Legislature(2009 - 2010)BARNES 124

02/26/2009 10:15 AM House FISHERIES


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 143 NO REPEAL OF SPORT FISH GUIDE LICENSING TELECONFERENCED
Heard & Held
*+ HCR 6 COOK INLET SALMON TASK FORCE TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 43 GEODUCK AQUATIC FARMING/SEED TRANSFER TELECONFERENCED
Moved Out of Committee
HB 43-GEODUCK AQUATIC FARMING/SEED TRANSFER                                                                                   
                                                                                                                                
10:20:43 AM                                                                                                                   
                                                                                                                                
CHAIR EDGMON announced that the  first order of business would be                                                               
HOUSE BILL  NO. 43, "An  Act relating to aquatic  farm permitting                                                               
involving  geoducks   and  to  geoduck  seed   transfers  between                                                               
certified hatcheries and aquatic farms."                                                                                        
                                                                                                                                
                                                                                                                                
10:21:32 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE PAUL  SEATON, Alaska State  Legislature, clarified                                                               
two aspects of the bill:   it does not provide for indiscriminate                                                               
transfer  of geoduck/seed  between farms,  or override  transport                                                               
requirements  as permitted  by the  Alaska Department  of Fish  &                                                               
Game (ADF&G); and it stipulates that the farm must be subtidal.                                                                 
                                                                                                                                
10:22:51 AM                                                                                                                   
                                                                                                                                
RON JOSEPHSON,  Section Chief, Fisheries  Monitoring, Permitting,                                                               
and  Development,   Division  of  Commercial   Fisheries,  Alaska                                                               
Department  of   Fish  &  Game  (ADF&G),   restated  the  pending                                                               
committee  question as  to the  type of  research the  department                                                               
would  propose  implementing  in   order  to  alleviate  specific                                                               
concerns for the  bill.  He suggested that a  study using sterile                                                               
shellfish would be a direction  to consider, and cited the Alutiq                                                               
Pride  Shellfish  Hatchery  research on  salmonids,  and  certain                                                               
shellfish,  employing   the  technique  of   triploid  induction.                                                               
Introducing  a  sterile  animal  outside of  its  zone  would  be                                                               
acceptable to the department.   Additionally, ADF&G would like to                                                               
see basic research conducted regarding  the viability of subtidal                                                               
mariculture farms  in northern  climates.   Existing thermographs                                                               
could  be placed  in the  substrate of  proposed farm  areas, and                                                               
existing Southeast mariculture farm locations  could be used as a                                                               
parallel study, to generate data for determining growth rates.                                                                  
                                                                                                                                
10:25:48 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  BUCH asked  for a  restating of  the department's                                                               
position.                                                                                                                       
                                                                                                                                
MR.  JOSEPHSON said  the department  is officially  neutral, with                                                               
stipulated concerns.   The concerns are for:   introducing a non-                                                               
native  species  into  the larval  drift  zones  of  Southcentral                                                               
Alaska,  with  minimal  information  available  on  the  possible                                                               
impacts to  the natural  eco systems -  analogous to  an invasive                                                               
species;  and   lack  of   demonstrated  benefits   for  economic                                                               
development of  geoduck farming in  Southeast Alaska.   He opined                                                               
that  it would  be  premature to  branch out  to  other areas  of                                                               
Alaska,  and taking  the inherent  risks, without  substantiating                                                               
data to indicate an economic benefit.                                                                                           
                                                                                                                                
10:28:06 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  JOHNSON  acknowledged   that  the  department  is                                                               
taking  a   neutral  position,  and  requested   Mr.  Josephson's                                                               
scientific opinion.                                                                                                             
                                                                                                                                
MR. JOSEPHSON opined that the  unknown economic viability weighed                                                               
against the untested  risk, does not provide  a compelling reason                                                               
to  prematurely  expand  this type  of  mariculture  development.                                                               
Geoduck  farming is  an emerging  industry  in British  Columbia,                                                               
Canada,  and southeast  Alaskan waters,  but has  not produced  a                                                               
tangible benefit, to date.                                                                                                      
                                                                                                                                
REPRESENTATIVE JOHNSON  noted that  there exists a  difference of                                                               
opinion within the department, which needs to be explored.                                                                      
                                                                                                                                
10:29:46 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE MILLETT  allowed that the colder  waters of Alaska                                                               
may retard the grown rate of  the geoduck, and asked whether this                                                               
type of  mariculture could ever  prove to be  economically viable                                                               
for the state.                                                                                                                  
                                                                                                                                
MR. JOSEPHSON  described intertidal  farming as  being relatively                                                               
cheap  and simple,  however, subtidal  mariculture requires  more                                                               
effort,  is  effected by  more  variables,  and is  comparatively                                                               
expensive.  He  predicted that the geoduck  could be economically                                                               
farmed,   despite   these   constraints.       In   response   to                                                               
Representative Buch, he agreed to  provide a written statement to                                                               
the committee, prior to further hearings on HB 43.                                                                              
                                                                                                                                
10:32:38 AM                                                                                                                   
                                                                                                                                
CHAIR EDGMON  announced that  further departmental  comment would                                                               
be brought to the committee.                                                                                                    
                                                                                                                                
10:33:34 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  MILLETT   cautioned  that  many   private  sector                                                               
ventures in Alaska  would not have occurred, had  the state stood                                                               
in  judgment   of  the  economic  viability   prior  to  allowing                                                               
development; including  arctic drilling.   She  requested further                                                               
scientific   analysis  from   ADF&G  versus   economic  viability                                                               
opinions.                                                                                                                       
                                                                                                                                
10:34:27 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  KAWASAKI held  that  economic  viability was  not                                                               
being  judged.     The  department,   he  defended,   is  showing                                                               
appropriate concern for existing  industries that may be effected                                                               
by taking the risk of introducing an invasive species.                                                                          
                                                                                                                                
10:36:24 AM                                                                                                                   
                                                                                                                                
CHAIR  EDGMON  reopened  public testimony,  stipulating  that  it                                                               
would be limited to the individual before the committee.                                                                        
                                                                                                                                
10:36:32 AM                                                                                                                   
                                                                                                                                
RAYMOND  RALONDE, Professor  of Fisheries,  University of  Alaska                                                               
Fairbanks  (UAF),  Alaska  Sea   Grant  Marine  Advisory  Program                                                               
Participant, State  of Alaska  Aquaculture Specialist,  said that                                                               
it was  his 1992 published  research document that served  as the                                                               
basis for  establishing the  larval drift zones  in Alaska.   The                                                               
zones were  necessary for creating  a formal  shellfish transport                                                               
policy that  would ensure minimal  genetic impact.   Blue mussels                                                               
and scallops were utilized in  the study.  Drifting patterns were                                                               
computed based  on considerations for water  temperature, surface                                                               
water  velocities, and  species  developmental growth  rates.   A                                                               
delineation  was  made  for Southcentral  and  Southeast  because                                                               
there  appeared  to  be  a probability  that  larva  could  drift                                                               
between these areas  and survive.  Historically, he  said this is                                                               
why  the   policy  was  established.     Regarding  the  economic                                                               
viability  of  geoduck,  he  stated  support  for  the  right  of                                                               
independent developers  to take  business risks.   Throughout the                                                               
years, applied  research activities  have been  jointly conducted                                                               
with  the  university  and   private  sector  farmers,  regarding                                                               
aquaculture  development,   utilizing  the   "try  it   and  see"                                                               
approach.   These studies have paved  the way for protocol  to be                                                               
established  regarding mariculture  of certain  species, such  as                                                               
the purple  hinge rock scallop  and littleneck clam farming.   He                                                               
cautioned that  falsely represented  economic information  may be                                                               
an  issue,  if   factors  particular  to  the   geoduck  are  not                                                               
considered.   For instance, the  slow maturation of  the geoduck,                                                               
or the  market price  expectations may  be misconstrued,  and the                                                               
realistic  values lost  on an  eager entrepreneur.   He  reported                                                               
that he is  currently in the fifth year of  a systematic grow out                                                               
study  specifically  on  survival  and growth  rates  of  geoduck                                                               
clams.  The study, located  on Annette Island, is being conducted                                                               
in an  intertidal zone.  In  the 4th year the  clams are slightly                                                               
less than  1/2 pound,  en route  to becoming  a 2  pound, mature,                                                               
harvest size  clam, which  he predicts will  take another  six or                                                               
seven years.   The survival  rate is  48 percent, but  the growth                                                               
rate is 20  percent slower than what occurs in  the warmer waters                                                               
of Puget  Sound.  He  remains cautiously optimistic  that geoduck                                                               
clam farming  will become  a viable  industry in  the state.   In                                                               
reading  the  bill,  it appears  to  ban  intertidal  aquaculture                                                               
statewide,  and  he  pondered  if   that  was  the  intent.    He                                                               
acknowledged  that  Kachemak  Bay  poses a  unique  concern,  but                                                               
considers this  an exception to the  remainder of the state.   In                                                               
other  regions, the  industry is  appealing for  several reasons:                                                               
it appears  to be viable;  an orderly permitting  process already                                                               
exists;  the  common man  can  enter  the field  without  special                                                               
training -  such as diving; the  effort does not require  a large                                                               
capital outlay  - no boat or  equipment to purchase; and  it does                                                               
not conflict with common property  fisheries - harvestable stocks                                                               
of  geoduck  do  not  naturally exist  in  the  intertidal  zone.                                                               
Finally, he said:                                                                                                               
                                                                                                                                
     It can be done by the  people who live there and supply                                                                    
     the income  and the employment for  that community. ...                                                                    
     I'm concerned that the bill  might prohibit that, based                                                                    
     upon what's  happening in Kachemak  Bay.   Kachemak Bay                                                                    
     is  an  entirely  different argument  ...  relative  to                                                                    
     intertidal aquaculture.                                                                                                    
                                                                                                                                
10:45:08 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE BUCH asked  if he is a proponent  or in opposition                                                               
to the bill.                                                                                                                    
                                                                                                                                
MR.  RALONDE opined  that risks  exist in  every enterprise.   He                                                               
noted that  in this instance  the risk  factor is high  given the                                                               
potential  problem for  separation  of stock,  and the  transport                                                               
distance required for a single  stock.  These factors are unknown                                                               
in  regard to  geoduck,  although other  species  that have  been                                                               
similarly  transported  have  had unintended  consequences.    He                                                               
opined that a  population of geoduck may already  exist in Prince                                                               
William Sound,  but it is  one of the  unknowns.  He  provided an                                                               
example  of the  purple hinged  rock  scallop.   This scallop  is                                                               
indigenous   to   Southeast,   however,   their   transport   and                                                               
introduction   for  cultivation   was  denied   in  Southcentral.                                                               
Scientists  expended  effort  to   find  a  local,  Southcentral,                                                               
population to draw on, but to no  avail.  Six or seven years ago,                                                               
however, juvenile purple hinged scallops  began to show up on the                                                               
ladder  nets   of  the  mariculture  farmers   in  Kachemak  Bay.                                                               
Further, in the last year he  has discovered the scallops on gear                                                               
at his  mollusk grow-out site  for oysters.   This proves  that a                                                               
local  purple hinged  scallop reproductive  stock exists,  but it                                                               
could not  be located by  scientists.   If a local  geoduck stock                                                               
exists,  and  seed  is  transported   in,  the  genetics  of  the                                                               
indigenous  species could  be swamped  by  the transported  seed.                                                               
The economic  viability research aspect  is also an unknown.   He                                                               
stressed the  need to provide  accurate, adequate  information to                                                               
potential farmers.                                                                                                              
                                                                                                                                
CHAIR EDGMON closed public testimony.                                                                                           
                                                                                                                                
10:49:49 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE SEATON  clarified that on  page 1, lines 8  and 9,                                                               
it  is stipulated  that geoduck  will not  be introduced  where a                                                               
native  stock  exists.    He cited  the  oyster  mariculture,  in                                                               
Southcentral,  as a  success story  of introducing  a non-native,                                                               
and  non-reproductive,  species  to   an  area  and  creating  an                                                               
economically  viable  business  opportunity.    Additionally,  he                                                               
pointed   out  that   an  intertidal   study  will   not  provide                                                               
information  to assist  the  subtidal farmer.    He stressed  the                                                               
importance  of providing  the possibility  to create  an economic                                                               
base  in coastal  villages.    The bill  has  been structured  to                                                               
eliminate  conflicts   with  subsistence   and  sport   users  by                                                               
situating these farms  in subtidal areas.  Neither  does the bill                                                               
prevent  or effect  farming in  Southeast; a  separate management                                                               
area with wild  geoduck stock.  To a question  from the chair, he                                                               
cautioned that  the product price  is subject to  fluctuation and                                                               
investors  will need  to  exercise their  own  due diligence  for                                                               
proposal purposes.   He said that the bill  allows any interested                                                               
party  to enter  into the  due diligence  process, and  apply for                                                               
appropriate departmental permits;  private individuals or village                                                               
corporations.   An exception, in the  bill, is for a  policy that                                                               
disallows the taking of geoduck  from the Seward area, where they                                                               
are raised as seed and planted in specific Gulf locations.                                                                      
                                                                                                                                
10:55:34 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE KELLER  noted that  the bill  prohibits intertidal                                                               
permitting, and asked if that was the intent.                                                                                   
                                                                                                                                
REPRESENTATIVE SEATON responded  that it is the  intent for areas                                                               
in the Gulf of Alaska, but not for the southeastern region.                                                                     
                                                                                                                                
10:56:43 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE KELLER  commented on the need  to exercise caution                                                               
when introducing  an invasive  species to  an area,  however, the                                                               
release  of a  bilge pump  can release  any number  of unintended                                                               
hitchhikers.                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER moved to report  HB 43, Version 26-LS0227\A                                                               
out  of   committee  with  individual  recommendations   and  the                                                               
accompanying fiscal notes.   There being no objection,  HB 43 was                                                               
reported from the House Special Committee on Fisheries.                                                                         
                                                                                                                                
10:58:07 AM                                                                                                                   
                                                                                                                                
The committee took a brief at ease from 10:58 to 11:03.                                                                         
                                                                                                                                

Document Name Date/Time Subjects
CSHB143(FSH)--Sponsor Statement.pdf HFSH 2/26/2009 10:15:00 AM
HB 143
DraftCSHB143(FSH).PDF HFSH 2/26/2009 10:15:00 AM
HB 143
Work Draft for HCR6 CS.PDF HFSH 2/26/2009 10:15:00 AM
HCR6-KPFALetter.PDF HFSH 2/26/2009 10:15:00 AM
DraftCSHB143(FSH).PDF HFSH 2/26/2009 10:15:00 AM
HB 143
HB143-KRSASupportLetter.PDF HFSH 2/26/2009 10:15:00 AM
HB 143
HB143--ProgramRegs.PDF HFSH 2/26/2009 10:15:00 AM
HB 143