U.S. GOVERNMENT PUBLISHING OFFICE

WASHINGTON : 

1 

69–010 

" ! SENATE 

114TH CONGRESS

2d Session 

REPORT

2016

114–379 

Calendar No. 674 

AMERICAN FISHERIES ADVISORY 

COMMITTEE ACT 

R E P O R T 

OF THE

COMMITTEE ON COMMERCE, SCIENCE, AND 

TRANSPORTATION 

ON

S. 3087 

NOVEMBER 17, 2016.—Ordered to be printed 


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(II) 

SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION 

ONE HUNDRED FOURTEENTH CONGRESS

SECOND SESSION

JOHN THUNE, South Dakota, Chairman 

ROGER F. WICKER, Mississippi BILL NELSON, Florida 

ROY BLUNT, Missouri MARIA CANTWELL, Washington 

MARCO RUBIO, Florida CLAIRE MCCASKILL, Missouri 

KELLY AYOTTE, New Hampshire AMY KLOBUCHAR, Minnesota 

TED CRUZ, Texas RICHARD BLUMENTHAL, Connecticut 

DEB FISCHER, Nebraska BRIAN SCHATZ, Hawaii 

JERRY MORAN, Kansas ED MARKEY, Massachusetts 

DAN SULLIVAN, Alaska CORY BOOKER, New Jersey 

RON JOHNSON, Wisconsin TOM UDALL, New Mexico 

DEAN HELLER, Nevada JOE MANCHIN, West Virginia 

CORY GARDNER, Colorado GARY PETERS, Michigan 

STEVE DAINES, Montana 

NICK ROSSI, Staff Director 

ADRIAN ARNAKIS, Deputy Staff Director 

JASON VAN BEEK, General Counsel 

KIM LIPSKY, Democratic Staff Director 

CHRISTOPHER DAY, Democratic Deputy Staff Director 

CLINT ODOM, Democratic General Counsel 


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69–010 

1 16 U.S.C. §1801 et seq. 2 National Oceanic and Atmospheric Administration, Status of Stocks 2015: Annual Report to 

Congress on the Status of U.S. Fisheries, April 2016, at http://www.nmfs.noaa.gov/sfa/fisheriesleco/statusloflfisheries/archive/2015/2015lstatusloflstockslupdated.pdf. 

Calendar No. 674 

114TH CONGRESS REPORT " ! SENATE 2d Session 114–379 

AMERICAN FISHERIES ADVISORY COMMITTEE ACT 

NOVEMBER 17, 2016.—Ordered to be printed 

Mr. THUNE, from the Committee on Commerce, Science, and 

Transportation, submitted the following 

R E P O R T 

[To accompany S. 3087] 

The Committee on Commerce, Science, and Transportation, to 

which was referred the bill (S. 3087) to establish the American 

Fisheries Advisory Committee to assist in the awarding of fisheries 

research and development grants and for other purposes, having 

considered the same, reports favorably thereon with an amendment 

(in the nature of a substitute) and recommends that the bill (as 

amended) do pass. 

PURPOSE OF THE BILL

The purposes of the American Fisheries Advisory Committee Act 

are to create a committee to identify the needs of the seafood industry, develop requests for proposals, review grant applications, 

and select applications for approval for grants. This Act also would 

require all decisions to be at the discretion of the Secretary of Commerce and the American Fisheries Advisory Committee (AFAC) to 

meet not more than biannually. 

BACKGROUND AND NEEDS

The fishery management standards established by the Magnuson-Stevens Fishery Conservation and Management Act (MSA) 1

have led to the recovery of most stocks of federally managed fish. 

As of 2015, less than 10 percent of stocks were overfished.2 One of 

the reasons stocks have recovered is that the 2006 revisions to the 


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3Magnuson-Stevens Fishery Conservation and Management Reauthorization Act of 2006, Public Law 109–479; 120 Stat. 3575. 4 15 U.S.C. §713c–3 5 Ibid. 

6 Ibid. 

7 5 U.S.C. App. 

MSA required hard annual catch limits on stocks.3 Thus, in recent 

years, in order to increase profits, fishermen have had to focus primarily on increasing the value of their catch rather than catching 

more fish. 

The Saltonstall-Kennedy Fund was established to ‘‘carry out a 

national program of research and development addressed to such 

aspects of United States fisheries including, but not limited to, harvesting, processing, marketing, and associated infrastructures.’’ 4 It 

is funded by tariffs on imported fishery products.5 Originally, an 

advisory committee oversaw the Saltonstall-Kennedy Fund’s activity,6 but the authority for that advisory committee terminated after 

a 2-year period pursuant to section 14 of the Federal Advisory 

Committee Act.7 After the advisory committee was terminated, 

funds were and continue to be distributed by the National Oceanic 

and Atmospheric Administration (NOAA), either as grants or to 

fund internal projects. Concerns have been raised that NOAA does 

not distribute grants in accordance with the Saltonstall-Kennedy 

Fund’s governing statute. For example, out of the 50 grants given 

out by NOAA in 2016, only 3 have been to improve the marketing 

of fish. 

SUMMARY OF PROVISIONS

The American Fisheries Advisory Committee Act would establish 

AFAC, which would evaluate grants and make recommendations 

on which projects should be funded by the Saltonstall-Kennedy 

Fund and how funds should be distributed. 

LEGISLATIVE HISTORY

On June 22, 2016, the American Fisheries Advisory Committee 

Act was introduced by Senator Sullivan and cosponsored by Senators Cantwell and Murkowski. 

On June 29, 2016, the Committee met in open Executive Session 

and, by a voice vote, ordered S. 3087 to be reported favorably with 

an amendment (in nature of a substitute). 

The Committee adopted six amendments to the measure. Senator 

Markey offered four amendments, all of which were accepted. 

Those amendments would: require grant recipients to publicly post 

the title and abstract of the project; reorganize geographic areas; 

require an at-large member of AFAC to represent the fisheries 

science community; provide criteria by which the Secretary of Commerce should evaluate grant applications; and require the Secretary of Commerce to submit to AFAC a justification if the recommendations of AFAC were not followed. An amendment offered 

by Senator Schatz to require representatives of recreational fishing 

interests to be included on AFAC also was accepted. A second degree amendment offered by Senator Wicker, and accepted, would 

realign the geographic specifications for the makeup of AFAC. 


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ESTIMATED COSTS

In accordance with paragraph 11(a) of rule XXVI of the Standing 

Rules of the Senate and section 403 of the Congressional Budget 

Act of 1974, the Committee provides the following cost estimate, 

prepared by the Congressional Budget Office: 

S. 3087—American Fisheries Advisory Committee Act 

S. 3087 would establish the American Fisheries Advisory Committee within the Department of Commerce (DOC). The committee 

would comprise three representatives from each of six geographic 

regions and seven at-large members with experience in the seafood 

and fisheries industries, as selected by DOC. Under the bill, the 

committee would be responsible for identifying needs of the fishing 

industry, developing requests for grants to meet those needs, and 

reviewing and selecting applications for an existing grant program 

for approval by DOC. Under current law, the National Marine 

Fisheries Service (NMFS) within DOC is responsible for those activities. In 2016, the program awarded 50 grants totaling $11 million. That amount is derived from permanent authority to spend 

certain customs duties that are imposed on imported fishery products. 

Based on an analysis of information from DOC, CBO estimates 

that the committee’s operations would cost $2 million a year over 

the 2017–2021 period to operate the grant program However, because any increases in amounts spent on administering the grant 

program would result in a corresponding reduction in amounts 

awarded for the grants, CBO estimates that implementing S. 3087 

would have no significant net effect on the federal budget. Pay-asyou-go procedures apply because enacting the bill would have an 

insignificant effect on direct spending. Enacting S. 3087 would not 

affect revenues. 

CBO estimates that enacting S. 3087 would not increase net direct spending or on-budget deficits in any of the four consecutive 

10-year periods beginning in 2027. 

S. 3087 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act and would 

impose no costs on state, local, or tribal governments. 

The CBO staff contact for this estimate is Stephen Rabent. The 

estimate was approved by H. Samuel Papenfuss, Deputy Director 

for Budget Analysis. 

REGULATORY IMPACT

In accordance with paragraph 11(b) of rule XXVI of the Standing 

Rules of the Senate, the Committee provides the following evaluation of the regulatory impact of the legislation, as reported: 

NUMBER OF PERSONS COVERED

The American Fisheries Advisory Committee Act, as reported, 

would cover a person applying for a Saltonstall-Kennedy Fund 

grant. In 2015, 50 grants were submitted. 


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ECONOMIC IMPACT

Enactment of this legislation is not expected to have any significant adverse impacts on the Nation’s economy. 

PRIVACY

This bill would not have any adverse impact on the privacy of individuals. 

PAPERWORK

The Secretary of Commerce would be required to provide a written document to AFAC justifying a decision not to provide funding 

for a grant selected by AFAC. 

CONGRESSIONALLY DIRECTED SPENDING

In compliance with paragraph 4(b) of rule XLIV of the Standing 

Rules of the Senate, the Committee provides that no provisions 

contained in the bill, as reported, meet the definition of congressionally directed spending items under the rule. 

SECTION-BY-SECTION ANALYSIS

Section 1. Short title. 

This section provides the short title of the bill, the ‘‘American 

Fisheries Advisory Committee Act.’’ 

Section 2. American Fisheries Advisory Committee. 

This section would establish AFAC. There would be six regions 

within the AFAC. Each region would consist of a group of States, 

territories, or possessions of the United States. Each of the regions 

would be represented on AFAC by three members, as well as seven 

at-large members. 

The responsibilities of AFAC would include: identifying the needs 

of the seafood industry that may be addressed by a project funded 

with grants; developing requests for proposals; reviewing grant applications; and selecting applications for approval for grants. AFAC 

would meet not more than biannually. All decisions would be subject to approval by the Secretary of Commerce. 

Section 3. Public availability of grant proposals. 

This section would require a person awarded a grant under section 2(c) of the Act of August 11, 1939 (15 U.S.C. 713c-3(c)) to make 

publicly available the title and abstract of the project. 

CHANGES IN EXISTING LAW

In compliance with paragraph 12 of rule XXVI of the Standing 

Rules of the Senate, changes in existing law made by the bill, as 

reported, are shown as follows (existing law proposed to be omitted 

is enclosed in black brackets, new material is printed in italic, existing law in which no change is proposed is shown in roman): 


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ACT OF AUGUST 11, 1939 

[53 Stat. 1412] 

SEC. 2. PROMOTION OF THE FREE FLOW OF DOMESTICALLY PRODUCED FISHERY PRODUCTS. 

[15 U.S.C.713c-3] 

* * * * * * * 

(c) FISHERIES RESEARCH AND DEVELOPMENT PROJECTS.— (1) The Secretary shall make grants from the fund established under subsection (b) to assist persons in carrying out research and development projects addressed to any aspect of 

United States fisheries, including, but not limited to, harvesting, processing, marketing, and associated infrastructures. 

(2) The Secretary shall— 

(A) at least once each fiscal year, receive, during a 60- 

day period specified by him, applications for grants under 

this subsection; 

(B) prescribe the form and manner in which applications 

for grants under this subsection must be made, including, 

but not limited to, the specification of the information 

which must accompany applications to ensure that the proposed projects comply with Federal law and can be evaluated in accordance with paragraph (3)(B); and 

(C) approve or disapprove each such application before 

the close of the 120th day after the last day of the 60-day 

period (specified under subparagraph (A)) in which the application was received. 

ø(3) No application for a grant under this subsection may be 

approved unless the Secretary— 

ø(A) is satisfied that the applicant has the requisite 

technical and financial capability to carry out the project; 

and 

ø(B) evaluates the proposed project as to— 

ø(i) soundness of design, 

ø(ii) the possibilities of securing productive results, 

ø(iii) minimization of duplication with other fisheries research and development projects, 

ø(iv) the organization and management of the 

project, 

ø(v) methods proposed for monitoring and evaluating the success or failure of the project, and 

ø(vi) such other criteria as the Secretary may require.¿ 

(3)(A) No application for a grant under this subsection may be approved unless— 

(i) the Secretary is satisfied that the applicant has the 

requisite technical and financial capability to carry out the 

project; 

(ii) the Secretary evaluates the proposed project as to— 

(I) the selections of the Committee established in subsection (f); 

(II) soundness of design; 

(III) the possibilities of securing productive results; 

(IV) minimization of duplication with other fisheries 

research and development projects; 


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(V) the organization and management of the project; 

(VI) methods proposed for monitoring and evaluating 

the success or failure of the project; and 

(VII) such other criteria as the Secretary may require; and 

(iii) the application selected for funding meets the proposal developed by the American Fisheries Advisory Committee under subsection (f). 

(B) JUSTIFICATION.—If the Secretary fails to provide funds to 

a grant selected by the Committee, the Secretary shall provide 

a written document to the Committee justifying the decision. 

(4) Each grant made under the subsection shall be subject to 

such terms and conditions as the Secretary may require to protect the interests of the United States, including, but not limited to, the following: 

(A) The recipient of the grant must keep such records as 

the Secretary shall require as being necessary or appropriate for disclosing the use made of grant funds and shall 

allow the Secretary and the Comptroller General of the 

United States, or any of their authorized representatives, 

access to such records for purposes of audit and examination. 

(B) The amount of a grant may not be less than 50 percent of the estimated cost of the project. 

(C) The recipient of the grant must submit to the Secretary periodic project status reports. 

(5)(A) If the cost of a project will be shared by the grant recipient, the Secretary shall accept, as a part or all of that 

share, the value of in-kind contributions made by the recipient, 

or made available to, and applied by, the recipient, with respect to the project. 

(B) For purposes of subparagraph (A), in-kind contributions may be in the form of, but are not limited to, personal services rendered in carrying out functions related 

to, and permission to use real or personal property owned 

by others (for which consideration is not required) in carrying out the project. The Secretary shall establish (i) the 

training, experience, and other qualifications which shall 

be required in order for services to be considered as inkind contributions; and (ii) the standards under which the 

Secretary will determine the value of in-kind contributions 

for purposes of subparagraph (A). 

(C) Any valuation determination made by the Secretary 

for purposes of this paragraph shall be conclusive. 

(6) Any person awarded a grant under this subsection shall 

make publicly available a title and abstract of the project to be 

carried out by the grant funds that serves as the public justification for funding the project that includes a statement describing how the project serves to enhance United States fisheries, including harvesting, processing, marketing, and associated infrastructures, if applicable. 

(d) NATIONAL FISHERIES RESEARCH AND DEVELOPMENT PRO- GRAM.— 

(1) The Secretary shall carry out a national program of research and development addressed to such aspects of United 


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States fisheries (including, but not limited to, harvesting, processing, marketing, and associated infrastructures), if not adequately covered by projects assisted under subsection (c), as 

the Secretary deems appropriate. 

(2) The Secretary shall, after consultation with appropriate 

representatives of the fishing industry, submit to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Merchant Marine and Fisheries of 

the House of Representatives, an annual report, that must be 

submitted not later than 60 days before the close of each fiscal 

year, containing— 

(A) the fisheries development goals and funding priorities under paragraph (1) for the next fiscal year; 

(B) a description of all pending projects assisted under 

subsection (c) or carried out under paragraph (1), in addition to— 

(i) a list of those applications approved and those 

disapproved under subsection (c), and the total 

amount of grants made, for the current fiscal year, 

and 

(ii) a statement of the extent to which available 

funds were not obligated or expended by the Secretary 

for grants under subsection (c) during the current fiscal year; and 

(C) an assessment of each project assisted under subsection (c) or carried out under paragraph (1) that was 

completed in the preceding fiscal year regarding the extent 

to which (i) the objectives of the project were attained, and 

(ii) the project contributed to fishery development. 

(e) ALLOCATION OF FUND MONEYS.— 

(1) Notwithstanding any other provision of law, all moneys 

in the fund shall be used exclusively for the purpose of promoting United States fisheries in accordance with the provisions of this section, and no such moneys shall be transferred 

from the fund for any other purpose. With respect to any fiscal 

year, all moneys in the fund, including the sum of all unexpended moneys carried over into that fiscal year and all moneys transferred to the fund under subsection (b) or any other 

provision of law with respect to that fiscal year, shall be allocated as follows: 

(A) the Secretary shall use no less than 60 per centum 

of such moneys to make direct industry assistance grants 

to develop the United States fisheries and to expand domestic and foreign markets for United States fishery products pursuant to subsection (c) of this section; and 

(B) the Secretary shall use the balance of the moneys in 

the fund to finance those activities of the National Marine 

Fisheries Service which are directly related to development 

of the United States fisheries pursuant to subsection (d) of 

this section. 

(2) The Secretary shall, consistent with the number of meritorious applications received with respect to any fiscal year, obligate or expend all of the moneys in the fund described in 

paragraph (1). Any such moneys which are not expended in a 

given fiscal year shall remain available for expenditure in acVerDate Sep 11 2014 00:58 Nov 23, 2016 Jkt 069010 PO 00000 Frm 00009 Fmt 6659 Sfmt 6602 E:\HR\OC\SR379.XXX SR379

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cordance with this section without fiscal year limitation, except 

that the Secretary shall not obligate such moneys at a rate less 

than that necessary to prevent the balance of moneys in the 

fund from exceeding $3,000,000 at the end of any fiscal year. 

(f) AMERICAN FISHERIES ADVISORY COMMITTEE.— (1) DEFINITIONS.—In this subsection: 

(A) COMMITTEE.—The term ‘‘Committee’’ means the 

American Fisheries Advisory Committee established under 

paragraph (2). 

(B) FISHING COMMUNITY.—The term ‘‘fishing community’’ 

means harvesters, marketers, growers, processors, recreational fishermen, charter fishermen, and persons providing them with goods and services. 

(C) MARKETING AND PROMOTION.—The term ‘‘marketing 

and promotion’’ means an activity aimed at encouraging 

the consumption of seafood or expanding or maintaining 

commercial markets for seafood. 

(D) PROCESSOR.—The term ‘‘processor’’ means any person 

in the business of preparing or packaging seafood (including seafood of the processor’s own harvesting) for sale. 

(E) SEAFOOD.—The term ‘‘seafood’’ means farm-raised 

and wild-caught fish or shellfish harvested in the United 

States or by a United States flagged vessel for human consumption. 

(2) ESTABLISHMENT.—Not later than 90 days after the date of 

the enactment of the American Fisheries Advisory Committee 

Act, the Secretary shall establish 6 regions within the American 

Fisheries Advisory Committee as follows: 

(A) Region 1 shall consist of Alaska, Hawaii, the Commonwealth of the Northern Mariana Islands, and the Territories of Guam and American Samoa. 

(B) Region 2 shall consist of Maine, New Hampshire, 

Massachusetts, Rhode Island, and Connecticut. 

(C) Region 3 shall consist of Texas, Alabama, Louisiana, 

Mississippi, Florida, Arkansas, Puerto Rico, and territory 

of the Virgin Islands. 

(D) Region 4 shall consist of California, Washington, Oregon, and Idaho. 

(E) Region 5 shall consist of New Jersey, New York, 

Delaware, Maryland, Virginia, North Carolina, South 

Carolina, and Georgia. 

(F) Region 6 shall consist of Michigan, Minnesota, Wisconsin, Illinois, Indiana, Ohio, and Pennsylvania. 

(3) MEMBERSHIP.—The Committee shall be composed of the 

following members: 

(A) REGIONAL REPRESENTATION.—Each of the regions 

listed in subparagraphs (A) through (F) of paragraph (2) 

shall be represented on the Committee by 3 members— 

(i) who are appointed by the Secretary; 

(ii) who reside in a State or territory in the region 

that the member will represent; 

(iii) of which— 

(I) one shall have experience as a seafood harvester; 

(II) one shall have experience as a processor; and 


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(III) one shall have experience as a recreational 

fisher; and 

(iv) that are selected so that the members of the Committee have experience or expertise with as many seafood species as practicable. 

(B) AT-LARGE MEMBERS.—The Secretary shall appoint to 

the Committee at-large members to ensure that the Committee fairly reflects the expertise and interest of the fishing 

community located in each region, as follows: 

(i) One individual with experience in mass market 

food distribution. 

(ii) One individual with experience in mass market 

food retail or food service. 

(iii) One individual with experience in the marketing 

of seafood. 

(iv) One individual with experience in growing seafood. 

(v) One individual with experience as a recreational 

fisher. 

(vi) One individual who is an employee of the National Marine Fisheries Service with expertise in fisheries research. 

(vii) One individual that represents the fisheries 

science community. 

(4) MEMBER TERMS.—The term for a member of the Committee shall be 3 years, except that the Secretary shall designate 

staggered terms for the members initially appointed to the Committee. 

(5) RESPONSIBILITIES.—The Committee shall be responsible 

for— 

(A) identifying needs of the fishing community that may 

be addressed by a project funded with a grant under subsection (c); 

(B) developing the request for proposals for such grants; 

(C) reviewing applications for such grants; and 

(D) selecting applications for approval under subsection 

(c)(2)(B). 

(6) CHAIR.—The Committee shall elect a chair by a majority 

of those voting, if a quorum is present. 

(7) QUORUM.—A simple majority of members of the Committee shall constitute a quorum, but a lesser number may hold 

hearings. 

(8) MEETINGS.— 

(A) FREQUENCY.—The Committee shall meet not more 

than 2 times each year. 

(B) LOCATION.—The meetings of the Committee shall rotate between the geographic regions described under paragraph (2). 

(9) STAFF.—The Committee may employ staff as necessary. 

(10) PER DIEM AND EXPENSES AND FUNDING.— (A) IN GENERAL.—A member of the Committee shall serve 

without compensation, but shall be reimbursed in accordance with section 5703 of title 5, United States Code, for 

reasonable travel costs and expenses incurred in performing 

duties as a member of the Committee. 


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(B) FUNDING.—The reimbursements made under subparagraph (A) shall be paid with the funds made available 

for grants under subsection (c). 

(11) CONFLICT OF INTEREST.—The conflict of interest and 

recusal provisions set out in section 302(j) of the Magnuson-Stevens Fishery Conservation and Management Act (16 U.S.C. 

1852(j)) shall apply to any decision by the Committee and to all 

members of the Committee as if each member of the Committee 

is an affected individual within the meaning of such section 

302(j), except that in addition to the disclosure requirements of 

section 302(j)(2)(C) of such Act, (16 U.S.C. 1852(j)(2)(C)), each 

member of the Committee shall disclose any financial interest 

or relationship in an organization or with an individual that 

is applying for a grant under subsection (c) held by the member 

of the Committee, including an interest as an officer, director, 

trustee, partner, employee, contractor, agent, or other representative. 

Æ 


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