Legislature(1993 - 1994)

03/12/1993 08:30 AM FSH

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
              HOUSE SPECIAL COMMITTEE ON FISHERIES                             
                         MARCH 12, 1993                                        
                            8:30 a.m.                                          
  MEMBERS PRESENT                                                              
  Representative Carl E. Moses, Chairman                                       
  Representative Harley Olberg, Vice-Chairman                                  
  Representative Gail Phillips                                                 
  Representative Irene Nicholia                                                
  MEMBERS ABSENT                                                               
  Representative Cliff Davidson                                                
  COMMITTEE CALENDAR                                                           
  HB 140    "An Act relating to the king salmon tag fee."                      
            MOVED OUT WITH A DO PASS RECOMMENDATION                            
  *HJR 34   Requesting the Department of Commerce to give a                    
            high priority to fisheries development project                     
            grants for the Alaska salmon industry.                             
            MOVED OUT WITH A DO PASS RECOMMENDATION                            
  *HCR 9    Relating to management of the community                            
            development fisheries quota program and fisheries                  
            development by the state.                                          
            HELD IN COMMITTEE FOR FURTHER CONSIDERATION                        
  (* first public hearing)                                                     
  WITNESS REGISTER                                                             
  Chris Mitchell, Executive Director                                           
  Alaska Fisheries Development Foundation                                      
  508 West Second St., Suite 12                                                
  Anchorage, AK  99501                                                         
  Phone:  276-7315                                                             
  Position Statement: Supported HJR 34                                         
  Bob Herron, Legislative Aide                                                 
    to Representative Lyman Hoffman                                            
  State Capitol, Room 503                                                      
  Juneau, Alaska  99801-1182                                                   
  Phone:  465-4453                                                             
  Position Statement: Gave an overview of HCR 9                                
  Karl Ohls, Fisheries Development Specialist                                  
  Bering Sea Fishermen's Association                                           
  725 Christensen Drive                                                        
  Anchorage, Alaska  99504                                                     
  Phone:  279-6519                                                             
  Position Statement: Supported HCR 9                                          
  Bruce Weyhrauch                                                              
  Alaska Crab Coalition                                                        
  302 Gold St.                                                                 
  Juneau, Alaska  99801                                                        
  Phone:  586-2210                                                             
  Position Statement: Questioned the CDQ program                               
  John Walsh, Deputy Director                                                  
  Division of Rural Development                                                
  Department of Community and Regional Affairs                                 
  P.O. Box 112100                                                              
  Juneau, Alaska  99801-2100                                                   
  Phone:  465-4898                                                             
  Position Statement: Supported HCR 9; recommended changes to                  
                      CSHCR 9 (FSH)                                            
  PREVIOUS ACTION                                                              
  BILL:  HB 140                                                                
  BILL VERSION:                                                                
  SPONSOR(S):   REPRESENTATIVE(S) HUDSON,Phillips                              
  TITLE: "An Act relating to the king salmon tag fee."                         
  JRN-DATE     JRN-PG               ACTION                                     
  02/08/93       254    (H)   READ THE FIRST TIME/REFERRAL(S)                  
  02/08/93       254    (H)   FISHERIES, RESOURCES, FINANCE                    
  02/22/93              (H)   FSH AT 08:30 AM CAPITOL 17                       
  02/22/93              (H)   MINUTE(FSH)                                      
  03/03/93              (H)   FSH AT 08:30 AM CAPITOL 17                       
  03/03/93              (H)   MINUTE(FSH)                                      
  03/05/93              (H)   FSH AT 08:00 AM CAPITOL 17                       
  03/12/93       615    (H)   FSH RPT  CS(FHS)  NEW TITLE                      
  03/12/93       615    (H)   DP: MOSES, PHILLIPS, OLBERG                      
  03/12/93       615    (H)   -FISCAL NOTE  (F&G)  3/12/93                     
  03/12/93       615    (H)   REFERRED TO RESOURCES                            
  BILL:  HJR 34                                                                
  BILL VERSION: HJR 34                                                         
  SPONSOR(S):   REPRESENTATIVE(S) MOSES,Ulmer,Kott                             
  TITLE: Requesting the Department of Commerce to give a high                  
  priority to fisheries development project grants for the                     
  Alaska salmon industry.                                                      
  JRN-DATE     JRN-PG               ACTION                                     
  03/05/93       548    (H)   READ THE FIRST TIME/REFERRAL(S)                  
  03/05/93       548    (H)   FISHERIES                                        
  03/08/93       574    (H)   COSPONSOR(S): KOTT                               
  03/12/93       614    (H)   FSH RPT  3DP                                     
  03/12/93       614    (H)   FISHERIES REPORT RECOMMENDED                     
  03/12/93       615    (H)   DP: MOSES. OLBERG, NICHOLIA                      
  03/12/93       615    (H)   -ZERO FISCAL NOTE  (F&G)                         
  BILL:  HCR 9                                                                 
  BILL VERSION:                                                                
  SPONSOR(S):   REPRESENTATIVE(S) HOFFMAN,Ulmer                                
  TITLE: Relating to management of the community development                   
  fisheries quota program and fisheries development by the                     
  JRN-DATE     JRN-PG               ACTION                                     
  02/22/93       409    (H)   READ THE FIRST TIME/REFERRAL(S)                  
  02/22/93       409    (H)   FISHERIES, RESOURCES, FINANCE                    
  03/12/93              (H)   FSH AT 08:30 AM CAPITOL 17                       
  ACTION NARRATIVE                                                             
  TAPE 93-11, SIDE A                                                           
  Number 000                                                                   
  CHAIRMAN CARL MOSES called the meeting to order at 8:40 a.m.                 
  He noted Representatives Moses, Olberg and Phillips in                       
  attendance and said the meeting would begin by bringing up                   
  once again HB 140, sponsored by Representative Bill Hudson,                  
  which would change the nonresident fees for the king salmon                  
  tag.  He said the committee would then take up HJR 34 and                    
  HCR 9.                                                                       
  HB 140:  FEES FOR NONRESIDENT KING SALMON TAG                                
  CHAIRMAN MOSES reminded the committee they had already taken                 
  testimony on HB 140 and had before them a proposed Committee                 
  Substitute (CSHB 140 (FSH)) incorporating the changes                        
  recommended by the Alaska Department of Fish and Game.                       
  Those changes included clarifying throughout the statutes                    
  that the king salmon tag only relates to anadromous king                     
  salmon; changing the one-day nonresident tag from the                        
  sponsor's proposed $5 to $10; making the nonresident                         
  military tag $20; and adding a January 1, 1994 effective                     
  VICE CHAIR HARLEY OLBERG MOVED to ADOPT CSHB 140 (FSH) for                   
  discussion purposes.  There were no objections, and IT WAS                   
  SO ORDERED.                                                                  
  VICE CHAIR OLBERG MOVED to AMEND CSHB 140 (FSH) to exempt                    
  nonresident minors from the king salmon tag requirement.                     
  There were no objections, and the AMENDMENT was ADOPTED.                     
  VICE CHAIR OLBERG MOVED to pass out CSHB 140 (FSH), as                       
  amended, from the committee.  There were no objections, and                  
  CSHB 140 (FSH) MOVED out of committee with a do pass                         
  HJR 34:  FED FISH RESEARCH & DEVELOPMENT GRANTS                              
  CHAIRMAN MOSES announced the next bill before the committee                  
  was HJR 34, which he had sponsored at the request of the                     
  Alaska Fisheries Development Foundation.                                     
  DEVELOPMENT FOUNDATION, testified in favor of HJR 34.  He                    
  described some of the current problems in the Alaska salmon                  
  industry, including the threat of Russian salmon flooding                    
  the market.  For the last 15 years, he noted the federal                     
  Saltonstall-Kennedy grant program has provided $15 million                   
  to the seafood industry for fisheries development projects.                  
  He described how the annual grant amount has decreased, and                  
  has focused primarily on marine mammals, by-catch, and                       
  fishing technology.  Historically, according to MR.                          
  MITCHELL, the money has not been allowed to go towards                       
  development of the more traditional fisheries, including                     
  salmon, partly because they are not under the management                     
  jurisdiction of the National Marine Fisheries Service                        
  MR. MITCHELL commented that many people in the salmon                        
  industry now believe such help is needed to revitalize that                  
  industry.  He described HJR 34 as a collective effort to                     
  tell the Department of Commerce and the National Marine                      
  Fisheries Service to allow the industry to decide what the                   
  development grants should be used for, and that salmon is in                 
  need of developmental activities.  He estimated the $15                      
  million in grants to Alaska has generated more than $250                     
  million in new business in the state.  Because the salmon                    
  industry is critical to the state's health and the nation's                  
  health, he urged passage of HJR 34.                                          
  CHAIRMAN MOSES asked the committee to consider a PROPOSED                    
  AMENDMENT to HJR 34 which would change on p. 1, line 13, the                 
  word "products" to "market", being more accurate.                            
  VICE CHAIR OLBERG MOVED to ADOPT the AMENDMENT.  There were                  
  no objections, and the AMENDMENT was ADOPTED.                                
  HJR 34:  NO ACTION TAKEN DUE TO LACK OF QUORUM.                              
  HCR 9:  COMMUNITY DEVELOPMENT FISHING QUOTAS                                 
  HOFFMAN, PRIME SPONSOR of HCR 9, testified that                              
  Representative Hoffman introduced the resolution to                          
  encourage the Hickel administration to elevate the state's                   
  role in the Community Development Quota (CDQ) program, which                 
  he called the most extensive economic development effort                     
  ever to occur in the poorest regions of the state of Alaska.                 
  MR. HERRON said it was essential that the state play an                      
  important role in this program in its first two years in                     
  order to ensure its fulfillment.  The Governor has a                         
  significant responsibility in this, according to MR. HERRON.                 
  What the CDQ program needs, he said, is strong leadership                    
  and coordinated support.                                                     
  MR. HERRON also said Representative Hoffman believes there                   
  is a need for a review of past fisheries development policy                  
  proposals in order to draft a comprehensive fisheries                        
  development policy that includes the CDQ program.  He                        
  described HCR 9 as formal recognition of the CDQ program                     
  which also asks the Governor to fully commit the                             
  administration to its success.                                               
  MR. HERRON also noted that Representative Hoffman supports                   
  the recommended Committee Substitute (CSHCR 9 (FSH)).                        
  SEA FISHERMEN'S ASSOCIATION, which represents commercial                     
  fishermen in western Alaska, spoke in support of the CDQ                     
  program and HCR 9.  He commented that his primary job was to                 
  work with the CDQ groups in developing group positions.  He                  
  said the groups had a concern that there be a designated                     
  state person in charge of the program, and that HCR 9                        
  addressed that concern.  He also said Number 4 in the                        
  Resolved sections of the resolution was very important,                      
  adding that since CDQs were probably one of the most                         
  significant fisheries development programs ever developed in                 
  the state, it would be a shame for pollock CDQs to be the                    
  end of it.                                                                   
  MR. OHLS asked that the pollock CDQ be looked at as the                      
  model and cornerstone for an entire fisheries development                    
  program for the state of Alaska.                                             
  CHAIRMAN MOSES acknowledged the arrival of Representative                    
  Irene Nicholia.                                                              
  questioned the CDQ program itself.  First, is it appropriate                 
  or necessary to expand CDQs to the rest of the state?  Have                  
  other regions expressed the same interest as the Bering Sea                  
  communities?  Is it necessary to expand CDQs to other                        
  fisheries of the state?  He likened the CDQ program to a                     
  form of federal community block grant program, and                           
  questioned how this federal involvement would impact state                   
  involvement.  He also expressed concerns over how the funds                  
  from this program would be used, and thought the legislature                 
  should consider putting a bound on how these funds are spent                 
  so they don't flow out of state.                                             
  MR. WEYHRAUCH also asked if Alaska's CDQ program would                       
  affect national debates on fisheries issues in Congress.  He                 
  commented that he would submit a copy of a letter from the                   
  National Fisheries Institute expressing opposition to CDQs                   
  and how they related to the Magnuson Act, Marine Mammal                      
  Protection Act, and the Endangered Species Act.  Opposition                  
  to the CDQ program exists nationally, according to MR.                       
  WEYHRAUCH, and will likely build.  Any expansion of the                      
  program should be done carefully, in consultation with the                   
  Congressional delegation, he said.                                           
  MR. WEYHRAUCH suggested there was a danger that the state                    
  may face losing its ability to manage its own fisheries                      
  locally, which would thwart the intent of HCR 9.                             
  HJR 34:  FED FISH RESEARCH & DEVELOPMENT GRANTS                              
  The committee returned to HJR 34, and now having a quorum                    
  MOVED to PASS HJR 34 as amended, out of the committee with                   
  individual recommendations.  There were no objections, and                   
  IT SO MOVED.                                                                 
  HCR 9:  COMMUNITY DEVELOPMENT FISHING QUOTAS                                 
  spoke in favor of HCR 9 and described his department's                       
  progress on the CDQ program.  He indicated he had some                       
  recommended changes to the proposed committee substitute.                    
  MR. WALSH also announced that the Governor has signed the                    
  final state regulations for the CDQ program.  He described                   
  additional progress, including the fact that the CDQ groups                  
  were actively fishing and that the Governor was proposing a                  
  budget amendment for additional staff for the program.                       
  MR. WALSH also addressed some of the concerns brought up by                  
  Mr. Weyhrauch.  He indicated the CDQ program was not really                  
  impacting the explosion in fishing activity that was already                 
  occurring in the North Pacific, and that CDQs were merely                    
  bringing to western Alaska communities some of the benefits                  
  of that growth.  Once the national interests are aware of                    
  that, he believes they will increase their support.                          
  MR. WALSH also corrected Mr. Weyhrauch and pointed out that                  
  under federal regulations, CDQ groups can only spend their                   
  funds on fisheries development.                                              
  CHAIRMAN CARL MOSES adjourned the meeting at 9:07 a.m.                       

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