Legislature(1993 - 1994)

02/17/1993 09:00 PM House FSH

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
              HOUSE SPECIAL COMMITTEE ON FISHERIES                             
                       February 17, 1993                                       
                           9:00 a.m.                                           
                                                                               
 MEMBERS PRESENT                                                               
                                                                               
 Representative Carl E. Moses, Chairman                                        
 Representative Harley Olberg, Vice Chairman                                   
 Representative Gail Phillips                                                  
 Representative Irene Nicholia                                                 
 Representative Cliff Davidson                                                 
                                                                               
 MEMBERS ABSENT                                                                
                                                                               
 None                                                                          
                                                                               
 COMMITTEE CALENDAR                                                            
                                                                               
 *HB 133: "An Act amending the definition of `value' for                       
           purposes of administration of fisheries taxes; and                  
           providing for an effective date."                                   
                                                                               
  MOVED OUT OF COMMITTEE WITH A DO PASS                                       
   RECOMMENDATION                                                              
                                                                               
 *HB 134: "An Act relating to temporary transfers of                           
           commercial fisheries entry permits."                                
                                                                               
  HELD IN COMMITTEE FOR FURTHER CONSIDERATION                                 
                                                                               
 (* first public hearing)                                                      
                                                                               
 WITNESS REGISTER                                                              
                                                                               
 Paul Dick, Juneau Operations                                                  
 Income and Excise Audit Division                                              
 Department of Revenue                                                         
 P.O. Box 110420                                                               
 Juneau, AK  99811-0420                                                        
 Phone:  465-2320                                                              
 POSITION STATEMENT: Stated HB 133 clarified the value of                      
                      fisheries that was the basis for                         
                      calculating fish tax and salmon                          
                      enhancement tax.                                         
                                                                               
 Ray Gillespie                                                                 
 Lobbyist, City of Unalaska                                                    
 Gillespie & Associates                                                        
 9478 Riverbend Court                                                          
 Juneau, AK  99801                                                             
 Phone:  463-3375                                                              
 POSITION STATEMENT: Supported HB 133                                          
                                                                               
 Richard F. Listowski, Commissioner                                            
 Commercial Fisheries Entry Commission                                         
 Alaska Department of Fish and Game                                            
 8800-109 Glacier Highway                                                      
 Juneau, AK  99801                                                             
 Phone:  789-6160                                                              
 POSITION STATEMENT: Stated HB 134 allowed permit holders 65                   
                      years old or more to lease their                         
                      permits.                                                 
                                                                               
 PREVIOUS ACTION                                                               
                                                                               
 BILL:  HB 133                                                               
 SHORT TITLE:  DEFINITION OF VALUE FOR FISHERIES TAX                           
 BILL VERSION:                                                                 
 SPONSOR(S):  SPECIAL COMMITTEE ON FISHERIES                                   
 TITLE: "An Act amending the definition of `value' for                         
 purposes of administration of fisheries taxes; and providing                  
 for an effective date."                                                       
                                                                               
 JRN-DATE     JRN-PG               ACTION                                      
 02/05/93       236    (H)   READ THE FIRST TIME/REFERRAL(S)                   
 02/05/93       236    (H)   FISHERIES, RESOURCES, FINANCE                     
 02/17/93              (H)   FSH AT 09:00 AM CAPITOL 17                        
 02/17/93       360    (H)   FSH RPT  4DP                                      
 02/17/93       360    (H)   DP: MOSES, PHILLIPS, NICHOLIA,                    
                             OLBERG                                            
 02/17/93       360    (H)   -REVENUE FISCAL NOTE (REV)                        
                             2/17/93                                           
                                                                               
 BILL:  HB 134                                                               
 SHORT TITLE:  TEMP TRANSFER OF ENTRY PERMITS                                  
 BILL VERSION:                                                                 
 SPONSOR(S):  REPRESENTATIVE(S) MOSES                                          
 TITLE: "An Act relating to temporary transfers of commercial                  
 fisheries entry permits."                                                     
                                                                               
 JRN-DATE     JRN-PG               ACTION                                      
 02/05/93       236    (H)   READ THE FIRST TIME/REFERRAL(S)                   
 02/05/93       236    (H)   FISHERIES, RESOURCES, JUDICIARY,                  
                             FINANCE                                           
 02/17/93              (H)   FSH AT 09:00 AM CAPITOL 17                        
                                                                               
 ACTION NARRATIVE                                                              
                                                                               
 TAPE 93-5, SIDE A                                                             
 Number 000                                                                    
 HB 133:  DEFINITION OF VALUE FOR FISHERIES TAX                                
                                                                               
 CHAIRMAN CARL MOSES called the meeting to order at 9:34 a.m.                  
 He noted all members in attendance and asked that discussion                  
 start with HB 133 and then move on to HB 134.                                 
                                                                               
 PAUL DICK, JUNEAU OPERATIONS, INCOME AND EXCISE AUDIT                         
 DIVISION, DEPARTMENT OF REVENUE, stated that HB 133                           
 clarified the value of fisheries that was the basis for                       
 calculating fish tax and salmon enhancement tax.  This was a                  
 carryover from 1992's HB 8.                                                   
                                                                               
 RAY GILLESPIE, LOBBYIST, CITY OF UNALASKA, stated the four                    
 regional aquaculture associations unanimously supported HB
 133.                                                                          
                                                                               
 REPRESENTATIVE GAIL PHILLIPS advised that she sponsored the                   
 bill last year (HB 8), which was basically an attempt to                      
 close up loopholes in the taxing of the fish tax.  The House                  
 passed HB 8 and it made it to the Senate, but time                            
 limitations made it die on the floor, she noted.                              
                                                                               
 REPRESENTATIVE IRENE NICHOLIA MOTIONED to move HB 133 out of                  
 committee, with the fiscal note.                                              
                                                                               
 REPRESENTATIVE HARLEY OLBERG SECONDED the motion.                             
                                                                               
 HB 133 MOVED out of committee with a do pass recommendation.                  
 HB 134:  TEMP TRANSFER OF ENTRY PERMITS                                       
                                                                               
 RICHARD LISTOWSKI, COMMISSIONER, COMMERCIAL FISHERIES ENTRY                   
 COMMISSION (CFEC), said HB 134 allowed people 65 years of                     
 age and older to lease their limited entry permits through                    
 an emergency transfer.  The only transfer now available was                   
 if, for example, a permit holder broke a leg two days before                  
 a fishing period, he could then get an emergency transfer.                    
 The CFEC was in a strong anti-lease position due to a bill                    
 passed by the legislature in 1973, he noted, adding that the                  
 CFEC wanted to see the owners of the permits doing the                        
 fishing.                                                                      
                                                                               
 MR. LISTOWSKI saw a problem in that older owners would lease                  
 their permits to highly successful commercial fishermen, to                   
 get more income, instead of to local fishermen who                            
 desperately needed the work.  He would like to see the older                  
 folks actually sell their permits if they were not using                      
 them.                                                                         
                                                                               
 REPRESENTATIVE CLIFF DAVIDSON asked if passage of HB 134                      
 classified the permits as real property.                                      
                                                                               
 MR. LISTOWSKI advised that although he was not an attorney,                   
 HB 134 leaned toward supporting the Internal Revenue                          
 Service's claim that the permits were property, and not                       
 privileges.  Further, he said that permit holders 65 years                    
 or older might lease to highly successful, experienced,                       
 commercial fishermen who could make more money instead of                     
 leasing to younger, beginner fishermen in the village.   He                   
 then advised that the state had a loan program to help                        
 young, uncollateralized fishermen purchase lease permits.                     
                                                                               
 ADJOURNMENT                                                                   
                                                                               
 CHAIRMAN MOSES asked members and the public if there were                     
 further comments.  Hearing none, he adjourned the meeting at                  
 9:55 a.m.                                                                     
                                                                               

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