SB 90: "An Act relating to the powers of the Alaska Commercial Fisheries Entry Commission; relating to administrative areas for regulation of certain commercial set net entry permits; establishing a buy-back program for certain set net entry permits; providing for the termination of state set net tract leases under the buy-back program; closing certain water to commercial fishing; and providing for an effective date."
00 SENATE BILL NO. 90 01 "An Act relating to the powers of the Alaska Commercial Fisheries Entry Commission; 02 relating to administrative areas for regulation of certain commercial set net entry 03 permits; establishing a buy-back program for certain set net entry permits; providing 04 for the termination of state set net tract leases under the buy-back program; closing 05 certain water to commercial fishing; and providing for an effective date." 06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 07 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 08 to read: 09 SHORT TITLE. This Act may be known as the East Side of Cook Inlet Set Net Fleet 10 Reduction Act. 11 * Sec. 2. The uncodified law of the State of Alaska is amended by adding a new section to 12 read: 13 LEGISLATIVE FINDINGS AND INTENT. (a) The Alaska State Legislature finds
01 that it is in the public interest to reduce the number of commercial set net fishers and decrease 02 the pressure of commercial fishing on the east side of Cook Inlet, to create a more 03 economically viable and sustainable set net fishery, and to allow more fish for in-river users. 04 (b) It is the intent of the legislature that the program established by this Act will not 05 have an adverse effect on the state treasury. 06 * Sec. 3. AS 16.43.200(b) is amended to read: 07 (b) The commission may modify or change the boundaries of an 08 administrative area or divide an existing administrative area into two or more 09 separate administrative areas when necessary and consistent with the purposes of 10 this chapter. 11 * Sec. 4. AS 16.43.200 is amended by adding new subsections to read: 12 (c) Notwithstanding (a) and (b) of this section, for the purposes of issuing 13 entry permits and controlling entry into the commercial set net fishery on the east side 14 of Cook Inlet, the commission shall establish the area administered on December 31, 15 2019, identified by the Department of Fish and Game as of January 1, 2019, as 16 statistical areas 244-21, 244-22, 244-31, 244-32, 244-41, and 244-42 of the Eastern 17 Set Net Subdistrict of the Cook Inlet Central District as a distinct administrative area 18 separate from the Cook Inlet Central District. 19 (d) An individual who holds an entry permit that entitles the person to set net 20 commercially in the area that was administered on December 31, 2019, by the 21 commission as the Cook Inlet Central District may not set net commercially in the 22 area established under (c) of this section. 23 * Sec. 5. AS 16.43 is amended by adding a new section to article 4 to read: 24 Sec. 16.43.332. Commercial shore set net entry permit buy-back program. 25 (a) In addition to the buy-back provisions under AS 16.43.310 and 16.43.320, an 26 individual who is qualified under this section may sell the individual's entry permit to 27 the commission under the conditions established in this section. To participate, an 28 individual must 29 (1) hold a commercial fishing set net entry permit for the 30 administrative area established under AS 16.43.200(c); 31 (2) provide proof satisfactory to the commission of the individual's
01 participation in the fishery identified by the Department of Fish and Game as of 02 January 1, 2019, as statistical areas 244-21, 244-22, 244-31, 244-32, 244-41, and 244- 03 42 of the Eastern Set Net Subdistrict of the Cook Inlet Central District within the two 04 years preceding December 31, 2018; and 05 (3) apply to the commission. 06 (b) Participation in the buy-back program established under this section is 07 voluntary. An individual qualified under this section may apply electronically on a 08 form provided by the commission to have the individual's entry permit purchased 09 under this section. The commission shall provide each applicant with an electronic 10 receipt evidencing the date and time the individual's application was received. Subject 11 to appropriation, the commission shall buy back 200 unencumbered entry permits in 12 the order in which applicant names are drawn by a lottery. If an applicant whose 13 permit has been selected for purchase elects not to participate in the buy-back 14 program, fails to sign the contract of sale within a period specified by the commission, 15 or fails to provide the information required under (g) of this section, the commission 16 shall offer to buy back the entry permit of the applicant whose name was next selected 17 in the lottery. 18 (c) The commission shall cancel an entry permit purchased under this section. 19 The commission may not reissue a permit or issue another permit in the place of a 20 cancelled permit. 21 (d) Subject to appropriation, the commission shall 22 (1) buy back the entry permit of an applicant selected in the lottery 23 under this section for $260,000, less administrative costs; and 24 (2) provide each applicant whose entry permit is purchased by the 25 commission under this section the option of accepting payment in three annual 26 installments. 27 (e) When the commission purchases an entry permit under (b) of this section 28 from an individual who 29 (1) holds a lease under AS 38.05.082, the commission shall provide 30 the Department of Natural Resources with notice of the sale, the seller's identity, and 31 the affected lease under AS 38.05.082;
01 (2) fishes the individual's entry permit from a tract leased from a 02 municipality or from other unleased public or private land, the commission shall 03 provide the Department of Natural Resources and the Department of Fish and Game 04 with notice of the sale, the seller's identity, and information concerning the leased tract 05 provided by the individual under (g) of this section. 06 (f) Upon notice from the commission under (e) of this section, and 07 notwithstanding AS 38.05.085, the Department of Natural Resources shall 08 (1) without penalty or charge, terminate all land leases held under 09 AS 38.05.082 used to fish an entry permit purchased by the commission under (b) of 10 this section; and 11 (2) provide the Department of Fish and Game with the geographic and 12 legal boundaries of a tract for which a lease is cancelled under (1) of this subsection. 13 (g) An individual who applies to take part in the buy-back program under this 14 section and who 15 (1) leases land from a municipal government to fish the individual's set 16 net entry permit shall provide the commission with the geographic location and 17 boundaries of the leased tract; 18 (2) fishes the individual's set net entry permit from public land without 19 a lease or other contract shall provide the commission with a site survey and other 20 geographic information required by the commission. 21 (h) Upon receiving from the Department of Natural Resources the information 22 required under (f)(2) of this section, or from the commission the information required 23 under (e)(2) of this section, the Department of Fish and Game shall, in accordance 24 with AS 44.62 (Administrative Procedure Act), close to commercial fishing the water 25 that could be commercially fished, under the authority of the repurchased set net entry 26 permit, from the affected public land, municipal lease, or terminated state lease tract 27 under the regulations of the Department of Fish and Game that were in effect at the 28 time the set net entry permit was purchased by the commission. 29 (i) When the commission purchases an entry permit from an individual who 30 fished the entry permit from land leased from a municipality, the commission shall 31 notify the Department of Natural Resources and the municipality of the purchase and
01 of the geographic boundaries of the water that will be closed to commercial fishing 02 under (g) of this section. 03 (j) The acquisition of an entry permit under this section is not subject to 04 AS 36.30 (State Procurement Code). 05 (k) Proof of an individual's participation in the fishery described in (a)(2) of 06 this section may include a shore fisheries lease, an area registration, or previous 07 submission of fishing statistics for the area. 08 * Sec. 6. AS 16.43.332 is repealed June 30, 2026. 09 * Sec. 7. The uncodified law of the State of Alaska is amended by adding a new section to 10 read: 11 TRANSITION: REASSIGNMENT OF COOK INLET CENTRAL DISTRICT SET 12 NET ENTRY PERMITS. (a) On January 1, 2020, an individual holding an entry permit for 13 the Cook Inlet set net fishery shall be reassigned an entry permit for the Cook Inlet Central 14 District set net fishery, consistent with the boundaries of that administrative area established 15 under AS 16.43.200, as amended by secs. 3 and 4 of this Act, unless the individual provides 16 proof satisfactory to the Alaska Commercial Fisheries Entry Commission of the individual's 17 participation in the fishery in the areas identified by the Department of Fish and Game as of 18 January 1, 2019, as statistical areas 244-21, 244-22, 244-31, 244-32, 244-41, and 244-42 of 19 the Eastern Set Net Subdistrict of the Cook Inlet Central District within the two years 20 preceding December 31, 2019. Proof satisfactory of participation under this subsection may 21 include a shore fisheries lease, an area registration, or previous submission of fishing statistics 22 for the area. 23 (b) An individual who provides proof satisfactory to the Alaska Commercial Fisheries 24 Entry Commission of the individual's participation in the fishery in the areas identified by the 25 Department of Fish and Game as of January 1, 2019, as statistical areas 244-21, 244-22, 244- 26 31, 244-32, 244-41, and 244-42 of the Eastern Set Net Subdistrict of the Cook Inlet Central 27 District under (a) of this section shall be reassigned an entry permit on January 1, 2020, for 28 the new administrative area established under AS 16.43.200(c), enacted by sec. 4 of this Act. 29 * Sec. 8. The uncodified law of the State of Alaska is amended by adding a new section to 30 read: 31 ELECTION FOR COMMERCIAL SET NET FISHING PERMIT BUY-BACK
01 PROGRAM. (a) On March 1, 2020, the commission, with the cooperation of the Department 02 of Natural Resources, shall conduct an election among individuals qualified under (b) of this 03 section on the question of whether to establish an entry permit buy-back program under 04 AS 16.43.332, enacted by sec. 5 of this Act. 05 (b) An individual is eligible to vote in the election conducted under (a) of this section 06 if the individual holds an entry permit for set net fishing in the administrative area established 07 under AS 16.43.200(c), enacted by sec. 4 of this Act. 08 (c) In conducting the election under this section, the commission shall adopt the 09 following procedures: 10 (1) not less than 30 days before the date on which ballots must be postmarked 11 to be counted in the election, the commission shall hold at least one public meeting to explain 12 the buy-back program to eligible voters and other interested persons and to explain the 13 registration and voting procedure to be used in the election; the commission shall provide 14 notice of the meeting by 15 (A) mailing the notice to each eligible entry permit holder; 16 (B) posting the notice in at least three public places in the voting 17 region; and 18 (C) publishing the notice in at least one newspaper of general 19 circulation in the voting region at least once a week for two consecutive weeks before 20 the meeting; 21 (2) the commission shall mail two ballots to each eligible entry permit holder; 22 the commission shall mail the first ballot not more than 45 days before the date on which 23 ballots must be postmarked to be counted in the election; the commission shall mail the 24 second ballot not less than 15 days before the date on which ballots must be postmarked to be 25 counted in the election; the commission shall adopt procedures to ensure that only one ballot 26 from each eligible entry permit holder is counted in the election; 27 (3) the ballot must 28 (A) ask whether the buy-back program established under 29 AS 16.43.332, enacted by sec. 5 of this Act, should be implemented; 30 (B) indicate the boundaries of the region in which the buy-back 31 program would apply;
01 (C) clarify the details of the buy-back program, including which set net 02 entry permit holders are eligible to participate and the entry permit buy-back price to 03 be offered by the commission under AS 16.43.332, enacted by sec. 5 of this Act, if the 04 program is approved; 05 (D) provide an effective date for the initiation of the entry permit buy- 06 back program if the program is approved; and 07 (E) indicate the date on which returned ballots must be postmarked in 08 order to be counted; 09 (4) the ballots must be returned by mail and counted by the commission or a 10 person approved by the commission. 11 (d) If the commission determines that the procedural requirements of (c) of this 12 section have been satisfied, the commission shall certify the results of the election within 45 13 days after the date on which ballots must be postmarked. 14 (e) In this section, "commission" means the Alaska Commercial Fisheries Entry 15 Commission established under AS 16.43.020. 16 * Sec. 9. The uncodified law of the State of Alaska is amended by adding a new section to 17 read: 18 REPORT TO LEGISLATURE. The Alaska Commercial Fisheries Entry Commission 19 shall provide a written report to the legislature on the status of the entry permit buy-back 20 program established under AS 16.43.332, enacted by sec. 5 of this Act, including the number 21 of permits purchased. The commission shall deliver the report to the senate secretary and the 22 chief clerk of the house of representatives not later than January 15, 2026, and notify the 23 legislature that the report is available. 24 * Sec. 10. The uncodified law of the State of Alaska is amended by adding a new section to 25 read: 26 NOTIFICATION TO LIEUTENANT GOVERNOR AND REVISOR OF 27 STATUTES. The chair of the Alaska Commercial Fisheries Entry Commission shall provide 28 written notice before June 1, 2020, to the lieutenant governor and revisor of statutes of the 29 outcome of the election held under sec. 8 of this Act relating to the buy-back program 30 established under AS 16.43.332, enacted by sec. 5 of this Act. 31 * Sec. 11. The uncodified law of the State of Alaska is amended by adding a new section to
01 read: 02 REVISOR'S INSTRUCTION. The revisor of statutes is requested to change the 03 heading of art. 4 of AS 16.43 from "Reduction to Optimum Number of Entry Permits" to 04 "Optimum Number of Entry Permits, Entry Permit Buy-back Programs, and Issuance of 05 Certain New Entry Permits." 06 * Sec. 12. The uncodified law of the State of Alaska is amended by adding a new section to 07 read: 08 CONDITIONAL EFFECT. Sections 1, 2, 5, 6, 9, and 11 of this Act take effect only if 09 the chair of the Alaska Commercial Fisheries Entry Commission provides notice under sec. 10 10 of this Act that the buy-back program established under AS 16.43.332, enacted by sec. 5 of 11 this Act, was approved. 12 * Sec. 13. Section 4 of this Act takes effect January 1, 2020. 13 * Sec. 14. If secs. 1, 2, 5, 6, 9, and 11 of this Act take effect under sec. 12 of this Act, they 14 take effect July 1, 2020. 15 * Sec. 15. Except as provided in secs. 13 and 14 of this Act, this Act takes effect July 1, 16 2019.