[Federal Register Volume 71, Number 109 (Wednesday, June 7, 2006)]
[Proposed Rules]
[Pages 33040-33099]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-5104]



[[Page 33039]]

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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 679



Fisheries of the Exclusive Economic Zone Off Alaska; Allocating Gulf of 
Alaska Fishery Resources; Proposed Rule

  Federal Register / Vol. 71, No. 109 / Wednesday, June 7, 2006 / 
Proposed Rules  

[[Page 33040]]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

50 CFR Part 679

[Docket No. 060511126-6126-01; I.D. 050306E]
RIN 0648-AT71


Fisheries of the Exclusive Economic Zone Off Alaska; Allocating 
Gulf of Alaska Fishery Resources

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 issues a proposed rule to Amendment 68 to the Fishery 
Management Plan for Groundfish of the Gulf of Alaska (FMP). This action 
would implement statutory provisions for the Central Gulf of Alaska 
Rockfish Pilot Program (hereinafter referred to as the Program). This 
proposed action is necessary to increase resource conservation and 
improve economic efficiency for harvesters and processors who 
participate in the fishery. This action is intended to promote the 
goals and objectives of the Magnuson-Stevens Fishery Conservation and 
Management Act (Magnuson-Stevens Act), the FMP, and other applicable 
law.

DATES: Comments must be received no later than July 24, 2006.

ADDRESSES: Send comments to Sue Salveson, Assistant Regional 
Administrator, Sustainable Fisheries Division, Alaska Region, NMFS, 
Attn: Records Office. Comments may be submitted by:
     Mail: P.O. Box 21668, Juneau, AK 99802.
     Hand Delivery to the Federal Building: 709 West 9th 
Street, Room 420A, Juneau, AK.
     Fax: 907-586-7557.
     E-mail: [email protected]. Include in the 
subject line of the e-mail the following document identifier: Central 
Gulf Rockfish RIN 0648-AT71. E-mail comments, with or without 
attachments, are limited to 5 megabytes.
     Web form at the Federal eRulemaking Portal: 
www.regulations.gov. Follow the instructions at that site for 
submitting comments.
    Written comments regarding the burden-hour estimates or other 
aspects of the collection-of-information requirements contained in this 
proposed rule may be submitted to NMFS (see ADDRESSES) and by e-mail at 
[email protected] or by fax to 202-395-7285.
    Copies of Amendment 68 and the Environmental Assessment/Regulatory 
Impact Review/Initial Regulatory Flexibility Analysis (EA/RIR/IRFA) for 
this action may be obtained from the NMFS Alaska Region at the address 
above or from the Alaska Region Web site at http://www.fakr.noaa.gov/sustainablefisheries.htm.

FOR FURTHER INFORMATION CONTACT: Glenn Merrill, 907-586-7228 or 
[email protected].

SUPPLEMENTARY INFORMATION: NMFS manages Gulf of Alaska (GOA) groundfish 
fisheries through the authority of the Magnuson-Stevens Act. Congress 
granted NMFS specific statutory authority to manage Central GOA 
rockfish fisheries in Section 802 of the Consolidated Appropriations 
Act of 2004 (Pub. L. 108-199; Section 802). In Section 802, Congress 
required the North Pacific Fishery Management (Council) to establish 
the Program with specific provisions. The Program was developed and 
recommended by the Council to meet the requirements of Section 802, 
which states:

    SEC. 802. GULF OF ALASKA ROCKFISH DEMONSTRATION PROGRAM. The 
Secretary of Commerce, in consultation with the North Pacific 
Fishery Management Council, shall establish a pilot program that 
recognizes the historic participation of fishing vessels (1996 to 
2002, best 5 of 7 years) and historic participation of fish 
processors (1996 to 2000, best 4 of 5 years) for Pacific ocean 
perch, northern rockfish, and pelagic shelf rockfish harvested in 
Central Gulf of Alaska. Such a pilot program shall (1) provide for a 
set-aside of up to 5 percent for the total allowable catch of such 
fisheries for catcher vessels not eligible to participate in the 
pilot program, which shall be delivered to shore-based fish 
processors not eligible to participate in the pilot program; (2) 
establish catch limits for non-rockfish species and non-target 
rockfish species currently harvested with Pacific ocean perch, 
northern rockfish, and pelagic shelf rockfish, which shall be based 
on historical harvesting of such bycatch species. The pilot program 
will sunset when a Gulf of Alaska Groundfish comprehensive 
rationalization plan is authorized by the Council and implemented by 
the Secretary, or 2 years from date of implementation, whichever is 
earlier.

    The Council adopted the proposed Program on June 6, 2005. This 
proposed action would meet the requirements of Section 802 by 
considering harvesting activities from 1996 until 2002 and historic 
processing activities from 1996 until 2000. The Program would recognize 
the historic participation of fishing vessels by allowing harvesters 
delivering onshore to form cooperatives and to receive an exclusive 
annual harvest privilege for those cooperatives. The Program would 
recognize the historic participation of processors by requiring 
cooperatives to form in association with a processor, effectively 
recognizing processors with processing activities during the historic 
period established in Section 802.
    NOAA General Counsel reviewed Section 802 and in a February 3, 2005 
legal opinion to the Council concluded that:

    (1) Section 802 requires the Secretary of Commerce (Secretary) 
and the Council to recognize the historic participation of fishing 
vessels and fish processors for specific time periods, geographical 
areas, and rockfish species when establishing the [Program]; and (2) 
Section 802 does not authorize recognition of the historic 
participation of fishing vessels or processors in years other than 
those specified in Section 802. Further, Section 802 defines the 
range of years, but does not specify that a processor must have 
actually processed in each of those years in order to be eligible to 
participate in the [Program].

    The opinion by NOAA General Counsel noted further that:

    Section 802 authorizes the Council and Secretary to develop a 
program that would establish ``[American Fisheries Act(AFA)]-style'' 
cooperatives or a program that would establish limited entry 
licenses for processors in the CGOA rockfish fishery. However, 
Section 802 does not authorize the establishment of processor shares 
since they are prohibited under Section 802 of the [Consolidated 
Appropriations Act of 2004]. The legislative history supports the 
position that the Council is authorized to consider a broad range of 
``appropriate'' management schemes, including ``AFA-style'' 
cooperatives, which are specifically mentioned in the legislative 
history. * * *

    The Council considered the Congressional guidance in the 
development of the Program, particularly in the selection of specific 
years on which to base participation, and for the ``recognition'' of 
processor participation. While NMFS does not have specific authority 
under the Magnuson-Stevens Act to directly regulate on-shore processing 
activities, Section 802 requires NMFS to regulate on-shore processors 
under this Program.
    Concurrent with the enactment of Pub. L. 108-199, Section 802, in 
2004, industry representatives for harvesters and processors developed 
proposed elements for the Program and vetted those alternatives, 
elements, and options and submitted them to the Council for 
consideration. The Council and NMFS prepared analytical documents (EA/
RIR/IRFA) for the

[[Page 33041]]

Program that reviewed alternative methods to improve the economic 
efficiency in the Central GOA fisheries. These included: Status quo 
management under the License Limitation Program (LLP); the formation of 
harvester cooperatives that would receive an exclusive annual harvest 
privilege that did not require linkage with a specific processor but 
that established a limited number of eligible processors; and the 
preferred alternative, which would permit the formation of harvester 
cooperatives that must be formed in association with a qualified 
processor, and that would receive an exclusive annual harvest 
privilege.
    Currently, rockfish fisheries, and many other groundfish fisheries, 
are managed under the LLP. The LLP requires harvesters to possess an 
LLP license to participate in GOA fisheries, but does not provide 
specific exclusive harvest privileges to LLP holders. Harvesters with 
LLP licenses compete with each other for the total allowable catch 
(TAC) assigned to the fishery. This competition creates economic 
inefficiencies. Harvesters increase the fishing capacity of their 
vessels to outcompete other vessels. This results in an accelerated 
rate of fishing as fishermen race to harvest more fish than their 
competitors. Similarly, processors increase their processing capacity 
to outcompete other processors. These incentives to increase harvesting 
and processing capacity reduce the ability of harvesters and processors 
to extract additional value from the fishery products because the TAC 
is harvested and processed quickly. This rapid pace provides few 
opportunities to focus on quality or produce product forms that require 
additional time but yield greater value.

Central GOA Rockfish Pilot Program Overview

    The Program was developed by trawl industry representatives, 
primarily from Kodiak, Alaska, in conjunction with catcher/processor 
representatives. They sought to improve the economic efficiency of the 
Central GOA rockfish fisheries by developing a program that would 
establish cooperatives that would receive exclusive harvest privileges. 
These rockfish fisheries are almost exclusively harvested by trawl 
vessels in Federal waters.
    This proposed rule would implement the Program as developed by the 
Council. The Program would be authorized for two years, from January 1, 
2007, until December 31, 2008. The Program would provide exclusive 
harvesting and processing privileges for a specific set of rockfish 
species and for associated species harvested incidentally to those 
rockfish in the Central GOA--an area from 147[deg] W. long. to 159[deg] 
W. long.
    The rockfish species for which exclusive harvesting and processing 
privileges would be allocated under the Program are the primary 
rockfish species. The primary rockfish species are northern rockfish, 
Pacific ocean perch, and pelagic shelf rockfish. The species 
incidentally harvested by vessels during rockfish fisheries in the 
Central GOA are the secondary species. The secondary species managed 
under this Program for which an exclusive harvesting and processing 
privilege would be allocated include: Pacific cod, rougheye rockfish, 
shortraker rockfish, sablefish, and thornyhead rockfish.
    The Program would also allocate a portion of the total GOA halibut 
mortality limit to participants based on historic halibut mortality 
rates in the primary rockfish species fisheries. Halibut caught by 
trawl gear is considered to be a prohibited species catch (PSC) and may 
not be retained or sold under regulations established under the 
authority of the Northern Pacific Halibut Act of 1982. However, the 
Program would provide participants a fixed amount of incidental halibut 
mortality for use through an allocation of halibut bycatch, 
specifically an allocation of the halibut mortality limit. Halibut is 
incidentally caught and killed in a number of the primary rockfish 
species and secondary species fisheries. The Program would account for 
this halibut mortality by providing a portion of the GOA halibut 
mortality limit to Program participants. To maintain consistency with 
terms currently used by NMFS and the fishing industry, this halibut 
mortality limit would be called a halibut PSC limit.
    The Program would allocate harvest privileges to holders of LLP 
licenses with a history of Central GOA rockfish landings associated 
with those licenses. The allocation of legal landings to an LLP license 
would allow the holder of that LLP license to participate in the 
Program and receive an exclusive harvest privilege under certain 
conditions. Specifically, the Program would:
    1. Assign quota share (QS) for primary rockfish species to an LLP 
license with a trawl gear designation in the Central GOA. The Program 
would assign QS to an LLP license based on the legal landings of 
primary rockfish species associated with that LLP license. A person 
could receive this QS if the LLP license had a history of primary 
rockfish species landings during a specific time period associated with 
the license and the person holding the LLP license met other 
eligibility requirements. Once QS was assigned to a specific LLP 
license it could not be divided or transferred separately from that LLP 
license. On an annual basis, a LLP holder would assign the LLP license 
and QS assigned to that LLP license for use in a rockfish cooperative, 
limited access fishery, or opt-out fishery.
    2. Establish eligibility criteria for processors to have an 
exclusive privilege to receive and process primary rockfish species and 
secondary species allocated to harvesters in this Program.
    3. Allow a person holding a LLP license with QS to form a rockfish 
cooperative with other persons (i.e., harvesters) on an annual basis. 
Rockfish cooperatives would receive an annual cooperative fishing quota 
(CFQ), which would be a dedicated amount of primary rockfish species 
and secondary species that the rockfish cooperative could harvest in a 
given year. Rockfish cooperatives also would receive an annual CFQ that 
would be a limit on the amount of halibut PSC the cooperative could use 
while prosecuting its primary rockfish species and secondary species 
CFQ. The amount of CFQ assigned to a cooperative would be based on the 
sum of the QS held by all the harvesters participating in the rockfish 
cooperative. A rockfish cooperative could form only under specific 
conditions. A person holding a LLP license that allows them to catch 
and process their catch at sea (catcher/processor vessel LLP) could 
form a rockfish cooperative with other persons holding catcher/
processor LLP licenses. A person holding a LLP license that allows them 
only to deliver their catch onshore (catcher vessel LLP) could only 
form a rockfish cooperative with other persons holding catcher vessel 
LLP licenses and only in association with the processor to whom those 
persons have historically delivered most of their catch.
    4. Allow rockfish cooperatives to transfer all or part of their CFQ 
to other rockfish cooperatives, with some restrictions.
    5. Provide an opportunity for a person not in a rockfish 
cooperative, but who holds an LLP license with QS, to fish in a limited 
access fishery. NMFS would not allocate a specific amount of fish to a 
specific harvester in the limited access fishery. All harvesters in the 
limited access fishery would compete with all other such harvesters to 
catch the TAC assigned to the limited access fishery. The TAC assigned 
to the limited access fishery would represent the total amount of fish 
assigned to all the

[[Page 33042]]

persons with LLP licenses designated for the limited access fishery.
    6. Establish a small entry level fishery for Central GOA rockfish 
for harvesters and processors not eligible to receive QS under this 
Program.
    7. Allow holders of catcher/processor LLP licenses to opt-out of 
the Program, with certain limitations.
    8. Limit the ability of processors to process catch outside the 
communities in which they have traditionally processed primary rockfish 
species and associated secondary species.
    9. Establish catch limits, commonly called ``sideboards,'' to limit 
the ability of participants eligible for this Program to harvest fish 
in fisheries other than the Central GOA rockfish fisheries. The Program 
would provide certain economic advantages to harvesters. Harvesters 
could use this economic advantage to increase their participation in 
other fisheries, adversely affecting the participants in other 
fisheries. Sideboards would limit the total amount of catch in other 
groundfish fisheries that could be taken by eligible harvesters to 
historic levels. Sideboards would limit harvests made in the state 
parallel groundfish fisheries, which are fisheries opened by the State 
of Alaska in state waters concurrent with the Federal season to allow 
the prosecution of the TAC. Sideboards would limit harvest in specific 
rockfish fisheries and the amount of halibut bycatch that could be used 
in certain flatfish fisheries. General sideboards would apply to all 
vessels and LLP licenses with legal landings associated with that 
vessel or LLP license that could be used to generate QS. Additionally, 
specific sideboards would apply to certain catcher/processor and 
catcher vessels and LLP licenses.
    10. Create a monitoring and enforcement mechanism to ensure that 
harvesters maintain catches within their annual allocations and would 
not exceed sideboard limits.
    The Program would provide greater security to harvesters in 
rockfish cooperatives by creating an exclusive harvest privilege. 
Although participants in the limited access fishery, opt-out fishery, 
and entry level fishery would not receive a guaranteed catch 
allocation, most harvesters would be likely to participate in a 
rockfish cooperative that receives CFQ. The Program likely would result 
in a slower-paced fishery and could provide the ability for the 
harvester to choose when to fish and therefore avoid poor weather. The 
Program likely would provide greater stability for processors by 
spreading out production over a greater period of time. These changes 
would increase the focus on product quality in all sectors.

Cost Recovery and Fee Collection Provisions

    Section 304(d)(2)(A) of the Magnuson-Stevens Act requires the 
Secretary to ``collect a fee to recover the actual costs directly 
related to the management and enforcement of any * * * individual 
fishing quota program [or] community development quota program.'' Any 
individual fishing quota (IFQ) program, must follow the statutory 
provisions set forth by section 304(d)(2) of the Magnuson-Stevens Act 
and other provisions of the Magnuson-Stevens Act related to cost 
recovery and fee collection for IFQ programs. NMFS and NOAA General 
Counsel are reviewing the applicability of the Magnuson-Stevens Act 
provisions on cost recovery and fee collection to the Program. If 
subsequent review of the Magnuson-Stevens Act and the Program indicate 
that a fee collection provision is required, NMFS would implement any 
required provision in a subsequent regulatory amendment to the Program.

Specific Components of the Program

Quota Share Allocation and Eligibility

    The Program would establish eligibility criteria for harvesters and 
processors. Only harvesters that are eligible for the Program could 
receive an exclusive harvest privilege through the formation of a 
rockfish cooperative. Eligible harvesters would also be allowed to fish 
in a limited access fishery if they chose not to join a cooperative. 
Eligible harvesters with LLP licenses designated for the catcher/
processor sector could choose to opt-out of most of the aspects of the 
Program. Processor eligibility would be established based on processors 
meeting minimum processing requirements during a specific historic 
period. Processors that are eligible for the Program could form 
exclusive associations with harvester cooperatives that are formed by 
eligible harvesters holding LLP licenses designated for the catcher 
vessel sector. The eligible processors would be authorized to process 
the fish harvested in the limited access fishery by harvesters not in 
cooperatives.
Quota Share
    Quota share is the term used to describe the multi-year privilege 
to be eligible to receive exclusive harvest privileges under the 
Program. Although the Council did not use the specific term ``quota 
share'' when describing the ability to receive a harvest privilege 
under this Program, the Council used the terms ``LLP historic shares,'' 
``CV historic shares,'' ``CP historic shares,'' and ``harvest shares'' 
to describe the harvest privilege that is linked to historic harvests 
attributed to an LLP license. Rather than create a new term to explain 
an established concept, NMFS would use the term ``quota share'' to 
describe a harvest privilege based on historic harvest activities. The 
use of the term ``quota share'' does not alter the original intent of 
the Council.
    Quota share would be an attribute of the LLP license. Once NMFS 
calculated how much QS would be allocated to an LLP license, NMFS would 
modify that LLP license and designate that amount on the license. Quota 
share assigned to an LLP license could not be transferred independent 
from that LLP license. QS assigned to a LLP license would not confer a 
guaranteed harvest to the holder of that QS. QS would provide a harvest 
privilege, not a right, to its holder.
    Quota share would be the basis for the annual calculation of the 
amount of fish that may be harvested or used if that QS were assigned 
to a rockfish cooperative. Once QS was assigned to an LLP license, it 
would authorize that LLP holder to participate in the Program with that 
LLP license. If an eligible harvester assigned that LLP license, and 
its associated QS, to a cooperative with other eligible harvesters, the 
sum of the QS of all of the eligible harvesters would yield an 
exclusive annual catch limit of rockfish species, secondary species, 
and halibut PSC that could be harvested by the members of the rockfish 
cooperative. Cooperatives would be formed by eligible harvesters 
holding LLP licenses in the same sector, either the catcher/processor 
sector or the catcher vessel sector.
    If an eligible harvester assigned a LLP license with QS to the 
limited access fishery, that harvester could compete with other 
eligible harvesters for a portion of the TAC assigned to all 
participants in the limited access fishery, but would not receive a 
guaranteed harvest amount based on the QS on that LLP license. One 
limited access fishery would be established for catcher/processor 
sector, another for the catcher vessel sector.
    If an eligible harvester assigned an LLP license with QS to the 
opt-out fishery, that QS would not yield any guaranteed amount and that 
LLP license could not be used in a rockfish cooperative or limited 
access fishery. Only eligible harvesters holding LLP licenses 
designated for the catcher/processor sector could choose to participate 
in the opt-out fishery.

[[Page 33043]]

    Eligibility for harvesters. The Program would allocate QS to LLP 
license holders based on the catch history associated with the LLP 
licenses held by that person at the time of application. Eligibility to 
receive QS would be based on the history of legal landings of primary 
rockfish species in the Central GOA associated with an LLP license.
    A person would be eligible to receive QS under this Program if: (1) 
That person held the LLP license at the time of application; (2) a 
vessel made landings of primary rockfish species attributed to that LLP 
license during a specific time period; (3) those landings were legal 
landings; and (4) that person submitted a timely application that is 
subsequently approved by NMFS.
    A holder of an LLP license would be required to hold a permanent 
fully transferable LLP license endorsed for Central GOA groundfish with 
a trawl designation at the time of application to participate in the 
Program. Although the Council motion notes that an interim LLP license 
would be considered as eligible for QS under this Program, NMFS has 
resolved all claims for interim LLP licenses that are endorsed for 
Central GOA groundfish with a trawl designation. Therefore, interim LLP 
licenses would not be considered eligible LLP licenses for this 
Program.
    NMFS would assign QS to a LLP license if legal landings were 
attributed to that LLP license, or made under the authority of that LLP 
license for any of the primary rockfish species during the directed 
fishing seasons during the time period established in Table 1. The LLP 
was effective on January 1, 2000 (63 FR 52642). Some of the primary 
rockfish species landings that could result in QS could have been made 
on a vessel before the LLP was effective, and LLP licenses had been 
issued; this would include any landings made between 1996 and 1999. Any 
primary rockfish species landings made on a vessel between 1996 and 
1999 would be attributed to the LLP license that was originally issued 
in 2000 based on the activities of that vessel. Some landings that 
would result in QS could have been made after the effective date of the 
LLP and under the authority of an LLP license; this would include 
landings made between 2000 and 2002. This Program would include legal 
landings made before and after the effective date of the LLP.
    NMFS did not track the use of an LLP license on a specific vessel 
during the 2000 and 2001 calendar years. NMFS would attribute legal 
landings for 2000 to 2001 to an LLP license based on the presumption 
that the LLP license was used aboard the same vessel to which that LLP 
license was originally issued in 2000. An applicant to receive QS would 
be required to submit documentation establishing otherwise. This 
written documentation would have to be submitted to NMFS for review 
during the application process.
    Multiple LLP licenses can be used on a vessel. Therefore, landings 
made on a vessel could have been assigned to more than one LLP license. 
If more than one person claims the same landing to be assigned to more 
than one LLP license, then each LLP license would be assigned an equal 
share of the QS resulting from that landing. NMFS would award the QS 
resulting from a landing in another manner, only if the applicants 
could provide written documentation of an agreement establishing an 
alternative means for distributing the QS. This written documentation 
would have to be provided to NMFS for review during the application 
process. NMFS anticipates very few landings would be claimed by more 
than one person for more than one LLP license based on experience with 
previous rationalization programs.
    A legal landing would include fish caught, retained, and reported 
in compliance with state and Federal regulations in effect at the time 
of landing. Specifically, the definition of a legal landing would be 
further defined for catcher vessels and catcher/processor vessels as 
follows:
    For catcher vessels, a legal landing would include the harvest of 
groundfish from the Central GOA regulatory area that was offloaded and 
recorded on a State of Alaska fish ticket during the directed fishing 
season for the primary rockfish fisheries, and an amount of halibut 
mortality that was attributed to that catcher vessel sector during the 
directed fishing season for the primary rockfish fisheries as shown in 
Table 1.
    For catcher/processors, a legal landing would include the harvest 
of groundfish from the Central GOA regulatory area that is recorded on 
a NMFS weekly production reports (WPRs) during the directed fishing 
season for the primary rockfish fisheries, and an amount of halibut 
mortality attributed to the catcher/processor sector during the 
directed fishing season for the primary rockfish fisheries as shown in 
Table 1.
    The directed fishing season dates that would be used to establish a 
legal landing for each of the primary species are presented in Table 1:

                                                   Table 1.--Dates Each Year for Legal Landings of Primary Species Fisheries Under the Program
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                Year
A legal rockfish landing includes --------------------------------------------------------------------------------------------------------------------------------------------------------------
                                            1996                   1997                   1998                   1999                   2000                  2001                  2002
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Northern rockfish that were        July 1-July 20.......  July 1-July 10.......  July 1-July 14.......  July 1-July 19 and     July 4-July 26.......  July 1-July 23 and    June 30-July 21.
 harvested between;                                                                                      Aug. 6-Aug. 10.                               Oct. 1-Oct. 21.
and landed by....................  July 27..............  July 17..............  July 21..............  July 26 and Aug. 16,   August 2.............  July 30 and Oct. 28,  Aug. 2.
                                                                                                         respectively.                                 respectively.
Pelagic shelf rockfish that were   July 1-Aug. 7 and      July 1-July 20.......  July 1-July 19.......  July 1-Sept. 3.......  July 4-July 26.......  July 1-July 23 and    June 30-July 21.
 harvested between;                 Oct. 1-Dec. 2.                                                                                                     Oct. 1-Oct. 21.
and landed by....................  Aug. 14 and Dec. 9,    July 27..............  July 26..............  Sept. 10.............  Aug. 2...............  July 30 and Oct. 28,  July 28.
                                    respectively.                                                                                                      respectively.
Pacific ocean perch that were      July 1-July 11.......  July 1-July 7........  July 1-July 6 and      July 1-July 11 and     July 4-July 15.......  July 1-July 12......  June 30-July 8.
 harvested between;                                                               July 12-July 14.       Aug. 6-Aug. 8.
and landed by....................  July 18..............  July 14..............  July 13 and July 21,   July 18 and Aug. 15,   July 22..............  July 19.............  July 15.
                                                                                  respectively.          respectively.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

    As shown in Table 1, NMFS would consider legal landings for QS if 
the harvests were made during the season opening and the landings were 
reported within seven days after the end of the directed fishing 
season. This seven day

[[Page 33044]]

extension would accommodate harvesters that caught rockfish during the 
directed fishing season, but were not able to deliver that catch until 
after the season ended. Several days may be required for a harvesting 
vessel to reach processing facilities after the end of a season, and 
the seven day extension would accommodate those harvesters. 
Additionally, this seven day period would accommodate catcher/
processors that submitted WPRs in a timely manner. Because the WPR is 
required on a weekly basis, the season could have ended before the WPR 
submission deadline had been reached. A seven day period after the end 
of the directed fishing season to report landings would accommodate 
catcher/processors submitting WPRs.
    A timely application would include a complete application to 
participate in the Program is that is received by NMFS not later than 5 
p.m. on December 1, 2006, or postmarked by that date. The application 
process and specific components required in the application are 
detailed under Application and Appeal Process below.
    NMFS would consider an eligible rockfish harvester as any person 
who holds an LLP license with QS. The LLP license holder may have 
obtained the QS by submitting an approved application to participate in 
the Program, or received the LLP license with QS through a NMFS-
approved transfer. The procedures for receiving an LLP license through 
by transfer are described in regulations at 50 CFR 679.4(k)(7).

Eligibility for Processors

    The Program would require that processors meet certain eligibility 
requirements to receive any primary or secondary species fish harvested 
by a rockfish cooperative, or in a limited access fishery. Processors 
that do not meet these eligibility requirements could receive only 
primary rockfish harvested from the Central GOA under the entry level 
fishery. Processor eligibility would not guarantee a processor a 
specific quantity of fish for delivery. It would give processors the 
ability to associate with a rockfish cooperative with catcher vessel 
harvesters or to compete with other eligible processors to receive fish 
harvested in the limited access fishery.
    Eligibility to participate as a processor in the Program would be 
limited to those persons who: (1) Hold the processing history of a 
processing facility; (2) meet a minimum amount of annual primary 
rockfish processing; and (3) submit a timely application approved by 
NMFS. Persons who meet this requirement would be an eligible rockfish 
processor and would be authorized to receive and process fish harvested 
under the Program. Once a person is an eligible processor, that person 
may transfer this privilege, subject to approval by NMFS.
    A person would hold the processing history of a shoreside processor 
or stationary floating processor if he or she owned the processing 
facility at the time of application to participate in the Program, or 
if that person held the processing history from an otherwise qualified 
processing facility under the express terms of a written contract that 
clearly and unambiguously provides that such processing history is held 
by that person. A copy of this contract would need to be submitted to 
NMFS for review with the application.
    The effect of this provision is that a person could hold processing 
history that was earned during the qualifying years even if that person 
does not own the processing facility where those rockfish were 
processed. This provision would address a concern raised by the public 
during the development of the Program. At least one processing facility 
that actively processed primary rockfish species during the qualifying 
years, and could be eligible under the Program is no longer active. The 
processing history from that processing facility was sold to another 
processing entity. Allowing a person to hold processing history without 
owning the facility at which that processing history was earned would 
allow the holder of the processing history to continue to receive 
primary rockfish species and secondary species under the Program and be 
eligible to associate with harvesters in a rockfish cooperative.
    To become an eligible processor, the holder of processing history 
must hold processing history from a shoreside processor or stationary 
floating processor entity that received not less than 250 metric tons 
in round weight equivalent of legally landed primary rockfish species 
each calendar year in any four of the five calendar years from 1996 
through 2000 during the directed fishing season. The season dates are 
the same as those established in Table 1 for harvesters. NMFS will use 
State of Alaska fish tickets to determine legal landings of rockfish 
for processors.
    If the Program is approved by the Secretary of Commerce, a timely 
processor application would need to be submitted and received by NMFS 
not later than 5 p.m. on December 1, 2006. The specific components of 
the application are described under Application and Appeal Process 
below.

The Official Rockfish Program Record

    NMFS would determine the amount of an eligible applicant's QS, or a 
person's eligibility as a processor, based on a review of the Official 
Rockfish Program Record (Official Record). NMFS would produce the 
Official Record from data including State of Alaska fish tickets, NMFS 
WPRs, and other relevant information. NMFS would presume the Official 
Record is correct and an applicant would have the burden of 
establishing otherwise through an evidentiary appeals process. That 
process is described under Application and Appeal Process below.

Application and Appeal Process

    To receive QS or processor eligibility, a potentially eligible 
harvester or processor must submit an application to participate in the 
Program that is received by NMFS by 5 p.m. on December 1, 2006, or 
postmarked by that date (if mailed). NMFS would facilitate the 
application process by making the application form available on the 
NMFS, Alaska Region website http://www.fakr.noaa.gov. Interested 
persons may contact NMFS to request an application package. NMFS would 
mail an application package to all potentially eligible LLP license 
holders based on the address on record at the time the application 
period opens. An application may be submitted by mail, fax, or hand 
delivery. The proposed regulatory text (see Sec.  679.81(e)) provides 
addresses and delivery locations.
    NMFS would require an application to participate in the Program for 
potentially eligible processors and harvesters. The proposed regulatory 
text (see Sec.  679.81(e)) provides a detailed list of the information 
required for the application. Briefly, the application would contain 
the following elements:
    1. Identification and contact information for the applicant;
    2. Harvester information, including vessel identification and LLP 
licenses used on a vessel (harvesters only);
    3. Identification of processing activities, locations, and 
processing history held by the applicant (processors only); and
    4. Name of the community in which fish were processed (processors 
only). The community is either the city if the community is 
incorporated as a city within the State of Alaska, or the borough if 
the community is not in a city incorporated within the State of Alaska 
and the city is in a borough as incorporated within the State of 
Alaska;
    5. The four of the five calendar years from 1996 through 2000 to 
establish which harvesters would be included for

[[Page 33045]]

consideration when establishing a rockfish cooperative in association 
with that processor--the processor qualifying period (processors only);
    6. A copy of the contract that the legal processing history and 
rights to apply for and receive processor eligibility based on that 
legal processing history have been transferred or retained (if the 
processing history has been transferred);
    7. Any other information deemed necessary by NMFS. NMFS may request 
additional information to clarify the application and determine if an 
applicant's LLP license is qualified to receive QS, or if an applicant 
is an eligible rockfish processor; and
    8. The applicant's signature and certification.
    NMFS would evaluate applications submitted during the specified 
application period and compare all claims in an application with the 
information in the Official Record. NMFS would accept claims in an 
application it determines to be consistent with information in the 
Official Record. NMFS would not accept inconsistent claims in the 
applications, unless verified by documentation. An applicant who 
submits inconsistent claims, or an applicant who fails to submit 
information supporting his or her claims with their application, would 
be provided a single 30-day evidentiary period to submit the specified 
information, submit evidence to verify his or her inconsistent claims, 
or submit a revised application with claims consistent with information 
in the Official Record. An applicant who submits claims that are 
inconsistent with information in the Official Record would have the 
burden of proving that the submitted claims are correct.
    NMFS would evaluate additional information or evidence to support 
an applicant's inconsistent claims submitted prior to or within the 30-
day evidentiary period. If NMFS were to determine that the additional 
information or evidence met the applicant's burden of proving that the 
inconsistent claims in his or her application were correct, NMFS would 
amend the Official Record with that information or evidence. NMFS would 
use this information or evidence to determine the applicant's 
eligibility. However, if NMFS were to determine that the additional 
information or evidence did not meet the applicant's burden of proof 
that the inconsistent claims in his or her application were correct, 
NMFS would deny the inconsistent claims. NMFS would notify the 
applicant that the additional information or evidence did not meet the 
burden of proof to change the information in the Official Record 
through an initial administrative determination (IAD).
    NMFS would prepare and send an IAD to the applicant following the 
expiration of the 30-day evidentiary period if NMFS were to determine 
that the information or evidence provided by the applicant failed to 
support the applicant's claims and is insufficient to rebut the 
presumption that the Official Record is correct. NMFS' IAD would 
indicate the deficiencies and discrepancies in the application, or 
revised application, including any deficiencies in the information, or 
the evidence submitted in support of the information. NMFS' IAD would 
indicate which claims could not be approved based on the available 
information or evidence. An applicant could appeal an IAD. The appeals 
process is described under 50 CFR 679.43. An applicant who appeals an 
IAD would not receive contested landing data until the appeal was 
resolved in the applicant's favor.
    Once NMFS has approved an application from a person holding a valid 
fully transferrable LLP license with legal rockfish landings, that 
person would be an eligible rockfish harvester. Once NMFS has approved 
an application from a person with legal rockfish processing history, 
that person would be an eligible rockfish processor.

Quota Share Calculation Method for Primary Rockfish Species

    Once NMFS has determined that a person is an eligible rockfish 
harvester, NMFS would specify the QS for the primary rockfish species 
for each LLP license held by that eligible rockfish harvester.
    An eligible rockfish harvester who holds an LLP license endorsed 
for Central GOA groundfish fisheries with a catcher/processor trawl 
designation would be eligible to receive QS to participate in the 
catcher/processor sector. The allocation would be based on any legal 
landings of primary species that were harvested and processed aboard 
the vessel from which that LLP license was derived or used during the 
qualifying periods. If landings were made on a vessel that was 
originally issued an LLP license in 2000 with a catcher/processor 
designation, but the primary rockfish species legally landed by that 
vessel were not caught and processed onboard that vessel, NMFS would 
assign any QS resulting from those legal landings to the catcher vessel 
sector. Based on an initial review of legal landings data, NMFS does 
not anticipate any such allocations.
    An eligible rockfish harvester who holds an LLP license endorsed 
for Central GOA groundfish fisheries with a trawl designation and with 
landings that were not processed at sea would be eligible to receive QS 
to participate in the catcher vessel sector. The allocation would be 
based on any legal landings of primary species that were harvested 
aboard the vessel from which that LLP license was derived or used 
during the qualifying periods.

QS Calculation Procedure

    NMFS would calculate the QS for each of the three primary rockfish 
species for each fully transferable LLP license held by an eligible 
rockfish harvester using the following procedures.
    First, NMFS would sum the legal landings of each primary rockfish 
species for each year from 1996 through 2002, including years with zero 
pounds, during the fishery seasons listed in Table 1.
    Second, NMFS would sum the five years with highest poundage of 
legal landings for that LLP license for that primary rockfish species 
(referred to the highest five years for that LLP license).
    Third, NMFS would divide the highest five years for that LLP 
license by the sum of all the pounds for all of the highest five years 
for all LLP licenses for that primary rockfish species. This remaining 
amount is the ratio of the highest five years of legal landings for 
that LLP license compared to the highest five years for all LLP 
licenses with legal landings.
    Fourth, NMFS would multiply this ratio by the initial QS pool for 
that primary rockfish species in units. This would yield the QS that 
would be issued for that LLP license in QS units. The Council 
recommended that the sum of all the initial QS units in a fishery would 
equal the sum of the 2002 TAC for that fishery (expressed in pounds). 
Using a conversion of 2204.6 pounds per metric ton for the 2002 TACs, 
the initial QS pool units that would be issued for the three primary 
species fisheries are: Northern rockfish--9,193,182 QS units; pelagic 
shelf rockfish--7,672,008 QS units; Pacific ocean perch--18,121,812 QS 
units. In future years, the total QS units in a fishery would vary from 
the initial QS pool only if subsequent appeals, enforcement actions, or 
other operations of law were to affect the total number of QS units 
(e.g., Congressional action).
    Fifth, NMFS would determine the amount of QS units for that LLP 
license for a primary rockfish species that would be assigned to the 
catcher/processor sector. NMFS would determine the percentage of legal 
landings in the highest five years for

[[Page 33046]]

that LLP license used to calculate the QS assigned to the catcher/
processor sector and would multiply the QS units for that license by 
this percentage. This yields the QS units that would be assigned to the 
catcher/processor sector for that LLP license.
    Finally, NMFS would determine the amount of QS units for that LLP 
license for a primary rockfish species that would be assigned to the 
catcher vessel sector. NMFS would determine the percentage of legal 
landings in the highest five years for that LLP license used to 
calculate the QS assigned to the catcher vessel sector and multiply the 
QS units for that license by this percentage. This yields the QS units 
to that would be assigned to the catcher vessel sector for that LLP 
license.
    The total amount of QS units assigned to the catcher vessel sector 
would be equal to the sum of all QS units assigned to all eligible 
rockfish harvesters in the catcher vessel sector. The total amount of 
QS assigned to the catcher/processor sector would be equal to the sum 
of all QS units assigned to all eligible rockfish harvesters in the 
catcher/processor sector.
    If an application is denied by final agency action, then all 
primary rockfish species that would have been assigned to that 
applicant based on that LLP license would be redistributed among all 
other eligible rockfish harvesters in that sector in proportion to the 
amount of their primary species QS. Based on previous experience with 
other rationalization programs (e.g., the Halibut and Sablefish IFQ 
Program and the Bering Sea/Aleutian Islands (BSAI) Crab Rationalization 
Program), NMFS anticipates that almost all potential recipients of QS 
will apply.
    NMFS would not issue separate QS for the secondary species or 
halibut PSC. Instead, NMFS would use the amount of primary rockfish 
species QS to determine the specific annual catch amount for those 
species. The Council recommended that NMFS base the annual catch limit 
of secondary species and halibut PSC on the historic harvests of 
primary rockfish species attributed to LLP licenses in that sector. 
NMFS would incorporate this recommendation in the annual determination 
of the catch limit. The methods for calculating the annual catch limit 
for primary rockfish species, secondary species, and halibut PSC are 
discussed below under TAC Calculation Methods.

Participation in a Rockfish Cooperative, Limited Access Fishery, and 
Opt-Out Fishery

    An eligible rockfish harvester who receives QS allocation assigned 
to a specific LLP license would be required to assign all the QS 
associated with the LLP license to a specific rockfish cooperative, a 
limited access fishery, or the opt-out fishery. The eligible rockfish 
harvester could not assign portions of QS to different rockfish 
cooperatives, to a rockfish cooperative and the limited access fishery, 
or apportion the QS otherwise. Once an LLP license and its associated 
QS is assigned for a year, the eligible rockfish harvester could not 
reassign the LLP license or QS to a different fishery during that year.
    Each year, an eligible rockfish harvester would be required to 
apply to use the LLP license and its associated QS to participate in a 
rockfish cooperative, in the limited access fishery, or in the opt-out 
fishery. Applications would be available on the NMFS website http://www.fakr.noaa.gov, or NMFS would mail applications to the applicant 
upon request. Applications would have to be submitted to NMFS by mail, 
fax, or hand delivery (see ADDRESSES). Applications would have to be 
submitted by December 1 each year. An eligible rockfish harvester could 
apply to participate in only one fishery per year with an LLP license 
and its associated QS. The application would be valid for one year. The 
contents of the specific applications are as follows:
    Application for CFQ. A rockfish cooperative that submits an 
application that is approved by NMFS would receive a CFQ permit. The 
CFQ permit would contain the rockfish cooperative's CFQ of primary and 
secondary species and halibut PSC, based on the collective QS of the 
LLP licenses held by the cooperative members. The CFQ permit also would 
identify the members of the rockfish cooperative and the vessels 
authorized to harvest the CFQ. A vessel named on a CFQ permit would be 
considered to be actively engaged in fishing the CFQ for that rockfish 
cooperative fishery and would be subject to all observer, permitting, 
and reporting requirements applicable to vessels fishing CFQ. A 
rockfish cooperative would be required to submit an amended application 
for CFQ to add or remove a vessel eligible to fish the CFQ assigned to 
that cooperative. NMFS would be required to approve any amendments to 
the application for CFQ. NMFS' issuance of a CFQ permit to a rockfish 
cooperative would not be a determination that the rockfish cooperative 
was formed or was operating in compliance with antitrust law.
    A complete application would be required to contain the following 
information:
    1. Identification and contact information of the rockfish 
cooperative;
    2. Names of the members of the rockfish cooperative, including 
information on the LLP licenses assigned to the rockfish cooperative;
    3. A copy of the business license and articles of incorporation or 
partnership agreement signed by the members of the rockfish 
cooperative;
    4. Terms that specify that: Processor affiliated harvesters could 
not participate in price setting negotiations except as permitted by 
general antitrust law, and that the cooperative must establish a 
monitoring program sufficient to ensure compliance with the Program; 
and
    5. Applicant(s) signature and certification.
    Application for the limited access fishery. In order to participate 
in the limited access fishery for a year, an eligible rockfish 
harvester would be required to submit an application for the limited 
access fishery. An application would include the following information:
    1. Identification and contact information of the eligible rockfish 
harvester;
    2. Information on the LLP license(s) and vessels that would be 
assigned to the limited access fishery; and
    3. Applicant signature and certification.
    Application to opt-out. In order to opt-out of the Program for a 
year, an eligible rockfish harvester with catcher/processor QS would be 
required to submit an application to opt-out. An application would 
include the following information:
    1. Identification and contact information of the eligible rockfish 
harvester;
    2. Information on the LLP license(s) and vessels that would be 
assigned to the opt-out fishery; and
    3. Applicant signature and certification.

TAC and Halibut PSC Calculation Method

    Annually, NMFS would determine the amount of primary species, 
secondary species, and halibut PSC that would be allocated to each 
fishery based on the total amount of QS assigned to each fishery. Table 
2 describes the proposed annual allocations to a rockfish cooperative, 
limited access fishery, or opt-out fishery.

[[Page 33047]]



                            Table 2.--Annual Allocations by Fishery Type and Species
----------------------------------------------------------------------------------------------------------------
           Fishery type             Primary rockfish species      Secondary species            Halibut PSC
----------------------------------------------------------------------------------------------------------------
Rockfish cooperatives............      CFQ is allocated to each rockfish cooperative with an exclusive harvest
                                                                     privilege.
Limited access fishery...........  TAC is allocated to the    No specific amount is     No specific amount is
                                    catcher vessel or C/P      allocated. The limited    allocated. Habilbut
                                    sector limited access      access fishery is         bycatch is limited by
                                    fishery. There is no       limited by a trip-based   the PSC limit for that
                                    exclusive harvest          maximum retainable        time period specified
                                    privilege. Participants    amount (MRA)              for the respective deep
                                    within the sector          established in Table 3    and shallow water
                                    compete for the TAC.       of 50 CFR part 679.       complex fisheries.
Opt-out (catcher/processor sector  No allocation. Any amount  No allocation...........  No allocation. Halibut
 only).                             that would have been                                 bycatch is limited by
                                    allocated is                                         the PSC limit for that
                                    redistributed among                                  time period specified
                                    catcher/processor sector                             for the respective deep
                                    participants in rockfish                             and shallow water
                                    cooperatives and the                                 complex fisheries.
                                    limited access fishery.
----------------------------------------------------------------------------------------------------------------

Primary Rockfish Species

    NMFS would calculate the amount of primary rockfish species TAC 
that would be assigned to the Program on an annual basis by first 
deducting the incidental catch allowance (ICA) for primary rockfish 
species harvests in other non-Program fisheries from the TAC for that 
fishery. Primary rockfish species are incidentally harvested in other 
fisheries (e.g., trawl flatfish fisheries) and NMFS must set aside some 
bycatch amount for those fisheries. After accounting for this ICA, 95 
percent of the remaining TAC for a primary rockfish species (TACs) 
would be assigned for use by rockfish cooperatives and limited access 
fisheries in the catcher vessel and catcher/processor sectors. Five 
percent of the remaining TAC would be allocated for use in the entry 
level fishery.
    The TACs would be apportioned between the catcher/
processor sector and the catcher vessel sector. The amount of 
TACs assigned to the catcher/processor sector would be 
determined by multiplying the TAC by the ratio of QS units assigned to 
all LLP licenses that receive QS in the catcher/processor sector 
divided by the QS pool for that primary rockfish fishery. The amount of 
TACs assigned to the catcher vessel sector would be 
determined by multiplying the TAC by the ratio of QS units assigned to 
all LLP licenses that receive QS in the catcher vessel sector divided 
by the QS pool for that primary rockfish fishery.
    Determining the TAC by Fishery Type. Once NMFS determines how much 
TACs is assigned to each sector, the TACs for 
each sector would be divided between the rockfish cooperative fishery 
and the limited access fishery in that sector depending on the amount 
of QS held by each LLP license assigned to each fishery.
    LLP licenses assigned to a rockfish cooperative would yield CFQ 
that would be based on the sum of all QS units associated with all LLP 
licenses assigned to the rockfish cooperative for a specific primary 
rockfish species. The annual CFQ issued to a cooperative would be equal 
to the TACs assigned to that primary rockfish fishery in 
that sector multiplied by the QS units assigned to that cooperative 
divided by the QS pool for that sector in that fishery.
    The TAC for a limited access fishery would be based on the 
proportion of the QS for that primary rockfish species in that sector 
associated with the LLP licenses assigned to the limited access 
fishery. The TACs assigned to a limited access fishery for a 
sector would be equal to the primary rockfish fishery TACs 
remaining after the allocation of CFQ was made to the rockfish 
cooperatives in that sector. These TACs would be assigned to 
a catcher vessel limited access fishery and a catcher/processor limited 
access fishery.
    In the catcher/processor sector, an adjustment to the CFQ assigned 
to rockfish cooperatives and TAC for the limited access fishery would 
be made to account for LLP licenses assigned to the opt-out fishery. 
The QS assigned to the opt-out fishery in the catcher/processor sector 
would not yield any TAC allocation for that QS. Instead, the TAC that 
would have resulted from that QS if it were assigned to a rockfish 
cooperative or limited access fishery would be redistributed to the 
rockfish cooperatives and the limited access fishery in the catcher/
processor sector. This redistribution would be proportional to the 
relative holdings of QS held by a rockfish cooperative or limited 
access fishery in the catcher/processor sector.
    See Table 4 for more information on the use of the CFQ by a 
rockfish cooperative.

Secondary Species

    The proposed rule would define secondary species as species that 
were historically harvested during the directed rockfish fisheries. 
Secondary species would be allocated as an exclusive harvest privilege 
only to rockfish cooperatives. Rockfish cooperatives would receive CFQ 
for specific secondary species. Eligible rockfish harvesters in a 
limited access fishery, or opt-out fishery, would not be allocated 
exclusive harvest privileges for secondary species. Harvesters in the 
limited access fishery or opt-out fishery would be able to retain 
secondary species during the limited access fishery, or in non-Program 
fisheries, but would be subject to a maximum retainable amount (MRA) 
limit. Secondary species allocated as CFQ to rockfish cooperatives 
would be allocated differently between cooperatives in the catcher 
vessel and catcher/processor sectors. For participants in a rockfish 
cooperative, NMFS would issue secondary species CFQ that would be 
linked to the amount of QS allocated to an LLP license.
    The secondary species would be treated differently in the catcher/
processor and catcher vessel sectors based on the historic harvest 
patterns in those sectors. Historically, harvesters in both sectors 
have tended to retain all sablefish harvested with trawl gear and 
thornyhead rockfish caught in conjunction with rockfish harvests 
because they were high value species. Traditionally, catcher vessels 
retained Pacific cod during the course of their rockfish harvests; 
however, this was less common among catcher/processors. Consequently, 
the Council recommended managing Pacific cod in the catcher vessel 
sector using an MRA that would reflect historic harvest rates but 
provide more flexibility for the fleet than a fixed ``hard cap'' 
allocation of CFQ might provide. Similarly, catcher/

[[Page 33048]]

processors typically had markets for rougheye and shortraker rockfish 
and tended to retain these species in greater proportion than catcher 
vessels and the Council recommended an allocation of these species to 
catcher/processors. However, the Council recommended an MRA for 
shortraker and rougheye rockfish for the catcher vessel fleet that 
would require the discarding of all shortraker or rougheye rockfish if 
the aggregate shortraker/rougheye MRA limit was exceeded. The MRA 
percentages recommended for the catcher vessel sector for shortraker 
and rougheye rockfish would provide some flexibility for the harvesters 
in these sectors yet maintain harvests within historic levels.
    Rockfish cooperative fishery. Table 3 shows the specific secondary 
species that would be allocated as CFQ to rockfish cooperatives in the 
catcher vessel sector and catcher/processor sector.

  Table 3.--Secondary Species Allocated to Rockfish Cooperatives in the
                      Central GOA by Fishery Sector
------------------------------------------------------------------------
                                    Rockfish              Rockfish
                               cooperatives in the   cooperatives in the
      Secondary species          catcher vessel       catcher/processor
                                     sector                sector
------------------------------------------------------------------------
Pacific cod.................  CFQ allocated based   Not allocated.
                               on the                Managed under a
                               cooperative's         maximum retainable
                               aggregate primary     amount (MRA) of
                               rockfish species QS   4.0% per trip.
                               holdings within the
                               sector.
Rougheye rockfish...........  Not allocated.        Up to 30.03% of the
                               Managed under an      TAC in the Central
                               MRA of combined       GOA is allocated as
                               rougheye/shortraker   CFQ among
                               rockfish up to 2.0%   cooperatives based
                               per trip.             on the
                                                     cooperative's
                                                     aggregate primary
                                                     rockfish species QS
                                                     holdings within the
                                                     sector.
Sablefish allocated to trawl  CFQ allocated based   Up to 58.87% of the
 gear.                         on the                TAC in the Central
                               cooperative's         GOA is allocated as
                               aggregate primary     CFQ among
                               rockfish species QS   cooperatives based
                               holdings within the   on the
                               sector.               cooperative's
                                                     aggregate primary
                                                     rockfish species QS
                                                     holdings within the
                                                     sector.
Shortraker rockfish.........  Not allocated.        CFQ allocated based
                               Managed under an      on the
                               MRA of combined       cooperative's
                               rougheye/shortraker   aggregate primary
                               rockfish up to 2.0%   rockfish species QS
                               per trip. A maximum   holdings within the
                               of 9.72% of the       sector.
                               shortraker TAC on
                               an annual basis may
                               be retained.
Thornyhead rockfish.........  CFQ allocated based   CFQ allocated based
                               on the                on the
                               cooperative's         cooperative's
                               aggregate primary     aggregate primary
                               rockfish species QS   rockfish species QS
                               holdings within the   holdings within the
                               sector.               sector.
------------------------------------------------------------------------

    Each calendar year, the Regional Administrator would determine the 
poundage of secondary species that would be assigned to the Program. 
NMFS would determine the maximum poundage of fish that could be 
harvested by the appropriate sector. The poundage of fish that could be 
harvested by a sector would be assigned only to rockfish cooperative(s) 
within that sector. The poundage of fish that could be harvested by a 
specific sector and assigned to a specific rockfish cooperative would 
be determined according to the following procedure:
    First, NMFS would sum the amount of each secondary species retained 
by all catcher/processors and catcher vessels during the directed 
rockfish fisheries during all qualifying season dates. This would yield 
the Program catcher/processor sector harvests and catcher vessel sector 
harvests, respectively.
    Second, NMFS would sum the amount of each secondary species 
retained by all catcher/processors and all catcher vessels in the 
Central GOA from January 1, 1996 through December 31, 2002. This would 
be the total harvest.
    Third, for each secondary species, NMFS would divide the rockfish 
harvests for that sector by the total harvests and multiply by 100. 
This would yield the percentages of secondary species assigned to the 
rockfish fishery catcher/processor sector and catcher vessel sector, 
respectively.
    Fourth, NMFS would multiply the percentage of secondary species 
assigned to the sector by the TAC for that secondary species. This 
would be the TAC allocated to that sector. This method would be the 
same for all secondary species, except rougheye rockfish and shortraker 
rockfish for the catcher/processor sector.
    The TAC of rougheye rockfish allocated to the catcher/processor 
sector would be 58.87 percent of the TAC for the Central GOA. The TAC 
of shortraker rockfish allocated to the catcher/processor sector would 
be 30.03 percent of the TAC for the Central GOA. This proposed rule 
would implement the Council's recommendation to fix the allocation of 
TAC with these percentages based on an analysis of the relative catch 
of the catcher/processor sector during the historic fishing periods. 
The details of this analysis are contained in the EA/RIR/IRFA prepared 
for this proposed action (see ADDRESSES).
    NMFS would base the CFQ of secondary species assigned to each 
cooperative on the sum of QS associated with each LLP license assigned 
to the rockfish cooperative. To determine the CFQ assigned to a 
rockfish cooperative, NMFS would multiply the TAC of the secondary 
species that was assigned to each sector by the percentage of the 
aggregate primary rockfish species QS held by that cooperative in that 
sector.
    Limited access and opt-out fisheries. QS assigned to a limited 
access fishery or the opt-out fishery would not result in an annual 
exclusive allocation. Instead, secondary species would be managed 
according to an MRA in the limited access fishery and the opt-out 
fishery. The secondary species MRA in the limited access fishery would 
be reduced from current MRA levels. This approach would reduce the 
incentive for eligible harvesters to participate in a limited access 
fishery and ``top off,'' or selectively target high value, secondary 
species such as trawl sablefish or Pacific cod. The intent of the 
Program is to increase the economic viability of the rockfish species, 
not to create an accelerated race for secondary species in the limited 
access fishery. NMFS believes that lower MRAs would reduce that 
incentive. This approach was

[[Page 33049]]

analyzed in the EA/RIR/IRFA for this proposed action.
    The MRA for the opt-out fishery would be the same as MRAs currently 
applicable in GOA directed fisheries. Participants in the opt-out 
fishery could not target Central GOA rockfish; therefore, a lowered MRA 
in the Central GOA is not necessary. Opt-out vessels are largely 
excluded from the Program and would not be able to use Central GOA 
rockfish as a source for basis species against which they could account 
their ``top-off'' secondary species.
    ``Hard cap'' management of shortraker and rougheye rockfish in the 
catcher/processor sector. The Council directed that allocations of 
shortraker and rougheye rockfish should be managed as a ``hard cap'' 
for the catcher/processor sector. NMFS has interpreted this provision 
to mean that NMFS should manage to limit the maximum amount of harvests 
to this amount for all participants in that sector. NMFS therefore 
would allocate shortraker and rougheye rockfish to each rockfish 
cooperative by multiplying the percentage of QS assigned to the 
catcher/processor sector that is held by that cooperative by an amount 
equal to 30.03 percent of the Central GOA TAC for shortraker rockfish, 
or 58.87 percent of the Central GOA TAC for rougheye rockfish.
    Shortraker and Rougheye rockfish would not be allocated to the 
limited access sector, but the limited access fishery would be limited 
to a reduced MRA to minimize harvests and the incentive to ``top off'' 
on these species. If the catcher/processor sector as a whole exceeded 
either 30.03 percent of the TAC for shortraker rockfish, or 58.87 
percent of the TAC for rougheye rockfish, then NMFS would prohibit 
retention of that species for all catcher/processor vessels in the 
Program. This prohibition would include any vessels operating in a 
rockfish cooperative even if that cooperative still had unused CFQ. The 
intent of this prohibition is to meet the goals of maintaining catcher/
processor harvests below the ``hard cap'' of 30.03 percent of the TAC 
for shortraker rockfish and 58.87 percent of the TAC for rougheye 
rockfish.

Halibut PSC Allocation for Rockfish Cooperatives

    Under the Program, rockfish cooperatives would be allocated CFQ for 
halibut PSC that could be used while fishing for primary rockfish 
species or secondary species. Halibut PSC CFQ would represent the 
amount of halibut, in metric tons, that could be incidentally caught 
and killed by a rockfish cooperative. Under current regulations, 
halibut can only be harvested and retained commercially under the 
Halibut IFQ Program and Community Development Quota (CDQ) Program; in 
all other fisheries halibut is considered a prohibited species and must 
be discarded at sea with a minimum of injury.
    NMFS uses the halibut mortality rates established by the 
International Pacific Halibut Commission (IPHC) and observer data to 
estimate the amount of mortality of discarded halibut. The IPHC 
determines the halibut mortality rate for various gears and target 
fisheries based on data from prior years. These halibut mortality rates 
are published in the annual harvest specifications and the 
justification for these rates is published in Appendix A of the annual 
Stock Assessment and Fishery Evaluation Reports. NMFS estimates the 
amount of halibut that is killed in the various groundfish fisheries 
based on data from onboard observers and applies the mortality rate to 
the unobserved portion of the fleet. NMFS then apportions the available 
halibut mortality among fisheries. As halibut is caught, NMFS 
multiplies the estimated halibut caught by the mortality rates to 
produce a halibut bycatch mortality amount.
    Halibut PSC CFQ allocated under the Program would allow 
cooperatives to continue fishing in fisheries with known halibut 
bycatch and resulting mortality. Each calendar year, the Regional 
Administrator would determine the metric tons of halibut bycatch 
mortality that would be assigned to the Program. This amount would be 
assigned to the appropriate sector. NMFS would allocate halibut PSC CFQ 
to rockfish cooperative(s) within a sector based on the QS of LLP 
licenses assigned to the rockfish cooperatives. Halibut PSC CFQ would 
be allocated only to participants in rockfish cooperatives.
    Halibut PSC assigned to a limited access fishery or the opt-out 
fishery would not result in an individual allocation. Participants in 
those fisheries would continue to be subject to the aggregate halibut 
PSC limits that NMFS establishes for that gear type and target fishery.
    Calculation for the sector. The total halibut PSC CFQ assigned to 
each sector would be determined according to the following procedure:
    First, NMFS would sum the amount of halibut mortality by all 
vessels in a sector during the directed fishery for any primary 
rockfish species during all qualifying season dates. This would be the 
rockfish sector halibut bycatch amount.
    Second, NMFS would sum the amount of all halibut mortality by all 
vessels in the Central GOA Regulatory Area from January 1, 1996 through 
December 31, 2002. This would be the total halibut mortality.
    Third, NMFS would divide the rockfish sector harvest by the total 
halibut mortality and multiply by 100. This would be the percentage of 
the halibut mortality assigned to the sector in the rockfish fishery.
    Finally, NMFS would multiply the percentage of halibut mortality 
assigned to the sector in the rockfish fishery by the total halibut 
mortality for the GOA for that year. This would be the halibut PSC 
amount allocated to the sector.
    The amount of halibut PSC CFQ that would be assigned to each 
cooperative in each sector would be determined according to the 
following procedures. In each sector, each cooperative would have 
halibut PSC CFQ assigned to it that would be derived from the QS units 
assigned to that rockfish cooperative. To determine the CFQ assigned to 
a cooperative, NMFS would multiply the halibut PSC amount allocated to 
that sector by the percentage of the aggregate primary rockfish species 
QS held by that cooperative in that sector.

Example of the Annual Allocations

    The following example details the allocation of TAC and halibut PSC 
within the catcher/processor sector. The calculation method would be 
similar for the catcher vessel sector except that there is no opt-out 
fishery for the catcher vessel sector.
    First, an ICA amount would be deducted for bycatch needs in other 
fisheries.
    Second, ninety-five (95) percent of the TAC of each of the three 
allocated rockfish species, Pacific ocean perch, pelagic shelf 
rockfish, and northern rockfish would be allocated for the non-entry 
level portion of the Program (i.e., rockfish cooperatives and the 
limited access fisheries). The remaining 5 percent of the TAC would be 
allocated to the entry level fishery. To simplify the example, we will 
assume that half the aggregate QS of the three allocated rockfish 
species would be allocated to the catcher/processor sector, and half to 
the catcher vessel sector. Fifty (50) percent of 95 percent of the TAC 
of each of the three allocated rockfish species would be allocated to 
the catcher/processor sector and the other 50 percent of 95 percent of 
the TAC for each of the three species would be allocated to the catcher 
vessel sector.

[[Page 33050]]

    Third, we will assume that there are 10 LLP licenses, each with 10 
percent of the QS assigned to the catcher/processor sector for the 
three allocated rockfish species. Eligible rockfish harvesters holding 
four LLP licenses would assign those LLP licenses to a rockfish 
cooperative. This represents 40 percent of the total primary rockfish 
species QS in the catcher/processor sector. This would yield 40 percent 
of the total TAC assigned to the catcher/processor sector for each of 
the primary species as CFQ to be harvested by the rockfish cooperative. 
Eligible rockfish harvesters holding four LLP licenses would assign 
those licenses to the limited access fishery. This represents 40 
percent of the total primary rockfish species QS in the catcher/
processor sector. This would yield a limited access fishery TAC of 40 
percent of the catcher/processor TAC for each of the primary species. 
Eligible rockfish harvesters holding two LLP licenses would assign 
those licenses to the opt-out fishery. This represents 20 percent of 
the total primary rockfish species QS in the catcher/processor sector.
    Fourth, NMFS would reassign the portion of the TAC represented by 
the QS from the opt-out fishery to the rockfish cooperative fishery and 
the limited access fishery, in proportion to the holdings of aggregate 
QS associated with the LLP licenses assigned to each fishery. Because 
the cooperative and limited access fishery would have the same relative 
holdings of aggregate QS for the three primary rockfish species (each 
would have 40 percent of the total), half the opt-out amount would be 
reassigned to the rockfish cooperative, and half to the limited access 
fishery. Adding the opt-out amount to their existing allocations means 
that the rockfish cooperative would be assigned CFQ for each of the 
primary rockfish species representing 50 percent of the TAC assigned to 
the catcher/processor sector, and the limited access fishery would be 
assigned 50 percent of the TAC for each of the primary rockfish species 
assigned to the catcher/processor sector. The CFQ assigned to the 
rockfish cooperative could be exclusively harvested by the rockfish 
cooperative, the eligible rockfish harvesters in the limited access 
fishery would compete with each other for their collective allocation 
of this rockfish TAC, in this case 50 percent of the remaining TAC.
    Fifth, NMFS would determine the amount of CFQ for secondary species 
and halibut PSC that would be allocated to the rockfish cooperative. 
The allocation of CFQ for secondary species and halibut PSC would be 
based on the percentage of the primary species QS allocation that would 
be assigned to the rockfish cooperatives in a sector--in the example, 
40 percent of the total QS in the sector. The limited access fishery 
would not receive a TAC of secondary species based on its primary 
rockfish QS; and the limited access fishery would not receive an 
allocation of halibut PSC. So, in the example, NMFS would allocate the 
rockfish cooperative 40 percent of the total CFQ of secondary species 
and halibut PSC that could be allocated to the catcher/processor 
sector. The remaining 60 percent of the potential secondary species and 
halibut PSC CFQ for the catcher/processor sector would not be allocated 
for that year because 60 percent of the QS in the catcher/processor 
sector is not assigned to a rockfish cooperative. The harvest amounts 
of secondary species in the limited access fishery would be controlled 
by MRAs that apply to that limited access fishery. Halibut PSC usage in 
the limited access fishery would be subject to existing restrictions on 
trawl gear.

Rockfish Cooperatives

    The Program would regulate the formation of rockfish cooperatives 
and the use of CFQ. NMFS would issue a CFQ permit to each rockfish 
cooperative that specified how much CFQ it could harvest. This amount 
would be based on the sum of the QS of the cooperative members and any 
CFQ that the rockfish cooperative subsequently receives by transfer 
from another rockfish cooperative. The Council provided numerous 
recommendations on the specific requirements to form a rockfish 
cooperative that this proposed action would implement. Table 4 details 
those requirements through a question and answer format.

   Table 4.--Requirements To Join a Rockfish Cooperative and the Limitations on the Use of CFQ by the Rockfish
                                                   Cooperative
----------------------------------------------------------------------------------------------------------------
             Requirement                      Catcher vessel sector            Catcher/processor vessel sector
----------------------------------------------------------------------------------------------------------------
Who may join a rockfish cooperative?     Only persons who are eligible rockfish harvesters may join a rockfish
                                          cooperative. Persons who are not eligible rockfish harvesters may be
                                        employed by, or serve as the authorized representative of a cooperative,
                                                                  but are not members.
What is the minimum number of LLP     No minimum requirement.               Two LLP licenses assigned QS in the
 licenses that must be assigned to                                           catcher/processor sector. These
 form a cooperative?                                                         licenses can be held by one or more
                                                                             persons.
Is an association with an eligible    Yes. An eligible rockfish harvester   No.
 rockfish processor required?          may only be a member of a
                                       cooperative formed in association
                                       with an eligible rockfish processor
                                       to which the harvester made the
                                       plurality of legal landings
                                       assigned to the LLP license(s)
                                       during the applicable processor
                                       qualifying period chosen by an
                                       eligible rockfish processor in the
                                       application to participate in the
                                       Program.
What if an eligible rockfish          That eligible rockfish harvester can  N/A.
 harvester did not deliver any legal   assign that LLP license to any
 landings assigned to an LLP license   cooperative.
 to an eligible rockfish processor
 during a processor qualifying
 period?

[[Page 33051]]

 
What is the Processor Qualifying      The processor qualifying period is    N/A.
 Period?                               the four of five years from 1996
                                       through 2000 that are used to
                                       establish the legal landings that
                                       are considered for purposes of
                                       establishing an association with an
                                       eligible rockfish processor. Each
                                       eligible rockfish processor will
                                       select a processor qualifying
                                       period in the application to
                                       participate in the Program. The
                                       processor qualifying period may not
                                       be changed once selected for that
                                       eligible rockfish processor,
                                       including upon transfer of
                                       processor eligibility. The same
                                       processor qualifying period will be
                                       used for all LLP licenses to
                                       determine the legal landings that
                                       are considered for purposes of
                                       eligible rockfish harvesters
                                       establishing an association with an
                                       eligible rockfish processor.
Is there a minimum amount of QS that  Yes. A rockfish cooperative must be   No.
 must be assigned to a rockfish        assigned QS that represents at
 cooperative for it to be allowed to   least 75 percent of all the legal
 form?                                 landings of primary rockfish
                                       species delivered to that eligible
                                       rockfish processor during the
                                       Processor Qualifying Period
                                       selected by that processor.
What is allocated to the rockfish     CFQ for primary rockfish species, secondary species, and halibut PSC,
 cooperative?                          based on the QS
                                       assigned to all of the LLP licenses that are assigned to the cooperative.
Is this CFQ an exclusive harvest        Yes, the members of the rockfish cooperative have an exclusive harvest
 privilege?                             privilege to collectively catch this CFQ, or a cooperative can transfer
                                             all or a portion of this CFQ to another rockfish cooperative.
Is there a season during which        Yes, any vessel designated to catch CFQ for a rockfish cooperative is
 designated vessels must catch CFQ?    limited to catching CFQ
                                       during the season beginning on May 1 through November 15.
Can any vessel catch a rockfish           No, only vessels that are named on the application for CFQ for that
 cooperative's CFQ?                    rockfish cooperative, including any vessels named on amendment(s) to that
                                         application, can catch the CFQ assigned to that rockfish cooperative.
Can the member of a rockfish          No, only the rockfish cooperative, and not individual members, may
 cooperative transfer CFQ              transfer its CFQ to another
 individually without the approval     rockfish cooperative, but only if that transfer is approved by NMFS.
 of the other members of the
 rockfish cooperative?
Can a rockfish cooperative in the     N/A.                                  No, sideboard limits are limits
 catcher/processor sector transfer a                                         applicable to that rockfish
 sideboard limit assigned to that                                            cooperative, and may not be
 rockfish cooperative?                                                       transferred among rockfish
                                                                             cooperatives.
Is there a hired master requirement?  No, there is no hired master          N/A.
                                       requirement.
Can an LLP license be assigned to      No. An LLP license can only be assigned to one rockfish cooperative in a
 more than one rockfish cooperative        calendar year. An eligible rockfish harvester holding multiple LLP
 in a calendar year?                        licenses may assign different LLP licenses to different rockfish
                                             cooperatives subject to any other restrictions that may apply.
Can an eligible rockfish processor    No. An eligible rockfish processor    N/A.
 be associated with more than one      can only associate with one
 rockfish cooperative?                 rockfish cooperative per year. A
                                       person who is permitted as an
                                       eligible rockfish processor based
                                       on holdings of more than one
                                       processing history would be issued
                                       a separate eligible rockfish
                                       processor permit for that
                                       processing history and may be able
                                       to form an association with a
                                       rockfish cooperative as a separate
                                       and distinct eligible rockfish
                                       processor subject to any other
                                       restrictions that may apply.
Can an LLP license be assigned to a   No. Once an LLP license is assigned to a rockfish cooperative, any QS
 rockfish cooperative and the          assigned to that LLP
 limited access fishery or opt-out     license yields CFQ to that rockfish cooperative for the calendar year.
 fishery?
Which members may harvest the            That is determined by the rockfish cooperative contract signed by its
 rockfish cooperative's CFQ?           members. Any violations of this contract by one cooperative member may be
                                         subject to civil claims by other members of the rockfish cooperative.
Does a rockfish cooperative need a     Yes, a rockfish cooperative must have a membership agreement or contract
 contract?                             that specifies how the rockfish cooperative intends to harvest its CFQ. A
                                       copy of this agreement or contract must be submitted with the application
                                                                        for CFQ.

[[Page 33052]]

 
What happens if the rockfish            A rockfish cooperative is not authorized to catch fish in excess of its
 cooperative catch exceeds its CFQ        CFQ. Exceeding a CFQ is a violation of the Program regulations. Each
 amount?                                 member of the rockfish cooperative is jointly and severally liable for
                                        any violations of the Program regulations while fishing under authority
                                        of a CFQ permit. This liability extends to any persons who are hired to
                                       catch or receive CFQ assigned to a rockfish cooperative. Each member of a
                                        rockfish cooperative is responsible for ensuring that all members of the
                                         rockfish cooperative comply with all regulations applicable to fishing
                                                                   under the Program.
Is there a limit on how much CFQ a    Yes, generally, a rockfish            No, but a catcher/processor vessel
 rockfish cooperative may hold or      cooperative may not hold or use       is still subject to any vessel use
 use?                                  more than 30 percent of the           caps that may apply. See the Use
                                       aggregate primary rockfish species    Cap section of the preamble for the
                                       CFQ assigned to the sector for that   provisions that apply.
                                       calendar year. See the Use Cap
                                       section of the preamble for the
                                       provisions that apply.
Is there a limit on how much CFQ a    No. However, a vessel may not catch   Yes, generally, no vessel may
 vessel may harvest?                   more CFQ than the CFQ assigned to     harvest more than 60 percent of the
                                       that rockfish cooperative.            aggregate primary rockfish species
                                                                             TAC assigned to the sector for that
                                                                             calendar year, unless subject to an
                                                                             exemption. See the Use Cap section
                                                                             of the preamble for the provisions
                                                                             that apply.
If my vessel is fishing in a                Any vessel authorized to harvest the CFQ assigned to a rockfish
 directed flatfish fishery in the       cooperative must count any catch of primary rockfish species, secondary
 Central GOA and I catch groundfish     species, or halibut PSC against that rockfish cooperative's CFQ from May
 and halibut PSC, does that count         1 until November 15, or until the authorized representative of that
 against the rockfish cooperative's     rockfish cooperative has submitted a rockfish cooperative termination of
 CFQ?                                             fishing declaration that has been approved by NMFS.
                                             Groundfish harvests would not be debited against the rockfish
                                       cooperative's CFQ if the vessel is not authorized to harvest CFQ. In this
                                        case, any catch of halibut would be attributed to the halibut PSC limit
                                                    for that directed target fishery and gear type.
Can my rockfish cooperative           The rockfish cooperatives formed under the Program are intended to conduct
 negotiate prices for me?                    and coordinate harvest activities for their members. Rockfish
                                        cooperatives formed under the Program are subject to existing antitrust
                                          laws. Collective price negotiation by a rockfish cooperative must be
                                                 conducted in accordance with existing antitrust laws.
Are there any special reporting       Yes, each year a rockfish cooperative must submit an annual rockfish
 requirements?                         cooperative report to
                                       NMFS by December 15 of each year.
What is required in the annual        The annual rockfish cooperative report must include at a minimum:
 rockfish cooperative report?
                                        The rockfish cooperative's CFQ, sideboard limit (if applicable),
                                       and any rockfish sideboard
                                       fishery harvests made by the vessels in the rockfish cooperative on a
                                       vessel-by-vessel
                                       basis;
                                        The rockfish cooperative's actual retained and discarded catch
                                       of CFQ and sideboard limit
                                       on an area-by-area and vessel-by-vessel basis;
                                        A description of the method used by the rockfish cooperative to
                                       monitor fisheries in which
                                       rockfish cooperative vessels participated;
                                        A description of any civil actions taken by the rockfish
                                       cooperative in response to any
                                       members that exceeded their allowed catch.
----------------------------------------------------------------------------------------------------------------

    Exception for assigning an LLP to a processor. An eligible rockfish 
harvester that holds an LLP license with QS for the catcher vessel 
sector and that does not have landings associated with an eligible 
rockfish processor from January 1, 1996 through December 31, 2000, may 
join any rockfish cooperative. However, any such harvester is not 
considered as contributing to the amount of landings necessary to meet 
a minimum of 75 percent of the total landings that were delivered to 
that processor during the four calendar years selected by that 
processor for the purposes of establishing the minimum landings 
required to form a rockfish cooperative.

Transfers

    The Program would allow transfers of CFQ between rockfish 
cooperatives. The Program would also permit the transfer of processor 
eligibility. QS can not be transferred separately from the LLP license. 
QS could only be transferred by transferring the LLP license with which 
the QS is associated. Transfer procedures for LLP licenses are in the 
Federal regulations at 50 CFR 679.4.

Transfer of CFQ

    Once NMFS issues CFQ to a rockfish cooperative, it could be fished 
by members of the rockfish cooperative, or transferred to another 
rockfish cooperative. A rockfish cooperative in the catcher vessel 
sector, however, could not transfer CFQ to a rockfish cooperative in 
the catcher/processor sector. The Council recommended this restriction 
to address concerns about the loss of shorebased processing, potential 
employment and tax revenue if catcher/processor rockfish cooperatives 
could receive rockfish harvested with CFQ from catcher vessel rockfish 
cooperatives. Transfer of CFQ would be valid only during the calendar 
year of the transfer.
    To standardize the reporting of information, transfers would have 
to be completed using an application for inter-cooperative transfer 
available on the NMFS Alaska Region Web site at http://www.fakr.noaa.gov, or by directly contacting NMFS (see ADDRESSES). A 
rockfish cooperative could only transfer CFQ if:
    1. The rockfish cooperative identified the amount and type of CFQ 
transferred

[[Page 33053]]

and the rockfish cooperative and rockfish cooperative member to which 
that CFQ was transferred. CFQ received by a rockfish cooperative would 
have to be attributed to a member of that rockfish cooperative to apply 
the use caps (see Use Cap section for more detail);
    2. The transfer would not cause the receiving rockfish cooperative 
to exceed its use cap limitations. The rockfish cooperative would be 
responsible for ensuring that any transfer does not exceed rockfish 
cooperative use cap provisions; and
    3. NMFS approved the transfer.

Transfer of Processor Eligibility

    Eligible rockfish processors could transfer their eligibility to 
another person. Eligible rockfish processors could not suballocate 
their eligibility or the legal landings that were used to qualify that 
processor. Any transfer of rockfish processor eligibility would include 
the entire processing history and eligibility and the specific years 
that were originally selected to establish linkages with eligible 
rockfish harvesters. NMFS would prohibit the transfer of portions of 
processing history. This prohibition would prevent processing history 
from being divided, creating the potential for a large number of 
processors to form by transferring the minimum amount of processing 
history to create new eligible rockfish processors. This prohibition is 
necessary so that NMFS can reasonably establish which landings were 
delivered to a specific processor and determine if minimum landing 
standards to form rockfish cooperatives by a defined group of eligible 
rockfish harvesters have been met. This prohibition is also consistent 
with Council intent to limit the number of potentially eligible 
processors.
    Additionally, any transfer of processor eligibility could not be 
made to a person who would use that processor eligibility to associate 
with a rockfish cooperative that would receive rockfish or secondary 
species fish outside the community where the processor eligibility was 
originally earned. This restriction would prevent a processor from 
associating with rockfish cooperatives outside of the community in 
which it historically operated.
    A transfer of processor eligibility would require notification to 
NMFS through an application to transfer processor eligibility available 
on the NMFS Alaska Region Web site at http://www.fakr.noaa.gov, or by 
directly contacting NMFS (see ADDRESSES). In order for a transfer 
application to be effective:
    1. The transferor and transferee would have to provide 
identification information;
    2. Both the transferor and transferee would have to certify the 
transfer; and
    3. NMFS would have to approve the transfer.

Limited Access Fishery

    The Program would establish separate limited access fisheries for 
eligible rockfish harvesters for the catcher vessel sector and catcher/
processor sector. An eligible rockfish harvester would decide to 
participate in a limited access fishery on an annual basis through an 
application for the limited access fishery, available on the internet 
at http://www.fakr.noaa.gov, and submitted by December 1 of each year. 
NMFS would assume that unless an LLP license were assigned to either a 
rockfish cooperative or the opt-out fishery for the catcher/processor 
sector, that LLP license would be assigned to the limited access 
fishery for that sector. This would ensure that all LLP licenses are 
assigned to at least one of the Program fisheries.
    The limited access fishery for both sectors would open on July 1 of 
each year and would remain open until the TACs for all three primary 
rockfish species is reached, or until November 15 of each year. NMFS 
would manage the limited access fishery for the catcher vessel sector 
and the catcher/processor sector separately. NMFS would announce the 
closure of a limited access fishery in the Federal Register.
    The amount of primary rockfish species TAC for the limited access 
fishery would be a limit on the maximum collective amount of rockfish 
catch by participating vessels. NMFS would monitor the amount of fish 
available to a limited access fishery. If the amount of fish available 
to the fishery were small and the expected harvest rates of the 
participants in the fishery was high, NMFS could choose not to open 
that limited access fishery, or could choose to open a limited access 
fishery for only some of the primary rockfish species (e.g., Pacific 
ocean perch but not northern rockfish).
    If an eligible rockfish harvester assigned an LLP license to the 
limited access fishery, the QS from that license would be pooled with 
the QS from all other LLP licenses assigned to the limited access 
fishery. The limited access fishery would be issued a TAC equivalent to 
the percentage of the total QS allocated to the limited access fishery 
in that sector for that primary rockfish fishery. Quota share assigned 
to the limited access fishery in the catcher vessel sector would be 
part of the TAC harvested by any eligible rockfish harvester who had 
assigned an LLP license for use in the limited access fishery in the 
catcher vessel sector. Likewise, QS assigned to the limited access 
fishery in the catcher/processor sector would be part of the TAC 
harvested by any eligible rockfish harvester who had assigned an LLP 
license for use in the limited access fishery in the catcher/processor 
sector. Unlike the rockfish cooperative fishery, no exclusive harvest 
privilege would exist in the limited access fishery. Primary rockfish 
species harvested by catcher vessels in the limited access fishery 
would have to be delivered to an eligible rockfish processor.
    No CFQ of secondary species or halibut bycatch would be allocated 
to the limited access fishery. Instead, limited access fishery 
participants would be subject to an MRA based on the species that they 
target. The MRA would be a fixed percentage of incidentally caught fish 
that an eligible rockfish harvester may retain relative to the fish 
onboard the vessel. In the limited access fishery, the MRA would be 
measured against the amount of primary rockfish onboard the vessel. 
Incidental species, such as trawl sablefish, could only be retained as 
a percentage of the primary rockfish aboard the vessel.
    To reduce the potential for limited access participants to ``top-
off'' or target potentially valuable incidental species up to the MRA, 
the MRA assigned to participants in the limited access fishery would be 
set at a level adequate to allow some retention of these species, but 
low enough to avoid creating an incentive to specifically ``top off'' 
on those species. The MRA for the limited access fishery is set at a 
lower percentage than is currently applied in the rockfish fisheries. A 
lower MRA for the limited access fishery was recommended by the Council 
to reduce the incidental harvest of these species. The specific MRA 
rates for incidental species are provided in Table 30 of the proposed 
regulatory text.

Opt-Out Fishery

    An eligible rockfish harvester that holds an LLP license with QS in 
the catcher/processor sector could choose to opt-out of many of the 
Program restrictions. The harvester could make the decision to opt-out 
on an annual basis by submitting an application to opt-out. The 
application is available on the internet at http://www.fakr.noaa.gov, 
and would have to be submitted by December 1 of each year. An eligible 
rockfish harvester holding an LLP license with QS in the catcher vessel 
sector could not choose to

[[Page 33054]]

opt-out of the Program. Some restrictions under the Program would still 
apply to the use of any LLP license assigned to the opt-out fishery 
during a year (see the Sideboard Provisions section, below). If an 
eligible rockfish harvester were to assign an LLP license to the opt-
out fishery, the harvester could not use that LLP license on a vessel 
that is participating in a rockfish cooperative, limited access 
fishery, or the entry level fishery. Effectively, this would preclude a 
vessel that used an LLP license in the opt-out fishery from directed 
fishing for the three primary rockfish species in the Central GOA.
    Any portion of the TAC that would be derived from the QS associated 
with an LLP license in the opt-out fishery would be redistributed to 
the eligible rockfish harvesters participating in cooperatives and the 
limited access fishery in the catcher/processor sector. This TAC would 
be redistributed in proportion to the QS holdings in each rockfish 
cooperative and the limited access fishery for the catcher/processor 
sector. Any TAC associated with the LLP licences assigned to the opt-
out fishery would be reallocated for each year that the LLP license was 
assigned to the opt-out fishery.

Use Caps

    As with other rationalization programs, the intent of the use caps 
under the Program is to limit the degree of consolidation that could 
occur in the Central GOA rockfish fisheries. These use caps would 
balance the goals of improving economic efficiency, maintaining 
employment opportunities for vessel crew, and providing financially 
affordable access opportunities for new participants. NMFS would 
require eligible rockfish harvesters, cooperatives, processors, and 
catcher/processor vessel operators to submit information through the 
annual applications, cooperative transfers, and annual catch reports. 
NMFS would use the information to enforce the use cap provisions, to 
track primary rockfish species QS use, and dissuade eligible rockfish 
harvesters from forming corporate arrangements that would frustrate the 
goal of the use caps. The use caps under this Program apply to the 
primary rockfish species. Use caps would not apply to the use of 
secondary species or halibut PSC.
    There would be four types of use caps: (1) A cap on the amount of 
QS an eligible rockfish harvester could hold; (2) a cap on the amount 
of primary rockfish species CFQ that an eligible rockfish harvester 
could use; (3) a cap on the amount of primary rockfish species CFQ that 
a vessel in the catcher/processor sector could harvest; and (4) a limit 
on the amount of primary rockfish species an eligible rockfish 
processor could receive and process. Different use caps would apply 
depending on whether the QS or CFQ are for use in the catcher vessel or 
the catcher/processor sector. For example, if an eligible rockfish 
harvester holds an LLP license with QS in the catcher vessel sector, 
then that harvester would be subject to a use cap that applies to the 
holding of QS in that sector. If that same eligible rockfish harvester 
holds a different LLP license with QS in the catcher/processor sector, 
then that holder would have a different use cap that would apply to the 
holding of QS in that sector.
    Quota share use caps. QS use caps would limit the amount of 
aggregate primary species rockfish QS that may be held by an eligible 
rockfish harvester. These QS use caps would be based on the aggregate 
initial QS pool assigned to each sector. The initial QS pool in each of 
the three primary species fisheries, would be: Northern rockfish--
9,193,182 QS units; pelagic shelf rockfish--7,672,008 QS units; Pacific 
ocean perch--18,121,812 QS units. The aggregate initial QS pool would 
be 34,987,002 units. A percentage of the aggregate initial QS pool 
would be allocated to the catcher vessel sector and a percentage to the 
catcher/processor sector. An eligible rockfish harvester could not hold 
more than 5 percent of the aggregate primary rockfish species QS 
assigned to the catcher vessel sector, or more than 20 percent of the 
aggregate primary rockfish species QS assigned to the catcher/processor 
sector.
    The Official Record would indicate the relative percentage of the 
legal landings in the catcher vessel and the catcher/processor sector. 
NMFS could not determine the exact amount of the initial QS pool that 
would be assigned to each sector until the applications to participate 
in the program were processed. NMFS would determine the number of QS 
units for the catcher vessel and catcher/processor sector QS use cap 
once the applications are processed. The QS use cap would be based on a 
percentage of the initial QS pool. NMFS would establish a QS use cap 
that would not fluctuate with changes in the QS pool that could occur 
due to the resolution of appeals, or other operations of law that would 
modify the QS pool. This would provide stability to QS holders.
    NMFS would calculate the amount of QS held by an eligible rockfish 
harvester using the ``individual and collective rule.'' This method is 
similar to one used in the Halibut and Sablefish IFQ Program. NMFS 
would include the sum of all QS held individually by an eligible 
rockfish harvester and the percentage of any holdings used collectively 
by that eligible rockfish harvester through a corporation, partnership, 
or other entity.
    CFQ use caps. NMFS would apply CFQ use caps to eligible rockfish 
harvesters, rockfish cooperatives, and processors. NMFS would apply CFQ 
use caps to limit the amount of CFQ derived from the QS held by an 
eligible rockfish harvester. As an example, an eligible rockfish 
harvester could not use an amount of CFQ greater than the amount 
derived from: 5 percent of the aggregate initial QS pool in the catcher 
vessel sector; or 20 percent of the aggregate initial QS pool in the 
catcher vessel sector. An eligible rockfish harvester would be 
considered to use CFQ if he or she assigns QS to a rockfish cooperative 
that results in CFQ for use by that rockfish cooperative. The amount of 
CFQ that is used by an eligible rockfish harvester also would include 
any CFQ a rockfish cooperative receives by transfer that is attributed 
to an eligible rockfish harvester. All CFQ received by transfer would 
have to be assigned to an eligible rockfish harvester who is a member 
of that cooperative for purposes of calculating use caps. This would 
limit cooperatives to use no more CFQ than the maximum amount of CFQ 
that could be derived from the maximum amount of QS that could be held 
by all of its members. Therefore, the total CFQ usage by an eligible 
rockfish harvester would be the sum of the CFQ derived from QS held by 
that eligible rockfish harvester and all CFQ attributed to that 
eligible rockfish harvester as a result of a CFQ transfer.
    CFQ use caps would limit the maximum amount of CFQ that could be 
assigned to any one cooperative. NMFS would apply CFQ use caps only to 
rockfish cooperatives in the catcher vessel sector. NMFS would apply 
the catcher vessel cooperative use cap as a percentage of the aggregate 
initial QS pool assigned to the catcher vessel sector. Catcher vessel 
rockfish cooperatives would be limited to using not more than 30 
percent of the CFQ allocated to the catcher vessel sector.
    The amount of CFQ used by an eligible rockfish harvester would be 
calculated using the ``individual and collective rule.'' An eligible 
rockfish harvester's holding of CFQ would include all CFQ attributed to 
that individual and the percentage of any CFQ attributed to that 
individual through a corporation, partnership, or other entity. 
Therefore, CFQ use would

[[Page 33055]]

include all CFQ derived from an eligible rockfish harvester's QS 
holdings, either individually or through corporate ownership, and all 
CFQ attributed to an individual as a result of an inter-cooperative 
transfer of CFQ.
    NMFS would not apply CFQ use caps to cooperatives in the catcher/
processor sector. Although NMFS would not apply a CFQ use cap to 
catcher/processor cooperatives, NMFS would limit the maximum amount of 
CFQ that could be used on any one catcher/processor vessel.
    Use caps for the catcher/processor sector. NMFS would limit a 
vessel participating in the catcher/processor sector from harvesting 
more than 60 percent of the CFQ of primary rockfish species in the 
catcher/processor sector.
    Primary rockfish species processing caps. Eligible rockfish 
processors would be subject to CFQ use caps. NMFS would limit an 
eligible rockfish processor from receiving or processing more than 30 
percent of the aggregate rockfish primary species that would be 
allocated to the catcher vessel sector. Unlike the other use caps, this 
processing limitation would include both CFQ and any primary rockfish 
species assigned to the limited access fishery. The intent of this use 
cap is to limit the degree of processor consolidation, including cases 
where the processor is receiving primary rockfish species harvested 
under a CFQ permit by a cooperative and by vessels in the catcher 
vessel sector limited access fishery. NMFS would calculate the usage of 
aggregate rockfish primary species usage by using the ``AFA 10 percent 
threshold rule.'' This method is similar to one used in the AFA and the 
BSAI Crab Rationalization Program. NMFS would include all primary 
rockfish species received by an eligible processor and all fish 
received by any other eligible rockfish processor in which that 
eligible rockfish processor has a 10 percent or greater direct or 
indirect ownership interest as applying to the use cap calculation. 
NMFS would apply this more stringent provision to processors to 
dissuade eligible rockfish processors from forming corporate 
arrangements that would consolidate the already limited number of 
distinct processors even further and frustrate the goal of the use cap, 
which is to limit the degree of consolidation in the fishery.
    Table 5 describes the use cap amounts and limits that would apply 
to eligible rockfish harvesters, rockfish cooperatives, and eligible 
rockfish processors.

                    Table 5.--Use Caps in the Program
------------------------------------------------------------------------
                                           Primary species aggregate QS
                                           and CFQ use cap based on the
                                            initial QS pool assigned to
                                               each sector (percent)
                 Entity                  -------------------------------
                                                             Catcher/
                                          Catcher vessel     processor
                                              sector          sector
------------------------------------------------------------------------
Eligible rockfish harvester.............             5.0            20.0
Rockfish cooperative....................            30.0             N/A
Processor...............................            30.0             N/A
Vessel..................................             N/A            60.0
------------------------------------------------------------------------

    Grandfather provisions. As with other rationalization programs in 
the North Pacific, the Program would allow those persons whose initial 
allocation of QS and resulting CFQ is in excess of the use caps to 
retain that amount. Commonly called ``grandfather provisions,'' these 
provisions would accommodate participants who historically had greater 
participation in the fishery than the use caps would allow. Any person 
eligible for the grandfather provisions would be limited to their 
initial holdings. If a grandfathered eligible rockfish harvester, 
processor, or owner of a catcher/processor vessel transferred an LLP 
license and associated QS, then that person would be limited to that 
resulting amount, or the use cap, whichever is greater. Table 6 defines 
the requirements that would apply for qualifying for a grandfather 
provision.

       Table 6.--Eligibility Criteria for a Grandfather Provision
------------------------------------------------------------------------
                                              Meets the grandfather
           This entity . . .             eligibility requirements if . .
                                                        .
------------------------------------------------------------------------
Eligible rockfish harvester............  (1) He or she held LLP
                                          license(s) at the time of
                                          application in the program
                                          that would result in QS or CFQ
                                          in excess of the use caps; and
                                          (2) the LLP license(s) were
                                          held by that eligible rockfish
                                          harvester prior June 6, 2005
                                          (the time of final Council
                                          action on this Program).
Catcher vessel rockfish cooperative....  It is comprised of members who
                                          include eligible rockfish
                                          harvesters that meet the
                                          grandfather eligibility
                                          requirements.
Processor..............................  It receives and processes CFQ
                                          derived from a rockfish
                                          cooperative that meets the
                                          grandfather eligibility
                                          requirements.
Catcher/processor vessel...............  An LLP license used on that
                                          vessel prior to June 6, 2005,
                                          is assigned QS that results in
                                          CFQ in excess of the use cap,
                                          and the CFQ derived from that
                                          LLP license is used on that
                                          vessel.
------------------------------------------------------------------------

Sideboard Provisions

    NMFS would expect the Program to improve the economic efficiency of 
eligible rockfish harvesters, primarily by encouraging consolidation 
through the use of rockfish cooperatives. NMFS anticipates that 
rockfish cooperatives would be likely to use fewer vessels to harvest 
the same amount of fish with less cost, resulting in greater net 
profits for rockfish cooperative members. NMFS anticipates that some 
eligible rockfish harvesters could use their vessels and LLP licenses 
to participate in other groundfish fisheries, particularly cod, 
flatfish, and rockfish fisheries in the West Yakutat District,

[[Page 33056]]

Western GOA, and in the BSAI. With the added economic efficiency likely 
to be created by this Program, eligible rockfish harvesters could use 
this economic efficiency to offset operational costs in other 
fisheries, or expand into new fisheries. This could economically 
disadvantage harvesters in these other fisheries.
    The Council recommended Program elements that would limit the 
ability of eligible rockfish harvesters to expand into other fisheries. 
These types of limitations are common to North Pacific rationalization 
programs and are commonly called sideboards. Sideboards would limit the 
total amount of harvest by eligible rockfish harvesters in other 
fisheries. Sideboards would limit the amount of halibut PSC that may be 
used in certain directed groundfish fisheries. Some of the specific 
sideboard measures in this Program would prohibit directed fishing for 
certain groundfish fisheries. Most of the sideboard measures would be 
in effect only during the month of July. Traditionally, the Central GOA 
rockfish fishery was open in July, and therefore the sideboards would 
restrict fishing during the historic timing of the fishery, but allow 
eligible rockfish harvesters to participate in fisheries before or 
after the historic rockfish season.
    A sideboard would limit both an LLP license with QS assigned to it, 
and a vessel on which legal landings were made that could generate QS. 
This provision would restrict an eligible rockfish harvester from 
assigning an LLP license to a rockfish cooperative, and using the 
vessel which generated the QS to target other fisheries. Sideboards 
would apply to federally permitted vessels fishing in Federal waters 
and adjacent waters opened by the State of Alaska when the state adopts 
a Federal fishing season. The opening of State of Alaska waters in 
concurrence with the Federal fishing season is commonly known as a 
parallel fishery. The State of Alaska opens a parallel fishery to 
accommodate harvesters as they target fish stocks that freely move 
between State and Federal jurisdiction. Harvests in state waters during 
the parallel fishery are considered part of the Federal TAC because 
vessels move between State and Federal waters during the concurrent 
parallel and Federal fisheries. The State opens the parallel fisheries 
through emergency order by adopting the groundfish seasons, bycatch 
limits, and allowable gear types that apply in the adjacent Federal 
fisheries.
    Specific sideboards would apply to specific fishery components in 
the Program. The Council recommended a suite of sideboard measures to 
meet two broad, potentially competing, goals: To constrain eligible 
rockfish harvesters from expanding their harvesting capacity in other 
non-Program fisheries; and to provide an opportunity for harvesters, 
particularly in the catcher/processor sector, to continue to 
participate in other fisheries they have historically fished. 
Sideboards would fall into two broad categories: Sideboard limits that 
constrain the amount of catch in specific regions and fisheries during 
July; and directed fishery closures that prohibit fishing in specific 
fisheries and regions during July. Some sideboards would apply to both 
sectors, some would apply only to the catcher vessel sector, and some 
would apply only to the catcher/processor sector. The Program would 
include five types of sideboards: (1) General sideboards; (2) catcher 
vessel sideboards; (3) catcher/processor rockfish cooperative 
sideboards; (4) catcher/processor limited access sideboards; and (5) 
catcher/processor opt-out sideboards.

General Sideboards

    General sideboards would apply to all LLP licenses and vessels that 
could be used to generate QS. General sideboards would include eligible 
rockfish harvesters, and any vessel or LLP that could have generated 
QS, even if the holder of that LLP license or vessel owner did not 
submit an application to participate in the program. The Council 
intended that general sideboard provisions would apply to all LLP 
licenses and vessels potentially eligible for the Program. The Council 
intended to limit the ability of a person with limited legal landings 
to choose not to apply for the Program and expand their harvesting 
opportunities in fisheries that were traditionally harvested by vessel 
also eligible for the Program. The general sideboard provisions would 
meet that intent.
    The Program would establish a specific exemption from general 
sideboards for vessels that would be otherwise subject to sideboard 
restrictions in the GOA under the AFA. Additional sideboards under this 
Program would impose additional restrictions on already limited vessels 
under the AFA regulations.
    General sideboards would apply to the catcher vessel and catcher/
processor sectors. General sideboards would establish a sideboard limit 
on rockfish harvests in the Western GOA, and West Yakutat District, and 
halibut PSC limits in the Central GOA, Western GOA, and West Yakutat 
District during the month of July.
    A sideboard limit in the Western GOA and West Yakutat District 
rockfish fisheries would limit the pounds of fish that could be caught 
by vessels fishing subject to the sideboard restriction to historic 
harvest levels. The halibut PSC sideboard limit in the Central GOA, 
Western GOA, and West Yakutat District would indirectly limit the 
harvests of specific groundfish flatfish species that historically have 
been limited not by their TAC, but by halibut PSC. A halibut PSC 
sideboard would constrain the amount of halibut PSC that can be used 
when harvesting flatfish species.
    The Western GOA and West Yakutat District rockfish sideboard limit 
would be based on the historic share of catch for a specific rockfish 
fishery by vessels that generated legal landings that could generate QS 
under the Program. The sideboard would be determined by measuring catch 
by these vessels during July from 1996 through 2002, as compared to the 
total harvests by all vessels during this period in the particular 
directed groundfish fishery. This would yield a percentage of the total 
harvests in that directed groundfish fishery. On an annual basis, this 
percentage would be multiplied by the TAC for that directed groundfish 
fishery. This amount would be the sideboard limit. Sideboard limits 
would be assigned to the appropriate sector, either the catcher/
processor or the catcher vessel sector.
    The EA/RIR/IRFA prepared for this action clarifies that the 
sideboard provisions would apply only to Pacific ocean perch, pelagic 
shelf rockfish, and northern rockfish (see ADDRESSES). Other rockfish 
species would not be subject to specific sideboard limits, but would be 
subject to existing management measures such as MRAs.
    NMFS would establish the sideboard limit for each of the three 
rockfish species (i.e., Pacific ocean perch, pelagic shelf rockfish, 
and northern rockfish) for each sector using the percentage of historic 
harvests of that rockfish species for that sector based on calculations 
in the EA/RIR/IRFA prepared for this action. The EA/RIR/IRFA notes the 
amount of historic harvest by vessels and LLP licenses subject to 
sideboards for the three rockfish species in July as a percentage of 
the total harvests by all trawl vessels in July. This is further 
detailed by sector and management area. NMFS would establish the 
sideboard limit for each sector, fishery, and management area based on 
the computations provided in the EA/RIR/IRFA to provide the industry 
with sideboard limits that would be based on the best available 
information and would meet expectations discussed

[[Page 33057]]

throughout the public development of the sideboard limits during the 
Council process.
    Table 7 displays the percentage of the annual TAC assigned to each 
sector for each rockfish fishery in the Western GOA and West Yakutat 
District based on the information provided in the EA/RIR/IRFA. A 
discussion of the data and analytic process used in the development of 
the sideboard amounts is provided in Section 2.5 of the EA/RIR/IRFA. 
NMFS would not establish a general sideboard limit for northern 
rockfish in the West Yakutat District because the fishery was not open 
for directed fishing during 1996 through 2002.

             Table 7.--Sideboard Limits by Sector for West Yakutat District and Western GOA Rockfish
----------------------------------------------------------------------------------------------------------------
                                                                                     Catcher/
                                                                                     processor    Catcher vessel
              Management area                              Fishery                    sector          sector
                                                                                    (percent of     (percent of
                                                                                     the TAC)        the TAC)
----------------------------------------------------------------------------------------------------------------
West Yakutat District......................  Pelagic shelf rockfish.............            72.4             1.7
                                             Pacific ocean perch................            76.0             2.9
Western GOA................................  Pelagic shelf rockfish.............            63.3             0.0
                                             Pacific ocean perch................            61.1               *
                                             Northern rockfish..................            78.9            0.0
----------------------------------------------------------------------------------------------------------------
* Not released due to confidentiality requirements on fish ticket data established by the State of Alaska.

    The sideboard limits established in Table 7 would be assigned to 
each sector for each fishery and would limit the maximum amount of fish 
that sector could harvest. A specific subset of this fixed percentage 
would be assigned to rockfish cooperatives in the catcher/processor 
sector only. Cooperatives in the catcher/processor sector would receive 
a sideboard limit equal to the percentage of rockfish QS assigned to 
that cooperative multiplied by the total sideboard limit assigned to 
the catcher/processor sector for a species in a specific management 
area. For example, if 61.1 percent of the Western GOA TAC for pelagic 
shelf rockfish were assigned to the catcher/processor sector, and a 
rockfish cooperative was assigned 10 percent of the total rockfish QS 
in the catcher/processor sector (i.e., 10 percent of the aggregate 
rockfish QS for Pacific ocean perch, pelagic shelf rockfish , and 
northern rockfish), NMFS would assign that cooperative 10 percent of 
61.1 percent, or 6.11 percent of the Western GOA TAC for pelagic shelf 
rockfish. A sideboard limit specified for a catcher/processor 
cooperative would limit only that cooperative. This sideboard limit 
could not be transferred to another cooperative. NMFS would not 
establish similar sideboard limits for cooperatives in the catcher 
vessel sector. Table 7 indicates that historically very small amounts 
of rockfish in the Western GOA and West Yakutat District have been 
harvested by the catcher vessel sector. Table 7 indicates that 
historically the catcher/processor sector has harvested most of the 
rockfish in the Western GOA and West Yakutat District. Cooperative 
specific sideboards for the catcher/processor sector would reduce the 
incentive for cooperatives within the catcher/processor sector to race 
to catch the maximum amount allowed under a sideboard limit and 
potentially exceed the TAC established for these species.
    The Program would establish sideboard limits on how much halibut 
PSC may be used in the Central GOA, Western GOA, and West Yakutat 
District in addition to sideboards on rockfish harvests in the Western 
GOA and West Yakutat District. Halibut PSC sideboards would limit the 
amount of halibut that may be incidentally caught and killed while 
fishing for groundfish.
    NMFS would base the specific halibut PSC sideboard limit, the limit 
on the pounds of halibut PSC allocated to vessels fishing subject to a 
sideboard, on the historic use of halibut PSC in July by vessels in 
each sector. NMFS would establish distinct halibut PSC sideboards for a 
shallow-water species complex and a deep-water complex. Because halibut 
PSC limits in the GOA are established based on fishery complexes based 
on the depth of the targeted groundfish species, the halibut PSC 
sideboard limit for the shallow water complex would be based on average 
halibut PSC by vessels subject to sideboards in the shallow-water 
flatfish and flathead sole fisheries. The halibut PSC sideboard limit 
for the deep-waters species complex would be based on average halibut 
PSC by vessels subject to sideboards in the arrowtooth flounder, deep-
water flatfish, rex sole, and rockfish fisheries.
    NMFS proposes to establish the sideboard limit for the shallow-
water fishery complex and the deep-water fishery complex for each 
sector based on the historic halibut PSC usage calculated in the EA/
RIR/IRFA prepared for this proposed action. The EA/RIR/IRFA describes 
the amount of historic halibut PSC by vessels and LLP licenses subject 
to sideboard limits in July as a percentage of the total halibut PSC by 
all trawl vessels in July for that fishery in that sector and 
management area. NMFS would establish the sideboard limit for each 
sector based on the computations provided in the EA/RIR/IRFA to provide 
the industry with sideboard limits that would be based on the best 
available information and would meet expectations discussed throughout 
the public development of the sideboard limits during the Council 
process.
    Table 8 displays the percentage of the annual GOA halibut PSC limit 
in the shallow-water complex and deep-water complex assigned to each 
sector in the Central GOA, Western GOA, and West Yakutat District based 
on the information provided in the EA/RIR/IRFA. The percentage assigned 
as a sideboard limit would be equal to the annual average halibut PSC 
by vessels and LLP licenses subject to the sideboard limit during July 
from 1996 through 2002 in that sector divided by the total average 
halibut mortality assigned to the GOA trawl sector during 1996 through 
2002. During this time period, the average annual halibut PSC was equal 
to 2000 metric tons. A discussion of the data and analytic process used 
in the development of the sideboard amounts is provided in Section 2.5 
of the EA/RIR/IRFA.

[[Page 33058]]



   Table 8.--Sideboard Limits by Sector for West Yakutat District, Central GOA, and Western GOA Annual Halibut
                                                    Mortality
----------------------------------------------------------------------------------------------------------------
                                                                                   Shallow-water     Deep-water
                                                                                      complex         complex
                                                                                      halibut         halibut
                                                                                     mortality       mortality
              Management area                               Sector                limit (percent  limit (Percent
                                                                                    of the GOA      of the GOA
                                                                                  annual halibut  annual halibut
                                                                                     mortality       mortality
                                                                                      limit)          limit)
----------------------------------------------------------------------------------------------------------------
Western GOA................................  Catcher/Processor sector...........            0.16            1.56
                                             Catcher Vessel Sector..............            0.00            0.00
Central GOA................................  Catcher/Processor sector...........            0.37            1.78
                                             Catcher Vessel Sector..............            6.14            0.98
West Yakutat District......................  Catcher/Processor sector...........            0.01            0.65
                                             Catcher Vessel Sector..............            0.18            0.10
----------------------------------------------------------------------------------------------------------------

    As with the rockfish sideboard limits, NMFS would establish a 
specific subset of the halibut PSC limit to rockfish cooperatives in 
the catcher/processor sector only. Cooperatives in the catcher/
processor sector would receive a portion of the catcher/processor 
sideboard limit equal to the percentage of QS assigned to that 
cooperative in the catcher/processor sector multiplied by the halibut 
PSC limit. For example, if 1.78 percent of the Central GOA Halibut PSC 
is assigned to the catcher/processor sector, and a rockfish cooperative 
is assigned 10 percent of the total rockfish QS in the catcher/
processor sector (i.e., 10 percent of the aggregate rockfish QS for 
Pacific ocean perch, pelagic shelf rockfish , and northern rockfish), 
NMFS would assign that cooperative 10 percent of 1.78 percent, or 0.178 
percent of the Central GOA halibut PSC. A sideboard limit specified for 
a catcher/processor cooperative would limit that cooperative. This 
sideboard limit could not be transferred to another cooperative. NMFS 
would not establish similar sideboard limits for cooperatives in the 
catcher vessel sector.
    NMFS would manage the sideboard to meet the intent of the Council, 
which is to maintain a limit on rockfish harvests and halibut PSC 
during the month of July. NMFS would review the sideboard limits for 
specific fisheries, sectors, and regions and would not open a fishery 
if a sideboard limit was not adequate to support harvests or halibut 
PSC. NMFS would close fisheries for vessels subject to a sideboard if 
harvests in those fisheries result in the harvest of sideboard species 
in excess of the sideboard limit. NMFS would use the following 
standards and require the necessary monitoring to ensure adequate 
accounting:
    First, NMFS would require any vessel subject to sideboard 
limitations operating in the Central GOA, Western GOA, and West Yakutat 
District from July 1 until July 31 to adhere to all catch monitoring 
requirements. This would allow NMFS to assess harvest rates, and 
monitor harvests in that fishery (see the Observer section of the 
preamble below for more information).
    Second, NMFS would require all vessels subject to a sideboard limit 
to retain all rockfish caught during July 1 through July 31 in the 
Western GOA and the West Yakutat District. NMFS would require vessels 
to retain rockfish regardless of the specific target fishery. The goal 
of the sideboard limit would be to ensure historic harvest levels are 
not exceeded. NMFS would require retention of rockfish harvested 
incidental to other directed fisheries (e.g., Western GOA arrowtooth 
flounder), and debit them against the sideboard limit applicable to 
that sector. NMFS would prohibit vessels from directed fishing in a 
specific rockfish fishery in a specific area for a specific sector, if 
that sideboard limit is reached.
    Third, NMFS would debit all halibut PSC in a sector attributed to 
the shallow-water species complex or deep-water species complex in the 
Central GOA, Western GOA, and West Yakutat District in July against the 
shallow-water halibut PSC sideboard or deep-water halibut PSC sideboard 
limit, as appropriate, for a sector in a specific management area. This 
would ensure that all halibut PSC in July is debited against the 
sideboard limit established for the appropriate complex and sector.
    NMFS would close directed fishing for non-rockfish fisheries in 
specific species complexes once the halibut PSC sideboard limit is 
reached. Specifically, if the halibut PSC limit for the deep-water 
complex in a management area is reached, NMFS would close directed 
fishing for arrowtooth flounder, deep-water flatfish, and rex sole in 
that management area. If the halibut PSC sideboard limit for the 
shallow-water complex in a management area is reached, NMFS would close 
directed fishing for flathead sole and shallow water flatfish in that 
management area.
    An example of the management of rockfish sideboard limits and 
halibut PSC sideboard limits follows. Assuming that catcher vessels 
subject to the sideboard restrictions target Pacific ocean perch 
rockfish in the Western GOA, then all rockfish harvested by those 
vessels would be debited against the rockfish sideboard for the catcher 
vessel sector. Because rockfish are in the deep-water complex, all 
halibut PSC occurring in the rockfish fishery would be debited against 
the deep-water species complex halibut PSC sideboard for catcher 
vessels as well. NMFS would close the deep-water species complex 
(arrowtooth flounder, deep-water flatfish, and rex sole), for the 
catcher vessel sector once the halibut PSC sideboard limit is reached. 
NMFS would still account for any halibut PSC in the rockfish fishery 
and debit it against the general halibut PSC limit for the GOA. NMFS 
would close the rockfish sideboard fishery for directed fishing (e.g., 
Pacific ocean perch), once the rockfish sideboard limit for the catcher 
vessel sector had been reached.
    In the Central GOA, NMFS would calculate the shallow-water halibut 
PSC sideboard limit and deep-water halibut PSC sideboard limit by 
including all halibut mortality for that sector in the month of July. 
NMFS would assign vessels that participate in a rockfish cooperative an 
allocation of halibut PSC CFQ for the incidental mortality of halibut 
occurring during the Central GOA Program fisheries. This halibut PSC 
CFQ allocation would be derived from usage in the rockfish fisheries 
that are in the deep-water complex. NMFS would debit all halibut PSC in 
a sector, including CFQ, against the deep-water halibut mortality 
halibut PSC sideboard limit. This accounting method would ensure that 
all halibut PSC in July is debited against the proper sideboard limit. 
If the deep-water halibut PSC

[[Page 33059]]

sideboard limit is reached, vessels participating in rockfish 
cooperatives could continue to use halibut PSC CFQ during the 
prosecution of their primary rockfish species and secondary species 
CFQ, but would be precluded from directed fishing for arrowtooth 
flounder, rex sole, and deep-water flatfish.
    Fourth, the sideboard limits recommended by the Council, and which 
would be implemented by this action, are intended to limit harvests by 
vessels that are harvesting fish allocated under a TAC. NMFS would 
account for all catch by federally licensed vessels in Federal waters 
and the State parallel fishery against the sideboard limit. 
Additionally, federally permitted vessels would be precluded from 
fishing in the parallel fishery during July if the sideboard limit for 
that fishery is reached or the sideboard fishery is not open. NMFS 
would not manage the activities of non-federally permitted vessels in 
the parallel fishery or in other state-managed fisheries.

Catcher Vessel Sideboards

    The Program recommended by the Council provides for specific 
sideboard measures for catcher vessels. These sideboard measures 
include prohibitions on catcher vessels fishing specific groundfish 
fisheries in the BSAI, and limitations on fishing Pacific cod in the 
BSAI during July. The prohibition on directed fishing in specific 
fisheries in the BSAI during July is based on a review of past 
participation by the catcher vessel fleet. Catcher vessels would be 
prohibited from directed fishing on species in the BSAI that they have 
not historically harvested as determined by the Council. These species 
would include: Alaska plaice; arrowtooth flounder; flathead sole; other 
flatfish; Pacific ocean perch; rock sole; and yellowfin sole.
    BSAI Pacific cod sideboard limits in July would be calculated and 
managed similar to general sideboards in the GOA. The sideboard 
restrictions do not provide for specific allocations of sideboard 
limits to rockfish cooperatives in the catcher vessel sector. The BSAI 
Pacific cod sideboard limit would apply to the entire catcher vessel 
sector--rockfish cooperatives and the limited access fishery as a 
whole. Based on data from the EA/RIR/IRFA, the sideboard limit for BSAI 
Pacific cod in the catcher vessel sector is likely to be small, and 
NMFS may choose not to permit directed fishing by vessels subject to 
the BSAI Pacific cod sideboard limit.
    Table 9 summarizes the elements of general sideboards and catcher 
vessel sideboards.

                                 Table 9.--General and Catcher Vessel Sideboards
----------------------------------------------------------------------------------------------------------------
               Element                         General sideboards                 Catcher vessel sideboards
----------------------------------------------------------------------------------------------------------------
Which sector does it apply to?        Both the catcher vessel catcher/      Only the catcher vessel sector.
                                       processor sector.
When does the sideboard apply?        From July 1 through July 31.
Which LLP licenses are subject to       All LLP licenses that are eligible to receive QS under the Program are
 sideboards?                            subject to sideborads, including LLP licenses that could generate QS but
                                          were not designated in an application to participate in the Program.
Which vessels are subject to          All vessels with legal landings that could generate QS under this Program.
 sideboards?
Are there any exemptions to this      Yes, vessels that are identified as not exempt from GOA sideboards under
 sideboards?                           the AFA, as speci-
                                       fied under 50 CFR this 679.63(b)(1)(i)(B), are exempted from these
                                       sideboards.
Does this sideboard prohibit          No.                                   Yes, any vessel or LLP license
 directed fishing in specific                                                subject to this sideboard may not
 groundfish fisheries?                                                       directed fish for: Alaska plaice;
                                                                             arrowtooth flounder; flathead sole;
                                                                             other flatfish; Pacific ocean
                                                                             perch; rock sole; or yellowfin sole
                                                                             in the BSAI during July.
Which fisheries are subject to        Western GOA and Western Yakutat       Pacific cod in the BSAI during July.
 sideboard limits?                     District Pacific ocean perch,
                                       pelagic shelf rockfish, and
                                       northern rockfish during July.
How is the sideboards ratio           For each sector, and for each         In addition to the general
 determined?                           fishery subject to a sideboard,       sideboard, for each fishery subject
                                       NMFS will: (1) Add up the total       to a sideboard, NMFS will: (1) add
                                       retained catch by all vessels         up the total retained catch by all
                                       subject to sideboards during the      vessels subject to sideboards
                                       month of July during 1996 through     during the month of July during
                                       2002; and (2) divide this amount by   1996 through 2002; and (2) divide
                                       the total retained catch by all       this amount by the total retained
                                       vessels during the same period. The   catch vessels during the same
                                       resulting quotient is the sideboard   period. The resulting ratio is the
                                       ratio for that sector.                sideboard ratio. Based on the data
                                                                             from EA/RIR/IRFA prepared for this
                                                                             action, this amount represents 0.0
                                                                             percent of the BSAI Pacific cod
                                                                             average annual TAC during this
                                                                             period.
How is the annual sideboard             The sideboard ratio is multiplied by the TAC for that specific sideboard
 determined?                                fishery. If the TAC for that sideboard fishery is divided among
                                            management areas, or seasons then the annual sideboard limit is
                                                    proportionally divided among areas and seasons.
Is halibut PSC sideboarded in         Yes, this sideboard limits the        Yes, under the general sideboards.
 specific directed groundfish          amount of halibut PSC that may be
 fisheries?                            used by any vessel fishing in the
                                       directed groundfish fisheries in
                                       the GOA with a halibut PSC
                                       sideboard limit in the: (1) shallow-
                                       water complex fisheries; and (2)
                                       deep-water complex fisheries.

[[Page 33060]]

 
How is the halibut PSC sideboard      For each sector, and for the deep     Yes, under the general sideboards.
 ratio determined?                     water species and the shallow water
                                       species complexes, NMFS will
                                       calculate the halibut PSC ratio for
                                       that sector and fishery complex by:
                                       (1) adding up the total halibut
                                       mortality by all vessels subject to
                                       sideboards in July during 1996
                                       through 2002; and (2) dividing this
                                       amount by the total halibut
                                       mortality by all vessels during the
                                       same period. The resulting ratio is
                                       the halibut PSC ratio for that
                                       sector and fishery complex.
How is the annual halibut PSC         For each sector, the halibut PSC      Yes, under the general sideboards.
 sideboard limited determined?         sideboard ratio is multiplied by
                                       limit the total halibut PSC limit
                                       for the deep water species complex,
                                       or the shallow waters species
                                       complex, as applicable, in the GOA.
                                       The annual halibut PSC sideboard
                                       limit is proportionally divided
                                       among areas based on the proportion
                                       of groundfish in the shallow-water
                                       or deep-water complex harvested by
                                       that sector in that management area
                                       in the month of July.
Does all halibut mortality in         Yes, all halibut mortality counts     Yes, under the general sideboards.
 species complex in July count         against a specific species complex
 against the sideboard limit?          in specific management area.
Which fisheries are closed once a     Shallow-water halibut PSC sideboard   See general sideboards.
 halibut PSC sideboard limit is        limit. For each sector, directed
 reached?                              fishing for shallow-water flatfish
                                       and flathead sole fisheries is
                                       closed once the shallow-water
                                       halibut PSC sideboard limit is
                                       reached in that management area.
                                       Deep water halibut PSC sideboard
                                       limit. For each sector, directed
                                       fishing for arrowtooth flounder,
                                       deep-water flatfish, and rex sole
                                       once the deep-water halibut PSC
                                       sideboard limit is reached.
----------------------------------------------------------------------------------------------------------------

Catcher/Processor Rockfish Cooperative Sideboard Limits

    Under the Council's recommendations, the participants in the 
catcher/processor sector would be subject to specific prohibitions and 
sideboard limits if they are participating in a rockfish cooperative.
    Vessels and LLP licenses assigned to a catcher/processor rockfish 
cooperative would be prohibited from fishing in BSAI groundfish 
fisheries from July 1 through July 14, other than fixed-gear sablefish, 
which is managed under the IFQ Program, and pollock, which is managed 
under the AFA. This two-week prohibition would limit the ability of 
participants in the Program to expand harvests in BSAI groundfish 
fisheries during the historic Central GOA rockfish season.
    In addition, the Program would prohibit the harvest of non-Program 
groundfish except pollock and fixed-gear sablefish (IFQ sablefish) in 
the GOA during early July by vessels and LLP licenses assigned to a 
cooperative. The limitation would either be a prohibition on directed 
groundfish fishing from July 1 to July 14, or if a catcher/processor 
cooperative does not use any CFQ prior to July 1, then all vessels 
participating in a cooperative would be prohibited from directed 
fishing in any GOA non-Program groundfish fishery except fixed-gear 
sablefish and pollock from July 1 until 90 percent of that 
cooperative's primary species CFQ has been harvested.
    The Council recommended that this prohibition on fishing would not 
apply if ``NMFS accepts the rockfish cooperative sideboard monitoring 
program.'' NMFS would require all vessels to maintain adequate 
monitoring to participate in the Program (See Monitoring section of the 
preamble below for additional details). The extensive monitoring that 
would be required by catcher/processor vessels participating in a 
rockfish cooperative would be sufficient to ensure adequate accounting 
of the sideboard limits. A rockfish cooperative would fail to meet 
monitoring standards only if it were in violation of these general 
monitoring provisions.
    NMFS proposes not applying this prohibition on fishing in early 
July to catcher/processors participating in rockfish cooperatives in 
the GOA for several reasons. First, the monitoring standards required 
by NMFS would meet the requirements for monitoring sideboard 
restrictions. Second, applying a prohibition on fishing if a monitoring 
requirement is not met would require NMFS to provide any affected 
parties adequate due process to appeal any decisions before 
implementing the prohibition on fishing. In most cases, NMFS 
anticipates this due process requirement could not be satisfied in a 
timely fashion to allow the implementation of the prohibition on 
fishing. If a catcher/processor vessel participating in a rockfish 
cooperative fails to meet the monitoring requirements of this Program, 
it could be subject to enforcement action. If vessels meet the 
monitoring requirements of this Program, then NMFS would effectively 
accept the monitoring of sideboard limits by the rockfish cooperative, 
thereby, meeting the recommendation of the Council that this 
restriction would not apply if ``NMFS accepts the co-op sideboard 
monitoring program.''
    In addition to the prohibition on fishing in BSAI groundfish 
fisheries

[[Page 33061]]

other than pollock and fixed-gear sablefish from July 1 through July 
14, NMFS would assign a portion of the general sideboard limit and 
halibut PSC sideboard limit in the catcher/processor sector to each 
catcher/processor rockfish cooperative. The method for assigning a 
portion of the general sideboard limit to cooperatives is discussed 
under the General Sideboards section of the preamble. The general 
sideboard limit that would be assigned to a cooperative in the catcher/
vessel sector would be subject to the following restrictions: (1) The 
sideboard limit allocated would be based on the proportion of the QS in 
the catcher/processor sector assigned to the rockfish cooperative; and 
(2) a rockfish cooperative could not transfer any sideboard limit 
specifically assigned to it. These restrictions are necessary to 
administer the sideboard limits and ensure that a rockfish cooperative 
does not exceed its limit. Because sideboard limits, in particular the 
halibut PSC sideboard limit, would be based on data gathered from 
observers and other data sources, it would not be possible to attribute 
a sideboard limit to a specific rockfish cooperative in a timely 
fashion if transfers were permitted. Given the administrative 
complexities of tracking sideboard transfers accurately and the nature 
of this Program, a pilot project with a limited duration, NMFS would 
prohibit sideboard limit transfers to ensure compliance and reduce 
additional administrative burdens and confusion. The specific sideboard 
limits for West Yakutat District and Western GOA rockfish applicable to 
the catcher/processor sector are detailed in Table 9.
    A similar method would be used to assign a sideboard limit for the 
shallow-water halibut PSC sideboard limit and the deep-water halibut 
PSC sideboard limit to each rockfish cooperative in the Western GOA, 
Central GOA and West Yakutat District in the month of July. The method 
for assigning a portion of the halibut PSC general sideboard limits to 
cooperatives is discussed under the General Sideboards section of the 
preamble. The specific sideboard limits for halibut mortality for the 
West Yakutat District, Central GOA, and Western GOA rockfish applicable 
to the catcher/processor sector are detailed in Table 9.

Catcher/Processor Limited Entry Sideboards

    NMFS would apply specific sideboards to catcher/processor vessels 
participating in the catcher/processor limited entry fishery. These 
sideboards would prohibit fishing in early July for a specific set of 
catcher/processor vessels. Any vessel using an LLP license with greater 
than 5 percent of the QS of Pacific ocean perch assigned to the 
catcher/processor limited access fishery would be prohibited from 
directed fishing in any BSAI or GOA groundfish fishery except pollock 
or fixed-gear sablefish from July 1 until 90 percent of the CFQ of 
Pacific ocean perch assigned to the catcher/processor sector has been 
harvested.
    This sideboard restriction would limit vessels with significant 
historic participation in the Pacific ocean perch fisheries in the GOA 
from expanding their activities into other BSAI and GOA groundfish 
fisheries, specifically BSAI Pacific ocean perch fisheries, during the 
historic Central GOA rockfish season in early July.

Catcher/Processor Opt-Out Sideboards

    In addition to the general sideboards, NMFS would prohibit any 
catcher/processor LLP license and associated vessel assigned to the 
opt-out fishery from: (1) Directed fishing in any of the primary 
rockfish fisheries in the Central GOA during the year; and (2) directed 
fishing in any GOA groundfish fishery from July 1 through July 14, in 
which that vessel or LLP license does not have prior participation, 
except fixed-gear sablefish.
    The Program would define prior participation as at least one 
landing in a directed GOA groundfish fishery during any two years from 
1996 through 2002 during specific time periods in early July. The 
specific time periods for each year during which a landing could be 
made are: (1) June 30, 1996 through July 6, 1996; (2) June 29, 1997 
through July 5, 1997; (3) June 28, 1998 through July 4, 1998; (4) July 
4, 1999 through July 10, 1999; (5) July 8, 2000 through July 15, 2000; 
(6) July 1, 2001 through July 7, 2001; and (7) June 30, 2002 through 
July 6, 2002.
    If a sideboarded LLP license or vessel made a landing in a directed 
fishery in any two years during these time periods, it could continue 
to directed fish in that groundfish fishery during July 1 through July 
14. If the vessel or LLP license did not meet these criteria, it could 
not directed fish in that groundfish fishery during July 1 through July 
14--except fixed-gear sablefish which is managed under the existing IFQ 
program. NMFS would consider any landing in a directed groundfish 
fishery in the Southeast Outside region (Statistical Area 650), as a 
landing for that directed fishery in the Western Yakutat District 
(Statistical Area 640) for purposes of considering participation in a 
directed fishery. This provision would address a unique situation in 
the Eastern GOA. Area 650 was closed to trawling in 1998 and some 
vessels that had participated in that region moved their operations to 
the Western Yakutat District. This provision would accommodate their 
historic participation patterns in the Eastern GOA.
    Table 10 summarizes the sideboard restrictions that are specific to 
the catcher/processor sector.

                                                    Table 10.--Catcher/Processor Specific Sideboards
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                             Catcher/processor rockfish         Catcher/processor limited access
               Element                              cooperatives                             fishery                  Catcher/processor opt-out fishery
--------------------------------------------------------------------------------------------------------------------------------------------------------
When does the prohibited fishing       From July 1 through July 14 for        The sideboard prohibits fishing in    Some of the sideboard measures apply
 sideboard apply?                       sideboards in the BSAI.                BSAI groundfish fisheries, except     the entire year, most provisions
                                                                               fixed-gear sablefish and pollock,     apply from July 1-July 14.
                                                                               from July 1 until 90 percent of the
                                                                               TAC allocated to the catcher/
                                                                               processor limited access fishery is
                                                                               taken.
Which LLP licenses are subject to      All LLP licenses that are assigned to  All LLP licenses that are assigned    All LLP licenses that are assigned
 sideboard?                             a catcher/processor rockfish           to the limited access fishery with    to the opt-out fishery.
                                        cooperative.                           QS of Pacific ocean perch equal to
                                                                               or greater than 5 percent of the QS
                                                                               of Pacific ocean perch to the
                                                                               catcher/processor sector.

[[Page 33062]]

 
Which vessels are subject to directed  All vessels with legal landings that   All vessels with legal landings that  All vessels with legal landings that
 fishing prohibitions?                  generated QS, if that vessel is        generated QS of Pacific ocean perch   generated QS on an LLP license, if
                                        named on an LLP license assigned to    equal to or greater than 5 percent    that vessel is named on an LLP
                                        a cather/processor rockfish            of the QS of Pacific ocean perch      license is assigned to the opt-out
                                        cooperative.                           allocated to the catcher/processor    fishery.
                                                                               sector, if that vessel is named on
                                                                               an LLP license assigned to the
                                                                               limited access fishery.
Are there any exemptions to these      No.
 directed fishing prohibitions?
Does this sideboard prohibit directed  Yes. Any vessel or LLP license         Yes. Any vessel or LLP license        Yes. Any vessel or LLP license
 fishing in specific groundfish         subject to this sideboard may not      subject to this sideboard may not:    subject to this dideboard may not:
 fisheries?                             directed fish in any BSAI groundfish   (1) Directed fish in any BSAI         (1) directed fish in any of the
                                        fishery, except pollock or fixed-      groundfish fishery, except pollock    primary rockfish fisheries during
                                        gear sablefish, from July 1-July 14.   or fixed-gear sablefish; or (2)       the year; and (2) directed fish in
                                                                               directed fish in any GOA directed     any GOA groundfish fishery from
                                                                               sideboard fishery from July 1 until   July 1 through July 14, in which
                                                                               90 percent of the Pacific ocean       that vessel or LLP license does not
                                                                               perch TAC assigned to the catcher/    have prior participation, except
                                                                               processor sector has been             fixed-gear sablefish, (see the
                                                                               harvested.                            section on catcher/processor opt-
                                                                                                                     out sideboards for more
                                                                                                                     information).
Which directed groundfish fisheries    See general sideboard restrictions.
 are sideboarded?
How is the groundfish sideboard ratio  For each rockfish cooperative, and                         See general sideboard restrictions.
 determined?                            for each fishery subject to a
                                        sideboard, NMFS will: (1) Add up the
                                        total retained catch by all vessels
                                        in the rockfish cooperative subject
                                        to sideboards during the month of
                                        July, from 1996 through 2002; and
                                        (2) divide this amount by the total
                                        retained catch by all vessels during
                                        the same period. The resulting ratio
                                        is the sideboard ratio for that
                                        sector.
How is the annual sideboard limit      The sideboard ratio is multiplied by                       See general sideboard restrictions.
 determined?                            the TAC for that specific sideboard
                                        fishery. If the sideboard fishery is
                                        divided by management area and
                                        season, then the annual sideboard
                                        limit is proportionally divided
                                        among areas and seasons.
Is halibut PSC sideboarded in          Yes, this sideboard limits the amount                      See general sideboard restrictions.
 specific directed groundfish           of halibut PSC that may be used by
 fisheries?                             any vessel fishing in the directed
                                        fisheries in the GOA for: (1)
                                        Flathead sole and shallow water
                                        flatfish--the shallow-water complex
                                        fisheries; and (2) arrowtooth
                                        flounder, deep water flatfish, and
                                        rex sole--the deep-water complex
                                        fisheries.

[[Page 33063]]

 
How is the halibut PSC sideboard       For each rockfish cooperative, and                         See general sideboard restrictions.
 ratio determined?                      for the shallow-water species
                                        complex and the deep-water species
                                        complex separately, NMFS will
                                        calculate the halibut PSC ratio for
                                        that sector and fishery complex by:
                                        (1) Adding up the total halibut
                                        mortality by all vessels subject to
                                        sideboards in July during 1996
                                        through 2002; and (2) dividing this
                                        amount by the total halibut
                                        mortality by all vessels during the
                                        same period. The resulting ratio is
                                        the halibut PSC ratio for that
                                        rockfish cooperative for that
                                        fishery complex.
How is the annual halibut PSC          For each sector, the halibut PSC                           See general sideboard restrictions.
 sideboard limit determined?            sideboard ratio is multiplied by the
                                        total halibut PSC limit for the deep-
                                        water species complex, or the
                                        shallow-water species complex, as
                                        applicable, in the GOA. If the
                                        halibut PSC limit is divided by
                                        management area and season, then the
                                        annual halibut PSC sideboard limit
                                        is proportionally divided among
                                        areas and seasons.
--------------------------------------------------------------------------------------------------------------------------------------------------------

Management of the Sideboards

    If NMFS determines that a specific sideboard limit for a directed 
fishery is small and insufficient to support any retained catch, then 
the directed fishing allowance for that sideboard fishery may be set to 
zero for a particular sector, fishery, or area. This determination 
would be made based on the estimated harvest rates in the fishery, the 
size of the sideboard limit, and whether that limit can support a 
directed fishery. The notification of the directed fishing allowance 
would be established in the harvest specifications that define the 
allocations to the various fishery components.
    After NMFS determines which vessels and LLP licenses would be 
subject to sideboards, NMFS would inform each vessel owner and LLP 
license holder in writing of the type of sideboard limitation, provide 
an opportunity to challenge these findings, and issue a revised Federal 
fisheries permit and/or LLP license that displays the limitation on the 
face of the permit or license.
    A vessel owner or LLP license holder who believes that NMFS has 
incorrectly identified his or her vessel or LLP license as meeting the 
criteria for a sideboard limitation could request reconsideration. All 
requests for reconsideration would have to be submitted in writing to 
NMFS, together with any documentation or evidence supporting the 
request. If the request for reconsideration were denied, affected 
persons could appeal that decision using existing appeals procedures 
(see Sec.  679.43 for additional details). During an appeal, an LLP 
holder appealing the sideboard restrictions applicable to that LLP 
license or vessel could fish with that vessel or LLP license under 
appeal in the limited access fishery. Until final agency action on the 
appeal, NMFS would not reissue that person an LLP license with 
associated QS. This would limit a person from assigning that LLP 
license to a rockfish cooperative.

Summary of CFQ Allocations, TACs, and Sideboard Limit Assignments

    The assignment of the combination of CFQ allocations, TACs, and 
sideboards among the various sectors, fisheries, and rockfish 
cooperatives is complex. Table 11 summarizes the allocations and 
sideboards that would apply to components in the Program.

                                           Table 11.--Allocations Among the Various Components of the Program
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                          QS and CFQ                                               Sideboard limits
                                ------------------------------------------------------------------------------------------------------------------------
       Fishery component                                                                                             Shallow-water
                                   Primary species    Secondary  species      Halibut PSC         Groundfish            halibut        Deepwater halibut
--------------------------------------------------------------------------------------------------------------------------------------------------------
Catcher vessel rockfish           Allocation to the rockfish cooperative of CFQ based on the
 cooperative.                      sum of the QS held by all the members. This allocation is
                                    for the exclusive use of the rockfish cooperative that
                                      holds the allocation. CFQ may be transferred among
                                     rockfish cooperatives once allocated. CFQ may not be
                                     transferred from a cooperative in the catcher vessel
                                   sector to a cooperative in the catcher/processor sector.
                                    Sideboard limits are established for the entire sector,
                                        and are not assigned to catcher vessel rockfish
                                                         cooperatives.

[[Page 33064]]

 
Catcher vessel limited access    The limited access      No allocation is made. The limited
 fishery.                         fishery TAC is        access fishery is subject to an MRA
                                  based on the sum      specific to the Program. Halibut is
                                  of the QS assigned    managed as a PSC and is debited off
                                  to the limited          of the general halibut mortality
                                  access fishery.           limit applicable to the GOA.
                                  This TAC may be
                                  harvested by any
                                  eligible rockfish
                                  harvester
                                  participating in
                                  the limited access
                                  fishery.
                                    Sideboard limits are established for the entire sector.
Catcher/processor rockfish        Allocation to the rockfish cooperative of CFQ based on the
 cooperative.                      sum of the QS held by all the members. This allocation is
                                  for the exclusive harvest of the rockfish cooperative that
                                     holds the CFQ. CFQ may be transferred among rockfish
                                                 cooperatives once allocated.
                                     Sideboard limits are assigned to a catcher/processor
                                       rockfish cooperative based on the sideboard ratio
                                        attributed to vessels and LLP license that are
                                          participating in that rockfish cooperative.
Catcher/processor limited        The limited access     No allocation is made. The limited
 access fishery.                  fishery TAC is        access fishery is subject to an MRA
                                  based on the sum      specific to the Program. Halibut is
                                  of the QS assigned    managed as a PSC and is debited off
                                  to the limited          of the general halibut mortality
                                  access fishery.           limit applicable to the GOA.
                                  This TAC may be
                                  harvested by any
                                  eligible rockfish
                                  harvester
                                  participating in
                                  the limited access
                                  fishery.
                                 Sideboard limits are established for the entire sector. Any
                                      sideboard limit that is not assigned to a catcher/
                                   processor rockfish cooperative is the amount established
                                     for the catcher/processor sector, which includes the
                                  limited access fishery and vessels in the opt-out fishery.
Catcher/processor opt-out        No allocation is made. The opt-out fishery is subject to an
 fishery.                           MRA applicable to that directed fishery. Vessels in the
                                  opt-out fishery may not direct fish in the Central GOA for
                                   northern rockfish, Pacific ocean perch, or pelagic shelf
                                                           rockfish.
                                    Sideboard limits are established for the entire sector.
                                    Any sideboard limit that is not assigned to a catcher/
                                   processor rockfish cooperative is the amount established
                                     for the catcher/processor sector, which includes the
                                  limited access fishery and vessels in the opt-out fishery.
--------------------------------------------------------------------------------------------------------------------------------------------------------

Entry Level Fishery

    In addition to rockfish cooperatives, limited access fisheries, and 
a catcher/processor opt-out fishery, the Program would establish an 
entry level fishery for all persons who are not eligible rockfish 
harvesters or processors. NMFS would allocate 5 percent of the Central 
GOA TAC in the northern rockfish, pelagic shelf rockfish, and Pacific 
ocean perch fisheries to the entry level fishery. This fishery would 
provide opportunities for harvesters and processors who had not 
traditionally participated in the Central GOA rockfish fisheries.
    NMFS would not allocate the entry level fishery secondary species, 
halibut PSC, or sideboards. NMFS would assign TAC of northern rockfish, 
pelagic shelf rockfish, and Pacific ocean perch to the entry level 
fishery so that 50 percent (or 2.5 percent of the combined TAC for the 
three rockfish fisheries) would be assigned to trawl catcher vessels 
and 50 percent (2.5 percent of the combined TAC for the three rockfish 
fisheries) would be assigned for fixed gear catcher vessels. 
Historically, Pacific ocean perch has been harvested almost exclusively 
with trawl gear. Northern rockfish and pelagic shelf rockfish have been 
harvested by fixed gear vessels to a limited degree. Rather than 
allocate Pacific ocean perch equally between the trawl and fixed gear 
vessels, resulting in Pacific ocean perch remaining unharvested by 
fixed gear vessels, NMFS would allocate Pacific ocean perch to entry 
level trawl vessels first. NMFS would allocate any remaining pounds up 
to the combined 2.5 percent TAC for the three rockfish species from the 
TAC that would be assigned to northern rockfish and pelagic shelf 
rockfish. In most years, this would result in Pacific ocean perch 
comprising most of the allocation to trawl gear vessels.
    Harvests of other species in the entry level fishery would be 
governed by an MRA that applies to vessels targeting these species (see 
Table 30 to part 679 in the regulatory text for more detail). The entry 
level fishery for trawl gear would begin on May 1 and end November 15, 
or when the TAC for each of the rockfish fisheries was reached. The 
entry level fishery for fixed gear would begin on January 1 and end on 
November 15, or when the TAC for each of the rockfish fisheries was 
reached.
    In order to participate in the entry level fishery, a person: (1) 
Could not be an eligible rockfish harvester or

[[Page 33065]]

processor; and (2) would have to submit an application to participate 
in the entry level fishery by December 1. A completed application would 
contain the following information: (1) Contact information for the 
applicant; (2) identification of the LLP license and vessel to be used 
in the entry level fishery (vessels less than 26 feet length overall 
would not be required to have an LLP under existing regulations); (3) 
declaration that the harvester has a market for any rockfish delivered 
in the entry level fishery; and (4) certification by the applicant. 
NMFS would require a harvester that plans to harvest in the entry level 
fishery submit information establishing that the harvester has 
established a market relationship with a processor. This would reduce 
the potential for harvesters to apply for the entry level fishery but 
not be able to harvest and deliver fish for lack of a market.
    NMFS would account halibut PSC available for trawl vessels in the 
entry level fishery against the allocation of halibut PSC to the deep-
water species fishery complex for that seasonal apportionment. This 
apportionment is derived from the general halibut PSC apportionment for 
the GOA, it would not be derived from the same apportionment that 
applies to Halibut PSC allocated as CFQ, or the sideboard limits for 
the non-entry level portion of the fishery. If the Halibut PSC 
allocation in the deep-water fishery complex has been reached or 
exceeded for that seasonal apportionment, the entry level fishery for 
trawl vessels, NMFS would close the fishery until deep-water species 
fishery complex halibut PSC was available.
    Halibut PSC available for fixed gear vessels in the entry level 
fishery would be accounted against the allocation to the other non-
trawl fishery category for that seasonal apportionment. If the halibut 
PSC allocation in the other non-trawl fishery category has been reached 
or exceeded for that seasonal apportionment, the entry level fishery 
for fixed gear vessels would be closed until the non-trawl deep water 
species fishery complex halibut PSC is available.
    NMFS would make unharvested northern rockfish, pelagic shelf 
rockfish, or Pacific ocean perch available for harvest by trawl and 
fixed gear on September 1. Any unharvested rockfish in either the fixed 
gear or trawl gear allocations could be harvested by trawl and fixed 
gear vessels beginning September 1.
    NMFS would maintain the authority to not open the entry level 
fishery if it is appropriate for conservation or other management 
reasons. NMFS would consider factors such as the total allocation, 
anticipated harvest rates, and number of participants in making any 
such decision. Because participants in the entry level fishery are 
required to register to participate, NMFS would have information prior 
to the opening of the fishery to assess harvest rates and season 
closures.

Monitoring

    As is the case for any quota-based program, NMFS would need to be 
able to accurately monitor the use of all CFQ, sideboard limits, and 
use caps. The primary tools for monitoring would include: (1) Requiring 
the use of observers aboard vessels and at processing facilities; (2) 
requiring that shoreside and floating processors operate under NMFS 
approved catch monitoring and control plans (CMCP); (3) requiring the 
weighing of all catch on NMFS or State of Alaska approved scales; (4) 
requiring that catcher/processors follow specified procedures when 
handling catch prior to processing; and (5) requiring that most vessels 
participating in the rockfish pilot program carry and use a NMFS-
approved vessel monitoring system (VMS) transmitter. NMFS welcomes 
comment on any of the monitoring aspects of the Program.

Observers

    Observers would be required aboard vessels and at processing 
facilities to adequately account for catch and bycatch in the fishery. 
Observer coverage would increase from existing coverage levels in most 
cases to ensure that catch accounting is adequate for a quota based 
fishery. Because this is a new program, ensuring adequate observer 
coverage would be particularly important for monitoring the complex 
suite of allocations and sideboard limits. Observer coverage would be 
essential to monitor halibut mortality rates in the fishery and ensure 
that a rockfish cooperative does not exceed its halibut PSC allocation. 
Observer coverage would also be essential for monitoring primary 
rockfish species for rockfish cooperatives and the limited access 
fishery, or to monitor sideboard limits.
    Observer coverage would be expanded from existing levels on all 
vessels fishing under a CFQ permit for a rockfish cooperative, in a 
limited access fishery, or when subject to sideboard limits. Because 
much of the catch accounting for the Program would be based on 
shoreside delivery reports, NMFS would require observers at all 
processing facilities that receive primary rockfish species or 
secondary species. This would include both eligible rockfish processors 
and any processor receiving rockfish in the entry level fishery.
    Observer coverage issues were outlined in the EA/RIR/IRFA analysis 
prepared to support this action (see ADDRESSES for more information). 
Generally, the level and type of observer coverage required under this 
Program follows models that have been developed for monitoring catcher/
processor vessels under the AFA and CDQ Program for catcher vessels, 
with some important distinctions for the catcher/processor sector. 
Observer coverage under the Program would maintain existing standards 
for observer workload restrictions (see Sec.  679.50 for more details 
on workload regulations). The Program would clarify that an observer 
assigned to one processing facility could not be assigned to multiple 
facilities in a day. This would reduce potential conflicts in observer 
scheduling and ensure adequate coverage of Program catch on shore. 
Additionally, regulations would clarify that observer coverage required 
to monitor harvests would be separate from observer requirements in 
other fisheries.

Observer Coverage for Rockfish Cooperatives

    Observer coverage would differ in rockfish cooperatives from the 
existing requirements for several reasons. Observer coverage for 
rockfish cooperatives would be similar to that under the CDQ Program, 
with some importation distinctions. Under the CDQ Program, catcher/
processors may choose to designate specific hauls that are attributed 
to the CDQ Program. The catch from other hauls would be managed 
according to the directed fisheries that were open at that time. In the 
CDQ Program, all catch is debited against the CDQ account applicable 
for that vessel, and all catch is counted and debited against the CDQ 
allocation.
    The CDQ catch accounting model is not applicable for the Program in 
several respects. First, under the Program, all catch from directed 
fishing for a primary rockfish species (e.g., Pacific ocean perch) 
should be counted against the CFQ. In cases where the operator of the 
vessel chooses which hauls are allocated to which fisheries, it 
introduces additional accounting complexities. Designating specific 
hauls prior to fishing would require notification to the observer, and 
should confusion arise, hauls would likely be attributed to the 
Program, creating the potential for additional administrative burdens 
should specific haul

[[Page 33066]]

designations be challenged, and significant new accounting burdens on 
observers. In any case, if a catcher/processor vessel were to designate 
any haul during a trip as a Program haul, full observer coverage would 
need to be provided. Observer and other monitoring costs would not be 
significantly lower if catcher/processor vessel operators were 
designating non-Program and Program hauls once at sea.
    To avoid such complex accounting situations for a two-year pilot 
program, NMFS would require that all primary rockfish species, 
secondary species, or halibut mortality attributed to vessels in the 
cooperative that are specifically authorized to harvest that 
cooperative's CFQ to be debited against that cooperative's CFQ. NMFS 
would propose this catch monitoring protocol for vessels harvesting 
under a CFQ permit to ensure proper accounting of catch. This coverage 
would apply for any vessel authorized to fish under a CFQ permit from 
May 1 until November 15, or until a rockfish cooperative notifies NMFS 
that the rockfish cooperative is no longer fishing under the Program 
and rescind fishing privileges to any remaining CFQ. This ``check out'' 
procedure could occur after the cooperative has transferred its CFQ to 
another cooperative, thereby limiting the loss of any unused CFQ.
    This check-out procedure would ensure that vessels are fully 
monitored as long as the rockfish cooperative holds CFQ. The check-out 
process would be made through a formal Declaration for Termination of 
Fishing. Once this declaration is made, the CFQ issued to that rockfish 
cooperative would be set to zero for all primary rockfish species, 
secondary species, and halibut PSC, and that cooperative could no 
longer receive CFQ by transfer.
    If a vessel is named on an LLP license that is assigned to a 
cooperative, and that vessel is not authorized to fish the CFQ for that 
cooperative, that vessel would be subject to current non-Program 
observer coverage requirements. Vessels named on LLP licenses assigned 
to a cooperative, but not authorized to fish under a CFQ permit, could 
continue to fish in other non-Program fisheries. Any secondary species 
(e.g., Pacific cod), or halibut PSC caught by these vessels would not 
be debited against the CFQ for the cooperative, and would be subject to 
existing regulations that apply to the management of non-Program 
fisheries.
    NMFS would also permit the authorized representative of a 
cooperative to redesignate the vessels assigned to fish that 
cooperative's CFQ. This would accommodate changes in vessel 
availability and accommodate any unforeseen circumstances (e.g., 
mechanical failure). However, any such redesignation would need to be 
submitted to NMFS 48 hours prior to that vessel fishing under a CFQ 
permit. To ensure proper accounting of fish aboard a vessel, any vessel 
that is redesignated to fish under the cooperative's CFQ permit, could 
not have fish onboard the vessel prior to fishing under a CFQ permit. 
Additionally, that redesignated vessel would need to meet all other 
applicable monitoring requirements.
    The specific level of observer coverage required for catcher/
processor vessels and catcher vessels is detailed in Table 12. 
Generally, observer coverage is greater for catcher/processors than 
catcher vessels due to the nature of shipboard operations and the 
difficulty for one observer to adequately monitor catch.

Observer Coverage for Limited Access Fisheries

    Observer coverage requirements in the limited access fisheries 
would be similar to those vessels assigned to cooperatives. However, 
observer requirements for vessels in a limited access fishery would not 
begin until July 1. These requirements would remain in place until 
November 15, or until NMFS closes directed fishing for all three of the 
primary rockfish fisheries for the limited access fishery. Typically, 
these fisheries close in mid-July. Observer coverage required for 
catcher/processor vessels and catcher vessels is detailed in Table 12. 
NMFS would require observer coverage adequate to ensure proper 
management of the TAC. This would be particularly critical in the 
limited access fisheries because the TAC assigned is likely to be small 
and limited observer coverage could reduce the ability of NMFS to close 
fisheries in a timely manner.

Observer Coverage for Sideboard Fisheries

    NMFS would require observers on all vessels subject to sideboard 
limits that directed fish in the West Yakutat District, Central GOA, 
and Western GOA during July. This would help to ensure that vessels do 
not exceed the general sideboard limits. The sideboard limits for the 
Western GOA and West Yakutat District rockfish fisheries are likely to 
be small relative to potential harvest rates and would need to be 
intensively managed to ensure adequate catch accounting and avoid 
exceeding sideboard limits. Additionally, the sideboard limits that 
would be established for halibut PSC in the deep-water and shallow-
water fishery complex would need to be managed based on data gathered 
by observers. These halibut PSC limits are small relative to potential 
halibut PSC rates. Additional observer coverage for managing sideboard 
limits would not be required in the West Yakutat District, Central GOA, 
or Western GOA after July 31. Vessels fishing under a CFQ permit, or in 
a limited access fishery in the Central GOA after July 31, would still 
be subject to any applicable additional observer requirements 
established under this Program.

Observer Communication System

    To ensure timely collection of data, NMFS would require that 
catcher vessels less than 125 feet length overall install and maintain 
a computer for use by an observer when the vessel is required to meet 
observer coverage requirements for the Program. This would include all 
catcher vessels fishing for a rockfish cooperative, in the limited 
entry fishery, or in the West Yakutat District, Central GOA, and 
Western GOA during July. Alternatively, vessels that already have 
computers which meet NMFS specifications could provide the observer 
access to that computer. NMFS would install custom software on each of 
these computers. This software would allow the vessel's observer to 
enter and edit data, which could be transferred to a disk and sent 
electronically to NMFS from a plant observer's computer.
    Currently, all vessels that carry an observer 100 percent of the 
time, as well as all shoreside and stationary floating processors 
required to have an observer present, are required to maintain a 
computer for use by an observer as part of the Observer Communication 
System (OCS). The OCS was implemented in 1995 and is comprised of: (1) 
Electronic hardware that meets NMFS specifications and is supplied by 
the vessel, shoreside, or stationary floating processor, and (2) 
dedicated software provided by NMFS. This hardware and software allow 
observers to communicate with, and transmit data to, NMFS.
    Although a component of the OCS allows observers to communicate 
with and transmit data directly to NMFS, all participating catcher 
vessels that are not currently required to carry an observer 100 
percent of the time (those less than 125 feet) would only be required 
to provide the computer component of the OCS. This is because these 
vessels make short duration trips and, at this time, the costs of 
requiring communications equipment outweigh the benefits of

[[Page 33067]]

increased timeliness of data transmission.
    NMFS anticipates that enabling observers to enter and send their 
data electronically would result in significant reductions in the time 
required to provide data to NMFS and rockfish cooperative managers. 
Under the Program, vessels and rockfish cooperatives would be required 
to monitor their catch and stop fishing when target and PSC allocations 
are reached. For catcher vessels, target species would be required to 
be retained and delivered to a shore based processor where they can be 
weighed and accounted for on a trip by trip basis. Information on these 
species would be available within 2-3 days of delivery. However, 
halibut would be required to be returned to the sea with minimal 
injury, and, as mentioned above, catch accounting would be based on 
expanded observer samples. Observer data from vessels is faxed to NMFS, 
keypunched by NMFS staff, and typically made available within a few 
days of receipt. However, observers are often not able to fax their 
data from the current trip. Rather, NMFS staff typically receive data 
from the previous trip. Altogether, delays with faxing data could 
result in up to two weeks delay in making data available to rockfish 
cooperative and NMFS managers. When seasonal catch amounts near 
allocation limits, this could delay vessels' departures until halibut 
PSC data become available.
    While fishing under the Program would slow as a result of 
rationalization, these delays could result in increased costs to 
vessels due to additional time spent in port. Additionally, NMFS in-
season managers may choose not to open directed sideboard fisheries if 
data are not received in enough time to make timely closure decisions 
and there is a risk of overfishing. This would reduce the potential 
revenue of participating vessels and processors.
    Data entered electronically by observers also result in significant 
improvements to overall data quality. Custom software provided by NMFS 
has several built-in data checking functions that will not allow some 
erroneous information to be entered, and automatically checks for 
likely keypunch errors. Additionally, NMFS staff that identify data 
errors may be able to resolve these errors quickly by working with the 
observer. This could result in improved management decisions by 
rockfish cooperatives and NMFS managers. The computer hardware and 
software requirements are specified in the regulatory text at Sec.  
679.28.
    Alternatives to requiring computers on catcher vessels 
participating in the Program include allowing vessel observers to enter 
and send data on a shoreside computer and requiring observer providers 
to purchase computers to be deployed with the observer. NMFS considered 
and rejected these alternatives for the following reasons. First, 
allowing observers to enter data on a shoreside computer could result 
in significant departure delays for the vessel. An observer would have 
to arrange a time when other vessel observers, or the plant observer, 
were not using the computer. Then they would have to enter and send 
their data. The time needed to complete these activities could take 
longer than the offload of catch and delay departure of the vessel. 
Second, because of the service delivery model used to procure 
observers, there are logistical concerns if observer providers were 
required to provide computers for observers.
    Table 12 summarizes the observer requirements for the various 
components of the Program. Unless noted, the Program would not affect 
existing observer coverage that may apply to a vessel or processor when 
they are engaged in non-Program fisheries.

                                 Table 12.--Observer Requirements in the Program
----------------------------------------------------------------------------------------------------------------
              Component                            Requirement                         When applicable
----------------------------------------------------------------------------------------------------------------
A catcher/processor fishing in a      Must have aboard at least two NMFS-   This coverage requirement would
 rockfish cooperative.                 certified observers for each day      begin on May 1 for all vessels
                                       that the vessel is used to harvest,   harvesting CFQ for a rockfish
                                       process, or take deliveries from a    cooperative and end on November 15,
                                       catcher vessel under a CFQ permit.    or upon the approval of a
                                       At least one of these observers       declaration to terminate fishing by
                                       must be endorsed as a lead level 2    the rockfish cooperative.
                                       observer. More than two observers
                                       are required if observer workload
                                       restrictions would preclude
                                       adequate sampling.
A catcher/processor fishing in a      Must have aboard at least two NMFS-   This coverage requirement would
 limited access fishery.               certified observers for each day      begin on July 1 for all vessels
                                       that the vessel is used to harvest,   participating in a limited access
                                       process, or take deliveries from a    fishery and end on November 15, or
                                       catcher vessel in the limited         when the limited access fishery for
                                       access fishery. At least one of       all primary rockfish species is
                                       these observers must be endorsed as   closed by NMFS.
                                       a lead level 2 observer. More than
                                       two observers are required if
                                       observer workload restrictions
                                       would preclude adequate sampling.
A catcher/processor fishing in the    Must have aboard at least two NMFS-   This coverage requirement would
 West Yakutat District, Central GOA,   certified observers for each day      begin on July 1 for all vessels
 or Western GOA during the month of    that the vessel is used to harvest,   participating in groundfish
 July.                                 process, or take deliveries from a    fisheries except fixed gear
                                       catcher vessel. At least one of       sablefish in the West Yakutat
                                       these observers must be endorsed as   District, Central GOA, and Western
                                       a lead level 2 observer. More than    GOA and end on July 31.
                                       two observers are required if
                                       observer workload restrictions
                                       would preclude adequate sampling.
A catcher vessel fishing in a         Must have a NMFS-certified observer   This coverage requirement would
 rockfish cooperative.                 aboard at all times the vessel is     begin on May 1 for all vessels
                                       used to harvest fish under a CFQ      harvesting CFQ for a rockfish
                                       permit. The vessel must provide a     cooperative and end on November 15,
                                       computer for use by the observer      or upon the approval of a
                                       for electronic data entry.            declaration to terminate fishing by
                                                                             the rockfish cooperative.

[[Page 33068]]

 
A catcher vessel fishing in a         Must have a NMFS-certified observer   This coverage requirement would
 limited access fishery.               aboard at all times the vessel is     begin on July 1 for all vessels
                                       used to harvest fish in a limited     participating in a limited access
                                       access fishery. The vessel must       fishery and end on November 15, or
                                       provide a computer for use by the     when the limited access fishery for
                                       observer for electronic data entry.   all primary rockfish species is
                                                                             closed by NMFS.
A catcher vessel fishing in the West  Must have a NMFS-certified observer   This coverage requirement would
 Yakutat District, Central GOA, or     aboard at all times the vessel is     begin on July 1 for all vessels
 Western GOA during the month of       used to harvest fish. The vessel      participating in groundfish
 July.                                 must provide a computer for use by    fisheries except fixed gear
                                       the observer for electronic data      sablefish in the West Yakutat
                                       entry.                                District, Central GOA, and Western
                                                                             GOA, and end on July 31.
A shoreside or stationary floating    Must provide a NMFS-certified observer for each consecutive 12-hour period
 processor.                                each day it receives deliveries from catcher vessels fishing in a
                                         rockfish cooperative, limited access fishery, or entry level fishery.
----------------------------------------------------------------------------------------------------------------

    Catch monitoring and control plan (CMCP). The owner and manager of 
a shoreside or stationary floating processor would have to ensure that 
the facility is operating under an approved CMCP whenever receiving 
fish allocated to the Program. An acceptable CMCP describes how 
landings can be monitored effectively by a single observer, how scales 
will be tested and used, and ensures that adequate facilities are made 
available for observers (see Sec.  679.28(g) in the regulatory text for 
more details). The CMCP requirements apply to the AFA, and the Program 
would not modify these requirements but merely extends their 
applicability to processing facilities participating in this Program.
    Special catch handling requirements for catcher/processors. NMFS 
recognizes that there would be a strong incentive for Program 
participants to under-report the amount of halibut caught as bycatch. 
Halibut PSC may not be retained by the vessel and thus has no economic 
value. However, it is quite possible that the lack of sufficient 
halibut PSC could limit the amount of primary rockfish species 
harvested by Program participants and under reported halibut PSC could 
potentially allow the under reporting vessel or rockfish cooperative to 
harvest a larger amount of target species. This is particularly true 
for vessels in rockfish cooperatives because this Program would 
allocate a share of available halibut PSC to rockfish cooperatives as 
CFQ. Lack of sufficient halibut PSC CFQ could limit the ability of 
rockfish cooperatives to fully harvest their CFQ for primary rockfish 
species and secondary species.
    Both catcher vessels and catcher/processor vessels would be 
monitored to ensure proper compliance with all reporting requirements. 
However, the opportunity to under-report halibut PSC would be greater 
on catcher/processor vessels than catcher vessels due to the placement 
of observer sampling stations and construction of the vessels. These 
factors reduce the ability for observers to adequately monitor the 
passage of fish, particularly halibut PSC, from the net through the 
processing facilities. In order to ensure proper catch accounting on 
catcher/processors, NMFS has developed a set of special catch handling 
requirements for catcher/processors. In brief, these special catch 
handling requirements would:
    1. Prohibit a vessel from having fish remain on deck outside of the 
codend;
    2. Prohibit the use of multiple lines for conveying the fish 
between the bins and the area where unsorted catch is sampled by the 
observer; and
    3. Require observation and monitoring of all crew activities within 
any bin or tank prior to the observer sampling unsorted catch.
    Catcher/processors may facilitate observation and monitoring of 
crew activities within a bin or tank by one of three options:
    1. Prohibit crew members from entering bins unless the observer is 
able to monitor all crew activities within the bin;
    2. Install viewing ports in the bins; or
    3. Install video monitoring system in the bins.
    Each vessel participating in a Program fishery must choose one of 
these options.
    Vessel operators which choose the first option must ensure that 
crew members do not enter a bin when fish are moving out of the bin, 
unless the observer has been given a chance to observe the activities 
of the crew inside the bin. Based on conversations with vessel owners 
and operators in this sector, a crew member may be required to be 
inside the bin to facilitate the movement of fish from the bin. Crew 
members would be allowed inside bins if the flow of fish has been 
stopped between the tank and the location where the observer collects 
unsorted catch, all catch has been cleared from all locations between 
the tank and the location where the observer collects unsorted catch, 
and the observer has been given notice that the vessel crew must enter 
the tank. When informed by an observer that all sampling has been 
completed for a given haul, crew would be able to enter a tank 
containing fish from that haul without stopping the flow of fish or 
clearing catch between the tank and the observer sampling station. 
Vessel operators may be able to use water to facilitate the movement of 
fish in some fisheries. However, industry has indicated that water may 
degrade the quality of fish, which could decrease the value of these 
fish. Therefore, options were developed to allow a person to see inside 
the bin while fish are exiting the bin, and ensure that presorting 
activities are not occurring.
    Vessels that choose the second option would be required to provide 
a viewing window into the bin. The observer must be able to see all 
actions of the crew member inside the bin from the same position they 
are conducting their normal sampling duties. For example, while the 
observer is sorting catch at the observer sample station table, crew 
member activities inside the bin must be viewable by the observer 
through the window from the sample station table. This option would be 
acceptable for vessels that may not need a crew member in the bin 
frequently or have uniformly shaped bins and an observer sampling 
station in close proximity to the bin area.
    Vessels which choose the third option would be required to develop 
and install a digital video monitoring system. The system would include 
a sufficient number of cameras to view all activities of anyone inside 
the bin. Video cameras would be required to record images in color and 
in low light

[[Page 33069]]

conditions. To ensure that an observer can monitor crew member 
activities in the bin while sampling, a color monitor would be required 
to be located in the observer sampling station. An observer would be 
given the opportunity to review any video data at any time during a 
trip. Each video system would be required to provide enough storage 
capacity to store all video data for an entire trip. Because NMFS may 
not be aware of potential presorting violations until after an observer 
disembarks the vessel and is debriefed, the vessel must retain all data 
for a minimum of 120 days from the beginning of each trip unless 
notified by NMFS that the data may be removed. Specific requirements 
for cameras, resolution, recording formats, and other technical 
information is detailed in the regulatory text under Sec.  679.84(a) 
through (e).
    If at any time during a trip, the viewing port or video options do 
not allow an observer to monitor crew activities within the fish bin or 
do not meet the required specifications, the vessel must revert to the 
first option and prohibit crew from entering the bin. The use of any of 
these three options would be approved by NMFS during the vessel's 
annual observer sampling station inspection as described at Sec.  
679.28(d).
    Vessel Monitoring System (VMS). As is required for many other 
rationalization programs in the North Pacific, most vessels 
participating in the Program would be required to install, maintain, 
and operate an electronic VMS while fishing. A VMS allows NMFS to track 
a vessel's location, providing useful enforcement information and 
safety benefits by providing additional information during search and 
rescue operations. Currently, a VMS is required for any vessel with a 
Federal fisheries permit endorsed for Pacific cod, pollock, or Atka 
mackerel that is operating in any reporting area off Alaska when the 
fishery for which the vessel is endorsed is open. VMS is also required 
for vessels operating in the AFA and BSAI Crab Rationalization Program. 
The Program would extend existing VMS coverage to any vessel with a 
Federal fisheries permit endorsed for a Program fishery and would 
require that those vessels have a transmitting VMS on board at all 
times when operating off Alaska when the Program fishery for which they 
are endorsed is open. Non-trawl vessels participating only in the entry 
level fixed-gear fishery would be exempted from the new VMS 
requirements but would still be required to use a VMS if endorsed for 
other species/gear combinations for which VMS is required. The existing 
VMS requirements are detailed in Sec.  679.28(f).
    The Program would require that all vessels operating in a rockfish 
cooperative, limited access fishery, opt-out fishery, or trawl gear 
entry level fishery use a VMS. The EA/RIR/IRFA prepared for this action 
(see ADDRESSES) indicated that all of the vessels that have legal 
landings in the Central GOA rockfish fishery are currently required to 
use a VMS. Some of the trawl vessels that choose to participate in the 
entry level fishery may not already be covered under existing VMS 
requirements for directed fishing in the Atka mackerel, Pacific cod, or 
pollock fisheries. If vessels participated in the entry level fishery, 
a VMS would be required. A VMS would not be required for vessels 
fishing in the fixed gear portion of the entry level fishery. The EA/
RIR/IRFA prepared for the Program indicates that there is likely to be 
relatively little participation by fixed gear vessels in the entry 
level fishery. The Council recommended and the Program would exempt 
fixed gear entry level vessels from the VMS requirements that apply to 
other vessels.
    Changes in recordkeeping and reporting. The Program would require 
some modification of existing recordkeeping and reporting (R&R) 
requirements in Sec.  679.5. In addition to the R&R requirements 
already described to apply for and participate in the Program, R&R 
requirements would be revised to require Program participants use the 
Shoreside Processor Electronic Logbook Report (SPELR) to report data. 
The SPELR is software used by shoreside processors and stationary 
floating processors (SFPs) to electronically report groundfish data to 
NMFS.
    As groundfish, rockfish are recorded and reported through existing 
R&R systems described in the regulations under Sec.  679.4. Operators 
of catcher/processors and managers of shoreside processors or SFPs that 
are permitted as rockfish cooperatives would be required to submit a 
rockfish cooperative catch report detailing each cooperative's delivery 
of fish. Operators of catcher/processors and managers of shoreside 
processors or SFPs that are permitted as rockfish cooperatives would be 
required to submit a rockfish cooperative annual report detailing the 
use of the cooperative's CFQ.

Integration With BSAI Crab Rationalization and AFA Sideboards

    This Program would implement limits or allocations for numerous 
fisheries in the GOA, but is not otherwise intended to affect 
management of existing sideboard limits that exist in other fisheries. 
The management of allocations under this Program would be integrated 
with existing limitations in other rationalized fisheries. Under the 
AFA, the inshore sector is limited to their historic harvests in the 
GOA. This would continue to be the case under this Program. Vessels 
subject to AFA sideboards in the GOA would be exempt from the sideboard 
provisions applied under the Program, but the Program would not exempt 
AFA vessels from AFA sideboards. Similarly, vessels and LLP licenses 
that are subject to sideboard provisions in the BSAI Crab 
Rationalization Program would continue to be subject to the sideboards 
implemented under that program. This proposed action would not modify 
the regulations that apply to sideboards in the AFA or the BSAI Crab 
Rationalization Program.

Classification

    At this time, NMFS has not determined that Amendment 68 and the 
provisions in this rule that would implement Amendment 68 are 
consistent with the national standards of the Magnuson-Stevens Act and 
other applicable laws. NMFS, in making the determination that this 
proposed rule is consistent, will take into account the data, views, 
and comments received during the comment period (see DATES).

Environmental Assessment

    The Council prepared an environmental assessment for Amendment 68 
that discusses the impact on the environment as a result of this rule. 
A copy of the environmental assessment is available from NMFS (see 
ADDRESSES). The Council considered an extensive and elaborate series of 
alternatives, options, and suboptions as it designed and evaluated the 
potential for rationalization of the Central GOA rockfish fisheries, 
including the ``no action'' alternative. The RIR presents the complete 
set of alternatives, in various combinations with the complex suite of 
options. The EA presents three alternative programs for management of 
the Central GOA rockfish fisheries for catcher vessels: Status Quo/No 
Action (Alternative 1); rockfish cooperative management with a limited 
license program for processors (Alternative 2); and rockfish 
cooperative management with linkages between rockfish cooperatives and 
processors (Alternative 3). Three alternatives for catcher/processors 
also were considered: Status Quo/No Action (Alternative 1); rockfish 
cooperative management (Alternative 2); and a sector allocation 
(Alternative 3).

[[Page 33070]]

Alternative 3 for catcher vessels and Alternative 2 for catcher/
processors were combined to form the Council's preferred alternative--
the rockfish cooperative alternative. These alternatives constitute the 
suite of ``significant alternatives,'' under the proposed action, for 
purposes of the Regulatory Flexibility Act (RFA). Each is addressed 
briefly below. Please refer to the EA and its appendices for more 
detail. The following is a summary of the contents of those more 
extensive analyses, specifically focusing on the aspects which pertain 
to small entities.
    Under the status quo, the Central GOA rockfish fisheries have 
followed the well known pattern associated with managed open access. 
Central GOA rockfish fisheries have been characterized by a ``race-for-
fish'' capital stuffing behavior, excessive risk taking, and a 
dissipation of potential rents. Participants in these fisheries are 
confronted by significant surplus capacity (in both the harvesting and 
processing sectors), and widespread economic instability, all 
contributing to resource conservation and management difficulties.
    In response to desires to improve economic, social, and structural 
conditions in many of the rockfish fisheries, the Council found that 
the status quo management structure was causing significant adverse 
impacts to the participants in these fisheries. As indicated in the 
IRFA, many small entities, as defined under RFA, are negatively 
impacted under current open access regulations. The management tools in 
the existing FMP (e.g., time/area restriction and LLP licenses) do not 
provide managers with the ability to effectively solve these problems, 
thereby making Magnuson-Stevens Act goals difficult to achieve and 
forcing reevaluation of the existing FMP.
    In an effort to alleviate the problems caused by excess capacity 
and the race for fish, the Council determined that the institution of 
some form of rationalization program was needed to improve fisheries 
management in accordance with the Magnuson-Stevens Act.
    The rockfish cooperative alternative would allocate annual 
harvesting privileges of rockfish and secondary species TAC to 
harvester rockfish cooperatives, creating a transferable access 
privilege as a share of the TAC, thus removing the ``common property'' 
attributes of the status quo on qualifying harvesters. The 
rationalization of the Central GOA fisheries would likely benefit the 
approximately 63 businesses that own harvest vessels and are considered 
small entities. In recent years these entities have competed in the 
race for fish against larger businesses. The rockfish cooperative 
alternative would allow these operators to slow their rate of fishing 
and give more attention to efficiency and product quality.
    The participants would be permitted to form rockfish cooperatives 
that could lease or sell their allocations, and could obtain some 
return from their allocations. Differences in efficiency implications 
of rationalization by business size cannot be predicted. Some 
participants believe that smaller vessels could be more efficient than 
larger vessels in a rationalized fishery because a vessel only needs to 
be large enough to harvest the cooperative's CFQ. Conversely, under 
open access, a vessel has to be large enough to outcompete the other 
fishermen and, hence, contributes to the overcapacity problems under 
the race for fish.
    In addition, the rockfish cooperative alternative holds promise by 
providing efficiency gains to both small entity harvesters and the 
processors. Data on cost and operating structure within each sector are 
unavailable, so a quantitative evaluation of the size and distribution 
of these gains accruing to harvesters and processors under this 
management regime cannot be provided. Nonetheless, it appears that the 
rockfish cooperative alternative offers improvements over the status 
quo through the institution of a ``rights-based management'' structure. 
The rockfish cooperative alternative also includes provisions for 
fishery participants the Council expressly sought to include--
specifically, rockfish processors and the community in which those 
processors have historically been active.
    The rockfish cooperative alternative appears to minimize negative 
economic impacts on small entities to a greater extent than an 
alternative that allocates limited processing licenses (Alternative 2 
for catcher vessels), or that defines a smaller portion of the TAC for 
competition among a fixed number of vessels (Alternative 3 for catcher/
processors).
    After an exhaustive public process spanning several years, the 
Council concluded that the Program best accomplishes the stated 
objectives articulated in the problem statement and applicable 
statutes, and minimizes to the extent practicable adverse economic 
impacts on the universe of directly regulated small entities.

Regulatory Impact Review (RIR)

    An RIR was prepared to assess all costs and benefits of available 
regulatory alternatives. The RIR considers all quantitative and 
qualitative measures. The Program was chosen based on those measures 
that maximize net benefits to affected participants in the Central GOA 
rockfish fisheries. Specific aspects of the RIR are discussed under the 
heading of the IRFA.

Initial Regulatory Flexibility Analysis (IRFA)

    An IRFA was prepared, as required by section 603 of the RFA. The 
IRFA describes the economic impact this proposed rule, if adopted, 
would have on small entities. A description of the action, why it is 
being considered, and the legal basis for this action are contained in 
the preamble. Copies of the EA/RIR/IRFA prepared for this proposed rule 
are available from NMFS (see ADDRESSES). A summary of that analysis 
follows.
    Why action by the agency is being considered and objectives of, and 
legal basis for, the proposed rule. The IRFA describes in detail the 
reasons why this action is being proposed, describes the objectives and 
legal basis for the proposed rule, and discusses both small and non-
small regulated entities to adequately characterize the fishery 
participants. Section 802 of the Consolidated Appropriations Act of 
2004 and the Magnuson-Stevens Act provide the legal basis for the 
proposed rule, namely to achieve the objective of reducing excessive 
fishing capacity and ending the race for fish under the current 
management strategy for commercial fishing vessels operating in the 
Central GOA rockfish fisheries. By ending the race for fish, NMFS 
expects the proposed action to increase resource conservation, improve 
economic efficiency, and address social concerns.
    Number of small entities to which the proposed rule will apply. The 
IRFA contains a description and estimate of the number of small 
entities to which the proposed rule would apply. The IRFA estimates 
that as many as 63 entities, that own approximately 48 catcher vessels 
and 15 catcher/processor vessels, would be eligible to receive QS under 
the Program. The IRFA estimates that approximately 171 trawl vessels 
and 900 non-trawl vessels could participate in the entry level fishery. 
The number of vessels that would choose to participate in the entry 
level fishery component of the Program is not known; therefore, there 
is no estimate of the number of entities in the entry level fishery 
that are directly regulated under this Program.
    In addition, six entities that process rockfish are estimated to be 
eligible rockfish processors and would be

[[Page 33071]]

regulated under this Program. None of these eligible rockfish 
processors are estimated to be small entities based on the number of 
persons employed by these processors. Additionally, some of these 
eligible rockfish processors are estimated to be involved in both the 
harvesting and processing of seafood products and exceed the $4.0 
million in revenues as a fish harvesting operation. Some processors 
that are not eligible rockfish processors may choose to compete for 
landings from the entry level fishery and would be regulated by this 
Program. Some of these processors may be small entities. The extent of 
participation by small entities in the processing segment of the entry 
level fishery cannot be predicted.
    Of the estimated 63 entities owning vessels eligible for fishing 
under the Program (other than the entry-level fishery), 45 are 
estimated to be small entities because they generated $4.0 million or 
less in gross revenue based on participation in 1996 through 2002. All 
15 of the entities owning eligible catcher/processor vessels are non-
small entities as defined by the RFA. No catcher vessel individually 
exceeds the small entity threshold of $4.0 million in gross revenues. 
At least three catcher vessels are believed to be owned by entities 
whose operations exceed the small entity threshold, leaving an 
estimated many as 45 small catcher vessel entities that are directly 
regulated by this action. The ability to estimate the number of small 
entities that operate catcher vessels regulated by this action is 
limited due to incomplete information concerning vessel ownership.
    It is likely that a substantial portion of the catcher vessel 
participants in the entry level fishery will be small entities. Based 
on data from NOAA Fisheries, there are approximately 171 LLP licenses 
that would be qualified to fish in the Central GOA entry level trawl 
fishery, and 900 LLP licenses that would qualify to fish in the entry 
level fixed gear fishery. However, it is not possible to determine how 
many persons may hold these LLP licenses and chose to participate in 
the entry level fishery at the time of application to participate in 
the fishery. The number of persons holding LLPs is likely to be less 
than the total number of LLP licenses that may be used to participate 
in the entry level fishery because a person may hold more than one LLP 
license at a time.
    Six entities made at least one rockfish landing from 1996 to 2002, 
but none appeared to qualify as an eligible rockfish harvester. Five of 
these entities are not small entities and one entity qualifies as 
``small'' by Small Business Administration (SBA) standards. The non-
small entities owned five catcher/processors. The one small entity owns 
a catcher vessel. Entities that do not qualify for the Program either 
left the fishery, currently fish under interim LLP licenses, or do not 
hold an LLP license. Moreover, the vessels the IRFA considers ``non-
qualified'' could not or would not be allowed to continue fishing under 
the current LLP. The impacts to the small entities that would be 
prohibited from fishing by the LLP were analyzed in the RIR/IRFA and 
Final Regulatory Flexibility Analysis (FRFA) prepared for the LLP. 
Therefore, the non-qualified vessels are not considered impacted by the 
proposed rule and are not discussed in this IRFA.
    For purposes of the RIR, the community of Kodiak, Alaska, could be 
directly impacted by the Program. All of the eligible rockfish 
processors are located in Kodiak. The specific impacts on Kodiak cannot 
be determined until NMFS issues QS and eligible rockfish harvesters 
begin fishing under the Program. Other supporting businesses may also 
be indirectly affected by this action if it leads to fewer vessels 
participating in the fishery. These impacts are analyzed in the RIR 
prepared for this action (see ADDRESSES).
    Projected reporting, recordkeeping and other compliance 
requirements. Implementation of the Program would change the overall 
reporting structure and recordkeeping requirements of the participants 
in the Central GOA rockfish fisheries. All participants would be 
required to provide additional reporting. Each harvester would be 
required to track harvests to avoid exceeding his or her allocation. As 
in other North Pacific rationalized fisheries, processors would provide 
catch recording data to managers to monitor harvest of allocations. 
Processors would be required to record deliveries and processing 
activities to aid in the Program administration.
    NMFS would be required to develop new databases to monitor 
harvesting and processing allocations. These changes could require the 
development of new reporting systems.
    To participate in the Program, persons would be required to 
complete application forms, transfer forms, reporting requirements, and 
other collections-of-information. These forms are either required under 
existing regulations or are required for the administration of the 
Program. These forms impose costs on small entities in gathering the 
required information and completing the forms. With the exception of 
specific equipment tests, which are performed by NMFS employees or 
other professionals, basic word processing skills are the only skills 
needed for the preparation of these reports or records.
    NMFS has estimated the costs of complying with the reporting 
requirements based on the burden hours per response, number of 
responses per year, and a standard estimate of $25 per burden hour. 
Persons would be required to complete most of the forms at the start of 
the Program, such as the application to participate in the Program. 
Persons would be required to complete some forms every year, such as 
the application to fish in a rockfish cooperative, limited access 
fishery, or opt-out fishery. Additionally, reporting for purposes of 
catch accounting, or transfer of CFQ among rockfish cooperatives would 
be completed more frequently.
    It would cost participants in the Program an estimated $56 to 
complete applications to participate in the Program, $55 for the annual 
application to participate in a rockfish cooperative, limited access 
fishery, or opt-out, $61 to complete a transfer of CFQ, and $61 to 
complete a transfer of rockfish processor eligibility.
    NMFS considered multiple alternatives to effectively implement 
specific provisions within the Program through regulation. In each 
instance, NMFS attempted to impose the least burden on the public, 
including the small entities subject to the Program.
    The groundfish landing report (internet version and optional fax 
version) would be used to debit CFQ. All retained catch must be 
weighed, reported, and debited from the appropriate account under which 
the catch was harvested. Under recordkeeping and reporting, NMFS 
considered the options of a paper based reporting system or an 
electronic reporting system. NMFS chose to implement an electronic 
reporting system as a more convenient, accurate, and timely method. 
Additionally, the proposed electronic reporting system would provide 
continuous access to accounts. These provisions would make 
recordkeeping and reporting requirements less burdensome on 
participants by allowing participants to more efficiently monitor their 
accounts and fishing activities. NMFS recognizes that participants in 
the current fishery might be more comfortable with the paper based fish 
ticket system, but believes that the added benefits of the electronic 
reporting system outweigh any benefits of the paper based system. 
However, NMFS would also provide an

[[Page 33072]]

optional backup using existing telecommunication and paper based 
methods, which would reduce the burden on small entities in more remote 
areas possessing less electronic infrastructure.
    Under this proposed rule, catcher/processors would be required to 
purchase and install motion-compensated scales to weigh all fish at-
sea. Such scales would cost on a one-time basis, approximately $69,000 
per vessel. Currently a flow scale costs $60,000, an observer platform 
scale $8,500, and test weights $500. Additional costs on a one-time 
basis associated with the installation of the scales are estimated to 
be between $10,000 and $40,000, depending on the extent to which the 
vessel must be reconfigured to install the scale. Scale monitoring 
requirements would cost approximately $6,235 per year. Based on 
discussions with equipment vendors, NMFS estimates that six catcher/
processors, one of which is a small entity, would choose to fish under 
the Program and would be required to have scales.
    NMFS would increase observer coverage for Program participants in 
most cases. In similar NMFS managed quota fisheries, NMFS requires that 
all fishing activity be observed. NMFS must maintain timely and 
accurate records of harvests in fisheries with small allocations that 
are harvested by a fleet with a potentially high harvest rate. 
Additionally, halibut PSC and halibut mortality rates must be 
monitored. Such monitoring can only be accomplished through the use of 
onboard observers. Although this imposes additional costs, participants 
in the fishery can form rockfish cooperatives, which would limit the 
number of vessels required to harvest a cooperative's CFQ, and organize 
fishing operations to limit the amount of time when additional observer 
coverage would be required and offset additional costs. The exact 
overall additional observer costs per vessel cannot be predicted 
because costs will vary with the specific fishing operations of that 
vessel. NMFS estimates that a requirement for increased observer 
coverage would cost approximately $400 per day. Additional costs may be 
associated with catcher/processors that reconfigure their vessels to 
ensure that adequate space is available for the additional observer. 
These costs cannot be predicted and will vary from vessel to vessel 
depending on specific conditions on that vessel.
    For monitoring of processing activity, it would cost shore-based 
processors approximately $416 to complete the catch monitoring plan and 
an additional $2,800 annually to complete all landing reports.
    NMFS determined that a VMS program is essential to the proper 
enforcement of the Program. Therefore, all vessels, except for non-
trawl entry level vessels, participating in the Program would be 
required to participate in a VMS program. Depending on which brand of 
VMS a vessel chooses to purchase, NMFS estimates that this requirement 
would impose a cost of $2,000 per vessel for equipment purchase, $780 
for installation and maintenance, and $5 per day for data transmission 
costs. NMFS does not estimate that any additional vessels would incur 
this cost if they choose to participate in the Program. This estimate 
is based on information on those vessels that may participate in the 
Program which are already subject to VMS requirements under existing 
regulations.
    NMFS has determined that special catch handling requirements for 
catcher/processors may subject vessel owners and operators to 
additional costs depending on the monitoring option chosen. The costs 
for providing line of sight for observer monitoring are highly variable 
depending on bin modifications the vessel may make, the location of the 
observer sample station, and the type of viewing port installed. These 
costs cannot be estimated with existing information.
    Because NMFS has chosen to implement the video option using 
performance standards, the costs for a vessel to implement this option 
could be quite variable, depending on the nature of the system chosen. 
In most cases, the system would be expected to consist of one digital 
video recorder (DVR)/computer system and between two and five cameras. 
DVR systems range in price from $1,500 to $10,000, and cameras cost 
from $75 to $300 each. Data storage costs will vary depending on the 
frame rate, color density, amount of compression, image size, and need 
for redundant storage capacity. NMFS estimates data storage will cost 
between $400 and $3,000 per vessel.
    Installation costs will be a function of where the DVR/computer can 
be located in relation to an available power source, cameras, and the 
observer sampling station. NMFS estimates that a fairly simple 
installation will cost approximately $2,000, a complex installation 
will cost approximately $10,000, per vessel. However, these costs could 
be considerably lower if the vessel owner chooses to install the 
equipment while upgrading other wiring. Thus, total system costs, 
including DVR/computer equipment, cameras, data storage, and 
installation would be expected to range between $4,050 per vessel for a 
very simple inexpensive system with low installation costs, and $24,500 
per vessel for a complex, sophisticated system with high installation 
costs.
    Annual system maintenance costs are difficult to estimate because 
much of this technology has not been extensively used at-sea in the 
United States. However, we estimate an annual cost of $680 to $4,100 
per year based on a hard disk failure rate of 20 percent per year, and 
a DVR/computer lifespan of three years.
    Federal rules which may duplicate, overlap or conflict with the 
proposed rule. No Federal rules that may duplicate, overlap, or 
conflict with this proposed action have been identified.

Collection-of-Information

    This rule contains collection-of-information requirements subject 
to review and approval by OMB under the Paperwork Reduction Act (PRA). 
These requirements have been submitted to OMB for approval. Public 
reporting burden per response for these requirements are listed by OMB 
control number.

OMB Control No. 0648-New (Pending Approval)

    Two (2) hours for application to participate in the Program; 2 
hours for the application for CFQ; 2 hours for the application for the 
limited access fishery; 2 hours for the application for the entry-level 
fishery; 2 hours for the application to opt-out; 2 hours for the 
application for inter-cooperative transfer; 2 hours for the application 
to transfer processor eligibility; 4 hours for annual rockfish 
cooperative report; 6 minutes for rockfish cooperative catch report; 4 
hours for a letter of appeal, if denied a permit; 15 minutes for a 
rockfish cooperative termination of fishing declaration; and 15 minutes 
for modification of the application for CFQ for vessels authorized to 
fish CFQ.

OMB Control No. 0648-0515

    Fifteen (15) minutes for application for user ID; 35 minutes to 
electronically submit landing report and print receipts.

OMB Control No. 0648-0330

    Forty (40) hours for complying with special catch handling 
requirements for catcher/processors; 40 hours for catch monitoring and 
control plan (CMCP).
    This rule contains collection-of-information requirements subject 
to the PRA and which have been approved by

[[Page 33073]]

OMB. Public reporting burden per response for these requirements are 
listed by OMB control number.

OMB Control No. 0648-0213

    Fourteen (14) minutes for Vessel Activity Report; 20 minutes for 
product transfer report; 28 minutes for catcher vessel longline and pot 
gear daily fishing logbook; and 41 minutes for catcher/processor 
longline and pot gear daily cumulative production logbook.

OMB Control No. 0648-0445

    Twelve (12) minutes for VMS check-in form; 6 hours for VMS 
installation; 4 hours for VMS annual maintenance; and 6 seconds for 
each VMS transmission.
    Response times include the time for reviewing instructions, 
searching existing data sources, gathering and maintaining the data 
needed, and completing and reviewing the collection of information. 
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 regarding this burden estimate or 
any other aspect of this collection of information, including 
suggestions for reducing the burden to NMFS (see ADDRESSES), and by e-
mail to [email protected], or fax to 202-395-7285.
    Notwithstanding any other provision of the law, no person is 
required to respond to, nor shall any person be subject to a penalty 
for failure to comply with, a collection of information subject to the 
requirements of the PRA, unless that collection of information displays 
a currently valid OMB Control Number.
    This proposed rule has been determined to be not significant for 
purposes of Executive Order 12866.

List of Subjects in 50 CFR Part 679

    Alaska, Fisheries, Reporting and recordkeeping requirements.

    Dated: May 23, 2006.
John Oliver,
Deputy Assistant Administrator for Operations, National Marine 
Fisheries Service.
    For the reasons set out in the preamble, 50 CFR part 679 is 
proposed to be amended as follows:

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

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

    Authority: 16 U.S.C. 773 et seq., 1801 et seq., 3631 et seq.; 
and Pub. L. 108-199, 118 Stat. 110.

    2. In Sec.  679.2, add the definitions of ``Cooperative fishing 
quota (CFQ)'', ``Eligible rockfish harvester'', ``Eligible rockfish 
processor'', ``Eligible rockfish entry level harvester'', ``Eligible 
rockfish entry level processor'', ``Halibut PSC sideboard limit'', 
``Initial rockfish QS pool'', ``Legal rockfish landing for purposes of 
qualifying for the Rockfish Program'', ``Non-allocated secondary 
species'', ``Official Rockfish Program record'', ``Opt-out fishery'', 
``Primary rockfish species'', ``Rockfish cooperative'', ``Rockfish 
entry level fishery'', ``Rockfish halibut PSC'', ``Rockfish limited 
access fishery'', ``Rockfish Program'', ``Rockfish Program fisheries'', 
``Rockfish Program species'', ``Rockfish Quota Share (QS)'', ``Rockfish 
QS pool'', ``Rockfish QS unit'', ``Rockfish sideboard fisheries'', 
``Secondary species'', ``Sector for purposes of the Rockfish Program'', 
``Sideboard limit for purposes of the Rockfish Program'', ``Sideboard 
ratio for purposes of the Rockfish Program'', and ``Ten percent or 
greater direct or indirect ownership interest for purposes of the 
Rockfish Program'' in alphabetical order to read as follows:


Sec.  679.2.  Definitions.

* * * * *
    Cooperative fishing quota (CFQ) means: (1) The annual catch limit 
of a primary rockfish species or secondary species that may be 
harvested by a rockfish cooperative that may lawfully harvest an amount 
of the TAC for a primary rockfish species or secondary species while 
participating in the Rockfish Program;
    (2) The amount of annual halibut PSC that may be used by a rockfish 
cooperative in the Central GOA while participating in the Rockfish 
Program (see rockfish halibut PSC in this section).
* * * * *
    Eligible rockfish entry level harvester means a person who is 
permitted by NMFS to harvest fish in the rockfish entry level fishery.
    Eligible rockfish entry level processor means a person who is 
permitted by NMFS to receive and process fish harvested under the 
rockfish entry level fishery.
    Eligible rockfish harvester means a person who is permitted by NMFS 
to hold rockfish QS.
    Eligible rockfish processor means a person who is permitted by NMFS 
to receive and process primary rockfish species and secondary rockfish 
species harvested by a rockfish cooperative or in a rockfish limited 
access fishery.
* * * * *
    Halibut PSC sideboard limit means the maximum amount of halibut PSC 
that may be used from July 1 through July 31 by eligible rockfish 
harvesters or rockfish cooperatives in the West Yakutat District, 
Central GOA, and Western GOA as established under Sec.  679.82(d), as 
applicable.
* * * * *
    Initial rockfish QS pool means the sum of rockfish QS units 
established for a Rockfish Program fishery based on the official 
Rockfish Program record and used for the initial allocation of rockfish 
QS units and use cap calculations as described in Sec.  679.82(a).
* * * * *
    Legal rockfish landing for purposes of qualifying for the Rockfish 
Program means groundfish caught and retained in compliance with state 
and Federal regulations in effect at that time unless harvested and 
then processed as meal, and
    (1) For catcher vessels: (i) The harvest of groundfish from the 
Central GOA regulatory area that is offloaded and recorded on a State 
of Alaska fish ticket during the directed fishing season for that 
Primary rockfish fishery as established in Table 28 to this part; and
    (ii) An amount of halibut PSC attributed to that sector during the 
directed fishing season for the primary rockfish fisheries as 
established in Table 28 to this part.
    (2) For catcher/processors: (i) The harvest of groundfish from the 
Central GOA regulatory area that is recorded on a Weekly Production 
Report based on harvests during the directed fishing season for that 
Primary rockfish fishery as established in Table 28 to this part; and
    (ii) An amount of halibut PSC attributed that sector during the 
directed fishing season for the Primary rockfish fisheries as 
established in Table 28 to this part.
* * * * *
    Non-allocated secondary species (see Rockfish Program species in 
this section).
* * * * *
    Official Rockfish Program record means information used by NMFS 
necessary to determine eligibility to participate in the Rockfish 
Program and

[[Page 33074]]

assign specific harvest or processing privileges to Rockfish Program 
participants.
* * * * *
    Opt-out fishery means the fishery conducted by persons who are 
eligible rockfish harvesters holding an LLP license endorsed for 
catcher/processor activity and who are not participating in a rockfish 
cooperative or the rockfish limited access fishery in the catcher/
processor sector.
* * * * *
    Primary rockfish species (see Rockfish Program species in this 
section).
* * * * *
    Rockfish cooperative means a group of eligible rockfish harvesters 
who have chosen to form a rockfish cooperative under the requirements 
of Sec.  679.81(i) in order to combine and harvest fish collectively 
under a CFQ permit issued by NMFS.
    Rockfish entry level fishery means the fishery conducted under the 
Rockfish Program by eligible rockfish entry level harvesters and 
eligible rockfish entry level processors.
    Rockfish halibut PSC means the amount of halibut PSC that may be 
used by a rockfish cooperative in the Central GOA as assigned on a CFQ 
permit.
    Rockfish limited access fishery means the fishery conducted by 
persons who are eligible rockfish harvesters or eligible rockfish 
processors and who are not participating in a rockfish cooperative or 
opt-out fishery for that applicable sector.
    Rockfish Program means the Program authorized under the authority 
of Section 802 of the Consolidated Appropriations Act of 2004 (Pub. L. 
108-199) and implemented under subpart G of this part to manage 
Rockfish Program fisheries.
    Rockfish Program fisheries means those directed fisheries that 
catch primary rockfish species, secondary species, rockfish halibut 
PSC, and rockfish sideboard fisheries.
    Rockfish Program species means the following species in the Central 
GOA regulatory area that are managed under the authority of the 
Rockfish Program:
    (1) Primary rockfish species means northern rockfish, Pacific ocean 
perch, and pelagic shelf rockfish.
    (2) Secondary species means the following species:
    (i) Sablefish not allocated to the IFQ Program;
    (ii) Thornyhead rockfish;
    (iii) Pacific cod for the catcher vessel sector;
    (iv) Rougheye rockfish for the catcher/processor sector; and
    (v) Shortraker rockfish for the catcher/processor sector.
    (3) Non-allocated secondary species means the following species:
    (i) Atka mackerel, arrowtooth flounder, deep water flatfish, 
flathead sole, ``other species,'' pollock, rex sole, and shallow water 
flatfish;
    (ii) Pacific cod for the catcher/processor sector; and
    (iii) Rougheye rockfish and shortraker rockfish for the catcher 
vessel sector.
    Rockfish Quota Share (QS) means a permit the amount of which is 
based on legal rockfish landings for purposes of qualifying for the 
Rockfish Program that are assigned to an LLP license.
    Rockfish QS pool means the sum of rockfish QS units established for 
a Rockfish Program fishery based on the official Rockfish Program 
record.
    Rockfish QS unit means a measure of QS based on the legal rockfish 
landings.
    Rockfish sideboard fisheries means fisheries that are assigned a 
sideboard limit that may be harvested by participants in the Rockfish 
Program.
* * * * *
    Secondary species (see Rockfish Program species in this section).
    Sector for purposes of the Rockfish Program means: (1) Catcher/
processor sector means those eligible rockfish harvesters who hold an 
LLP license with a catcher/processor designation and who are eligible 
to receive rockfish QS that may result in CFQ that may be harvested and 
processed at sea.
    (2) Catcher vessel sector means those eligible rockfish harvesters 
who hold an LLP license who are eligible to receive rockfish QS that 
may result in CFQ that may not be harvested and processed at sea.
* * * * *
    Sideboard limit for purposes of the Rockfish Program means: (1) The 
maximum amount of northern rockfish, Pacific ocean perch, and pelagic 
shelf rockfish that may be harvested by all vessels in all areas as 
specified under Sec.  679.82(d) through (h), as applicable;
    (2) The maximum amount of Pacific cod that may be harvested by all 
vessels in all areas as specified under Sec.  679.82(d) through (h), as 
applicable; or
    (3) The maximum amount of halibut PSC that may be used by all 
vessels in all areas as specified under Sec.  679.82(d) through (h), as 
applicable.
    Sideboard ratio for purposes of the Rockfish Program means a 
portion of a sideboard limit for a groundfish fishery that is assigned 
to the catcher vessel sector or catcher/processor sector based on the 
catch history of vessels in that sector.
* * * * *
    Ten percent or greater direct or indirect ownership interest for 
purposes of the Rockfish Program means a relationship between two or 
more entities in which one directly or indirectly owns or controls a 10 
percent or greater interest in, or otherwise controls, another entity; 
or a third entity which directly or indirectly owns or controls a 10 
percent or greater interest in both. For the purpose of this 
definition, the following terms are further defined:
    (1) Entity. An entity may be a person, association, partnership, 
joint-stock company, trust, or any other type of legal entity; any 
receiver, trustee in bankruptcy or similar official or liquidating 
agent; or any organized group of persons whether incorporated or not.
    (2) Indirect interest. An indirect interest is one that passes 
through one or more intermediate entities. An entity's percentage of 
indirect interest in a second entity is equal to the entity's 
percentage of direct interest in an intermediate entity multiplied by 
the intermediate entity's direct or indirect interest in the second 
entity.
    (3) Controls a 10 percent or greater interest. An entity controls a 
10 percent or greater interest in a second entity if the first entity:
    (i) Controls a 10 percent ownership share of the second entity; or
    (ii) Controls 10 percent or more of the voting or controlling stock 
of the second entity.
    (4) Otherwise controls. An entity otherwise controls another 
entity, if it has:
    (i) The right to direct, or does direct, the business of the other 
entity;
    (ii) The right in the ordinary course of business to limit the 
actions of, or replace, or does limit or replace, the chief executive 
officer, a majority of the board of directors, any general partner, or 
any person serving in a management capacity of the entity;
    (iii) The right to direct, or does direct, the rockfish fishery 
processing activities of that entity;
    (iv) The right to restrict, or does restrict, the day-to-day 
business activities and management policies of the entity through loan 
covenants;
    (v) The right to derive, or does derive, either directly, or 
through a minority shareholder or partner, and in favor of the entity, 
a significantly disproportionate amount of the economic benefit from 
the processing of fish by that entity;
    (vi) The right to control, or does control, the management of, or 
to be a controlling factor in, the entity;
    (vii) The right to cause, or does cause, the purchase or sale of 
fish processed by that entity;

[[Page 33075]]

    (viii) Absorbs all of the costs and normal business risks 
associated with ownership and operation of the entity; or
    (ix) Has the ability through any other means whatsoever to control 
the entity.
* * * * *
    3. In Sec.  679.4, paragraphs (a)(1)(xii), (b)(10), (k)(11), and 
(n) are added to read as follows:


Sec.  679.4  Permits.

    (a) * * *
    (1) * * *

------------------------------------------------------------------------
                                  Permit is in effect       For more
If program permit or card type      from issue date       information,
              is:                   through end of:         see . . .
------------------------------------------------------------------------
 
                              * * * * * * *
(xii) Rockfish Program
(A) CFQ.......................  Specified fishing year  Sec.
                                                         679.81(e)(4).
(B) Rockfish Entry Level        Specified fishing year  Sec.
 Fishery.                                                679.81(e)(7).
(C) Opt-out Fishery...........  Specified fishing year  Sec.
                                                         679.81(e)(6).
(D) Rockfish Limited Access     Specified fishing year  Sec.
 Fishery.                                                679.81(e)(5).
------------------------------------------------------------------------

* * * * *
    (b) * * *
    (10) NMFS will reissue a Federal fisheries permit to any person who 
holds a Federal fisheries permit issued to a vessel if that vessel was 
used to make any legal rockfish landings and is subject to a sideboard 
limit as described under Sec.  679.82(d) through (h).
* * * * *
    (k) * * *
    (11) Rockfish QS--(i) General. In addition to other requirements of 
this part, a license holder must have rockfish QS on his or her 
groundfish LLP license to conduct directed fishing for Rockfish Program 
fisheries with trawl gear.
    (ii) Eligibility requirements for rockfish QS. The eligibility 
requirements to receive rockfish QS are established in Sec.  679.80(b).
* * * * *
    (n) Rockfish Program--(1) Cooperative fishing quota (CFQ). (i) A 
CFQ permit is issued annually to a rockfish cooperative if the members 
of that rockfish cooperative have submitted a complete and timely 
application for CFQ as described at Sec.  679.81(e)(4) that is 
subsequently approved by the Regional Administrator. A CFQ permit 
authorizes a rockfish cooperative to participate in the Rockfish 
Program. The CFQ permit will indicate the amount of primary rockfish 
species or secondary species that may be harvested by the rockfish 
cooperative, and the amount of rockfish halibut PSC that may be used by 
the rockfish cooperative. The CFQ permit will list the members of the 
rockfish cooperative, the vessels that are authorized to fish under the 
CFQ permit for that rockfish cooperative, and the eligible rockfish 
processor with whom that rockfish cooperative is associated, if 
applicable.
    (ii) A CFQ permit is valid under the following circumstances:
    (A) Until the end of the year for which the CFQ permit is issued;
    (B) Until the amount harvested is equal to the amount specified on 
the CFQ permit for a specific primary rockfish species or secondary 
species;
    (C) Until the amount of halibut PSC used is equal to the amount of 
rockfish halibut PSC specified on the CFQ permit;
    (D) Until the permit is modified by transfers under Sec.  
679.81(f);
    (E) Until the permit is amended to add or remove vessels authorized 
to fish the CFQ for that rockfish cooperative;
    (F) Until the permit is revoked through an approved rockfish 
cooperative termination of fishing declaration; or
    (G) Until the permit is revoked, suspended, or modified pursuant to 
Sec.  679.43 or under 15 CFR part 904.
    (iii) A legible copy of the CFQ permit must be carried on board the 
vessel(s) used by the rockfish cooperative.
    (2) Rockfish cooperative termination of fishing declaration. (i) A 
rockfish cooperative may choose to extinguish its CFQ permit through a 
declaration submitted to NMFS.
    (ii) This declaration may only be submitted to NMFS using the 
following methods:
    (A) Fax: 907-586-7354; or
    (B) Hand Delivery or Carrier. NMFS, Room 713, 709 4th Street, 
Juneau, AK 99801.
    (iii) A Rockfish cooperative termination of fishing declaration 
must include the following information:
    (A) CFQ permit number;
    (B) The date the declaration is submitted; and
    (C) The rockfish cooperative's legal name, the permanent business 
address, telephone number, fax number, and e-mail address (if 
available) of the rockfish cooperative or its authorized 
representative, and the printed name and signature of the authorized 
representative of the rockfish cooperative.
    (iv) NMFS will review the declaration and notify the rockfish 
cooperative's authorized representative once the declaration has been 
approved.
    (v) Upon approval of a declaration, the CFQ for all primary 
rockfish species, secondary species, and rockfish halibut PSC assigned 
to that rockfish cooperative will be set to zero and that rockfish 
cooperative may not receive any CFQ for any primary rockfish species, 
secondary species, and rockfish halibut PSC by transfer for that 
calendar year.
    (3) Eligible rockfish processor. (i) The Regional Administrator 
will issue an eligible rockfish processor permit to persons who have 
submitted a complete application described at Sec.  679.81(d), that is 
subsequently approved by the Regional Administrator. An eligible 
rockfish processor permit authorizes a shoreside processor or 
stationary floating processor to receive fish harvested under the 
Rockfish Program, except for fish harvested under the rockfish entry 
level fishery.
    (ii) A permit is valid under the following circumstances:
    (A) Until the permit is modified by transfers under Sec.  
679.81(f); or
    (B) Until the permit is revoked, suspended, or modified pursuant to 
Sec.  679.43 or 15 CFR part 904.
    (iii) A legible copy of the eligible rockfish processor permit must 
be available at the facility at which Rockfish Program fish are 
received.
    4. Section 679.5 is amended by:
    A. Removing and reserving paragraph (a)(4).
    B. Redesignating paragraphs (e)(3) through (e)(7) as paragraphs 
(e)(4) through (e)(8), respectively.
    C. Adding paragraphs (e)(3) and (r).
    D. Revising the introductory text of paragraph (e) and paragraphs 
(e)(1) and (e)(2).

[[Page 33076]]

    E. In newly redesignated paragraph (e)(4), remove the phrase 
``paragraphs (e)(1) and (2)'' and add in its place the phrase 
``paragraphs (e)(1), (e)(2), and (e)(3)''.
    F. In newly redesignated paragraph (e)(5)(ii), remove the phrase 
``paragraph (e)(6)'' and add in its place the phrase ``paragraph 
(e)(7)''.
    G. In newly redesignated paragraph (e)(5)(iii), remove the phrase 
``paragraph (e)(4)(iv)'' and add in its place the phrase ``paragraph 
(e)(5)(iv)''.
    H. In newly redesignated paragraph (e)(5)(iii), remove the phrase 
``paragraph (e)(4)(iv)'' and add in its place the phrase ``paragraph 
(e)(5)(iv)''.
    The additions and revisions read as follows:


Sec.  679.5  Recordkeeping and reporting (R&R).

* * * * *
    (e) Shoreside processor electronic logbook report (SPELR). The 
owner or manager of a shoreside processor or stationary floating 
processor:
    (1) That receives groundfish from AFA catcher vessels or receives 
pollock harvested in a directed pollock fishery from catcher vessels:
    (i) Must use SPELR or NMFS-approved software to report every 
delivery of harvest made during the fishing year, including but not 
limited to groundfish from AFA catcher vessels and pollock from a 
directed pollock fishery participant; and
    (ii) Must maintain the SPELR and printed reports as described in 
paragraphs (e) and (f) of this section.
    (2) That receives groundfish from catcher vessels that are 
permitted as harvesters in the Rockfish Program:
    (i) Must use SPELR or NMFS-approved software to report every 
delivery of harvests made during the fishing year, including but not 
limited to groundfish from catcher vessels permitted as harvesters in 
the Rockfish Program; and
    (ii) Must maintain the SPELR and printed reports as described in 
paragraphs (e) and (f) of this section.
    (3) Receives groundfish and that is not required to use SPELR under 
paragraph (e)(1) or (e)(2) of this section:
    (i) May use, upon approval by the Regional Administrator, SPELR or 
NMFS-approved software in lieu of the shoreside processor DCPL and 
shoreside processor WPR.
    (ii) If using SPELR, must maintain the SPELR and printed reports as 
described in paragraphs (e) and (f) of this section.
* * * * *
    (r) Rockfish Program--(1) General. The owners and operators of 
catcher vessels, catcher/processors, shoreside processors, and 
stationary floating processors permitted as participants in the 
Rockfish Program must comply with the applicable recordkeeping and 
reporting requirements of this section and must assign all catch to a 
rockfish cooperative, rockfish limited access fishery, sideboard 
fishery, opt-out fishery, or rockfish entry level fishery as applicable 
at the time of catch or receipt of groundfish. All owners of catcher 
vessels, catcher/processors, shoreside processors, and stationary 
floating processors permitted as participants in the Rockfish Program 
must ensure that their authorized representatives or employees comply 
with all applicable recordkeeping and reporting requirements.
    (2) Logbook--(i) DFL. Operators of catcher vessels equal to or 
greater than 60 ft (18.3 m) LOA participating in a Rockfish Program 
fishery must maintain a daily fishing logbook for trawl gear as 
described in paragraphs (a) and (c) of this section.
    (ii) DCPL. Operators of catcher/processors permitted in the 
Rockfish Program must use a daily cumulative production logbook for 
trawl gear as described in paragraph (a) of this section to record 
Rockfish Program landings and production.
    (3) SPELR. Managers of shoreside processors or SFPs that are 
permitted as processors in the Rockfish Program must use SPELR or NMFS-
approved software as described in paragraphs (e) and (f) of this 
section, instead of a logbook and WPR, to record Rockfish Program 
landings and production.
    (4) Check-in/check-out report, processors. Operators or managers of 
a catcher/processor, mothership, stationary processor, or stationary 
floating processor that are permitted as processors in the Rockfish 
Program must submit check-in/check-out reports as described in 
paragraph (h) of this section.
    (5) Weekly production report (WPR). Operators of catcher/processors 
that are permitted as processors in the Rockfish Program and that use a 
DCPL must submit a WPR as described in paragraph (i) of this section.
    (6) Product transfer report (PTR), processors. Operators of 
catcher/processors and managers of shoreside processors or SFPs that 
are permitted as processors in the Rockfish Program must submit a PTR 
as described in paragraph (g) of this section.
    (7) Rockfish cooperative catch report--(i) Applicability. Operators 
of catcher/processors and managers of shoreside processors or SFPs that 
are permitted to receive fish harvested under the Rockfish Program (see 
Sec.  679.4(m)) must submit to the Regional Administrator a rockfish 
cooperative catch report detailing each cooperative's delivery and 
discard of fish, as described in paragraph (r)(7) of this section.
    (ii) Time limits and submittal. (A) The rockfish cooperative catch 
report must be submitted by one of the following methods:
    (1) An electronic data file in a format approved by NMFS mailed to: 
Sustainable Fisheries, P.O. Box 21668 Juneau, AK 99802-1668; or
    (2) By fax: 907-586-7131.
    (B) The rockfish cooperative catch report must be received by the 
Regional Administrator by 1200 hours, A.l.t. one week after the date of 
completion of delivery.
    (iii) Information required. The rockfish cooperative catch report 
must contain the following information:
    (A) CFQ Permit number;
    (B) ADF&G vessel registration number(s) of vessel(s) delivering 
catch;
    (C) Federal processor permit number of processor receiving catch;
    (D) Date delivery completed;
    (E) Amount of fish (in lb) delivered, plus weight of at-sea 
discards;
    (F) ADF&G fish ticket number(s) issued to catcher vessel(s).
    (8) Annual rockfish cooperative report--(i) Applicability. A 
rockfish cooperative permitted in the Rockfish Program (see Sec.  
679.4(m)(1)) annually must submit to the Regional Administrator an 
annual rockfish cooperative report detailing the use of the 
cooperative's CFQ.
    (ii) Time limits and submittal. (A) The annual rockfish cooperative 
report must be submitted to the Regional Administrator by an electronic 
data file in a NMFS-approved format by fax: 907-586-7557; or by mail to 
the Regional Administrator, NMFS Alaska Region, P.O. Box 21668, Juneau, 
AK 99802-1668; and
    (B) The annual rockfish cooperative report must be received by the 
Regional Administrator by December 15th of each year.
    (iii) Information required. The annual rockfish cooperative report 
must include at a minimum:
    (A) The cooperative's CFQ, sideboard limit (if applicable), and any 
rockfish sideboard fishery harvests made by the rockfish cooperative 
vessels on a vessel-by-vessel basis;
    (B) The cooperative's actual retained and discarded catch of CFQ, 
and sideboard limit (if applicable) by statistical area and vessel-by-
vessel basis;
    (C) A description of the method used by the cooperative to monitor 
fisheries

[[Page 33077]]

in which cooperative vessels participated; and
    (D) A description of any actions taken by the cooperative in 
response to any members that exceeded their catch as allowed under the 
rockfish cooperative agreement.
    (9) Vessel monitoring system (VMS) requirements (see Sec.  
679.28(f))
    5. In Sec.  679.7, paragraph (n) is added as follows:


Sec.  679.7  Prohibitions.

* * * * *
    (n) Rockfish Program--(1) General. (i) Fail to retain any primary 
rockfish species caught by a vessel named on an LLP license that is 
assigned to a rockfish cooperative when that vessel is fishing under a 
CFQ permit.
    (ii) Fail to retain any primary rockfish species caught by a vessel 
named on an LLP license that is assigned to a rockfish limited access 
fishery, or to a rockfish entry level fishery, when that rockfish 
fishery is open.
    (iii) Fail to retain any secondary species caught by a vessel named 
on an LLP that is assigned to a rockfish cooperative when that vessel 
is fishing under a CFQ permit.
    (iv) Fail to retain any groundfish caught by a vessel that is 
subject to a sideboard limit as described at Sec.  679.82(d) through 
(h), as applicable, if directed fishing for that groundfish species in 
that area is authorized.
    (v) Use an LLP license assigned to a rockfish cooperative, limited 
access fishery, or opt-out fishery, or rockfish entry-level fishery in 
any other fishery other than the fishery to which that LLP license was 
initially assigned for that fishing year.
    (2) Vessels operators participating in the Rockfish Program. (i) 
Operate a vessel that is named on an LLP license with rockfish QS that 
is assigned to a rockfish cooperative and fishing under a CFQ permit 
and fail to follow the catch monitoring requirements detailed at Sec.  
679.84(c) through (e) from May 1:
    (A) Until November 15; or
    (B) Until the authorized representative of that rockfish 
cooperative has submitted a rockfish cooperative termination of fishing 
declaration that has been approved by NMFS.
    (ii) Operate a vessel that is named on an LLP license with rockfish 
QS that is assigned to a rockfish limited access fishery and fail to 
follow the catch monitoring requirements detailed at Sec.  679.84(c) 
through (e) from July 1:
    (A) Until November 15; or
    (B) Until NMFS closes all directed fishing for all primary rockfish 
species for that rockfish limited access fishery for that sector.
    (iii) Operate a vessel that is subject to a sideboard limit 
detailed at Sec.  679.82(d) through (w), as applicable, and fail to 
follow the catch monitoring requirements detailed at Sec.  679.84(c) 
through (e) from July 1 until July 31, if that vessel is harvesting 
fish in the West Yakutat District, Central GOA, or Western GOA 
management areas.
    (3) VMS. (i) Operate a vessel that is named on an LLP license with 
rockfish QS that is assigned to a rockfish cooperative and fail to use 
functioning VMS equipment as described at Sec.  679.28(f) at all times 
when operating in a reporting area off Alaska from May 1:
    (A) Until November 15; or
    (B) Until the authorized representative of that rockfish 
cooperative has submitted a rockfish cooperative termination of fishing 
declaration that has been approved by NMFS.
    (ii) Operate a vessel that is named on an LLP license with rockfish 
QS that is assigned to a rockfish limited access fishery and fail to 
use functioning VMS equipment as described at Sec.  679.28(f) at all 
times when operating in a reporting area off Alaska from July 1:
    (A) Until November 15; or
    (B) Until NMFS closes all directed fishing for all primary rockfish 
species for that rockfish limited access fishery for that sector.
    (iii) Operate a vessel that is subject to a sideboard limit 
detailed at Sec.  679.82(d) through (h), as applicable, and fail to use 
functioning VMS equipment as described at Sec.  679.28(f) at all times 
when operating in a reporting area off Alaska from July 1 until July 
31.
    (iv) Operate a vessel that is named on an LLP license that is 
assigned to the rockfish entry level fishery for trawl gear and fail to 
use functioning VMS equipment as described at Sec.  679.28(f) at all 
times when operating in a reporting area off Alaska from July 1:
    (A) Until November 15; or
    (B) Until NMFS closes all directed fishing for all primary rockfish 
species for the rockfish entry level fishery for trawl gear.
    (4) Catcher/processor vessels participating in the opt-out fishery. 
Operate a vessel that is named on an LLP license that is assigned to 
the opt-out fishery to directed fish for northern rockfish, Pacific 
ocean perch, or pelagic shelf rockfish in the Central GOA.
    (5) Shoreside and stationary floating processors eligible for the 
Rockfish Program--(i) Catch weighing. Process any groundfish delivered 
by a vessel participating in a rockfish cooperative, rockfish limited 
access fishery, rockfish entry level fishery, or sideboard fishery not 
weighed on a scale approved by the State of Alaska. The scale must meet 
the requirements specified in Sec.  679.28(c).
    (ii) Catch monitoring and control plan (CMCP). Take deliveries of, 
or process, groundfish caught by a vessel in a rockfish cooperative or 
the rockfish limited access fishery as detailed under this subpart 
without following an approved CMCP as described at Sec.  679.28(g). A 
copy of the CMCP must be maintained at the facility and made available 
to authorized officers or NMFS-authorized personnel upon request.
    (iii) Delivery location limitations. Receive or process outside of 
the geographic boundaries of the community that is designated on the 
permit issued by NMFS to the eligible rockfish processor any groundfish 
caught by a vessel while that vessel is harvesting groundfish under a 
CFQ permit or in a rockfish limited access fishery.
    (6) Catcher vessels participating in the Rockfish Program and 
rockfish entry level fishery. Deliver groundfish harvested by a catcher 
vessel fishing under a CFQ permit, in a rockfish limited access 
fishery, or in a rockfish entry level fishery to a shoreside or 
stationary floating processor that is not operating under an approved 
CMCP pursuant to Sec.  679.28(g).
    (7) Rockfish cooperatives. (i) Exceed the CFQ permit amount 
assigned to that rockfish cooperative for that Rockfish Program 
species.
    (ii) Exceed the sideboard limit assigned to a rockfish cooperative 
in the catcher/processor sector.
    (iii) Operate a vessel with an LLP license assigned to a rockfish 
cooperative to fish under a CFQ permit unless the operator of that 
vessel, or that rockfish cooperative's authorized representative has 
notified NMFS that the vessel is fishing under a CFQ permit in the 
application for CFQ or by amending that application by notification as 
described under Sec.  679.81(e)(8).
    (iv) Operate a vessel fishing under the authority of a CFQ permit 
and to have any Pacific ocean perch, pelagic shelf rockfish, northern 
rockfish, sablefish, thornyhead rockfish, aboard the vessel unless 
those fish were harvested under the authority of a CFQ permit.
    (v) Operate a vessel fishing under the authority of a CFQ permit in 
the catcher vessel sector and to have any Pacific cod aboard the vessel 
unless those fish were harvested under the authority of a CFQ permit.
    (vi) Operate a vessel fishing under the authority of a CFQ permit 
in the catcher/processor sector and to have any

[[Page 33078]]

rougheye rockfish or shortraker rockfish aboard the vessel unless those 
fish were harvested under the authority of a CFQ permit.
    (8) Use caps. Exceed the use caps that apply under Sec.  679.82(a).
    6. In Sec.  679.20, paragraphs (e)(1), (e)(2)(ii), and (f)(2) are 
revised to read as follows:


Sec.  679.20  General Limitations.

* * * * *
    (e) * * *
    (1) Proportion of basis species. The maximum retainable amount of 
an incidental catch species is calculated as a proportion of the basis 
species retained on board the vessel using the retainable percentages 
in Table 10 to this part for the GOA species categories (except the 
Rockfish Program fisheries, which are described in Table 30 to this 
part for the Rockfish Program fisheries) and in Table 11 to this part 
for the BSAI species categories.
    (2) * * *
    (ii) To obtain these individual retainable amounts, multiply the 
appropriate retainable percentage for the incidental catch species/
basis species combination, set forth in Table 10 to this part for the 
GOA species categories (except the Rockfish Program fisheries, which 
are described in Table 30 to this part for the Rockfish Program 
fisheries), and Table 11 to this part for the BSAI species categories, 
by the amount of that basis species, in round-weight equivalents.
* * * * *
    (f) * * *
    (2) Retainable amounts. Except as provided in Table 10 to this 
part, arrowtooth flounder, or any groundfish species for which directed 
fishing is closed may not be used to calculate retainable amounts of 
other groundfish species. Only fish harvested under the CDQ Program may 
be used to calculate retainable amounts of other CDQ species. Only 
primary rockfish species fish harvested under the Rockfish Program may 
be used to calculate retainable amounts of other species, as provided 
in Table 30 to this part.
* * * * *
    7. In Sec.  679.28, paragraphs (f)(6), (g) introductory text, 
(g)(1) and (g)(2) are revised to read as follows:


Sec.  679.28  Equipment and operational requirements.

* * * * *
    (f) * * *
    (6) When must the VMS transmitter be transmitting? Your vessel's 
transmitter must be transmitting if the vessel is operating in any 
reporting area (see definitions at Sec.  679.2) off Alaska while any 
fishery requiring VMS, for which the vessel has a species and gear 
endorsement on its Federal fisheries permit under Sec.  
679.4(b)(5)(vi), is open, or when that vessel is required to use 
functioning VMS equipment in the Rockfish Program as described in Sec.  
679.7(n)(3).
    (g) Catch monitoring and control plan requirements (CMCP)--(1) What 
is a CMCP? A CMCP is a plan submitted by the owner and manager of a 
processing plant, and approved by NMFS, detailing how the processing 
plant will meet the catch monitoring and control standards detailed in 
paragraph (g)(7) of this section.
    (2) Who is required to prepare and submit a CMCP for approval? The 
owner and manager of shoreside or stationary floating processors 
receiving fish harvested in the following fisheries must prepare, 
submit, and have approved a CMCP prior to the receipt of fish harvested 
in these fisheries:
    (i) AFA pollock,
    (ii) AI directed pollock,
    (iii) Rockfish Program.
* * * * *
    8. In Sec.  679.50, paragraphs (g)(1)(iii)(B) introductory text, 
and (g)(1)(iii)(B)(1) are revised and (c)(2)(vii), (c)(7), and (d)(7) 
are added to read as follows:


Sec.  679.50  Groundfish Observer Program applicable through December 
31, 2007.

* * * * *
    (c) * * *
    (2) * * *
    (vii) Rockfish Program. In retained catch from Rockfish Program 
fisheries.
* * * * *
    (7) Rockfish Program--(i) Catcher/processor vessel--(A) Rockfish 
cooperative. A catcher/processor vessel that is named on an LLP license 
that is assigned to a rockfish cooperative and is fishing under a CFQ 
permit must have aboard at least two NMFS-certified observers for each 
day that the vessel is used to harvest or process in the Central GOA 
from May 1:
    (1) Until November 15; or
    (2) Until the authorized representative of that rockfish 
cooperative has submitted a rockfish cooperative termination of fishing 
declaration that has been approved by NMFS.
    (B) Rockfish limited access fishery. A catcher/processor vessel 
harvesting fish allocated to the rockfish limited access fishery for 
the catcher/processor sector must have aboard at least two NMFS-
certified observers for each day that the vessel is used to harvest or 
process in the Central GOA from July 1:
    (1) Until November 15; or
    (2) Until NMFS closes all directed fishing for all primary rockfish 
species in the rockfish limited access fishery for the catcher/
processor sector.
    (C) Sideboard fishery. A catcher/processor vessel that is subject 
to a sideboard limit as described under Sec.  679.82(d) through (h), as 
applicable, harvesting fish in the West Yakutat District, Central GOA, 
or Western GOA management areas must have aboard at least two NMFS-
certified observers for each day that the vessel is used to harvest or 
process from July 1 until July 31.
    (D) Observer lead level 2 requirements. At least one of these 
observers must be endorsed as a lead level 2 observer. More than two 
observers are required if the observer workload restriction at 
paragraph (c)(7)(i)(E) of this section would otherwise preclude 
sampling as required.
    (E) Observer workload. The time required for the observer to 
complete sampling, data recording, and data communication duties may 
not exceed 12 consecutive hours in each 24-hour period.
    (ii) Catcher vessels--(A) Rockfish cooperative. A catcher vessel 
that is named on an LLP license that is assigned to a rockfish 
cooperative and fishing under a CFQ permit must have aboard a NMFS-
certified observer at all times the vessel is used to harvest fish in 
the Central GOA from May 1:
    (1) Until November 15; or
    (2) Until the authorized representative of that rockfish 
cooperative has submitted a rockfish cooperative termination of fishing 
declaration that has been approved by NMFS.
    (B) Rockfish limited access fishery. A catcher vessel harvesting 
fish allocated to the rockfish limited access fishery for the catcher 
vessel sector must have aboard a NMFS-certified observer aboard at all 
times the vessel is used to harvest in the Central GOA from July 1:
    (1) Until November 15; or
    (2) Until NMFS closes all directed fishing for all primary rockfish 
species in the rockfish limited access fishery for the catcher vessel 
sector.
    (C) Sideboard fishery. A catcher vessel that is subject to a 
sideboard limit as described under Sec.  679.82(d) through (h), as 
applicable, harvesting fish in the West Yakutat District, Central GOA, 
or Western GOA management areas must have aboard a NMFS-certified 
observer at all times the vessel is used to harvest from July 1 until 
July 31.
    (d) * * *
    (7) Rockfish Program--(i) Coverage level. A shoreside or stationary 
floating processor must have a NMFS-certified observer for each 12 
consecutive hour period in each calendar day during

[[Page 33079]]

which it receives deliveries from a catcher vessel described at 
paragraph (c)(7)(ii) of this section. A shoreside or stationary 
floating processor that receives deliveries or processes catch from a 
catcher vessel described at paragraph (c)(7)(ii) of this section for 
more than 12 consecutive hours in a calendar day is required to have 
two NMFS-certified observers each of these days.
    (ii) Multiple processors. An observer deployed to a shoreside or 
stationary floating processor that receives deliveries from a catcher 
vessel described at paragraph (c)(7)(ii) of this section harvested 
under the Rockfish Program fisheries may not be assigned to cover more 
than one processor during a calendar day.
    (iii) Observers transferring between vessels and processors. An 
observer transferring from a catcher vessel delivering to a shoreside 
or stationary floating processor that receives deliveries from a 
catcher vessel described at paragraph (c)(7)(ii) of this section may 
not be assigned to cover the shoreside or stationary floating processor 
until at least 12 hours after offload and sampling of the catcher 
vessel's delivery is complete.
    (iv) Observer coverage limitations. Observer coverage requirements 
at paragraph (d)(7) of this section are in addition to observer 
coverage requirements in other fisheries.
* * * * *
    (g) * * *
    (1) * * *
    (iii) * * *
    (B) Communication equipment requirements. In the case of an 
operator of a catcher/processor or mothership that is required to carry 
one or more observers, or a catcher vessel required to carry an 
observer as specified in paragraph (c)(1)(iv) or (c)(7)(ii) of this 
section:
    (1) Hardware and software. Making available for use by the observer 
a personal computer in working condition that contains: a full Pentium 
120Mhz or greater capacity processing chip, at least 256 megabytes of 
RAM, at least 75 megabytes of free hard disk storage, a Windows 98 (or 
more recent) compatible operating system, an operating mouse, a 3.5-
inch (8.9 cm) floppy disk drive, and a readable CD ROM disk drive. The 
associated computer monitor must have a viewable screen size of at 
least 14.1 inches (35.8cm) and minimum display settings of 600 x 800 
pixels. Except for a catcher vessel described at paragraph (c)(7)(ii) 
of this section, the computer equipment specified in paragraph 
(g)(1)(iii)(B) of this section must be connected to a communication 
device that provides a point-to-point modem connection to the NMFS host 
computer and supports one or more of the following protocols: ITU V.22, 
ITU V.22bis, ITU V.32, ITU V.32bis, or ITU V.34. Personal computers 
utilizing a modem must have at least a 28.8 kbs Hayes-compatible modem.
* * * * *
    9. Subpart G, consisting of Sec. Sec.  679.80 through 679.84, is 
added to read as follows:
Subpart G--Rockfish Program
Sec.
679.80 Initial allocation of rockfish QS.
679.81 Rockfish Program annual harvester and processor privileges.
679.82 Rockfish Program use caps and sideboard limits.
679.83 Rockfish Program entry level fishery.
679.84 Rockfish Program recordkeeping, permits, monitoring, and 
catch accounting.

Subpart G--Rockfish Program


Sec.  679.80  Initial allocation of rockfish QS.

    Regulations under this subpart were developed by National Marine 
Fisheries Service to implement Section 802 of the Consolidated 
Appropriations Act of 2004 (Pub. L. 108-199). Additional regulations 
that implement specific portions of the Rockfish Program are set out 
at: Sec.  679.2 Definitions, Sec.  679.4 Permits, Sec.  679.5 
Recordkeeping and reporting, Sec.  679.7 Prohibitions, Sec.  679.20 
General limitations, Sec.  679.21 Prohibited species bycatch 
management, Sec.  679.28 Equipment and operational requirements, and 
Sec.  679.50 Groundfish Observer Program.
    (a) Applicable areas and duration--(1) Applicable areas. The 
Rockfish Program applies to Rockfish Program fisheries in the Central 
GOA Regulatory Area and rockfish sideboard fisheries in the GOA and 
BSAI.
    (2) Duration. The Rockfish Program authorized under this part 
expires on December 31, 2008.
    (3) Seasons. The following fishing seasons apply to fishing under 
this subpart subject to other provisions of this part:
    (i) Rockfish entry level fishery--fixed gear vessels. Fishing by 
vessels participating in the fixed gear portion of the rockfish entry 
level fishery is authorized from 0001 hours, A.l.t., January 1 through 
1200 hours, A.l.t., November 15.
    (ii) Rockfish entry level fishery--trawl vessels. Fishing by 
vessels participating in the trawl gear portion of the rockfish entry 
level fishery is authorized from 1200 hours, A.l.t., May 1 through 1200 
hours, A.l.t., November 15.
    (iii) Rockfish cooperative. Fishing by vessels participating in a 
rockfish cooperative is authorized from 1200 hours, A.l.t., May 1 
through 1200 hours, A.l.t., November 15.
    (iv) Rockfish Program fishery--rockfish limited access fishery. 
Fishing by vessels participating in the rockfish limited access fishery 
is authorized from 1200 hours, A.l.t., July 1 through 1200 hours, 
A.l.t., November 15.
    (b) Eligibility for harvesters to participate in the Rockfish 
Program--(1) Eligible rockfish harvester. A person is eligible to 
participate in the Rockfish Program as an eligible rockfish harvester 
if that person:
    (i) Holds a permanent fully transferrable LLP license at the time 
of application to participate in the Rockfish Program that:
    (A) Is endorsed for Central GOA groundfish with a trawl gear 
designation; and
    (B) Has a legal rockfish landing of any primary rockfish species in 
a directed fishery for any primary rockfish species assigned to that 
LLP license; and
    (ii) Submits a timely application to participate in the Rockfish 
Program that is approved by NMFS.
    (2) Eligible entry-level fishery harvester. A person is eligible to 
participate in the Rockfish Program as an eligible entry-level fishery 
harvester if that person:
    (i) Holds a valid LLP license endorsed for Central GOA groundfish 
at the time of application for the entry-level fishery;
    (ii) Submits a timely application for the entry-level fishery that 
is approved by NMFS; and
    (iii) That person does not hold a permanent fully transferrable LLP 
license endorsed for Central GOA groundfish with a trawl designation 
and with a legal rockfish landing of any primary rockfish species in a 
directed fishery assigned to that LLP license.
    (3) Assigning a legal rockfish landing to an LLP license. A legal 
rockfish landing is assigned to an LLP license endorsed for the Central 
GOA management area with a trawl gear designation, if that legal 
rockfish landing was made aboard a vessel that gave rise to that LLP 
license prior to the issuance of that LLP license, or that legal 
rockfish landing was made on a vessel using trawl gear operating under 
the authority of that LLP license.
    (4) Legal rockfish landings assigned to the catcher/processor 
sector. A legal rockfish landing for a primary rockfish species is 
assigned to the catcher/processor sector if:

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    (i) The legal rockfish landing of that primary rockfish species was 
harvested and processed aboard a vessel during the season dates for 
that primary rockfish species as established in Table 28 to this part; 
and
    (ii) The legal rockfish landings that were derived from that vessel 
resulted in, or were made under the authority of, an LLP license that 
is endorsed for Central GOA groundfish fisheries with trawl gear with a 
catcher/processor designation.
    (5) Legal rockfish landings assigned to the catcher vessel sector. 
A legal rockfish landing for a primary rockfish species is assigned to 
the catcher vessel sector if:
    (i) The legal rockfish landing of that primary rockfish species was 
harvested and not processed aboard a vessel during the season dates for 
that primary rockfish species as established under Table 28 to this 
part; and
    (ii) The legal rockfish landings that were derived from that vessel 
resulted in, or were made under the authority of, an LLP license that 
is endorsed for Central GOA groundfish fisheries with trawl gear that 
does not meet the criteria for being a legal rockfish landing assigned 
to the catcher/processor sector as defined in paragraph (b)(4) of this 
section.
    (c) Eligibility for processors to participate in the Rockfish 
Program--(1) Eligible rockfish processor. A person is eligible to 
participate in the Rockfish Program as an eligible rockfish processor 
if that person:
    (i) Holds the processing history of a shoreside processor or 
stationary floating processor that received not less than 250 metric 
tons in round weight equivalents of aggregate legal rockfish landings 
of primary rockfish species each calendar year in any four of the five 
calendar years from 1996 through 2000 during the season dates for that 
primary rockfish species as established in Table 28 to this part;
    (ii) Submits a timely application to participate in the Rockfish 
Program that is approved by NMFS; and
    (iii) That person or his successor-in-interest exists at the time 
of application to participate in the Rockfish Program.
    (2) Holder of processing history. A person holds the processing 
history of a shoreside processor or stationary floating processor if 
that person:
    (i) Owns the shoreside processor or stationary floating processor 
at which the legal rockfish landings were received at the time of 
application to participate in the Rockfish Program, unless that 
processing history has been transferred to another person by the 
express terms of a written contract that clearly and unambiguously 
provides that such processing history has been transferred; or
    (ii) Holds the processing history by the express terms of a written 
contract that clearly and unambiguously provides that such processing 
history is held by that person.
    (3) Eligible entry-level fishery processor. A person is eligible to 
participate in the Rockfish Program as an eligible entry-level fishery 
processor if that person is not an eligible rockfish processor.
    (d) Official Rockfish Program record--(1) Use of the official 
Rockfish Program record. The official Rockfish Program record will 
contain information used by the Regional Administrator to determine:
    (i) The amount of legal rockfish landings and resulting processing 
history assigned to a shoreside processor or stationary floating 
processor;
    (ii) The amount of legal rockfish landings assigned to an LLP 
license;
    (iii) The amount of rockfish QS resulting from legal rockfish 
landings assigned to an LLP license held by an eligible rockfish 
harvester;
    (iv) Sideboard ratios assigned to eligible rockfish harvesters;
    (v) The amount of legal rockfish landings assigned to an eligible 
rockfish processor for purposes of establishing a rockfish cooperative 
with eligible rockfish harvesters; and includes:
    (vi) All other information used by NMFS necessary to determine 
eligibility to participate in the Rockfish Program and assign specific 
harvest or processing privileges to Rockfish Program participants.
    (2) Presumption of correctness. The official Rockfish Program 
record is presumed to be correct. An applicant to participate in the 
Rockfish Program has the burden to prove otherwise. For the purposes of 
creating the official Rockfish Program record, the Regional 
Administrator will presume the following:
    (i) An LLP license is presumed to have been used aboard the same 
vessel from which that LLP license is derived during the calendar years 
2000 and 2001, unless written documentation is provided that 
establishes otherwise.
    (ii) If more than one person is claiming the same legal rockfish 
landing, then each LLP license for which the legal rockfish landing is 
being claimed will receive an equal share of any resulting rockfish QS 
unless the applicants can provide written documentation that 
establishes an alternative means for distributing the catch history to 
the LLP licenses.
    (3) Documentation. (i) Only legal rockfish landings, as defined in 
Sec.  679.2, shall be used to establish an allocation of rockfish QS or 
a sideboard ratio.
    (ii) Evidence of legal rockfish landings used to establish 
processing history for an eligible rockfish processor is limited to 
State of Alaska fish tickets.
    (4) Non-severability of legal rockfish landings. Legal rockfish 
landings are non-severable:
    (i) From the LLP license to which those legal rockfish landings are 
assigned according to the official Rockfish Program record;
    (ii) From the shoreside processor or stationary floating processor 
at which the legal rockfish landings were received unless the 
processing history assigned to that shoreside processor or stationary 
floating processor is transferred, in its entirety, to another person 
by the express terms of a written contract that clearly and 
unambiguously provides that such processing history has been 
transferred.
    (e) Application to participate in the Rockfish Program--(1) 
Submission of application to participate in the Rockfish Program. A 
person who wishes to participate in the Rockfish Program as an eligible 
rockfish harvester or eligible rockfish processor must submit a timely 
and complete application to participate in the Rockfish Program. This 
application may only be submitted to NMFS using the following methods:
    (i) Mail: Regional Administrator, c/o Restricted Access Management 
Program, NMFS, P.O. Box 21668, Juneau, AK 99802-1668;
    (ii) Fax: 907-586-7354; or
    (iii) Hand Delivery or Carrier: NMFS, Room 713, 709 West 9th 
Street, Juneau, AK 99801.
    (2) Forms. Forms are available through the internet on the NMFS 
Alaska Region Web site at http://www.fakr.noaa.gov, or by contacting 
NMFS at 800-304-4846, Option 2.
    (3) Deadline. A completed application to participate in the 
Rockfish Program must be received by NMFS no later than 1700 hours 
A.l.t. on December 1, 2006, or if sent by U.S. mail, postmarked by that 
time.
    (4) Contents of application. A completed application must contain 
the following information:
    (i) Applicant identification. (A) The applicant's name, NMFS person 
ID (if applicable), tax ID or social security number (required), 
permanent business mailing address, business telephone number, and 
business fax number, and e-mail (if available);
    (B) Indicate (YES or NO) if the applicant is a U.S. citizen; if 
YES, enter his or her date of birth;

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    (C) Indicate (YES or NO) if the applicant is a U.S. corporation, 
partnership, association, or other business entity; if YES, enter the 
date of incorporation;
    (D) Indicate (YES or NO) if the applicant is a successor-in-
interest to a deceased individual or to a non-individual no longer in 
existence, if YES attach evidence of death or dissolution;
    (E) For an applicant claiming legal rockfish landings associated 
with an LLP license enter the following information for each LLP 
license: LLP license number, name of the original qualifying vessel(s) 
(OQV(s)) that gave rise to the LLP license, ADF&G vessel registration 
number of the OQV, and names, ADF&G vessel registration numbers, and 
USCG documentation numbers of all other vessels used under the 
authority of this LLP license, including dates when landings were made 
under the authority of an LLP license for 2000 and 2001;
    (F) For an applicant claiming legal rockfish landings in the 
catcher/processor sector enter the following information: LLP license 
numbers, vessel names, ADF&G vessel registration numbers, and USCG 
documentation numbers of vessels on which legal rockfish landings were 
caught and processed.
    (ii) Processor eligibility. (A) Indicate (YES or NO) if the 
applicant received at least 250 metric tons in round weight equivalent 
of aggregate legal rockfish landings of primary rockfish species each 
calendar year in any four of the five calendar years from 1996 through 
2000 during the season dates for that primary rockfish species as 
established in Table 28 to this part;
    (B) If the answer to paragraph (e)(4)(ii)(A) of this section is 
YES, enter the facility name and ADF&G processor code(s) for each 
processing facility where legal rockfish landings were received and the 
qualifying years or seasons for which applicant is claiming 
eligibility.
    (C) Enter the name of the community in which the primary rockfish 
species were received. The community is either:
    (1) The city, if the community is incorporated as a city within the 
State of Alaska;
    (2) The borough, if the community is not a city incorporated within 
the State of Alaska, but the community is in a borough incorporated 
within the State of Alaska.
    (D) Enter the four calendar years from 1996 through 2000 that NMFS 
will use to determine the percentage of legal rockfish landings 
received by that eligible rockfish processor for purposes of forming an 
association with a rockfish cooperative.
    (E) Submit a copy of the contract that the legal processing history 
and rights to apply for and receive processor eligibility based on that 
legal processing history have been transferred or retained (if 
applicable); and
    (F) Any other information deemed necessary by the Regional 
Administrator.
    (iii) Applicant signature and certification. The applicant must 
sign and date the application certifying that all information is true, 
correct, and complete to the best of his/her knowledge and belief. If 
the application is completed by an authorized representative, then 
explicit authorization signed by the applicant must accompany the 
application.
    (5) Application evaluation. The Regional Administrator will 
evaluate applications received as specified in paragraph (e)(3) of this 
section and compare all claims in an application with the information 
in the official Rockfish Program record. Application claims that are 
consistent with information in the official Rockfish Program record 
will be accepted by the Regional Administrator. Application claims that 
are inconsistent with official Rockfish program record, unless verified 
by documentation, will not be accepted. An applicant who submits 
inconsistent claims, or an applicant who fails to submit the 
information specified in paragraph (e)(4) of this section, will be 
provided a single 30-day evidentiary period to submit the specified 
information, submit evidence to verify his or her inconsistent claims, 
or submit a revised application with claims consistent with information 
in the official Rockfish Program record. An applicant who submits 
claims that are inconsistent with information in the official Rockfish 
Program record has the burden of proving that the submitted claims are 
correct. Any claims that remain inconsistent or that are not accepted 
after the 30-day evidentiary period will be denied, and the applicant 
will be notified by an IAD of his or her appeal rights under Sec.  
679.43.
    (6) Appeals. If an applicant is notified by an IAD that 
inconsistent claims made by the applicant have been denied, that 
applicant may appeal that IAD under the provisions described at Sec.  
679.43.
    (f) Rockfish QS allocation--(1) General. An eligible rockfish 
harvester who holds an LLP license at the time of application to 
participate in the Rockfish Pilot Program will receive rockfish QS 
assigned to that LLP license based on the legal rockfish landings 
assigned to that LLP license according to the official Rockfish Program 
record.
    (2) Non-severability of rockfish QS from an LLP license. Rockfish 
QS assigned to an LLP license is non-severable from that LLP license.
    (3) Calculation of rockfish QS. (i) Based on the official Rockfish 
Program record, the Regional Administrator shall determine the total 
amount of legal rockfish landings of each primary rockfish species in 
each year during the fishery seasons established in Table 28 to this 
part.
    (ii) Rockfish QS for each primary rockfish species shall be based 
on a percentage of the legal rockfish landings of each primary rockfish 
species in that sector associated with each fully transferrable LLP 
license held by the eligible rockfish harvester.
    (iii) The Regional Administrator shall calculate rockfish QS for 
each primary rockfish species ``s'' based on each fully transferable 
LLP license ``l'' held by an eligible rockfish harvester by the 
following procedure:
    (A) Sum the legal rockfish landings for each year during the 
fishery seasons established in Table 28 to this part.
    (B) Select the five years that yield the highest poundage of that 
primary rockfish species, including zero pounds if necessary.
    (C) Sum the poundage of the highest five years, for that species 
for that LLP license as selected under paragraph (f)(3)(iii)(B) of this 
section. This yields the Highest Five Years.
    (D) Divide the Highest Five Years in paragraph (f)(3)(iii)(C) of 
this section for an LLP license and species by the sum of all Highest 
Five Years based on the official Rockfish Program record for that 
species as presented in the following equation:

Highest Five Yearsls/[Sgr] All Highest Five 
Yearss = Percentage of the Totalls

    The result (quotient) of this equation is the Percentage of the 
Totalls.
    (E) Multiply the Percentage of the Totalls of the Total 
by the Initial Rockfish QS Pool for each relevant species as 
established in Table 29 to this part. This yields the number of 
rockfish QS units for that LLP license for that primary rockfish 
species in rockfish QS units.
    (F) Determine the percentage of legal rockfish landings in the five 
qualifying years used to calculate the rockfish QS assigned to the 
catcher/processor sector and multiply the rockfish QS units calculated 
in paragraph (f)(3)(iii)(E) of this section by this percentage. This 
yields the rockfish QS units to be assigned to the catcher/processor 
sector for that LLP license and species. For

[[Page 33082]]

each primary rockfish species, the total amount of rockfish QS units 
assigned to the catcher/processor sector is the sum of all catch 
history allocation units assigned to all eligible rockfish harvesters 
in the catcher/processor sector.
    (G) Determine the percentage of legal rockfish landings in the five 
qualifying years used to calculate rockfish QS that are assigned to the 
catcher vessel sector and multiply the amount calculated in paragraph 
(f)(3)(iii)(E) of this section by this percentage. This yields the 
rockfish QS units to be assigned to the catcher vessel sector for that 
LLP license and species. For each primary rockfish species, the total 
amount of rockfish QS units assigned to the catcher vessel sector is 
equal to the sum of all rockfish QS units assigned to all eligible 
rockfish harvesters in the catcher vessel sector.


Sec.  679.81  Rockfish Program annual harvester and processor 
privileges.

    (a) Sector and LLP license allocations of primary rockfish 
species--(1) General. Each calendar year, the Regional Administrator 
will determine the poundage of primary rockfish species that will be 
assigned to the Rockfish Program. For participants in a rockfish 
cooperative, rockfish limited access fishery, or opt-out fishery, 
amounts will be allocated to the appropriate sector, either the 
catcher/processor sector or the catcher vessel sector. The poundage of 
fish assigned to a sector will be further assigned to rockfish 
cooperative(s) or the rockfish limited access fishery within that 
sector.
    (2) Calculation. The amount of primary rockfish species allocated 
to the Rockfish Program is calculated by deducting the incidental catch 
allowance (ICA) the Regional Administrator determines is required on an 
annual basis in other non-target fisheries from the TAC. Ninety-five 
(95) percent of the remaining TAC for that primary rockfish species 
(TACs) is assigned for use by rockfish cooperatives and the 
rockfish limited access fishery in the catcher vessel and catcher/
processor sectors. Five (5) percent of the remaining TAC is allocated 
for use in the rockfish entry level fishery. The formulae are as 
follows in paragraphs (g)(2)(i) and (ii) of this section:

(i) (TAC-ICA) x 0.95 = TACs.
(ii) (TAC-ICA) x 0.05 = TAC for the Rockfish Entry Level Fishery.

    (3) Primary rockfish species TACs assigned to the catcher/processor 
and catcher vessel sector. TACs assigned for a primary 
rockfish species will be divided between the catcher/processor sector 
and the catcher vessel sector. Each sector will receive an amount of 
TACs for each primary rockfish species equal to the sum of 
the rockfish QS units assigned to all LLP licenses that receive 
rockfish QS in that sector divided by the rockfish QS pool for that 
primary rockfish fishery in that sector. Expressed algebraically for 
each primary rockfish species ``s'' in paragraphs (g)(3)(i) and (ii) of 
this section:

(i) Catcher/Processor Sector TACs = [(TACs) x 
(Rockfish QS Units in the Catcher/Processor Sectors/Rockfish 
QS Pools)].
(ii) Catcher Vessel Sector TACs = [(TACs) x 
(Rockfish QS Units in the Catcher Vessel Sectors/Rockfish QS 
Pools)].

    (4) Use of primary rockfish species by an eligible rockfish 
harvester. Once a TACs is assigned to a sector, the use of 
that TACs by eligible rockfish harvesters in that sector is 
governed by regulations applicable to the rockfish cooperative, limited 
access fishery, or opt-out fishery in which those eligible rockfish 
harvesters are participating. The TACs is assigned as 
follows:
    (i) Any TACs assigned to a rockfish cooperative is 
issued as CFQ and may be harvested only by the members of the rockfish 
cooperative that has been assigned that CFQ and only on vessels that 
are authorized to fish under that CFQ permit. Once issued, CFQ may be 
transferred among rockfish cooperatives within a sector according to 
the provisions in paragraph (f) of this section.
    (ii) Any TACs assigned to the rockfish limited access 
fishery in the catcher vessel sector may be harvested by any eligible 
rockfish harvester who has assigned an LLP license with rockfish QS for 
use in the rockfish limited access fishery in the catcher vessel 
sector.
    (iii) Any TACs assigned to the rockfish limited access 
fishery in the catcher/processor sector may be harvested by any 
eligible rockfish harvester who has assigned an LLP license with 
rockfish QS for use in the rockfish limited access fishery in the 
catcher/processor sector.
    (iv) TACs is not assigned to an opt-out fishery. Any 
TACs that would have been derived from rockfish QS assigned 
to the opt-out fishery is reassigned to rockfish cooperatives and the 
rockfish limited access fishery in the catcher/processor sector as 
established in paragraph (a)(5)(ii) of this section.
    (5) Determining the TACs of primary rockfish species. 
TACs is assigned to each rockfish cooperative or limited 
access fishery based on the rockfish QS assigned to that fishery in 
each sector according to the following procedures for the catcher 
vessel sector and the catcher/processor sector:
    (i) Catcher vessel sector. The assignment of TACs to a 
rockfish cooperative or limited access fishery is governed by the 
rockfish fishery to which an LLP license is assigned under this 
paragraph (a).
    (A) Rockfish cooperative. The amount of TACs for each 
primary rockfish species assigned to a rockfish cooperative is equal to 
the amount of rockfish QS units assigned to that rockfish cooperative 
divided by the total rockfish QS pool in the catcher vessel sector 
multiplied by the catcher vessel TACs. Once TACs 
for a primary rockfish species is assigned to a rockfish cooperative, 
it is issued as CFQ specific to that rockfish cooperative. The amount 
of CFQ for each primary rockfish species that is assigned to a rockfish 
cooperative is expressed algebraically as follows:

CFQ = [(Catcher Vessel Sector TACs) x (Rockfish QS assigned 
to that Cooperative/Rockfish QS Units in the Catcher Vessel 
Sectors)].

    (B) Rockfish limited access fishery. The amount of TACs 
for each primary rockfish species assigned to the rockfish limited 
access fishery is equal to the catcher vessel sector TACs 
subtracting all CFQ issued to rockfish cooperatives in the catcher 
vessel sector for that primary rockfish species. Expressed 
algebraically in the following equation:

Catcher Vessel Sector Rockfish Limited Access Fishery TACs = 
Catcher Vessel Sector TACs--([sum] CFQ issued to Rockfish 
Cooperatives in the Catcher Vessel Sector).

    (ii) Catcher/processor sector. The assignment of TACs to 
a rockfish cooperative or limited access fishery is determined by the 
rockfish fishery to which an LLP license is assigned under this 
paragraph (a).
    (A) Rockfish cooperative. The amount of TACs for each 
primary rockfish species assigned to a rockfish cooperative is equal to 
the amount of rockfish QS units assigned to that rockfish cooperatives 
divided by the sum of the rockfish QS units assigned to rockfish 
cooperatives and the limited access fishery in the catcher/processor 
sector multiplied by the catcher/processor TACs. Once 
TACs for a primary rockfish species is assigned to a 
rockfish cooperative it is issued as CFQ specific to that rockfish 
cooperative. The amount of CFQ for each primary rockfish species that 
is assigned to a rockfish cooperative is expressed algebraically as 
follows:

CFQ = [(Catcher/Processor Sector TACs) x (Rockfish QS Units 
assigned to that Cooperative/[sum]Rockfish QS Units assigned to all 
rockfish

[[Page 33083]]

cooperatives and the Limited Access Fishery in the Catcher/Processor 
Sector).

    (B) Rockfish limited access fishery. The amount of TACs 
for each primary rockfish species assigned to the limited access 
fishery is equal to the catcher/processor TACs subtracting 
all CFQ issued to rockfish cooperatives in the catcher/processor sector 
for that primary rockfish species. Expressed algebraically in the 
following equation:

Catcher/Processor Sector Rockfish Limited Access Fishery 
TACs = [(Catcher/Processor Sector TACs)--([sum] 
CFQ issued to rockfish cooperatives in the Catcher/Processor Sector).

    (b) Sector and LLP license allocations of secondary species--(1) 
General. Each calendar year, the Regional Administrator will determine 
the poundage of secondary species that may be assigned to the Rockfish 
Program. This amount will be assigned to either the catcher/processor 
sector or the catcher vessel sector. The poundage of fish assigned to a 
sector will be assigned to rockfish cooperatives within that sector. 
CFQ of secondary species is subject to the use limitations established 
in paragraph (b)(4) of this section.
    (2) Maximum amount of secondary species poundage that may be 
assigned to the catcher/processor sector. (i) Sum the amount of each 
secondary species retained by all vessels that gave rise to an LLP 
license with a catcher/processor designation or that fished under an 
LLP license with a catcher/processor designation during the directed 
fishery for any Primary rockfish fishery during all qualifying season 
dates established in Table 28 to this part. This is the rockfish 
catcher/processor sector harvest for that secondary species.
    (ii) Sum the amount of each secondary species retained by all 
vessels in the Central GOA regulatory Area and adjacent waters open by 
the State of Alaska for which it adopts a Federal fishing season from 
January 1, 1996, until December 31, 2002. This is the total secondary 
species harvest.
    (iii) For each secondary species, divide the rockfish catcher/
processor sector harvest by the total secondary species harvest and 
multiply by 100. This is the percentage of secondary species that may 
be assigned to the catcher/processor sector in the rockfish fishery.
    (iv) Multiply the percentage of each secondary species assigned to 
the catcher/processor sector in the rockfish fishery by the TAC for 
that secondary species. This is the maximum amount of that secondary 
species that may be allocated to the catcher/processor sector in the 
Rockfish Program.
    (v) The maximum of rougheye rockfish that may be allocated to the 
catcher/processor sector is equal to 58.87 percent of the TAC for the 
Central GOA.
    (vi) The maximum amount of shortraker rockfish that may be 
allocated to the catcher/processor sector is equal to 30.03 percent of 
the TAC for the Central GOA.
    (3) Maximum amount of secondary species poundage that may be 
assigned to the catcher vessel sector. (i) Sum the amount of each 
secondary species retained by all vessels that gave rise to an LLP 
license with a catcher vessel designation or that fished under an LLP 
license with a catcher vessel designation during the directed fishery 
for any primary rockfish fishery during all qualifying season dates 
established in Table 28 to this part. This is the rockfish catcher 
vessel sector harvest for that secondary species.
    (ii) Sum the amount of each secondary species retained by all 
vessels in the Central GOA regulatory Area and adjacent waters open by 
the State of Alaska for which it adopts a Federal fishing season from 
January 1, 1996, until December 31, 2002. This is the total secondary 
species harvest.
    (iii) For each secondary species, divide the rockfish catcher 
vessel sector harvest by the total secondary species harvest and 
multiply by 100. This is the percentage of each secondary species that 
may be assigned to the catcher vessel sector in the rockfish fishery.
    (iv) Multiply the percentage of each secondary species assigned to 
the catcher vessel sector in the rockfish fishery by the TAC for that 
secondary species. This is the maximum amount of that secondary species 
that may be allocated to the catcher vessel sector in the Rockfish 
Program.
    (4) Use of a secondary species by an eligible rockfish harvester. 
Once the maximum amount of secondary species that may be assigned to a 
sector has been determined, the use of that specific amount that is 
assigned to that sector is governed by regulations applicable to the 
specific rockfish fishery in which eligible rockfish harvesters are 
participating. The specific amount of each secondary species that may 
be used by eligible rockfish harvesters is determined by the following 
procedure:
    (i) Secondary species may only be assigned to a rockfish 
cooperative. Once a secondary species is assigned to a rockfish 
cooperative it is issued as CFQ, which may only be used by the rockfish 
cooperative to which it is assigned.
    (ii) Secondary species are not assigned to a rockfish limited 
access fishery or the opt-out fishery and there is not a dedicated 
harvestable allocation for any specific participant in these rockfish 
fisheries.
    (5) Determining the amount of secondary species CFQ assigned to a 
rockfish cooperative. The amount of CFQ for each secondary species that 
is assigned to each rockfish cooperative is determined according to the 
following procedures:
    (i) CFQ assigned to rockfish cooperatives in the catcher/processor 
sector. The CFQ for a secondary species that is assigned to a rockfish 
cooperative is equal to the maximum amount of that secondary species 
that may be allocated to the catcher/processor sector in the Rockfish 
Program multiplied by the sum of the rockfish QS units for all primary 
rockfish species assigned to that rockfish cooperative divided by the 
rockfish QS pool for all primary rockfish species in the catcher/
processor sector. Expressed algebraically in the following equation:

CFQ for that Secondary Species = maximum amount of that Secondary 
Species that may be allocated to the Catcher/Processor Sector in the 
Rockfish Program x ([sum]Rockfish QS Units assigned to that Rockfish 
cooperative/Rockfish QS Pool in the Catcher/Processor Sector).

    (ii) CFQ assigned to rockfish cooperatives in the catcher vessel 
sector. The CFQ for a secondary species that is assigned to a specific 
rockfish cooperative is equal to the maximum amount of that secondary 
species that may be allocated to the catcher vessel sector in the 
Rockfish Program multiplied by the sum of the rockfish QS units for all 
primary rockfish species assigned to that rockfish cooperative divided 
by the rockfish QS pool for all primary rockfish species in the catcher 
vessel sector. Expressed algebraically in the following equation:

CFQ for that Secondary Species = maximum amount of that Secondary 
Species that may be allocated to the Catcher Vessel Sector in the 
Rockfish Program x ([sum]Rockfish QS Units assigned to that Rockfish 
Cooperative / Rockfish QS Pool in the Catcher Vessel Sector).

    (c) Sector and LLP license allocations of rockfish halibut PSC--(1) 
General. Each calendar year, the Regional Administrator will determine 
the poundage of rockfish halibut PSC that will be assigned to the 
Rockfish Program. This amount will be allocated

[[Page 33084]]

to the appropriate sector, either the catcher/processor sector or the 
catcher vessel sector. The poundage of rockfish halibut PSC assigned to 
a sector will be further assigned as CFQ only to rockfish 
cooperative(s) within that sector. CFQ of rockfish halibut PSC is 
subject to the use limitations established in Sec.  679.82(a) of this 
section.
    (2) Maximum amount of rockfish halibut PSC that may be assigned to 
the catcher/processor sector. (i) Sum the amount of halibut PSC used by 
all vessels that gave rise to an LLP license with a catcher/processor 
designation or that fished under an LLP license with a catcher/
processor designation during the directed fishery for any primary 
rockfish fishery during all qualifying season dates established in 
Table 28 to this part. This is the catcher/processor sector rockfish 
halibut PSC amount.
    (ii) Sum the amount of halibut PSC by all vessels in the Central 
GOA Regulatory Area and adjacent waters open by the State of Alaska for 
which it adopts a Federal fishing season from January 1, 1996, until 
December 31, 2002. This is the Total Halibut PSC.
    (iii) Divide the catcher/processor sector rockfish halibut PSC 
amount by the total halibut PSC and multiply by 100. This is the 
percentage of rockfish halibut PSC assigned to the catcher/processor 
sector in the rockfish fishery.
    (iv) Multiply the percentage of rockfish halibut PSC assigned to 
the catcher/processor sector in the rockfish fishery by the GOA halibut 
PSC limit. This is the maximum amount of rockfish halibut PSC that may 
be allocated to the catcher/processor sector.
    (3) Maximum amount of rockfish halibut PSC that may be assigned to 
the catcher vessel sector. (i) Sum the amount of halibut PSC used by 
all vessels that gave rise to an LLP license with a catcher vessel 
designation or that fished under an LLP license with a catcher vessel 
designation during the directed fishery for any primary rockfish 
fishery during all qualifying season dates established in Table 28 to 
this part. This is the catcher vessel sector rockfish halibut PSC 
amount.
    (ii) Sum the amount of halibut PSC by all vessels in the Central 
GOA Regulatory Area and adjacent waters open by the State of Alaska for 
which it adopts a Federal fishing season from January 1, 1996, until 
December 31, 2002. This is the Total Halibut PSC.
    (iii) Divide the catcher vessel sector rockfish halibut PSC amount 
by the total halibut PSC and multiply by 100. This is the percentage of 
rockfish halibut PSC assigned to the catcher vessel sector in the 
rockfish fishery.
    (iv) Multiply the percentage of rockfish halibut PSC assigned to 
the catcher vessel sector in the rockfish fishery by the GOA halibut 
PSC limit. This is the maximum amount of rockfish halibut PSC that may 
be allocated to the catcher vessel sector.
    (4) Use of rockfish halibut PSC by an eligible rockfish harvester. 
Once the maximum amount of rockfish halibut PSC that may be assigned to 
a sector has been determined, the use of that specific amount that is 
assigned to that sector is governed by the specific rockfish fishery in 
which eligible rockfish harvesters are participating. The specific 
amount of rockfish halibut PSC that may be used by eligible rockfish 
harvesters is determined by the following procedure:
    (i) Rockfish halibut PSC is assigned only to a rockfish 
cooperative. Once rockfish halibut PSC is assigned to a rockfish 
cooperative, it is issued as CFQ, which may only be used by the members 
of the rockfish cooperative to which it is assigned.
    (ii) Rockfish halibut PSC is not assigned to a rockfish limited 
access fishery or the opt-out fishery and there is not a dedicated 
allocation for any specific participant in these rockfish fisheries.
    (5) Determining the amount of rockfish halibut PSC CFQ assigned to 
a rockfish cooperative. The amount of CFQ of rockfish halibut PSC that 
is assigned to each rockfish cooperative is determined according to the 
following procedures:
    (i) CFQ assigned to rockfish cooperatives in the catcher/processor 
sector. The CFQ for rockfish halibut PSC that is assigned to a specific 
rockfish cooperative is equal to the maximum amount of rockfish halibut 
PSC that may be allocated to the catcher/processor sector multiplied by 
the sum of the rockfish QS units for all primary rockfish species 
assigned to that rockfish cooperative divided by the rockfish QS pool 
for all primary rockfish species in the catcher/processor sector. 
Expressed algebraically in the following equation:

    CFQ for Rockfish Halibut PSC = maximum amount of Rockfish Halibut 
PSC that may be allocated to the Catcher/Processor Sector x 
([sum]Rockfish QS Units assigned to that Rockfish Cooperative/Rockfish 
QS Pool in the Catcher/Processor Sector).

    (ii) CFQ assigned to rockfish cooperatives in the catcher vessel 
sector. The CFQ for rockfish halibut PSC that is assigned to a specific 
rockfish cooperative is equal to the maximum amount of rockfish halibut 
PSC that may be allocated to the catcher vessel sector multiplied by 
the sum of the rockfish QS units for all primary rockfish species 
assigned to that rockfish cooperative divided by the rockfish QS pool 
for all primary rockfish species in the catcher vessel sector. 
Expressed algebraically in the following equation:

    CFQ for Rockfish Halibut PSC = maximum amount of Rockfish Halibut 
PSC that may be allocated to the Catcher Vessel Sector x ([sum]Rockfish 
QS Units assigned to that Rockfish Cooperative/Rockfish QS Pool in the 
Catcher Vessel Sector).

    (d) Assigning rockfish QS to a Rockfish Program fishery--(1) 
General. Each calendar year, a person that is participating in the 
Rockfish Program must assign any LLP license and any rockfish QS 
assigned to that LLP license to a Rockfish Program fishery by the 
process specified in paragraph (e) of this section. A person may assign 
an LLP license and any rockfish QS assigned to that LLP license to only 
one Rockfish Program fishery in a fishing year. Any rockfish QS 
assigned to a person after NMFS has issued CFQ or the TAC for that 
calendar year will not result in any additional CFQ or TAC being issued 
for that rockfish QS for that calendar year.
    (2) Rockfish cooperatives in the catcher vessel sector. An eligible 
rockfish harvester may assign rockfish QS to a rockfish cooperative in 
the catcher vessel sector if:
    (i) That eligible rockfish harvester assigns the rockfish QS 
associated with that LLP license to a rockfish cooperative on a 
complete application for CFQ that is approved by the Regional 
Administrator; and
    (ii) That rockfish QS is associated with an LLP license with a 
catcher vessel designation that is endorsed for trawl gear in the 
Central GOA trawl fishery.
    (3) Rockfish cooperative in the catcher/processor sector. An 
eligible rockfish harvester may assign rockfish QS to a rockfish 
cooperative in the catcher/processor sector if:
    (i) That eligible rockfish harvester assigns the rockfish QS 
associated with that LLP license to a rockfish cooperative on a 
complete application for CFQ that is approved by the Regional 
Administrator; and
    (ii) That rockfish QS is associated with an LLP license with a 
catcher/processor designation that is endorsed for trawl gear in the 
Central GOA trawl fishery.
    (4) Rockfish limited access fishery. (i) An eligible rockfish 
harvester may assign rockfish QS to a rockfish limited access fishery 
if that eligible rockfish harvester:

[[Page 33085]]

    (A) Assigns the rockfish QS associated with that LLP license to a 
limited access fishery on a complete application for the rockfish 
limited access fishery that is approved by the Regional Administrator; 
or
    (B) Does not submit a complete application for CFQ, or application 
for the opt-out fishery that is approved.
    (ii) The rockfish QS is assigned to the rockfish limited access 
fishery in the catcher vessel sector if that rockfish QS is associated 
with an LLP license with a catcher vessel designation that is endorsed 
for trawl gear in the Central GOA trawl fishery.
    (iii) The rockfish QS is assigned to the rockfish limited access 
fishery in the catcher/processor sector if that rockfish QS is 
associated with an LLP license with a catcher/processor designation 
that is endorsed for trawl gear in the Central GOA trawl fishery.
    (5) Opt-out fishery. An eligible rockfish harvester may assign 
rockfish QS to the opt-out fishery if that eligible rockfish harvester 
assigns the rockfish QS associated with that LLP license to the opt-out 
fishery on a complete application for the opt-out fishery that is 
approved by the Regional Administrator.
    (6) Rockfish entry level fishery. (i) An eligible rockfish entry 
level harvester may assign an LLP license to the rockfish entry level 
fishery if that eligible rockfish entry level harvester assigns that 
LLP license to the rockfish entry level fishery on a complete 
application for the rockfish entry level fishery that is approved by 
the Regional Administrator.
    (ii) An eligible rockfish entry level processor may participate in 
the rockfish entry level fishery if that eligible rockfish entry level 
processor submits a complete application for the rockfish entry level 
fishery that is approved by the Regional Administrator.
    (e) Applications for a rockfish fishery--(1) General. Applications 
to participate in a rockfish fishery are required to be submitted each 
year. A person who wishes to participate in a particular rockfish 
fishery must submit a timely and complete application that is 
appropriate to that rockfish fishery. These applications may only be 
submitted to NMFS using the following methods:
    (i) Mail: Regional Administrator, c/o Restricted Access Management 
Program, NMFS, P.O. Box 21668, Juneau, AK 99802-1668;
    (ii) Fax: 907-586-7354; or
    (iii) Hand Delivery or Carrier: NMFS, Room 713, 709 West 9th 
Street, Juneau, AK 99801.
    (2) Forms. Forms are available through the internet on the NMFS 
Alaska Region Web site at http://www.fakr.noaa.gov, or by contacting 
NMFS at: 800-304-4846, Option 2.
    (3) Deadline. A completed application must be received by NMFS no 
later than 1700 hours A.l.t. on December 1 of the year prior to the 
year for which the applicant wishes to participate in a rockfish 
fishery, or if sent by U.S. mail, the application must be postmarked by 
that time.
    (4) Application for CFQ. A rockfish cooperative that submits a 
complete application that is approved by NMFS will receive a CFQ permit 
that establishes an annual amount of primary rockfish species, 
secondary species, and rockfish halibut PSC that is based on the 
collective rockfish QS of the LLP licenses assigned to the rockfish 
cooperative by its members. A CFQ permit will list the amount of CFQ, 
by fishery, held by the rockfish cooperative, the members of the 
rockfish cooperative and LLP licenses assigned to that rockfish 
cooperative, and the vessels which are authorized to harvest fish under 
a CFQ permit.
    (i) Contents of an application for CFQ. A completed application 
must contain the following information:
    (A) Rockfish cooperative identification. The rockfish cooperative's 
legal name; the type of business entity under which the rockfish 
cooperative is organized; the state in which the rockfish cooperative 
is legally registered as a business entity; the printed name of the 
rockfish cooperative's authorized representative; the permanent 
business address, telephone number, fax number, and e-mail address (if 
available) of the rockfish cooperative or its authorized 
representative; and the signature of the rockfish cooperative's 
authorized representative and date signed.
    (B) Members of the rockfish cooperative--(1) Harvester 
identification. Full name; NMFS Person ID; LLP license number(s); name 
of the vessel(s), ADF&G vessel registration number, and USCG 
documentation number of vessel(s) on which the CFQ issued to the 
rockfish cooperative will be used. If no vessel(s) are designated to 
use the CFQ issued to the rockfish cooperative on the application, then 
all vessels using LLP license assigned to the rockfish cooperative will 
be assumed to be designated to use the CFQ.
    (2) LLP holdership documentation. Provide the names of all persons, 
to the individual level, holding an ownership interest in the LLP 
license(s) assigned to the rockfish cooperative and the percentage 
ownership each person and individual holds in the LLP license(s).
    (C) Processor associates of the rockfish cooperative--(1) 
Identification. Full name; NMFS Person ID; facility name; ADF&G 
processor code; SFP vessel name, ADF&G vessel registration number, and 
USCG documentation number of vessel (if a vessel), and Federal 
Processor Permit for each processing facility or vessel.
    (2) Processor ownership documentation. Provide the names of all 
persons, to the individual person level, holding an ownership interest 
in the processor and the percentage ownership each person and 
individual holds in the processor.
    (D) Additional documentation. For the cooperative application to be 
considered complete, the following documents must be attached to the 
application:
    (1) A copy of the business license issued by the state in which the 
rockfish cooperative is registered as a business entity;
    (2) A copy of the articles of incorporation or partnership 
agreement of the rockfish cooperative;
    (3) A copy of the rockfish cooperative agreement signed by the 
members of the rockfish cooperative (if different from the articles of 
incorporation or partnership agreement of the rockfish cooperative); 
and
    (4) Any article of incorporation or agreement submitted by the 
rockfish cooperative must include terms that specify that:
    (i) Eligible rockfish processor affiliated harvesters cannot 
participate in price setting negotiations except as permitted by 
general antitrust law; and
    (ii) The rockfish cooperative must establish a monitoring program 
sufficient to ensure compliance with the Rockfish Program.
    (E) Applicant signature and certification. The applicant must sign 
and date the application certifying that all information is true, 
correct, and complete to the best of his/her knowledge and belief. If 
the application is completed by an authorized representative, then 
explicit authorization signed by the applicant must accompany the 
application.
    (ii) Issuance of CFQ. Issuance by NMFS of a CFQ permit is not a 
determination that the rockfish cooperative is formed or is operating 
in compliance with antitrust law.
    (5) Application for the rockfish limited access fishery. An 
eligible rockfish harvester who wishes to participate in the rockfish 
limited access fishery for a calendar year must submit

[[Page 33086]]

an application for the rockfish limited access fishery.
    (i) Contents of application for the rockfish limited access 
fishery. A completed application must contain the following 
information:
    (A) Applicant identification. The applicant's name, NMFS person ID 
(if applicable), tax ID or social security number (required), permanent 
business mailing address, business telephone number, fax number, and e-
mail (if available);
    (B) Indicate (YES or NO) whether the applicant is an eligible 
rockfish harvester;
    (C) Indicate (YES or NO) whether the applicant is participating in 
the rockfish limited access fishery;
    (D) Vessel identification. The name of the vessel, ADF&G vessel 
registration number, USCG documentation number, and LLP license 
number(s) held by the applicant and used on that vessel in this 
rockfish limited access fishery;
    (E) LLP holdership documentation. Provide the names of all persons, 
to the individual person level, holding an ownership interest in the 
LLP license assigned to the rockfish limited access fishery and the 
percentage ownership each person and individual holds in the LLP 
license; and
    (F) The applicant must sign and date the application certifying 
that all information is true, correct, and complete to the best of his/
her knowledge and belief. If the application is completed by an 
authorized representative, then explicit authorization signed by the 
applicant must accompany the application.
    (ii) [Reserved]
    (6) Application to opt-out. An eligible rockfish harvester who 
wishes to opt-out of the Rockfish Program for a calendar year with an 
LLP license assigned rockfish QS in the catcher/processor sector must 
submit an application to opt-out.
    (i) Contents of application to opt-out. A completed application 
must contain the following information:
    (A) Applicant identification. The applicant's name, NMFS person ID 
(if applicable), tax ID or social security number (required), permanent 
business mailing address, business telephone number, fax number, and e-
mail (if available);
    (B) Indicate (YES or NO) whether the applicant is an eligible 
rockfish harvester;
    (C) Indicate (YES or NO) whether the applicant is opting-out of the 
Rockfish Program;
    (D) Indicate (YES or NO) whether the applicant holds an LLP license 
with rockfish QS assigned to the catcher/processor sector;
    (E) Vessel identification. The name of the vessel, ADF&G vessel 
registration number, USCG documentation number, and LLP license 
number(s) held by the applicant and used on that vessel;
    (F) LLP holdership documentation. Provide the names of all persons, 
to the individual level, holding an ownership interest in the LLP 
license and the percentage ownership each person and individual holds 
in the LLP license; and
    (G) The applicant must sign and date the application certifying 
that all information is true, correct, and complete to the best of his/
her knowledge and belief. If the application is completed by an 
authorized representative, then explicit authorization signed by the 
applicant must accompany the application.
    (ii) [Reserved]
    (7) Application for the entry-level fishery. An eligible entry 
level harvester who wishes to participate in the entry-level fishery 
must submit an application for the entry-level fishery.
    (i) Contents of application for the entry-level fishery. A 
completed application must contain the following information:
    (A) Applicant information. The applicant's name, NMFS person ID (if 
applicable), tax ID or social security number (required), permanent 
business mailing address, and business telephone number, fax number, 
and e-mail (if available);
    (B) Indicate (YES or NO) whether applicant is a U.S. corporation, 
partnership; association, or other business entity; if YES, enter the 
date of incorporation;
    (C) Vessel identification. For harvesters who are applying to 
participate in the entry-level fishery, enter the name, ADF&G vessel 
registration number, and USCG documentation number of the vessel to be 
used in the entry-level fishery, and LLP license number(s) held by the 
applicant and used on that vessel in the rockfish entry level fishery;
    (D) Harvesters who are applying to participate in the entry-level 
fishery must attach a statement from an eligible entry level processor 
that affirms that the harvester has a market for any rockfish delivered 
by that harvester in the entry-level fishery; and
    (E) The applicant must sign and date the application certifying 
that all information is true, correct, and complete to the best of his/
her knowledge and belief. If the application is completed by an 
authorized representative, then explicit authorization signed by the 
applicant must accompany the application.
    (ii) [Reserved]
    (8) Modification of vessels authorized to fish CFQ. (i) The 
authorized representative of a rockfish cooperative must notify NMFS of 
any change in the vessel(s) that are authorized to fish CFQ for that 
rockfish cooperative from those indicated in the application for CFQ. 
This notification must be made on an amended application for CFQ. This 
amended application for CFQ would request that NMFS add or remove 
vessels authorized to fish CFQ for that rockfish cooperative. Such a 
change does not take effect until it is approved by NMFS through the 
issuance of a revised CFQ permit.
    (ii) This amended application for CFQ may be submitted at any time 
after the initial issuance of CFQ to that rockfish cooperative for that 
calendar year until:
    (A) November 15; or
    (B) Until the authorized representative of that rockfish 
cooperative has submitted a rockfish cooperative termination of fishing 
declaration that has been approved by NMFS.
    (iii) This modification to the application for CFQ may only be 
submitted to NMFS using the following methods:
    (A) Mail: Regional Administrator, c/o Restricted Access Management 
Program, NMFS, P.O. Box 21668, Juneau, AK 99802-1668;
    (B) Fax: 907-586-7354; or
    (C) Hand Delivery or Carrier: NMFS, Room 713, 709 West 9th Street, 
Juneau, AK 99801.
    (f) Transfer applications. A rockfish cooperative may transfer all 
or part of its CFQ to another rockfish cooperative. This transfer 
requires the submission of an application for inter-cooperative 
transfer to NMFS. An eligible rockfish processor may transfer its 
eligible rockfish processor permit. This transfer requires the 
submission to NMFS of an application to transfer an processor 
eligibility.
    (1) Application for inter-cooperative transfer. NMFS will notify 
the transferor and transferee once the application has been received 
and approved. A transfer of CFQ is not effective until approved by 
NMFS. A completed transfer of CFQ issued to a rockfish cooperative 
requires that the following information be provided to NMFS in the 
application for inter-cooperative transfer:
    (i) Identification of transferor. Enter the name; NMFS Person ID; 
name of rockfish cooperative's authorized representative; permanent 
business mailing address; and business telephone number, fax number, 
and e-mail address

[[Page 33087]]

(if available) of the rockfish cooperative transferor. A temporary 
mailing address for each transaction may also be provided.
    (ii) Identification of transferee. (A) Enter the name; NMFS Person 
ID; name of rockfish cooperative's authorized representative; permanent 
business mailing address; and business telephone number, fax number, 
and e-mail address (if available) of the rockfish cooperative 
transferee. A temporary mailing address for each transaction may also 
be provided.
    (B) Provide the names of all persons, to the individual person 
level, holding a holdership interest in the LLP license(s) and the 
percentage ownership each person holds in each LLP license.
    (iii) Identification of rockfish cooperative member. Enter the name 
and NMFS Person ID of the member(s) to whose use cap the rockfish 
cooperative CFQ will be applied, and the amount of CFQ applied to each 
member for purposes of applying use caps established under the Rockfish 
Program under Sec.  679.82(a).
    (iv) CFQ to be transferred. Identify the type and amount of Primary 
species, secondary species, or rockfish halibut PSC CFQ to be 
transferred.
    (v) Certification of transferor. The rockfish cooperative 
transferor's authorized representative must sign and date the 
application certifying that all information is true, correct, and 
complete to the best of his or her knowledge and belief. Also enter the 
printed name of the rockfish cooperative transferor's authorized 
representative. If the application is completed by an authorized 
representative, then explicit authorization signed by the applicant 
must accompany the application.
    (vi) Certification of transferee. The rockfish cooperative 
transferee's authorized representative must sign and date the 
application certifying that all information is true, correct, and 
complete to the best of his or her knowledge and belief. Also enter the 
printed name of the rockfish cooperative transferee's authorized 
representative. If the application is completed by an authorized 
representative, then explicit authorization signed by the applicant 
must accompany the application.
    (2) Application to transfer processor eligibility. NMFS will notify 
the transferor and transferee once the application has been received 
and approved. A transfer is not effective until approved by NMFS. A 
completed transfer of processor eligibility requires that the following 
information be provided to NMFS in the application to transfer 
processor eligibility:
    (i) Identification of transferor. Enter the name; NMFS Person ID; 
permanent business mailing address; and business telephone number, fax 
number, and e-mail address (if available). A temporary mailing address 
for each transaction may also be provided in addition to the permanent 
business mailing address. Enter the facility name of SFP, ADF&G 
processor code, and FPP for each processing facility for which that 
processor eligibility applies. Enter the name of the community in which 
that processor eligibility applies.
    (ii) Identification of transferee. Enter the name; NMFS Person ID; 
permanent business mailing address; and business telephone number, fax 
number, and e-mail address (if available) of the transferee. A 
temporary mailing address for each transaction may also be provided. 
Enter the facility name or SFP, ADF&G processor code, and FPP for each 
processing facility where that processor eligibility will apply. Enter 
the name of the community in which that processor eligibility will be 
used.
    (iii) Certification of transferor. The processor eligibility 
transferor's authorized representative must sign and date the 
application certifying that all information is true, correct, and 
complete to the best of his or her knowledge and belief. Also enter the 
printed name of the processor eligibility transferor's authorized 
representative. If the application is completed by an authorized 
representative, then explicit authorization signed by the applicant 
must accompany the application.
    (iv) Certification of transferee. The processor eligibility 
transferee's authorized representative must sign and date the 
application certifying that all information is true, correct, and 
complete to the best of his or her knowledge and belief. Also enter the 
printed name of the processor eligibility transferee's authorized 
representative. If the application is completed by an authorized 
representative, then explicit authorization signed by the applicant 
must accompany the application.
    (g) Transfer of processor eligibility--(1) General. An eligible 
rockfish processor may transfer eligibility to receive and process 
under the Rockfish Program to another person only by submitting an 
application to transfer processor eligibility that is subsequently 
approved by NMFS.
    (2) Limitation on use of processor eligibility. Any person becoming 
an eligible rockfish processor by transfer may not receive fish 
harvested under the Rockfish Program outside of the community listed by 
the original recipient of the processor eligibility in the application 
to participate in the Rockfish Program under Sec.  679.80(e)(4)(ii)(C).
    (3) Non-severability of processor eligibility. An eligible rockfish 
processor permit may not be divided or suballocated.
    (h) Maximum retainable amount (MRA) limits--(1) Rockfish 
cooperative. A rockfish cooperative may harvest groundfish species not 
allocated as CFQ up to the MRA for that species as established in Table 
30 to this part.
    (2) Catcher/processor sector rockfish limited access fishery. An 
eligible rockfish harvester in the catcher/processor rockfish limited 
access fishery may harvest groundfish species other than primary 
rockfish species up to the MRA for that species as established in Table 
30 to this part.
    (3) Catcher vessel sector rockfish limited access fishery. An 
eligible rockfish harvester in the catcher vessel rockfish limited 
access fishery may harvest groundfish species other than primary 
rockfish species up to the MRA for that species as established in Table 
30 to this part.
    (4) Opt-out fishery. An eligible rockfish harvester in the opt-out 
fishery may harvest groundfish species other than primary rockfish 
species up to the MRA for that species as established in Table 10 to 
this part.
    (5) Rockfish entry level fishery. An eligible entry level harvester 
in the rockfish entry level fishery may harvest groundfish species 
other than primary rockfish species up to the MRA for that species as 
established in Table 10 to this part.
    (6) Maximum retainable amounts (MRA). (i) The MRAs for an 
incidental catch species for vessels participating in a rockfish 
cooperative, or a rockfish limited access fishery, is calculated as a 
proportion of the total allocated primary rockfish species on board the 
vessel in round weight equivalents using the retainable percentages in 
Table 30 to this part; except that:
    (ii) In the catcher vessel sector, shortraker and rougheye rockfish 
are incidental catch species and are limited to an aggregate MRA of 2.0 
percent of the retained weight of all primary rockfish species during 
that fishing trip.
    (iii) Once the amount of shortraker rockfish retained in the 
catcher vessel sector is equal to 9.72 percent of the shortraker 
rockfish TAC in the Central GOA regulatory area, then shortraker 
rockfish may not be retained by the catcher vessel sector.
    (iv) In the rockfish limited access fishery for the catcher/
processor sector, shortraker and rougheye rockfish are incidental catch 
species and are limited to an aggregate MRA of 2.0 percent of

[[Page 33088]]

the retained weight of all primary rockfish species during that fishing 
trip.
    (v) Once the amount of shortraker rockfish retained in the catcher/
processor sector is equal to 30.03 percent of the shortraker rockfish 
TAC in the Central GOA regulatory area, then shortraker rockfish may 
not be retained in the rockfish limited access fishery in the catcher/
processor sector.
    (vi) Once the amount of rougheye rockfish retained in the catcher/
processor sector is equal to 58.87 percent of the rougheye rockfish TAC 
in the Central GOA regulatory area, then rougheye rockfish may not be 
retained in the rockfish limited access fishery in the catcher/
processor sector.
    (i) Rockfish cooperative--(1) General. This section governs the 
formation and operation of rockfish cooperatives. The regulations in 
this section apply only to rockfish cooperatives that have formed for 
the purpose of applying for and fishing with CFQ issued annually by 
NMFS. Members of rockfish cooperatives should consult counsel before 
commencing any activity if the members are uncertain about the legality 
under the antitrust laws of the rockfish cooperative's proposed 
conduct. Membership in a rockfish cooperative is voluntary. No person 
may be required to join that rockfish cooperative. Upon receipt of 
written notification that a person is eligible and wants to join a 
rockfish cooperative, that rockfish cooperative must allow that person 
to join subject to the terms and agreements that apply to the members 
of the cooperative as established in the contract governing the conduct 
of the rockfish cooperative. Members may leave a rockfish cooperative, 
but any CFQ contributed by the rockfish QS held by that member remains 
with that rockfish cooperative for the remainder of the calendar year. 
If a person becomes the holder of an LLP license that has been assigned 
to a rockfish cooperative, then that person may join that rockfish 
cooperative upon receipt of that LLP license.
    (2) Legal and organizational requirements. A rockfish cooperative 
must meet the following legal and organizational requirements before it 
is eligible to receive CFQ:
    (i) Each rockfish cooperative must be formed as a partnership, 
corporation, or other legal business entity that is registered under 
the laws of one of the 50 states or the District of Columbia;
    (ii) Each rockfish cooperative must appoint an individual as 
authorized representative to act on the rockfish cooperative's behalf 
and serve as contact point for NMFS for questions regarding the 
operation of the rockfish cooperative. The authorized representative 
may be a member of the rockfish cooperative, if an individual person, 
or some other individual authorized by the rockfish cooperative to act 
on its behalf;
    (iii) Each rockfish cooperative must submit a complete and timely 
application for CFQ;
    (iv) Each rockfish cooperative must meet the mandatory requirements 
established in paragraphs (i)(3) and (4) of this section applicable to 
that rockfish cooperative.
    (3) Mandatory requirements. The following table describes the 
requirements to form a rockfish cooperative in the catcher vessel or 
catcher/processor sector.

------------------------------------------------------------------------
                                                     Catcher/processor
      Requirement         Catcher vessel sector        vessel sector
------------------------------------------------------------------------
(i) Who may join a       Only persons who are eligible rockfish
 rockfish cooperative?    harvesters may join a rockfish cooperative.
                          Persons who are not eligible rockfish
                          harvesters may be employed by, or serve as the
                          authorized representative of a rockfish
                          cooperative, but are not members of the
                          rockfish cooperative.
(ii) What is the         No minimum requirement.  2 LLP licenses
 minimum number of LLP                             assigned rockfish QS
 licenses that must be                             in the catcher/
 assigned to form a                                processor sector.
 rockfish cooperative?                             These licenses can be
                                                   held by one or more
                                                   persons.
(iii) Is an association  Yes. An eligible         No.
 with an eligible         rockfish harvester may
 rockfish processor       only be a member of a
 required?                rockfish cooperative
                          formed in association
                          with an eligible
                          rockfish processor to
                          which the harvester
                          made the plurality of
                          legal rockfish
                          landings assigned to
                          the LLP license(s)
                          during the applicable
                          processor qualifying
                          period chosen by an
                          eligible rockfish
                          processor in the
                          application to
                          participate in the
                          Rockfish Program.
(iv) What if an          That eligible rockfish   N/A.
 eligible rockfish        harvester can assign
 harvester did not        that LLP license to
 deliver any legal        any rockfish
 rockfish landings        cooperative.
 assigned to an LLP
 license to an eligible
 rockfish processor
 during a processor
 qualifying period?
(v) What is the          The processor            N/A.
 processor qualifying     qualifying period is
 period?                  the four of five years
                          from 1996 through 2000
                          that are used to
                          establish the legal
                          rockfish landings that
                          are considered for
                          purposes of
                          establishing an
                          association with an
                          eligible rockfish
                          processor. Each
                          eligible rockfish
                          processor will select
                          a processor qualifying
                          period in the
                          application to
                          participate in the
                          Rockfish Program. The
                          processor qualifying
                          period may not be
                          changed once selected
                          for that eligible
                          rockfish processor,
                          including upon
                          transfer of processor
                          eligibility. The same
                          processor qualifying
                          period will be used
                          for all LLP licenses
                          to determine the legal
                          rockfish landings that
                          are considered for
                          purposes of eligible
                          rockfish harvesters
                          establishing an
                          association with an
                          eligible rockfish
                          processor.

[[Page 33089]]

 
(vi) Is there a minimum  Yes. A rockfish          No.
 amount of rockfish QS    cooperative must be
 that must be assigned    assigned rockfish QS
 to a rockfish            that represents at
 cooperative for it to    least 75 percent of
 be allowed to form?      all the legal rockfish
                          landings of primary
                          rockfish species
                          delivered to that
                          eligible rockfish
                          processor during the
                          four years selected by
                          that processor.
(vii) What is allocated  CFQ for primary rockfish species, secondary
 to the rockfish          species, and rockfish halibut PSC, based on
 cooperative?             the
                          rockfish QS assigned to all of the LLP license
                          that are assigned to the cooperative.
(viii) Is this CFQ an    Yes, the members of the rockfish cooperative
 exclusive harvest        have an exclusive harvest privilege to
 privilege?               collectively
                          catch this CFQ, or a cooperative can transfer
                          all or a portion of this CFQ to another
                          rockfish
                          cooperative.
(ix) Is there a season    Yes, any vessel designated to catch CFQ for a
 during which             rockfish cooperative is limited to catching
 designated vessels       CFQ
 must catch CFQ?          during the season beginning on 1200 hours
                          A.l.t. on May 1 through 1200 hours A.l.t. on
                          November 15.
(x) Can any vessel        No. only vessels that are named on the
 catch a rockfish         application for CFQ for that rockfish
 cooperative's CFQ?       cooperative,
                          including any vessels named on amendment(s) to
                          that application, can catch the CFQ
                          assigned to that rockfish cooperative.
(xi) Can the member of    No, only the rockfish cooperative, and not
 a rockfish cooperative   individual members, may transfer its CFQ to
 transfer CFQ             another rockfish cooperative, but only if that
 individually without     transfer is approved by NMFS as established
 the approval of the      under paragraph (i) of this section.
 other members of the
 rockfish cooperative.
(xii) Can a rockfish     N/A.                     No, sideboard limits
 cooperative in the                                are limits applicable
 catcher/processor                                 to that rockfish
 sector transfer a                                 cooperative, and may
 sideboard to that                                 not be transferred
 rockfish cooperative?                             among rockfish
                                                   cooperative.
(xiii) Is there a hired  No, there is no hired    N/A.
 master requirement?      master requirement.
(xiv) Can an LLP         No. An LLP license can only be assigned to one
 license be reassigned    rockfish cooperative in a calendar year. An
 to more than one         eligible rockfish harvester holding multiple
 rockfish cooperative     LLP licenses may assign different LLP licenses
 in a calendar year?      to different rockfish cooperatives subject to
                          any other restrictions that may apply.
(xv) Can an eligible     No. An eligible          N/A.
 rockfish processor be    rockfish processor can
 associated with more     only associate with
 than one rockfish        one rockfish
 cooperative?             cooperative per year.
                          A person who is
                          permitted as an
                          eligible rockfish
                          processor based on
                          holdings of more than
                          one processing history
                          would be issued a
                          separate eligible
                          rockfish processor
                          permit for that
                          processing history and
                          may be able to form an
                          association with a
                          rockfish cooperative
                          as a separate and
                          distinct eligible
                          rockfish processor
                          subject to any other
                          restrictions that may
                          apply.
(xvi) Can an LLP         No. Once an LLP license
 license be assigned to   is assigned to a
 a rockfish cooperative   rockfish cooperative,
 and the rockfish         any rockfish QS
 limited access fishery   assigned to that LLP
 or opt-out fishery?      license yields CFQ to
                          that rockfish
                          cooperative for the
                          calendar year.
(xvii) Which members      That is determined by
 may harvest the          the rockfish
 rockfish cooperative's   cooperative contract
 CFQ?                     signed by its members.
                          Any violations of this
                          contract by one
                          cooperative member may
                          be subject to civil
                          claims by other
                          members of the
                          rockfish cooperative.
(xviii) Does a rockfish  Yes, a rockfish cooperative must have a
 cooperative need a       membership agreement or contract that
 contract?                specifies
                          how the rockfish cooperative intends to
                          harvest its CFQ. A copy of this agreement or
                          contract must be submitted with the
                          application for CFQ.
(xix) What happens if     A rockfish cooperative
 the rockfish             is not authorized to
 cooperative exceeds      catch fish in excess
 its CFQ amount?          of its CFQ. Exceeding
                          a CFQ is a violation
                          of the regulations.
                          Each member of the
                          rockfish cooperative
                          is jointly and
                          severally liable for
                          any violations of the
                          Program regulations
                          while fishing under
                          authority of a CFQ
                          permit. This liability
                          extends to any persons
                          who are hired to catch
                          or receive CFQ
                          assigned to a rockfish
                          cooperative. Each
                          member of a rockfish
                          cooperative is
                          responsible for
                          ensuring that all
                          members of the
                          rockfish cooperative
                          comply with all
                          regulations applicable
                          to fishing under the
                          Rockfish Program.
(xx) Is there a limit    Yes, generally, a        No, but a catcher/
 on how much CFQ a        rockfish cooperative     processor vessel is
 rockfish cooperative     may not hold or use      still subject to any
 may hold or use?         more than 30 percent     vessel use caps that
                          of the aggregate         may apply. See Sec.
                          primary rockfish         679.82(a) for the use
                          species CFQ assigned     cap provisions that
                          to the catcher vessel    apply.
                          sector for that
                          calendar year. See
                          Sec.   679.82(a) for
                          the provisions that
                          apply.

[[Page 33090]]

 
(xxi) Is there a limit   No. However, a vessel    Yes, generally, no
 on how much CFQ a        may not catch more CFQ   vessel may harvest
 vessel may harvest?      than the CFQ assigned    more than 60 percent
                          to that rockfish         of the aggregate
                          cooperative.             primary rockfish
                                                   species TAC assigned
                                                   to the catcher/
                                                   processor sector for
                                                   that calendar year,
                                                   unless subject to an
                                                   exemption. See Sec.
                                                   679.82(a) for the
                                                   provisions that
                                                   apply.
(xxii) If my vessel is   (A) Any vessel authorized to harvest the CFQ
 fishing in a directed    assigned to a rockfish cooperative must count
 flatfish fishery in      any catch of primary rockfish species,
 the Central GOA and I    secondary species, or rockfish halibut PSC
 catch groundfish and     against
 halibut PSC, does that   that rockfish cooperative's CFQ from May 1
 count against the        until November 15, or until the authorized
 rockfish cooperative's   representative of that rockfish cooperative
 CFQ?                     has submitted a rockfish cooperative
                          Termination
                          of Fishing Declaration that has been approved
                          by NMFS.
                         (B) Groundfish harvests would not be debited
                          against the rockfish cooperative's CFQ if the
                          vessel is not authorized to harvest CFQ. In
                          this case, any catch of halibut would be
                          attributed
                          to the halibut PSC limit for that directed
                          target fishery and gear type.
(xxiii) Can my           The rockfish cooperatives formed under the
 cooperative negotiate    Rockfish Program are intended to conduct and
 prices for me?           coordinate harvest activities for their
                          members. Rockfish cooperatives formed under
                          the
                          Rockfish Program are subject to existing
                          antitrust laws. Collective price negotiation
                          by a
                          rockfish cooperative must be conducted in
                          accordance with existing antitrust laws.
(xxiv) Are there any      Yes, each year a rockfish cooperative must
 special reporting        submit an annual rockfish cooperative report
 requirements?            to
                          NMFS by December 15 of each year. The annual
                          rockfish cooperative report may be made
                          available to NMFS by mailing a copy to NMFS:
                          Regional Administrator, P.O. Box 21668,
                          Juneau, AK 99802.
(xxv) What is required   The annual rockfish cooperative report must
 in the annual rockfish   include at a minimum:
 cooperative report?     (A) The rockfish cooperative's CFQ, sideboard
                          limit (if applicable), and any rockfish
                          sideboard
                          fishery harvests made by the vessels in the
                          rockfish cooperative on a vessel-by-vessel
                          basis;
                         (B) The rockfish cooperative's actual retained
                          and discarded catch of CFQ, and sideboard
                          limit
                          on an area-by-area and vessel-by-vessel basis;
                         (C) A description of the method used by the
                          rockfish cooperative to monitor fisheries in
                          which
                          rockfish cooperative vessels participated;
                         (D) A description of any civil actions taken by
                          the rockfish cooperative in response to any
                          mem-
                          bers that exceeded their allowed catch.
------------------------------------------------------------------------

    (4) Additional mandatory requirements--(i) Calculation of minimum 
legal rockfish landings for forming a rockfish cooperative. If an 
eligible rockfish harvester holds an LLP license with rockfish QS for 
the catcher vessel sector that does not have any legal rockfish 
landings associated with an eligible rockfish processor from January 1, 
1996, through December 31, 2000, during the fishery seasons established 
in Table 28 to this part, that eligible rockfish harvester may join any 
rockfish cooperative with that LLP license. Any such eligible rockfish 
harvester that joins a rockfish cooperative may not be considered as 
contributing an amount of legal rockfish landings necessary to meet a 
minimum of 75 percent of the total legal rockfish landings that were 
delivered to that eligible rockfish processor during the four calendar 
years selected by that eligible rockfish processor for the purposes of 
establishing the minimum legal rockfish landings required to form a 
rockfish cooperative.
    (ii) Restrictions on fishing CFQ assigned to a rockfish 
cooperative. A person fishing for CFQ assigned to a rockfish 
cooperative must maintain a copy of the CFQ permit aboard any vessel 
that is being used to harvest any primary rockfish species, or 
secondary species, or uses any rockfish halibut PSC.
    (iii) Transfer of CFQ among rockfish cooperatives. Rockfish 
cooperatives may transfer CFQ during a calendar year with the following 
restrictions:
    (A) A rockfish cooperative may only transfer CFQ to another 
rockfish cooperative;
    (B) A rockfish cooperative may only receive CFQ from another 
rockfish cooperative;
    (C) A rockfish cooperative in the catcher vessel sector may not 
transfer any CFQ to a rockfish cooperative in the catcher/processor 
sector;
    (D) A rockfish cooperative receiving primary rockfish species CFQ 
by transfer must assign that primary rockfish species CFQ to a 
member(s) of the rockfish cooperative for the purposes of calculating 
the amount of primary rockfish species CFQ held by that member for 
application of the use caps established under Sec.  679.82(a);
    (E) A rockfish cooperative may not transfer any sideboard limit 
assigned to that rockfish cooperative; and
    (F) A rockfish cooperative may not receive any CFQ by transfer 
after NMFS has approved a rockfish cooperative Termination of Fishing 
Declaration that was submitted by that rockfish cooperative.
    (5) Use of CFQ. (i) A rockfish cooperative in the catcher vessel 
sector may not use a primary rockfish species CFQ in excess of the 
amounts specified in Sec.  679.82(a).
    (ii) Rockfish cooperative primary rockfish species CFQ transferred 
to another rockfish cooperative will apply to the use caps of a named 
member(s) of the rockfish cooperative receiving the CFQ, as specified 
in the transfer application.
    (A) Each pound of CFQ must be assigned to a member of the rockfish 
cooperative receiving the CFQ for purposes of use cap calculations. No 
member of a rockfish cooperative may not exceed the CFQ use cap 
applicable to that member.
    (B) For purposes of CFQ use cap calculation, the total amount of 
CFQ held or used by a person is equal to all pounds of CFQ assigned to 
that person by the rockfish cooperative from approved transfers.
    (C) The amount of rockfish QS held by a person, and CFQ derived 
from that rockfish QS is calculated using the individual and collective 
use cap rule established in Sec.  679.82(a).
    (6) Successors-in-interest. If a member of a rockfish cooperative 
dies (in the case of an individual) or dissolves (in the case of a 
business entity), the LLP license(s) and associated rockfish QS held by 
that person will be transferred to the legal successor-in-interest 
under the procedures described at Sec.  679.4(k)(6)(iv)(A). However, 
the CFQ

[[Page 33091]]

derived from that rockfish QS and assigned to the rockfish cooperative 
for that year from that person remains under the control of the 
rockfish cooperative for the duration of that calendar year. Each 
rockfish cooperative is free to establish its own internal procedures 
for admitting a successor-in-interest during the fishing season to 
reflect the transfer of an LLP license and associated rockfish QS, or 
the transfer of the processor eligibility due to the death or 
dissolution of a rockfish cooperative member or associated eligible 
rockfish processor.


Sec.  679.82  Rockfish Program use caps and sideboard limits.

    (a) Use caps--(1) General. Use caps limit the amount of rockfish QS 
and CFQ of primary rockfish species that may be held or used, and the 
amount of primary rockfish species TAC that may be received, by an 
eligible rockfish processor. Use caps may not be exceeded unless the 
entity subject to the use cap is specifically allowed to exceed a cap 
according to the criteria established under this paragraph (a) or by an 
operation of law. There are three types of use caps: person use caps; 
vessel use caps; and processor use caps. Person use caps limit the 
maximum amount of aggregate rockfish QS a person may hold and the 
maximum amount of aggregate primary rockfish species CFQ that a person 
may hold or use. Person use caps apply to eligible rockfish harvesters 
and rockfish cooperatives. Vessel use caps limit the maximum amount of 
aggregate primary rockfish species CFQ that a vessel operating as a 
catcher/processor may harvest. Processor use caps limit the maximum 
amount of aggregate primary rockfish species that may be received or 
processed by an eligible rockfish processor. All rockfish QS use caps 
are based on the aggregate primary rockfish species initial rockfish QS 
pool established by NMFS. The use caps apply as follows:
    (2) Eligible rockfish harvester use cap. An eligible rockfish 
harvester may not individually or collectively hold or use more than:
    (i) Five (5.0) percent of the aggregate rockfish QS initially 
assigned to the catcher vessel sector and resulting CFQ unless that 
eligible rockfish harvester qualifies for an exemption to this use cap 
under paragraph (a)(6) of this section;
    (ii) Twenty (20.0) percent of the aggregate rockfish QS initially 
assigned to the catcher/processor sector and resulting CFQ unless that 
eligible rockfish harvester qualifies for an exemption to this use cap 
under paragraph (a)(6) of this section.
    (3) CFQ use cap for rockfish cooperatives in the catcher vessel 
sector. A rockfish cooperative may not individually or collectively 
hold or use an amount of CFQ that is greater than the amount derived 
from 30.0 percent of the aggregate rockfish QS initially assigned to 
the catcher vessel sector unless all members of that rockfish 
cooperative qualify for an exemption to this use cap under paragraph 
(a)(6) of this section.
    (4) CFQ use cap for a vessel in the catcher/processor sector. A 
vessel harvesting CFQ in the catcher/processor sector may not harvest 
an amount of CFQ that is greater than the amount derived from 60.0 
percent of the aggregate rockfish QS initially assigned to the catcher/
processor unless the CFQ harvested by that vessel is derived from the 
rockfish QS assigned to an LLP licence that was used on that vessel 
prior to June 6, 2005, and that LLP license is assigned rockfish QS 
that results in CFQ in excess of the use cap.
    (5) Primary rockfish species use cap for eligible rockfish 
processors. (i) An eligible rockfish processor may not receive or 
process in excess of 30.0 percent of the aggregate primary rockfish 
species TAC, including CFQ, assigned to the catcher vessel sector 
unless the eligible rockfish processor is receiving or processing CFQ 
assigned to a rockfish cooperative and the members of that rockfish 
cooperative qualify for an exemption to this CFQ use cap under 
paragraph (a)(6) of this section.
    (ii) The amount of aggregate primary rockfish species TAC that is 
received by an eligible rockfish processor is calculated based on the 
sum of all aggregate primary rockfish species TAC, including CFQ, 
received or processed by that eligible rockfish processor and the 
aggregate primary rockfish species TAC received or processed by any 
entity in which that eligible rockfish processor has a ``10 percent or 
greater direct or indirect ownership interest for purposes of the 
Rockfish Program'' as that term is defined in Sec.  679.2.
    (6) Use cap exemptions--(i) Rockfish QS. An eligible rockfish 
harvester may receive an initial allocation of aggregate rockfish QS in 
excess of the use cap in that sector only if that rockfish QS is 
assigned to LLP license(s) held by that eligible rockfish harvester 
prior to June 6, 2005.
    (ii) Transfer limitations. (A) An eligible rockfish harvester that 
receives an initial allocation of aggregate rockfish QS that exceeds 
the use cap listed in paragraph (a)(2) of this section shall not 
receive any rockfish QS by transfer unless and until that person's 
holdings of aggregate rockfish QS in that sector are reduced to an 
amount below the use cap specified in paragraph (a)(2) of this section.
    (B) If an eligible rockfish harvester transfers an LLP license and 
assigned rockfish QS to another person, the eligible rockfish harvester 
that transferred that LLP license may not hold more than the amount of 
rockfish QS held by that eligible rockfish harvester after the transfer 
or the rockfish QS use cap established in paragraph (a)(2) of this 
section, whichever is greater.
    (C) An eligible rockfish harvester that receives an initial 
allocation of aggregate rockfish QS that exceeds the use cap listed in 
paragraph (a)(2) of this section may not be allowed to receive any 
rockfish QS by transfer or have any CFQ attributed to that eligible 
rockfish harvester in a rockfish cooperative unless and until that 
person's holdings of aggregate rockfish QS in that sector are reduced 
to an amount below the use cap specified in paragraph (a)(2) of this 
section.
    (iii) CFQ. An rockfish cooperative may use CFQ in excess of the use 
cap in that sector only if that CFQ is derived from the rockfish QS 
assigned to an LLP licence that was held by that eligible rockfish 
harvester prior to June 6, 2005.
    (b) Rockfish limited access fishery--(1) General. (i) An eligible 
rockfish harvester may use an LLP license and assigned rockfish QS in 
the appropriate rockfish limited access fishery only if:
    (A) That person submitted a complete and timely application for the 
rockfish limited access fishery that is approved by NMFS; or
    (B) That LLP is not assigned to a rockfish cooperative for that 
calendar year, and that person has not submitted a complete and timely 
application to opt-out of the Rockfish Program that is approved by 
NMFS.
    (ii) [Reserved]
    (2) Limited access fishery sectors. (i) If an LLP license with 
rockfish QS in the catcher vessel sector is assigned to a limited 
access fishery, it is assigned to the catcher vessel rockfish limited 
access fishery.
    (ii) If an LLP license with a rockfish QS in the catcher/processor 
sector is assigned a limited access fishery, it is assigned to the 
catcher/processor rockfish limited access fishery.
    (3) Primary rockfish species harvest limit. All vessels that are 
participating in a rockfish limited access fishery may harvest an 
amount of primary rockfish species not greater than the TAC assigned to 
that primary rockfish

[[Page 33092]]

species for the rockfish limited access fishery in that sector.
    (4) Secondary species allocations. Secondary species shall be 
managed based on an MRA as established under Table 30 to this part.
    (5) Rockfish halibut PSC allocations. Halibut caught by vessels in 
the rockfish limited access fishery shall be accounted against the 
halibut PSC allocation to the deep water species fishery complex for 
trawl gear for that seasonal apportionment for that sector. If the 
halibut PSC limit in the deep water fishery complex has been reached or 
exceeded for that seasonal apportionment for that sector, the rockfish 
limited access fishery will be closed until deep water species fishery 
complex halibut PSC is available for that sector.
    (6) Opening of the rockfish limited access fishery. The Regional 
Administrator maintains the authority to not open a rockfish limited 
access fishery if he deems it appropriate for conservation or other 
management measures. Factors such as the total allocation, anticipated 
harvest rates, and number of participants will be considered in making 
any such decision.
    (c) Opt-out fishery. An eligible rockfish harvester who holds an 
LLP license and who submits an application to opt-out with that LLP 
licence that is subsequently approved by NMFS may not fish in any 
directed fishery for any primary rockfish species in the Central GOA 
and adjacent waters open by the State of Alaska for which it adopts a 
Federal fishing season with any vessel named on that LLP license.
    (d) Sideboard limitations--General. The regulations in this section 
restrict the holders of LLP licenses eligible to receive rockfish QS 
from using the increased flexibility provided by the Rockfish Program 
to expand their level of participation in other groundfish fisheries. 
These limitations are commonly known as ``sideboards.''
    (1) Notification of affected vessel owners and LLP license holders. 
After NMFS determines which vessels and LLP licenses meet the criteria 
described in paragraphs (d) through (h)of this section, NMFS will 
inform each vessel owner and LLP license holder in writing of the type 
of sideboard limitation and issue a revised Federal Fisheries Permit 
and/or LLP license that displays the limitation on the face of the 
permit or LLP license.
    (2) Appeals. A vessel owner or LLP license holder who believes that 
NMFS has incorrectly identified his or her vessel or LLP license as 
meeting the criteria for a sideboard limitation may make a contrary 
claim and provide evidence to NMFS. All claims must be submitted in 
writing to the RAM Program, Alaska Region, NMFS, P.O. Box 21668, 
Juneau, AK 99802-1668, together with any documentation or evidence 
supporting the request within 30 days of being notified by NMFS of the 
sideboard limitation. If NMFS finds the claim is unsupported, the claim 
will be denied in an Initial Administrative Determination (IAD). The 
affected persons may appeal this IAD using the procedures described at 
Sec.  679.43.
    (3) Classes of sideboard restrictions. There are several types of 
sideboard restrictions that apply under the Rockfish Program:
    (i) General sideboard restrictions as described under this 
paragraph (d);
    (ii) Catcher vessel sideboard restrictions as described under 
paragraph (e) of this section;
    (iii) Catcher/processor rockfish cooperative sideboard restrictions 
as described under paragraph (f) of this section;
    (iv) Catcher/processor limited access sideboard restrictions as 
described under paragraph (g) of this section; and
    (v) Catcher/processor opt-out sideboard restrictions as described 
under paragraph (h) of this section.
    (4) General sideboard restrictions. General sideboard restrictions 
apply to fishing activities during July 1 through July 31 of each year 
in each fishery as follows:
    (i) Directed fishing for Pacific ocean perch, pelagic shelf 
rockfish, and northern rockfish fisheries in the regulatory area of the 
Western GOA and adjacent waters open by the State of Alaska for which 
it adopts a Federal fishing season;
    (ii) Directed fishing for Pacific ocean perch, pelagic shelf 
rockfish, and northern rockfish fisheries in the Western Yakutat 
District and adjacent waters open by the State of Alaska for which it 
adopts a Federal fishing season; and
    (iii) The use of halibut PSC in the following directed fisheries in 
the West Yakutat District, Central GOA, and Western GOA and adjacent 
waters open by the State of Alaska for which it adopts a Federal 
fishing season:
    (A) Rex sole;
    (B) Deep water flatfish;
    (C) Arrowtooth flounder;
    (D) Shallow water flatfish; and
    (E) Flathead sole.
    (5) Vessels and LLP licenses subject to general and halibut PSC 
sideboard limitations. (i) The sideboard fishing limitations described 
in paragraph (d) of this section apply both to the fishing vessel 
itself and to any LLP license derived in whole or in part from the 
history of that vessel. The sideboard limitations apply to any vessel 
named on that LLP license. These sideboard restrictions apply even if 
an LLP license holder did not submit an application to participate in 
the Rockfish Program but that LLP license is otherwise eligible to 
receive rockfish QS under the Rockfish Program based on legal rockfish 
landings.
    (ii) Except as described in paragraph (d)(5)(iii) of this section, 
the owner of any vessel that NMFS has determined meets one of the 
following criteria is subject to groundfish directed fishing sideboard 
limits and halibut mortality sideboard limits issued under this 
paragraph (d):
    (A) Any vessel whose legal rockfish landings could generate 
rockfish QS;
    (B) Any LLP license under whose authority legal rockfish landings 
were made;
    (C) Any vessel named on an LLP license that was generated in whole 
or in part by the legal rockfish landings of a vessel meeting the 
criteria in paragraph (d)(5) of this section.
    (iii) Any AFA vessel that is not exempt from GOA groundfish 
sideboards under the AFA as specified under Sec.  679.63(b)(1)(i)(B) is 
exempt from the sideboard limits in this paragraph (d).
    (6) Determination of general sideboard ratios. (i) Separate 
sideboard ratios for each rockfish sideboard fishery are established 
for the catcher vessel and the catcher/processor sectors. The general 
sideboard ratio for each fishery is determined according to the 
following table:

--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                         The sideboard limit for the
 For the management area of the . . .    In the directed fishery for .  catcher-processor sector is .  The sideboard limit for the catcher vessel sector
                                                      . .                            . .                                    is . . .
--------------------------------------------------------------------------------------------------------------------------------------------------------
West Yakutat District.................  Pelagic Shelf Rockfish........  72.4 percent of the TAC......  1.7 percent of the TAC.
                                        Pacific ocean perch...........  76.0 percent of the TAC......  2.9 percent of the TAC.
Western GOA...........................  Pelagic Shelf Rockfish........  63.3 percent of the TAC......  0.0 percent of the TAC.
                                        Pacific ocean perch...........  61.1 percent of the TAC......  *

[[Page 33093]]

 
                                        Northern Rockfish.............  78.9 percent of the TAC......  0.0 percent of the TAC.
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Not released due to confidentiality requirements on fish ticket data established by the State of Alaska.

    (ii) Each rockfish cooperative in the catcher/processor sector will 
be assigned a sideboard limit for that rockfish cooperative as a 
percentage of the general sideboard ratio for that fishery in that 
catcher/processor sector.
    (iii) The sideboard ratios that are applicable for each general 
sideboarded fishery for a rockfish cooperative in the catcher/processor 
sector are calculated by dividing the aggregate retained catch of that 
fishery, from July 1 through July 31 in each year from 1996 through 
2002, caught by vessels in that rockfish cooperative that are subject 
to directed fishing closures under this paragraph (d), by the total 
retained catch from July 1 through July 31 in each year from 1996 
through 2002 caught by all groundfish vessels in that sector.
    (7) Management of annual sideboard limits--(i) Sideboard directed 
fishing allowance. (A) If the Regional Administrator determines that an 
annual sideboard limit for a general rockfish sideboard fishery has 
been or will be reached, the Regional Administrator may establish a 
directed fishing allowance for the species or species group applicable 
only to the group of vessels to which the general sideboard limit 
applies. A directed fishing allowance that is established for a 
rockfish cooperative in the catcher/processor sector may be fished only 
by that rockfish cooperative to which it is assigned.
    (B) If the Regional Administrator determines that a sideboard limit 
is insufficient to support a directed fishing allowance for that 
species or species group, then the Regional Administrator may set the 
directed fishing allowance to zero for that species or species group 
for that sector or rockfish cooperative, as applicable.
    (ii) Directed fishing closures. Upon attainment of a general 
directed fishing sideboard limit, the Regional Administrator will 
publish notification in the Federal Register prohibiting directed 
fishing for the species or species group in the specified sector, 
regulatory area, or district.
    (8) Determination of halibut PSC sideboard ratios. (i) Sideboards 
for halibut PSC are established for the catcher vessel and the catcher/
processor sectors separately. Sideboard limits for halibut PSC are 
calculated for each rockfish cooperative in the catcher/processor 
sector separately. The halibut PSC sideboard limit for each sector is 
established according to the following table:

----------------------------------------------------------------------------------------------------------------
                                                                                        The annual shallow-water
 For the management area in the .   And for following sector    The annual deep-water      complex halibut PSC
               . .                           . . .               complex halibut PSC    sideboard limit is . . .
                                                              sideboard limit is . . .
----------------------------------------------------------------------------------------------------------------
Western GOA......................  Catcher/Processor Sector.  1.56 percent of the GOA   0.16 percent of the GOA
                                                               annual halibut            annual halibut
                                                               mortality limit.          mortality limit.
                                   Catcher Vessel Sector....  0.00 percent of the GOA   0.00 percent of the GOA
                                                               annual halibut            annual halibut
                                                               mortality limit.          mortality limit.
Central GOA......................  Catcher/Processor Sector.  1.78 percent of the GOA   0.37 percent of the GOA
                                                               annual halibut            annual halibut
                                                               mortality limit.          mortality limit.
                                   Catcher Vessel Sector....  0.98 percent of the GOA   6.14 percent of the GOA
                                                               annual halibit            annual halibut
                                                               mortality limit.          mortality limit.
West Yakutat District............  Catcher/Processor Sector.  0.65 percent of the GOA   0.01 percent of the GOA
                                                               annual halibut            annual halibut
                                                               mortality limit.          mortality limit.
                                   Catcher Vessel Sector....  0.10 percent of the GOA   0.18 percent of the GOA
                                                               annual halibut            annual halibut
                                                               mortality limit.          mortality limit.
----------------------------------------------------------------------------------------------------------------

    (ii) Each rockfish cooperative in the catcher/processor sector will 
be assigned a sideboard for that rockfish cooperative as a percentage 
of the halibut PSC sideboard limit for the catcher/processor sector. 
The catcher/processor sector not in a rockfish cooperative will receive 
the portion of the halibut PSC sideboard limit not assigned to rockfish 
cooperatives.
    (9) Management of halibut PSC sideboard limits--(i) Halibut PSC 
sideboard limits. The resulting halibut PSC sideboard limits expressed 
in metric tons will be published in the annual GOA groundfish harvest 
specification notices.
    (A) If the Regional Administrator determines that a halibut PSC 
sideboard limit is sufficient to support a directed fishery for 
groundfish specified under paragraph (d)(1)(ii) of this section for a 
particular sector, then the Regional Administrator may establish a 
halibut PSC sideboard limit for the species complex applicable only to 
the group of vessels in that sector to which the halibut PSC sideboard 
limit applies. A halibut PSC sideboard limit that is established for a 
rockfish cooperative in the catcher/processor sector may be fished only 
by that rockfish cooperative in the catcher/processor sector to which 
it is assigned.
    (B) If the Regional Administrator determines that a halibut PSC 
sideboard limit is insufficient to support a directed fishery for a 
groundfish fishery specified under paragraph (d)(1)(ii) of this section 
for a particular sector, then the Regional Administrator may set the 
halibut PSC sideboard limit to zero for that sector or rockfish 
cooperative in the catcher/processor sector for that species complex.
    (ii) Directed fishing closures. Upon determining that a halibut PSC 
sideboard limit is or will be reached, the Regional Administrator will 
publish notification in the Federal Register prohibiting directed 
fishing for the species or species complex in the specified sector, 
rockfish cooperative in the catcher/processor sector, regulatory area, 
or district. The specific directed fishing closures that will be 
implemented if a halibut PSC sideboard limit is reached are:
    (A) If the shallow-water halibut PSC sideboard limit for a sector 
or rockfish cooperative in the catcher/processor sector is reached, 
then NMFS will close directed fishing in that management area for:
    (1) Flathead sole; and
    (2) Shallow water flatfish.
    (B) If the deep-water halibut PSC sideboard limit is reached for a 
sector,

[[Page 33094]]

or rockfish cooperative in the catcher/processor sector is reached, 
then NMFS will close directed fishing in that management area for:
    (1) Rex sole;
    (2) Deep water flatfish; and
    (3) Arrowtooth flounder.
    (iii) Halibut PSC accounting. The halibut PSC sideboard limit in 
the deep-water species complex in the GOA from July 1 through July 31 
will include any halibut mortality occurring under a CFQ permit or in a 
rockfish limited access fishery.
    (e) Sideboard provisions for catcher vessels--(1) General. In 
addition to the sideboard provisions that apply under paragraph (d) of 
this section, except as described in paragraph (d)(5)(iii) of this 
section, the following additional sideboards apply to catcher vessels.
    (2) Catcher vessels subject to catcher vessel sideboard limits. Any 
catcher vessel that NMFS has determined meets any of the following 
criteria is subject to the provisions under this paragraph (e):
    (i) Any catcher vessel whose legal rockfish landings could be used 
to generate rockfish QS for the catcher vessel sector in the Rockfish 
Program;
    (ii) Any catcher vessel named on an LLP license under which catch 
history was used to qualify that LLP license for eligibility in the 
Rockfish Program; or
    (iii) Any catcher vessel named on an LLP license that was generated 
in whole or in part by the legal rockfish landings of a catcher vessel.
    (3) Prohibition for directed fishing in BSAI groundfish fisheries 
during July. Vessels subject to the provisions of this paragraph (e) 
may not participate in directed fishing in the BSAI and adjacent waters 
open by the State of Alaska for which it adopts a Federal fishing 
season from July 1 through July 31 in any of the following directed 
fisheries:
    (i) Alaska plaice;
    (ii) Arrowtooth flounder;
    (iii) Flathead sole;
    (iv) Other flatfish;
    (v) Pacific ocean perch;
    (vi) Rock sole; and
    (vii) Yellowfin sole.
    (4) Limitation on directed fishing for BSAI Pacific cod in July--
(i) Applicability. Vessels subject to the provisions of this paragraph 
(e) are limited to a BSAI Pacific cod sideboard limit during July 1 
through July 31.
    (ii) Determination of BSAI Pacific cod sideboard ratio. The 
sideboard ratio for the BSAI Pacific cod fishery is calculated by 
dividing the aggregate retained catch of BSAI Pacific cod from July 1 
through July 31 in each year from 1996 through 2002 caught by catcher 
vessels that are subject to the BSAI Pacific cod sideboard under this 
paragraph (e), by the total retained catch of BSAI Pacific cod caught 
by all groundfish trawl catcher vessels from July 1 through July 31 in 
each year from 1996 through 2002.
    (iii) Conversion of BSAI Pacific cod sideboard ratio into sideboard 
limits. NMFS will convert BSAI Pacific cod sideboard ratios into annual 
sideboard limits according to the following procedures:
    (A) Sideboard amount determination. Each year, the sideboard limit 
for BSAI Pacific cod from July 1 through July 31 is established by 
multiplying the sideboard ratios calculated under this paragraph (e) by 
the final TACs in each sector and gear type for which a TAC is 
specified. The resulting harvest limits expressed in metric tons will 
be published in the annual BSAI groundfish harvest specification 
notice.
    (B) Management of the sideboard. (1) If the Regional Administrator 
determines that a limit for the BSAI Pacific cod sideboard fishery has 
been or will be reached, then the Regional Administrator may establish 
a BSAI Pacific cod directed fishing allowance applicable only to the 
group of vessels to which the BSAI Pacific cod sideboard limit applies.
    (2) If the Regional Administrator determines that a limit is 
insufficient to support a directed fishery for BSAI Pacific cod, then 
the Regional Administrator may set the BSAI Pacific cod sideboard 
directed fishing allowance at zero.
    (5) Directed fishing closures. Upon determination that a BSAI 
Pacific cod sideboard limit is, or will be reached, the Regional 
Administrator will publish notification in the Federal Register 
prohibiting directed fishing for the species.
    (f) Sideboard provisions--catcher/processor rockfish cooperative 
provisions--(1) General. In addition to the sideboard provisions that 
apply under paragraph (d) of this section, the following additional 
sideboard limits under paragraph (f) of this section apply to any 
catcher/processor vessels and LLP licenses that are participating in a 
rockfish cooperative in the catcher/processor sector.
    (2) Vessels subject to rockfish cooperative sideboard provisions. 
Any vessel that NMFS has determined meets any of the following criteria 
is subject to groundfish sideboard directed fishing closures issued 
under paragraph (f) of this section:
    (i) Any catcher/processor vessel whose legal rockfish landings were 
used to qualify for the Rockfish Program and the vessel named on that 
LLP license is assigned to a rockfish cooperative;
    (ii) Any catcher/processor vessel named on an LLP license under 
which catch history was used to qualify that LLP license for the 
Rockfish Program and that LLP license is used in a rockfish 
cooperative; or
    (iii) Any catcher/processor vessel named on an LLP license 
specified in an application for CFQ.
    (3) Prohibition from fishing in BSAI groundfish fisheries. A vessel 
subject to a rockfish cooperative sideboard provision under this 
paragraph (f) may not participate in directed groundfish fisheries in 
the BSAI and adjacent waters open by the State of Alaska for which it 
adopts a Federal fishing season between July 1 and July 14 except for 
sablefish harvested under the IFQ Program and pollock.
    (4) Prohibitions for fishing in GOA groundfish fisheries. A vessel 
subject to a rockfish cooperative sideboard provision under this 
paragraph (f) may not participate in any directed groundfish fishery in 
the GOA and adjacent waters open by the State of Alaska for which it 
adopts a Federal fishing season except sablefish harvested under the 
IFQ Program:
    (i) From July 1 through July 14 if:
    (A) Any vessel in the rockfish cooperative does not meet monitoring 
standards established under paragraph (f)(4)(iii) of this section; and
    (B) The rockfish cooperative has harvested any CFQ of any primary 
rockfish species prior to July 1.
    (ii) From July 1 until 90 percent of the rockfish cooperative's 
primary rockfish species CFQ has been harvested if:
    (A) Any vessel in the rockfish cooperative does not meet monitoring 
standards established under paragraph (f)(4)(iii) of this section; and
    (B) The rockfish cooperative has not harvested any CFQ prior to 
July 1.
    (iii) The prohibition on fishing in any directed groundfish fishery 
in the GOA and adjacent waters open by the State of Alaska for which it 
adopts a Federal fishing season except sablefish harvested under the 
IFQ Program does not apply if all vessels in the rockfish cooperative 
maintain an adequate monitoring plan during all fishing for any CFQ or 
any directed sideboard fishery as required under Sec.  679.84(c) 
through (e).
    (g) Sideboard provisions--catcher/processor limited access 
provisions--(1) General. In addition to the sideboard provisions that 
apply under paragraph (d) of this section, the following sideboard 
limits under paragraph (g) of this section apply to any catcher/
processor vessels and LLP licenses that

[[Page 33095]]

are used in the rockfish limited access fishery for the catcher/
processor sector.
    (2) Vessels subject to rockfish limited access fishery sideboard 
provisions. Any vessel that NMFS has determined meets any of the 
following criteria is subject to groundfish sideboard directed fishing 
closures issued under paragraph (g) of this section.
    (i) Any catcher/processor vessel whose legal rockfish landings were 
used to qualify for the Rockfish Program and the vessel named on that 
LLP license is assigned to a catcher/processor rockfish limited access 
fishery;
    (ii) Any catcher/processor vessel named on an LLP license under 
which catch history was used to qualify that LLP license for the 
Rockfish Program and that LLP license is used in the catcher/processor 
rockfish limited access fishery;
    (iii) Any catcher/processor vessel named on an LLP license 
specified in an application for the rockfish limited access fishery for 
the catcher/processor sector; or
    (iv) Any vessel named on an LLP license with legal rockfish 
landings in the catcher/processor sector if that LLP license is not 
specified in an application for CFQ or an application to opt-out.
    (3) Prohibition from directed fishing in GOA and BSAI groundfish 
fisheries. If a vessel named on an LLP license used in the rockfish 
limited access fishery that has been assigned rockfish QS greater than 
an amount equal to 5 percent of the Pacific ocean perch rockfish QS 
allocated to the catcher/processor sector, then that vessel may not 
participate in any:
    (i) GOA groundfish fishery and adjacent waters open by the State of 
Alaska for which it adopts a Federal fishing season other than 
sablefish harvested under the IFQ Program; or
    (ii) BSAI groundfish fishery and adjacent waters open by the State 
of Alaska for which it adopts a Federal fishing season other than 
sablefish harvested under the IFQ Program or pollock, from July 1 until 
90 percent of the Central GOA Pacific ocean perch that is allocated to 
the rockfish limited access fishery for the catcher/processor sector 
has been harvested.
    (h) Sideboard provisions--catcher/processor opt-out provisions--(1) 
General. In addition to the sideboard provisions that apply under 
paragraph (d) of this section, the following sideboards under paragraph 
(h) of this section apply to any catcher/processor vessels and LLP 
licenses that have submitted an application to opt-out that is 
subsequently approved by NMFS.
    (2) Vessels subject to opt-out sideboard provisions. (i) Any 
catcher/processor vessel whose legal rockfish landings were used to 
qualify for the Rockfish Program and the vessel named on that LLP 
license is assigned to the opt-out fishery;
    (ii) Any catcher/processor vessel named on an LLP license under 
which catch history was used to qualify that LLP license for the 
Rockfish Program and that LLP license is used in the opt-out fishery; 
or
    (iii) Any catcher/processor vessel named on an LLP license 
specified in an application to opt-out.
    (3) Prohibitions on Central GOA rockfish directed harvest by opt-
out vessels. Any vessel that is subject to the opt-out sideboard 
restriction under this paragraph (h) is prohibited from directed 
fishing for the following species in the following management areas:
    (i) Central GOA northern rockfish and adjacent waters open by the 
State of Alaska for which it adopts a Federal fishing season;
    (ii) Central GOA Pacific ocean perch and adjacent waters open by 
the State of Alaska for which it adopts a Federal fishing season; and
    (iii) Central GOA pelagic shelf rockfish and adjacent waters open 
by the State of Alaska for which it adopts a Federal fishing season.
    (4) Prohibitions on directed fishing in GOA groundfish fisheries 
without previous participation. (i) Any vessel that is subject to the 
opt-out sideboard restriction under paragraph (c) of this section is 
prohibited from directed fishing in any groundfish fishery in the GOA 
and adjacent waters open by the State of Alaska for which it adopts a 
Federal fishing season (except sablefish harvested under the IFQ 
Program) from July 1 through July 14 of each year if that vessel has 
not participated in that directed groundfish fishery in any two years 
from 1996 through 2002 during the following time periods:
    (A) June 30, 1996 through July 6, 1996;
    (B) June 29, 1997 through July 5, 1997;
    (C) June 28, 1998 through July 4, 1998;
    (D) July 4, 1999 through July 10, 1999;
    (E) July 8, 2000 through July 15, 2000;
    (F) July 1, 2001 through July 7, 2001; and
    (G) June 30, 2002 through July 6, 2002.
    (ii) For purposes of this paragraph (h), participation in a fishery 
in Statistical Area 650 during a time period specified in paragraph 
(h)(4)(i) of this section shall be considered as participation in that 
same fishery in Statistical Area 640 during that time period.


Sec.  679.83  Rockfish Program entry level fishery.

    (a) Rockfish entry level fishery--(1) General. An eligible entry 
level harvester and eligible entry level processor may participate in 
the rockfish entry level fishery under the following regulations under 
this section:
    (i) Trawl catcher vessels. Trawl catcher vessels participating in 
the rockfish entry level fishery may collectively harvest, prior to 
September 1, an amount not greater than 50 percent of the total 
allocation to the rockfish entry level fishery as calculated under 
Sec.  679.81(a)(2). Allocations to trawl catcher vessels shall be made 
first from the allocation of Pacific ocean perch available to the 
rockfish entry level fishery. If the amount of Pacific ocean perch 
available for allocation is less than the total allocation allowable 
for trawl catcher vessels in the rockfish entry level fishery, then 
northern rockfish and pelagic shelf rockfish shall be allocated to 
trawl catcher vessels.
    (ii) Fixed gear vessels. Fixed gear vessels participating in the 
rockfish entry level fishery may collectively harvest, prior to 
September 1, an amount not greater than 50 percent of the total 
allocation to the rockfish entry level fishery as calculated under 
Sec.  679.81(a)(2). Allocations of Pacific ocean perch, northern 
rockfish, and pelagic shelf rockfish to fixed gear vessels shall be 
made after the allocation to trawl catcher vessels.
    (iii) Secondary species allocations. Secondary species shall not be 
allocated to the rockfish entry level fishery. Secondary species shall 
be managed based on a MRA for the target species as described in Table 
10 to this part.
    (iv) Halibut PSC allocations--trawl vessels. Halibut PSC from trawl 
vessels in the rockfish entry level fishery shall be accounted against 
the allocation to the deep water species fishery complex for that 
seasonal apportionment. If the Halibut PSC allocation in the deep water 
fishery complex has been achieved or exceeded for that seasonal 
apportionment, the rockfish entry level fishery for trawl vessels will 
be closed until deep water species fishery complex halibut PSC is 
available.
    (v) Halibut PSC allocations-fixed gear vessels. Halibut PSC from 
fixed gear vessels in the rockfish entry level fishery shall be 
accounted against the allocation to the other non-trawl fishery 
category for that seasonal apportionment. If the Halibut PSC allocation 
in the other non-trawl fishery category has been reached or exceeded 
for that seasonal apportionment, the rockfish entry level fishery for 
fixed gear vessels will be closed until deep water

[[Page 33096]]

species fishery complex halibut PSC is available.
    (2) Reallocation among trawl and fixed gear vessels. Any allocation 
of Pacific ocean perch, northen rockfish, or pelagic shelf rockfish 
that has not been harvested by 1200 hours A.l.t. on September 1, may be 
harvested by either trawl or fixed gear vessels in the rockfish entry 
level fishery.
    (3) Opening of the rockfish entry level fishery. The Regional 
Administrator maintains the authority to not open the rockfish entry 
level fishery if he deems it appropriate for conservation or other 
management measures. Factors such as the total allocation, anticipated 
harvest rates, and number of participants will be considered in making 
any such decision.
    (b) [Reserved]


Sec.  679.84  Rockfish Program recordkeeping, permits, monitoring, and 
catch accounting.

    (a) Recordkeeping and reporting. See Sec.  679.5(r).
    (b) Permits. See Sec.  679.4(m).
    (c) Catch monitoring requirements for catcher/processors. The 
requirements under paragraphs (c)(1) through (9) of this section apply 
to any catcher/processor vessel participating in a rockfish cooperative 
or the rockfish limited access fishery, or subject to a sideboard limit 
as described in this section. At all times when a vessel has groundfish 
aboard that were harvested under a CFQ permit, harvested during a 
rockfish limited access fishery, or harvested by a vessel subject to a 
sideboard limit as described under Sec.  679.82(d) through (h) of this 
section, as applicable, the vessel owner or operator must ensure that:
    (1) Catch weighing. All groundfish are weighed on a NMFS-approved 
scale in compliance with the scale requirements at Sec.  679.28(b). 
Each haul must be weighed separately and all catch must be made 
available for sampling by a NMFS-certified observer.
    (2) Observer sampling station. An observer sampling station meeting 
the requirements at Sec.  679.28(d) is available at all times.
    (3) Observer coverage requirements. The vessel in compliance with 
the observer coverage requirements described at Sec.  679.50(c)(7)(i).
    (4) Operational line. The vessel has no more than one operational 
line or other conveyance for the mechanized movement of catch between 
the scale used to weigh total catch and the location where the observer 
collects species composition samples.
    (5) Fish on deck. No fish are allowed to remain on deck unless an 
observer is present, except for fish inside the codend and fish 
accidentally spilled from the codend during hauling and dumping.
    (6) Sample storage. The vessel owner or operator provides 
sufficient space to accommodate a minimum of 10 observer sampling 
baskets. This space must be within or adjacent to the observer sample 
station.
    (7) Pre-cruise meeting. The Observer Program Office is notified by 
phone at 1-907-271-1702 at least 24 hours prior to departure when the 
vessel will be carrying an observer who had not previously been 
deployed on that vessel. Subsequent to the vessel's departure 
notification, but prior to departure, NMFS may contact the vessel to 
arrange for a pre-cruise meeting. The pre-cruise meeting must minimally 
include the vessel operator or manager.
    (8) Belt and flow operations. The vessel operator stops the flow of 
fish and clear all belts between the bin doors and the area where the 
observer collects samples of unsorted catch when requested to do so by 
the observer.
    (9) Vessel crew in tanks or bins. The vessel owner must comply with 
the requirements specified in paragraph (c)(9)(i) of this section 
unless the vessel owner has elected, and had approved by NMFS at the 
time of the annual observer sampling station inspection, one of the two 
monitoring options described at paragraph (c)(9)(ii) or (iii) of this 
section.
    (i) Option 1--No crew in bin or tank. No crew may enter any bin or 
tank preceding the point where the observer samples unsorted catch, 
unless:
    (A) The flow of fish has been stopped between the tank and the 
location where the observer samples unsorted catch;
    (B) All catch has been cleared from all locations between the tank 
and the location where the observer samples unsorted catch;
    (C) The observer has been given notice the vessel crew must enter 
the tank;
    (D) The observer is given the opportunity to observe the activities 
of the person(s) in the tank; and,
    (E) The observer informs the vessel operator, or his designee that 
all sampling has been completed for a given haul, in which case crew 
may enter a tank containing fish from that haul without stopping the 
flow of fish or clearing catch between the tank and the observer 
sampling station.
    (ii) Option 2--Line of sight option. From the observer sampling 
station and the location from which the observer samples unsorted 
catch, an observer of average height (between 64 and 74 inches (140 and 
160 cm)) must be able to see all areas of the bin or tank where crew 
could be located preceding the point where the observer samples catch. 
If clear panels are used to comply with this requirement, those panels 
must be maintained with sufficient clarity to allow an individual with 
normal vision to read text located two feet inside of the bin or tank. 
The text must be written in 87 point type (corresponding to line four 
on a standard Snellen eye chart) and the text must be readable from the 
observer sampling station and the location from which the observer 
collects unsorted catch. The observer must be able to view the 
activities of crew in the bin while collecting unsorted catch or 
processing their sample.
    (iii) Option 3--Video option. A vessel must provide and maintain 
cameras, a monitor, and a digital video recording system for all areas 
of the bin or tank where crew could be located preceding the point 
where the observer samples catch. The vessel owner or operator must 
ensure that:
    (A) The system has sufficient data storage capacity to store all 
video data from an entire trip. Each frame of stored video data must 
record a time/date stamp. At a minimum, all periods of time when fish 
are inside the bin must be recorded and stored;
    (B) The system must include at least one external USB (1.1 or 2.0) 
hard drive and use commercially available software;
    (C) Color cameras must have at a minimum 420 TV lines of 
resolution, a lux rating of 0.1, and auto-iris capabilities;
    (D) The video data must be maintained and made available to NMFS 
staff, or any individual authorized by NMFS, upon request. These data 
must be retained onboard the vessel for no less than 120 days after the 
beginning of a trip, unless NMFS has notified the vessel operator that 
the video data may be retained for less than this 120 day period;
    (E) The system provides sufficient resolution and field of view to 
see and read a text sample written in 130 point type (corresponding to 
line two of a standard Snellen eye chart) from any location within the 
tank where crew could be located;
    (F) The system is recording at a speed of no less than 5 frames per 
second at all times when fish are inside the tank;
    (G) A 16-bit or better color monitor, for viewing activities within 
the tank in real time, must be provided within the observer sampling 
station and have the capacity to display all cameras simultaneously. 
That monitor must be operating at all times when fish are in the tank. 
The monitor must be placed at

[[Page 33097]]

or near eye level and provide the same resolution as specified in 
paragraph (c)(9)(iii)(E) of this section;
    (H) The observer is able to view any earlier footage from any point 
in the trip and is assisted by crew knowledgeable in the operation of 
the system in doing so;
    (I) The vessel owner has, in writing, provided the Regional 
Administrator with the specifications of the system. At a minimum, this 
must include:
    (1) The length and width (in pixels) of each image;
    (2) The file type in which the data are recorded;
    (3) The type and extent of compression;
    (4) The frame rate at which the data will be recorded;
    (5) The brand and model number of the cameras used;
    (6) The brand, model, and specifications of the lenses used;
    (7) A scale drawing of the location of each camera and its coverage 
area;
    (8) The size and type of storage device;
    (9) The type, speed, and operating system of any computer that is 
part of the system;
    (10) The individual or company responsible for installing and 
maintaining the system;
    (11) The individual onboard the vessel responsible for maintaining 
the system and working with the observer on its use; and
    (12) Any additional information requested by the Regional 
Administrator.
    (J) Any change to the video system that would affect the system's 
functionality be submitted to, and approved by the Regional 
Administrator in writing before that change is made.
    (iv) Failure of line of sight or video option. If the observer 
determines that a monitoring option selected by a vessel owner or 
operator specified in paragraph (c)(9)(ii) or (c)(9)(iii) of this 
section fails to provide adequate monitoring of all areas of the bin 
where crew could be located, then the vessel shall use the monitoring 
option specified in paragraph (c)(9)(i) of this section until the 
observer determines that adequate monitoring of all areas of the bin 
where crew could be located is provided by the monitoring option 
selected by the vessel owner or operator.
    (d) Catch monitoring requirements for catcher vessels. The owner 
and operator of a catcher vessel must ensure the vessel complies with 
the observer coverage requirements described at Sec.  679.50(c)(7)(ii) 
at all times the vessel is participating in a rockfish cooperative, 
rockfish limited access fishery, or rockfish sideboard fishery 
described in this section.
    (e) Catch monitoring requirements for shoreside and stationary 
floating processors--(1) Catch monitoring and control plan (CMCP). The 
owner or operator of a shoreside or stationary floating processor 
receiving deliveries from a catcher vessel described at Sec.  
679.50(c)(7)(ii) must ensure the shoreside or stationary floating 
processor complies with the CMCP requirements described at Sec.  
679.28(g).
    (2) Catch weighing. All groundfish landed by catcher vessels 
described at Sec.  679.50(c)(7)(ii) must be sorted, weighed on a scale 
approved by the State of Alaska as described at Sec.  679.28(c), and be 
made available for sampling by a NMFS-certified observer. The observer 
must be allowed to test any scale used to weigh groundfish to determine 
its accuracy.
    (3) Notification requirements. The plant manager or plant liaison 
must notify the observer of the offloading schedule for each delivery 
of groundfish harvested in a Rockfish Program fishery at least 1 hour 
prior to offloading. An observer must be available to monitor each 
delivery of groundfish harvested in a Rockfish Program fishery. The 
observer must be available the entire time the delivery is being 
weighed or sorted.
    (f) Catch accounting--(1) Primary rockfish species and secondary 
species. All primary rockfish species and secondary species harvested, 
including harvests in adjacent waters open by the State of Alaska for 
which it adopts a Federal fishing season, by a vessel that is named on 
an LLP license that is assigned to a rockfish cooperative and fishing 
under a CFQ permit will be debited against the CFQ for that rockfish 
cooperative from May 1:
    (i) Until November 15; or
    (ii) Until the authorized representative of that rockfish 
cooperative has submitted a rockfish cooperative termination of fishing 
declaration that has been approved by NMFS.
    (2) Rockfish halibut PSC. All rockfish halibut PSC used by a 
vessel, including halibut PSC used in the adjacent waters open by the 
State of Alaska for which it adopts a Federal fishing season, that is 
named on an LLP license that is assigned to a rockfish cooperative and 
fishing under a CFQ permit will be debited against the CFQ for that 
rockfish cooperative from May 1:
    (i) Until November 15; or
    (ii) Until the authorized representative of that rockfish 
cooperative has submitted a rockfish cooperative termination of fishing 
declaration that has been approved by NMFS.

[[Page 33098]]

    (3) Groundfish sideboard limits. All groundfish harvested by a 
vessel, including groundfish harvested in the adjacent waters open by 
the State of Alaska for which it adopts a Federal fishing season, that 
is subject to a sideboard limit for that groundfish species as 
described under Sec.  679.82(d) through (h), as applicable, from July 1 
until July 31 will be debited against the sideboard limit established 
for that sector or rockfish cooperative, as applicable.
    (4) Halibut sideboard limits. All halibut PSC used by a vessel, 
including halibut PSC used in the adjacent waters open by the State of 
Alaska for which it adopts a Federal fishing season, that is subject to 
a sideboard limit as described under Sec.  679.82(d) through (h), as 
applicable, from July 1 until July 31 will be debited against the 
sideboard limit established for that sector or rockfish cooperative, as 
applicable.
    10. In part 679, Tables 28, 29, and 30 are added to read as 
follows:

                                                  Table 28 to Part 679.--Qualifying Season Dates in the Central GOA Primary Rockfish Fisheries
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                Year
A legal rockfish landing includes --------------------------------------------------------------------------------------------------------------------------------------------------------------
                                            1996                   1997                   1998                   1999                   2000                  2001                  2002
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Northern rockfish that were        July 1-July 20.......  July 1-July 10.......  July 1-July 14.......  July 1-July 19 and     July 4-July 26.......  July 1-July 23 and    June 30-July 21.
 harvested between;                                                                                      Aug. 6-Aug. 10.                               Oct. 1-Oct. 21.
    and landed by................  July 27..............  July 17..............  July 21..............  July 26 and Aug. 17,   Aug. 2...............  July 30 and Oct. 28,  July 28.
                                                                                                         respectively.                                 respectively.
Pelagic shelf rockfish that were   July 1-Aug. 7, and     July 1-July 20.......  July 1-July 19.......  July 1-Sept. 3.......  July 4-July 26.......  July 1-July 23 and    June 30-July 21.
 harvested between;                 Oct. 1-Dec. 2.                                                                                                     Oct. 1-Oct. 21.
    and landed by................  Aug. 14 and Dec. 9,    July 27..............  July 26..............  Sept. 10.............  Aug. 2...............  July 30 and Oct. 28,  July 28.
                                    respectively.                                                                                                      respectively.
Pacific ocean perch that were      July 1-July 11.......  July 1-July 7........  July 1-July 6 and      July 1-July 11 and     July 4-July 15.......  July 1-July 12......  June 30-July 8.
 harvested between;                                                               July 12-July 14.       Aug. 6-Aug. 8.
    and landed by................  July 18..............  July 14..............  July 13 and July 21,   July 18 and Aug. 15,   July 22..............  July 19.............  July 15.
                                                                                  respectively.          respectively.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------


                                Table 29 to Part 679.--Initial Rockfish QS Pools
----------------------------------------------------------------------------------------------------------------
                                                                                              Aggregate primary
 Initial rockfish QS     Northern rockfish        Pelagic shelf       Pacific ocean perch      species initial
         pol                                         rockfish                                 rockfish QS pool
----------------------------------------------------------------------------------------------------------------
Initial Rockfish QS    9,193,183 units.       7,672,008 units.       18,121,812 units.      34,987,002 units.
 Pool
Initial Rockfish QS                Based on the Official Rockfish Program Record on December 31, 2006.
 Pool for the Catcher/
 Process or Sector.
Initial Rockfish QS                Based on the Official Rockfish Program Record on December 31, 2006.
 Pool for the Catcher
 Vessel Sector.
----------------------------------------------------------------------------------------------------------------


                         Table 30 to Part 679.--Rockfish Program Retainable Percentages
                                            [In round wt. equivalent]
----------------------------------------------------------------------------------------------------------------
                                                                                                     MRA as a
                                                                                                   percentage of
                                                                                                  total retained
               Fishery                  Incidental catch species               Sector                 primary
                                                                                                     rockfish
                                                                                                      species
----------------------------------------------------------------------------------------------------------------
Rockfish Cooperative Fishery........  Pacific Cod.................  Catcher/Processor...........             4.0
                                      Shortraker/Rougheye           Catcher Vessel..............             2.0
                                       aggregate catch.
                                              See Non-Allocated Secondary species for ``other species.''
Rockfish Limited Access Fishery.....  Pacific Cod.................  Catcher Vessel..............             8.0
                                      Pacific Cod.................  Catcher/Processor...........             4.0
                                      Sablefish (trawl gear)......  Catcher/Processor and                    3.0
                                                                     Catcher Vessel.
                                      Shortraker/Rougheye           Catcher/Processor and                    2.0
                                       aggregate catch.              Catcher Vessel.
                                      Northern Rockfish...........  Catcher/Processor and                    4.0
                                                                     Catcher Vessel.
                                      Pelagic Shelf Rockfish......  Catcher/Processor and                    4.0
                                                                     Catcher Vessel.
                                      Pacific ocean perch.........  Catcher/Processor and                    4.0
                                                                     Catcher Vessel.
                                                See Non-Allocated Secondary species for other species.
Non-Allocated Secondary Species for   Pollock.....................  Catcher/Processor and                   20.0
 Rockfish Cooperatives and Rockfish   Deep-Water flatfish.........   Catcher Vessel.                        20.0
 Limited Access Fisheries.            Rex Sole....................  Catcher/Processor and                   20.0
                                      Flathead Sole...............   Catcher Vessel.                        20.0
                                                                    Catcher/Processor and
                                                                     Catcher Vessel.
                                                                    Catcher/Processor and
                                                                     Catcher Vessel.
                                      Shallow-water flatfish......  Catcher/Processor and                   20.0
                                                                     Catcher Vessel.
                                      Arrowtooth..................  Catcher/Processor and                   35.0
                                                                     Catcher Vessel.
                                      Other Rockfish..............  Catcher/Processor and                   15.0
                                                                     Catcher Vessel.
                                      Atka Mackerel...............  Catcher/Processor and                   20.0
                                                                     Catcher Vessel.

[[Page 33099]]

 
                                      Aggregated forage fish......  Catcher/Processor and                    2.0
                                                                     Catcher Vessel.
                                      Skates......................  Catcher/Processor and                    2.0
                                                                     Catcher Vessel.
                                      Other Species...............  Catcher/Processor and                    2.0
                                                                     Catcher Vessel.
Fixed gear Rockfish Entry Level                               See Table 10 to this part.
 Fishery.
Trawl Rockfish Entry Level Fishery..                          See Table 10 to this part.
Opt-out Fishery.....................                          See Table 10 to this part.
----------------------------------------------------------------------------------------------------------------

[FR Doc. 06-5104 Filed 6-6-06; 8:45 am]
BILLING CODE 3510-22-P