03/30/2023 10:00 AM House FISHERIES

            HB  19-REGISTRATION OF BOATS: EXEMPTION                                                                         
                                                                                                                                
10:01:22 AM                                                                                                                   
                                                                                                                                
CHAIR VANCE  announced that the  only order of business  would be                                                               
HOUSE  BILL  NO. 19  "An  Act  relating  to the  registration  of                                                               
commercial vessels; and providing for an effective date."                                                                       
                                                                                                                                
10:02:01 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  STUTES, prime  sponsor,  reintroduced  HB 19  and                                                               
paraphrased  the first  few paragraphs  of the  sponsor statement                                                               
[included  in  the  committee  packet],  which  read  as  follows                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     House  Bill   28  exempts  active   commercial  fishing                                                                    
     vessels  from   duplicative  registration  requirements                                                                    
     created by the  passage of SB 92,  "the derelict vessel                                                                    
     bill," in 2018.                                                                                                            
                                                                                                                                
     Specifically,  the  bill  removes the  requirement  for                                                                    
     U.S.  Coast  Guard  (USCG) documented  vessels  with  a                                                                    
     current  Commercial Fisheries  Entry Commission  (CFEC)                                                                    
     license  to   register  every  three  years   with  the                                                                    
     Division of Motor Vehicles (DMV).                                                                                          
                                                                                                                                
     Prior to the passage of  SB 92, USCG documented vessels                                                                    
     were  exempt  from   DMV  registration;  however,  that                                                                    
     exemption was  repealed by  the bill  and as  a result,                                                                    
     documented vessels now must register with the DMV.                                                                         
                                                                                                                                
10:03:02 AM                                                                                                                   
                                                                                                                                
DONNA  PAGE, Staff,  Representative Louise  Stutes, Alaska  State                                                               
Legislature, on  behalf of  Representative Stutes,  prime sponsor                                                               
of  HB  19, paraphrased  the  remaining  portion of  the  sponsor                                                               
statement  [included  in the  committee  packet],  which read  as                                                               
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     The rationale  for this requirement was  to provide the                                                                    
     State and local  municipalities with a state-maintained                                                                    
     database of  who owns and  operates vessels  in Alaskan                                                                    
      waters, as well as how to contact those individuals.                                                                      
     However,  the database  CFEC  maintains for  commercial                                                                    
     fishing  vessels  was   overlooked.  Active  commercial                                                                    
     fishing vessel  owners must renew their  vessel license                                                                    
     annually with the CFEC and  the commission provides the                                                                    
     necessary   contact    information   in    a   publicly                                                                    
     accessible, state database.                                                                                                
                                                                                                                                
     Alaska's commercial  fishing fleet  is the  backbone of                                                                    
     one  of our  state's most  vital industries.  We should                                                                    
     not  require  those  vessels to  register  every  three                                                                    
     years  with the  DMV,  at additional  expense, only  to                                                                    
     provide information that the  State already has through                                                                    
     the vessel's annual license renewal process.                                                                               
                                                                                                                                
MS. PAGE  added that HB 19  would institute an $8  annual fee for                                                               
vessels   registered   with   the  Commercial   Fisheries   Entry                                                               
Commission  (CFEC),  but this  fee  would  be waived  for  vessel                                                               
owners who have  paid the current $24 Division  of Motor Vehicles                                                               
(DMV) fee  in the  past two years.   The proceeds  of the  $8 fee                                                               
would  go   towards  funding  boating   safety  programs.     She                                                               
emphasized  that it  would not  be an  additional fee  for vessel                                                               
owners.                                                                                                                         
                                                                                                                                
10:05:01 AM                                                                                                                   
                                                                                                                                
MS. PAGE presented the sectional  analysis for HB 19 [included in                                                               
the   committee  packet],   which  read   as  follows   [original                                                               
punctuation provided]:                                                                                                          
                                                                                                                                
     Section 1:                                                                                                                 
     Amends  AS  05.25.055(i)  to exempt  U.S.  Coast  Guard                                                                    
     (USCG) documented  vessels with a valid  license issued                                                                    
     by  the Commercial  Fisheries  Entry Commission  (CFEC)                                                                    
     from the  requirement to register with  the Division of                                                                    
     Motor Vehicles (DMV).                                                                                                      
                                                                                                                                
     Section 2:                                                                                                                 
     Adds new  subsection (e) to AS  16.05.475 that requires                                                                    
     CFEC  to  assess  an  $8   registration  fee  for  USCG                                                                    
     documented  vessels upon  a renewal  or  issuance of  a                                                                    
     license beginning  on January 1,  2024. This fee  is in                                                                    
     lieu  of  the  current   3-year,  $24  registration  or                                                                    
     renewal fee collected by DMV.                                                                                              
                                                                                                                                
     Adds  new subsection  (f)  to  AS 16.05.475  specifying                                                                    
     that  fees   collected  in   subsection  (e)   will  be                                                                    
     accounted  for as  provided in  AS 05.25.096(b),  to be                                                                    
     made  available to  the  Department of  Administration,                                                                    
     the  Department  of  Commerce  Community  and  Economic                                                                    
     Development, and the Department of Natural Resources.                                                                      
                                                                                                                                
     Section 3:                                                                                                                 
     Adds  a new  section  to uncodified  law that  requires                                                                    
     CFEC to  waive the $8  registration fee for  years that                                                                    
     USCG documented  vessels have already paid  through the                                                                    
     3-year, $24 registration fee with the DMV.                                                                                 
                                                                                                                                
     Section 4:                                                                                                                 
      Adds a new section to the uncodified law that makes                                                                       
     Section 1 of this act retroactive to January 1, 2023.                                                                      
                                                                                                                                
     Section 5:                                                                                                                 
        Establishes an immediate effective date for the                                                                         
     remainder of the bill.                                                                                                     
                                                                                                                                
                                                                                                                                
10:06:54 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE CARPENTER inquired about  the purpose of including                                                               
the provision on retroactivity.                                                                                                 
                                                                                                                                
REPRESENTATIVE STUTES  replied that this is  important because it                                                               
would allow individuals  who have already paid  duplicate fees to                                                               
receive credit.                                                                                                                 
                                                                                                                                
10:08:00 AM                                                                                                                   
                                                                                                                                
CHAIR VANCE proceeded with invited testimony.                                                                                   
                                                                                                                                
10:08:20 AM                                                                                                                   
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
10:09:48 AM                                                                                                                   
                                                                                                                                
TRACY  WELCH,  Lobbyist,  United  Fisherman  of  Alaska,  thanked                                                               
Representative Stutes  and her  office for their  work on  HB 19,                                                               
especially their work with the  Department of Public Safety (DPS)                                                               
to make sure boats would not  be fined.  She explained that swift                                                               
action on this  issue is important because  currently many vessel                                                               
owners have  been exempted, but  DPS has  not been able  to "turn                                                               
the other way."   She expressed the belief that HB  19 is a "fair                                                               
fix" to the problem and related her organizations full support.                                                                 
                                                                                                                                
CHAIR VANCE  asked Ms. Welsh to  give a real-time account  of the                                                               
impact on the  Alaskan fishing fleet when [Senate  Bill 92 passed                                                               
during the Thirtieth Alaska State Legislature].                                                                                 
                                                                                                                                
MS. WELCH  related her  experience with some  of the  issues that                                                               
occurred at local DMVs with the  passage of Senate Bill 92.  This                                                               
included  that DMV  had run  out of  permit decals,  resulting in                                                               
wait  times  of  3  to  4  weeks  in  some  smaller  communities.                                                               
Additionally, she  shared that even bigger  offices, like Juneau,                                                               
ran  out  of  stickers  quickly.     She  relayed  the  sense  of                                                               
uncertainty  among vessel  owners at  that time,  and this  still                                                               
exists.   She  reported  that DMVs  are still  facing  a lack  of                                                               
stickers and a large backlog of permits waiting to be awarded.                                                                  
                                                                                                                                
10:12:26 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE MCCABE  asked whether  the CFEC database  could be                                                               
accessed by DPS.                                                                                                                
                                                                                                                                
REPRESENTATIVE STUTES  responded that  DPS can access  it through                                                               
the DMV, as they are both  state departments, but she deferred to                                                               
the CFEC  commissioner.   She reported  that HB  19 started  as a                                                               
request from the harbormaster's office,  which led her to presume                                                               
this access would be possible.                                                                                                  
                                                                                                                                
REPRESENTATIVE  MCCABE  restated  his   question  about  the  two                                                               
databases and gave the example  of a hypothetical emergency where                                                               
an Alaska State  Trooper may need instantaneous  access to permit                                                               
information.   He clarified  that he was  referring to  the DMV's                                                               
and CFEC's databases.                                                                                                           
                                                                                                                                
REPRESENTATIVE STUTES deferred the question.                                                                                    
                                                                                                                                
10:14:56 AM                                                                                                                   
                                                                                                                                
JEFFREY   SCHMITZ,   Director,   Division  of   Motor   Vehicles,                                                               
Department of  Administration, responded  that the  databases are                                                               
not connected.                                                                                                                  
                                                                                                                                
10:15:17 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE MCCABE suggested that  since the databases are not                                                               
connected there could be a  time delay for [DPS agents] receiving                                                               
identifying information about a vessel during emergencies.                                                                      
                                                                                                                                
10:15:30 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  STUTES suggested  that  the  individual would  be                                                               
able  to  decipher  which  database to  use  depending  on  which                                                               
sticker is on the vessel.                                                                                                       
                                                                                                                                
10:15:57 AM                                                                                                                   
                                                                                                                                
GLENN   HAIGHT,   Commissioner,    Commercial   Fisheries   Entry                                                               
Commission, reported  that the  commission's database  was online                                                               
and  [anyone]  can access  license  information  by entering  the                                                               
number found  on the decal.   He stated that the  database is not                                                               
on  an  app, but  the  commission  has  submitted a  request  for                                                               
funding to make this happen.   He added that troopers are usually                                                               
able to access the information before they go onto the water.                                                                   
                                                                                                                                
REPRESENTATIVE  MCCABE  hypothesized  that because  troopers  can                                                               
radio into the base,  the number of times a year  a time delay in                                                               
information would occur is probably insignificant.                                                                              
                                                                                                                                
10:16:56 AM                                                                                                                   
                                                                                                                                
CHAIR  VANCE asked  for clarification  of the  difference between                                                               
the DMV and CFEC stickers.                                                                                                      
                                                                                                                                
REPRESENTATIVE STUTES said  the CFEC stickers are  required for a                                                               
commercial vessel  actively taking  place in  a fishery,  while a                                                               
DMV sticker is  required for a commercial vessel  not actively in                                                               
a fishery.   She stated that  the objective for having  two kinds                                                               
of permits would be to keep  track of commercial vessels, as this                                                               
would  help  in  preventing  owners   from  abandoning  boats  at                                                               
harbors.   In  turn this  would help  avoid fees  associated with                                                               
abandonment and disposal.                                                                                                       
                                                                                                                                
10:18:34 AM                                                                                                                   
                                                                                                                                
BRIAN  HAWKINS,  Port  Director,  City  of  Homer;  Harbormaster,                                                               
Alaska  Association  of  Harbormasters  and  Port  Administrators                                                               
(AAHPA), testified  that he  and his  organization support  HB 19                                                               
and  the elimination  of  duplicate permits.    He reported  that                                                               
because  ports  and harbors  have  access  to permit  information                                                               
through the state, a vessel  that was registered through the CFEC                                                               
process   meets   the   [AAHPA]  needs   for   vessel   ownership                                                               
information.   He further  stated that AAHPA  has passed  its own                                                               
resolution which supports the exemption set forth in HB 19.                                                                     
                                                                                                                                
REPRESENTATIVE   CARPENTER    inquired   about    the   technical                                                               
possibility of connecting the two databases.                                                                                    
                                                                                                                                
MR.  HAIGHT replied  that this  may be  possible, and  the CFEC's                                                               
information technology  staff would  be more qualified  to answer                                                               
this  question.   He acknowledged  that the  commission regularly                                                               
works with law  enforcement and state troopers  are familiar with                                                               
the CFEC's database.                                                                                                            
                                                                                                                                
10:21:19 AM                                                                                                                   
                                                                                                                                
CHAIR VANCE opened public testimony on HB 19.                                                                                   
                                                                                                                                
10:21:32 AM                                                                                                                   
                                                                                                                                
JERRY  MCCUNE,  Lobbyist,   Cordova  District  Fishermen  United,                                                               
opined that [SB  92] is troublesome for fisherman.   He said that                                                               
HB  19  fixes  the  dual registration  issues,  noting  that  DMV                                                               
permits  apply to  vessels under  five tons.   He  mentioned that                                                               
duplicate registration could be violating federal law.                                                                          
                                                                                                                                
10:23:45 AM                                                                                                                   
                                                                                                                                
CHAIR VANCE,  after ascertaining that  there was no one  else who                                                               
wished to testify, closed public testimony on HB 19.                                                                            
                                                                                                                                
CHAIR   VANCE  expressed   the  intention   to  investigate   the                                                               
possibility of a federal law  violation in reference to duplicate                                                               
registration  requirements.   She  stated this  may be  something                                                               
that the committee wished to highlight.                                                                                         
                                                                                                                                
CHAIR VANCE [announced that HB 19 was held over.]