[Federal Register Volume 72, Number 220 (Thursday, November 15, 2007)]
[Proposed Rules]
[Pages 64187-64190]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-22381]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

50 CFR Part 648

[Docket No.070717342-7504-01]
RIN 0648-AV42


Magnuson-Stevens Fishery Conservation and Management Act 
Provisions; Fisheries of the Northeastern United States; Atlantic 
Surfclam and Ocean Quahog Fishery; Proposed 2008-2010 Fishing Quotas 
for Atlantic Surfclams and Ocean Quahogs

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

ACTION: Proposed rule; request for comments.

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SUMMARY: NMFS proposes quotas for the Atlantic surfclam and ocean 
quahog fisheries for 2008, 2009, and 2010. Regulations governing these 
fisheries require NMFS to publish the proposed quota specifications for 
the 2008-2010 fishing years and seek public comment on such proposed 
measures. The intent of this action is to propose allowable harvest 
levels of Atlantic surfclams and ocean quahogs from the Exclusive 
Economic Zone.

DATES: Comments must be received no later than 5 p.m., eastern standard 
time, on December 17, 2007.

ADDRESSES: Copies of supporting documents, including the Regulatory 
Impact Review (RIR) and Initial Regulatory Flexibility Analysis (IRFA) 
are available from Daniel Furlong, Executive Director, Mid-Atlantic

[[Page 64188]]

Fishery Management Council, Room 2115, Federal Building, 300 South New 
Street, Dover, DE 19904-6790. A copy of the RIR/IRFA is accessible via 
the Internet at http://www.nero.noaa.gov/nero/regs/com.html.
    You may submit comments, identified by RIN 0648-AV42, by any one of 
the following methods:
     Mail: Patricia A. Kurkul, Regional Administrator, 
Northeast Region, NMFS, One Blackburn Drive, Gloucester, MA 01930-2298. 
Mark on the outside of the envelope, ``Comments on SC/OQ Proposed 
Specifications.''
     Fax: (978) 281-9135.
     Electronic Submissions: Submit all electronic public 
comments via the Federal eRulemaking Portal http://www.regulations.gov.
    Instructions: All comments received are a part of the public record 
and will generally be posted to http://www.regulations.gov without 
change. All Personal Identifying Information (forexample, name, 
address, etc.) voluntarily submitted by the commenter may be publicly 
accessible. Do not submit Confidential Business Information or 
otherwise sensitive or protected information.
    NMFS will accept anonymous comments. Attachments to electronic 
comments will be accepted in Microsoft Word, Excel, WordPerfect, or 
Adobe PDF file formats only.

FOR FURTHER INFORMATION CONTACT: Brian R. Hooker, Fishery Policy 
Analyst, 978-281-9220.

SUPPLEMENTARY INFORMATION: The Fishery Management Plan for the Atlantic 
Surfclam and Ocean Quahog Fisheries (FMP) requires that NMFS, in 
consultation with the Mid-Atlantic Fishery Management Council 
(Council), specify quotas for surfclams and ocean quahogs for a 3-year 
period, with an annual review, from a range that represents the optimum 
yield (OY) for each fishery. It is the policy of the Council that the 
levels selected allow sustainable fishing to continue at that level for 
at least 10 years for surfclams and 30 years for ocean quahogs. In 
addition to this constraint, the Council policy also considers the 
economic impacts of the quotas. Regulations implementing Amendment 10 
to the FMP (63 FR 27481, May 19, 1998) added Maine ocean quahogs 
(locally known as mahogany quahogs) to the management unit, and 
provided for a small artisanal fishery for ocean quahogs in the waters 
north of 43 50' N. lat. with an annual quota within a range of 17,000 
to 100,000 Maine bu (5,991 to 35,240 hL). As specified in Amendment 10, 
the Maine mahogany ocean quahog quota is allocated separately from the 
quota specified for the ocean quahog fishery. Regulations implementing 
Amendment 13 to the FMP (68 FR 69970, December 16, 2003) established 
the ability to set multi-year quotas. An evaluation, in the form of an 
annual quota recommendation, is conducted by the Council every year to 
determine if the multi-year quota specifications remains appropriate. 
The fishing quotas must be in compliance with overfishing definitions 
for each species. In proposing these quotas, the Council considered the 
available stock assessments, data reported by harvesters and 
processors, and other relevant information concerning exploitable 
biomass and spawning biomass, fishing mortality rates, stock 
recruitment, projected fishing effort and catches, and areas closed to 
fishing.
    In June 2007, the Council voted to recommend maintaining the 2007 
quota levels of 5.333 million bu (284 million L) for the ocean quahog 
fishery, 3.400 million bu (181 million L) for the Atlantic surfclam 
fishery, and 100,000 Maine bu (35,240 hL) for the Maine ocean quahog 
fishery for 2008-2010. The proposed quotas for the 2008-2010 Atlantic 
surfclam and ocean quahog fishery are shown in the table below. The 
Atlantic surfclam and ocean quahog quotas are specified in standard bu 
of 53.24 L per bu, while the Maine ocean quahog quota is specified in 
``Maine'' bu of 35.24 L per bu. Because Maine ocean quahogs are the 
same species as ocean quahogs, both fisheries are assessed under the 
same ocean quahog overfishing definition. When the two quota amounts 
(ocean quahog and Maine ocean quahog) are added, the total allowable 
harvest is still lower than the level that would result in overfishing 
for the entire stock.

                         PROPOSED 2008-2010 ATLANTIC SURFCLAM AND OCEAN QUAHOG\1\ QUOTAS
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                                                             2008                2009                2010
                                                     -----------------------------------------------------------
                                                         bu        hL        bu        hL        bu        hL
----------------------------------------------------------------------------------------------------------------
Surfclams \2\                                            3.400     1.810     3.400     1.810     3.400     1.810
Ocean Quahogs \2\                                        5.333     2.840     5.333     2.840     5.333     2.840
Maine Ocean Quahogs\3\                                 100,000    35,240   100,000    35,240   100,000    35,240
----------------------------------------------------------------------------------------------------------------
\1\ Numerical values are in millions except for Maine ocean quahogs
\2\ 1 bu = 1.88 cubic ft. = 53.24 liters
\3\ 1 bu = 1.2445 cubic ft. = 35.24 liters

Surfclams

    In 1999, the Council expressed its intention to increase the 
surfclam quota to OY over a period of 5 years (OY = 3.4 million bu (181 
million L)). The proposed 2008-2010 status quo surfclam quota was 
developed after reviewing the results of the 44th Northeast Regional 
Stock Assessment Workshop (SAW 44) for surfclams, issued in January 
2007. The surfclam quota recommendation is consistent with the SAW 44 
finding that the Atlantic surfclam stock is not overfished, nor is 
overfishing occurring. Estimated fishable stock biomass in 2005 was 
above the management target, and fishing mortality was below the 
management threshold. Even though the total stock biomass is expected 
to gradually decline over the next 3 years due to poor recruitment, the 
total proposed quota of 3.4 million bu (181 million L), if fully 
harvested, would not exceed the fishing mortality threshold. Based on 
this information the Council is recommending, and NMFS is proposing, to 
maintain the status quo surfclam quota of 3.4 million bu (181 million 
L) for 2008-2010. This quota represents the maximum allowable quota 
under the FMP.

Ocean Quahogs

    The proposed 2008-2010 quota for ocean quahogs also reflects the 
status quo quota of 5.333 million bu (284 million L) in 2007. SAW 44 
found that the ocean quahog stock is not overfished, nor is overfishing 
occurring. Estimated fishable biomass in 2005 was above the management 
target, and estimated fishing mortality was well below the target 
level. Fishing mortality is not expected to reach the target threshold 
if the proposed quota is

[[Page 64189]]

harvested each of the 3 years. Similar to surfclams, the ocean quahog 
biomass is expected to decline over the next 3 years. There is some 
evidence of recruitment, and small ocean quahogs found in most regions; 
however, growth is so slow that initial recruitment of year classes to 
the fishery is delayed for about 20 years. Based on this information 
the Council is recommending, and NMFS is proposing, to maintain the 
status quo quota of 5.333 million bu (284 million L) for 2008-2010. 
This quota level is above current market demand, but allows for growth 
of the market if conditions change.
    The proposed 2008-2010 quota for Maine ocean quahogs is the status 
quo level of 100,000 Maine bu (35,240 hL). In 2006, the State of Maine 
completed a stock assessment of the resource within the Maine Mahogany 
Quahog Zone. This assessment was peer-reviewed as part of SAW 44. 
Although landings per unit of effort have declined since 2002, they 
remain relatively high overall. The findings of the Maine quahog survey 
did not change the status of the entire ocean quahog resource. The 
proposed quota represents the maximum allowable quota under the FMP.

Classification

    Pursuant to section 304 (b)(1)(A) of the Magnuson-Stevens Fishery 
Conservation and Management Act (Magnuson-Stevens Act), the NMFS 
Assistant Administrator has determined that this proposed rule is 
consistent with the FMP, other provisions of the Magnuson-Stevens Act, 
and other applicable law, subject to further consideration after public 
comment. This action is authorized by 50 CFR part 648 and has been 
determined to be not significant for purposes of Executive Order 12866.
    Pursuant to 5 U.S.C. 603, an initial regulatory flexibility 
analysis (IRFA) has been prepared, which describes the economic impacts 
that this proposed rule, if adopted, would have on small entities. A 
summary of the IRFA is included in this section. The complete IRFA and 
regulatory impact review is available from the Council (see ADDRESSES). 
A description of the reasons why this action is being considered, as 
well as the objectives of and legal basis for this proposed rule is 
found in the preamble of this proposed rule. There are no Federal rules 
that duplicate, overlap, or conflict with this proposed rule.
    This action proposes fishing quotas for Atlantic surfclams and 
ocean quahogs for 2008-2010. The Council analyzed four quota 
alternatives for the Atlantic surfclam fishery, five alternatives for 
the ocean quahog fishery, and four alternatives for the Maine ocean 
quahog fishery. Each of the alternative sets included the proposed 
alternative and a ``no action'' alternative. The three proposed quotas 
for 2008-2010 are 5.333 million bu (284 million L) for the ocean quahog 
fishery, 3.400 million bu (181 million L) for the Atlantic surfclam 
fishery, and 100,000 Maine bu (35,240 hL) for the Maine ocean quahog 
fishery.

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

    The Small Business Administration (SBA) defines a small commercial 
fishing entity as a firm with gross annual receipts not exceeding $4 
million. In 2006, a total of 38 vessels reported harvesting surfclams 
and/or ocean quahogs from Federal waters under an Individual 
Transferable Quota (ITQ) system. In addition, 25 vessels participated 
in the limited access Maine ocean quahog fishery, for a total of 63 
participants in the 2006 fisheries. Average 2006 gross income from 
surfclam ITQ trips was $1,182,713 per vessel, and from ocean quahog ITQ 
trips was $1,020,409 per vessel. The Maine ocean quahog fishery 
reported an average value of $160,698 per boat. Each vessel in this 
analysis is treated as a single entity for purposes of size 
determination and impact assessment. All 63 commercial fishing entities 
fall under the SBA size standard for small commercial fishing entities.
    In addition to the actual vessels that participate in the fishery 
there are 55 ocean quahog quota allocation owners, 67 surfclam 
allocation owners, and 51 Federal limited access Maine mahogany quahog 
permit holders. An allocation owner may choose to fish or lease his or 
her quota allocation.

Economic Impacts of this Proposed Action

    The proposed quotas for 2008-2010 reflect the same quota level set 
for 2005-2007. Therefore, it is not expected that there will be any 
different economic impacts beyond status quo resulting from the 
proposed quota level. Leaving the ocean quahog quota at the harvest 
level of 5.333 million bu (284 million L) is not expected to constrain 
the fishery. In fact, actual ocean quahog landings for 2005 and 2006 
did not exceed 60 percent of the available quota. The total 2007 
harvest is expected to be similar to recent years (as of September 15, 
2007, only 45.4 percent of the quota had been harvested). In 
comparison, 41 percent of the quota had been harvested as of September 
15, 2006.
    The surfclam quota is proposed to be set to the maximum allowed 
under the FMP. In contrast to the ocean quahog harvest, the surfclam 
fishery has harvested over 80 percent of the available quota each year 
since 2005. The Maine ocean quahog quota is proposed to be also set at 
the maximum allowed under the FMP. The Maine ocean quahog quota is 
often fully harvested on an annual basis. It is anticipated that by 
maintaining the status quo quota level for the next 3 years the fishing 
industry will benefit from the stability of product demand from the 
seafood processors and being able to predict future fishery performance 
based on past performance from the last 3 years.

Economic Impacts of Alternatives to the Proposed Action

    The Council analyzed four alternatives for the Atlantic surfclam 
fishery, five alternatives for the ocean quahog fishery, and four 
alternatives for the Maine ocean quahog fishery. Each of the 
alternative sets included the proposed alternative and a ``no action'' 
alternative. The selection of ``no action'' alternative would result in 
no quotas being established, a closure of the fishery, and is contrary 
to the FMP. Based on 2006 ex-vessel prices, the result of no Federal 
surfclam or ocean quahog harvests in 2008 would be a loss of $34.3 
million to the Federal surfclam fishery, $18.4 million to the ocean 
quahog fishery, and $4 million to the Maine ocean quahog fishery, for a 
total loss of $56.7 million. The viable alternatives to the proposed 
quotas for ocean quahog include a 20-percent decrease from the status 
quo, a 6.2-percent decrease form the status quo, and a 20-percent 
increase from the status quo. The ocean quahog quota alternatives that 
were chosen for analysis represent options within the 4 - 6 million bu 
(213 - 319.4 million L) range that is specified in the FMP. Since the 
alternative quota levels would not likely constrain the harvest level, 
the primary economic impact would come from the change in the lease and 
sale value of surplus quota shares. It is estimated that the status quo 
lease price per bushel of ocean quahogs is $0.53. A 20-percent decrease 
in quota would likely increase the lease value to $1.00 per bu. In 2006 
there were over 748,000 cage tags traded (each cage tag equals 32 bu or 
1,704 liters). Most tags are traded more than one time. Since NMFS does 
not keep records on the transaction costs, the actual value of these 
transactions can not be accurately

[[Page 64190]]

determined. However, it is clear that allocation owners who depend 
primarily on the lease market would benefit from a decrease in quota at 
the expense of harvesters. The other two alternatives each would 
increase the quota above status quo. Thus, each would likely have the 
effect of devaluing the lease price of a quota share, perhaps 
encouraging some allocation owners to sell their quota shares. These 
sales could cause further consolidation of quota shares in the ocean 
quahog fishery.
    The alternatives to the proposed surfclam quotas include a 45.6-
percent decrease from the status quo and a 4.4-percent decrease from 
the status quo. The Atlantic surfclam quota alternatives that were 
chosen for analysis represent options within the 1.85 - 3.4 million bu 
(98.5 - 181 million L) range that is specified in the FMP. A 45.6-
percent decrease in the Federal surfclam quota would subtract 23,147 bu 
(1.2 million L) from the current average allocation. At an average ex-
vessel value of $11.22 per bu, the gross value of the quota decrease 
would equal $259,715 per allocation. For those entities that are simply 
renting their allocation, it is assumed that the current rental value 
for a bu of surfclams is $4.00. The foregone value of 23,147 bu (1.2 
million L) would equate to $92,590. A 4.4-percent decrease in the 
Federal surfclam quota would subtract 2,234 bu (118,930 L) from the 
current average allocation. At an average ex-vessel value of $11.22 per 
bu, the gross value of the quota decrease would equal $25,060 per 
allocation. For those allocation owners renting their allocation, 2,334 
bu (118,930 L) at $4.00 per bushel would equate to a loss of $8,934.
    The alternatives to the proposed Maine ocean quahog quota include a 
50-percent decrease from the status quo and a 10-percent decrease from 
the status quo. Since 100,000 Maine bu (35,240 hL) is the maximum quota 
currently allowed for the Maine ocean quahog fishery under the FMP, 
only quota alternatives equal to, and less than that amount were 
analyzed. In 2006, a total of 25 vessels participated in the Maine 
ocean quahog fishery. If the Maine quota were reduced by 50 percent to 
50,000 Maine bu (1.8 million L), 90 percent of the reduction would 
likely be replaced by renting ocean quahog allocation from the ITQ 
fishery. This would equal a total of 45,000 bu (1.6 million L) rented, 
at an estimated $1.00 per bushel. Divided among the 25 vessels in the 
fleet, the average cost per vessel would be $1,800. A 10-percent 
decrease in the Maine ocean quahog quota would likely result in 10,000 
bu (352,400 L) being leased from the ocean quahog ITQ fishery, 
resulting in a lease cost of $400 per vessel. Under both alternatives, 
those unable to lease quota shares would just lose the amount they 
would have harvested under the 100,000-bu (35,240,000-L) quota.

Reporting and Recordkeeping Requirements

    This proposed rule would not impose any new reporting, 
recordkeeping, or other compliance requirements. Therefore, the costs 
of compliance would remain unchanged.

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

    Dated: November 9, 2007.
Samuel D. Rauch III,
Deputy Assistant Administrator for Regulatory Programs, National Marine 
Fisheries Service.
[FR Doc. E7-22381 Filed 11-14-07; 8:45 am]
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