04/26/2006 03:30 PM Senate RESOURCES

        CSHB 484(FSH)-FISHERY ASSOCIATION REIMBURSEMENT                                                                     
                                                                                                                                
CHAIR WAGONER announced HB 484 to be up for consideration.                                                                      
                                                                                                                                
PEGGY WILSON, sponsor of HB 484, introduced Linda Miller.                                                                       
                                                                                                                                
LINDA  MILLER, staff  to Representative  Peggy Wilson,  explained                                                               
that  in  2002  the  Alaska Legislature  created  salmon  fishery                                                               
associations to encourage fleet  reduction. She said associations                                                               
may be  formed throughout the  state to facilitate a  permit buy-                                                               
back  program, which  allows a  group  of fishermen  to buy  back                                                               
permits  in a  particular fishery.  The Southeast  Alaska Seiners                                                               
formed an  association for that  purpose, and then asked  about a                                                               
reimbursement  provision   if  the  Commercial   Fisheries  Entry                                                               
Commission (CFEC)  were to re-issue  permits the  association had                                                               
previously bought back.                                                                                                         
                                                                                                                                
MS.  MILLER  said  CSHB  484(FSH)  makes it  clear  that  in  the                                                               
unlikely event  that the CFEC  sells permits that  an association                                                               
previously purchased, the legislature  may appropriate money back                                                               
to the  association. The change  from the original  version makes                                                               
it clear that  the association that actually did  the buy-back is                                                               
the one  that may receive  the payback.  She said that  the state                                                               
has a  responsibility to monitor  each limited entry  fishery. In                                                               
the  event   that  more  permits   are  needed  through   a  CFEC                                                               
determination or a  court action, the provisions of  HB 484 would                                                               
apply.                                                                                                                          
                                                                                                                                
4:34:36 PM                                                                                                                    
SENATOR STEDMAN asked for clarification  that the market value of                                                               
the  permit would  go to  the  association and  not the  purchase                                                               
price.                                                                                                                          
                                                                                                                                
MS.  MILLER said  her understanding  is that  the money  that the                                                               
association expended originally would be returned.                                                                              
                                                                                                                                
SENATOR RALPH  SEEKINS noted  that the  word "may"  on line  9 is                                                               
permissive so it is at the will of the legislature.                                                                             
                                                                                                                                
4:36:30 PM                                                                                                                    
SENATOR SEEKINS moved  to pass CSHB 484(FSH)  from committee with                                                               
individual  recommendations and  attached  fiscal note(s).  There                                                               
being no objection, it was so ordered.