2007 Annual Report 1a.Objectives (from AD-416) The objective of the cooperative research project is to facilitate the development of cold water marine aquaculture research by The University of Maine (UM) and the Agricultural Research Service (ARS). 1b.Approach (from AD-416) This Agreement identifies the general terms, relative to the ARS NCWMAC in Franklin, Maine and the UM CCAR, to guide ARS and UM throughout the duration of ARS research facilities construction activity and subsequent operations. The approach is to (a) promote the joint use of infrastructure for economy of scale savings, and (b) optimize operational efficiencies at NCWMAC and the University's aquaculture research facilities. Cost allocations will be assigned for the use of shared resources. 3.Progress Report This report serves to document research conducted under a non-funded cooperative agreement. Additional details of the research can be found in the report for the parent project, 1915-31000-002-00D entitled “Cold Water Marine Finfish Genetic Improvement and Production”. The USDA, ARS National Cold Water Marine Aquaculture Center and the University of Maine are currently engaged in research and have independent interests in marine aquaculture. Additional details of this research can be found in the report for the in-house project 1915-31000-002-00D, Cold Water Marine Finfish Genetic Improvement and Production. Both parties are striving to develop improved technologies to solve problems facing the sustainability of marine aquaculture and benefit U.S. producers and consumers. Mutual benefits to both research programs will be achieved through cooperative planning and execution of research activities that address state, regional and national priorities. During the past year, both informal and formal meetings have been held to discuss mutual research priorities, seek extramural funding opportunities, and coordinate resource allocations. Both groups have assigned staff members to assist in mutual research planning. Shared research infrastructure consisting of water wells, electrical power lines, a seawater pump and filtration house, and water storage facility at the Franklin, ME location have been commissioned, but are still undergoing construction changes and modifications to improve functional efficiency. A new shared effluent line was installed to accommodate increased combined effluent discharge from both the University of Maine’s new saltwater research hatchery and the USDA National Cold Water Marine Aquaculture Center research buildings completed in May 2007. Cooperative research priorities and construction of new research facilities on the University of Maine campus in Orono involving ARS and University of Maine scientists will be discussed in collaboration with industry representatives at annual meetings and review sessions. Progress is being made toward meeting the research goals and objectives for this project. Monitoring of progress was accomplished by periodic discussions of project plans, reviewing program goals and accomplishments with the Cooperator’s PI at both ARS and Cooperator’s facilities in Franklin and Orono, ME, during visits by industry stakeholders in Franklin, ME, and by teleconference and e-mails. Because ARS and the Cooperator have co-located research facilities in Franklin, ME and share infrastructure, site visits occur frequently at that location.