Legislature(1993 - 1994)

02/22/1993 08:30 AM House FSH

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
  HB 140:  FEES FOR NONRESIDENT KING SALMON TAG                                
                                                                               
  CHAIRMAN CARL MOSES called the meeting to order at 8:30 a.m.                 
  He noted Representatives Moses, Phillips, Davidson, and                      
  Olberg in attendance and said that discussion would begin                    
  with HB 140, sponsored by Representative Bill Hudson, which                  
  would change the nonresident fees for the king salmon tag.                   
                                                                               
  REPRESENTATIVE BILL HUDSON, PRIME SPONSOR OF HB 140, told                    
  the committee he introduced the bill to address concerns                     
  raised by individuals in the tourism and sport fish                          
  industries.  It was believed that the current flat fee of                    
  $20 imposed on all nonresidents for the king salmon tag                      
  discouraged sport fishing participation among short-time                     
  tourists, and could have a detrimental impact on sport fish                  
  charters and local economies.  He said the abundance of                      
  Juneau summertime charters were four to eight hours long,                    
  but certainly not more than a day.                                           
                                                                               
  REPRESENTATIVE HUDSON said the state should gain the extra                   
  money from the tag while encouraging visitors to stay longer                 
  and contribute more to the local economy.  Instituting a                     
  graduated fee schedule was a simple solution and HB 140                      
  changed the $20 flat fee for non-residents to a graduated                    
  $5, $15 and $30 fee schedule, he noted.  Further, he said                    
  the $30 annual fee was greater than the current $20, but was                 
  carefully designed with the Alaska Department of Fish and                    
  Game (ADF&G) to be revenue neutral.  In fact, the fiscal                     
  note showed it should add more income to the Fish and Game                   
  Fund to offset any increased expenses, he pointed out.                       
                                                                               
  REPRESENTATIVE HUDSON then stated Section 1 of HB 140                        
  declared that the money derived from the fee would go toward                 
  king salmon enhancement, research, and management, which was                 
  the intent of the sport fish industry; and, Section 3 was a                  
  technical amendment.  He also noted ADF&G supported HB 140                   
  and he had not received any calls to his office in                           
  opposition to the bill.                                                      
                                                                               
  REPRESENTATIVE GAIL PHILLIPS asked about the intent language                 
  in HB 140 and whether there were other guarantees that the                   
  income from the tag would go toward king salmon research and                 
  management.  She also asked if those funds would go toward                   
  hatcheries for sport fisheries.                                              
                                                                               
  REPRESENTATIVE HUDSON responded that according to the ADF&G,                 
  the funds would be separately accounted for and would help                   
  fund king salmon research and management.  He said the funds                 
  could also fund sport fisheries.                                             
                                                                               
  REPRESENTATIVE CLIFF DAVIDSON asked how many tourists were                   
  in Juneau on a good summer day.  He then asked how many                      
  people might be fishing for king salmon, and what the value                  
  of those fish might be.  He also asked how the sport fishery                 
  might impact the commercial fishery.                                         
                                                                               
  REPRESENTATIVE HUDSON replied that there could be as many as                 
  5,000 tourists in Juneau in one day.  He then described the                  
  other kinds of costs a non-resident charter fisherman would                  
  have to pay, including the non-resident license and charter                  
  boat expenses.  In order to encourage people to charter a                    
  fishing boat, he felt reducing the cost for the one day fee                  
  was reasonable, and would result in more people taking out                   
  charters.  He also pointed out the ADF&G controlled the                      
  harvest, and although the limit in 1992 was one king salmon                  
  per day, a good number of silvers were caught.                               
                                                                               
  REPRESENTATIVE HUDSON said that in 1992, Senator Dick                        
  Eliason, from Sitka, sponsored legislation to include the                    
  charter boat operators under the Board of Fisheries.  For                    
  allocation purposes, such a bill would solve the problem of                  
  unregulated charter boat fishing.  On the other hand, HB 140                 
  got the charter boat operators to drop more money into the                   
  local economy, he said.                                                      
                                                                               
  REPRESENTATIVE PHILLIPS, speaking in support of HB 140,                      
  noted that her district included five major rivers on the                    
  Kenai Peninsula, which were heavily used by recreational                     
  travelers and recreation/commercial charter operators.  She                  
  then noted that she had heard from most of the operators                     
  regarding HB 140.  In Homer alone, 30-40 operators took out                  
  mixed halibut and king salmon charters, she said.                            
                                                                               
  CHAIRMAN MOSES asked how many people would charter for the                   
  one-day rate and how the revenue stream would be affected.                   
                                                                               
  REPRESENTATIVE HUDSON said he had asked the ADF&G to work                    
  with him on the fee schedule.  Together, he and the ADF&G                    
  decided that the best balance was to increase the annual fee                 
  to $30.  In addition, the three day fee would be $15, the                    
  resident fee would be $10 and the one day fee would be $5.                   
  The total amount of money raised would be slightly increased                 
  over the $20 flat fee.                                                       
                                                                               
  VICE CHAIR HARLEY OLBERG asked why the state would want to                   
  be revenue neutral.                                                          
                                                                               
  REPRESENTATIVE HUDSON replied that it was his goal to be                     
  revenue neutral and noted that if the rates increased too                    
  much, tourism would be discouraged.  In Southeast, where                     
  rates were higher, a charter boat operators' success was                     
  measured by Canadians, he alleged, and noted that HB 140 had                 
  no bearing on the military fees, which would still remain at                 
  $20.                                                                         
                                                                               
  CHAIRMAN MOSES asked if some of the problems would be solved                 
  if the one day tag was $10.                                                  
                                                                               
  REPRESENTATIVE HUDSON noted for the record that a one day                    
  non-resident license was only $10.                                           
                                                                               
  ROCKY HOLMES, DEPUTY DIRECTOR, DIVISION OF SPORT FISH,                       
  ADF&G, testified on behalf of the ADF&G in support of HB 140                 
  because it was a legitimate request to change the fee                        
  structure, and because it was revenue neutral, bringing in                   
  about the same amount of money as the current structure.                     
                                                                               
  MR. HOLMES suggested a couple of slight changes:  First, the                 
  ADF&G would like HB 140 to have an effective date of January                 
  1, 1994.  The licenses and tags for 1993 were already for                    
  sale, and the ADF&G could think of no way to retrieve the                    
  licenses and tags in the middle of the season.  Secondly if                  
  HB 140 passed and new tags were printed, the tags could not                  
  be distributed to the public before the majority of the king                 
  salmon season was over.                                                      
                                                                               
  MR. HOLMES also noted a second slight change was overlooked                  
  when the original bill was passed.  The current statute                      
  required anyone fishing for king salmon to have a tag.  He                   
  suggested the requirement should only be for people fishing                  
  for anadromous king salmon.  He noted there were several                     
  lakes in urban areas that were stocked with pan-sized king                   
  salmon, mostly to benefit young people and low income                        
  people.  He also added that it was very difficult to tell                    
  the difference between a king salmon and a coho salmon when                  
  they were very small, and a lot of the lakes had both.                       
  Further, he said the ADF&G thought it would be better to                     
  limit the tag to anadromous king salmon.                                     
                                                                               
  MR. HOLMES noted a third minor change.  He understood the                    
  sponsor wanted the military non-resident fee to stay at $20.                 
  The way HB 140 was currently written, the fee was $30.                       
                                                                               
  VICE CHAIR OLBERG asked about the need for printing three or                 
  four different kinds of tags and suggested the ADF&G look at                 
  a hole punching process as a way to save printing costs.                     
                                                                               
  REPRESENTATIVE PHILLIPS commented that the January 1, 1994                   
  effective date was a good idea.  A lot of the charter boat                   
  owners have already informed customers about their costs for                 
  this year, and a change in the middle of the season would be                 
  confusing.                                                                   
                                                                               
  REPRESENTATIVE HUDSON said he would support the 1994                         
  effective date.  He also asked if the ADF&G recommended                      
  these amendments, since he had just seen them.                               
                                                                               
  REPRESENTATIVE PHILLIPS said the anadromous fish requirement                 
  was getting too technical and thought the committee should                   
  not bother to differentiate for the purposes of the king                     
  salmon tag.                                                                  
                                                                               
  MR. HOLMES responded that there were people fishing at Twin                  
  Lakes in Juneau, which had been stocked with both small size                 
  king salmon and silvers.  Since the fish looked alike, there                 
  would be a real enforcement problem to require the tag.  He                  
  noted most of the anglers at Twin Lakes probably did not                     
  have a tag, and that the enforcement officers would probably                 
  just have to overlook it.                                                    
                                                                               
  REPRESENTATIVE PHILLIPS noted HB 140 only dealt with non-                    
  residents, and few non-residents fished at the small lakes.                  
  She said, "Instead, visitors come up here to fish for the                    
  big ones; residents are not the problem."                                    
                                                                               
  MR. HOLMES responded that not everyone lived on the coast.                   
  Small size king salmon were also stocked in the Anchorage                    
  area and the Interior.  He said the ADF&G's proposed                         
  amendment would be for both residents and non-residents.                     
                                                                               
  REPRESENTATIVE HUDSON could see the ADF&G's concern,                         
  especially for fisheries geared toward children.                             
                                                                               
  MR. HOLMES clarified not every adult would have the king                     
  salmon tag - such as in Fairbanks and Anchorage.  The reason                 
  the king salmon tag was instituted was to assist with large,                 
  anadromous fish production, he noted, and the problems with                  
  ocean fisheries were over-harvesting the resource.  The lake                 
  stocking program was not dependent on king salmon.  One of                   
  the outcomes if HB 140 was not changed might be that the                     
  ADF&G would stop stocking them in the lakes, he said.                        
                                                                               
  REPRESENTATIVE HUDSON said regulations could handle that                     
  issue.                                                                       
                                                                               
  REPRESENTATIVE PHILLIPS reiterated her belief that everyone                  
  should buy a tag.                                                            
                                                                               
  MR. HOLMES said there was minimal sport fishing on the Yukon                 
  River - some on the Tanana, Chena and Salcha tributaries and                 
  those were anadromous runs, with 500-1,000 fish harvested.                   
  CHAIRMAN MOSES was inclined to raise the $5 one day fee to                   
  $10.                                                                         
                                                                               
  REPRESENTATIVE HUDSON stated that he had reached the $5 as                   
  an agreement with the charter boat operators and the                         
  Territorial Sportsmen in Juneau.  Five dollars seemed to be                  
  reasonable, he thought.                                                      
                                                                               
  CHAIRMAN MOSES noted that visitors who could afford to get                   
  to Alaska and charter a boat or a plane, could probably                      
  afford $10.                                                                  
                                                                               
  REPRESENTATIVE HUDSON answered that such a change would be                   
  up to the committee.                                                         
                                                                               
  REPRESENTATIVE PHILLIPS spoke against changing the $5 to $10                 
  because a lot of the charter boats in her district supported                 
  the $5 as fair.                                                              
                                                                               
  CHAIRMAN MOSES suggested the committee let Representative                    
  Hudson and the ADF&G work on the amendments and come back                    
  with suggested changes.                                                      
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  CHAIRMAN MOSES asked members if there were further comments.                 
  Hearing none, he adjourned the meeting at 9:15 a.m.                          

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