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[Federal Register Volume 69, Number 233 (Monday, December 6, 2004)]
[Proposed Rules]
[Pages 70414-70426]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-26724]

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DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

[Docket No. I.D. 041110317-4317; I.D. 110404B]
RIN 0648-AR51

50 CFR Part 648

Fisheries of the Northeastern United States; Summer Flounder, 
Scup, and Black Sea Bass Fisheries; 2005 and 2006 Summer Flounder 
Specifications; 2005 Scup and Black Sea Bass Specifications; 2005 
Research Set-Aside Projects

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

ACTION: Proposed rule; request for comments.

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SUMMARY: NMFS proposes specifications for the 2005 and 2006 summer 
flounder fisheries, and for the 2005 scup and black sea bass fisheries. 
The implementing regulations for the Fishery Management Plan for the 
Summer Flounder, Scup, and Black Sea Bass Fisheries (FMP) require NMFS 
to publish specifications for the upcoming fishing year for each of the 
species and to provide an opportunity for public comment. This proposed 
rule also would make changes to the regulations regarding the 
commercial scup fishery. The intent of this action is to establish 
harvest levels and other measures to attain the target fishing 
mortality rates (F) or exploitation rates specified for these species 
in the FMP, and to reducing bycatch and improve the efficiency of the 
commercial scup fishery. NMFS has conditionally approved three research 
projects for the harvest of the portion of the quota that has been 
recommended by the Mid-Atlantic Fishery Management Council (Council) to 
be set aside for research purposes. In anticipation of receiving 
applications for Experimental Fishing Permits (EFPs) to conduct this 
research, the Assistant Regional Administrator for Sustainable 
Fisheries, Northeast Region, NMFS (Assistant Regional Administrator), 
has made a preliminary determination that the activities authorized 
under the EFPs issued in response to the approved Research Set-Aside 
(RSA) projects would be consistent with the goals and objectives of the 
FMP. However, further review and consultation may be necessary before a 
final determination is made to issue any EFP.

DATES: Comments must be received on or before December 21, 2004.

ADDRESSES: Copies of the specifications document, including the 
Environmental Assessment, Regulatory Impact Review, and Initial 
Regulatory Flexibility Analysis (EA/RIR/IRFA) and other supporting 
documents for the specifications are available from Daniel Furlong, 
Executive Director, Mid-Atlantic Fishery Management Council, Room 2115, 
Federal Building, 300 South Street, Dover, DE 19901-6790. The 
specifications document is also accessible via the Internet at http://www.nero.nmfs.gov. Written comments on the proposed rule should be sent 
to Patricia A. Kurkul, Regional Administrator, NMFS, Northeast Regional 
Office, One Blackburn Drive, Gloucester, MA 01930. Mark the outside of 
the envelope ``Comments--Summer Flounder, Scup, and Black Sea Bass 
Specifications.'' Comments may also be sent via facsimile (fax) to 978-
281-9135, or via e-mail to the following address: [email protected]. 
Include in the subject line of the e-mail comment the following 
document identifier: ``Comments on Summer Flounder, Scup, and Black Sea 
Bass Specifications.'' Comments may also be submitted electronically 
through the Federal e-Rulemaking portal: http://www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Sarah McLaughlin, Fishery Policy 
Analyst, (978) 281-9279, fax (978) 281-9135.

SUPPLEMENTARY INFORMATION:

Background

    The summer flounder, scup, and black sea bass fisheries are managed 
cooperatively by the Atlantic States Marine Fisheries Commission 
(Commission) and the Council, in consultation with the New England and 
South Atlantic Fishery Management Councils. The management units 
specified in the FMP include summer flounder (Paralichthys dentatus) in 
U.S. waters of the Atlantic Ocean from the southern border of North 
Carolina (NC) northward to the U.S./Canada border, and scup (Stenotomus 
chrysops) and black sea bass (Centropristis striata) in U.S. waters of 
the Atlantic Ocean from 35[deg]13.3' N. lat. (the latitude of Cape 
Hatteras Lighthouse, Buxton, NC) northward to the U.S./Canada border. 
Implementing regulations for these fisheries are found at 50 CFR part 
648, subparts A, G (summer flounder), H (scup), and I (black sea bass).
    The regulations outline the process for specifying annually the 
catch limits for the summer flounder, scup, and black sea bass 
commercial and recreational fisheries, as well as other management 
measures (e.g., mesh requirements, minimum fish sizes, gear 
restrictions, possession restrictions, and area restrictions) for these 
fisheries. The measures are intended to achieve the annual targets set 
forth for each species in the FMP, specified either as an F or 
exploitation rate (the proportion of fish available at the beginning of 
the year that are removed by fishing during the year). Once the catch 
limits are established, they are divided into quotas based on formulas 
contained in the FMP.
    As required by the FMP, a Monitoring Committee for each species, 
made up of members from NMFS, the Commission, and both the Mid-Atlantic 
and New England Fishery Management Councils, is required to review the 
best available scientific information and to recommend catch limits and 
other management measures that will achieve the target F or 
exploitation rate for each fishery. Consistent with the implementation 
of Framework Adjustment 5 to the FMP (69 FR 62818, October 28, 2004), 
each Monitoring Committee meets annually to recommend the Total 
Allowable Landings (TAL), unless the TAL has already been established 
for the upcoming calendar year as part of a multiple-year specification 
process, provided that new information does not require a modification 
to the multiple-year quotas.
    The Council's Demersal Species Committee and the Commission's 
Summer Flounder, Scup, and Black Sea Bass Management Board (Board) then 
consider the Monitoring Committees' recommendations and any public 
comment and make their own recommendations. While the Board action is 
final, the Council's recommendations must be reviewed by NMFS to assure 
that they comply with FMP objectives. The Council and Board made their 
recommendations at a joint meeting held August 11, 2004.

Explanation of RSA

    In 2001, regulations were implemented under Framework Adjustment 1 
to the FMP to allow up to 3 percent of the TAL for each of the species 
to be set aside each year for scientific research purposes. For the 
2005 fishing year, a Request for

[[Page 70415]]

Proposals was published to solicit research proposals based upon the 
research priorities that were identified by the Council (69 FR 10990, 
March 9, 2004). The deadline for submission of proposals was April 8, 
2004. Three applicants were notified in June 2004 that their research 
proposals had received favorable preliminary review. For informational 
purposes, this proposed rule includes a statement indicating the amount 
of quota that has been preliminarily set aside for research purposes, 
as recommended by the Council and Board, and a brief description of the 
RSA projects. The RSA amounts may be adjusted in the final rule 
establishing the annual specifications for the summer flounder, scup, 
and black sea bass fisheries or, if the total amount of the quota set-
aside is not awarded, NMFS will publish a notice in the Federal 
Register to restore the unused RSA amount to the applicable TAL.
    For 2005, three RSA projects have been conditionally approved by 
NMFS and are currently awaiting notice of award. The total RSA quotas, 
approved by the Council and Board, allocated for all three projects 
are: 353,917 lb (161 mt) of summer flounder; 303,675 lb (138 mt) of 
scup; 109,500 lb (50 mt) of black sea bass; 562,350 lb (255 mt) of 
Loligo squid; and 297,750 lb (135 mt) of bluefish.
    The University of Rhode Island submitted a proposal to conduct a 
second year of work in a fishery-independent scup survey that would 
utilize unvented fish traps fished on hard bottom areas in southern New 
England waters to characterize the size composition of the scup 
population. Survey activities would be conducted from May 1 through 
November 8, 2005, at six rocky bottom study sites located offshore, 
where there is a minimal scup pot fishery and no active trawl fishery. 
Up to two vessels would conduct the survey. Sampling would occur off 
the coasts of Rhode Island and southern Massachusetts. The RSA 
allocated for this project is 18,000 lb (8 mt) of black sea bass and 
63,675 lb (29 mt) of scup.
    The National Fisheries Institute (NFI) and Rutgers University 
submitted a proposal to conduct a third year of work on a commercial 
vessel-based trawl survey program in the Mid-Atlantic region that would 
track the migratory behavior of selected recreationally and 
commercially important species. Information gathered during this 
project would supplement the NMFS finfish survey databases and improve 
methods to evaluate how seasonal migration of fish in the Mid-Atlantic 
influences stock abundance estimates. One vessel would conduct survey 
work in the Mid-Atlantic along six offshore transects near Alvin, 
Hudson, Wilmington, Baltimore, and Washington Canyons. Up to 15, 1-
nautical mile tows would be conducted along each transect at depths 
from 40 to 250 fathoms (73 to 457 m). Four transects would be sampled 
in both January and March, and two transects would be sampled in both 
May and November. Two additional transects may be conducted pending 
vessel availability, weather, and funding. Up to 25 vessels would 
participate in harvesting the RSA during the period January 1 through 
December 31, 2005. The RSA allocated for the project is 192,177 lb (87 
mt) of summer flounder; 120,000 lb (54 mt) of scup; 281,350 lb (128 mt) 
of Loligo squid; 61,500 lb (28 mt) of black sea bass; and 279,750 lb 
(127 mt) of bluefish.
    NFI and Rutgers University also submitted a proposal to conduct a 
second year of work to study finfish discarded in Loligo squid-targeted 
tows. The project would test different mesh sizes, including the legal-
sized mesh size of 1.875 inches (4.8 cm) and larger mesh sizes up to 
3.0 inches (7.6 cm). The project is designed to give insights to 
bycatch of finfish species when different mesh sizes are used in the 
Loligo squid fishery. Up to two vessels would conduct the project in 
February or March near Hudson Canyon. A total of 80 to 100 tows would 
be performed with vessels fishing in parallel, where possible. The RSA 
allocated for the project is 30,000 lb (14 mt) of black sea bass; 
120,000 lb (54 mt) of scup; 281,000 lb (127 mt) of Loligo squid; and 
161,740 lb (73 mt) of summer flounder.
    Regulations under the Magnuson-Stevens Fishery Conservation and 
Management Act (Magnuson-Stevens Act) require publication of this 
notification to provide interested parties the opportunity to comment 
on applications for proposed EFPs.

Explanation of Quota Adjustments Due to Quota Overages

    This rule proposes commercial quotas based on the proposed TALs and 
Total Allowable Catches (TACs) and the formulas for allocation 
contained in the FMP. In 2002, NMFS published final regulations to 
implement a regulatory amendment (67 FR 6877, February 14, 2002) that 
revised the way in which the commercial quotas for summer flounder, 
scup, and black sea bass are adjusted if landings in any fishing year 
exceed the quota allocated (thus resulting in a quota overage). If NMFS 
approves a different TAL or TAC at the final rule stage, the commercial 
quotas will be recalculated based on the formulas in the FMP. Likewise, 
if new information indicates that overages have occurred and deductions 
are necessary, NMFS will publish notice of the adjusted quotas in the 
Federal Register. NMFS anticipates that the information necessary to 
determine whether overage deductions are necessary will be available by 
the time the final rule to implement these specifications is published. 
The commercial quotas contained in this proposed rule for summer 
flounder, scup, and black sea bass do not reflect any deductions for 
overages. The final rule, however, will contain quotas that have been 
adjusted consistent with the procedures described above and contained 
in the regulatory amendment.

Summer Flounder

    The FMP specifies a target F of Fmax, that is, the level 
of fishing that produces maximum yield per recruit. The best available 
scientific information indicates that, for 2005 and 2006, 
Fmax for summer flounder is 0.26 (equal to an exploitation 
rate of about 22 percent from fishing).
    The most recent stock assessment, updated by the Northeast 
Fisheries Science Center (NEFSC) Southern Demersal Working Group in 
June 2004, indicated that the summer flounder stock is not overfished 
but that overfishing is occurring, according to the definitions in the 
FMP. These conclusions were derived from the fact that, for 2003, the 
estimated total stock biomass of 149 million lb (67,585 mt) is 27 
percent above the minimum biomass threshold of 117 million lb (53,070 
mt) below which the stock is considered overfished (1/2 
Bmsy), and the estimated F of 0.29 was slightly above the 
FMP overfishing definition of F=Fmax=0.26. In addition, 
spawning stock biomass (SSB) has increased steadily from 20.5 million 
lb (9,303 mt) in 1993 to 109 million lb (49,442 mt) in 2003, the 
highest value in the time series.
    Although the summer flounder stock is no longer considered 
overfished, additional rebuilding is necessary because the Magnuson-
Stevens Act requires that stocks be rebuilt to the level that produces 
maximum sustainable yield on a continuing basis, i.e., 234.6 million lb 
(106,400 mt) for summer flounder. Long-term projections indicate that 
the stock can reach this biomass target by 2010 through the 
implementation of TALs associated with a 75-percent probability of 
reaching the target F in 2005 through 2009. Based on the latest stock 
assessment update, a TAL of 30.3 million lb (13,744 mt) has a 75-
percent probability of achieving an F of 0.26 if the TAL and assumed

[[Page 70416]]

discard level in 2004 are not exceeded. The TAL associated with a 75-
percent probability level in 2006 is 33.0 million lb (14,969 mt).
    The Council and the Board adopted the Summer Flounder Monitoring 
Committee's recommendation of a summer flounder TAL of 30.3 million lb 
(13,744 mt) for 2005 and 33.0 million lb (14,969 mt) for 2006. These 
TALs would represent a 7-percent increase and a 17-percent increase for 
2005 and 2006, respectively, from the 2004 TAL of 28.2 million lb 
(12,791 mt). The initial TALs would be allocated 60 percent to the 
commercial sector and 40 percent to the recreational sector, i.e., the 
initial TAL for 2005 would be allocated 18.18 million lb (8,246 mt) to 
the commercial sector and 12.12 million lb (5,498 mt) to the 
recreational sector, and the initial TAL for 2006 would be allocated 
19.8 million lb (8,981 mt) to the commercial sector and 13.2 million lb 
(5,987 mt) to the recreational sector. The commercial quota for each 
year then would be allocated to the coastal states based upon 
percentage shares specified in the FMP.
    For 2005, the Council and Board also agreed to set aside 353,917 lb 
(160.5 mt) of the summer flounder TAL for research activities. For 
2006, because information pertaining to the potential amount of RSA is 
unknown, RSA is conservatively estimated as 3 percent of the TAL, i.e., 
990,000 lb (449 mt). After deducting the RSA, the TAL for 2005 would be 
divided into a commercial quota of 17.97 million lb (8,151 mt) and a 
recreational harvest limit of 11.98 million lb (5,434 mt), and the TAL 
for 2006 would be divided into a commercial quota of 19.21 million lb 
(8,714 mt) and a recreational harvest limit of 12.80 million lb (5,806 
mt).
    In addition, the Commission is expected to maintain the voluntary 
measures currently in place to reduce regulatory discards that occur as 
a result of landing limits established by the states. The Commission 
established a system whereby 15 percent of each state's quota would be 
voluntarily set aside each year to enable vessels to land an incidental 
catch allowance after the directed fishery has been closed. The intent 
of the incidental catch set-aside is to reduce discards by allowing 
fishermen to land summer flounder caught incidentally in other 
fisheries during the year, while also ensuring that the state's overall 
quota is not exceeded. These Commission set-asides are not included in 
any tables in this document because NMFS does not have authority to 
establish such subcategories.
    NMFS proposes to implement the 30.3-million lb (13,744-mt) TAL with 
a 353,917-lb (160.5-mt) RSA for 2005, and the 33.0-million lb (14,969-
mt) TAL with an estimated 990,000-lb (449-mt) RSA for 2006, as 
recommended by the Council and Board. The 11.98-million lb (5,434-mt) 
and 12.80-million lb (5,806-mt) recreational harvest limits for 2005 
and 2006, respectively, would be allocated on a coastwide basis. The 
commercial quotas for 2005 and 2006 would be allocated to the states as 
shown in Tables 1 and 2, respectively, which present the allocations by 
state, with and without the commercial portion of the RSA deduction. 
These state quota allocations are preliminary and are subject to a 
reduction if there are overages of a state's quota for the previous 
fishing year (using the landings information and procedures described 
earlier). Any commercial quota adjustments to account for overages will 
be published in the Federal Register in the final rule implementing 
these specifications.
BILLING CODE 3510-22-S

[[Page 70417]]

[GRAPHIC] [TIFF OMITTED] TP06DE04.013

BILLING CODE 3510-22-C

[[Page 70418]]

Scup

    Scup was last assessed in June 2002 at the 35th Northeast Regional 
Stock Assessment Workshop (SAW). The Stock Assessment Review Committee 
(SARC 35) indicated that the species is no longer overfished, but that 
stock status with respect to overfishing cannot currently be evaluated. 
The NEFSC spring survey 3-year average (2002 through 2004) for scup SSB 
was 3.74 kg/tow, which is about 35 percent higher than the threshold 
that defines the stock as overfished (2.77 kg/tow).
    SARC 35 indicated that relative exploitation rates on scup have 
declined in recent years, although the absolute value of F cannot be 
determined. Overall, most recent scup survey observations indicate 
strong recruitment and some rebuilding of age structure. SARC 35 noted 
that the stock can likely sustain modest increases in catch, but that 
such increases should be taken with due consideration of the 
uncertainties associated with the stock status determination.
    The target exploitation rate for scup for 2005 is 21 percent. The 
FMP specifies that the TAC associated with a given exploitation rate be 
allocated 78 percent to the commercial sector and 22 percent to the 
recreational sector. Scup discard estimates are deducted from both 
sectors' TACs to establish TALs for each sector (TAC less discards = 
TAL). The commercial TAL is then allocated on a percentage basis to 
three quota periods, as specified in the FMP: Winter I (January-
April)--45.11 percent; Summer (May-October)--38.95 percent; and Winter 
II (November-December)--15.94 percent.
    The proposed scup specifications for 2005 are based on an 
exploitation rate in the rebuilding schedule that was approved when 
scup was added to the FMP in 1996, prior to passage of the Sustainable 
Fisheries Act (SFA). Subsequently, to comply with the SFA amendments to 
the Magnuson-Stevens Act, the Council prepared Amendment 12 to the FMP, 
which proposed to maintain the existing rebuilding schedule for scup 
established by Amendment 8 to the FMP. On April 28, 1999, NMFS 
disapproved the proposed rebuilding plan for scup because the 
rebuilding schedule did not appear to be sufficiently risk-averse. 
Later, however, NMFS advised the Council that use of the exploitation 
rate as a proxy for F would be acceptable and risk-averse. Therefore, 
the proposed scup specifications for 2005 are based on an exploitation 
rate of 21 percent. NMFS believes that the risks associated with the 
disapproved rebuilding plan are not applicable to the proposed 
specifications since they apply only for one fishing year and will be 
reviewed, and modified as appropriate, by the Council and NMFS 
annually. The scup stock has shown signs of significant rebuilding and 
is no longer overfished. It is, therefore, not necessary to deviate 
from the specified exploitation rate in 2005. Furthermore, setting the 
scup specifications using an exploitation rate of 21 percent is a more 
risk-averse approach to managing the resource than not setting any 
specifications until the Council submits, and NMFS approves, a revised 
rebuilding plan that complies with all Magnuson-Stevens Act 
requirements.
    Because of uncertainty associated with the spring survey and the 
pending stock assessment that will be presented to the SARC this 
December, the Monitoring Committee recommended, and the Council and 
Board adopted the recommendation to set specifications for 2005 only, 
and to maintain the current TAC/TAL. Based on the increase in the 
spring survey index in 2004, maintaining the 16.5-million lb (7,484-mt) 
TAL is likely to achieve the target exploitation rate for 2005. The 
level of discards used in 2004 (2.15 million lb (975 mt) continues to 
be used for 2005, so the TAC would be 18.65 million lb (8,460 mt). NMFS 
is proposing to implement the Council's and Board's TAC/TAL 
recommendation because it is considered likely to achieve the 21-
percent exploitation rate required by the FMP.
    Using the sector allocation specified in the FMP (commercial 78 
percent; recreational--22 percent), the Council's recommendation would 
result in a commercial TAC of 14.55 million lb (6,600 mt) and a 
recreational TAC of 4.10 million lb (1,860 mt). Using the same 
commercial and recreational discard estimates used for the 2004 
specifications (i.e., 2.08 million lb (943 mt) for the commercial 
sector, and 70,000 lb (32 mt) for the recreational sector), the Scup 
Monitoring Committee recommendation would result in an initial 
commercial TAL of 12.47 million lb (5,656 mt) and recreational harvest 
limit of 4.03 million lb (1,828 mt). The Council and Board also agreed 
to set aside 303,675 lb (138 mt) of the scup TAL for research 
activities. Deducting this RSA from the TAL would result in a 
commercial quota of 12.23 million lb (5,547 mt) and a recreational 
harvest limit of 3.96 million lb (1,796 mt).
    Pursuant to an industry request, and to reduce scup discards, the 
Council and Board recommended an increase in the commercial scup Winter 
I Federal possession limit to 30,000 lb (13.6 mt) per trip for 2005. 
Because scup are a schooling species, otter trawl vessels operating 
where scup occur occasionally make very large hauls that consist almost 
entirely of scup. Under the current system, when one of these hauls is 
brought up, the possession limit may be kept by the hauling vessel 
while the remaining catch must be discarded or transferred to another 
vessel. Increasing the Winter I possession limit would convert 
potential regulatory discards of scup into landings, thus reducing 
bycatch and improving the efficiency of the commercial scup fishery. 
Allowing the commercial sector to fulfil the Winter I quota should also 
reduce the incentive for vessels to catch scup at the end of the Winter 
I period. States have indicated to the Commission and NMFS that they 
would implement a 30,000-lb (13.6-mt) landing limit per 2-week period 
(Sunday through Saturday). Because the current possession limit is 
15,000 lb (6.8 mt), this measure would allow the same amount of scup to 
be landed in a 2-week period in 2005 as in 2004. In cases where state 
regulations regarding trip limits are more restrictive than the 
proposed 30,000-lb (13.6-mt) trip limit, the state regulations would 
apply. That is, vessels landing scup in states with more restrictive 
possession limits may need to make more than one trip to reach the 2-
week limit, if that state is enforcing a 30,000-lb (13.6-mt) 2-week 
landing limit. The Winter I possession limit would be reduced to 1,000 
lb (454 kg) when 80 percent of the quota is projected to be reached. 
NMFS is proposing to implement the Council's and Board's scup Winter I 
Federal possession limit recommendation because it would allow for the 
achievement of the Scup Winter I quota while reducing scup discards. 
NMFS is proposing to retain the current initial possession limit of 
1,500 lb (680 kg) for Winter II (November-December).
    Table 3 presents the 2005 commercial allocation recommended by the 
Council, with and without the 303,675-lb (138-mt) RSA deduction. These 
2005 allocations are preliminary and may be subject to downward 
adjustment in the final rule implementing these specifications due to 
2004 overages, based on the procedures for calculating overages 
described earlier.

[[Page 70419]]

                              Table 3. 2005 Proposed Initial TAC, Commercial Scup Quota, and Possession Limits, in lb (kg)
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                            Commercial      Commercial      Possession
                            Period                               Percent        TAC          Discards          Quota      Quota less RSA      Limits
--------------------------------------------------------------------------------------------------------------------------------------------------------
Winter I                                                           45.11       6,563,505         938,288       5,625,217       5,518,367       30,000\1\
                                                                             (2,977,186)       (425,605)     (2,551,582)     (2,503,089)        (13,607)
Summer                                                             38.95       5,667,225         810,160       4,857,065       4,764,806            n/a*
                                                                             (2,570,636)       (367,486)     (2,203,150)     (2,161,280)
Winter II                                                          15.94       2,319,270         331,522       1,987,718       1,949,962           1,500
                                                                             (1,052,014)       (150,391)       (901,623)       (884,487)           (680)
Total\2\                                                          100.00      14,550,000       2,080,000      12,470,000      12,233,134
                                                                             (6,599,837)       (943,482)     (5,656,355)     (5,548,856)
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\The Winter I landing limit would drop to 1,000 lb (454 kg) upon attainment of 80 percent of the seasonal allocation.
\2\Totals subject to rounding error.
*n/a-Not applicable

    The final rule to implement Framework 3 to the FMP (68 FR 62250, 
November 3, 2003) implemented a process, for years in which the full 
Winter I commercial scup quota is not harvested, to allow unused quota 
from the Winter I period to be rolled over to the quota for the Winter 
II period. In any year that NMFS determines that the landings of scup 
during Winter I are less than the Winter I quota for that year, NMFS 
will, through notification in the Federal Register, increase the Winter 
II quota for that year by the amount of the Winter I underharvest, and 
adjust the Winter II possession limits consistent with the amount of 
the quota increase. The Council recommended no change in the Winter II 
possession limits that result from potential rollover of quota from the 
Winter I period for the 2005 fishing year . Therefore, NMFS proposes to 
maintain the Winter II possession limit-to-rollover amount ratios 
specified for 2004, as presented in Table 4.

          Table 4. Potential Increase in Winter II Possession Limits Based on the Amount of Scup Rolled Over from Winter I to Winter II Period
--------------------------------------------------------------------------------------------------------------------------------------------------------
                 Initial Winter II Possession Limit                     Rollover from Winter I to        Increase in Initial         Final Winter II
--------------------------------------------------------------------            Winter II               Winter II Possession     Possession Limit after
                                                                    ---------------------------------           Limit            Rollover from Winter I
                                                                                                     --------------------------       to Winter II
                             lb                                kg            lb               mt                               -------------------------
                                                                                                           lb           kg           lb           kg
--------------------------------------------------------------------------------------------------------------------------------------------------------
1,500                                                           680           0-499,999        0-227            0            0        1,500          680
1,500                                                           680     500,000-999,999      227-454          500          227        2,000          907
1,500                                                           680  1,000,000-1,499,99      454-680        1,000          454        2,500        1,134
                                                                                      9
1,500                                                           680  1,500,000-1,999,99      680-907        1,500          680        3,000        1,361
                                                                                      9
1,500                                                           680  2,000,000-2,500,00    907-1,134        2,000          907        3,500        1,587
                                                                                      0
--------------------------------------------------------------------------------------------------------------------------------------------------------

Other Scup Management Measures

    Under the current regulations for the directed trawl fishery at 
Sec.  648.123(a)(1), no owner or operator of an otter trawl vessel that 
is issued a scup moratorium permit may possess 500 lb (227 kg) or more 
of scup from November 1 through April 30, or 100 lb (45 kg) or more of 
scup from May 1 through October 31, unless fishing with nets that have 
a minimum mesh size of 4.5-inch (11.4-cm) diamond mesh for no more than 
25 continuous meshes forward of the terminus of the codend, and with at 
least 100 continuous meshes of 5.0-inch (12.7-cm) mesh forward of the 
4.5-inch (11.4-cm) mesh, and all other nets are stowed in accordance 
with Sec.  648.23(b)(1). For trawl nets with codends (including an 
extension) of less than 125 meshes, the entire trawl net must have a 
minimum mesh size of 4.5 inches (11.4 cm) throughout the net. These 
requirements have been in effect since February 2002 (66 FR 58097, 
November 20, 2001). In consideration of the increasing abundance of 
scup and of recent studies that indicate that discards may have 
increased in 2004, the Council and Board have recommended an increase 
in the minimum mesh size from 4.5 inches (11.4 cm) to 5 inches (12.7 
cm), and an increase in the threshold level to trigger the mesh 
requirement from 100 lb (45 kg) to 200 lb (90 kg) for the Scup Summer 
period (May 1 through October 31). The recommendation was to increase 
the minimum mesh size to 5 inches (12.7 cm) for the 75 meshes from the 
terminus of the net; and for codends constructed with fewer than 75 
meshes, a minimum mesh size of 5 inches (12.7 cm) throughout the net. 
Through this proposed rule, NMFS seeks comments on the likely 
effectiveness of and/or costs associated with the proposed change in 
minimum mesh size for scup. The change to the minimum mesh size 
regulations also would apply in the Scup Gear Restricted Areas (GRAs).

Scup GRAs

    In 2000, the 31\st\ Stock Assessment Review Committee (SARC 31) 
emphasized the need to reduce scup mortality resulting from discards in 
the scup fishery and in other fisheries. In response to that 
recommendation, GRAs were established during the 2000 fishing year (65 
FR 33486, May 24, 2000, and 65 FR 81761, Dec. 27, 2000) and modified 
for the 2001 fishing year (66 FR 12902, March 1, 2001). The GRAs 
prohibit trawl vessels from fishing for, or possessing, certain non-
exempt species (Loligo squid, black sea bass, and silver hake 
(whiting)) when fishing with mesh smaller than that required to

[[Page 70420]]

fish for scup during the effective periods (January 1 through March 15 
for the Southern GRA, and November 1 through December 31 for the 
Northern GRA).
    For 2003, the Council recommended allowing vessels to fish for non-
exempt species with small mesh in the GRAs, provided they use specially 
modified trawl nets and carry observers, consistent with Atlantic 
Coastal Cooperative Statistics Program observer standards. Instead, 
NMFS implemented an alternative program (the GRA Exemption Program) 
requiring 100-percent observer coverage for all vessels fishing with 
small mesh for non-exempt species in the GRAs using the modified gear. 
This alternative imposed significantly fewer administrative and 
enforcement complexities and was intended to provide more data to 
evaluate the effectiveness of the gear modifications (68 FR 60, January 
2, 2003). NMFS maintained the GRA Exemption Program for 2004 (69 FR 
2074, January 14,2004). To date, no vessels have participated in the 
GRA Exemption Program.
    For 2005, the Scup Monitoring Committee recommended the 
continuation of the GRAs with a shift of the entire Southern GRA by 3 
longitudinal minutes to the west. The recommendation to move the 
Southern GRA follows an industry request and subsequent analysis by the 
NEFSC, which indicates that the shift would expose an additional 3 
percent of the scup stock to small-mesh gear during the effective 
period, while allowing access to an additional 8 percent of the Loligo 
squid stock. Termination of the existing GRA Exemption Program also was 
recommended. The Council and Board adopted the Scup Monitoring 
Committee's recommendations. NMFS proposes to implement the Council and 
Board recommendations in order to allow for greater opportunity for 
trawl vessels to harvest Loligo squid while maintaining the protective 
aspects of the Southern GRA for scup.

Black Sea Bass

    Black sea bass was last assessed in June 2004 at the 39th Northeast 
Regional SAW. The Stock Assessment Review Committee (SARC 39) indicated 
that black sea bass are no longer overfished and overfishing is not 
occurring. The biomass threshold is defined as the maximum value of a 
3-year moving average of the NEFSC spring survey catch-per-tow (1977-
1979 average of 0.9 kg/tow). The 2003 biomass index (the 3-year average 
for 2002-2004) is 1.4 kg/tow, about 55 percent above the threshold. 
Based on this value, the stock is no longer overfished.
    The target exploitation rate for 2005 is 25 percent, which is based 
on the current estimate of Fmax or 0.32. Given the 
uncertainty in the spring survey estimates for the 2002-2004 period, 
and the potential underestimation of the 2003 exploitation rate, the 
Black Sea Bass Monitoring Committee recommended maintaining the current 
TAL of 8 million lb (3,629 mt) for both 2005 and 2006. The Council and 
Board rejected the Monitoring Committee recommendation, and instead 
recommended an 8.2 million-lb (3,719-mt) TAL (based on information that 
the stock size has increased in recent years), but for 2005 only. This 
TAL would be a 2.5-percent increase from 2004. NMFS is proposing to 
implement the Council's and Board's TAL recommendation because it is 
considered likely to achieve the 25-percent exploitation rate that is 
required by the FMP.
    The FMP specifies that the TAL associated with a given exploitation 
rate be allocated 49 percent to the commercial sector and 51 percent to 
the recreational sector; therefore, the initial TAL would be allocated 
4.02 million lb (1,823 mt) to the commercial sector and 4.18 million lb 
(1,896 mt) to the recreational sector. The Council and Board also 
agreed to set aside 109,500 lb (50 mt) of the black sea bass TAL for 
research activities. After deducting the RSA, the TAL would be divided 
into a commercial quota commercial quota of 3.96 million lb (1,796 mt) 
and a recreational harvest limit of 4.13 million lb (1,873 mt).
    In addition to the changes recommended by the Council and the 
Board, this proposed rule also would remove reference to a specific 
date by which the Summer Flounder, Scup, and Black Sea Bass Monitoring 
Committees shall meet for the purposes of recommending annual or multi-
year TALs. These actions are intended to provide flexibility for the 
Council in scheduling Monitoring Committee meetings and to remove an 
unnecessary restriction. NMFS previously modified the text regarding 
Monitoring Committee meetings in Sec. Sec.  648.100, 648.120, and 
648.140 to reflect that annual review of updated information on the 
fisheries by the Monitoring Committees would not be required during the 
period of multi-year specifications. These regulatory changes will be 
effective November 29, 2004 (69 FR 62818, October 28, 2004).

Classification

    This proposed rule has been determined to be not significant for 
purposes of Executive Order 12866.
    An IRFA was prepared that describes the economic impact this 
proposed rule, if adopted, would have on small entities.
    A description of the action, why it is being considered, and the 
legal basis for this action are contained in the preamble to this 
proposed rule. This proposed rule does not duplicate, overlap, or 
conflict with other Federal rules. A copy of the complete IRFA can be 
obtained from the Council (see ADDRESSES). A summary of the economic 
analysis follows.
    The economic analysis assessed the impacts of the various 
management alternatives. The no action alternative is defined as 
follows: (1) No proposed specifications for the 2005 and 2006 summer 
flounder fisheries and the 2005 scup and black sea bass fisheries would 
be published; (2) the indefinite management measures (minimum mesh 
sizes, minimum sizes, possession limits, permit and reporting 
requirements, etc.) would remain unchanged; (3) there would be no quota 
set-aside allocated to research in 2005; (4) the existing GRA 
regulations would remain in place for 2005; and (5) there would be no 
specific cap on the allowable annual landings in these fisheries (i.e., 
there would be no quotas). Implementation of the no action alternative 
would be inconsistent with the goals and objectives of the FMP, its 
implementing regulations, and the Magnuson-Stevens Act. In addition, 
the no action alternative would substantially complicate the approved 
management program for these fisheries, and would very likely result in 
overfishing of the resources. Therefore, the no action alternative is 
not considered to be a reasonable alternative to the preferred action.
    Alternative 1 consists of the harvest limits proposed by the 
Council and Board for summer flounder, scup, and black sea bass. 
Alternative 2 consists of the most restrictive quotas (i.e., lowest 
landings) considered by the Council and the Board for all of the 
species. Alternative 3 consists of the least restrictive quotas (i.e., 
highest landings) considered by the Council and Board for all three 
species. Although Alternative 3 would result in higher landings for 
2004, it would also likely exceed the biological targets specified in 
the FMP.
    Table 5 presents the 2005 initial TALs, RSA, commercial quotas 
adjusted for RSA, and preliminary recreational

[[Page 70421]]

harvests for the fisheries under these three quota alternatives.
BILLING CODE 3510-22-S
[GRAPHIC] [TIFF OMITTED] TP06DE04.014

BILLING CODE 3510-22-C
    Table 6 presents the percent change associated with each of these 
commercial quota alternatives (adjusted for RSA) compared to the final 
adjusted quotas for 2004.

  Table 6. Percent change associated with 2005 adjusted commercial quota alternatives compared to 2004 adjusted
                                                     quota.
----------------------------------------------------------------------------------------------------------------
                                                        Total Changes Including Overages and RSA
                                      --------------------------------------------------------------------------
                                         Quota Alternative 1      Quota Alternative 2      Quota Alternative 3
                                             (Preferred)           (Most Restrictive)      (Least Restrictive)
----------------------------------------------------------------------------------------------------------------
Summer Flounder                        .......................  .......................  .......................
--------------------------------------
Aggregate Change (2005)                                 +7.20%                   -0.31%                  +15.44%
Aggregate Change 2006)                                 +14.59%                   -2.08%                  +23.27%
--------------------------------------
Scup                                   .......................  .......................  .......................
--------------------------------------

[[Page 70422]]

 
Aggregate Change                                       -0.85%*                  -35.60%                  +33.90%
--------------------------------------
Black Sea Bass                         .......................  .......................  .......................
--------------------------------------
Aggregate Change                                        +5.32%                   +2.93*                  +11.97%
----------------------------------------------------------------------------------------------------------------
*Denotes status quo management measures.

    All vessels that would be impacted by this proposed rulemaking are 
considered to be small entities; therefore, there would be no 
disproportionate impacts between large and small entities. The 
categories of small entities likely to be affected by this action 
include commercial and charter/party vessel owners holding an active 
Federal permit for summer flounder, scup, or black sea bass, as well as 
owners of vessels that fish for any of these species in state waters. 
The Council estimates that the proposed 2005 quotas (and 2006 summer 
flounder quota) could affect 2,114 vessels that held a Federal summer 
flounder, scup, and/or black sea bass permit in 2003. However, the more 
immediate impact of this rule will likely be felt by the 1,040 vessels 
that actively participated (i.e., landed these species) in these 
fisheries in 2003.
    The Council estimated the total revenues derived from all species 
landed by each vessel during calendar year 2003 to determine a vessel's 
dependence and revenue derived from a particular species. This estimate 
provided the base from which to compare the effects of the proposed 
quota changes from 2004 to 2005 (and 2006 for the summer flounder 
fishery).
    The Council's analysis of the harvest limits in Alternative 1 
(Preferred Alternative) indicated that these harvest levels would 
produce a revenue increase for 1,000 commercial vessels that are 
expected to be impacted by this rule. Up to 40 vessels that derive a 
large proportion of their revenues from scup were projected to incur 
small revenue losses (i.e., less than 5 percent) due to the decrease in 
the adjusted scup quota that results from the increase in scup GRA 
proposed for 2005. No vessels were expected to have revenue losses of 
greater than 5 percent.
    The Council also analyzed changes in total gross revenue that would 
occur as a result of the quota alternatives. Assuming 2003 ex-vessel 
prices (summer flounder--$1.61/lb; scup--$0.60/lb; and black sea bass--
$2.02/lb), the 2005 quotas in Preferred Alternative 1 would increase 
total summer flounder and black sea bass revenues by approximately $1.9 
million and $165,000, respectively, and decrease scup revenues by 
approximately $60,000, relative to expected 2004 revenues.
    Assuming that the total ex-vessel gross revenue associated with the 
Preferred Alternative for each fishery is distributed equally among the 
vessels that landed those species in 2003, the average change in gross 
revenue per vessel associated with the preferred quota would be a 
$2,322 increase for summer flounder, a $106 decrease for scup, and a 
$546 increase for black sea bass. The number of vessels landing summer 
flounder, scup, and black sea bass in 2003 was 839, 566, and 702, 
respectively.
    The overall increase in gross revenue associated with the three 
species combined in 2005 compared to 2004 is approximately $2.3 million 
(assuming 2003 ex-vessel prices) under the Preferred Alternative. If 
this amount is distributed equally among the 1,040 vessels that landed 
summer flounder, scup, and/or black sea bass in 2003, the average 
increase in revenue would be approximately $2,184 per vessel.
    Complete revenue analysis for 2006 cannot be completed at this time 
because the Council is recommending the 2006 TAL for summer flounder 
only. Based on the proposed 2006 TAL for summer flounder, and assuming 
2003 ex-vessel price ($1.61 per lb), ex-vessel revenue would increase 
by approximately $3.9 million relative to 2004. Assuming the increase 
in summer flounder total ex-vessel gross revenue associated with the 
preferred alternative is distributed equally among the 839 vessels that 
landed summer flounder in 2003, the average increase in revenue 
associated with the increase in summer flounder TAL is $4,701 per 
vessel. The change in gross revenues associated with the potential 
changes in landings in 2006 versus 2004 assume static prices for summer 
flounder. However, if ex-vessel prices for this species change as a 
consequence of changes in landings, then the associated revenue changes 
could be different than those estimated above. Complete revenue 
analysis for the 2006 fishing year will be conducted as part of the 
proposed rule for the 2006 summer flounder, scup, and black sea bass 
specifications, once the Council recommends TAL's for scup and black 
sea bass.
    The Council's analysis of the harvest limits of Alternative 2 
(i.e., the most restrictive harvest limits) indicated that these 
harvest limits would produce a revenue increase for 191 commercial 
vessels, primarily because a large proportion of their revenues were 
derived from black sea bass, and a revenue loss for the other 935 
commercial vessels expected to be impacted by this proposed rule. 
Assuming 2003 ex-vessel prices as described above, the 2005 quotas in 
Alternative 2 would increase total black sea bass revenues by 
approximately $202,000, and decrease total summer flounder and scup 
revenues by approximately $81,000 and $2.6 million, respectively, 
relative to expected 2004 revenues.
    Assuming that the total ex-vessel gross revenue associated with 
Alternative 2 is distributed equally among the vessels that landed 
those species in 2003, the average change in gross revenue per vessel 
associated with Alternative 2 would be a $95 decrease for summer 
flounder, a $4,654 decrease for scup, and a $288 increase for black sea 
bass.
    The overall reduction in gross revenue associated with the three 
species combined in 2005 compared to 2004 is approximately $2.5 million 
(assuming 2003 ex-vessel prices) under Alternative 2. If this amount is 
distributed equally among the 1,040 vessels that landed summer 
flounder, scup, and/or black sea bass in 2003, the average decrease in 
revenue would be approximately $2,416 per vessel.
    The Council's analysis of the harvest limits of Alternative 3 
(i.e., the least

[[Page 70423]]

restrictive harvest limits) indicated that these harvest limits would 
produce a revenue increase for all 1,040 commercial vessels. Assuming 
2003 ex-vessel prices as described above, the 2005 quotas in 
Alternative 3 would increase total summer flounder, scup, and black sea 
bass revenues by approximately $4.2 million, $2.5 million, and 
$889,000, respectively, relative to expected 2004 revenues.
    Assuming that the total ex-vessel gross revenue associated with 
Alternative 3 is distributed equally among the vessels that landed 
those species in 2003, the average increase in gross revenue per vessel 
associated with Alternative 3 would be $4,790 for summer flounder, 
$4,442 for scup, and $1,266 for black sea bass.
    The overall increase in gross revenue associated with the three 
species combined in 2005 compared to 2004 is approximately $7.6 million 
(assuming 2003 ex-vessel prices) under Alternative 3. If this amount is 
distributed equally among the 1,040 vessels that landed summer 
flounder, scup, and/or black sea bass in 2003, the average increase in 
revenue would be approximately $7,281 per vessel.
    The Council also prepared an analysis of the alternative 
recreational harvest limits. The 2005 recreational harvest limits were 
compared with previous years through 2003, the most recent year with 
complete recreational data.
    Landing statistics from the last several years show that 
recreational summer flounder landings have generally exceeded the 
recreational harvest limits, ranging from a 5-percent overage in 1993 
to a 122-percent overage in 2000. In 2001, summer flounder recreational 
landings were 11.64 million lb (5,280 mt), exceeding the harvest limit 
of 7.16 million lb (3,248 mt) by 63 percent. In 2002, recreational 
landings were 8.01 million lb (3,633 mt), 18 percent below the 
recreational harvest limit of 9.72 million lb (4,409 mt). In 2003, 
recreational landings were 11.61 million lb (5,266 mt), 4 percent above 
the recreational harvest limit of 9.32 million lb (4,228 mt).
    The Alternative 1 summer flounder 2005 and 2006 preferred 
recreational harvest limits (adjusted for RSA) of 11.98 million lb 
(5,434 mt) and 12.80 million lb (5,806 mt), respectively, would be a 6-
percent and 14-percent increase, respectively, from the 2004 
recreational harvest limit of 11.21 million lb (5,085 mt), and would 
represent a 3-percent and 10-percent increase, respectively, from 2003 
landings. The 2005 and 2006 summer flounder Alternative 2 (status quo 
alternative) recreational harvest limits of 11.14 million lb (5,053 mt) 
and 10.94 million lb (4,962 mt), respectively, would be less than 1 
percent and 3 percent lower, respectively, than the 2004 recreational 
harvest limit, and would represent a 4-percent decrease and a 6-percent 
decrease, respectively, from 2003 recreational landings. The 2005 and 
2006 summer flounder Alternative 3 recreational harvest limits of 12.90 
million lb (5,851 mt) and 13.77 million lb (6,246 mt), respectively, 
would be a 15-percent and 23-percent increase, respectively, from the 
2004 recreational harvest limit and would represent an 11-percent 
increase and a 19-percent increase, respectively, from 2003 
recreational landings. If Alternative 1, 2, or 3 is chosen, it is 
possible that more restrictive management measures may be required to 
prevent anglers from exceeding the 2005 and 2006 recreational harvest 
limits, depending upon the effectiveness of the 2004 recreational 
management measures. More restrictive regulations could affect demand 
for party/charter boat trips. However, the market demand for this 
sector currently is stable, so the effects may be minimal. Currently, 
neither behavioral or demand data are available to estimate how 
sensitive party/charter boat anglers might be to proposed fishing 
regulations. Overall, it is expected that positive social and economic 
impacts would occur as a result of the proposed 6-percent (for 2005) 
and 14-percent (for 2006) increase in the recreational harvest limit, 
relative to 2004 because of the increase in fishing opportunities. The 
Council intends to recommend specific measures to attain the 2005 
summer flounder recreational harvest limit in December 2004, and will 
provide additional analysis of the measures upon submission of its 
recommendations in early 2005. Similarly, the Council will recommend 
2006 recreational management measures in December 2005.
    Scup recreational landings declined over 89 percent for the period 
1991 to 1998, then increased by 517 percent from 1998 to 2000. In 2002, 
recreational landings were 3.62 million lb (1,642 mt), or 33 percent 
above the recreational harvest limit of 2.71 million lb (1,229 mt). In 
2003, recreational landings were 9.33 million lb (4,232 mt), or 132 
percent above the recreational harvest limit of 4.01 million lb (1,819 
mt). Under the Preferred Alternative, the adjusted scup recreational 
harvest limit for 2005 would be 3.96 million lb (1,796 mt), 1 percent 
lower than the 2004 recreational harvest limit, and would represent a 
57-percent decrease from 2003 recreational landings. The Alternative 2 
scup recreational harvest limit of 2.74 million lb (1,242 mt) for 2005 
would be 32 percent less than the 2004 recreational harvest limit, and 
71 percent less than 2003 recreational landings. The Alternative 3 scup 
recreational harvest limit of 5.17 million lb (2,345 mt) for 2005 would 
be an increase of 30 percent from the 2004 recreational harvest limit 
and would represent a 45-percent decrease from 2003 recreational 
landings. With Alternative 2, and possibly Alternative 1, more 
restrictive management measures might be required to prevent anglers 
from exceeding the 2004 recreational harvest limit, depending largely 
upon the effectiveness of the 2004 recreational management measures. As 
described above for the summer flounder fishery, the effect of greater 
restrictions on scup party/charter boats is unknown at this time. 
Although the proposed recreational harvest limit is approximately 
30,000 lb (13.6 mt) less than the adjusted limit for 2004, because it 
is only a marginal difference from the current harvesting limit, it is 
not likely that more effort controls (e.g., bag limits) will be 
required to constrain 2005 recreational landings. Overall, positive 
social and economic impacts are expected to occur as a result of the 
scup recreational harvest limit for 2005 because current opportunities 
for recreational fishing would be maintained. The Council intends to 
recommend specific measures to attain the 2005 scup recreational 
harvest limit in December 2004, and will provide additional analysis of 
the measures upon submission of its recommendations early in 2005.
    Black sea bass recreational landings increased slightly from 1991 
to 1995. Landings decreased considerably from 1996 to 1999, and then 
substantially increased in 2000. In 2001, 2002, and 2003, recreational 
landings were 3.42 million lb (1,551 mt), 4.46 million lb (2,023 mt), 
and 4.26 million lb (1,932 mt), respectively. For the recreational 
fishery, the adjusted 2005 harvest limit under Alternative 1 would be 
4.13 million lb (1,873 mt), a 3-percent increase from the 2004 
recreational harvest limit and a 3-percent decrease from 2003 
recreational landings. Under Alternative 2, the 2005 recreational 
harvest limit would be 4.02 million lb (1,823 mt), a less than 1-
percent increase from the 2004 recreational harvest limit and a 6-
percent decrease from 2003 recreational landings. The 2005 recreational 
harvest limit under Alternative 3 would be 4.38 million lb

[[Page 70424]]

(1,986 mt), a 9-percent increase from the 2004 recreational harvest 
limit and a 3-percent increase from 2003 recreational landings. Each of 
the three alternatives would likely result in positive economic impacts 
on the recreational fishery because of an increase in fishing 
opportunities. The Council intends to recommend specific measures to 
attain the 2005 black sea bass recreational harvest limit in December 
2004, and will provide additional analysis of the measures upon 
submission of its recommendations early in 2005. Overall, positive 
social and economic impacts are expected to occur as a result of the 
preferred black sea bass recreational harvest limit for 2004 because of 
the increase in fishing opportunities.
    In summary, the 2005 commercial quotas and recreational harvest 
limits contained in the Preferred Alternative, after accounting for the 
proposed RSA amounts, would result in substantially higher summer 
flounder and black sea bass landings and a small decrease in scup 
landings, relative to 2004. The proposed specifications contained in 
the Preferred Alternative were chosen because they allow for the 
maximum level of landings, while still achieving the fishing mortality 
and exploitation targets specified in the FMP. While the commercial 
quotas and recreational harvest limits specified in Alternative 3 would 
provide for even larger increases in landings and revenues, they would 
not achieve the fishing mortality and exploitation targets specified in 
the FMP.
    The proposed commercial scup possession limits for Winter I (30,000 
lb (13.6 mt) per trip) and Winter II (1,500 lb (680 kg) per trip) were 
chosen as an appropriate balance between the economic concerns of the 
industry (i.e., landing enough scup to make the trip economically 
viable) and the need to ensure the equitable distribution of the quota 
over the period. The proposed Winter I possession limit was selected 
specifically to coordinate with the 30,000 lb (13.6 mt) landing limits 
per 2-week period recommended by the Commission to be implemented by 
most states while satisfying concerns about enforcement of possession 
limits. Changes in possession limits can impact profitability in 
various ways. These impacts would vary depending on fishing practices. 
These possession limits are expected to constrain commercial landings 
to the commercial TAL, and distribute landings equitably throughout the 
periods to avoid derby-style fishing effort and associated market 
gluts. According to anecdotal information, potential price fluctuations 
occur as result of irregular supply. The recommended possession limits 
for Winter I would allow fishermen to determine the best time for them 
to fish and further help to avoid market gluts and unsafe fishing 
practices. The recommended possession limit is the maximum possible 
possession limit that fits within the landing limit constraint being 
imposed by the states under the aegis of the Commission (a landing 
limit of 30,000 lb (13.6 mt) per 2-week period). Therefore, there would 
be no marginal benefit associated with any possession limit higher than 
30,000 lb (13.6 mt) that the Council might have considered. And, 
because any possession limit that the Council might have considered 
less than 30,000 lb (13.6 mt) would have imposed a constraint on the 
industry, potentially preventing them from taking full advantage of the 
states' landing limit, the proposed Winter I possession limit is the 
alternative at would result in the most beneficial economic impacts to 
the industry.
    Maintaining the current mesh size and the current threshold level 
to trigger the mesh requirement for the scup fishery would not be 
expected to change the economic or social impacts in 2005 compared to 
2004. However, the proposed actions to increase the minimum scup mesh 
size from 4.5 in (11.4 cm) to 5.0 in (12.7 cm) and the related 
threshold trigger from 100 lb (45 kg) to 200 lb (90 kg) would have 
positive socioeconomic impacts as they would allow for a reduction in 
the discard of undersized fish, thus improving the efficiency of the 
commercial scup fishery compared to the status quo. The cost to the 
industry to implement the change in minimum mesh size is expected to be 
minimal due to the configuration of the nets subject to this change. 
The current regulations allow for 4.5-in (11.4-cm) mesh in the codend 
of a net for no more than 25 meshes from the terminus of the net. 
Forward of this codend, at least 100 meshes must be 5.0-in (12.7-cm) 
mesh. To implement the proposed change, all that would be required in 
these nets is the removal of the 4.5-in (11.4-cm) codend and closing 
off the remaining 5.0-in (12.7-cm) mesh. Increasing the minimum mesh 
size to something larger than 5.0 in (12.7 cm) would require much more 
significant changes in net configuration and would result in more 
significant costs to the industry. Maintaining the status quo mesh 
size, or decreasing the minimum mesh to something smaller than 4.5 in 
(11.4 cm), would eliminate any need for the industry to alter net 
configurations, but would also forgo the opportunity to increase the 
efficiency of the fishery by reducing discards of small scup and other 
species currently caught in the 4.5-in (11.4-cm) mesh nets. The Council 
therefore determined that the preferred scup mesh size and threshold 
level minimize negative economic impacts on the industry.
    The costs and benefits of allowing vessels using small-mesh 
experimental nets to fish in the GRAs under the GRA Exemption Program 
were described in the proposed rule (67 FR 70904, November 27, 2002) 
and the final rule (68 FR 60, January 2, 2003) implementing the 2003 
specifications. Those impacts are not repeated here. Given that no 
fishing vessels have participated in the GRA Exemption Program since 
its implementation, its elimination is not expected to result in 
changes to the economic and social aspects of the fishery compared to 
the status quo alternative.
    Under the status quo alternative for the scup Southern GRA, 
socioeconomic impacts are expected to be similar to those in previous 
years. Moving the Southern GRA 3 minutes westward is expected to result 
in positive socioeconomic impacts, relative to the status quo, due to 
increased availability of Loligo to participants in the small-mesh 
trawl fishery. Trawl survey data indicate that the westward shift of 
the Southern GRA could result in a 3-percent increase in the capture of 
scup, a 5-percent increase in black sea bass capture, and an 8-percent 
increase in Loligo capture. The Council also considered an alternative 
to redefine the seaward boundary of the Southern GRA so that it would 
approximate the 50-fathom (91.4-m) bathymetric contour, thus making an 
additional 1,455-nm2 area available for the small-mesh trawl fishery. 
It is estimated that this change would result in a 31-percent increase 
in the capture of scup, a 40-percent increase in black sea bass 
capture, and an 21-percent increase in Loligo capture. This second 
alternative was not selected because, as indicated by the Council, 
losses in estimated protection under this alternative would likely have 
a diminishing effect on any positive impacts accumulated thus far, such 
that the Southern GRA would be less likely to function adequately as a 
protective mechanism for scup and black sea bass.
    The commercial portion of the summer flounder RSA allocations in 
the Preferred Alternative, if made available to the commercial fishery, 
could be worth as much as $341,884 (for 2005) and $956,340 (for 2006) 
dockside, based on a 2003 ex-vessel price of $1.61/lb. Assuming an 
equal reduction in fishing

[[Page 70425]]

opportunity among all active vessels (i.e., the 839 vessels that landed 
summer flounder in 2003), this could result in a per-vessel potential 
revenue loss of approximately $407 (for 2005) and $1,140 (for 2006). 
Because information pertaining to RSA projects for 2006 is not yet 
known, the per-vessel revenue loss for 2006 is likely overestimated 
because the RSA allocation assumed for 2006 represents the maximum 
allowable allocation (3 percent of the TAL). The Council to date has 
never utilized the maximum allowable RSA allocation, so it is expected 
that at least some of the assumed RSA allocation would ultimately be 
added back into the commercial quota for 2006. Changes in the summer 
flounder recreational harvest limit as a result of the 353,917-lb (79-
mt) RSA are not expected to be significant as the deduction of RSA from 
the TAL would result in a relatively marginal decrease in the 
recreational harvest limit from 12.1 million lb (5,489 mt) to 12 
million lb (5,443 mt) for 2005 and from 13.2 million lb (5,987 mt) to 
12.8 million lb (5,805 mt) for 2006. Because this is a marginal change, 
it is unlikely that the recreational possession, size, or seasonal 
limits would change as the result of the RSA allocation.
    The scup RSA allocation in the Preferred Alternative, if made 
available to the commercial fishery, could be worth as much as $142,119 
dockside, based on a 2003 ex-vessel price of $0.60/lb. Assuming an 
equal reduction in fishing opportunity for all active commercial 
vessels (i.e., the 566 vessels that landed scup in 2003), this could 
result in a loss of potential revenue of approximately $251 per vessel. 
The deduction of RSA from the TAL results in a relatively marginal 
decrease in the recreational harvest limit from 4.03 million lb (1,828 
mt) to 3.96 million lb (1,796 mt). It is unlikely that scup 
recreational possession, size, or seasonal limits would change as the 
result of the RSA allocation because the reduction in the harvest limit 
is so small.
    The black sea bass RSA allocation in the Preferred Alternative, if 
made available to the commercial fishery, could be worth as much as 
$108,383 dockside, based on a 2003 ex-vessel price of $2.02/lb. 
Assuming an equal reduction in fishing opportunity for all active 
commercial vessels (i.e., the 702 vessels that caught black sea bass in 
2003), this could result in a loss of approximately $154 per vessel. 
The deduction of RSA from the TAL would result in a relatively marginal 
decrease in recreational harvest from black sea bass recreational 
harvest limit from 4.18 million lb (1,896 mt) to 4.13 million lb (1,873 
mt). It is unlikely that the black sea bass possession, size, or 
seasonal limits would change as the result of this RSA allocation 
because the reduction in the harvest limit is so small.
    Overall, long-term benefits are expected as a result of the RSA 
program due to improved fisheries data and information. If the total 
amount of quota set-aside is not awarded for any of the three 
fisheries, the unused set-aside amount will be restored to the 
appropriate fishery's TAL. It should also be noted that fish harvested 
under the RSAs would be sold, and the profits would be used to offset 
the costs of research. As such, total gross revenue to the industry 
would not decrease if the RSAs are utilized.
    There are no new reporting or recordkeeping requirements contained 
in any of the alternatives considered for this action.

List of Subjects in 50 CFR Part 648

    Fisheries, Fishing, Reporting and recordkeeping requirements.

    Dated: December 1, 2004.
William T. Hogarth,
Assistant Administrator for Fisheries, National Marine Fisheries 
Service.
    For the reasons set out in the preamble, 50 CFR part 648 is 
proposed to be amended as follows:

PART 648--FISHERIES OF THE NORTHEASTERN UNITED STATES

    1. The authority citation for part 648 continues to read as 
follows:

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

    2. In Sec.  648.14, paragraph (a)(127) is removed and reserved, and 
paragraph(a)(122) is revised to read as follows:

Sec.  648.14  Prohibitions.

    (a) * * *
    (122) Fish for, catch, possess, retain or land Loligo squid, silver 
hake, or black sea bass in or from the areas and during the time 
periods described in Sec.  648.122(a) or (b) while in possession of any 
trawl nets or netting that do not meet the minimum mesh restrictions or 
that are obstructed or constricted as specified in Sec. Sec.  648.122 
and 648.123(a), unless the nets or netting are stowed in accordance 
with Sec.  648.123(b).
* * * * *
    (127) [Reserved]
    3. In Sec.  648.100, paragraph (a) is revised to read as follows:

Sec.  648.100  Catch quotas and other restrictions.

    (a) Review. The Summer Flounder Monitoring Committee shall review 
each year the following data, subject to availability, unless a TAL has 
already been established for the upcoming calendar year as part of a 
multiple-year specification process, provided that new information does 
not require a modification to the multiple-year quotas, to determine 
the annual allowable levels of fishing and other restrictions necessary 
to achieve, with at least a 50-percent probability of success, a 
fishing mortality rate (F) that produces the maximum yield per recruit 
(Fmax): Commercial, recreational, and research catch data; 
current estimates of fishing mortality; stock status; recent estimates 
of recruitment; virtual population analysis results; levels of 
noncompliance by fishermen or individual states; impact of size/mesh 
regulations; sea sampling and winter trawl survey data or, if sea 
sampling data are unavailable, length frequency information from the 
winter trawl survey and mesh selectivity analyses; impact of gear other 
than otter trawls on the mortality of summer flounder; and any other 
relevant information.
* * * * *
    4. In Sec.  648.120, paragraph (a) is revised to read as follows:

Sec.  648.120  Catch quotas and other restrictions.

    (a) Review. The Scup Monitoring Committee shall review each year 
the following data, subject to availability, unless a TAL already has 
been established for the upcoming calendar year as part of a multiple-
year specification process, provided that new information does not 
require a modification to the multiple-year quotas: Commercial, 
recreational, and research data; current estimates of fishing 
mortality; stock status; recent estimates of recruitment; virtual 
population analysis results; levels of noncompliance by fishermen or 
individual states; impact of size/mesh regulations; impact of gear on 
the mortality of scup; and any other relevant information. This review 
will be conducted to determine the allowable levels of fishing and 
other restrictions necessary to achieve the F that produces the maximum 
yield per recruit (Fmax).
* * * * *
    5. In Sec.  648.122, paragraph (d) is removed and reserved, and the 
section heading, paragraph (a)(1), and the first two sentences of 
paragraph (b)(1) are revised to read as follows:

Sec.  648.122  Season and area restrictions.

    (a) * * *
    (1) * * * From January 1 through March 15, all trawl vessels in the

[[Page 70426]]

Southern Gear Restricted Area that fish for or possess non-exempt 
species as specified in paragraph (a)(2) of this section must fish with 
nets that have a minimum mesh size of 5.0-inch (12.7-cm) diamond mesh, 
applied throughout the codend for at least 75 continuous meshes forward 
of the terminus of the net. For trawl nets with codends (including an 
extension) of fewer than 75 meshes, the entire trawl net must have a 
minimum mesh size of 5.0 inches (12.7 cm) throughout the net. The 
Southern Gear Restricted Area is an area bounded by straight lines 
connecting the following points in the order stated (copies of a chart 
depicting the area are available from the Regional Administrator upon 
request):

                      SOUTHERN GEAR RESTRICTED AREA
------------------------------------------------------------------------
                  Point                       N. Lat.        W. Long.
------------------------------------------------------------------------
SGA1....................................     39[deg] 20'     72[deg] 53'
SGA2....................................     39[deg] 20'     72[deg] 28'
SGA3....................................     38[deg] 00'     73[deg] 58'
SGA4....................................     37[deg] 00'     74[deg] 43'
SGA5....................................     36[deg] 30'     74[deg] 43'
SGA6....................................     36[deg] 30'     75[deg] 03'
SGA7....................................     37[deg] 00'     75[deg] 03'
SGA8....................................     38[deg] 00'     74[deg] 23'
SGA1....................................     39[deg] 20'     72[deg] 50'
------------------------------------------------------------------------

    (b) * * *
    (1) * * * From November 1 through December 31, all trawl vessels in 
the Northern Gear Restricted Area I that fish for or possess non-exempt 
species as specified in paragraph (b)(2) of this section, 5.0-inch 
(12.7 cm) diamond mesh, applied throughout the codend for at least 75 
continuous meshes forward of the terminus of the net. For trawl nets 
with codends (including an extension) of fewer than 75 meshes, the 
entire trawl net must have a minimum mesh size of 5.0 inches (12.7 cm) 
throughout the net. * * *
* * * * *
    (d) [Reserved]
* * * * *
    6. In Sec.  648.123, paragraph (a)(1) is revised to read as 
follows:

Sec.  648.123  Gear restrictions.

    (a) * * *
    (1) Minimum mesh size. No owner or operator of an otter trawl 
vessel that is issued a scup moratorium permit may possess 500 lb 
(226.8 kg) or more of scup from November 1 through April 30, or 200 lb 
(90.7 kg) or more of scup from May 1 through October 31, unless fishing 
with nets that have a minimum mesh size of 5.0-inch (12.7-cm) diamond 
mesh, applied throughout the codend for at least 75 continuous meshes 
forward of the terminus of the net, and all other nets are stowed in 
accordance with Sec.  648.23(b)(1). For trawl nets with codends 
(including an extension) of fewer than 75 meshes, the entire trawl net 
must have a minimum mesh size of 5.0 inches (12.7 cm) throughout the 
net. Scup on board these vessels must be stowed separately and kept 
readily available for inspection. Measurement of nets will be in 
conformity with Sec.  648.80(f)(2)(ii).
* * * * *
    7. In Sec.  648.140, paragraph (a) is revised to read as follows:

Sec.  648.140  Catch quotas and other restrictions.

    (a) Review. The Black Sea Bass Monitoring Committee shall review 
each year the following data, subject to availability, unless a TAL 
already has been established for the upcoming calendar year as part of 
a multiple-year specification process, provided that new information 
does not require a modification to the multiple-year quotas, to 
determine the allowable levels of fishing and other restrictions 
necessary to result in a target exploitation rate of 23 percent (based 
on Fmax) in 2003 and subsequent years: Commercial, 
recreational, and research catch data; current estimates of fishing 
mortality; stock status; recent estimates of recruitment; virtual 
population analysis results; levels of noncompliance by fishermen or 
individual states; impact of size/mesh regulations; sea sampling and 
winter trawl survey data, or if sea sampling data are unavailable, 
length frequency information from the winter trawl survey and mesh 
selectivity analyses; impact of gear other than otter trawls, pots and 
traps on the mortality of black sea bass; and any other relevant 
information.
* * * * *
[FR Doc. 04-26724 Filed 12-3-04; 8:45 am]
BILLING CODE 3510-22-S
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