Longline Catcher Processor Subsector of the Bering Sea and Aleutian Islands Non-Pollock Groundfish Fishery Buyback Program

Congress authorized up to $75 million to finance fishing capacity reduction programs within the Alaska non-pollock fisheries.

Alaska

National

This program allocated a $36 million portion to permanently remove three fishing vessels and 12 fishing licenses and permits from the longline catcher processor subsector.

All longline catcher processors harvesting non-pollock groundfish (“fish sellers”) are required to pay the fee and all parties making the first ex-vessel purchase of the non-pollock groundfish (“fish buyers”) are required to collect the fee, account for and forward the fee revenue for the purpose of repaying the loan. Since this industry subsector is comprised of catcher-processors, the members are deemed to be both the fish sellers and fish buyers.

The established fee is based on a $/lb. basis, provided the total fees collected do not exceed 5 percent of the average ex-vessel production value. The fee amount is calculated on an annual basis: the principal and interest amount due over the preceding 12 months, divided by the metric tons of pacific cod allocated to the longline catcher processors, multiplied by 2,205. The original fee was assessed at $0.02 per pound caught with payment and collection beginning on October 24, 2007. NOAA Fisheries has subsequently determined the fee rate was generating more than necessary to service the 30-year loan and therefore the rate has been reduced on multiple occasions, currently to $0.0200 per pound, effective January 1, 2023. The interest rate is fixed at 6.84 percent.

On September 24, 2012, NOAA Fisheries published a final rule to implement a second fishing capacity reduction program and an industry fee system to repay a $2.7 million loan for a single latent permit within the Longline Catcher Processor Subsector of the Bering Sea and Aleutian Islands non-pollock groundfish fishery. In November 2012, NOAA Fisheries conducted a referendum to determine the industry’s willingness to repay a fishing capacity reduction loan to purchase the permit identified in the reduction plan. All 32 of the votes timely received approved the fees. NOAA Fisheries tendered the reduction payment on December 18, 2012, and fee collection on this second loan began January 1, 2013. The current fee rate for the second non-pollock loan is $0.0010 per pound.

Please see the links below for more information and visit Pay.gov to submit fee collection payments.

BSAI Non-Pollock Groundfish Buyback Loan Fees are due by the 15th day of the month after the month in which landings occurred. Buyback fees received after that date are subject to a 1.5 percent per month late fee.

Summary of non-pollock loan balances