81_FR_152 81 FR 150 - Fisheries of the Exclusive Economic Zone Off Alaska; Bering Sea and Aleutian Islands Management Area; New Cost Recovery Fee Programs

81 FR 150 - Fisheries of the Exclusive Economic Zone Off Alaska; Bering Sea and Aleutian Islands Management Area; New Cost Recovery Fee Programs

DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric Administration

Federal Register Volume 81, Issue 2 (January 5, 2016)

Page Range150-173
FR Document2015-33096

NMFS publishes regulations to implement cost recovery fee programs for the Western Alaska Community Development Quota (CDQ) Program for groundfish and halibut, and three limited access privilege programs: The American Fisheries Act (AFA), Aleutian Islands Pollock, and Amendment 80 Programs. The Magnuson-Stevens Fishery Conservation and Management Act (Magnuson-Stevens Act) authorizes and requires the collection of cost recovery fees for the CDQ Program and limited access privilege programs. Cost recovery fees recover the actual costs directly related to the management, data collection, and enforcement of the programs. The Magnuson-Stevens Act mandates that cost recovery fees not exceed 3 percent of the annual ex-vessel value of fish harvested by a program subject to a cost recovery fee. This action is intended to promote the goals and objectives of the Magnuson-Stevens Act, the Fishery Management Plan for Groundfish of the Bering Sea and Aleutian Islands Management Area (FMP), and other applicable laws.

Federal Register, Volume 81 Issue 2 (Tuesday, January 5, 2016)
[Federal Register Volume 81, Number 2 (Tuesday, January 5, 2016)]
[Rules and Regulations]
[Pages 150-173]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-33096]


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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

15 CFR Part 902

50 CFR Part 679

[Docket No. 140304192-5999-02]
RIN 0648-BE05


Fisheries of the Exclusive Economic Zone Off Alaska; Bering Sea 
and Aleutian Islands Management Area; New Cost Recovery Fee Programs

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

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: NMFS publishes regulations to implement cost recovery fee 
programs for the Western Alaska Community Development Quota (CDQ) 
Program for groundfish and halibut, and three limited access privilege 
programs: The American Fisheries Act (AFA), Aleutian Islands Pollock, 
and Amendment 80 Programs. The Magnuson-Stevens Fishery Conservation 
and Management Act (Magnuson-Stevens Act) authorizes and requires the 
collection of cost recovery fees for the CDQ Program and limited access 
privilege programs. Cost recovery fees recover the actual costs 
directly related to the management, data collection, and enforcement of 
the programs. The Magnuson-Stevens Act mandates that cost recovery fees 
not exceed 3 percent of the annual ex-vessel value of fish harvested by 
a program subject to a cost recovery fee. This action is intended to 
promote the goals and objectives of the Magnuson-Stevens Act, the 
Fishery Management Plan for Groundfish of the Bering Sea and Aleutian 
Islands Management Area (FMP), and other applicable laws.

DATES: Effective February 4, 2016.

ADDRESSES: Electronic copies of the Regulatory Impact Review (the 
Analysis) and the Categorical Exclusion prepared for this action may be 
obtained from http://www.regulations.gov or from the NMFS Alaska Region 
Web site at http://alaskafisheries.noaa.gov.
    Written comments regarding the burden-hour estimates or other 
aspects of the collection of information requirements contained in this 
final rule may be submitted by mail to NMFS, Alaska Region, P.O. Box 
21668, Juneau, AK 99802-1668, Attn: Ellen Sebastian, Records Officer; 
in person at NMFS, Alaska Region, 709 West 9th Street, Room 420A, 
Juneau, AK; or by email to [email protected] or fax to (202) 
395-5806.

FOR FURTHER INFORMATION CONTACT: Glenn Merrill, (907) 586-7228.

SUPPLEMENTARY INFORMATION: NMFS manages the groundfish fisheries in the 
Federal exclusive economic zone of the Bering Sea and Aleutian Islands 
Management Area (BSAI) under the FMP. The North Pacific Fishery 
Management Council (Council) prepared the FMP under the authority of 
the Magnuson-Stevens Act, 16 U.S.C. 1801 et seq. Regulations governing 
U.S. fisheries and implementing this FMP 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.

Statutory Authority

    The primary statutory authority for this action is section 304(d) 
of the Magnuson-Stevens Act. Section 304(d)(2)(A) 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 (LAP) program and community development quota (CDQ) program 
that

[[Page 151]]

allocates a percentage of the total allowable catch (TAC) of a fishery 
to such program. Section 304(d)(2)(B) specifies that such fee shall not 
exceed 3 percent of the ex-vessel value of fish harvested under any 
such program.
    Section 304(d)(2)(A)(i) of the Magnuson-Stevens Act authorizes and 
requires the Secretary to collect fees to recover costs from any LAP 
program. Section 3 of the Magnuson-Stevens Act defines a ``limited 
access privilege'' as including ``an individual fishing quota.'' 
Section 3 of the Magnuson-Stevens Act defines ``individual fishing 
quota'' as ``a Federal permit under a limited access system to harvest 
a quantity of fish, expressed by a unit or units representing a 
percentage of the total allowable catch of a fishery that may be 
received or held for exclusive use by a person. Such term does not 
include community development quotas as described in section 305(i).'' 
The Magnuson-Stevens Act and Federal regulations further define the 
terms ``permit,'' ``limited access system,'' ``total allowable catch,'' 
and ``person.'' These terms will be discussed in detail below.
    Section 304(d)(2)(A)(ii) of the Magnuson-Stevens Act authorizes and 
requires the Secretary to collect fees to recover costs from the CDQ 
Program for fisheries in which a percentage of the TAC of a fishery is 
allocated to the CDQ Program. Section 305(i) of the Magnuson-Stevens 
Act authorizes the CDQ Program and specifies the annual percentage of 
the TAC allocated to the CDQ Program in each directed fishery of the 
BSAI. Section 305(i) also specifies the method for further apportioning 
the TAC allocated to the CDQ Program to specific entities, called CDQ 
groups. NMFS previously implemented cost recovery fees for the amount 
of BSAI crab fishery TACs allocated to the CDQ Program under 
regulations implementing the Crab Rationalization Program (70 FR 10174, 
March 2, 2005, see regulations at Sec.  680.44) under the authority of 
section 304(d)(2) of the Magnuson-Stevens Act. This final rule 
implements cost recovery fees under the authority of section 304(d)(2) 
of the Magnuson-Stevens Act for BSAI groundfish and halibut TACs 
allocated to the CDQ Program.
    A more detailed description of the statutory authority can be found 
in the preamble of the proposed rule (80 FR 936, January 7, 2015), as 
well as in Section 1.1 of the Analysis prepared for this action.

Cost Recovery Fee Programs

    Cost recovery is the process by which NMFS recovers the actual 
costs associated with the management, data collection, and enforcement 
(also referred to as program costs) of a LAP or CDQ program. NMFS 
determines the costs based on the costs described in section 304(d) of 
the Magnuson-Stevens Act, consistent with NOAA policy on cost recovery. 
LAP and CDQ Program costs are recovered annually through a fee paid by 
persons who hold a permit granting an exclusive harvesting privilege 
for a portion of the TAC in a fishery subject to cost recovery.
    The cost recovery fees assessed cannot exceed the statutory 
limitation of 3 percent of the ex-vessel value of the fish subject to a 
cost recovery fee as specified in section 304(d) of the Magnuson-
Stevens Act. Section 1.8 of the Analysis and the preamble to this 
proposed rule (80 FR 936, January 7, 2015) contain additional 
information on the costs that are subject to a cost recovery fee and 
current NOAA policy on the collection of cost recovery fees.
    With this final rule, NMFS is implementing cost recovery fee 
programs for the AFA, Aleutian Islands Pollock, and Amendment 80 LAP 
Programs, and the CDQ Program. An effective cost recovery fee program 
requires calculating species ex-vessel values, using a standardized 
methodology to assess Program costs, assigning the appropriate fee to 
each person holding a permit, and ensuring that fees are submitted in 
full and on time. Below is a summary of the primary components of each 
cost recovery fee program (Tables 1 through 4). Each of these 
components is discussed in detail in the preamble to the proposed rule 
(80 FR 936, January 7, 2015), as well as the Analysis prepared for this 
action.

Cost Recovery Fees

    Each calendar year, NMFS will determine the cost recovery fee that 
each Program must pay. The cost recovery fee for each Program will be 
based on costs incurred during the previous Federal fiscal year (from 
October 1 of the previous calendar year through September 30 of the 
current calendar year), and the ex-vessel value of the fish that are 
subject to a cost recovery fee during the current calendar year (from 
January 1 through December 31). The incurred costs that can be 
recovered under a cost recovery program are described in Section 1.8.3 
of the Analysis and the preamble to the proposed rule.
    NMFS will calculate cost recovery fees only for fish that are 
landed and deducted from the TAC in the fisheries subject to cost 
recovery under the action. NMFS will not calculate cost recovery fees 
for any portion of a permit holder's exclusive harvest privilege that 
was not landed and deducted from the TAC. The permit holder refers to 
the person who holds the exclusive harvest privilege in the specific 
fishery. These methods for assessing cost recovery fees on landed catch 
and the designation of the permit holder are consistent with the cost 
recovery fee programs already implemented and NOAA policy guidance.
    NMFS will calculate the cost recovery fee as a percentage of the 
ex-vessel value of allocated fish species harvested by the participants 
in each program. The use of a standard ex-vessel price will provide a 
consistent methodology to assess fees on all fishery participants and 
reduce administrative costs that would be incurred by collecting ex-
vessel data from each fishery participant. The methods used to 
determine a standard ex-vessel price vary depending on the specific 
program subject to a cost recovery fee. NMFS will use existing data 
sources to determine a standard ex-vessel price for pollock (the 
Commercial Operators Annual Report), and halibut and sablefish (IFQ 
Buyer Report). NMFS will require a new report from processors who 
receive Pacific cod to determine a standard ex-vessel price for Pacific 
cod (Pacific Cod Ex-vessel Volume and Value Report). NMFS will also 
require a new report from Amendment 80 vessel operators to determine 
standard ex-vessel prices from a range of other species subject to cost 
recovery (First Wholesale Volume and Value Report). These two new 
volume and value reports are due by November 10 of each year.
    NMFS will determine a cost recovery fee percentage applicable to 
the species subject to cost recovery for each LAP and the CDQ Program. 
The cost recovery fee percentage is the percentage of the ex-vessel 
value of species used to determine a cost recovery fee that must be 
paid to NMFS. NMFS will publish the cost recovery fee percentage for 
each program in a Federal Register notice each year by December 1. NMFS 
will also send a fee liability notice to each designated representative 
of the person liable for a cost recovery fee by December 1 of each 
year. The cost recovery fee liability notice will include the total 
estimated fees due to NMFS from the person liable for the fee for that 
calendar year. The cost recovery fee will be due by December 31 of each 
year.
    For the first year of fee collection, NMFS will begin assessing 
costs for these cost recovery programs starting on the effective date 
of this final rule. The costs assessed under the first year of

[[Page 152]]

cost recovery fee program will be based on costs incurred by NMFS from 
the final rule effective date through September 30, 2016. NMFS will 
base the ex-vessel value of the fish used to determine the cost 
recovery fee on actual and estimated harvests from January 1, 2016, 
through December 31, 2016. NMFS will publish the cost recovery fee 
percentage for each Program in a Federal Register notice by December 1, 
2016. NMFS will send each designated representative a fee liability 
notice by December 1, 2016. The cost recovery fee will be due on 
December 31, 2016.
    Additional detail on how NMFS will calculate ex-vessel values, cost 
recovery fees, and the fee schedule is provided in Sections 1.7 and 
1.10 of the Analysis and the preamble to the proposed rule (80 FR 936, 
January 7, 2015) and is not repeated here.

AFA Cost Recovery Fee Program

    The Bering Sea pollock fishery is managed under the American 
Fisheries Act (AFA) (16 U.S.C. 1851 note) and the Magnuson-Stevens Act. 
The AFA limits entry by vessels and processors into all sectors of the 
pollock fishery by identifying the vessels and processors eligible to 
participate in the fishery and allocating pollock among those eligible 
participants. The AFA defines the various sectors of the Bering Sea 
pollock fishery, determines what vessels and processors are eligible to 
participate in each sector, establishes allocations of Bering Sea 
pollock total TAC to each sector as directed fishing allowances, and 
establishes excessive share limits for harvesting pollock. The 
provisions of the AFA were incorporated into the FMP and its 
implementing regulations under authority of the Magnuson-Stevens Act. 
The AFA cost recovery fee program will apply to participants in the AFA 
pollock fishery.
    As required by section 206(b) of the AFA, NMFS allocates a 
specified percentage of the Bering Sea directed pollock fishery TAC to 
each of the three AFA fishery sectors: (1) 50 percent to catcher 
vessels delivering to inshore processors, called the ``inshore 
sector''; (2) 40 percent to catcher/processors and catcher vessels 
delivering to those catcher/processors, called the ``catcher/processor 
sector''; and (3) 10 percent to catcher vessels harvesting pollock for 
processing by motherships, called the ``mothership sector.''
    Section 208 of the AFA specifies the vessels and processors that 
are eligible to participate in the inshore sector, the catcher/
processor sector, and the mothership sector. Section 210 of the AFA 
authorizes the formation of fishery cooperatives in all sectors of the 
Bering Sea pollock fishery and provides flexibility to the Council and 
NMFS to govern the formation and operation of fishery cooperatives.
    Under section 210(b), the AFA establishes additional qualifying 
criteria and operational restrictions on the formation and operation of 
cooperatives for the inshore sector. The AFA establishes a specific 
formula for making allocations of pollock to qualified inshore 
cooperatives. A catcher vessel with an AFA inshore endorsement may join 
an AFA inshore cooperative associated with an AFA inshore processor 
(AFA section 210(b); 50 CFR 679.4(l)(6)). For 2015, seven inshore 
cooperatives were formed by AFA eligible inshore catcher vessels and 
their partner inshore processors (http://alaskafisheries.noaa.gov/sustainablefisheries/afa/15bsaicoopallocations.pdf). Each inshore 
cooperative will be responsible for the payment of that cooperative's 
fee.
    The catcher/processor sector has formed two cooperatives for 
managing the exclusive harvest allocation mandated for the catcher/
processor sector under section 206(b) of the AFA--one cooperative for 
the catcher/processors and one cooperative for the catcher vessels 
harvesting pollock for processing by catcher/processors. These two 
cooperatives are associated through a joint agreement called the 
``Cooperative Agreement between Offshore Pollock Catchers' Cooperative 
and Pollock Conservation Cooperative'' to facilitate efficient harvest 
management and accurate harvest accounting between the participants in 
the catcher/processor sector. These two cooperatives jointly submit an 
annual cooperative report to the Council (see Cooperative Reports, NMFS 
Alaska Region Web site, http://alaskafisheries.noaa.gov/sustainablefisheries/afa/afa_sf.htm). The catcher/processor sector also 
formed one entity to represent the catcher/processor sector for the 
purposes of receiving and managing their transferable Chinook salmon 
prohibited species catch (PSC) allocation under a program to minimize 
Chinook salmon bycatch in the pollock fishery (see the final rule 
implementing Amendment 91 to the FMP, 75 FR 53026, August 30, 2010). 
This entity will be responsible for submitting the payment of the AFA 
catcher/processor fee under this rule.
    All participants that harvest pollock allocated to the catcher/
processor sector are members of the two cooperatives, except for one 
participant. Section 208(e)(21) of the AFA expressly limits the amount 
of harvest by the one participant in the catcher/processor sector who 
is not a member of a cooperative to 0.5 percent of the TAC apportioned 
to the catcher/processor sector, thereby providing an exclusive harvest 
privilege to all catcher/processor cooperative members. The participant 
that is not a member of a cooperative will not be subject to a cost 
recovery fee for its harvest of Bering Sea pollock under this rule 
because that vessel is not given an explicit allocation of pollock and 
is already subject to cost recovery fees under the Amendment 80 
Program. Section 1.5.3 of the Analysis provides additional detail on 
allocations to the AFA catcher/processor sector.
    The owners of all 19 catcher vessels eligible to deliver to a 
mothership in the Bering Sea pollock fishery have joined a single 
cooperative under section 208(c) of the AFA to coordinate harvests, the 
AFA Mothership Fleet Cooperative. This cooperative harvests the 
exclusive pollock allocation mandated for the mothership sector under 
section 206(b) of the AFA. The AFA Mothership Fleet Cooperative will be 
responsible for the payment of the AFA mothership cooperative fee.
    NMFS recognizes that each AFA sector has slightly different 
management costs. This final rule establishes that NMFS will calculate 
fee percentage and fee liability separately for the catcher/processor 
sector, mothership sector, and inshore sector. NMFS estimates that 
annual fee liabilities for each sector will range from 0.23 percent to 
0.72 percent of the ex-vessel value of Bering Sea pollock.

     Table 1--Summary of the AFA Cost Recovery Fee Program Elements
------------------------------------------------------------------------
 
------------------------------------------------------------------------
What species are subject to a cost  Bering Sea pollock.
 recovery fee?
How is the standard price           NMFS will calculate a standard price
 determined?                         based on data from the Commercial
                                     Operators Annual Report (COAR) from
                                     the previous calendar year.

[[Page 153]]

 
Are there any additional reporting  No.
 requirements for AFA cooperatives
 to determine the standard price?
How will NMFS determine the         NMFS will add total reported
 Standard Ex-vessel Value?           landings of Bering Sea pollock from
                                     January 1 through November 30, and
                                     estimate total landings in each
                                     year (beginning in 2016) from
                                     December 1 through December 31, if
                                     any, for each AFA cooperative or
                                     sector and multiply that amount by
                                     the standard price determined by
                                     COAR data to calculate a standard
                                     ex-vessel value for each AFA
                                     cooperative or sector.
Who is responsible for submission   AFA Catcher/Processor Sector (1):
 of the fee payment and (how many    The designated entity
 cooperatives are estimated to       representative for the catcher/
 receive a fee liability notice)?    processor sector under Sec.
                                     679.21(f)(8)(i)(C).
                                    AFA Mothership Sector (1): The
                                     designated representative for the
                                     AFA Mothership Fleet Cooperative.
                                    AFA Inshore Sector (7): The
                                     designated representative on each
                                     AFA Inshore Catcher Vessel
                                     Cooperative Permit application.
When are the standard prices        The standard prices are published in
 published in the Federal Register   the Federal Register by December 1
 and when are the fee liability      of each calendar year, and the fee
 notices sent?                       liability notices will be sent to
                                     each designated representative by
                                     December 1 of each year (beginning
                                     December 1, 2016).
When are fee payments due and how   Fee payments are due by December 31
 are they submitted?                 of each year (beginning December
                                     31, 2016), and must be submitted
                                     online. Submittal forms are
                                     available online at: http://www.alaskafisheries.noaa.gov.
------------------------------------------------------------------------

Aleutian Islands Pollock Cost Recovery Fee Program

    This cost recovery fee program will apply to participants in the 
Aleutian Islands pollock fishery. The Aleutian Islands Pollock Program 
allocates the Aleutian Islands directed pollock fishery TAC to the 
Aleut Corporation, consistent with the Consolidated Appropriations Act 
of 2004 (Pub. L. 108-109), and its implementing regulations. Annually, 
prior to the start of the pollock season, the Aleut Corporation 
provides NMFS with the identity of their designated representative. 
This person will be responsible for the submission of all cost recovery 
fees. The Aleutian Islands pollock fishing regulations are at Sec.  
679.20(a)(5)(iii).
    Prior to 2015, Aleutian Islands pollock was not harvested due to 
restrictions imposed by Steller sea lion protection measures. 
Therefore, prior to 2015, NMFS reallocated the Aleutian Islands pollock 
allocation to the AFA Program in the Bering Sea. Changes in Steller sea 
lion protection measures effective in 2015 allow for a directed pollock 
fishery to occur in the Aleutian Islands (79 FR 70286, November 25, 
2014). However, NMFS does not know whether participants will be able to 
successfully harvest the Aleutian Islands pollock because there has not 
been an Aleutian Islands pollock fishery since 1999. NMFS will 
reallocate any Aleutian Islands pollock not harvested in the Aleutian 
Islands to the AFA Program in the Bering Sea. Any pollock that NMFS 
reallocates from the Aleutian Islands Pollock Program to the AFA 
Program will be subject to cost recovery fees under the provisions of 
the AFA Program.
    NMFS estimates that the cost recovery fee percentage applicable to 
Aleutian Islands pollock will be the same percentage applicable to 
Bering Sea pollock harvested by the AFA Program (Section 1.8.6.5 of the 
Analysis). Based on the information in the Analysis, NMFS assumes that 
the Aleutian Islands Pollock and the AFA Programs have similar 
management costs and ex-vessel values. NMFS will assess and determine a 
fee percentage specifically for Aleutian Islands pollock if management 
requirements differ between the Aleutian Islands Pollock Program and 
the AFA Program. Estimates of recoverable costs will be determined once 
additional information on the management costs for the Aleutian Islands 
pollock fishery is available.

   Table 2--Summary of the Aleutian Islands Pollock Cost Recovery Fee
                            Program Elements
------------------------------------------------------------------------
 
------------------------------------------------------------------------
What species are subject to a cost  Aleutian Islands pollock.
 recovery fee?
How is the standard price           NMFS will calculate a standard price
 determined?                         based on data from the COAR from
                                     the previous calendar year. The
                                     standard price will be applied to
                                     all landings during a calendar
                                     year.
Are there any additional reporting  No.
 requirements for the Aleut
 Corporation to determine the
 standard price?
How will NMFS determine the         NMFS will add total reported
 Standard Ex-vessel Value?           landings of Aleutian Islands
                                     pollock from January 1 through
                                     November 30, and estimate total
                                     landings in each year (beginning in
                                     2016) from December 1 through
                                     December 31, if any, and multiply
                                     that amount by the standard price
                                     determined by COAR data to
                                     calculate a standard ex-vessel
                                     value for the Aleut Corporation.
Who is responsible for fee payment  Aleut Corporation (1).
 and (how many cooperatives are
 estimated to receive a fee
 liability notice)?
When are the standard prices        The standard prices are published in
 published in the Federal Register   the Federal Register by December 1
 and when are fee liability          of each calendar year, and the fee
 notices sent?                       liability notices will be sent to
                                     each designated representative by
                                     December 1 of each year (beginning
                                     December 1, 2016).
When are fee payments due and how   Fee payments are due by December 31
 are they submitted?                 of each year (beginning December
                                     31, 2016), and must be submitted
                                     online. Submittal forms are
                                     available online at: http://www.alaskafisheries.noaa.gov.
------------------------------------------------------------------------


[[Page 154]]

Amendment 80 Cost Recovery Fee Program

    This cost recovery fee program will apply to participants in the 
Amendment 80 fisheries. The Amendment 80 Program allocates groundfish 
fisheries TAC, other than Bering Sea pollock, to identified trawl 
catcher/processors in the BSAI. The Amendment 80 Program allocates a 
portion of the BSAI TACs of six species: Atka mackerel, Pacific cod, 
flathead sole, rock sole, yellowfin sole, and Aleutian Islands Pacific 
ocean perch. Amendment 80 vessel owners can harvest these species in 
cooperatives that receive an exclusive harvest privilege, or in an 
``open access'' fishery that will not be subject to a cost recovery fee 
requirement.
    All 27 vessels currently participating in the Amendment 80 Program 
and their vessel owners are members of cooperatives and are subject to 
a cost recovery fee. Each Amendment 80 cooperative is responsible for 
payment of any cost recovery fee, and each Amendment 80 cooperative 
will designate a person responsible for submitting its fee and provide 
NMFS with the identity of that person. NMFS estimates that annual fee 
liabilities for Amendment 80 cooperatives will range from 1.22 to 1.77 
percent of the ex-vessel value of allocated species (Section 1.8.4.6 of 
the Analysis).

 Table 3--Summary of the Amendment 80 Cost Recovery Fee Program Elements
------------------------------------------------------------------------
 
------------------------------------------------------------------------
What species are subject to a cost  Amendment 80 species: BSAI Atka
 recovery fee?                       mackerel, BSAI flathead sole, BSAI
                                     Pacific cod, Aleutian Islands
                                     Pacific ocean perch, BSAI rock
                                     sole, and BSAI yellowfin sole.
How is the standard price           NMFS will calculate a standard price
 determined?                         for BSAI Pacific cod based on data
                                     from the Pacific Cod Ex-vessel
                                     Volume and Value Report. The
                                     standard price will be applied to
                                     all landings during a calendar
                                     year.
                                    NMFS will calculate a standard price
                                     for all other species other than
                                     Pacific cod from the First
                                     Wholesale Volume and Value Report.
                                     The standard price will be applied
                                     to all landings during a calendar
                                     year, except for BSAI rock sole.
                                     For BSAI rock sole, NMFS will
                                     calculate one standard price for
                                     landings made from January 1
                                     through March 31, and a separate
                                     standard price for landings made
                                     from April 1 through December 31 of
                                     each year.
Are there any additional reporting  Yes. Each Amendment 80 vessel owner
 requirements to determine the       that lands Amendment 80 species
 standard price?                     during a calendar year is required
                                     to submit a First Wholesale Volume
                                     and Value Report.
How will NMFS determine the         NMFS will add total reported
 Standard Ex-vessel Value?           landings of Amendment 80 species
                                     from January 1 through November 30,
                                     and estimate total landings in each
                                     year (beginning in 2016) from
                                     December 1 through December 31, if
                                     any, and multiply that amount by
                                     the standard price determined by
                                     the applicable volume and value
                                     report to calculate a standard ex-
                                     vessel value for each Amendment 80
                                     cooperative.
Who is responsible for fee payment  Each Amendment 80 cooperative's
 and (how many cooperatives are      designated representative listed on
 estimated to receive a fee          the Cooperative Quota (CQ)
 liability notice)?                  application (2).
When are the standard prices        The standard prices are published in
 published in the Federal            the Federal Register by December 1
 Register, and when are fee          of each calendar year, and the fee
 liability notices sent?             liability notices will be sent to
                                     each designated representative by
                                     December 1 of each year (beginning
                                     December 1, 2016).
When are fee payments due and how   Fee payments are due by December 31
 are they submitted?                 of each year (beginning December 31
                                     2016), and must be submitted
                                     online. Submittal forms are
                                     available online at: http://www.alaskafisheries.noaa.gov.
------------------------------------------------------------------------

CDQ Cost Recovery Fee Program

    This cost recovery fee program will apply to CDQ groups. The CDQ 
Program was implemented in 1992 to provide access to BSAI fishery 
resources to villages located in Western Alaska. Since the 
implementation of the CDQ Program, Congress has amended the Magnuson-
Stevens Act to define specific provisions of the CDQ Program. Section 
305(i) of the Magnuson-Stevens Act identifies 65 villages eligible to 
participate in the CDQ Program and the six CDQ groups to represent 
these villages. CDQ groups receive exclusive harvesting privileges of 
the TACs for a broad range of crab species, groundfish species, and 
halibut. This final rule establishes a cost recovery fee program only 
for groundfish and halibut because CDQ crab cost recovery fees are 
already collected under existing regulations. Each CDQ group will be 
subject to cost recovery fee requirements, and the designated 
representative of each CDQ group will be responsible for submitting 
payment for its CDQ group. This is consistent with the method NMFS uses 
to collect fees for the crab CDQ cost recovery program. NMFS estimates 
that annual fee liabilities for a CDQ group will range from 0.73 to 
1.33 percent of the harvested ex-vessel value of CDQ groundfish and 
halibut.

     Table 4--Summary of the CDQ Cost Recovery Fee Program Elements
------------------------------------------------------------------------
 
------------------------------------------------------------------------
What species are subject to a cost  BSAI halibut and groundfish species
 recovery fee?                       allocated to the CDQ Program: BSAI
                                     Arrowtooth Flounder, BSAI Atka
                                     mackerel, BSAI flathead sole,
                                     Bering Sea Greenland turbot, BSAI
                                     Pacific cod, Aleutian Islands
                                     Pacific ocean perch, BSAI pollock,
                                     BSAI rock sole, BSAI sablefish, and
                                     BSAI yellowfin sole.
How is the standard price           NMFS will calculate a standard price
 determined?                         for BSAI Pacific cod based on data
                                     from the Pacific Cod Ex-vessel
                                     Volume and Value Report. The
                                     standard price will be applied to
                                     all landings during a calendar
                                     year.
                                    NMFS will calculate a standard price
                                     for all other species other than
                                     BSAI pollock, BSAI Pacific cod,
                                     BSAI sablefish, and BSAI halibut
                                     from the First Wholesale Volume and
                                     Value Report. The standard price
                                     will be applied to all landings
                                     during a calendar year, except for
                                     BSAI rock sole. For BSAI rock sole,
                                     NMFS will calculate one standard
                                     price for landings made from
                                     January 1 through March 31, and a
                                     separate standard price for
                                     landings made from April 1 through
                                     December 31 of each year.
                                    NMFS will calculate a standard price
                                     for BSAI pollock based on data from
                                     the COAR from the previous calendar
                                     year. The standard price will be
                                     applied to all landings during a
                                     calendar year.
                                    NMFS will calculate a standard price
                                     for BSAI sablefish and BSAI halibut
                                     from the IFQ Buyer Report. The
                                     standard price will be applied to
                                     all landings during a calendar
                                     year.

[[Page 155]]

 
Are there any additional reporting  No.
 requirements from CDQ groups to
 determine the standard price?
How will NMFS determine the         NMFS will add total reported
 Standard Ex-vessel Value?           landings of species subject to a
                                     CDQ cost recovery fee from January
                                     1 through November 30, and estimate
                                     total landings in each year
                                     (beginning in 2016) from December 1
                                     through December 31, if any, and
                                     multiply that amount by the
                                     standard price determined by the
                                     volume and value report, COAR
                                     Report, or IFQ Buyer Report
                                     applicable to that species to
                                     calculate a standard ex-vessel
                                     value for each CDQ group.
Who is responsible for fee payment  Each CDQ group's designated
 and (how many cooperatives are      representative (6).
 estimated to receive a fee
 liability notice)?
When are the standard prices        The standard prices are published in
 published in the Federal Register   the Federal Register by December 1
 and when are the fee liability      of each calendar year, and the fee
 notices sent?                       liability notices will be sent to
                                     each designated representative by
                                     December 1 of each year (beginning
                                     December 1, 2016).
When are fee payments due and how   Fee payments are due by December 31
 are they submitted?                 of each year (beginning December
                                     31, 2016), and must be submitted
                                     online. Submittal forms are
                                     available online at: http://www.alaskafisheries.noaa.gov.
------------------------------------------------------------------------

Response to Comments

    NMFS published a proposed rule that describes in detail the 
statutory authority to implement cost recovery fee programs, the 
Programs affected by the implementation of a cost recovery fee program, 
and how NMFS will implement the new cost recovery fee programs, in the 
Federal Register on January 7, 2015 (80 FR 936). The 30-day comment 
period on the proposed rule ended February 6, 2015. NMFS received a 
total of three comment letters from three unique persons representing 
participants in programs that are subject to cost recovery under this 
final rule. The comment letters contained 24 substantive comments. A 
summary of the comments received and NMFS' responses follow.

Comments on NMFS' Costs Subject to Recovery

    Comment 1: NMFS received several comments regarding the process for 
calculating costs subject to cost recovery. The issues raised in the 
comments include the following:
     Base fee liabilities on the incremental costs associated 
with management and enforcement of the specific LAP or CDQ Program.
     Do not assess costs attributed to the general management 
of the fisheries that cannot be directly attributed to the specific LAP 
or CDQ Program.
     Appropriately apportion costs among LAP and CDQ programs 
to ensure that costs applicable to one program are not attributed to 
another program.
     Do not include costs associated with deploying and 
debriefing observers in the cost recovery fee calculations since 
observer deployment and debriefing would have been implemented without 
the implementation of the LAP or CDQ programs.
     Provide detailed cost breakouts for each LAP and CDQ 
Program.
    Response: Section 304(d)(2)(A) of the Magnuson-Stevens Act states 
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 and community 
development quota program that allocates a percentage of the total 
allowable catch of a fishery to such program.
    As stated in the preamble to the proposed rule, NMFS intends to 
employ the same accounting methods for the cost recovery fee programs 
established by this rule as NMFS has consistently used in cost recovery 
fee programs in the Alaska Region (Halibut and Sablefish Individual 
Fishing Quota (IFQ) Program, Crab Rationalization Program, and the 
Central Gulf of Alaska Rockfish Program). This methodology to assess 
cost recovery fees is consistent with the Magnuson-Stevens Act and 
current NOAA policy (NOAA Technical Memorandum NMFS-F/SPO-86, November 
2007). The costs described in Section 1.8.3 of the Analysis and the 
preamble to the proposed rule provide the best available description of 
the costs subject to cost recovery for each LAP program and the CDQ 
Program. As explained in in Section 1.8.3 of the Analysis, NMFS will 
only assess costs that can be directly attributed to the specific LAP 
or CDQ Program.
    NMFS agrees that costs should be accurately attributed to each CDQ 
and LAP program. As noted in the preamble to the proposed rule, NMFS 
will capture the incremental costs of managing the fisheries of each 
CDQ or LAP program through an established accounting system that allows 
NMFS to track labor, travel, and procurement specific to that program. 
This process is described in Section 1.8.3 of the Analysis. This 
accounting system will allow NMFS to properly apportion costs among the 
CDQ and LAP programs.
    NMFS agrees that certain categories of observer costs should not be 
included in the fee calculation. For example, many catcher/processors 
operating in the directed pollock and non-pollock fisheries in the BSAI 
were required to carry an observer prior to the implementation of the 
AFA or the Amendment 80 Programs. Costs associated with the debriefing 
and training of one observer will not be assessed or included in the 
fee calculation. However, NMFS required additional observer coverage 
for implementation of the AFA and the Amendment 80 Programs (Section 
1.8 of the Analysis). These LAP programs required the deployment of two 
observers on board each AFA catcher/processor or Amendment 80 vessel. 
NMFS will assess fees for costs necessary to debrief and train the 
second observer because those costs are incurred as a direct result of 
the implementation of those LAP programs.
    NMFS agrees that information on the costs used to determine the fee 
should be disclosed annually. NMFS will make publically available an 
annual report that provides information on how the cost recovery fee 
was estimated for that year. This report will be structured like the 
cost recovery fee reports that are currently generated for the Halibut 
and Sablefish IFQ Program and Crab Rationalization Program. An example 
of the Halibut and Sablefish Cost Recovery Fee report for 2013 is 
available at https://alaskafisheries.noaa.gov/ram/fees/feerpt2013.pdf.
    Comment 2: The cost recovery regulations should be revised to more

[[Page 156]]

clearly incorporate the Magnuson-Stevens Act's limitations on costs 
that may be recovered. To focus on truly recoverable costs, revise the 
regulations to incorporate the definition of ``direct program costs'' 
provided under the cost recovery rule established for certain Pacific 
Coast groundfish fisheries (78 FR 75269, December 11, 2013).
    Response: This final rule already incorporates the section 
304(d)(2)(B) Magnuson-Stevens Act limitation on the costs that may be 
recovered and clearly states that the fee percentage amount must not 
exceed 3 percent of the ex-vessel value of the species harvested under 
the Program. In this final rule at Sec.  679.2, the definition of the 
fee percentage for each program limits the fee percentage to no greater 
than 3 percent. Additionally, the cost recovery regulations specific to 
each program state that the fee amounts must not exceed 3 percent, see 
this final rule at Sec. Sec.  679.33(c)(1), 679.66(c)(1), 679.67(c)(1), 
and 679.95(c)(1).
    NMFS' recoverable costs are limited by the Magnuson-Stevens Act. 
Section 304(d) of the Magnuson-Stevens Act states that the recoverable 
costs must be the actual costs directly related to the management, data 
collection, and enforcement of the CDQ or LAP programs. NMFS will use 
the accounting methods that have been developed for all other cost 
recovery programs in the North Pacific to determine the ``direct 
program costs'' that are recoverable, as described in the preamble to 
the proposed rule. NMFS made no changes to this final rule at 
Sec. Sec.  679.33(c)(2)(ii), 679.66(c)(2)(ii), 679.67(c)(2)(ii), or 
679.95(c)(2)(ii) because the direct program cost language is consistent 
with the Magnuson-Stevens Act, regulations implementing the other North 
Pacific cost recovery fee programs, and NOAA policy.
    Comment 3: Explain the cause of the rapid increase in the Gulf of 
Alaska Rockfish Program cost recovery fee to 3 percent of its ex-vessel 
value. Ensure that a similar rapid and unanticipated increase in the 
fee percentage will not happen to the cost recovery fees for these CDQ 
and LAP programs.
    Response: The preamble to the final rule that implemented the Gulf 
of Alaska Rockfish Program (Amendment 88 to the Fishery Management Plan 
for Groundfish of the Gulf of Alaska) stated that, given the relatively 
small value of the Rockfish Program relative to anticipated 
administrative costs, cost would likely exceed 3 percent of the ex-
vessel value of the Rockfish Program, therefore, it would be likely 
that the costs recovery fee for the Rockfish Program would be 3 
percent, the statutory limit established by the Magnuson-Stevens Act 
(76 FR 81263, December 27, 2011). Cost recovery fee percentages in the 
Rockfish Program have ranged from 1.4 percent in 2012 (the year the 
Rockfish Program cost recovery fee was implemented), to 3 percent in 
2015 (the most recent year for which a cost recovery fee was assessed). 
NMFS attributes the increase in the fee percentage in 2015 primarily to 
a decrease in the ex-vessel value of rockfish, and to a lesser extent, 
an increase in NMFS' management and enforcement costs (80 FR 6053, 
February 4, 2015).
    As stated in Section 1.8.4.6 (Amendment 80), Section 1.8.6.5 (AFA/
Aleutian Islands pollock), and Section 1.8.5.5 (CDQ) of the Analysis, 
NMFS does not anticipate that the factors that led to the increase in 
the Rockfish Program cost recovery fee percentage are likely to exist 
in the CDQ and LAP programs subject to cost recovery under this rule. 
The referenced sections of the Analysis show that the CDQ and LAP 
Program fisheries have substantially higher ex-vessel values than the 
ex-vessel value of the Rockfish Program fishery. The Rockfish Program 
fishery ex-vessel value fell from about $14.3 million in 2012 to about 
$6.3 million in 2014. Section 1.8.4.6 (Amendment 80), Section 1.8.6.5 
(AFA/Aleutian Islands pollock), and Section 1.8.5.5 (CDQ) of the 
Analysis state that NMFS does not expect future ex-vessel values or 
anticipated costs subject to cost recovery to change in a way that 
would result in a 3 percent cost recovery fee for these Programs.
    Section 1.8.1 of the Analysis states that the Crab Rationalization 
Program has not experienced an increase in its fee percentage, but the 
Halibut and Sablefish IFQ Program has had an increase in its fee 
percentage over time. In the Crab Rationalization Program, the fee 
percentage declined over time due to a variety of factors, including 
(1) increasing TACs for various crab species, (2) increasing ex-vessel 
prices for various crab species, and (3) decreasing management costs. 
In the Halibut and Sablefish IFQ Program, the fee percentage has 
increased due to costs remaining fairly constant and ex-vessel value 
decreasing due to reduced harvests that have not been off-set by 
increases in ex-vessel prices.

Comments on the CDQ Cost Recovery Fee Program

    Comment 4: NMFS' definition of a ``person'' as each CDQ group that 
is issued an annual CDQ allocation is consistent with the way that each 
CDQ group manages its allocations individually for all other purposes.
    Response: NMFS agrees. Regulations at Sec.  679.2 define a CDQ 
group as ``an entity identified as eligible for the CDQ Program under 
16 U.S.C. 1855(i)(1)(D).'' The six eligible CDQ groups are listed in 
Table 7 to 50 CFR part 679. Each CDQ group is responsible for a fee 
payment, and each CDQ group must designate a representative who is 
responsible for submitting a fee payment for that CDQ group (see 
regulations at Sec.  679.33(a)).

Comments on the AFA Cost Recovery Fee Program

    Comment 5: The Bering Sea pollock directed fishing allowance does 
not meet the Magnuson-Stevens Act's definition of individual fishing 
quota because it is not a permit. The directed fishing allowance does 
not allow any person ``to harvest a quantity of fish'' for that 
person's ``exclusive use.'' The directed fishing allowance is the 
amount of fish available to be harvested with a permit and therefore is 
a management restriction on a group of vessels rather than a permit. 
That is exactly how NMFS' regulation at Sec.  679.20(a) describes the 
pollock directed fishing allowance.
    Response: Section 3 of the Magnuson-Stevens Act defines an 
individual fishing quota as ``a Federal permit under a limited access 
system to harvest a quantity of fish, expressed by a unit or units 
representing a percentage of the total allowable catch of a fishery 
that may be received or held for exclusive use by a person.'' According 
to Sec.  679.2, a permit means documentation granting permission to 
fish.
    The harvest specifications, with the AFA directed fishing allowance 
entitling the catcher/processor sector to harvest a quantity of fish 
for its exclusive use, is the individual fishing quota and 
documentation granting permission to fish. NMFS publishes harvest 
specifications each year in the Federal Register that allocate a 
specific percentage of the pollock TAC to the AFA sectors, called the 
directed fishing allowance, for exclusive use by eligible AFA permit 
holders (see the most recent example at Table 4, 80 FR 11919, March 5, 
2015; corrected 80 FR 13787, March 17, 2015). The harvest 
specifications with the directed fishing allowance is a permit that 
authorizes the AFA sectors to harvest a portion of the pollock TAC each 
year.
    Federal regulations at Sec.  679.20(a)(5)(i)(A)(4) specify that the 
catcher/processor sector allocation is 40 percent of the directed 
fishing allowance that is allocated to AFA catcher/processors and AFA 
catcher

[[Page 157]]

vessels that deliver to catcher/processors. The AFA catcher/processor 
sector has exclusive use of its directed fishing allowance because the 
catcher/processors that are eligible to participate are specified in 
the AFA, FMP, and associated regulations. The exclusive quantity of 
fish allocated to the AFA catcher processor sector is then harvested by 
those specified in the FMP and regulations according to contractual 
arrangement among the members of that sector.
    Comment 6: The Cooperative Agreement between Offshore Pollock 
Catchers' Cooperative and Pollock Conservation Cooperative (Cooperative 
Agreement) does not constitute a ``person.''
    Response: Based on this public comment, NMFS realizes that the 
proposed rule was not sufficiently specific in explaining who the 
person is that receives the individual fishing quota and is therefore 
responsible for the cost recovery fee for the AFA catcher/processor 
sector.
    Regulations at Sec.  679.2 define a person as ``any individual 
(whether or not a citizen or national of the United States), any 
corporation, partnership, association, or other non-individual entity 
(whether or not organized, or existing under the laws of any state), 
and any Federal, state, local, or foreign government or any entity of 
any such aforementioned governments.'' A similar definition of a 
``person'' is in section 3 of the Magnuson-Stevens Act.
    As explained in response to Comment 5, the directed fishing 
allowance is an individual fishing quota. NMFS allocates the directed 
fishing allowance to the AFA catcher/processor sector. NMFS considers 
the AFA catcher/processor sector an entity and therefore a person under 
the Magnuson-Stevens Act. The AFA catcher/processor sector also (1) 
shares common ownership of vessels, (2) enters into contracts that 
allow the catcher/processors to harvest the catcher vessel allocation, 
(3) participates in incentive plan agreements to avoid Chinook salmon, 
and (4) submits one salmon avoidance report and one annual cooperative 
report for the AFA catcher/processor sector each year. The contracts 
establishing these relationships among members describe and provide for 
allocations of pollock and salmon to specific vessel owners and 
operators. Section 1.6.3.3 of the Analysis describes the harvest of 
catch in the AFA catcher/processor sector in greater detail, and the 
ability of the AFA catcher/processor sector members to precisely 
harvest the sector's exclusive pollock allocation.
    Under Amendment 91 to the FMP, members of the AFA catcher/processor 
sector also formed one entity to represent the AFA catcher/processor 
sector for the purposes of receiving and managing their transferable 
Chinook salmon PSC allocation under the regulations at Sec.  
679.21(f)(8)(i)(C). The members of the AFA catcher/processor sector 
created a contract that, among other things, lists the vessel owners 
represented by the entity, and submitted an application to NMFS under 
Sec.  679.21(f)(8)(ii). NMFS has approved the application for the 
entity representing the AFA catcher/processor sector. The contract also 
designates an entity representative and an agent for service of 
process. Currently, all eligible members of the AFA catcher/processor 
sector are represented by the entity. Entity participants cannot change 
during a fishing year. To make additions or deletions to the vessel 
owners represented by the entity for the next year, the entity 
representative must submit a complete application, as described in 
Sec.  679.21(f)(8)(ii)(F), by December 1.
    NMFS has modified this final rule to clarify that the entity 
representative under Sec.  679.21(f)(8) will be the designated 
representative responsible for submitting the cost recovery fee payment 
for the AFA catcher/processor sector. See Changes from the Proposed 
Rule, below, for a complete description of the changes NMFS made to 
this final rule in response to comments on the AFA catcher/process 
sector.
    Comment 7: The pollock directed fishing allowance is allocated to 
AFA catcher/processor vessels rather than to the Cooperative Agreement. 
Even if the pollock directed fishing allowance qualifies as a 
``permit'' and the catcher/processor sector's Cooperative Agreement 
constitutes a ``person,'' the asserted permit is not held by the 
alleged person.
    Response: Each year, NMFS allocates the pollock directed fishing 
allowance to the AFA catcher/processor sector under Federal regulations 
Sec.  679.20(a)(5)(i)(A)(4), as required by section 206(b)(2) of the 
AFA. Each year, NMFS also allocates Chinook salmon PSC to the AFA 
catcher/processor sector under Amendment 91 to the FMP and Sec.  
679.21(f). Once the catcher/processor sector receives the sector's 
pollock directed fishing allowance for exclusive harvest and the 
sector's Chinook salmon PSC allocation, the AFA catcher/processor 
sector members divide these allocations among themselves.
    As explained in the response to Comment 5, the annual harvest 
specifications with the directed fishing allowance is an IFQ to the AFA 
catcher/processor sector. As explained in the response to Comment 6, 
the ``person'' who receives the exclusive harvest privilege for the 
purposes of cost recovery is the catcher/processor sector that is 
eligible to harvest pollock from that sector's directed fishing 
allowance defined in section 206(b)(2) of the AFA.
    Comment 8: The Bering Sea pollock directed fishing allowance 
provided to the AFA sectors was not created under a limited access 
system and could not have been created under such a system because it 
went into effect during the moratorium on individual fishing quotas.
    Response: In 2007, Congress adopted the Magnuson-Stevens Fishery 
Conservation and Management Reauthorization Act (MSRA, Pub. L. 109-479) 
to amend the Magnuson-Stevens Act. In the MSRA, Congress amended the 
Magnuson-Stevens Act to include language applicable to limited access 
systems and limited access programs.
    In section 3(27) of the Magnuson-Stevens Act, Congress defined 
``limited access system'' as ``a system that limits participation in a 
fishery to those satisfying certain eligibility criteria or 
requirements contained in a fishery management plan or associated 
regulation.'' Although the AFA was adopted and implemented through the 
FMP before 2007, the AFA Program meets this definition of a limited 
access system. The AFA Program is a system that limits participation in 
the Bering Sea pollock fishery to those satisfying certain eligibility 
criteria or requirements contained in a fishery management plan or 
associated regulations. The AFA specified sector allocations and 
eligibility criteria for vessels to harvest pollock in each of the 
specified sectors (section 206 and section 208 of the AFA, 16 U.S.C. 
1851 statutory note). The eligibility criteria and requirements in the 
AFA were incorporated into the FMP, the Fishery Management Plan for 
Groundfish of the Gulf of Alaska, the Fishery Management Plan for 
Bering Sea and Aleutian Islands King and Tanner Crab, and the Fishery 
Management Plan for the Scallop Fishery Off Alaska (Amendments 61/61/
13/8, respectively). NMFS manages the AFA Program through the FMPs and 
their implementing regulations (67 FR 79692, December 30, 2002).
    NMFS is implementing the cost recovery program for the AFA under 
authority of section 304(d) of the Magnuson-Stevens Act. Section 
304(d)(2)(A) of the Magnuson-Stevens Act, which was adopted as part of 
the MSRA, authorizes and requires the

[[Page 158]]

Secretary to collect a cost recovery fee for limited access privilege 
programs. In section 3(26) of Magnuson-Stevens Act, Congress defined 
the term ``limited access privilege'' and specifically included 
``individual fishing quota.''
    The AFA Program is a limited access privilege program because (1) 
NMFS issues a permit as part of a limited access system established by 
the AFA Program, (2) this permit allows the harvest of a quantity of 
pollock representing a portion of the TAC managed under the AFA 
Program, and (3) this permit is issued for exclusive use by a person, 
the AFA catcher/processor sector. Therefore, NMFS is implementing cost 
recovery fees for the AFA catcher/processor sector as authorized and 
required in section 304(d)(2) of the Magnuson-Stevens Act.
    Further, the AFA does not prohibit the Secretary from imposing cost 
recovery requirements on participants in the AFA catcher/processor 
sector. Section 213(b) of the AFA states that, except for the measures 
required by this subtitle [subtitle II, Bering Sea Pollock Fishery], 
nothing in the subtitle shall be construed to limit the authority of 
the Council or the Secretary under the Magnuson-Stevens Act to approve 
conservation and management measures as part of a fishery management 
plan and to give effect to measures in those plans. Therefore, NMFS may 
implement the requirements of section 304(d) of the Magnuson-Stevens 
Act and establish a cost recovery program for participants in the AFA 
Program, including the AFA catcher/processor sector.
    As for the moratorium on IFQ programs, section 303(d)(1)(A) of the 
1996 Magnuson-Stevens Act (Section 108(e) of the Sustainable Fisheries 
Act, Pub. L. 104-297) prohibited the Council from submitting and the 
Secretary from approving or implementing before October 1, 2000, any 
plan amendment or regulations that created a new individual fishing 
quota program. On December 21, 2000, Congress extended the moratorium 
until October 1, 2002, in the Consolidated Appropriations Act of 2001 
(Section 144(a), Pub. L. 106-554). The moratorium ended on October 1, 
2002, and was not extended again by Congress.
    During the moratorium on IFQ Programs, on October 21, 1998, 
Congress adopted the AFA and explicitly directed the Council and NMFS 
to implement, by January 1, 1999, the provisions of the AFA allocating 
a portion of the TAC of BSAI pollock to the catcher/processor sector 
(Section 206 of the AFA, Pub. L. 105-277, 16 USCA 1851 note). In the 
Consolidated Appropriations Act of 2001, the same Act where Congress 
extended the moratorium on IFQ programs, Congress also mandated that 
all BSAI groundfish management measures, which included the AFA 
management measures, in effect as of July 15, 2000, be extended through 
the end of 2001 (Section 209(c)(3), Pub. L. 106-554). On November 28, 
2001, Congress made key provisions of the AFA permanent, including the 
pollock allocation to the catcher/processor sector, in section 211 of 
the Department of Commerce and Related Agencies Appropriation Act of 
2002 (Pub. L. 107-77).
    While the permanent AFA management program was under analysis and 
development, NMFS met the statutory deadlines in the AFA on an interim 
basis through several emergency interim rules starting in January 1999 
(64 FR 3435, January 22, 1999) that were extended through the end of 
2002 (67 FR 34860, May 16, 2002). The Secretary approved the FMP 
amendments implementing the AFA on February 27, 2002, and NMFS 
published final implementing regulations for the AFA on December 30, 
2002, after the moratorium ended (67 FR 79692). The Administrator, 
Alaska Region, NMFS, determined that the FMP amendments were necessary 
for the conservation and management of the groundfish, crab, and 
scallop fisheries off Alaska and that they are consistent with the 
Magnuson-Stevens Act and other applicable laws (67 FR 79692, December 
30, 2002).
    By adopting the AFA in 1998, by mandating its implementation in 
1999, and by making it permanent in 2001, Congress in effect adopted an 
exception to the moratorium on IFQ programs for the AFA. Further, NMFS 
did not adopt permanent regulations implementing the AFA until after 
the IFQ moratorium ended.
    Comment 9: Imposing cost recovery on vessel owners in the AFA 
catcher/processor sector who voluntarily end ``a race for fish'' 
creates a disincentive to rationalize through private cooperation.
    Response: The AFA, not the vessel owners in the AFA catcher/
processor sector, ended the ``race for fish.'' As explained in response 
to Comment 8, the AFA, and the implementing FMP amendments and 
regulations, created a limited access privilege program. The AFA 
Program required a fixed allocation of pollock to specific vessels that 
are eligible to participate in the fishery. The AFA allocated 40 
percent of the annual pollock TAC to catcher/processors and catcher 
vessels that harvest pollock for processing by catcher/processors and 
the AFA named the specific vessels that are eligible to harvest that 
allocation. Additionally, ending the race for fish resulted in 
substantial economic benefits to fishery participants (Section 1.5.3.1 
of the Analysis).
    Comment 10: If the Pacific whiting catcher/processor sector that 
currently operates off the west coast in the waters under the 
jurisdiction of the Pacific Fishery Management Council was not 
considered to be a LAP program prior to 2011, then why is the AFA 
catcher/processor sector considered a LAP program? NMFS should identify 
any material differences in management of the AFA catcher/processor 
sector today and the Pacific whiting catcher/processor sector prior to 
2011.
    Response: The primary material difference between the Pacific 
whiting fishery and the AFA catcher/processor sector is that the 
Pacific whiting fishery is not managed under the AFA. The AFA Program 
is a limited access privilege program because the AFA mandated 
allocations and specifically named eligible participants. The AFA and 
Federal regulations at Sec.  679.20(a)(5)(i)(A)(4) allocate 40 percent 
of the directed fishing allowance to the AFA catcher/processor sector 
and AFA catcher vessels delivering to the catcher/processors. The AFA 
catcher/processor sector has exclusive use of its directed fishing 
allowance because the catcher/processors that are eligible to 
participate are specified in section 208(e) of the AFA and Federal 
regulations at Sec.  679.4(l)(2), and the catcher vessels that are 
eligible to deliver to those catcher/processors are specified in 
section 208(b) of the AFA and Federal regulations at Sec.  
679.4(l)(3)(i)(A). The AFA catcher/processor sector manages its 
exclusive directed fishing allocation for the benefit of its members.
    For a description of the management of the Pacific whiting catcher/
processor sector that operates off the west coast in the waters under 
the jurisdiction of the Pacific Fishery Management Council, please see 
the proposed rule to establish a trawl rationalization program for the 
Pacific Coast groundfish fishery (75 FR 32994, June 10, 2010).
    Comment 11: NMFS defines the person responsible for paying the cost 
recovery fee applicable to the AFA catcher/processor sector in the 
proposed rule at Sec.  679.66(a)(1)(ii). This regulation should be 
revised to read ``the person designated as the representative of the 
Cooperative Agreement between Offshore Pollock Catchers' Cooperative 
and Pollock Conservation Cooperative.''
    Response: Based on this and similar comments from the same 
commenter, regarding the person responsible for paying the cost 
recovery fee, NMFS has

[[Page 159]]

modified this final rule to specify the AFA catcher/processor sector's 
designated representative responsible for paying the cost recovery fee. 
Under the Amendment 91 implementing regulations, the AFA catcher/
processor sector has already designated an entity for the management of 
the Chinook salmon PSC that represents all the participants in the 
sector. Use of the entity representative resolves the confusion over 
who the designated representative is for the AFA catcher/processor 
sector that is responsible for submitting the cost recovery fee 
payment. NMFS has modified this final rule at Sec.  679.66(a)(1)(ii) to 
clarify that the entity representative under Sec.  679.21(f)(8)(i)(C) 
will be the designated representative responsible for submitting the 
cost recovery fee payment. See response to Comment 6 for additional 
information.
    For the AFA catcher/processor sector, the proposed rule specified 
that the representative responsible for submitting the cost recovery 
payment for all Bering Sea pollock landings made under the authority of 
their cooperative is the person designated as the representative of the 
listed AFA catcher/processors and catcher vessels that deliver to them. 
However, the proposed rule did not include a mechanism for designating 
this representative to NMFS. Since public comments expressed concern 
with the appropriate representative for the AFA catcher/processor 
sector, NMFS modified this final rule to provide clarity. With this 
change, the AFA catcher/processor sector will use its existing entity 
and entity representative that the AFA catcher/processor sector has 
already designated with NMFS under the implementing regulations for 
Amendment 91 to submit the fee.
    Comment 12: In the proposed rule at Sec. Sec.  679.66(c)(2), 
679.66(c)(2)(iii)(B), 679.66(c)(3)(i), and 679.66(c)(5)(iii), the 
references to a cooperative of listed AFA catcher/processors and 
catcher vessels delivering to catcher/processors should be revised to 
read ``the Cooperative Agreement between Offshore Pollock Catchers' 
Cooperative and Pollock Conservation Cooperative'' or, where 
appropriate, to the representative of that agreement. References to 
``an AFA cooperative,'' ``an AFA cooperative representative,'' and 
``cooperative'' in the proposed rule at Sec.  679.66(c)(4) and (5)(i) 
should also include references to the Cooperative Agreement or, where 
appropriate, the agreement's representative.
    Response: This final rule at Sec.  679.66(c) governs the 
calculation of the AFA catcher/processor sector fee percentage and fee 
liability determination. In the proposed rule, NMFS had used 
cooperative as a general term applicable to the three AFA sectors. 
However, the use of the term cooperative for the AFA catcher/processor 
sector generated concern, as reflected in this public comment. Based on 
this and similar comments from the same commenter, NMFS has modified 
this final rule to specify that NMFS will calculate the AFA fee 
percentage for the AFA catcher/processor sector. NMFS changed 
Sec. Sec.  679.66(c)(2) introductory text, 679.66(c)(2)(iii)(B), 
679.66(c)(3)(i), 679.66(c)(4), and 679.66(c)(5)(i) and (iii) to add 
language specifying the entity representative for the AFA catcher/
processor sector and stating that these paragraphs are applicable to 
the AFA catcher/processor sector. See response to Comments 6 and 11 for 
additional information on the entity representative for the AFA 
catcher/processor sector.
    Comment 13: The definition of ``AFA fee liability'' at Sec.  679.2 
should be revised to mean ``the amount of money . . . owed to NMFS by 
an AFA cooperative or the Cooperative Agreement between Offshore 
Pollock Catchers' Cooperative and Pollock Conservation Cooperative . . 
. .''
    Response: NMFS has changed the definition of ``AFA fee liability'' 
at Sec.  679.2 in this final rule to clarify that the AFA fee liability 
means the amount of money for Bering Sea pollock cost recovery, in U.S. 
dollars, owed to NMFS by an AFA cooperative or AFA sector as determined 
by multiplying the appropriate AFA standard ex-vessel value of landed 
Bering Sea pollock by the appropriate AFA fee percentage. For 
consistency, NMFS also changed the definition of ``AFA fee percentage'' 
at Sec.  679.2 in this final rule to clarify that the AFA fee liability 
applies to an AFA cooperative or AFA sector. See response to Comment 11 
for additional detail.
    Comment 14: Change the proposed rule at Sec.  679.66(d) to add the 
representative of the Cooperative Agreement between Offshore Pollock 
Catchers' Cooperative and Pollock Conservation Cooperative as the 
designated representative for the AFA catcher/processor sector. Make 
this change at Sec. Sec.  679.66(d)(3), 679.66(d)(3)(i), 
679.66(d)(3)(ii), 679.66(d)(4), 679.66(d)(5), and 679.66(d)(6).
    Response: This final rule at Sec.  679.66(d) governs the 
underpayment of the cost recovery fee liability. In the proposed rule, 
NMFS used cooperative as a general term applicable to the three AFA 
sectors and their unique associations. However, the use of the term 
cooperative for the AFA catcher/processor sector generated a number of 
public comments from one commenter. NMFS agrees that the proposed rule 
language Sec.  679.66(d) should be more specific regarding the 
designated representative for the AFA catcher/processor sector. 
However, NMFS disagrees that the appropriate designated representative 
for the AFA catcher/processor sector is the representative of the 
Cooperative Agreement.
    Based on this and Comments 6, 11, 12, and 13, NMFS has modified 
this final rule to specify that the designated representative for the 
AFA catcher/processor sector is the entity representative defined at 
Sec.  679.21(f)(8)(i)(C). NMFS changed this final rule at Sec. Sec.  
679.66(d)(3), 679.66(d)(3)(i), 679.66(d)(3)(ii), 679.66(d)(4), 
679.66(d)(5), and 679.66(d)(6) to add language specifying the entity 
representative for the AFA catcher/processor sector and that these 
paragraphs are applicable to the AFA catcher/processor sector.
    Comment 15: References to ``an AFA cooperative,'' ``an AFA 
cooperative representative,'' and ``cooperative'' in the proposed rule 
at Sec. Sec.  679.66(e) and 679.66(f) should also include references to 
``the Cooperative Agreement between Offshore Pollock Catchers' 
Cooperative and Pollock Conservation Cooperative'' or, where 
appropriate, the agreement's representative.
    Response: This final rule at Sec.  679.66(e) and (f) governs over 
payment and appeals, respectively. NMFS disagrees that the Cooperative 
Agreement is the appropriate entity for the AFA catcher/processor 
sector for reasons explained in the response to Comment 11. However, 
NMFS changed this final rule at Sec.  679.66(e) and (f) to clarify that 
the designated representative is the appropriate person for activities 
regulated by Sec.  679.66(e) and (f).
    Comment 16: In Sec.  679.66(g) Administrative Fees, the reference 
to the account drawn on to pay the ``CDQ fee liability'' should refer 
to the ``AFA fee liability.''
    Response: NMFS removed paragraph (g) Administrative Fees from each 
cost recovery program at Sec. Sec.  679.33, 679.66, 679.67, and 679.95. 
These paragraphs addressed administrative fees if the account drawn on 
to pay the cost recovery fee liability has insufficient funds to cover 
the transaction or if the account becomes delinquent. These paragraphs 
are not necessary because the Debt Collection Improvement Act of 1996, 
as explained in the Treasury Financial Manual Part 4, Chapter 4000, 
generally requires Federal agencies to

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transfer any nontax debt to U.S. Department of the Treasury's Bureau of 
the Fiscal Service (Fiscal Service) for debt collection services. After 
transfer, Fiscal Service takes appropriate action to service, collect, 
compromise, or suspend or terminate collection action on the debt. NMFS 
then renumbered paragraph (h) as paragraph (g) Annual report.
    Comment 17: The regulations should clarify that the person 
designated as the representative of the Cooperative Agreement between 
Offshore Pollock Catchers' Cooperative and Pollock Conservation 
Cooperative is a representative of that agreement solely for purposes 
of payment of cost recovery fees.
    Response: In this final rule at Sec.  679.66(a)(1)(ii), the person 
responsible for submitting the cost recovery fee is the person 
designated as the representative of the entity representing the AFA 
catcher/processor sector under Sec.  679.21(f)(8)(i)(C).

Comments on the Amendment 80 Cost Recovery Fee Program

    Comment 18: Use the Commercial Operator's Annual Report (COAR) to 
determine the standard ex-vessel price for Amendment 80 species and 
remove the requirement that Amendment 80 cooperatives submit the First 
Wholesale Volume and Value Report. The new reporting requirement is 
burdensome, redundant, and will require additional costs for NMFS. 
These additional costs will result in additional fee liabilities for 
the Amendment 80 cooperatives. COAR data are adequate for determining 
the standard price for species covered by the First Wholesale Volume 
and Value Report and can be obtained with less cost.
    Response: NMFS considered using COAR for all species and all CDQ 
and LAP programs that would be subject to the new cost recovery 
regulations (see Section 1.7.2.1 of the Analysis). NMFS selected using 
COAR data only for the AFA and Aleutian Islands Pollock Programs 
because these are single species fisheries. As noted in Section 
1.7.2.2.1 of the Analysis, there is not substantial variation in the 
pollock ex-vessel price from year to year. Therefore, the standard ex-
vessel price is unlikely to impact the cost recovery fee that any 
person would be required to pay. Also, because a single price is set 
for all Bering Sea AFA pollock landed and only pollock is used to 
determine the cost recovery fee, the amount of the pollock each person 
harvests determines the percentage of the cost recovery fee each AFA 
person must pay.
    In contrast, the Amendment 80 and CDQ Programs are multispecies 
programs and the variation in the ex-vessel price of a species and the 
proportion of species harvested by an Amendment 80 cooperative or CDQ 
group can affect the total fee liability due. Section 1.7.2 of the RIR/
FRFA and the preamble to the proposed rule show that the ex-vessel 
price of species covered by the Pacific Cod Ex-vessel Volume and Value 
Report and the First Wholesale Volume and Value Report can vary 
substantially from year to year, and this variation would have an 
impact on the fees that each person in these programs would be liable 
to pay. Using COAR data from the previous year may not reflect the ex-
vessel prices that exist in the year that the catch subject to cost 
recovery occurs. Therefore, NMFS is requiring that Amendment 80 
cooperatives submit a First Wholesale Volume and Value Report for 
species subject to a cost recovery fee for species other than BSAI 
halibut, BSAI Pacific cod, BSAI pollock, and BSAI sablefish. NMFS 
collects data on BSAI halibut and BSAI sablefish through existing data 
collection methods that provide more timely data than that provided by 
the COAR. NMFS will collect data for BSAI Pacific cod using a separate 
Pacific Cod Ex-vessel Volume and Value Report.
    The First Wholesale Volume and Value Report allows NMFS to collect 
price and quantity data for the current year's fishery (as required 
under the Magnuson-Stevens Act) to determine the portion of the total 
cost recovery fee that each person is required to pay. NMFS must have 
this information to fulfill its obligation in assessing each person the 
required fee. The data collected from the First Wholesale Volume and 
Value Report is the minimum amount of information needed to determine 
each person's fee liability for Amendment 80 species and species other 
than BSAI halibut, BSAI Pacific cod, BSAI pollock, and BSAI sablefish.
    NMFS agrees that collecting these data through the First Wholesale 
Volume and Value Report will increase the Amendment 80 sector cost 
recovery fee and increase the reporting burden on industry. NMFS 
considered implementing monthly reporting requirements for the First 
Wholesale Volume and Value Report similar to the IFQ program's Volume 
and Value Reports. However, to reduce the reporting burden and reduce 
the overall costs to the Amendment 80 participants, NMFS determined 
that an annual First Wholesale Volume and Value Report would provide 
sufficient information to collect the cost recovery fees and reduce 
administrative costs relative to a monthly reporting requirement. 
Overall, the cost that NMFS is likely to incur to maintain and process 
the First Volume Wholesale Volume and Value Report is only a small 
proportion of NMFS' total costs to manage the Amendment 80 and CDQ 
Programs.
    Comment 19: There is no need to collect data to determine a 
standard ex-vessel price for rock sole harvests during the first 
quarter (January 1 through March 31), and a separate standard ex-vessel 
price for harvests for the remainder of the year. The intra-annual ex-
vessel price fluctuations for rock sole have been limited in recent 
years due to the decline in the rock sole and roe market. The average 
annual rock sole prices are sufficient for the Amendment 80 sector to 
determine the standard ex-vessel price.
    Response: Table 1-26 of the Analysis provides a summary of the 
estimated monthly rock sole ex-vessel prices. Table 1-26 shows that the 
difference in rock sole ex-vessel prices from the first quarter of a 
year relative to the rest of the year have declined. However, there is 
still a substantial difference in the estimated ex-vessel prices during 
the first quarter and the remainder of the year. Even in the most 
recent year of complete ex-vessel price data (2013), there was still a 
20 percent variation in price between the first quarter of the year and 
the remainder of the year. Because this difference continues to 
persist, NMFS intends to collect ex-vessel data for rock sole for the 
first quarter and for all remaining quarters, as described in proposed 
rule.
    If the price premium for rock sole in the first quarter of the year 
continues to decline, NMFS could consider modifying the First Wholesale 
Volume and Value Report in the future. The information collected in the 
First Wholesale Volume and Value Report will allow NMFS to monitor the 
rock sole ex-vessel prices and determine if a change in reporting is 
appropriate.
    Comment 20: Clarify in this final rule the term harvested fish for 
Amendment 80 vessels. NMFS should only assess fees against fish that 
were retained and offloaded from the vessel.
    Response: Section 304(d)(2)(B) of the Magnuson-Stevens Act states 
that a cost recovery fee ``shall not exceed 3 percent of the ex-vessel 
value of fish harvested under any such program.'' This rule defines the 
fish harvested and subject to a cost recovery fee as all AFA Program, 
Aleutian Islands Pollock Program, Amendment 80 Program, or CDQ Program 
landings debited against that AFA cooperative or sector, Aleut 
Corporation, Amendment 80

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cooperative, or CDQ group's allocations, respectively (see regulations 
at Sec. Sec.  679.66(c)(5)(i) for AFA, 679.67(c)(5)(i) for Aleutian 
Islands pollock, 679.95(c)(5)(i) for Amendment 80, and 679.33(c)(5)(i) 
for CDQ).
    For catcher/processor vessels that harvest fish subject to a cost 
recovery fee, NMFS uses information currently collected from at-sea 
scales and onboard observers to determine the amount and species 
composition of fish landed and debited from the applicable CDQ or LAP 
program allocation. Catcher/processors are not currently required to 
submit information on the weight and species composition of fish 
retained and offloaded. Establishing an offload reporting requirement 
and subsequent monitoring requirements would result in additional costs 
to NMFS. These costs would be included in the calculation of the cost 
recovery fee for the applicable CDQ or LAP program because NMFS would 
be requiring an offload report and monitoring requirement solely to 
monitor compliance with regulations necessary for CDQ or LAP program 
cost recovery. These additional costs are not necessary because 
information currently collected from at-sea scales and onboard 
observers provides a less costly independent source of information on 
the amount and species composition of fish harvested that are subject 
to a cost recovery fee. For catcher vessels, NMFS uses data from the 
processor receiving the fish (i.e., a fish ticket) to determine the 
amount and species composition of fish subject to a cost recovery fee.
    Comment 21: Grant the Amendment 80 Program the same exception to 
the requirement to pay the fee liability in full by December 31 as 
granted to the AFA catcher/processor sector. The Amendment 80 Program 
should receive a proportion of its quota that matches the proportion of 
fees paid by the deadline (i.e., if an Amendment 80 cooperative pays 
only 80 percent of its fee liability, then NMFS would issue only 80 
percent of the cooperative quota allocation to that cooperative). It 
would be appropriate and fair to grant this same exception because of 
difficulties associated with the timing of internal fee collection and 
unplanned increases in fees or decreases in fish values that may result 
in insufficient inseason fee collections from cooperative members.
    Response: This final rule at Sec.  679.66(d)(3)(ii) provides that 
if the AFA catcher/processor sector pays only a portion of its AFA fee 
liability, the Regional Administrator may release a portion of the 
Bering Sea pollock allocation equal to the portion of the fee liability 
paid.
    Section 1.10.1.1, Section 1.10.3.1, and the Executive Summary of 
the Analysis and the preamble to the proposed rule explain that NMFS 
can release a percentage of the allocation of catch that is equal to 
the percentage of the cost recovery fee only for single species LAP 
programs. The Amendment 80 LAP Program is a multi-species LAP program. 
Withholding a portion of the allocation for an Amendment 80 cooperative 
would be complicated by the fact that each Amendment 80 species has a 
different ex-vessel value and members within the cooperative are 
allocated different amounts of Amendment 80 quota share. These 
allocations yield different amounts of Amendment 80 cooperative quota 
(CQ) when the Amendment 80 quota share is assigned to an Amendment 80 
cooperative. Therefore, NMFS could not conclusively determine how much 
of a specific Amendment 80 species CQ allocation should be withheld.
    For example, if an Amendment 80 cooperative paid only 90 percent of 
its fee liability, it is not clear what portion of the Amendment 80 CQ 
would match the percentage of the cost recovery fee paid. Making this 
determination would require assumptions and would risk NMFS withholding 
species that do not match the cooperative allocations associated with 
the unpaid cost recovery fee. Because of this uncertainty, NMFS will 
require full payment of the cost recovery fee for the Amendment 80 
sector prior to releasing any of the cooperative's annual CQ. The 
cooperative contract should address the payment of the cost recovery 
fee and persons that do not meet the terms of the contract should be 
subject to penalties outlined in the contract.
    Comment 22: The Analysis prepared for this action should be revised 
to include some additional information on how potential reductions to 
halibut PSC limits would affect the overall revenues and the potential 
cost recovery fee percent a CDQ or LAP program would have to pay in the 
future. Specifically, the Analysis prepared for this action should 
describe the potential impact of halibut PSC reductions on the cost 
recovery fee percentage paid by the Amendment 80 Program.
    Response: Section 1.11 of the Analysis acknowledges that management 
actions recommended by the Council and implemented by NMFS could affect 
the total amount harvested by these LAP and CDQ programs. Future 
management measures applicable to LAP and CDQ programs could increase 
or reduce costs, or increase or reduce the ex-vessel value of fisheries 
subject to cost recovery. These future management actions could result 
in either an increase or a decrease in the cost recovery fee percentage 
applicable to LAP or CDQ programs.
    The Council has recommended and NMFS is reviewing reduced halibut 
PSC limits applicable to the vessels participating in the LAP and CDQ 
programs covered by this action. On November 16, 2015, NMFS published a 
proposed rule to reduce halibut PSC limits (80 FR 71650). NMFS and the 
Council prepared a draft Environmental Assessment/Regulatory Impact 
Review/Initial Regulatory Flexibility Analysis (EA/RIR/IRFA) to 
consider the impacts of that action. The draft EA/RIR/IRFA states that 
halibut PSC limit reductions could result in an increase in the cost 
recovery fee percentage due to the decreased harvests that may occur if 
halibut PSC limits constrain the ability of vessels to fish. We refer 
the reader to that EA/RIR/IRFA for additional details, see the NMFS 
Alaska Region Web site at http://alaskafisheries.noaa.gov.
    As the commenter states, changes in the halibut PSC limits 
applicable to Amendment 80 cooperatives could reduce the amount of the 
TAC harvested in these fisheries, and therefore would affect the fee 
percentage that Amendment 80 vessels would pay. Reduced catch could be 
partially offset by an increase in prices, but the world market for 
these fish and the wide availability of substitute products indicate 
that an increase in price due to reduced supply is unlikely. Given the 
estimated cost recovery fee of 1.62 percent for the Amendment 80 
Program, the value of the fishery would need to decrease by about 50 
percent, assuming the agency costs remain constant, before the maximum 
3 percent cost recovery fee limit is reached.
    Comment 23: Clarify regulations at Sec.  679.95(b)(2)(iii) and 
Sec.  679.95(c)(5)(iii) to specify who will calculate the fee liability 
for each Amendment 80 cooperative, NMFS or the Amendment 80 cooperative 
representative. Regulations at Sec.  679.95(b)(2)(iii) state that the 
Amendment 80 cooperative representative determines the fee liability. 
Regulations at Sec.  679.95(c)(5)(iii) state that NMFS will determine 
the fee liability.
    Response: NMFS determines the fee liability owed under each LAP or 
CDQ program. NMFS also determines the standard prices for landings 
under each program. Regulations at Sec.  679.95(b) pertain to NMFS' 
determination of the Amendment 80 standard ex-vessel value. The comment 
is correct that the proposed rule at Sec.  679.95(b)(2)(iii) 
incorrectly explained that an Amendment 80 cooperative

[[Page 162]]

representative determines the Amendment 80 fee liability. The fee 
liability determination is in the regulations at Sec.  679.95(c). These 
regulations explain that NMFS determines the fee liability. In response 
to this comment, NMFS changed this final rule at Sec.  
679.95(b)(2)(iii) to remove language pertaining to the fee liability 
and to clarify that this paragraph applies to NMFS' determination of 
the Amendment 80 standard ex-vessel prices.
    NMFS noticed this same error in the proposed rule at Sec.  
679.33(b)(2)(iii) that applies to the determination of the CDQ standard 
prices. NMFS changed this final rule at Sec.  679.33(b)(2)(iii) to 
remove language pertaining to the fee liability and to clarify that 
this paragraph applies to NMFS's determination of the CDQ standard 
prices.
    Comment 24: Regulations at Sec.  679.95(g) incorrectly contain a 
reference to pay the ``CDQ fee liability'' because this regulation 
applies to the Amendment 80 Program.
    Response: NMFS removed paragraph (g) Administrative Fees from each 
cost recovery program at Sec. Sec.  679.33, 679.66, 679.67, and 679.95. 
See response to Comment 16.

Changes From the Proposed Rule

    This final rule includes changes to particular sections of the 
regulatory text and amendatory instructions published in the proposed 
rule.
    NMFS removed paragraph (g) Administrative fees from each cost 
recovery program at Sec. Sec.  679.33, 679.66, 679.67, and 679.95. 
These paragraphs addressed administrative fees if the account drawn on 
to pay the cost recovery fee liability has insufficient funds to cover 
the transaction or if the account becomes delinquent. These paragraphs 
are not necessary because the Debt Collection Improvement Act of 1996, 
as explained in the Treasury Financial Manual Part 4, Chapter 4000, 
generally requires Federal agencies to transfer any nontax debt to U.S. 
Department of the Treasury's Bureau of the Fiscal Service (Fiscal 
Service) for debt collection services. After transfer, Fiscal Service 
takes appropriate action to service, collect, compromise, or suspend or 
terminate collection action on the debt. NMFS then renumbered paragraph 
(h) as paragraph (g) Annual report.
    NMFS removed from paragraph (e), in Sec. Sec.  679.33, 679.66, 
679.67, and 679.95, the sentence that NMFS may deduct payment 
processing fees from any fees returned due to over payment. This 
additional sentence is not necessary because processing costs due to 
over payment are nominal with improvements in methods to collect fees.
    In addition to these two changes, NMFS also made some non-
substantive minor technical corrections to the regulatory text.
    NMFS made substantive changes to this final rule in response to 
public comments. These changes improve the functioning of the cost 
recovery programs implemented with this final rule. All the specific 
regulation changes, and the reasons for making these changes, are 
contained under Response to Comments, above. This section provides a 
summary of the changes made to this final rule in response to public 
comment.

CDQ Cost Recovery Changes

     In this final rule at Sec.  679.33(b)(2)(iii), NMFS 
corrected this paragraph to remove language pertaining to the fee 
liability and to clarify that this paragraph applies to NMFS' 
determination of the CDQ standard prices in response to Comment 23.

AFA Cost Recovery Changes

     In this final rule at Sec.  679.2, NMFS modified the 
definitions of AFA fee liability and AFA fee percentage to clarify that 
these terms apply to an AFA cooperative or AFA sector in response to 
Comment 13.
     In this final rule at Sec.  679.66(a)(1)(ii), NMFS 
clarified that the entity representative under Sec.  679.21(f)(8)(i)(C) 
will be the AFA catcher/processor sector's designated representative 
for submission of the cost recovery fee in response to Comment 11.
     In this final rule at Sec.  679.66(d)(3), NMFS clarified 
that the AFA catcher/processor sector receives the Bering Sea pollock 
allocation and that the AFA catcher/processor sector entity 
representative under Sec.  679.21(f)(8)(i)(C) submits the fee payment 
in response to Comment 14.
     To match the changes to Sec.  679.66(a)(1)(ii), NMFS also 
changed this final rule as follows. These changes are discussed in 
detail in the responses to Comments 11, 12, 13, 14, and 15.
    [cir] Sec. Sec.  679.66(a)(2), (a)(3), (a)(4), (b)(1), (c)(4), 
(c)(5)(v), (d)(4), (d)(5), and (d)(6), (e), and (f) were changed to 
replace ``cooperative representative'' with ``designated 
representative;''
    [cir] Sec.  679.66(b)(2)(i), (c)(5)(i), (d)(5), (d)(6) and (e) were 
changed to add ``or AFA sector;'' and
    [cir] Sec.  679.66(c)(2) introductory text, (c)(2)(iii)(B), 
(c)(3)(i) and (c)(5)(iii) were changed to replace references to listed 
AFA catcher/processors and high seas catcher vessels that deliver to 
them with ``AFA catcher/processor sector.''

Amendment 80 Cost Recovery Changes

     In this final rule at Sec.  679.95(b)(2)(iii), NMFS 
corrected this paragraph to remove language pertaining to the fee 
liability and to clarify that this paragraph applies to NMFS' 
determination of the Amendment 80 standard ex-vessel prices in response 
to Comment 23.

OMB Revisions to Paperwork Reduction Act References in 15 CFR 902.1(b)

    Section 3507(c)(B)(i) of the PRA requires that agencies inventory 
and display a current control number assigned by the Director, OMB, for 
each agency information collection. Section 902.1(b) identifies the 
location of NOAA regulations for which OMB approval numbers have been 
issued. Because this final rule revises and adds data elements within a 
collection-of-information for recordkeeping and reporting requirements, 
15 CFR 902.1(b) is revised to reference correctly the sections 
resulting from this final rule.

Classification

    Pursuant to section 304(b)(1)(A) of the Magnuson-Stevens Act, the 
Administrator, Alaska Region, NMFS, has determined that this final rule 
is necessary for the conservation and management of the groundfish and 
halibut fisheries and that it is consistent with the FMP, the National 
Standards, other provisions of the Magnuson-Stevens Act, and other 
applicable laws. This final rule has been determined to be not 
significant for purposes of Executive Order 12866.

Final Regulatory Flexibility Analysis

    This final regulatory flexibility analysis (FRFA) incorporates the 
Initial Regulatory Flexibility Analysis (IRFA), a summary of the 
significant issues raised by the public comments in response to the 
IRFA, and NMFS' responses to those comments, and a summary of the 
analyses completed to support the action.
    Section 604 of the Regulatory Flexibility Act requires that, when 
an agency promulgates a final rule under section 553 of Title 5 of the 
United States Code, after being required by that section, or any other 
law, to publish a general notice of proposed rulemaking, the agency 
shall prepare a final regulatory flexibility analysis.
    Section 604 describes the required contents of a FRFA: (1) A 
statement of the need for, and objectives of, the rule; (2) a statement 
of the significant issues raised by the public comments in

[[Page 163]]

response to the IRFA, a statement of the assessment of the agency of 
such issues, and a statement of any changes made in the proposed rule 
as a result of such comments; (3) the response of the agency to any 
comments filed by the Chief Counsel for Advocacy of the Small Business 
Administration (SBA) in response to the proposed rule, and a detailed 
statement of any change made to the proposed rule in this final rule as 
a result of the comments; (4) a description of and an estimate of the 
number of small entities to which the rule will apply or an explanation 
of why no such estimate is available; (5) a description of the 
projected reporting, recordkeeping and other compliance requirements of 
the rule, including an estimate of the classes of small entities which 
will be subject to the requirement and the type of professional skills 
necessary for preparation of the report or record; and (6) a 
description of the steps the agency has taken to minimize the 
significant economic impact on small entities consistent with the 
stated objectives of applicable statutes, including a statement of the 
factual, policy, and legal reasons for selecting the alternative 
adopted in this final rule and why each one of the other significant 
alternatives to the rule considered by the agency which affect the 
impact on small entities was rejected.

Need for and Objectives of the Rule

    A statement of the need for, and objectives of, the rule is 
contained in the preamble to this final rule and is not repeated here.

Public and Chief Counsel for Advocacy Comments on the Proposed Rule

    NMFS published a proposed rule on January 7, 2015 (80 FR 936). An 
IRFA was prepared and summarized in the ``Classification'' section of 
the preamble to the proposed rule. The comment period closed on 
February 6, 2015. NMFS received three public comment letters, 
containing 23 separate comments on the proposed rule. These comments 
did not address the IRFA. The economic impacts of the rule were 
addressed in the comments by requesting that NMFS clearly define the 
costs that are subject to the rule. One comment specifically requested 
information on how BSAI halibut PSC reductions being considered by the 
Council and Secretary would impact the overall profitability of the 
Amendment 80 vessels, which are not considered small entities under the 
Small Business Administration Guidelines. The Chief Counsel for 
Advocacy of the SBA did not file any comments on the proposed rule.

Number and Description of Small Entities Regulated by the Action

    This analysis considers the active fleet in 2013, which is the most 
recent year for which size, revenue, and affiliation data were all 
available. The only small entities directly regulated by this rule are 
the six CDQ groups--the Aleutian Pribilof Island Community Development 
Association, the Bristol Bay Economic Development Corporation, the 
Central Bering Sea Fishermen's Association, the Coastal Villages Region 
Fund, the Norton Sound Economic Development Corporation, and the Yukon 
Delta Fisheries Development Association. Through the CDQ Program, the 
Council and NMFS allocate a portion of the BSAI groundfish TACs, 
halibut quota, and halibut and crab PSC limits, to these six CDQ 
groups. These groups represent 65 villages and maintain a non-profit 
status. Each of the CDQ groups is organized as an independently owned 
and operated not-for-profit entity and none is dominant in its field; 
consequently, each is a ``small entity'' under the Small Business 
Administration's definition for ``small organization.'' The proceeds 
from the CDQ allocations must be used to start or support activities 
that will result in ongoing, regionally based, commercial fishery or 
related businesses. Section 2.6 of the Analysis prepared for the 
proposed rule provides more information on these entities (80 FR 936, 
January 7, 2015).
    All other entities that are directly regulated through this rule 
are not small entities under the SBA definitions. This action would 
regulate Amendment 80, AFA cooperatives, and AFA sectors, and the 
vessels that are harvesting exclusive harvest privileges under the 
Amendment 80 and AFA Programs; The Aleut Corporation; and processors 
and motherships that receive CDQ Pacific cod deliveries and trawl-
caught Pacific cod. The SBA 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). None of these entities are considered to be small entities based 
on the SBA's size standard.

Recordkeeping and Reporting Requirements

    This action modifies recordkeeping or reporting requirements so 
that sufficient data are available to determine the cost recovery fee 
and standardized prices in the time frame required under the Magnuson-
Stevens Act. No small entity is subject to additional reporting 
requirements. Shorebased processors will be required to submit ex-
vessel Volume and Value Reports for all CDQ groundfish landings and all 
BSAI Pacific cod trawl landings. Each Amendment 80 catcher/processor 
will be required to submit a First Wholesale Volume and Value Report 
for all groundfish species, except Pacific cod, harvested under the 
Amendment 80 and CDQ programs. The information to be collected is 
described in Section 1.7.2.1 of the Analysis.
    The only additional recordkeeping requirements for small entities 
are the bookkeeping skills necessary for the six CDQ groups to submit 
payment for their cost recovery fees. NMFS will calculate the fee 
amount that each CDQ group owes. The designated representative of each 
group is then required to ensure the timely submission of the fee 
payment.

Description of Significant Alternatives to the Final Action That 
Minimize Adverse Impacts on Small Entities

    A FRFA must the outline steps the agency has taken to minimize the 
significant economic impact on small entities consistent with the 
stated objectives of applicable statutes, including a statement of the 
factual, policy, and legal reasons for selecting the alternative 
adopted in the final rule and why each one of the other significant 
alternatives to the rule considered by the agency which affect the 
impact on small entities was rejected. The action is the implementation 
of the Magnuson-Stevens Act's mandatory cost recovery fees for LAP and 
CDQ programs.
    No alternatives or options were identified that would have 
accomplished the action's objectives while reducing the potential 
economic impact on small entities relative to the preferred 
alternative. NMFS has determined that the minimum amount of data 
necessary to calculate the cost recover fees as mandated under the 
Magnuson-Stevens Act would be collected through volume and value 
reports. Collecting the minimum amount of data necessary from the 
fewest persons possible is beneficial to all entities.
    The economic impact on directly regulated small entities is the 
implementation of a cost recovery fee mandated under the Magnuson-
Stevens Act. The Magnuson-Stevens Act requires that participants in 
limited access privilege programs and the CDQ Program pay up to 3 
percent of the ex-vessel value of the fish they are

[[Page 164]]

allocated to recover the actual costs that are directly related to the 
management, data collection, and enforcement of the programs specific 
costs that are incurred by the management agencies. Given the specific 
requirements of the Magnuson-Stevens Act to implement a cost recovery 
fee, no other alternatives would accomplish the stated objective. Each 
CDQ group is required to submit its own fee payment using a payment 
system approved by NMFS.
    For all directly regulated entities NMFS considered and analyzed a 
range of specific options to determine standard prices for calculating 
standard ex-vessel value data, dates for volume and value report and 
fee submission, and other details of the fee collection process 
described in the Analysis. NMFS selected those options that would 
minimize the reporting burden and costs on small entities consistent 
with the stated objective when possible.
    Specifically, NMFS considered options to use COAR data to determine 
standard prices and standard ex-vessel values for all species subject 
to cost recovery, but did not select that option for species other than 
BSAI pollock because it could impact the fee liability each person 
would be required to pay. NMFS did select options that minimized 
reporting requirements on small entities by using existing data sources 
(e.g., COAR for BSAI pollock, and the IFQ buyer report for BSAI 
sablefish and BSAI halibut). NMFS also selected dates for the 
submission of reports that provided the most current data available to 
allow fee liabilities to be calculated on a timely basis. These dates 
would minimize the potential impact on small entities relative to other 
dates considered. NMFS will provide annual reports to the persons 
subject to the cost recovery fee and other interested stakeholders to 
help provide transparency in the fee liability determination.

Small Entity Compliance Guide

    Section 212 of the Small Business Regulatory Enforcement Fairness 
Act of 1996 states that, for each rule or group of related rules for 
which an agency is required to prepare a FRFA, the agency shall publish 
one or more guides to assist small entities in complying with the rule, 
and shall designate such publications as ``small entity compliance 
guides.'' The agency shall explain the actions a small entity is 
required to take to comply with a rule or group of rules.
    NMFS has posted a small entity compliance guide on the NMFS Alaska 
Region Web site (http://alaskafisheries.noaa.gov) as a plain language 
guide to assist small entities in complying with this rule. Contact 
NMFS to request a hard copy of the guide (see ADDRESSES).

Collection-of-Information Requirements

    This rule contains collection-of-information requirements subject 
to the Paperwork Reduction Act (PRA) and which have been approved under 
the following OMB control numbers.
OMB Control No. 0648-0318
    With this action, the payment and observer fee submittal (15 
minutes) is removed from this collection and added to the new fee 
collection.
OMB Control No. 0648-0398
    With this action, this IFQ Cost Recovery collection is removed and 
superseded by the new cost recovery collection.
OMB Control No. 0648-0401
    Public reporting burden per response is estimated to average eight 
hours for Cooperative Contract. This information collection is revised 
by adding to the Cooperative Contract the obligation of AFA cooperative 
members to ensure full payment of cost recovery fees.
OMB Contract No. 0648-0545
    With this action, two forms--the Rockfish Volume and Value Report 
(two hours per response) and the payment and fee submittal (10 minutes 
per response) are removed from this collection.
OMB Control No. 0648-0565
    Public reporting burden per response is estimated to average two 
hours for Application for Amendment 80 Cooperative Quota; the 
Cooperative Agreement is an attachment to this application. This 
information collection is revised by adding to the Cooperative 
Agreement the obligation of AFA cooperative members to ensure full 
payment of cost recovery fees.
OMB Control No. 0648-0570
    With this action, the Crab Rationalization Program Cost Recovery 
collection is removed and superseded by the new cost recovery 
collection.
OMB Control No. 0648-0711
    This new information collection is created by combining all 
existing Alaska Region fee information collections with the observer 
fee submission. Public reporting burden per response is estimated to 
average one minute for cost recovery fee or observer fee submission; 
five minutes for value and volume report; and four hours for appeal of 
an incomplete payment of a cost recovery fee or observer fee.
    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.
    Send comments regarding these burden estimates or any other aspect 
of this data collection, including suggestions for reducing the burden, 
to NMFS (see ADDRESSES) and by email to [email protected], 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 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

15 CFR Part 902

    Reporting and recordkeeping requirements.

50 CFR Part 679

    Alaska, Fisheries, Reporting and recordkeeping requirements.

    Dated: December 29, 2015.
Samuel D. Rauch III,
Deputy Assistant Administrator for Regulatory Programs, National Marine 
Fisheries Service.

    For the reasons set out in the preamble, NMFS amends 15 CFR part 
902 and 50 CFR part 679 as follows:

Title 15--Commerce and Foreign Trade

PART 902--NOAA INFORMATION COLLECTION REQUIREMENTS UNDER THE 
PAPERWORK REDUCTION ACT: OMB CONTROL NUMBERS

0
1. The authority citation for part 902 continues to read as follows:

    Authority:  44 U.S.C. 3501 et seq.


0
2. In Sec.  902.1, in the table in paragraph (b), under the entry ``50 
CFR'':
0
a. Revise entries for ``679.5(a)''; ``679.5(c), (e), and (f)''; 
``679.5(d)''; and ``679.5(l)(7);
0
b. Add entries in alphanumeric order for ``679.5(u)'' and ``679.33'';
0
c. Revise entries for ``679.43''; ``679.45''; ``679.55''; and 
``679.65'';
0
d. Add entries in alphanumeric order for ``679.66''; ``679.67''; 
``679.85''; and ``679.95'';

[[Page 165]]

0
e. Remove the entries for ``680.5(f)''; ``680.5(g)''; and ``680.5(m)'';
0
f. Add an entry in alphanumeric order for ``680.5(f), (g), and (m)''.
    The revisions and additions read as follows:


Sec.  902.1  OMB control numbers assigned pursuant to the Paperwork 
Reduction Act.

* * * * *
    (b) * * *

 
------------------------------------------------------------------------
   CFR part or section where the
information collection  requirement     Current OMB control No.  (all
             is located                   numbers begin with 0648-)
------------------------------------------------------------------------
 
                              * * * * * * *
50 CFR:............................  ...................................
 
                              * * * * * * *
679.5(a)...........................  -0213, -0269, and -0272.
 
                              * * * * * * *
679.5(c), (e), and (f).............  -0213, -0272, -0330, -0513, and -
                                      0515.
679.5(d)...........................  -0213 and -0515.
 
                              * * * * * * *
679.5(l)(7)........................  -0711.
 
                              * * * * * * *
679.5(u)...........................  -0206 and -0711.
 
                              * * * * * * *
679.33.............................  -0711.
 
                              * * * * * * *
679.43.............................  -0272, -0318, -0334, -0401, -0545,
                                      0565, -0569, and -0711.
679.45.............................  -0272, -0592, and -0711.
 
                              * * * * * * *
679.55.............................  -0206, -0272, and -0711.
 
                              * * * * * * *
679.65.............................  -0213, -0515, and -0633.
679.66.............................  -0711.
679.67.............................  -0711.
 
                              * * * * * * *
679.85.............................  -0545.
 
                              * * * * * * *
679.95.............................  -0711.
 
                              * * * * * * *
680.5(f), (g), (m).................  -0711.
 
                              * * * * * * *
------------------------------------------------------------------------

Title 50--Wildlife and Fisheries

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

0
3. The authority citation for 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
4. In Sec.  679.2, add definitions for ``AFA fee liability''; ``AFA fee 
percentage''; ``AFA pollock equivalent pounds''; ``AFA standard ex-
vessel value''; ``AFA standard price''; ``Aleutian Islands pollock 
equivalent pounds''; ``Aleutian Islands pollock fee liability''; 
``Aleutian Islands pollock fee percentage''; ``Aleutian Islands pollock 
standard ex-vessel value''; ``Aleutian Islands pollock standard 
price''; ``Amendment 80 equivalent pounds''; ``Amendment 80 fee 
liability''; ``Amendment 80 fee percentage''; ``Amendment 80 standard 
ex-vessel value''; ``Amendment 80 standard price''; ``CDQ equivalent 
pounds''; ``CDQ fee liability''; ``CDQ fee percentage''; ``CDQ standard 
ex-vessel value''; and ``CDQ standard price'' in alphabetical order to 
read as follows:


Sec.  679.2  Definitions.

* * * * *
    AFA fee liability means the amount of money for Bering Sea pollock 
cost recovery, in U.S. dollars, owed to NMFS by an AFA cooperative or 
AFA sector as determined by multiplying the appropriate AFA standard 
ex-vessel value of landed Bering Sea pollock by the appropriate AFA fee 
percentage.
    AFA fee percentage means that positive number no greater than 3 
percent (0.03) determined by the Regional Administrator and established 
for use in calculating the AFA fee liability for an AFA cooperative or 
AFA sector.
* * * * *
    AFA pollock equivalent pounds means the weight recorded in pounds 
for landed AFA pollock and calculated as round weight.
    AFA standard ex-vessel value means the total U.S. dollar amount of 
landed

[[Page 166]]

Bering Sea pollock as calculated by multiplying the number of landed 
pounds of Bering Sea pollock by the appropriate AFA standard price 
determined by the Regional Administrator.
    AFA standard price means the price, in U.S. dollars, for landed 
Bering Sea pollock, in AFA pollock equivalent pounds, as determined by 
the Regional Administrator.
* * * * *
    Aleutian Islands pollock equivalent pounds means the weight 
recorded in pounds for landed Aleutian Islands pollock and calculated 
as round weight.
    Aleutian Islands pollock fee liability means the amount of money 
for Aleutian Islands directed pollock cost recovery, in U.S. dollars, 
owed to NMFS by the Aleut Corporation as determined by multiplying the 
appropriate standard ex-vessel value of its landed Aleutian Islands 
pollock by the appropriate Aleutian Islands pollock fee percentage.
    Aleutian Islands pollock fee percentage means that positive number 
no greater than 3 percent (0.03) determined by the Regional 
Administrator and established for use in calculating the Aleutian 
Islands pollock fee liability for the Aleut Corporation.
    Aleutian Islands pollock standard ex-vessel value means the total 
U.S. dollar amount of landed Aleutian Islands pollock as calculated by 
multiplying the number of landed pounds of Aleutian Islands pollock by 
the appropriate Aleutian Islands pollock standard price determined by 
the Regional Administrator.
    Aleutian Islands pollock standard price means the price, in U.S. 
dollars, for landed Aleutian Islands pollock, in Aleutian Islands 
pollock equivalent pounds, as determined by the Regional Administrator.
* * * * *
    Amendment 80 equivalent pounds means the weight recorded in pounds 
for landed Amendment 80 species CQ and calculated as round weight.
    Amendment 80 fee liability means the amount of money for Amendment 
80 cost recovery, in U.S. dollars, owed to NMFS by an Amendment 80 CQ 
permit holder as determined by multiplying the appropriate standard ex-
vessel value of landed Amendment 80 species CQ by the appropriate 
Amendment 80 fee percentage.
    Amendment 80 fee percentage means that positive number no greater 
than 3 percent (0.03) determined by the Regional Administrator and 
established for use in calculating the Amendment 80 fee liability for 
an Amendment 80 CQ permit holder.
* * * * *
    Amendment 80 standard ex-vessel value means the total U.S. dollar 
amount of landed Amendment 80 species CQ as calculated by multiplying 
the number of landed Amendment 80 equivalent pounds by the appropriate 
Amendment 80 standard price determined by the Regional Administrator.
    Amendment 80 standard price means the price, in U.S. dollars, for 
landed Amendment 80 species, in Amendment 80 equivalent pounds, as 
determined by the Regional Administrator.
* * * * *
    CDQ equivalent pounds means the weight recorded in pounds, for 
landed CDQ groundfish and halibut, and calculated as round weight.
    CDQ fee liability means the amount of money for CDQ groundfish and 
halibut cost recovery, in U.S. dollars, owed to NMFS by a CDQ group as 
determined by multiplying the appropriate standard ex-vessel value of 
landed CDQ groundfish and halibut by the appropriate CDQ fee 
percentage.
    CDQ fee percentage means that positive number no greater than 3 
percent (0.03) determined by the Regional Administrator and established 
for use in calculating the CDQ groundfish and halibut fee liability for 
a CDQ group.
* * * * *
    CDQ standard ex-vessel value means the total U.S. dollar amount of 
landed CDQ groundfish and halibut as calculated by multiplying the 
number of landed CDQ equivalent pounds by the appropriate CDQ standard 
price determined by the Regional Administrator.
    CDQ standard price means the price, in U.S. dollars, for landed CDQ 
groundfish and halibut, in CDQ equivalent pounds, as determined by the 
Regional Administrator.
* * * * *

0
5. In Sec.  679.5, add paragraph (u) to read as follows:


Sec.  679.5  Recordkeeping and reporting (R&R).

* * * * *
    (u) BSAI Cost Recovery Volume and Value Reports--(1) Pacific Cod 
Ex-vessel Volume and Value Report--(i) Applicability. A shoreside 
processor designated on an FPP, or a mothership designated on an FFP, 
that processes landings of either CDQ Pacific cod or BSAI Pacific cod 
harvested by a vessel using trawl gear must submit annually to NMFS a 
complete Pacific Cod Ex-vessel Volume and Value Report, as described in 
this paragraph (u)(1), for each reporting period for which the 
shorebased processor or mothership receives this Pacific cod.
    (ii) Reporting period. The reporting period of the Pacific Cod Ex-
vessel Volume and Value Report shall extend from January 1 to October 
31 of the year in which the landings were made.
    (iii) Due date. A complete Pacific Cod Ex-vessel Volume and Value 
Report must be received by NMFS no later than November 10 of the year 
in which the processor or mothership received the Pacific cod.
    (iv) Information required. (A) The submitter must log in using his 
or her password and NMFS person ID to submit a Pacific Cod Ex-vessel 
Volume and Value Report. The User must review any auto-filled cells to 
ensure that they are accurate. A completed report must have all 
applicable fields accurately filled-in.
    (B) Certification. By using the NMFS person ID and password and 
submitting the report, the submitter certifies that all information is 
true, correct, and complete to the best of his or her knowledge and 
belief.
    (v) Submittal. The submitter must complete and submit online to 
NMFS the Pacific Cod Ex-vessel Volume and Value Report available at 
https://alaskafisheries.noaa.gov.
    (2) First Wholesale Volume and Value Report--(i) Applicability. An 
Amendment 80 vessel owner that harvests groundfish species, other than 
Pacific cod, must submit annually to NMFS a complete First Wholesale 
Volume and Value Report, as described in this paragraph (u)(2), for 
each reporting period for which the Amendment 80 vessel harvests 
groundfish species, other than Pacific cod.
    (ii) Reporting period. (A) The reporting period of the First 
Wholesale Volume and Value Report for all species except rock sole 
shall extend from January 1 to October 31 of the year in which the 
landings were made.
    (B) The first reporting period of the First Wholesale Volume and 
Value Report for rock sole shall extend from January 1 to March 31, and 
the second reporting period shall extend from April 1 to October 31.
    (iii) Due date. A complete First Wholesale Volume and Value Report 
must be received by NMFS no later than November 10 of the year in which 
the Amendment 80 vessel received the groundfish species, other than 
Pacific cod.
    (iv) Information required. (A) The Amendment 80 vessel owner must 
log

[[Page 167]]

in using his or her password and NMFS person ID to submit a First 
Wholesale Volume and Value Report. The vessel owner must review any 
auto-filled cells to ensure that they are accurate. A completed report 
must have all applicable fields accurately filled-in.
    (B) Certification. By using the NMFS person ID and password and 
submitting the report, the Amendment 80 vessel owner certifies that all 
information is true, correct, and complete to the best of his or her 
knowledge and belief.
    (v) Submittal. The Amendment 80 vessel owner must complete and 
submit online to NMFS the First Wholesale Volume and Value Report 
available at https://alaskafisheries.noaa.gov.

0
6. In Sec.  679.7, add paragraphs (c)(6), (d)(8), (k)(9), (l)(6), 
(o)(4)(vii), and (o)(9) to read as follows:


Sec.  679.7  Prohibitions.

* * * * *
    (c) * * *
    (6) For a shoreside processor designated on an FPP, or a mothership 
designated on an FFP, that processes landings of either CDQ Pacific cod 
or BSAI Pacific cod harvested by a vessel using trawl gear to fail to 
submit a timely and complete Pacific Cod Ex-vessel Volume and Value 
Report as required under Sec.  679.5(u)(1).
    (d) * * *
    (8) Fail to submit a timely and complete CDQ cost recovery fee 
submission form and fee as required under Sec.  679.33.
* * * * *
    (k) * * *
    (9) Fail to submit a timely and complete AFA cost recovery fee 
submission form and fee as required under Sec.  679.66.
    (l) * * *
    (6) Fail to submit a timely and complete Aleutian Islands pollock 
cost recovery fee submission form and fee as required under Sec.  
679.67.
* * * * *
    (o) * * *
    (4) * * *
    (vii) Fail to submit a timely and complete Amendment 80 cost 
recovery fee submission form and fee as required under Sec.  679.95.
* * * * *
    (9) First Wholesale Volume and Value Report. For an Amendment 80 
vessel owner to fail to submit a timely and complete First Wholesale 
Volume and Value Report as required under Sec.  679.5(u)(2).
* * * * *

0
7. Add Sec.  679.33 to subpart C to read as follows:


Sec.  679.33  CDQ cost recovery.

    (a) Cost Recovery Fee Program for CDQ groundfish and halibut--(1) 
Who is Responsible? The person documented with NMFS as the CDQ group 
representative at the time of a CDQ landing.
    (i) Subsequent transfer, under Sec.  679.31(c), of a CDQ allocation 
by a CDQ group does not affect the CDQ group representative's liability 
for noncompliance with this section.
    (ii) Changes in amount of a CDQ allocation to a CDQ group do not 
affect the CDQ group representative's liability for noncompliance with 
this section.
    (2) Fee collection. Each CDQ group that receives a CDQ allocation 
of groundfish and halibut is responsible for submitting the cost 
recovery payment for all CDQ landings debited against that CDQ group's 
allocations.
    (3) Payment--(i) Payment due date. A CDQ group representative must 
submit all CDQ fee payment(s) to NMFS at the address provided in 
paragraph (a)(3)(iii) of this section no later than December 31 of the 
calendar year in which the CDQ groundfish and halibut landings were 
made.
    (ii) Payment recipient. Make electronic payment payable to NMFS.
    (iii) Payment address. Submit payment and related documents as 
instructed on the fee submission form. Payments must 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 CDQ group representative.
    (iv) Payment method. 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.
    (b) CDQ standard ex-vessel value determination and use--(1) 
General. A CDQ group representative must use the CDQ standard prices 
determined by NMFS under paragraph (b)(2) of this section.
    (2) CDQ standard prices--(i) General. Each year the Regional 
Administrator will publish CDQ standard prices for groundfish and 
halibut in the Federal Register by December 1 of the year in which the 
CDQ groundfish and halibut landings were made. The CDQ standard prices 
will be described in U.S. dollars per CDQ equivalent pound for CDQ 
groundfish and halibut landings made during the current calendar year.
    (ii) Effective duration. The CDQ standard prices published by NMFS 
shall apply to all CDQ groundfish and halibut landings made during the 
current calendar year.
    (iii) Determination. NMFS will calculate the CDQ standard prices 
for each CDQ fishery as follows:
    (A) CDQ halibut and CDQ fixed gear sablefish. NMFS will calculate 
the CDQ standard prices for CDQ halibut and CDQ fixed gear sablefish to 
reflect, as closely as possible by port or port-group, the variations 
in the actual ex-vessel values of CDQ halibut and fixed-gear sablefish 
based on information provided in the IFQ Registered Buyer Ex-vessel 
Volume and Value Report described at Sec.  679.5(l)(7). The Regional 
Administrator will base CDQ standard prices on the following 
information:
    (1) Landed pounds of IFQ halibut and sablefish and CDQ halibut in 
the Bering Sea port-group;
    (2) Total ex-vessel value of IFQ halibut and sablefish and CDQ 
halibut in the Bering Sea port-group; and
    (3) Price adjustments, including retroactive payments.
    (B) CDQ Pacific cod. NMFS will use the standard prices calculated 
for Pacific cod based on information provided in the Pacific Cod Ex-
vessel Volume and Value Report described at Sec.  679.5(u)(1) for CDQ 
Pacific cod.
    (C) CDQ pollock. NMFS will use the standard prices calculated for 
AFA pollock described at Sec.  679.66(b) for CDQ pollock.
    (D) Other CDQ groundfish including sablefish caught with trawl 
gear. (1) NMFS will base all CDQ standard prices for all other CDQ 
groundfish species on the First Wholesale Volume and Value reports 
specified in Sec.  679.5(u)(2).
    (2) NMFS will establish CDQ standard prices for all other CDQ 
groundfish species on an annual basis; except the Regional 
Administrator will establish a first CDQ standard price for rock sole 
for all landings from January 1 through March 31, and a second CDQ 
standard price for rock sole for all landings from April 1 through 
December 31.
    (3) The average first wholesale product prices reported will be 
multiplied by 0.4 to obtain a proxy for the ex-vessel prices of those 
CDQ groundfish species.
    (c) CDQ fee percentage--(1) Established percentage. The CDQ fee 
percentage for CDQ groundfish and halibut is the amount as determined 
by the factors and methodology described in paragraph (c)(2) of this 
section. This amount will be announced by publication in the Federal 
Register in accordance with paragraph (c)(3) of this section. This 
amount must not exceed 3.0 percent pursuant to 16 U.S.C. 1854(d)(2)(B).

[[Page 168]]

    (2) Calculating fee percentage value. Each year NMFS will calculate 
and publish the CDQ fee percentage according to the following factors 
and methodology:
    (i) Factors. NMFS will use the following factors to determine the 
fee percentage:
    (A) The catch to which the CDQ groundfish and halibut cost recovery 
fee will apply;
    (B) The ex-vessel value of that catch; and
    (C) The costs directly related to the management, data collection, 
and enforcement of the CDQ Program for groundfish and halibut.
    (ii) Methodology. NMFS will use the following equations to 
determine the fee percentage: 100 x DPC/V, where:
    (A) DPC = the direct program costs for the CDQ Program for 
groundfish and halibut for the most recent Federal fiscal year (October 
1 through September 30) with any adjustments to the account from 
payments received in the previous year.
    (B) V = total of the CDQ standard ex-vessel value of the catch 
subject to the CDQ fee liability for the current year.
    (3) Publication--(i) General. NMFS will calculate and announce the 
CDQ fee percentage in a Federal Register notice by December 1 of the 
year in which the CDQ groundfish and halibut landings were made. NMFS 
will calculate the CDQ fee percentage based on the calculations 
described in paragraph (c)(2) of this section.
    (ii) Effective period. NMFS will apply the calculated CDQ fee 
percentage to CDQ groundfish and halibut landings made between January 
1 and December 31 of the same year.
    (4) Applicable percentage. The CDQ group representative must use 
the CDQ fee percentage applicable at the time a CDQ groundfish and 
halibut landing is debited from a CDQ group's allocation to calculate 
the CDQ fee liability for any retroactive payments for that CDQ 
species.
    (5) Fee liability determination for a CDQ group. (i) Each CDQ group 
will be subject to a CDQ fee for any CDQ groundfish and halibut debited 
from that CDQ group's allocation during a calendar year.
    (ii) The CDQ fee assessed to a CDQ group will be based on the 
proportion of the standard ex-vessel value of CDQ groundfish and 
halibut debited from a CDQ group's allocation relative to all CDQ 
groups during a calendar year as determined by NMFS.
    (iii) NMFS will provide a CDQ fee liability summary letter to each 
CDQ group representative by December 1 of each year. The summary will 
explain the CDQ fee liability determination including the current fee 
percentage, and details of CDQ pounds debited from the CDQ group 
allocations by permit, species, date, and prices.
    (d) Underpayment of fee liability--(1) No CDQ group will receive 
its allocations of CDQ groundfish or halibut until the CDQ group 
representative submits full payment of that CDQ group's complete CDQ 
fee liability.
    (2) If a CDQ group representative fails to submit full payment for 
its CDQ fee liability by the date described in paragraph (a)(3) of this 
section, the Regional Administrator may:
    (i) At any time thereafter send an IAD to the CDQ group 
representative stating that the CDQ group's estimated fee liability, as 
indicated by his or her own submitted information, is the CDQ fee 
liability due from the CDQ group.
    (ii) Disapprove any application to transfer CDQ to or from the CDQ 
group in accordance with Sec.  679.31(c).
    (3) If a CDQ group fails to submit full payment by December 31 of 
each year, the Regional Administrator will not issue allocations of CDQ 
groundfish and halibut to that CDQ group for the following calendar 
year.
    (4) Upon final agency action determining that a CDQ group 
representative has not paid the CDQ fee liability due for that CDQ 
group, the Regional Administrator may continue to not issue allocations 
of CDQ groundfish and halibut for that CDQ group for any subsequent 
calendar years until NMFS receives the unpaid fees. If payment is not 
received by the 30th day after the final agency action, the agency may 
pursue collection of the unpaid fees.
    (e) Over payment. Upon issuance of final agency action, payment 
submitted to NMFS in excess of the CDQ fee liability determined to be 
due by the final agency action will be returned to the CDQ group 
representative unless the CDQ group representative requests the agency 
to credit the excess amount against the CDQ group's future CDQ fee 
liability.
    (f) Appeals. A CDQ group representative who receives an IAD for 
incomplete payment of a CDQ fee liability may appeal under the appeals 
procedures set out at 15 CFR part 906.
    (g) Annual report. Each year, NMFS will publish a report describing 
the CDQ Cost Recovery Fee Program for groundfish and halibut.

0
8. In Sec.  679.61,:
0
a. Revise paragraph (c)(1); and
0
b. Add paragraph (e)(1)(vi) to read as follows:


Sec.  679.61  Formation and operation of fishery cooperatives.

* * * * *
    (c) * * *
    (1) What is a designated representative? The designated 
representative is the primary contact person for NMFS on issues 
relating to the operation of the cooperative. Any cooperative formed 
under this section must appoint a designated representative to fulfill 
regulatory requirements on behalf of the cooperative including, but not 
limited to, filing of cooperative contracts, filing of annual reports, 
submitting all cost recovery fees, and in the case of inshore sector 
catcher vessel cooperatives, signing cooperative fishing permit 
applications and completing and submitting inshore catcher vessel 
pollock cooperative catch reports.
* * * * *
    (e) * * *
    (1) * * *
    (vi) List the obligations of members of a cooperative, governed by 
this section, to ensure the full payment of all AFA fee liabilities 
that may be due.
* * * * *

0
9. Add Sec.  679.66 to subpart F to read as follows:


Sec.  679.66  AFA cost recovery.

    (a) Cost recovery fee program for AFA--(1) Who is responsible for 
submitting the fee? (i) The person designated on the AFA inshore 
cooperative permit as the designated representative at the time of a 
Bering Sea pollock landing.
    (ii) The person designated as the representative of the entity 
representing the AFA catcher/processor sector under Sec.  
679.21(f)(8)(i)(C) at the time of a Bering Sea pollock landing.
    (iii) The person designated as the representative of the AFA 
mothership cooperative at the time of a Bering Sea pollock landing.
    (2) Responsibility. (i) Subsequent transfer of AFA permits held by 
cooperative members does not affect the designated representative's 
liability for noncompliance with this section.
    (ii) Changes in the membership in a cooperative, such as members 
joining or departing during the relevant year, or changes in the 
holdings of AFA permits of those members do not affect the designated 
representative's liability for noncompliance with this section.
    (3) Fee collection. Each designated representative (as identified 
under paragraph (a)(1) of this section) is responsible for submitting 
the cost recovery payment for all Bering Sea pollock landings debited 
against the

[[Page 169]]

AFA cooperative's or AFA sector's AFA pollock fishery allocation.
    (4) Payment--(i) Payment due date. The designated representative 
(as identified under paragraph (a)(1) of this section) must submit all 
AFA fee payment(s) to NMFS at the address provided in paragraph 
(a)(4)(iii) of this section no later than December 31 of the calendar 
year in which the Bering Sea pollock landings were made.
    (ii) Payment recipient. Make electronic payment payable to NMFS.
    (iii) Payment address. Submit payment and related documents as 
instructed on the fee submission form. Payments must 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 each designated representative.
    (iv) Payment method. 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.
    (b) AFA standard ex-vessel value determination and use--(1) 
General. A designated representative must use the AFA standard price 
determined by NMFS under paragraph (b)(2) of this section.
    (2) AFA standard price--(i) General. Each year the Regional 
Administrator will publish the AFA standard price in the Federal 
Register by December 1 of the year in which the landings were made. The 
AFA standard price will be described in U.S. dollars per AFA pollock 
equivalent pound for Bering Sea pollock landings made by AFA 
cooperative or AFA sector members during the current calendar year.
    (ii) Effective duration. The AFA standard price published by NMFS 
shall apply to all Bering Sea pollock landings made by an AFA 
cooperative or AFA sector member during the current calendar year.
    (iii) Determination. NMFS will calculate the AFA standard price to 
reflect, as closely as possible, the standard price of Bering Sea 
pollock landings based on information provided in the COAR for the 
previous year, as described in Sec.  679.5(p). The Regional 
Administrator will base the AFA standard price on the following 
information:
    (A) Landed pounds of Bering Sea pollock;
    (B) Total ex-vessel value of Bering Sea pollock; and
    (C) Price adjustments, including retroactive payments.
    (c) AFA fee percentages--(1) Established percentages. The AFA fee 
percentages are the amounts as determined by the factors and 
methodology described in paragraph (c)(2) of this section. These 
amounts will be announced by publication in the Federal Register in 
accordance with paragraph (c)(3) of this section. These amounts must 
not exceed 3.0 percent pursuant to 16 U.S.C. 1854(d)(2)(B).
    (2) Calculating fee percentage value. Each year NMFS will calculate 
and publish AFA fee percentages for AFA inshore cooperatives, the AFA 
catcher/processor sector, and the AFA mothership cooperative according 
to the following factors and methodology:
    (i) Factors. NMFS will use the following factors to determine the 
fee percentages:
    (A) The catch to which the AFA pollock cost recovery fee will 
apply;
    (B) The ex-vessel value of that catch; and
    (C) The costs directly related to the management, data collection, 
and enforcement of the AFA directed pollock fisheries.
    (ii) Methodology. NMFS will use the following equations to 
determine the AFA fee percentage: 100 x DPC/V, where:
    (A) DPC = the direct program costs for the directed AFA pollock 
fisheries for the most recent fiscal year (October 1 through September 
30) with any adjustments to the account from payments received in the 
previous year.
    (B) V = total of the standard ex-vessel value of the catch subject 
to the AFA fee liability for the current year.
    (iii) Direct program costs will be calculated separately for:
    (A) AFA inshore cooperatives;
    (B) The AFA catcher/processor sector; and
    (C) The AFA mothership cooperative.
    (3) Publication--(i) General. NMFS will calculate and announce the 
AFA fee percentages in a Federal Register notice by December 1 of the 
year in which the Bering Sea pollock landings were made. AFA fee 
percentages will be calculated separately for the AFA inshore 
cooperatives, the AFA catcher/processor sector, and the AFA mothership 
cooperative. NMFS will calculate the AFA fee percentages based on the 
calculations described in paragraph (c)(2) of this section.
    (ii) Effective period. NMFS will apply the calculated AFA fee 
percentages to all Bering Sea directed pollock landings made between 
January 1 and December 31 of the current year.
    (4) Applicable percentage. A designated representative must use the 
AFA fee percentage applicable at the time a Bering Sea directed pollock 
landing is debited from an AFA pollock fishery allocation to calculate 
the AFA fee liability for any retroactive payments for that landing.
    (5) Fee liability determination. (i) Each AFA inshore cooperative, 
the AFA mothership cooperative, and the AFA catcher/processor sector 
will be subject to an AFA fee liability for any Bering Sea pollock 
debited from its AFA pollock fishery allocation during a calendar year.
    (ii) The AFA fee liability assessed to an AFA inshore cooperative 
will be based on the proportion of the AFA fee liability of Bering Sea 
pollock debited from that AFA inshore cooperative's AFA pollock fishery 
allocation relative to all AFA inshore cooperatives during a calendar 
year as determined by NMFS.
    (iii) The AFA fee liability assessed to the AFA catcher/processor 
sector will be based on the standard ex-vessel value of Bering Sea 
pollock debited from the sector's AFA pollock fishery allocation during 
a calendar year as determined by NMFS.
    (iv) The AFA fee liability assessed to the AFA mothership 
cooperative will be based on the proportion of the standard ex-vessel 
value of Bering Sea pollock debited from the cooperative's AFA pollock 
fishery allocation during a calendar year as determined by NMFS.
    (v) NMFS will provide a fee liability summary letter to each 
designated representative by December 1 of each year. The summary will 
explain the AFA fee liability determination including the current fee 
percentage and details of Bering Sea pollock pounds debited from the 
AFA pollock fishery allocation by permit, species, date, and prices.
    (d) Underpayment of fee liability--(1) No AFA inshore cooperative 
will receive its AFA pollock fishery allocation until the cooperative's 
designated representative submits full payment of the cooperative's AFA 
fee liability.
    (2) The AFA mothership cooperative will not receive its AFA pollock 
fishery allocation until the cooperative's designated representative 
submits full payment of that cooperative's AFA fee liability.
    (3) The AFA catcher/processor sector will not receive its Bering 
Sea pollock allocation until the entity's designated representative 
defined at Sec.  679.21(f)(8)(i)(C) submits full payment of the AFA fee 
liability at the time of a Bering Sea pollock landing, except the 
Regional Administrator may release to the AFA catcher/processor sector 
a portion of the AFA catcher/processor sector's Bering Sea pollock 
allocation

[[Page 170]]

that is equal to the portion of the fee liability submitted by the 
entity's designated representative.
    (4) If the designated representative fails to submit full payment 
for the AFA fee liability by the date described in paragraph (a)(4) of 
this section, the Regional Administrator, at any time thereafter, may 
send an IAD to the designated representative stating that the estimated 
fee liability, based on the information submitted by the designated 
representative, is the AFA fee liability due from the designated 
representative.
    (5) If the designated representative fails to submit full payment 
for the AFA fee liability by the date described at paragraph (a)(4) of 
this section, the Regional Administrator will not issue a Bering Sea 
pollock allocation to that AFA cooperative or AFA sector for the 
following calendar year, except as provided in paragraph (d)(3) of this 
section.
    (6) Upon final agency action determining that the designated 
representative has not submitted the AFA fee liability payment, the 
Regional Administrator may continue to not issue a Bering Sea pollock 
allocation for that AFA cooperative or AFA sector for any subsequent 
calendar years until NMFS receives the unpaid fees. If payment is not 
received by the 30th day after the final agency action, the agency may 
pursue collection of the unpaid fees.
    (e) Over payment. Upon issuance of final agency action, payment 
submitted to NMFS in excess of the AFA fee liability determined to be 
due by the final agency action will be returned to the designated 
representative unless the designated representative requests the agency 
to credit the excess amount against a cooperative's or sector's future 
AFA fee liability.
    (f) Appeals. The designated representative who receives an IAD for 
incomplete payment of an AFA fee liability may appeal under the appeals 
procedures set out at 15 CFR part 906.
    (g) Annual report. Each year, NMFS will publish a report describing 
the AFA Cost Recovery Fee Program.

0
10. Add Sec.  679.67 to subpart F to read as follows:


Sec.  679.67  Aleutian Islands pollock cost recovery.

    (a) Cost recovery fee program for Aleutian Islands pollock--(1) 
Representative. The person identified as the representative, designated 
by the Aleut Corporation, at the time of an Aleutian Islands pollock 
landing is responsible for submitting all cost recovery fees.
    (2) Fee collection. The designated representative (as identified 
under paragraph (a)(1) of this section) is responsible for submitting 
the cost recovery payment for all Aleutian Islands pollock landings 
made under the authority of Aleut Corporation.
    (3) Payment. (i) Payment due date. The designated representative 
(as identified under paragraph (a)(1) of this section) must submit all 
cost recovery fee payment(s) to NMFS at the address provided in 
paragraph (a)(3)(iii) of this section no later than December 31 of the 
calendar year in which the Aleutian Islands pollock landings were made.
    (ii) Payment recipient. Make electronic payment payable to NMFS.
    (iii) Payment address. Submit payment and related documents as 
instructed on the fee submission form. Payments must 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 designated representative of the Aleut 
Corporation.
    (iv) Payment method. 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.
    (b) Aleutian Islands pollock standard ex-vessel value determination 
and use--(1) General. The designated representative of the Aleut 
Corporation must use the Aleutian Islands pollock standard price 
determined by NMFS under paragraph (b)(2) of this section.
    (2) Aleutian Islands pollock standard price--(i) General. Each year 
the Regional Administrator will publish the Aleutian Islands pollock 
standard price in the Federal Register by December 1 of the year in 
which the landings were made. The Aleutian Islands pollock standard 
price will be described in U.S. dollars per Aleutian Islands pollock 
equivalent pound for Aleutian Islands pollock landings during the 
current calendar year.
    (ii) Effective duration. The Aleutian Islands pollock standard 
price published by NMFS shall apply to all Aleutian Islands pollock 
landings during the current calendar year.
    (iii) Determination. NMFS will calculate the Aleutian Islands 
pollock standard price to reflect, as closely as possible, the standard 
price of Aleutian Islands pollock landings based on information 
provided in the COAR for the previous year, as described in Sec.  
679.5(p). The Regional Administrator will base Aleutian Islands pollock 
standard price on the following information:
    (A) Landed pounds of Aleutian Islands pollock;
    (B) Total ex-vessel value of Aleutian Islands pollock; and
    (C) Price adjustments, including retroactive payments.
    (c) Aleutian Islands pollock fee percentage--(1) Established 
percentage. The Aleutian Islands pollock fee percentage is the amount 
as determined by the factors and methodology described in paragraph 
(c)(2) of this section. This amount will be announced by publication in 
the Federal Register in accordance with paragraph (c)(3) of this 
section. This amount must not exceed 3.0 percent pursuant to 16 U.S.C. 
1854(d)(2)(B).
    (2) Calculating fee percentage value. Each year NMFS will calculate 
and publish the fee percentage according to the following factors and 
methodology:
    (i) Factors. NMFS will use the following factors to determine the 
fee percentage:
    (A) The catch to which the Aleutian Islands pollock cost recovery 
fee will apply;
    (B) The ex-vessel value of that catch; and
    (C) The costs directly related to the management, data collection, 
and enforcement of the Aleutian Islands directed pollock fishery.
    (ii) Methodology. NMFS will use the following equations to 
determine the fee percentage: 100 x DPC/V, where:
    (A) DPC = the direct program costs for the Aleutian Islands 
directed pollock fishery for the most recent fiscal year (October 1 
through September 30) with any adjustments to the account from payments 
received in the previous year.
    (B) V = total of the standard ex-vessel value of the catch subject 
to the Aleutian Islands pollock fee liability for the current year.
    (3) Publication--(i) General. NMFS will calculate and announce the 
fee percentage in a Federal Register notice by December 1 of the year 
in which the Aleutian Islands pollock landings were made. NMFS will 
calculate the Aleutian Islands pollock fee percentage based on the 
calculations described in paragraph (c)(2) of this section.
    (ii) Effective period. NMFS will apply the calculated Aleutian 
Islands pollock fee percentage to all Aleutian Islands pollock landings 
made between January 1 and December 31 of the current year.
    (4) Applicable percentage. The designated representative must use 
the Aleutian Islands pollock fee percentage applicable at the time an 
Aleutian Islands pollock landing is debited from the Aleutian Islands 
directed pollock fishery allocation to calculate the Aleutian Islands 
pollock fee liability for any retroactive payments for that pollock.

[[Page 171]]

    (5) Fee liability determination. (i) The Aleut Corporation will be 
subject to a fee for any Aleutian Islands pollock debited from the 
Aleutian Islands directed pollock fishery allocation during a calendar 
year.
    (ii) NMFS will provide a fee liability summary letter to the Aleut 
Corporation by December 1 of each year. The summary will explain the 
fee liability determination including the current fee percentage, and 
details of Aleutian Islands pollock pounds debited from the Aleutian 
Islands directed pollock fishery allocation by permit, species, date, 
and prices.
    (d) Underpayment of fee liability--(1) The Aleut Corporation will 
not receive its Aleutian Islands directed pollock fishery allocation 
until the Aleut Corporation's designated representative submits full 
payment of the Aleut Corporation's cost recovery fee liability.
    (2) If the Aleut Corporation's designated representative fails to 
submit full payment for Aleutian Islands pollock fee liability by the 
date described in paragraph (a)(3) of this section, the Regional 
Administrator may at any time thereafter send an IAD to the Aleut 
Corporation's designated representative stating that the estimated fee 
liability, based on the information submitted by the designated 
representative, is the Aleutian Islands pollock fee liability due from 
the Aleut Corporation.
    (3) If the Aleut Corporation's designated representative fails to 
submit full payment by the Aleutian Islands pollock fee liability 
payment deadline described at paragraph (a)(3) of this section, the 
Regional Administrator will not issue the Aleutian Islands directed 
pollock fishery allocation to the Aleut Corporation for that calendar 
year.
    (4) Upon final agency action determining that the Aleut Corporation 
has not paid its Aleutian Islands pollock fee liability, the Regional 
Administrator may continue to not issue the Aleutian Islands directed 
pollock fishery allocation for any subsequent calendar years until NMFS 
receives the unpaid fees. If payment is not received by the 30th day 
after the final agency action, the agency may pursue collection of the 
unpaid fees.
    (e) Over payment. Upon issuance of final agency action, payment 
submitted to NMFS in excess of the Aleutian Islands pollock fee 
liability determined to be due by the final agency action will be 
returned to the Aleut Corporation unless its designated representative 
requests the agency to credit the excess amount against the 
cooperative's future Aleutian Islands pollock fee liability.
    (f) Appeals. A representative of the Aleut Corporation who receives 
an IAD for incomplete payment of an Aleutian Islands pollock fee may 
appeal under the appeals procedures set out at 15 CFR part 906.
    (g) Annual report. Each year, NMFS will publish a report describing 
the Aleutian Islands Pollock Cost Recovery Fee Program.

0
11. In Sec.  679.91:
0
a. Revise paragraphs (b)(4)(vii) and (h)(3)(xiv); and
0
b. Add paragraph (h)(3)(xx) to read as follows:


Sec.  679.91  Amendment 80 Program annual harvester privileges.

* * * * *
    (b) * * *
    (4) * * *
    (vii) Copy of membership agreement or contract. Attach a copy of 
the membership agreement or contract that includes terms that list:
    (A) How the Amendment 80 cooperative intends to catch its CQ; and
    (B) The obligations of Amendment 80 QS holders who are members of 
an Amendment 80 cooperative to ensure the full payment of Amendment 80 
fee liabilities that may be due.
* * * * *
    (h) * * *
    (3) * * *

------------------------------------------------------------------------
 
------------------------------------------------------------------------
 
                              * * * * * * *
(xiv) Does an Amendment 80          Yes, an Amendment 80 cooperative
 cooperative need a membership       must have a membership agreement or
 agreement or contract?              contract. A copy of this agreement
                                     or contract must be submitted to
                                     NMFS with the application for CQ.
                                     The membership agreement or
                                     contract must specify:
                                    (A) How the Amendment 80 cooperative
                                     intends to catch its CQ; and
                                    (B) The obligations of Amendment 80
                                     QS holders, who are members of an
                                     Amendment 80 cooperative, to ensure
                                     the full payment of Amendment 80
                                     fee liabilities that may be due.
 
                              * * * * * * *
(xx) Is there a requirement that    Yes, see Sec.   679.95 for the
 an Amendment 80 cooperative pay     provisions that apply.
 Amendment 80 cost recovery fees?
------------------------------------------------------------------------

* * * * *

0
12. Add Sec.  679.95 to subpart H to read as follows:


Sec.  679.95  Amendment 80 Program cost recovery.

    (a) Cost recovery fee program for Amendment 80--(1) Who is 
responsible? The person designated as the Amendment 80 cooperative 
representative at the time of an Amendment 80 CQ landing must comply 
with the requirements of this section, notwithstanding:
    (i) Subsequent transfer of Amendment 80 CQ or Amendment 80 QS held 
by Amendment 80 cooperative members;
    (ii) Non-renewal of an Amendment 80 CQ permit; or
    (iii) Changes in the membership in an Amendment 80 cooperative, 
such as members joining or departing during the relevant year, or 
changes in the amount of Amendment 80 QS holdings of those members.
    (2) Fee collection. Each Amendment 80 cooperative representative is 
responsible for submitting the cost recovery payment for Amendment 80 
CQ landings made under the authority of its Amendment 80 CQ permit.
    (3) Payment--(i) Payment due date. An Amendment 80 cooperative 
representative must submit all Amendment 80 fee liability payment(s) to 
NMFS at the address provided in paragraph (a)(3)(iii) of this section 
no later than December 31 of the calendar year in which the Amendment 
80 CQ landings were made.
    (ii) Payment recipient. Make electronic payment payable to NMFS.
    (iii) Payment address. Submit payment and related documents as 
instructed on the fee submission form. Payments must 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 Amendment 80 CQ permit holder.

[[Page 172]]

    (iv) Payment method. 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.
    (b) Amendment 80 standard ex-vessel value determination and use--
(1) General. An Amendment 80 cooperative representative must use the 
Amendment 80 standard prices determined by NMFS under paragraph (b)(2) 
of this section.
    (2) Amendment 80 standard prices--(i) General. Each year the 
Regional Administrator will publish Amendment 80 standard prices in the 
Federal Register by December 1 of the year in which the Amendment 80 
species landings were made. The standard prices will be described in 
U.S. dollars per Amendment 80 equivalent pound for Amendment 80 species 
landings made by Amendment 80 CQ permit holders during the current 
calendar year.
    (ii) Effective duration. The Amendment 80 standard prices published 
by NMFS will apply to all Amendment 80 species landings made by an 
Amendment 80 CQ permit holder during that calendar year.
    (iii) Determination. NMFS will calculate the Amendment 80 standard 
prices for Amendment 80 species based on the following information:
    (A) Pacific cod. NMFS will use the standard prices calculated for 
Pacific cod based on information provided in the Pacific Cod Ex-vessel 
Volume and Value Report described at Sec.  679.5(u)(1).
    (B) Amendment 80 species other than Pacific cod. (1) The Regional 
Administrator will base Amendment 80 standard prices for all Amendment 
80 species other than Pacific cod on the First Wholesale Volume and 
Value reports specified in Sec.  679.5(u)(2).
    (2) The Regional Administrator will establish Amendment 80 standard 
prices for all Amendment 80 species other than Pacific cod on an annual 
basis; except the Regional Administrator will establish a first 
Amendment 80 standard price for rock sole for all landings from January 
1 through March 31, and a second Amendment 80 standard price for rock 
sole for all landings from April 1 through December 31.
    (3) The average first wholesale product prices reported on the 
First Wholesale Volume and Value reports, specified in Sec.  
679.5(u)(2), will be multiplied by 0.4 to obtain a proxy for the ex-
vessel prices of Amendment 80 species other than Pacific cod.
    (c) Amendment 80 fee percentage--(1) Established percentage. The 
Amendment 80 fee percentage is the amount as determined by the factors 
and methodology described in paragraph (c)(2) of this section. This 
amount will be announced by publication in the Federal Register in 
accordance with paragraph (c)(3) of this section. This amount must not 
exceed 3.0 percent pursuant to 16 U.S.C. 1854(d)(2)(B).
    (2) Calculating fee percentage value. Each year NMFS will calculate 
and publish the fee percentage according to the following factors and 
methodology:
    (i) Factors. NMFS will use the following factors to determine the 
fee percentage:
    (A) The catch to which the Amendment 80 cost recovery fee will 
apply;
    (B) The ex-vessel value of that catch; and
    (C) The costs directly related to the management, data collection, 
and enforcement of the Amendment 80 Program.
    (ii) Methodology. NMFS will use the following equations to 
determine the fee percentage: 100 x DPC/V, where:
    (A) DPC = the direct program costs for the Amendment 80 Program for 
the most recent fiscal year (October 1 through September 30) with any 
adjustments to the account from payments received in the previous year.
    (B) V = total of the standard ex-vessel value of the landings 
subject to the Amendment 80 fee liability for the current year.
    (3) Publication--(i) General. NMFS will calculate and announce the 
Amendment 80 fee percentage in a Federal Register notice by December 1 
of the year in which the Amendment 80 landings were made. NMFS will 
calculate the Amendment 80 fee percentage based on the calculations 
described in paragraph (c)(2) of this section.
    (ii) Effective period. NMFS will apply the calculated Amendment 80 
fee percentage to Amendment 80 CQ landings made between January 1 and 
December 31 of the same year.
    (4) Applicable percentage. The Amendment 80 CQ permit holder must 
use the Amendment 80 fee percentage applicable at the time an Amendment 
80 species landing is debited from an Amendment 80 CQ allocation to 
calculate the Amendment 80 fee liability for any retroactive payments 
for that Amendment 80 species.
    (5) Fee liability determination for an Amendment 80 CQ permit 
holder. (i) Each Amendment 80 CQ permit holder will be subject to a fee 
liability for any Amendment 80 species CQ debited from an Amendment 80 
CQ allocation between January 1 and December 31 of the current year.
    (ii) The Amendment 80 fee liability assessed to an Amendment 80 CQ 
permit holder will be based on the proportion of the standard ex-vessel 
value of Amendment 80 species debited from an Amendment 80 CQ permit 
holder relative to all Amendment 80 CQ permit holders during a calendar 
year as determined by NMFS.
    (iii) NMFS will provide a fee liability summary letter to each 
Amendment 80 CQ permit holder by December 1 of each year. The summary 
will explain the fee liability determination including the current fee 
percentage, and details of Amendment 80 species CQ pounds debited from 
Amendment 80 CQ allocations by permit, species, date, and prices.
    (d) Underpayment of fee liability--(1) No Amendment 80 cooperative 
will receive its Amendment 80 CQ until the Amendment 80 CQ permit 
holder submits full payment of an applicant's complete Amendment 80 fee 
liability.
    (2) If an Amendment 80 CQ permit holder fails to submit full 
payment for its Amendment 80 fee by the date described in paragraph 
(a)(3) of this section, the Regional Administrator may:
    (i) At any time thereafter send an IAD to the Amendment 80 
cooperative's representative stating that the Amendment 80 CQ permit 
holder's estimated fee liability, based on information submitted by the 
Amendment 80 cooperative's representative, is the Amendment 80 fee 
liability due from the Amendment 80 CQ permit holder.
    (ii) Disapprove any application to transfer Amendment 80 CQ to or 
from the Amendment 80 CQ permit holder in accordance with Sec.  
679.91(g).
    (3) If an Amendment 80 cooperative representative fails to submit 
full payment by the Amendment 80 fee payment deadline described at 
paragraph (a)(3) of this section:
    (i) The Regional Administrator will not issue a Amendment 80 CQ 
permit to that Amendment 80 cooperative for the following calendar 
year; and
    (ii) The Regional Administrator will not issue Amendment 80 CQ 
based on the Amendment 80 QS held by the members of that Amendment 80 
cooperative to any other CQ permit for that calendar year.
    (4) Upon final agency action determining that an Amendment 80 CQ 
permit holder has not paid his or her Amendment 80 fee, the Regional 
Administrator may continue to not issue an Amendment 80 CQ permit for 
any subsequent calendar years until NMFS receives the unpaid fees. If 
payment is not received by the 30th day after the

[[Page 173]]

final agency action, the agency may pursue collection of the unpaid 
fees.
    (e) Over payment. Upon issuance of final agency action, payment 
submitted to NMFS in excess of the Amendment 80 fee determined to be 
due by the final agency action will be returned to the Amendment 80 
cooperative unless the Amendment 80 cooperative's representative 
requests the agency to credit the excess amount against the Amendment 
80 CQ permit holder's future Amendment 80 fee.
    (f) Appeals. An Amendment 80 cooperative representative who 
receives an IAD for incomplete payment of an Amendment 80 fee may 
appeal under the appeals procedures set out a 15 CFR part 906.
    (g) Annual report. Each year, NMFS will publish a report describing 
the Amendment 80 Cost Recovery Fee Program.

[FR Doc. 2015-33096 Filed 1-4-16; 8:45 am]
 BILLING CODE 3510-22-P



                                                                                                              Vol. 81                           Monday,
                                                                                                              No. 152                           August 8, 2016

                                                                                                              Pages 52321–52588


                                                                                                              OFFICE OF THE FEDERAL REGISTER
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                                                         II                                   Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016




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                                                                                                                                                                                                      III

                                                        Contents                                                                             Federal Register
                                                                                                                                             Vol. 81, No. 152

                                                                                                                                             Monday, August 8, 2016



                                                        Agriculture Department                                                               Education Department
                                                        See Animal and Plant Health Inspection Service                                       RULES
                                                        See Forest Service                                                                   Final Priorities:
                                                        See Rural Housing Service                                                              Enhanced Assessment Instruments Grant Program,
                                                                                                                                                   52341–52346
                                                        Animal and Plant Health Inspection Service                                           NOTICES
                                                        RULES                                                                                Applications for New Awards:
                                                        State and Zone Designations:                                                           Enhanced Assessment Instruments Grant Program,
                                                          California; Tuberculosis in Cattle and Bison, 52325–                                     52424–52432
                                                               52326                                                                         Federal Need Analysis Methodology for the 2016–17 Award
                                                                                                                                                 Year:
                                                        Census Bureau                                                                          Federal Pell Grant, Federal Perkins Loan, Federal Work-
                                                        NOTICES
                                                                                                                                                   Study, Federal Supplemental Educational
                                                        Agency Information Collection Activities; Proposals,                                       Opportunity Grant, William D. Ford Federal Direct
                                                           Submissions, and Approvals:                                                             Loan, Iraq and Afghanistan Service Grant and
                                                         2017 Census Test, 52398–52401                                                             TEACH Grant Programs, 52418–52424

                                                                                                                                             Energy Department
                                                        Centers for Disease Control and Prevention
                                                                                                                                             NOTICES
                                                        NOTICES
                                                                                                                                             Meetings:
                                                        Agency Information Collection Activities; Proposals,
                                                                                                                                              Biomass Research and Development Technical Advisory
                                                           Submissions, and Approvals, 52434–52438
                                                                                                                                                   Committee, 52433
                                                                                                                                              National Coal Council, 52432–52433
                                                        Children and Families Administration
                                                        NOTICES
                                                                                                                                             Environmental Protection Agency
                                                        Agency Information Collection Activities; Proposals,                                 RULES
                                                           Submissions, and Approvals:                                                       Denials of Petitions for Reconsideration:
                                                         State Annual Long-Term Care Ombudsman Report                                          Mercury and Air Toxics Standards and the Utility New
                                                             Revised Data Collection to the National Ombudsman                                      Source Performance Standards Startup and
                                                             Reporting System, 52438                                                                Shutdown Provisions; Final Action, 52346–52347
                                                                                                                                             Pesticide Tolerances:
                                                        Coast Guard                                                                            Flonicamid, 52348–52352
                                                        RULES                                                                                Technical Amendments to Performance Specification 18
                                                        Drawbridge Operations:                                                                   and Procedure 6, 52348
                                                          Umpqua River, Reedsport, OR, 52335                                                 PROPOSED RULES
                                                        Safety Zones:                                                                        Air Quality State Implementation Plans; Approvals and
                                                          2016 Wings over Vermont Air Show, Lake Champlain,                                      Promulgations:
                                                               Burlington, VT, 52339–52341                                                     South Dakota, Revisions to the Permitting Rules, 52388–
                                                          Marine Events held in the Sector Long Island Sound                                       52393
                                                               Captain of the Port Zone, 52335–52339                                         Review of the 2008 Lead Renovation, Repair, and Painting
                                                          Point to LaPointe Swim, Lake Superior, LaPointe, WI,                                   Program, 52393–52394
                                                               52339
                                                                                                                                             Federal Aviation Administration
                                                        Commerce Department                                                                  PROPOSED RULES
                                                        See Census Bureau                                                                    Class E Airspace; Amendments:
                                                        See Foreign-Trade Zones Board                                                          Blue Mesa, CO, 52369–52370
                                                        See Industry and Security Bureau
                                                        See International Trade Administration                                               Federal Communications Commission
                                                        See National Oceanic and Atmospheric Administration                                  RULES
                                                                                                                                             Improving Outage Reporting:
                                                        Community Living Administration                                                        Submarine Cables and Enhanced Submarine Outage Data,
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                                                        NOTICES                                                                                   52354–52363
                                                        Agency Information Collection Activities; Proposals,
                                                           Submissions, and Approvals:                                                       Federal Deposit Insurance Corporation
                                                         National Maltreatment Reporting System, 52438–52439                                 NOTICES
                                                                                                                                             Terminations of Receivership:
                                                        Comptroller of the Currency                                                            Home National Bank Blackwell, OK, 52433
                                                        NOTICES
                                                        Agency Information Collection Activities; Proposals,                                 Federal Emergency Management Agency
                                                           Submissions, and Approvals:                                                       RULES
                                                         Bank Secrecy Act/Money Laundering Risk, 52521–52525                                 Suspension of Community Eligibility, 52353–52354


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                                                        IV                          Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Contents


                                                        Federal Motor Carrier Safety Administration                                          Foreign-Trade Zones Board
                                                        NOTICES                                                                              NOTICES
                                                        National Hazardous Materials Route Registry Revisions and                            Reorganization and Expansion Applicationss under
                                                            Procedures, 52518–52521                                                              Alternative Site Framework:
                                                        Qualification of Drivers; Exemption Applications:                                      Foreign-Trade Zone 193, Pinellas County, FL, 52401
                                                         Diabetes Mellitus, 52505–52512                                                      Subzone Approvals:
                                                         Implantable Cardioverter Defibrillators, 52512–52514                                  Barrett Distribution Centers, Inc., Franklin, MA, 52402
                                                         Vision, 52514–52518                                                                 Subzone Expansions: Approvals:
                                                                                                                                               Premcor Refining Group Inc., Subzone 116C, Port Arthur,
                                                        Federal Reserve System                                                                     TX, 52401
                                                        NOTICES
                                                                                                                                             Forest Service
                                                        Formations of, Acquisitions by, and Mergers of Bank                                  RULES
                                                           Holding Companies, 52433–52434                                                    Subsistence Management Regulations for Public Lands in
                                                                                                                                                Alaska—2016–17 and 2017–18 Subsistence Taking of
                                                        Fish and Wildlife Service                                                               Wildlife Regulations, 52528–52582
                                                        RULES                                                                                NOTICES
                                                        Subsistence Management Regulations for Public Lands in                               Meetings:
                                                            Alaska—2016–17 and 2017–18 Subsistence Taking of                                  Kistachie National Forest Resource Advisory Committee,
                                                            Wildlife Regulations, 52528–52582                                                      52397
                                                                                                                                              Nicolet Resource Advisory Committee, 52397–52398
                                                        Food and Drug Administration                                                         Health and Human Services Department
                                                        RULES                                                                                See Centers for Disease Control and Prevention
                                                        Refusals to Accept Procedures for Premarket Tobacco                                  See Children and Families Administration
                                                            Product Submissions, 52329–52335                                                 See Community Living Administration
                                                        Standard Preparations, Limits of Potency, and Dating                                 See Food and Drug Administration
                                                            Period Limitations for Biological Products:                                      See Health Resources and Services Administration
                                                          Confirmation of Effective Date, 52329                                              See National Institutes of Health
                                                        PROPOSED RULES
                                                        Food Additive Petitions:                                                             Health Resources and Services Administration
                                                          Breast Cancer Fund, Center for Environmental Health,                               NOTICES
                                                              Center for Food Safety, Center for Science in the                              Statements of Organization, Functions and Delegations of
                                                              Public Interest, Clean Water Action, Consumer                                      Authority, 52450–52451
                                                              Federation of America, Earthjustice, Environmental
                                                              Defense Fund, Improving Kids’ Environment,                                     Homeland Security Department
                                                              Learning Disabilities Association of America, and                              See Coast Guard
                                                              Natural Resources Defense Council, 52370–52371                                 See Federal Emergency Management Agency
                                                        Refusals to Accept Procedures for Premarket Tobacco                                  See U.S. Customs and Border Protection
                                                            Product Submissions, 52371–52377
                                                        NOTICES                                                                              Indian Affairs Bureau
                                                        Agency Information Collection Activities; Proposals,                                 NOTICES
                                                            Submissions, and Approvals:                                                      Meetings:
                                                          Survey of Alumni Commissioner’s Fellowship Program                                  Advisory Board for Exceptional Children, 52457–52458
                                                               Fellows, 52439–52440
                                                        Determinations That Products Were Not Withdrawn from                                 Industry and Security Bureau
                                                            Sale for Reasons of Safety or Effectiveness:                                     RULES
                                                          BENTYL Dicyclomine Hydrochloride Syrup, 52440–                                     Export Administration Regulations to Add Targets for the
                                                               52441                                                                            Production of Tritium and Related Development and
                                                        Guidance for Industry and Staff:                                                        Production Technology to the List of 0Y521 Series;
                                                          Deciding When to Submit a 510(k) for a Change to an                                   Amendments, 52326–52329
                                                               Existing Device, 52443–52444
                                                          Deciding When to Submit a 510(k) for a Software Change                             Interior Department
                                                               to an Existing Device, 52441–52443                                            See Fish and Wildlife Service
                                                        Guidance:                                                                            See Indian Affairs Bureau
                                                          Ulcerative Colitis; Clinical Trial Endpoints, 52449–52450                          See National Park Service
                                                                                                                                             RULES
                                                        Meetings:
                                                                                                                                             Civil Penalties Inflation Adjustments; Correction, 52352
                                                          Stakeholders; Over-the-Counter Monograph User Fees:
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                                                               Reopening of Comment Period, 52444–52445                                      International Trade Administration
                                                        Retrospective Review of Premarket Approval Application                               NOTICES
                                                            Devices:                                                                         Antidumping or Countervailing Duty Investigations, Orders,
                                                          Striking the Balance Between Premarket and Postmarket                                  or Reviews:
                                                               Data Collection, 52445–52449                                                    Aluminum Extrusions from the People’s Republic of
                                                                                                                                                   China, 52402–52403
                                                        Foreign Assets Control Office                                                          Preserved Mushrooms from the People’s Republic of
                                                        NOTICES                                                                                    China, 52403–52405
                                                        Blocking or Unblocking of Persons and Properties:                                    Export Trade Certificates of Review:
                                                          AL-JANABI, Nabil Abdullah, Beirut, Lebanon, 52526                                    Northwest Fruit Exporters; Application, 52405–52406


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                                                                                    Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Contents                                           V


                                                        International Trade Commission                                                       PROPOSED RULES
                                                        NOTICES                                                                              Fisheries of the Exclusive Economic Zone Off Alaska:
                                                        Antidumping or Countervailing Duty Investigations, Orders,                             Gulf of Alaska Management Area; Amendment 101,
                                                            or Reviews:                                                                            52394–52396
                                                         Carbon Steel Butt-Weld Pipe Fittings from Brazil, China,                            NOTICES
                                                              Japan, Taiwan, and Thailand, 52460                                             Meetings:
                                                                                                                                               Pacific Fishery Management Council, 52406–52407
                                                                                                                                             Takes of Marine Mammals:
                                                        Judicial Conference of the United States
                                                                                                                                               Anchor Retrieval Program in the Chukchi and Beaufort
                                                        NOTICES
                                                                                                                                                   Seas, 52407–52418
                                                        Meetings:
                                                         Advisory Committee on Rules of Criminal Procedure,
                                                                                                                                             National Park Service
                                                              52460
                                                                                                                                             NOTICES
                                                                                                                                             Agency Information Collection Activities; Proposals,
                                                        Justice Department                                                                      Submissions, and Approvals:
                                                        See Justice Programs Office                                                           Community Harvest Assessments for Alaskan National
                                                        NOTICES
                                                                                                                                                  Parks, Preserves, and Monuments, 52458–52459
                                                        Proposed Consent Decrees under CERCLA, 52460–52461                                    National Park Service National Recreation Trails and
                                                                                                                                                  National Water Trails System Applications, 52459–
                                                        Justice Programs Office                                                                   52460
                                                        PROPOSED RULES
                                                        Formula Grant Program:                                                               National Science Foundation
                                                          Juvenile Justice and Delinquency Prevention Act, 52377–                            NOTICES
                                                              52388                                                                          Agency Information Collection Activities; Proposals,
                                                                                                                                                Submissions, and Approvals, 52467–52478
                                                        Legal Services Corporation
                                                        NOTICES                                                                              Nuclear Regulatory Commission
                                                        Agricultural Worker Population Estimates for Basic Field—                            NOTICES
                                                            Agricultural Worker/Migrant Grants, 52461–52464                                  License Application; Amendments:
                                                                                                                                               Export Radioactive Waste, 52483–52484
                                                        Management and Budget Office                                                           Omaha Public Power District; Fort Calhoun Station, Unit
                                                        NOTICES                                                                                    No. 1, 52483
                                                        North American Industry Classification System:                                       License Application; Renewals:
                                                         Revision for 2017, 52584                                                              Massachusetts Institute of Technology, 52478–52482
                                                                                                                                             Meetings; Sunshine Act, 52478
                                                        Millennium Challenge Corporation                                                     Nuclear Waste Importation Licenses, 52484–52485
                                                        NOTICES
                                                        Compacts with the Republic of Niger, 52464–52466                                     Presidential Documents
                                                                                                                                             EXECUTIVE ORDERS
                                                                                                                                             Committees; Establishment, Renewal, Termination, etc.:
                                                        National Credit Union Administration
                                                                                                                                               Africa, President’s Advisory Council on Doing Business
                                                        NOTICES
                                                                                                                                                   in; Amendment to Executive Order 13675 To Expand
                                                        Agency Information Collection Activities; Proposals,
                                                                                                                                                   Membership (EO 13734), 52321–52322
                                                           Submissions, and Approvals:                                                       ADMINISTRATIVE ORDERS
                                                         Written Reimbursement Policy, 52466–52467                                           Electrify Africa Act of 2015; Delegation of Authority
                                                                                                                                                 (Memorandum of August 3, 2016), 52323
                                                        National Institutes of Health                                                        Export Control Regulations; Continuation of National
                                                        NOTICES                                                                                  Emergency (Notice of August 4, 2016), 52585–52587
                                                        Government-Owned Inventions; Availability for Licensing,
                                                            52452                                                                            Rural Housing Service
                                                        Meetings:                                                                            NOTICES
                                                          Center for Scientific Review, 52453                                                Solicitations of Applications:
                                                          National Cancer Institute, 52452–52453                                               Loans to Re-Lenders under the Community Facility Loan
                                                          National Institute on Alcohol Abuse and Alcoholism,                                       Program for Fiscal Year (FY) 2016; Correction, 52398
                                                              52451–52452
                                                                                                                                             Securities and Exchange Commission
                                                        National Oceanic and Atmospheric Administration                                      NOTICES
                                                        RULES                                                                                Applications:
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                                                        Fisheries of the Exclusive Economic Zone Off Alaska:                                   American Independence Funds Trust, et al., 52493–52494
                                                          Reallocation of Pollock in the Bering Sea and Aleutian                               Managed Portfolio Series and Port Street Investments,
                                                              Islands, 52367–52368                                                                 LLC, 52490–52491
                                                        Fisheries of the Northeastern United States:                                           OSI ETF Trust, et al., 52485–52486
                                                          Small-Mesh Multispecies Fishery; Adjustment to the                                 Self-Regulatory Organizations; Proposed Rule Changes:
                                                              Commercial Northern Red Hake Inseason Possession                                 Bats BYX Exchange, Inc., 52503–52504
                                                              Limit, 52366–52367                                                               Bats BZX Exchange, Inc., 52494–52496, 52504–52505
                                                        Snapper-Grouper Fishery of the South Atlantic:                                         Bats EDGA Exchange, Inc., 52491–52493
                                                          2016 Recreational Accountability Measure and Closure                                 Bats EDGX Exchange, Inc., 52496–52498
                                                              for the South Atlantic Other Jacks Complex, 52366                                C2 Options Exchange, Inc., 52498–52502


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                                                        VI                          Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Contents


                                                           NASDAQ Stock Market, LLC, 52486–52490                                             Separate Parts In This Issue

                                                        Transportation Department                                                            Part II
                                                        See Federal Aviation Administration                                                  Agriculture Department, Forest Service, 52528–52582
                                                        See Federal Motor Carrier Safety Administration                                      Interior Department, Fish and Wildlife Service, 52528–
                                                        RULES                                                                                     52582
                                                        Technical Amendment to Revise the Definition of Service
                                                            Agent, 52364–52365                                                               Part III
                                                        NOTICES                                                                              Management and Budget Office, 52584
                                                        Commuter Authority Applications:
                                                          Trans Northern Airways LLC, 52521                                                  Part IV
                                                                                                                                             Presidential Documents, 52585–52587
                                                        Treasury Department
                                                        See Comptroller of the Currency
                                                        See Foreign Assets Control Office                                                    Reader Aids
                                                                                                                                             Consult the Reader Aids section at the end of this issue for
                                                        U.S. Customs and Border Protection                                                   phone numbers, online resources, finding aids, and notice
                                                        NOTICES                                                                              of recently enacted public laws.
                                                        National Customs Automation Program:                                                 To subscribe to the Federal Register Table of Contents
                                                         Automated Commercial Environment Portal Accounts to                                 LISTSERV electronic mailing list, go to http://
                                                              Establish the Protest Filer Account, etc., 52453–                              listserv.access.gpo.gov and select Online mailing list
                                                              52457                                                                          archives, FEDREGTOC-L, Join or leave the list (or change
                                                                                                                                             settings); then follow the instructions.
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                                                                                             Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Contents                               VII

                                                         CFR PARTS AFFECTED IN THIS ISSUE

                                                         A cumulative list of the parts affected this month can be found in the
                                                         Reader Aids section at the end of this issue.

                                                         3 CFR
                                                         Executive Orders:
                                                         13675 (amended by
                                                           13734 ...........................52321
                                                         13734...............................52321
                                                         Administrative Orders:
                                                         Memorandums:
                                                         Memorandum of
                                                           August 3 2016..............52323
                                                         Notices:
                                                         Notice of August 4,
                                                           2016 .............................52587
                                                         9 CFR
                                                         77.....................................52325
                                                         14 CFR
                                                         Proposed Rules:
                                                         71.....................................52369
                                                         15 CFR
                                                         774...................................52326
                                                         21 CFR
                                                         610...................................52329
                                                         1105.................................52329
                                                         Proposed Rules:
                                                         175...................................52370
                                                         176...................................52370
                                                         177...................................52370
                                                         178...................................52370
                                                         1105.................................52371
                                                         28 CFR
                                                         Proposed Rules:
                                                         31.....................................52377
                                                         33 CFR
                                                         117...................................52335
                                                         165 (3 documents) .........52335,
                                                                                                52339
                                                         34 CFR
                                                         Ch. II ................................52341
                                                         36 CFR
                                                         242...................................52528
                                                         40 CFR
                                                         60.....................................52346
                                                         63 (2 documents) ...........52346,
                                                                                                52348
                                                         180...................................52348
                                                         Proposed Rules:
                                                         52.....................................52388
                                                         745...................................52393
                                                         43 CFR
                                                         10.....................................52352
                                                         44 CFR
                                                         64.....................................52353
                                                         47 CFR
                                                         1.......................................52354
                                                         4.......................................52354
                                                         49 CFR
                                                         40.....................................52364
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                                                         50 CFR
                                                         100...................................52528
                                                         622...................................52366
                                                         648...................................52366
                                                         679...................................52367
                                                         Proposed Rules:
                                                         679...................................52394




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                                                                                                                                                                                   52321

                                                   Federal Register                                    Presidential Documents
                                                   Vol. 81, No. 152

                                                   Monday, August 8, 2016



                                                   Title 3—                                            Executive Order 13734 of August 3, 2016

                                                   The President                                       Amending Executive Order 13675 To Expand Membership on
                                                                                                       the President’s Advisory Council on Doing Business in Africa

                                                                                                       By the authority vested in me as President by the Constitution and the
                                                                                                       laws of the United States of America, and in order to promote broad-
                                                                                                       based economic growth and job creation in the United States and Africa
                                                                                                       by encouraging U.S. companies to trade with and invest in Africa, it is
                                                                                                       hereby ordered as follows:
                                                                                                       Section 1. Policy. Recognizing the tremendous potential of expanding the
                                                                                                       U.S.-Africa commercial relationship, the United States in 2014 launched
                                                                                                       the Trade Africa Initiative, a partnership between the United States and
                                                                                                       Sub-Saharan Africa, and created a U.S. Strategy Toward Sub-Saharan Africa
                                                                                                       outlining a comprehensive U.S. policy for the region, among other activities.
                                                                                                       Ensuring that such initiatives and activities reflect the priorities of, and
                                                                                                       benefit from the support of, the private sector is critical to their success.
                                                                                                       For that reason, in Executive Order 13675 of August 5, 2014, I directed
                                                                                                       the Secretary of Commerce to establish the President’s Advisory Council
                                                                                                       on Doing Business in Africa (Council). Since its establishment in November
                                                                                                       2014, the Council has been actively engaged in advising on strengthening
                                                                                                       commercial engagement between the United States and Africa and has pro-
                                                                                                       vided numerous recommendations on a broad range of issues. In light of
                                                                                                       the numerous U.S. Government initiatives and activities to promote expan-
                                                                                                       sion of the commercial relationship, the breadth of U.S. private sector engage-
                                                                                                       ment in Sub-Saharan Africa, and the range of issues on which future advice
                                                                                                       may be requested, broader representation of the diversity of private sector
                                                                                                       viewpoints, experiences, and knowledge on the Council is warranted. Thus
                                                                                                       I am increasing the membership of the Council.
                                                                                                       Sec. 2. Amendment to Executive Order 13675. Executive Order 13675 of
                                                                                                       August 5, 2014, is amended in section 3(a) by striking ‘‘shall consist of
                                                                                                       not more than 15 private sector corporate members’’ and inserting in lieu
                                                                                                       thereof ‘‘shall consist of not more than 26 private sector corporate members’’.
                                                                                                       Sec. 3. General Provisions. (a) Nothing in this order shall be construed
                                                                                                       to impair or otherwise affect:
                                                                                                         (i) the authority granted by law to an executive department or agency,
                                                                                                         or the head thereof; or
                                                                                                         (ii) the functions of the Director of the Office of Management and Budget
                                                                                                         relating to budgetary, administrative, or legislative proposals.
                                                                                                         (b) This order shall be implemented consistent with applicable law and
                                                                                                       subject to the availability of appropriations.
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                                                   52322               Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Presidential Documents

                                                                                                         (c) This order is not intended to, and does not, create any right or benefit,
                                                                                                       substantive or procedural, enforceable at law or in equity by any party
                                                                                                       against the United States, its departments, agencies, or entities, its officers,
                                                                                                       employees, or agents, or any other person.




                                                                                                       THE WHITE HOUSE,
                                                                                                       August 3, 2016.


                                                   [FR Doc. 2016–18872
                                                   Filed 8–5–16; 8:45 am]
                                                   Billing code 3295–F6–P
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                                                                   Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Presidential Documents                       52323

                                                                                                   Presidential Documents



                                                                                                   Memorandum of August 3, 2016

                                                                                                   Delegation of Authority Pursuant to Section 4 and Section 7
                                                                                                   of the Electrify Africa Act of 2015

                                                                                                   Memorandum for the Administrator of the United States Agency for
                                                                                                   International Development

                                                                                                   By the authority vested in me as President by the Constitution and the
                                                                                                   laws of the United States of America, including section 301 of title 3,
                                                                                                   United States Code, I hereby delegate to you the functions and authorities
                                                                                                   vested in the President by section 4 and section 7 of the Electrify Africa
                                                                                                   Act of 2015 (Public Law 114–121) (the ‘‘Act’’).
                                                                                                   Any reference in this memorandum to the Act shall be deemed to be a
                                                                                                   reference to any future act that is the same or substantially the same as
                                                                                                   such provisions.
                                                                                                   You are authorized and directed to publish this memorandum in the Federal
                                                                                                   Register.




                                                                                                   THE WHITE HOUSE,
                                                                                                   Washington, August 3, 2016


                                               [FR Doc. 2016–18879
                                               Filed 8–5–16; 8:45 am]
                                               Billing code 6116–01–P
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                                                                                                                                                                                               52325

                                             Rules and Regulations                                                                                         Federal Register
                                                                                                                                                           Vol. 81, No. 152

                                                                                                                                                           Monday, August 8, 2016



                                             This section of the FEDERAL REGISTER                    reading room hours are 8 a.m. to 4:30                 cattle and bison, the effectiveness of the
                                             contains regulatory documents having general            p.m., Monday through Friday, except                   State’s tuberculosis eradication
                                             applicability and legal effect, most of which           holidays. To be sure someone is there to              program, and the degree of the State’s
                                             are keyed to and codified in the Code of                help you, please call (202) 799–7039                  compliance with standards for cattle
                                             Federal Regulations, which is published under           before coming.                                        and bison contained in the UMR. The
                                             50 titles pursuant to 44 U.S.C. 1510.
                                                                                                     FOR FURTHER INFORMATION CONTACT: Dr.                  regulations provide that a State may
                                             The Code of Federal Regulations is sold by              C. William Hench, Cattle Health Center                request partitioning into specific
                                             the Superintendent of Documents. Prices of              Staff Veterinarian, Surveillance,                     geographic regions or zones with
                                             new books are listed in the first FEDERAL               Preparedness and Response Services,                   different status designations (commonly
                                             REGISTER issue of each week.                            Veterinary Services, APHIS, 2150 Centre               referred to as split-State status) if bovine
                                                                                                     Avenue, Fort Collins, CO 80526–8117;                  tuberculosis is detected in a portion of
                                                                                                     (970) 494–7378.                                       a State and the State demonstrates that
                                             DEPARTMENT OF AGRICULTURE                                                                                     it meets certain criteria with regard to
                                                                                                     SUPPLEMENTARY INFORMATION:
                                                                                                                                                           zone classification.
                                             Animal and Plant Health Inspection                      Background
                                             Service                                                                                                       Request for Advancement of Modified
                                                                                                        Bovine tuberculosis is a contagious                Accredited Advanced Status
                                             9 CFR Part 77                                           and infectious granulomatous disease
                                                                                                     caused by the bacterium Mycobacterium                    In an interim rule effective and
                                             [Docket No. APHIS–2016–0052]                            bovis. Although commonly defined as a                 published in the Federal Register on
                                                                                                     chronic debilitating disease, bovine                  September 18, 2008 (73 FR 54063–
                                             Tuberculosis in Cattle and Bison; State                 tuberculosis can occasionally assume an               54065, Docket No. APHIS–2008–0067),
                                             and Zone Designations; California                       acute, rapidly progressive course. While              we amended the tuberculosis
                                                                                                     any body tissue can be affected, lesions              regulations for cattle and bison by
                                             AGENCY:  Animal and Plant Health
                                                                                                     are most frequently observed in the                   removing the State of California from
                                             Inspection Service, USDA.
                                                                                                     lymph nodes, lungs, intestines, liver,                the list of accredited-free States for
                                             ACTION: Interim rule and request for                                                                          bovine tuberculosis and reclassified the
                                                                                                     spleen, pleura, and peritoneum.
                                             comments.                                                                                                     State as modified accredited advanced.
                                                                                                     Although cattle are considered to be the
                                                                                                     true hosts of M. bovis, the disease has               Because two affected cattle herds had
                                             SUMMARY:   We are amending the bovine
                                                                                                     been reported in several other species of             been detected in California since
                                             tuberculosis regulations regarding State
                                                                                                     both domestic and nondomestic                         November 2007, the State no longer met
                                             and zone classifications by reclassifying
                                                                                                     animals, as well as in humans.                        our requirements for accredited-free
                                             the State of California as accredited-free.
                                                                                                        At the beginning of the past century,              status. That action was necessary to
                                             We have determined that the State
                                                                                                     tuberculosis caused more losses of                    reduce the likelihood of the spread of
                                             meets the criteria for accredited-free
                                                                                                     livestock than all other livestock                    bovine tuberculosis within the United
                                             status. This action relieves certain
                                                                                                     diseases combined. This prompted the                  States. As a result of that action, cattle
                                             restrictions on the interstate movement
                                                                                                     establishment in the United States of the             or bison moved interstate from
                                             of cattle and bison from the State of
                                                                                                     National Cooperative State/Federal                    anywhere in California have had to meet
                                             California.
                                                                                                     Bovine Tuberculosis Eradication                       the testing requirements that apply to
                                             DATES:  This interim rule is effective                  Program for tuberculosis in livestock.                animals from modified accredited
                                             August 8, 2016. We will consider all                       In carrying out the national                       advanced States or zones.
                                             comments that we receive on or before                   eradication program, the Animal and                      The State of California has requested
                                             October 7, 2016.                                        Plant Health Inspection Service (APHIS)               that the State be reclassified from
                                             ADDRESSES: You may submit comments                      issues and enforces regulations. The                  modified accredited advanced to
                                             by either of the following methods:                     regulations require the testing of cattle             accredited-free. Based on the findings of
                                               • Federal eRulemaking Portal: Go to                   and bison for tuberculosis, define the                a review of the tuberculosis eradication
                                             http://www.regulations.gov/                             Federal tuberculosis status levels for                program in California conducted during
                                             #!docketDetail;D=APHIS-2016-0052.                       States or zones (accredited-free,                     the week of April 18 to 22, 2016, APHIS
                                               • Postal Mail/Commercial Delivery:                    modified accredited advanced, modified                has determined that the State meets the
                                             Send your comment to Docket No.                         accredited, accreditation preparatory,                criteria for advancement of status
                                             APHIS–2016–0052, Regulatory Analysis                    and nonaccredited), provide the criteria              contained in the regulations.
                                             and Development, PPD, APHIS, Station                    for attaining and maintaining those                      State animal health officials in
                                             3A–03.8, 4700 River Road Unit 118,                      status levels, and contain testing and                California have demonstrated that the
                                             Riverdale, MD 20737–1238.                               movement requirements for cattle and                  State enforces and complies with the
                                               Supporting documents and any                          bison leaving States or zones of a                    provisions of the UMR. The State of
                                             comments we receive on this docket                      particular status level. These regulations            California has demonstrated that it has
                                             may be viewed at http://                                                                                      zero percent prevalence of cattle and
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                                                                                                     are contained in 9 CFR part 77 and in
                                             www.regulations.gov/                                    the Bovine Tuberculosis Eradication                   bison herds affected with tuberculosis
                                             #!docketDetail;D=APHIS-2016-0052 or                     Uniform Methods and Rules, 1999                       and has had no findings of tuberculosis
                                             in our reading room, which is located in                (UMR), which is incorporated by                       in any cattle or bison in the State since
                                             Room 1141 of the USDA South                             reference into the regulations.                       the last affected herd completed a test-
                                             Building, 14th Street and Independence                     The status of a State or zone is based             and-remove herd plan and was released
                                             Avenue SW., Washington, DC. Normal                      on its prevalence of tuberculosis in                  from quarantine in July 2014. Therefore,


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                                             52326              Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations

                                             California has demonstrated that the                    0.02 percent of the approximately $10                    Done in Washington, DC, this 29th day of
                                             State meets the criteria for accredited-                billion earned from California’s cattle                July 2016.
                                             free status as set forth in the definition              and milk sales.                                        Kevin Shea,
                                             of accredited-free State or zone in § 77.5                 Entities that may be affected by the                Administrator, Animal and Plant Health
                                             of the regulations.                                     interim rule fall into various categories              Inspection Service.
                                                Based on our evaluation of                           of the North American Industry                         [FR Doc. 2016–18428 Filed 8–5–16; 8:45 am]
                                             California’s request, we are classifying                Classification System. The majority of                 BILLING CODE 3410–34–P
                                             the entire State of California as
                                                                                                     the affected businesses are small
                                             accredited-free.
                                                                                                     entities.
                                             Immediate Action                                           Under these circumstances, the                      DEPARTMENT OF COMMERCE
                                               Immediate action is warranted to                      Administrator of the Animal and Plant
                                             relieve restrictions on the interstate                  Health Inspection Service has                          Bureau of Industry and Security
                                             movement of cattle and bison from the                   determined that this action will not
                                             State of California. Under these                        have a significant economic impact on                  15 CFR Part 774
                                             circumstances, the Administrator has                    a substantial number of small entities.
                                                                                                                                                            [Docket No. 160303184–6184–01]
                                             determined that prior notice and
                                                                                                     Executive Order 12372
                                             opportunity for public comment are                                                                             RIN 0694–AG90
                                             contrary to the public interest and that                  This program/activity is listed in the
                                             there is good cause under 5 U.S.C. 553                  Catalog of Federal Domestic Assistance                 Amendment to the Export
                                             for making this action effective less than              under No. 10.025 and is subject to                     Administration Regulations To Add
                                             30 days after publication in the Federal                Executive Order 12372, which requires                  Targets for the Production of Tritium
                                             Register.                                               intergovernmental consultation with                    and Related Development and
                                               We will consider comments we                          State and local officials. (See 2 CFR                  Production Technology to the List of
                                             receive during the comment period for                   chapter IV.)                                           0Y521 Series
                                             this interim rule (see DATES above).
                                             After the comment period closes, we                     Executive Order 12988                                  AGENCY:  Bureau of Industry and
                                             will publish another document in the                                                                           Security, Commerce.
                                             Federal Register. The document will                        This rule has been reviewed under                   ACTION: Interim final rule with request
                                             include a discussion of any comments                    Executive Order 12988, Civil Justice                   for comments.
                                             we receive and any amendments we are                    Reform. This rule has no retroactive
                                             making to the rule.                                     effect and does not require                            SUMMARY:    In this interim final rule, the
                                                                                                     administrative proceedings before                      Bureau of Industry and Security (BIS)
                                             Executive Order 12866 and Regulatory                    parties may file suit in court challenging             amends the Export Administration
                                             Flexibility Act                                         this rule.                                             Regulations (EAR) to make certain items
                                               This interim rule is subject to                                                                              subject to the EAR and to impose on
                                                                                                     Paperwork Reduction Act
                                             Executive Order 12866. However, for                                                                            those items a license requirement for
                                             this action, the Office of Management                      This rule contains no new                           export and reexport to all destinations,
                                             and Budget has waived its review under                  information collection or recordkeeping                except Canada. Specifically, this rule
                                             Executive Order 12866.                                  requirements under the Paperwork                       classifies certain specified targets
                                               In accordance with the Regulatory                     Reduction Act of 1995 (44 U.S.C. 3501                  ‘‘specially designed’’ for the production
                                             Flexibility Act, we have analyzed the                   et seq.).                                              of tritium and related ‘‘development’’
                                             potential economic effects of this action                                                                      and ‘‘production’’ technology under
                                             on small entities. The analysis is                      List of Subjects in 9 CFR Part 77                      Export Control Classification Numbers
                                             summarized below. The full analysis                                                                            (ECCNs) 0A521 and 0E521, respectively,
                                                                                                       Animal diseases, Bison, Cattle,
                                             may be viewed on the Regulations.gov                                                                           on the Commerce Control List (CCL). As
                                                                                                     Reporting and recordkeeping
                                             Web site (see ADDRESSES above for                                                                              described in the final rule that
                                                                                                     requirements, Transportation,
                                             instructions for accessing                                                                                     established the 0Y521 series and that
                                                                                                     Tuberculosis.
                                             Regulations.gov) or obtained from the                                                                          was published in the Federal Register
                                             person listed under FOR FURTHER                           Accordingly, we are amending 9 CFR                   on April 13, 2012, items are added to
                                             INFORMATION CONTACT.                                    part 77 as follows:                                    the 0Y521 series upon a determination
                                                Tuberculosis testing, including                                                                             by the Department of Commerce, with
                                             veterinary fees, costs approximately $10                PART 77—TUBERCULOSIS                                   the concurrence of the Departments of
                                             to $15 per head. Approximately 100,000                                                                         Defense and State, and other agencies as
                                             tuberculosis tests were conducted in                    ■ 1. The authority citation for part 77                appropriate, that the items should be
                                             California in 2015, to meet the import                  continues to read as follows:                          controlled for export because the items
                                             requirements imposed by other States.                     Authority: 7 U.S.C. 8301–8317; 7 CFR                 provide at least a significant military or
                                             Based on this information, the annual                   2.22, 2.80, and 371.4.                                 intelligence advantage to the United
                                             cost savings associated with advancing                                                                         States or foreign policy reasons justify
                                             the tuberculosis status of California                   77.7    [Amended]                                      control. In this matter, the Department
                                             from modified accredited advanced to                                                                           of Energy also concurred in the control
                                             accredited-free will range from $1                      ■ 2. In § 77.7, paragraph (a) is amended               imposed. The items identified in this
                                             million to $1.5 million. We note that                   by adding the word ‘‘California,’’ after               rule are controlled for regional stability
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                                             Federal interstate movement testing                     the word ‘‘Arkansas,’’.                                (RS) Column 1 reasons. The only license
                                             requirements for modified accredited                    77.9    [Amended]                                      exception available for these items is for
                                             advanced States were suspended by a                                                                            exports, reexports, and transfers (in-
                                             Federal Order issued in April 2010. The                 ■ 3. In § 77.9, paragraph (a) is amended               country) made by or consigned to a
                                             $1 million to $1.5 million in savings                   by removing the word ‘‘California’’ and                department or agency of the U.S.
                                             that will be realized represents less than              adding the word ‘‘None’’ in its place.                 Government.


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                                                                Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations                                         52327

                                             DATES: This rule is effective August 8,                 submit a proposed control to the                      Energy, that the items should be
                                             2016. Comments must be received by                      applicable export control regime (e.g.,               controlled because they provide a
                                             October 7, 2016.                                        the Nuclear Suppliers Group) for                      significant military or intelligence
                                             ADDRESSES: You may submit comments                      potential multilateral control, with the              advantage to the United States or
                                             by any of the following methods:                        understanding that multilateral controls              because foreign policy reasons justify
                                               • Federal eRulemaking Portal: http://                 are preferable when practical. An item’s              such controls.
                                             www.regulations.gov. The identification                 ECCN 0Y521 classification may be                         ECCN 0A521 No. 1, which appears in
                                             number for this rulemaking is BIS–                      extended for two one-year periods to                  the table found in Supplement No. 5 to
                                             2016–0027.                                              provide time for the U.S. Government                  part 774 of the EAR, covers targets made
                                               • By email directly to:                               and multilateral regime(s) to reach                   of or containing lithium ‘‘specially
                                             publiccomments@bis.doc.gov. Include                     agreement on controls for the item, and               designed’’ for the production of tritium
                                             RIN 0694–AG90 in the subject line.                      provided that the U.S. Government has                 by insertion in the core of a nuclear
                                               • By mail or delivery to Regulatory                   submitted a proposal to obtain                        reactor.
                                             Policy Division, Bureau of Industry and                 multilateral controls over the item.                     ECCN 0E521 No. 1 covers technology
                                             Security, U.S. Department of Commerce,                  Further extension beyond three years                  required for the ‘‘development’’ or
                                             Room 2099B, 14th Street and                             may occur only if the Under Secretary                 ‘‘production’’ of items classified under
                                             Pennsylvania Avenue NW., Washington,                    for Industry and Security makes a                     ECCN 0A521 No. 1.
                                             DC 20230. Refer to RIN 0694–AG90.                       determination that such extension is in
                                                                                                                                                           License Applications for the New ECCN
                                             FOR FURTHER INFORMATION CONTACT:
                                                                                                     the national security or foreign policy
                                                                                                                                                           0A521 and 0E521 Items
                                             Steven Clagett, Director, Nuclear and                   interests of the United States. An
                                                                                                     extension or re-extension, including a                   License applications for these items
                                             Missile Technology Controls Division,                                                                         may be submitted through SNAP–R in
                                             Office of Nonproliferation and Treaty                   determination by the Under Secretary
                                                                                                     for Industry and Security, will be                    accordance with § 748.6 of the EAR.
                                             Compliance, by phone at (202) 482–                                                                            Exporters are directed to include
                                             1641, or by email at Steven.Clagett@bis                 published in the Federal Register.
                                                                                                                                                           detailed descriptions and technical
                                             doc.gov.                                                License Requirements, Policies and                    specifications with the license
                                             SUPPLEMENTARY INFORMATION:                              Exceptions                                            application, and identify the item’s
                                             Background                                                 The license requirements and policies              ECCN.
                                                                                                     for the ECCN 0Y521 series appear in                      The rule is being issued in interim
                                                BIS established the ECCN 0Y521                       § 742.6(a)(7) of the EAR. ECCN 0Y521                  final form because while the
                                             series to identify items that warrant                   items are subject to a nearly worldwide               government believes that it is in the
                                             control on the CCL but are not yet                      license requirement (i.e., for every                  national security interests of the United
                                             identified in an existing ECCN (77 FR                   country except Canada) with a case-by-                States to immediately implement these
                                             22191, April 13, 2012). Items are added                 case license review policy, through                   controls, it also wants to provide the
                                             to the ECCN 0Y521 series by the                         regional stability (RS Column 1)                      interested public with an opportunity to
                                             Department of Commerce, with the                        controls. The description and status of               comment on the new controls of the
                                             concurrence of the Departments of                       ECCN 0Y521 items appear in                            items. Comments may be submitted in
                                             Defense and State, and other agencies as                Supplement No. 5 to part 774 of the                   accordance with the DATES and
                                             appropriate, upon a determination that                  EAR, along with any item-specific                     ADDRESSES sections of this rule. BIS will
                                             an item should be controlled because it                 license exceptions, where applicable.                 review and, if appropriate, address such
                                             provides at least a significant military or             Unless otherwise indicated, License                   comments through rulemaking
                                             intelligence advantage to the United                    Exception GOV is the only license                     consistent with the process described in
                                             States or because foreign policy reasons                exception available and is applicable to              the April 13, 2012 final rule creating the
                                             justify such control. In this matter, the               all ECCN 0Y521 series items, including                ECCN 0Y521 series (77 FR 22191).
                                             Department of Energy also concurred in                  those items identified in this notice, if
                                             the control imposed. The ECCN 0Y521                     the item is within the scope of                       Export Administration Act
                                             series is a temporary holding                           § 740.11(b)(2)(ii) (Exports, reexports,                 Although the Export Administration
                                             classification with a limitation that                   and transfers (in-country) made by or                 Act expired on August 20, 2001, the
                                             while an item is temporarily classified                 consigned to a department or agency of                President, through Executive Order
                                             under ECCN 0Y521, the U.S.                              the U.S. Government), as provided in                  13222 of August 17, 2001, 3 CFR, 2001
                                             Government works to adopt a control                     § 740.2(a)(14).                                       Comp., p. 783 (2002), as amended by
                                             through the relevant multilateral                                                                             Executive Order 13637 of March 8,
                                             regime(s), in this case the Nuclear                     Addition of ECCN 0A521 and 0E521
                                                                                                                                                           2013, 78 FR 16129 (March 13, 2013) and
                                             Suppliers Group, to determine an                        Items: Targets for the Production of
                                                                                                                                                           as extended by the Notice of August 7,
                                             appropriate longer-term control over the                Tritium and Related ‘‘Development’’
                                                                                                                                                           2015, 80 FR 48233 (August 11, 2015),
                                             item, or that the item does not warrant                 and ‘‘Production’’ Technology
                                                                                                                                                           has continued the Export
                                             control on the CCL.                                        In this rule, BIS amends the EAR to                Administration Regulations in effect
                                                Items classified under ECCN 0Y521,                   make targets made of or containing                    under the International Emergency
                                             including the items identified in this                  lithium ‘‘specially designed’’ for the                Economic Powers Act. BIS continues to
                                             interim final rule as 0A521 and 0E521                   production of tritium by insertion in the             carry out the provisions of the Export
                                             items, remain so-classified for one year                core of a nuclear reactor and related                 Administration Act, as appropriate and
                                             from the date a final rule identifying the              ‘‘development’’ and ‘‘production’’                    to the extent permitted by law, pursuant
                                             item is published in the Federal                        technology subject to the EAR and
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                                                                                                                                                           to Executive Order 13222 as amended
                                             Register amending the EAR, unless the                   imposes a license requirement on the                  by Executive Order 13637.
                                             item is re-classified under a different                 items. These items are being added to
                                             ECCN, under an EAR99 designation, or                    the 0Y521 series pursuant to a                        Rulemaking Requirements
                                             the 0Y521 classification is extended.                   determination by the Department of                      1. Executive Orders 13563 and 12866
                                             During this time, the U.S. Government                   Commerce, with the concurrence of the                 direct agencies to assess all costs and
                                             determines whether it is appropriate to                 Departments of Defense, State and                     benefits of available regulatory


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                                             52328              Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations

                                             alternatives and, if regulation is                      military or intelligence advantage to the                writing and submitted via one or more
                                             necessary, to select regulatory                         United States. Immediate imposition of                   of the methods listed under the
                                             approaches that maximize net benefits                   a license requirement is necessary to                    ADDRESSES caption to this notice. All
                                             (including potential economic,                          effect the national security and foreign                 comments (including any personal
                                             environmental, public health and safety                 policy goals of this rule. Immediate                     identifiable information) will be
                                             effects, distribute impacts, and equity).               implementation will allow BIS to                         available for public inspection and
                                             Executive Order 13563 emphasizes the                    prevent exports of these items to users                  copying. Those wishing to comment
                                             importance of quantifying both costs                    and for uses that pose a national                        anonymously may do so by submitting
                                             and benefits, of reducing costs, of                     security threat to the United States or its              their comment via regulations.gov and
                                             harmonizing rules, and of promoting                     allies. If BIS delayed this rule to allow                leaving the fields for identifying
                                             flexibility. This rule has been                         for prior notice and opportunity for                     information blank.
                                             determined to be not significant for                    public comment, the resulting delay in
                                                                                                                                                              List of Subjects in 15 CFR Part 774
                                             purposes of Executive Order 12866.                      implementation would afford an
                                                2. Notwithstanding any other                         opportunity for the export of these items                  Exports, Reporting and recordkeeping
                                             provision of law, no person is required                 to users and uses that pose such a                       requirements.
                                             to respond to, nor is subject to a penalty              national security threat, thereby                          Accordingly, part 774 of the Export
                                             for failure to comply with, a collection                undermining the purpose of the rule. In                  Administration Regulations (15 CFR
                                             of information, subject to the                          addition, if parties receive notice of the               parts 730–774) is amended as follows:
                                             requirements of the Paperwork                           U.S. Government’s intention to control
                                             Reduction Act of 1995 (44 U.S.C. 3501                   these items under 0Y521 once a final                     PART 774—[AMENDED]
                                             et seq.) (PRA), unless that collection of               rule was published, they might have an
                                             information displays a currently valid                  incentive to either accelerate orders of                 ■ 1. The authority citation for part 774
                                             OMB control number. This rule affects                   these items or attempt to have the items                 continues to read as follows:
                                             two approved collections: (1) The                       exported prior to the imposition of the                    Authority: 50 U.S.C. app. 2401 et seq.; 50
                                             Simplified Network Application                          control.                                                 U.S.C. 1701 et seq.; 10 U.S.C. 7420; 10 U.S.C.
                                             Processing + System (control number                        Further, BIS finds good cause to                      7430(e); 22 U.S.C. 287c, 22 U.S.C. 3201 et
                                             0694–0088), which carries a burden                      waive the 30-day delay in effectiveness                  seq.; 22 U.S.C. 6004; 42 U.S.C. 2139a; 42
                                             hour estimate of 43.8 minutes, including                under 5 U.S.C. 553(d)(3). Immediate                      U.S.C. 6212; 15 U.S.C. 1824a; 50 U.S.C. 4305;
                                                                                                                                                              22 U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O.
                                             the time necessary to submit license                    implementation of these changes will                     13026, 61 FR 58767, 3 CFR, 1996 Comp., p.
                                             applications, among other things, as                    allow BIS to prevent exports of these                    228; E.O. 13222, 66 FR 44025, 3 CFR, 2001
                                             well as miscellaneous and other                         items to users and for uses that pose a                  Comp., p. 783; Notice of August 7, 2015, 80
                                             recordkeeping activities that account for               national security threat to the United                   FR 48233 (August 11, 2015).
                                             12 minutes per submission; and (2)                      States or its allies. If BIS delayed this
                                                                                                                                                              ■ 2. Amend Supplement No. 5 to Part
                                             License Exceptions and Exclusions                       rule to allow for a 30-day delay in
                                                                                                                                                              774 by:
                                             (0694–0137). BIS does not believe that                  effectiveness, the resulting delay in
                                                                                                                                                              ■ A. In the table, remove the reserved
                                             this rule will materially increase the                  implementation would afford an
                                                                                                                                                              entry under 0A521 and add in its place
                                             number of submissions under these                       opportunity for the export of these items
                                                                                                                                                              entry No. 1.
                                             collections.                                            to users and uses that pose such a
                                                                                                                                                              ■ B. In the table, remove the reserved
                                                3. This rule does not contain policies               national security threat, thereby
                                                                                                                                                              entry under 0E521 and add in its place
                                             with Federalism implications as that                    undermining the purpose of the rule.
                                                                                                                                                              entry No. 1.
                                             term is defined under E.O. 13132.                       Because a notice of proposed
                                                                                                                                                                The additions read as follows:
                                                4. The provisions of the                             rulemaking and an opportunity for
                                             Administrative Procedure Act (5 U.S.C.                  public comment are not required to be                    Supplement No. 5 to Part 774—Items
                                             553) requiring prior notice, the                        given for this rule by 5 U.S.C. 553, or                  Classified Under ECCNS 0A521, 0B521,
                                             opportunity for public comment and a                    by any other law, the analytical                         0C521, 0D521 AND 0E521
                                             delay in effective date are inapplicable                requirements of the Regulatory                             The following table lists items subject to
                                             because this regulation involves a                      Flexibility Act, 5 U.S.C. 601 et seq., are               the EAR that are not listed elsewhere in the
                                             military or foreign affairs function of the             not applicable. Accordingly, no                          CCL, but which the Department of
                                             United States (See 5 U.S.C. 553(a)(1)).                 regulatory flexibility analysis is required              Commerce, with the concurrence of the
                                                                                                                                                              Departments of Defense and State, has
                                             BIS, with the concurrence of the U.S.                   and none has been prepared. Although                     identified warrant control for export or
                                             Departments of Defense and State, is                    notice and opportunity for comment are                   reexport because the items provide at least a
                                             implementing this rule because the                      not required, BIS is issuing this rule as                significant military or intelligence advantage
                                             items identified for the ECCN 0Y521                     an interim final rule with a request for                 to the United States or for foreign policy
                                             series in this rule provide a significant               comments. All comments must be in                        reasons.

                                                                                                                                   Date when the item
                                                                                                         Date of initial or         will be designated
                                                             Item descriptor                             subsequent BIS           EAR99, unless reclas-
                                               Note: The description must match by model                  classification             sified in another            Item-specific license exception eligibility
                                              number or a broader descriptor that does not            (ID = initial date; SD       ECCN or the 0Y521
                                                necessarily need to be company specific                = subsequent date)            classification is
                                                                                                                                          reissued
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                                                                                                   0A521. Systems, Equipment and Components.

                                             No. 1 Targets made of or containing lithium             August 8, 2016 (ID) ...      August 8, 2017 ..........   License       Exception         GOV         under
                                               ‘‘specially designed’’ for the production of                                                                     § 740.11(b)(2)(ii) only.
                                               tritium by insertion in the core of a nuclear
                                               reactor.




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                                                                Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations                                                     52329

                                                                                                                                    Date when the item
                                                                                                         Date of initial or          will be designated
                                                             Item descriptor                             subsequent BIS            EAR99, unless reclas-
                                               Note: The description must match by model                  classification              sified in another           Item-specific license exception eligibility
                                              number or a broader descriptor that does not            (ID = initial date; SD        ECCN or the 0Y521
                                                necessarily need to be company specific                = subsequent date)             classification is
                                                                                                                                           reissued

                                                       *                       *                       *                       *                        *                       *                    *

                                                                                                                   0E521. Technology.

                                             No. 1 ‘‘Technology’’ required for the ‘‘develop-        August 8, 2016 (ID) ...       August 8, 2017 ..........   License       Exception        GOV         under
                                               ment’’ or ‘‘production’’ of 0A521 No. 1 items.                                                                    § 740.11(b)(2)(ii) only.



                                               Dated: July 25, 2016.                                 Silver Spring, MD 20993–0002, 240–                        not met a minimum threshold for
                                             Matthew S. Borman,                                      402–7911.                                                 acceptability for FDA review. Under the
                                             Deputy Assistant Secretary for Export                   SUPPLEMENTARY INFORMATION: In the                         rule, FDA will refuse to accept a tobacco
                                             Administration.                                         Federal Register of May 4, 2016 (81 FR                    product submission, for example, that is
                                             [FR Doc. 2016–18070 Filed 8–5–16; 8:45 am]              26687), FDA solicited comments                            not in English, does not pertain to a
                                             BILLING CODE 3510–33–P                                  concerning the direct final rule for a 75-                tobacco product, or does not identify the
                                                                                                     day period ending July 18, 2016. FDA                      type of submission. By refusing to
                                                                                                     stated that the effective date of the                     accept submissions that have the
                                             DEPARTMENT OF HEALTH AND                                direct final rule would be on September                   deficiencies identified in the rule, FDA
                                             HUMAN SERVICES                                          16, 2016, 60 days after the end of the                    will be able to focus our review
                                                                                                     comment period, unless any significant                    resources on submissions that meet a
                                             Food and Drug Administration                            adverse comment was submitted to FDA                      threshold of acceptability and encourage
                                                                                                     during the comment period. FDA did                        quality submissions. FDA is issuing this
                                             21 CFR Part 610                                         not receive any significant adverse                       action directly as a final rule because we
                                                                                                     comments.                                                 believe there is little likelihood that we
                                             [Docket No. FDA–2016–N–1170]                                                                                      will receive any significant adverse
                                                                                                       Authority: Therefore, under the biological
                                             Standard Preparations, Limits of                        products provisions of the Public Health
                                                                                                                                                               comments opposing the rule given the
                                             Potency, and Dating Period Limitations                  Service Act (42 U.S.C. 216, 262, 263, 263a,               specific deficiencies identified that will
                                             for Biological Products; Confirmation                   and 264) and the drugs and general                        result in FDA’s refusal to accept the
                                             of Effective Date                                       administrative provisions of the Federal                  submission.
                                                                                                     Food, Drug, and Cosmetic Act (21 U.S.C. 321,              DATES: This rule is effective December
                                             AGENCY:    Food and Drug Administration,                331, 351, 352, 353, 355, 360, 360c, 360d,
                                                                                                     360h, 360i, 371, 372, 374, and 381), and
                                                                                                                                                               21, 2016. Submit either electronic or
                                             HHS.                                                                                                              written comments on this direct final
                                                                                                     under authority delegated to the
                                             ACTION:  Direct final rule; confirmation of             Commissioner of Food and Drugs, 21 CFR                    rule by October 24, 2016. If we receive
                                             effective date.                                         part 610 is amended. Accordingly, the                     no significant adverse comments during
                                             SUMMARY:   The Food and Drug                            amendments issued thereby are effective.                  the specified comment period, we
                                                                                                       Dated: August 1, 2016.                                  intend to publish a confirmation
                                             Administration (FDA) is confirming the
                                                                                                     Leslie Kux,                                               document on or before the effective date
                                             effective date of September 16, 2016, for
                                                                                                                                                               by publication of a document in the
                                             the final rule that appeared in the                     Associate Commissioner for Policy.
                                                                                                                                                               Federal Register.
                                             Federal Register of May 4, 2016. The                    [FR Doc. 2016–18584 Filed 8–5–16; 8:45 am]
                                             direct final rule amends the general                                                                              ADDRESSES: You may submit comments
                                                                                                     BILLING CODE 4164–01–P
                                             biological products standards relating to                                                                         as follows:
                                             dating periods and removes certain                                                                                Electronic Submissions
                                             standards relating to standard                          DEPARTMENT OF HEALTH AND                                    Submit electronic comments in the
                                             preparations and limits of potency. FDA                 HUMAN SERVICES                                            following way:
                                             is taking this action to update outdated                                                                            • Federal eRulemaking Portal: http://
                                             requirements, and accommodate new                       Food and Drug Administration
                                                                                                                                                               www.regulations.gov. Follow the
                                             and evolving technology and testing                                                                               instructions for submitting comments.
                                             capabilities without diminishing public                 21 CFR Part 1105
                                                                                                                                                               Comments submitted electronically,
                                             health concerns. This action is part of                 [Docket No. FDA–2016–N–1555]                              including attachments, to http://
                                             FDA’s retrospective review of its                                                                                 www.regulations.gov will be posted to
                                             regulations in response to an Executive                 Refuse To Accept Procedures for                           the docket unchanged. Because your
                                             order. This document confirms the                       Premarket Tobacco Product                                 comment will be made public, you are
                                             effective date of the direct final rule.                Submissions                                               solely responsible for ensuring that your
                                             DATES: Effective date of final rule                     AGENCY:    Food and Drug Administration,                  comment does not include any
                                             published in the Federal Register of                    HHS.                                                      confidential information that you or a
                                             May 4, 2016 (81 FR 26687), confirmed:                                                                             third party may not wish to be posted,
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                                                                                                     ACTION:   Direct final rule.
                                             September 16, 2016.                                                                                               such as medical information, your or
                                             FOR FURTHER INFORMATION CONTACT:                        SUMMARY:   The Food and Drug                              anyone else’s Social Security number, or
                                             Tami Belouin, Center for Biologics                      Administration (FDA) is issuing a rule                    confidential business information, such
                                             Evaluation and Research, Food and                       describing when FDA will refuse to                        as a manufacturing process. Please note
                                             Drug Administration, 10903 New                          accept a tobacco product submission (or                   that if you include your name, contact
                                             Hampshire Ave., Bldg. 71, Rm. 7301,                     application) because the application has                  information, or other information that


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                                             52330              Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations

                                             identifies you in the body of your                      applicable disclosure law. For more                    requests (including subsequent
                                             comments, that information will be                      information about FDA’s posting of                     abbreviated reports).
                                             posted on http://www.regulations.gov.                   comments to public dockets, see 80 FR
                                               • If you want to submit a comment                                                                            B. Summary of the Major Provisions of
                                                                                                     56469, September 18, 2015, or access
                                             with confidential information that you                                                                         the Regulatory Action
                                                                                                     the information at: http://www.fda.gov/
                                             do not wish to be made available to the                 regulatoryinformation/dockets/                            The rule explains when FDA will
                                             public, submit the comment as a                         default.htm.                                           refuse to accept a premarket submission,
                                             written/paper submission and in the                        Docket: For access to the docket to                 including PMTAs, MRTPAs, SE
                                             manner detailed (see ‘‘Written/Paper                    read background documents or the                       applications, and exemption requests
                                             Submissions’’ and ‘‘Instructions’’).                    electronic and written/paper comments                  (including subsequent abbreviated
                                             Written/Paper Submissions                               received, go to                                        reports). The rule is based on FDA’s
                                                                                                     http://www.regulations.gov and insert                  experience in reviewing these
                                                Submit written/paper submissions as                  the docket number, found in brackets in                submissions. Under the rule, FDA will
                                             follows:                                                the heading of this document, into the                 refuse to accept a premarket submission
                                                • Mail/Hand delivery/Courier (for
                                                                                                     ‘‘Search’’ box and follow the prompts                  that: (1) Does not pertain to a tobacco
                                             written/paper submissions): Division of
                                                                                                     and/or go to the Division of Dockets                   product; (2) is not in English (or does
                                             Dockets Management (HFA–305), Food
                                                                                                     Management, 5630 Fishers Lane, Rm.                     not include a complete translation); (3)
                                             and Drug Administration, 5630 Fishers
                                                                                                     1061, Rockville, MD 20852.                             is submitted in an electronic format that
                                             Lane, Rm. 1061, Rockville, MD 20852.
                                                • For written/paper comments                         FOR FURTHER INFORMATION CONTACT:                       FDA cannot process, read, review, or
                                             submitted to the Division of Dockets                    Annette Marthaler or Paul Hart, Office                 archive; (4) does not include the
                                             Management, FDA will post your                          of Regulations, Center for Tobacco                     applicant’s contact information; (5) is
                                             comment, as well as any attachments,                    Products (CTP), Food and Drug                          from a foreign applicant and does not
                                             except for information submitted,                       Administration, Document Control                       include the name and contact
                                             marked and identified, as confidential,                 Center, Bldg. 71, Rm. G335, 10903 New                  information of an authorized U.S. agent
                                             if submitted as detailed in                             Hampshire Ave., Silver Spring, MD                      (authorized to act on behalf of the
                                             ‘‘Instructions.’’                                       20993–0002, 877–287–1373,                              applicant for the submission); (6) does
                                                Instructions: All submissions received               CTPRegulations@fda.hhs.gov.                            not include a required form(s); (7) does
                                             must include the Docket No. FDA–                        SUPPLEMENTARY INFORMATION:
                                                                                                                                                            not identify the tobacco product; (8)
                                             2016–N–1555 for ‘‘Refuse to Accept                                                                             does not identify the type of
                                             Procedures for Premarket Tobacco                        I. Executive Summary                                   submission; (9) does not include the
                                             Submissions.’’ Received comments will                   A. Purpose of the Rule                                 signature of a responsible official
                                             be placed in the docket and, except for                                                                        authorized to represent the applicant; or
                                             those submitted as ‘‘Confidential                          FDA is issuing this refuse to accept                (10) does not include an environmental
                                             Submissions,’’ publicly viewable at                     rule under direct final rule procedures.               assessment or claim of a categorical
                                             http://www.regulations.gov or at the                    The rule identifies deficiencies that will             exclusion, if applicable. If FDA refuses
                                             Division of Dockets Management                          result in FDA’s refusal to accept certain              to accept the submission, FDA will send
                                             between 9 a.m. and 4 p.m., Monday                       tobacco product submissions under                      the contact (if available) a notification.
                                             through Friday.                                         sections 905, 910, and 911 of the                      If the submission is accepted for further
                                                • Confidential Submissions—To                        Federal Food, Drug, and Cosmetic Act                   review, FDA will send an
                                             submit a comment with confidential                      (the FD&C Act), as amended by the                      acknowledgement letter.
                                             information that you do not wish to be                  Family Smoking Prevention and
                                                                                                     Tobacco Control Act (Tobacco Control                   II. Direct Final Rulemaking
                                             made publicly available, submit your
                                             comments only as a written/paper                        Act) (21 U.S.C. 387e, 387j, and 387k).1                   In the Federal Register of November
                                             submission. You should submit two                       Because these submissions will be                      21, 1997 (62 FR 62466), FDA described
                                             copies total. One copy will include the                 refused before they enter FDA’s review                 the procedures on when and how the
                                             information you claim to be confidential                queue, more resources will be available                Agency will employ direct final
                                             with a heading or cover note that states                for submissions that are ready for                     rulemaking (this guidance document
                                             ‘‘THIS DOCUMENT CONTAINS                                further review. This rule establishes a                may be accessed at http://www.fda.gov/
                                             CONFIDENTIAL INFORMATION.’’ The                         refuse to accept process for premarket                 regulatoryinformation/guidances/
                                             Agency will review this copy, including                 tobacco product submissions, including                 ucm125166.htm). We have determined
                                             the claimed confidential information, in                premarket tobacco product applications                 that this rule is appropriate for direct
                                             its consideration of comments. The                      (PMTAs), modified risk tobacco product                 final rulemaking because we believe it
                                             second copy, which will have the                        applications (MRTPAs), substantial                     is noncontroversial and we anticipate
                                             claimed confidential information                        equivalence (SE) applications (also                    no significant adverse comments.
                                             redacted/blacked out, will be available                 called SE reports), and exemption                      Consistent with our procedures on
                                             for public viewing and posted on http://                                                                       direct final rulemaking, FDA is
                                                                                                       1 FDA has published a final rule extending the
                                             www.regulations.gov. Submit both                                                                               publishing elsewhere in this issue of the
                                                                                                     Agency’s ‘‘tobacco product’’ authorities in the
                                             copies to the Division of Dockets                       FD&C Act to all categories of products that meet the
                                                                                                                                                            Federal Register a companion proposed
                                             Management. If you do not wish your                     statutory definition of ‘‘tobacco product’’ in the     rule with the same codified language as
                                             name and contact information to be                      FD&C Act, except accessories of such newly             this direct final rule to add a rule
                                             made publicly available, you can                        deemed tobacco products (Final Rule Deeming            describing when FDA would refuse to
                                                                                                     Tobacco Products To Be Subject to the Federal
                                             provide this information on the cover                                                                          accept submissions due to deficiencies.
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                                                                                                     Food, Drug, and Cosmetic Act, as Amended by the
                                             sheet and not in the body of your                       Family Smoking Prevention and Tobacco Control          The companion proposed rule provides
                                             comments and you must identify this                     Act; Restrictions on the Sale and Distribution of      a procedural framework within which
                                             information as ‘‘confidential.’’ Any                    Tobacco Products and Required Warning                  the rule may be finalized in the event
                                                                                                     Statements for Tobacco Products (81 FR 28974, May
                                             information marked as ‘‘confidential’’                  10, 2016)). This direct final rule applies to all
                                                                                                                                                            that the direct final rule is withdrawn
                                             will not be disclosed except in                         tobacco products FDA regulates under Chapter IX        because of any significant adverse
                                             accordance with 21 CFR 10.20 and other                  of the FD&C Act.                                       comments. The comment period for the


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                                                                Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations                                         52331

                                             direct final rule runs concurrently with                certain information FDA needs for                     this action once it has experience with
                                             the companion proposed rule.                            substantive review of the submission.                 the volume of submissions it will
                                                We are providing a comment period                    Currently, FDA often expends extensive                receive after the deeming rule becomes
                                             on the direct final rule of 75 days after               time and resources in attempts to obtain              effective. FDA expects the performance
                                             the date of publication in the Federal                  information and resolve the deficiencies              goals to be generally similar to other
                                             Register. If we receive any significant                 identified in the rule simply to begin                Agency performance goals, i.e. a certain
                                             adverse comments, we intend to                          substantively processing the                          percentage of RTA determinations made
                                             withdraw this direct final rule action                  submission. FDA expects that the rule                 within a defined period of time, and
                                             before its effective date by publication                will enhance the quality of the                       with the percentage rising over time.
                                             of a notification in the Federal Register.              submissions and that submissions will
                                                                                                                                                           B. Legal Authority
                                             A significant adverse comment is                        move expeditiously through the review
                                             defined as a comment that explains why                  process. In addition, this rule will help                Section 701(a) of the FD&C Act (21
                                             the rule would be inappropriate,                        submitters better understand the                      U.S.C. 371(a)) provides FDA with
                                             including challenges to the rule’s                      common hurdles FDA encounters in                      authority to issue regulations for the
                                             underlying premise or approach, or                      conducting a substantive review of                    efficient enforcement of the FD&C Act.
                                             would be ineffective or unacceptable                    submissions.                                          This rule allows FDA to more efficiently
                                             without a change. In determining                           The rule identifies deficiencies that              use our resources to review premarket
                                             whether an adverse comment is                           FDA has seen across types of premarket                submissions under sections 905, 910,
                                             significant and warrants terminating a                  submissions and will result in FDA                    and 911 of the FD&C Act. FDA has
                                             direct final rulemaking, we will                        refusing to accept the submission. This               processed and reviewed many
                                             consider whether the comment raises an                  rule applies to all tobacco product                   submissions since the enactment of the
                                             issue serious enough to warrant a                       applications; we note that there are                  Tobacco Control Act, and submissions
                                             substantive response in a notice and                    additional deficiencies that are not                  with the deficiencies identified in the
                                             comment process in accordance with                      covered in this rule that may arise for               rule have been repeatedly identified by
                                             section 553 of the Administrative                       specific types of premarket submissions               FDA as reflecting submissions that are
                                             Procedure Act (5 U.S.C. 553). Comments                  that will also result in FDA’s refusal to             incomplete and not prepared for further
                                             that are frivolous, insubstantial, or                   accept that specific type of premarket                review.
                                             outside the scope of the rule will not be               submission (e.g., a PMTA fails to
                                                                                                                                                           IV. Description of the Direct Final Rule
                                             considered significant or adverse under                 contain specimens of the labeling
                                                                                                     proposed to be used for such tobacco                     We are adding part 1105 (21 CFR part
                                             this procedure. A comment
                                                                                                     product under section 910(b)(1)(F) of                 1105) to title 21, specifically § 1105.10.
                                             recommending a regulation change in
                                                                                                     the FD&C Act).                                        Section 1105.10(a) provides that FDA
                                             addition to those in the rule would not
                                                                                                        FDA’s refusal to accept a tobacco                  will refuse to accept, as soon as
                                             be considered a significant adverse
                                                                                                     product submission will not preclude                  practicable, PMTAs, MRTPAs, SE
                                             comment unless the comment provides
                                                                                                     an applicant from resubmitting a new                  applications, and exemption requests
                                             a reasonable explanation for why the
                                                                                                     submission that addresses the                         (including subsequent abbreviated
                                             rule would be ineffective without the
                                                                                                     deficiencies. In addition, acceptance of              reports), for the reasons listed in
                                             additional change. In addition, if a
                                                                                                     a submission will not mean that FDA                   paragraphs (a)(1) through (10), if
                                             significant adverse comment applies to
                                                                                                     has determined that the submission is                 applicable:
                                             an amendment, paragraph, or section of                                                                           • Section 1105.10(a)(1) states that
                                                                                                     complete, but rather only that the
                                             this rule and that provision can be                                                                           FDA will refuse to accept a tobacco
                                                                                                     submission has met the basic, minimum
                                             severed from the remainder of the rule,                                                                       product submission that does not
                                                                                                     threshold for acceptance. Substantive
                                             we may adopt as final those provisions                                                                        pertain to a tobacco product. This
                                                                                                     review of the submission will begin
                                             of the rule that are not subject of a                                                                         provision addresses a submission that
                                                                                                     once FDA accepts the submission, and
                                             significant adverse comment.                                                                                  refers to a product that does not meet
                                                If any significant adverse comments                  for submissions with filing requirements
                                                                                                     (i.e., PMTAs and MRTPAs), once filed.                 the definition of a ‘‘tobacco product’’
                                             are received during the comment
                                                                                                     The rule establishes a general process                under section 201(rr) of the FD&C Act
                                             period, FDA will publish, before the
                                                                                                     for refusing to accept submissions for                (21 U.S.C. 321(rr)) and, therefore, is not
                                             effective date of this direct final rule, a
                                                                                                     premarket tobacco product review,                     subject to FDA’s tobacco product
                                             document withdrawing the direct final
                                                                                                     including PMTAs, MRTPAs, SE                           authorities.
                                             rule. If we withdraw the direct final                                                                            • Section 1105.10(a)(2) states that
                                                                                                     applications, and exemption requests
                                             rule, any comments received will be                                                                           FDA will refuse to accept a submission
                                                                                                     (including subsequent abbreviated
                                             applied to the proposed rule and will be                                                                      that is not in the English language or
                                                                                                     reports). Because administratively
                                             considered in developing a final rule                                                                         does not contain complete English
                                                                                                     incomplete submissions will be refused
                                             using the usual notice and comment                                                                            translations of any information included
                                                                                                     before FDA begins substantive review,
                                             procedures. If FDA receives no                          we will be able to use our resources on               with the submission. FDA is unable to
                                             significant adverse comments during the                 submissions that are more complete and                read and process such submissions.
                                             specified comment period, FDA intends                   better prepared for further review. In                   • Section 1105.10(a)(3) provides that
                                             to publish a confirmation document,                     addition, FDA intends to determine, as                FDA will refuse to accept a submission
                                             before the effective date of the direct                 soon as practicable, whether the                      if it is provided in an electronic format
                                             final rule, confirming the effective date.              submission will be accepted. We expect                that FDA cannot process, read, review,
                                             III. Purpose and Legal Authority                        the amount of time it takes FDA to make               and archive. As with submissions that
                                                                                                                                                           are not in English (or fail to include an
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                                                                                                     this determination to be relatively
                                             A. Purpose                                              quick, however, it may vary depending                 English translation), FDA is unable to
                                               FDA is issuing this refuse to accept                  on the volume of submissions received                 read and process such submissions.
                                             rule as a means of efficiently handling                 at any one time. FDA remains                          FDA provides information on the
                                             submissions that do not meet a                          committed to an efficient product                     electronic formats that it can read,
                                             threshold of acceptability for FDA                      review process and intends to establish               process, review, and archive at http://
                                             review, e.g., the submission lacks                      and implement performance goals for                   www.fda.gov/tobaccoproducts/


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                                             52332                    Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations

                                             guidancecompliance                                                        that application to the U.S. agent will                       premarket submissions. In the event that
                                             regulatoryinformation/manufacturing/                                      constitute notice to the foreign                              FDA does issue such a form(s), the
                                             default.htm.                                                              applicant. Second, FDA requires                               Agency will give interested parties
                                               • Section 1105.10(a)(4) provides that                                   identification of a U.S. agent to assist                      notice and opportunity to comment on
                                             FDA will refuse to accept any                                             FDA in communication with the foreign                         such forms in accordance with
                                             submission that does not contain                                          applicant and help the Agency to                              rulemaking procedures and the
                                             contact information, including the                                        efficiently process applications and                          Paperwork Reduction Act of 1995 (44
                                             applicant’s name and address. If a                                        avoid delays. In many instances during                        U.S.C. 3501–3520).
                                             submission omits the contact                                              the application review process, FDA has                          • Section 1105.10(a)(7) provides that
                                             information, FDA will not be able to                                      reached out numerous times to foreign                         FDA will refuse to accept a submission
                                             contact the applicant regarding the                                       applicants and has either been unable to                      that does not contain the following
                                             submission, e.g., with questions or                                       speak with the applicant or unable to                         product-identifying information (for the
                                             followup related to the submission. In                                    directly communicate questions and/or                         product that is the subject of the
                                             this instance, FDA also will likely be                                    concerns. This impediment, which                              submission and, if applicable, for the
                                             unable to provide notice of the Agency’s                                  occurs more for foreign applicants than                       predicate): The manufacturer of the
                                             refusal to accept the submission under                                    domestic applicants, has resulted in                          tobacco product; the product name,
                                             § 1105.10(c).                                                             delays or terminations in the review of                       including brand and subbrand; product
                                                • Section 1105.10(a)(5) provides that                                  specific applications and a slowdown of                       category (e.g., cigarette) and subcategory
                                             FDA will refuse to accept a submission                                    the premarket application process as a                        (e.g., combusted, filtered); package type
                                             from a foreign applicant if the                                           whole. A U.S. agent will act as a                             (e.g., box) and package quantity (e.g., 20
                                             submission does not list an authorized                                    communications link between FDA and                           per box); and characterizing flavor (i.e.,
                                             U.S. agent, including the agent’s U.S.                                    the applicant and will facilitate timely                      applicants must state the characterizing
                                             address. FDA is requiring identification                                  correspondence between FDA and                                flavor, such as menthol, or state that
                                             of a U.S. agent for two reasons. First, a                                 foreign applicants, including                                 there is no characterizing flavor present
                                             U.S. agent is important to help CTP                                       responding to questions concerning                            in the tobacco product). For example, in
                                             ensure adequate notice is provided to                                     pending applications and, if needed,                          table 1, FDA has supplied a list of
                                             applicants for official Agency                                            assisting FDA in scheduling meetings                          recommended categories and
                                             communications. FDA may be unable to                                      with the foreign applicants to resolve                        subcategories of some tobacco products
                                             confirm that adequate notice of Agency                                    outstanding issues before Agency action                       to assist applicants in providing
                                             action or correspondence concerning                                       is taken. Additionally, the identified                        product-identifying information in their
                                             premarket submissions is provided to                                      U.S. agent will be authorized to act on                       submissions. Note that there may be
                                             foreign applicants as FDA cannot                                          behalf of the foreign applicant for that                      other information FDA needs to identify
                                             necessarily confirm receipt of                                            specific application.                                         a particular product, e.g., descriptors
                                             correspondence sent internationally.                                         • Section 1105.10(a)(6) provides that                      (such as ‘‘premium’’) that are separate
                                             Accordingly, the designation of a U.S.                                    FDA will refuse to accept the                                 from the product name. If this is the
                                             agent provides an official contact to the                                 submission if it does not include any                         case, such information should be
                                             Agency who can receive the information                                    required FDA form(s). At the time of                          provided by the applicant in the initial
                                             or documentation on behalf of the                                         this direct final rule, FDA has not yet                       submission to facilitate FDA’s efficient
                                             applicant. Providing notice regarding                                     issued any forms to accompany                                 review.

                                                                                               TABLE 1—TOBACCO PRODUCT CATEGORIES AND SUBCATEGORIES
                                                                               Tobacco product category                                                                          Tobacco product subcategory

                                             Cigarettes .................................................................................................   Combusted, Filtered.
                                                                                                                                                            Combusted, Non-Filtered.
                                                                                                                                                            Combusted, Other.
                                                                                                                                                            Non-Combusted.
                                             Roll-Your-Own Tobacco Products ............................................................                    Roll-Your-Own Tobacco Filler.
                                                                                                                                                            Rolling Paper.
                                                                                                                                                            Filtered Cigarette Tube.
                                                                                                                                                            Non-Filtered Cigarette Tube.
                                                                                                                                                            Filter.
                                                                                                                                                            Paper Tip.
                                                                                                                                                            Roll-Your-Own Co-Package.
                                                                                                                                                            Other.
                                             Smokeless Tobacco Products ..................................................................                  Loose Moist Snuff.
                                                                                                                                                            Portioned Moist Snuff.
                                                                                                                                                            Loose Snus.
                                                                                                                                                            Portioned Snus
                                                                                                                                                            Loose Dry Snuff.
                                                                                                                                                            Dissolvable.
                                                                                                                                                            Loose Chewing Tobacco.
                                                                                                                                                            Portioned Chewing Tobacco.
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                                                                                                                                                            Smokeless Co-Package.
                                                                                                                                                            Other.
                                             ENDS (Electronic Nicotine Delivery System) ...........................................                         Open E-Liquid.
                                                                                                                                                            Closed E-Liquid.
                                                                                                                                                            Closed E-Cigarette.
                                                                                                                                                            Open E-Cigarette.
                                                                                                                                                            ENDS Component.



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                                                                       Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations                                                               52333

                                                                                    TABLE 1—TOBACCO PRODUCT CATEGORIES AND SUBCATEGORIES—Continued
                                                                               Tobacco product category                                                                            Tobacco product subcategory

                                                                                                                                                              ENDS Co-Package.
                                                                                                                                                              ENDS Other.
                                             Cigars .......................................................................................................   Filtered, Sheet-Wrapped Cigar.
                                                                                                                                                              Unfiltered, Sheet-Wrapped Cigar.
                                                                                                                                                              Leaf-Wrapped Cigar.
                                                                                                                                                              Cigar Component.
                                                                                                                                                              Cigar Tobacco Filler.
                                                                                                                                                              Cigar Co-Package.
                                                                                                                                                              Other.
                                             Pipe Tobacco Products ............................................................................               Pipe.
                                                                                                                                                              Pipe Tobacco Filler.
                                                                                                                                                              Pipe Component.
                                                                                                                                                              Pipe Co-Package.
                                                                                                                                                              Other.



                                                This product-specific information                                          • Section 1105.10(a)(10) applies only                          Section 1105.10(c) provides that if
                                             helps ensure that the product is within                                    to PMTAs, MRTPAs, SE applications,                             FDA identifies a reason under paragraph
                                             CTP’s purview and enables FDA to                                           and exemption requests (this subsection                        (a) for refusing to accept a premarket
                                             appropriately identify the specific                                        does not apply to the subsequent                               review submission, we will notify the
                                             product that is the subject of the                                         abbreviated report). For these                                 applicant in writing of the reason(s) and
                                             submission. Specifically, this                                             submissions, this paragraph provides                           that FDA has not accepted the
                                             information is necessary to both review                                    that FDA will refuse to accept the                             submission for processing and further
                                             the submission itself and to issue an                                      submission if it does not include an                           review. However, FDA will be unable to
                                             order that appropriately identifies the                                    environmental assessment (EA) or a                             provide this notification when the
                                             tobacco product that is subject to the                                     valid claim of categorical exclusion.                          contact information is insufficient, for
                                             order. For example, an SE submission                                       Under § 25.15(a) (21 CFR 25.15(a)), all                        example, has not been provided or is
                                             contains a comparison between the                                          submissions requesting FDA action                              not legible. If FDA refuses to accept the
                                             predicate and new products. If FDA                                         require the submission of either a claim                       submission for one or more of the
                                             does not know the exact products that                                      of categorical exclusion or an EA.                             reasons stated in § 1105.10, the
                                             are being compared, FDA will be unable                                     Because an EA is required for an initial                       submitter may revise the submission to
                                             to sufficiently understand and evaluate                                    exemption request, it is not also                              correct the deficiencies and resubmit it
                                             the comparison to determine whether                                        required for an abbreviated report, and
                                                                                                                                                                                       to FDA as a new submission.
                                             the products are substantially                                             thus is not a basis for FDA to refuse to
                                             equivalent. As another example, if an                                      accept an abbreviated report. In                               V. Effective Date
                                             applicant does not specify whether its                                     addition, § 25.15(a) provides that FDA
                                             proposed new product contains a                                            may refuse to file a submission if the                           This direct final rule will be effective
                                             characterizing flavor, FDA will not be                                     included EA fails to address ‘‘the                             60 days after the comment period ends.
                                             able to issue an order as it will not know                                 relevant environmental issues.’’ Because                       VI. Paperwork Reduction Act of 1995
                                             the specific product for which the                                         the SE and SE Exemption pathways do
                                             applicant is seeking an order (e.g.,                                       not include a filing stage, FDA intends                          FDA concludes that this direct final
                                             product X menthol or product X                                             to determine such adequacy at the                              rule contains no collection of
                                             cinnamon.)                                                                 acceptance stage for those pathways.2                          information. Therefore, clearance by the
                                                • Section 1105.10(a)(8) provides that                                   The EA or claim of categorical exclusion                       Office of Management and Budget under
                                             FDA will refuse to accept a submission                                     must be made for the Agency action                             the Paperwork Reduction Act of 1995 is
                                             if the applicant fails to indicate the type                                being proposed (e.g., issuance of an SE                        not required.
                                             of submission (i.e., PMTA, MRTPA, SE                                       order for introduction of such new
                                             application, or exemption request or                                       tobacco product into interstate                                VII. Federalism
                                             subsequent abbreviated report), because                                    commerce for commercial distribution
                                             that information is necessary to enable                                                                                                     We have analyzed this direct final
                                                                                                                        in the United States.). For information
                                             FDA to begin an appropriate review of                                                                                                     rule in accordance with the principles
                                                                                                                        on preparing an EA, refer to § 25.40.
                                             the submission.                                                               Section 1105.10(b) provides that if                         set forth in Executive Order 13132. We
                                                • Section 1105.10(a)(9) provides that                                   FDA does not identify a reason under                           have determined that the rule does not
                                             FDA will refuse to accept a submission                                     paragraph (a) for refusing to accept a                         contain policies that have substantial
                                             if it does not contain a signature of a                                    submission, then the Agency may                                direct effects on the States, on the
                                             responsible official, authorized to                                        accept it for processing and further                           relationship between the National
                                             represent the applicant who either                                         review. If FDA does accept the                                 Government and the States, or on the
                                             resides in or has a place of business in                                   submission, the Agency intends to send                         distribution of power and
                                             the United States. A signature provides                                    the submitter an acknowledgement                               responsibilities among the various
                                             assurance to FDA that the submission is                                                                                                   levels of government. Accordingly, we
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                                                                                                                        letter stating that FDA has accepted the
                                             both intended by the applicant and                                         submission for processing and further                          conclude that the rule does not contain
                                             ready for review. Responsible officials                                    review. This letter will also include a                        policies that have federalism
                                             also should be aware that under 18                                         premarket submission tracking number.                          implications as defined in the Executive
                                             U.S.C. 1001, it is illegal to knowingly                                                                                                   Order and, consequently, a federalism
                                             and willingly submit false information                                       2 The PMTA and MRTPA pathways, by contrast,                  summary impact statement is not
                                             to the U.S. Government.                                                    have a filing stage.                                           required.


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                                             52334              Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations

                                             VIII. Tribal Consultation                               governments, in the aggregate, or by the              modified risk tobacco product
                                                We have analyzed this rule in                        private sector, of $100,000,000 or more               application; substantial equivalence
                                             accordance with the principles set forth                (adjusted annually for inflation) in any              application; or exemption request or
                                             in Executive Order 13175. We have                       one year.’’ The current threshold after               subsequent abbreviated report for the
                                             determined that the rule does not                       adjustment for inflation is $146 million,             following reasons, if applicable:
                                                                                                     using the most current (2015) Implicit                   (1) The submission does not pertain to
                                             contain policies that would have
                                                                                                     Price Deflator for the Gross Domestic                 a tobacco product as defined in 21
                                             substantial direct effects on one or more
                                                                                                     Product. This direct final rule would not             U.S.C. 321(rr).
                                             Indian tribes, on the relationship
                                                                                                     result in expenditure in any year that                   (2) The submission is not in English
                                             between the Federal Government and
                                                                                                     meets or exceeds this amount.                         or does not contain complete English
                                             Indian tribes, or on the distribution of                   This rule identifies 10 significant and            translations of any information
                                             power and responsibilities between the                  common deficiencies in premarket                      submitted within.
                                             Federal Government and Indian tribes.                   tobacco submissions that will cause                      (3) If submitted in an electronic
                                             Accordingly, we conclude that the rule                  FDA to refuse to accept them.                         format, the submission is in a format
                                             does not contain policies that have                     Encouraging submissions that are free of              that FDA cannot process, read, review,
                                             tribal implications as defined in the                   the deficiencies listed in this rule does             and archive.
                                             Executive Order; consequently, a tribal                 not represent a change in Agency                         (4) The submission does not contain
                                             summary impact statement is not                         expectations. One of the 10 deficiencies              contact information, including the
                                             required.                                               is required by statute (i.e., must be a               applicant’s name and address.
                                             IX. Analysis of Environmental Impact                    tobacco product). One of the                             (5) The submission is from a foreign
                                                                                                     deficiencies is required by another                   applicant and does not identify an
                                               We have determined under 21 CFR                       regulation (i.e., must comply with                    authorized U.S. agent, including the
                                             25.30(h) that this action is of a type that             environmental considerations). The                    agent’s name and address, for the
                                             does not individually or cumulatively                   remaining eight deficiencies are basic                submission.
                                             have a significant effect on the human                  expectations for an application to enter                 (6) The submission does not contain
                                             environment. Therefore, neither an                      the review process. Therefore, this rule              a required FDA form(s).
                                             environmental assessment nor an                         clarifies these expectations. This                       (7) The submission does not contain
                                             environmental impact statement is                       clarification will result in cost savings             the following product-identifying
                                             required.                                               for both the applicant and FDA as less                information: The manufacturer of the
                                             X. Economic Analysis of Impacts                         time is spent by FDA working with                     tobacco product; the product name,
                                                                                                     applicants to address these significant               including the brand and subbrand; the
                                                We have examined the impacts of the                  deficiencies. Applicants will have                    product category and subcategory;
                                             direct final rule under Executive Order                 clarity about basic expectations of the               package type and package quantity; and
                                             12866, Executive Order 13563, the                       requirements needed for acceptance of                 characterizing flavor.
                                             Regulatory Flexibility Act (5 U.S.C.                    premarket applications. In addition,                     (8) The type of submission is not
                                             601–612), and the Unfunded Mandates                     refusing to accept submissions with                   specified.
                                             Reform Act of 1995 (Pub. L. 104–4).                     these deficiencies allows Agency staff to                (9) The submission does not contain
                                             Executive Orders 12866 and 13563                        more efficiently process submissions                  a signature of a responsible official,
                                             direct us to assess all costs and benefits              and quickly move those submissions                    authorized to represent the applicant
                                             of available regulatory alternatives and,               without these deficiencies into review                who either resides in or has a place of
                                             when regulation is necessary, to select                 of substantial scientific issues.                     business in the United States.
                                             regulatory approaches that maximize                                                                              (10) For premarket tobacco
                                             net benefits (including potential                       List of Subjects in 21 CFR Part 1105                  applications, modified risk tobacco
                                             economic, environmental, public health                    Administrative practices and                        product applications, substantial
                                             and safety, and other advantages;                       procedures, Tobacco, Tobacco products.                equivalence applications, and
                                             distributive impacts; and equity). We                     Therefore, under the Federal Food,                  exemption requests only: The
                                             believe that this direct final rule is not              Drug, and Cosmetic Act, and under                     submission does not include an
                                             a significant regulatory action as defined              authority delegated to the Commissioner               environmental assessment, or a valid
                                             by Executive Order 12866.                               of Food and Drugs, 21 CFR chapter I is                claim of categorical exclusion in
                                                The Regulatory Flexibility Act                       amended by adding part 1105 to                        accordance with part 25 of this chapter.
                                             requires us to analyze regulatory options               subchapter K to read as follows:                         (b) If FDA finds that none of the
                                             that would minimize any significant                                                                           reasons in paragraph (a) of this section
                                             impact of a rule on small entities.                     PART 1105—GENERAL                                     exists for refusing to accept a premarket
                                             Because this final rule establishes a                                                                         submission, FDA may accept the
                                             procedure that FDA is responsible for                   Subpart A—General Submission
                                                                                                                                                           submission for processing and further
                                                                                                     Requirements
                                             implementing and has the effect of                                                                            review. FDA will send to the submitter
                                             providing entities with useful feedback                 Sec.                                                  an acknowledgement letter stating the
                                                                                                     1105.10 Refusal to accept a premarket
                                             on the readiness of a submission, we                                                                          submission has been accepted for
                                                                                                          tobacco product submission.
                                             certify that the direct final rule will not                                                                   processing and further review and will
                                             have a significant economic impact on                     Authority: 21 U.S.C. 371(a), 387e, 387j, and        provide the premarket submission
                                             a substantial number of small entities.                 387k.
                                                                                                                                                           tracking number.
                                                The Unfunded Mandates Reform Act                     Subpart A—General Submission                             (c) If FDA finds that any of the
                                             of 1995 (section 202(a)) requires us to                                                                       reasons in paragraph (a) of this section
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                                                                                                     Requirements
                                             prepare a written statement, which                                                                            exist for refusing to accept the
                                             includes an assessment of anticipated                   § 1105.10 Refusal to accept a premarket               submission, FDA will notify the
                                             costs and benefits, before proposing                    tobacco product submission.                           submitter in writing of the reason(s) and
                                             ‘‘any rule that includes any Federal                      (a) FDA will refuse to accept for                   that the submission has not been
                                             mandate that may result in the                          review, as soon as practicable, a                     accepted, unless insufficient contact
                                             expenditure by State, local, and tribal                 premarket tobacco product application;                information was provided.


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                                                                Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations                                        52335

                                               Dated: August 1, 2016.                                from occasional commercial tug and                    0670 in the ‘‘SEARCH’’ box and click
                                             Leslie Kux,                                             barge to small pleasure craft. ODOT has               ‘‘SEARCH.’’ Click on Open Docket
                                             Associate Commissioner for Policy.                      coordinated with local mariners in this               Folder on the line associated with this
                                             [FR Doc. 2016–18534 Filed 8–5–16; 8:45 am]              regard, and no objections have been                   rule.
                                             BILLING CODE 4164–01–P
                                                                                                     received. No immediate alternate route                FOR FURTHER INFORMATION CONTACT: If
                                                                                                     is available for vessels to pass. The                 you have questions on this rule, contact
                                                                                                     Coast Guard will also inform the users                Petty Officer Jay TerVeen, Prevention
                                             DEPARTMENT OF HOMELAND                                  of the waterways through our Local and                Department, Coast Guard Sector Long
                                             SECURITY                                                Broadcast Notices to Mariners of the                  Island Sound, telephone (203) 468–
                                                                                                     change in operating schedule for the                  4446, email Jay.C.TerVeen@uscg.mil.
                                             Coast Guard                                             bridge so that vessels can arrange their              SUPPLEMENTARY INFORMATION:
                                                                                                     transits to minimize any impact caused
                                             33 CFR Part 117                                         by the temporary deviation. Vessels                   I. Table of Abbreviations
                                                                                                     which do not require an opening of the                COTP Captain of the Port
                                             [Docket No. USCG–2016–0747]                             bridge may continue to transit beneath                DHS Department of Homeland Security
                                             Drawbridge Operation Regulation;                        the bridge during this repair period.                 FR Federal Register
                                                                                                        In accordance with 33 CFR 117.35(e),               LIS Long Island Sound
                                             Umpqua River, Reedsport, OR                                                                                   NPRM Notice of Proposed Rulemaking
                                                                                                     the drawbridge must return to its regular
                                             AGENCY: Coast Guard, DHS.                               operating schedule immediately at the                 NAD 83 North American Datum 1983
                                             ACTION:Notice of deviation from                         end of the designated time period. This               II. Background Information and
                                             drawbridge regulations.                                 deviation from the operating regulations              Regulatory History
                                                                                                     is authorized under 33 CFR 117.35.
                                             SUMMARY:    The Coast Guard has issued a                                                                         This rulemaking establishes 9 safety
                                                                                                       Dated: July 29, 2016.                               zones for fireworks displays. Each event
                                             temporary deviation from the operating
                                                                                                     Steven M. Fischer,                                    and its corresponding regulatory history
                                             schedule that governs the US 101 Bridge
                                             across the Umpqua River, mile 11.1, at                  Bridge Administrator, Thirteenth Coast Guard          are discussed below.
                                                                                                     District.                                                The Hoffman Wedding Fireworks
                                             Reedsport, OR. The deviation is
                                             necessary to accommodate updating the                   [FR Doc. 2016–18709 Filed 8–5–16; 8:45 am]            Display is a first time marine event with
                                             electric control panels on the bridge.                  BILLING CODE 9110–04–P                                no regulatory history.
                                             This deviation allows the US 101 Bridge                                                                          The Pyro Engineering Inc. Fireworks
                                             to remain in the closed-to-navigation                                                                         Display is a first time marine event with
                                                                                                     DEPARTMENT OF HOMELAND                                no regulatory history.
                                             position during upgrades.
                                                                                                     SECURITY                                                 The Sag Harbor Fire Department
                                             DATES: This deviation is effective from
                                                                                                                                                           Fireworks Display is a recurring marine
                                             7 a.m. on August 16, 2016 until 5 p.m.                  Coast Guard                                           event with regulatory history. A safety
                                             on August 18, 2016.
                                                                                                                                                           zone was established for this event in
                                             ADDRESSES: The docket for this                          33 CFR Part 165                                       2015 via a temporary final rule entitled,
                                             deviation, [USCG–2016–0747] is                          [Docket Number USCG–2016–0670]                        ‘‘Safety Zones; Marine Events held in
                                             available at http://www.regulations.gov.                                                                      the Sector Long Island Sound Captain of
                                             Type the docket number in the                           RIN 165–AA00
                                                                                                                                                           the Port Zone.’’ This rulemaking was
                                             ‘‘SEARCH’’ box and click ‘‘SEARCH.’’                                                                          published on Friday, August 14, 2015 in
                                             Click on Open Docket Folder on the line                 Safety Zones; Marine Events Held in
                                                                                                     the Sector Long Island Sound Captain                  the Federal Register (80 FR 48692).
                                             associated with this deviation.                                                                                  The Montalbano Wedding Fireworks
                                                                                                     of the Port Zone
                                             FOR FURTHER INFORMATION CONTACT: If                                                                           Display is a first time marine event with
                                             you have questions on this temporary                    AGENCY:    Coast Guard, DHS.                          no regulatory history.
                                             deviation, call or email Mr. Steven                     ACTION:   Temporary final rule.                          The Village of Saltaire Fireworks
                                             Fischer, Bridge Administrator,                                                                                Display is a recurring marine event with
                                             Thirteenth Coast Guard District;                        SUMMARY:   The Coast Guard is                         regulatory history. A safety zone was
                                             telephone 206–220–7282, email d13-pf-                   establishing nine temporary safety zones              established for this event in 2015 via a
                                             d13bridges@uscg.mil.                                    for fireworks displays within the Coast               temporary final rule entitled, ‘‘Special
                                             SUPPLEMENTARY INFORMATION: The                          Guard Sector Long Island Sound (LIS)                  Local Regulations and Safety Zones;
                                             Oregon Department of Transportation                     Captain of the Port (COTP) Zone. This                 Marine Events held in the Sector Long
                                             requested that the US 101 Bridge, near                  temporary final rule is necessary to                  Island Sound Captain of the Port Zone.’’
                                             Reedsport, Oregon, remain in the                        provide for the safety of life on                     This rulemaking was published on
                                             closed-to-navigation position to update                 navigable waters during these events.                 Monday, May 18, 2015 in the Federal
                                             the electric control panels. The US 101                 Entry into, transit through, mooring or               Register (80 FR 28176).
                                             Bridge crosses the Umpqua River at mile                 anchoring within these regulated areas                   The Baker Annual Summer
                                             11.1 and provides 36 feet of vertical                   is prohibited unless authorized by                    Celebration is a first time marine event
                                             clearance above mean high water when                    COTP Sector Long Island Sound.                        with no regulatory history.
                                             in the closed-to-navigation position.                   DATES: This rule is effective without                    The Gestal Wedding Fireworks
                                             This deviation allows the US 101 Bridge                 actual notice from August 8, 2016                     Display is a first time marine event with
                                             to remain in the closed-to-navigation                   through September 03, 2016. For the                   no regulatory history.
                                                                                                     purposes of enforcement, actual notice                   The Clinton Chamber of Commerce
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                                             position and need not open for maritime
                                             traffic from 7 a.m. on August 16, 2016                  will be used July 30, 2016, through                   Fireworks Display is a recurring marine
                                             until 5 p.m. August 18, 2016. The                       August 8, 2016.                                       event with regulatory history. A safety
                                             normal operating schedule of this bridge                ADDRESSES: To view documents                          zone was established for this event in
                                             is detailed at 33 CFR 117.893(a).                       mentioned in this preamble as being                   2015 via a temporary final rule entitled,
                                                Waterway usage on this part of the                   available in the docket, go to http://                ‘‘Safety Zones; Marine Events held in
                                             Umpqua River includes vessels ranging                   www.regulations.gov, type USCG–2016–                  the Sector Long Island Sound Captain of


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                                             52336                       Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations

                                             the Port Zone.’’ This rulemaking was                             to the public interest.’’ Under 5 U.S.C.              effective less than 30 days after
                                             published on Friday, August 14, 2015 in                          553(b)(B), the Coast Guard finds that                 publication in the Federal Register.
                                             the Federal Register (80 FR 48692).                              good cause exists for not publishing an
                                                The East Hampton Fire Department                                                                                    III. Legal Authority and Need for Rule
                                                                                                              NPRM with respect to this rule because
                                             Fireworks Display is a recurring marine                          doing so would be impracticable. The                     The Coast Guard is issuing this
                                             event with regulatory history and is                             event sponsors were late in submitting                temporary rule under authority in 33
                                             cited in 33 CFR 165.151(9.1). This event                         the marine event applications. These                  U.S.C. 1231. The Captain of the Port
                                             has been included in this rule due to                            late submissions did not give the Coast               (COTP) Long Island Sound has
                                             deviation from the cite date.                                    Guard enough time to publish a NPRM,
                                                The Coast Guard is issuing this                                                                                     determined that the safety zones
                                                                                                              take public comments, and issue a final               established by this temporary final rule
                                             temporary final rule without prior
                                                                                                              rule before these events take place.                  are necessary to provide for the safety of
                                             notice and opportunity to comment
                                                                                                              Thus, waiting for a comment period to                 life on navigable waterways before,
                                             pursuant to authority under section 4(a)
                                             of the Administrative Procedure Act                              run would inhibit the Coast Guard’s                   during, and after these scheduled
                                             (APA) (5 U.S.C. 553(b)). This provision                          mission to keep the ports and                         events.
                                             authorizes an agency to issue a rule                             waterways safe.
                                                                                                                                                                    IV. Discussion of the Rule
                                             without prior notice and opportunity to                             Under 5 U.S.C. 553(d)(3), and for the
                                             comment when the agency for good                                 same reasons stated in the preceding                    This rule establishes 9 safety zones for
                                             cause finds that those procedures are                            paragraph, the Coast Guard finds that                 ten fireworks displays. The location of
                                             ‘‘impracticable, unnecessary, or contrary                        good cause exists for making this rule                these safety zones are as follows:

                                                                                                               FIREWORKS DISPLAYS SAFETY ZONES
                                             1 .....................     Hoffman Wedding Fireworks Display .......         Location: All waters of the Great South Bay, Babylon, NY within 1,000 feet of the
                                                                                                                             fireworks barge in approximate position 40°41′1.13″ N., 073°18′40.07″ W. (NAD
                                                                                                                             83).
                                             2 .....................     Pyro Engineering Inc. Fireworks Display           Location: All navigable waters of Great Peconic Bay, Southampton, NY, within
                                                                                                                             1,000 feet of the fireworks barge in approximate position 40°56′58″ N.,
                                                                                                                             072°26′35″ W. (NAD 83).
                                             3 .....................     Sag Harbor Fire Department Fireworks              Location: All navigable waters of Sag Harbor Bay, Sag Harbor, NY within 200 feet
                                                                           Display.                                          of the land launch located in approximate position 41°00′02″ N., 072°17′02″ W.
                                                                                                                             (NAD 83).
                                             4 .....................     Montalbano Wedding Fireworks Display ..           Location: All navigable waters of Bellport Bay, Bellport, NY within 1,000 feet of the
                                                                                                                             barge launch site in approximate position 40°44′45.72″ N., 072°56′14.16″ W.
                                                                                                                             (NAD 83).
                                             5 .....................     Village of Saltaire Fireworks Display ........    Location: All waters of the Great South Bay, Bayshore, NY within 600 feet of the
                                                                                                                             fireworks barge in approximate position 40°38′38.60″ N., 073°12′05.06″ W. (NAD
                                                                                                                             83).
                                             6 .....................     Baker Annual Summer Celebration ..........        Location: All navigable waters of the Peconic River, Jamesport, NY, within 600 feet
                                                                                                                             of the fireworks barge in approximate position 40°55′51.84″ N., 072°35′07.92″ W.
                                                                                                                             (NAD 83).
                                             7 .....................     Gestal Wedding Fireworks Display ..........       Location: All navigable waters of the Long Island Sound, Greenwich, CT within 600
                                                                                                                             feet of the fireworks barge located in approximate position 40°59′57.36″ N.,
                                                                                                                             073°37′54.37″ W. (NAD 83).
                                             8 .....................     Clinton Chamber of Commerce Fireworks             Location: All waters of Long Island Sound, Clinton, CT within 640 feet of the land
                                                                           Display.                                          launch site in approximate position 41°15′59″ N., 072°31′09″ W. (NAD 83).
                                             9 .....................     East Hampton Fire Department Fireworks            Location: All waters off Main Beach, East Hampton, NY within 1,000 feet of the
                                                                           Display.                                          land launch located in approximate position 40°56′44″ N., 072°11′17″ W. (NAD
                                                                                                                             83).



                                                This rule prevents vessels from                               V. Regulatory Analyses                                harmonizing rules, and of promoting
                                             entering, transiting, mooring, or                                                                                      flexibility. This rule has not been
                                             anchoring within the areas specifically                             We developed this rule after                       designated a ‘‘significant regulatory
                                             designated as a safety zone and restricts                        considering numerous statutes and                     action,’’ under Executive Order 12866.
                                                                                                              executive orders related to rulemaking.               Accordingly, it has not been reviewed
                                             vessel movement around the locations
                                                                                                              Below we summarize our analyses                       by the Office of Management and
                                             of the marine events to reduce the safety
                                                                                                              based on these statutes and executive                 Budget.
                                             risks associated with it during the
                                                                                                              orders and we discuss First Amendment                    The Coast Guard determined that this
                                             period of enforcement unless authorized                          rights of protestors.
                                             by the COTP or designated                                                                                              rulemaking is not a significant
                                                                                                              A. Regulatory Planning and Review                     regulatory action for the following
                                             representative.
                                                                                                                                                                    reasons: (1) The enforcement of these
                                                The Coast Guard will notify the                                  Executive Orders 12866 and 13563                   safety zones will be relatively short in
                                             public and local mariners of these safety                        direct agencies to assess the costs and               duration; (2) persons or vessels desiring
                                             zones through appropriate means,                                 benefits of available regulatory                      to enter these safety zones may do so
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                                             which may include, but are not limited                           alternatives and, if regulation is                    with permission from the COTP LIS or
                                             to, publication in the Federal Register,                         necessary, to select regulatory                       a designated representative; (3) these
                                             the Local Notice to Mariners, and                                approaches that maximize net benefits.                safety zones are designed in a way to
                                             Broadcast Notice to Mariners.                                    Executive Order 13563 emphasizes the                  limit impacts on vessel traffic,
                                                                                                              importance of quantifying both costs                  permitting vessels to navigate in other
                                                                                                              and benefits, of reducing costs, of                   portions of the waterway not designated


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                                                                Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations                                            52337

                                             as a safety zone; and (4) the Coast Guard               D. Federalism and Indian Tribal                       Categorical Exclusion Determination
                                             will notify the public of the enforcement               Governments                                           will be available in the docket where
                                             of this rule via appropriate means, such                   A rule has implications for federalism             indicated under ADDRESSES. We seek
                                             as via Local Notice to Mariners and                     under Executive Order 13132,                          any comments or information that may
                                             Broadcast Notice to Mariners to increase                Federalism, if it has a substantial direct            lead to the discovery of a significant
                                             public awareness of this safety zone.                   effect on the States, on the relationship             environmental impact from this rule.
                                             B. Impact on Small Entities                             between the national government and                   G. Protest Activities
                                                                                                     the states, or on the distribution of
                                                                                                                                                             The Coast Guard respects the First
                                                The Regulatory Flexibility Act of                    power and responsibilities among the
                                                                                                                                                           Amendment rights of protesters.
                                             1980, 5 U.S.C. 601–612, as amended,                     various levels of government. We have
                                                                                                                                                           Protesters are asked to contact the
                                             requires Federal agencies to consider                   analyzed this rule under that order and
                                                                                                                                                           person listed in the FOR FURTHER
                                             the potential impact of regulations on                  have determined that it is consistent
                                                                                                                                                           INFORMATION CONTACT section to
                                             small entities during rulemaking. The                   with the fundamental federalism
                                                                                                                                                           coordinate protest activities so that your
                                             term ‘‘small entities’’ comprises small                 principles and preemption requirements
                                                                                                                                                           message can be received without
                                             businesses, not-for-profit organizations                described in Executive Order 13132.
                                                                                                                                                           jeopardizing the safety or security of
                                             that are independently owned and                           Also, this rule does not have tribal
                                                                                                                                                           people, places, or vessels.
                                             operated and are not dominant in their                  implications under Executive Order
                                                                                                     13175, Consultation and Coordination                  List of Subjects in 33 CFR Part 165
                                             fields, and governmental jurisdictions
                                                                                                     with Indian Tribal Governments,                         Harbors, Marine safety, Navigation
                                             with populations of less than 50,000.
                                                                                                     because it does not have a substantial                (water), Reporting and recordkeeping
                                             The Coast Guard certifies under 5 U.S.C.
                                                                                                     direct effect on one or more Indian                   requirements, Security measures,
                                             605(b) that this rule will not have a                   tribes, on the relationship between the
                                             significant economic impact on a                                                                              Waterways.
                                                                                                     Federal Government and Indian tribes,
                                             substantial number of small entities.                                                                           For the reasons discussed in the
                                                                                                     or on the distribution of power and
                                                                                                                                                           preamble, the Coast Guard amends 33
                                                While some owners or operators of                    responsibilities between the Federal
                                                                                                                                                           CFR part 165 as follows:
                                             vessels intending to transit these                      Government and Indian tribes. If you
                                             regulated areas may be small entities,                  believe this rule has implications for                PART 165—REGULATED NAVIGATION
                                             for the reasons stated in section V.A                   federalism or Indian tribes, please                   AREAS AND LIMITED ACCESS AREAS
                                             above, this rule will not have a                        contact the person listed in the FOR
                                             significant economic impact on any                      FURTHER INFORMATION CONTACT section                   ■ 1. The authority citation for part 165
                                             vessel owner or operator. Under section                 above.                                                continues to read as follows:
                                             213(a) of the Small Business Regulatory                 E. Unfunded Mandates Reform Act                         Authority: 33 U.S.C. 1231; 50 U.S.C. 191;
                                             Enforcement Fairness Act of 1996 (Pub.                                                                        33 CFR 1.05–1, 6.04–1, 6.04–6, and 160.5;
                                             L. 104–121), we want to assist small                      The Unfunded Mandates Reform Act                    and Department of Homeland Security
                                                                                                     of 1995 (2 U.S.C. 1531–1538) requires                 Delegation No. 0170.1
                                             entities in understanding this rule. If the
                                                                                                     Federal agencies to assess the effects of               2. Add § 100.T01–0670 to read as
                                             rule would affect your small business,                                                                        ■
                                                                                                     their discretionary regulatory actions. In            follows:
                                             organization, or governmental
                                                                                                     particular, the Act addresses actions
                                             jurisdiction and you have questions                     that may result in the expenditure by a               § 165.T01–0670 Safety Zones; Marine
                                             concerning its provisions or options for                State, local, or tribal government, in the            Events held in the Sector Long Island
                                             compliance, please contact the person                   aggregate, or by the private sector of                Sound Captain of the Port Zone.
                                             listed in the FOR FURTHER INFORMATION                   $100,000,000 (adjusted for inflation) or                 (a) Location. This section will be
                                             CONTACT.                                                more in any one year. Though this rule                enforced at the locations listed for each
                                                Small businesses may send comments                   will not result in such an expenditure,               event in Table 1 to § 165.T01–0670.
                                             on the actions of Federal employees                     we do discuss the effects of this rule                   (b) Enforcement period. This rule will
                                             who enforce, or otherwise determine                     elsewhere in this preamble.                           be enforced on the dates and times
                                             compliance with, Federal regulations to                                                                       listed for each event in Table 1 to
                                                                                                     F. Environment
                                             the Small Business and Agriculture                                                                            § 165.T01–0670.
                                             Regulatory Enforcement Ombudsman                          We have analyzed this rule under                       (c) Definitions. The following
                                             and the Regional Small Business                         Department of Homeland Security                       definitions apply to this section: A
                                             Regulatory Fairness Boards. The                         Management Directive 023–01 and                       ‘‘designated representative’’ is any Coast
                                             Ombudsman evaluates these actions                       Commandant Instruction M16475.lD,                     Guard commissioned, warrant, or petty
                                             annually and rates each agency’s                        which guide the Coast Guard in                        officer of the U.S. Coast Guard who has
                                             responsiveness to small business. If you                complying with the National                           been designated by the COTP, Sector
                                             wish to comment on actions by                           Environmental Policy Act of 1969 (42                  Long Island Sound, to act on his or her
                                                                                                     U.S.C. 4321–4370f), and have                          behalf. The designated representative
                                             employees of the Coast Guard, call
                                                                                                     determined that this action is one of a               may be on an official patrol vessel or
                                             1–888–REG–FAIR (1–888–734–3247).
                                                                                                     category of actions that do not                       may be on shore and will communicate
                                             The Coast Guard will not retaliate
                                                                                                     individually or cumulatively have a                   with vessels via VHF–FM radio or
                                             against small entities that question or
                                                                                                     significant effect on the human                       loudhailer. ‘‘Official patrol vessels’’ may
                                             complain about this proposed rule or                    environment. This temporary rule                      consist of any Coast Guard, Coast Guard
                                             any policy or action of the Coast Guard.                involves the establishment of ten                     Auxiliary, state, or local law
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                                             C. Collection of Information                            temporary safety zones. It is                         enforcement vessels assigned or
                                                                                                     categorically excluded from further                   approved by the COTP Sector Long
                                               This rule will not call for a new                     review under paragraph 34(g) of Figure                Island Sound. In addition, members of
                                             collection of information under the                     2–1 of the Commandant Instruction. An                 the Coast Guard Auxiliary may be
                                             Paperwork Reduction Act of 1995 (44                     environmental analysis checklist                      present to inform vessel operators of
                                             U.S.C. 3501–3520).                                      supporting this determination and a                   this regulation.


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                                             52338                       Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Rules and Regulations

                                               (d) Regulations. (1) The general                                 (3) Any vessel given permission to                   must comply with all directions given to
                                             regulations contained in 33 CFR 165.23                           deviate from these regulations must                    them by the COTP Sector Long Island
                                             apply.                                                           comply with all directions given to                    Sound, or the designated on-scene
                                               (2) In accordance with the general                             them by the COTP Sector Long Island                    representative.
                                             regulations in 33 CFR 165.23, entry into                         Sound, or the designated on-scene                         (5) Upon being hailed by a U.S. Coast
                                             or movement within these zones is                                representative.                                        Guard vessel by siren, radio, flashing
                                             prohibited unless authorized by the                                (4) Any vessel given permission to                   light or other means, the operator of the
                                             COTP, Long Island Sound.                                         enter or operate in these safety zones                 vessel shall proceed as directed.

                                                                                                                     TABLE 1 TO § 165.T01–0670

                                                                                                                                Fireworks Events *

                                             .
                                             1 .....................     Hoffman Wedding Fireworks Display .......         •    Date: July 30, 2016.
                                                                                                                           •    Rain Date: July 31, 2016.
                                                                                                                           •    Time: 9:00 p.m. to 10:30 p.m.
                                                                                                                           •    Location: All waters of the Great South Bay, Babylon, NY within 1,000 feet of the
                                                                                                                                fireworks barge in approximate position 40°41′1.13″ N., 073°18′40.07″ W. (NAD
                                                                                                                                83).
                                             2 .....................     Pyro Engineering Inc. Fireworks Display           •    Date: July 30, 2016.
                                                                                                                           •    Time: 9:00 p.m. to 10:15 p.m.
                                                                                                                           •    Location: All navigable waters of Great Peconic Bay, Southampton, NY, within
                                                                                                                                1,000 feet of the fireworks barge in approximate position 40°56′58″ N.,
                                                                                                                                072°26′35″ W. (NAD 83).
                                             3 .....................     Sag Harbor Fire Department Fireworks              •    Date: August 05, 2016.
                                                                           Display.                                        •    Rain Date: August 06, 2016.
                                                                                                                           •    Time: 9:15 p.m. to 10:30 p.m.
                                                                                                                           •    Location: All navigable waters of Sag Harbor Bay, Sag Harbor, NY within 200
                                                                                                                                feet of the land launch located in approximate position 41°00′02″ N., 072°17′02″
                                                                                                                                W. (NAD 83).
                                             4 .....................     Montalbano Wedding Fireworks Display ..           •    Date: August 06, 2016.
                                                                                                                           •    Rain Date: August 07, 2016.
                                                                                                                           •    Time: 8:30 p.m. to 10:00 p.m.
                                                                                                                           •    Location: All navigable waters of Bellport Bay, Bellport, NY within 1,000 feet of
                                                                                                                                the barge launch site in approximate position 40°44′45.72″ N., 072°56′14.16″ W.
                                                                                                                                (NAD 83).
                                             5 .....................     Village of Saltaire Fireworks Display ........    •    Date: August 06, 2016.
                                                                                                                           •    Rain Date: September 03, 2016.
                                                                                                                           •    Time: 8:30 p.m. to 10:30 p.m.
                                                                                                                           •    Location: All waters of the Great South Bay, Bayshore, NY within 600 feet of the
                                                                                                                                fireworks barge in approximate position 40°38′38.60″ N., 073°12′05.06″ W. (NAD
                                                                                                                                83).
                                             6 .....................     Baker Annual Summer Celebration ..........        •    Date: August 13, 2016.
                                                                                                                           •    Rain Date: August 14, 2016.
                                                                                                                           •    Time: 8:30 p.m. to 9:40 p.m.
                                                                                                                           •    Location: All navigable waters of the Peconic River, Jamesport, NY, within 600
                                                                                                                                feet of the fireworks barge in approximate position 40°55′51.84″ N.,
                                                                                                                                072°35′07.92″ W. (NAD 83).
                                             7 .....................     Gestal Wedding Fireworks Display ..........       •    Date: August 13, 2016.
                                                                                                                           •    Time: 8:30 p.m. to 10:30 p.m.
                                                                                                                           •    Location: All navigable waters of the Long Island Sound, Greenwich, CT within
                                                                                                                                600 feet of the fireworks barge located in approximate position 40°59′57.36″ N.,
                                                                                                                                073°37′54.37″ W. (NAD 83).
                                             8 .....................     Clinton Chamber of Commerce Fireworks             •    Date: August 20, 2016.
                                                                           Display.                                        •    Rain Date: August 21, 2016.
                                                                                                                           •    Time: 8:30 p.m. to 10:30 p.m.
                                                                                                                           •    Location: All waters of Long Island Sound, Clinton, CT within 640 feet of the land
                                                                                                                                launch site in approximate position 41°15′59″ N., 072°31′09″ W. (NAD 83).
                                             9 .....................     East Hampton Fire Department Fireworks            •    Date: August 27, 2016.
                                                                           Display.                                        •    Rain Date: August 28, 2016.
                                                                                                                           •    Time: 8:45 p.m. to 10:15 p.m.
                                                                                                                           •    Location: All waters off Main Beach, East Hampton, NY within 1,000 feet of the
                                                                                                                                land launch located in approximate position 40°56′44″ N., 072°11′17″ W. (NAD
                                                                                                                                83).
                                                * All dates and times subject to change. Exact times and dates will be published in the Local Notice to Mariners.
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Document Created: 2016-01-05 01:46:29
Document Modified: 2016-01-05 01:46:29
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesEffective February 4, 2016.
ContactGlenn Merrill, (907) 586-7228.
FR Citation81 FR 150 
RIN Number0648-BE05
CFR Citation15 CFR 902
50 CFR 679
CFR AssociatedReporting and Recordkeeping Requirements; Alaska and Fisheries

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