Legislature(2021 - 2022)GRUENBERG 120

04/29/2021 10:00 AM House FISHERIES

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Audio Topic
10:07:19 AM Start
10:09:16 AM HB52
11:36:00 AM Presentation(s): Update on Commercial Fishing Industry in Alaska & Impact of Covid-19 to the Industry
12:01:37 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 182 EXTEND FISHERY RESOURCE LAND. TAX CREDIT TELECONFERENCED
<Bill Hearing Canceled>
-- Testimony <Invitation Only> --
*+ HB 52 TUTKA BAY HATCHERY TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
+ Presentation: Update on Commercial Fishing TELECONFERENCED
Industry in Alaska & Impact of COVID-19 to the
Industry by Frances Leach, Exec. Dir., United
Fisherman of Alaska
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    HB 52-TUTKA BAY HATCHERY                                                                                
                                                                                                                                
10:09:16 AM                                                                                                                   
                                                                                                                                
CHAIR TARR  announced that the  first order of business  would be                                                               
HOUSE BILL NO. 52, "An Act  providing that operation of the Tutka                                                               
Bay  Lagoon  Hatchery in  Kachemak  Bay  is compatible  with  the                                                               
functions  of  Kachemak Bay  State  Park;  and providing  for  an                                                               
effective date."                                                                                                                
                                                                                                                                
10:09:47 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  STUTES  moved  to adopt  the  proposed  committee                                                               
substitute (CS) for HB 52,  Version 32-LS0327\I, Bullard, 4/29/21                                                               
("Version I"), as the working document.                                                                                         
                                                                                                                                
10:10:04 AM                                                                                                                   
                                                                                                                                
CHAIR TARR objected for purposes of discussion.                                                                                 
                                                                                                                                
10:10:07 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  VANCE, as  the prime  sponsor, introduced  HB 52.                                                               
She noted  that while  the Tutka  Bay Lagoon  Hatchery is  in the                                                               
district of Representative Stutes,  the hatchery directly affects                                                               
her own district.   She explained that last fall  the Division of                                                               
Parks  and Outdoor  Recreation ("State  Parks") came  out with  a                                                               
management  plan that  said  the Tutka  Bay  Lagoon Hatchery  was                                                               
incompatible  with [Kachemak  Bay  State  Park].   It  is a  land                                                               
allocation  issue,  a legal  issue.    The original  bill  simply                                                               
stated that  the hatchery would  be compatible with the  park; it                                                               
was temporary  holding language  to work  with the  Department of                                                               
Natural  Resources  (DNR), Alaska  Department  of  Fish and  Game                                                               
(ADF&G),  and State  Parks  to  find the  best  way  to save  the                                                               
hatchery.  The  proposed CS, Version I, is the  language that has                                                               
been received  to do  a land  exchange.  The  bill seeks  to save                                                               
Tutka  Bay Lagoon  Hatchery while  respecting Kachemak  Bay State                                                               
Park.   Slides and maps  have been  provided to the  committee to                                                               
show the  land that DNR  has found to  make an exchange  of equal                                                               
value and to  keep the hatchery within DNR.   She deferred to Mr.                                                               
Jake  Almeida  to  present  the technical  changes  made  by  the                                                               
proposed CS.                                                                                                                    
                                                                                                                                
10:12:49 AM                                                                                                                   
                                                                                                                                
JAKE  ALMEIDA, Staff,  Representative  Sara  Vance, Alaska  State                                                               
Legislature, on behalf of Representative  Vance, prime sponsor of                                                               
HB 52,  presented the proposed  committee substitute,  Version I,                                                               
for the  bill.  He said  the original version of  the bill sought                                                               
to  make  Tutka  Bay  Lagoon Hatchery  a  compatible  use  within                                                               
Kachemak  Bay  State Park.    He  explained  that the  rules  for                                                               
general state land  within DNR's purview and state  park land are                                                               
much different.  More can be  done on general state land, such as                                                               
selling or trading, while state park land has protections.                                                                      
                                                                                                                                
MR. ALMEIDA  stated that Version  I is  simply five pages  of the                                                               
coordinate  changes.   Version  I  would  move the  hatchery  and                                                               
lagoon land  into general  state land that  would still  be under                                                               
DNR's  purview,  and  an interagency  land  management  agreement                                                               
(ILMA) would  then be done with  ADF&G to allow ADF&G  to legally                                                               
oversee the  hatchery even though it  is on DNR land.   In return                                                               
to make up for the value of  the lost land within the state park,                                                               
DNR would  receive parcels A,  B, and  C, the general  state land                                                               
depicted in yellow  on the map, to be  incorporated into Kachemak                                                               
Bay State Park.   Parcels B and C are on  the bay overlooking the                                                               
water.   As state  park land,  Parcel A  will become  eligible to                                                               
have  the  road  completed  if funding  is  received,  which  the                                                               
Kachemak Bay Citizens Advisory Commission has been asking for.                                                                  
                                                                                                                                
10:15:24 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  KREISS-TOMKINS requested  Mr. Almeida  to clarify                                                               
what part of Kachemak Bay is being illustrated in the map.                                                                      
                                                                                                                                
MR. ALMEIDA replied that in  the committee packet the coordinates                                                               
are shown for the hatchery and  the lagoon that would be moved to                                                               
general  state land.    What  would be  changed  are the  parcels                                                               
highlighted in yellow, which would become state park land.                                                                      
                                                                                                                                
REPRESENTATIVE  KREISS-TOMKINS presumed  slide 2  is a  different                                                               
part of the general Kachemak Bay  state area.  He asked what part                                                               
of Kachemak Bay is depicted by slide 2.                                                                                         
                                                                                                                                
MR. ALMEIDA  deferred to Mr. Matt  Wedeking of DNR to  answer the                                                               
question.                                                                                                                       
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS  added that while he  sees Eastland                                                               
Creek he doesn't know where the  creek is within Kachemak Bay and                                                               
would like to know generally what is being talked about.                                                                        
                                                                                                                                
10:17:02 AM                                                                                                                   
                                                                                                                                
MATT WEDEKING, Operations Manager,  Division of Parks and Outdoor                                                               
Recreation,  Department  of  Natural Resources  (DNR),  responded                                                               
that parcels  A, B, and  C are located on  the Homer side  of the                                                               
bay a  couple miles up  from the city  of Homer going  along East                                                               
End Road.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  KREISS-TOMKINS  offered  his  understanding  that                                                               
Parcel A  is presently not  state park  land and under  Version I                                                               
would become state park land.                                                                                                   
                                                                                                                                
MR. WEDEKING nodded in the affirmative.                                                                                         
                                                                                                                                
REPRESENTATIVE  KREISS-TOMKINS  offered  his  understanding  that                                                               
when something is made into state  park land it becomes harder to                                                               
build a road rather than easier.   He recalled the statement that                                                               
this proposed exchange would make  completion of the road segment                                                               
easier and requested more details in this regard.                                                                               
                                                                                                                                
MR. WEDEKING replied that a  road already exists through Parcel A                                                               
and this proposal  would facilitate future access  to the section                                                               
shown in blue, the Cottonwood Eastland section of the park.                                                                     
                                                                                                                                
10:18:58 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE STUTES  inquired about the  name of the  main road                                                               
that goes through Parcel A.                                                                                                     
                                                                                                                                
MR. WEDEKING answered it is East End Road.                                                                                      
                                                                                                                                
10:19:29 AM                                                                                                                   
                                                                                                                                
CHAIR TARR offered  her understanding that currently  all of this                                                               
is state land.  Parcels A, B,  and C are general state land under                                                               
DNR management  that would then  become park land, so  no private                                                               
land transfers would be involved.                                                                                               
                                                                                                                                
MR. WEDEKING replied  that parcels B and C  are currently managed                                                               
by State  Parks through  interagency land  management agreements;                                                               
the bill would make them  legislatively designated areas.  Parcel                                                               
A is  not currently managed by  State Parks; the bill  would make                                                               
it a  legislatively designated area.   He confirmed that  none of                                                               
these areas contain private land.                                                                                               
                                                                                                                                
CHAIR TARR offered her belief  that a legislated designation is a                                                               
stronger designation for those park lands.                                                                                      
                                                                                                                                
10:20:32 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS inquired  whether the land exchange                                                               
is one acre for one acre.                                                                                                       
                                                                                                                                
MR. WEDEKING responded  that the hatchery is about  123 acres and                                                               
parcels A, B, and C are 266 acres, so it is two to one.                                                                         
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS asked how it  is that the Tutka Bay                                                               
Lagoon Hatchery  has existed  and operated  for decades,  and now                                                               
suddenly  there is  a finding  of  incompatibility for  it to  be                                                               
within state park boundaries.                                                                                                   
                                                                                                                                
REPRESENTATIVE VANCE  deferred to  Mr. Sam  Rabung to  answer the                                                               
question.                                                                                                                       
                                                                                                                                
10:22:02 AM                                                                                                                   
                                                                                                                                
SAM RABUNG,  Director, Division  of Commercial  Fisheries, Alaska                                                               
Department  of  Fish and  Game  (ADF&G),  testified that  ADF&G's                                                               
mission statement  says the department  is to  protect, maintain,                                                               
and improve  the fish, game,  and aquatic plant resources  of the                                                               
state, and manage their use  and development in the best interest                                                               
of the  economy and  the well-being  of the  people of  the state                                                               
consistent with the sustained yield principle.                                                                                  
                                                                                                                                
MR. RABUNG  stated that  Alaska Statute  (AS) 16.05.092  says, in                                                               
part,  that  the department  shall  encourage  the investment  by                                                               
private enterprise in the  technological development and economic                                                               
utilization   of    the   fisheries   resources,    and   through                                                               
rehabilitation,  enhancement,  and  development programs  do  all                                                               
things necessary  to ensure  perpetual and  increasing production                                                               
and  use  of   the  food  resources  of  the   state  waters  and                                                               
continental  shelf areas.    The work  described  in statute  was                                                               
under the  purview of the Fisheries  Rehabilitation, Enhancement,                                                               
and Development  (FRED) Division of  ADF&G until about  1994 when                                                               
it was merged with the Division of Commercial Fisheries.                                                                        
                                                                                                                                
MR. RABUNG  explained that with  the FRED Division gone  ADF&G no                                                               
longer   conducts   fishery   restoration,   rehabilitation,   or                                                               
enhancement other  than the Division  of Sport  Fish's hatcheries                                                               
and  stocking  program.   The  Division  of Commercial  Fisheries                                                               
still operates  the pathology, gene conservation,  and mark, tag,                                                               
and age  labs, and has contracted  out the operation of  the FRED                                                               
Division  salmon  hatcheries  to  private  nonprofit  aquaculture                                                               
associations that operate them at  their own expense as a service                                                               
to common property  users.  Permitting and  oversight is provided                                                               
through  the   statewide  Aquaculture  Planning   and  Permitting                                                               
Section in ADF&G  headquarters.  This section  is responsible for                                                               
the  salmon hatchery  program, the  aquatic farming  program, and                                                               
permitting for research and recreational projects statewide.                                                                    
                                                                                                                                
MR. RABUNG  specified that ADF&G's  Tutka Bay Lagoon  Hatchery is                                                               
located within Kachemak  Bay State Park across  Kachemak Bay from                                                               
Homer.   The  State of  Alaska constructed  the hatchery  in 1976                                                               
using bond funds, and the  FRED Division operated the hatchery to                                                               
enhance pink and chum runs in  Tutka Creek.  In 1988 AS 16.10.480                                                               
was passed by the legislature,  authorizing ADF&G to contract out                                                               
the operation of  its hatcheries.  In 1991  ADF&G contracted with                                                               
the  Cook Inlet  Aquaculture  Association (CIAA)  to operate  the                                                               
hatchery.   The state  retains ownership  of its  facilities when                                                               
operations are  contracted out  and the  land use  agreements are                                                               
held by ADF&G.   Cook Inlet Aquaculture  Association obtained the                                                               
necessary private nonprofit hatchery  permit for Tutka Bay Lagoon                                                               
Hatchery following  the prescribed public process.   Operation of                                                               
the  hatchery  was  evaluated   for  consistency  with  statewide                                                               
policies and  prescribed management  practices by  the department                                                               
in 2012,  and pink, chum,  and sockeye salmon have  been produced                                                               
at  the  hatchery.    The   original  permit  allowed  a  maximum                                                               
incubation capacity  of 125  million pink  and chum  salmon eggs.                                                               
The permit  was altered  in 1994 to  allow incubation  of 660,000                                                               
sockeye  salmon eggs  for release  into Tutka  Bay Lagoon,  which                                                               
provides the brood  stock for the Lower Cook  Inlet Lakes sockeye                                                               
salmon stocking program, part of  which creates the popular China                                                               
Poot personal use fishery.                                                                                                      
                                                                                                                                
MR. RABUNG  said it  came to [ADF&G's]  attention that  the Tutka                                                               
Bay  Lagoon Hatchery  operations may  be considered  incompatible                                                               
with Kachemak Bay State Park  when the plan was updated recently,                                                               
which is updated about every  10 years.  Through discussions with                                                               
DNR,  it appears  this stems  from  recent court  interpretations                                                               
that broadened  the definition of  disposal of state lands.   So,                                                               
given the  operation of the  hatchery on the park  lands somewhat                                                               
excludes or  precludes any  other use, that  may be  considered a                                                               
disposal of state lands and it  was done in a manner inconsistent                                                               
with recent  interpretations.  Version  I of HB 52  addresses the                                                               
compatibility  concern in  a manner  consistent with  other parks                                                               
guidance, such  as AS  41.21.302 Management  of Marine  Parks, as                                                               
well as the improper disposal of state land concerned.                                                                          
                                                                                                                                
10:27:01 AM                                                                                                                   
                                                                                                                                
CHAIR  TARR summarized  that everything  was  working fine  until                                                               
this  recent  court  decision expanded  the  definition  of  land                                                               
disposal.   So, having this  hatchery in an otherwise  public use                                                               
area  made it  seem  exclusive  to that  use  and  it became  the                                                               
incompatibility factor.                                                                                                         
                                                                                                                                
MR. RABUNG  replied that  that is  his understanding  of it.   He                                                               
said there were three or four court cases that addressed this.                                                                  
                                                                                                                                
10:28:01 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  KREISS-TOMKINS recalled  that  one  of the  court                                                               
cases  was  the  litigation  over the  Stand  for  Salmon  ballot                                                               
initiative in  which the  [Alaska] Supreme  Court found  that the                                                               
ballot  initiative  constituted  a  taking  or  appropriation  or                                                               
designation  of lands.   He  asked whether  that was  one of  the                                                               
legal variables in play.                                                                                                        
                                                                                                                                
MR. RABUNG deferred to Mr. Wedeking to answer the question.                                                                     
                                                                                                                                
MR.  WEDEKING read  the list  of  court cases:   Northern  Alaska                                                             
Environmental  Center  [and  Sierra  Club] v.  State  of  Alaska,                                                             
Department of  Natural Resources  in 2000;  Save Our  Parks, Inc.                                                           
[SOP, Inc.]  v. State Department  of Natural  Resources [Division                                                             
of Parks  and Outdoor Recreation]  in 2013;  Nunamta [Aulukestai]                                                           
v. State  of Alaska,  Alaska Department  of Natural  Resources in                                                             
2015;  and  Southeast Alaska  Conservation  Council  v. State  of                                                             
Alaska,  Department of  Natural Resources  in 2020.   He  said he                                                             
would provide the list to the committee after the hearing.                                                                      
                                                                                                                                
10:29:55 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE MCCABE  inquired whether Parcel A,  which includes                                                               
East End  Road, would give  the park  the opportunity to  build a                                                               
road or trail  into the park to provide better  access instead of                                                               
boating in.                                                                                                                     
                                                                                                                                
MR.  WEDEKING  confirmed  this  to be  correct  and  said  future                                                               
development  would provide  connection.   He noted  that a  trail                                                               
system exists in that area.                                                                                                     
                                                                                                                                
10:30:50 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  MCCABE noted  that there  are oyster  and seaweed                                                               
farms  in Jakolof  Bay.   He  asked whether  the  water is  being                                                               
checked to  ensure that  the hatchery  and growth  of aquaculture                                                               
farms  are compatible  and not  creating issues  for the  natural                                                               
stock in that water.                                                                                                            
                                                                                                                                
MR. RABUNG  responded that the  hatchery in Tutka Bay  Lagoon has                                                               
been operating  since 1976, so  ADF&G doesn't see a  problem with                                                               
that.   He noted that  Jakolof Bay is  just outside the  park and                                                               
said  aquatic farming  is somewhat  self-limiting.   The  oysters                                                               
themselves are considered the canary in  the coal mine - too many                                                               
oysters in a concentrated area will  eat the food and won't grow.                                                               
A very  productive bay, Jakolof  provides a tremendous  number of                                                               
oysters for  sale primarily locally  in the Homer area.   Because                                                               
the surface  area of  Jakolof Bay  is about  maxed out  for being                                                               
able to provide  access to uplands for common  property users for                                                               
the public, significant growth in Jakolof Bay isn't anticipated.                                                                
                                                                                                                                
REPRESENTATIVE MCCABE remarked  that that is a great  answer.  He                                                               
said  he  is a  huge  fan  of hatcheries  and  isn't  sure why  a                                                               
hatchery can't be  compatible with a state park and  a state park                                                               
plan if  there is  an ability for  Alaskans to take  a tour  of a                                                               
hatchery  that provides  for  food sustainability.    He said  he                                                               
thinks all this kerfuffle is unnecessary.                                                                                       
                                                                                                                                
10:34:05 AM                                                                                                                   
                                                                                                                                
CHAIR  TARR noted  that  Mr.  Sam Rabung  and  Mr.  Dean Day  are                                                               
providing invited testimony.  She turned  to Mr. Day to begin his                                                               
testimony.                                                                                                                      
                                                                                                                                
10:34:40 AM                                                                                                                   
                                                                                                                                
DEAN DAY, Executive Director,  Cook Inlet Aquaculture Association                                                               
(CIAA), provided invited testimony in support  of HB 52.  He said                                                               
CIAA is  a nonprofit corporation  founded in 1976 to  provide and                                                               
protect the salmon  resource in Area H.  He  explained that Tutka                                                               
Bay Lagoon Hatchery  is a state-owned facility  that was operated                                                               
by ADF&G  from 1976-1991, and  in 1991 CIAA assumed  operation of                                                               
the  hatchery through  an  operating agreement  with  ADF&G.   In                                                               
addition  to the  operating  agreement, a  letter  of intent  was                                                               
created  that  says  the Tutka  hatchery  provides  an  important                                                               
public service  through the production  of salmon  for commercial                                                               
and sport fisheries in the Lower  Cook Inlet Area.  The letter of                                                               
intent  further   says  that  as   presently  managed   and  with                                                               
appropriate  and reasonable  controls  to protect  the values  of                                                               
Kachemak Bay  State Park, the  Tutka hatchery is  compatible with                                                               
the  purposes of  the  1989 Kachemak  Bay  State Park  management                                                               
plan.   The  park's  1995 wilderness  management plan  explicitly                                                               
identifies  fishery  enhancement  as  a goal  for  the  park  and                                                               
repeatedly characterizes  fishing as an important  recreation and                                                               
commercial  activity in  the park  in  general and  Tutka Bay  in                                                               
particular.  The Tutka Bay Lagoon  Hatchery and its virtues as an                                                               
attraction for visitors are specifically referenced.                                                                            
                                                                                                                                
MR. DAY  related that after  decades of CIAA operating  the Tutka                                                               
Bay Lagoon Hatchery  on behalf of ADF&G, and  under multiple park                                                               
management plans  supporting hatchery operations,  DNR's Division                                                               
of Parks and Outdoor Recreation  has determined that the hatchery                                                               
is likely no  longer compatible with the plan and  seeks to close                                                               
the hatchery at  the end of the  contract term in 2031.   He said                                                               
the  closing of  Tutka Bay  Lagoon Hatchery  would affect  CIAA's                                                               
ability  to  provide  funding for  its  other  operations,  which                                                               
includes  enhancement projects  for personal  use sockeye  dipnet                                                               
fisheries in the park and in  China Poot, sport fisheries in Cook                                                               
Inlet  Resurrection Bay,  and habitat  and invasive  species work                                                               
throughout  the region.    These  projects would  be  at risk  of                                                               
closure or  be severely reduced.   Closure of the  hatchery would                                                               
impact local economies  through loss of jobs;  loss of commercial                                                               
fishing revenue;  loss of  income to  a variety  of recreational,                                                               
commercial,  and personal  use  fishery  support businesses;  and                                                               
loss  of municipal  tax  revenues.   The  commercial fishing  and                                                               
seafood processing  industry in Cook Inlet  would directly suffer                                                               
a significant revenue  loss if the Tutka Bay  Lagoon Hatchery was                                                               
eliminated.  The Cook Inlet  Aquaculture Association has invested                                                               
millions of  dollars in improving hatchery  operations, including                                                               
the Tutka Bay Lagoon Hatchery.   Multiple projects are undertaken                                                               
as  a part  of CIAA's  mission, these  apply throughout  the Cook                                                               
Inlet  region,  Resurrection Bay,  and  the  outer district.    A                                                               
closure  of any  one  facility would  impact  all facilities  and                                                               
projects in the Cook Inlet region.                                                                                              
                                                                                                                                
10:39:32 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  MCCABE asked  if the  hatchery has  any effluent,                                                               
eyesore, or  impact that creates  a negative experience  for park                                                               
visitors, or  something else that  makes it no  longer compatible                                                               
with the park.                                                                                                                  
                                                                                                                                
MR.  DAY replied  that  he  was the  Tutka  hatchery manager  for                                                               
several  years and  performed many  tours during  that time.   He                                                               
said he can't  speak specifically to any eyesores,  but that some                                                               
people cannot support the overall mission of the hatchery.                                                                      
                                                                                                                                
REPRESENTATIVE MCCABE remarked  that this is part  of Alaska, and                                                               
he is struggling  to understand why the need to  go through this.                                                               
He  said the  Tutka Bay  Lagoon  Hatchery is  an interesting  and                                                               
vital part  of the communities and  the park could have  a ranger                                                               
give the tours instead of CIAA.                                                                                                 
                                                                                                                                
10:41:52 AM                                                                                                                   
                                                                                                                                
CHAIR TARR surmised  it may have been a  different situation back                                                               
when  the  state  was  managing the  hatchery  through  the  FRED                                                               
Division.  She further surmised  that with the recent evaluations                                                               
the incompatibility is  that a common property  resource on state                                                               
lands via  the park is  being managed by a  private organization,                                                               
so if the  state took over management there  probably wouldn't be                                                               
an issue.   However,  she continued, the  state isn't  using that                                                               
model these days.                                                                                                               
                                                                                                                                
MR. RABUNG responded  that it is irrelevant who  is operating the                                                               
facility.   Rather, the presence  of that facility on  state park                                                               
lands precludes other  park uses and a  prescribed public process                                                               
was not done to dispose of that land for that use.                                                                              
                                                                                                                                
10:43:28 AM                                                                                                                   
                                                                                                                                
MR. RABUNG  addressed Representative McCabe's  question regarding                                                               
effluent.   He  explained that  hatcheries are  required to  have                                                               
discharge  permits  issued  by the  Department  of  Environmental                                                               
Conservation (DEC)  and to  meet water  quality standards.   That                                                               
includes the  process water, the  domestic water from  the people                                                               
living onsite,  net pens, and  carcasses.  Previously  these were                                                               
issued by  the [federal]  Environmental Protection  Agency (EPA),                                                               
but now it is DEC.  When  salmon come back and die something must                                                               
be done  with the carcasses.   A complaint heard from  the public                                                               
about  the  Tutka  and  other hatcheries,  and  even  about  wild                                                               
streams, is that  ADF&G should do something about  the smell from                                                               
the decomposing carcasses.                                                                                                      
                                                                                                                                
10:44:42 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS  inquired whether the new  case law                                                               
has similarly  caught up other  facilities in other  Alaska state                                                               
parks and land swaps need to be done.                                                                                           
                                                                                                                                
MR. WEDEKING answered  that the division is looking  at all areas                                                               
and everything  in all  state parks  to see  if there  are issues                                                               
like this.   This one popped up when the  division happened to be                                                               
doing the management plan at the  time.  He stressed that this is                                                               
not a compatibility  issue but rather a land  disposal issue with                                                               
park  land that  is  trying  to be  solved.    Because there  are                                                               
probably others, the division is working to identify them.                                                                      
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS said it  is important the committee                                                               
know what those others  are so they can be fixed.   He asked when                                                               
the process started and when it will be concluded.                                                                              
                                                                                                                                
MR. WEDEKING replied  that identifying these began  after the SOP                                                               
case.  He said he will get back to the committee with an answer.                                                                
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS inquired whether  that was the Save                                                               
Our Parks case from 2013.                                                                                                       
                                                                                                                                
MR. WEDEKING responded, "Yes."                                                                                                  
                                                                                                                                
10:46:41 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS  noted 2013 to 2021  is eight years                                                               
and presumed  it doesn't take eight  years to do the  review.  He                                                               
requested Mr. Wedeking to reconcile that gap in time.                                                                           
                                                                                                                                
MR. WEDEKING answered  that he can't because he has  only been in                                                               
this job  for about five  years, but  said they are  addressed as                                                               
they come up.                                                                                                                   
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS  asked whether  over the  last five                                                               
to eight years State Parks  has affirmatively identified in other                                                               
state park units any other  activities, facilities, or structures                                                               
that are  known right now to  not be "sympatico" with  state park                                                               
legislative designation.                                                                                                        
                                                                                                                                
MR. WEDEKING  replied that he would  say yes.  He  explained that                                                               
the division  is addressing other  locations, whether  in Chugach                                                               
State  Park or  utility lines  through other  state parks.   Even                                                               
easements are  not allowed, so  as they  come up the  division is                                                               
working  through them,  creating a  list, and  moving forward  on                                                               
those.  While he doesn't know  specifics, he said the division is                                                               
looking for legislative  solutions for the ones  the division has                                                               
come across and he will provide a list to the committee.                                                                        
                                                                                                                                
10:48:31 AM                                                                                                                   
                                                                                                                                
CHAIR TARR observed  from DNR's website that there  was a 12/7/18                                                               
determination for Kachemak Bay State  Park and an intent to adopt                                                               
a version of  the management plan that, once  adopted, will serve                                                               
as the basis for management of  park lands for the next 20 years.                                                               
She asked whether  all parks are on 20-year cycles.   She offered                                                               
her understanding  that the  writing of these  plans is  a multi-                                                               
year process.   She further  related that the notice  was 12/7/18                                                               
but comments  on the intent to  adopt a version of  the plan will                                                               
be accepted  until 1/22/21.   She requested Mr. Wedeking  to help                                                               
the committee understand the planning.                                                                                          
                                                                                                                                
MR. WEDEKING responded that the  gold standard for plans would be                                                               
to last 10 years,  but most likely they are going  to last for 20                                                               
years given the  lack of staff.  For this  one, he continued, the                                                               
draft plan was issued in 2018  and then due to public comment the                                                               
division  put out  another draft  and  an Intent  to Adopt  Plan,                                                               
which  is the  one  the division  is working  with  now that  has                                                               
identified the disposal issue of the hatchery.                                                                                  
                                                                                                                                
CHAIR TARR surmised the plan is  adopted for 20 years and working                                                               
on a new plan is a multi-year process.                                                                                          
                                                                                                                                
MR. WEDEKING answered  that that is correct and said  it can take                                                               
three years to do a comprehensive plan with public input.                                                                       
                                                                                                                                
10:50:53 AM                                                                                                                   
                                                                                                                                
CHAIR TARR invited Ms. Kris Hess to provide comment.                                                                            
                                                                                                                                
10:51:09 AM                                                                                                                   
                                                                                                                                
KRIS HESS,  Deputy Director, Division  of Mining, Land  and Water                                                               
(DMLW), Department  of Natural Resources  (DNR), stated  that the                                                               
DMLW  assists  the  Division  of  Parks  and  Outdoor  Recreation                                                               
("State Parks")  in preparing management  plans for  state parks.                                                               
She  said they  are a  multi-year process  to go  through, obtain                                                               
public  comments,  and then  finalize  a  plan with  that  public                                                               
involvement.  The issue of  disposal comes in because state parks                                                               
are set aside from the public  domain and must be managed for the                                                               
purpose in which  they were created.  It is  a recent involvement                                                               
of  the  court  cases,  especially   the  2020  Southeast  Alaska                                                               
Conservation  Council  case in  which  the  Alaska Supreme  Court                                                               
solidified  the whole  disposal  issue.   A  state  park must  be                                                               
managed for the  purposes that the park was  created; an interest                                                               
cannot  be conveyed  to an  outside party,  such as  an easement,                                                               
lease, or interagency land management  agreement (ILMA) like what                                                               
was given at the hatchery.                                                                                                      
                                                                                                                                
10:52:55 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  MCCABE asked  when  Kachemak Bay  State Park  was                                                               
established.                                                                                                                    
                                                                                                                                
MS. HESS  replied that  the park was  originally created  in 1970                                                               
and the  ILMA was  originally issued  in 1979.   The  first court                                                               
case was in 2000, so at  the time there wasn't that guidance from                                                               
court decisions regarding legislatively  designated areas and the                                                               
disposal concept.                                                                                                               
                                                                                                                                
REPRESENTATIVE MCCABE recited that  the park was [established] in                                                               
1970, the hatchery was started in  1976 by ADF&G, a state entity,                                                               
and  the ILMA  was  in 1979.    He asked  whether  ADF&G did  any                                                               
studies when it first built the hatchery.                                                                                       
                                                                                                                                
MS. HESS responded that a lot  of information was gathered at the                                                               
time the hatchery  was created in 1975 by ADF&G,  which was after                                                               
the park was created  in 1970.  The first court  case was in 2000                                                               
and the  subsequent cases were  in 2013, 2014, she  believed, and                                                               
2020.   At the time  the hatchery  was constructed there  was not                                                               
the guidance  that is now had  from the courts.   She deferred to                                                               
Mr.  Wedeking  to  speak  to  studies that  were  done  with  the                                                               
hatchery's construction.                                                                                                        
                                                                                                                                
10:56:06 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS  stated that  it would  be terrible                                                               
if the Tutka  Bay Lagoon Hatchery had to be  shut down because of                                                               
this land  and legal development.   He requested the  agencies to                                                               
get ahead of this so the  legislature can have some foresight and                                                               
be  in a  less reactive  posture  if there  are analogous  issues                                                               
elsewhere, which there seems to be.                                                                                             
                                                                                                                                
CHAIR TARR  remarked that this  problem will arise  in situations                                                               
where it is  legislatively designated areas.  She  noted that the                                                               
statute could  be looked at  to see the  legislatively designated                                                               
areas and  then the  agencies could get  that information  to the                                                               
legislature.     She  asked   whether  the   agencies  anticipate                                                               
identifying the  problems by chronologically working  through the                                                               
various management plans.                                                                                                       
                                                                                                                                
MR. WEDEKING  confirmed there is that  way, and that there  is as                                                               
the agencies  address them in  the field.   He said he  will work                                                               
with the group to  address Representative Kreiss-Tomkins' request                                                               
because he thinks it would be  of benefit to the division as well                                                               
as to the legislature.                                                                                                          
                                                                                                                                
10:58:23 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  VANCE shared  that when  she originally  saw that                                                               
Tutka Bay  Lagoon Hatchery in  her community was  being affected,                                                               
her  intent  was to  look  at  all  hatcheries across  the  state                                                               
because she thought  it was a compatibility issue.   However, she                                                               
learned that  it is not a  compatibility issue but rather  a land                                                               
allocative issue.   The  statute for  each state  park designates                                                               
the specific land  points for that park, so it  must be taken one                                                               
park  at a  time.    She thanked  the  divisions  for working  so                                                               
diligently to bring this together in  a short amount of time, and                                                               
said she  looks forward  to doing  whatever needs  to be  done on                                                               
this land allocation issue in light of these lawsuits.                                                                          
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS concurred.                                                                                        
                                                                                                                                
11:00:39 AM                                                                                                                   
                                                                                                                                
CHAIR TARR  observed that Section  1 of  the bill deals  with the                                                               
additions to  the park  and Section 2  deals with  the exception.                                                               
She asked Mr. Almeida to provide a sectional analysis.                                                                          
                                                                                                                                
MR. ALMEIDA deferred to Mr. Wedeking  to review the sections.  He                                                               
confirmed that Section 2 is the transfer of the 123 acres.                                                                      
                                                                                                                                
MR. WEDEKING stated that Section  1 provides the additions, which                                                               
are  highlighted in  black and  underlined.   He  said Section  2                                                               
removes Tutka Bay Lagoon and the land the hatchery sits on.                                                                     
                                                                                                                                
CHAIR TARR offered  her understanding that the  original bill was                                                               
the compatibility issue, but that it  is a land disposal issue so                                                               
Version I,  Section 1, brings  those new parcels in  and [Section                                                               
2] removes the Tutka Bay Lagoon Hatchery from the park.                                                                         
                                                                                                                                
REPRESENTATIVE MCCABE agreed with  everything being talked about,                                                               
but said  it seems the state  is trying to throw  itself off land                                                               
that it has  already been on for  45 years.  He  offered his hope                                                               
that this can be solved because the hatchery is important.                                                                      
                                                                                                                                
11:03:49 AM                                                                                                                   
                                                                                                                                
CHAIR TARR  removed her  objection to adopting  Version I  as the                                                               
working document.                                                                                                               
                                                                                                                                
11:04:04 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  KREISS-TOMKINS objected  to make  a comment.   He                                                               
said he gets  the sense the agencies are in  harmony and the real                                                               
issue  is the  separate  branches of  government  - the  Judicial                                                               
Branch  has created  a new  reality for  the Executive  Branch as                                                               
well as the  Legislative Branch.  He then  removed his objection.                                                               
There  being  no further  objection,  Version  I was  before  the                                                               
committee.                                                                                                                      
                                                                                                                                
11:04:43 AM                                                                                                                   
                                                                                                                                
CHAIR TARR opened public testimony on HB 52.                                                                                    
                                                                                                                                
11:05:05 AM                                                                                                                   
                                                                                                                                
BRENT JOHNSON  testified in support of  HB 52.  He  noted that he                                                               
is  a  past  president  of  Cook  Inlet  Aquaculture  Association                                                               
(CIAA).   He said  he is a  commercial fisherman  above Ninilchik                                                               
and doesn't catch fish related  to the Tutka Bay Lagoon Hatchery.                                                               
However, he continued, the hatchery  is an integral part of CIAA.                                                               
Each hatchery has  its own benefits and risks  and all hatcheries                                                               
working together  are needed for  CIAA to  survive.  As  an upper                                                               
inlet fisherman,  he looks  to hatcheries  like Tutka  to provide                                                               
resources like  pike suppression  projects, beaver  dam projects,                                                               
and water flow control structures in  the upper inlet.  Also, due                                                               
to  tough times  there are  fewer  fish processors  in the  upper                                                               
inlet, and those  fish processors need salmon to  survive.  These                                                               
hatcheries provide  salmon that expand the  processors" resources                                                               
so they can survive so  that commercial fishermen can survive for                                                               
a big year when big fish processing capacity is needed.                                                                         
                                                                                                                                
MR. JOHNSON related that the  CIAA's mission statement says it is                                                               
to  protect  self-sustaining  salmon stocks  and  their  habitat,                                                               
rehabilitate self-sustaining  salmon stocks,  rehabilitate salmon                                                               
habitat, and  maximize the  value of  Cook Inlet  common property                                                               
salmon resource  by applying  science and  enhancement technology                                                               
where appropriate, all  of which he firmly stands  by.  Regarding                                                               
the bill,  he noted that  the hatchery  would still be  under the                                                               
jurisdiction  of  DNR  and  ADF&G,  and  the  agencies  would  be                                                               
monitoring what  goes on at Tutka  Bay.  He said  it is important                                                               
that the Tutka  Bay Lagoon Hatchery survives,  and he appreciates                                                               
Representative Vance writing the original bill.                                                                                 
                                                                                                                                
11:07:35 AM                                                                                                                   
                                                                                                                                
ROD VAN  SAUN thanked Representative  Vance for  bringing forward                                                               
HB 52  because the  Tutka Bay  Lagoon Hatchery  needs to  be kept                                                               
running.  He said he has  been a commercial fisherman for several                                                               
years and has also worked 25  years in the charter boat industry.                                                               
He said he would  like to be a voice for the  people all over the                                                               
state  who benefit  from the  Tutka Bay  Lagoon Hatchery  as many                                                               
don't  even realize  it.    He has  friends  from Fairbanks,  the                                                               
[Matanuska-Susitna]  Valley, and  the Interior  who benefit  from                                                               
the sport  fisheries that CIAA  provides when they go  to Seward,                                                               
Homer, or China  Poot.  He is excited about  the pike eradication                                                               
in  Shell Lake  and bringing  back the  sockeye return.   If  the                                                               
Tutka  hatchery were  taken  out of  the mix  and  CIAA lost  the                                                               
funding from  Tutka, the ability  would be lost to  provide those                                                               
sport fisheries and everything else.   He stressed the importance                                                               
of passing HB 52.                                                                                                               
                                                                                                                                
11:10:02 AM                                                                                                                   
                                                                                                                                
CRISTEN SAN ROMAN  testified in opposition to HB 52.   She stated                                                               
she  grew up  fishing  for wild  salmon with  her  family and  is                                                               
presently a  fish processor and  filleter.  Now, salmon  are more                                                               
than food,  her livelihood  is dependent  on healthy  fish stocks                                                               
and the success of others in harvesting fish.                                                                                   
                                                                                                                                
MS.  SAN ROMAN  offered  her understanding  that hatcheries  were                                                               
founded with  the idea of  bolstering wild salmon  numbers, which                                                               
she thought  a good idea  at the time.   But, in  researching the                                                               
impacts of  hatcheries, she has  found that this  salmon ranching                                                               
has  had unintended  consequences.   Young  salmon are  voracious                                                               
eaters and when  manufactured and released into  the ecosystem by                                                               
the millions  the wild fish are  forced to compete with  them for                                                               
food.   Hatchery salmon are  also known  to stray and  spawn with                                                               
wild  fish, degrading  the bloodlines  and  productivity [of  the                                                               
wild fish].  If running  this hatchery is continued, then clearly                                                               
the  focus  has  become  solely for  economic  gain  rather  than                                                               
helping wild fish stocks.                                                                                                       
                                                                                                                                
MS. SAN  ROMAN maintained  that greed  is leading  to genetically                                                               
weak  wild salmon  that are  unable to  adapt to  changes in  the                                                               
ocean  environment  or produce  enough  offspring  to keep  their                                                               
populations up  on their own.   When  the people of  today become                                                               
old timers, they may talk about  the good old days when real wild                                                               
salmon  could  be  caught  in  the bay.    Perhaps  without  this                                                               
hatchery, Tutka Bay  and surrounding waters could  also be richer                                                               
in shellfish populations.                                                                                                       
                                                                                                                                
MS. SAN ROMAN  said she is only  22 years old and  has a lifetime                                                               
ahead of  her to see  the consequences  of the decisions  made by                                                               
legislators.  She  urged the committee to vote against  HB 52 and                                                               
to trust the science so that  her children can grow up harvesting                                                               
real wild seafood like she did as a child.                                                                                      
                                                                                                                                
11:12:32 AM                                                                                                                   
                                                                                                                                
CHRIS  PERRY testified  in support  of  HB 52.   He  said he  has                                                               
fished  in Lower  Cook  Inlet  for approximately  36  years.   He                                                               
recounted that  in 1981 most  of the  80 salmon seine  permits in                                                               
Lower Cook  Inlet were  fished, while 70  permits were  fished in                                                               
1991.   With the help of  Tutka Bay Lagoon Hatchery,  the hope is                                                               
that at some point these permits will be fished again.                                                                          
                                                                                                                                
MR. PERRY  stated that closure  of the Tutka Bay  Lagoon Hatchery                                                               
will directly  affect other sport  and personal use  fisheries in                                                               
Lower Cook Inlet  and all of Cook Inlet drainage,  plus the China                                                               
Poot  dipnet sockeye  fisheries will  close.   Sockeye for  these                                                               
projects are  harvested, eggs are  taken at the Tutka  Bay Lagoon                                                               
Hatchery, and  the smolt  are released  at their  respective lake                                                               
systems.   Thousands of fishermen will  lose these opportunities.                                                               
The  cost  recovery done  at  Tutka  Bay  on returning  pink  and                                                               
sockeye salmon is an integral  part of CIAA's economic operation,                                                               
helping to  support many of  CIAA's projects throughout  the Cook                                                               
Inlet drainage.  Projects that may  be impacted by closure of the                                                               
Tutka  Bay Lagoon  Hatchery include  Trail  Lakes Hatchery,  Port                                                               
Graham Hatchery, and Resurrection  Bay and Resurrection Bear Lake                                                               
sockeye  and coho  projects, which  may include  Resurrection Bay                                                               
saltwater coho and sockeye enhancement projects.                                                                                
                                                                                                                                
MR. PERRY noted that the  City of Seward contracts aquaculture to                                                               
produce coho  for its silver salmon  derby.  He said  many of the                                                               
Interior and  Northern Cook Inlet  stocking projects, as  well as                                                               
invasive species  eradication projects,  will be affected.   With                                                               
the impending closure  of federal waters in Upper  Cook Inlet and                                                               
this loss of  fish tax, aquaculture will  have further challenges                                                               
to financing these  operations.  He urged that a  way be found to                                                               
save  the Tutka  Bay Lagoon  Hatchery.   He pointed  out that  83                                                               
percent of the  permits originally issued are  local.  Responding                                                               
to  Representative  Tarr,  he agreed  to  provide  statistics  in                                                               
writing to the committee.                                                                                                       
                                                                                                                                
11:15:09 AM                                                                                                                   
                                                                                                                                
SUE CHRISTIANSEN  testified in opposition  to HB 52.   She stated                                                               
she has  been a resident  of Kachemak Bay for  42 years and  is a                                                               
member  of the  Kachemak Bay  State Park  Advisory Board,  a past                                                               
employee  of  ADF&G,  and  a  past setnet  fishing  woman.    She                                                               
recounted that  51 years ago  the legislature set  aside Kachemak                                                               
Bay State Park,  which includes Tutka Bay Lagoon,  to protect and                                                               
preserve its unique and exceptional values.                                                                                     
                                                                                                                                
MS.  CHRISTIANSEN urged  the committee  to consider  some of  the                                                               
economics that have  not been mentioned.  She said  90 percent of                                                               
the  return  from the  Tutka  Bay  Lagoon  Hatchery goes  to  the                                                               
aquaculture  corporation  because  CIAA   is  in  debt  over  $16                                                               
million, an  important factor  the committee  should investigate.                                                               
Regarding sport fishing, she said  other hatcheries are available                                                               
that could easily provide smolt  for China Poot dipnet fisheries.                                                               
Regarding  industrial scale  fish farms,  she stated  that farmed                                                               
fish compete with  wild salmon and deplete  other marine species,                                                               
including Pacific  cod, halibut,  king and tanner  crab, herring,                                                               
clams, and mussels, and they replace wild salmon genomes.                                                                       
                                                                                                                                
MS.  CHRISTIANSEN stated  that Kachemak  Bay was  once considered                                                               
the richest bay  in the world, but industrial  scale fish farming                                                               
is not  the way to  restore it.  She  pointed out that  there are                                                               
virtually no  wild salmon remaining  on the East Coast,  yet they                                                               
were once  as prolific on the  East Coast as they  are in Alaska.                                                               
She  urged  the  committee  to consider  that  the  Kachemak  Bay                                                               
National  Estuarine  Research  Reserve is  interested  in  having                                                               
Tutka Lagoon become an educational research center.                                                                             
                                                                                                                                
11:18:18 AM                                                                                                                   
                                                                                                                                
LEONARD FABICH testified  in support of HB 52.   He stated he has                                                               
commercially fished and  sport fished the waters  of Kachemak Bay                                                               
since 1987, and  in 2013 he became a commercial  salmon seiner in                                                               
Lower Cook Inlet.   He said he  would like to keep  the Tutka Bay                                                               
Hatchery open.   He said he  differs with the Kachemak  Bay State                                                               
Park management plan decision that  the Tutka Bay Lagoon Hatchery                                                               
is incompatible with the state park.                                                                                            
                                                                                                                                
MR. FABICH said one of the  many benefits to the hatchery is that                                                               
last season he  fished the entire salmon season on  the Tutka Bay                                                               
Lagoon Hatchery returns.   On even years when pink  salmon do not                                                               
generally return in  big numbers on the outer  coast the hatchery                                                               
is a huge bright spot in  the seine summer fishery, with the reds                                                               
and  pinks returning  to the  hatchery release  sites by  far the                                                               
target fish.   The hatchery is  a big part of  his livelihood, so                                                               
the argument that it largely only benefits [CIAA] is false.                                                                     
                                                                                                                                
MR.  FABICH, in  regard to  intruding  on the  park, stated  that                                                               
commercial fishermen  bring a  great amount  of pleasure  to park                                                               
visitors  each  summer.    He said  a  favorite  opportunity  for                                                               
visitors is  observing fishermen in  action and many  tourists go                                                               
home  with  photos  of  fishermen catching  hatchery  fish.    It                                                               
benefits the  city with taxes  collected.  The spinoff  from this                                                               
hatchery  affects  thousands  of  people.   One  of  the  largest                                                               
positive  benefits is  the  China Poot  dipnet  fishery and  snag                                                               
fishery  as well  as the  Tutka Bay  sport fishery  for reds  and                                                               
pinks, all funded  by the hatchery costs  recovery measures; this                                                               
will go  away if  the Tutka  Bay Lagoon Hatchery  is closed.   He                                                               
said  he  is in  favor  of  the land  swap  that  will allow  the                                                               
hatchery to be on state grounds and continue operating.                                                                         
                                                                                                                                
11:21:11 AM                                                                                                                   
                                                                                                                                
CHELSEA HAINSMAN, Executive  Director, Cordova District Fishermen                                                               
United (CDFU), testified that CDFU supports  HB 52.  She said the                                                               
Tutka Bay  Lagoon Hatchery has  provided salmon for users  in all                                                               
user groups    subsistence, sport, personal  use, and commercial.                                                               
She  noted  that  the  1991  memorandum  of  understanding  (MOU)                                                               
between  State  Parks, ADF&G,  and  CIAA  states that  Tutka  Bay                                                               
Lagoon  Hatchery  is compatible  with  purposes  of Kachemak  Bay                                                               
State Park as set out in statute and the park management plan.                                                                  
                                                                                                                                
MS.  HAINSMAN stated  that historically  this  hatchery has  been                                                               
critically important  to Alaska's  culture and economy.   Changes                                                               
to  this management  plan will  have detrimental  impacts on  the                                                               
coastal communities  and fisheries of Southcentral  Alaska.  This                                                               
bill  fixes  legal land  allocation  issues  associated with  the                                                               
recent management  plan recommendation  and will allow  the Tutka                                                               
Bay Lagoon Hatchery the ability  to continue providing salmon for                                                               
Alaskans.                                                                                                                       
                                                                                                                                
11:22:18 AM                                                                                                                   
                                                                                                                                
ALAN PARKS expressed his concerns related  to HB 52 and the Tutka                                                               
Bay Lagoon Hatchery.   He said he is a  commercial fisherman.  He                                                               
noted that the park plan was  developed over a six-year time span                                                               
under  several administrations  and  the final  draft isn't  out.                                                               
The hatchery  has been very  contentious throughout  its history,                                                               
he  related,  and  it  is  important that  the  public  get  more                                                               
understanding of what HB 52 proposes to do.                                                                                     
                                                                                                                                
MR. PARKS  stated that the  difference between the  FRED Division                                                               
and  CIAA  management of  the  hatchery  is  vast -  under  state                                                               
management the  hatchery operated  at 40  million eggs  and every                                                               
fish  was  fully  utilized.     He  maintained  that  Cook  Inlet                                                               
Aquaculture Association is maximizing  if not over-maximizing the                                                               
lagoon,  and the  lagoon  is  a cesspool  that  has been  totally                                                               
mismanaged.   As someone  who works in  the tourist  business, he                                                               
would not  take someone  in there  because of  the stink  and the                                                               
beaches being covered  with dead fish.  In 2015  at least 100,000                                                               
fish  were on  the  beaches outside  of the  lagoon.   Fish  were                                                               
spread out on the beaches  throughout Tutka Bay and were floating                                                               
in kelp  rafts because  they were  not harvested.   The  point is                                                               
that  CIAA says  it  values  the lease  of  Tutka  Bay at  almost                                                               
$500,000; Mr. [Rabung] says that they are contracted?                                                                           
                                                                                                                                
11:25:22 AM                                                                                                                   
                                                                                                                                
ROBERT ARCHIBALD disclosed  that he is on the  Kachemak Bay State                                                               
Park Citizen Advisory Board and  the board of Friends of Kachemak                                                               
Bay State Park.   He said the Tutka Bay  Lagoon Hatchery has been                                                               
an issue  for a while.   One  contentious issue that  hasn't been                                                               
discussed  is carcass  dumping  in  Tutka Bay.    Another is  the                                                               
desire for the net pens to  be removed from the lagoon because it                                                               
is not  sustainable to rear salmon  in the lagoon in  the numbers                                                               
that [CIAA] wants to rear them.   This means that [CIAA] wants to                                                               
pull those net pens out into Tutka Bay, which is the state.                                                                     
                                                                                                                                
MR. ARCHIBALD said  he can understand how  this contentious issue                                                               
has come up with the  new lawsuits about disclosure and disposal.                                                               
He urged the committee to postpone  moving HB 52 so that citizens                                                               
who use  the park  can better understand  the ramifications.   He                                                               
stated that  this is the  first he's heard  of the area  out East                                                               
End Road  that would  be in  this land swap  and he  thinks there                                                               
needs to be more discussion on this.                                                                                            
                                                                                                                                
11:27:15 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE KREISS-TOMKINS noted that  Mr. Archibald is on the                                                               
park's  advisory  board  and  asked  whether  he  is  correct  in                                                               
understanding  that  Mr. Archibald  hadn't  seen  this land  swap                                                               
proposal until now.                                                                                                             
                                                                                                                                
REPRESENTATIVE  VANCE explained  that no  one had  seen the  land                                                               
swap, including  herself, until last  night and  specifically the                                                               
map was received  this morning because the  departments have been                                                               
working  on  finding  land  available and  it  wasn't  known  how                                                               
quickly that  was going to move  along.  So, she  continued, this                                                               
is  recent to  come before  everyone.   She said  she intends  to                                                               
continue to have  communications with the community  on what that                                                               
would look  like but wanted  to get this  on the record  and move                                                               
forward with the issue of the land allocation at hand.                                                                          
                                                                                                                                
REPRESENTATIVE  KREISS-TOMKINS  said  it  seems  there  are  some                                                               
strong local passions about land  use, and it doesn't fully serve                                                               
the public  in terms of  public comment  if they don't  know what                                                               
they  are commenting  on.   If  there  is a  land  swap in  their                                                               
backyard and  they don't  know what parcels  are being  moved, it                                                               
would seem important that the public be able to comment on that.                                                                
                                                                                                                                
CHAIR TARR announced that the  committee is unable to accommodate                                                               
additional  public testimony  this  morning beyond  the next  two                                                               
witnesses.    She  said  the  bill would  not  be  moved  out  of                                                               
committee today and that there would be another hearing.                                                                        
                                                                                                                                
11:30:01 AM                                                                                                                   
                                                                                                                                
PENELOPE HAAS,  Kachemak Bay  Conservation Society,  testified in                                                               
opposition  to HB  52.    She urged  the  committee  to read  the                                                               
written comments  submitted by her  organization.   She suggested                                                               
that  this  change  in  course regarding  the  Tutka  Bay  Lagoon                                                               
Hatchery is the result of  multiple forces that include the court                                                               
cases  along  with  the public's  growing  understanding  of  the                                                               
impacts of enhancement hatcheries  on wild salmon populations and                                                               
the  species  that  salmon  prey  upon,  such  as  crab,  shrimp,                                                               
herring, and cod, among others.                                                                                                 
                                                                                                                                
MS.  HAAS  noted  that  the statute  guiding  the  management  of                                                               
Kachemak Bay State Park defines it  as a scenic park, which means                                                               
a relatively  spacious area  of outstanding  natural significance                                                               
where major values are in  natural, geological, faunal, or floral                                                               
characteristics.   She stated that an  enhancement hatchery which                                                               
selectively  enhances one  population  among all  the species  in                                                               
interplay is a disruption to that natural balance.                                                                              
                                                                                                                                
MS.  HAAS  related that  a  long  public  process went  into  the                                                               
decision by  DNR to change  course on  the hatchery.   Before DNR                                                               
changed course  with the  management plan there  was a  denial of                                                               
permits with dumping of carcasses into  the bay with a concern of                                                               
contamination of the bay and the  loss of oxygen at the bottom of                                                               
Tutka Bay.   She stated that a large group  of people in Kachemak                                                               
Bay do  not support  HB 52  and passing the  bill would  be going                                                               
against  the public  process that  went into  the removal  of the                                                               
hatchery from the state park.                                                                                                   
                                                                                                                                
11:33:07 AM                                                                                                                   
                                                                                                                                
TIM  ANDERSON  stated  he  is a  former  fisheries  and  wildlife                                                               
biologist, and his wife runs  the Majestic View Bed and Breakfast                                                               
in Homer.   He said he  operates as a charter  captain taking out                                                               
only the people who stay at Majestic  View.  He goes to Tutka Bay                                                               
30-60 days  a year and  along the way  people see the  salmon and                                                               
wildlife  and the  fishermen catching  salmon.   His guests  take                                                               
pictures as  they watch  orcas, black  bears, eagles,  and harbor                                                               
seals chasing and  eating the salmon.  Regardless  of whether his                                                               
guests catch a fish along the  way, they enjoy watching more fish                                                               
than they've ever seen in their life.                                                                                           
                                                                                                                                
MR. ANDERSON  addressed the "stink  thing on the shoreline."   He                                                               
said some years there is such  a surplus of salmon that there are                                                               
more than  can be used, and  the stink goes away  quickly and can                                                               
only be smelled  up close.  As  far as decimation of  the bay, he                                                               
suggested that  a look be  taken at  sea otters because  it's not                                                               
all the  little hungry salmon  fry.   He noted that  Halibut Cove                                                               
and all the  cabins in the bay  have not been gotten rid  of.  He                                                               
urged that a way  be found to work with it the  way it is because                                                               
it  works great.   He  added that  he agrees  with Representative                                                               
McCabe about over-thinking it and  over-politicizing it, and said                                                               
he supports the bill.                                                                                                           
                                                                                                                                
11:35:42 AM                                                                                                                   
                                                                                                                                
CHAIR TARR  announced that HB  52 is  being held over  and public                                                               
testimony is being left open.                                                                                                   

Document Name Date/Time Subjects
HB 52 Sponsor Statement 4.21.21.pdf HFSH 4/29/2021 10:00:00 AM
HFSH 5/18/2021 10:00:00 AM
HB 52
HB 52 Version A 2.18.21.PDF HFSH 4/29/2021 10:00:00 AM
HFSH 5/6/2021 10:00:00 AM
HFSH 5/18/2021 10:00:00 AM
HB 52
HB 52 Fiscal Note - DNR-DPOR 4.28.21.pdf HFSH 4/29/2021 10:00:00 AM
HFSH 5/6/2021 10:00:00 AM
HFSH 5/18/2021 10:00:00 AM
HB 52
House Fisheries - Commercial Fishing Industry and COVID-19 Impact Update - UFA 4.29.21.pdf HFSH 4/29/2021 10:00:00 AM
Commercial Fishing
HB 52 CS Version B 4.28.21.pdf HFSH 4/29/2021 10:00:00 AM
HFSH 5/18/2021 10:00:00 AM
HB 52
HB 52 Tutka Bay Hatchery Exhibit A 4.29.21.pdf HFSH 4/29/2021 10:00:00 AM
HFSH 5/18/2021 10:00:00 AM
HB 52
HB 52 Tutka Bay Hatchery Historical Background 4.29.21.pdf HFSH 4/29/2021 10:00:00 AM
HFSH 5/6/2021 10:00:00 AM
HFSH 5/18/2021 10:00:00 AM
HRES 2/7/2022 1:00:00 PM
HB 52
HB 52 Tutka Hatchery Map 4.29.21.pdf HFSH 4/29/2021 10:00:00 AM
HFSH 5/18/2021 10:00:00 AM
HRES 2/7/2022 1:00:00 PM
HB 52
HB 52 Tutka Bay Hatchery & Land Parcel Maps.pdf HFSH 4/29/2021 10:00:00 AM
HFSH 5/6/2021 10:00:00 AM
HB 52
HB 52 Version I 4.29.21.pdf HFSH 4/29/2021 10:00:00 AM
HFSH 5/6/2021 10:00:00 AM
HFSH 5/18/2021 10:00:00 AM
HB 52