Fishery Management Council Financial Disclosures and Recusal

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Department of Commerce · National Oceanic & Atmospheric Administration · National Marine Fisheries Service

NATIONAL MARINE FISHERIES SERVICE POLICY 01-116
Effective on: November 18, 2021
To be reviewed on: October 4, 2024
Fisheries Management

FISHERY MANAGEMENT COUNCIL FINANCIAL DISCLOSURES AND RECUSAL
NOTICE: This publication is available at: https://www.fisheries.noaa.gov/national/lawsand-policies/fisheries-management-policy-directives
Author name: Morgan Corey
Office: F/SF3

Certified by: Kelly Denit
Office: F/SF

Type of Issuance: Revision, November 2021
SUMMARY OF REVISIONS:
This update revises the Directive to provide additional guidance on recusal determinations and
the development of regional recusal determination procedure handbooks.

I.

Introduction
The National Oceanic and Atmospheric Administration’s (NOAA’s) National Marine
Fisheries Service (NMFS) provides policy guidance on the review of financial
disclosures submitted by members of the Scientific and Statistical Committees (SSCs)
and by appointed members of the Fishery Management Councils (Councils) and the
preparation and issuance of recusal determinations. Appointed Council members, for
purposes of this Policy Directive, are those voting Council members defined by Section
302(b)(1)(C) of the Magnuson-Stevens Fishery Conservation and Management Act
(MSA) (16 U.S.C. 1852(b)(1)(C)). Section 302(j) of the MSA requires appointed
Council members to disclose their financial interests (16 U.S.C. 1852(j)). Section 302(g)
of the MSA requires individuals appointed by a Council to a SSC to disclose their
financial interests (16 U.S.C. 1852(g)). The financial information required to be reported
must be disclosed on the Statement of Financial Interests form NOAA 88-195, or such
other form as the Secretary may prescribe. SSC and Council members complete and
submit the Statement of Financial Interests form to fulfill the disclosure requirements of
the MSA. The purpose of the Statement of Financial Interests form is to assist the
member and NMFS in avoiding conflicts between official duties and private financial
interests or affiliations. The MSA requires the disclosure of any financial interest in
harvesting, processing, lobbying, advocacy, or marketing activity that is being, or will be,
undertaken within any fishery over which the member’s Council has jurisdiction. This

NMFS Policy 01-116, November 18, 2021
also includes employment with an entity that provides consulting, legal, or
representational services relating to harvesting, processing, lobbying, advocacy, or
marketing activities. SSC and Council members must disclose such financial interests
held by them; their spouse, minor child, partner; or any organization (other than the
Council) in which they are serving as an officer, director, trustee, partner, or employee.
Section 302(j) of the MSA also prohibits Council members from voting on any Council
decision that would have a significant and predictable effect on a financial interest
disclosed in the form. Regulations implementing the MSA’s financial disclosure and
recusal requirements are located at 50 CFR 600.235.
II.

Objective
This policy directive outlines major responsibilities for NMFS and relevant parties in the
Council process to comply with financial disclosure and recusal requirements. It is the
policy of NMFS, in order to carry out the responsibilities of the Secretary pursuant to
Sections 302(g) and (j) of the MSA and implementing regulations, to provide an effective
and transparent process for submission and review of financial disclosure forms and for
identifying and resolving any conflicts of interest by Council members. The process
should ensure Council appointments are made using complete and accurate financial
information from nominees, and financial disclosure forms submitted by SSC and
Council members are complete and available to the public. The process also should
ensure Council members and the public are aware of the information and methods used in
determining whether recusal of a Council member is required due to a conflict of interest,
and the procedures followed in issuing recusal determinations. In accordance with the
MSA and 50 CFR 600.235(i), it is unlawful for an affected individual to knowingly and
willfully fail to disclose, or to falsely disclose, any financial interest as required by the
MSA, or to knowingly vote on a Council decision in violation of the MSA.

III.

Authorities and Responsibilities
This policy directive establishes the following authorities and responsibilities, which are
within those responsibilities established in the MSA and implementing regulations (See
50 CFR 600.235):

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NMFS Policy 01-116, November 18, 2021

The NMFS Office of Sustainable Fisheries (OSF) is responsible for:
• Conducting oversight of the financial disclosure and recusal process.
• Initially reviewing the financial disclosure forms submitted by nominees before
appointment to the Councils.
• Developing and updating national guidance on financial disclosure and recusal.
• Providing proposed modifications to the national guidance on financial disclosure and
recusal to NMFS Regional Offices, NOAA Office of General Counsel (GC)
(including NOAA GC Regional Sections), and the Council Coordination Committee
(16 U.S.C. 1852(l)) for their review and comment before the modifications are
finalized.
• Reviewing and commenting on all proposed Regional Recusal Determination
Procedure Handbooks (described in 50 CFR 600.235(f) and NMFS Procedural
Directive 01-116-01) to ensure consistency, where practicable, of recusal procedures
among the regions.
• Creating and maintaining a place on the NMFS OSF webpage that provides links to
each NMFS Regional Office webpage where the Regional Recusal Determination
Procedure Handbook(s), any written recusal determinations, and any appeals of
recusal determinations can be found.
The NMFS Regional Offices are responsible for:
• Reviewing the financial disclosure forms submitted by SSC members and appointed
Council members for Councils on which the Regional Administrator is a member,
and advising the OSF, NOAA GC Regional Section, Council Executive Director, and
Council member if questions or discrepancies arise.
• Responding to SSC and Council member questions regarding the financial disclosure
form.
• Maintaining a file of submitted financial disclosure forms for the region’s Council(s),
and keeping each form in accordance with 50 CFR 600.235(b)(5).
• Reviewing current financial disclosure forms prior to Council meetings to determine
the potential for a conflict of interest, and advising the NOAA GC Regional Section,
Council Executive Director, and Council member of any such concern.
• If requested by the NOAA GC Regional Section, assisting with the development of,
or modifications to, the Regional Recusal Determination Procedure Handbook(s)
(described in 50 CFR 600.235(f) and NMFS Procedural Directive 01-116-01).
• Reviewing and commenting on all proposed Regional Recusal Determination
Procedure Handbooks.
• Reviewing and commenting on proposed modifications to the national guidance on
financial disclosure and recusal.
• Creating and maintaining a place on the region’s webpage that provides the public
with access to the Regional Recusal Determination Procedure Handbook(s), any
written recusal determinations, and any appeals of recusal determinations.
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NMFS Policy 01-116, November 18, 2021

The NOAA GC Regional Sections are responsible for:
• Reviewing the financial disclosure forms submitted by SSC members and appointed
Council members for Councils on which the Regional Administrator is a member,
and advising the NMFS Regional Office, Council Executive Director, and Council
member if questions or discrepancies arise.
• Reviewing current financial disclosure forms prior to Council meetings to determine
the potential for a conflict of interest, and advising the NMFS Regional Office,
Council Executive Director, and Council member of any such concern.
• Responding to SSC and Council member questions regarding the financial disclosure
form and requests for recusal determinations.
• Assisting NMFS OSF in developing and updating the national guidance on financial
disclosure and recusal.
• Developing and updating the Regional Recusal Determination Procedure
Handbook(s) (described in 50 CFR 600.235(f) and NMFS Procedural Directive 01116-01).
• Providing the NMFS Regional Office, Council Executive Director, and Council
members with an opportunity to review and comment on all proposed Regional
Recusal Determination Procedure Handbooks before they are finalized.
• Providing the NMFS Regional Office and Council Executive Director with copies of
the Regional Recusal Determination Procedure Handbook(s) when finalized.
• Providing the NMFS Regional Office with copies of the Regional Recusal
Determination Procedure Handbook(s), any written recusal determinations, and any
appeals of recusal determinations for posting on the NMFS Regional Office webpage.
• Conducting an annual briefing for the Councils on financial disclosure and recusal
requirements.
The Council Executive Directors are responsible for:
• Distributing and collecting financial disclosure forms for SSC and Council members.
• Responding to SSC and Council member questions regarding the financial disclosure
form.
• Reviewing the financial disclosure forms submitted by SSC members and appointed
Council members, and advising the NMFS Regional Office, NOAA GC Regional
Section, and Council member if questions or discrepancies arise.
• Reviewing current financial disclosure forms prior to Council meetings to determine
the potential for a conflict of interest, and advising the NMFS Regional Office,
NOAA GC Regional Section, and Council member of any such concern.
• Recording any determinations regarding recusals or other information surrounding
conflicts of interest required for inclusion in NMFS’ annual Report to Congress.
• Organizing the Council’s review of all proposed Regional Recusal Determination
Procedure Handbook(s) (described in 50 CFR 600.235(f) and NMFS Procedural
Directive 01-116-01) and providing the Council’s comments to the NMFS Regional
Office and NOAA GC Regional Section.
• Providing Council members with access to the Regional Recusal Determination
Procedure Handbook applicable to that Council.
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NMFS Policy 01-116, November 18, 2021
IV.

Measuring Effectiveness
Section 302(j)(9) of the MSA requires the Secretary to submit an annual report to
Congress on action taken by the Secretary and the Councils to implement the
disclosure of financial interest and recusal requirements of the MSA, including
identifying any conflict of interest problems with respect to the Councils and
Scientific and Statistical Committees and recommendations for addressing any such
problems.
References
Procedural directive 01-116-01 will be issued to implement this policy.

ty;:

V.

Signed________________
________11/18/21____________
Janet L. Coit
Date
Assistant Administrator for Fisheries

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