    0'
G9.............................  4030  690
                                  .5'                  0'
NL3............................  4022  690
                                  .7'                  0'
NL2............................  4018  694
                                  .7'                  0'
NL1............................  4050  694
                                  '                    0'
G11............................  4050  700
                                  '                    0'
G12............................  ...................  700
                                                       0'\1\
------------------------------------------------------------------------
\1\ Northward to its intersection with the shoreline of mainland
  Massachusetts.

    (ii) Bounded on the west by a line running from the Rhode Island 
shoreline at 4118.2' N. lat. and 7151.5' 
W. long. (Watch Hill, RI), southwesterly through Fishers Island, NY, to 
Race Point, Fishers Island, NY; and from Race Point, Fishers Island, 
NY; southeasterly to the intersection of the 3-nautical mile line east 
of Montauk Point; southwesterly along the 3-nautical mile line to the 
intersection of 7230' W. long.; and south along that 
line to the intersection of the outer boundary of the EEZ.
    (11) SNE Scallop Dredge Exemption Area. Unless otherwise prohibited 
in Sec. 648.81, vessels with a limited access scallop permit that have 
declared out of the DAS program as specified in Sec. 648.10, or that 
have used up their DAS allocation, and vessels issued a General 
Category scallop permit, may fish in the SNE Scallop Dredge Exemption 
Area when not under a NE multispecies DAS, provided the vessel complies 
with the requirements specified in paragraph (b)(11)(ii) of this 
section.
    (i) The SNE Scallop Dredge Exemption Area is that area (copies of a 
chart depicting this area are available from the Regional Administrator 
upon request):
    (A) Bounded on the west, south, and east by straight lines 
connecting the following points in the order stated:

------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
Sc1............................  (\1\)                73
                                                       00'

[[Page 4407]]

 
Sc2............................  4000  730
                                  '                    0'
Sc3............................  4000  714
                                  '                    0'
Sc4............................  3950  714
                                  '                    0'
Sc5............................  3950  700
                                  '                    0'
Sc6............................  (\2\)                70
                                                       00'
Sc7............................  (\3\)                70
                                                       00'
Sc8............................  (\4\)                70
                                                       00'
------------------------------------------------------------------------
\1\ South facing shoreline of Long Island, NY.
\2\ South facing shoreline of Nantucket, MA.
\3\ North facing shoreline of Nantucket, MA.
\4\ South facing shoreline of Cape Cod, MA.

    (B) Bounded on the northwest by straight lines connecting the 
following points in the order stated:

------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
Sc9............................  4100  (\5\)
                                  '
Sc10...........................  4100  714
                                  '                    0'
Sc11...........................  (\6\)                714
                                                       0'
------------------------------------------------------------------------
\5\ East facing shoreline of the south fork of Long Island, NY.
\6\ South facing shoreline of RI.

    (ii) Exemption program requirements. (A) A vessel fishing in the 
Scallop Dredge Exemption Area may not fish for, possess on board, or 
land any species of fish other than Atlantic sea scallops.
    (B) The combined dredge width in use by or in possession on board 
vessels fishing in the SNE Scallop Dredge Exemption Area shall not 
exceed 10.5 ft (3.2 m), measured at the widest point in the bail of the 
dredge.
    (C) Dredges must use a minimum of an 8-inch (20.3 cm) twine top.
    (D) The exemption does not apply to the Nantucket Lightship Closed 
Area specified under Sec. 648.81(c).
    (c) Mid-Atlantic (MA) Regulated Mesh Area. (1) Area definition. The 
MA Regulated Mesh Area is that area bounded on the east by the western 
boundary of the SNE Regulated Mesh Area, described under paragraph 
(b)(1)(ii) of this section.
    (2) Gear restrictions--(i) Vessels using trawls. Except as provided 
in paragraph (c)(2)(iii) of this section, the minimum mesh size for any 
trawl net not stowed and not available for immediate use in accordance 
with Sec. 648.23(b), on a vessel or used by a vessel fishing under a 
DAS in the NE multispecies DAS program in the MA Regulated Mesh Area 
shall be that specified by Sec. 648.104(a), applied throughout the body 
and extension of the net, or any combination thereof, and 6.5-inch 
(16.5-cm) diamond or square mesh applied to the codend of the net, as 
defined in paragraph (a)(3)(i) of this section. This restriction does 
not apply to nets or pieces of nets smaller than 3 ft (0.9 m) x 3 ft 
(0.9 m), (9 sq ft (0.81 sq m)), or to vessels that have not been issued 
a NE multispecies permit and that are fishing exclusively in state 
waters.
    (ii) Vessels using Scottish seine, midwater trawl, and purse seine. 
Except as provided in paragraph (c)(2)(iii) of this section, the 
minimum mesh size for any sink gillnet, Scottish seine, midwater trawl, 
or purse seine, not stowed and not available for immediate use in 
accordance with section Sec. 648.23(b), on a vessel or used by a vessel 
fishing under a DAS in the NE multispecies DAS program in the MA 
Regulated Mesh Area, shall be that specified in Sec. 648.104(a). This 
restriction does not apply to nets or pieces of nets smaller than 3 ft 
(0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to vessels that have 
not been issued a NE multispecies permit and that are fishing 
exclusively in state waters.
    (iii) Large-mesh vessels. When fishing in the MA Regulated Mesh 
Area, the minimum mesh size for any trawl net vessel, or sink gillnet, 
not stowed and not available for immediate use in accordance with Sec. 
648.23(b), on a vessel or used by a vessel fishing under a DAS in the 
Large-mesh DAS program, specified in Sec. 648.82(b)(4), is 7.5-inch 
(19.0-cm) diamond mesh or 8.0-inch (20.3-cm) square mesh, throughout 
the entire net. This restriction does not apply to nets or pieces of 
nets smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), 
or to vessels that have not been issued a NE multispecies permit and 
that are fishing exclusively in state waters.
    (iv) Hookgear restrictions. Unless otherwise specified in this 
paragraph (c)(2)(iv), vessels fishing with a valid NE multispecies 
limited access permit and fishing under a NE multispecies DAS, and 
vessels fishing with a valid NE multispecies limited access Small 
Vessel permit, in the MA Regulated Mesh Area, and persons on such 
vessels, are prohibited from using de-hookers (``crucifiers'') with 
less than 6-inch (15.2-cm) spacing between the fairlead rollers. 
Vessels fishing with a valid NE multispecies limited access Hookgear 
permit and fishing under a NE multispecies DAS in the MA Regulated Mesh 
Area, and persons on such vessels, are prohibited from possessing gear 
other than hook gear on board the vessel and are prohibited from 
fishing, setting, or hauling back, per day, or possessing on board the 
vessel, more than 4,500 rigged hooks. An unbaited hook and gangion that 
has not been secured to the ground line of the trawl on board a vessel 
is deemed to be a replacement hook and is not counted toward the 4,500-
hook limit. A ``snap-on'' hook is deemed to be a replacement hook if it 
is not rigged or baited. Vessels fishing with a valid NE multispecies 
limited access Handgear permit are prohibited from fishing, or 
possessing on board the vessel gears other than handgear. Vessels 
fishing with tub-trawl gear are prohibited from fishing, setting, or 
hauling back, per day, or possessing on board the vessel, more than 250 
hooks.
    (v) Gillnet vessels. For Day and Trip gillnet vessels, the minimum 
mesh size for any sink gillnet, not stowed and not available for 
immediate use in accordance with section Sec. 648.23(b), when fishing 
under a DAS in the NE multispecies DAS program in the MA Regulated Mesh 
Area, is 6.5 inches (16.5 cm) throughout the entire net. This 
restriction does not apply to nets or pieces of nets smaller than 3 ft 
(0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)), or to vessels that have 
not been issued a NE multispecies permit and that are fishing 
exclusively in state waters.
    (A) Trip gillnet vessels. (1) Number of nets. A Trip gillnet vessel 
fishing under a NE multispecies DAS and fishing in the MA Regulated 
Mesh Area, may not fish with, haul, possess, or deploy more than 75 
nets, except as provided in Sec. 648.92(b)(8)(i). Vessels may fish any 
combination of roundfish and flatfish gillnets up to 75 nets. Such 
vessels, in accordance with Sec. 648.23(b), may stow nets in excess of 
75 nets.
    (2) Net size requirement. Nets may not be longer than 300 ft (91.4 
m), or 50 fathoms in length.
    (3) Tags. Roundfish or flatfish gillnets must be tagged with two 
tags per net, with one tag secured to each bridle of every net within a 
string of gillnets.
    (B) Day gillnet vessels--(1) Number of nets. A Day gillnet vessel 
fishing under a NE multispecies DAS and fishing in the MA Regulated 
Mesh Area, may not fish with, haul, possess, or deploy more than 75 
nets, except as provided in Sec. 648.92(b)(8)(i). Such vessels, in 
accordance with Sec. 648.23(b), may stow additional nets not to exceed 
160, counting deployed nets.
    (2) Net size requirement. Nets may not be longer than 300 ft (91.4 
m), or 50 fathoms (91.4 m), in length.
    (3) Tags. Roundfish or flatfish gillnets must be tagged with two 
tags per net, with one tag secured to each bridle of every net within a 
string of nets.
    (C) Obtaining and replacing tags. See paragraph (a)(3)(iv)(C) of 
this section.
    (3) Net stowage exemption. Vessels may possess regulated species 
while in possession of nets with mesh smaller than the minimum size 
specified in paragraph (c)(2)(i) of this section, provided that such 
nets are stowed and are not available for immediate use in accordance 
with Sec. 648.23(b), and

[[Page 4408]]

provided that regulated species were not harvested by nets of mesh size 
smaller than the minimum mesh size specified in paragraph (c)(2)(i) of 
this section.
    (4) Addition or deletion of exemptions. See paragraph (a)(8)(ii) of 
this section.
    (5) MA Exemption Area. The MA Exemption Area is that area that lies 
west of the SNE Exemption Area defined in paragraph (b)(10) of this 
section.
    (d) Midwater trawl gear exemption. Fishing may take place 
throughout the fishing year with midwater trawl gear of mesh size less 
than the applicable minimum size specified in this section, provided 
that:
    (1) Midwater trawl gear is used exclusively;
    (2) When fishing under this exemption in the GOM/GB Exemption Area, 
as defined in paragraph (a)(16) of this section, and in the area 
described in Sec. 648.81(c)(1), the vessel has on board a letter of 
authorization issued by the Regional Administrator, and complies with 
all restrictions and conditions thereof;
    (3) The vessel only fishes for, possesses, or lands Atlantic 
herring, blueback herring, or mackerel in areas north of 
4220[min] N. lat. and in the areas described in Sec. 
648.81(a)(1), (b)(1), and (c)(1); and Atlantic herring, blueback 
herring, mackerel, or squid in all other areas south of 
42;20[min] N. lat.;
    (4) The vessel does not fish for, possess, or land NE multispecies; 
and
    (5) The vessel must carry a NMFS-approved sea sampler/observer, if 
requested by the Regional Administrator.
    (e) Purse seine gear exemption. Fishing may take place throughout 
the fishing year with purse seine gear of mesh size smaller than the 
applicable minimum size specified in this section, provided that:
    (1) The vessel uses purse seine gear exclusively;
    (2) When fishing under this exemption in the GOM/GB Exemption Area, 
as defined in paragraph (a)(16) of this section, the vessel has on 
board a letter of authorization issued by the Regional Administrator;
    (3) The vessel only fishes for, possesses, or lands Atlantic 
herring, blueback herring, mackerel, or menhaden; and
    (4) The vessel does not fish for, possess, or land NE multispecies.
    (f) Mesh measurements--(1) Gillnets. Mesh size of gillnet gear 
shall be measured by lining up 5 consecutive knots perpendicular to the 
float line and, with a ruler or tape measure, measuring 10 consecutive 
measures on the diamond, inside knot to inside knot. The mesh shall be 
the average of the measurements of 10 consecutive measures.
    (2) All other nets. With the exception of gillnets, mesh size shall 
be measured by a wedged-shaped gauge having a taper of 2 cm in 8 cm, 
and a thickness of 2.3 mm, inserted into the meshes under a pressure or 
pull of 5 kg.
    (i) Square-mesh measurement. Square mesh in the regulated portion 
of the net is measured by placing the net gauge along the diagonal line 
that connects the largest opening between opposite corners of the 
square. The square-mesh size is the average of the measurements of 20 
consecutive adjacent meshes from the terminus forward along the long 
axis of the net. The square mesh is measured at least five meshes away 
from the lacings of the net.
    (ii) Diamond-mesh measurement. Diamond mesh in the regulated 
portion of the net is measured running parallel to the long axis of the 
net. The diamond-mesh size is the average of the measurements of any 
series of 20 consecutive meshes. The mesh is measured at least five 
meshes away from the lacings of the net.
    (g) Restrictions on gear and methods of fishing--(1) Net 
obstruction or constriction. Except as provided in paragraph (g)(5) of 
this section, a fishing vessel subject to minimum mesh size 
restrictions shall not use any device or material, including, but not 
limited to, nets, net strengtheners, ropes, lines, or chafing gear, on 
the top of a trawl net, except that one splitting strap and one bull 
rope (if present), consisting of line and rope no more than 3 in (7.6 
cm) in diameter, may be used if such splitting strap and/or bull rope 
does not constrict, in any manner, the top of the trawl net. ``The top 
of the trawl net'' means the 50 percent of the net that (in a 
hypothetical situation) would not be in contact with the ocean bottom 
during a tow if the net were laid flat on the ocean floor. For the 
purpose of this paragraph, head ropes are not considered part of the 
top of the trawl net.
    (2) Net obstruction or constriction. (i) Except as provided in 
paragraph (g)(5) of this section, a fishing vessel may not use any mesh 
configuration, mesh construction, or other means on or in the top of 
the net subject to minimum mesh size restrictions, as defined in 
paragraph (g)(1) of this section, if it obstructs the meshes of the net 
in any manner.
    (ii) A fishing vessel may not use a net capable of catching NE 
multispecies if the bars entering or exiting the knots twist around 
each other.
    (3) Pair trawl prohibition. No vessel may fish for NE multispecies 
while pair trawling, or possess or land NE multispecies that have been 
harvested by means of pair trawling.
    (4) Brush-sweep trawl prohibition. No vessel may fish for, possess, 
or land NE multispecies while fishing with, or while in possession of, 
brush-sweep trawl gear.
    (5) Net strengthener restrictions when fishing for or possessing 
small-mesh multispecies-- (i) Nets of mesh size less than 2.5 inches 
(6.4 cm). A vessel lawfully fishing for small-mesh multispecies in the 
GOM/GB, SNE, or MA Regulated Mesh Areas, as defined in paragraphs (a), 
(b), and (c) of this section, with nets of mesh size smaller than 2.5 
inches (6.4-cm), as measured by methods specified in paragraph (f) of 
this section, may use net strengtheners (covers, as described at Sec. 
648.23(d)), provided that the net strengthener for nets of mesh size 
smaller than 2.5 inches (6.4 cm) complies with the provisions specified 
under Sec. 648.23(d).
    (ii) Nets of mesh size equal to or greater than 2.5 inches (6.4 cm) 
but less than 3 inches (7.6 cm). A vessel lawfully fishing for small-
mesh multispecies in the GOM/GB, SNE, or MA Regulated Mesh Areas, as 
defined in paragraphs (a), (b), and (c) of this section, with nets with 
mesh size equal to or greater than 2.5 inches (6.4 cm) but less than 3 
inches (7.6 cm) (as measured by methods specified in paragraph (f) of 
this section, and as applied to the part of the net specified in 
paragraph (d)(1)(iv) of this section) may use a net strengthener (i.e., 
outside net), provided the net strengthener does not have an effective 
mesh opening of less than 6 inches (15.2 cm), diamond or square mesh, 
as measured by methods specified in paragraph (f) of this section. The 
inside net (as applied to the part of the net specified in paragraph 
(d)(1)(iv) of this section) must not be more than 2 ft (61 cm) longer 
than the outside net, must be the same circumference or smaller than 
the smallest circumference of the outside net, and must be the same 
mesh configuration (i.e., both square or both diamond mesh) as the 
outside net.
    (6) Gillnet requirements to reduce or prevent marine mammal takes--
(i) Requirements for gillnet gear capable of catching NE multispecies 
to reduce harbor porpoise takes. In addition to the requirements for 
gillnet fishing identified in this section, all persons owning or 
operating vessels in the EEZ that fish with sink gillnet gear and other 
gillnet gear capable of catching NE ultispecies, with the exception of 
single pelagic gillnets (as described in Sec. 648.81(f)(2)(ii)), must 
comply with the

[[Page 4409]]

applicable provisions of the Harbor Porpoise Take Reduction Plan found 
in Sec. 229.33 of this title.
    (ii) Requirements for gillnet gear capable of catching NE 
multispecies to prevent large whale takes. In addition to the 
requirements for gillnet fishing identified in this section, all 
persons owning or operating vessels in the EEZ that fish with sink 
gillnet gear and other gillnet gear capable of catching NE 
multispecies, with the exception of single pelagic gillnets (as 
described in Sec. 648.81(f)(2)(ii)), must comply with the applicable 
provisions of the Atlantic Large Whale Take Reduction Plan found in 
Sec. 229.32 of this title.
    (h) Scallop vessels. (1) Except as provided in paragraph (h)(2) of 
this section, a scallop vessel that possesses a limited access scallop 
permit and either a NE multispecies Combination vessel permit or a 
scallop/multispecies possession limit permit, and that is fishing under 
a scallop DAS allocated under Sec. 648.53, may possess and land up to 
300 lb (136.1 kg) of regulated species per trip, provided that the 
amount of regulated species on board the vessel does not exceed the 
trip limits specified in Sec. 648.86, and provided the vessel has at 
least one standard tote on board, unless otherwise restricted by Sec. 
648.86(a)(2).
    (2) Combination vessels fishing under a NE multispecies DAS are 
subject to the gear restrictions specified in this section and may 
possess and land unlimited amounts of regulated species, unless 
otherwise restricted by Sec. 648.86. Such vessels may simultaneously 
fish under a scallop DAS.
    (i) State waters winter flounder exemption. Any vessel issued a NE 
multispecies permit may fish for, possess, or land winter flounder 
while fishing with nets of mesh smaller than the minimum size specified 
in paragraphs (a)(2), (b)(2), and (c)(2) of this section, provided 
that:
    (1) The vessel has on board a certificate approved by the Regional 
Administrator and issued by the state agency authorizing the vessel's 
participation in the state's winter flounder fishing program and is in 
compliance with the applicable state laws pertaining to minimum mesh 
size for winter flounder.
    (2) Fishing is conducted exclusively in the waters of the state 
from which the certificate was obtained.
    (3) The state's winter flounder plan has been approved by the 
Commission as being in compliance with the Commission's winter flounder 
fishery management plan.
    (4) The state elects, by a letter to the Regional Administrator, to 
participate in the exemption program described by this section.
    (5) The vessel does not enter or transit the EEZ.
    (6) The vessel does not enter or transit the waters of another 
state, unless such other state is participating in the exemption 
program described by this section and the vessel is enrolled in that 
state's program.
    (7) The vessel, when not fishing under the DAS program, does not 
fish for, possess, or land more than 500 lb (226.8 kg) of winter 
flounder, and has at least one standard tote on board.
    (8) The vessel does not fish for, possess, or land any species of 
fish other than winter flounder and the exempted small-mesh species 
specified under paragraphs (a)(5)(i), (a)(9)(i), (b)(3), and (c)(4) of 
this section when fishing in the areas specified under paragraphs 
(a)(5), (a)(9), (b)(10), and (c)(5) of this section, respectively. 
Vessels fishing under this exemption in New York and Connecticut state 
waters and permitted to fish for skates may also possess and land 
skates in amounts not to exceed 10 percent, by weight, of all other 
species on board.
    10. Section 648.81 is revised to read as follows:


Sec. 648.81  NE multispecies closed areas and measures to protect EFH.

    (a) Closed Area I. (1) No fishing vessel or person on a fishing 
vessel may enter, fish, or be in the area known as Closed Area I 
(copies of a chart depicting this area are available from the Regional 
Administrator upon request), as defined by straight lines connecting 
the following points in the order stated, except as specified in 
paragraphs (a)(2) and (i) of this section:

                              Closed Area I
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
CI1............................  4130  692
                                  '                    3'
CI2............................  4045  684
                                  '                    5'
CI3............................  4045  683
                                  '                    0'
CI4............................  4130  683
                                  '                    0'
CI1............................  4130  692
                                  '                    3'
------------------------------------------------------------------------

    (2) Unless otherwise restricted under the EFH Closure(s) specified 
in paragraph (h) of this section, paragraph (a)(1) of this section does 
not apply to persons on fishing vessels or fishing vessels:
    (i) Fishing with or using pot gear designed and used to take 
lobsters, or pot gear designed and used to take hagfish, provided that 
there is no retention of regulated species and no other gear on board 
capable of catching NE multispecies;
    (ii) Fishing with or using pelagic longline gear or pelagic hook-
and-line gear, or harpoon gear, provided that there is no retention of 
regulated species, and provided that there is no other gear on board 
capable of catching NE multispecies;
    (iii) Fishing with pelagic midwater trawl gear, consistent with 
Sec. 648.80(d), provided that the Regional Administrator shall review 
information pertaining to the bycatch of regulated NE multispecies and, 
if the Regional Administrator determines, on the basis of sea sampling 
data or other credible information for this fishery, that the bycatch 
of regulated multispecies exceeds, or is likely to exceed, 1 percent of 
herring and mackerel harvested, by weight, in the fishery or by any 
individual fishing operation, the Regional Administrator may place 
restrictions and conditions in the letter of authorization for any or 
all individual fishing operations or, after consulting with the 
Council, suspend or prohibit any or all midwater trawl activities in 
the closed areas;
    (iv) Fishing with tuna purse seine gear, provided that there is no 
retention of NE multispecies, and provided there is no other gear on 
board gear capable of catching NE multispecies. If the Regional 
Administrator determines through credible information, that tuna purse 
seine vessels are adversely affecting habitat or NE multispecies 
stocks, the Regional Administrator may, through notice action, 
consistent with the Administrative Procedure Act, prohibit individual 
purse seine vessels or all purse seine vessels from the area; or
    (v) Fishing in a SAP, in accordance with the provisions of Sec. 
648.85(b).
    (b) Closed Area II. (1) No fishing vessel or person on a fishing 
vessel may enter, fish, or be in the area known as Closed Area II 
(copies of a chart depicting this area are available from the Regional 
Administrator upon request), as defined by straight lines connecting 
the following points in the order stated, except as specified in 
paragraph (b)(2) of this section:

                             Closed Area II
------------------------------------------------------------------------
           Point N.                      Lat.               W. Long.
------------------------------------------------------------------------
ClI1..........................  4100'    6720'
ClI2..........................  4100'    6635.8'
G5............................  4118.6'  6624.8' (the
                                                         U.S.-Canada
                                                         Maritime
                                                         Boundary)

[[Page 4410]]

 
ClI3..........................  4222'    6720' (the U.S.-
                                                         Canada Maritime
                                                         Boundary)
ClI1..........................  4100'    6720'
------------------------------------------------------------------------

    (2) Unless otherwise restricted under the EFH Closure(s) specified 
in paragraph (h) of this section, paragraph (b)(1) of this section does 
not apply to persons on fishing vessels or fishing vessels--
    (i) Fishing with gears as described in paragraphs (a)(2)(i) through 
(iii), and (a)(2)(v) of this section;
    (ii) Fishing with tuna purse seine gear outside of the portion of 
CA II known as the Habitat Area of Particular Concern, as described in 
paragraph (h)(v) of this section;
    (iii) The vessel is fishing in the CA II Yellowtail Flounder SAP or 
the Closed Area II Haddock SAP as specified under paragraphs (b)(3) and 
(b)(4) of this section, respectively; or
    (iv) Transiting the area, provided:
    (A) The operator has determined that there is a compelling safety 
reason; and
    (B) The vessel's fishing gear is stowed in accordance with the 
provisions of Sec. 648.23(b).
    (c) Nantucket Lightship Closed Area. (1) No fishing vessel or 
person on a fishing vessel may enter, fish, or be in the area known as 
the Nantucket Lightship Closed Area (copies of a chart depicting this 
area are available from the Regional Administrator upon request), as 
defined by straight lines connecting the following points in the order 
stated, except as specified in paragraphs (c)(2) and (i) of this 
section:

                     Nantucket Lightship Closed Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
G10............................  4050  690
                                  '                    0'
CN1............................  4020  690
                                  '                    0'
CN2............................  4020  702
                                  '                    0'
CN3............................  4050  702
                                  '                    0'
G10............................  4050  690
                                  '                    0'
------------------------------------------------------------------------

    (2) Unless otherwise restricted under the EFH Closure(s) specified 
in paragraph (h) of this section, paragraph (c)(1) of this section does 
not apply to persons on fishing vessels or fishing vessels:
    (i) Fishing with gears as described in paragraph (a)(2) of this 
section; or
    (ii) Classified as charter, party or recreational vessel, provided 
that:
    (A) If the vessel is a party or charter vessel, it has a letter of 
authorization issued by the Regional Administrator on board, which is 
valid from the date of issuance through a minimum duration of 7 days;
    (B) With the exception of tuna, fish harvested or possessed by the 
vessel are not sold or intended for trade, barter or sale, regardless 
of where the regulated species are caught; and
    (C) The vessel has no gear other than rod and reel or handline gear 
on board.
    (D) The vessel does not fish outside the Nantucket Lightship Closed 
Area during the period specified by the letter of authorization.
    (d) Cashes Ledge Closure Area. (1) No fishing vessel or person on a 
fishing vessel may enter, fish in, or be in, and no fishing gear 
capable of catching NE multispecies, unless otherwise allowed in this 
part, may be in, or on board a vessel in the area known as the Cashes 
Ledge Closure Area, as defined by straight lines connecting the 
following points in the order stated, except as specified in paragraphs 
(d)(2) and (i) of this section (a chart depicting this area is 
available from the Regional Administrator upon request):

                        Cashes Ledge Closure Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
CL1............................  4307  690
                                  '                    2'
CL2............................  4249  684
                                  .5'                  6'
CL3............................  4246  685
                                  .5'                  0.5'
CL4............................  4243  685
                                  .5'                  8.5'
CL5............................  4242  691
                                  .5'                  7.5'
CL6............................  4249  692
                                  .5'                  6'
CL1............................  4307  690
                                  '                    2'
------------------------------------------------------------------------

    (2) Unless otherwise restricted under the EFH Closure(s) specified 
in paragraph (h) of this section, paragraph (d)(1) of this section does 
not apply to persons on fishing vessels or fishing vessels that meet 
the criteria in paragraphs (b)(2)(ii) and (iii) of this section.
    (e) Western GOM Area Closure. (1) No fishing vessel or person on a 
fishing vessel may enter, fish in, or be in, and no fishing gear 
capable of catching NE multispecies, unless otherwise allowed in this 
part, may be in, or on board a vessel in, the area known as the Western 
GOM Area Closure, as defined by straight lines connecting the following 
points in the order stated, except as specified in paragraphs (e)(2) 
and (i) of this section:

                      Western GOM Area Closure \1\
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
WGM1...........................  4215  701
                                  '                    5'
WGM2...........................  4215  695
                                  '                    5'
WGM3...........................  4315  695
                                  '                    5'
WGM4...........................  4315  701
                                  '                    5'
WGM1...........................  4215  701
                                  '                    5'
------------------------------------------------------------------------
\1\ A chart depicting this area is available from the Regional
  Administrator upon request.

    (2) Unless otherwise restricted under paragraph (h) of this 
section, paragraph (e)(1) of this section does not apply to persons on 
fishing vessels or fishing vessels that meet the criteria in paragraphs 
(f)(2)(ii) and (iii) of this section, or that are fishing with shrimp 
trawl gear, consistent with the requirements specified under Sec. 
648.80(a)(5).
    (f) GOM Rolling Closure Areas. (1) No fishing vessel or person on a 
fishing vessel may enter, fish in, or be in; and no fishing gear 
capable of catching NE multispecies, unless otherwise allowed in this 
part, may be in, or on board a vessel in GOM Rolling Closure Areas I 
through V, as described in paragraphs (f)(1)(i) through (v) of this 
section, for the times specified in paragraphs (f)(1)(i) through (v) of 
this section, except as specified in paragraphs (f)(2) and (i) of this 
section. A chart depicting these areas is available from the Regional 
Administrator upon request.
    (i) Rolling Closure Area I. From March 1 through March 31, the 
restrictions specified in this paragraph (f)(1) apply to Rolling 
Closure Area I, which is the area bounded by straight lines connecting 
the following points in the order stated:

                         Rolling Closure Area I
                           [March 1-March 31]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
GM3............................  4200  (\1\)
                                  '
GM5............................  4200  683
                                  '                    0'
GM6............................  4230  683
                                  '                    0'
GM23...........................  4230  700
                                  '                    0'
------------------------------------------------------------------------
\1\ Cape Cod shoreline on the Atlantic Ocean.

    (ii) Rolling Closure Area II. From April 1 through April 30, the 
restrictions specified in this paragraph (f)(1) apply to Rolling 
Closure Area II, which is the area bounded by straight lines connecting 
the following points in the order stated:

                         Rolling Closure Area II
                           [April 1-April 30]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
GM1............................  4200  (\1\)
                                  '
GM2............................  4200  (\2\)
                                  '
GM3............................  4200  (\3\)
                                  '

[[Page 4411]]

 
GM5............................  4200  683
                                  '                    0'
GM13...........................  4300  683
                                  '                    0'
GM9............................  4300  (\4\)
                                  '
------------------------------------------------------------------------
\1\ Massachusetts shoreline.
\2\ Cape Cod shoreline on Cape Cod Bay.
\3\ Cape Cod shoreline on the Atlantic Ocean.
\4\ New Hampshire Shoreline.

    (iii) Rolling Closure Area III. From May 1 through May 31, the 
restrictions specified in this paragraph (f)(1) apply to Rolling 
Closure Area III, which is the area bounded by straight lines 
connecting the following points in the order stated:

                        Rolling Closure Area III
                             [May 1-May 31]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
GM1............................  4200  (\1\)
                                  '
GM2............................  4200  (\2\)
                                  '
GM3............................  4200  (\3\)
                                  '
GM4............................  4200  700
                                  '                    0'
GM23...........................  4230  700
                                  '                    0'
GM6............................  4230  683
                                  '                    0'
GM14...........................  4330  683
                                  '                    0'
GM10...........................  4330  (\4\)
                                  '
------------------------------------------------------------------------
\1\ Massachusetts shoreline.
\2\ Cape Cod shoreline on Cape Cod Bay.
\3\ Cape Cod shoreline on the Atlantic Ocean.
\4\ Maine shoreline.

    (iv) Rolling Closure Area IV. From June 1 through June 30, the 
restrictions specified in this paragraph (f)(1) apply to Rolling 
Closure Area IV, which is the area bounded by straight lines connecting 
the following points in the order stated:

                         Rolling Closure Area IV
                            [June 1-June 30]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
GM9............................  4230  (\1\)
                                  '
GM23...........................  4230  700
                                  '                    0'
GM17...........................  4330  700
                                  '                    0'
GM19...........................  4330  673
                                  '                    2' or (\2\)
GM20...........................  4400  672
                                  '                    1' or (\2\)
GM21...........................  4400  690
                                  '                    0'
GM22...........................  (\3\)                690
                                                       0'
------------------------------------------------------------------------
\1\ Massachusetts shoreline.
\2\ U.S.-Canada maritime boundary.
\3\ Maine shoreline.

    (v) Rolling Closure Area V. From October 1 through November 30, the 
restrictions specified in this paragraph (f)(1) apply to Rolling 
Closure Area V, which is the area bounded by straight lines connecting 
the following points in the order stated:

                         Rolling Closure Area V
                         [October 1-November 30]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
GM1............................  4200  (\1\)
                                  '
GM2............................  4200  (\2\)
                                  '
GM3............................  4200  (\3\)
                                  '
GM4............................  4200  700
                                  '                    0'
GM8............................  4230  700
                                  '                    0'
GM9............................  4230  (\1\)
                                  '
------------------------------------------------------------------------
\1\ Massachusetts shoreline.
\2\ Cape Cod shoreline on Cape Cod Bay.
\3\ Cape Cod shoreline on the Atlantic Ocean.

    (2) Paragraph (f)(1) of this section does not apply to persons 
aboard fishing vessels or fishing vessels:
    (i) That have not been issued a multispecies permit and that are 
fishing exclusively in state waters;
    (ii) That are fishing with or using exempted gear as defined under 
this part, subject to the restrictions on midwater trawl gear in 
paragraph (a)(2)(iii) of this section, and excluding pelagic gillnet 
gear capable of catching multispecies, except for vessels fishing with 
a single pelagic gillnet not longer than 300 ft (91.4 m) and not 
greater than 6 ft (1.83 m) deep, with a maximum mesh size of 3 inches 
(7.6 cm), provided:
    (A) The net is attached to the boat and fished in the upper two-
thirds of the water column;
    (B) The net is marked with the owner's name and vessel 
identification number;
    (C) There is no retention of regulated species; and
    (D) There is no other gear on board capable of catching NE 
multispecies;
    (iii) That are fishing under charter/party or recreational 
regulations, provided that:
    (A) For vessels fishing under charter/party regulations in a 
Rolling Closure Area described under paragraph (f)(1) of this section, 
it has on board a letter of authorization issued by the Regional 
Administrator, which is valid from the date of enrollment through the 
duration of the closure or 3 months duration, whichever is greater; for 
vessels fishing under charter/party regulations in the Cashes Ledge 
Closure Area or Western GOM Area Closure, as described under paragraph 
(d) and (e) of this section, respectively, it has on board a letter of 
authorization issued by the Regional Administrator, which is valid from 
the date of enrollment until the end of the fishing year;
    (B) With the exception of tuna, fish harvested or possessed by the 
vessel are not sold or intended for trade, barter or sale, regardless 
of where the regulated species are caught;
    (C) The vessel has no gear other than rod and reel or handline on 
board; and
    (D) The vessel does not use any NE multispecies DAS during the 
entire period for which the letter of authorization is valid;
    (iv) That are fishing with or using scallop dredge gear when 
fishing under a scallop DAS or when lawfully fishing in the Scallop 
Dredge Fishery Exemption Area as described in Sec. 648.80(a)(11), 
provided the vessel does not retain any regulated NE multispecies 
during a trip, or on any part of a trip; or
    (v) That are fishing in the Raised Footrope Trawl Exempted Whiting 
Fishery, as specified in Sec. 648.80(a)(15), and in the GOM Rolling 
Closure Area V, as specified in paragraph (f)(1)(v) of this section.
    (g) GB Seasonal Closure Area. (1) From May 1 through May 31, no 
fishing vessel or person on a fishing vessel may enter, fish in, or be 
in, and no fishing gear capable of catching NE multispecies, unless 
otherwise allowed in this part, may be in the area known as the GB 
Seasonal Closure Area, as defined by straight lines connecting the 
following points in the order stated, except as specified in paragraphs 
(g)(2) and (i) of this section:

                   Georges Bank Seasonal Closure Areas
                             [May 1-May 31]
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
GB1............................  4200  (\1\)
                                  '
GB2............................  4200  683
                                  '                    0'
GB3............................  4220  683
                                  '                    0'
GB4............................  4220  672
                                  '                    0'
GB5............................  4130  672
                                  '                    0'
CI1............................  4130  692
                                  '                    3'
CI2............................  4045  684
                                  '                    5'
CI3............................  4045  683
                                  '                    0'
GB6............................  4030  683
                                  '                    0'
GB7............................  4030  690
                                  '                    0'
G10............................  4050  690
                                  '                    0'
GB8............................  4050  693
                                  '                    0'
GB9............................  4100  693
                                  '                    0'
GB10...........................  4100  700
                                  '                    0'
G12............................  (\1\)                700
                                                       0'
------------------------------------------------------------------------
\1\ Northward to its intersection with the shoreline of mainland MA.

    (2) Paragraph (g)(1) of this section does not apply to persons on 
fishing vessels or to fishing vessels:
    (i) That meet the criteria in paragraphs (f)(2)(i) or (ii) of this 
section;
    (ii) That are fishing as charter/party or recreational vessels; or
    (iii) That are fishing with or using scallop dredge gear when 
fishing under a scallop DAS or when lawfully fishing in the Scallop 
Dredge Fishery Exemption Area, as described in

[[Page 4412]]

Sec. 648.80(a)(11), provided the vessel uses an 8-inch (20.3-cm) twine 
top and complies with the NE multispecies possession restrictions for 
scallop vessels specified at Sec. 648.80(h).
    (h) Essential Fish Habitat Closure Areas. (1) In addition to the 
restrictions under paragraphs (a) through (e) of this section, no 
fishing vessel or person on a fishing vessel with bottom tending mobile 
gear on board the vessel may enter, fish in, or be in the EFH Closure 
Areas described in paragraphs (h)(1)(i) through (vi) of this section, 
unless otherwise specified. A chart depicting these areas is available 
from the Regional Administrator upon request.
    (i) Western GOM Habitat Closure Area. With the exception of vessels 
fishing with shrimp trawl gear, the bottom tending mobile gear 
restrictions specified in paragraph (h)(1) of this section apply to the 
Western GOM Habitat Closure Area, which is the area bound by straight 
lines connecting the following points in the order stated:

                    Western GOM Habitat Closure Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
WGM4...........................  4315  701
                                  '                    5'
WGM1...........................  4215  701
                                  '                    5'
WGM5...........................  4215  700
                                  '                    0'
WGM6...........................  4315  700
                                  '                    0'
WGM4...........................  4315  701
                                  '                    5'
------------------------------------------------------------------------

    (ii) Cashes Ledge Habitat Closure Area. The restrictions specified 
in paragraph (h)(1) of this section apply to the Cashes Ledge Habitat 
Closure Area, which is the area defined by straight lines connecting 
the following points in the order stated:

                        Cashes Ledge Closure Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
CLH1...........................  4301  690
                                  '                    3'
CLH2...........................  4301  685
                                  '                    2'
CLH3...........................  4245  685
                                  '                    2'
CLH4...........................  4245  690
                                  '                    3'
CLH1...........................  4301  690
                                  '                    3'
------------------------------------------------------------------------

    (iii) Jeffrey's Bank Habitat Closure Area. The restrictions 
specified in paragraph (h)(1) of this section apply to the Jeffrey's 
Bank Habitat Closure Area, which is the area bound by straight lines 
connecting the following points in the order stated:

                   Jeffrey's Bank Habitat Closure Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
JB1............................  4340  685
                                  '                    0'
JB2............................  4340  684
                                  '                    0'
JB3............................  4320  684
                                  '                    0'
JB4............................  4320  685
                                  '                    0'
JB1............................  4340  685
                                  '                    0'
------------------------------------------------------------------------

    (iv) Closed Area I Habitat Closure Areas. The restrictions 
specified in paragraph (h)(1) of this section apply to the Closed Area 
I Habitat Closure Areas, Closed Area I-North and Closed Area I-South, 
which are the areas bound by straight lines connecting the following 
points in the order stated:

                Closed Area I--North Habitat Closure Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
CI1............................  4130  692
                                  '                    3'
CI4............................  4130  683
                                  '                    0'
CIH1...........................  4126  683
                                  '                    0'
CIH2...........................  4104  690
                                  '                    1'
CI1............................  4130  692
                                  '                    3'
------------------------------------------------------------------------


                Closed Area I--South Habitat Closure Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
CIH3...........................  4055  685
                                  '                    3'
CIH4...........................  4058  683
                                  '                    0'
CI3............................  4045  683
                                  '                    0'
CI2............................  4045  684
                                  '                    5'
CIH3...........................  4055  685
                                  '                    3'
------------------------------------------------------------------------

    (v) Closed Area II Habitat Closure Area. The restrictions specified 
in paragraph (h)(1) of this section apply to the Closed Area II Habitat 
Closure Area (also referred to as the Habitat Area of Particular 
Concern), which is the area bound by straight lines connecting the 
following points in the order stated:

                   Closed Area II Habitat Closure Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
CIIH1..........................  4200  672
                                  '                    0'
CIIH2..........................  4200  670
                                  '                    0'
CIIH3..........................  4140  664
                                  '                    3'
CIIH4..........................  4140  672
                                  '                    0'
CIIH1..........................  4200  672
                                  '                    0'
------------------------------------------------------------------------

    (vi) Nantucket Lightship Habitat Closure Area. The restrictions 
specified in paragraph (h)(1) of this section apply to the Nantucket 
Lightship Habitat Closure Area, which is the area bound by straight 
lines connecting the following points in the order stated:

                 Nantucket Lightship Habitat Closed Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
NLH1...........................  4110  700
                                  '                    0'
NLH2...........................  4110  695
                                  '                    0'
NLH3...........................  4050  693
                                  '                    0'
NLH4...........................  4020  693
                                  '                    0'
NLH5...........................  4020  700
                                  '                    0'
NLH1...........................  4110  700
                                  '                    0'
------------------------------------------------------------------------

    (2) [Reserved]
    (i) Transiting. A vessel may transit Closed Area I, the Nantucket 
Lightship Closed Area, the Cashes Ledge Closure Area, the Western GOM 
Area Closure, the GOM Rolling Closure Areas, the GB Seasonal Area 
Closure and the EFH Closure Areas, as defined in paragraphs (a)(1), 
(c)(1), (d)(1), (e)(1), (f)(1), (g)(1), and (h)(1), respectively, of 
this section, provided that its gear is stowed in accordance with the 
provisions of Sec. 648.23(b).
    (j) Restricted Gear Area I. (1) Restricted Gear Area I is defined 
by straight lines connecting the following points in the order stated:

------------------------------------------------------------------------
             Point                    Latitude            Longitude
------------------------------------------------------------------------
                            Inshore Boundary
------------------------------------------------------------------------
to 120
   69.........................  4007  6836
                                 .9' N.               .0' W.
   70.........................  4007  6838
                                 .2' N.               .4' W.
   71.........................  4006  6846
                                 .9' N.               .5' W.
   73.........................  4008  6851
                                 .1' N.               .0' W.
   74.........................  4005  6852
                                 .7' N.               .4' W.
   75.........................  4003  6857
                                 .6' N.               .2' W.
   76.........................  4003  6900
                                 .65' N.              .0' W.
   77.........................  4004  6900
                                 .35' N.              .5' W.
   78.........................  4005  6900
                                 .2' N.               .5' W
   79.........................  4005  6901
                                 .3' N.               .1' W.
   80.........................  4008  6901
                                 .9' N.               .75' W.
   81.........................  4011  6903
                                 .0' N.               .8' W.
   82.........................  4011  6905
                                 .6' N.               .4' W.
   83.........................  4010  6904
                                 .25' N.              .4' W.
   84.........................  4009  6904
                                 .75' N.              .15' W.
   85.........................  4008  6903
                                 .45' N.              .6' W.
   86.........................  4005  6903
                                 .65' N.              .55' W.
   87.........................  4004  6903
                                 .1' N.               .9' W.
   88.........................  4002  6905
                                 .65' N.              .6' W.
   89.........................  4002  6908
                                 .00' N.              .35' W.
   90.........................  4002  6911
                                 .65' N.              .15' W.
   91.........................  4000  6914
                                 .05' N.              .6' W.
   92.........................  3957  6920
                                 .8' N.               .35' W.
   93.........................  3956  6924
                                 .65' N.              .4' W.
   94.........................  3956  6926
                                 .1' N.               .35' W.
   95.........................  3956  6934
                                 .55' N.              .1' W.
   96.........................  3957  6935
                                 .85' N.              .5' W.
   97.........................  4000  6936
                                 .65' N.              .5' W.
   98.........................  4000  6937
                                 .9' N.               .3' W.
   99.........................  3959  6937
                                 .15' N.              .3' W.
   100........................  3958  6938
                                 .8' N.               .45' W.
   102........................  3956  6940
                                 .2' N.               .2' W.
   103........................  3955  6941
                                 .75' N.              .4' W.
   104........................  3956  6953
                                 .7' N.               .6' W.
   105........................  3957  6954
                                 .55' N.              .05' W.
   106........................  3957  6955
                                 .4' N.               .9' W.
   107........................  3956  6957
                                 .9' N.               .45' W.
   108........................  3958  7003
                                 .25' N.              .0' W.
   110........................  3959  7004
                                 .2' N.               .9' W.

[[Page 4413]]

 
   111........................  4000  7008
                                 .7' N.               .7' W.
   112........................  4003  7010
                                 .75' N.              .15' W.
   115........................  4005  7010
                                 .2' N.               .9' W.
   116........................  4002  7014
                                 .45' N.              .1' W.
   119........................  4002  7016
                                 .75' N.              .1' W.
to 181
-------------------------------
                            Offshore Boundary
------------------------------------------------------------------------
to 69
   120........................  4006  6835
                                 .4' N.               .8' W.
   121........................  4005  6839
                                 .25' N.              .3' W.
   122........................  4005  6844
                                 .4' N.               .5' W.
   123........................  4006  6846
                                 .0' N.               .5' W.
   124........................  4007  6849
                                 .4' N.               .6' W.
   125........................  4005  6849
                                 .55' N.              .8' W.
   126........................  4003  6851
                                 .9' N.               .7' W.
   127........................  4002  6855
                                 .25' N.              .4' W.
   128........................  4002  6900
                                 .6' N.               .0' W.
   129........................  4002  6900
                                 .75' N.              .75' W.
   130........................  4004  6901
                                 .2' N.               .75' W.
   131........................  4006  6901
                                 .15' N.              .95' W.
   132........................  4007  6902
                                 .25' N.              .0' W.
   133........................  4008  6902
                                 .5' N.               .25' W.
   134........................  4009  6902
                                 .2' N.               .95' W.
   135........................  4009  6903
                                 .75' N.              .3' W.
   136........................  4009  6903
                                 .55' N.              .85' W.
   137........................  4008  6903
                                 .4' N.               .4' W.
   138........................  4007  6903
                                 .2' N.               .3' W.
   139........................  4006  6903
                                 .0' N.               .1' W.
   140........................  4005  6903
                                 .4' N.               .05' W.
   141........................  4004  6903
                                 .8' N.               .05' W.
   142........................  4003  6903
                                 .55' N.              .55' W.
   143........................  4001  6903
                                 .9' N.               .95' W.
   144........................  4001  6904
                                 .0' N.               .4' W.
   146........................  3959  6906
                                 .9' N.               .25' W.
   147........................  4000  6910
                                 .6' N.               .05' W.
   148........................  3959  6911
                                 .25' N.              .15' W.
   149........................  3957  6916
                                 .45' N.              .05' W.
   150........................  3956  6920
                                 .1' N.               .1' W.
   151........................  3954  6925
                                 .6' N.               .65' W.
   152........................  3954  6926
                                 .65' N.              .9' W.
   153........................  3954  6930
                                 .8' W.               .95' W.
   154........................  3954  6933
                                 .35' N.              .4' W.
   155........................  3955  6934
                                 .0' N.               .9' W.
   156........................  3956  6936
                                 .55' N.              .0' W.
   157........................  3957  6936
                                 .95' N.              .45' W.
   158........................  3958  6936
                                 .75' N.              .3' W.
   159........................  3958  6936
                                 .8' N.               .95' W.
   160........................  3957  6938
                                 .95' N.              .1' W.
   161........................  3954  6938
                                 .5' N.               .25' W.
   162........................  3953  6946
                                 .6' N.               .5' W.
   163........................  3954  6950
                                 .7' N.               .0' W.
   164........................  3955  6951
                                 .25' N.              .4' W.
   165........................  3955  6953
                                 .2' N.               .1' W.
   166........................  3954  6953
                                 .85' N.              .9' W.
   167........................  3955  6954
                                 .7' N.               .9' W.
   168........................  3956  6955
                                 .15' N.              .35' W.
   169........................  3956  6956
                                 .05' N.              .25' W.
   170........................  3955  6957
                                 .3' N.               .1' W.
   171........................  3954  6958
                                 .8' N.               .6' W.
   172........................  3956  7000
                                 .05' N.              .65' W.
   173........................  3955  7002
                                 .3' N.               .95' W.
   174........................  3956  7011
                                 .9' N.               .3' W.
   175........................  3958  7011
                                 .9' N.               .5' W.
   176........................  3959  7011
                                 .6' N.               .1' W.
   177........................  4001  7011
                                 .35' N.              .2' W.
   178........................  4002  7012
                                 .6' N.               .0' W.
   179........................  4000  7012
                                 .4' N.               .3' W.
   180........................  3959  7013
                                 .75' N.              .05' W.
   181........................  3959  7014
                                 .3' N.               .0' W.
to 119
------------------------------------------------------------------------

    (2) Restricted Period--(i) Mobile gear. From October 1 through June 
15, no fishing vessel with mobile gear or person on a fishing vessel 
with mobile gear may fish or be in Restricted Gear Area I, unless 
transiting. Vessels may transit this area provided that mobile gear is 
on board the vessel while inside the area, provided that its gear is 
stowed in accordance with the provisions of section 648.23(b)
    (ii) Lobster pot gear. From June 16 through September 30, no 
fishing vessel with lobster pot gear aboard, or person on a fishing 
vessel with lobster pot gear aboard may fish in, and no lobster pot 
gear may be deployed or remain in, Restricted Gear Area I.
    (k) Restricted Gear Area II. (1) Restricted Gear Area II is defined 
by straight lines connecting the following points in the order stated:

 
------------------------------------------------------------------------
             Point                    Latitude            Longitude
------------------------------------------------------------------------
                            Inshore Boundary
------------------------------------------------------------------------
to 1
   49.........................  4002  7016
                                 .75' N.              .1' W.
   50.........................  4000  7018
                                 .7' N.               .6' W.
   51.........................  3959  7021
                                 .8' N.               .75' W.
   52.........................  3959  7025
                                 .75' N.              .5' W.
   53.........................  4003  7028
                                 .85' N.              .75' W.
   54.........................  4000  7032
                                 .55' N.              .1' W.
   55.........................  3959  7034
                                 .15' N.              .45' W.
   56.........................  3958  7038
                                 .9' N.               .65' W.
   57.........................  4000  7045
                                 .1' N.               .1' W.
   58.........................  4000  7057
                                 .5' N.               .6' W.
   59.........................  4002  7101
                                 .0' N.               .3' W.
   60.........................  3959  7118
                                 .3' N.               .4' W.
   61.........................  4000  7119
                                 .7' N.               .8' W.
   62.........................  3957  7120
                                 .5' N.               .6' W.
   63.........................  3953  7136
                                 .1' N.               .1' W.
   64.........................  3952  7140
                                 .6' N.               .35' W.
   65.........................  3953  7142
                                 .1' N.               .7' W.
   66.........................  3946  7149
                                 .95' N.              .0' W.
   67.........................  3941  7157
                                 .15' N.              .1' W.
   68.........................  3935  7202
                                 .45' N.              .0' W.
   69.........................  3932  7206
                                 .65' N.              .1' W.
   70.........................  3929  7209
                                 .75' N.              .8' W.
to 48
-------------------------------
                            Offshore Boundary
------------------------------------------------------------------------
to 49
   1..........................  3959  7014
                                 .3' N.               .0' W.
   2..........................  3958  7015
                                 .85' N.              .2' W.
   3..........................  3959  7018
                                 .3' N.               .4' W.
   4..........................  3958  7019
                                 .1' N.               .4' W.
   5..........................  3957  7019
                                 .0' N.               .85' W.
   6..........................  3957  7021
                                 .55' N.              .25' W.
   7..........................  3957  7022
                                 .5' N.               .8' W.
   8..........................  3957  7025
                                 .1' N.               .4' W.
   9..........................  3957  7027
                                 .65' N.              .05' W.
   10.........................  3958  7027
                                 .58' N.              .7' W.
   11.........................  4000  7028
                                 .65' N.              .8' W.
   12.........................  4002  7029
                                 .2' N.               .15' W.
   13.........................  4001  7030
                                 .0' N.               .2' W.
   14.........................  3958  7031
                                 .58' N.              .85' W.
   15.........................  3957  7034
                                 .05' N.              .35' W.
   16.........................  3956  7036
                                 .42' N.              .8' W.
   21.........................  3958  7048
                                 .15' N.              .0' W.
   24.........................  3958  7051
                                 .3' N.               .1' W.
   25.........................  3958  7052
                                 .1' N.               .25' W.
   26.........................  3958  7053
                                 .05' N.              .55' W.
   27.........................  3958  7059
                                 .4' N.               .6' W.
   28.........................  3959  7101
                                 .8' N.               .05' W.
   29.........................  3958  7105
                                 .2' N.               .85' W.
   30.........................  3957  7112
                                 .45' N.              .15' W.
   31.........................  3957  7115
                                 .2' N.               .0' W.
   32.........................  3956  7118
                                 .3' N.               .95' W.
   33.........................  3951  7136
                                 .4' N.               .1' W.
   34.........................  3951  7141
                                 .75' N.              .5' W.
   35.........................  3950  7142
                                 .05' N.              .5' W.
   36.........................  3950  7145
                                 .0' N.               .0' W.
   37.........................  3948  7146
                                 .95' N.              .05' W.
   38.........................  3946  7146
                                 .6' N.               .1' W.
   39.........................  3943  7149
                                 .5' N.               .4' W.
   40.........................  3941  7155
                                 .3' N.               .0' W.
   41.........................  3939  7155
                                 .0' N.               .6' W.
   42.........................  3936  7158
                                 .72' N.              .25' W.
   43.........................  3935  7158
                                 .15' N.              .55' W.
   44.........................  3934  7200
                                 .5' N.               .75' W.
   45.........................  3932  7202
                                 .2' N.               .25' W.
   46.........................  3932  7204
                                 .15' N.              .1' W.
   47.........................  3928  7206
                                 .5' N.               .5' W.
   48.........................  3929  7209
                                 .0' N.               .25' W.
to 70
------------------------------------------------------------------------

    (2) Restricted period--(i) Mobile gear. From November 27 through 
June 15, no fishing vessel with mobile gear aboard, or person on a 
fishing vessel with mobile gear aboard, may fish or be in Restricted 
Gear Area II, unless transiting. Vessels may transit this area, 
provided that all mobile gear is on board the vessel while inside the 
area, and stowed in accordance with the provisions of section 
648.23(b).
    (ii) Lobster pot gear. From June 16 through November 26, no fishing 
vessel with lobster pot gear aboard, or person on a fishing vessel with 
lobster pot gear aboard, may fish in, and no lobster pot gear may be 
deployed or remain in, Restricted Gear Area II.
    (l) Restricted Gear Area III. (1) Restricted Gear Area III is 
defined by straight lines connecting the following points in the order 
stated:

------------------------------------------------------------------------
            Point                   Latitude              Longitude
------------------------------------------------------------------------
                            Inshore Boundary
------------------------------------------------------------------------
to 49
  182.......................  4005.  7017.
                               6' N.                 7' W.
  183.......................  4006.  7040.
                               5' N.                 05' W.
  184.......................  4011.  7045.
                               05' N.                8' W.
  185.......................  4012.  7055.
                               75' N.                05' W.
  186.......................  4010.  7110.
                               7' N.                 25' W.
  187.......................  3957.  7128.
                               9' N.                 7' W.
  188.......................  3955.  7141.
                               6' N.                 2' W.
  189.......................  3955.  7145.
                               85' N.                0' W.
  190.......................  3953.  7152.
                               75' N.                25' W.
  191.......................  3947.  7201.
                               2' N.                 6' W.
  192.......................  3933.  7215.
                               65' N.                0' W.
to 70
-----------------------------
                            Offshore Boundary
------------------------------------------------------------------------
to 182

[[Page 4414]]

 
  49........................  4002.  7016.
                               75' N.                1' W.
  50........................  4000.  7018.
                               7' N.                 6' W.
  51........................  3959.  7021.
                               8' N.                 75' W.
  52........................  3959.  7025.
                               75' N.                5' W.
  53........................  4003.  7028.
                               85' N.                75' W.
  54........................  4000.  7032.
                               55' N.                1' W.
  55........................  3959.  7034.
                               15' N.                45' W.
  56........................  3958.  7038.
                               9' N.                 65' W.
  57........................  4000.  7045.
                               1' N.                 1' W.
  58........................  4000.  7057.
                               5' N.                 6' W.
  59........................  4002.  7101.
                               0' N.                 3' W.
  60........................  3959.  7118.
                               3' N.                 4' W.
  61........................  4000.  7119.
                               7' N.                 8' W.
  62........................  3957.  7120.
                               5' N.                 6' W.
  63........................  3953.  7136.
                               1' N.                 1' W.
  64........................  3952.  7140.
                               6' N.                 35' W.
  65........................  3953.  7142.
                               1' N.                 7' W.
  66........................  3946.  7149.
                               95' N.                0' W.
  67........................  3941.  7157.
                               15' N.                1' W.
  68........................  3935.  7202.
                               45' N.                0' W.
  69........................  3932.  7206.
                               65' N.                1' W.
  70........................  3929.  7209.
                               75' N.                8' W.
to 192
------------------------------------------------------------------------

    (2) Restricted period--(i) Mobile gear. From June 16 through 
November 26, no fishing vessel with mobile gear aboard, or person on a 
fishing vessel with mobile gear aboard, may fish or be in Restricted 
Gear Area III, unless transiting. Vessels may transit this area 
provided that all mobile gear is on board the vessel while inside the 
area, and is stowed in accordance with the provisions of 648.23(b).
    (ii) Lobster pot gear. From January 1 through April 30, no fishing 
vessel with lobster pot gear aboard, or person on a fishing vessel with 
lobster pot gear aboard, may fish in, and no lobster pot gear may be 
deployed or remain in, Restricted Gear Area III.
    (m) Restricted Gear Area IV. (1) Restricted Gear Area IV is defined 
by straight lines connecting the following points in the order stated:

------------------------------------------------------------------------
            Point                   Latitude              Longitude
------------------------------------------------------------------------
                            Inshore Boundary
------------------------------------------------------------------------
193.........................  4013.  6840.
                               60' N.                60' W.
194.........................  4011.  6853.
                               60' N.                00' W.
195.........................  4014.  6904.
                               00' N.                70' W.
196.........................  4014.  6905.
                               30' N.                80' W.
197.........................  4005.  6909.
                               50' N.                00' W.
198.........................  3957.  6925.
                               30' N.                10' W.
199.........................  4000.  6935.
                               40' N.                20' W.
200.........................  4001.  6935.
                               70' N.                40' W.
201.........................  4001.  6937.
                               70' N.                40' W.
202.........................  4000.  6938.
                               50' N.                80' W.
203.........................  4001.  6945.
                               30' N.                00' W.
204.........................  4002.  6945.
                               10' N.                00' W.
205.........................  4007.  7004.
                               60' N.                50' W.
206.........................  4007.  7009.
                               80' N.                20' W.
to 119
-----------------------------
                            Offshore Boundary
------------------------------------------------------------------------
69..........................  4007.  6836.
                               90' N.                00' W.
70..........................  4007.  6838.
                               20' N.                40' W.
71..........................  4006.  6846.
                               90' N.                50' W.
72..........................  4008.  6849.
                               70' N.                60' W.
73..........................  4008.  6851.
                               10' N.                00' W.
74..........................  4005.  6852.
                               70' N.                40' W.
75..........................  4003.  6857.
                               60' N.                20' W.
76..........................  4003.  6900.
                               65' N.                00' W.
77..........................  4004.  6900.
                               35' N.                50' W.
78..........................  4005.  6900.
                               20' N.                50' W.
79..........................  4005.  6901.
                               30' N.                10' W.
80..........................  4008.  6901.
                               90' N.                75' W.
81..........................  4011.  6903.
                               00' N.                80' W.
82..........................  4011.  6905.
                               60' N.                40' W.
83..........................  4010.  6904.
                               25' N.                40' W.
84..........................  4009.  6904.
                               75' N.                15' W.
85..........................  4008.  6903.
                               45' N.                60' W.
86..........................  4005.  6903.
                               65' N.                55' W.
87..........................  4004.  6903.
                               10' N.                90' W.
88..........................  4002.  6905.
                               65' N.                60' W.
89..........................  4002.  6908.
                               00' N.                35' W.
90..........................  4002.  6911.
                               65' N.                15' W.
91..........................  4000.  6914.
                               05' N.                60' W.
92..........................  3957.  6920.
                               8' N.                 35' W.
93..........................  3956.  6924.
                               75' N.                40' W.
94..........................  3956.  6926.
                               50' N.                35' W.
95..........................  3956.  6934.
                               80' N.                10' W.
96..........................  3957.  6935.
                               85' N.                05' W.
97..........................  4000.  6936.
                               65' N.                50' W.
98..........................  4000.  6937.
                               90' N.                30' W.
99..........................  3959.  6937.
                               15' N.                30' W.
100.........................  3958.  6938.
                               80' N.                45' W.
102.........................  3956.  6940.
                               20' N.                20' W.
103.........................  3955.  6941.
                               75' N.                40' W.
104.........................  3956.  6953.
                               70' N.                60' W.
105.........................  3957.  6954.
                               55' N.                05' W.
106.........................  3957.  6955.
                               40' N.                90' W.
107.........................  3956.  6957.
                               90' N.                45' W.
108.........................  3958.  7003.
                               25' N.                00' W.
110.........................  3959.  7004.
                               20' N.                90' W.
111.........................  4000.  7008.
                               70' N.                70' W.
112.........................  4003.  7010.
                               75' N.                15' W.
115.........................  4005.  7010.
                               20' N.                90' W.
116.........................  4002.  7014.
                               45' N.                1' W.
119.........................  4002.  7016.
                               75' N.                1' W.
to 206
------------------------------------------------------------------------

    (2) Restricted period--(i) Mobile gear. From June 16 through 
September 30, no fishing vessel with mobile gear aboard, or person on a 
fishing vessel with mobile gear aboard may fish or be in Restricted 
Gear Area IV, unless transiting. Vessels may transit this area, 
provided that all mobile gear is on board the vessel while inside the 
area, and is stowed in accordance with the provisions of section 
648.23(b).
    (ii) [Reserved].
    11. Section 648.82 is revised to read as follows:


Sec. 648.82  Effort-control program for NE multispecies limited access 
vessels.

    (a) Except as provided in Sec. 648.17 and paragraph (a)(2) of this 
section, a vessel issued a limited access NE multispecies permit may 
not fish for, possess, or land regulated species, except during a DAS, 
as allocated under, and in accordance with, the applicable DAS program 
described in this section, unless otherwise provided elsewhere in this 
part.
    (1) End-of-year carry-over. With the exception of vessels that held 
a Confirmation of Permit History, as described in Sec. 
648.4(a)(1)(i)(J), for the entire fishing year preceding the carry-over 
year, limited access vessels that have unused DAS on the last day of 
April of any year may carry over a maximum of 10 DAS into the next 
year. Unused leased DAS may not be carried over. Vessels that have been 
sanctioned through enforcement proceedings will be credited with unused 
DAS based on their DAS allocation minus any total DAS that have been 
sanctioned through enforcement proceedings. For the 2004 fishing year 
only, DAS carried over from the 2003 fishing year will be classified as 
Regular B DAS, as specified under paragraph (d)(2) of this section. 
Beginning with the 2005 fishing year, for vessels with a balance of 
both unused Category A DAS and unused Category B DAS at the end of the 
previous fishing year (e.g., for the 2005 fishing year, carry-over DAS 
from the 2004 fishing year), Category A DAS will be carried over first, 
than Regular B DAS, than Reserve B DAS. Category C DAS cannot be 
carried over.
    (2) Notwithstanding any other provision of this part, any vessel 
issued a NE multispecies limited access permit may not call into the 
DAS program or fish under a DAS, if such vessel carries passengers for 
hire for any portion of a fishing trip.
    (b) Permit categories. All limited access NE multispecies permit 
holders shall be assigned to one of the following permit categories, 
according to the criteria specified. Permit holders may request a 
change in permit category, as specified in Sec. 648.4(a)(1)(i)(I)(2). 
Each fishing year shall begin on May 1 and extend through April 30 of 
the following year. Beginning May 1, 2004, with the exception of the 
limited access Small Vessel and Handgear A vessel categories described 
in paragraphs (b)(5) and (6) of this section, respectively, NE 
multispecies DAS available for use will be calculated pursuant to 
paragraphs (c) and (d) of this section.
    (1) Individual DAS category. This category is for vessels allocated 
individual DAS that are not fishing under the Hook Gear, Combination, 
or Large-mesh individual categories. Beginning May 1, 2004, for a 
vessel fishing under the Individual DAS category, the baseline for 
determining the number of NE multispecies DAS available for use shall 
be calculated based upon the fishing history associated with the 
vessel's permit, as specified in paragraph (c)(1) of this section. The 
number and categories of DAS that are allocated for use in a given

[[Page 4415]]

fishing year are specified in paragraph (d) of this section.
    (2) Hook Gear category. To be eligible for a Hook Gear category 
permit, the vessel must have been issued a limited access multispecies 
permit for the preceding year, be replacing a vessel that was issued a 
Hook Gear category permit for the preceding year, or be replacing a 
vessel that was issued a Hook Gear category permit that was issued a 
Confirmation of Permit History. Beginning May 1, 2004, for a vessel 
fishing under the Hook Gear category, the baseline for determining the 
number of NE multispecies DAS available for use shall be calculated 
based upon the fishing history associated with the vessel's permit, as 
specified in paragraph (c)(1) of this section. The number and 
categories of DAS that are allocated for use in a given fishing year 
are specified in paragraph (d) of this section. A vessel fishing under 
this category in the DAS program must meet or comply with the gear 
restrictions specified under Sec. 648.80(a)(3)(v), (a)(4)(v), (b)(2)(v) 
and (c)(2)(iv) when fishing in the respective regulated mesh areas.
    (3) Combination vessel category. To be eligible for a Combination 
vessel category permit, a vessel must have been issued a Combination 
vessel category permit for the preceding year, be replacing a vessel 
that was issued a Combination vessel category permit for the preceding 
year, or be replacing a vessel that was issued a Combination vessel 
category permit that was also issued a Confirmation of Permit History. 
Beginning May 1, 2004, for a vessel fishing under the Combination 
vessel category, the baseline for determining the number of NE 
multispecies DAS available for use shall be calculated based upon the 
fishing history associated with the vessel's permit, as specified in 
paragraph (c)(1) of this section. The number and categories of DAS that 
are allocated for use in a given fishing year are specified in 
paragraph (d) of this section.
    (4) Large Mesh Individual DAS category. This category is for 
vessels allocated individual DAS that are not fishing under the Hook 
Gear, Combination, or Individual DAS categories. Beginning May 1, 2004, 
for a vessel fishing under the Large Mesh Individual DAS category, the 
baseline for determining the number of NE multispecies DAS available 
for use shall be calculated based upon the fishing history associated 
with the vessel's permit, as specified in paragraph (c)(1) of this 
section. The number and categories of DAS that are allocated for use in 
a given fishing year are specified in paragraph (d) of this section. 
The number of Category A DAS shall be increased by 36 percent. To be 
eligible to fish under the Large Mesh Individual DAS category, a 
vessel, while fishing under this category, must fish under the specific 
regulated mesh area minimum mesh size restrictions, as specified in 
paragraphs (a)(3)(iii), (a)(4)(iii), (b)(2)(iii), and (c)(2)(ii) of 
this section.
    (5) Small Vessel category--(i) DAS allocation. A vessel qualified 
and electing to fish under the Small Vessel category may retain up to 
300 lb (136.1 kg) of cod, haddock, and yellowtail flounder, combined, 
and one Atlantic halibut per trip, without being subject to DAS 
restrictions, provided the vessel does not exceed the yellowtail 
flounder possession restrictions specified under Sec. 648.86(g). Such 
vessel is not subject to a possession limit for other NE multispecies. 
Any vessel may elect to switch into this category, as provided in Sec. 
648.4(a)(1)(i)(I)(2), if the vessel meets or complies with the 
following:
    (A) The vessel is 30 ft (9.1 m) or less in length overall, as 
determined by measuring along a horizontal line drawn from a 
perpendicular raised from the outside of the most forward portion of 
the stem of the vessel to a perpendicular raised from the after most 
portion of the stern.
    (B) If construction of the vessel was begun after May 1, 1994, the 
vessel must be constructed such that the quotient of the length overall 
divided by the beam is not less than 2.5.
    (C) Acceptable verification for vessels 20 ft (6.1 m) or less in 
length shall be USCG documentation or state registration papers. For 
vessels over 20 ft (6.1 m) in length overall, the measurement of length 
must be verified in writing by a qualified marine surveyor, or the 
builder, based on the vessel's construction plans, or by other means 
determined acceptable by the Regional Administrator. A copy of the 
verification must accompany an application for a NE multispecies 
permit.
    (D) Adjustments to the Small Vessel category requirements, 
including changes to the length requirement, if required to meet 
fishing mortality goals, may be made by the Regional Administrator 
following framework procedures of Sec. 648.90.
    (ii) [Reserved].
    (6) Handgear A category. A vessel qualified and electing to fish 
under the Handgear A category, as described in Sec. 648.4(a)(1)(i)(A), 
may retain, per trip, up to 300 lb (136.1 kg) of cod, one Atlantic 
halibut, and the daily possession limit for other regulated species as 
specified under Sec. 648.86. The cod trip limit will be adjusted 
proportionally to the trip limit for cod, as specified in Sec. 
648.86(b). For example if the GOM cod trip limit specified at Sec. 
648.86(b) doubled, then the cod trip limit for the Handgear A category 
would double. Qualified vessels electing to fish under the Handgear A 
category are subject to the following restrictions:
    (i) The vessel must not use or possess on board gear other than 
handgear while in possession of, fishing for, or landing NE 
multispecies, and must have at least one standard tote on board.
    (ii) A vessel may not fish for, possess, or land regulated species 
from March 1 through March 20 of each year.
    (iii) Tub-trawls must be hand-hauled only, with a maximum of 250 
hooks.
    (c) Used DAS baseline--(1) Calculation of used DAS baseline. For 
all valid limited access NE multispecies DAS vessels and NE 
multispecies Confirmation of Permit Histories, beginning with the 2004 
fishing year, a vessel's used DAS baseline shall be based on the 
fishing history associated with its permit and shall be determined by 
the highest number of reported DAS fished during a single qualifying 
fishing year, as specified in paragraphs (c)(1)(i) through (iv) of this 
section, during the 6-year period from May 1, 1996, through April 30, 
2002. A qualifying year is one in which a vessel landed 5,000 lb (2,268 
kg) or more of regulated multispecies, based upon landings reported 
through dealer reports (based on live weights of landings submitted to 
NMFS prior to May 31, 2002). If a vessel that was originally issued a 
limited access NE multispecies permit was lawfully replaced in 
accordance with the replacement restrictions specified in section Sec. 
648.4(a), then the used DAS baseline shall be defined based upon the 
DAS used by the original vessel and by subsequent vessel(s) associated 
with the permit during the qualification period specified in this 
paragraph (c)(1). The used DAS baseline shall be used to calculate the 
number and category of DAS that are allocated for use in a given 
fishing year, as specified in paragraph (d) of this section.
    (i) Except as provided in paragraphs (c)(1)(ii) through (iv) of 
this section, the vessel's used DAS baseline shall be determined by 
calculating DAS use reported under the DAS notification requirements in 
Sec. 648.10.
    (ii) For a vessel exempt from, or not subject to, the DAS 
notification system specified in Sec. 648.10 during the period May 1996 
through June 1996, the vessel's used DAS baseline for that period will 
be determined by calculating DAS use from vessel trip

[[Page 4416]]

reports submitted to NMFS prior to April 9, 2003.
    (iii) For a vessel enrolled in a Large Mesh DAS category, as 
specified in paragraph (b)(4) of this section, the calculation of the 
vessel's used DAS baseline may not include any DAS allocated or used by 
the vessel pursuant to the provisions of the Large Mesh DAS category.
    (iv) For vessels fishing under the Day gillnet designation, as 
specified under paragraph (j)(1) of this section, used DAS, for trips 
of more than 3 hours, but less than or equal to 15 hours, will be 
counted as 15 hours. Trips less than or equal to 3 hours, or more than 
15 hours, will be counted as actual time.
    (2) Correction of used DAS baseline. (i) A vessel's used DAS 
baseline, as determined under paragraph (c)(1) of this section, may be 
corrected by submitting a written request to correct the DAS baseline. 
The request to correct must be received by the Regional Administrator 
no later than August 31, 2004. The request to correct must be in 
writing and provide credible evidence that the information used by the 
Regional Administrator in making the determination of the vessel's DAS 
baseline was based on incorrect data. The decision on whether to 
correct the DAS baseline shall be determined solely on the basis of 
written information submitted, unless the Regional Administrator 
specifies otherwise. The Regional Administrator's decision on whether 
to correct the DAS baseline is the final decision of the Department of 
Commerce.
    (ii) Status of vessel's pending request for a correction of used 
DAS baseline. While a vessel's request for a correction is under 
consideration by the Regional Administrator, the vessel is limited to 
fishing the number of DAS allocated in accordance with paragraph (d) of 
this section.
    (d) DAS categories and allocations. For all valid limited access NE 
multispecies permits and NE multispecies Confirmation of Permit 
Histories, beginning with the 2004 fishing year, DAS shall be allocated 
and available for use for a given fishing year according to the 
following DAS Categories (unless otherwise specified, ``NE multispecies 
DAS'' refers to any authorized category of DAS):
    (1) Category A DAS. Unless determined otherwise, as specified under 
paragraph (d)(4) of this section, calculation of Category A DAS for 
each fishing year is specified in paragraphs (d)(1)(i) through (iii) of 
this section. An additional 36 percent of Category A DAS will be added 
and available for use for participants in the Large Mesh Individual DAS 
permit category, as described in paragraph (b)(4) of this section, 
provided the participants comply with the applicable gear restrictions. 
Category A DAS may be used in the NE multispecies fishery to harvest 
and land regulated multispecies stocks, in accordance with all of the 
conditions and restrictions of this part.
    (i) For the 2004 and 2005 fishing years, Category A DAS are defined 
as 60 percent of the vessel's used DAS baseline specified under 
paragraph (c)(1) of this section.
    (ii) For the 2006 through 2008 fishing years, Category A DAS are 
defined as 55 percent of the vessel's used DAS baseline specified under 
paragraph (c)(1) of this section.
    (iii) Starting in fishing year 2009, Category A DAS are defined as 
45 percent of the vessel's used DAS baseline specified under paragraph 
(c)(1) of this section.
    (2) Category B DAS. Category B DAS are divided into Regular B DAS 
and Reserve B DAS. Calculation of Category B DAS for each fishing year, 
and restrictions on use of Category B DAS, are specified in paragraphs 
(d)(2)(i) and (ii) of this section.
    (i) Regular B DAS--(A) Restrictions on use. Beginning May 1, 2004, 
Regular B DAS can only be used in an approved SAP, as specified in Sec. 
648.85.
    (B) Calculation. Unless determined otherwise, as specified under 
paragraph (d)(4) of this section, Regular B DAS are calculated as 
follows:
    (1) For the 2004 and 2005 fishing years, Regular B DAS are defined 
as 20 percent of the vessel's DAS baseline specified under paragraph 
(c)(1) of this section.
    (2) For the 2006 through 2008 fishing years, Regular B DAS are 
defined as 22.5 percent of the vessel's DAS baseline specified under 
paragraph (c)(1) of this section.
    (3) Starting in fishing year 2009, and thereafter, Regular B DAS 
are defined as 27.5 percent of the vessel's DAS baseline specified 
under paragraph (c)(1) of this section.
    (ii) Reserve B DAS--(A) Restrictions on use. Reserve B DAS can only 
be used in an approved SAP, as specified in Sec. 648.85.
    (B) Calculation. Unless determined otherwise, as specified under 
paragraph (d)(4) of this section, Reserve B DAS are calculated as 
follows:
    (1) For the 2004 and 2005 fishing years, Reserve B DAS are defined 
as 20 percent of the vessel's DAS baseline specified under paragraph 
(c)(1) of this section.
    (2) For the 2006 through 2008 fishing years, Reserve B DAS are 
defined as 22.5 percent of the vessel's DAS baseline specified under 
paragraph (c)(1) of this section.
    (3) Starting in fishing year 2009, and thereafter, Reserve B DAS 
are defined as 27.5 percent of the vessel's DAS baseline specified 
under paragraph (c)(1) of this section.
    (3) Category C DAS--(i) Restriction on use. Category C DAS are 
reserved and may not be fished.
    (ii) Calculation. Category C DAS are defined as the difference 
between a vessel's used DAS baseline, as described in paragraph (c)(1) 
of this section, and the number of DAS allocated to the vessel as of 
May 1, 2001.
    (4) Criteria and procedure for not reducing DAS allocations and 
modifying DAS accrual. The schedule of reductions in NE multispecies 
DAS, and the modification of DAS accrual specified under paragraph (e) 
of this section, shall not occur if the Regional Administrator:
    (i) Determines that the Amendment 13 projected target biomass 
levels, for relevant stocks specified in Amendment 13, based on the 
2005 and 2008 stock assessments, have been or are projected to be 
attained with at least a 50-percent probability in the 2006 and 2009 
fishing years, respectively, and overfishing is not occurring on such 
stocks; and
    (ii) Publishes such determination in the Federal Register, 
consistent with Administrative Procedure Act requirements for proposed 
and final rulemaking.
    (e) Accrual of DAS. DAS shall accrue to the nearest minute and, 
with the exceptions described under this paragraph (e) and paragraph 
(j)(1)(iii) of this section, will be counted as actual time called into 
the DAS program. Starting in fishing year 2006, for NE multispecies 
vessels fishing under a DAS in the SNE or MA Regulated Mesh Areas, as 
described in Sec. 648.80(b)(1) and (c)(1), respectively, the ratio of 
DAS used to time called into the DAS program will be 1.5 to 1.0.
    (f) Good Samaritan credit. See Sec. 648.53(f).
    (g) Spawning season restrictions. A vessel issued a valid Small 
Vessel or Handgear A category permit specified under paragraphs (b)(5) 
or (b)(6), respectively, of this section may not fish for, possess, or 
land regulated species from March 1 through March 20 of each year. Any 
other vessel issued a limited access NE multispecies permit must 
declare out and be out of the NE multispecies DAS program for a 20-day 
period between March 1 and May 31 of each calendar year, using the 
notification requirements specified in Sec. 648.10. A vessel fishing 
under a Day

[[Page 4417]]

gillnet category designation is prohibited from fishing with gillnet 
gear capable of catching NE multispecies during its declared 20-day 
spawning block, unless the vessel is fishing in an exempted fishery, as 
described in Sec. 648.80. If a vessel owner has not declared and been 
out of the fishery for a 20-day period between March 1 and May 31 of 
each calendar year on or before May 12 of each year, the vessel is 
prohibited from fishing for, possessing or landing any regulated 
species or non-exempt species during the period May 12 through May 31, 
inclusive.
    (h) Declaring DAS and blocks of time out. A vessel's owner or 
authorized representative shall notify the Regional Administrator of a 
vessel's participation in the DAS program, declaration of its 120 days 
out of the non-exempt gillnet fishery, if designated as a Day gillnet 
category vessel, as specified in paragraph (j)(1)(iii) of this section, 
and declaration of its 20-day period out of the NE multispecies DAS 
program, using the notification requirements specified in Sec. 648.10.
    (i) [Reserved].
    (j) Gillnet restrictions. Vessels issued a limited access NE 
multispecies permit may fish under a NE multispecies DAS with gillnet 
gear, provided the owner of the vessel obtains an annual designation as 
either a Day or Trip gillnet vessel, as described in Sec. 
648.4(c)(2)(iii), and provided the vessel complies with the gillnet 
vessel gear requirements and restrictions specified in Sec. 648.80.
    (1) Day gillnet vessels. A Day gillnet vessel fishing with gillnet 
gear under a NE multispecies DAS is not required to remove gear from 
the water upon returning to the dock and calling out of the DAS 
program, provided the vessel complies with the restrictions specified 
in paragraphs (j)(1)(i) through (iii) of this section. Vessels electing 
to fish under the Day gillnet designation must have on board written 
confirmation, issued by the Regional Administrator, that the vessel is 
a Day gillnet vessel.
    (i) Removal of gear. All gillnet gear must be brought to port prior 
to the vessel fishing in an exempted fishery.
    (ii) Declaration of time out of the gillnet fishery. (A) During 
each fishing year, vessels must declare, and take, a total of 120 days 
out of the non-exempt gillnet fishery. Each period of time declared and 
taken must be a minimum of 7 consecutive days. At least 21 days of this 
time must be taken between June 1 and September 30 of each fishing 
year. The spawning season time out period required by paragraph (g) of 
this section will be credited toward the 120 days time out of the non-
exempt gillnet fishery. If a vessel owner has not declared and taken 
any or all of the remaining periods of time required to be out of the 
fishery by the last possible date to meet these requirements, the 
vessel is prohibited from fishing for, possessing, or landing regulated 
multispecies or non-exempt species harvested with gillnet gear, and 
from having gillnet gear on board the vessel that is not stowed in 
accordance with Sec. 648.23(b), while fishing under a NE multispecies 
DAS, from that date through the end of the period between June 1 and 
September 30, or through the end of the fishing year, as applicable.
    (B) Vessels shall declare their periods of required time through 
the notification procedures specified in Sec. 648.10(f)(2).
    (C) During each period of time declared out, a vessel is prohibited 
from fishing with non-exempted gillnet gear and must remove such gear 
from the water. However, the vessel may fish in an exempted fishery, as 
described in Sec. 648.80, or it may fish under a NE multispecies DAS, 
provided it fishes with gear other than non-exempted gillnet gear.
    (iii) Method of counting DAS. Day gillnet vessels fishing with 
gillnet gear under a NE multispecies DAS will accrue 15 hours DAS for 
each trip of more than 3 hours, but less than or equal to 15 hours. 
Such vessels will accrue actual DAS time at sea for trips less than or 
equal to 3 hours, or more than 15 hours.
    (2) Trip gillnet vessels. When fishing under a NE multispecies DAS, 
a Trip gillnet vessel is required to remove all gillnet gear from the 
water before calling out of a NE multispecies DAS under Sec. 
648.10(c)(3). When not fishing under a NE multispecies DAS, Trip 
gillnet vessels may fish in an exempted fishery with gillnet gear, as 
authorized under the exemptions in Sec. 648.80. Vessels electing to 
fish under the Trip gillnet designation must have on board written 
confirmation issued by the Regional Administrator that the vessel is a 
Trip gillnet vessel.
    (k) NE Multispecies DAS Leasing Program. (1) Program description. 
For fishing years 2004 and 2005, eligible vessels, as specified in 
paragraph (k)(2) of this section, may lease Category A DAS to and from 
other eligible vessels, in accordance with the restrictions and 
conditions of this section. The Regional Administrator has final 
approval authority for all NE multispecies DAS leasing requests.
    (2) Eligible vessels. (i) A vessel issued a valid limited access NE 
multispecies permit is eligible to lease Category A DAS to or from 
another such vessel, subject to the conditions and requirements of this 
part, unless the vessel was issued a valid Small Vessel or Handgear A 
permit specified under paragraphs (b)(5) and (6) of this section, 
respectively, or is a valid participant in an approved Sector, as 
described in Sec. 648.87(a). Any NE multispecies vessel that does not 
require use of DAS to fish for regulated multispecies may not lease any 
NE multispecies DAS.
    (ii) DAS associated with a Confirmation of Permit History may not 
be leased.
    (3) Application to lease NE multispecies DAS. To lease Category A 
DAS, the eligible Lessor and Lessee vessel must submit a completed 
application form obtained from the Regional Administrator. The 
application must be signed by both Lessor and Lessee and be submitted 
to the Regional Office at least 45 days before the date on which the 
applicants desire to have the leased DAS effective. The Regional 
Administrator will notify the applicants of any deficiency in the 
application pursuant to this section. Applications may be submitted at 
any time throughout the fishing year, up until March 1. Eligible vessel 
owners may submit any number of lease applications throughout the 
application period, but any DAS may only be leased once during a 
fishing year.
    (i) Application information requirements. An application to lease 
Category A DAS must contain the following information: Lessor's owner 
name, vessel name, permit number and official number or state 
registration number; Lessee's owner name, vessel name, permit number 
and official number or state registration number; number of NE 
multispecies DAS to be leased; total price paid for leased DAS; 
signatures of Lessor and Lessee; and date form was completed. 
Information obtained from the lease application will be held 
confidential, according to applicable Federal law.
    (ii) Approval of lease application. Unless an application to lease 
Category A DAS is denied according to paragraph (k)(3)(iii) of this 
section, the Regional Administrator shall issue confirmation of 
application approval to both Lessor and Lessee within 45 days of 
receipt of an application.
    (iii) Denial of lease application. The Regional Administrator may 
deny an application to lease Category A DAS for any of the following 
reasons, including, but not limited to: The application is incomplete 
or submitted past the March 1 deadline; the Lessor or Lessee has not 
been issued a valid limited access NE multispecies permit or is 
otherwise not eligible; the Lessor's or Lessee's DAS are under sanction 
pursuant to an

[[Page 4418]]

enforcement proceeding; the Lessor's or Lessee's vessel is prohibited 
from fishing; the Lessor's or Lessee's limited access NE multispecies 
permit is sanctioned pursuant to an enforcement proceeding; the Lessor 
or Lessee vessel is determined not in compliance with the conditions 
and restrictions of this part; or the Lessor has an insufficient number 
of allocated or unused DAS available to lease. Upon denial of an 
application to lease NE multispecies DAS, the Regional Administrator 
shall send a letter to the applicants describing the reason(s) for 
application rejection. The decision by the Regional Administrator is 
the final agency decision.
    (4) Conditions and restrictions on leased DAS--(i) Confirmation of 
Permit History. DAS associated with a confirmation of permit history 
may not be leased.
    (ii) Sub-leasing. In a fishing year, a Lessor or Lessee vessel may 
not sub-lease DAS that have already been leased to another vessel. Any 
portion of a vessel's DAS may not be leased more than one time during a 
fishing year.
    (iii) Carry-over of leased DAS. Leased DAS that remain unused at 
the end of the fishing year may not be carried over to the subsequent 
fishing year by the Lessor or Lessee vessel.
    (iv) Maximum number of DAS that can be leased. A Lessee may lease 
Category A DAS in an amount up to such vessel's 2001 fishing year 
allocation (excluding carry-over DAS from the previous year). For 
example, if a vessel was allocated 88 DAS in the 2001 fishing year, 
that vessel may lease up to 88 Category A DAS. The total number of 
Category A DAS that the vessel could fish would be the sum of the 88 
leased DAS and the vessel's 2004 allocation of Category A DAS.
    (v) History of leased DAS use and landings. Unless otherwise 
specified in this paragraph (k)(4)(v), history of leased DAS use will 
be presumed to remain with the Lessor vessel. Landings resulting from a 
leased DAS will be presumed to remain with the Lessee vessel. For the 
purpose of accounting for leased DAS use, leased DAS will be accounted 
for (subtracted from available DAS) prior to allocated DAS. In the case 
of multiple leases to one vessel, history of leased DAS use will be 
presumed to remain with the Lessor in the order in which such leases 
were approved by NMFS.
    (vi) Monkfish Category C and D vessels. A vessel that possesses a 
valid limited access monkfish Category C or D permit and leases NE 
multispecies DAS to another vessel is subject to the restrictions 
specified in Sec. 648.92(b)(2).
    (vii) DAS Category restriction. A vessel may lease only Category A 
DAS, as described under paragraph (d)(1) of this section.
    (viii) Duration of lease. A vessel leasing DAS may only fish those 
leased DAS during the fishing year in which they were leased.
    (ix) Size restriction of Lessee vessel. A Lessor only may lease DAS 
to a Lessee vessel with a baseline main engine horsepower rating no 
greater than 20 percent of the baseline engine horsepower of the Lessor 
vessel. A Lessor vessel only may lease DAS to a Lessee vessel with a 
baseline length overall that is no greater than 10 percent of the 
baseline length overall of the Lessor vessel. For the purposes of this 
program, the baseline horsepower and length overall specifications of 
vessels are those associated with the permit as of January 29, 2004.
    (x) Leasing by vessels fishing under a Sector allocation. A vessel 
fishing under the restrictions and conditions of an approved Sector 
allocation, as specified in Sec. 648.87(b), may not lease DAS to or 
from vessels that are not participating in such Sector during the 
fishing year in which the vessel is a member of that Sector.
    (l) DAS Transfer Program. Except for vessels fishing under a Sector 
allocation, as specified in Sec. 648.87, a vessel issued a valid 
limited access NE multispecies permit may transfer all of its NE 
multispecies DAS for an indefinite time to another vessel with a valid 
NE multispecies permit, in accordance with the conditions and 
restrictions described under this section. The Regional Administrator 
has final approval authority for all NE multispecies DAS transfer 
requests.
    (1) DAS transfer conditions and restrictions. (i) The transferor 
vessel must transfer all of its DAS.
    (ii) NE multispecies DAS may be transferred only to a vessel with a 
baseline main engine horsepower rating that is no greater than 20 
percent of the baseline engine horsepower of the transferor vessel. NE 
multispecies DAS may be transferred only to a vessel with a baseline 
length overall that is no greater than 10 percent of the baseline 
length overall of the transferor vessel. For the purposes of this 
program, the baseline horsepower and length overall specifications are 
those associated with the permit as of January 29, 2004.
    (iii) The transferor vessel must forfeit all of its state and 
Federal fishing permits, and may not fish in any state or Federal 
commercial fishery.
    (iv) NE multispecies Category A and Category B DAS, as defined 
under paragraphs (d)(1) and (2) of this section, will be reduced by 40 
percent upon transfer.
    (v) Category C DAS, as defined under paragraph (d)(3) of this 
section, will be reduced by 90 percent upon transfer.
    (vi) NE multispecies DAS associated with a Confirmation of Permit 
History may not be transferred.
    (vii) Transfer by vessels fishing under a Sector allocation. A 
vessel fishing under the restrictions and conditions of an approved 
Sector allocation as specified under Sec. 648.87(b), may not transfer 
DAS to another vessel that is not participating in such Sector during 
the fishing year in which the vessel is a member of that Sector.
    (2) Application to transfer DAS. Owners of the vessels applying to 
transfer and receive DAS must submit a completed application form 
obtained from the Regional Administrator. The application must be 
signed by both seller/transferor and buyer/transferee of the DAS, and 
submitted to the Regional Office at least 45 days before the date on 
which the applicant desires to have the DAS effective on the buying 
vessel. The Regional Administrator will notify the applicants of any 
deficiency in the application pursuant to this section. Applications 
may be submitted at any time during the fishing year, up until March 1.
    (i) Application information requirements. An application to 
transfer NE multispecies DAS must contain the following information: 
Seller's/transferor's name, vessel name, permit number and official 
number or state registration number; buyer's/transferee's name, vessel 
name, permit number and official number or state registration number; 
total price paid for purchased DAS; signatures of seller and buyer; and 
date the form was completed. Information obtained from the transfer 
application will be held confidential, and will be used only in 
summarized form for management of the fishery. The application must be 
accompanied by verification, in writing, that the seller/transferor has 
requested cancellation of all state and Federal fishing permits from 
the appropriate agency or agencies.
    (ii) Approval of transfer application. Unless an application to 
transfer NE multispecies DAS is denied according to paragraph 
(l)(2)(iii) of this section, the Regional Administrator shall issue 
confirmation of application approval to both seller/transferor and 
buyer/transferee within 45 days of receipt of an application.
    (iii) Denial of transfer application. The Regional Administrator 
may reject an application to transfer NE multispecies DAS for the 
following reasons: The application is incomplete

[[Page 4419]]

or submitted past the March 1 deadline; the seller/transferor or buyer/
transferee does not possess a valid limited access NE multispecies 
permit; the seller's/transferor's or buyer's/transferee's DAS is 
sanctioned, pursuant to an enforcement proceeding; the seller's/
transferor's or buyer/transferee's vessel is prohibited from fishing; 
the seller's/transferor's or buyer's/transferee's limited access NE 
multispecies permit is sanctioned pursuant to enforcement proceedings; 
or the seller/transferor has a DAS baseline of zero. Upon denial of an 
application to transfer NE multispecies DAS, the Regional Administrator 
shall send a letter to the applicants describing the reason(s) for 
application rejection. The decision by the Regional Administrator is 
the final agency decision and there is no opportunity to appeal the 
Regional Administrator's decision.
    12. Section 648.83 is revised to read as follows:


Sec. 648.83  Multispecies minimum fish sizes.

    (a) Minimum fish sizes. (1) Minimum fish sizes for recreational 
vessels and charter/party vessels that are not fishing under a NE 
multispecies DAS are specified in Sec. 648.89. Except as provided in 
Sec. 648.17, all other vessels are subject to the following minimum 
fish sizes, determined by total length (TL):

             Minimum Fish Sizes (TL) for Commercial Vessels
------------------------------------------------------------------------
                Species                          Sizes  (inches)
------------------------------------------------------------------------
Cod....................................  22 (55.9 cm)
Haddock................................  19 (48.3 cm)
Pollock................................  19 (48.3 cm)
Witch flounder (gray sole).............  14 (35.6 cm)
Yellowtail flounder....................  13 (33.0 cm)
American plaice (dab)..................  14 (35.6 cm)
Atlantic halibut.......................  36 (91.4 cm)
Redfish................................  9 (22.9 cm)
------------------------------------------------------------------------

    (2) The minimum fish size applies to whole fish or to any part of a 
fish while possessed on board a vessel, except as provided in paragraph 
(b) of this section, and to whole, whole-gutted or gilled fish only, 
after landing. For purposes of determining compliance with the 
possession limits in Sec. 648.86, the weight of fillets and parts of 
fish, other than whole-gutted or gilled fish, will be multiplied by 3. 
Fish fillets, or parts of fish, must have skin on while possessed on 
board a vessel and at the time of landing in order to meet minimum size 
requirements. ``Skin on'' means the entire portion of the skin normally 
attached to the portion of the fish or to fish parts possessed is still 
attached.
    (b) Exceptions. (1) Each person aboard a vessel issued a NE 
multispecies limited access permit and fishing under the DAS program 
may possess up to 25 lb (11.3 kg) of fillets that measure less than the 
minimum size, if such fillets are from legal-sized fish and are not 
offered or intended for sale, trade, or barter. For purposes of 
determining compliance with the possession limits specified in Sec. 
648.86, the weight of fillets and parts of fish, other than whole-
gutted or gilled fish, will be multiplied by 3.
    (2) Recreational, party, and charter vessels may possess fillets 
less than the minimum size specified, if the fillets are taken from 
legal-sized fish and are not offered or intended for sale, trade or 
barter.
    (3) Vessels fishing exclusively with pot gear may possess NE 
multispecies frames used, or to be used, as bait, that measure less 
than the minimum fish size, if there is a receipt for purchase of those 
frames on board the vessel.
    (c) Adjustments. (1) At any time when information is available, the 
NEFMC will review the best available mesh selectivity information to 
determine the appropriate minimum size for the species listed in 
paragraph (a) of this section, except winter flounder, according to the 
length at which 25 percent of the regulated species would be retained 
by the applicable minimum mesh size.
    (2) Upon determination of the appropriate minimum sizes, the NEFMC 
shall propose the minimum fish sizes to be implemented following the 
procedures specified in Sec. 648.90.
    (3) Additional adjustments or changes to the minimum fish sizes 
specified in paragraph (a) of this section, and exemptions specified in 
paragraph (b) of this section, may be made at any time after 
implementation of the final rule as specified under Sec. 648.90.
    13. Section 648.84 is revised to read as follows:


Sec. 648.84  Gear-marking requirements and gear restrictions.

    (a) Bottom-tending fixed gear, including, but not limited to, 
gillnets and longlines designed for, capable of, or fishing for NE 
multispecies or monkfish, must have the name of the owner or vessel or 
the official number of that vessel permanently affixed to any buoys, 
gillnets, longlines, or other appropriate gear so that the name of the 
owner or vessel or the official number of the vessel is visible on the 
surface of the water.
    (b) Bottom-tending fixed gear, including, but not limited to 
gillnets or longline gear, must be marked so that the westernmost end 
(measuring the half compass circle from magnetic south through west to, 
and including, north) of the gear displays a standard 12-inch (30.5-cm) 
tetrahedral corner radar reflector and a pennant positioned on a staff 
at least 6 ft (1.8 m) above the buoy. The easternmost end (meaning the 
half compass circle from magnetic north through east to, and including, 
south) of the gear need display only the standard 12-inch (30.5-cm) 
tetrahedral radar reflector positioned in the same way.
    (c) Continuous gillnets must not exceed 6,600 ft (2,011.7 m) 
between the end buoys.
    (d) In the GOM and GB regulated mesh area specified in Sec. 
648.80(a), gillnet gear set in an irregular pattern or in any way that 
deviates more than 30  from the original course of the 
set must be marked at the extremity of the deviation with an additional 
marker, which must display two or more visible streamers and may either 
be attached to or independent of the gear.
    14. Section 648.85 is revised to read as follows:


Sec. 648.85  Special management programs.

    (a) U.S./Canada Resource Sharing Understanding. No NE multispecies 
fishing vessel, or person on such vessel, may enter, fish in, or be in 
the U.S./Canada Resource Sharing Understanding Management Areas (U.S./
Canada Management Areas), as defined in paragraph (a)(1) of this 
section, unless the vessel is fishing in accordance with the 
restrictions and conditions of this section.
    (1) U.S./Canada Management Areas. A NE multispecies DAS vessel that 
meets the requirements of paragraph (a)(3) of this section, may fish in 
the U.S./Canada Management Areas described in paragraphs (a)(1)(i) and 
(ii) of this section.
    (i) Western U.S./Canada Area. The Western U.S./Canada Area is the 
area defined by straight lines connecting the following points in the 
order stated (a chart depicting this area is available from the 
Regional Administrator upon request):

                        Western U.S./Canada Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
USCA 1.........................  42    68
                                  20'                  50'
USCA 2.........................  39    68
                                  50'                  50'
USCA 3.........................  39    66
                                  50'                  40'
USCA 4.........................  40    66
                                  40'                  40'
USCA 5.........................  40    66
                                  40'                  50'
USCA 6.........................  40    66
                                  50'                  50'
USCA 7.........................  40    67
                                  50'                  00'

[[Page 4420]]

 
USCA 8.........................  41    67
                                  00'                  00'
USCA 9.........................  41    67
                                  00'                  20'
USCA 10........................  41    67
                                  10'                  20'
USCA 11........................  41    67
                                  10'                  40'
USCA 12........................  42    67
                                  20'                  40'
USCA 1.........................  42    68
                                  20'                  50'
------------------------------------------------------------------------

    (ii) Eastern U.S./Canada Area. The Eastern U.S./Canada Area is the 
area defined by straight lines connecting the following points in the 
order stated (a chart depicting this area is available from the 
Regional Administrator upon request):

                        Eastern U.S./Canada Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
USCA 12........................  42    67
                                  20'                  40'
USCA 11........................  41    67
                                  10'                  40'
USCA 10........................  41    67
                                  10'                  20'
USCA 9.........................  41    67
                                  00'                  20'
USCA 8.........................  41    67
                                  00'                  00'
USCA 7.........................  40    67
                                  50'                  00'
USCA 6.........................  40    66
                                  50'                  50'
USCA 5.........................  40    66
                                  40'                  50'
USCA 4.........................  40    66
                                  40'                  40'
USCA 15........................  40    66
                                  30'                  40'
USCA 14........................  40    65
                                  30'                  44.3'
USCA 13........................  42    67
                                  20'                  18.4'
USCA 12........................  42    67
                                  20'                  40'
------------------------------------------------------------------------

    (2) TAC allocation. (i) Except for the 2004 fishing year, the 
amount of GB cod and haddock TAC that may be harvested from the Eastern 
U.S./Canada Area described in paragraph (a)(1)(ii) of this section, and 
theamount of GB yellowtail flounder TAC that may be harvested from the 
Western U.S./Canada Area and the Eastern U.S./Canada Area, as described 
in paragraphs (a)(1)(i) and (ii) of this section, combined, shall be 
determined by the process specified in paragraphs (a)(2)(i)(A) through 
(E) of this section.
    (A) By June 30 of each year, the Terms of Reference for the U.S./
Canada shared resources for GB cod, haddock and yellowtail flounder 
shall be established by the Steering Committee and the Transboundary 
Management Guidance Committee (TMGC).
    (B) By July 31 of each year, a Transboundary Resource Assessment 
Committee (TRAC) joint assessment of the U.S./Canada shared resources 
for GB cod, haddock and yellowtail flounder shall occur.
    (C) By August 31 of each year, the TMGC shall recommend TACs for 
the U.S./Canada shared resources for GB cod, haddock and yellowtail 
flounder. Prior to October 31 of each year, the Council may refer any 
or all recommended TACs back to the TMGC and request changes to any or 
all TACs. The TMGC shall consider such recommendations and respond to 
the Council prior to October 31.
    (D) By October 31 of each year, the Council shall review the TMGC 
recommended TACs for the U.S. portion of the U.S./Canada Management 
Area resources for GB cod, haddock and yellowtail flounder. Based on 
the TMGC recommendations, the Council shall recommend to the Regional 
Administrator the U.S. TACs for the shared stocks for the subsequent 
fishing year. If the recommendation of the Council is not consistent 
with the recommendation of the TMGC, the Regional Administrator may 
select either the recommendation of the TMGC, or the Council. NMFS 
shall review the Council's recommendations and shall publish in the 
Federal Register the proposed TACs and provide a 30-day public comment 
period. NMFS shall make a final determination concerning the TACs and 
will publish notification of the approved TACs and responses to public 
comments in the Federal Register. The Council, at this time, may also 
consider modification of management measures in order to ensure 
compliance with the U.S./Canada Resource Sharing Understanding. Any 
changes to management measures will be modified pursuant to Sec. 
648.90.
    (E) For fishing year 2004, the amount of GB cod, haddock and 
yellowtail flounder TAC that may be harvested under this section will 
be published in the preamble of the proposed and final rules for 
Amendment 13.
    (ii) Adjustments to TACs. Any overages of the GB cod, haddock, or 
yellowtail flounder TACs that occur in a given fishing year will be 
subtracted from the respective TAC in the following fishing year.
    (3) Requirements for vessels in U.S./Canada Management Areas. Any 
NE multispecies vessel may fish in the U.S./Canada Management Areas, 
provided it complies with conditions and restrictions of this section. 
Vessels other than NE multispecies vessels may fish in the U.S./Canada 
Management Area, subject to the restrictions specified in paragraph 
(a)(3)(iv)(E) of this section and all other applicable regulations for 
such vessels.
    (i) VMS requirement. A NE multispecies DAS vessel in the U.S./
Canada Management Areas described in paragraph (a)(1) of this section 
must have installed on board an operational VMS unit that meets the 
minimum performance criteria specified in Sec.Sec. 648.9 and 648.10. 
The VMS unit will be polled at least twice per hour, regardless of 
whether the vessel has declared into the U.S./Canada Management Areas.
    (ii) Declaration. All NE multispecies DAS vessels that intend to 
fish in the U.S./Canada Management Area must, prior to leaving the 
dock, declare the specific U.S./Canada Management Area described in 
paragraphs (a)(1)(i) or (ii) of this section, or the specific SAP, 
described in paragraphs (b)(3) and (4) of this section, within the 
U.S./Canada Management Area, through the VMS, in accordance with 
instructions to be provided by the Regional Administrator. A vessel 
fishing under a NE multispecies DAS in the U.S./Canada Management Area 
may not fish, during that same trip, outside of the declared area, and 
may not enter or exit the declared area more than once per trip. 
Vessels other than NE multispecies DAS vessels are not required to 
declare into the U.S./Canada Management Areas. For the purposes of 
selecting vessels for observer deployment, a vessel fishing in either 
of the U.S./Canada Areas specified in paragraph (a)(1) of this section, 
must provide notice to NMFS of the vessel name, contact name for 
coordination of observer deployment, telephone number for contact, 
date, time and port of departure, at least 5 working days prior to the 
beginning of any trip which it declares into the U.S./Canada Area as 
required under this paragraph (a)(3)(ii).
    (iii) Gear requirements. NE multispecies vessels fishing with trawl 
gear in the U.S./Canada Management Areas defined in paragraph (a)(1) of 
this section must fish with a haddock separator trawl or a flounder 
trawl net, as described in paragraphs (a)(6)(i) and (ii) of this 
section. No other type of fishing gear may be on the vessel during a 
trip to a U.S./Canada Management Area. The description of the haddock 
separator trawl and flounder trawl net in paragraph (a)(3)(iii) of this 
section may be further specified by the Regional Administrator through 
publication of such specifications in the Federal Register, consistent 
with the requirements of the Administrative Procedure Act.
    (A) Haddock separator trawl. A haddock separator trawl is defined 
as a groundfish trawl, modified to a vertically oriented trouser trawl 
configuration, with two extensions arranged one over the other, where a 
codend shall be attached only to the upper extension, and the bottom 
extension shall be left open and have no codend attached. A horizontal, 
large-mesh separating panel constructed with a minimum of 6.5-inch 
(16.5-cm) square

[[Page 4421]]

or diamond mesh must be installed between the selvedges joining the 
upper and lower panels, as described in paragraphs (a)(6)(i)(A) and (B) 
of this section, extending forward from the front of the trouser 
junction to the aft edge of the first belly behind the fishing circle.
    (1) Two-seam bottom trawl nets. For two-seam nets, the separator 
panel must be constructed such that the width of the forward edge of 
the panel is 80-85 percent of the width of the after edge of the first 
belly of the net where the panel is attached. For example, if the belly 
is 200 meshes wide (from selvedge to selvedge), the separator panel 
must be no wider than 160-170 meshes.
    (2) Four-seam bottom trawl nets. For four-seam nets, the separator 
panel must be constructed such that the width of the forward edge of 
the panel is 90-95 percent of the width of the after edge of the first 
belly of the net where the panel is attached. For example, if the belly 
is 200 meshes wide (from selvedge to selvedge), the separator panel 
must be no wider than 180-190 meshes wide. The separator panel must be 
attached to both of the side panels of the net along the midpoint of 
the side panels. For example, if the side panel is 100 meshes tall, the 
separator panel must be attached at the 50th mesh.
    (B) Flounder trawl net. A flounder trawl net is defined as a two-
seam low-rise net constructed with mesh size in compliance with Sec. 
648.80(a)(4), where the maximum footrope length is not greater than 105 
ft (32.0 m), and the headrope is at least 30 percent longer than the 
footrope. The footrope and headrope lengths shall be measured from the 
forward wing end, so that the vertical dimension of the forward wing 
end measures 3 feet (0.91 m) or less in height. Floats are prohibited 
in the center 50 percent of the headrope.
    (iv) Harvest controls. Vessels fishing in the U.S./Canada 
Management Areas are subject to the following restrictions, in addition 
to any other possession or landing limits applicable to vessels not 
fishing in the U.S./Canada Management Areas.
    (A) Cod possession restrictions. Notwithstanding other applicable 
possession and landing restrictions under this part, NE multispecies 
vessels fishing in either of the U.S./Canada Management Areas described 
in paragraph (a)(1) of this section may not possess more than 500 lb 
(226.8 kg) of cod per DAS, not to exceed 5 percent of the total catch 
on board, unless otherwise restricted under this part.
    (B) Haddock possession limit--(1) Initial haddock possession limit. 
The initial haddock possession limit is specified in Sec. 648.86(a), 
unless adjusted pursuant to paragraph (a)(3)(iv)(B)(2) and (3) of this 
section.
    (2) Implementation of haddock possession limit for Eastern U.S./
Canada Area. When the Regional Administrator projects that 70 percent 
of the TAC allocation for haddock specified under paragraph (a)(2) of 
this section will be harvested, NMFS shall implement, through 
rulemaking consistent with the Administrative Procedure Act, a haddock 
trip limit for vessels fishing in the Eastern U.S./Canada Area of 1,500 
lb (680.4 kg) per day, and 15,000 lb (6,804.1 kg) per trip.
    (3) Possession restriction when 100 percent of TAC is harvested. 
When the Regional Administrator projects that 100 percent of the TAC 
allocation for haddock specified in paragraph (a)(2) of this section 
will be harvested, NMFS shall, through rulemaking consistent with the 
Administrative Procedure Act, close the Eastern U.S./Canada Area as 
specified in paragraph (a)(3)(iv)(E) of this section.
    (C) Yellowtail flounder possession limit--(1) Initial yellowtail 
flounder possession limit. The initial yellowtail flounder possession 
limit is specified under Sec. 648.86(g), unless adjusted pursuant to 
paragraph (a)(3)(iv)(C)(2) and (3) of this section.
    (2) Implementation of yellowtail flounder possession limit for 
Western and Eastern U.S./Canada Areas. When the Regional Administrator 
projects that 70 percent of the TAC allocation for yellowtail flounder 
specified under paragraph (a)(2) of this section will be harvested, 
NMFS shall adjust, through rulemaking consistent with the 
Administrative Procedure Act, the yellowtail flounder trip limit for 
vessels fishing in both the Western U.S./Canada Area and the Eastern 
U.S./Canada Area to 1,500 lb (680.4 kg) per day, and 15,000 lb (6,804.1 
kg) per trip.
    (3) Possession restriction when 100 percent of TAC is harvested. 
When the Regional Administrator projects that 100 percent of the TAC 
allocation for yellowtail flounder specified under paragraph (a)(2) of 
this section will be harvested, NMFS shall prohibit, through rulemaking 
consistent with the Administrative Procedure Act, retention of 
yellowtail flounder for vessels fishing in the Western U.S./Canada Area 
and close the Eastern U.S./Canada Area as specified under paragraph 
(a)(3)(iv)(E) of this section.
    (D) Other restrictions or in-season adjustments. In addition to the 
possession restrictions specified in paragraph (a)(3)(iv) of this 
section, when 30 percent and/or 60 percent of the TAC allocations 
specified under paragraph (a)(2) of this section are projected to be 
harvested, the Regional Administrator, through rulemaking consistent 
with the Administrative Procedure Act, may modify the gear 
requirements, modify or close access to the U.S./Canada Management 
Areas, increase or decrease the trip limits specified under paragraphs 
(a)(3)(iv) (A) through (C) of this section, or limit the total number 
of trips into the U.S./Canada Management Area, to prevent over-
harvesting or under-harvesting the TAC allocations.
    (E) Closure of Eastern U.S./Canada Area. When the Regional 
Administrator projects that the TAC allocations specified under 
paragraph (a)(2) of this section will be caught, NMFS shall close, 
through rulemaking consistent with the Administrative Procedure Act, 
the Eastern U.S./Canada Area to all vessels fishing with gear capable 
of catching groundfish, unless otherwise allowed under this paragraph 
(a)(3)(iv)(E). Should the Eastern U.S./Canada Area close as described 
in this paragraph (a)(3)(iv)(E), vessels may continue to fish in a SAP 
within the Eastern U.S./Canada Area, provided that the TAC for the 
target stock identified for that particular SAP has not been fully 
harvested. For example, should the TAC allocation for GB cod specified 
under paragraph (a)(2) of this section be attained, and the Eastern 
U.S./Canada Area closure implemented, vessels could continue to fish 
for haddock within the SAP identified as the Closed Area II Haddock 
Access Area, described in paragraph (b)(4) of this section, in 
accordance with the requirements of that program. Upon closure of the 
Eastern U.S./Canada Area, vessels may transit through this area as 
described in paragraph (a)(1)(ii) of this section, provided that its 
gear is stowed in accordance with the provisions of Sec. 648.23(b), 
unless otherwise restricted under this part.
    (v) Reporting. The owner or operator of a NE multispecies DAS 
vessel must submit reports through the VMS, in accordance with 
instructions to be provided by the Regional Administrator, for each day 
fished when declared into either of the U.S./Canada Management Areas. 
The reports must be submitted in 24-hr 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. The reports must include at least 
the following information: Total pounds/kilograms of cod, haddock and 
yellowtail flounder caught (and total lb of cod, haddock, and 
yellowtail flounder discarded).
    (vi) Withdrawal from U.S./Canada Resource Sharing Understanding. At 
any time, the Regional Administrator, in

[[Page 4422]]

consultation with the Council, may withdraw from the provisions of the 
U.S./Canada Resource Sharing Understanding described in this section, 
if the Understanding is determined to be inconsistent with the goals 
and objectives of the FMP, the Magnuson-Stevens Act, or other 
applicable law. If the United States withdraws from the Understanding, 
the implementing measures, including TACs, remain in place until 
changed through the framework or FMP amendment process.
    (b) Special Access Programs. A SAP is a narrowly defined fishery 
that results in increased access to a stock that, in the absence of 
such authorization, would not be allowed due to broadly applied 
regulations. A SAP authorizes specific fisheries targeting either NE 
multispecies stocks or non-multispecies stocks in order to allow an 
increased yield of the target stock(s) without undermining the 
achievement of the goals of the NE Multispecies FMP. A SAP should 
result in a harvest level that more closely approaches OY, without 
compromising efforts to rebuild overfished stocks, end overfishing, 
minimize bycatch, or minimize impact on EFH. Development of a SAP 
requires a relatively high level of fishery dependent and fishery 
independent information in order to be consistent with this rationale.
    (1) SAPs harvesting NE multispecies--(i) Implementation through 
framework. A SAP may be proposed by the Council and approved by NMFS 
through the framework process described under Sec. 648.90, or by the 
Regional Administrator through the expedited process, provided the SAP 
meets the requirements specified in paragraph (b)(1)(iii) of this 
section.
    (ii) Expedited implementation. A SAP may be approved by the 
Regional Administrator, in consultation with the Council, provided the 
SAP meets the requirements specified in paragraph (b)(1)(iii) of this 
section, and provided the impacts of the SAP fall within the range of 
the impacts analyzed in paragraphs (b) (3) through (6) of this section 
(i.e., CA II Yellowtail Flounder SAP, CA II Haddock SAP, CA I Hook Gear 
Haddock SAP and SNE/MA Winter Flounder SAP) or a future management 
action. If the SAP meets the criteria specified in paragraph 
(b)(1)(iii) of this section, the Regional Administrator will notify the 
Council of the receipt of the SAP proposal within 21 days from the date 
the application is received. NMFS will then publish a notice in the 
Federal Register requesting comment on the proposed SAP, allowing a 30-
day comment period. Within 60 days from the end of the comment period, 
after consideration of comments from the public and the Council, the 
Regional Administrator will make a determination of the approvability 
of the SAP. Notification of an approved SAP will be made through 
notification in the Federal Register.
    (iii) Requirements for implementing a SAP. In order to be approved 
and implemented, a SAP must meet the following requirements:
    (A) Sufficient information must be available to determine that the 
SAP would not adversely impact efforts to control fishing mortality on 
stocks of concern (i.e., stocks where overfishing is occurring or that 
are overfished);
    (B) Vessels fishing under the SAP could only harvest and land NE 
multispecies stock(s) in which the previous year's catch was less than 
the allocated TAC for that stock;
    (C) The SAP must not result in exceeding this TAC of the harvested 
stock, causing a stock to become overfished, or result in overfishing;
    (D) The number of vessels or trips that may occur in the access 
program must be specified, as well as the estimated catch rate of all 
species that are likely to be caught;
    (E) Implementation of the SAP must not alter measures that 
minimize, to the extent practicable, the adverse impact of fishing 
activity on habitat;
    (F) The SAP must incorporate one or more of the following 
provisions in order to ensure there is no increase in fishing mortality 
on any stock of concern: Adoption of a bycatch TAC for a stock of 
concern, adequate observer coverage to monitor the catch of stocks of 
concern, specialized gear or fishing techniques to avoid or reduce 
stocks of concern, mitigation of increased fishing mortality on the 
stock of concern in the SAP through overall effort reduction or effort 
redirection in order to avoid a net increase in bycatch mortality;
    (G) The SAP must occur within a defined area;
    (H) Participation in the SAP must not be limited to vessels from a 
particular state or subdivision;
    (I) The SAP must reduce discards and discard mortality to the 
extent practicable;
    (J) The SAP must specify the type of data reporting required to 
monitor the status of harvest and include a realistic plan of 
implementation; and
    (K) The Regional Administrator must be able to conclude that 
adherence to the conditions of the SAP can be assured in light of 
available enforcement resources and the enforcement record of vessel 
owners and operators of vessels.
    (2) SAPs harvesting stocks other than NE multispecies--(i) 
Implementation through framework. A SAP to harvest stocks of fish other 
than NE multispecies (non-multispecies SAP) may be proposed by the 
Council and approved by NMFS through the framework process described 
under Sec. 648.90, or by the Regional Administrator through the 
expedited process, provided the non-multispecies SAP meets the 
requirements specified under paragraph (b)(2)(iii) of this section.
    (ii) Expedited implementation. A non-multispecies SAP may be 
approved by the Regional Administrator according to the same procedures 
specified in paragraph (b)(1)(ii) of this seciton, provided the non-
multispecies SAP meets the requirements of paragraph (b)(2)(iii) of 
this section.
    (iii) Requirements for implementing a non-multispecies SAP. In 
order to be approved and implemented, a SAP must meet the following 
requirements:
    (A) Sufficient information must be available to determine that the 
SAP would not adversely impact efforts to control fishing mortality on 
stocks of concern (i.e., stocks where overfishing is occurring or that 
are overfished);
    (B) The number of vessels or trips that may occur in the access 
program must be specified, as well as the estimated catch rate of all 
species that are likely to be caught;
    (C) Implementation of the SAP must not alter measures that 
minimize, to the extent practicable, the adverse impact of fishing 
activity on habitat;
    (D) The SAP must incorporate one or more of the following 
provisions in order to ensure there is no increase in fishing mortality 
on any stock of concern: Adoption of a bycatch TAC for a stock of 
concern, adequate observer coverage to monitor the catch of stocks of 
concern, specialized gear or fishing techniques to avoid or reduce 
stocks of concern, mitigation of increased fishing mortality on the 
stock of concern in the SAP through overall effort reduction or effort 
redirection in order to avoid a net increase in bycatch mortality;
    (E) The SAP must occur within a defined area;
    (F) Participation in the SAP must not be limited to vessels from a 
particular state or subdivision;
    (G) The SAP must reduce discards and discard mortality to the 
extent practicable;
    (H) The SAP must specify the type of data reporting required to 
monitor the status of harvest and include a realistic plan of 
implementation; and
    (I) The Regional Administrator must be able to conclude that 
adherence to the conditions of the SAP can be assured in light of 
available enforcement

[[Page 4423]]

resources and the enforcement record of vessel owners and operators of 
vessels.
    (3) Closed Area II Yellowtail Flounder SAP--(i) Eligibility. 
Vessels issued a valid limited access NE multispecies DAS permit are 
eligible to participate in the Closed Area II Yellowtail Flounder SAP, 
and may fish in the Closed Area II Yellowtail Flounder Access Area, as 
described in paragraph (b)(3)(ii) of this section, for the period 
specified in paragraph (b)(3)(iii) of this section, when fishing under 
a NE multispecies DAS, provided such vessels comply with the 
requirements of this section, and provided the Eastern U.S./Canada Area 
described in paragraph (a)(1)(ii) is not closed according to the 
provisions specified under paragraph (a)(1)(iv) of this section. Copies 
of a chart depicting this area are available from the Regional 
Administrator upon request.
    (ii) Closed Area II Yellowtail Flounder Access Area. The Closed 
Area II Yellowtail Flounder Access Area is the area defined by straight 
lines connecting the following points in the order stated:

             Closed Area II Yellowtail Flounder Access Area
------------------------------------------------------------------------
              Point                    N. Lat.             W. Long.
------------------------------------------------------------------------
Ytail 1.........................  41  6720
                                   30'                '
Ytail 2.........................  41  6634
                                   30'                .8'
G5..............................  41  6624
                                   18.6'              .8' (the U.S.-
                                                      Canada Maritime
                                                      Boundary)
CII 2...........................  41  6635
                                   00'                .8'
CII 1...........................  41  6720
                                   00'                '
Ytail 1.........................  41  6720
                                   30'                '
------------------------------------------------------------------------

    (iii) Season. Eligible vessels may fish in the Closed Area II 
Yellowtail Flounder SAP during the period June 1 through December 31.
    (iv) VMS requirement. All NE multispecies DAS vessels in the U.S./
Canada Management Areas described in paragraph (a)(1) of this section 
must have installed on board an operational VMS unit that meets the 
minimum performance criteria specified in Sec.Sec. 648.9 and 648.10.
    (v) Declaration. For the purposes of selecting vessels for observer 
deployment, a vessel must provide notice to NMFS of the vessel name, 
contact name for coordination of observer deployment, telephone number 
for contact, date, time and port of departure, and special access 
program to be fished, at least 5 working days prior to the beginning of 
any trip which it declares into the Special Access Program as required 
under this paragraph (b)(3)(v). Prior to departure from port, a vessel 
intending to participate in the Closed Area II Yellowtail Flounder SAP 
must declare into this area through the VMS, in accordance with 
instructions provided by the Regional Administrator. In addition to 
fishing in the Closed Area II Yellowtail Flounder SAP, a vessel, on the 
same trip, may also declare its intent to fish in the areas specified 
in paragraphs (b)(3)(v)(A) and/or (B) of this section, provided the 
vessel fishes in the additional area under the most restrictive 
provisions of either the Closed Area II Yellowtail Flounder SAP, or the 
other area(s) fished and fishes during such time as specified in 
paragraph (b)(4)(iii) of this section (i.e., CA II Haddock SAP). The 
declaration areas are as follows:
    (A) Closed Area II Haddock Access Area, as defined in paragraph 
(b)(4)(ii) of this section.
    (B) The Closed Area II Haddock Access Area, as defined in paragraph 
(b)(4)(ii) of this section, and the area outside of the Closed Area II 
that resides within the Eastern U.S./Canada Area, as defined in 
paragraph (a)(1)(ii) of this section.
    (vi) Number of trips per vessel. Unless otherwise authorized by the 
Regional Administrator as specified in paragraph (a)(3)(iv)(D) of this 
section, eligible vessels are restricted to two trips per month, during 
the season described in paragraph (b)(3)(iii) of this section.
    (vii) Maximum number of trips. Unless otherwise authorized by the 
Regional Administrator as specified in paragraph (a)(3)(iv)(D) of this 
section, the total number of trips by all vessels combined that may be 
declared into the Closed Area II Yellowtail Flounder SAP is 320 trips 
per fishing year.
    (viii) Trip limits. Unless otherwise authorized by the Regional 
Administrator as specified in paragraph (a)(3)(iv)(D) of this section, 
a vessel fishing in the Closed Area II Yellowtail Flounder SAP may fish 
for, possess and land up to 30,000 lb (13,608.2 kg) of yellowtail 
flounder per trip, and may not possess more than one-fifth of the cod 
possession limit specified for the Eastern U.S./Canada Area under 
paragraph (a)(3)(iv)(A) of this section.
    (ix) Area fished. Eligible vessels that have declared a trip into 
the Closed Area II Yellowtail Flounder SAP, and other areas as 
specified under paragraph (b)(3)(v) of this section, may not fish, 
during the same trip, outside of the declared area, and may not enter 
or exit the area more than once per trip.
    (x) Gear requirements. Vessels fishing with trawl gear under a NE 
multispecies DAS in the U.S./Canada Management Areas defined in 
paragraph (a)(1) of this section, may not fish with, or possess on 
board, any fishing gear other than a haddock separator trawl or 
flounder trawl net.
    (4) Closed Area II Haddock SAP--(i) Eligibility. Vessels issued a 
valid limited access NE multispecies DAS permit are eligible to 
participate in the Closed Area II Haddock SAP, and may fish in the 
Closed Area II Haddock Access Area, as described in paragraph 
(b)(4)(ii) of this section, for the period specified in paragraph 
(b)(4)(iii) of this section, when fishing under a NE multispecies DAS, 
provided such vessels comply with the requirements of this section, and 
provided the Eastern U.S./Canada Area described under paragraph 
(a)(1)(ii) of this section is not closed according to the provisions 
specified under paragraph (a)(1)(iv) of this section. Copies of a chart 
depicting this area is available from the Regional Administrator upon 
request.
    (ii) Closed Area II Haddock Access Area. The U.S./Canada Closed 
Area II Haddock Access Area is the area defined by straight lines 
connecting the following points in the order stated:

                   Closed Area II Haddock Access Area
------------------------------------------------------------------------
             Point                      N. Lat.             W. Long.
------------------------------------------------------------------------
CIIH 1........................  4212'    6711'
                                                         (intersection
                                                         of 4212' with
                                                         the U.S./Canada
                                                         Maritime
                                                         Boundary)
CIIH 2........................  4211'    6720'
CII 3.........................  4222'    6720' (the U.S./
                                                         Canada Maritime
                                                         Boundary)
CIIH 1........................  4212'    6711'
                                                         (intersection
                                                         of 4212' with
                                                         the U.S./Canada
                                                         Maritime
                                                         Boundary)
------------------------------------------------------------------------

    (iii) Season. Eligible vessels may fish in the Closed Area II 
Haddock SAP during the period May 1 through February 28 (or 29).
    (iv) VMS. All NE multispecies DAS vessels in the U.S./Canada 
Management Areas described in paragraph (a)(1) of this section must 
have installed on board an operational VMS unit that meets the minimum 
performance criteria specified in Sec.Sec. 648.9 and 648.10.
    (v) Declaration. For the purposes of selecting vessels for observer 
deployment, a vessel must provide

[[Page 4424]]

notice to NMFS of the vessel name, contact name for coordination of 
observer deployment, telephone number for contact, date, time and port 
of departure, and special access program to be fished, at least 5 
working days prior to the beginning of any trip which it declares into 
the Special Access Program as required under this paragraph (b)(4)(v). 
Prior to departure from port, a vessel intending to participate in the 
Closed Area II Haddock SAP must declare into this area through VMS in 
accordance with instructions to be provided by the Regional 
Administrator. In addition to fishing in the Closed Area II Haddock 
SAP, a vessel, on the same trip, may also declare its intent to fish in 
the areas specified in paragraphs (b)(4)(v)(A) and (B) of this section, 
provided the vessel fishes under the more restrictive provisions of the 
areas declared and fishes during such time as specified in paragraph 
(b)(3)(iii) of this section (i.e., CA II Yellowtail flounder SAP). The 
declaration areas are as follows:
    (A) Closed Area II Yellowtail Flounder Access Area, as defined in 
paragraph (b)(3)(ii) of this section.
    (B) The Closed Area II Yellowtail Flounder Access Area, as defined 
in paragraph (b)(3)(ii) of this section and the area outside of Closed 
Area II that resides within the Eastern U.S./Canada Area, as defined in 
paragraph (a)(1)(ii) of this section.
    (vi) Number of trips. Unless otherwise authorized by the Regional 
Administrator as specified in paragraph (a)(3)(iv)(D) of this section, 
there is no limit on the number of trips per vessel.
    (vii) Maximum number of trips. Unless otherwise restricted by the 
Regional Administrator as specified in paragraph (a)(3)(iv)(D) of this 
section, there is no maximum number of trips specified for the fishery.
    (viii) Trip limits. A vessel fishing in the Closed Area II Haddock 
SAP may not possess more than one-fifth of the cod possession limit 
specified for the Eastern U.S./Canada Area under paragraph 
(a)(3)(iv)(A) of this section. The trip limit for haddock is specified 
under Sec. 648.86(a).
    (ix) Area fished. Eligible vessels that have declared a trip into 
the Closed Area II Haddock SAP, as specified in paragraph (b)(4)(v) of 
this section, may not fish, during the trip, outside of the declared 
area, and may not enter or exit the area more than once per trip.
    (x) Gear requirements. Vessels fishing with trawl gear under a NE 
multispecies DAS in the U.S./Canada Management Areas defined in 
paragraph (a)(1) of this section may not fish with, or possess on 
board, any fishing gear other than a haddock separator trawl or 
flounder trawl net.
    (5) Closed Area I Hook Gear SAP--(i) Eligibility. Vessels issued a 
NE multispecies permit and fishing with hook gear are eligible to 
participate in the Closed Area I Hook Gear SAP, and may fish in Closed 
Area I Hook Gear Access Area, as described in paragraph (b)(5)(ii) of 
this section, for the period specified in paragraph (b)(5)(iii) of this 
section, when fishing under a NE multispecies DAS, provided such 
vessels comply with the requirements of this section, and provided the 
area is not closed as specified under paragraph (b)(5)(vii) of this 
section. Copies of a chart depicting this area is available from the 
Regional Administrator upon request.
    (ii) The Closed Area I Hook Gear Access Area. The Closed Area I 
Hook Gear Access Area is the area defined by straight lines connecting 
the following points in the order stated:

                   Closed Area I Hook Gear Access Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
CAI Hk 1.......................  4124  691
                                  .5'                  8.5'
CAI Hk 2.......................  4125  691
                                  .5'                  4.5'
CAI Hk 3.......................  418'  685
                                                       9.5'
CAI Hk 4.......................  417'  694
                                                       '
CAI Hk 1.......................  4124  691
                                  .5'                  8.5'
------------------------------------------------------------------------

    (iii) Season. Eligible vessels may fish in the Closed Area I Hook 
Gear SAP during the period September 16 through December 31, provided 
the area is not closed according to the provisions specified in 
paragraph (b)(5)(vi) of this section.
    (iv) VMS. Eligible vessels intending to fish in the Closed Area I 
Hook Gear SAP must have installed on board an operational VMS unit that 
meets the minimum performance criteria specified in Sec.Sec. 648.9 and 
648.10.
    (v) Declaration. Prior to departure from port, a vessel intending 
to participate in the Closed Area I Hook Gear SAP must declare into 
that area through VMS, in accordance with instructions to be provided 
by the Regional Administrator.
    (vi) Cod trip limit. A vessel fishing in the Closed Area I Hook 
Gear SAP may fish for, possess, and land up to 400 lb (181.4 kg) of cod 
per trip.
    (vii) Closure. At any time during the fishing year, if the Regional 
Administrator projects that 35 mt of cod will be caught from with the 
Closed Area I Hook Gear Access Area, the Regional Administrator, 
through rulemaking consistent with the Administrative Procedure Act, 
shall close the Closed Area I Hook Gear Access Area.
    (viii) Observers. Industry-funded observers are required on all 
trips declared into the Closed Area I Hook Gear SAP.
    (6) SNE/MA Winter Flounder SAP. A vessel fishing for summer 
flounder west of 72 30' W. lat., using mesh required 
under Sec. 648.104(a), may retain and land up to 200 lb (90.7 kg) of 
winter flounder while not under a NE multispecies DAS, provided the 
vessel complies with the following restrictions:
    (i) The vessel must possess a valid summer flounder permit as 
required under Sec. 648.4(a)(3), and be in compliance with the 
restrictions of subpart G of this part;
    (ii) The total amount of winter flounder on board must not exceed 
the amount of summer flounder of board;
    (iii) The vessel must not be fishing under a NE multispecies DAS; 
and
    (iv) Fishing for, retention, and possession of NE multispecies 
other than winter flounder is prohibited.
    15. Section 648.86 is revised to read as follows:


Sec. 648.86  Multispecies possession restrictions.

    Except as provided in Sec. 648.17, the following possession 
restrictions apply:
    (a) Haddock-- (1) NE multispecies DAS vessels. (i) From May 1 
through September 30, except as provided in paragraph (a)(1)(iii) of 
this section, or unless otherwise restricted under Sec. 648.85, a 
vessel that fishes under a NE multispecies DAS may land up to 3,000 lb 
(1,360.8 kg) of haddock per DAS fished, or any part of a DAS fished, up 
to 30,000 lb (13,608 kg) per trip, provided it has at least one 
standard tote on board. Haddock on board a vessel subject to this 
landing limit must be separated from other species of fish and stored 
so as to be readily available for inspection.
    (ii) From October 1 through April 30, except as provided in 
paragraph (a)(1)(iii) of this section, or unless otherwise restricted 
under Sec. 648.85, a vessel that fishes under a NE multispecies DAS may 
land up to 5,000 lb (2,268 kg) of haddock per DAS fished, or any part 
of a DAS fished, up to 50,000 lb (22,680 kg) per trip, provided it has 
at least one standard tote on board. Haddock on board a vessel subject 
to this landing limit must be separated from other species of fish and 
stored so as to be readily available for inspection.
    (iii) Adjustments--(A) Adjustment to the haddock trip limit to 
prevent exceeding the target TAC. At any time during the fishing year, 
if the Regional

[[Page 4425]]

Administrator projects that the target TAC for haddock will be 
exceeded, NMFS may adjust, through publication of a notification in the 
Federal Register, the trip limit per DAS and/or the maximum trip limit 
to an amount that the Regional Administrator determines will prevent 
exceeding the target TAC.
    (B) Adjustment of the haddock trip limit to allow harvesting of up 
to 75 percent of the target TAC. At any time during the fishing year, 
if the Regional Administrator projects that less than 75 percent of the 
target TAC for haddock will be harvested by the end of the fishing 
year, NMFS may adjust or eliminate, through publication of a 
notification in the Federal Register, the trip limit per DAS and/or the 
maximum trip limit to an amount, including elimination of the per day 
and/or per trip limit, that is determined to be sufficient to allow 
harvesting of at least 75 percent of the target TAC, but not to exceed 
the target TAC.
    (2) Scallop dredge vessels. (i) No person owning or operating a 
scallop dredge vessel issued a NE multispecies permit may land haddock 
from, or possess haddock on board, a scallop dredge vessel from January 
1 through June 30.
    (ii) No person owning or operating a scallop dredge vessel without 
a NE multispecies permit may possess haddock in, or harvested from, the 
EEZ from January 1 through June 30.
    (iii) Unless otherwise authorized by the Regional Administrator as 
specified in paragraph (f) of this section, scallop dredge vessels or 
persons owning or operating a scallop dredge vessel that is fishing 
under a scallop DAS allocated under Sec. 648.53 may land or possess on 
board up to 300 lb (136.1 kg) of haddock, except as specified in Sec. 
648.88(c), provided that the vessel has at least one standard tote on 
board. This restriction does not apply to vessels issued NE 
multispecies Combination Vessel permits that are fishing under a 
multispecies DAS. Haddock on board a vessel subject to this possession 
limit must be separated from other species of fish and stored so as to 
be readily available for inspection.
    (b) Cod--(1) GOM cod landing limit. (i) Except as provided in 
paragraphs (b)(1)(ii) and (b)(4) of this section, or unless otherwise 
restricted under Sec. 648.85, a vessel fishing under a NE multispecies 
DAS may land only up to 800 lb (362.9 kg) of cod during the first 24-hr 
period after the vessel has started a trip on which cod were landed 
(e.g., a vessel that starts a trip at 6 a.m. may call out of the DAS 
program at 11 a.m. and land up to 800 lb (362.9 kg), but the vessel 
cannot land any more cod on a subsequent trip until at least 6 a.m. on 
the following day). For each trip longer than 24 hr, a vessel may land 
up to an additional 800 lb (362.9 kg) for each additional 24-hr block 
of DAS fished, or part of an additional 24-hr block of DAS fished, up 
to a maximum of 4,000 lb (1,818.2 kg) per trip (e.g., a vessel that has 
been called into the DAS program for more than 24 hr, but less than 48 
hr, may land up to, but no more than, 1,600 lb (725.7 kg) of cod). A 
vessel that has been called into only part of an additional 24-hr block 
of a DAS (e.g., a vessel that has been called into the DAS program for 
more than 24 hr, but less than 48 hr) may land up to an additional 800 
lb (362.9 kg) of cod for that trip, provided the vessel complies with 
the provisions of paragraph (b)(1)(ii) of this section. Cod on board a 
vessel subject to this landing limit must be separated from other 
species of fish and stored so as to be readily available for 
inspection.
    (ii) A vessel that has been called into only part of an additional 
24-hr block may come into port with and offload cod up to an additional 
800 lb (362.9 kg), provided that the vessel operator does not call out 
of the DAS program as described under Sec. 648.10(c)(3) and does not 
depart from a dock or mooring in port, unless transiting, as allowed in 
paragraph (b)(3) of this section, until the rest of the additional 24-
hr block of the DAS has elapsed, regardless of whether all of the cod 
on board is offloaded (e.g., a vessel that has been called into the DAS 
program for 25 hr, at the time of landing, may land only up to 1,600 lb 
(725.6 kg) of cod, provided the vessel does not call out of the DAS 
program or leave port until 48 hr have elapsed from the beginning of 
the trip).
    (2) GB cod landing and maximum possession limits. (i) Unless as 
provided under Sec. 648.85, or under the provisions of paragraph 
(b)(2)(iii) of this section for vessels fishing with hook gear, for 
each fishing year, a vessel that is exempt from the landing limit 
described in paragraph (b)(1) of this section, and fishing under a NE 
multispecies DAS may land up to 1,000 lb (453.6 kg) of cod during the 
first 24-hr period after the vessel has started a trip on which cod 
were landed (e.g., a vessel that starts a trip at 6 a.m. may call out 
of the DAS program at 11 a.m. and land up to 1,000 lb (453.6 kg)), but 
the vessel cannot land any more cod on a subsequent trip until at least 
6 a.m. on the following day). For each trip longer than 24 hr, a vessel 
may land up to an additional 1,000 lb (453.6 kg) for each additional 
24-hr block of DAS fished, or part of an additional 24-hr block of DAS 
fished, up to a maximum of 10,000 lb (4536 kg) per trip (e.g., a vessel 
that has been called into the DAS program for 48 hr or less, but more 
than 24 hr, may land up to, but no more than 2,000 lb (907.2 kg) of 
cod). A vessel that has called into only part of an additional 24-hr 
block of a DAS (e.g., a vessel that has called into the DAS program for 
more than 24 hr, but less than 48 hr) may land up to an additional 
1,000 lb (453.6 kg) of cod for that trip of cod for that trip provided 
the vessel complies with paragraph (b)(2)(ii) of this section. Cod on 
board a vessel subject to this landing limit must be separated from 
other species of fish and stored so as to be readily available for 
inspection.
    (ii) A vessel that has been called into only part of an additional 
24 hr block, may come into port with and offload cod up to an 
additional 1,000 lb (453.6 kg), provided that the vessel operator does 
not call-out of the DAS program as described under Sec. 648.10(c)(3) 
and does not depart from a dock or mooring in port, unless transiting 
as allowed in paragraph (b)(3) of this section, until the rest of the 
additional 24-hr block of the DAS has elapsed regardless of whether all 
of the cod on board is offloaded (e.g., a vessel that has been called 
into the DAS program for 25 hr, at the time of landing, may land only 
up to 2,000 lb (907.2 kg) of cod, provided the vessel does not call out 
of the DAS program or leave port until 48 hr have elapsed from the 
beginning of the trip).
    (iii) GB Hook Gear Cod Trip Limit Program. A NE multispecies DAS 
vessel electing to fish exclusively with hook gear for the entire 
fishing year may land cod in the amounts specified in paragraphs 
(b)(2)(iii)(A) through (D) of this section, during the seasons 
specified, provided the vessel annually declares into the GB Hook Gear 
Cod Trip Limit Program as described in Sec. 648.4(c)(2)(iii)(B). 
Vessels fishing under the GB Hook Gear Cod Trip limit Program are 
prohibited from fishing north of the exemption line defined under 
paragraph (b)(4) of this section. Vessels may transit the GOM/GB 
Regulated Mesh Area north of this exemption area, provided that their 
gear is stowed in accordance with one of the provisions of Sec. 
648.23(b). Seasonal restrictions of this program are as follows:
    (A) July 1 through September 15: Vessels are confined to landing NE 
multispecies on Sunday through Thursday only, and may land up to 2,000 
lb (907.2 kg) of cod per DAS. No multispecies landings are allowed on 
Friday or Saturday.
    (B) September 16 through December 31: Vessels may land up to 600 lb 
(272.2 kg) of cod per DAS, on any day of the week.

[[Page 4426]]

    (C) January 1 through March 31: Vessels may land up to 2,000 lb 
(907.2 kg) of cod per DAS, on any day of the week.
    (D) April 1 through June 30: Vessels are prohibited from fishing 
under a NE multispecies DAS.
    (3) Transiting. A vessel that has exceeded the cod landing limit as 
specified in paragraphs (b)(1) and (2) of this section, and that is, 
therefore, subject to the requirement to remain in port for the period 
of time described in paragraphs (b)(1)(ii)(A) and (b)(2)(ii)(A) of this 
section, may transit to another port during this time, provided that 
the vessel operator notifies the Regional Administrator, either at the 
time the vessel reports its hailed weight of cod, or at a later time 
prior to transiting, and provides the following information: Vessel 
name and permit number, destination port, time of departure, and 
estimated time of arrival. A vessel transiting under this provision 
must stow its gear in accordance with one of the methods specified in 
Sec. 648.23(b) and may not have any fish on board the vessel.
    (4) Exemption. A vessel fishing under a NE multispecies DAS is 
exempt from the landing limit described in paragraph (b)(1) of this 
section when fishing south of a line beginning at the Cape Cod, MA, 
coastline at 4200' N. lat. and running eastward along 
4200' N. lat. until it intersects with 
6930' W. long., then northward along 
6930' W. long. until it intersects with 
4220' N. lat., then eastward along 4220' 
N. lat. until it intersects with 6720' W. long., then 
northward along 6720' W. long. until it intersects with 
the U.S.-Canada maritime boundary, provided that it does not fish north 
of this exemption area for a minimum of 7 consecutive days (when 
fishing under the multispecies DAS program), and has on board an 
authorization letter issued by the Regional Administrator. Vessels 
exempt from the landing limit requirement may transit the GOM/GB 
Regulated Mesh Area north of this exemption area, provided that their 
gear is stowed in accordance with one of the provisions of Sec. 
648.23(b).
    (c) Atlantic halibut. A vessel issued a NE multispecies permit 
under Sec. 648.4(a)(1) may land or possess on board no more than one 
Atlantic halibut per trip, provided the vessel complies with other 
applicable provisions of this part.
    (d) Small-mesh multispecies. (1) Vessels issued a valid Federal NE 
multispecies permit specified in Sec. 648.4(a)(1) are subject to the 
following possession limits for small-mesh multispecies, which are 
based on the mesh size used by, or on board, vessels fishing for, in 
possession of, or landing small-mesh multispecies.
    (i) Vessels using mesh size smaller than 2.5 inches (6.35 cm) and 
vessels without a letter of authorization. Owners or operators of 
vessels fishing for, in possession of, or landing small-mesh 
multispecies with, or having on board except as provided in this 
section, nets of mesh size smaller than 2.5 inches (6.35 cm) (as 
applied to the part of the net specified in paragraph (d)(1)(iv) of 
this section), and vessels that have not been issued a letter of 
authorization pursuant to paragraphs (d)(1)(ii) or (iii) of this 
section, may possess on board and land up to 3,500 lb (1,588 kg) of 
combined silver hake and offshore hake. This possession limit on small-
mesh multispecies does not apply if all nets with mesh size smaller 
than 2.5 inches (6.35 cm) have not been used to catch fish for the 
entire fishing trip and the nets have been properly stowed pursuant to 
Sec. 648.23(b), and the vessel is fishing with a mesh size and a letter 
of authorization as specified in paragraphs (d)(1)(ii), (d)(1)(iii), 
and (d)(2) of this section. Silver hake and offshore hake on board a 
vessel subject to this possession limit must be separated from other 
species of fish and stored so as to be readily available for 
inspection. The vessel is subject to applicable restrictions on gear, 
area, and time of fishing specified in Sec. 648.80 and any other 
applicable provision of this part.
    (ii) Vessels authorized to use nets of mesh size 2.5 inches (6.35 
cm) or greater. Except as provided in paragraph (d)(3) of this section, 
owners and operators of vessels issued a valid letter of authorization 
pursuant to paragraph (d)(2) of this section authorizing the use of 
nets of mesh size 2.5 inches (6.35 cm) or greater, may fish for, 
possess, and land small-mesh multispecies up to 7,500 lb (3,402 kg) of 
combined silver hake and offshore hake when fishing with nets of a 
minimum mesh size of 2.5 inches (6.35 cm) (as applied to the part of 
the net specified in paragraph (d)(1)(iv) of this section), provided 
that any nets of mesh size smaller than 2.5 inches (6.35 cm) have not 
been used to catch such fish and are properly stowed pursuant to Sec. 
648.23(b) for the entire trip. Silver hake and offshore hake on board a 
vessel subject to this possession limit must be separated from other 
species of fish and stored so as to be readily available for 
inspection. The vessel is subject to applicable restrictions on gear, 
area, and time of fishing specified in Sec. 648.80 and any other 
applicable provision of this part.
    (iii) Vessels authorized to use nets of mesh size 3 inches (7.62 
cm) or greater. Except as provided in paragraph (d)(3) of this section, 
owners and operators of vessels issued a valid letter of authorization 
pursuant to paragraph (d)(2) of this section authorizing the use of 
nets of mesh size 3 inches (7.62 cm) or greater, may fish for, possess, 
and land small-mesh multispecies up to only 30,000 lb (13,608 kg) 
combined silver hake and offshore hake when fishing with nets of a 
minimum mesh size of 3 inches (7.62 cm) (as applied to the part of the 
net specified in paragraph (d)(1)(iv) of this section), provided that 
any nets of mesh size smaller than 3 inches (7.62 cm) have not been 
used to catch such fish and are properly stowed pursuant to Sec. 
648.23(b) for the entire trip. Silver hake and offshore hake on board a 
vessel subject to this possession limit must be separated from other 
species of fish and stored so as to be readily available for 
inspection. The vessel is subject to applicable restrictions on gear, 
area, and time of fishing specified in Sec. 648.80 and any other 
applicable provision of this part.
    (iv) Application of mesh size. Counting from the terminus of the 
net, the mesh size restrictions specified in paragraphs (d)(1)(i), 
(ii), and (iii) of this section are only applicable to the first 100 
meshes (200 bars in the case of square mesh) for vessels greater than 
60 ft (18.3 m) in length, and to the first 50 meshes (100 bars in the 
case of square mesh) for vessels 60 ft (18.3 m) or less in length. 
Notwithstanding any other provision of this section, the restrictions 
and conditions pertaining to mesh size do not apply to nets or pieces 
of net smaller than 3 ft (0.9 m) x 3 ft (0.9 m), (9 sq ft (0.81 sq m)).
    (2) Possession limit for vessels participating in the northern 
shrimp fishery. Owners and operators of vessels participating in the 
Small-Mesh Northern Shrimp Fishery Exemption, as described in Sec. 
648.80(a)(5), with a vessel issued a valid Federal NE multispecies 
permit specified under Sec. 648.4(a)(1), may possess and land silver 
hake and offshore hake, combined, up to an amount equal to the weight 
of shrimp on board, not to exceed 3,500 lb (1,588 kg). Silver hake and 
offshore hake on board a vessel subject to this possession limit must 
be separated from other species of fish and stored so as to be readily 
available for inspection.
    (3) Possession restriction for vessels electing to transfer small-
mesh NE multispecies at sea. Owners and operators of vessels issued a 
valid Federal NE multispecies permit and issued a letter of 
authorization to

[[Page 4427]]

transfer small-mesh NE multispecies at sea according to the provisions 
specified in Sec. 648.13(b) are subject to a combined silver hake and 
offshore hake possession limit that is 500 lb (226.8 kg) less than the 
possession limit the vessel otherwise receives. This deduction shall be 
noted on the transferring vessel's letter of authorization from the 
Regional Administrator.
    (e) [Reserved].
    (f) Calculation of weight of fillets or parts of fish. The 
possession limits described under this part are based on the weight of 
whole, whole-gutted, or gilled fish. For purposes of determining 
compliance with the possession limits specified in paragraphs (a), (b), 
or (c) of this section, the weight of fillets and parts of fish, other 
than whole-gutted or gilled fish, as allowed under Sec. 648.83(a) and 
(b), will be multiplied by 3.
    (g) Yellowtail flounder--(1) Cape Cod/GOM yellowtail flounder 
possession limit restrictions. Except when fishing under the 
recreational and charter/party restrictions specified under Sec. 
648.89, unless otherwise restricted as specified in Sec.Sec. 
648.82(b)(5), and 648.88(c), a qualified vessel issued a NE 
multispecies permit and fishing with a limited access Handgear A 
permit, under a NE multispecies DAS, or under a monkfish DAS when 
fishing under the limited access monkfish Category C or D permit 
provisions, may fish for, possess and land yellowtail flounder in or 
from the Cape Cod/GOM Yellowtail Flounder Area described in paragraph 
(g)(1)(i) of this section, subject to the requirements and trip limits 
specified in paragraph (g)(1)(ii) of this section.
    (i) Cape Cod/GOM Yellowtail Flounder Area. The Cape Cod/GOM 
Yellowtail Flounder Area (copies of a chart depicting the area is 
available from the Regional Administrator upon request), is the area 
defined by straight lines connecting the following points in the order 
stated:

                  Cape Cod/GOM Yellowtail Flounder Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
SYT13..........................  (\1\)                700
                                                       0'
SYT12..........................  4120  700
                                  '                    0'
SYT11..........................  4120  695
                                  '                    0'
SYT10..........................  4110  695
                                  '                    0'
SYT9...........................  4110  693
                                  '                    0'
SYT8...........................  4100  693
                                  '                    0'
SYT7...........................  4100  685
                                  '                    0'
USCA1..........................  4220  685
                                  '                    0'
USCA12.........................  4220  674
                                  '                    0'
NYT1...........................  4350  674
                                  '                    0'
NYT2...........................  4350  665
                                  '                    0'
NYT3...........................  4420  665
                                  '                    0'
NYT4...........................  4420  670
                                  '                    0'
NYT5...........................  (\2\)                670
                                                       0'
------------------------------------------------------------------------
\1\ South facing shoreline of Cape Cod, MA.
\2\ East facing shoreline of Maine.

    (ii) Requirements. Vessels fishing in the Cape Cod/GOM Yellowtail 
Flounder Area are bound by the following requirements: (A) The vessel 
must possess on board a yellowtail flounder possession/landing 
authorization letter issued by the Regional Administrator. To obtain 
this exemption letter the vessel owner must make a request in writing 
to the Regional Administrator.
    (B) The vessel may not fish inside the SNE/MA Yellowtail Flounder 
Area, for a minimum of 7 consecutive days (when fishing with a limited 
access Handgear A permit, under the NE multispecies DAS program, or 
under the monkfish DAS program if the vessels is fishing under the 
limited access monkfish Category C or D permit provisions), unless 
otherwise specified in paragraph (g)(3) of this section. Vessels 
subject to these restrictions may fish any portion of a trip in the 
portion of the GB, SNE, and MA Regulated Mesh Areas outside of the SNE/
MA Yellowtail Flounder Area, provided the vessel complies with the 
possession restrictions specified under this paragraph (g). Vessels 
subject to these restrictions may transit the SNE/MA Yellowtail 
Flounder Area, provided the gear is stowed in accordance with Sec. 
648.23(b).
    (C) During the periods April through May, and October through 
November, the vessel may land or possess on board only up to 250 lb 
(113.6 kg) of yellowtail flounder per trip.
    (D) During the periods June through September, and December through 
March, the vessel may land or possess on board only up to 750 lb (340.2 
kg) of yellowtail flounder per DAS, or any part of a DAS, up to a 
maximum possession limit of 3,000 lb (1,364.0 kg) per trip.
    (2) SNE/MA yellowtail flounder possession limit restrictions. 
Except when fishing under the recreational and charter/party 
restrictions specified in Sec. 648.89, unless otherwise restricted as 
specified in Sec. 648.82(b)(3) and (b)(5), and Sec. 648.88(c), a vessel 
issued a NE multispecies permit and fishing with a limited access 
Handgear A permit, under a NE multispecies DAS, or under a monkfish DAS 
when fishing under the limited access monkfish Category C or D permit 
provisions, in the SNE/MA Yellowtail Flounder Area, described in 
paragraph (g)(2)(i) of this section, is subject to the requirements and 
trip limits specified in paragraph (g)(2)(ii) of this section, in order 
to fish for, possess, or land yellowtail flounder.
    (i) SNE/MA Yellowtail Flounder Area. The SNE/MA Yellowtail Flounder 
Area (copies of a chart depicting the area is available from the 
Regional Administrator upon request), is the area defined by straight 
lines connecting the following points in the order stated:

                SNE/Mid-Atlantic Yellowtail Flounder Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
SYT1...........................  3800  (\1\)
                                  '
SY2............................  3800  720
                                  '                    0'
SY3............................  3900  720
                                  '                    0'
SY4............................  3900  714
                                  '                    0'
SY5............................  3950  714
                                  '                    0'
USCA2..........................  3950  685
                                  '                    0'
SYT7...........................  4100  685
                                  '                    0'
SYT8...........................  4100  693
                                  '                    0'
SYT9...........................  4110  693
                                  '                    0'
SYT10..........................  4110  695
                                  '                    0'
SYT11..........................  4120  695
                                  '                    0'
SYT12..........................  4120  700
                                  '                    0'
SYT13..........................  (\2\)                700
                                                       0'
------------------------------------------------------------------------
\1\ East facing shoreline of Virginia.
\2\ South facing shoreline of Cape Cod, MA.

    (ii) Requirements. Vessels fishing in the SNE/MA Yellowtail 
Flounder Area are bound by the following requirements: (A) The vessel 
must possess on board a yellowtail flounder possession/landing 
authorization letter issued by the Regional Administrator. To obtain 
this exemption letter the vessel owner must make a request in writing 
to the Regional Administrator.
    (B) The vessel may not fish in the Cape Cod/GOM Yellowtail Flounder 
Area for a minimum of 7 consecutive days (when fishing with a limited 
access Handgear A permit, under the NE multispecies DAS program, or 
under the monkfish DAS program if the vessels is fishing under the 
limited access monkfish Category C or D permit provisions), unless 
otherwise specified in paragraph (g)(3) of this section. Vessels 
subject to these restrictions may fish any portion of the GB, SNE, and 
MA Regulated Mesh Areas outside of the Cape Cod/GOM Yellowtail Flounder 
Area, provided the vessel complies with the possession restrictions 
specified under this paragraph (g). Vessels subject to these 
restrictions may transit the Cape Cod/GOM Yellowtail Flounder Area, 
provided gear is stowed in accordance with Sec. 648.23(b).
    (C) During the period March through June, vessels may land or 
possess on board only up to 250 lb (113.6 kg) of yellowtail flounder 
per trip.
    (D) During the period July through February, vessels may land or 
possess

[[Page 4428]]

on board only up to 750 lb (340.2 kg) of yellowtail flounder per DAS, 
or any part of a DAS, up to a maximum possession limit of 3,000 lb 
(1,364.0 kg) per trip.
    (3) During the months of January, February, April, May, July 
through September, and December, when the yellowtail flounder trip 
limit requirements for the Cape Cod/GOM and SNE/MA Yellowtail Flounder 
Areas are the same, vessels that obtain a yellowtail flounder 
possession/landing letter of authorization as specified under 
paragraphs (g)(1)(ii)(A) and (g)(2)(ii)(A) of this section are not 
subject to the requirements specified under paragraphs (g)(1)(ii)(B) 
and (g)(2)(ii)(B) of this section.
    (h) Other possession restrictions. Vessels are subject to any other 
applicable possession limit restrictions of this part.
    16. Section 648.87 is revised to read as follows:


Sec. 648.87  Sector allocation.

    (a) Procedure for implementing Sector allocation proposal. (1) Any 
person may submit a Sector allocation proposal for a group of limited 
access NE multispecies vessels to the Council, at least 1 year in 
advance of the start of a sector, and request that the Sector be 
implemented through a framework procedure specified at Sec. 
648.90(a)(2), in accordance with the conditions and restrictions of 
this section.
    (2) Upon receipt of a Sector allocation proposal, the Council must 
decide whether to initiate such framework. Should a framework 
adjustment to authorize a Sector allocation proposal be initiated, the 
Council should follow the framework adjustment provisions of Sec. 
648.90(a)(2). Any framework adjustment developed to implement a Sector 
allocation proposal must be in compliance with the general requirements 
specified in paragraphs (b) and (c) of this section. Vessels that do 
not join a Sector would remain subject to the NE multispecies 
regulations for non-Sector vessels specified under this part.
    (b) General requirements applicable to all Sector allocations. (1) 
All Sectors approved under the provisions of paragraph (a) of this 
section must submit the documents specified under paragraphs (a)(1) and 
(b)(2) of this section, and comply with the conditions and restrictions 
of this paragraph (b)(1).
    (i) The framework adjustment must be based on either a TAC limit 
(hard TAC), or a maximum DAS usage limit for all vessels with a target 
TAC.
    (ii) A Sector shall be allocated no more than 20 percent of a 
stock's TAC, unless otherwise authorized by the Council.
    (iii) Allocation of catch or effort shall be based upon documented 
accumulated catch histories of the harvested stock(s) for each vessel 
electing to fish in a Sector, for the 5-year period prior to submission 
of a Sector allocation proposal to the Council. Documented catch shall 
be based on dealer landings reported to NMFS.
    (iv) Landings histories for Sectors formed to harvest GB cod during 
the period 2004 through 2007 shall be based on fishing years 1996 
through 2001.
    (v) The Sector allocation proposal must contain an appropriate 
analysis that assesses the impact of the proposed Sector, in compliance 
with the National Environmental Policy Act.
    (vi) Once a hard TAC allocated to a Sector is projected to be 
exceeded, Sector operations will be terminated for the remainder of the 
fishing year.
    (vii) Should a hard TAC allocated to a Sector be exceeded in a 
given fishing year, the Sector's allocation will be reduced by the 
overage in the following fishing year, and the Sector may be subject to 
enforcement action. If the Sector exceeds its TAC in more than 1 
fishing year, the Sector's share may be permanently reduced, or the 
Sector's authorization to operate may be withdrawn.
    (viii) If a hard or target TAC allocated to a Sector is not 
exceeded in a given fishing year, the Sector's allocation of TAC or DAS 
will not be reduced for the following fishing year as a result of an 
overage of a hard or target TAC by non-compliant Sectors or by non-
Sector vessels.
    (ix) Unless otherwise specified, all vessels fishing under an 
approved Sector must adhere to the following NE multispecies management 
measures: Permitting restrictions, reporting and recordkeeping 
requirements, gear restrictions designed to minimize habitat impacts, 
and year-round closed areas.
    (x) Approved Sectors must submit an annual year-end report to NMFS 
and the Council, within 60 days of the end of the fishing year, that 
summarizes the fishing activities of its members, including harvest 
levels of all federally managed species by Sector vessels, enforcement 
actions, and other relevant information required to evaluate the 
performance of the Sector.
    (xi) Once a vessel signs a binding contract to participate in a 
Sector, that vessel must remain in the Sector for the remainder of the 
fishing year.
    (xii) Vessels that fish under the DAS program outside the Sector 
allocation in a given fishing year may not participate in a Sector 
during that same fishing year, unless the Operations Plan provides an 
acceptable method for accounting for DAS used prior to implementation 
of the Sector.
    (xiii) Once a vessel has agreed to participate in a Sector as 
specified in paragraph (b)(1)(xi) of this section, that vessel must 
remain in the Sector for the entire fishing year. If a permit is 
transferred by a Sector participant during the fishing year, the new 
owner must also comply with the Sector regulations for the remainder of 
the fishing year.
    (xiv) Vessels removed from a Sector for violation of the Sector 
rules will not be eligible to fish under the NE multispecies 
regulations for non-Sector vessels specified under this part.
    (2) Operations Plan. Each Sector must submit an Operations Plan to 
the Regional Administrator at least 3 months prior to the beginning of 
each fishing year. The Operations Plan must contain at least the 
following elements:
    (i) A list of all parties, vessels, and vessel owners who will 
participate in the Sector;
    (ii) A contract signed by all Sector participants indicating their 
agreement to abide by the Operations Plan;
    (iii) The name of a designated representative or agent for service 
of process;
    (iv) If applicable, a plan for consolidation or redistribution of 
catch or effort, detailing the quantity and duration of such 
consolidation or redistribution of catch or effort within the Sector;
    (v) Historic information on the catch or effort history of the 
Sector participants, consistent with the requirements specified in 
paragraph (b) of this section, and any additional historic information 
specified in the framework adjustment;
    (vi) A plan and analysis of the specific management rules the 
Sector participants will agree to abide by in order to avoid exceeding 
the allocated TAC (or target TAC under a DAS allocation), including 
detailed plans for enforcement of the Sector rules, as well as detailed 
plans for the monitoring and reporting of landings and discards;
    (vii) A plan that defines the procedures by which members of the 
Sector that do not abide by the rules of the Sector will be disciplined 
or removed from the Sector, and a procedure for notifying NMFS of such 
expulsions from the Sector;
    (viii) If applicable, a plan of how the TAC or DAS allocated to the 
Sector is assigned to each vessel;
    (ix) If the Operations Plan is inconsistent with, or outside the 
scope

[[Page 4429]]

of the NEPA analysis associated with the Sector proposal/framework 
adjustment as specified in paragraph (b)(2)(v) of this section, a 
supplemental NEPA analysis may be required with the Operations Plan.
    (x) The sector and all participants in the sector would be jointly 
and severally liable for any violations of applicable Federal fishery 
regulations.
    (c) Approval of a Sector by the Regional Administrator. (1) Once 
the submission documents specified under paragraphs (a)(1) and (c)(1) 
of this section have been determined to comply with the requirements of 
this section, NMFS will solicit public comment on the Operations Plan 
for at least 15 days, through notification of a proposed rulemaking in 
the Federal Register.
    (2) Upon review of the public comments, the Regional Administrator, 
in consultation with the Council, may approve or disapprove Sector 
operations, through a final determination consistent with the 
Administrative Procedure Act.
    (d) Approved Sector allocation proposals--(1) GB Cod Hook Sector. 
Eligible NE multispecies DAS vessels, as specified in paragraph 
(e)(1)(ii) of this section, may participate in the GB Cod Hook Sector 
within the GB Cod Hook Sector Area, under the Sector's Operations Plan, 
provided the Operations Plan is approved by the Regional Administrator 
in accordance with paragraph (d) of this section, and all Sector 
participants comply with the requirements of the Operations Plan and 
the requirements of this section.
    (i) GB Cod Hook Sector Area (GBCHSA). The GBCHSA is defined by 
straight lines connecting the following points in the order stated 
(copies of a map depicting the area are available from the Regional 
Administrator upon request):

                    Georges Bank Cod Hook Sector Area
------------------------------------------------------------------------
             Point                     N. Lat.             W. Long.
------------------------------------------------------------------------
HS 1...........................  70 00'
HS 2...........................  70 00'               eq>20'
HS 3...........................  67 40'               eq>20'
HS 4...........................  67 40'               eq>10'
HS 5...........................  67 10'               eq>10'
HS 6...........................  67 10'               eq>00'
HS 7...........................  67 00'               eq>00'
HS 8...........................  67 00'               eq>50'
HS 9...........................  66 50'               eq>50'
HS 10..........................  66 50'               eq>40'
HS 11..........................  66 40'               eq>40'
HS 12..........................  66 40'               eq>30'
                                                       (intersection
                                                       with EEZ)
Follow the U.S. EEZ boundary
 south to HS13
HS 13..........................  66 44.3'             eq>30'
                                                       (intersection
                                                       with EEZ)
HS 14..........................  66 45.5'             eq>00'
HS 15..........................  71 40'               eq>00'
HS 16..........................  71 40'
------------------------------------------------------------------------
\1\ The east facing shoreline of Cape Cod, MA
\2\ The south facing shoreline of Rhode Island

    (ii) Eligibility. All vessels with a valid limited access NE 
multispecies DAS permit are eligible to participate in the GB Cod Hook 
Sector, provided they have documented landings through valid dealer 
reports submitted to NMFS of GB cod during the fishing years 1996 to 
2001 when fishing with jigs, demersal longline, or handgear.
    (iii) TAC allocation. For each fishing year, the Sector's 
allocation of that fishing year's GB cod TAC, up to a maximum of 20 
percent of the GB cod TAC, will be determined as follows:
    (A) Sum of the total accumulated landings of GB cod by vessels 
identified in the Sector's Operation Plan specified under paragraph 
(b)(1)(i) of this section, for the fishing years 1996 through 2001, 
when fishing with jigs, demersal longline, or handgear, as reported in 
the NMFS dealer database.
    (B) Sum of total accumulated landings of GB cod made by all NE 
multispecies vessels for the fishing years 1996 through 2001, as 
reported in the NMFS dealer database.
    (C) Divide the sum of total landings of Sector participants 
calculated in paragraph (d)(1)(iii)(A) of this section by the sum of 
total landings by all vessels calculated in paragraph (d)(1)(iii)(B) of 
this section. The resulting number represents the percentage of the 
total GB TAC allocated to the GB Cod Hook Sector for the fishing year 
in question.
    (iv) Requirements. A vessel fishing under the GB Cod Hook Sector 
may not fish with gear other than jigs, demersal longline, or handgear.
    17. Section 648.88 is revised to read as follows:


Sec. 648.88  Multispecies open access permit restrictions.

    (a) Handgear permit. A vessel issued a valid open access NE 
multispecies Handgear permit is subject to the following restrictions:
    (1) The vessel may possess and land up to 75 lb (34 kg) of cod and 
up to the landing and possession limit restrictions for other NE 
multispecies specified in Sec. 648.86, provided the vessel complies 
with the restrictions specified under paragraph (a)(2) of this section. 
Should the GOM cod trip limit specified under Sec. 648.86(b)(1) be 
adjusted in the future, the cod trip limit specified under this 
paragraph (a)(1) will be adjusted proportionally.
    (2) Restrictions:
    (i) The vessel may not use or possess on board gear other than 
handgear while in possession of, fishing for, or landing NE 
multispecies, and must have at least one standard tote on board;
    (ii) The vessel may not fish for, possess, or land regulated 
species from March 1 through March 20 of each year; and
    (iii) The vessel, if fishing with tub-trawl gear, may not fish with 
more than a maximum of 250 hooks.
    (b) Charter/party permit. A vessel that has been issued a valid 
open access NE multispecies charter/party permit is subject to the 
additional restrictions on gear, recreational minimum fish sizes, 
possession limits, and prohibitions on sale specified in Sec. 648.89, 
and any other applicable provisions of this part.
    (c) Scallop NE multispecies possession limit permit. A vessel that 
has been issued a valid open access scallop NE multispecies possession 
limit permit may possess and land up to 300 lb (136.1 kg) of regulated 
species when fishing under a scallop DAS allocated under Sec. 648.53, 
provided the vessel does not fish for, possess, or land haddock from 
January 1 through June 30, as specified under Sec. 648.86(a)(2)(i), and 
provided that the amount of yellowtail flounder on board the vessel 
does not exceed the trip limitations specified in Sec. 648.86(g), and 
provided the vessel has at least one standard tote on board.
    (d) Non-regulated NE multispecies permit. A vessel issued a valid 
open access non-regulated NE multispecies permit may possess and land 
one Atlantic halibut and unlimited amounts of the other non-regulated 
NE multispecies. The vessel is subject to restrictions on gear, area, 
and time of fishing specified in Sec. 648.80 and any other applicable 
provisions of this part.
    18. Section 648.89 is revised to read as follows:


Sec. 648.89  Recreational and charter/party vessel restrictions.

    (a) Recreational gear restrictions. Persons aboard charter or party 
vessels permitted under this part and not fishing under the DAS 
program, and

[[Page 4430]]

recreational fishing vessels in the EEZ, are prohibited from fishing 
with more than two hooks per line, and one line per angler, and must 
stow all other fishing gear on board the vessel as specified under Sec. 
648.23(b).
    (b) Recreational minimum fish sizes--(1) Minimum fish sizes. 
Persons aboard charter or party vessels permitted under this part and 
not fishing under the NE multispecies DAS program, and recreational 
fishing vessels in or possessing fish from the EEZ, may not possess 
fish smaller than the minimum fish sizes, measured in total length (TL) 
as follows:

  Minimum Fish Sizes (TL) for Charter, Party, and Private Recreational
                                 Vessels
------------------------------------------------------------------------
                Species                          Sizes  (inches)
------------------------------------------------------------------------
Cod....................................  22 (58.4 cm)
Haddock................................  19 (48.3 cm)
Pollock................................  19 (48.3 cm)
Witch flounder (gray sole).............  14 (35.6 cm)
Yellowtail flounder....................  13 (33.0 cm)
Atlantic halibut.......................  36 (91.4 cm)
American plaice (dab)..................  14 (35.6 cm)
Winter flounder (blackback)............  12 (30.5 cm)
Redfish................................  9 (22.9 cm)
------------------------------------------------------------------------

    (2) Exception. Vessels may possess fillets less than the minimum 
size specified, if the fillets are taken from legal-sized fish and are 
not offered or intended for sale, trade or barter.
    (c) Cod possession restrictions--(1) Recreational fishing vessels. 
(i) Each person on a private recreational vessel may possess no more 
than 10 cod per day, in, or harvested from, the EEZ.
    (ii) For purposes of counting fish, fillets will be converted to 
whole fish at the place of landing by dividing the number of fillets by 
two. If fish are filleted into a single (butterfly) fillet, such fillet 
shall be deemed to be from one whole fish.
    (iii) Cod harvested by recreational fishing vessels in or from the 
EEZ with more than one person aboard may be pooled in one or more 
containers. Compliance with the possession limit will be determined by 
dividing the number of fish on board by the number of persons on board. 
If there is a violation of the possession limit on board a vessel 
carrying more than one person, the violation shall be deemed to have 
been committed by the owner or operator of the vessel.
    (iv) Cod must be stored so as to be readily available for 
inspection.
    (2) Charter/party vessels. Charter/party vessels fishing any part 
of a trip in the GOM Regulated Mesh Area, as defined in Sec. 
648.80(a)(1), are subject to the following possession limit 
restrictions:
    (i) Each person on the vessel may possess no more than 10 cod per 
day.
    (ii) For purposes of counting fish, fillets will be converted to 
whole fish at the place of landing by dividing the number of fillets by 
two. If fish are filleted into a single (butterfly) fillet, such fillet 
shall be deemed to be from one whole fish.
    (iii) Cod harvested by charter/party vessels with more than one 
person aboard may be pooled in one or more containers. Compliance with 
the possession limits will be determined by dividing the number of fish 
on board by the number of persons on board. If there is a violation of 
the possession limits on board a vessel carrying more than one person, 
the violation shall be deemed to have been committed by the owner or 
operator of the vessel.
    (iv) Cod must be stored so as to be readily available for 
inspection.
    (3) Atlantic halibut. Charter and party vessels permitted under 
this part, and recreational fishing vessels fishing in the EEZ, may not 
possess, on board, more than one Atlantic halibut.
    (4) Accounting of daily trip limit. For the purposes of determining 
the per day trip limit for cod for recreational fishing vessels and 
party/charter vessels, any trip in excess of 15 hours and covering 2 
consecutive calendar days will be considered more than 1 day. 
Similarly, any trip in excess of 39 hours and covering 3 consecutive 
calendar days will be considered more than 2 days and, so on, in a 
similar fashion.
    (d) Restrictions on sale. It is unlawful to sell, barter, trade, or 
otherwise transfer for a commercial purpose, or to attempt to sell, 
barter, trade, or otherwise transfer for a commercial purpose, NE 
multispecies caught or landed by charter or party vessels permitted 
under this part not fishing under a DAS or a recreational fishing 
vessels fishing in the EEZ.
    (e) Charter/party vessel restrictions on fishing in GOM closed 
areas and the Nantucket Lightship Closed Area--(1) GOM Closed Areas. A 
vessel fishing under charter/party regulations may not fish in the GOM 
closed areas specified in Sec. 648.81(d)(1) through (f)(1) during the 
time periods specified in those paragraphs, unless the vessel has on 
board a letter of authorization issued by the Regional Administrator 
pursuant to Sec. 648.81(f)(2)(iii) and paragraph (e)(3) of this 
section. The letter of authorization is required for a minimum of 3 
months, if the vessel intends to fish in the seasonal GOM closure 
areas, or is required for the rest of the fishing year, beginning with 
the start of the participation period of the letter of authorization, 
if the vessel intends to fish in the year-round GOM closure areas.
    (2) Nantucket Lightship Closed Area. A vessel fishing under 
charter/party regulations may not fish in the Nantucket Lightship 
Closed Area specified in Sec. 648.81(c)(1) unless the vessel has on 
board a letter of authorization issued by the Regional Administrator 
pursuant to Sec. 648.81(c)(2)(iii) and paragraph (e)(3) of this 
section.
    (3) Letters of authorization. To obtain either of the letters of 
authorization specified in paragraphs (e)(1) and (2) of this section, a 
vessel owner must request a letter from the Northeast Regional Office 
of NMFS, either in writing or by phone (see Table 1 to 50 CFR 600.502). 
As a condition of these letters of authorization, the vessel owner must 
agree to the following:
    (i) The letter of authorization must be carried on board the vessel 
during the period of participation;
    (ii) Fish harvested or possessed by the vessel may not be sold or 
intended for trade, barter or sale, regardless of where the fish are 
caught;
    (iii) The vessel has no gear other than rod and reel or handline 
gear on board; and
    (iv) For the GOM charter/party closed area exemption only, the 
vessel may not use any NE multispecies DAS during the period of 
participation.
    19. Section 648.90 is revised to read as follows:


Sec. 648.90  NE multispecies assessment and framework procedures and 
specifications.

    For the NE multispecies framework specification process described 
in this section, starting in fishing year 2004, the large-mesh species, 
halibut and ocean pout biennial review (referred to as NE multispecies) 
is considered a separate process from the small-mesh species annual 
review, as described under paragraphs (a)(2) and (b), respectively, of 
this section.
    (a) NE multispecies. (1) NE Multispecies annual SAFE Report. The NE 
Multispecies Plan Development Team (PDT) shall prepare an annual Stock 
Assessment and Fishery Evaluation (SAFE) Report for the NE multispecies 
fishery. The SAFE Report shall be the primary vehicle for the 
presentation of all updated biological and socio-economic information 
regarding the NE multispecies complex and its associated fisheries. The 
SAFE report shall provide source data for any adjustments to the 
management measures that may be needed to

[[Page 4431]]

continue to meet the goals and objectives of the FMP.
    (2) Biennial review. (i) Beginning in 2005, the NE Multispecies PDT 
shall meet on or before September 30 every other year, unless otherwise 
specified in paragraph (a)(3) of this section, under the conditions 
specified in that paragraph, to perform a review of the fishery, using 
the most current scientific information available provided primarily 
from the NEFSC. Data provided by states, ASMFC, the USCG, and other 
sources may also be considered by the PDT. Based on this review, the 
PDT will develop target TACs for the upcoming fishing year(s) and 
develop options for Council consideration, if necessary, on any 
changes, adjustments, or additions to DAS allocations, closed areas, or 
on other measures necessary to achieve the FMP goals and objectives. 
For the 2005 biennial review, an updated groundfish assessment, peer-
reviewed by independent scientists, will be conducted to facilitate the 
PDT review for the biennial adjustment, if needed, for the 2006 fishing 
year. Amendment 13 biomass and fishing mortality targets may not be 
modified by the 2006 biennial adjustment unless review of all valid 
pertinent scientific work during the 2005 review process justifies 
consideration.
    (ii) The PDT shall review available data pertaining to: Catch and 
landings, discards, DAS, DAS use, and other measures of fishing effort, 
survey results, stock status, current estimates of fishing mortality, 
social and economic impacts, enforcement issues, and any other relevant 
information.
    (iii) Based on this review, the PDT shall recommend target TACs and 
develop options necessary to achieve the FMP goals and objectives, 
which may include a preferred option. The PDT must demonstrate through 
analyses and documentation that the options they develop are expected 
to meet the FMP goals and objectives. The PDT may review the 
performance of different user groups or fleet Sectors in developing 
options. The range of options developed by the PDT may include any of 
the management measures in the FMP, including, but not limited to: 
Target TACs, which must be based on the projected fishing mortality 
levels required to meet the goals and objectives outlined in the FMP 
for the 10 regulated species, Atlantic halibut (if able to be 
determined), and ocean pout; DAS changes; possession limits; gear 
restrictions; closed areas; permitting restrictions; minimum fish 
sizes; recreational fishing measures; description and identification of 
EFH; fishing gear management measures to protect EFH; and designation 
of habitat areas of particular concern within EFH. In addition, the 
following conditions and measures may be adjusted through future 
framework adjustments: Revisions to status determination criteria, 
including, but not limited to, changes in the target fishing mortality 
rates, minimum biomass thresholds, numerical estimates of parameter 
values, and the use of a proxy for biomass; DAS allocations (such as 
the category of DAS under the DAS reserve program, etc.) and DAS 
baselines, etc.; modifications to capacity measures, such as changes to 
the DAS transfer or DAS leasing measures; calculation of area-specific 
TACs, area management boundaries, and adoption of area-specific 
management measures; Sector allocation requirements and specifications, 
including establishment of a new Sector; measures to implement the 
U.S./Canada Resource Sharing Understanding, including any specified 
TACs (hard or target); changes to administrative measures; additional 
uses for Regular B DAS; future uses for C DAS; reporting requirements; 
the GOM Inshore Conservation and Management Stewardship Plan; GB Cod 
Gillnet Sector allocation; allowable percent of TAC available to a 
Sector through a Sector allocation; categorization of DAS; DAS leasing 
provisions; adjustments for steaming time; adjustments to the Handgear 
A permit; gear requirements to improve selectivity, reduce bycatch, 
and/or reduce impacts of the fishery on EFH; SAP modifications; and any 
other measures currently included in the FMP.
    (iv) The Council shall review the recommended target TACs 
recommended by the PDT and all of the options developed by the PDT, and 
other relevant information, consider public comment, and develop a 
recommendation to meet the FMP objective pertaining to regulated 
species, Atlantic halibut and ocean pout that is consistent with other 
applicable law. If the Council does not submit a recommendation that 
meets the FMP objectives and is consistent with other applicable law, 
the Regional Administrator may adopt any option developed by the PDT, 
unless rejected by the Council, as specified in paragraph (a)(1)(vii) 
of this section, provided the option meets the FMP objectives and is 
consistent with other applicable law.
    (v) Based on this review, the Council shall submit a recommendation 
to the Regional Administrator of any changes, adjustments or additions 
to DAS allocations, closed areas or other measures necessary to achieve 
the FMP's goals and objectives. The Council shall include in its 
recommendation supporting documents, as appropriate, concerning the 
environmental and economic impacts of the proposed action and the other 
options considered by the Council.
    (vi) If the Council submits, on or before December 1, a 
recommendation to the Regional Administrator after one Council meeting, 
and the Regional Administrator concurs with the recommendation, the 
Regional Administrator shall publish the Council's recommendation in 
the Federal Register as a proposed rule with a 30-day public comment 
period. The Council may instead submit its recommendation on or before 
February 1, if it chooses to follow the framework process outlined in 
paragraph (c) of this section, and requests that the Regional 
Administrator publish the recommendation as a final rule, consistent 
with the Administrative Procedure Act. If the Regional Administrator 
concurs that the Council's recommendation meets the FMP objectives and 
is consistent with other applicable law, and determines that the 
recommended management measures should be published as a final rule, 
the action will be published as a final rule in the Federal Register, 
consistent with the Administrative Procedure Act. If the Regional 
Administrator concurs that the recommendation meets the FMP objectives 
and is consistent with other applicable law and determines that a 
proposed rule is warranted, and, as a result, the effective date of a 
final rule falls after the start of the fishing year on May 1, fishing 
may continue. However, DAS used by a vessel on or after May 1 will be 
counted against any DAS allocation the vessel ultimately receives for 
that year.
    (vii) If the Regional Administrator concurs in the Council's 
recommendation, a final rule shall be published in the Federal Register 
on or about April 1 of each year, with the exception noted in paragraph 
(a)(2)(vi) of this section. If the Council fails to submit a 
recommendation to the Regional Administrator by February 1 that meets 
the FMP goals and objectives, the Regional Administrator may publish as 
a proposed rule one of the options reviewed and not rejected by the 
Council, provided that the option meets the FMP objectives and is 
consistent with other applicable law. If, after considering public 
comment, the Regional Administrator decides to approve the option 
published as a

[[Page 4432]]

proposed rule, the action will be published as a final rule in the 
Federal Register.
    (3) Review in 2008 for the 2009 fishing year. In addition to the 
biennial review specified in paragraph (a)(2) of this section, the PDT 
shall meet to conduct a review of the groundfish fishery by September 
2008 for the purposes of determining the need for a framework action 
for the 2009 fishing year. For the 2008 review, a benchmark assessment, 
peer-reviewed by independent scientists, will be completed for each of 
the regulated multispecies stocks and for Atlantic halibut and ocean 
pout. The interim biomass targets specified in the FMP will be 
evaluated during this benchmark assessment to evaluate the efficacy of 
the rebuilding program. Based on findings from the benchmark 
assessment, a determination will be made as to whether the FMP biomass 
targets appear to be appropriate, or whether they should be increased 
or decreased, in conformance with the best scientific information 
available.
    (b) Small mesh species.--(1) Annual review. The Whiting Monitoring 
Committee (WMC) shall meet separately on or before November 15 of each 
year to develop options for Council consideration on any changes, 
adjustments, closed areas, or other measures necessary to achieve the 
NE Multispecies FMP goals and objectives.
    (i) The WMC shall review available data pertaining to: Catch and 
landings, discards, and other measures of fishing effort, survey 
results, stock status, current estimates of fishing mortality, and any 
other relevant information.
    (ii) The WMC shall recommend management options necessary to 
achieve FMP goals and objectives pertaining to small-mesh multispecies, 
which may include a preferred option. The WMC must demonstrate through 
analyses and documentation that the options it develops are expected to 
meet the FMP goals and objectives. The WMC may review the performance 
of different user groups or fleet Sectors in developing options. The 
range of options developed by the WMC may include any of the management 
measures in the FMP, including, but not limited to: Annual target TACs, 
which must be based on the projected fishing mortality levels required 
to meet the goals and objectives outlined in the FMP for the small-mesh 
multispecies; possession limits; gear restrictions; closed areas; 
permitting restrictions; minimum fish sizes; recreational fishing 
measures; description and identification of EFH; fishing gear 
management measures to protect EFH; designation of habitat areas of 
particular concern within EFH; and any other management measures 
currently included in the FMP.
    (iii) The Council shall review the recommended target TACs 
recommended by the PDT and all of the options developed by the WMC, and 
other relevant information, consider public comment, and develop a 
recommendation to meet the FMP objectives pertaining to small-mesh 
multispecies that is consistent with other applicable law. If the 
Council does not submit a recommendation that meets the FMP objectives 
and that is consistent with other applicable law, the Regional 
Administrator may adopt any option developed by the WMC, unless 
rejected by the Council, as specified in paragraph (b)(1)(vi) of this 
section, provided the option meets the FMP objectives and is consistent 
with other applicable law.
    (iv) Based on this review, the Council shall submit a 
recommendation to the Regional Administrator of any changes, 
adjustments or additions to closed areas or other measures necessary to 
achieve the FMP's goals and objectives. The Council shall include in 
its recommendation supporting documents, as appropriate, concerning the 
environmental and economic impacts of the proposed action and the other 
options considered by the Council.
    (v) If the Council submits, on or before January 7, a 
recommendation to the Regional Administrator after one Council meeting, 
and the Regional Administrator concurs with the recommendation, the 
Regional Administrator shall publish the Council's recommendation in 
the Federal Register as a proposed rule with a 30-day public comment 
period. The Council may instead submit its recommendation on or before 
February 1, if it chooses to follow the framework process outlined in 
paragraph (b)(2) of this section and requests that the Regional 
Administrator publish the recommendation as a final rule, consistent 
with the Administrative Procedure Act. If the Regional Administrator 
concurs that the Council's recommendation meets the FMP objective and 
is consistent with other applicable law, and determines that the 
recommended management measures should be published as a final rule, 
the action will be published as a final rule in the Federal Register, 
consistent with the Administrative Procedure Act. If the Regional 
Administrator concurs that the recommendation meets the FMP objective 
and is consistent with other applicable law and determines that a 
proposed rule is warranted, and, as a result, the effective date of a 
final rule falls after the start of the fishing year on May 1, fishing 
may continue.
    (vi) If the Regional Administrator concurs in the Council's 
recommendation, a final rule shall be published in the Federal Register 
on or about April 1 of each year, with the exception noted in paragraph 
(b)(1)(vi) of this section. If the Council fails to submit a 
recommendation to the Regional Administrator by February 1 that meets 
the FMP goals and objectives, the Regional Administrator may publish as 
a proposed rule one of the options reviewed and not rejected by the 
Council, provided that the option meets the FMP objectives and is 
consistent with other applicable law. If, after considering public 
comment, the Regional Administrator decides to approve the option 
published as a proposed rule, the action will be published as a final 
rule in the Federal Register.
    (c) Within season management action for NE multispecies, including 
small-mesh NE multispecies. The Council may, at any time, initiate 
action to add or adjust management measures if it finds that action is 
necessary to meet or be consistent with the goals and objectives of the 
NE Multispecies FMP, to address gear conflicts, or to facilitate the 
development of aquaculture projects in the EEZ. This procedure may also 
be used to modify FMP overfishing definitions and fishing mortality 
targets that form the basis for selecting specific management measures.
    (1) Adjustment process. (i) After a management action has been 
initiated, the Council shall develop and analyze appropriate management 
actions over the span of at least two Council meetings. The Council 
shall provide the public with advance notice of the availability of 
both the proposals and the analyses and opportunity to comment on them 
prior to and at the second Council meeting. The Council's 
recommendation on adjustments or additions to management measures, 
other than to address gear conflicts, must come from one or more of the 
following categories: DAS changes, effort monitoring, data reporting, 
possession limits, gear restrictions, closed areas, permitting 
restrictions, crew limits, minimum fish sizes, onboard observers, 
minimum hook size and hook style, the use of crucifiers in the hook-
gear fishery, fleet Sector shares, recreational fishing measures, area 
closures and other appropriate measures to mitigate marine mammal 
entanglements and interactions, description and identification of EFH, 
fishing gear management measures to

[[Page 4433]]

protect EFH, designation of habitat areas of particular concern within 
EFH, and any other management measures currently included in the FMP. 
In addition, the Council's recommendation on adjustments or additions 
to management measures pertaining to small-mesh NE multispecies, other 
than to address gear conflicts, must come from one or more of the 
following categories: Quotas and appropriate seasonal adjustments for 
vessels fishing in experimental or exempted fisheries that use small 
mesh in combination with a separator trawl/grate (if applicable), 
modifications to separator grate (if applicable) and mesh 
configurations for fishing for small-mesh NE multispecies, adjustments 
to whiting stock boundaries for management purposes, adjustments for 
fisheries exempted from minimum mesh requirements to fish for small-
mesh NE multispecies (if applicable), season adjustments, declarations, 
and participation requirements for the Cultivator Shoal Whiting Fishery 
Exemption Area.
    (ii) Adjustment process for whiting TACs and DAS. The Council may 
develop recommendations for a whiting DAS effort reduction program or a 
whiting TAC through the framework process outlined in paragraph (c) of 
this section only if these options are accompanied by a full set of 
public hearings that span the area affected by the proposed measures in 
order to provide adequate opportunity for public comment.
    (2) Adjustment process for gear conflicts. The Council may develop 
a recommendation on measures to address gear conflicts as defined under 
50 CFR 600.10, in accordance with the procedures specified in Sec. 
648.55(d) and (e).
    (3) Council recommendation. After developing management actions and 
receiving public testimony, the Council shall make a recommendation to 
the Regional Administrator. The Council's recommendation must include 
supporting rationale and, if management measures are recommended, an 
analysis of impacts and a recommendation to the Regional Administrator 
on whether to issue the management measures as a final rule, consistent 
with the Administrative Procedure Act. If the Council recommends that 
the management measures should be issued as a final rule, the Council 
must consider at least the following factors and provide support and 
analysis for each factor considered:
    (i) Whether the availability of data on which the recommended 
management measures are based allows for adequate time to publish a 
proposed rule, and whether regulations have to be in place for an 
entire harvest/fishing season.
    (ii) Whether there has been adequate notice and opportunity for 
participation by the public and members of the affected industry in the 
development of the Council's recommended management measures.
    (iii) Whether there is an immediate need to protect the resource.
    (iv) Whether there will be a continuing evaluation of management 
measures adopted following their implementation as a final rule.
    (4) Regional Administrator action. If the Council's recommendation 
includes adjustments or additions to management measures, after 
reviewing the Council's recommendation and supporting information:
    (i) If the Regional Administrator concurs with the Council's 
recommended management measures and determines that the recommended 
management measures should be issued as a final rule, based on the 
factors specified in paragraph (c)(3) of this section, the measures 
will be issued as a final rule in the Federal Register, consistent with 
the Administrative Procedure Act.
    (ii) If the Regional Administrator concurs with the Council's 
recommendation and determines that the recommended management measures 
should be published first as a proposed rule, the measures will be 
published as a proposed rule in the Federal Register. After additional 
public comment, if the Regional Administrator concurs with the 
Council's recommendation, the measures will be issued as a final rule 
in the Federal Register.
    (iii) If the Regional Administrator does not concur, the Council 
will be notified in writing of the reasons for the non-concurrence.
    (d) Nothing in this section is meant to derogate from the authority 
of the Secretary to take emergency action and interim measures under 
section 305(c) of the Magnuson-Stevens Act.
    20. In Sec. 648.92, paragraph (b)(2)(ii) is revised and paragraph 
(b)(2)(iii) is added to read as follows:


Sec. 648.92  Effort-control program for monkfish limited access 
vessels.

* * * * *
    (b) * * *
    (2) * * *
    (ii) Unless otherwise specified in paragraph (b)(2)(iii) of this 
section, each monkfish DAS used by a limited access NE multispecies or 
scallop vessel holding a Category C or D limited access monkfish permit 
shall also be counted as a NE multispecies or scallop DAS, as 
applicable, except when a Category C or D vessel that has an allocation 
of NE multispecies DAS under Sec. 648.82(d) that is less than the 
number of monkfish DAS allocated for the fishing year May 1 through 
April 30, that vessel may fish under the monkfish limited access 
Category A or B provisions, as applicable, for the number of DAS that 
equal the difference between the number of its allocated monkfish DAS 
and the number of its allocated NE multispecies DAS. For such vessels, 
when the total allocation of NE multispecies DAS has been used, a 
monkfish DAS may be used without concurrent use of a NE multispecies 
DAS. (For example, if a monkfish Category D vessel's NE multispecies 
DAS allocation is 30, and the vessel fished 30 monkfish DAS, 30 NE 
multispecies DAS would also be used. However, after all 30 NE 
multispecies DAS are used, the vessel may utilize its remaining 10 
monkfish DAS to fish on monkfish, without a NE multispecies DAS being 
used, provided that the vessel fishes under the regulations pertaining 
to a Category B vessel and does not retain any regulated NE 
multispecies.)
    (iii) Category C and D vessels that lease NE multispecies DAS. (A) 
A monkfish Category C or D vessel that has ``monkfish-only'' DAS, as 
specified in paragraph (b)(2)(ii) of this section, and that leases NE 
multispecies DAS from another vessel pursuant to Sec. 648.82(k), is 
required to fish its available ``monkfish-only'' DAS in conjunction 
with its leased NE multispecies DAS, to the extent that the vessel has 
NE multispecies DAS available.
    (B) A monkfish Category C or D vessel which leases DAS to another 
vessel(s), pursuant to Sec. 648.82(k), is required to forfeit a 
monkfish DAS for each NE multispecies DAS that the vessel leases, equal 
in number to the difference between the number of remaining 
multispecies DAS and the number of unused monkfish DAS at the time of 
the lease. For example, if a lessor vessel, which had 40 unused 
monkfish DAS and 47 allocated multispecies DAS, leased 10 of its 
multispecies DAS, the lessor would forfeit 3 of its monkfish DAS (40 
monkfish DAS - 37 multispecies DAS = 3) because it would have 3 fewer 
multispecies DAS than monkfish DAS after the lease.
* * * * *
    21. In Section 648.94, paragraph (f) is revised to read as follows:

[[Page 4434]]

Sec. 648.94  Monkfish possession and landing restrictions.

* * * * *
    (f) Area declaration requirement for vessels fishing exclusively in 
the NFMA. Vessels fishing under a multispecies, scallop, or monkfish 
DAS under the less restrictive management measures of the NFMA, must 
fish for monkfish exclusively in the NFMA and declare into the NFMA for 
a period of not less than 7 days by obtaining a letter of authorization 
from the Regional Administrator. A vessel that has not declared into 
the NFMA under this paragraph (f) shall be presumed to have fished in 
the SFMA and shall be subject to the more restrictive requirements of 
that area. A vessel that has declared into the NFMA may transit the 
SFMA, providing that it complies with the transiting and gear storage 
provision described in paragraph (e) of this section, and provided that 
it does not fish for or catch monkfish, or any other fish, in the SFMA.
* * * * *
    22. In Section 648.322, paragraph (b)(6) is revised to read as 
follows:


Sec. 648.322  Skate possession and landing restrictions.

* * * * *
    (b) * * *
    (6) Skate bait-only possession limit LOA--The vessel owner or 
operator possesses and lands skates in compliance with this subpart for 
a minimum of 7 days.
* * * * *
[FR Doc. 04-1541 Filed 1-27-04; 8:45 am]
BILLING CODE 3510-22-P