Fisheries Finance Program

The FFP provides long-term fixed rate financing for the cost of:

• Refurbishing, modernization or purchasing of existing fishing vessels, fisheries facilities, or aquaculture facilities;

• Harvesting privileges in federally managed limited access systems (Catch Shares); and

• Individual fishing quota in the Northwest Halibut/Sablefish and Bering Sea/Aleutian Islands Crab Fisheries.

The FFP will also refinance existing debt incurred for these purposes. The FFP will not finance a vessel refurbishing project that materially increases a vessel’s harvesting capacity.

NOAA's program page publishes no applicant eligibility at all — only what the money may be used for. The binding applicant tests live in the program's own regulations, 50 CFR part 253.

Who may apply (50 CFR 253.12(a)):

• "An applicant must be a U.S. citizen and be eligible to document a vessel in the coastwise trade"; and

• "Only the legal title holder of project property, or its parent company (or the lessee of an appropriate long-term lease) may apply for a loan"; and

• "An applicant and the majority of its principals must generally have the ability, experience, resources, character, reputation, and other qualifications the Program deems necessary for successfully operating, utilizing, or carrying out the project and protecting the Program's interest"; and

• "Applicants should apply to the appropriate NMFS Regional Financial Services Branch to be considered."

An applicant is "the individual or entity applying for a loan," so individual fishermen and aquaculture operators are eligible — not only companies.

Experience is a hard gate. The Program "will not provide financing ... to an applicant who cannot document successful fishing industry ability and experience of a duration, degree, and nature that the Program deems necessary to successfully repay the requested loan," nor "for venture capital purposes."

What the loan may be used for — the real screen for most applicants. Long-term fixed rate financing for:

• "Refurbishing, modernization or purchasing of existing fishing vessels, fisheries facilities, or aquaculture facilities";

• "Harvesting privileges in federally managed limited access systems (Catch Shares)";

• "Individual fishing quota in the Northwest Halibut/Sablefish and Bering Sea/Aleutian Islands Crab Fisheries."

Refinancing of debt incurred for those purposes is allowed. But note the word existing, and note the exclusion: "It will not finance a vessel refurbishing project that materially increases a vessel's harvesting capacity."

Also expect. A credit review, "a background check, fisheries violations check and credit review"; a loan capped at "80 percent of actual cost"; NOAA holding "first lien(s) on all primary project property pledged as collateral"; and possible decline or delay for any applicant "found to have outstanding citations, notices of violations, or other pending legal actions or unresolved claims."

Where. National. No state or region restriction — the Southeast, Northeast and Northwest Financial Services Branches cover the country.

How you get in. There is no deadline and no public round. You phone your regional Financial Services Branch and discuss the project first; an application form is issued only "if your proposal appears to meet the program's requirements."

NOAA publishes very little about the money on this program page — two facts only:

• "The Fisheries Finance Program provides long-term fixed rate financing" (the page publishes no rate, no maximum loan amount, no loan-to-value limit, and no maximum term in years).

• Application fee: "If your proposal appears to meet the program's requirements, you will receive an application form to complete and submit along with a one-time filing/commitment fee equal to 1/2 of 1 percent of your proposed loan amount." On a $1,000,000 request that is a $5,000 fee.

No cost-share, match, or down-payment requirement is published. There is no application deadline; you start by contacting the regional Financial Services Branch (Southeast, St. Petersburg FL (727) 824-5377; Northeast, Gloucester MA (978) 281-9202; Northwest, Seattle WA (206) 526-6122) and discussing your project before an application is issued.

Eligible uses are specific: refurbishing, modernizing or purchasing existing fishing vessels, fisheries facilities or aquaculture facilities; harvesting privileges in federally managed limited access systems (catch shares); and IFQ in the Northwest Halibut/Sablefish and Bering Sea/Aleutian Islands Crab fisheries. The program will refinance existing debt incurred for those purposes, but "will not finance a vessel refurbishing project that materially increases a vessel's harvesting capacity." Assistance Listing 11.415.

Expect the actual rate, term and collateral terms to be quoted case by case by the Financial Services Branch — they are not published.

Contact your regional Financial Services Branch and discuss your project

• Southeast Financial Services Branch: St. Petersburg, FL (727) 824-5377

• Northeast Financial Services Branch: Gloucester, MA (978) 281-9154

• Northwest Financial Services Branch: Seattle, WA (206) 526-6122

If your proposal appears to meet the program's requirements, you will receive an application form to complete and submit along with a one-time filing/commitment fee equal to 1/2 of 1 percent of your proposed loan amount.