NEMAC Cat Cove

OCTOBER 2020 Strategic Narrative Northeastern Massachusetts Aquaculture Center (NEMAC) Mussel Farm and Cat Cove Marine Labs

Wes Newbury with Mark Huang and Morgan Bell

Executive Summary

The United Nations Food & Agriculture particularly negatively impacted New England’s Organization (UN FAO) estimates that global seafood sector where the need for innovation is aquaculture sector in 2018 was at $263.6B. more acute and likely for the first time, the The annual growth rate of the aquaculture question of regional food security is not an sector varies by researcher and ranges from 5 abstraction in the US Northeast. to 11%. Humanity continues to demand more Salem University’s investment in the seafood proteins. Given that overfishing of the aquaculture including having the only New oceans and other natural resources is England offshore permitted aquaculture site in continuously increasing every year, humans US Federal waters as well as its strategic need alrternative sources for sefood to feed the location north of Boston on the Northshore of planets ever-growing population. Oceans can MA, is well positioned to play a critical role in no longer naturally provide the demand for the ‘Future of Aquaculture’ for the community seafood anymore. Aquaculture is a tool to fill in that is serves. In addition to the general market the gap of seafood supply and help meet growth and the question of the workforce of the humanity’s demand for more protien. Global future in aquaculture, venture based innovation aquaculture provides a plethora of is now starting to emerge in aquaculture. The opportunities and investors are beginning to market trend is analogous to what happened in recognize that. New England is well poised to be the Food & Agriculture sector ($19B of venture more of a significant player. The Gulf of Maine capital was invested in 2019). The investments Research Institute with the Maine Aquaculture can range from seaweed, alternative Association recently published a workforce aquaculture feed to applying digital development report outlining the steady growth technologies across the value chan. Oyster of the aquaculture and the skill gaps that exist Tracker, the Maine based startup that digitizes today. The Future of Aquaculture is creating the oyster supply chain is a member of both working class and STEM jobs for New SeaAhead and is an example of this new England’s coast communities. There is now an bluetech trend in New England. opportunistic window for Salem University. Strong, global market demand, a consumer that In the spring, Salem University’s Cat Cove wants more sustainable produced and healthier Marine Laboratory and SeaAhead had an initial food, the emergence of new aquaculture discussion regarding the future of the New sectors such as seaweed as well as an industry England Marine Aquaculture Center (NEMAC). value chain that is evolving and even possibly Before Covid-19, the NEMAC team was to disrupted through digitization from technology assign a Salem University summer student to and hardware advances. And Covid19 has develop a new strategic narrative concept for

Cat Cove. Due to the pandemic, Salem University agreed that SeaAhead would assist on this new strategic vision with Wes Newbury as the project lead. Wes Newbury was a summer intern at SeaAhead and is currently enrolled in the Master of Environmental Science and Management program at the University of California Santa Barbara’s Bren School of Environmental Science & Management. Wes is from the Northshore of Massachusetts and plans to return in the summer of 2021 after completing his graduate work.

This report outlines a possible future strategy for Salem University in aquaculture. The recommendations are to:

1. Expand Research & Development to include on shore, near shore and offshore testing infrastructure to address the need for more facilities to support non-Department of Defense seawater hardware testing as well as new aquaculture breeds and methods of growing.

2. Workforce Development: The aquaculture sector is not only growing globally in size but there is a widening skillset gap for the Future of Aquaculture.

3. Off-shore Mussel Farming: Continued work to include efforts to secure the necessary social license for New England’s first offshore aquaculture farm.

All three of the above recommendations for Salem University can address a need from the coastal community, create new and resilient jobs and specifically tackle issues of widening United States income inequality that is also applicable in Northeast, MA. All the recommendations if pursued, would entail distinct fund raising paths from Federal and State public programs, regional foundations and industry.

Table of Contents

Executive Summary 2

Introduction 5

Background 6

Bluetech Open Innovation 14 and Its Role in New England 14

Recommendations 15 ACTION ITEM I 15 ACTION ITEM II 17 ACTION ITEM III 20

Strategic Partnerships 26

Funding and 28

Investment Alignment 28

Sample Grant Opportunities 31

Next Steps 33

Appendix A 34 Appendix B 36 Appendix C 37

Introduction

Salem State University is one of the largest and the team was approved by USACE and a phased most diverse state universities in the approach to construction began on the first Commonwealth of Massachusetts. It is an offshore aquaculture farm in the eastern United integral partner in the economic, cultural and States. intellectual vitality of the Greater Boston region. It is strategically centered 15 miles from Boston and Cambridge, one of the world epicenters in Cat Cove Marine Labs venture based technology innovation and on the Northshore of Massachusetts with its long Cat Cove is a historic property. In the marine history and related industry. nineteenth century, the site was a touristed beachfront where bathers could enjoy a Salem University is also the location of the saltwater pond without the hazards of the Northeastern Massachusetts Aquaculture exposed coastline. In the later part of the Center (NEMAC). Dr. Mark Fregeau and Mr. Ted twentieth century, the facility was used by the Maney, research professors of marine biology at Massachusetts’ Division of Marine Fisheries the university, direct a historic marine lab in the (DMF) as a shellfish testing facility. Salem Harbor. The lab is called Cat Cove and it is equipped with shellfish seeding facilities, The main lab building houses 5,500 square feet recirculating saltwater tanks, and its own of wet lab space including 36 tanks, ranging in saltwater cove with inflow/outflow controls. size from 40 to 850 gallons, with setup for Fregeau and Maney’s vision for Cat Cove is culturing of finfish or shellfish. Also in the main bigger than just another academic marine lab. lab are an environmentally controlled algal The two research professors envisaged their lab culture room, an analytical laboratory, a as a facility that could complement and support classroom and offices. All water entering the lab the first offshore aquaculture farm on this side is filtered and treated by UV units. Seawater is of the Atlantic. In 2012, their quest to identify distributed throughout the lab either at ambient and permit a farm site began with a $65,000 or adjusted temperatures. Seawater can be grant from NOAA. For Fregeau and Maney, this cooled or heated depending on seasonal 1 was an opportunity to provide an economic conditions or research requirements. A unique alternative to a coastal economy ravaged by the aspect of the lab is the eight acre pond, known downturn of the local fishing industry. After as Smith Pool, on site. Connected directly to reviewing geospatial data for ideal offshore site Salem Harbor, the Smith Pool is continuously selection, Fregeau, Maney, and the NEMAC flushed through a series of three tidal gates. team applied for USACE permitting in 2013. The pool follows the normal tidal cycle, but in Two years later, their hard work paid off when times of storms the gates can be closed,

©2020 SEAAHEAD, INC | 5 completely isolating the pool from the harbor. sea within the last fifty years. Their efforts to The lab maintains and oversees all activities in produce rather than extract food from the ocean the pool, allowing the lab staff to conduct field has formed one of the fastest growing food studies within a natural, controlled sectors in the world: aquaculture. environment.2

NEMAC Team (PI and Support Staff)

Background Global Aquaculture

The annual global landing of wild-caught seafood has flatlined at 90-95 million pounds.3 This average has not increased this century. Meanwhile, the percentage of fish stocks that 4 are overfished has tripled since 1974. Today at least one third of wild-caught fish are harvested 5 from stocks that are overexploited. Experts estimate that the global fishing fleet is already 6 twice as large as the ocean can sustain. As the supply of wild-caught seafood remains constant amidst declining fish stocks, the demand for seafood is rapidly increasing. In the last half century, the human population has doubled and the average person eats twice as much 7 seafood. This demand is set to double again by 8 2050. Three billion people rely on seafood for one fifth of their total animal protein intake, with higher proportions in developing 9 countries. There is only one reason seafood remains accessible to these people. Modern seafood demand could never have been filled if it were not for the agriculturists that took to the

1 h ttps://www.salemstate.edu 2 h ttps://www.salemstate.edu/ 3 h ttps://ourworldindata.org/seafood-production 4 T he State of World Fisheries and Aquaculture

5 T he State of World Fisheries and Aquaculture 6 C redit Suisse 7 h ttps://ourworldindata.org/seafood-production 8

9 h ttps://www.worldbank.org

WORLD CAPTURE FISHERIES AND AQUACULTURE PRODUCTION

NOTE: Excludes aquatic mammals, crocodiles, alligators and caimons, seaweeds, and other aquatic plants SOURCE: The State of World Fisheries and Aquaculture (fao.org)

10 Depending on the region, the aquaculture economy is growing between 7% and 20% per annum. From 11 1990 to 2018 global aquaculture production has increased by 527%. For the last seven years global aquaculture production has accounted for more seafood than the annual global landings of wild-catch.12 The margin of production between aquaculture and wild-caught seafood grows each year. In 2016 13 aquaculture accounted for at least 12 million more tons of seafood than wild-caught. Aquaculture is also replacing the wild-caught sector in job creation. The sector increased its workforce from 10% of the 14 global seafood industry to over 33% in forty years. The Food and Agriculture Organization estimates 15 that global aquaculture employs over 23 million workers globally. Of these millions only an estimated 16 9 thousand hailed from North America. This fraction of a percentage represents unfulfilled potential in a wealthy nation with over 95,000 miles of coastline. As the United States is outpaced by other nations in aquaculture production the economic impact has become apparent.

10 C redit Suisse

11 h ttps://www.fishwatch.gov/sustainable-seafood/the-global-picture 12 E ngaging for a Blue Economy, Credit Suisse 1 3 T he State of World Fisheries and Aquaculture 14 T he State of World Fisheries and Aquaculture 15 h ttp://www.fao.org/3/al363e/al363e12.pdf 16 T he State of World Fisheries and Aquaculture

U.S. Aquaculture

In the last decade, the National Oceanic and Atmospheric Administration (NOAA) as well as the Secretary of State have made aquaculture a priority for the United States. Despite these intentions, the United States remains the 14th largest aquaculture producer in the world. Lagging in this sector has largely contributed to the $14 billion annual seafood deficit incurred by a nation that imports over 80% of its 17 seafood. Of that 80%, over half is farmed. The United States consumer demands farmed fish, yet only 7.8 percent of seafood originating in the U.S. is produced through aquaculture.18 An opportunity therefore exists for domestic aquaculture to meet the U.S. seafood demand 19 currently filled by imports. Producing seafood domestically will help eliminate the nation’s seafood deficit while also providing a myriad of solutions related to coastal resiliency, food security, and sustainable fisheries. The growing demand and investment in global aquaculture present a New Economy opportunity for Salem State University. *See appendix A for more information about different types of US Aquaculture.

17 h ttps://www.fishwatch.gov/sustainable-seafood/the-global-picture 18 h ttps://www.fishwatch.gov/sustainable-seafood/the-global-picture 19 ( UMass Dartmouth Public Policy Center 2017

Source: The State of World Fisheries and Aquaculture (fao.org)

Offshore Aquaculture shipping lanes. Offshore farms also demonstrate a much lower risk for interference In the United States, approving a site for with marine mammals and a negligible effect on sustainable aquaculture is a contentious matter benthic ecology. Though offshore farms have with a slew of regulatory mandates that further the additional challenge of physically holding complicate the process. Aquacultural sites are together in a much higher energy environment, categorized by three location types: onshore, the benefits of being in deep ocean water coastal, and offshore. Each of these location include lowered risks from warming, disease, types has a unique set of benefits and setbacks biofouling, harmful algal blooms (HABs), associated with it. With regard to shellfish pollution, agricultural runoff, and depredation production, only coastal and offshore locations from protected species like diving ducks. allow for the requisite scale and feasibility of the enterprise. The main distinctions between U.S. Aquaculture Regulation and Social License these two location types have to do with space, Prospective offshore farms face a gauntlet of oceanic conditions, and regulatory authority. regulatory agencies that must each approve of the potential farm site prior to any seafood Offshore aquaculture takes place in the open production. These agencies include NOAA, the ocean of federal waters, over three miles from Environmental Protection Agency (EPA), the any U.S. coastline. Unlike coastal farms in state Army Corps of Engineers (USACE), the US Navy, waters, offshore farms do not compete for the US Coast Guard, and the U.S. Fish and space with fishing vessels, marine protected Wildlife Service (USFWS). Navigating the areas (MPAs), recreational boaters, and regulatory process and obtaining social license

©2020 SEAAHEAD, INC | 9 as in other new sectors can be complex and time consuming. For example, environmental Seaports like Gloucester, MA are experiencing organizations like the World Wildlife Foundation economic downturns with headwinds from (WWF) and The Nature Conservancy (TNC) overfishing, complex government regulation condone and support sustainable aquaculture and climate change. These same communities projects around the world, other environmental have been particularly impacted by the opioid organizations oppose farming. And some in the crisis. Their situation is now being further wild fishery community view aquaculture as a exacerbated by the collapse of global seafood threat to their livelihood. supply chains amidst the Covid-19 pandemic. Despite the chaos, these resilient seaports still In the United States only three USACE permits retain the infrastructure, facilities, vessels, and have been issued for shellfish aquaculture in seaworthy crew required to successfully federal waters; one in California and two in implement and scale offshore aquaculture. Massachusetts. In 2016, two farm sites were There has never been a more critical time to established, one off the California coast invest in the economic resiliency of New (Catalina Sea Ranch) and the other off Cape England’s working waterfronts. NEMAC’s Ann, Massachusetts (Northeastern mussel farm is a chance for New England to Massachusetts Aquaculture Center, NEMAC prove a model of aquaculture that can reclaim Mussel Farm). Catalina Sea Ranch was allowed the region’s storied coastal economy and to to fully build out to commercial scale but has create resilient jobs tied to the living ocean. since stopped operations. On the Atlantic Salem University can play a role in the evolution coast, the only two permitted sites are of the MA seafood sector to include developing restricted to a very limited grow-out (3 long workforce development program that can help lines) as a preliminary condition until the todays finfish hunters convert to tomorrows farmers can demonstrate that this activity will shellfish farmers. not adversely affect migrating protected species along the eastern seaboard (i.e. right whales). As of now, the issue of marine mammal entanglement has been the single 20 largest impediment to NEMAC’s expansion and NEMAC Mussel Farm USACE Permit commercialization.

New England Aquaculture

NEMAC represents New England’s opportunity to play a significant role in the growing global aquaculture sector. The region is uniquely positioned to assume this role with its rich maritime history and its world class technology and engineering hubs. Organizations that are working on ocean-based tech (bluetech), are forming a rudimentary ecosystem in New

England that will likely accelerate the aquaculture sector by connecting farmers to technology that can help avoid regulatory entanglement and begin restoring jobs in the coastal communities that have suffered from declining fish stocks.

This shellfish farm is located 14 nautical miles off the New methods for cultivating mussels (above) could provide fishing port of Gloucester, MA. an economic boost for local communities.

Source: Northeast Ocean Data

Massachusetts Aquaculture

In 2013, New England’s shellfish industry was worth $45-50M. Massachusetts contributed over half of the region’s shellfish output through aquaculture. The $25.4 million of the Massachusetts shellfish aquaculture production generated over $45 million in revenue for the state, which represents a 1.79 21 multiplier on its direct aquaculture activity. This multiplier effect was also noted in job creation. In 2013, Massachusetts shellfish aquaculture was directly responsible for 760 jobs that generated an 22 additional 140 jobs through indirect and induced activity. Most of this economic activity remained in state with 62% of the shellfish being sold in Massachusetts.23

21 M assachusetts Shellfish Aquaculture Economic Impact Study (2015) 22 M assachusetts Shellfish Aquaculture Economic Impact Study (2015) 23 M assachusetts Shellfish Aquaculture Economic Impact Study (2015)

WHICH SPECIES OF SHELLFISH DID YOU FARM IN 2013?

Source: Massachusetts Shellfish Aquaculture Economic Impact Study (2015)

Within the last 10 years, the US Food & New England are not capable of supplying even Agriculture sector has gone through some a fraction of the regional demand. Currently significant market changes. Consumer driven 80-90% of mussels consumed in New England demand for less processed, healthier and local are imported, primarily from Canada. Even with food as well as the application of Tech has, as a shellfish market valued at over $25 million, reported by AgFunder, resulted in ~ $40 billion there is not a single mussel farm reported in of combined venture capital investment in 2018 Massachusetts. With the expansion of the and 2019. The US local seafood sector has NEMAC farm with the necessary social license, been slow to this market trend where Massachusetts can reclaim the market on blue ‘Farm-to-Table’ has started to include local mussels while bolstering regional food security, seafood. Shellfish suppliers and restaurateurs restoring economic resiliency, and infusing in Massachusetts have indicated that there is a aquaculture expertise into its maritime large need for locally grown shellfish, especially workforce and bluetech ecosystem. Covid 19 those which are higher quality than the has impacted the MA seafood sector imported products.24 particularly hard and the American consumer today is now also more attune to food security. The blue mussel market in New England The need for new paradigms and innovation in illustrates the dilemma of demand in densely local seafood sector has never been more populated New England to local supply. The important. small coastal and onshore mussel farms of

24 h ttps://livesalemstate-my.sharepoint.com/:w:/r/personal/tmaney_salemstate_edu/_layouts/15/Doc.aspx?sourcedoc=%7BD21 E06F1-6659-4CF2-8371-699A37824822%7D&file=Addressing_Economic_Needs_for_Aq_SG_Proposal.docx&action=default&m obileredirect=true

Bluetech Open Innovation and Its Role in New England

Within the last 25 years, historically insular industries have transformed and invested in new types of innovation. Centralized coal fired utilities now work with Greentown Labs in Somerville, MA on renewable energy as does the automotive sector on electrification. ‘Big Food’ continues to struggle to adapt to changing US market and demographic changes and also now embraces food focused open innovation ecosystems. SeaAhead was formed in Boston under the thesis that the ocean economy and its associated sectors are now poised to face transformation as have Utilities, Automotive and Food & Agriculture. The following global map depicts the recent formations of bluetech related open innovation centers. The University of Southern Mississippi for example is actively working with local public (NOAA) and private sector stakeholders to create a bluetech innovation cluster on the Gulf Coast. Salem University, with partners, can participate in the emerging, global bluetech ecosystem through NEMEC/Cat Cove being a maker’s space and testing center for startups as well as corporates that need to access to real ocean conditions.

Recommendations

Creating an offshore mussel farm and providing workforce development opportunities in the aquaculture sector in Massachusetts is a cross disciplinary undertaking. Salem State University, as a higher education institution is well poised to look beyond traditional sector thinking and develop innovative solutions to achieve the efforts needed to develop the US offshore aquaculture sector. SeaAhead has put forward three recommendations that we believe Salem State University can accomplish to achieve the aforementioned goals:

1. Research & Development to include Testing: More ocean data is needed to identify ocean space that does not interfere with maritime or sensitive ecological activity. Any future successful offshore mussel sites must also have the right current velocity, nutrient load, temperature, depth, and benthic substrate to support suspension farming. Moving beyond traditional academic R&D, Salem University also have the opportunity to embrace bluetech Open Innovation addressing a lack of seawater based testing infrastructure for startups, SMEs and corporates.

2. New Workforce Development Programs: Near and offshore aquaculture long term viability requires substantial education and training for workers as well as programs to support the next generation of aquaculture leaders. Salem State University is well positioned to create both degree and certificate programs for students and older workers seeking training for aquaculture, as well as, develop entrepreneurship programs dedicated to the aquaculture sector.

3. Assist with Offshore Aquaculture Policy, Regulation and Social License: The prospective mussel farmer must navigate an amalgamation of state and federal regulatory agencies and work with the coastal communities to gain social license. Salem University, as a neutral academic institution, can help play a leading role in New England on the policy, regulation and social license issues similar to the role that the University of Rhode Island played in the spatial planning for Block Island Wind, the United State’s first offshore wind project.

ACTION ITEM I Invest in Research & Development to include Testing:

Overview:

In order to increase aquaculture sector productivity and growth, significant advancements in technologies, critical tools and data analysis processes for offshore aquaculture projects are needed. Although the aquaculture sector is growing rapidly, efficient technology and data advancements are lagging behind traditional farming industries. Robust data analysis, oceanographic research, efficient ocean farming technologies and offshore testing techniques are among the areas of the aquaculture sector that are underdeveloped. Salem State University and NEMAC are well-positioned to invest in R&D related to the development of sustainable and more efficient offshore aquaculture farms. Salem State University can utilize its undergraduate, graduate and recent graduate’s students to help support NEMAC in its efforts to help the aquaculture sector with innovative R&D solutions. To assist with funding R&D efforts, Cat Cove and other stakeholders can look to NOAA and USDA for assistance along with other private companies that are interested in R&D aquaculture investment. Topics of R&D can include:

1. Invest in more advanced oceanographic research that can be integrated into species specific - growth functions to compare the suitability of potential sites for maximizing growth.

2. Increased research on efficacy of farming techniques, new potential aquaculture opportunities such as IMTA farming and other related marine biology research that can be utilized in conjunction with mussel farms. For example: a. Integrated Multi-Trophic Aquaculture Method (IMTA) with Kelp and Mussels: NEMEC’s offshore center can experiment with developing an IMTA process utilizing kelp and mussel farming offshore. The most sustainable means of farming mussels is in deep water grown in tandem with seaweed. Seaweeds capture 5 times more carbon than 25 terrestrial plants. (For more information, see appendix A). The Department of Energy ARPA-E MARINER Program is a great resource for funding this project.

3. Research the efficacy of improved seawater borne hardware testing and potentially invest in the development of technology and testing capacity for offshore farming. Potential technologies to consider are: a. Autonomous Underwater and Surface Vehicles b. New Ocean Sensors: New ocean sensor technologies give real time data to farmers and scientists to help monitor a range of important variables including, salinity, health and dissolved oxygen levels.

4. The public and private sector have already begun to design and develop seawater born hardware testing technologies:

● A.I. Controls Inc: A.I. Controls is developing an automated buoyant aquaculture cage that has the potential to significantly reduce the risk of tethering and marine mammal entanglement. The device also increases efficiency, reducing labor toil and can grow with the machine learning sector – ultimately, dynamically optimizing the cage to depth and angle of attack. ● United States Department of Energy: Marine Hydrokinetics Program The Water Power Program at the DOE supports the development of marine hydrokinetic technologies. These technologies can harness the energy of the ocean’s waves, tides and currents and converts it into electricity to power our homes, buildings and cities.

AI Controls Inc bouyant aquaculture cage US DOE Marine Hydroponic grid connected tidal device

25 h ttps://www.sciencedaily.com/releases/2019/06/190603124721.htm

Leasing Offshore Space to help with R&D:

Research institutions and ocean related firms have no easy way of fixing their gear in the open ocean. Maintaining the same position over time can allow for data collection that is not obtainable from free-floating instruments. For example, before NEMAC deployed sensory equipment on its farm there was no data to indicate the kind of plankton densities that exist at 50ft of depth over a large period of time. Offshore infrastructure also enables new technologies to test their gear in a high energy ocean environment. Salem State should consider leasing space to organizations and firms that are seeking offshore data collection sites and blue tech R&D which will allow some initial cash flow for the NEMAC farm as well as the integration of essential partnerships with academia and research institutes. workforce is currently insufficient to meet ACTION ITEM II future demands for aquaculture, but that can change. Salem State University has the Aquaculture Workforce Development Programs resources and the expertise to help prepare the Targeting Supply and Value Chain Innovations North Shore workforce for the Future of and Business Entrepreneurship Aquaculture.

Overview: Humanity continues to demand more In 2018, the Builders Initiative, tasked the protein and the global aquaculture is expected Eastern Research Group Inc., to develop a US to help meet this demand. New workforce workforce development study related to development programs are needed to address Aquaculture and Fisheries. The study looked at both the industry growth as well as the the future of the aquaculture workforce through transformation of the sector. Although global analysing the gaps and strengths in the US aquaculture is growing rapidly, the projected US aquaculture and fisheries workforce landscape.

The group determined that the aquaculture young people have either left the industry or workforce must be able to tackle emerging avoided it all together. Without more young challenges and possess the requisite skills and people in the industry, the long-term sustainability of the sector will be in jeopardy. This trend in New England seafood contrasts the Food & Ag sector where sustainability, healthier alternatives and technology backed by access to funding is attracting young knowledge to enhance industry sustainability. entrepreneurs that is noticeably also better Skills that are needed in the sector are scientific gender balanced than other venture sectors. As and technical expertise, highly skilled labor and a University that is always looking to prepare its critical business expertise. students for success in the workforce, Salem State has the opportunity to help train and The Next Generation of Aquaculture Leaders: prepare the next generation of fishermen and fish farmers which is essential to fostering the Keeping young people interested in the fisheries skills needed for this industry. In doing so, the and aquaculture sector has proven to be university can play a leadership role in making incredibly difficult. With climate change, heavy the community more resilient from both an regulation and lack of financial incentives, many economic and environmental perspective.

PROJECTED TRENDS AND SHIFTS IN THE AQUACULTURE SECTOR:

Unmet Needs in the Aquaculture Sector:

● Demand for trained workers in farm and hatchery operations ● Lack of programs offering training in technology and data analysis as well as business entrepreneurship, despite demand for skills. ● Need for more programs that offer internship and hands-on work experiences, so participants have the practical skills they need to enter the workforce.

Workforce Development Programs to Consider:

1. Aquaculture training programs to build workforce expertise and skills: There are existing gaps in the current landscape of the aquaculture sector that Salem State University is poised to fill (image above). Appropriate training is essential to support business performance and development and to ensure the safety of employees. The US North Atlantic is well represented in traditional aquaculture related workforce development however many aquaculture programs still lack offerings on topics critical to sector growth as well as business entrepreneurship. Salem State University should consider moving beyond the traditional marine biology focused training and instead look to train workers with certificate and degree programs focused on: a. How to succeed in the evolving aquaculture supply and value chain as aquaculture becomes more in demand b. Developing and utilizing traditional and cutting-edge aquaculture offshore technology c. Knowledge building on how to conduct data analysis on the efficacy, health and environmental impacts of aquaculture projects.

1. Business Entrepreneurship Programs:

Salem State University should also design hands on business entrepreneurship programs related to aquaculture business planning and design that would give workforce entrants the tools to start and manage new aquaculture businesses. Salem State University already has a vibrant business community and resource center for aspiring entrepreneurs. The Center puts on events and training programs centered around helping businesses start and grow in the North Shore region. Cat Cove Laboratory should partner with the Salem State Enterprise Business Center to develop aquaculture entrepreneurship business initiatives to include training workshops, networking programs and the creation of resource guides designed to help entrepreneurs turn their seafood ideas into realities. Cat Cove can also work to incorporate its

aquaculture workforce development initiatives into existing Enterprise Center events and programs. These programs can target diverse audiences from undergraduates to mid-career professionals to broaden their expertise in the fisheries and aquaculture sector.

Focusing on business entrepreneurship programs and skills and expertise workforce training related to the aquaculture sector will help better prepare students to enter the workforce successfully and help build Salem State University’s reputation as a center of excellence for aquaculture and fisheries in the North Shore.

Workforce Development Program Efforts in New England:

1. Gloucester Marine Genomics Institute, Gloucester, MA: Achieving a unique and successful fisheries and aquaculture workforce development program is certainly difficult, but is absolutely viable in the North Shore. The Gloucester Marine Genomics Institute (GMGI) is a good example of a thriving Northshore workforce program that is more successful year after year. GMGI was launched in 2013 on the Gloucester, MA waterfront and represents how the ‘old’ – fisheries and the ‘new’ -genomics can economically co-exist and complement each other in a coastal community.

GMGI’s leadership had the vision to also create the Gloucester Biotechnology Academy, an entry level, young adult nine month Biotechnology Certificate Program and Summer STEM Program understanding that if Gloucester was to be a global leader in marine genomics, a wide range of job functions and skill sets would be needed. Students who have graduated from this program have gone on to work in the North Shore and Boston area biotechnology and maritime sectors. This program has provided young adults of Cape Ann the opportunity to expand their career horizons and put Gloucester back on the map as an innovative hub for new advancements and education in the fisheries and sciences industry.

1. Maine Aquaculture Sector:

In 2020, the Gulf of Maine Research Institute with the Maine Aquaculture Association published the Maine Aquaculture Workforce Development Report which outlined the growth and gaps in Maine’s aquaculture workforce skills. In short, the report recommends the creation of aquaculture vocational programs in Maine to fill the skills gap.

The University of Maine has developed a Maine Aquaculture Hub team that is currently working with NOAA Sea Grant leaders to expand training in response for workforce needs and support a 10-year roadmap for aquaculture in Maine. The program is also focusing on capacity building within Maine’s aquaculture industry to establish a responsive call for proposals that encourages industry leaders to identify the most effective means of achieving growth.

ACTION ITEM III Offshore Mussel Farming

Offshore mussel farming in New England can be an environmentally sustainable solution for expanding the New England seafood economy. Cat Cove Laboratory is poised to help expand the maritime economy through expanding its offshore blue mussel farm. The Maine Aquaculture Association recently completed a global benchmark of local mussel farming. In short, despite being a leader of mussel farming, the US, New England farms lack the economies of scale compared to industry leaders in

Europe. NEMAC’s efforts are a systemic approach to moving New England mussel farming to a larger industry.

Regional Mussel Producers 26 Mussels have been a reliable food source for thousands of years. Blue mussels are ubiquitous in Massachusetts and throughout New England, though they are often overlooked in favor of other more expensive shellfish like oysters and scallops. Like all suspension feeders, mussels filter the ocean for nutritious phytoplanktons which endow them with high nutritional value. Mussels convert this planktonic 27 food source into essential nutrients like vitamin B12, selenium, iron, zinc, folate and omega-3s. Blue mussels are known for their rich, sweet taste and are often described as being the culinary intermediary between an oyster and a clam. In Massachusetts, blue mussels are mainly harvested from wild stocks along the south coast and Cape Cod. According to the Massachusetts Division of Marine Fisheries (MDMF) Annual Reports the amount of blue mussels being landed in Massachusetts has tripled in the 28 last six years. Whether this increase should be attributed to an increase in demand or supply of wild stock is not fully understood.29

26 h ttp://www.tomarketmagazine.com/stories/2017/9/23/mussel-ing-through 27 h ttp://www.tomarketmagazine.com/stories/2017/9/23/mussel-ing-through 28 h ttp://www.tomarketmagazine.com/stories/2017/9/23/mussel-ing-through 29 h ttp://www.tomarketmagazine.com/stories/2017/9/23/mussel-ing-through

NEMAC Mussel Farm

Site selection for the offshore farm began with an analysis of marine spatial usage as well as marine mammal corridors. To do this, the NEMAC team accessed geospatial data provided by Northeast Ocean Data (NEOD) which illustrated oceanographic characteristics, fishing vessel activity, commercial vessel traffic, fishing closures, essential fish habitat (EFH), and species listed under the Endangered Species 30 Act (ESA). Having this data available greatly increased the efficiency and likelihood of application 31 approval for the NEMAC farm. This dynamic between NEMAC and NEOD is demonstrative of how the bluetech ecosystem is priming New England to be a leader in U.S. aquaculture. Still, the data and maps from NEOD would not be enough to greenlight full commercialization and NEMAC must expand piecemeal in observance of the precautionary principle.

Source: Permitting an Offshore Mussel Farm in Federal Waters Case Study

30 h ttps://www.northeastoceandata.org/case-studies/offshore-shellfish-aquaculture/ 31 h ttps://www.northeastoceandata.org/case-studies/offshore-shellfish-aquaculture/

The initial phase of the project called for a satisfy Section 7 of the Endangered Species Act single 400-foot longline submerged to a depth which requires there be no possibility of a right of 50 feet and anchored to the bottom. whale or any other endangered species Suspended from the longline would be one becoming entangled in the vertical lines of the hundred 25-foot lines on which mussels would shellfish farm. NEMAC has been monitoring the 32 grow. NEMAC has since tripled the size of the farm site with hydrophones and cameras for farm with two more long lines. The future of over five years with no sign of a right whale for NEMAC expansion involves 17 more long lines miles. Other species of whales were detected to cover nearly 33 acres of unused ocean space. swimming through the farm without any issue To become fully scaled, NEMAC must first while maneuvering freely between the lines. In

©2020 SEAAHEAD, INC | 21 addition to proving the absence of endangered boat from this port is all that is required to species within proximity to the farm, NEMAC is transport materials, construct, and operate the currently exploring technology that may allow longlines on the NEMAC farm. A captain with a them to satisfy and expedite NOAA’s approval 44ft vessel in Gloucester has already been of the Section 7 mandate by completely identified to fulfill these duties. Gloucester’s removing vertical lines, which are the only lines harbor is also equipped for the processing and that might constitute a violation of the ESA. distribution of NEMAC’s blue mussel landings. This existing infrastructure will greatly improve NEMAC farm is located 8 miles off the coast of the farm’s ability to expand to commercial Cape Ann, Massachusetts and within 12 miles scale. of Gloucester’s harbor. A lobster or trawling

Source: Northeast Ocean Data

32 h ttps://www.northeastoceandata.org/case-studies/offshore-shellfish-aquaculture/ Revenue Structure

NEMAC Basic Proforma The NEMAC offshore mussel farm is currently the only offshore aquaculture site in the United States with permission to commercially produce mussels. To date, the NEMAC farm has 3 long lines in place. Each longline is expected to yield up to 15,000 lbs of blue mussels in under 10 months. The idea is to have crops in annual rotations, seeding lines soon after they have been harvested. If NEMAC satisfies the requirements of ESA Section 7, the farm will implement 20 longlines in total. With this number of long lines, NEMAC could yield up to 300,000 lbs of blue mussels annually. With a market price for blue mussels hovering just over $1.45/lb and a higher willingness to pay for local product, NEMAC could generate revenues of over $450,000.33

The Woods Hole Oceanographic Institution (WHOI) estimates that the costs associated with farming mussels on longlines breaks down to about $.25 for every pound of mussel produced, depending on the yield and price of 34 that given year. Yield and market ,./price constitute the two primary liabilities associated with revenues. A basic breakdown of costs is summarized in the figure above. Under these assumptions a fully expanded NEMAC farm could see profits of over $337,000 annually. These cash flows do not include revenues that may be generated by other activities such as R&D, marine technology testing, seed stocking, predictive data analysis, and consultative services. These predicted cash flows also ignore the potential savings created by owning a marine lab that may soon have the potential to

do advanced shellfish testing.

Source: Business Plan for Mussel Longline Operations Startup Cost (WHOI) Long lines (per unit), harvesting machinery, data collection, labor, boat expenses, lab updates

etc.

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Source: Business Plan for Mussel Longline Operations (WHOI)

Customer Channels

Restaurants Wholesale New England restaurants have been some of American Mussel is a wholesaler and distributor the leading advocates for expanding local of seafood, mainly mussels and shellfish. shellfish production. Restaurants know that American Mussel is already partnered with local products make for high quality, fresh NEMAC and prepared to distribute their blue ingredients with a story. In many cases the mussels around the United States and the story or brand of local food production is itself world. This wholesaler claims to be capable of enough to create demand for the product. This moving 100% of NEMAC’s projected production is especially the case when the product is to market. superior to any imports. A panel of Legal Seafoods chefs have confirmed the astounding quality of the NEMAC mussels and the restaurant chain has expressed interest in partnering with NEMAC to provide mussels in all 33 of their New England locations.

Direct-to-Consumer In the United States at least 70% of seafood is 35 consumed in restaurants. Closures of restaurants due to Covid-19 have devastated the last link in the seafood value chain. In these unusual times, many seafood purveyors have been moving their product direct-to-consumer (DTC) in an attempt to tap the home-kitchen market. As businesses adapt to the new normal in a covid economy it may prove essential to access DTC channels such as weekly fish markets and other community directed events. These types of sales can provide securities Source: Legal Seafoods against breaks in the supply chain while increasing local awareness of a newly established seafood product.

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Strategic Partnerships New England is an innovative seafood hub that has many organizations that are focused on the future of New England aquaculture. There are private, public and academic partners available to assist Salem State University in accomplishing the above recommendations:

Gulf of Maine Research Institute (GMRI) ocean, data gathered while the NEMAC is GMRI has expressed interest in collaborating operational could be of interest to the WHOI with NEMAC in some capacity that will allow the team. The fixed long lines on NEMAC’s farm research institute to access offshore conditions could also provide WHOI the setting and and allow NEMAC to access the research infrastructure required to test gear and gather capacity, facilities, and network of an esteemed their own data unrelated to aquaculture. oceanographic institute. GMRI is excited about the potential of garnering offshore data that UMass Boston may have implications for coastal waters. For UMass Boston offers a professional certification example, the presence of a paralytic shellfish in Sustainable Marine Aquaculture. The poisoning (PSP) in NEMAC mussels could warn program is led by Dr. Jennifer Bender, executive other mussel farms of the incoming toxin before director of the Marine Studies Consortium. Dr. fouling more crops. Bender is focused on connecting policy makers, scientists, and other stakeholders in order to Woods Hole Oceanographic Institution advance regional aquaculture projects and she (WHOI) is especially excited about mussel farms. WHOI is one of the most esteemed Bender writes that we must “launch a oceanographic institutions in the world. movement to champion the humble mussel.”36 Advancements in offshore wind, offshore Collaboration between Salem State University aquaculture, and the need to use oceans to and UMass Boston could strengthen the decarbonize the atmosphere have directed academic channels leading to a career in New much of WHOI’s attention to the potential for England aquaculture by allowing newly certified offshore seaweed and shellfish farms. As there aquaculture professionals from UMass Boston is still so much to be understood with the the opportunity to visit or do research at the ecological impact from aquaculture in the deep NEMAC farm.

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Gloucester Marine Genomics Institute (GMGI) Genomic processing will play a vital role in offshore aquaculture in the near future. Gene sequencing allows researchers and mussel farmers to identify the strengths and weaknesses of a particular organism in an offshore environment. This make genotyping to become a more efficient and accurate tool for farmers that are hoping to increase yield by selecting for the genes that contribute to growth and disease resistance. GMGI is conveniently located in Gloucester’s harbor where NEMAC’s mussel landings will be landed from the farm. GMGI could offer important services related to genetic optimization and may be interested in accessing the NEMAC farm for their own research purposes.

Bigelow Marine Labs Bigelow is another research institution that has shown interest in a partnership with NEMAC. Bigelow would like access to offshore lines to attach sensory equipment. They are also connected with innovators that would find this space valuable. There is interest in identifying technologies that can reduce vertical lines in aquaculture before the New England lobster industry is ravaged by new regulations that will mandate a reduction in such lines.

SeaAhead SeaAhead is a bluetech hub focused on catalyzing relationships between New England’s maritime and technology sectors. SeaAhead will also partner with NEMAC to facilitate access to venture capital in the region. SeaAhead has already connected NEMAC to two firms offering solutions that advance NEMACs objective of expanding commercialization:

Funding and Investment Alignment Global Themes Now Attracting Funding

NEMEC has the ability to focus messaging and begin to align their business with the capital fund raising to Corporates, Foundation, Public available for the advancement of SDGs. Sector and Impact Investments. Salem There is an increased momentum to either University can, with a branding initiative, directly or indirectly invest under UN SDG 14. position itself globally as a New England Center Multi-nationals led by Europe with the US of Excellence to overall address UN following are formally adapting Environmental, Sustainability Goal # 14: Under Water. Social, and Governance (ESG) goals in Sustainability crosses many topics from new operations. State Street bank headquartered in and environmentally safe offshore aquaculture Boston is an example of a local multi-national to being an ocean centric tool to help combat corporate with an active ESG investment climate change. program.

The following are global themes that are Venture Capital and Environmental, Social attracting funding and relevant for NEMEC: and Governance (ESG) Investment Venture capitalists and ESG investors are UN Sustainable Development Goals (14) and beginning to enter the Bluetech economy. Climate Change Between 2014 and 2016, the volume of assets In 2015 the United Nations drafted a series of managed with explicit commitments to engage Sustainable Development Goals (SDG) that or vote on ESG issues grew by 41%. 37 target solutions that each simultaneously In a recent survey Credit Suisse found that mitigate global poverty, socioeconomic nearly half the asset managers had clients that inequality, and the effects of climate change. are actively seeking to invest in the Bluetech SDG14 is aimed at conserving and sustainably economy. Incubator and accelerator programs using the oceans in a way that achieves these like Hawaii-based HATCH, Boston-based goals. Sustainable aquaculture like IMTA BlueSwell, and Norway’s AquaSpark are support every facet of this initiative. Mussel accelerating the pace of innovation in aquaculture contributes to inclusive economic aquaculture and attracting new entrants with development, food security, reduced pressure bold ideas every year. Credit Suisse with on fisheries, increased oceanic habitat, Rockefeller Asset Management recently localized deacidification, and carbon capture. announced a new $212M public equities fund As these aquaculture models demonstrate how dedicated to sustainable oceans. they achieve the objectives of SDG14 they will

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US Income Inequality: to feeble shell construction and early mortality. Investing in STEM Talent Seaweed reduces ocean acidity and is thus Investment in aquaculture startups has brought beneficial to shell accumulation in shellfish. a new generation into the seafood industry. Seaweed and shellfish both draw down on Big-thinking and disruptive business models global carbon through organic processes and have come to characterize the thinking of this could be scaled to have a measurable impact on generation. Aquaculture is becoming a space the climate. A recent study found that if only where big ideas with lofty goals are now backed 3% of California’s coast line were used to by corporate and investors. Innovations in cultivate seaweed the state could completely engineering and life sciences continue to push offset its significant agricultural emissions.38 the horizon of the sector. Add this to the fact Compare California’s agricultural emissions to that aquaculture can be done sustainably, the meager output of U.S. aquaculture and it inclusively, and with the potential to feed the becomes clear that it would not require a future’s 9 billion people and it becomes obvious tremendous amount of seaweed to make why aquaculture is attracting the next shellfish aquaculture a carbon negative generation of STEM innovators. Though many process. Proving a carbon-negative model of universities have aquaculture programs in their food production would open the NEMAC farm to marine labs, the establishment of the nation’s revenue streams from the global only operational offshore aquaculture farm may decarbonization market as well as grants from be a significant competitive advantage for various global foundations seeking ways of Salem State University to prepare decarbonizing economies that do not Massachusetts’s coastal community for their discriminate against underserved communities. potential in ‘New’ Economy segments starting with STEM based aquaculture. In doing so, the The Northeast is a global epicenter for new University will play a leadership role in helping impact venture funds targeting climate change. to build economic resiliency in Massachusett’s The Prime Coalition in Cambridge, MA is a local coastal communities who have not fully example. As more investment is starting to be participated in Greater Boston’s recent allocated globally to combat climate change, economic boom. despite producing half of the world’s O2 and being a CO2 sink, the ocean is still an after Decarbonization Market thought. Entities such as SeaAhead in Boston 70% of the carbon on earth is stored in are advocating for an ocean centric approach to sedimentary rocks that are entirely made up of tackling climate change. NEMAC has the the organic carbon of sea shells. Shellfish potential with a new narrative and a resultant remove carbon from the ocean to create their strategy to seek R&D funding focused on the protective shells. The carbon available to intersection of the ocean and combating climate shellfish is reduced in acidic oceans which leads change.

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Covid-19 The Covid-19 pandemic has disproportionally impacted traditionally underserved communities. The federal CARES act issued $2.2 trillion to stave off the worst effects of the pandemic. This money has mostly gone to “keeping the lights on” as GDP plummets to Depression-era lows. Small businesses rely on local economies, not government funding. In order to restore local economies, funding must focus on ventures that do not require business-as-usual to operate. Offshore mussel farming can be done safely in a covid-economy. Offshore farming is capable of providing tonnages of animal protein as well as a myriad of jobs to some of Massachusett’s most effected seaports. The NEMAC farm represents a major step towards regional food security and could be eligible for funds from federal grants as well as national and regional foundations intended to bring food and economic resiliency to communities in a time of crisis and uncertainty.

Sample Grant Opportunities The recommendations above will require financial support from both private and public entities. Here are sample grant opportunities for Salem State to consider:

Massachusetts Executive Office of Education practices with over 110 Sea Grant professionals Skills Capital Grant Program: The program working on aquaculture projects around the awards grants for the purhcase and installation nation. In 2018, Sea Grant contributed $11.7 of equipment and related improvements and million to aquaculture developing in the United renovations necessary for installation and use States. to support vocational and technical training. This grant will help epand career technical Small Business Innovation Research- Funds education and trainign programs that are available for small businesses conducting aligned to regional economic and workforce industry research and innovation. This grant is development prioriities. Gloucester Marine issued in two phases that offer $120,000 and Genomics was awarded this grant to help $400,000 respectively. expand their workforce development initiatives. Salston-Kennedy Competition- This grants is Massachusetts Government, Seaport intended for small fishery or aquaculture Economic Council: businesses that are addressing the The Seaport Economic Council helps coastal development of coastal economies and communities develop and improve local assets sustainable ocean practices. Awards from this to facilitate economic growth through funding competition range between $25,000 - opportunities. The Seaport Council serves all 78 $300,000. of Massachusetts’ diverse coastal communities and helps each to use their unique economic USDA assets to grow the economy and unlock job The Department of Agriculture is providing creation. The Council also awards grants to multiple streams of funding for aquaculture create jobs and build resilience to climate projects at all stages of development. change. Salem State University can partner with the City of Salem to access these funds. Aquaculture Research Program- This grant is seeking to encourage the acquisition of useful NOAA scientific data pertaining to sustainable NOAA has a number of grants intended to aquaculture development. The main areas of support small maritime businesses that are focus include genetic testing, farm design, and providing opportunities for research and fishery data. This grant requires matching funds sustainable development. of capital or in-kind contributions with a maximum award of $300,000. Sea Grant- The Sea Grant funds sustainable aquaculture projects that are producing Agriculture and Food Research Initiative- This transferable technologies and practices. The grant is broadly concerned with research and Sea Grant also provides technical assistance development in food production with a and professional development in sustainable maximum award of $1 million.

Department of Commerce, Economic Farm Operating Microloans- These are small Development Agency (EDA) loans of up to $50,000 intended to help with The EDA issues planning and implementation the operating costs associated with running a grants and MA has received over $17.8 million small farm. dollars in EDA Care Act grants to assist Massachusetts businesses during the Covid-19 Emergency Loan- These loans are made to pandemic. Further, in 2020, the Department of farms that have been destroyed by a natural Energy and the EDA together issued $4M of disaster with maximum awards of up to Blue Economy innovation grants. The New $500,000. England Aquarium with SeaAhead in Boston as well as the University of New Hampshire both Northeast Regional Aquaculture Center (NRAC) received $594k grants to support bluetech Headquartered at the University of Maryland, innovation this summer. In 2018, the EDA NRAC’s stated mission is to invest in businesses awarded a $600k planning grant to the that are advancing shellfish aquaculture in the University of Massachusetts, Dartmouth to Northeastern U.S. Awards from NRAC do not develop a SouthCoast Blue Economy Corridor exceed $200,000. where this effort later received local grant funding to expand the Blue Economy cluster Grantham Foundation efforts. Jeremy Grantham, founder of the Grantham Foundation, has reportedly invested 98% of his In the next Federal fiscal year, Salem University personal wealth to funding efforts to can also apply for bluetech related EDA grant 39 decarbonize the economy. In 2019, the funding tied to offshore aquaculture. An Grantham Foundation supported a project at application could include a R&D and workforce the University of California, Santa Barbara with development program offshore aquaculture $188,000 for research in seaweed aquaculture planning grant. development. The Foundation’s GMO Climate Change Fund is now worth over $142 million in MassMutual Foundation: Example of Greater assets. Jeremy Grantham lives in the Cape Ann Boston based Corporate Foundations area and may be especially interested to learn Tackling Income Inequality more about how the regional objectives of Cat The MassMutual Foundation, and MassMutual Cove and NEMAC can strengthen the local appear to be focused on improving economy. communities, enhancing diversity and inclusion, and fighting poverty. The MassMutual Foundation runs the Live Mutual Project, which fights poverty and income inequality in destitute communities.

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Next Steps Conclusion

The vibrant and growing global aquaculture sector provides a window of opportunity for Salem University to position itself as a new regional Center of Excellence in the Future of Aquaculture for Massachusetts. NEMEC and Cat Cove are unique Northeast assets and reflect an investment by Salem University which can now be built on. This summer strategic review project has 3 recommendations:

● Research & Development to include Testing: R&D in traditional marine biology from traditional funding programs but also develop an open innovation focused seawater based testing platform targeting startups and corporates. ● Workforce Development Programs: Review established and consider new educational programs that will train New England’s workforce of the future in aquaculture and by doing so, playing a leadership role in improving the economic resiliency of New England’s coastal communities. ● NEMEC Mussel Farm Development - Academic role in Developing Offshore Aquaculture Policy, Regulation and Social License: New initiatives in a community can be difficult and social license from the community and from other stakeholders must be developed. As an academic institution, Salem University can not only develop New England’s first offshore aquaculture farm but also be a leader in methodology and process to develop the required social license needed for New England’s role in the Future of Aquaculture.

Around these 3 recommendations, the development of a narrative and ethos are needed from which the basis of a fund raising strategy can then be born to execute each of the 3 recommendations.

Appendix A NEMEC Value Proposition

Offshore Advantages NEMAC team, make for an absolutely delicious Moving aquaculture offshore is not only mussel. essential to gain the requisite space for a new method of mass producing food, it also avoids Superior Local Product many of the oceanic trends that are threatening Factors that contribute to mussel quality coastal farms. The Gulf of Maine, which include temperature, water chemistry, and comprises the Massachusetts Bay, is warming food availability. Having satisfied each of these 40 faster than 99% of the world’s oceans. As the conditions in an optimal way, it comes as no water warms, marine organisms become surprise that NEMAC blue mussels are meatier, increasingly susceptible to viruses and disease. sweeter, and less granular than the Canadian Warming also encourages algal blooms which import. This much was determined at a tasting remove oxygen from the water column and in panel held by Legal Seafoods in 2016. 7/10 of many cases release deadly biotoxins (HABs) the represented chefs agreed that NEMAC’s that infect all trophic levels. Warming mussels were potentially “the best they’ve ever encourages the arrival of new species and the had.” Legal Seafoods has provided funding for northern migration of fish stocks on which New the NEMAC farm and hopes to soon offer their England has traditionally relied, including mussels in restaurants across New England. lobster. The most severe warming will occur along the coast and at the surface. One of the Seed Accumulation greatest advantages of moving aquaculture Cat Cove Marine Labs already has the capacity offshore is the ability to mitigate the effects of to produce the necessary seed stock for the warming oceans by sinking the farm just above NEMAC farm, but this may not even be the thermocline. In the case of NEMAC, average necessary. Natural mussel seed accumulation temperatures of 45-50 F persist all year at 50 ft has been reported in large quantities on of depth. As if this was not remarkable enough, NEMAC’s seeding lines. The seed is likely sampling of the water column has also revealed traveling from stocks in Maine and Canada. It is that NEMAC’s farm is in a sweet spot for accumulating in such mass that it eventually phytoplankton, which is all that is required to sloughs off of the seed line if it is not harvested. feed mussels. An abundance of phytoplankton Using naturally occurring mussel seed not only is the most significant variable contributing to reduces the cost of producing seed, it also consistent strong yields in mussel production. ensures genetic diversity in the mussel crop Mitigating temperature variation by identifying which contributes to the overall health of the high plankton densities at depth is one of the shellfish. Mussel seed is not the only seed most compelling reasons to move this kind of fortuitously arriving on NEMAC’s lines. There aquaculture offshore. These conditions are also scallop seedlings that are attaching accelerate mussel growth, extend growing themselves to the farm. Scallops are a high season (all year), reduce biofouling and price commodity and could soon present a new exposure to disease, and according to the and significant revenue stream for NEMAC.

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Offshore Aquaculture Consultation NEMAC has already enjoyed success in the offshore permitting process. As the farm continues its expansion it will develop strategies and technologies that help to clear regulatory hurdles associated with the permitting process. The technology and best practices that are developed through NEMAC will be of value to prospective offshore farms throughout the United States and the world. Making these technologies and practices transferable will make them especially useful to Source: Louise Murray/Getty Images other aquaculturists who would be willing to pay for access.

Appendix B Aquaculture Background

Sustainable Shellfish Aquaculture Aquaculture describes a range of marine farming practices that take place in a variety of settings. There are four types of aquaculture products: finfish, crustaceans, shellfish, and algae. Nearly every environmental issue associated with aquaculture pertains to the raising of finfish and crustaceans. Problems associated with feed, disease, eutrophication, and genetic pollution are generally avoided by raising native filter-feeders or algae. Raising shellfish such as mussels represents the most sustainable 41 production of animal protein on earth. Farming mussels is much less carbon intensive than farming 42 chicken and farming beef. This kind of low impact, sustainable aquaculture is the most likely to take root in waters with high regulatory standards like the United States.

Integrated Multi Trophic Aquaculture (IMTA) The most sustainable means of farming mussels is in deep water grown in tandem with seaweed. 43 Seaweeds capture 5 times more carbon than terrestrial plants. “Farming seaweed across just 0.001% of the ocean’s ecologically suitable area could make the global aquaculture industry, one of the world’s 44 fastest-growing food sectors, carbon neutral.” With ocean acidification expected to increase by 100-150% by 2100, raising shellfish alongside seaweeds may not only be beneficial for the ocean but 45 essential for farming. Seaweeds create localized de-acidification which contributes to shell building in shellfish. Thick shells allow for greater yields on shellfish meat. For seaweed, the shellfish provide urea which contains essential nutrients that accelerate seaweed growth. This farming method is known as integrated multi-trophic aquaculture (IMTA). IMTA is the merging of two of aquaculture’s fastest growing sectors. Alongside the demand for shellfish, the commercial seaweed market is forecast to 46 grow to $11.9 billion by 2027 with a compound annual growth rate (CAGR) of 9.1%. IMTA allows shellfish farmers to enter a flourishing seaweed market while opening revenue streams from the global decarbonization market. Coastal farms are beginning to experiment with IMTA but they are spatially limited. For global aquaculture to become carbon neutral or carbon negative, IMTA must be achieved at a scale that is only feasible in larger offshore sites.

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Appendix C Blue Economy Workforce Development and Economic Mobility

The Essex County Community Foundation education. Their experience working with an reported in 2019 that a family of four needs an offshore farm will become highly valued as income of $79,000 to make ends meet by about aquaculture establishes more sites in federal 300,000 people — 38 percent of the county's waters. As offshore farms expand, workforce residents — make less than that. The growth development programs could be established sectors of the global Blue Economy offer a new with corporate partners and research opportunity to tackle the rising income institutions to foster inclusion and accelerate inequality trend in the US. Aquaculture STEM training. These kind of employment represents an opportunity for the MA opportunities will enable Cat Cove and NEMAC Northshore to create resilient STEM and to establish a channel by which underserved working class jobs. The Bluetech economy will communities can become meaningfully offer low skilled laborers career advancement employed in a growing, sustainable industry. and socioeconomic mobility as the disparate Establishing this channel will contribute to the sectors of maritime labor, research, venture reduction of socio-economic inequalities in New capital, and academia integrate. The NEMAC England while training the workforce of the mussel farm will demonstrate the benefit of future. initiating this kind of collaboration as the farm generates low-skilled labor jobs in harvesting, Inclusivity processing, distribution, and retail. These Aquaculture has always been a far more entry-level jobs will provide opportunity to inclusive sector than traditional fisheries. members of traditionally underserved According to the UN, 70% of the global communities not only with meaningful aquaculture workforce is made of women. In employment, but also with connectivity with the United States, many aquaculture other higher paying sectors like tech and businesses are minority owned. These research. A deckhand on the NEMAC farm will businesses often receive funding from the become acquainted with the various tools, Minority Business Development Association testing, and data that may serve them in their (MBDA), a federal agency that granted over $13 47 ascension from a laborer to a researcher or million to 35 projects in 2018. As aquaculture innovator in the field. This is especially the case grows into a $1 billion industry in the U.S. the in a sector that has not yet consecrated many sector is getting more attention from the traditional roles or procedures. Early entrants to Department of Commerce and the MBDA to aquaculture will be able to advance their ensure that minorities are included, have careers using a set of skills that is not access to capital, and build resilience against necessarily acquired through formal higher food insecurities in their communities.48

47 h ttps://www.mbda.gov/news 48 h ttps://www.mbda.gov/news

For two consecutive censuses Boston has been a “majority-minority” city with only 47% of 49 residents identifying as non-hispanic white. A 2019 study from the Boston Foundation found that all 147 cities and towns that belong to Greater Boston have seen significant increases in the racial diversity of their residents over the 50 last decade. Salem enjoys a vibrant and diverse community with over one third of residents identifying as non-white. This is underscored by the student population of Salem State University. The university far outranks the national average for student diversity with over 40% of students identifying as non-white. The Salem State administration has expressed interest in further increasing diversity in a vision statement that embraces the precepts of Inclusive Excellence (Association of American Colleges and Universities). Cat Cove and the NEMAC farm can contribute to this vision by fasttracking local emerging minority leaders into one of the world’s fastest growing food sectors.

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50 h ttps://www.wbur.org/news/2019/05/08/boston-foundation-racial-makeup-report-report-greater-boston