H. R. 4818—79
of the Magnuson-Stevens Fishery Conservation and Manage-
ment Act (16 U.S.C. 1852(a)(1)(G)).
(5) LLP LICENSE.—The term ‘‘LLP license’’ means a Federal
License Limitation program groundfish license issued pursuant
to section 679.4(k) of title 50, Code of Federal Regulations
(or successor regulation).
(6) LONGLINE CATCHER PROCESSOR SUBSECTOR.—The term
‘‘longline catcher processor subsector’’ means the holders of
an LLP license that is noninterim and transferable, or that
is interim and subsequently becomes noninterim and transfer-
able, and that is endorsed for Bering Sea or Aleutian Islands
catcher processor fishing activity, C/P, Pcod, and hook and
line gear.
(7) NON-AFA TRAWL CATCHER PROCESSOR SUBSECTOR.—The
term ‘‘non-AFA trawl catcher processor subsector’’ means the
owner of each trawl catcher processor—
(A) that is not an AFA trawl catcher processor;
(B) to whom a valid LLP license that is endorsed
for Bering Sea or Aleutian Islands trawl catcher processor
fishing activity has been issued; and
(C) that the Secretary determines has harvested with
trawl gear and processed not less than a total of 150
metric tons of non-pollock groundfish during the period
January 1, 1997 through December 31, 2002.
(8) NON-POLLOCK GROUNDFISH FISHERY.—The term ‘‘non-
pollock groundfish fishery’’ means target species of Atka mack-
erel, flathead sole, Pacific cod, Pacific Ocean perch, rock sole,
turbot, or yellowfin sole harvested in the BSAI.
(9) POT CATCHER PROCESSOR SUBSECTOR.—The term ‘‘pot
catcher processor subsector’’ means the holders of an LLP
license that is noninterim and transferable, or that is interim
and subsequently becomes noninterim and transferable, and
that is endorsed for Bering Sea or Aleutian Islands catcher
processor fishing activity, C/P, Pcod, and pot gear.
(10) SECRETARY.—Except as otherwise provided in this Act,
the term ‘‘Secretary’’ means the Secretary of Commerce.
(b) AUTHORITY
FOR
BSAI CATCHER
PROCESSOR
CAPACITY
REDUCTION PROGRAM.—
(1) IN GENERAL.—A fishing capacity reduction program for
the non-pollock groundfish fishery in the BSAI is authorized
to be financed through a capacity reduction loan of not more
than $75,000,000 under sections 1111 and 1112 of the Merchant
Marine Act, 1936 (46 U.S.C. App. 1279f and 1279g).
(2) RELATIONSHIP TO MERCHANT MARINE ACT, 1936.—The
fishing capacity reduction program authorized by paragraph
(1) shall be a program for the purposes of subsection (e) of
section 1111 of the Merchant Marine Act, 1936 (46 U.S.C.
App. 1279f), except, notwithstanding subsection (b)(4) of such
section, the capacity reduction loan authorized by paragraph
(1) may have a maturity not to exceed 30 years.
(c) AVAILABILITY OF CAPACITY REDUCTION FUNDS TO CATCHER
PROCESSOR SUBSECTORS.—
(1) IN GENERAL.—The Secretary shall make available the
amounts of the capacity reduction loan authorized by subsection
(b)(1) to each catcher processor subsector as described in this
subsection.
H. R. 4818—80
(2) INITIAL AVAILABILITY OF FUNDS.—The Secretary shall
make available the amounts of the capacity reduction loan
authorized by subsection (b)(1) as follows:
(A) Not more than $36,000,000 for the longline catcher
processor subsector.
(B) Not more than $6,000,000 for the AFA trawl
catcher processor subsector.
(C) Not more than $31,000,000 for the non-AFA trawl
catcher processor subsector.
(D) Not more than $2,000,000 for the pot catcher proc-
essor subsector.
(3) OTHER AVAILABILITY OF FUNDS.—After January 1, 2009,
the Secretary may make available for fishing capacity reduction
to one or more of the catcher processor subsectors any amounts
of the capacity reduction loan authorized by subsection (b)(1)
that have not been expended by that date.
(d) BINDING REDUCTION CONTRACTS.—
(1) REQUIREMENT FOR CONTRACTS.—The Secretary may not
provide funds to a person under the fishing capacity reduction
program authorized by subsection (b) if such person does not
enter into a binding reduction contract between the United
States and such person, the performance of which may only
be subject to the approval of an appropriate capacity reduction
plan under subsection (e).
(2) REQUIREMENT
TO
REVOKE
LICENSES.—The Secretary
shall revoke all Federal fishery licenses, fishery permits, and
area and species endorsements issued for a vessel, or any
vessel named on an LLP license purchased through the fishing
capacity reduction program authorized by subsection (b).
(e) DEVELOPMENT, APPROVAL, AND NOTIFICATION OF CAPACITY
REDUCTION PLANS.—
(1) DEVELOPMENT.—Each catcher processor subsector may,
after notice to the Council, submit to the Secretary a capacity
reduction plan for the appropriate subsector to promote sustain-
able fisheries management through the removal of excess har-
vesting capacity from the non-pollock groundfish fishery.
(2) APPROVAL BY THE SECRETARY.—The Secretary is author-
ized to approve a capacity reduction plan submitted under
paragraph (1) if such plan—
(A) is consistent with the requirements of section 312(b)
of the Magnuson-Stevens Fishery Conservation and
Management Act (16 U.S.C. 1861a(b)) except—
(i) the requirement that a Council or Governor
of a State request such a program set out in paragraph
(1) of such subsection; and
(ii) the requirements of paragraph (4) of such sub-
section;
(B) contains provisions for a fee system that provides
for full and timely repayment of the capacity reduction
loan by a catcher processor subsector and that may provide
for the assessment of such fees based on methods other
than ex-vessel value of fish harvested;
(C) does not require a bidding or auction process;
(D) will result in the maximum sustained reduction
in fishing capacity at the least cost and in the minimum
amount of time; and
H. R. 4818—81
(E) permits vessels in the catcher processor subsector
to be upgraded to achieve efficiencies in fishing operations
provided that such upgrades do not result in the vessel
exceeding the applicable length, tonnage, or horsepower
limitations set out in Federal law or regulation.
(3) APPROVAL BY REFERENDUM.—
(A) IN GENERAL.—Following approval by the Secretary
under paragraph (2), the Secretary shall conduct a ref-
erendum for approval of a capacity reduction plan for the
appropriate catcher processor subsector. The capacity
reduction plan and fee system shall be approved if the
referendum votes which are cast in favor of the proposed
system by the appropriate catcher processor subsector are—
(i) 100 percent of the members of the AFA trawl
catcher processor subsector; or
(ii) not less than 2⁄3 of the members of—
(I) the longline catcher processor subsector;
(II) the non-AFA trawl catcher processor sub-
sector; or
(III) the pot catcher processor subsector.
(B) NOTIFICATION PRIOR TO REFERENDUM.—Prior to con-
ducting a referendum under subparagraph (A) for a
capacity reduction plan, the Secretary shall—
(i) identify, to the extent practicable, and notify
the catcher processor subsector that will be affected
by such plan; and
(ii) make available to such subsector information
about any industry fee system contained in such plan,
a description of the schedule, procedures, and eligibility
requirements for the referendum, the proposed pro-
gram, the estimated capacity reduction, the amount
and duration, and any other terms and conditions of
the fee system proposed in such plan.
(4) IMPLEMENTATION.—
(A) NOTICE OF IMPLEMENTATION.—Not later than 90
days after a capacity reduction plan is approved by a ref-
erendum under paragraph (3), the Secretary shall publish
a notice in the Federal Register that includes the exact
terms and conditions under which the Secretary shall
implement the fishing capacity reduction program author-
ized by subsection (b).
(B) INAPPLICABILITY OF IMPLEMENTATION PROVISION OF
MAGNUSON.—Section 312(e) of the Magnuson-Stevens
Fishery Conservation and Management Act (16 U.S.C.
1861a(e)) shall not apply to a capacity reduction plan
approved under this subsection.
(5) AUTHORITY TO COLLECT FEES.—The Secretary is author-
ized to collect fees to fund a fishing capacity reduction program
and to repay debt obligations incurred pursuant to a plan
approved under paragraph (3)(A).
(f) ACTION BY OTHER ENTITIES.—Upon the request of the Sec-
retary, the Secretary of the Department in which the National
Vessel Documentation Center operates or the Secretary of the
Department in which the Maritime Administration operates, as
appropriate, shall, with respect to any vessel or any vessel named
on an LLP license purchased through the fishing capacity reduction
program authorized by subsection (b)—