REFI Pacific Act

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Revitalizing the Economy of 
Fisheries in the Pacific Act'' or the ``REFI Pacific Act''.

SEC. 2. FINDINGS; PURPOSE.

    (a) Findings.--Congress makes the following findings:
            (1) In 2000, the Secretary of Commerce declared the West 
        Coast groundfish fishery a Federal fisheries economic disaster 
        due to low stock abundance, an overcapitalized fleet, and 
        historically overfished stocks.
            (2) Section 212 of the Department of Commerce and Related 
        Agencies Appropriations Act, 2003 (title II of division B of 
        Public Law 108-7; 117 Stat. 80) was enacted to establish a 
        Pacific Coast groundfish fishing capacity reduction program, 
        also known as a buyback program, to remove excess fishing 
        capacity.
            (3) In 2003, Congress authorized the $35,700,000 buyback 
        loan, creating the Pacific Coast groundfish fishing capacity 
        reduction program through the National Marine Fisheries Service 
        fisheries finance program with a term of 30 years. The interest 
        rate of the buyback loan was fixed at 6.97 percent and is paid 
        back based on an ex-vessel fee landing rate not to exceed 5 
        percent for the loan.
            (4) The groundfish fishing capacity reduction program 
        resulted in the removal of limited entry trawl Federal fishing 
        permits from the fishery, representing approximately 46 percent 
        of total landings at the time.
            (5) Because of an absence of a repayment mechanism, 
        $4,243,730 in interest accrued before fee collection procedures 
        were established in 2005, over 18 months after the groundfish 
        fishing capacity reduction program was initiated.
            (6) In 2011, the West Coast groundfish fishery transitioned 
        to an individual fishing quota fishery, which is a type of 
        catch share program.
            (7) By 2015, West Coast groundfish fishermen's expenses are 
        expected to include fees of approximately $450 per day for 
        observers, a 3-percent cost recovery fee as authorized by the 
        Magnuson-Stevens Fishery Conservation and Management Act (16 
        U.S.C. 1801) for catch share programs, and a 5-percent ex-
        vessel landings rate for the loan repayment, which could reach 
        18 percent of their total gross revenue.
            (8) In 2012, the West Coast groundfish limited entry trawl 
        fishery generated $63,000,000, an increase from an average of 
        $45,000,000 during the years 2006 to 2011. This revenue is 
        expected to continue to increase post-rationalization.
    (b) Purpose.--The purpose of this Act is to refinance the Pacific 
Coast groundfish fishery fishing capacity reduction program to protect 
and conserve the West Coast groundfish fishery and the coastal 
economies in California, Oregon, and Washington that rely on it.

SEC. 3. REFINANCING OF PACIFIC COAST GROUNDFISH FISHING CAPACITY 
              REDUCTION LOAN.

    (a) In General.--The Secretary of Commerce, upon receipt of such 
assurances as the Secretary considers appropriate to protect the 
interests of the United States, shall issue a loan to refinance the 
existing debt obligation funding the fishing capacity reduction program 
for the West Coast groundfish fishery implemented under section 212 of 
the Department of Commerce and Related Agencies Appropriations Act, 
2003 (title II of division B of Public Law 108-7; 117 Stat. 80).
    (b) Applicable Law.--Except as otherwise provided in this section, 
the Secretary shall issue the loan under this section in accordance 
with subsections (b) through (e) of section 312 of the Magnuson-Stevens 
Fishery Conservation and Management Act (16 U.S.C. 1861a) and sections 
53702 and 53735 of title 46, United States Code.
    (c) Loan Term.--
            (1) In general.--Notwithstanding section 53735(c)(4) of 
        title 46, United States Code, a loan under this section shall 
        have a maturity that expires at the end of the 45-year period 
        beginning on the date of issuance of the loan.
            (2) Extension.--Notwithstanding paragraph (1) and if there 
        is an outstanding balance on the loan after the period 
        described in paragraph (1), a loan under this section shall 
        have a maturity of 45 years or until the loan is repaid in 
        full.
    (d) Limitation on Fee Amount.--Notwithstanding section 312(d)(2)(B) 
of the Magnuson-Stevens Fishery Conservation and Management Act (16 
U.S.C. 1861a(d)(2)(B)), the fee established by the Secretary with 
respect to a loan under this section shall not exceed 3 percent of the 
ex-vessel value of the harvest from each fishery for where the loan is 
issued.
    (e) Interest Rate.--
            (1) In general.--Notwithstanding section 53702(b)(2) of 
        title 46, United States Code, the annual rate of interest an 
        obligor shall pay on a direct loan obligation under this 
        section is the percent the Secretary must pay as interest to 
        borrow from the Treasury the funds to make the loan.
            (2) Subloans.--Each subloan under the loan authorized by 
        this section--
                    (A) shall receive the interest rate described in 
                paragraph (1); and
                    (B) may be paid off at any time notwithstanding 
                subsection (c)(1).
    (f) Ex-Vessel Landing Fee.--
            (1) Calculations and accuracy.--The Secretary shall set the 
        ex-vessel landing fee to be collected for payment of the loan 
        under this section--
                    (A) as low as possible, based on recent landings 
                value in the fishery, to meet the requirements of loan 
                repayment;
                    (B) upon issuance of the loan in accordance with 
                paragraph (2); and
                    (C) on a regular interval not to exceed every 5 
                years beginning on the date of issuance of the loan.
            (2) Deadline for initial ex-vessel landings fee 
        calculation.--Not later than 60 days after the date of issuance 
        of the loan under this section, the Secretary shall recalculate 
        the ex-vessel landing fee based on the most recent value of the 
        fishery.
    (g) Authorization.--There is authorized to be appropriated to the 
Secretary of Commerce to carry out this section an amount equal to 1 
percent of the amount of the loan authorized under this section for 
purposes of the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et 
seq.).

Summary: Revitalizing the Economy of Fisheries in the Pacific Act or the REFI Pacific Act - Directs the Secretary of Commerce to issue a loan to refinance the existing debt obligation funding the fishing capacity reduction program for the West Coast groundfish fishery implemented under the Department of Commerce and Related Agencies Appropriations Act, 2003. Requires such loan to have a maturity that expires 45 years after the date of issuance, subject to extension if there is an outstanding balance after such period. Prohibits the fee with respect to such loan from exceeding 3 of the ex-vessel value of the harvest from each fishery for which the loan is issued. Sets forth requirements for direct loan interest rates, subloans, and the calculation of the ex-vessel landing fee to be collected for payment of such loan.