[Federal Register Volume 80, Number 251 (Thursday, December 31, 2015)]
[Notices]
[Pages 81808-81809]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-32946]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

RIN 0648-XE380


Magnuson-Stevens Act Provisions; Fisheries Off West Coast States; 
Pacific Coast Groundfish Fishery; Trawl Rationalization Program; 2016 
Cost Recovery

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

ACTION: Notice; 2016 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 2016 fee percentages 
and ``MS pricing'' needed to calculate the required payments for trawl 
rationalization program cost recovery fees due in 2016. For calendar 
year 2016, NMFS announces the following fee percentages by sector: 3.0 
percent for the Shorebased Individual Fishing Quota (IFQ) Program; 2.5 
percent for the MS Coop Program; and 0.7 percent for the Catcher/
Processer (C/P) Coop Program. For 2016, the MS pricing to be used as a 
proxy by the C/P Coop Program is: $0.11/lb for Pacific whiting.

DATES: Effective January 1, 2016.

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 began 
collecting mandatory fees of up to three percent of the 
ex[hyphen]vessel value of groundfish from each sector (Shorebased IFQ 
Program, MS Coop Program, and C/P Coop Program) in 2014. NMFS collects 
the fees to recover the incremental costs of management, data 
collection, and enforcement of 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).
    By December 31 of each year, NMFS must announce the next year's fee 
percentages, and the applicable MS pricing for the C/P Coop Program. 
NMFS calculated the 2016 fee percentages by sector using the best 
available information. For 2016, 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,
     2.5 percent for the MS Coop Program
     0.7 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 (Fee percentage = the lower of 3% or (DPC/V) x 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

[[Page 81809]]

previous years, 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. NMFS is still evaluating how to incorporate additional 
costs and may, in coordination with the Pacific Fishery Management 
Council, do so in the future.
    ``V'', as specified at Sec.  660.115(b)(1)(ii), is the total ex-
vessel value, as defined at Sec.  660.111, for each sector from the 
previous calendar year. To calculate ``V'' for use in determining 2016 
fee percentages, electronic fish ticket data in the Pacific Fisheries 
Information Network (PacFIN) are used for the Shorebased IFQ Program. 
The MS Coop Program and the C/P Coop Program values are calculated 
using the average price of whiting derived from those reported on the 
MS Coop Program cost recovery form from calendar year 2014. This 
average price ($0.11) and the retained catch estimates (weight) from 
the observer data (as reported in PacFIN from NORPAC) were used to 
calculate the ``V'' for the MS and C/P Coop Programs.
    Ex-vessel values and amounts landed each year fluctuate, and the 
amount NMFS collects each year in cost recovery fees also fluctuate 
accordingly. When the cost recovery fees collected by NMFS are greater 
or less than the actual net incremental costs incurred for a given 
year, the fee percentage for the following year will be adjusted 
accordingly (as specified Sec.  660.115(b)(1)(i)).
    It is expected that, in 2015, the Shorebased IFQ Program will have 
paid $292,051.99 less than the 2014 DPC used to calculate its 2015 fee 
percentage. As the Shorebased IFQ Program fee percentage for 2016 has 
already been capped at the maximum 3.0 percent, there will be no fee 
adjustment for that sector.
    It is expected that, in 2015, the MS Coop Program will have paid 
$82,642.35 less than the 2014 DPC used to calculate its 2015 fee 
percentage. Therefore, the MS Coop Program DPC used to calculate the 
2016 fee percentage will be adjusted upward by $82,642.35.
    The adjustment to the C/P Coop program costs used to determine the 
2015 fee percentage showed that NMFS anticipated collecting $15,295.71 
more than the costs used to determine the 2015 fee, resulting in a fee 
percentage of negative 0.1. However, because a fee percentage cannot be 
negative, NMFS set the 2015 C/P Coop program cost recovery fee at 0.0 
percent (79 FR 78400) and is now deducting $15,295.71 from the DPC used 
to calculate the 2016 fee percentage.

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                                         FY 2014 DPC used for
                                           2015 calculation        2015 Fees expected      Adjustment for 2016
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Shorebased IFQ Program...............            $1,546,740.00            $1,254,688.01                      N/A
MS Coop Program......................              $177,110.00               $94,467.65               $82,642.35
C/P Coop Program.....................                      N/A                    $0.00             ($15,295.71)
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    The adjustments for the MS Coop and C/P Coop programs are included, 
and increase or reduce their DPC values which are shown below in the 
fee percentage calculations for that sector.

Shorebased IFQ Program--3.0% = the lower of 3% or ($2,310,729.95/
$52,052,455) x 100
MS Coop Program--2.5% = the lower of 3% or ($372,976.40/$15,189,237) x 
100
C/P Coop Program--0.7% = the lower of 3% or ($168,971.09/$25,219,201) x 
100.

    MS pricing is the average price per pound that the C/P Coop Program 
will use 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). In 
past years, MS pricing was based on the average price per pound of 
Pacific whiting as reported in PacFIN from the Shorebased IFQ Program. 
In other words, data from the IFQ fishery was 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. For 2016 MS pricing, 
NMFS used values derived from those reported on the MS Coop Program 
cost recovery form from calendar year 2014 as this was determined to be 
the best information available. NMFS has calculated the 2016 MS pricing 
to be used as a proxy by the C/P Coop Program as: $0.11/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://www.pay.gov/public/search/global?searchString=pacific+cost+recovery&formToken=4e5bc6b4-6ba8-4db4-9850-e73756a06775.
    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 2015 and calculation for 2016 
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 28, 2015.
Alan D. Risenhoover,
Director, Office of Sustainable Fisheries, National Marine Fisheries 
Service.
[FR Doc. 2015-32946 Filed 12-30-15; 8:45 am]
BILLING CODE 3510-22-P