Legislature(2011 - 2012)CAPITOL 120

02/01/2011 05:00 PM House FISHERIES


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05:00:43 PM Start
05:01:18 PM Overview: Department of Fish & Game - Commercial Fisheries Division
05:37:43 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Overview: Dept. of Fish & Game TELECONFERENCED
Commercial Fisheries Division
                    ALASKA STATE LEGISLATURE                                                                                  
              HOUSE SPECIAL COMMITTEE ON FISHERIES                                                                            
                        February 1, 2011                                                                                        
                           5:00 p.m.                                                                                            
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Steve Thompson, Chair                                                                                            
Representative Craig Johnson, Vice Chair                                                                                        
Representative Alan Austerman                                                                                                   
Representative Bob Herron                                                                                                       
Representative Lance Pruitt                                                                                                     
Representative Bob Miller                                                                                                       
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Scott Kawasaki                                                                                                   
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
OVERVIEW:  DEPARTMENT OF FISH & GAME - DIVISION OF COMMERCIAL                                                                   
FISHERIES                                                                                                                       
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
SUE ASPELUND, Acting Director                                                                                                   
Division of Commercial Fisheries                                                                                                
Alaska Department of Fish and Game (ADF&G)                                                                                      
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Provided the overview of the Commercial                                                                  
Fisheries Division, for the Alaska Department of Fish and Game                                                                  
(ADF&G).                                                                                                                        
                                                                                                                                
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
5:00:43 PM                                                                                                                    
                                                                                                                                
CHAIR  STEVE  THOMPSON  called the  House  Special  Committee  on                                                             
Fisheries meeting to  order at 5:00 p.m.  Present  at the call to                                                               
order were  Representatives Thompson, Herron, Pruitt,  Miller and                                                               
Austerman.  Representative Johnson  arrived while the meeting was                                                               
in progress.                                                                                                                    
                                                                                                                                
^OVERVIEW:   DEPARTMENT  OF FISH  & GAME  - COMMERCIAL  FISHERIES                                                               
DIVISION                                                                                                                        
 OVERVIEW:  DEPARTMENT OF FISH & GAME - DIVISION OF COMMERCIAL                                                              
                           FISHERIES                                                                                        
                                                                                                                                
5:01:18 PM                                                                                                                    
                                                                                                                                
CHAIR THOMPSON  announced that the  only order of  business would                                                               
be an  overview of the  Division of Commercial Fisheries,  by the                                                               
Alaska Department of Fish and Game (ADF&G).                                                                                     
                                                                                                                                
5:02:00 PM                                                                                                                    
                                                                                                                                
SUE ASPELUND, Acting Director,  Division of Commercial Fisheries,                                                               
Alaska Department  of Fish and  Game (ADF&G), paraphrased  from a                                                               
written statement,  and projected a power  point/slide series, to                                                               
provide an overview  of the division, beginning  with the mission                                                               
statement.   The division's mission  is grounded in Article  8 of                                                               
the  Alaska State  constitution, as  well as  Title 16  of Alaska                                                               
statute,  subject   to  allocations   of  the  Alaska   Board  of                                                               
Fisheries.    She  said  read  the  mission  statement  [original                                                               
punctuation provided]:                                                                                                          
                                                                                                                                
     Manage,  protect,  rehabilitate, enhance,  and  develop                                                                    
     the  fisheries  and  aquatic  plant  resources  in  the                                                                    
     interest of the  economy and general well  being of the                                                                    
     state, consistent  with the sustained  yield pr8inciple                                                                    
     and subject  to allocations established  through public                                                                    
     regulatory processes.                                                                                                      
                                                                                                                                
MS.  ASPELUND   elaborated  that   the  Division   of  Commercial                                                               
Fisheries manages all commercial  fisheries in state waters, with                                                               
the   exception   of  halibut,   which   is   managed  under   an                                                               
international  treaty.   Specific  salmon runs  in the  Southeast                                                               
region and on  the Yukon River are also  subject to international                                                               
treaty. The  division also manages particular  species classified                                                               
as   federal  fisheries   under  delegation   from  the   federal                                                               
government.   She  said  these  are species  which  are found  in                                                               
waters  up to  300  miles off  Alaska's  shoreline, and  include:                                                               
scallops,  crab,  and  certain  groundfish.    In  addition,  the                                                               
division  manages  subsistence  fisheries  in  the  Arctic-Yukon-                                                               
Kuskokwim and  Southcentral Alaska, and subsistence  and personal                                                               
use  fisheries in  marine waters  in the  Southeast and  Westward                                                               
regions.  She recognized the  commercially important wild species                                                               
of fin  and shell  fish in  Alaska, which are:   five  species of                                                               
salmon, seven  species of crab,  four species of  shrimp, Walleye                                                               
pollock,  Pacific  halibut,   Pacific  cod,  Sablefish,  herring,                                                               
flatfish and rockfish, lingcod,  geoducks, sea cucumbers, and sea                                                               
urchins.    Additionally,  Alaska  based  aquatic  farms  produce                                                               
oysters, littleneck clams, and geoducks.                                                                                        
                                                                                                                                
5:03:50 PM                                                                                                                    
                                                                                                                                
MS. ASPELUND  elaborated on  four core  services provided  by the                                                               
division, which  are:  harvest  management - control  the harvest                                                               
of fishery  resources for  subsistence, commercial,  and personal                                                               
uses  according   to  plans  and  regulations,   and  subject  to                                                               
allocations  of the  Board of  Fisheries (BOF);  stock assessment                                                               
and  applied  research  -  maintain   ongoing  programs  for  the                                                               
enumeration,  assessment, and  understanding of  salmon, herring,                                                               
groundfish,  and  shellfish  stocks;  aquaculture  -  permit  and                                                               
provide regulatory,  technical, and planning services  to aquatic                                                               
farmers  and private  nonprofit  hatchery operators;  information                                                               
services  and   public  participation  -  develop   and  maintain                                                               
dissemination of data, analyses,  and publish reports.  Returning                                                               
to  the topic  of harvest  management, she  said that  four other                                                               
facets  of  this   service  include:    supporting   the  BOF  in                                                               
establishing  regulations  and   management  plans,  opening  and                                                               
closing  fishing  areas  and  setting  fishing  times,  colleting                                                               
harvest  and  biological  data,  and  writing  annual  management                                                               
reports  to  synthesize  information.     These  four  tasks  are                                                               
performed  specifically  to  keep the  division  consistent  with                                                               
department  regulations  5  AAC  39.220 and  5  AAC  39.223;  the                                                               
policies for  management of  sustainable fisheries  and statewide                                                               
escapement goals respectively.   Finally, she said the management                                                               
required is  extremely diverse, extending  from small  boat near-                                                               
shore fisheries to high seas locations.                                                                                         
                                                                                                                                
5:07:35 PM                                                                                                                    
                                                                                                                                
MS.  ASPELUND projected  a  series of  slides  to illustrate  how                                                               
stock assessment and applied research  is handled showing various                                                               
weir  settings,  tag  and  scale  sample  activities,  underwater                                                               
transects to estimate abundance  via dive surveys, aerial herring                                                               
spawn  estimations, intertidal  clam  assessments,  and crab  and                                                               
prawn pot sampling.  Pausing on  a slide of the Frazer River fish                                                               
pass, on  Kodiak Island, she  said it  is home to  a successfully                                                               
introduced sockeye  salmon run, supported in  a previously barren                                                               
lake  back in  the  1950's.   Since  the  mid  1980's, about  one                                                               
million  sockeye salmon  are harvested  from this  area annually.                                                               
Another  slide  of  note portrayed  the  Port  Moller  processing                                                               
plant, on  the north side  of the  Alaska Peninsula.   This plant                                                               
supports   a  test   fishing   operation   that  provides   entry                                                               
information on the sockeye salmon running into Bristol Bay.                                                                     
                                                                                                                                
5:10:14 PM                                                                                                                    
                                                                                                                                
MS.  ASPELUND   said  the  division   permits/provides  technical                                                               
assistance and oversight to  thirty-four private nonprofit salmon                                                               
hatcheries,   one  aquatic   shellfish  hatchery,   and  numerous                                                               
shellfish farms throughout the state.   Regarding the information                                                               
services and  public information that the  division provides, she                                                               
said  that this  function  is  a means  to  keep  the public  and                                                               
policymakers informed, as  well as to share findings  with a wide                                                               
range of scientists,  and staff biologists.   The department data                                                               
systems  provide   salmon  forecasts,  harvest   summaries,  fish                                                               
prices, exvessel  values, and wholesale  values.  To  a committee                                                               
member's  question,   she  explained  that  the   exvessel  value                                                               
pertains to  the initial sale price  attached to a product  as it                                                               
arrives from the harvest vessel.                                                                                                
                                                                                                                                
5:11:29 PM                                                                                                                    
                                                                                                                                
MS  ASPELUND,  continued,  stating  that  the  division  has  two                                                               
additional functions  that support the core  services: laboratory                                                               
support and data  processing.  The pathology, coded  wire tag and                                                               
otolith  aging, and  genetic  stock  identification labs  provide                                                               
critical information.   The data  processing aspect  is comprised                                                               
of  eight,  diverse,  primary  database   systems.    She  called                                                               
attention to  the innovative eLanding electronic  catch reporting                                                               
system,  to explain  how the  "share-matching" component  of this                                                               
database allows  the deliveries in the  rationalized crab program                                                               
individual  fishery quotas  (IFQs) to  be efficiently  matched to                                                               
available  processor-held   quotas.  This  represents   the  most                                                               
complex quota  program the division manages  and precise tracking                                                               
of accounts  is required.   The  successful eLanding  program has                                                               
been  expanded into  the groundfish  harvest, and  pilot programs                                                               
for  salmon  fisheries began  last  summer.   Expansion  of  this                                                               
program  will  result in  real-time  reporting  of harvest  data,                                                               
reduce  manual  fish  ticket  data   entry  and  improve  overall                                                               
efficiency.                                                                                                                     
                                                                                                                                
5:13:01 PM                                                                                                                    
                                                                                                                                
MS. ASPELUND  delineated the  regions that  the state  is divided                                                               
into to accomplish the management  tasks, which are:  Southeast -                                                               
Dixon  Entrance to  Yakutat, with  offices in  Juneau; Central  -                                                               
Prince William  Sound (PWS),  Cook Inlet,  and Bristol  Bay, with                                                               
offices  in  Anchorage;  Westward  -  Aleutian  Islands,  Kodiak,                                                               
Alaska Peninsula,  and the  Bering Sea,  with offices  in Kodiak;                                                               
and AYK:   Kuskokwim  and Yukon rivers,  and Norton  and Kotzebue                                                               
sounds,   with  offices   in  Anchorage.     The   department  is                                                               
headquartered in  Juneau.  She  then provided a breakdown  of the                                                               
767   positions,   as   well  as   the   offices   and   vessels,                                                               
employed/utilized  by   the  division.    These   include:    314                                                               
permanent, 450 seasonal, and 3  intern staff; 20 permanent and 84                                                               
seasonal offices/field camps; and 6  large research vessels.  She                                                               
explained  that  it is  through  these  means that  the  division                                                               
accomplishes  the   division's  goals,  comprised  of   four  top                                                               
priorities.   The  first is  to  maintain a  $1 billion  exvessel                                                               
value  for  commercial  harvests and  mariculture  production;  a                                                               
target that has been exceeded every  year since 2001.  The second                                                               
priority is to achieve escapement  goals for more than 80 percent                                                               
of  the monitored  stocks, but,  she  reported, this  has been  a                                                               
challenging  target   to  attain,   and  projected  a   slide  to                                                               
illustrate the four year period,  2006-09.  Although the division                                                               
has  exceeded the  measure for  coho and  pink salmon,  in recent                                                               
years, the goal has not  been achieved statewide for the sockeye,                                                               
chum,   and   Chinook   species.     The   department   uses   an                                                               
interdivisional approach  to developing scientifically-defensible                                                               
escapement goals  for roughly 290  salmon stocks statewide.   She                                                               
reported  that  it  is  well   known  that  Chinook  stocks  have                                                               
experienced declines throughout much  of the state.  Contributing                                                               
factors  may include  bycatch activities,  ocean conditions,  and                                                               
possibly climate change.  It  is interesting, she noted, that the                                                               
Chinook  decline is  not consistent  statewide, an  example being                                                               
Chignik where Chinook  escapement goals have been  met for thirty                                                               
years  running.    However, the  broad-scale  decline  points  to                                                               
issues  that   are  not  necessarily  stock   or  river-specific,                                                               
possibly reflecting  some larger  scale influences.   She offered                                                               
that the sockeye and chum  salmon runs are naturally variable and                                                               
show highly  inconsistent trends across  the state.   To mitigate                                                               
poor  runs,  managers  allow commercial  access  to  any  surplus                                                               
stocks,  and,  where  possible, monitored  escapement  activities                                                               
while fisheries  are being  processed and  prosecuted.   Based on                                                               
the  in-season run  projections, fishing  effort can  be adjusted                                                               
with openings  and closures  to ensure  that adequate  numbers of                                                               
fish are  reaching the  spawning grounds.   However, due  to data                                                               
gaps, many  of the goals become  post season report cards.   This                                                               
is due to  escapement projects being distant  from the fisheries,                                                               
or  the species  goal  in question  may  not be  a  target for  a                                                               
specific  fishery.   She explained  that when  this occurs  it is                                                               
referred to  as a mixed stock  fishery; a fishery comprised  of a                                                               
number of individual  runs.  To manage these  fisheries, she said                                                               
the  division  employs   additional  assessment  tools  including                                                               
abundance estimates, and stock  identification methods to measure                                                               
impacts  in real  time.   When  goals are  not met,  it does  not                                                               
necessarily constitute a threat  to sustainability.  However, she                                                               
cautioned, that a  chronic inability to achieve  goals does raise                                                               
concern; that  is not meeting goals  for four out of  five years.                                                               
When this  happens, in addition to  taking restrictive management                                                               
measures, the department recommends  "Stock of Concern" status to                                                               
the  BOF, and  implements  a series  of  corrective actions  that                                                               
include  more restrictive  management  measures, research  plans,                                                               
and habitat analysis.                                                                                                           
                                                                                                                                
5:17:55 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE AUSTERMAN  asked if there was  a particular region                                                               
that did not meet the goals in 2008-09.                                                                                         
                                                                                                                                
MS. ASPELUND responded  that AYK has not met fall  chum goals and                                                               
Chinook goals have been down throughout  the state.  To a follow-                                                               
up question she  said the major sockeye fisheries  have done well                                                               
and  offered  to  provide statewide  information  regarding  this                                                               
fishery. Ms. Aspelund  addressed the third target  area, which is                                                               
to develop baselines  of DNA-based markers for  100 Alaska salmon                                                               
stocks for sockeye,  chum, and Chinook salmon,  and reported that                                                               
this goal has been met or exceeded in all areas since 2008.                                                                     
                                                                                                                                
5:19:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE AUSTERMAN  asked how much of  the stock assessment                                                               
data reflects information for the Bering Sea.                                                                                   
                                                                                                                                
MS.  ASPELUND   answered  that  the  Western   Alaska  Stock  and                                                               
Identification  Program  (WASIP),  is  being  utilized  from  the                                                               
western Gulf  of Alaska, as far  north as the mouth  of the Yukon                                                               
River.   She said she  is not able to  speak to the  remainder of                                                               
the  gulf, but  offered that  the North  Pacific Council  is fast                                                               
tracking  an analysis  and  regulation package  in  an effort  to                                                               
reduce  the  large  Chinook  by-catch   occurring  in  the  gulf.                                                               
Included  in  that  effort  are DNA  studies  specific  to  state                                                               
waters.   To  a follow-up  question, she  said that  the baseline                                                               
projects  are being  accomplished and  suggested that  the person                                                               
responsible for  the project could  provide a progress  report to                                                               
the committee.   Ms. Aspelund continued to the  final target, for                                                               
missions and measures, which is  to ensure that all aquatic farms                                                               
operate with  current permits;  a goal  that is  being met.   She                                                               
presented  the FY12  budget  request,  which totals  $66,159,700;                                                               
65.4 percent  unrestricted general funds, 5.0  percent designated                                                               
general funds,  16.3 percent federal  funds, and 13  percent from                                                               
other  funding  sources.    She   called  attention  to  a  slide                                                               
illustrating  the  economic impact  of  the  seafood industry  on                                                               
Alaska's economy in 2007; the  most recent report available.  The                                                               
industry generated 78,519 jobs related  to seafood harvesting and                                                               
processing.   Alaskan residents  filled about  one half  of these                                                               
positions,  earning  approximately  $237 million,  from  a  total                                                               
direct labor  payout of $774.7  million.  Total product  sales of                                                               
$3.6  billion,  represented  more revenue  contributions  to  the                                                               
state general  fund than  any other industry,  save oil  and gas.                                                               
She continued,  stating that in  2008, according to  the National                                                               
Marine  Fisheries  Service's  commercial landing  report,  Alaska                                                               
upheld  its position  as  the  top ranked  fishing  state in  the                                                               
nation; harvesting more than 54 percent  of the fish taken in the                                                               
U.S, up  32 percent from 2007,  and accounting for 39  percent of                                                               
the total U.S. exvessel value.   She presented a graph indicating                                                               
the exvessel  value for commercial  fisheries from 1977  to 2010.                                                               
Exvessel value  refers to  the postseason  adjusted value  at the                                                               
point  of  the  first  purchase  of  the  harvest  of  commercial                                                               
fishermen; the  amount received by  fishermen when  selling their                                                               
catch to processors.  The  exvessel value of salmon has increased                                                               
in  recent years,  while  groundfish value  has  decreased.   The                                                               
preliminary  exvessel value  of the  salmon fishery  in 2010  was                                                               
over $533  million.   In addition  to the  economic value  of the                                                               
state  fisheries,  the  value to  subsistence  and  personal  use                                                               
harvesters  is inestimable,  she opined,  in both  cultural terms                                                               
and in food replacement costs.                                                                                                  
                                                                                                                                
5:25:16 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRUITT noted  the employment  of non-Alaskans  to                                                               
fill  more  than  half  of  the jobs  generated  in  the  fishing                                                               
industry, and asked for an explanation.                                                                                         
                                                                                                                                
MS. ASPELUND  responded that there  are a number  of non-resident                                                               
fishermen  harvesting  Alaskan  products,   and  added  that  the                                                               
processing  sector hires  many non-residents  and aliens  to fill                                                               
the seasonal positions.                                                                                                         
                                                                                                                                
5:26:36 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   MILLER    inquired   whether    the   escapement                                                               
determinations made  by the Division of  Commercial Fisheries are                                                               
used for the management of the other fishery divisions.                                                                         
                                                                                                                                
MS.  ASPELUND  responded   no.    She  clarified   that  the  BOF                                                               
establishes  fishery  allocations  and  the  divisions  of  ADF&G                                                               
implement those  allocations.  The  divisions may  collaborate on                                                               
research findings and share management information.                                                                             
                                                                                                                                
REPRESENTATIVE  MILLER   commented  that   the  efforts   may  be                                                               
redundant, and asked whether management  conflicts occur in areas                                                               
of overlap, such as during escapement counts.                                                                                   
                                                                                                                                
MS. ASPELUND  explained how the  divisions work together  to come                                                               
to  agreement in  areas of  shared  management.   To a  follow-up                                                               
question, she  described how the  BOF provides directives  to the                                                               
divisions.                                                                                                                      
                                                                                                                                
REPRESENTATIVE  MILLER  returned  to the  topic  of  non-resident                                                               
employees  and  commented that  it  would  be  good to  see  more                                                               
Alaskans being employed.                                                                                                        
                                                                                                                                
MS. ASPELUND said that the  Department of Labor (DOL) provides an                                                               
economic trend  report, which would  be of interest  to committee                                                               
members.                                                                                                                        
                                                                                                                                
5:32:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE AUSTERMAN concurred that  the recent DOL report is                                                               
available,  which  provides  hiring   statistics.    Further,  he                                                               
relayed  that, historically,  the commercial  fisheries and  fish                                                               
processing  industries  have   employed  non-resident  and  alien                                                               
workers  to fill  the approximate  30,000  seasonal positions;  a                                                               
practice  that  also occurs  in  the  seasonal tourism  industry.                                                               
Additionally,  he   said  the  escapement  goal   modeling  is  a                                                               
difficult picture  to follow and  opined that every  major stream                                                               
should be  counted to establish  better base numbers.   Providing                                                               
the  effort to  establish  these counts  would  require a  budget                                                               
request,  something which  he recalled  having  suggested to  the                                                               
department in recent years.  He  asked whether this will be taken                                                               
up by the division in the current fiscal year.                                                                                  
                                                                                                                                
MS. ASPELUND said the information will be made available.                                                                       
                                                                                                                                
5:37:43 PM                                                                                                                    
                                                                                                                                
CHAIR THOMPSON announced the up-coming meeting.                                                                                 
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Special  Committee on  Fisheries  meeting was  adjourned at  5:37                                                               
p.m.