00 HOUSE BILL NO. 18 01 "An Act relating to regional fishery development associations; and relating to 02 developing fishery management assessments." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 16.40 is amended by adding a new section to read: 05 Article 4A. Fishery Development Associations. 06 Sec. 16.40.255. Regional fishery development associations. (a) The 07 commissioner shall assist in and encourage the formation of qualified regional fishery 08 development associations for the purpose of developing new fisheries in the state. 09 (b) A regional fishery development association is qualified if the 10 commissioner determines that the regional fishery development association 11 (1) is incorporated as a nonprofit corporation under AS 10.20; 12 (2) represents commercial fishermen who 13 (A) for a new fishery, 14 (i) harvest fishery resources that would potentially be 01 included in the new fishery; and 02 (ii) are likely to participate in the fishery if the 03 commission grants permits for the fishery under AS 16.43.100 or 04 16.43.210(c); or 05 (B) for a fishery for which the commission grants permits 06 under AS 16.43.100 or 16.43.210(c), participate actively in the fishery; 07 (3) possesses a board of directors that 08 (A) is representative of commercial fishermen who meet the 09 criteria in (2) of this subsection; 10 (B) has a member who is representative of fish processors who 11 (i) are likely to process fishery resources from a new 12 fishery if the commission grants permits for the fishery under 13 AS 16.43.100 or 16.43.210(c); or 14 (ii) actively process fishery resources from the fishery 15 harvested under authority of permits granted by the commission under 16 AS 16.43.100 or 16.43.210(c); 17 (C) has a member who is representative of a municipality in 18 which the landings for the fishery occur or will occur if the commission grants 19 permits for the fishery under AS 16.43.100 or 16.43.210(c). 20 (c) The commissioner may designate as a developing fishery the commercial 21 harvest of a species of fishery resources in a specific geographic area of the state if the 22 commissioner determines that 23 (1) the optimum yield from the harvest of the species of fishery 24 resources has not been reached; 25 (2) the abundance or sustained yield for the species of fishery 26 resources has not been estimated; 27 (3) a commercial harvest of the species of fishery resources has 28 recently developed; or 29 (4) annual stock assessments are not conducted in the area. 30 (d) In this section, 31 (1) "commission" means the Alaska Commercial Fisheries Entry 01 Commission established under AS 16.43.020; 02 (2) "new fishery" means a prospective fishery within a specified 03 geographical region that is not currently regulated or controlled by the commission. 04 * Sec. 2. AS 37.05.146(c)(26) is amended to read: 05 (26) dive fishery management assessment receipts (AS 43.76.150), 06 salmon fishery assessment receipts (AS 43.76.220), developing fishery management 07 assessment receipts (AS 43.76.281), and permit buy-back assessment receipts 08 (AS 43.76.300); 09 * Sec. 3. AS 43.76 is amended by adding new sections to read: 10 Article 3A. Developing Fishery Management Assessment. 11 Sec. 43.76.281. Developing fishery management assessment. (a) A 12 developing fishery management assessment on fishery resources taken with 13 commercial gear shall be levied on the value of a specific fishery resource taken in a 14 developing fishery area. The species of fishery resources subject to the assessment and 15 the rate of the assessment, as determined under (b) - (m) of this section, shall be 16 determined by an election under AS 43.76.283. 17 (b) A person holding a limited entry permit or interim-use permit issued under 18 AS 16.43 shall pay a developing fishery management assessment of two and one-half 19 percent on a species of fishery resources that is subject to the assessment as 20 determined by an election under AS 43.76.283, that is taken with commercial gear, 21 and that the person removes from the state or transfers to a buyer in the state. 22 (c) A person holding a limited entry permit or interim-use permit issued under 23 AS 16.43 shall pay a developing fishery management assessment of five percent on a 24 species of fishery resources that is subject to the assessment as determined by an 25 election under AS 43.76.283, that is taken with commercial gear, and that the person 26 removes from the state or transfers to a buyer in the state. 27 (d) A person holding a limited entry permit or interim-use permit issued under 28 AS 16.43 shall pay a developing fishery management assessment of seven and one- 29 half percent on a species of fishery resources that is subject to the assessment as 30 determined by an election under AS 43.76.283, that is taken with commercial gear, 31 and that the person removes from the state or transfers to a buyer in the state. 01 (e) A person holding a limited entry permit or interim-use permit issued under 02 AS 16.43 shall pay a developing fishery management assessment of 10 percent on a 03 species of fishery resources that is subject to the assessment as determined by an 04 election under AS 43.76.283, that is taken with commercial gear, and that the person 05 removes from the state or transfers to a buyer in the state. 06 (f) A person holding a limited entry permit or interim-use permit issued under 07 AS 16.43 shall pay a developing fishery management assessment of 12.5 percent on a 08 species of fishery resources that is subject to the assessment as determined by an 09 election under AS 43.76.283, that is taken with commercial gear, and that the person 10 removes from the state or transfers to a buyer in the state. 11 (g) A person holding a limited entry permit or interim-use permit issued under 12 AS 16.43 shall pay a developing fishery management assessment of 15 percent on a 13 species of fishery resources that is subject to the assessment as determined by an 14 election under AS 43.76.283, that is taken with commercial gear, and that the person 15 removes from the state or transfers to a buyer in the state. 16 (h) A person holding a limited entry permit or interim-use permit issued under 17 AS 16.43 shall pay a developing fishery management assessment of 17.5 percent on a 18 species of fishery resources that is subject to the assessment as determined by an 19 election under AS 43.76.283, that is taken with commercial gear, and that the person 20 removes from the state or transfers to a buyer in the state. 21 (i) A person holding a limited entry permit or interim-use permit issued under 22 AS 16.43 shall pay a developing fishery management assessment of 20 percent on a 23 species of fishery resources that is subject to the assessment as determined by an 24 election under AS 43.76.283, that is taken with commercial gear, and that the person 25 removes from the state or transfers to a buyer in the state. 26 (j) A person holding a limited entry permit or interim-use permit issued under 27 AS 16.43 shall pay a developing fishery management assessment of 22.5 percent on a 28 species of fishery resources that is subject to the assessment as determined by an 29 election under AS 43.76.283, that is taken with commercial gear, and that the person 30 removes from the state or transfers to a buyer in the state. 31 (k) A person holding a limited entry permit or interim-use permit issued under 01 AS 16.43 shall pay a developing fishery management assessment of 25 percent on a 02 species of fishery resources that is subject to the assessment as determined by an 03 election under AS 43.76.283, that is taken with commercial gear, and that the person 04 removes from the state or transfers to a buyer in the state. 05 (l) A person holding a limited entry permit or interim-use permit issued under 06 AS 16.43 shall pay a developing fishery management assessment of 27.5 percent on a 07 species of fishery resources that is subject to the assessment as determined by an 08 election under AS 43.76.283, that is taken with commercial gear, and that the person 09 removes from the state or transfers to a buyer in the state. 10 (m) A person holding a limited entry permit or interim-use permit issued 11 under AS 16.43 shall pay a developing fishery management assessment of 30 percent 12 on a species of fishery resources that is subject to the assessment as determined by an 13 election under AS 43.76.283, that is taken with commercial gear, and that the person 14 removes from the state or transfers to a buyer in the state. 15 (n) A developing fishery management assessment may be levied or collected 16 under this section on a fishery resource in a developing fishery area only if 17 (1) the commissioner of fish and game determines that the developing 18 fishery area has a qualified regional fishery development association under 19 AS 16.40.255; and 20 (2) the species of fishery resources subject to the developing fishery 21 management assessment and the rate of the developing fishery management 22 assessment, as provided under (b) - (m) of this section, is approved by an election 23 under AS 43.76.283. 24 Sec. 43.76.283. Election to approve, amend, or terminate developing 25 fishery management assessment. (a) A qualified regional fishery development 26 association may conduct an election under this section after the commissioner of fish 27 and game approves 28 (1) the notice to be published by the qualified regional fishery 29 development association; the notice must describe the species of fishery resources 30 subject to the developing fishery management assessment and the rate of the 31 assessment to be approved, amended, or terminated at the election; 01 (2) the ballot to be used in the election; and 02 (3) the registration and voting procedure for the approval, amendment, 03 or termination of the developing fishery management assessment. 04 (b) The developing fishery management assessment is levied under 05 AS 43.76.281(b), (c), (d), (e), (f), (g), (h), (i), (j), (k), (l), or (m), is amended under 06 AS 43.76.285, or is terminated under AS 43.76.287 on the effective date stated on the 07 ballot if 08 (1) the levy, amendment, or termination is approved by a majority vote 09 of the eligible interim-use permit and entry permit holders voting in the election held 10 in the developing fishery area; and 11 (2) the election results are certified by the commissioner of fish and 12 game. 13 (c) In conducting an election under this section, a qualified regional fishery 14 development association shall adopt the following procedures: 15 (1) the qualified regional fishery development association shall hold at 16 least one public meeting not less than 30 days before the date on which ballots must be 17 postmarked to be counted in the election to explain, as appropriate, the reason for 18 approval or amendment of the proposed developing fishery management assessment, 19 the reason for the proposed rate of the developing fishery management assessment, or 20 the reason for termination of the developing fishery management assessment and to 21 explain the registration and voting procedure to be used in the election; the qualified 22 regional fishery development association shall provide notice of the meeting by 23 (A) mailing or electronically transmitting the notice to each 24 eligible interim-use permit and entry permit holder; 25 (B) posting the notice in at least three public places in the 26 region; and 27 (C) publishing the notice in at least one newspaper of general 28 circulation in the developing fishery area at least once a week for two 29 consecutive weeks before the meeting; 30 (2) the qualified regional fishery development association shall mail or 31 electronically transmit two ballots to each eligible interim-use permit and entry permit 01 holder; the first ballot shall be mailed or transmitted not more than 45 days before the 02 date ballots must be postmarked to be counted in the election; the second ballot shall 03 be mailed or transmitted not less than 15 days before the date ballots must be 04 postmarked to be counted in the election; the qualified regional fishery development 05 association shall adopt procedures to ensure that only one ballot from each eligible 06 interim-use permit and entry permit holder is counted in the election; 07 (3) the ballot must 08 (A) indicate the species of fishery resources subject to the 09 developing fishery management assessment; 10 (B) indicate whether the election relates to a developing fishery 11 management assessment under AS 43.76.281(b), (c), (d), (e), (f), (g), (h), (i), 12 (j), (k), (l), or (m); 13 (C) ask the question whether the developing fishery 14 management assessment on the fishery resources addressed on the ballot shall 15 be approved, amended, or terminated, as appropriate; 16 (D) indicate the boundaries of the developing fishery area in 17 which the assessment will be levied or terminated; 18 (E) provide an effective date for the approval, amendment, or 19 termination of the developing fishery management assessment; and 20 (F) indicate the date on which returned ballots must be 21 postmarked to be counted; 22 (4) the ballots shall be returned by mail or by electronic transmission 23 and shall be counted by an auditor selected by the qualified regional fishery 24 development association and approved by the commissioner of fish and game; the 25 qualified regional fishery development association shall pay the costs of counting the 26 ballots. 27 (d) The commissioner of fish and game shall certify the results of an election 28 under this section if the commissioner determines that the requirements of (a) and (c) 29 of this section have been satisfied. 30 (e) A qualified regional fishery development association may employ or 31 contract with another person to administer an election under this section subject to the 01 supervision of the association. 02 (f) Except as otherwise provided under AS 43.76.285 and 43.76.287, an 03 election to amend the rate of a developing fishery management assessment or to 04 terminate a developing fishery management assessment shall be conducted under the 05 same procedures established under (a), (c), and (d) of this section for an election to 06 approve a developing fishery management assessment. 07 (g) In this section, "eligible interim-use permit and entry permit holder" means 08 an individual who, 90 days before the date ballots must be postmarked to be counted 09 in an election under this section, is listed in the records of the Alaska Commercial 10 Fisheries Entry Commission as the legal holder of an interim-use permit for gear or an 11 entry permit for gear that authorizes the individual to fish commercially in the 12 developing fishery area for the species of fishery resources for which the developing 13 fishery management assessment is to be approved, amended, or terminated. 14 Sec. 43.76.285. Amendment of developing fishery management assessment. 15 (a) The rate of the developing fishery management assessment levied on a species of 16 fishery resources under AS 43.76.281(b), (c), (d), (e), (f), (g), (h), (i), (j), (k), (l), or 17 (m) may be amended by the commissioner of revenue upon majority vote at an 18 election held under AS 43.76.283 in the developing fishery area in which the 19 assessment is levied. 20 (b) The commissioner of revenue shall amend the rate of a developing fishery 21 management assessment under (a) of this section following an election under 22 AS 43.76.283 in a developing fishery area if 23 (1) a petition that is signed by at least 75 percent of the board members 24 of the qualified regional fishery development association established for the area under 25 AS 16.40.255 is presented to the commissioner of fish and game requesting 26 amendment of the rate of the developing fishery management assessment on a species 27 of fishery resources; the petition must state whether the proposed rate of the 28 developing fishery management assessment is to be levied under AS 43.76.281(b), (c), 29 (d), (e), (f), (g), (h), (i), (j), (k), (l), or (m); 30 (2) an election is held in accordance with AS 43.76.283; the ballot 31 must ask the question whether the developing fishery management assessment on a 01 species of fishery resources taken in the area shall be amended and must state whether 02 the developing fishery management assessment on the species of fishery resources is 03 to be levied under AS 43.76.281(b), (c), (d), (e), (f), (g), (h), (i), (j), (k), (l), or (m) if 04 the assessment is amended; the ballot must be worded so that a "yes" vote is for 05 amendment of the developing fishery management assessment and a "no" vote is for 06 continuation of the current developing fishery management assessment; 07 (3) a majority of the eligible interim-use permit and entry permit 08 holders who vote in the election cast a ballot for the amendment of the developing 09 fishery management assessment; in this paragraph, "eligible interim-use permit and 10 entry permit holders" has the meaning given in AS 43.76.283(g); and 11 (4) the qualified regional fishery development association provides 12 notice of the election in accordance with AS 43.76.283 within two months after 13 receiving notice from the commissioner of fish and game that a valid petition under 14 (1) of this subsection has been received. 15 Sec. 43.76.287. Termination of developing fishery management 16 assessment. (a) The developing fishery management assessment levied on a species of 17 fishery resources under AS 43.76.281(b), (c), (d), (e), (f), (g), (h), (i), (j), (k), (l), or 18 (m) shall be terminated by the commissioner of revenue upon majority vote at an 19 election held under AS 43.76.283 in the developing fishery area in which the 20 assessment is levied. 21 (b) The commissioner of revenue shall terminate a developing fishery 22 management assessment under (a) of this section following an election in a developing 23 fishery area if 24 (1) a petition that is signed by at least 75 percent of the board members 25 of the qualified regional fishery development association established for the area under 26 AS 16.40.255 is presented to the commissioner of fish and game requesting 27 termination of the developing fishery management assessment on a species of fishery 28 resources; 29 (2) an election is held in accordance with AS 43.76.283; the ballot 30 must ask the question whether the developing fishery management assessment on a 31 species of fishery resources taken in the area shall be terminated; the ballot must be 01 worded so that a "yes" vote is for continuation of the developing fishery management 02 assessment and a "no" vote is for termination of the developing fishery management 03 assessment; 04 (3) a majority of the eligible interim-use permit and entry permit 05 holders who vote in the election cast a ballot for the termination of the developing 06 fishery management assessment; in this paragraph, "eligible interim-use permit and 07 entry permit holders" has the meaning given in AS 43.76.283(g); and 08 (4) the qualified regional fishery development association provides 09 notice of the election in accordance with AS 43.76.283 within two months after 10 receiving notice from the commissioner of fish and game that a valid petition under 11 (1) of this subsection has been received. 12 Sec. 43.76.289. Collection of developing fishery management assessment. 13 (a) Except as otherwise provided under (e) of this section, a buyer who acquires a 14 fishery resource that is subject to a developing fishery management assessment levied 15 under AS 43.76.281(b), (c), (d), (e), (f), (g), (h), (i), (j), (k), (l), or (m) shall collect the 16 assessment at the time of purchase and shall remit the total developing fishery 17 management assessment collected during each calendar quarter to the Department of 18 Revenue by the last day of the month following the end of the calendar quarter. In this 19 subsection, "calendar quarter" means each of the three-month periods ending 20 March 31, June 30, September 30, and December 31. 21 (b) A buyer who collects the developing fishery management assessment shall 22 maintain records of the value of each species of fishery resources that is subject to the 23 assessment that is purchased in each developing fishery area in the state. 24 (c) The owner of fishery resources removed from the state is liable for 25 payment of the developing fishery management assessment levied under 26 AS 43.76.281(b), (c), (d), (e), (f), (g), (h), (i), (j), (k), (l), or (m) if, at the time the 27 fishery resource is removed from the state, the assessment payable on the fishery 28 resource has not been collected by a buyer. If the owner of the fishery resource is 29 liable for payment of the developing fishery management assessment under this 30 subsection, the owner shall comply with the requirements under (a) and (b) of this 31 section to remit the assessment to the Department of Revenue and to maintain records. 01 (d) The developing fishery management assessment collected under this 02 section shall be deposited in the state treasury. Under AS 37.05.146(c), assessment 03 receipts shall be accounted for separately, and appropriations from the account are not 04 made from the unrestricted general fund. 05 (e) A direct marketing fisheries business licensed under AS 43.75.020(c) or a 06 commercial fisherman who transfers possession of a fishery resource to a buyer who is 07 not a fisheries business licensed under AS 43.75 is liable for payment of a developing 08 fishery management assessment levied under AS 43.76.281(b), (c), (d), (e), (f), (g), 09 (h), (i), (j), (k), (l), or (m) if, at the time possession of the fishery resource is 10 transferred to a buyer, the developing fishery management assessment payable on the 11 fishery resource has not been collected. If a direct marketing fisheries business or 12 commercial fisherman is liable for payment of a developing fishery management 13 assessment under this subsection, the direct marketing fisheries business or 14 commercial fisherman shall comply with the requirement to maintain records under 15 (b) of this section. Notwithstanding (a) of this section, a person subject to this 16 subsection shall remit the total developing fishery management assessment payable 17 during the calendar year to the Department of Revenue before April 1 after close of 18 the calendar year. 19 Sec. 43.76.291. Funding for qualified regional fishery development 20 associations. (a) The legislature may make appropriations of revenue collected under 21 AS 43.76.289 to the Department of Fish and Game for funding of the qualified 22 regional fishery development association in the developing fishery area in which the 23 assessment was collected. Appropriations under this section are not made from the 24 unrestricted general fund. Funds received under this section by a qualified regional 25 fishery development association may be expended in accordance with the annual 26 operating plan developed under (b) of this section. 27 (b) The Department of Fish and Game shall develop an annual operating plan 28 with the cooperation of the qualified regional fishery development association on or 29 before a date specified by the Department of Fish and Game. The annual operating 30 plan must describe the activities for which the funding will be expended, including 31 identification of species and areas for which bioassessment surveys will be conducted, 01 a description of management and research activities to be performed, planning for 02 fisheries, and administrative activities of the association. Funds appropriated to the 03 Department of Fish and Game for funding of qualified regional fishery development 04 associations may not be disbursed by the department or expended by the association, 05 except for administration of the association, unless the annual operating plan has been 06 approved by the association and the Department of Fish and Game. If an annual 07 operating plan has not been approved by the association and the Department of Fish 08 and Game, the Department of Fish and Game may not disburse and the association 09 may not expend funds received from the department for administration of the 10 association in an amount that exceeds the amount of administrative expenses 11 authorized under the annual operating plan for the prior fiscal year. 12 (c) A qualified regional fishery development association receiving funding 13 under this section shall submit an annual financial report to the Department of Fish 14 and Game on a form provided by the Department of Fish and Game. The Department 15 of Fish and Game may, by regulation, require that a qualified regional fishery 16 development association use a uniform system of accounting and may audit the use of 17 funding received under this section by the association. 18 (d) This section does not establish a dedication of a state tax or license. 19 (e) This section does not restrict or qualify the authority of the Department of 20 Fish and Game or the Board of Fisheries under AS 16. 21 Sec. 43.76.299. Definitions. In AS 43.76.281 - 43.76.299, 22 (1) "buyer" means a person who acquires possession of a fishery 23 resource from the person who caught the fishery resource, regardless of whether an 24 actual sale of the fishery resource occurs, but does not include a person engaged solely 25 in interstate transportation of goods for hire; 26 (2) "developing fishery area" means 27 (A) an area designated by the commissioner of fish and game 28 as a developing fishery under AS 16.40.255(c); or 29 (B) a fishery established by the Alaska Commercial Fisheries 30 Entry Commission under AS 16.43.100 that was previously designated by the 31 commissioner of fish and game as a developing fishery under AS 16.40.255(c); 01 (3) "fishery resource" means fish, shellfish, or marine invertebrates 02 taken or landed under the authority of a limited entry permit or interim-use permit 03 issued under AS 16.43; 04 (4) "qualified regional fishery development association" means an 05 association that is qualified under AS 16.40.255; 06 (5) "value" has the meaning given in AS 43.75.290.