Legislature(1993 - 1994)
01/28/1994 08:30 AM House FSH
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
HOUSE SPECIAL COMMITTEE ON FISHERIES
January 28, 1994
8:30 a.m.
MEMBERS PRESENT
Representative Carl E. Moses, Chairman
Representative Cliff Davidson
Representative Gail Phillips
MEMBERS ABSENT
Representative Harley Olberg, Vice Chairman
Representative Irene Nicholia
COMMITTEE CALENDAR
Overview: Reorganization of the Department of Fish and Game
HB 134: "An Act relating to temporary transfers of
commercial fisheries entry permits."
NOT HEARD
WITNESS REGISTER
CARL L. ROSIER, Commissioner
Department of Fish and Game
P.O. Box 25526
Juneau, Alaska 99802-5526
Position Statement: Participated in Department of Fish and
Game overview.
JEFF KOENINGS, Director
Division of Commercial Fisheries
Management and Development
P.O. Box 25526
Juneau, Alaska 99802-5526
Position Statement: Participated in Department of Fish and
Game overview.
JERRY MCCUNE, President
United Fishermen of Alaska
211 Fourth Street, Suite 112
Juneau, Alaska 99801
Position Statement: Asked questions regarding the
Department of Fish and Game overview.
PREVIOUS ACTION
BILL: HB 134
SHORT TITLE: TEMP TRANSFER OF ENTRY PERMITS
SPONSOR(S): REPRESENTATIVE(S) MOSES
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
02/15/93 (H) MINUTE(JUD)
02/17/93 (H) FSH AT 09:00 AM CAPITOL 17
03/22/93 (H) FSH AT 08:30 AM CAPITOL 17
03/22/93 (H) MINUTE(FSH)
03/22/93 (H) MINUTE(FSH)
01/19/94 (H) FSH AT 08:30 AM CAPITOL 17
01/28/94 (H) FSH AT 08:30 AM CAPITOL 17
ACTION NARRATIVE
TAPE 94-3, SIDE A
Number 001
CHAIRMAN CARL MOSES called the House Special Committee on
Fisheries meeting to order at 8:45 a.m. He noted members in
attendance.
CHAIRMAN MOSES announced the first order of business would
be an overview of the Department of Fish and Game regarding
their reorganization.
CARL L. ROSIER, COMMISSIONER, DEPARTMENT OF FISH AND GAME,
came forward to address the committee. He introduced Jeff
Koenings, Director, Division of Commercial Fisheries.
COMMISSIONER ROSIER explained that the reorganization was a
result of some efficiency moves the department was
considering in terms of combining the Division of Fisheries
Rehabilitation Enhancement and the Division of Commercial
Fisheries Management. He explained that over the years the
fisheries of the state have changed significantly. The
department structure has been in place since statehood.
There has been significant changes brought about as a result
of growth in individual communities, and federal laws such
as the Magnuson Fisheries Conservation Management Act.
COMMISSIONER ROSIER said as the department began to look at
how the services of the department could be delivered to the
public, it became obvious that the department's structure
should be reviewed to make sure there is efficient structure
to deliver services to the people of Alaska that have an
interest and involvement in fisheries. The state must
assume a full partnership role under the Magnuson Act and
the implementation of the management plans. Commissioner
Rosier said the department is seriously looking at and
planning what is referred to as "The Fifth Region" within
the department.
COMMISSIONER ROSIER said the fifth region would separate the
Being Sea and the Aleutian Island fisheries out of the
current structure, which is presently managed out of Kodiak,
and move it into a separate region to be managed by a fifth
regional supervisor. He noted the fisheries involved are
salmon fisheries in Bristol Bay and the Alaska Peninsula
area, shellfish programs, king crab, tanner crab in the
Bering Sea, and a major groundfish fisheries. Commissioner
Rosier said Jeff Koenings would present an overview in more
detail.
Number 134
JEFF KOENINGS, DIRECTOR, DIVISION OF COMMERCIAL FISHERIES
MANAGEMENT AND DEVELOPMENT, said the commissioner discussed
the merging of the Commercial Fisheries Division and the
Fisheries Rehabilitation, Enhancement and Development
Division (FRED). He referred to a document he had given to
committee members and said it is a part of a larger document
that is almost ready for release. The larger document will
contain more detail on the process that the department went
through in reviewing ways of bringing the missions of both
divisions together into a common mission within the
commercial fisheries arena.
MR. KOENINGS explained on January 11, 1993, an Executive
Order was introduced into the legislative process by the
Governor that would transfer the duties of the FRED Division
into the Department of Fish and Game. Because the order
wasn't overturned by the legislature, it went into effect on
March 13. Mr. Koenings said the goal of the reorganization
is to increase program efficiency and effectiveness while
responding to changes. This would include: 1. Increasing
efficiency by aligning those missions of the two divisions
that deal with commercial fisheries; 2. Positioning the new
division so that it can effectively respond to locally based
management to the seafood industry which could substantially
change over the next decade; and 3. Determining an
organizational framework that will not structurally impede
the merged division from carrying out its mission.
MR. KOENINGS said fishing in Alaska is changing as there are
new and expanding challenges facing Alaska's commercial
fishing industry. He said there are changes in the
worldwide supply of salmon. Mr. Koenings discussed the
increases in the production of internationally farmed
salmon. He said there are changes in salmon markets and
prices. Sockeye salmon in Japan is currently selling for
$2.09 per pound, whereas in Alaska it costs about $2.41 per
pound to catch, process, and ship to Japan.
MR. KOENINGS said there are changes in our dominant
fisheries. With changes in the harvests and markets of
salmon, crab, and groundfish, have come changes in the
ex-vessel value of Alaska's catch. He noted in 1991, the
groundfish catch value surpassed that of salmon for the
first time and the ex-vessel value of shellfish landed in
1991 was equivalent to that of salmon.
MR. KOENINGS explained that there is the emergence of new
seafood industries. There is the private nonprofit
enhancement program, which began in 1974, as an example of a
matured industry. There is also the Aquatic Farm Act of
1988, which established the emerging mariculture industry.
MR. KOENINGS explained another issue is the diversification
of seafood harvests. There is a demand that the department
apply increased attention to fisheries such as scallops, sea
urchins, sea cucumbers, geoducks, surf clams, snails and,
possibly sandfish.
MR. KOENINGS said it is clear that the commercial seafood
industry has changed over the last ten to twenty years. The
changes were not envisioned when the Commercial Fisheries
and the FRED Divisions were first organized. Given these
changes, it was thought to be expedient to begin the process
of reorganizing both commercially oriented components of the
department into a single division that could better address
the present, as well as the future.
MR. KOENINGS said in carrying out its mission, the
department needs to recognize and begin to respond to the
growing management needs of the groundfish and shellfish
industries within the federal waters of the Exclusive
Economic Zone. It needs to address support of the
aquaculture and mariculture industries. The department
needs to respond to the increased need of having to
diversify fisheries within the state. Mr. Koenings stressed
that the department needs to address the division's role in
federal international fisheries.
Number 236
MR. KOENINGS explained that a core planning group was
established to guide the merger process. He noted there is
more detail in the information he had given to committee
members. He discussed information entitled "Action Teams"
relating to individuals who were chosen to plan the
reorganization. The action teams were established by the
planning process to address the four functional areas of the
new division which are: Applied Science/Research; Resource
Management; Planning/Permitting/Resource Development; and
Administration.
Number 276
MR. KOENINGS referred to information titled "Framework"
which he had given committee members and continued to read:
"During the FY 93 and FY 94 budget cycles, both the FRED
Division and the Commercial Fisheries Division budgets were
cut in anticipation of the merger between the two divisions.
The total amount cut between these two budget years, nearly
$500,000, was over and above, even at that point, the
anticipated savings forecasted to result from a divisional
consolidation. As a review of the functions of both
divisions found little functional overlap, additional
savings from the consolidation would more than likely accrue
from possibly downsizing administrative units that support
the functional elements within the division. Potential
benefits of merging other functional components would result
in increased program integration and consolidation that
would then lead to increases in project-level coordination
and result in larger-scale programmatic efficiencies.
"In its approach to functioning as a combined division, it
was intended that the division operate as the Commercial
Fisheries Management and Development Division; i.e., that
there be two primary core elements in the division's
functional makeup. The first was the management and
operational aspects of the state's fisheries, and the second
was the applied research and development aspects of present
and future fisheries. To do both requires a balanced
program that would be supported by the administrative units
and carried out by the resource management,
planning/permitting/resource development, and applied
science/research wings of the combined division."
Number 303
MR. KOENINGS said he would point out some of the things that
were accomplished in the merger process in the area of
administration. He said at headquarters there is the
recommendation to create a single administrative unit,
supervised by a deputy director. Mr. Koenings continued to
discuss the combining of different units in the headquarters
and southeast regional offices.
Number 339
MR. KOENINGS referred to information before the committee
and continued to read: "At headquarters, it is my
recommendation to consolidate and integrate the statewide
functions of the applied research group of the Commercial
Fisheries Component and the technical services group of the
FRED Component into a single unit under the direction of a
Deputy Director of Applied Research and Development.
"A second recommendation is to take the Coded Wire Tag
Processing Laboratory and the separate funding in the
Commercial Fisheries of the Otolith Laboratory and
consolidate them into a single Mark/Tag Laboratory to be
located in Juneau. Consolidating the programs of each
division into a single unit within the merged divisional
structure will prolong programmatic efficiency by minimizing
duplication of effort and noncomplimentary programs."
MR. KOENINGS stated that basically the same thing was done
for the activities of the two Genetics Programs. They are
being consolidated into one particular unit to achieve some
programmatic efficiency and a lack of duplication of effort.
Number 369
REPRESENTATIVE GAIL PHILLIPS referred to the Coded Wire Tag
Processing Laboratory and the two Genetics Programs, and
asked if there will be personnel cuts or personnel savings.
MR. KOENINGS explained that the department is trying to
bring those two units together. He said they are trying to
merge the Otolith Laboratory with the Coded Wire Processing
Laboratory.
REPRESENTATIVE PHILLIPS asked what the Otolith Laboratory
is.
MR. KOENINGS said the Otolith is the earbone of a fish. He
said the department is doing a mass marking program where
the temperatures can be adjusted in places such as
hatcheries. Those temperature adjustments leave unique
marks on the earbones of a fish and different year classes
can be marked with different patterns.
Number 398
CHAIRMAN MOSES noted that Representative Phillips arrived at
the meeting at 8:55 a.m.
MR. KOENINGS continued to read from information before him:
"Team members agreed that more resources and support needs
to be developed to aquaculture permitting and planning in
the reorganized division. Included within this category is
not only the private nonprofit hatchery program, but also
the emerging mariculture program which supports Alaska's
shellfish and aquatic plant farming industry."
MR. KOENINGS said it was recommended that former FRED area
biologists be reassigned to both of the two resource
development biologist functions. The regional resource
development biologist would be responsible to administer the
Resource Development Program. He noted that is an emerging
program which is based on an active partnership with
fishermen and processors to carefully develop Alaska's
fisheries.
MR. KOENINGS referred to the area resource development
biologists and said they would be responsible for carrying
out a lot of the activities in the locally based management
programs. They would also coordinate the wild hatchery
stock questions with the PNP (private nonprofit) hatchery
programs. He noted they would also provide preseason
planning, inseason management, and post-season evaluation of
PNP salmon production. Mr. Koenings said that is a focus of
the FRED employees going into a new arena to help the
department carry out their mission.
Number 429
COMMISSIONER ROSIER referred to a commitment that was made
last year and said the objectives of the FRED Division, as
they were originally created in Title 16, are still there.
The Executive Order didn't change that in any way.
MR. KOENINGS referred to resource management and said there
is a recommendation that the hatchery program be
consolidated into a single statewide hatchery group which
would be supervised by a statewide culturist. This will
ensure leadership by knowledgeable personnel, provide an
integrated hatchery research program, and maintain a core
group of culture expertise within the department.
Number 451
MR. KOENINGS said a Statewide Enhancement Evaluation Review
Panel will be set up, which will help the department
coordinate research evaluation activities such as when new
increments of production are proposed.
MR. KOENINGS referred to the Statewide Fish Culture Unit and
said it used to be the single largest component of the
former FRED Division. He noted a bulk of the layoffs,
fifty-five, came from this unit.
MR. KOENINGS referred to Resource Management and stated it
is his recommendation that a fifth region be created that
would include shellfish, salmon, herring programs, as well
as vessels used to support those programs.
MR. KOENINGS said three of the four existing regions within
the department were formed at statehood when salmon
management issues and the value of salmon harvest were at
the heart of the seafood industry. Within the last
thirty-five years, Alaska's fisheries have changed. First
came the recognition of the developing salmon fisheries of
the Yukon and Kuskokwim Rivers, which was the result of the
formation of the department's Arctic Yukon Kuskokwim Region
in 1971.
MR. KOENINGS said the shellfish and groundfish harvests have
become increasingly valuable. Marine herring has also
formed an important fishery throughout the state. He stated
a great deal has been learned about salmon migration routes
since statehood. In response, the department proposes a
fifth region, the Bering Sea/Aleutians Region, which will
seek to match administrative oversight and focus on the
shellfish and salmon resources of the resource rich region.
MR. KOENINGS read from the information he gave the
committee:
"A Bering Sea/Aleutians (BSA) region would focus science and
budget related resources on the area of the state where much
of the economic value of salmon and shellfish are harvested.
"The fishers of that particular area would like the regional
staff to address concerns of their particular fisheries in
terms of management, science, and budgets.
"Dividing the groundfish and shellfish fisheries between two
regions will allow state management to be more effective
under a full partnership with federal programs.
"The merger has increased both the complexity of the
programs managed by the regional supervisors and their
supervisory loads by assigning components of the FRED
Division to their regions. A fifth region would reduce the
supervisory workload and would enable them to evaluate their
programs more effectively."
MR. KOENINGS discussed a chart titled "Commercial Fisheries
Management and Development Division."
In conclusion, MR. KOENINGS reminded the committee that the
department will be forwarding a more complete document on
the whole process.
Number 519
REPRESENTATIVE CLIFF DAVIDSON said what he is hearing as far
as services being provided to the fishermen, is that the
fishermen want more people out in the field and not more
supervisors and administrators. He noted concern with more
middle managers and travel budgets.
MR. KOENINGS referred to the fifth region concept and said
there is basically personnel from two separate regions which
are being consolidated to focus on some real needs that
haven't been met.
REPRESENTATIVE DAVIDSON asked why needs haven't been met.
MR. KOENINGS said there have been problems in terms of
budgets and trying to get some resources and focus into
those areas. He explained that Alaska fisheries are getting
more and more complicated because of the supply and demand,
and because of the increasing importance of some of the
other fisheries, rather than a nontraditional fishery. He
said he doesn't think the department will decrease their
presence in those areas. Mr. Koenings said it is time that
the department focuses on that area and a fifth region gives
them the platform to do that.
Number 555
REPRESENTATIVE DAVIDSON said if the fisheries are becoming
more complicated, then why is the department focusing on the
concentration of personnel in the urban areas where there
are not fishermen who need to be more educated of the
complications. He said it seems there is an argument for
decentralizing and getting people out into the field more
than just trying to focus in on an area that caters more to
outside fishermen than the local fishermen. He noted that
is the same message they got from the Southwest Municipal
Conference Meetings in Anchorage.
COMMISSIONER ROSIER informed Representative Davidson that he
doesn't believe in centralization. There needs to be an
administrative supervisory unit somewhere, but wherever the
unit is set up, whether it is in Kodiak, Anchorage, etc.,
you will see a consolidation around that headquarters office
in terms of dealing with the public. He referred to the
structure and said it would allow some department people to
be in those outlying areas on a full-time basis. The actual
access to the department will be increased to a broader
number of communities.
REPRESENTATIVE DAVIDSON asked where the resources are going
to come from to have a new fifth region, administrative
support staff, as well as sending more people out to the
different areas.
COMMISSIONER ROSIER said the department is looking at a
reemphasis of existing positions within two of the other
regions.
Number 622
JERRY MCCUNE, PRESIDENT, UNITED FISHERMEN OF ALASKA, asked
if there would be an evaluation of the existing hatcheries
and what they are contributing to the common property.
MR. KOENINGS explained that there are two angles to the new
unit. One is the best hatchery management practices will be
handled through a technical unit that will focus on those
particular issues. It will create new ways of best hatchery
practices in terms of disease control and timing. He
explained the other aspect is the programmatic oversight,
the permitting and the rest of it that needs to be aligned.
TAPE 94-3, SIDE B
Number 001
COMMISSIONER ROSIER referred to the existing facilities and
said there are increased management costs that come with the
hatcheries, and the direction has been associated with the
protection of wild stocks, etc. He said in a lot of the
facilities there was very large numbers of fish being
produced by some of the facilities that were impacting
management. That particular issue was never resolved in
terms of how those additional management costs were going to
be dealt with within the structure. Currently, we have a
private nonprofit industry that has some significant
problems. Commissioner Rosier stated it is not the time, in
his view, to interject that kind of thinking into the
process. There are additional management costs involved and
now is not the time to deal with that particular issue
within that industry.
MR. MCCUNE commented that he hopes in the future the
department looks at the commissioner going out to different
areas, as it is very important to the people. Talking to
the fishermen personally is a lot more effective than trying
to deal with personnel at the local level.
COMMISSIONER ROSIER said he explained at his confirmation
hearing that he would be a hands-on commissioner, and he has
tried to be that. He noted that it is his intention to
visit several communities in the near future.
CHAIRMAN MOSES thanked Commissioner Rosier for the
presentation.
Number 094
CHAIRMAN MOSES announced that CSHB 134 (FSH) would be heard
the following Wednesday, February 2. He adjourned the
meeting at 9:35 a.m.
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