Legislature(2007 - 2008)BARNES 124

03/23/2007 08:30 AM House FISHERIES


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08:52:36 AM Start
08:52:47 AM HB15
09:43:35 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 15 BOARD OF FISHERIES CONFLICTS OF INTEREST TELECONFERENCED
Moved CSHB 15(FSH) Out of Committee
HB  15-BOARD OF FISHERIES CONFLICTS OF INTEREST                                                                               
                                                                                                                                
8:52:47 AM                                                                                                                    
                                                                                                                                
CHAIR SEATON announced  that the only order of  business would be                                                               
HOUSE BILL NO.  15, "An Act relating to  participation in matters                                                               
before  the Board  of  Fisheries  by members  of  the board;  and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
8:53:44 AM                                                                                                                    
                                                                                                                                
CHAIR SEATON  directed the committee's  attention to  the written                                                               
testimony  of  John Jensen,  member  of  the Board  of  Fisheries                                                               
(BOF), which is included in the committee packet.                                                                               
                                                                                                                                
8:54:18 AM                                                                                                                    
                                                                                                                                
CHRISTINE KOSKI paraphrased from a prepared statement, included                                                                 
in the committee packet, which read as follows [original                                                                        
punctuation provided]:                                                                                                          
                                                                                                                                
     I represent  myself.  I  have held a Cook  Inlet salmon                                                                    
     set net  permit for 15  years and have  actively fished                                                                    
     in Cook  Inlet for over  25 years.   I am a  single mom                                                                    
     with 4 children.  The  majority of my income comes from                                                                    
     commercial   fishing.     I  currently   live  in   the                                                                    
     Kenai/Soldotna  area.   My children  are also  actively                                                                    
     involved in  commercial set net  fishing and  have been                                                                    
     since they were born.                                                                                                      
                                                                                                                                
     Approximately 35% of women  are permit holders involved                                                                    
     in  Cook Inlet  salmon  set net  commercial fishing  as                                                                    
     well as  being involved  in other  commercial fisheries                                                                    
     in the entire state.                                                                                                       
                                                                                                                                
     I  have attended  BOF regulatory  meetings for  decades                                                                    
     and  in the  last 5  years I  have been  active in  the                                                                    
     process.  My involvement is  to ensure that there is an                                                                    
     opportunity  for  my  children to  continue  commercial                                                                    
     fishing as their parents and grandparents have.                                                                            
                                                                                                                                
     It is impossible  to express my concerns  or to suggest                                                                    
     changes  to improve  my  capability  to harvest  salmon                                                                    
     when I  feel that there  is no way to  communicate with                                                                    
     representation from the current members of the BOF.                                                                        
                                                                                                                                
     Since I  have been  involved in  the process  there has                                                                    
     been no  set net  commercial fishing  person.   To make                                                                    
     matters  worse it  is difficult  to  converse with  the                                                                    
     gender bias on the Board.   I can appreciate that there                                                                    
     is  a 14%  representation for  my gender  currently, it                                                                    
     still  leaves me  with  a  significant impediment  with                                                                    
     communicating  and   making  changes  relative   to  my                                                                    
     situation.  I want active  participants from my area so                                                                    
     that  not only  will I  be able  to communicate  but so                                                                    
     will other similarly situated stakeholders.                                                                                
                                                                                                                                
     HB  15  moves  to   open  up  more  representation  for                                                                    
     individuals like  myself.  Please consider  the changes                                                                    
     that will  give more fair and  equitable representation                                                                    
     to   the  commercial   fisher  women   in  the   State.                                                                    
     Committee members  please realize  that Cook  Inlet set                                                                    
     net fisher  women are hard  working individuals  who do                                                                    
     not wish entitlements but want  to make our own way and                                                                    
     to instill  in our  children the  lessons of  hard work                                                                    
     and just  rewards.   The majority  of my  livelihood is                                                                    
     derived  and supplemented  with  part time  employment.                                                                    
     We are  not wealthy, we  do not make 10,s  of thousands                                                                    
     of dollars.  Please support HB 15 as presented.                                                                            
                                                                                                                                
8:56:56 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEDOUX inquired  as to how HB  15 addresses gender                                                               
bias.                                                                                                                           
                                                                                                                                
MS. KOSKI related  her understanding that there has  never been a                                                               
woman on the BOF.  She indicated  the need to have a woman on the                                                               
BOF so that  she can communicate [with her  own gender] regarding                                                               
the needs  of fisher women who  set net.  In  further response to                                                               
Representative  LeDoux,  Ms. Koski  confirmed  that  there is  no                                                               
woman who is  a set net fisher  on the BOF and there  is only one                                                               
woman on the board.                                                                                                             
                                                                                                                                
REPRESENTATIVE EDGMON  clarified that  there have been  two women                                                               
who have served on the BOF.                                                                                                     
                                                                                                                                
8:59:08 AM                                                                                                                    
                                                                                                                                
ALAN AUSTERMAN stated that he is  speaking on his own behalf.  He                                                               
noted  that he  spent eight  years  in the  legislature and  four                                                               
years with  the last administration addressing  the issues before                                                               
the committee.  He opined that  12 years watching the BOF has led                                                               
him  to  believe that  the  Department  of  Law (DOL)  should  be                                                               
instructed not  to conflict out  those who  have a conflict.   As                                                               
long as  it's a layman's  board, a layman  has to be  involved in                                                               
the industry and  able to participate in the  discussions and the                                                               
voting  of  the board  and  full  disclosure should  continue  to                                                               
occur.   The DOL  has interpreted the  conflicts of  interest and                                                               
have suggested that the board conflict  the person out.  "I think                                                               
that's  not  right,"  he  opined.     He  pointed  out  that  the                                                               
legislature  has   given  the  BOF   its  authority   to  address                                                               
allocation   issues  and   legislators  aren't   conflicted  out.                                                               
Therefore, he  opined that the  same should  be the case  for the                                                               
BOF.   Although the number  of conflicts isn't that  great, those                                                               
who are  conflicted out are  often the most knowledgeable  on the                                                               
topics.                                                                                                                         
                                                                                                                                
9:01:49 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEDOUX inquired  as to Mr. Austerman's  view as to                                                               
the  difference  in allowing  a  board  member with  a  financial                                                               
interest to  vote versus allowing  a board member  who represents                                                               
an organization whose membership may have a financial interest.                                                                 
                                                                                                                                
MR. AUSTERMAN related  that BOF members usually want  to serve on                                                               
the BOF  because they feel  they can contribute to  the statewide                                                               
interest with regard to the fisheries.   He couldn't recall a BOF                                                               
member who  wanted to serve  with the thought of  serving his/her                                                               
own or someone  else's financial interest.   Mr. Austerman opined                                                               
that there's a difference between  the normal BOF members and the                                                               
[NPFMC members].                                                                                                                
                                                                                                                                
REPRESENTATIVE LEDOUX  commented that the situation  as it exists                                                               
now is that BOF members aren't  able to vote on items that impact                                                               
an individual's fishery [and therefore  financial interest].  She                                                               
inquired as to  the possibility of that changing,  if BOF members                                                               
were  actually allowed  to vote  on issues  that had  a financial                                                               
impact for the member.                                                                                                          
                                                                                                                                
MR.  AUSTERMAN  acknowledged that  it  may  be possible,  but  he                                                               
doubted that would happen, given the nature of the BOF.                                                                         
                                                                                                                                
9:04:22 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   EDGMON   inquired    as   to   Mr.   Austerman's                                                               
characterization of HB 15 relative  to the current ethics package                                                               
moving through the legislature.                                                                                                 
                                                                                                                                
MR. AUSTERMAN reiterated the need  for full disclosure and opined                                                               
that he didn't foresee a big change in the ethics aspect.                                                                       
                                                                                                                                
9:05:20 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  LEDOUX  inquired  as  to how  one  would  view  a                                                               
scenario in  which a board member  is able to participate  in the                                                               
discussions and  contribute information,  but is  prohibited from                                                               
voting.    She  related  her   understanding  that  most  of  the                                                               
testimony has seemed  to revolve around the BOF's  need to obtain                                                               
information.                                                                                                                    
                                                                                                                                
MR. AUSTERMAN said,  "It would be better than what  we have today                                                               
because most of the guys that end  up with a conflict ... have to                                                               
sit out  of the  discussion as  well as the  vote."   However, he                                                               
reiterated that  the legislature  has delegated its  authority to                                                               
address allocation  issues to the  BOF.  He also  reiterated that                                                               
legislators,  even when  disclosing a  conflict, are  expected to                                                               
vote.   Since the BOF has  been given that authority,  he related                                                               
his hope  that the  legislature would  have enough  confidence in                                                               
the BOF to do so.                                                                                                               
                                                                                                                                
9:07:16 AM                                                                                                                    
                                                                                                                                
CHAIR SEATON posed the following scenario:                                                                                      
                                                                                                                                
     If you  had somebody  from the executive  department of                                                                    
     the  Department of  Fish &  Game that  was also  on the                                                                    
     board.   So,  that then  you would  have this  conflict                                                                    
     because it  could be controlling what  was happening on                                                                    
     an  ongoing basis  whereas on  the BOF  not only  is it                                                                    
     just proposals that come from  the public but it's also                                                                    
     the  fact that  they're  only going  to be  considering                                                                    
     proposals for their area once  every four years, in the                                                                    
     cycle.                                                                                                                     
                                                                                                                                
MR.  AUSTERMAN  indicated  that  he  wasn't  quite  sure  how  to                                                               
respond.   However, the  legislature's intent was  to have  a lay                                                               
board  with active  fishermen on  the board  from throughout  the                                                               
state, he said.                                                                                                                 
                                                                                                                                
9:09:47 AM                                                                                                                    
                                                                                                                                
CHAIR SEATON,  upon determining  no one  else wished  to testify,                                                               
closed  public testimony.    He then  directed  attention to  the                                                               
committee  packet  and  the document  with  bulleted  information                                                               
related to the differences in the  BOF as compared to many of the                                                               
122 board  regulations, particularly due  to the creation  of the                                                               
BOF  through the  legislature rather  than the  executive branch.                                                               
He  then directed  attention to  an e-mail  from Leslie  Gallant,                                                               
State Medical Board, in which she  clarified that a member of the                                                               
State Medical Board who is  a heart surgeon wouldn't be precluded                                                               
from discussion and voting when  a regulation about heart surgery                                                               
is before  the board.   He noted  that the committee  packet also                                                               
includes a number of analyses.                                                                                                  
                                                                                                                                
9:11:30 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEDOUX  related her  continued discomfort  with HB
15,  which allows  board members  the  ability to  vote on  items                                                               
before  the  BOF  in  which   they  have  a  financial  interest.                                                               
Therefore,  she  [moved  that  the  committee  adopt]  Conceptual                                                               
Amendment 1,  which would allow  board members to  participate in                                                               
discussions, but not vote.                                                                                                      
                                                                                                                                
REPRESENTATIVE  EDGMON  objected.    He  opined  that  Conceptual                                                               
Amendment  1 would  return the  BOF to  its current  status, such                                                               
that board members  with a particular expertise  and knowledge of                                                               
a region wouldn't  be allowed to deliberate  or fully participate                                                               
relative to  other state  boards and commissions  as well  as the                                                               
legislature.   Representative  Edgmon said  that he  supports the                                                               
intent of  HB 15  as written, and  thus won't  support Conceptual                                                               
Amendment 1.                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHNSON   related  his  support   for  Conceptual                                                               
Amendment  1 as  it would  allow board  members to  provide their                                                               
expertise  while maintaining  the  public  confidence that  board                                                               
members aren't casting votes based on their financial interest.                                                                 
                                                                                                                                
9:13:48 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  LEDOUX turned  to  the  charges that  legislators                                                               
vote on matters  in which they have a conflict  of interest.  She                                                               
said she wasn't  sure that the solution to  the aforementioned is                                                               
to allow the BOF members to vote  on matters in which they have a                                                               
conflict of  interest.  She  opined that perhaps the  solution is                                                               
to  preclude legislators  from voting  on matters  in which  they                                                               
have a conflict of interest.                                                                                                    
                                                                                                                                
9:14:20 AM                                                                                                                    
                                                                                                                                
CHAIR SEATON highlighted the process  by which members of the BOF                                                               
are  appointed  from  various  regions   of  the  state  and  the                                                               
devastating impact on  a region when a member  is conflicted out,                                                               
particularly in rural Alaska where  entire economies are based on                                                               
the  fishing industry.   Furthermore,  the  broad [definition  of                                                               
family] by which  a member can be conflicted out  can result in a                                                               
region not having  a vote and go beyond the  fishery in which the                                                               
member participates because he/she may  have a family member that                                                               
participates in  another fishery.   This effect has  been created                                                               
over  time  as  the  conflicts  of  interest  weren't  originally                                                               
treated in the manner in which they are today, he related.                                                                      
                                                                                                                                
9:18:02 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  LEDOUX  suggested  that perhaps  the  regulations                                                               
could be limited  such that they don't apply to  such an extended                                                               
family.                                                                                                                         
                                                                                                                                
9:18:27 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HOLMES pointed  out that  statute contains  other                                                               
narrower   definitions  of   "immediate  family,"   such  as   AS                                                               
24.60.990(6), as follows:                                                                                                       
                                                                                                                                
     Sec. 24.60.990.  Definitions.                                                                                              
                                                                                                                                
          (6) "immediate family" means                                                                                          
       (A) the spouse or domestic partner of the person;                                                                        
     or                                                                                                                         
          (B) a parent, child, including a stepchild and an                                                                     
     adoptive child, and sibling of  a person if the parent,                                                                    
     child,  or   sibling  resides   with  the   person,  is                                                                    
     financially  dependent  on  the  person,  or  shares  a                                                                    
     substantial financial interest with the person;                                                                            
                                                                                                                                
9:20:05 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHNSON  inquired as  to  the  body of  law  that                                                               
definition falls.                                                                                                               
                                                                                                                                
REPRESENTATIVE  HOLMES   specified  that  it's   the  legislative                                                               
branch,  Title  24,  definition   of  "immediate  family."    She                                                               
reiterated  that  throughout  statute  there  are  a  variety  of                                                               
definitions.                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHNSON commented  that using  such a  definition                                                               
may be appropriate  since the committee has discussed  the BOF as                                                               
a quasi-legislative body.                                                                                                       
                                                                                                                                
9:21:03 AM                                                                                                                    
                                                                                                                                
CHAIR  SEATON  opined that  "the  addition  of these  two  things                                                               
together" seems  to avoid disenfranchising  regions of  the state                                                               
nearly  as much  as the  current  regulation.   He asked  whether                                                               
Representative   LeDoux   would    consider   incorporating   the                                                               
definition   of  "immediate   family"  in   AS  24.60.990(6)   in                                                               
Conceptual Amendment 1.                                                                                                         
                                                                                                                                
REPRESENTATIVE LEDOUX replied yes.                                                                                              
                                                                                                                                
9:22:05 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   HOLMES  moved   that  the   committee  adopt   a                                                               
conceptual amendment to Conceptual Amendment  1 such that on page                                                               
1, line 13, the definition  of "immediate family member" would be                                                               
defined as in AS 24.60.990(6).                                                                                                  
                                                                                                                                
There being no objection, the  conceptual amendment to Conceptual                                                               
Amendment 1 was adopted.                                                                                                        
                                                                                                                                
9:23:01 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEDOUX  related her understanding  that Conceptual                                                               
Amendment  1, as  amended, will  allow a  BOF member  who doesn't                                                               
have a  conflict falling  within the  just adopted  definition of                                                               
"immediate family" to participate and  vote.  However, if the BOF                                                               
member does have a conflict  of interest within the newly adopted                                                               
definition   of  "immediate   family",  that   member  can   only                                                               
participate in the discussion.                                                                                                  
                                                                                                                                
9:23:34 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  EDGMON  requested  a   response  from  the  ADF&G                                                               
representative   regarding    what   this    amendment   actually                                                               
accomplishes.  He questioned whether  the amendment is taking the                                                               
legislation a step back.                                                                                                        
                                                                                                                                
9:25:07 AM                                                                                                                    
                                                                                                                                
JIM  MARCOTTE,  Executive  Director, Board  of  Fisheries  (BOF),                                                               
Boards  Support  Section,   Division  of  Administration,  Alaska                                                               
Department  of Fish  & Game  (ADF&G), stated  that both  of these                                                               
changes would make a significant  practical difference in how the                                                               
board  deals  with  [conflicts  of   interest].    He  said  that                                                               
participation in  the discussions  without allowing  voting would                                                               
allow  a  member's regional  expertise  to  be brought  into  the                                                               
discussions, which  isn't the  current interpretation.   However,                                                               
it may  be a  fine line as  to whether a  member with  a conflict                                                               
participating in  discussions would  be trying to  persuade board                                                               
members.    He  then  turned   to  the  proposal  to  narrow  the                                                               
definition of family.  He  echoed Chair Seaton's earlier comments                                                               
that  in rural  Alaska,  there  is a  pattern  of broader  family                                                               
connections [in  the fishing industry].   Changing the definition                                                               
of immediate  family would  change the  number of  proposals that                                                               
would be subject to a conflict of interest.                                                                                     
                                                                                                                                
9:27:13 AM                                                                                                                    
                                                                                                                                
CHAIR SEATON  clarified that Conceptual Amendment  1, as amended,                                                               
is before the committee.                                                                                                        
                                                                                                                                
9:27:28 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   WILSON,  referring   to  Mr.   Jensen's  letter,                                                               
highlighted that  Mr. Jensen,  was prohibited  from participating                                                               
in the discussion on 61  proposals last year during the Southeast                                                               
Alaska  portion of  the yearly  cycle.   She further  highlighted                                                               
that Mr. Jensen's letter relates  that on many issues he could've                                                               
provided  clarification.   She surmised  that the  BOF is  making                                                               
decisions when  its members don't  always have all of  the facts.                                                               
Therefore, she characterized Conceptual  Amendment 1, as amended,                                                               
as an improvement over the current situation.                                                                                   
                                                                                                                                
9:29:45 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE EDGMON related his  understanding that adoption of                                                               
[Conceptual   Amendment  1,   as  amended]   would  continue   to                                                               
disqualify someone like Mr. Jensen  on the 61 proposals that come                                                               
before the Southeast Region every three years.                                                                                  
                                                                                                                                
9:30:04 AM                                                                                                                    
                                                                                                                                
CHAIR SEATON clarified that [Conceptual  Amendment 1, as amended]                                                               
would allow Mr. Jensen to  participate in all of the discussions,                                                               
but Mr. Jensen wouldn't be allowed  to vote on those proposals on                                                               
matters for  which he  or any  family member  living in  the same                                                               
household holds a permit.                                                                                                       
                                                                                                                                
9:30:25 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  EDGMON  highlighted   that  Mr.  Jensen's  letter                                                               
relates his  desire to  fully participate  in the  matters before                                                               
the board, which would mean having the ability to vote.                                                                         
                                                                                                                                
9:30:45 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHNSON  inquired as  to what percentage  of votes                                                               
Mr. Jensen was conflicted out on  due to his own situation versus                                                               
that of his family.  He  suggested that perhaps Mr. Jensen may be                                                               
able to participate  more due to the new  definition of immediate                                                               
family.                                                                                                                         
                                                                                                                                
9:31:54 AM                                                                                                                    
                                                                                                                                
CHAIR  SEATON  noted his  agreement  that  this amendment  is  an                                                               
advancement  and should  be helpful  for rural  Alaska and  allow                                                               
greater participation.                                                                                                          
                                                                                                                                
REPRESENTATIVE LEDOUX said that she  certainly doesn't want to do                                                               
anything  to hurt  rural  Alaska.   However,  she  said that  she                                                               
didn't  want the  BOF  to become  similar to  NPFMC  in terms  of                                                               
conflicts of interest.                                                                                                          
                                                                                                                                
9:32:59 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HOLMES  noted her support of  Conceptual Amendment                                                               
1, as amended, and said that  she wouldn't be able to support the                                                               
legislation,  as  written,  without  the amendment.    She,  too,                                                               
commented  on avoiding  the  BOF becoming  [similar  to NPFMC  in                                                               
terms of conflicts of interest].                                                                                                
                                                                                                                                
9:33:51 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE WILSON  commented that  this as a  difficult issue                                                               
that folks  have tried to address  over many years.   She related                                                               
that she will  probably vote for the [amendment] as  it makes the                                                               
situation better.                                                                                                               
                                                                                                                                
9:35:07 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  EDGMON, acknowledging  the historical  context of                                                               
this issue  and the original  intent of the  legislation, removed                                                               
his objection to the Conceptual Amendment 1, as amended.                                                                        
                                                                                                                                
9:36:07 AM                                                                                                                    
                                                                                                                                
There  being no  further  objection, Conceptual  Amendment 1,  as                                                               
amended, was adopted.                                                                                                           
                                                                                                                                
9:36:23 AM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease from 9:36 a.m. to 9:37 a.m.                                                                  
                                                                                                                                
9:38:10 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHNSON stated support for  CSHB 15, Version C, as                                                               
amended.   He  then announced  his  intention to  apply the  same                                                               
standard  to  the  legislature,  which he  would  attempt  in  an                                                               
amendment  [to  the  ethics  legislation]  on  the  floor.    The                                                               
amendment would  allow legislators  to recuse themselves  if they                                                               
have  a  personal conflict.    He  emphasized the  importance  of                                                               
restoring the public's confidence in government.                                                                                
                                                                                                                                
9:40:04 AM                                                                                                                    
                                                                                                                                
CHAIR SEATON pointed out that  the BOF's process doesn't have the                                                               
same  parameters as  requiring someone  to vote  because a  board                                                               
member can  recuse himself/herself if he/she  feels the situation                                                               
warrants.                                                                                                                       
                                                                                                                                
9:41:06 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  WILSON  moved  to  report CSHB  15,  Version  25-                                                               
LS0114\C,  Kane,  3/13/07,  as  amended, out  of  committee  with                                                               
individual  recommendations and  the  accompanying fiscal  notes.                                                               
There being  no objection, CSHB  15(FSH) was reported out  of the                                                               
House Special Committee on Fisheries.                                                                                           
                                                                                                                                

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