80 FR 81798 - Fisheries of the Exclusive Economic Zone off Alaska; Fixed-Gear Commercial Halibut and Sablefish Fisheries; Bering Sea and Aleutian Islands Crab Rationalization Program; Cost Recovery Authorized Payment Methods

DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric Administration

Federal Register Volume 80, Issue 251 (December 31, 2015)

Page Range		81798-81804
FR Document		2015-32966

NMFS issues a proposed rule to revise the authorized methods for payment of cost recovery fees for the Halibut and Sablefish Individual Fishing Quota Program and the Bering Sea and Aleutian Islands Crab Rationalization Program. This proposed rule is necessary to improve data security procedures and to reduce administrative costs of processing cost recovery fee payments. The proposed rule is intended to promote the goals and objectives of the Magnuson-Stevens Fishery Conservation and Management Act, the Northern Pacific Halibut Act of 1982, the Fishery Management Plan for Groundfish of the Bering Sea and Aleutian Islands, the Fishery Management Plan for Groundfish of the Gulf of Alaska, the Fishery Management Plan for Bering Sea/Aleutian Islands King and Tanner Crabs, and other applicable laws.

Federal Register, Volume 80 Issue 251 (Thursday, December 31, 2015)

[Federal Register Volume 80, Number 251 (Thursday, December 31, 2015)]
[Proposed Rules]
[Pages 81798-81804]
From the Federal Register Online [www.thefederalregister.org]
[FR Doc No: 2015-32966]

[[Page 81798]]

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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

50 CFR Parts 679 and 680

[Docket No. 150904826-5826-01]
RIN 0648-BF35

Fisheries of the Exclusive Economic Zone off Alaska; Fixed-Gear
Commercial Halibut and Sablefish Fisheries; Bering Sea and Aleutian
Islands Crab Rationalization Program; Cost Recovery Authorized Payment
Methods

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

ACTION: Proposed rule; request for comments.

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SUMMARY: NMFS issues a proposed rule to revise the authorized methods
for payment of cost recovery fees for the Halibut and Sablefish
Individual Fishing Quota Program and the Bering Sea and Aleutian
Islands Crab Rationalization Program. This proposed rule is necessary
to improve data security procedures and to reduce administrative costs
of processing cost recovery fee payments. The proposed rule is intended
to promote the goals and objectives of the Magnuson-Stevens Fishery
Conservation and Management Act, the Northern Pacific Halibut Act of
1982, the Fishery Management Plan for Groundfish of the Bering Sea and
Aleutian Islands, the Fishery Management Plan for Groundfish of the
Gulf of Alaska, the Fishery Management Plan for Bering Sea/Aleutian
Islands King and Tanner Crabs, and other applicable laws.

DATES: Submit comments on or before February 1, 2016.

ADDRESSES: You may submit comments, identified by NOAA-NMFS-2015-0113,
by any of the following methods:
Electronic Submission: Submit all electronic public
comments via the Federal eRulemaking Portal. Go to www.regulations.gov/#!docketDetail;D=NOAA-NMFS-2015-0113, click the ``Comment Now!'' icon,
complete the required fields, and enter or attach your comments.
Mail: Submit written comments to Glenn Merrill, Assistant
Regional Administrator, Sustainable Fisheries Division, Alaska Region
NMFS, Attn: Ellen Sebastian. Mail comments to P.O. Box 21668, Juneau,
AK 99802-1668.
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 will generally be posted for public viewing on
www.regulations.gov without change. All personal identifying
information (e.g., name, address), 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).
Electronic copies of the following documents are available from
http://www.regulations.gov or from the NMFS Alaska Region Web site at
http://alaskafisheries.noaa.gov:
The Regulatory Impact Review/Initial Regulatory
Flexibility Analysis (RIR/IRFA) (collectively referred to as the
``Analysis'') and the Categorical Exclusion prepared for this action.
Written comments regarding the burden-hour estimates or other
aspects of the collection-of-information requirements contained in this
action may be submitted by mail to NMFS at the above address; by email
to OIRA_Submission@omb.eop.gov; or by fax to 202-395-5806.

FOR FURTHER INFORMATION CONTACT: Keeley Kent, 907-586-7228.

SUPPLEMENTARY INFORMATION:

Authority for Action

NMFS manages the groundfish fisheries in the Federal exclusive
economic zone (EEZ) off Alaska under the Fishery Management Plan for
Groundfish of the Bering Sea and Aleutian Islands and under the Fishery
Management Plan for Groundfish of the Gulf of Alaska. The North Pacific
Fishery Management Council (Council) prepared the fishery management
plans (FMPs) under the authority of the Magnuson Stevens Fishery
Conservation and Management Act (Magnuson-Stevens Act), 16 U.S.C. 1801
et seq. Regulations governing U.S. fisheries and implementing the FMPs
appear at 50 CFR parts 600 and 679.
The International Pacific Halibut Commission (IPHC) and NMFS manage
fishing for Pacific halibut through regulations established under the
authority of the Northern Pacific Halibut Act of 1982 (Halibut Act).
The IPHC promulgates regulations governing the halibut fishery under
the Convention between the United States and Canada for the
Preservation of the Halibut Fishery of the Northern Pacific Ocean and
Bering Sea (Convention). The IPHC's regulations are subject to approval
by the Secretary of State with the concurrence of the Secretary of
Commerce (Secretary). NMFS publishes the IPHC's regulations as annual
management measures pursuant to 50 CFR 300.62. The Halibut Act, at
sections 773c(a) and (b), provides the Secretary with general
responsibility to carry out the Convention and the Halibut Act. The
Halibut Act, at section 773c(c), also provides the Council with
authority to develop regulations, including limited access regulations,
that are in addition to, and not in conflict with, approved IPHC
regulations. Regulations developed by the Council may be implemented by
NMFS only after approval by the Secretary. The Council developed the
Individual Fishing Quota Program (IFQ Program) for the commercial
halibut and sablefish fisheries, codified at 50 CFR part 679, under the
authority of section 773 of the Halibut Act and section 303(b) of the
Magnuson-Stevens Act.
The king and Tanner crab fisheries in the EEZ of the Bering Sea and
Aleutian Islands are managed under the Fishery Management Plan for
Bering Sea/Aleutian Islands King and Tanner Crabs (Crab FMP). The Crab
FMP was prepared by the Council under the Magnuson-Stevens Act as
amended by the Consolidated Appropriations Act of 2004 (Public Law 108-
199, section 801). Regulations implementing the Crab FMP, including the
Bering Sea and Aleutian Islands Crab Rationalization Program (CR
Program), are located at 50 CFR part 680.

Background

This proposed rule would revise authorized payment methods in the
cost recovery fee programs for the IFQ Program and the CR Program. The
proposed rule would improve data security procedures for protecting
financial information submitted to NMFS for payment of cost recovery
fees by eliminating manual processing of credit card payments by NMFS
and requiring use of the Federal Government's online payment system,
pay.gov, for all credit card payments. This proposed rule would also
reduce administrative costs for the cost recovery programs by
eliminating manual processing of paper check and money order payments
and requiring electronic payment of all cost recovery fee payments to
NMFS using pay.gov or Fedwire Funds Service (Fedwire) beginning with
the cost recovery fee payment due in 2020. Reduced administrative costs
to NMFS would result in lower expenses subject to cost recovery fees.
Therefore, this action would be expected to reduce fees for

[[Page 81799]]

participants in the IFQ Program and CR Program subject to a cost
recovery fee relative to the status quo.
The following sections describe authorities for and operation of
cost recovery programs, the cost recovery program for the IFQ Program,
the cost recovery program for the CR Program, the current authorized
cost recovery fee payment methods, the need for this proposed rule, and
the proposed rule to improve administration of the cost recovery
programs.

Cost Recovery--General

Section 304(d) of the Magnuson-Stevens Act specifies that the
Secretary is authorized, and shall collect a fee, to recover the actual
costs directly related to the management, data collection, and
enforcement of any limited access privilege program (LAPP) and
community development quota program (CDQ) that allocates a percentage
of the total allowable catch of a fishery to such program. Section
304(d) also specifies that such fee shall not exceed three percent of
the ex-vessel value of fish harvested under any such program.
The IFQ Program is a LAPP as defined in section 304(d) of the
Magnuson-Stevens Act. NMFS implemented a cost recovery fee program for
the IFQ Program in 2000 (65 FR 14919, March 20, 2000). Regulations
implementing the IFQ Program cost recovery program are located at Sec.
679.45. The CR Program is also a LAPP as defined in section 304(d) of
the Magnuson-Stevens Act. Section 313(j) of the Magnuson-Stevens Act
provided supplementary authority to section 304(d) and additional
detail for cost recovery provisions specific to the CR Program. NMFS
implemented a cost recovery fee program with the final rule to
implement the CR Program in 2005 (70 FR 10174, March 2, 2005).
Regulations implementing the CR Program cost recovery program are
located at Sec. 680.44.
NMFS recovers the incremental costs of managing and enforcing the
IFQ Program and CR Program annually through a fee paid by persons who
hold a permit granting an exclusive access privilege to a portion of
the total allowable catches in IFQ Program and CR Program fisheries.
NMFS calculates cost recovery fees for fish that are landed and
deducted from the total allowable catch in the fisheries subject to
cost recovery.
To calculate the annual cost recovery fee for each permit holder in
the IFQ Program and the CR Program, NMFS (1) calculates the ex-vessel
value for each landing of a fishery species allocated under the
program; (2) calculates the total ex-vessel value of all fish landed
under the program by adding together the ex-vessel values of each
fishery species under the program; (3) calculates the total program
cost by adding together the incremental costs of management, data
collection, and enforcement for each fishery under the program that
would not have been incurred but for the implementation of the program;
(4) calculates a fee percentage (not to exceed three percent of the ex-
vessel value of fish harvested under any such program) for the program
by dividing total program costs by the total ex-vessel value for all
fishery species under the program; and (5) calculates the fee amount
that will be assessed for each permit holder by multiplying the fee
percentage by the permit holder's total ex-vessel value of landings
under the program. The final figure is the annual cost recovery fee
owed by each permit holder. The amount of cost recovery fees collected
varies annually because total ex-vessel value and total program costs
fluctuate from year to year.

Cost Recovery for the IFQ Program

The Council recommended the IFQ Program in 1992, and NMFS published
a final rule to implement the IFQ Program on November 9, 1993 (58 FR
59375). Fishing under the program began on March 15, 1995. The IFQ
Program limits access to the halibut and sablefish fisheries to those
persons holding quota shares (QS) in specific regulatory areas. QS
equate to individual harvesting privileges that are given effect
annually through the issuance of IFQ permits. An annual IFQ permit
authorizes the permit holder to harvest a specified amount of IFQ
halibut or sablefish in a regulatory area.
The final rule to implement the cost recovery program for the IFQ
fishery was published in March 2000 (65 FR 14919, March 20, 2000).
Section 679.45 specifies the process that NMFS uses to determine,
assess, and collect cost recovery fees for the IFQ Program. As
described above in the ``Cost Recovery--General'' section, NMFS
annually calculates the cost recovery fee percentage for halibut and
sablefish IFQ permit holders by dividing total program costs for the
IFQ Program by the total ex-vessel value of the catch subject to the
IFQ cost recovery fee for the current year. The IFQ Program fishing
year takes place within a calendar year, generally beginning in March
and ending in November. The method used by NMFS to calculate the IFQ
cost recovery fee percentage is described at Sec. 679.45(d)(2)(ii).
Regulations at Sec. 679.45(d)(1) and (d)(3)(i) require NMFS to publish
the IFQ cost recovery fee percentage and the IFQ standard prices used
to calculate the total ex-vessel value of IFQ halibut and sablefish
landed in the Federal Register during the last quarter of each calendar
year. NMFS published the 2014 IFQ cost recovery fee percentage and IFQ
standard prices on December 9, 2014 (79 FR 73045).
Each December, NMFS sends IFQ permit holders a bill for the cost
recovery fee liability with an itemization of their IFQ halibut and
sablefish landings for the year. The IFQ permit holder is responsible
for submitting this payment to NMFS on or before the due date of
January 31 following the year in which the IFQ halibut and sablefish
landings were made.
If an IFQ permit holder who owes a fee fails to submit payment in
full by January 31 following the year in which the landings were made,
NMFS sends the permit holder an Initial Administrative Determination
(IAD) with the amount of fee liability owed. If a permit holder fails
to make payment after receiving the IAD, NMFS may disapprove any
transfer of IFQ or QS to or from the permit holder until the fee
liability is reconciled. If further action is necessary, NMFS may
invalidate any IFQ fishing permits held by the permit holder.
Additional information on the administration of the IFQ Program cost
recovery program is provided in Section 3.5.1.2 of the Analysis.

Cost Recovery for the CR Program

NMFS published the final rule to implement the CR Program in 2005
(70 FR 10174, March 2, 2005). The CR Program allocates QS for nine crab
fisheries under the Crab FMP: Bristol Bay red king crab, Bering Sea C.
opilio (snow crab), Eastern Bering Sea C. bairdi (Tanner crab), Western
Bering Sea C. bairdi (Tanner crab), Pribilof Islands blue and red king
crab, St. Matthew Island blue king crab, Western Aleutian Islands
(Adak) golden king crab, Eastern Aleutian Islands (Dutch Harbor) golden
king crab, and Western Aleutian Islands (Adak) red king crab.
NMFS originally issued QS to eligible harvesters as determined by
eligibility criteria and participation in the CR Program fisheries
during qualifying years. Additionally, NMFS issued processor quota
shares (PQS) to eligible processing entities that met the criteria
based on crab processing activities during the qualifying years. Each
year, individual QS holders are issued IFQ to harvest a portion of the
annual total allowable catch in a CR Program fishery. PQS holders are
similarly issued annual individual processing quota (IPQ) that

[[Page 81800]]

allow entities to receive deliveries of CR Program crab.
NMFS issues three classes of IFQ: A shares, B shares, and C shares.
Three percent of the total IFQ pool for each fishery is issued as C
shares for captains and crew. The remaining IFQ pool is split with 90
percent issued as A shares and 10 percent issued as B shares. Class A
shares carry the requirement of matching, on a one-to-one basis, with
IPQ. Both Class B and Class C shares do not have a matching requirement
and may be delivered to any registered crab receiver (RCR). RCRs
include shoreside processors, catcher/processors, entities holding PQS
with custom processing agreements with other shoreside processors, and
communities holding PQS.
The cost recovery regulations for the CR Program were published in
the final rule to implement the CR Program on March 2, 2005 (70 FR
10174). Section 680.44 specifies the process that NMFS uses to
determine, assess, and collect cost recovery fees for the CR Program.
As described above in the ``Cost Recovery--General'' section, NMFS
annually calculates the cost recovery fee percentage for the CR Program
by dividing total program costs for the CR Program by the total ex-
vessel value of the catch subject to the CR Program cost recovery fee
for the current year. The CR Program cost recovery billing cycle
matches that of the crab fishing year--July 1 to June 30. The method
used by NMFS to calculate the CR Program cost recovery fee percentage
is described at Sec. 680.44(c)(2). As specified in the final rule to
implement the CR Program, the CR Program processing sector,
specifically RCRs, are responsible for collecting cost recovery fee
payments from the harvesters and submitting this payment and their own
self-collected fee payments to NMFS by the specified deadline. Catcher/
processors, vessels that harvest and process crab, pay the full CR
Program cost recovery fee for every pound of crab harvested and
processed.
Regulations at Sec. 680.44(c)(1) require NMFS to publish the CR
Program cost recovery fee percentage in the Federal Register during the
first quarter of the crab fishing year, which is used by CR Program
permit holders and RCRs to collect cost recovery fees throughout the
crab fishing year. This is different from the IFQ Program, which
applies the fee percentage to the landings that occurred during the
most recent fishing year. NMFS published the 2015/2016 CR Program cost
recovery fee percentage in July 2015 (80 FR 42792, July 20, 2015). NMFS
provides an itemized bill of cost recovery fee liabilities to all RCRs
during the last quarter of the crab fishing year. The RCR is
responsible for submitting payment to NMFS on or before the due date of
July 31, following the crab fishing year in which payment for the crab
is made.
If an RCR owes fees and fails to submit full payment for the
previous crab fishing year by July 31, the Regional Administrator may
disapprove any transfer of IFQ, IPQ, QS, or PQS to or from the RCR and
may withhold issuance of any new CR crab permits, including IFQ, IPQ,
or RCR permits for the subsequent crab fishing year. Additional
information on the administration of the CR Program cost recovery
program is provided in Section 3.5.2.2 of the Analysis.

Authorized Cost Recovery Payment Methods

Cost recovery regulations for the IFQ Program and CR Program (Sec.
679.45(a)(4)(iv) and Sec. 680.44(a)(4)(iv), respectively) currently
allow permit holders to pay their fee in U.S. dollars by personal check
drawn on a U.S. bank account, money order, bank-certified check, or
credit card. NMFS has established specific procedures for processing
payments. IFQ Program and CR Program permit holders may submit cost
recovery fee payments either electronically or non-electronically.
Electronic payments can be made using credit card or electronic check
via the pay.gov web-based system, or by wiring payment directly from
the permit holder's financial institution via the Fedwire funds
transfer system. Non-electronic payments can be made by submitting a
paper form to NMFS with credit card information via mail or facsimile,
or by submitting a paper check or money order via mail. This section
provides additional detail on each authorized payment method regarding
the security of permit holders' financial information and the
administrative costs incurred by NMFS to process the payments.

Electronic Payments

Electronic payments via the pay.gov system and the Fedwire system
are the most secure methods of transmitting financial information and
result in the lowest administrative costs for NMFS. Permit holders may
make electronic cost recovery payments directly through pay.gov.
Pay.gov is operated by the U.S. Department of the Treasury (Treasury)
and offers the highest level of security for the personal and financial
information submitted to pay fees to NMFS. Pay.gov uses the latest
industry-standard methods and encryption to safely collect, store, and
transmit information that is submitted.
IFQ Program and CR Program permit holders can access pay.gov
through the NMFS Alaska Region online system called eFISH. The eFISH
system is a web-based application that provides permit holders with
access to their NMFS permit accounts (https://alaskafisheries.noaa.gov/webapps/efish/login). When an IFQ Program or CR Program permit holder
logs on to eFISH to pay a cost recovery fee liability, the system
automatically loads the amount owed by that permit holder into pay.gov.
Through pay.gov, permit holders can make cost recovery payments
using a credit card, debit card, or direct debit (electronic check).
Due to the transaction fee incurred by the Treasury, there is a payment
limit of $24,999.99 on credit card transactions through pay.gov (see
notice online at: http://tfm.fiscal.treasury.gov/v1/announc/a-14-04.html). There is currently no payment limit on debit card or direct
debit payments. Payments made through pay.gov automatically update the
NMFS internal cost recovery payment tracking system to reflect the
payment.
Under the current regulations, permit holders may also make cost
recovery fee payments through Fedwire. Fedwire is a real-time transfer
system that allows financial institutions to electronically transfer
funds. Fedwire allows wire transfers of fee payments from any bank or
wire transfer service to NMFS to fulfill cost recovery fee obligations.
To make a Fedwire payment, a permit holder must provide his or her
financial institution the routing number and account information for
the Treasury, the beneficiary name and account number for NMFS, and the
amount owed. The permit holder's financial institution then initiates
the transaction. Payments are made directly to the Federal Reserve
Bank, which then notifies NMFS of the payment. Payments are processed
individually through Fedwire, which uses a highly secure electronic
network. NMFS must log Fedwire payments in the internal cost recovery
payment tracking system.

Non-Electronic Payments

Non-electronic submission of payment information to NMFS via mail
or facsimile is less secure and results in higher administrative costs
than electronic payments because it results in transmission of permit
holders' financial information over the NMFS information network and
requires NMFS to manually process payments. Under current regulations,
permit

[[Page 81801]]

holders may pay a cost recovery fee with a credit card by submitting a
form via mail or facsimile with their credit card information to NMFS.
Manual credit card processing results in the possession and
transmission of IFQ Program and CR Program permit holders' credit card
information over the NMFS information network. Manual credit card
processing is a less secure method of payment than the permit holder
directly entering their credit card information into pay.gov, and
results in higher administrative costs for NMFS. Administrative costs
to collect fees are subject to cost recovery. Therefore, the higher
administrative costs to process credit cards manually results in an
increased fee liability for the IFQ and CR Programs relative to
electronic payments.
Permit holders may also pay a cost recovery fee with a paper check,
money order, or bank-certified check. NMFS processes these payments
using a Treasury web-based application (https://www.fiscal.treasury.gov/fsservices/gov/rvnColl/otcnet/rvnColl_otcnet.htm). The checks are scanned into the internal cost
recovery payment tracking system and batched for deposit the following
day. NMFS must then check the system to ensure that each check has
cleared. NMFS manually updates the internal cost recovery payment
tracking system to reflect the payment. Discrepancies or errors between
the cost recovery amount owed and the amount paid by check must be
addressed by NMFS. Payment with paper check, money order, or bank-
certified check results in higher administrative costs for NMFS, and
those additional costs increase the fee liability for the IFQ and CR
Programs relative to electronic payments.
In 2014 for the IFQ Program, NMFS received 2,038 total cost
recovery fee payments from IFQ permit holders, with an average payment
size of $2,440 (Table 4 of the Analysis). Of the total payments made,
528 cost recovery fee payments required manual credit card processing
(Table 2 of the Analysis), which represented 26 percent of the total
cost recovery payments made that year. The number of payments requiring
manual credit card processing increased slightly from 2013 to 2014. In
2014, there were 986 payments made by paper check (48 percent of
payments) and 19 made by money order (0.9 percent of payments).
Overall, manual processing for credit card, paper check, and money
order payments was required for 75 percent of cost recovery fee
payments made under the IFQ Program for 2014 (1,533 payments); the
remaining 25 percent of payments were made electronically primarily via
pay.gov (Table 4 of Analysis).
In 2014 for the CR Program, NMFS received 20 total cost recovery
fee payments from CR Program permit holders, with an average payment
size of $78,310 (Table 5 of the Analysis). There were no cost recovery
payments made from 2012 through 2014 by CR Program RCRs that required
manual credit card processing (Table 3 of the Analysis). This may be
because the CR Program payments are considerably larger than the IFQ
Program payments due to the payment liability structure that requires
RCRs to submit cost recovery fee payments on behalf of the CR Program
harvesting and processing sectors. In 2014, 50 percent of payments (10
payments) were made with paper checks and required manual processing
(Table 3 of the Analysis), and the remaining 50 percent of payments (10
payments) were made electronically using pay.gov and Fedwire.

Need for This Proposed Rule

The purpose of this proposed rule is to improve security procedures
for protecting financial information and to reduce costs associated
with administering the cost recovery programs. The current regulations
for the IFQ Program and the CR Program cost recovery programs allow
permit holders to submit credit card information for manual credit card
processing by NMFS. This results in the possession and electronic
transmission of financial information on the NMFS information network,
which is a security vulnerability and an administrative cost to both
the permit holder and to NMFS. As a result of this security
vulnerability, the NMFS Alaska Region has been directed by the NOAA
Office of the Chief Information Officer to cease manual processing of
credit card payments for cost recovery fees.
This proposed rule would also reduce administrative costs for the
IFQ Program and CR Program by eliminating other non-electronic payment
methods that require manual processing. As described in the previous
section, all manual processing of cost recovery fee payments made by
check and money order generates significant costs for the
administration of these programs. Eliminating these non-electronic
payment methods from authorized payment method options would reduce the
staffing burden for processing cost recovery fee payments and further
reduce the costs of administering the cost recovery programs. Reduced
administrative costs would result in lower overall fee liabilities for
the IFQ and CR Programs.

Proposed Rule

NMFS proposes to revise the authorized cost recovery fee payment
methods for the IFQ and CR Programs by revising regulations at Sec.
679.45(a)(4)(ii) through (iv) and Sec. 680.44(a)(4)(iii) and (iv).
This proposed rule would eliminate the option for IFQ permit holders
and CR Program RCRs to submit credit card payment information by mail
or facsimile upon the effective date of the final rule, if approved.
NMFS anticipates the final rule, if approved, would be effective prior
to the date cost recovery fee payments are due for the 2015/2016 CR
Program crab fishing year and the 2016 IFQ Program fishing year. The
cost recovery fee payment for the CR Program 2015/2016 crab fishing
year would be due on July 31, 2016. The cost recovery fee payment for
the 2016 IFQ Program fishing year would be due on January 31, 2017.
This proposed rule would also revise the cost recovery regulations
to eliminate paper checks, money orders, and bank-certified checks as
authorized payment methods beginning with the cost recovery fee payment
that would be due by January 31, 2020 for the IFQ Program and July 31,
2020 for the CR Program. If approved, the final rule would require all
permit holders to submit payments through pay.gov or Fedwire beginning
with the cost recovery fee payment due for the 2019 fishing year for
IFQ Program permit holders and for the 2019/2020 CR Program crab
fishing year for CR Program RCRs. To implement this provision, NMFS
proposes that all cost recovery fee payments must be made
electronically for any payment made on or after the first day of the
billing cycle for IFQ Program and CR Program cost recovery fee payments
that would be due in 2020. The billing cycle is considered the time
period that begins when NMFS calculates cost recovery fees and mails
out cost recovery payment notices and ends when the cost recovery fee
payment is due. The first day of the 2020 IFQ Program cost recovery
billing cycle would be December 1, 2019. The first day of the 2019/2020
CR Program cost recovery billing cycle would be June 1, 2020. NMFS is
proposing allowing non-electronic payments via paper check or money
order until the 2020 cost recovery fee cycle to provide a transition
period for those permit holders who do not make electronic payments to
become familiar with, and begin transitioning to, electronic payment
methods.

[[Page 81802]]

Table 1 contains the anticipated implementation schedule for the
proposed rule to revise authorized cost recovery fee payment methods.

Table 1--Implementation Schedule for Proposed Changes to Authorized Cost Recovery Fee Payment Methods
----------------------------------------------------------------------------------------------------------------
2020 and future year
Payment type Current authorized options 2016-2019 fee payment fee payment cycle
cycle authorized options authorized options
----------------------------------------------------------------------------------------------------------------
Non-electronic.................... Credit card form. ..........................
Paper check............... Paper check...............
Money order............... Money order...............
Electronic........................ Pay.gov................... Pay.gov................... Pay.gov.
Fedwire................... Fedwire................... Fedwire.
----------------------------------------------------------------------------------------------------------------

NMFS anticipates that this proposed rule would affect 1,533 IFQ
Program permit holders and 10 CR Program RCRs who would need to change
their payment method. This proposed rule would require the 528 IFQ
permit holders who made non-electronic credit card payments in 2014 to
change to an alternative payment method upon the effective date of the
final rule, if approved. Beginning with the 2020 cost recovery billing
cycle, the 1,005 IFQ permit holders and 10 CR Program RCRs who paid by
paper check or money order in 2014 would be required to use an
alternative payment method.
Under this proposed rule, permit holders paying cost recovery fees
would benefit from the increased security of their financial
information and a reduction in the total amount of cost recovery fees
collected due to the reduced administrative costs of processing fee
payments. The actual administrative cost savings of this proposed rule
are difficult to predict due to the unknown staff costs required to
help permit holders transition to new payment methods and how quickly
permit holders may change payment methods prior to the 2020 fee
collection cycle. After 2020, NMFS expects the administrative costs of
processing payments to decrease as compared to the current costs. The
costs to permit holders of changing payment methods are difficult to
assess. However, both IFQ Program permit holders and CR Program RCRs
are currently required to submit fishery landings information to NMFS
using electronic reporting methods; so it is expected that requiring
electronic cost recovery fee payments would be a manageable cost for
most participants.
NMFS anticipates that this proposed rule would have minimal impacts
on net benefits to the Nation. Overall, this action would likely result
in a small net benefit from the reduction in the total amount of cost
recovery fees collected due to the reduced administrative costs of
processing cost recovery fee payments.

Classification

Pursuant to section 305(d) of the Magnuson-Stevens Act, the NMFS
Assistant Administrator has determined this proposed rule is consistent
with the FMPs, other provisions of the Magnuson-Stevens Act, and other
applicable law, subject to further consideration of comments received
during the public comment period.
This proposed rule has been determined to be not significant for
purposes of Executive Order 12866.

Initial Regulatory Flexibility Analysis

An IRFA was prepared, as required by section 603 of the Regulatory
Flexibility Act. The IRFA describes the economic impact this proposed
rule, if adopted, would have on small entities. Copies of the IRFA
prepared for this proposed rule are available from NMFS (see
ADDRESSES).
The IRFA describes the action, why this action is being proposed,
the objectives and legal basis for this proposed rule, the type and
number of small entities to which this proposed rule would apply, and
the projected reporting, recordkeeping, and other compliance
requirements of this proposed rule. It also identifies any overlapping,
duplicative, or conflicting Federal rules and describes any significant
alternatives to this proposed rule that would accomplish the stated
objectives of the Magnuson-Stevens Act and other applicable statues and
that would minimize any significant adverse economic impact of this
proposed rule on small entities. The description of this proposed rule,
its purpose, and its legal basis are described in the preamble and are
not repeated here.
Number and Description of Small Entities Directly Regulated by the
Proposed Rule
The entities directly regulated by this proposed rule are permit
holders who make halibut and sablefish landings in the IFQ Program
fisheries and RCRs who receive landings of crab in the CR Program
fisheries. The universe of entities was defined based on who is
directly billed by NMFS for cost recovery fees, and therefore who would
be directly impacted by a change in the authorized payment methods. The
Small Business Administration defines a small commercial finfish
fishing entity as one that has annual gross receipts, from all
activities of all affiliates, of less than $20.5 million (79 FR 33647,
June 12, 2014). Based upon available data, and more general information
concerning the probable economic activity of vessels in the IFQ Program
fisheries, no entity could have landed more than $20.5 million in
combined gross receipts in 2014. Therefore, all 2,038 IFQ permit
holders are classified as small entities. Under the CR Program, 11 RCRs
are classified as small entities. Section 4.6 of the IRFA prepared for
this proposed rule provides more information on these entities.
Recordkeeping and Reporting Requirements
This proposed rule would require modifications to the current
recordkeeping and reporting requirements for the IFQ Program and CR
Program cost recovery programs in the Alaska Cost Recovery and Observer
Fee collection (OMB Control Number 0648-0711). Specifically, this
proposed rule would eliminate the option for payment by credit card
using the paper fee submission form submitted to NMFS by mail or
facsimile. Beginning with the 2020 cost recovery fee billing cycle, the
paper fee submission form will be eliminated completely for the CR
Program as permit holders will be required to submit all cost recovery
fee payments electronically through the pay.gov or Fedwire systems. For
the IFQ Program, beginning in 2020, the paper fee submission form would
be revised to specify that all fee payments must be

[[Page 81803]]

made electronically through pay.gov or the Fedwire systems.
Federal Rules That May Duplicate, Overlap, or Conflict With This
Proposed Rule
The Analysis did not reveal any Federal rules that duplicate,
overlap, or conflict with this proposed rule.
Description of Significant Alternatives to This Proposed Rule That
Minimize Economic Impacts on Small Entities
The Magnuson-Stevens Act requires that participants in LAPP and CDQ
programs pay up to three percent of the ex-vessel value of the fish
they are allocated to cover specific costs that are incurred by the
management agencies as a direct result of implementing the programs.
NMFS has identified this proposed rule as necessary to improve data
security procedures for permit holders' financial information and to
reduce administrative costs of processing cost recovery payments. There
are no alternatives outside those evaluated in the Analysis that,
consistent with applicable law, will accomplish the objectives of this
rule, and result in lower adverse economic impacts on directly
regulated small entities.
NMFS considered eliminating the submission of credit card payment
information by phone, in person, facsimile, and mail and retaining the
use of paper checks and money orders as authorized payment methods
under Alternative 2 in the Analysis. However, Alternative 2 failed to
meet the objective of reducing administrative costs associated with
administering the cost recovery programs because processing these
payments results in a greater staff burden than processing payments
made by the pay.gov or Fedwire systems (see Section 3.7 of the
Analysis). NMFS also considered Alternative 3, which would have
simultaneously implemented both the elimination of credit card payment
by phone, in person, facsimile, and mail, and the elimination of paper
check and money order payment (see Section 3.8 of the Analysis).
However, NMFS rejected Alternative 3 in favor of Alternative 3 Option 1
which accommodated for the transition costs to permit holders in
complying with the proposed rule by delaying full implementation of the
proposed changes until the applicable cost recovery fee payment due
date in 2020. NMFS determined that Alternative 3 Option 1 would provide
an opportunity for the permit holders to become familiar with either
pay.gov or Fedwire and change to a new payment method. Additionally,
Alternative 3 Option 1 would spread out any transition costs for NMFS
staff in providing customer service to help permit holders affected by
the change (see Section 3.8.1 of the Analysis).

Collection-of-Information Requirements

This proposed rule contains collection-of-information requirements
subject to review and approval by the Office of Management and Budget
(OMB) under the Paperwork Reduction Act (PRA). NMFS has submitted these
requirements to OMB for approval under Control Number 0648-0711. Public
reporting burden per response is estimated to average one minute for
electronic fee submission and 30 minutes for non-electronic fee
submission. Estimates for public reporting burden include the time for
reviewing instructions, searching existing data sources, gathering and
maintaining the data needed, and completing and reviewing the
collection of information.
Public comment is sought regarding whether these proposed
collections of information are necessary for the proper performance of
the functions of the agency, including whether the information shall
have practical utility; the accuracy of the burden estimate; ways to
enhance the quality, utility, and clarity of the information to be
collected; and ways to minimize the burden of the collection of
information, including through the use of automated collection
techniques or other forms of information technology. Send comments on
these or any other aspects of the collection of information to NMFS at
the ADDRESSES above and by email to OIRA_Submission@omb.eop.gov, or fax
to (202) 395-5806.
Notwithstanding any other provision of the law, no person is
required to respond to, nor shall any person be subject to a penalty
for failure to comply with, a collection of information subject to the
requirements of the PRA, unless that collection of information displays
a currently valid OMB Control Number. All currently approved NOAA
collections of information may be viewed at: http://www.cio.noaa.gov/services_programs/prasubs.html.

List of Subjects

50 CFR Part 679

Alaska, Fisheries, Reporting and recordkeeping requirements.

50 CFR Part 680

Alaska, Fisheries, Reporting and recordkeeping requirements.

Dated: December 22, 2015
Eileen Sobeck,
Assistant Administrator for Fisheries, National Marine Fisheries
Service.

For the reasons set out in the preamble, NMFS proposes to amend 50
CFR part 679 and 50 CFR part 680 as follows:

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

0
1. The authority citation for 50 CFR part 679 continues to read as
follows:

Authority: 16 U.S.C. 773 et seq.; 1801 et seq.; 3631 et seq.;
Pub. L. 108-447; Pub. L. 111-281.

0
2. In Sec. 679.45, revise paragraphs (a)(4)(ii) through (iv) to read
as follows:

Sec. 679.45 IFQ cost recovery program.

(a) * * *
(4) * * *
(ii) Payment recipient. Make payment payable to NMFS.
(iii) Payment address. Submit payment and related documents as
instructed on the fee submission form. Payments may be made
electronically through the NMFS Alaska Region Web site at http://alaskafisheries.noaa.gov. Instructions for electronic payment will be
made available on both the payment Web site and a fee liability summary
letter mailed to the IFQ permit holder.
(iv) Payment method--(A) Prior to December 1, 2019, payment must be
made in U.S. dollars by personal check drawn on a U.S. bank account,
money order, bank-certified check, or electronically by credit card.
(B) On or after December 1, 2019, payment must be made
electronically in U.S. dollars by automated clearing house, credit
card, or electronic check drawn on a U.S. bank account.
* * * * *

PART 680--SHELLFISH FISHERIES OF THE EXCLUSIVE ECONOMIC ZONE OFF
ALASKA

0
3. The authority citation for 50 CFR part 680 continues to read as
follows:

Authority: 16 U.S.C. 1862; Pub. L. 109-241; Pub. L. 109-479.

0
4. In Sec. 680.44, revise paragraphs (a)(4)(iii) and (iv) to read as
follows:

Sec. 680.44 Cost recovery.

(a) * * *
(4) * * *
(iii) Payment address. Submit payment and related documents as
instructed on the fee submission form. Payments may be made
electronically through the NMFS Alaska Region Web

[[Page 81804]]

site at http://alaskafisheries.noaa.gov. Instructions for electronic
payment will be made available on both the payment Web site and a fee
liability summary letter mailed to the RCR permit holder.
(iv) Payment method--(A) Prior to June 1, 2020, payment must be
made in U.S. dollars by personal check drawn on a U.S. bank account,
money order, bank-certified check, or electronically by credit card.
(B) On or after June 1, 2020, payment must be made electronically
in U.S. dollars by automated clearing house, credit card, or electronic
check drawn on a U.S. bank account.
* * * * *
[FR Doc. 2015-32966 Filed 12-30-15; 8:45 am]
BILLING CODE 3510-22-P

81800 Federal Register / Vol. 80, No. 251 / Thursday, December 31, 2015 / Proposed Rules

allow entities to receive deliveries of CR during the last quarter of the crab safely collect, store, and transmit
Program crab. fishing year. The RCR is responsible for information that is submitted.
NMFS issues three classes of IFQ: A submitting payment to NMFS on or IFQ Program and CR Program permit
shares, B shares, and C shares. Three before the due date of July 31, following holders can access pay.gov through the
percent of the total IFQ pool for each the crab fishing year in which payment NMFS Alaska Region online system
fishery is issued as C shares for captains for the crab is made. called eFISH. The eFISH system is a
and crew. The remaining IFQ pool is If an RCR owes fees and fails to web-based application that provides
split with 90 percent issued as A shares submit full payment for the previous permit holders with access to their
and 10 percent issued as B shares. Class crab fishing year by July 31, the NMFS permit accounts (https://
A shares carry the requirement of Regional Administrator may disapprove alaskafisheries.noaa.gov/webapps/efish/
matching, on a one-to-one basis, with any transfer of IFQ, IPQ, QS, or PQS to login). When an IFQ Program or CR
IPQ. Both Class B and Class C shares do or from the RCR and may withhold Program permit holder logs on to eFISH
not have a matching requirement and issuance of any new CR crab permits, to pay a cost recovery fee liability, the
may be delivered to any registered crab including IFQ, IPQ, or RCR permits for system automatically loads the amount
receiver (RCR). RCRs include shoreside the subsequent crab fishing year. owed by that permit holder into
processors, catcher/processors, entities Additional information on the pay.gov.
holding PQS with custom processing administration of the CR Program cost Through pay.gov, permit holders can
agreements with other shoreside make cost recovery payments using a
recovery program is provided in Section
processors, and communities holding credit card, debit card, or direct debit
3.5.2.2 of the Analysis.
PQS. (electronic check). Due to the
The cost recovery regulations for the Authorized Cost Recovery Payment transaction fee incurred by the Treasury,
CR Program were published in the final Methods there is a payment limit of $24,999.99
rule to implement the CR Program on on credit card transactions through
Cost recovery regulations for the IFQ
March 2, 2005 (70 FR 10174). Section pay.gov (see notice online at: http://
Program and CR Program tfm.fiscal.treasury.gov/v1/announc/a-
680.44 specifies the process that NMFS
uses to determine, assess, and collect (§ 679.45(a)(4)(iv) and § 680.44(a)(4)(iv), 14-04.html). There is currently no
cost recovery fees for the CR Program. respectively) currently allow permit payment limit on debit card or direct
As described above in the ‘‘Cost holders to pay their fee in U.S. dollars debit payments. Payments made
Recovery—General’’ section, NMFS by personal check drawn on a U.S. bank through pay.gov automatically update
annually calculates the cost recovery fee account, money order, bank-certified the NMFS internal cost recovery
percentage for the CR Program by check, or credit card. NMFS has payment tracking system to reflect the
dividing total program costs for the CR established specific procedures for payment.
Program by the total ex-vessel value of processing payments. IFQ Program and Under the current regulations, permit
the catch subject to the CR Program cost CR Program permit holders may submit holders may also make cost recovery fee
recovery fee for the current year. The CR cost recovery fee payments either payments through Fedwire. Fedwire is a
Program cost recovery billing cycle electronically or non-electronically. real-time transfer system that allows
matches that of the crab fishing year— Electronic payments can be made using financial institutions to electronically
July 1 to June 30. The method used by credit card or electronic check via the transfer funds. Fedwire allows wire
NMFS to calculate the CR Program cost pay.gov web-based system, or by wiring transfers of fee payments from any bank
recovery fee percentage is described at payment directly from the permit or wire transfer service to NMFS to
§ 680.44(c)(2). As specified in the final holder’s financial institution via the fulfill cost recovery fee obligations. To
rule to implement the CR Program, the Fedwire funds transfer system. Non- make a Fedwire payment, a permit
CR Program processing sector, electronic payments can be made by holder must provide his or her financial
specifically RCRs, are responsible for submitting a paper form to NMFS with institution the routing number and
collecting cost recovery fee payments credit card information via mail or account information for the Treasury,
from the harvesters and submitting this facsimile, or by submitting a paper the beneficiary name and account
payment and their own self-collected check or money order via mail. This number for NMFS, and the amount
fee payments to NMFS by the specified section provides additional detail on owed. The permit holder’s financial
deadline. Catcher/processors, vessels each authorized payment method institution then initiates the transaction.
that harvest and process crab, pay the regarding the security of permit holders’ Payments are made directly to the
full CR Program cost recovery fee for financial information and the Federal Reserve Bank, which then
every pound of crab harvested and administrative costs incurred by NMFS notifies NMFS of the payment.
processed. to process the payments. Payments are processed individually
Regulations at § 680.44(c)(1) require Electronic Payments through Fedwire, which uses a highly
NMFS to publish the CR Program cost secure electronic network. NMFS must
recovery fee percentage in the Federal Electronic payments via the pay.gov log Fedwire payments in the internal
Register during the first quarter of the system and the Fedwire system are the cost recovery payment tracking system.
crab fishing year, which is used by CR most secure methods of transmitting
Program permit holders and RCRs to financial information and result in the Non-Electronic Payments
collect cost recovery fees throughout the lowest administrative costs for NMFS. Non-electronic submission of
crab fishing year. This is different from Permit holders may make electronic cost payment information to NMFS via mail
tkelley on DSK3SPTVN1PROD with PROPOSALS

the IFQ Program, which applies the fee recovery payments directly through or facsimile is less secure and results in
percentage to the landings that occurred pay.gov. Pay.gov is operated by the U.S. higher administrative costs than
during the most recent fishing year. Department of the Treasury (Treasury) electronic payments because it results in
NMFS published the 2015/2016 CR and offers the highest level of security transmission of permit holders’
Program cost recovery fee percentage in for the personal and financial financial information over the NMFS
July 2015 (80 FR 42792, July 20, 2015). information submitted to pay fees to information network and requires
NMFS provides an itemized bill of cost NMFS. Pay.gov uses the latest industry- NMFS to manually process payments.
recovery fee liabilities to all RCRs standard methods and encryption to Under current regulations, permit

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Federal Register / Vol. 80, No. 251 / Thursday, December 31, 2015 / Proposed Rules 81801

holders may pay a cost recovery fee electronically primarily via pay.gov Proposed Rule
with a credit card by submitting a form (Table 4 of Analysis).
via mail or facsimile with their credit In 2014 for the CR Program, NMFS NMFS proposes to revise the
card information to NMFS. Manual received 20 total cost recovery fee authorized cost recovery fee payment
credit card processing results in the payments from CR Program permit methods for the IFQ and CR Programs
possession and transmission of IFQ holders, with an average payment size by revising regulations at
Program and CR Program permit of $78,310 (Table 5 of the Analysis). § 679.45(a)(4)(ii) through (iv) and
holders’ credit card information over the There were no cost recovery payments § 680.44(a)(4)(iii) and (iv). This
NMFS information network. Manual made from 2012 through 2014 by CR proposed rule would eliminate the
credit card processing is a less secure Program RCRs that required manual option for IFQ permit holders and CR
method of payment than the permit credit card processing (Table 3 of the Program RCRs to submit credit card
holder directly entering their credit card Analysis). This may be because the CR payment information by mail or
information into pay.gov, and results in Program payments are considerably facsimile upon the effective date of the
higher administrative costs for NMFS. larger than the IFQ Program payments final rule, if approved. NMFS
Administrative costs to collect fees are due to the payment liability structure anticipates the final rule, if approved,
subject to cost recovery. Therefore, the that requires RCRs to submit cost would be effective prior to the date cost
higher administrative costs to process recovery fee payments on behalf of the recovery fee payments are due for the
credit cards manually results in an CR Program harvesting and processing 2015/2016 CR Program crab fishing year
increased fee liability for the IFQ and sectors. In 2014, 50 percent of payments and the 2016 IFQ Program fishing year.
CR Programs relative to electronic (10 payments) were made with paper The cost recovery fee payment for the
payments. checks and required manual processing CR Program 2015/2016 crab fishing year
Permit holders may also pay a cost (Table 3 of the Analysis), and the would be due on July 31, 2016. The cost
recovery fee with a paper check, money remaining 50 percent of payments (10 recovery fee payment for the 2016 IFQ
order, or bank-certified check. NMFS payments) were made electronically Program fishing year would be due on
processes these payments using a using pay.gov and Fedwire. January 31, 2017.
Treasury web-based application
Need for This Proposed Rule This proposed rule would also revise
(https://www.fiscal.treasury.gov/
The purpose of this proposed rule is the cost recovery regulations to
fsservices/gov/rvnColl/otcnet/rvnColl_
to improve security procedures for eliminate paper checks, money orders,
otcnet.htm). The checks are scanned
into the internal cost recovery payment protecting financial information and to and bank-certified checks as authorized
tracking system and batched for deposit reduce costs associated with payment methods beginning with the
the following day. NMFS must then administering the cost recovery cost recovery fee payment that would be
check the system to ensure that each programs. The current regulations for due by January 31, 2020 for the IFQ
check has cleared. NMFS manually the IFQ Program and the CR Program Program and July 31, 2020 for the CR
updates the internal cost recovery cost recovery programs allow permit Program. If approved, the final rule
payment tracking system to reflect the holders to submit credit card would require all permit holders to
payment. Discrepancies or errors information for manual credit card submit payments through pay.gov or
between the cost recovery amount owed processing by NMFS. This results in the Fedwire beginning with the cost
and the amount paid by check must be possession and electronic transmission recovery fee payment due for the 2019
addressed by NMFS. Payment with of financial information on the NMFS fishing year for IFQ Program permit
paper check, money order, or bank- information network, which is a holders and for the 2019/2020 CR
certified check results in higher security vulnerability and an Program crab fishing year for CR
administrative costs for NMFS, and administrative cost to both the permit Program RCRs. To implement this
those additional costs increase the fee holder and to NMFS. As a result of this provision, NMFS proposes that all cost
liability for the IFQ and CR Programs security vulnerability, the NMFS Alaska recovery fee payments must be made
relative to electronic payments. Region has been directed by the NOAA electronically for any payment made on
In 2014 for the IFQ Program, NMFS Office of the Chief Information Officer or after the first day of the billing cycle
received 2,038 total cost recovery fee to cease manual processing of credit for IFQ Program and CR Program cost
payments from IFQ permit holders, with card payments for cost recovery fees. recovery fee payments that would be
an average payment size of $2,440 This proposed rule would also reduce due in 2020. The billing cycle is
(Table 4 of the Analysis). Of the total administrative costs for the IFQ Program considered the time period that begins
payments made, 528 cost recovery fee and CR Program by eliminating other when NMFS calculates cost recovery
payments required manual credit card non-electronic payment methods that fees and mails out cost recovery
processing (Table 2 of the Analysis), require manual processing. As described payment notices and ends when the cost
which represented 26 percent of the in the previous section, all manual recovery fee payment is due. The first
total cost recovery payments made that processing of cost recovery fee day of the 2020 IFQ Program cost
year. The number of payments requiring payments made by check and money recovery billing cycle would be
manual credit card processing increased order generates significant costs for the December 1, 2019. The first day of the
slightly from 2013 to 2014. In 2014, administration of these programs. 2019/2020 CR Program cost recovery
there were 986 payments made by paper Eliminating these non-electronic billing cycle would be June 1, 2020.
check (48 percent of payments) and 19 payment methods from authorized NMFS is proposing allowing non-
tkelley on DSK3SPTVN1PROD with PROPOSALS

made by money order (0.9 percent of payment method options would reduce electronic payments via paper check or
payments). Overall, manual processing the staffing burden for processing cost money order until the 2020 cost
for credit card, paper check, and money recovery fee payments and further recovery fee cycle to provide a
order payments was required for 75 reduce the costs of administering the transition period for those permit
percent of cost recovery fee payments cost recovery programs. Reduced holders who do not make electronic
made under the IFQ Program for 2014 administrative costs would result in payments to become familiar with, and
(1,533 payments); the remaining 25 lower overall fee liabilities for the IFQ begin transitioning to, electronic
percent of payments were made and CR Programs. payment methods.

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81802 Federal Register / Vol. 80, No. 251 / Thursday, December 31, 2015 / Proposed Rules

Table 1 contains the anticipated proposed rule to revise authorized cost
implementation schedule for the recovery fee payment methods.

TABLE 1—IMPLEMENTATION SCHEDULE FOR PROPOSED CHANGES TO AUTHORIZED COST RECOVERY FEE PAYMENT
METHODS
2020 and future year
2016–2019 fee payment cycle
Payment type Current authorized options fee payment cycle
authorized options authorized options

Non-electronic ............. Credit card form. .
Paper check .................................................... Paper check.
Money order .................................................... Money order.
Electronic ..................... Pay.gov ........................................................... Pay.gov ........................................................... Pay.gov.
Fedwire ........................................................... Fedwire ........................................................... Fedwire.

NMFS anticipates that this proposed of processing cost recovery fee make halibut and sablefish landings in
rule would affect 1,533 IFQ Program payments. the IFQ Program fisheries and RCRs
permit holders and 10 CR Program RCRs who receive landings of crab in the CR
Classification
who would need to change their Program fisheries. The universe of
payment method. This proposed rule Pursuant to section 305(d) of the entities was defined based on who is
would require the 528 IFQ permit Magnuson-Stevens Act, the NMFS directly billed by NMFS for cost
holders who made non-electronic credit Assistant Administrator has determined recovery fees, and therefore who would
card payments in 2014 to change to an this proposed rule is consistent with the be directly impacted by a change in the
alternative payment method upon the FMPs, other provisions of the authorized payment methods. The
effective date of the final rule, if Magnuson-Stevens Act, and other Small Business Administration defines
approved. Beginning with the 2020 cost applicable law, subject to further a small commercial finfish fishing entity
recovery billing cycle, the 1,005 IFQ consideration of comments received as one that has annual gross receipts,
permit holders and 10 CR Program RCRs during the public comment period. from all activities of all affiliates, of less
who paid by paper check or money This proposed rule has been than $20.5 million (79 FR 33647, June
order in 2014 would be required to use determined to be not significant for 12, 2014). Based upon available data,
an alternative payment method. purposes of Executive Order 12866. and more general information
Under this proposed rule, permit Initial Regulatory Flexibility Analysis concerning the probable economic
holders paying cost recovery fees would activity of vessels in the IFQ Program
An IRFA was prepared, as required by
benefit from the increased security of fisheries, no entity could have landed
section 603 of the Regulatory Flexibility
their financial information and a more than $20.5 million in combined
Act. The IRFA describes the economic
reduction in the total amount of cost gross receipts in 2014. Therefore, all
impact this proposed rule, if adopted,
recovery fees collected due to the 2,038 IFQ permit holders are classified
would have on small entities. Copies of
reduced administrative costs of as small entities. Under the CR Program,
the IRFA prepared for this proposed
processing fee payments. The actual 11 RCRs are classified as small entities.
rule are available from NMFS (see
administrative cost savings of this Section 4.6 of the IRFA prepared for this
ADDRESSES).
proposed rule are difficult to predict The IRFA describes the action, why proposed rule provides more
due to the unknown staff costs required this action is being proposed, the information on these entities.
to help permit holders transition to new objectives and legal basis for this Recordkeeping and Reporting
payment methods and how quickly proposed rule, the type and number of Requirements
permit holders may change payment small entities to which this proposed
methods prior to the 2020 fee collection rule would apply, and the projected This proposed rule would require
cycle. After 2020, NMFS expects the reporting, recordkeeping, and other modifications to the current
administrative costs of processing compliance requirements of this recordkeeping and reporting
payments to decrease as compared to proposed rule. It also identifies any requirements for the IFQ Program and
the current costs. The costs to permit overlapping, duplicative, or conflicting CR Program cost recovery programs in
holders of changing payment methods Federal rules and describes any the Alaska Cost Recovery and Observer
are difficult to assess. However, both significant alternatives to this proposed Fee collection (OMB Control Number
IFQ Program permit holders and CR rule that would accomplish the stated 0648–0711). Specifically, this proposed
Program RCRs are currently required to objectives of the Magnuson-Stevens Act rule would eliminate the option for
submit fishery landings information to and other applicable statues and that payment by credit card using the paper
NMFS using electronic reporting would minimize any significant adverse fee submission form submitted to NMFS
methods; so it is expected that requiring economic impact of this proposed rule by mail or facsimile. Beginning with the
electronic cost recovery fee payments on small entities. The description of this 2020 cost recovery fee billing cycle, the
would be a manageable cost for most proposed rule, its purpose, and its legal paper fee submission form will be
participants.
tkelley on DSK3SPTVN1PROD with PROPOSALS

basis are described in the preamble and eliminated completely for the CR
NMFS anticipates that this proposed are not repeated here. Program as permit holders will be
rule would have minimal impacts on required to submit all cost recovery fee
net benefits to the Nation. Overall, this Number and Description of Small payments electronically through the
action would likely result in a small net Entities Directly Regulated by the pay.gov or Fedwire systems. For the IFQ
benefit from the reduction in the total Proposed Rule Program, beginning in 2020, the paper
amount of cost recovery fees collected The entities directly regulated by this fee submission form would be revised to
due to the reduced administrative costs proposed rule are permit holders who specify that all fee payments must be

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Federal Register / Vol. 80, No. 251 / Thursday, December 31, 2015 / Proposed Rules 81803

made electronically through pay.gov or would spread out any transition costs Dated: December 22, 2015
the Fedwire systems. for NMFS staff in providing customer Eileen Sobeck,
service to help permit holders affected Assistant Administrator for Fisheries,
Federal Rules That May Duplicate,
Overlap, or Conflict With This Proposed by the change (see Section 3.8.1 of the National Marine Fisheries Service.
Rule Analysis). For the reasons set out in the
The Analysis did not reveal any Collection-of-Information Requirements preamble, NMFS proposes to amend 50
Federal rules that duplicate, overlap, or CFR part 679 and 50 CFR part 680 as
conflict with this proposed rule. This proposed rule contains follows:
collection-of-information requirements
Description of Significant Alternatives subject to review and approval by the PART 679—FISHERIES OF THE
to This Proposed Rule That Minimize Office of Management and Budget EXCLUSIVE ECONOMIC ZONE OFF
Economic Impacts on Small Entities (OMB) under the Paperwork Reduction ALASKA
The Magnuson-Stevens Act requires Act (PRA). NMFS has submitted these
requirements to OMB for approval ■ 1. The authority citation for 50 CFR
that participants in LAPP and CDQ
under Control Number 0648–0711. part 679 continues to read as follows:
programs pay up to three percent of the
ex-vessel value of the fish they are Public reporting burden per response is Authority: 16 U.S.C. 773 et seq.; 1801 et
allocated to cover specific costs that are estimated to average one minute for seq.; 3631 et seq.; Pub. L. 108–447; Pub. L.
incurred by the management agencies as electronic fee submission and 30 111–281.
a direct result of implementing the minutes for non-electronic fee ■ 2. In § 679.45, revise paragraphs
programs. NMFS has identified this submission. Estimates for public (a)(4)(ii) through (iv) to read as follows:
proposed rule as necessary to improve reporting burden include the time for
data security procedures for permit reviewing instructions, searching § 679.45 IFQ cost recovery program.
holders’ financial information and to existing data sources, gathering and (a) * * *
reduce administrative costs of maintaining the data needed, and (4) * * *
processing cost recovery payments. completing and reviewing the collection (ii) Payment recipient. Make payment
There are no alternatives outside those of information. payable to NMFS.
evaluated in the Analysis that, (iii) Payment address. Submit
Public comment is sought regarding
consistent with applicable law, will payment and related documents as
whether these proposed collections of
accomplish the objectives of this rule, instructed on the fee submission form.
information are necessary for the proper
and result in lower adverse economic Payments may be made electronically
performance of the functions of the
impacts on directly regulated small through the NMFS Alaska Region Web
agency, including whether the
entities. site at http://alaskafisheries.noaa.gov.
information shall have practical utility;
NMFS considered eliminating the Instructions for electronic payment will
the accuracy of the burden estimate;
submission of credit card payment be made available on both the payment
ways to enhance the quality, utility, and
information by phone, in person, Web site and a fee liability summary
clarity of the information to be
facsimile, and mail and retaining the letter mailed to the IFQ permit holder.
collected; and ways to minimize the
use of paper checks and money orders (iv) Payment method—(A) Prior to
burden of the collection of information,
as authorized payment methods under December 1, 2019, payment must be
including through the use of automated
Alternative 2 in the Analysis. However, made in U.S. dollars by personal check
collection techniques or other forms of
Alternative 2 failed to meet the objective drawn on a U.S. bank account, money
information technology. Send comments
of reducing administrative costs order, bank-certified check, or
on these or any other aspects of the
associated with administering the cost electronically by credit card.
collection of information to NMFS at the
recovery programs because processing (B) On or after December 1, 2019,
ADDRESSES above and by email to OIRA_
these payments results in a greater staff payment must be made electronically in
Submission@omb.eop.gov, or fax to
burden than processing payments made U.S. dollars by automated clearing
(202) 395–5806.
by the pay.gov or Fedwire systems (see house, credit card, or electronic check
Section 3.7 of the Analysis). NMFS also Notwithstanding any other provision drawn on a U.S. bank account.
considered Alternative 3, which would of the law, no person is required to * * * * *
have simultaneously implemented both respond to, nor shall any person be
the elimination of credit card payment subject to a penalty for failure to comply PART 680—SHELLFISH FISHERIES OF
by phone, in person, facsimile, and with, a collection of information subject THE EXCLUSIVE ECONOMIC ZONE
mail, and the elimination of paper check to the requirements of the PRA, unless OFF ALASKA
and money order payment (see Section that collection of information displays a
3.8 of the Analysis). However, NMFS currently valid OMB Control Number. ■ 3. The authority citation for 50 CFR
rejected Alternative 3 in favor of All currently approved NOAA part 680 continues to read as follows:
Alternative 3 Option 1 which collections of information may be Authority: 16 U.S.C. 1862; Pub. L. 109–
accommodated for the transition costs to viewed at: http://www.cio.noaa.gov/ 241; Pub. L. 109–479.
permit holders in complying with the services_programs/prasubs.html. ■ 4. In § 680.44, revise paragraphs
proposed rule by delaying full List of Subjects (a)(4)(iii) and (iv) to read as follows:
implementation of the proposed
§ 680.44 Cost recovery.
tkelley on DSK3SPTVN1PROD with PROPOSALS

changes until the applicable cost 50 CFR Part 679
recovery fee payment due date in 2020. (a) * * *
NMFS determined that Alternative 3 Alaska, Fisheries, Reporting and (4) * * *
Option 1 would provide an opportunity recordkeeping requirements. (iii) Payment address. Submit
for the permit holders to become 50 CFR Part 680 payment and related documents as
familiar with either pay.gov or Fedwire instructed on the fee submission form.
and change to a new payment method. Alaska, Fisheries, Reporting and Payments may be made electronically
Additionally, Alternative 3 Option 1 recordkeeping requirements. through the NMFS Alaska Region Web

VerDate Sep<11>2014 16:32 Dec 30, 2015 Jkt 238001 PO 00000 Frm 00019 Fmt 4702 Sfmt 4702 E:\FR\FM\31DEP1.SGM 31DEP1

$81804 Federal Register / Vol. 80, No. 251 / Thursday, December 31, 2015 / Proposed Rules site at http://alaskafisheries.noaa.gov. U.S. dollars by personal check drawn on credit card, or electronic check drawn Instructions for electronic payment will a U.S. bank account, money order, bank- on a U.S. bank account. be made available on both the payment certified check, or electronically by * * * * * Web site and a fee liability summary credit card. [FR Doc. 2015–32966 Filed 12–30–15; 8:45 am] letter mailed to the RCR permit holder. (B) On or after June 1, 2020, payment BILLING CODE 3510–22–P (iv) Payment method—(A) Prior to must be made electronically in U.S. June 1, 2020, payment must be made in dollars by automated clearing house, tkelley on DSK3SPTVN1PROD with PROPOSALS VerDate Sep<11>2014 16:32 Dec 30, 2015 Jkt 238001 PO 00000 Frm 00020 Fmt 4702 Sfmt 9990 E:\FR\FM\31DEP1.SGM 31DEP1$

Document Created: 2015-12-31 02:15:02
Document Modified: 2015-12-31 02:15:02

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Proposed Rules
Action		Proposed rule; request for comments.
Dates		Submit comments on or before February 1, 2016.
Contact		Keeley Kent, 907-586-7228.
FR Citation		80 FR 81798
RIN Number		0648-BF35
CFR Citation		50 CFR 679 50 CFR 680
CFR Associated		Alaska; Fisheries and Reporting and Recordkeeping Requirements

80 FR 81798 - Fisheries of the Exclusive Economic Zone off Alaska; Fixed-Gear Commercial Halibut and Sablefish Fisheries; Bering Sea and Aleutian Islands Crab Rationalization Program; Cost Recovery Authorized Payment Methods

DEPARTMENT OF COMMERCENational Oceanic and Atmospheric Administration

Federal Register Volume 80, Issue 251 (December 31, 2015)

DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric Administration