Subsidy Phase II

Eastern Gulf Bycatch Reduction Incentive Program

Question & Answer || Bidding Application

January 1, 2012 will begin a new subsidy program for snapper lease in the Eastern Gulf to reduce regulatory snapper discards East of Cape San Blas.

The program is designed to run a full year plus depending on availability of funds and allocation.

For those that qualified in 2011, you will automatically qualify for 2012.

For those that did not submit paper work for 2011, paper work can be submitted now or any time throughout the program. We encourage submitting your paper work asap to ensure your chance of participation in the beginning of the program.

The maximum amount of red snapper allocation per vessel at a subsidized price has changed to better address by-catch among participants.

The new limits will be 200lbs per vessel per month of subsidized red snapper regardless of gear type or ice box size. Additional snapper allocation will be available at market price; currently ($3.25).

This new by-catch reduction program (Phase II) was designed, using data collected from the first phase, to better address by-catch throughout the full year in the Eastern Gulf and give opportunity to more participants.

Snapper allocation with subsidy will be distributed through a bid process. Participants will be given a chance to submit a bid for snapper allocation. All bids must be in our office by the 5th day of the month. Any bids received after the 5th day of the month will be processed the following month.

There will be a limit of 10,000lbs per month of subsidized red snapper allocation sold- with the exception of January 2012 in which 20,000lbs will be sold if available. Additional allocation will be available at market price.

The minimum bid price will be $2.50 per lb. The Minimum bid may change throughout the year. The highest bids will be accepted first, working down to the lower bids until the allocation cap has been met for the month. The higher your bid, (closer to the market price) the higher your chance of receiving subsidized snapper allocation will be.

Low bids that did not get used will be carried over to the next month (unless specified not to) and will go through the same process. If it does not get processed after the third month it will be pulled out regardless and you will have to re-submit a new application to bid/purchase.

Please read the application form as well as the Q&A for more information on submitting your paper work.

Feel free to call with any questions.

Thank you,

Glen Brooks

Gulf of Mexico IFQ inc.

IFQ@gfquota.com

941-920-7302

Question & Answer || Bidding Application

Disclaimer: The Gulf of Mexico IFQ Inc. and its funders reserve the right to change and or end this program any time throughout the year.