04/17/2014 01:30 PM Senate FINANCE

                                                                                                                                
CS FOR HOUSE BILL NO. 143(FIN)                                                                                                
                                                                                                                                
     "An Act relating to crewmember fishing licenses; and                                                                       
     providing for an effective date."                                                                                          
                                                                                                                                
3:24:16 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PAUL SEATON,  presented  HB  143 and  stated                                                                    
that  the temporary  crew member  license  was a  "loophole"                                                                    
that  was  increasing  in  use. The  bill  would  close  the                                                                    
loophole.  He   detailed  that   the  temporary   seven  day                                                                    
commercial  fishing  license  was authorized  in  2005,  but                                                                    
resulted  in [non-resident]  crewmembers obtaining  multiple                                                                    
and sequential  temporary licenses, which were  intended for                                                                    
tourists  or  short  time participants.  In  short  duration                                                                    
fisheries  like Bristol  Bay,  crew  members were  obtaining                                                                    
temporary  licenses  instead of  purchasing  non-residential                                                                    
commercial   fishing   licenses.   He  reported   that   the                                                                    
Department  of Fish  and Game  (DFG) lost  $285 thousand  in                                                                    
revenues due to the abusive  practice. In 2005, 47 temporary                                                                    
crew  licenses  were  purchased  and  in  2012,  1,344  were                                                                    
purchased. The  legislation would increase  the department's                                                                    
revenues  by  approximately   $95  thousand.  The  temporary                                                                    
license  would remain  available and  the licensee  would be                                                                    
able to  apply for reimbursement of  the temporary licensing                                                                    
fee if an annual license was subsequently purchased.                                                                            
                                                                                                                                
Co-Chair Meyer noted that the bill was revenue positive.                                                                        
                                                                                                                                
Senator  Bishop thought  that the  bill would  "bolster" the                                                                    
Fishermen's Fund.                                                                                                               
                                                                                                                                
Representative  Seaton  responded  in  the  affirmative.  He                                                                    
explained  that  the fund  collected  11  percent from  crew                                                                    
licenses and that temporary licenses were only $30.                                                                             
                                                                                                                                
Senator Dunleavy inquired what would  happen if the bill was                                                                    
not passed.                                                                                                                     
                                                                                                                                
Representative  Seaton  answered  that  crew  members  would                                                                    
increasingly  continue to  abuse the  system. He  noted that                                                                    
some  individuals  were  purchasing  up  to  six  sequential                                                                    
temporary  licenses rather  than  purchase  the $250  annual                                                                    
crew license.                                                                                                                   
                                                                                                                                
Senator  Bishop commented  that not  passing the  bill would                                                                    
put  a  strain  on   the  Fisherman's  Fund,  which  assists                                                                    
fishermen with medical expenses.                                                                                                
                                                                                                                                
Vice-Chair Fairclough  inquired why  the effective  date was                                                                    
January 1, 2015.  She wondered how a  crewmember license was                                                                    
obtained versus a sports license.                                                                                               
                                                                                                                                
Representative Seaton replied  that crewmember licenses were                                                                    
obtained similar  to sports  fishing licenses,  sold through                                                                    
vendors,  and were  in paper  form. The  effective date  was                                                                    
chosen  because  licenses  were   already  printed  and  new                                                                    
regulations were not in place for the upcoming season.                                                                          
                                                                                                                                
3:29:05 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
3:30:00 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
Vice-Chair Fairclough asked when the bill was introduced.                                                                       
                                                                                                                                
Representative Seaton  stated that  the bill  was introduced                                                                    
on February 27, 2013.                                                                                                           
                                                                                                                                
Co-Chair Meyer CLOSED public testimony.                                                                                         
Vice-Chair Fairclough  MOVED to REPORT CSHB  143(FIN) out of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes. There  being NO OBJECTION, it was                                                                    
so ordered.                                                                                                                     
                                                                                                                                
CSHB  143(FIN) was  REPORTED  out of  committee  with a  "do                                                                    
pass"  recommendation  and  with  two  previously  published                                                                    
fiscal impacts note: FN4 (LWF) and FN3 (DFG).                                                                                   
                                                                                                                                
3:31:26 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
3:37:46 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair Meyer handed the gavel over to Co-Chair Kelly.                                                                         
                                                                                                                                
3:37:49 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
3:38:04 PM                                                                                                                    
RECONVENED