Legislature(2023 - 2024)GRUENBERG 120
03/26/2024 10:00 AM House FISHERIES
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| Audio | Topic |
|---|---|
| Start | |
| HB329 | |
| HB195 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | HB 329 | TELECONFERENCED | |
| += | HB 195 | TELECONFERENCED | |
HB 329-AQUATIC FARM AND HATCHERY LEASES
10:05:42 AM
CHAIR VANCE announced that the first order of business would be
HOUSE BILL NO. 329, "An Act relating to state tideland leases;
and relating to aquatic farming or related hatchery operation
site leases."
10:05:54 AM
REPRESENTATIVE MCCABE moved to adopt Amendment 1 to HB 329,
labeled 33-LS0552\R.6, Bullard, 3/19/24, which read:
Page 1, following line 3:
Insert a new bill section to read:
"* Section 1. AS 38.05.070(e) is amended to read:
(e) The director may renew a lease issued under
this section, AS 38.05.075, 38.05.083, or 38.05.810
upon its expiration if the lease is in good standing
and the lease renewal is determined to be in the best
interests of the state. A renewal issued under this
subsection is not subject to AS 38.05.035(e). A lease
under this section, AS 38.05.075 [, 38.05.083,] or
38.05.810 may be renewed only once for a term not
longer than the initial term of the lease. The
director shall provide notice of the lease renewal
decision."
Page 1, line 4:
Delete "Section 1"
Insert "Sec. 2"
Renumber the following bill sections accordingly.
Page 2, lines 23 - 25:
Delete all material and insert:
"(l) If the director finds that it is in the
best interests of the state, the director shall
preference the lessee of a site leased under this
section in renewing the lease for the site or in
issuing a new lease for the site. A lessee under this
section is not eligible for a preference to purchase
the site under AS 38.05.102."
Page 2, line 30:
Delete "Notwithstanding AS 38.05.070(b), a lease
negotiated"
Insert "A lease issued"
Page 2, line 31:
Delete "issued"
Insert "renewed"
Delete "25"
Insert "20"
Page 2, following line 31:
Insert a new bill section to read:
"* Sec. 6. AS 38.05.102 is amended to read:
Sec. 38.05.102. Lessee preference. Except for a
lease under AS 38.05.081 or 38.05.083, if land within
a leasehold created under AS 38.05.070 - 38.05.105 is
offered for sale or long-term lease at the termination
of the existing leasehold, the director may, upon a
finding that it is in the best interest of the state,
allow a holder in good standing of the existing
leasehold to purchase or lease the land for its
appraised fair market value at the time of the sale or
long-term lease."
Renumber the following bill section accordingly.
Page 3, line 3:
Delete "sec. 1"
Insert "sec. 2"
Page 3, line 4:
Delete "sec. 2"
Insert "sec. 3"
REPRESENTATIVE CARPENTER objected for purposes of discussion.
10:06:13 AM
JAKE ALMEIDA, Staff, Representative Sarah Vance, Alaska State
Legislature, addressed Amendment 1 to HB 329. He noted there
were many questions and concerns regarding the length of the
lease and expounded on lease terms. He emphasized the language
inserted on page 2 stated that a lease could be renewed for up
to 20 years.
10:09:44 AM
REPRESENTATIVE CARPENTER restated the lease terms and asked
whether he was correct.
MR. ALMEIDA confirmed he was correct.
REPRESENTATIVE CARPENTER discussed the process of timing for
businesses to start being able to sell their products and asked
what would happen to the lease if the business is insolvent.
10:11:26 AM
KATE DUFAULT, Program Manager, Aquatic Farms Leasing Program,
Department of Natural Resources, explained that if a
leaseholder's business failed within two to three years
following the lease renewal, they can request lease closure, or
the Department of Natural Resources (DNR) could take steps to
close the lease.
REPRESENTATIVE CARPENTER asked to be pointed to the statute that
guided the decision whether a lease could be closed.
MS. DUFAULT replied that she could provide it in writing after
the committee hearing. She gave a brief description of the lase
closure process.
10:13:06 AM
REPRESENTATIVE HIMSCHOOT asked for discussion on the section
that referred to "preference."
10:13:35 AM
MR. ALMEIDA answered that it was a preference to provide
security for the lessee and in the best interest of the industry
to provide security to those who have been invested into the
first 10 years of the lease.
REPRESENTATIVE CARPENTER withdrew his objection. There being no
further objection, Amendment 1 to HB 329 was adopted.
10:14:59 AM
REPRESENTATIVE STUTES moved to adopt Amendment 2 to HB 329, as
amended, labeled 33-LS0552\R.2, Bullard, 3/12/24, which read:
Page 2, line 28, following "product.":
Insert "The department may terminate a lease under
this section if the leased site is not actively used
for aquatic farming or related hatchery operations for
more than a year."
REPRESENTATIVE CARPENTER objected for purposes of discussion.
REPRESENTATIVE STUTES noted several conversations recently with
farmers and others in the mariculture industry, and because it
was such a new industry, she withdrew Amendment 2.
10:15:46 AM
CHAIR VANCE asked for clarity on what DNR does if someone goes
out of business and encouraged them to look into what they can
do about "squatting."
10:16:59 AM
REPRESENTATIVE STUTES pointed out that she assured individuals
and growers that if squatting became a problem, they should come
to the committee for help.
10:17:27 AM
REPRESENTATIVE STUTES moved to adopt Amendment 3 to HB 329, as
amended, labeled 33-LS0552\R.1, Bullard, 2/26/24, which read:
Page 1, line 1, following "leases;":
Insert "relating to geoduck seed transfers;"
Page 1, following line 3:
Insert a new bill section to read:
"* Section 1. AS 16.40.145 is amended to read:
Sec. 16.40.145. Geoduck seed transfer between a
certified hatchery and an aquatic farm. Consistent
with AS 16.40.140(b) - (d), a hatchery certified under
AS 16.40.100 may transfer geoduck seed to an aquatic
farm located in a fisheries management area
established under this title that is contiguous to an
island in the Aleutian Chain or to the Gulf of
Alaska."
Page 1, line 4:
Delete "Section 1"
Insert "Sec. 2"
Renumber the following bill sections accordingly.
Page 3, line 3:
Delete "sec. 1"
Insert "sec. 2"
Page 3, line 4:
Delete "sec. 2"
Insert "sec. 3"
REPRESENTATIVE CARPENTER objected for purposes of discussion.
REPRESENTATIVE STUTES said Amendment 3 was "simple," and
included geoducks in the Aleutian chains.
10:18:10 AM
REPRESENTATIVE CARPENTER removed his objection. There being no
further objection, Amendment 3 to HB 329 was adopted.
10:18:26 AM
REPRESENTATIVE HIMSCHOOT [moved to withdraw] Amendments 4 and 5.
[There being no objection, it was so ordered.]
10:19:29 AM
REPRESENTATIVE STUTES commented that the bill was good for the
economy in the state and for new industries.
CHAIR VANCE added that she was excited for the new legislation
and Alaska mariculture. She added that there is a lot of new
territory and looked forward to seeing it grow, as well as there
being more certainty for fisherman to stay in the industry.
10:21:20 AM
REPRESENTATIVE MCCABE moved to report HB 329, as amended, out of
committee with individual recommendations and the accompanying
fiscal notes. There being no objection, CSHB 329(FSH) was
reported out of the House Special Committee on Fisheries.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 329 - Amendment #1 (R.6) by Rep. Vance.pdf |
HFSH 3/26/2024 10:00:00 AM |
HB 329 |
| HB 329 - Amendment #2 (R.2) by Rep. Stutes.pdf |
HFSH 3/26/2024 10:00:00 AM |
HB 329 |
| HB 329 - Amendment #3 (R.1) by Rep. Stutes.pdf |
HFSH 3/26/2024 10:00:00 AM |
HB 329 |
| HB 329 - Amendment #4 (R.4) by Rep. Himschoot.pdf |
HFSH 3/26/2024 10:00:00 AM |
HB 329 |
| HB 329 - Amendment #5 (R.3) by Rep. Himschoot.pdf |
HFSH 3/26/2024 10:00:00 AM |
HB 329 |
| HB 195 - Amendment #1 (A.2) by Rep. Vance.pdf |
HFSH 3/26/2024 10:00:00 AM |
HB 195 |
| HB 195 - Amendment #2 (A.4) by Rep. Vance.pdf |
HFSH 3/26/2024 10:00:00 AM |
HB 195 |