CSHB 22(FSH): "An Act relating to brokers of commercial fishing permits, quota shares, and commercial fishing vessels; to the transfer of commercial fishing permits; amending Rule 82, Alaska Rules of Civil Procedure, and Rule 508, Alaska Rules of Appellate Procedure; and providing for an effective date."
00 CS FOR HOUSE BILL NO. 22(FSH) 01 "An Act relating to brokers of commercial fishing permits, quota shares, and 02 commercial fishing vessels; to the transfer of commercial fishing permits; amending 03 Rule 82, Alaska Rules of Civil Procedure, and Rule 508, Alaska Rules of Appellate 04 Procedure; and providing for an effective date." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. AS 08.01.010 is amended by adding a new paragraph to read: 07 (38) regulation of brokers of commercial fishing permits, quota shares, 08 and commercial fishing vessels under AS 16.10.570 - 16.10.589. 09 * Sec. 2. AS 08.01.050(a) is amended by adding a new paragraph to read: 10 (22) licensing of brokers of commercial fishing permits, quota shares, 11 and commercial fishing vessels under AS 16.10.570 - 16.10.589. 12 * Sec. 3. AS 08.01.087(a) is amended to read: 13 (a) The department may, upon its own motion, conduct investigations to 14 (1) determine whether a person has violated a provision of this chapter
01 or a regulation adopted under this chapter [IT], or a provision of AS 16.10.570 - 02 16.10.589 or a regulation adopted under AS 16.10.570 - 16.10.589, or a provision 03 of AS 43.70, or a provision of this title or regulation adopted under this title dealing 04 with an occupation or board listed in AS 08.01.010; or 05 (2) secure information useful in the administration of this chapter. 06 * Sec. 4. AS 08.01.087(b) is amended to read: 07 (b) If it appears to the commissioner that a person has engaged in or is about 08 to engage in an act or practice in violation of a provision of this chapter or a regulation 09 adopted under this chapter [IT], or a provision of AS 16.10.570 - 16.10.589 or a 10 regulation adopted under AS 16.10.570 - 16.10.589, or a provision of AS 43.70, or 11 a provision of this title or regulation adopted under this title dealing with an 12 occupation or board listed in AS 08.01.010, the commissioner may, if the 13 commissioner considers it in the public interest, and after notification of a proposed 14 order or action by telephone, telegraph, or facsimile to all board members, if a board 15 regulates the act or practice involved, unless a majority of the members of the board 16 object within 10 days, 17 (1) issue an order directing the person to stop the act or practice; 18 however, reasonable notice of and an opportunity for a hearing must first be given to 19 the person, except that the commissioner may issue a temporary order before a hearing 20 is held; a temporary order remains in effect until a final order affirming, modifying, or 21 reversing the temporary order is issued or until 15 days after the person receives the 22 notice and has not requested a hearing by that time; a temporary order becomes final if 23 the person to whom the notice is addressed does not request a hearing within 15 days 24 after receiving the notice; the commissioner or the commissioner's designee shall be 25 the hearing officer at the hearing and shall issue a final order within 10 days after the 26 hearing; 27 (2) bring an action in the superior court to enjoin the acts or practices 28 and to enforce compliance with this chapter, a regulation adopted under this chapter 29 [IT], an order issued under this chapter [IT], or with a provision of this title or 30 regulation adopted under this title dealing with business licenses or an occupation or 31 board listed in AS 08.01.010;
01 (3) examine or have examined the books and records of a person 02 whose business activities require a business license or licensure by a board listed in 03 AS 08.01.010, or whose occupation is listed in AS 08.01.010; the commissioner may 04 require the person to pay the reasonable costs of the examination; and 05 (4) issue subpoenas for the attendance of witnesses, and the production 06 of books, records, and other documents. 07 * Sec. 5. AS 08.01.102 is amended to read: 08 Sec. 08.01.102. Citation for unlicensed practice or activity. The 09 department may issue a citation for a violation of a license requirement under this 10 chapter, AS 16.10.570 - 16.10.589, or AS 43.70 if there is probable cause to believe a 11 person has practiced a profession or engaged in business for which a license is 12 required without holding the license. Each day a violation continues after a citation 13 for the violation has been issued constitutes a separate violation. 14 * Sec. 6. AS 16.10 is amended by adding new sections to read: 15 Article 11. Commercial Fishing Permit, Quota Share, and Vessel Brokers. 16 Sec. 16.10.570. Broker license. (a) A person may not, for compensation, 17 broker the transfer of a commercial fishing permit, a quota share, or a commercial 18 fishing vessel on behalf of a buyer, seller, lessor, lessee, transferor, transferee, holder, 19 or owner of the permit, quota share, or vessel unless the person holds a license issued 20 by the Department of Community and Economic Development to act as a broker of 21 commercial fishing permits, quota shares, and commercial fishing vessels. 22 (b) If a broker receives money on behalf of a party to a transaction for which a 23 broker license is required under this section, the broker shall deposit the money in a 24 escrow account pending completion or termination of the transaction and distribution 25 of the money in accordance with the agreement with the parties to the transaction. If 26 the broker receives a document, property, or item of value other than money on behalf 27 of a party to a transaction, the broker shall hold and keep safe the document, property, 28 or item pending completion or termination of the transaction and distribution of the 29 money in accordance with the agreement with the parties to the transaction. 30 (c) An applicant for a broker license under (a) of this section shall file an 31 application and an application fee established by the department by regulation with the
01 department. 02 (d) The department shall prescribe and furnish the form of application for a 03 broker license. The application must contain 04 (1) the name of the applicant and the name of the business under which 05 the applicant operates; 06 (2) the address of the main office of the applicant; and 07 (3) other information the department requires. 08 (e) The department shall approve an application for a broker license under this 09 section if the applicant satisfies the requirements of (c) and (d) of this section. 10 (f) A broker shall renew the license required under (a) of this section every 11 two calendar years by filing a request for renewal and a renewal fee with the 12 department. 13 Sec. 16.10.580. Claims against broker. (a) In an action for damages arising 14 from the performance of the duties of a broker licensed under AS 16.10.570 - 15 16.10.589, a violation of AS 16.10.570 - 16.10.589, or of regulations adopted under 16 AS 16.10.570 - 16.10.589, is negligence per se if the violation is a proximate cause of 17 the loss to the claimant. 18 (b) A person aggrieved by the actions of a broker licensed under AS 16.10.570 19 - 16.10.589 is entitled to full actual attorney fees and costs incurred in bringing an 20 action for damages, if the person is the prevailing party in the action. 21 Sec. 16.10.585. Penalty. (a) A person who knowingly violates AS 16.10.570 22 - 16.10.589 is guilty of a class A misdemeanor. 23 (b) In this section, "knowingly" has the meaning given in AS 11.81.900. 24 Sec. 16.10.589. Definitions. In AS 16.10.570 - 16.10.589, 25 (1) "broker," when used as a verb, means to act as an intermediary or 26 negotiator between a buyer, seller, lessor, lessee, transferor, transferee, holder, or 27 owner of a commercial fishing permit, quota share, or commercial fishing vessel; 28 (2) "commercial fishing permit" means an entry permit, vessel permit, 29 license, or other authorization issued by the state or federal government that is a legal 30 prerequisite for a person or commercial fishing vessel to engage in commercial fishing 31 or in processing of a commercial fishing resource;
01 (3) "commercial fishing vessel" means a vessel used or to be used for 02 commercial fishing activities for which a vessel license is required under 03 AS 16.05.490; 04 (4) "department" means the Department of Community and Economic 05 Development; 06 (5) "escrow account" means a federally insured account held at a 07 financial institution in the name of the depositor and an escrow agent that is returnable 08 to the depositor or paid to a third person on the fulfillment of escrow conditions; 09 (6) "quota share" has the meaning given in AS 16.10.360; 10 (7) "transfer" means purchase, sale, lease, or other transfer. 11 * Sec. 7. AS 16.43.100 is amended by adding a new subsection to read: 12 (c) The commission may not transfer an entry permit or vessel permit under 13 this chapter unless 14 (1) the parties to the transfer disclose to the commission whether the 15 transfer is being brokered by a broker and, if so, then provide the name of the broker 16 to the commission; and 17 (2) if the transfer is being brokered by a broker, the broker provides 18 proof of a valid broker license under AS 16.10.570 and provides a sworn statement 19 that money for the transfer for which application is being made has been deposited 20 into an escrow account. 21 * Sec. 8. AS 25.27.244(s)(2) is amended to read: 22 (2) "license" 23 (A) means, except as provided in (B) of this paragraph, a 24 license, certificate, permit, registration, or other authorization that, at the time 25 of issuance, will be valid for more than 150 days and that may be acquired 26 from a state agency to perform an occupation, including the following: 27 (i) license relating to boxing or wrestling under 28 AS 05.10; 29 (ii) authorization to perform an occupation regulated 30 under AS 08 or AS 16.10.570 - 16.10. 589; 31 (iii) teacher certificate under AS 14.20;
01 (iv) authorization under AS 18.08 to perform 02 emergency medical services; 03 (v) asbestos worker certification under AS 18.31; 04 (vi) boiler operator's license under AS 18.60.395; 05 (vii) certificate of fitness under AS 18.62; 06 (viii) hazardous painting certification under AS 18.63; 07 (ix) security guard license under AS 18.65.400 - 08 18.65.490; 09 (x) license relating to insurance under AS 21.27; 10 (xi) employment agency permit under AS 23.15.330 - 11 23.15.520; 12 (xii) registration as a broker-dealer, an agent, a state 13 investment adviser, or an investment adviser representative under 14 AS 45.55.030; 15 (xiii) certification as a pesticide applicator under 16 AS 46.03.320; 17 (xiv) certification as a storage tank worker or contractor 18 under AS 46.03.375; 19 (xv) certification as a water and wastewater works 20 operator under AS 46.30; and 21 (xvi) commercial crewmember fishing license under 22 AS 16.05.480 other than an entry permit or interim-use permit under 23 AS 16.43; 24 (B) does not include 25 (i) a vessel license issued under AS 16.05.490 or 26 16.05.530; 27 (ii) a license issued under AS 14.37 or AS 47.35; 28 (iii) a business license issued under AS 43.70; 29 (iv) an entry permit or interim-use permit issued under 30 AS 16.43; or 31 (v) a driver's license issued under AS 28.15;
01 * Sec. 9. The uncodified law of the State of Alaska is amended by adding a new section to 02 read: 03 INDIRECT COURT RULE CHANGE. (a) The provisions of AS 16.10.580(b), 04 added by sec. 6 of this Act, have the effect of amending Rule 82, Alaska Rules of Civil 05 Procedure, and Rule 508, Alaska Rules of Appellate Procedure, by providing for the award of 06 full actual attorney fees to a person aggrieved by actions of a broker licensed under 07 AS 16.10.570 - 16.10.589. 08 (b) AS 16.10.580(b), added by sec. 6 of this Act, takes effect only if (a) of this section 09 receives the two-thirds majority vote of each house required by art. IV, sec. 15, Constitution 10 of the State of Alaska. 11 * Sec. 10. The uncodified law of the State of Alaska is amended by adding a new section to 12 read: 13 IMPLEMENTATION. The Department of Community and Economic Development 14 shall issue the initial licenses for brokers of commercial fishing permits, quota shares, and 15 commercial fishing vessels for calendar years 2004 and 2005 to qualified applicants before 16 January 1, 2004. 17 * Sec. 11. AS 16.10.570(a), added by sec. 6 of this Act, and sec. 7 of this Act take effect 18 January 1, 2004. 19 * Sec. 12. Except as provided in sec. 11 of this Act, this Act takes effect immediately under 20 AS 01.10.070(c).