[Federal Register Volume 79, Number 249 (Tuesday, December 30, 2014)]
[Notices]
[Pages 78400-78402]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-30488]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

RIN 0648-XD691


Magnuson-Stevens Act Provisions; Fisheries Off West Coast States; 
Pacific Coast Groundfish Fishery; Trawl Rationalization Program; 2015 
Cost Recovery

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

ACTION: Notice; 2015 cost recovery fee percentages and mothership (MS) 
pricing.

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SUMMARY: This action provides participants in the Pacific coast 
groundfish trawl rationalization program with the 2015 fee percentages 
and MS pricing needed to calculate the required payments for cost 
recovery fees due in 2015.
    For calendar year 2015, NMFS announces the following fee 
percentages by sector: 3.0 percent for the Shorebased Individual 
Fishing Quota (IFQ) Program, 1.2 percent for the MS Coop Program, 0.0 
percent for the Catcher Processor (C/P) Coop Program.
    For 2015, the MS pricing to be used as a proxy by the C/P Coop 
Program is: $0.13/lb for Pacific whiting.

DATES: Effective January 1, 2015.

FOR FURTHER INFORMATION CONTACT: Christopher Biegel, Cost Recovery 
Program Coordinator, (503) 231-6291, fax (503) 872-2737, email 
[email protected].

SUPPLEMENTARY INFORMATION: The Magnuson[hyphen]Stevens Fishery 
Conservation and Management Act (MSA) requires NMFS to collect fees to 
recover the costs directly related to the management, data collection, 
and enforcement of a limited access privilege program (LAPP) (16 U.S.C. 
1854(d)(2)), also called ``cost recovery.'' The Pacific coast 
groundfish trawl rationalization program is a LAPP, implemented in 
2011, and consists of three sectors: the Shorebased IFQ Program, the MS 
Coop Program, and the C/P Coop Program. In accordance with the MSA, and 
based on a recommended structure and methodology developed in 
coordination with the Pacific Fishery Management Council, NMFS collects

[[Page 78401]]

mandatory fees of up to three percent of the ex[hyphen]vessel value of 
groundfish by sector (Shorebased IFQ Program, MS Coop Program, and C/P 
Coop Program). NMFS collects the fees to recover the incremental costs 
of management, data collection, and enforcement of the trawl 
rationalization program. Beginning in January 2014, NMFS implemented 
cost recovery for the trawl rationalization program. Additional 
background can be found in the cost recovery proposed and final rules, 
78 FR 7371 (February 1, 2013) and 78 FR 75268 (December 11, 2013), 
respectively. The details of cost recovery for the groundfish trawl 
rationalization program are in regulation at 50 CFR 660.115 (trawl 
fishery cost recovery program), Sec.  660.140 (Shorebased IFQ Program), 
Sec.  660.150 (MS Coop Program), and Sec.  660.160 (C/P Coop Program).
    The cost recovery program regulations require NMFS to announce, in 
a Federal Register document, the next year's applicable fee percentages 
and the applicable MS pricing for the C/P Coop Program. NMFS calculates 
and announces the fee percentage after each fiscal year ends, and 
before the fee would go into effect on January 1 of the following year. 
NMFS calculated the fee percentages by sector using the best available 
information. For 2015, the fee percentages by sector, which must not 
exceed three percent of the ex-vessel value of fish harvested, are:
     3.0 percent for the Shorebased IFQ Program,
     1.2 percent for the MS Coop Program,
     0.0 percent for the C/P Coop Program.
    To calculate the fee percentages, NMFS used the formula specified 
in regulation at Sec.  660.115(b)(1), where the fee percentage by 
sector equals the lower of three percent or direct program costs (DPC) 
for that sector divided by total ex-vessel value (V) for that sector 
multiplied by 100.
    ``DPC'', as defined in the regulations at Sec.  660.115(b)(1)(i), 
are the actual incremental costs for the previous fiscal year directly 
related to the management, data collection, and enforcement of each 
sector (Shorebased IFQ Program, MS Coop Program, and C/P Coop Program). 
Actual incremental costs means those net costs that would not have been 
incurred but for the implementation of the trawl rationalization 
program, including both increased costs for new requirements of the 
program and reduced costs resulting from any program efficiencies. 
Similar to 2014, NMFS only included the cost of employees' time (salary 
and benefits) spent working on the program in calculating DPC rather 
than all incremental costs of management, data collection, and 
enforcement.
    ``V'', as specified at Sec.  660.115(b)(1)(ii), is the total ex-
vessel value for each sector from the previous calendar year. The ex-
vessel value for each sector is further described in the definition 
section at Sec.  660.111, and includes the total ex-vessel value for 
all groundfish species. For 2015, NMFS used the ex-vessel value for 
2013 as reported in Pacific Fisheries Information Network (PacFIN) from 
electronic fish tickets to determine V. The electronic fish ticket data 
in PacFIN is for the Shorebased IFQ Program. Therefore, the ex-vessel 
value for both the MS Coop Program and the C/P Coop Program is a proxy 
based on the Shorebased IFQ Program ex-vessel price and on the retained 
catch estimates (weight) from the observer data for the MS and C/P Coop 
Programs.
    Due to fluctuations in actual ex-vessel values and amounts landed, 
the amount NMFS collects each year in cost recovery fees can be over or 
under NMFS' costs from the previous fiscal year. Accordingly, the cost 
recovery regulations at Sec.  660.115(b)(1)(i) state that if the amount 
of fees collected by NMFS is greater or less than the actual net 
incremental costs incurred, the DPC will be adjusted accordingly for 
the calculation of the fee percentage in the following year. For the 
IFQ and MS sectors, NMFS estimates the total fees that will be 
collected based on the collections up to the date of determination, as 
landings data have not been finalized when an adjustment is determined. 
However, NMFS has final data on the pounds of Pacific whiting harvested 
by the C/P Coop Program for 2014 and the price per pound that the C/P 
Coop Program participants used to calculate their 2014 fee (i.e., $ 
0.14 per pound as the ``MS pricing'' for 2014 reported in 78 FR 75268, 
12/11/2013). With these data, NMFS can determine the fees that should 
be collected from C/P Coop Program participants. An adjustment ensures 
that the aggregate fees being collected are appropriate. In 2014 it is 
estimated that both the MS Coop and C/P Coop fisheries will have 
remitted fee amounts greater than the FY 2013 DPC used to calculate the 
2014 fee percentages. As such the 2015 DPC will be adjusted as follows:

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                                                            FY 2013 DPC used
                                                                for 2014          2014 Fees      Adjustment for
                                                               calculation        collected           2015
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Shorebased IFQ Program....................................     $1,877,752.00     $1,356,285.28               N/A
MS Coop Program...........................................        274,936.05        331,004.07      ($56,068.02)
C/P Coop Program..........................................        176,460.05        350,387.25     ($173,927.20)
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    The DPC used to calculate the 2015 fee percentage for the 
Shorebased IFQ Program was already above the 3 percent cap before the 
adjustment and therefore the adjustment for 2015 would have no effect 
on the 2015 fee percentage and is not included. The adjustments for the 
MS Coop Program and C/P Coop program are included, and reduce the DPC 
values shown below in the fee percentage calculations for those two 
sectors.
    The adjustment in the C/P Coop program costs shows that NMFS 
anticipates collecting $15,295.71 more than the adjusted costs in 2014 
resulting in a fee percentage of -0.1. Because a fee percentage cannot 
be negative, NMFS is setting the 2015 C/P Coop program cost recovery 
fee at 0.0 percent and will deduct $15,295.71 from the 2015 DPC to 
adjust the 2016 fee percentage. The calculations, using the adjusted 
DPCs as described above, are as follows:

Shorebased IFQ Program--3.0% = the lower of 3% or ($2,028,859.04/
$51,557,998) x 100
MS Coop Program--1.2% = the lower of 3% or ($233,300.78/$14,759,147) x 
100
C/P Coop Program-- -0.1% = the lower of 3% or ($-15,295.71/$22,233,966) 
x 100.
    MS pricing is the MS Coop Program's average price per pound from 
the previous complete calendar year. The MS pricing will be used by the 
C/P Coop Program to determine their fee amount due (MS pricing 
multiplied by the value of the aggregate pounds of all groundfish 
species harvested by the vessel registered to a C/P-endorsed limited 
entry trawl permit, multiplied by the C/P fee percentage, equals the 
fee amount due). Similar to 2014, MS pricing for cost recovery is based 
on the

[[Page 78402]]

average price per pound of Pacific whiting as reported in PacFIN from 
the Shorebased IFQ Program. For 2015 MS pricing, NMFS used data from 
calendar year 2013. In other words, data from the IFQ fishery is used 
as a proxy for the MS average price per pound to determine the ``MS 
pricing'' used in the calculation for the C/P sector's fee amount due. 
In future years, NMFS may use values derived from those reported on the 
MS Coop Program cost recovery form from the previous calendar year, 
depending on what NMFS determines is the best information available. 
NMFS has calculated the 2015 MS pricing to be used as a proxy by the C/
P Coop Program as: $0.13/lb for Pacific whiting.
    Cost recovery fees are submitted to NMFS by Fish buyers via Pay.gov 
(https://www.pay.gov/paygov/). Fish buyers registered with Pay.gov can 
login in the upper left-hand corner of the screen. Fish buyers not 
registered with Pay.gov can go to the cost recovery forms directly from 
the Web site below. Click on the link to Pacific Coast Groundfish Cost 
Recovery for your sector (IFQ, MS, or C/P): https://pay.gov/public/search/global?searchString=+groundfish+cost+recovery&formToken=6c80d7e6-a44c-4e9f-a4cc-eb7aa5000820.
    As stated in the preamble to the cost recovery proposed and final 
rules, in the spring of each year, NMFS will release an annual report 
documenting the details and data used for the above calculations. The 
report will include information such as the fee percentage calculation, 
program costs, and ex-vessel value by sector. The annual report for 
fishing year 2013 and calculation for 2014 is available at: http://www.westcoast.fisheries.noaa.gov/publications/fishery_management/trawl_program/analytical%20docs/cost_recovery_annual_report_01.pdf.
    The annual report for fishing year 2014 and calculation for 2015 
will be made available to the public electronically via the NMFS West 
Coast Region Groundfish Web site: http://www.westcoast.fisheries.noaa.gov/fisheries/groundfish_catch_shares/index.html.

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

    Dated: December 23, 2014.
Alan D. Risenhoover,
Director, Office of Sustainable Fisheries, National Marine Fisheries 
Service.
[FR Doc. 2014-30488 Filed 12-24-14; 11:15 am]
BILLING CODE 3510-22-P