NOAA counsel briefs Pacific Council on financial-disclosure rules, 10% threshold for recusals

NOAA General Counsel Sheila Lynch gave council members a detailed refresher on statutory financial-disclosure and recusal rules under the Magnuson-Stevens Act and implementing federal regulations.

Lynch told the council the rules are intended to allow industry voices to participate with transparency. "The Magnuson Stevens Act requires council members to file a statement of financial interest to assist in identifying potential conflicts of interest and appropriate occasions for recusals," Lynch said during her overview. She outlined who counts as an affected individual, including nominees and appointees who serve as voting members, and explained that state representatives are not included in that category.

Lynch described the stepwise approach staff and counsel use to determine whether a voting recusal is required—(1) is the agenda item a council decision, (2) is a voting member an affected individual for the fishery or sector, (3) is there a close causal link between the decision and the member's interest, and (4) would the effect be an expected and substantially disproportionate benefit to that member. "So 10% is the magic number," Lynch said when explaining how significance thresholds are calculated for ownership, processing or harvest interests.

Executive Director Burden and members asked procedural questions about how determinations will be coordinated ahead of future meetings. Lynch said GC and regional counsel plan to review agendas before meetings and notify members of potential recusal issues in advance. The council took no action; the item was presented as informational.