[Federal Register Volume 83, Number 37 (Friday, February 23, 2018)]
[Proposed Rules]
[Pages 8037-8044]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-03688]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

50 CFR Part 635

[Docket No. 170703617-8097-01]
RIN 0648-BG97


Atlantic Highly Migratory Species; Proposed Rule To Revise 
Atlantic Shark Fishery Closure Regulations

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 is proposing to revise the current closure regulations 
for commercial shark fisheries. These changes would affect commercial 
shark fisheries in the Atlantic Ocean including the Gulf of Mexico and 
Caribbean. Proposed revisions include changes to the landings threshold 
that prompts a closure and the minimum time between filing of the 
closure with the Federal Register and the closure becoming effective. 
This action is necessary to allow more flexibility when closing shark 
fisheries and to facilitate the use of available quota while still 
preventing overharvests.

DATES: Written comments must be received March 26, 2018, NMFS will hold 
an operator-assisted public hearing via conference call and webinar for 
this proposed rule on March 2, 2018, from 10 a.m. to 12 p.m. For 
specific locations, dates and times, see the SUPPLEMENTARY INFORMATION 
section of this document.

ADDRESSES: You may submit comments on this document, identified by 
NOAA-NMFS-2017-0070, by any of the following methods:
     Electronic Submission: Submit all electronic public 
comments via the Federal e-Rulemaking Portal. Go to 
www.regulations.gov/#!docketDetail;D=NOAA-NMFS-2017-0070, click the 
``Comment Now!'' icon, complete the required fields, and enter or 
attach your comments.
     Mail: Submit written comments to Margo Schulze-Haugen, 
Chief, Atlantic HMS Management Division at 1315 East-West Highway, 
Silver Spring, MD 20910.
    Instructions: Comments sent by any other method, to any other 
address or individual, or received after the end of the comment period, 
may not be considered by NMFS. All comments received are a part of the 
public record and generally will be posted for public viewing on 
www.regulations.gov without change. All personal identifying 
information (e.g., name, address, etc.), confidential business 
information, or otherwise sensitive information submitted voluntarily 
by the sender will be publicly accessible. NMFS will accept anonymous 
comments (enter ``N/A'' in the required fields if you wish to remain 
anonymous).
    NMFS will hold one public hearing via conference call on this 
proposed rule. For specific locations, dates and times, see the 
SUPPLEMENTARY INFORMATION section of this document.
    Copies of the supporting documents, including the draft 
Environmental Assessment (EA), Regulatory Impact Review (RIR), Initial 
Regulatory Flexibility Analysis (IRFA), and the 2006 Consolidated 
Atlantic Highly Migratory Species (HMS) Fishery Management Plan (FMP) 
and amendments are available from the HMS website at http://www.nmfs.noaa.gov/sfa/hms/ or by contacting Lauren Latchford at 301-
427-8503.

FOR FURTHER INFORMATION CONTACT: Lauren Latchford, Gu[yacute] DuBeck, 
Gray Redding, or Karyl Brewster-Geisz by phone at 301-427-8503 or 
Delisse Ortiz at 240-681-9037.

SUPPLEMENTARY INFORMATION: Atlantic sharks are directly managed under 
the authority of the Magnuson-Stevens Fishery Conservation and 
Management Act (Magnuson-Stevens Act). NMFS published in the Federal 
Register (71 FR 59058, October 2, 2006) final regulations, effective 
November 1, 2006, implementing the 2006 Consolidated HMS FMP, which 
details management measures for Atlantic HMS fisheries. The 
implementing regulations for the 2006 Consolidated HMS FMP and its 
amendments are at 50 CFR part 635. This proposed rule considers 
modifying the current regulations related to closures for commercial 
shark fisheries.

Background

    A brief summary of the background of this proposed action is 
provided below. Additional information regarding Atlantic HMS 
management, specifically the commercial fisheries season structure, can 
be found in the Draft EA for this proposed action and the 2006 
Consolidated HMS FMP and its

[[Page 8038]]

amendments, found online at http://www.nmfs.noaa.gov/sfa/hms/.
    NMFS initially required Federally-permitted dealers to report to 
NMFS every two weeks to effectively monitor quotas and close the shark 
fisheries when necessary to avoid exceeding the quotas. Because these 
reports were paper-based and had to be mailed, the data NMFS used to 
monitor the fisheries were often a month or more out of date.
    As established in Amendment 2 to the 2006 Consolidated HMS FMP 
(Amendment 2), the Atlantic shark commercial fisheries season structure 
is managed with one fishing ``season'' that lasts the entire calendar 
year, beginning January 1 and closing on December 31, unless otherwise 
provided in an inseason action or other rule. NMFS closes a shark 
fishery when it calculates that the applicable overall, regional, and/
or sub-regional landings for the species or management group has 
reached or is projected to reach 80 percent of the available applicable 
quota. Once closed, current regulations do not provide for re-opening 
the fishery.
    When the 80-percent landings threshold was established in Amendment 
2, all Federal shark dealers reported on a biweekly basis on paper 
reports. This 80-percent threshold was meant to account for the delay 
in data entry from the paper reports, landings that occurred during the 
five-day notice period, state water landings continuing to occur after 
a Federal closure, delayed landing reports from state only dealers, and 
the potential for late dealer reporting. However, since January 1, 2013 
(77 FR 47303; August 8, 2012), all Atlantic HMS Federal dealers have 
been required to report commercial harvests of sharks, swordfish, and 
bigeye, albacore, yellowfin, and skipjack (BAYS) tunas on a weekly 
basis through a NMFS-approved electronic dealer reporting system 
(eDealer). Most states also require all state-registered dealers to 
report electronically; however, there are some states that still allow 
for paper reports, and some states require reporting once a month 
rather than weekly. Overall, electronic dealer reporting has resulted 
in more timely data on landings.
    Current regulations provide that any shark fishery closure is 
effective no less than five days from notice of filing with the Office 
of the Federal Register. This minimum notice period was established to 
allow fishermen to complete their trip and land a portion of the 
remaining quota. As a result of changes in Amendment 2, however, most 
shark fishermen now take one or two day trips and may not need the full 
five-day notice.
    Since 2010, NMFS has received numerous comments at several HMS 
Advisory Panel (AP) meetings and during various rulemakings on 
commercial shark management requesting that NMFS modify the current 80-
percent threshold.
    At the September 2017 HMS Advisory Panel Meeting, some Panel 
members suggested that NMFS consider maintaining the existing 80-
percent closure threshold as a precautionary approach; raising the 
threshold to 90 percent only in the Atlantic region and maintaining the 
80-percent threshold in the Gulf of Mexico region; and determining 
closure thresholds for each region and/or management group based on the 
stock status and characteristics of the fishery. Additionally, some 
Panel members commented that immediate closure at any quota threshold 
is infeasible given that some state regulations provide more than 24 
hours of notice before closing a fishery. Therefore, requesting 
immediate closure can cause confusion in fisheries that occur in both 
state and Federal waters. Other Panel members suggested examining 
closure notice periods that are longer than five days.
    As described above, both the 80-percent threshold and five-day 
notice requirement for commercial shark fisheries went into effect 
before electronic dealer reporting and before the impacts of Amendment 
2 on fishing behavior, including trip lengths, were fully understood. 
This proposed rule considers modifying the five-day notice and 80-
percent threshold with the goal of more fully utilizing available quota 
while also avoiding overharvests in these fisheries.
    NMFS prepared a draft EA, RIR, and an IRFA, which present and 
analyze the anticipated environmental, social, and economic impacts of 
each alternative considered for this proposed rule. The complete list 
of alternatives and related analyses are provided in the draft EA/RIR/
IRFA and are not repeated here in its entirety. A copy of the draft EA/
RIR/IRFA prepared for this proposed rulemaking is available from NMFS 
(see ADDRESSES).
    NMFS considered six alternatives for the shark fishery-closure 
threshold and three alternatives for the shark fishery-closure notice 
period.
    Alternative 1a, the No Action alternative, would maintain the 80-
percent threshold for shark fishery closures. Alternative 1b would 
change the shark fishery-closure threshold to 90 percent of the 
available applicable overall, regional, and/or sub-regional quota. 
Alternative 1c would change the shark fishery-closure threshold to 70 
percent of the available applicable overall, regional, and/or sub-
regional quota. Alternative 1d would increase the shark fishery-closure 
threshold to 90 percent in the Atlantic Region, while maintaining the 
Gulf of Mexico closure threshold and overall non-regional threshold at 
80 percent. Alternative 1e would establish objective criteria to 
evaluate whether a shark species and/or management group should be 
closed when the relevant landings reach, or are projected to reach, 80 
percent of the available applicable overall, regional, and/or sub-
regional quota, or allowed to remain open until 90 percent of the 
available applicable overall, regional, and/or sub-regional quota is 
reached. These criteria include: (A) The stock status of the relevant 
species or management group and any linked species and/or management 
groups; (B) The patterns of over- and underharvest in the fishery over 
the previous five years; (C) The likelihood of continued landings after 
the Federal closure of the fishery; (D) The effects of the closure on 
accomplishing the objectives of the 2006 Consolidated HMS FMP and its 
amendments; (E) The likelihood of landings exceeding the quota by 
December 31 of each year; and (F) The impacts of the closure on the 
catch rates of other shark management groups, including likelihood of 
an increase in dead discards. Under Alternative 1f, the preferred 
alternative, when NMFS calculates that landings have reached, or are 
projected to reach, 80 percent of the available applicable overall, 
regional, and/or sub-regional quota, NMFS will determine whether 
landings are projected to reach 100 percent of the relevant quota 
before the end of the fishing season (December 31). If so, NMFS will 
close the fishery through publication in the Federal Register with the 
appropriate notice. If not, the fishery will continue to remain open, 
and NMFS will update the public about the landings levels in its next 
monthly shark landings update listserv notice.
    Alternative 2a, the No Action alternative, would maintain the five-
day period between filing of the closure notice with the Office of the 
Federal Register and the closure going into effect. Alternative 2b, the 
preferred alternative, would change the minimum notice time between 
filing of the closure notice with the Office of the Federal Register 
and the closure going into effect to three days. Alternative 2c would 
allow immediate closure of a shark fishery upon filing of the closure 
notice with the Office of the Federal Register.

[[Page 8039]]

    Alternative 1f, the preferred alternative, would provide additional 
flexibility to achieve full quota utilization while still preventing 
overharvest of the quota. This alternative would also provide the 
flexibility to account for differences in regional reporting when 
monitoring quotas and the ability to close in time to ensure the quota 
is not exceeded. For instance, regions that are more timely in their 
reporting and have few landings after Federal closures (i.e., Atlantic 
region) could remain open for the remainder of the season while other 
regions (i.e., Gulf of Mexico) that have landings after a Federal 
closure and/or delays in reported landings from state-water vessels may 
need to be closed. This alternative would likely have both neutral 
direct and indirect short- and long-term ecological impacts on the 
shark fishery because it would not be expected to have any impacts on 
the allowable level of fishing pressure, catch rates, or distribution 
of fishing effort otherwise authorized under actions that had assumed 
full utilization of the quota when analyzed. This alternative would 
allow increased quota utilization by keeping the fishery open as long 
as available quotas are not projected to be exceeded before the end of 
the season. This alternative could, therefore, lead to neutral 
socioeconomic impacts, similar to Alternative 1a, the status quo 
alternative, if the fishery is projected to reach 100 percent before 
the end of the fishing season. If NMFS determined that a quota was not 
projected to reach 100 percent before the end of the fishing season, 
then the fishery would remain open under this alternative. Thus, in 
some scenarios, this alternative could lead to minor beneficial direct 
socioeconomic impacts since the quota could be fully utilized.
    In combination with any of the notification alternatives (five-day 
notice, three-day notice, or immediate closure) NMFS expects 
Alternative 1f would have neutral direct and indirect short- and long-
term ecological impacts to the shark fishery as shark quotas would 
remain unchanged, leaving the fishery to operate under the current 
conditions. This alternative would support full quota utilization while 
preventing overharvest of the quota. Given the flexibility and 
responsiveness this alternative would provide, combined with neutral 
ecological impacts to the fishery stocks, NMFS prefers this alternative 
at this time.
    Under Alternative 2b, the preferred alternative, NMFS would change 
the minimum notice period to three days instead of the current five-day 
notice once landings reach a threshold necessitating a closure. 
According to the data presented in Amendment 2, historically, shark-
fishing trips were up to nine days in length. In the directed shark 
fishery, recent observer reports show that most shark fishermen take 
trips of one or two days, and likely do not need the full five-day 
notice in order to land all sharks before the closure date is 
effective. As such, this alternative should not interfere with directed 
shark trips already underway at the time of closure, but may have 
impacts on pelagic longline trips that may last several weeks. This 
alternative would allow more timely action in closing shark fisheries, 
helping to prevent overharvests.
    Specifically, in combination with Alternative 1f, Alternative 2b 
would reduce the risk of exceeding the quota, especially if landings 
rates are high before the closure date is effective. This alternative 
would likely have both neutral direct and indirect short- and long-term 
ecological impacts to shark stocks because the allowable level of 
fishing pressure, catch rates, distribution of fishing effort, and 
commercial quotas would remain the same as otherwise authorized under 
actions that had assumed full utilization of the quota when analyzed. 
This alternative could potentially result in interrupted fishing 
activities for longer fishing trips, potentially resulting in 
regulatory discards and minor adverse socioeconomic impacts if trips 
were underway at the time of the notice of the closure. For instance, 
pelagic longline fishing vessels, which can take trips that last 
several weeks, may need to discard any dead sharks onboard and in their 
hold if the vessel is unable to land the sharks before the closure is 
effective. However, NMFS expects few dead discards and potential lost 
revenue as a result of closure notice timing as most pelagic longline 
fishermen do not target sharks and are unlikely to land many sharks 
given recent management measures to reduce shark mortality on pelagic 
longline vessels. Because this alternative would increase flexibility 
to close the fishery as needed while still preventing overharvest of 
the quota and allowing sufficient time for most fishermen to complete 
trips underway at the time of the notice of the closure, NMFS prefers 
this alternative at this time.
    As described above, NMFS also considered five other alternatives 
regarding the threshold for closure (Alternatives 1a, 1b, 1c, 1d, and 
1e) and two other alternatives regarding the timing for a closure 
notice (Alternatives 2a and 2c). At this time, NMFS does not prefer any 
of those alternatives. NMFS does not prefer Alternative 1a (No Action 
Alternative) because this alternative could continue to leave some of 
the shark quotas underutilized. NMFS does not prefer Alternative 1b or 
1d because increasing the closure threshold to 90 percent in either all 
(1b) or part (1d) of the region would increase the potential for 
overharvest. NMFS does not prefer Alternative 1c because of the 
potential for underharvest in the shark fisheries. NMFS does not prefer 
Alternative 1e because the additional inseason action required to 
assess these criteria and carry out this alternative would 
unnecessarily complicate the closure procedures and possibly confuse 
the regulated community given past, relatively simple protocols for 
shark fishery closures. NMFS does not prefer Alternative 2a (No Action 
Alternative) because this alternative does not increase flexibility in 
NMFS' ability to manage the shark fisheries in a timely manner. NMFS 
does not prefer Alternative 2c (change the timing of shark fishery 
species and or management groups closures to allow for immediate 
closure upon filing of the closure notice with the Federal Register) as 
this alternative could result in interrupted fishing activities with 
little or no warning, potentially increasing regulatory discards if 
trips were underway at the time of the notice of the closure. Regarding 
Alternative 2c, at the HMS AP meeting in September 2017, NMFS received 
comments from the Panel members who indicated that immediate closure 
(Alternative 2c) is infeasible given that most states provide more than 
24 hours of notice before closing a fishery.

Public Hearing

    Comments on this proposed rule may be submitted via http://www.regulations.gov, mail, or fax and comments may also be submitted at 
a public hearing. NMFS solicits comments on this proposed rule through 
March 26, 2018. During the comment period, NMFS will hold one 
conference call for this proposed rule. The hearing locations will be 
physically accessible to people with disabilities. Requests for sign 
language interpretation or other auxiliary aids should be directed to 
Gray Redding at 301-427-8503, at least 7 days prior to the meeting.

[[Page 8040]]



    Table 1--Date and Time of Upcoming Public Hearing Conference Call
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                                                      Location contact
             Venue                  Date/time           information
------------------------------------------------------------------------
Conference call...............  March 2, 2018, 10  To participate in
                                 a.m.-12 p.m..      conference call,
                                                    call: (888) 946-
                                                    7204.
                                                   Passcode: 1023240.
                                                   To participate in
                                                    webinar, RSVP at:
                                                    https://noaaevents2.webex.com/noaaevents2/onstage/g.php?MTID=e8805cc4b96307b6f3ad888ac845a0e6f 0e6f. A confirmation
                                                    email with webinar
                                                    log-in information
                                                    will be sent after
                                                    RSVP is registered.
------------------------------------------------------------------------

    The public is reminded that NMFS expects participants at the public 
hearings to conduct themselves appropriately. At the beginning of the 
conference call, the moderator will explain how the conference call 
will be conducted and how and when attendees can provide comments. The 
NMFS representative will attempt to structure the meeting so that all 
the attending members of the public will be able to comment, if they so 
choose, regardless of the controversial nature of the subject(s). 
Attendees are expected to respect the ground rules, and, if they do not 
they may be asked to leave the hearing or may not be allowed to speak 
during the conference call.

Classification

    Pursuant to the Magnuson-Stevens Act, the NMFS Assistant 
Administrator has determined that the proposed rule is consistent with 
the 2006 Consolidated HMS FMP and its amendments, other provisions of 
the Magnuson-Stevens Act, and other applicable law, subject to further 
consideration after public comment.
    This proposed rule has been determined to be not significant for 
purposes of Executive Order 12866.
    This proposed rule is expected to be an Executive Order 13771 
deregulatory action.
    An IRFA was prepared, as required by section 603 of the Regulatory 
Flexibility Act (RFA). The IRFA describes the economic impact this 
proposed rule would have on small entities if adopted. A description of 
the action, why it is being considered, and the legal basis for this 
action are contained below. A summary of the analysis follows. A copy 
of this analysis is available from NMFS (see ADDRESSES).
    Section 603(b)(1) requires Agencies to describe reasons why the 
action is being considered. The purpose of this proposed action is to 
consider modifications to the percent landings threshold to a level 
that allows fishermen to utilize the full quota while avoiding under- 
and overharvest, and to determine a length of time between public 
notice and the effective date of a given fishery closure while avoiding 
under- and overharvest.
    Section 603(b)(2) requires Agencies to describe the objectives of 
the proposed rule. NMFS has identified the following objectives, which 
are consistent with existing statutes such as the Magnuson-Stevens Act 
and its objectives, with regard to this proposed action:
     Maintaining optimum yield for all shark fishery species 
and/or management groups; and
     Establishing an appropriate length of public notice for a 
fishery closure.
    Section 603(b)(3) of the Regulatory Flexibility Act requires 
Agencies to provide an estimate of the number of small entities to 
which the rule would apply. The Small Business Administration (SBA) has 
established size criteria for all major industry sectors in the United 
States, including fish harvesters. Provision is made under the SBA's 
regulations for an agency to develop its own industry-specific size 
standards after consultation with Advocacy and an opportunity for 
public comment (see 13 CFR 121.903(c)). Under this provision, NMFS may 
establish size standards that differ from those established by the SBA 
Office of Size Standards, but only for use by NMFS and only for the 
purpose of conducting an analysis of economic effects in fulfillment of 
the agency's obligations under the RFA. To utilize this provision, NMFS 
must publish such size standards in the Federal Register (FR), which 
NMFS did on December 29, 2015 (80 FR 81194). In this final rule 
effective on July 1, 2016, NMFS established a small business size 
standard of $11 million in annual gross receipts for all businesses in 
the commercial fishing industry (NAICS 11411) for RFA compliance 
purposes. NMFS considers all HMS permit holders to be small entities 
because they all had average annual receipts of less than $11 million 
for commercial fishing.
    The proposed rule would apply to the approximately 496 commercial 
limited access permit holders in the Atlantic shark fishery (223 
directed and 271 incidental permits) and 142 open access smoothhound 
shark permit holders, based on an analysis of permit holders as of 
October 2016. Not all permit holders are active in the shark fishery in 
any given year. Active directed permit holders are defined as those 
with valid permits that landed one shark, based on HMS electronic 
dealer reports. Of those 223 commercial directed limited access permit 
holders, 29, or 13 percent of permit holders, landed large coastal 
sharks (LCS) and 22, or 10 percent of permit holders, landed small 
coastal sharks (SCS) in the Atlantic. In the Gulf of Mexico region, 13, 
or 6 percent of permit holders, landed LCS in the western sub-region; 
8, or 4 percent of the permit holders, landed LCS in the eastern sub-
region; and 5, or 2 percent of permit holders, landed SCS throughout 
the region. Of directed limited access permit holders, 45, or 20 
percent, landed pelagic sharks. Of the 142 open-access smoothhound 
shark permit holders, 75, or 53 percent of permit holders, landed 
sharks in the Atlantic region. NMFS has determined that the proposed 
rule would not likely affect any small governmental jurisdictions.
    Section 603(b)(4) of the RFA requires Agencies to describe any new 
reporting, record-keeping and other compliance requirements. The action 
does not contain any new collection of information, reporting, or 
record-keeping requirements. The alternatives considered would review 
and modify the percent landings threshold that prompts a shark fishery 
closure, and the length of time between public notice and the effective 
date of a given fishery closure with the goal of avoiding under- and 
overharvests in these fisheries.
    Under section 603(b)(5) of the RFA, agencies must identify, to the 
extent practicable, relevant Federal rules which duplicate, overlap, or 
conflict with the proposed rule. Fishermen, dealers, and managers in 
these fisheries must comply with a number of international agreements, 
domestic laws, and fishery management measures. These include the 
Magnuson-Stevens Act, the Atlantic Tunas Convention Act (ATCA), the 
High Seas Fishing Compliance Act, the Marine Mammal Protection Act, the 
Endangered Species Act (ESA), the National

[[Page 8041]]

Environmental Policy Act, the Paperwork Reduction Act, and the Coastal 
Zone Management Act. This proposed rule has been determined not to 
duplicate, overlap, or conflict with any Federal rules.
    One of the requirements of an IRFA is to describe any alternatives 
to the proposed rule which accomplish the stated objectives and which 
minimize any significant economic impacts. These impacts are discussed 
below. Additionally, the RFA (5 U.S.C. 603 (c)(1)-(4)) lists four 
general categories of ``significant'' alternatives that would assist an 
agency in the development of significant alternatives. These categories 
of alternatives are: (1) Establishment of differing compliance or 
reporting requirements or timetables that take into account the 
resources available to small entities; (2) clarification, 
consolidation, or simplification of compliance and reporting 
requirements under the rule for such small entities; (3) use of 
performance rather than design standards; and (4) exemptions from 
coverage of the rule, or any part thereof, for small entities.
    NMFS examined each of these categories of alternatives. Regarding 
the first, second, and fourth categories, NMFS cannot establish 
differing compliance requirements for small entities or exempt small 
entities from coverage of the rule or parts of it because all of the 
businesses impacted by this rule are considered small entities and thus 
the requirements are already designed for small entities. NMFS does not 
know of any performance or design standards that would satisfy the 
objectives of this rulemaking while, concurrently, complying with the 
Magnuson-Stevens Act. As described below, NMFS analyzed several 
different alternatives in this proposed rulemaking and provides 
rationales for identifying the preferred alternatives to achieve the 
desired objectives.
    The alternatives considered and analyzed are described below. The 
IRFA assumes that each vessel will have similar catch and gross 
revenues to show the relative impact of the proposed action on vessels.
    Alternative 1a, the No Action alternative, would maintain the 
existing 80-percent threshold to close the shark fishery and maintain 
current shark quotas. Based on the 2016 ex-vessel prices, the potential 
annual gross revenues for the 13 active directed permit holders from 
blacktip, aggregated LCS, and hammerhead shark meat in the western Gulf 
of Mexico sub-region would be $433,308, while revenue from shark fins 
would be $229,723. Thus, potential total average annual gross revenues 
by each active directed permit holder for blacktip, aggregated LCS, and 
hammerhead shark landings in the western Gulf of Mexico sub-region 
would be $51,002 ($33,331 + $17,671). The potential annual gross 
revenues for the 8 active directed permit holders from blacktip, 
aggregated LCS, and hammerhead shark meat in the eastern Gulf of Mexico 
sub-region would be $169,206, while revenue from shark fins would be 
$88,058. Thus, potential total average annual gross revenues by each 
active directed permit holder for blacktip, aggregated LCS, and 
hammerhead shark landings in the Gulf of Mexico region would be $32,158 
($21,151 + $11,007). The potential annual gross revenues for the 5 
active directed permit holders for non-blacknose SCS and smoothhound in 
the Gulf of Mexico would be $89,909, while revenue from shark fins 
would be $55,450. Thus, potential total average annual gross revenues 
by each active directed permit holder for non-blacknose SCS in the Gulf 
of Mexico would be $29,072 ($17,982 + $11,090). Since there have been 
no landings of smoothhound sharks in the Gulf of Mexico, the annual 
gross revenue for the active directed permit holders would be zero. The 
potential annual gross revenues for the 29 active directed permit 
holders from aggregated LCS and hammerhead shark meat in the Atlantic 
would be $317,016, while revenue from shark fins would be $64,968. 
Thus, potential total average annual gross revenues by each active 
directed permit holder for aggregated LCS and hammerhead shark in the 
Atlantic would be $13,172 ($10,932 + $2,240). The potential annual 
gross revenues for the 22 active directed permit holders from non-
blacknose SCS and blacknose shark meat in the Atlantic would be 
$317,016, while revenue from shark fins would be $64,968. Thus, 
potential total average annual gross revenues by each active directed 
permit holder for non-blacknose SCS and blacknose shark in the Atlantic 
would be $22,548 ($20,337 + $2,211). The potential annual gross 
revenues for the 75 active directed permit holders from smoothhound 
shark meat in the Atlantic would be $1,985,794, while revenue from 
shark fins would be $182,058. Thus, potential total average annual 
gross revenues by each active directed permit holder for smoothhound 
shark in the Atlantic would be $28,905 ($26,477 + $2,427). The 
potential annual gross revenues for the 45 active directed permit 
holders from pelagic sharks (blue, porbeagle, shortfin mako and 
thresher sharks) meat would be $2,113,982, while revenue from shark 
fins would be $162,530. Thus, potential total average annual gross 
revenues by each active directed permit holder for pelagic sharks would 
be $50,589 ($46,977 + $3,612). Alternative 1a would likely result in 
neutral direct short- and long-term socioeconomic impacts because shark 
fishermen would continue to operate under current conditions, with 
shark fishermen continuing to fish at similar rates. The No Action 
alternative could also have neutral indirect impacts to those 
supporting the commercial shark fisheries, since the retention limits, 
and thus current fishing efforts, would not change under this 
alternative.
    Under Alternative 1b, NMFS would change the shark fishery-closure 
threshold to 90 percent of the available overall, regional, and/or sub-
regional quota. This alternative is likely to have neutral direct and 
indirect short- and long-term socioeconomic impacts because the base 
quotas would not change for any of the management groups and fishermen 
would still be limited in the total amount of sharks that could be 
harvested. This alternative could potentially lead to minor beneficial 
direct economic impacts if fishermen can land available quota that may 
have remained unharvested under the current 80-percent threshold. For 
example, in 2016, the quota for the aggregate LCS and blacktip 
management groups from the western Gulf of Mexico sub-region was 
underutilized by 241,579 lbs dw or 32 percent of the adjusted annual 
base quota, valued at $201,087 in potential ex-vessel revenue. Assuming 
all of this unharvested quota were caught, based on the 13 vessels that 
landed LCS in the western Gulf of Mexico sub-region, the individual 
vessel impact would be an approximate gain of $15,468 per year. This 
does not include incidental permit holders, who would receive a smaller 
amount per year. In the Atlantic, the blacknose shark management group 
was underutilized by 8,022 lbs dw or 23 percent of the quota, valued at 
$8,270 in potential ex-vessel revenue. Based on the 22 vessels that 
landed blacknose and non-blacknose SCS in the Atlantic region, the 
individual vessel impact would be an approximate gain of $276 per year. 
This does not include incidental permit holders, which would receive a 
smaller amount per year. Alternative 1b could also lead to minor 
adverse socioeconomic impacts in the short-term if the quotas are 
overharvested, which would lead to lower quotas the following year. In 
addition, this alternative could potentially lead to minor adverse 
socioeconomic impacts if

[[Page 8042]]

there is a large increase of landings combined with late dealer 
reporting, after the fishery is closed, that resulted in overharvest. 
For instance, the current 80-percent threshold has not been effective 
at closing in time to prevent overharvest of shark species that have 
small quotas, such as porbeagle sharks. As such, changing the percent 
closure threshold to 90 percent might be detrimental to the porbeagle 
shark fishery, as it may not provide sufficient buffer to prevent 
overharvest and fishery closures that occurred in 2013 and 2015. 
However, this negative impact would be only in the short-term as NMFS 
has the ability to monitor quotas on a weekly basis and promptly close 
the shark fishery.
    Under Alternative 1c, NMFS would change the shark fishery-closure 
threshold to 70 percent of the available overall, regional, and/or sub-
regional quota. This change would potentially leave a larger buffer for 
fishermen to complete trips and receive delayed dealer reports. It is 
likely the change in threshold to 70 percent would have neutral direct 
and indirect short- and long-term socioeconomic impacts since none of 
the commercial quotas are being changed and NMFS is not expecting an 
increase in effort or fishing. This alternative could potentially have 
minor adverse direct socioeconomic impacts if there is a large amount 
of underharvest remaining every year, after accounting for late dealer 
reports, that fishermen would no longer be able to harvest as compared 
to the No Action alternative. For instance, a 10-percent decrease in 
realized revenue for the western Gulf of Mexico blacktip, aggregated 
LCS, and hammerhead shark fisheries would equate to an approximate 
$66,303 (10 percent of $433,308 + $229,273) loss in ex-vessel revenue. 
Based on the 13 vessels that landed LCS in the western Gulf of Mexico 
sub-region, the individual vessel impact would be an approximate loss 
of $5,100 per year. This does not include incidental permit holders, 
which would receive a smaller amount per year. However, these would 
only be short-term losses because NMFS has achieved close to full quota 
utilization in recent years for some shark quotas.
    Under Alternative 1d, NMFS would change the shark fishery-closure 
threshold to 90 percent in the Atlantic Region, while maintaining the 
Gulf of Mexico closure threshold and overall non-regional threshold at 
80 percent. Alternative 1d provides some flexibility in assigning 
different closure thresholds between the Atlantic and Gulf of Mexico 
regions. In the Atlantic region, this alternative could potentially 
lead to minor beneficial direct economic impacts if fishermen can land 
available quota that may have remained unharvested under the current 
80-percent threshold. For instance, a 10-percent increase in realized 
revenue for the Atlantic aggregated LCS and hammerhead shark fisheries 
would equate to an approximate $38,198 (10 percent of $317,016 + 
$64,968) gain in ex-vessel revenue. Based on the 29 vessels that landed 
LCS in the Atlantic region, the individual vessel impact would be an 
approximate increase of $1,317 per year. This does not include 
incidental permit holders, which would receive a smaller amount per 
year. In the Gulf of Mexico region and for fisheries with no region, 
this alternative could likely result in neutral direct and indirect, 
short- and long-term socioeconomic impacts because shark fishermen 
would continue to operate under current conditions, with shark 
fishermen continuing to fish at similar rates. Impacts in the Gulf of 
Mexico would therefore be the same as those described in Alternative 
1a.
    Under Alternative 1e, when any shark fishery species and/or 
management group landings reach or are projected to reach 80 percent of 
the available overall, regional, and/or sub-regional quota, NMFS would 
evaluate the criteria before determining if a closure is needed at the 
80-percent threshold. This alternative would add additional flexibility 
to close a fishery depending on a set of criteria, helping to maximize 
management efficacy while preventing overharvest. If this increased 
flexibility in determining when to close a fishery leads to full quota 
utilization of management groups, while still preventing overharvest of 
shark fisheries, then fishermen could potentially see additional 
revenue from being able to land sharks that would otherwise have 
remained unharvested under the existing 80-percent threshold. For 
instance, a 20-percent increase in realized revenue for the Atlantic 
aggregated LCS and hammerhead shark fisheries would equate to an 
approximate $76,397 (20 percent of $317,016 + $64,968) gain in ex-
vessel revenue. Based on the 29 vessels that landed LCS in the Atlantic 
region, the individual vessel impact would be an approximate increase 
of $2,634 per year. This does not include incidental permit holders, 
who would receive a smaller amount per year. Based upon these criteria, 
the fishery could still operate similarly to the status quo 80-percent 
closure threshold, which would result in neutral socioeconomic impacts 
as described for Alternative 1a, the status quo alternative. As 
examples, if a shark species/management group quota reaches 80 percent 
by September 1, then NMFS would evaluate the criteria in Alternative 1e 
before determining if a closure is needed at the 80-percent threshold 
in the Gulf of Mexico and Atlantic regions. Based on criteria A (stock 
status of the relevant species or management group and any linked 
species and/or management groups) and C (continued landings after the 
Federal closure), NMFS would likely close the shark species/management 
group quota in the Gulf of Mexico. In the Atlantic region, NMFS would 
likely also close the shark species/management group quota based on 
criteria A since all of the shark species/management groups in the 
region have an overfished or unknown stock status. This would lead to 
neutral socioeconomic impacts in both regions since there would be no 
change from current regulations. If a shark species/management group 
quota reaches 80 percent by December 1, then NMFS would need to 
evaluate all of the criteria closely before implementing a closure in 
either the Gulf of Mexico or Atlantic region. A key criterion to 
evaluate is the likelihood of landings exceeding the quota by December 
31 of each year (Criteria E). In the Gulf of Mexico region, NMFS would 
also consider Criteria C (continued landings after the Federal closure) 
and how this would impact the fishery. In the Atlantic region, NMFS 
would likely keep the fishery open as long as landings are not 
projected to exceed the quota by the end of the year.
    Under Alternative 1f, the preferred alternative, NMFS would 
maintain the 80-percent closure threshold but allow a shark fishery to 
remain open after the fishery's landings have reached or are projected 
to reach 80 percent as long as landings are not projected to reach 100 
percent before the end of the fishing season. This alternative, similar 
to Alternatives 1d and 1e, would provide the flexibility of achieving 
full quota utilization while still preventing overharvest. This 
alternative could therefore lead to neutral socioeconomic impacts, 
similar to Alternative 1a, the status quo alternative, if the landings 
are projected to reach 100 percent before the end of the fishing 
season. As examples, if a shark species/management group landings reach 
80 percent by September 1, then NMFS would likely have to close the 
fishery if it was in either the Gulf of Mexico or Atlantic regions 
because the landings would likely reach 100 percent before the end of 
the fishing season. This would cause neutral socioeconomic impacts 
since it would be the status quo

[[Page 8043]]

for the fishery. If a shark species/management group landings reach 80 
percent by December 1, then NMFS would project whether the landings in 
the Gulf of Mexico and Atlantic regions would reach 100 percent before 
the end of the fishing season. If the landings would not reach 100 
percent before the end of the fishing season, then NMFS would keep the 
fishery open. Thus, this could lead to minor beneficial socioeconomic 
impacts because the quota could be fully utilized.
    Under Alternative 2a, NMFS would maintain the status quo and would 
not change the notice period of five days for the closure of a 
management group. This alternative would have no impact on the 
allowable level of fishing pressure, catch rates, or distribution of 
fishing effort. As such, it is likely that the No Action Alternative as 
well as this alternative in combination with any of the Alternatives 
1b, 1c, 1d, 1e, or 1f would have both neutral direct and indirect, 
short- and long-term socioeconomic impacts. If there is a large amount 
of landings made during the five-day notice and a later closure under 
Alternatives 1b, 1c, or 1d, then there could be the potential for minor 
beneficial socioeconomic impacts for those fisheries who have 
underutilized the quota in recent years. The majority of fishing trips 
for sharks are currently one day in length, so a five-day closure 
notice should not result in regulatory discards for these trips. 
However, this alternative could potentially result in interrupted 
fishing activities, potentially resulting in regulatory discards if 
trips were underway at the time of the notice of the closure. For 
instance, pelagic longline fishing vessels, which can take trips that 
last several weeks, may need to discard any dead sharks onboard and in 
their hold if the vessel is unable to land the sharks before the 
closure is effective. However, NMFS expects few dead discards as a 
result of closure notices given that NMFS has implemented several 
management measures that prohibit retention of some sharks (i.e., 
silky, oceanic whitetip, hammerhead sharks) on vessels with pelagic 
longline gear onboard. These management changes have made pelagic 
longline fishermen unlikely to land many sharks in recent years. In 
combination with all other alternatives (i.e., 1a, 1c, 1d, 1e, and 1f), 
except Alternative 1b, this alternative would allow fishermen to 
complete their fishing trips while still preventing overharvest. In 
combination with Alternative 1b (e.g., 90-percent closure threshold), 
there is a risk of overharvest if the landings rate was high before the 
closure date is effective and potential reduced quotas the following 
season.
    Under Alternative 2b, the preferred alternative, NMFS would change 
the minimum notice period to three days instead of the current five-day 
notice once the fisheries reached a landings threshold necessitating a 
closure. This change would allow more timely action in closing shark 
fisheries, helping to prevent overharvest. In combination with all 
other Alternatives (1a, 1b, 1d, 1e, and 1f), except Alternative 1c, 
this alternative would reduce the risk of exceeding the quota, 
especially if the landings rate was high before the closure date is 
effective. In combination with Alternative 1c (e.g., 70-percent closure 
threshold), this alternative would increase the risk of a significant 
underharvest and would cause minor adverse socioeconomic impacts. This 
alternative would have no impact on the allowable level of fishing 
pressure, catch rates, or distribution of fishing effort, as the 
commercial quotas would remain the same. Therefore, it is likely that 
this alternative would have both neutral direct and indirect, short- 
and long-term socioeconomic impacts. Because this alternative increases 
flexibility to close the fishery as needed while still preventing 
overharvest and allowing sufficient time for fishermen to complete 
trips underway at the time of the notice of the closure, NMFS prefers 
this alternative at this time. This alternative could potentially 
result in interrupted fishing activities for pelagic longline vessels, 
which generally take trips longer than nine days, potentially resulting 
in regulatory discards if trips were underway at the time of the 
closure. However, NMFS expects few dead discards as a result of the 
closure notice timing as most pelagic longline fishermen do not target 
sharks and are unlikely to land many sharks given recent management 
measures to reduce shark mortality on pelagic longline vessels. In 
addition, the preferred time before the closure is effective is well 
within the range of the current directed shark trip lengths (i.e., 1-2 
days).
    Under Alternative 2c, NMFS would change the timing of shark fishery 
species and/or management group closures to allow immediate closure 
upon filing of the closure notice with the Federal Register. This 
action would allow timely action in closing shark fisheries, helping to 
prevent overharvest. In combination with all other alternatives, this 
alternative would either reduce the risk of exceeding the quota (i.e., 
Alternatives 1a, 1b, 1d, 1e, and 1f) or increase the risk of a 
significant underharvest (i.e., Alternative 1c). Therefore, it is 
likely that this alternative would have both neutral direct and 
indirect, short- and long-term economic impacts. However, as described 
above, this alternative could potentially result in interrupted fishing 
activities with little or no warning to the regulated community, 
potentially resulting in regulatory discards, if trips were underway at 
the time of the notice of the closure, with associated loss of revenue. 
Additionally, HMS AP members from several states indicated that some 
states would have difficulty closing state water fisheries immediately.

List of Subjects in 50 CFR Part 635

    Fisheries, Fishing, Fishing vessels, Foreign relations, Imports, 
Penalties, Reporting and recordkeeping requirements, Treaties.

    Dated: February 16, 2018.
Samuel D. Rauch III,
Deputy Assistant Administrator for Regulatory Programs, National Marine 
Fisheries Service.

    For the reasons set out in the preamble, 50 CFR part 635 is 
proposed to be amended as follows:

PART 635--ATLANTIC HIGHLY MIGRATORY SPECIES

0
1. The authority citation for part 635 continues to read as follows:

    Authority: 16 U.S.C. 971 et seq.; 16 U.S.C. 1801 et seq.

0
2. In Sec.  635.24, revise paragraph (a)(8)(iii) to read as follows:


Sec.  635.24   Commercial retention limits for sharks, swordfish, and 
BAYS tunas.

* * * * *
    (a) * * *
    (8) * * *
    (iii) Estimated date of fishery closure based on when the landings 
are projected to reach 80 percent of the quota given the realized catch 
rates and whether they are projected to reach 100 percent before the 
end of the fishing season;
* * * * *
0
3. In Sec.  635.28, revise paragraphs (b)(2) and (b)(3) to read as 
follows:


Sec.  635.28  Fishery closures.

* * * * *
    (b) * * *
    (2) Non-linked quotas. If the overall, regional, and/or sub-
regional quota of a species or management group is not linked to 
another species or management group and that overall, regional, and/or 
sub-regional quota is available as specified by a publication in the 
Federal Register, then that overall, regional, and/or sub-regional

[[Page 8044]]

commercial fishery for the shark species or management group will open 
as specified in Sec.  635.27(b). When NMFS calculates that the overall, 
regional, and/or sub-regional landings for a shark species and/or 
management group, as specified in Sec.  635.27(b)(1), has reached or is 
projected to reach 80 percent of the applicable available overall, 
regional, and/or sub-regional quota as specified in Sec.  635.27(b)(1) 
and is projected to reach 100 percent of the relevant quota by the end 
of the fishing season, NMFS will file for publication with the Office 
of the Federal Register a notice of an overall, regional, and/or sub-
regional closure, as applicable, for that shark species and/or shark 
management group that will be effective no fewer than 3 days from date 
of filing. From the effective date and time of the closure until NMFS 
announces, via the publication of a notice in the Federal Register, 
that additional overall, regional, and/or sub-regional quota is 
available and the season is reopened, the overall, regional, and/or 
sub-regional fisheries for that shark species or management group are 
closed, even across fishing years.
    (3) Linked quotas. As specified in paragraph (b)(4) of this 
section, the overall, regional, and/or sub-regional quotas of some 
shark species and/or management groups are linked to the overall, 
regional, and/or sub-regional quotas of other shark species and/or 
management groups. For each pair of linked species and/or management 
groups, if the overall, regional, and/or sub-regional quota specified 
in Sec.  635.27(b)(1) is available for both of the linked species and/
or management groups as specified by a publication in the Federal 
Register, then the overall, regional, and/or sub-regional commercial 
fishery for both of the linked species and/or management groups will 
open as specified in Sec.  635.27(b)(1). When NMFS calculates that the 
overall, regional, and/or sub-regional landings for any species and/or 
management group of a linked group have reached or are projected to 
reach 80 percent of the applicable available overall, regional, and/or 
sub-regional quota as specified in Sec.  635.27(b)(1) and are projected 
to reach 100 percent of the relevant quota before the end of the 
fishing season, NMFS will file for publication with the Office of the 
Federal Register a notice of an overall, regional, and/or sub-regional 
closure for all of the species and/or management groups in that linked 
group that will be effective no fewer than 3 days from date of filing. 
From the effective date and time of the closure until NMFS announces, 
via the publication of a notice in the Federal Register, that 
additional overall, regional, and/or sub-regional quota is available 
and the season is reopened, the overall, regional, and/or sub-regional 
fishery for all species and/or management groups in that linked group 
is closed, even across fishing years.
* * * * *
[FR Doc. 2018-03688 Filed 2-22-18; 8:45 am]
BILLING CODE 3510-22-P