Federal Register / Vol. 76, No. 77 / Thursday, April 21, 2011 / Proposed Rules 22345 

DEPARTMENT OF COMMERCE 

National Oceanic and Atmospheric 

Administration 

50 CFR Part 622 

[Docket No. 110321211–1234–01] 

RIN 0648–BA94 

Fisheries of the Caribbean, Gulf of 

Mexico, and South Atlantic; Reef Fish 

Fishery of the Gulf of Mexico; Gag 

Grouper Management Measures 

AGENCY: National Marine Fisheries 

Service (NMFS), National Oceanic and 

Atmospheric Administration (NOAA), 

Commerce. 

ACTION: Proposed temporary rule; 

request for comments. 

SUMMARY: This proposed temporary rule 

would replace a temporary rule made 

effective January 1, 2011, and 

implement interim measures to reduce 

overfishing of gag in the Gulf of Mexico 

(Gulf). This rule would reduce the 

commercial quota for gag and, thus, the 

combined commercial quota for 

shallow-water grouper species (SWG), 

and establish a 2-month recreational 

season for gag. This rule would also 

suspend red grouper multi-use 

allocation in the Gulf grouper and 

tilefish individual fishing quota (IFQ) 

program, as recommended by the Gulf 

of Mexico Fishery Management Council 

(Council). The intended effect of this 

proposed rule is to reduce overfishing of 

the gag resource in the Gulf. 

DATES: Written comments must be 

received on or before May 6, 2011. 

ADDRESSES: You may submit comments 

on the proposed rule identified by 

NOAA–NMFS–2011–0072 by any of the 

following methods: 

• Electronic submissions: Submit 

electronic comments via the Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments. 

• Mail: Peter Hood, Southeast 

Regional Office, NMFS, 263 13th 

Avenue South, St. Petersburg, FL 33701. 

Instructions: All comments received 

are a part of the public record and will 

generally be posted to http:// 

www.regulations.gov without change. 

All Personal Identifying Information (for 

example, name, address, etc.) 

voluntarily submitted by the commenter 

may be publicly accessible. Do not 

submit Confidential Business 

Information or otherwise sensitive or 

protected information. 

NMFS will accept anonymous 

comments (enter N/A in the required 

field if you wish to remain anonymous). 

You may submit attachments to 

electronic comments in Microsoft Word, 

Excel, WordPerfect, or Adobe PDF file 

formats only. 

Comments received through means 

not specified in this rule will not be 

considered. 

Copies of documents supporting this 

proposed rule, which include a draft 

environmental assessment and an initial 

regulatory flexibility analysis (IRFA), 

may be obtained from Peter Hood, 

Southeast Regional Office, NMFS, 263 

13th Avenue South, St. Petersburg, FL 

33701 or on the Southeast Regional 

Office Web site at http:// 

sero.nmfs.noaa.gove/sf/pdfs/ 

draft_EA_2011_gag_interim_rule.pdf. 

FOR FURTHER INFORMATION CONTACT: 

Peter Hood, telephone: 727–824–5305 or 

e-mail: Peter.Hood@noaa.gov. 

SUPPLEMENTARY INFORMATION: The reef 

fish fishery of the Gulf of Mexico is 

managed under the Fishery 

Management Plan for the Reef Fish 

Resources of the Gulf of Mexico (FMP). 

The FMP was prepared by the Council 

and is implemented through regulations 

at 50 CFR part 622 under the authority 

of the Magnuson-Stevens Fishery 

Conservation and Management Act 

(Magnuson-Stevens Act). 

Background 

The Magnuson-Stevens Act requires 

NMFS and regional fishery management 

councils to prevent overfishing and 

achieve, on a continuing basis, the 

optimum yield (OY) from federally 

managed fish stocks. These mandates 

are intended to ensure fishery resources 

are managed for the greatest overall 

benefit to the nation, particularly with 

respect to providing food production 

and recreational opportunities, and 

protecting marine ecosystems. 

Through Amendment 30B to the FMP 

and its implementing regulations, which 

became effective on May 18, 2009 (74 

FR 17603, April 16, 2009), the Council 

and NMFS set the commercial quota for 

gag at 1.49 million lb (0.68 million kg), 

and the SWG quota at 7.65 million lb 

(4.47 million kg). That rule also 

established annual catch limits and 

accountability measures for commercial 

and recreational gag, red grouper and 

SWG; increased the commercial quota 

for red grouper; removed the 

commercial closed season for SWG; 

established an incidental bycatch 

allowance trip limit for gag and red 

grouper; reduced the commercial 

minimum size limit for red grouper; 

reduced the gag bag limit and aggregate 

grouper bag limit; increased the red 

grouper bag limit; extended the closed 

season for recreational SWG; eliminated 

the end date for the Madison-Swanson 

and Steamboat Lumps marine reserves; 

and required that federally permitted 

reef fish vessels comply with the more 

restrictive of Federal or state reef fish 

regulations when fishing in state waters. 

In 2009, the Southeast Data, 

Assessment, and Review (SEDAR) 

process updated the stock assessment 

for gag. Based on that update 

assessment, NMFS informed the 

Council, in a letter dated August 11, 

2009, that gag are overfished and 

undergoing overfishing. In response to 

the update assessment, the Council 

began developing Amendment 32 to the 

FMP, which includes measures to end 

overfishing of gag and establish a 

rebuilding plan for the gag stock. 

In the course of developing 

management measures for Amendment 

32, the Council and NMFS discovered 

potential inconsistencies in the 

commercial and recreational estimates 

of gag discards, and how these data 

were used in the update assessment. 

Therefore, the Council requested NMFS 

implement interim measures for gag 

while it reassessed the gag update. 

Accordingly, NMFS published a 

temporary rule on December 1, 2010 

(75 FR 74650), which became effective 

January 1, 2011. That temporary rule, 

effective through May 31, 2011, reduced 

the commercial quota for gag to 100,000 

lb (45,359 kg), reduced the commercial 

SWG quota to 4.83 million lb (2.19 

million kg), suspended red grouper 

multi-use allocation in the Gulf grouper 

and tilefish individual fishing quota 

(IFQ) program, and prohibited the 

recreational harvest of gag. 

This proposed temporary rule would 

replace the existing temporary rule, and 

is based on the results of the rerun of 

the update assessment. This rule would 

(based on the original quotas 

implemented through Amendment 30B 

to the FMP) reduce the commercial 

quota for gag from 1.49 million lb (0.68 

million kg) to 430,000 lb (195,045 kg), 

reduce the commercial SWG quota from 

7.65 million lb (3.47 million kg) to 5.16 

million lb (2.34 million kg), suspend red 

grouper multi-use allocation in the Gulf 

grouper and tilefish IFQ program, and 

implement a recreational fishing season 

for gag from September 16 through 

November 15, with a 2-fish daily bag 

limit. If implemented, these measures 

would remain in effect for 180 days, 

with the possibility of extending them 

for another 186 days, unless amended 

by subsequent rulemaking. 

In relation to the temporary rule 

currently in effect, this proposed 

temporary rule would increase the 

commercial quota for gag by 330,000 lb 

(149,685 kg), increase the commercial 


jlentini on DSKJ8SOYB1PROD with PROPOSALS
22346 Federal Register / Vol. 76, No. 77 / Thursday, April 21, 2011 / Proposed Rules 

SWG quota by 330,000 lb (149,685 kg), 

continue the suspension of red grouper 

multi-use shares in the Gulf grouper and 

tilefish IFQ program, and implement a 

2-month recreational fishing season for 

gag. 

Status of Stock 

The rerun of the update assessment 

for gag was completed by the SEDAR 

update assessment review panel in 

December 2010. This rerun assessment 

addressed the problems the previous 

assessment had with gag discards, and 

was reviewed by the Council’s Scientific 

and Statistical Committee (SSC) in 

January 2011. The rerun of the update 

assessment indicated the gag stock is 

still undergoing overfishing. 

Based on the results of the rerun 

assessment, the SSC recommended an 

acceptable biological catch (ABC) for 

2011 of 1.58 million lb (0.72 million kg), 

which is greater than the ABC 

recommended by the SSC after the 2009 

update assessment. OY for 2011 would 

be the yield associated with FOY (the 

fishing mortality at OY), or 1.28 million 

lb (0.58 million kg). Given the allocation 

for gag is 39 percent for the commercial 

sector and 61 percent for the 

recreational sector, the commercial and 

recreational annual catch targets (ACTs) 

would be reduced to 500,000 lb 

(226,796 kg) and 780,000 lb (353,802 

kg), respectively, from their values 

implemented through the last 

Amendment, Amendment 30B to the 

FMP (74 FR 17603, April 16, 2009). 

Grouper and Tilefish IFQ Program 

The commercial sector is currently 

managed under an IFQ program 

implemented in January 2010. Under 

this program, each qualifying fisherman 

is allocated IFQ shares based on 

historical participation in the grouper 

and tilefish component of the Gulf reef 

fish fishery. To allow for flexibility and 

to reduce bycatch, at the beginning of 

each fishing year, a percentage of each 

fisherman’s gag and red grouper 

allocations are designated as multi-use 

allocations. The IFQ program designates 

4 percent of red grouper allocation and 

8 percent of gag allocation to multi-use 

allocation. Red grouper multi-use 

allocation may be used to harvest red 

grouper after all of an IFQ account 

holder’s (shareholder or allocation 

holder’s) red grouper allocation has 

been used or transferred, and to harvest 

gag after both gag and gag multi-use 

allocation has been used or transferred. 

However, the use of all the current red 

grouper multi-use allocations to harvest 

gag would account for approximately 40 

percent of the proposed gag quota and 

would likely lead to overfishing of gag. 

Accordingly, NMFS proposes to 

suspend red grouper multi-use 

allocation in the IFQ program. 

Management Measures Contained in 

This Proposed Rule 

At its April 2011 meeting, the Council 

requested that NMFS propose a new 

temporary rule to replace the existing 

temporary rule. This request was made 

after the State of Florida’s Fish and 

Wildlife Conservation Commission 

(FWC) voted at its April 2011 meeting 

to adopt compatible regulations with 

NMFS. This is because the management 

measures contained in this proposed 

temporary rule would only meet the 

reductions needed to reduce overfishing 

of gag if the State of Florida’s FWC 

adopts compatible regulations in state 

waters on June 1, 2011. 

To account for discard mortality, this 

temporary rule would reduce the 

commercial quota for gag to 430,000 lb 

(195,045 kg), which provides a 14- 

percent buffer from the 500,000-lb 

(226,796-kg) ACT. The additional quota 

of 330,000 lb (149,685 kg) from what 

fishermen were allocated at the 

beginning of the fishing year through 

the temporary rule currently in effect 

100,000 lb (45,359 kg), would be 

released to IFQ participants on the 

effective date of the temporary rule. IFQ 

participants would have the opportunity 

to fish their additional allocation 

through the rest of the fishing year. 

In order to harmonize the commercial 

quota for SWG with the commercial 

quota for gag, this proposed rule would 

set the commercial SWG quota at 5.16 

million lb (2.34 million kg). 

This temporary rule would also 

suspend red grouper multi-use 

allocations to ensure the gag commercial 

quota is not exceeded. This action does 

not reduce the overall red grouper 

allocation, but will prohibit the 

conversion of red grouper multi-use 

allocation that could lead to additional 

gag landings. Red grouper multi-use 

allocation will be addressed further in 

Amendment 32 to the FMP. 

This temporary rule would establish a 

recreational gag fishing season from 

September 16 through November 15, 

2011. The needed reductions in gag are 

between 48 and 62 percent to end 

overfishing, and between 58 to 69 

percent to reduce the harvest consistent 

with FOY. The Southeast Regional Office 

developed a decision model to evaluate 

different management scenarios. This 

model allowed the Council to vary 

season length and evaluate the effects of 

trip type, effort shifting, size limits, bag 

limits, release mortality rates, and 

Florida state regulation compatibility. 

To end overfishing of gag, the Council 

recommended a 2-month fall 

recreational fishing season, with no 

change to the bag limit (2 fish daily) or 

size limit (22 inches (56 cm)). The 

Council considered other seasons; 

however, these seasons were either 

shorter in length, would result in 

additional dead discards, or did not 

meet the needed reductions in gag 

mortality. 

Future Action 

NMFS has determined that this 

proposed temporary rule is necessary to 

reduce overfishing of gag in the Gulf of 

Mexico. NMFS will consider all public 

comments received on this proposed 

rule in determining whether to proceed 

with a final rule and, if so, whether any 

revisions would be appropriate in the 

final rule. If NMFS issues a final rule, 

it would be effective for not more than 

180 days after publication, as authorized 

by section 305(c) of the MagnusonStevens Act. The final rule could be 

extended for an additional 186 days, 

provided that the public has had an 

opportunity to comment on the rule. 

NMFS acknowledges the need to 

continue monitoring all sources of gag 

mortality to determine the appropriate 

level of future actions necessary to 

ensure progress consistent with the 

stock rebuilding plan over the long 

term. 

Classification 

Pursuant to section 304(b)(1)(A) of the 

Magnuson-Stevens Act, the NMFS 

Assistant Administrator has determined 

that this proposed temporary rule is 

consistent with the Magnuson-Stevens 

Act and other applicable law, subject to 

further consideration after public 

comment. 

This proposed temporary rule has 

been determined to be not significant for 

purposes of Executive Order 12866. 

NMFS prepared an IRFA, as required 

by section 603 of the Regulatory 

Flexibility Act, for this proposed rule. 

The IRFA describes the economic 

impact that this proposed rule, if 

adopted, would have on small entities. 

A description of the action, why it is 

being considered, and the objectives of, 

and legal basis for this action are 

contained at the beginning of this 

section in the preamble and in the 

SUMMARY section of the preamble. A 

copy of the full analysis is available 

from NMFS (see ADDRESSES). A 

summary of the IRFA follows. 

The Magnuson-Stevens Act provides 

the statutory basis for this proposed 

temporary rule. No duplicative, 

overlapping, or conflicting Federal rules 

have been identified. The preamble of 

this proposed rule provides a statement 


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Federal Register / Vol. 76, No. 77 / Thursday, April 21, 2011 / Proposed Rules 22347 

of the need for and objectives of this 

rule, and it is not repeated here. 

This proposed temporary rule is 

expected to directly affect commercial 

harvesting and for-hire operations. The 

Small Business Administration (SBA) 

has established size criteria for all major 

industry sectors in the U.S., including 

fish harvesters. A business involved in 

fish harvesting is classified as a small 

business if it is independently owned 

and operated, is not dominant in its 

field of operation (including its 

affiliates), and has combined annual 

receipts not in excess of $4.0 million 

(NAICS code 114111, finfish fishing) for 

all its affiliated operations worldwide. 

For for-hire vessels, the other qualifiers 

apply and the receipts threshold is $7.0 

million (NAICS code 713990, 

recreational industries). 

This proposed temporary rule is 

expected to directly affect commercial 

fishing vessels whose owners possess 

gag fishing quota shares and for-hire 

fishing vessels that harvest gag. As of 

October 1, 2009, 970 entities owned a 

valid commercial Gulf reef fish permit 

and thus were eligible for initial shares 

and allocation in the grouper and 

tilefish IFQ program. Of these 970 

entities, 908 entities initially received 

shares and allocation of grouper or 

tilefish, and 875 entities specifically 

received gag shares and an initial 

allocation of the commercial sector’s gag 

quota in 2010. These 875 entities are 

expected to be directly affected by the 

actions to reduce the commercial quota 

for gag and prohibit the conversion of 

red grouper allocation to multi-use 

allocation. 

Of the 875 entities that initially 

received gag shares, 215 were not 

commercially fishing in 2008 or 2009, 

and thus had no commercial fishing 

revenue during these years. On average, 

these 215 entities received an initial 

allocation of 874 lb (397 kg) of gag in 

2010. Eight of these 215 entities also 

received a bottom longline endorsement 

in 2010. These 8 entities received a 

much higher initial allocation of gag in 

2010, with an average of 3,139 lb (1,427 

kg). 

The other 660 entities that initially 

received gag shares and allocations in 

2010 were active in commercial 

fisheries in 2008 or 2009. The maximum 

annual commercial fishing revenue in 

2008 or 2009 by an individual vessel 

with commercial gag fishing quota 

shares was approximately $606,000 

(2008 dollars). 

The average charterboat is estimated 

to earn approximately $88,000 (2008 

dollars) in annual revenue, while the 

average headboat is estimated to earn 

approximately $461,000 (2008 dollars). 

Based on these values, all commercial 

and for-hire fishing vessels expected to 

be directly affected by this proposed 

temporary rule are determined for the 

purpose of this analysis to be small 

business entities. 

Of the 660 commercial fishing vessels 

with commercial landings in 2008 or 

2009, 139 vessels did not have any gag 

landings in 2008 or 2009. Their average 

annual gross revenue in these 2 years 

was approximately $50,800 (2008 

dollars). The vast majority of these 

vessels’ commercial fishing revenue is 

from a combination of snapper, 

mackerel, dolphin, and wahoo landings. 

On average, in 2010, these vessels 

received an initial allocation of 540 lb 

(245 kg) of gag quota. 

The remaining 521 commercially 

active fishing vessels did have landings 

of gag in 2008 or 2009. Over that 2-year 

period, these vessels averaged 

approximately $71,000 (2008 dollars) in 

annual gross revenue from commercial 

fishing. On average, these vessels had 

2,375 lb (1,080 kg) and 1,300 lb (591 kg) 

of gag landings in 2008 and 2009, 

respectively, or 1,835 lb (834 kg) 

between the 2 years. Gag landings 

accounted for approximately 8 percent 

of these vessels’ annual average gross 

revenue, and thus they are somewhat, 

though not significantly, dependent on 

revenue from gag landings. These 

vessels’ average initial gag allocation in 

2010 was 2,121 lb (964 kg). Therefore, 

on average, their 2008 gag landings were 

very near their 2010 gag allocation, but 

their 2009 gag landings were 

considerably less than their 2010 

allocation. 

Of these 521 vessels, 52 vessels also 

received a bottom longline endorsement 

in 2010. These particular vessels’ 

average annual revenue was 

approximately $156,000 (2008 dollars) 

in 2008 and 2009. Revenue from gag 

landings decreased from approximately 

$15,900 to $8,400 in 2009, and thus they 

became relatively less dependent on gag 

landings. These vessels, however, are 

highly dependent on revenue from red 

grouper landings, which accounted for 

54 percent and 47 percent of their gross 

revenue in 2008 and 2009, respectively. 

Revenue from deep-water grouper 

(DWG) landings decreased only slightly, 

from approximately $36,000 in 2008 to 

$31,000 in 2009, and thus these vessels 

became relatively more dependent on 

revenue from DWG landings. Their 

average initial 2010 allocation of gag 

was approximately 5,507 lb (2,503 kg), 

while their average gag landings were 

3,933 lb (1,788 kg) and 2,204 lb (1,002 

kg) in 2008 and 2009, respectively. 

Thus, vessels that now have a bottom 

longline endorsement have been 

harvesting well below that allocation in 

recent years, particularly in 2009. 

The for-hire fleet is comprised of 

charter vessels, which charge a fee on a 

vessel basis, and headboats, which 

charge a fee on an individual angler 

(head) basis. The harvest of gag in the 

exclusive economic zone (EEZ) by forhire vessels requires a charter vessel/ 

headboat permit for Gulf reef fish. On 

March 23, 2010, there were 1,376 valid 

or renewable for-hire Gulf reef fish 

permits. A valid permit is a non-expired 

permit. Expired reef fish for-hire 

permits may not be actively fished, but 

are renewable for up to 1 year after 

expiration. Because of the extended 

permit renewal period, numerous 

permits may be expired but still 

renewable at any given time of the year 

during the renewal period after the 

permit’s expiration. The majority (823, 

or approximately 60 percent) of the 

1,376 valid or renewable permits were 

registered with Florida addresses. The 

registration address for the Federal 

permit does not restrict operation to 

Federal waters off that state; however, 

vessels would be subject to any 

applicable state permitting 

requirements. Although the permit does 

not distinguish between headboats and 

charter vessels, it is estimated that 79 

headboats operate in the Gulf. The 

majority of these vessels (43, or 

approximately 54 percent) operate from 

Florida ports. Given that nearly 99 

percent of target effort for gag and 97 

percent of the economic impacts from 

the recreational sector for gag in the 

Gulf reef fish fishery are in west Florida, 

it is assumed that the 823 for-hire 

vessels (780 charter vessels and 43 

headboats) in Florida are expected to be 

directly affected by the proposed action 

to establish a recreational gag fishing 

season of September 16, 2011 through 

November 15, 2011. 

The 215 entities with gag shares that 

did not participate in commercial 

fishing in 2008 or 2009 have no 

commercial fishing revenue and did not 

earn profit from commercial fishing in 

those 2 years. The action to decrease the 

commercial quota for gag from 1.49 

million lb (0.68 million kg) to 0.43 

million lb (0.20 million kg) would 

reduce these vessels’ average allocation 

of gag in 2011 from 952 lb (433 kg) to 

275 lb (125 kg), or by approximately 677 

lb (308 kg). Using the average 2008 price 

of $3.52 per pound, this loss in 

allocation could potentially represent a 

loss of nearly $2,400 (2008 dollars) in 

gross revenue per entity. Using the 2010 

average price of $1.00 per pound of gag 

allocation, this loss in allocation could 

potentially represent a loss of $670 

(2008 dollars) in net revenue per entity. 


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22348 Federal Register / Vol. 76, No. 77 / Thursday, April 21, 2011 / Proposed Rules 

For eight of these 215 entities that also 

possess longline endorsements, their 

average allocation of gag in 2011 would 

be reduced from 3,418 lb (1,554 kg) to 

987 lb (449 kg), or by 2,431 lb (1,105 kg). 

Thus, their potential loss in gross 

revenue and net revenue, estimated to 

be nearly $8,600 and $2,500 (2008 

dollars), respectively, are expected to be 

somewhat higher. 

However, in general, these potential 

losses in gross revenue and net revenue 

would only be realized if these 215 

entities not only become active in 

commercial fishing, but also specifically 

intend to harvest gag in 2011 at a level 

above their reduced allocation. That is, 

a reduction in allocation can only lead 

to a reduction in landings, and thus 

gross revenue, if these entities intend to 

harvest at levels above their reduced 

allocation. Alternatively, these losses in 

gross and net revenue could be due to 

these entities’ inability to sell the 

allocations they are losing under the 

proposed action, though this possibility 

presumes that a demand for these 

allocations exists. Regardless, the 

significance of these potential losses in 

gross and net revenue to these 215 

entities cannot be evaluated given the 

lack of information on potential gross 

revenue, net revenue, and profits from 

commercial fishing in general and 

specifically for gag. 

Similarly, the 139 entities with gag 

shares that participated in commercial 

fisheries other than gag earned 

approximately $50,800 in annual gross 

revenue on average in 2008 and 2009. 

Profit estimates for these vessels are not 

currently available. However, because 

they did not have any gag landings, 

none of their gross revenue and thus 

none of their potential profits were the 

result of gag harvests. Under the 

proposed action, their average allocation 

of gag in 2011 would be reduced from 

588 lb (267 kg) to 170 lb (77 kg), or by 

418 lb (190 kg). Using the average 2008 

price of $3.52 per pound, this loss in 

allocation could potentially represent a 

loss of nearly $1,500 (2008 dollars) in 

gross revenue per entity. Using the 2010 

average price of $1.00 per pound of gag 

allocation, this loss in allocation could 

potentially represent a loss of 

approximately $410 (2008 dollars) in 

net revenue per entity. 

However, these potential losses in 

gross and net revenue could only lead 

to a loss in profits if these 139 entities 

intend to commercially harvest gag in 

2011 at a level above their reduced 

allocation. That is, a reduction in 

allocation can only lead to a reduction 

in landings if these entities intend to 

harvest at levels above their reduced 

allocation. Thus, for example, if these 

vessels intended to harvest gag in 2011 

at a level equivalent to their 2011 

allocation, and this harvest was in 

addition to, rather than in place of, their 

recent commercial fishing activities, the 

reduction in allocation could lead to a 

maximum loss of approximately 3 

percent in gross revenue, which could 

in turn reduce net revenue and profits. 

Alternatively, losses in gross and net 

revenue could be due to these entities’ 

inability to sell the allocations being lost 

under the proposed action, though this 

possibility presumes that a demand for 

these allocations exists. 

The 521 entities with gag shares that 

commercially harvested gag in 2008 or 

2009 earned approximately $71,000 

(2008 dollars) in annual gross revenue 

on average in 2008 and 2009. Profit 

estimates for these vessels are not 

currently available. However, gag 

landings accounted for approximately 8 

percent of these vessels’ annual average 

gross revenue, and thus they are 

somewhat but not significantly 

dependent on revenue from gag 

landings. Under the proposed action, 

these vessels’ gag allocations would be 

reduced from 2,310 lb (1,050 kg) to 667 

lb (303 kg), or 1,643 lb (747 kg) on 

average. As these vessels have been 

harvesting at levels near their 2010 

allocation in recent years on average, 

this reduction in gag allocation is likely 

to lead to an equivalent reduction in gag 

landings and therefore gross revenue. 

Using the average 2008 price of $3.52 

per pound, it is estimated that these 

vessels could lose nearly $5,800 (2008 

dollars), or approximately 8 percent, in 

annual gross revenue on average. Using 

the 2010 average price of $1.00 per 

pound of gag allocation, under the 

proposed temporary rule these vessels 

would lose approximately $1,600 (2008 

dollars) in net revenue per entity. Since 

net revenue is assumed to be 

representative of profits for commercial 

vessels, these vessels are expected to 

experience a reduction in profits. 

However, 52 of these 521 vessels also 

received a bottom longline endorsement 

in 2010. These particular vessels’ 

average annual gross revenue was 

approximately $156,000 (2008 dollars) 

in 2008 and 2009, with gag landings 

accounting for approximately 8 percent 

of that gross revenue. These vessels are 

highly dependent on revenue from red 

grouper rather than gag landings. Under 

the proposed action, their allocation of 

gag in 2011 would decrease from 6,215 

lb (2,825 kg) to 1,953 lb (888 kg), or by 

4,262 lb (1,937 kg). As these vessels 

have been harvesting at levels near their 

2010 allocation in recent years on 

average, this reduction in gag allocation 

is likely to lead to an equivalent 

reduction in gag landings and therefore 

gross revenue. Using the average 2008 

price of $3.52 per pound, it is estimated 

that these vessels could lose $15,000 

(2008 dollars), or nearly 10 percent, in 

annual gross revenue on average. Using 

the 2010 average price of $1.00 per 

pound of gag allocation, these vessels 

would lose approximately $4,200 (2008 

dollars) in net revenue per entity. Since 

net revenue is assumed to be 

representative of profits for commercial 

vessels, these vessels are expected to 

experience a reduction in profits. 

No additional economic effects would 

be expected to result from the revised 

SWG quota because the updated SWG 

quota simply reflects the reduction in 

the commercial gag quota, the effects of 

which have already been discussed. 

Under the action to suspend the 

conversion of red grouper allocation 

into multi-use allocation valid toward 

the harvest of red grouper or gag, 

minimal adverse economic effects are 

expected as a result of commercial 

fishing entities not being allowed to 

convert 4 percent of their red grouper 

allocation into multi-use allocation. 

Multi-use allocation that has been 

converted from red grouper allocation 

can only be used to possess, land, or sell 

gag after an entity’s gag and gag multiuse allocation has been landed, sold, or 

transferred. As a result of the proposed 

reduction in the commercial gag quota, 

it is likely these entities will exhaust 

their gag and gag multi-use allocations 

relatively quickly. Gross revenue from 

gag landings is greater than gross 

revenue from an equivalent amount of 

red grouper landings, since gag 

commands a relatively higher market 

price. Thus, gross revenue from 

commercial fishing revenue and, 

therefore, profit per vessel could be 

slightly less than if the multi-use 

conversion were allowed to continue. 

Net operating revenues (NOR) are 

assumed to be representative of profit 

for for-hire vessels. It is assumed that 

823 for-hire vessels, 780 charter vessels, 

and 43 headboats, participate in the 

recreational gag component of the Gulf 

reef fish fishery. Estimates of NOR from 

recreational fisheries other than gag, and 

thus across all fisheries in which these 

charter vessels and headboats 

participate, are not currently available. 

However, on average, NOR for charter 

vessels from trips targeting gag are 

estimated to be approximately $1.56 

million per year, while NOR for 

headboats from trips targeting gag are 

estimated to be $91,300 per year. NOR 

for all trips targeting gag are estimated 

to be approximately $1.65 million per 

year. The average annual NOR from 

trips targeting gag are estimated to be 


jlentini on DSKJ8SOYB1PROD with PROPOSALS
Federal Register / Vol. 76, No. 77 / Thursday, April 21, 2011 / Proposed Rules 22349 

$2,000 per charter vessel and $2,124 per 

headboat. 

When the length of the recreational 

gag season is reduced and the daily bag 

limit for gag set at zero, some trips that 

formerly targeted gag will instead target 

other species, while other trips that 

formerly targeted gag will be cancelled. 

Assuming the NOR per trip is constant 

regardless of the species targeted, forhire operators will only lose NOR from 

trips cancelled as a result of the 

shortened season length. Information 

regarding the number of trips cancelled 

as a result of the shortened season is not 

currently available. Thus, this analysis 

assumes all of the current for-hire trips 

targeting gag will be cancelled when the 

recreational sector is closed. Because 

some of these trips would probably not 

be cancelled, this assumption is 

expected to overestimate the actual 

reduction in NOR associated with a 

shorter season. Thus, the following 

estimates of losses in NOR and profit for 

charter vessels and headboats should be 

considered maximum values. 

Under the proposed action to 

establish a recreational gag fishing 

season of September 16, 2011– 

November 15, 2011, the losses in NOR 

from trips targeting gag for charter 

vessels and headboats are estimated to 

be approximately $435,000 and $28,000, 

respectively, and thus NOR for all trips 

targeting gag is estimated to be 

approximately $463,000 if this proposed 

temporary rule is not extended for up to 

186 days as allowed under the 

Magnuson-Stevens Act for interim 

measures. The losses in NOR from trips 

targeting gag are estimated to be $560 

and $660 per charter vessel and 

headboat, respectively. These NOR 

losses represent a loss in profit from 

trips targeting gag of approximately 28 

percent and 31 percent per charter 

vessel and headboat, respectively. 

However, if this proposed temporary 

rule is extended, the losses in NOR for 

charter vessels and headboats are 

estimated to be approximately $1.41 

million and $81,800, respectively. Thus, 

the losses in NOR are estimated to be 

$1,808 and $1,902 per charter vessel 

and headboat, respectively. These losses 

in NOR represent a loss in profit from 

trips targeting gag of approximately 75 

percent and 65 percent per charter 

vessel and headboat, respectively. 

This proposed action is not expected 

to affect profit from trips not targeting 

gag for charter vessels and headboats. 

For-hire vessel dependence on fishing 

for individual species cannot be 

determined with available data. 

Although some for-hire vessels are 

likely more dependent on trips that 

target gag than other for-hire vessels, 

overall, about three percent of for-hire 

anglers are estimated to target gag. As a 

result, while the action would be 

expected to substantially affect the NOR 

derived from gag trips, overall, gag trips 

do not comprise a substantial portion of 

total for-hire trips nor would they, by 

extension, be expected to account for a 

substantial portion of total for-hire NOR. 

Two alternatives, including the status 

quo, were considered for the action to 

set the gag commercial quota at 430,000 

lb (0.20 million kg). The first alternative, 

the status quo, would have maintained 

the gag commercial quota at 1.49 

million lb (0.68 million kg). This 

alternative is not consistent with the 

goals and objectives of the Council’s 

plan to manage gag to achieve the 

mandates of the Magnuson-Stevens Act. 

Specifically, selection of this alternative 

would be inconsistent with current 

National Standard 1 guidance because 

the commercial quota would be above 

the commercial ACT of 500,000 lb 

(226,796 kg), which is based on the 

Council’s defined FOY yield of 1.28 

million lb (0.58 million kg) for 2011. In 

addition, this alternative would promote 

overfishing and slow recovery of the 

stock. 

The second alternative would have set 

the gag commercial quota at 100,000 lbs 

(45,539 kg). This alternative is based on 

the request made by the Council in 

August 2010 for the interim rule that 

published December 1, 2010, and 

reflects the uncertainty in the stock 

status at that time due to questions 

regarding how commercial and 

recreational discards were treated in the 

assessment update. When this 

commercial quota was recommended, it 

was unknown how revisions to the 

treatment of discards might influence 

the rerun of the updated stock 

assessment. If the rerun of the updated 

assessment yielded a more pessimistic 

condition of the stock, then setting the 

harvest based on the FOY yield, 

estimated then at 390,000 lb (177,273 

kg), would not reduce overfishing 

sufficiently to allow the stock to begin 

to recover within the maximum time 

frame allowed under the MagnusonStevens Act. The 100,000 lb (45.539 kg) 

commercial quota was recommended 

because some gag are expected be 

incidentally caught by the commercial 

sector while fishing for other species. 

Further, most discarded gag die after 

being released due to the high discard 

mortality rate associated with fishing at 

deeper depths. Rather than waste all of 

these fish, the Council set the quota at 

a level that would allow some fish to be 

retained and thus would also be 

counted towards the commercial quota. 

As of March 2, 2011, over 65 percent 

of the gag IFQ shareholders have less 

than 50 lb (23 kg) in allocation still 

available to them. Thus, if the 

commercial quota is not set at a level 

above 100,000 lb (45,539 kg), 

commercially caught gag would likely 

be lost through dead discards rather 

than kept and counted towards the 

commercial quota as fishermen run out 

of allocation. However, the rerun of the 

updated assessment showed a slight 

increase in the projected yields under 

the FOY if the State of Florida adopted 

compatible regulations for the 

recreational sector. Because the State of 

Florida has adopted compatible 

regulations for the recreational sector, a 

higher commercial quota is allowable. 

One alternative was considered for 

the action to suspend the ability of 

allocation holders to convert red 

grouper allocation into multi-use 

allocation valid toward the harvest of 

red grouper or gag. This alternative 

would continue to allow 4 percent of 

the red grouper allocation to be 

converted into multi-use allocation. 

This alternative is expected to result in 

gag harvests that would exceed 

specified annual catch limits, promote 

overfishing, and therefore, slow 

recovery of the stock, contrary to the 

Council’s objectives. Further, this 

alternative is also expected to result in 

greater adverse economic effects 

stemming from the corrective measures 

that would be implemented to address 

the over-harvesting of gag. 

Three alternatives, including the 

status quo, were considered for the 

action to establish a recreational fishing 

season for gag of September 16, 2011, 

through November 15, 2011. The first 

alternative, the status quo, would 

maintain the recreational ACT at 2.20 

million lb (1 million kg) and anglers 

would be able to harvest the 2-fish daily 

bag limit for gag starting June 1, 2011. 

Depending on whether 2006–08 or 2009 

is used as the baseline, the estimated 

reduction in removals under this 

alternative would be between 15 percent 

and 20 percent, which is insufficient to 

allow the stock to rebuild, and would be 

inconsistent with the stock rebuilding 

plan being developed by the Council. In 

addition, this alternative is inconsistent 

with the Magnuson-Stevens Act and 

current National Standard 1 guidance 

because the expected level of harvest 

would be above the recreational annual 

catch target of 780,000 lb (353,802 kg), 

which is based on the Council’s defined 

FOY yield of 1.28 million lb (0.58 

million kg) for 2011. Further, this 

alternative would promote overfishing 

and slow recovery of the stock. 


jlentini on DSKJ8SOYB1PROD with PROPOSALS
22350 Federal Register / Vol. 76, No. 77 / Thursday, April 21, 2011 / Proposed Rules 

The second alternative would set the 

gag bag limit to zero and thereby 

prohibit the recreational harvest of gag. 

When the Council requested the current 

temporary rule, it intended to allow 

some recreational harvest of gag in 2011 

and establish that level of harvest under 

the long-term management measures 

being developed in Amendment 32. 

However, because the rerun of the 

updated assessment was not completed 

and reviewed until January 2011, there 

is insufficient time to implement 

measures from Amendment 32 early 

enough in 2011 to meet the Council’s 

intent. 

The second alternative is the most 

conservative alternative. This 

alternative would reduce fishing 

mortality the most out of all the 

considered alternatives and therefore 

generate the greatest biological benefits 

to the gag stock. Although this 

alternative would not allow the 

recreational harvest of gag while the 

proposed interim rule is in effect, the 

number of dead discards would be 

reduced because no recreational fishing 

trips would be expected to target or be 

directed at gag. Because Florida adopted 

compatible regulations, this alternative 

would reduce the harvest sufficiently in 

2011 to be consistent with the Council’s 

rebuilding plan in Amendment 30B, as 

it would reduce removals between 58 

percent and 67 percent and, as such, 

end overfishing. If Florida had not 

adopted compatible regulations, the 

estimated reduction in removals would 

be between 43 percent and 61 percent, 

which would reduce but might not be 

sufficient to end overfishing. 

The third alternative would establish 

a recreational fishing season for gag of 

July 1, 2011, through August 15, 2011, 

and thus would allow for some 

recreational harvest of gag in 2011 as the 

Council intended when it requested the 

current interim rule. This alternative 

would establish a 46-day recreational 

fishing season, which is less than the 

61-day season under the proposed 

action. This alternative also minimally 

overlaps with the red snapper season, 

which begins on June 1. This alternative 

would provide for-hire vessels with a 

greater number of options when 

marketing summer trips. The expected 

reduction in removals under this 

alternative is between 49 percent and 60 

percent, and therefore might be 

sufficient to end overfishing. 

The Council heard public testimony 

regarding potential recreational seasons 

for gag at its February 2011 meeting. 

Participants in the recreational sector 

asked for either a summer or winter 

season depending on their geographic 

location. In general, recreational 

participants from Texas, southwest 

Florida, and central Florida favored a 

winter season, while recreational 

participants from other areas of the Gulf 

favored a summer season. In looking for 

a compromise, the Council 

recommended the proposed recreational 

season with no changes to the bag limit 

or size limit. The proposed recreational 

season would cover the end of the 

summer recreational fishing season and 

run through the beginning of the winter 

recreational fishing season. In addition, 

the estimated reductions in removals 

under the proposed recreational season 

are between 50 percent and 54 percent, 

which might be sufficient to end 

overfishing. 

This proposed temporary rule does 

not establish any new reporting, recordkeeping, or other compliance 

requirements. 

List of Subjects in 50 CFR Part 622 

Fisheries, Fishing, Puerto Rico, 

Reporting and recordkeeping 

requirements, Virgin Islands. 

Dated: April 18, 2011. 

Samuel D. Rauch III, 

Deputy Assistant Administrator for 

Regulatory Programs, National Marine 

Fisheries Service. 

For the reasons set out in the 

preamble, 50 CFR part 622 is proposed 

to be amended as follows: 

PART 622—FISHERIES OF THE 

CARIBBEAN, GULF, AND SOUTH 

ATLANTIC 

1. The authority citation for part 622 

continues to read as follows: 

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

§ 622.20 [Amended] 

2. In § 622.20, paragraph (b)(2)(iv)(A) 

is suspended. 

3. In § 622.34, paragraph (v) is 

removed and reserved and paragraph 

(w) is added to read as follows: 

§ 622.34 Gulf EEZ seasonal and/or area 

closures. 

* * * * * 

(w) Seasonal closure of the 

recreational sector for gag. The 

recreational sector for gag, in or from the 

Gulf EEZ, is closed from January 1 

through September 15 and November 16 

through December 31 each year. During 

the closure, the bag and possession limit 

for gag in or from the Gulf EEZ is zero. 

4. In § 622.42, paragraphs 

(a)(1)(iii)(A)(3) and (a)(1)(iii)(B)(3) are 

suspended and paragraphs 

(a)(1)(iii)(A)(4) and (a)(1)(iii)(B)(4) are 

added to read as follows: 

§ 622.42 Quotas. 

(a) * * * 

(1) * * * 

(iii) * * * 

(A) * * * 

(4) For fishing year 2011 and 

subsequent fishing years—5.16 million 

lb (2.34 million kg). 

(B) * * * 

(4) For fishing year 2011 and 

subsequent fishing years—430,000 lb 

(195,045 kg). 

* * * * * 

[FR Doc. 2011–9724 Filed 4–20–11; 8:45 am] 

BILLING CODE 3510–22–P 

DEPARTMENT OF COMMERCE 

National Oceanic and Atmospheric 

Administration 

50 CFR Part 648 

[Docket No. 110222150–1152–02] 

RIN 0648–BA92 

Fisheries of the Northeastern United 

States; Recreational Management 

Measures for the Summer Flounder, 

Scup, and Black Sea Bass Fisheries; 

2011 Scup Specifications; Fishing Year 

2011 

AGENCY: National Marine Fisheries 

Service (NMFS), National Oceanic and 

Atmospheric Administration (NOAA), 

Commerce. 

ACTION: Proposed rule; request for 

comments. 

SUMMARY: NMFS proposes two actions 

in this rulemaking: An increase to the 

previously implemented scup 

commercial and recreational landing 

allowances for 2011 (specifications) and 

management measures for the 2011 

summer flounder, scup, and black sea 

bass recreational fisheries. Inclusion of 

the proposed scup specification increase 

in this rulemaking is necessary to 

provide an opportunity for the public to 

comment on the revised 

recommendation from the Mid-Atlantic 

Fishery Management Council (Council) 

to increase the commercial and 

recreational scup landing allowances for 

2011. The recreational management 

measures are necessary to comply with 

the implementing regulations for these 

fisheries which require NMFS to 

publish recreational measures for the 

fishing year and to provide an 

opportunity for public comment. The 

intent of the scup increase is to permit 

greater commercial and recreational 

harvest opportunity while preventing 

overfishing on the scup stock. 

Recreational management measures are 


jlentini on DSKJ8SOYB1PROD with PROPOSALS