Legislature(2023 - 2024)GRUENBERG 120
04/23/2024 10:00 AM House FISHERIES
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| Audio | Topic |
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| Start | |
| HR8 | |
| SCR10 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | SCR 10 | TELECONFERENCED | |
| *+ | HR 8 | TELECONFERENCED | |
| + | TELECONFERENCED |
ALASKA STATE LEGISLATURE
HOUSE SPECIAL COMMITTEE ON FISHERIES
April 23, 2024
10:04 a.m.
MEMBERS PRESENT
Representative Sarah Vance, Chair
Representative Kevin McCabe
Representative CJ McCormick
Representative Ben Carpenter
Representative Craig Johnson
Representative Louise Stutes
Representative Rebecca Himschoot
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
HOUSE RESOLUTION NO. 8
Encouraging the Department of Fish and Game to adopt certain
regulations relating to fisheries bycatch.
- HEARD & HELD
CS FOR SENATE CONCURRENT RESOLUTION NO. 10(FIN) AM
Establishing the Joint Legislative Seafood Industry Task Force.
- HEARD & HELD
PREVIOUS COMMITTEE ACTION
BILL: HR 8
SHORT TITLE: FISHERIES BYCATCH REGULATIONS
SPONSOR(s): REPRESENTATIVE(s) VANCE
04/20/23 (H) READ THE FIRST TIME - REFERRALS
04/20/23 (H) FSH, RES
04/25/23 (H) FSH AT 10:00 AM GRUENBERG 120
04/25/23 (H) -- MEETING CANCELED --
04/27/23 (H) FSH AT 10:00 AM GRUENBERG 120
04/27/23 (H) <Bill Hearing Canceled>
04/23/24 (H) FSH AT 10:00 AM GRUENBERG 120
BILL: SCR 10
SHORT TITLE: JOINT LEGIS SEAFOOD INDUSTRY TASK FORCE
SPONSOR(s): FINANCE
03/01/24 (S) READ THE FIRST TIME - REFERRALS
03/01/24 (S) FIN
03/07/24 (S) FIN AT 9:00 AM SENATE FINANCE 532
03/07/24 (S) Heard & Held
03/07/24 (S) MINUTE(FIN)
03/21/24 (S) FIN AT 9:00 AM SENATE FINANCE 532
03/21/24 (S) Heard & Held
03/21/24 (S) MINUTE(FIN)
04/17/24 (S) FIN AT 9:00 AM SENATE FINANCE 532
04/17/24 (S) Moved CSSCR 10(FIN) Out of Committee
04/17/24 (S) MINUTE(FIN)
04/19/24 (S) FIN RPT CS 5DP SAME TITLE
04/19/24 (S) DP: STEDMAN, WILSON, KIEHL, MERRICK,
BISHOP
04/19/24 (S) TRANSMITTED TO (H)
04/19/24 (S) VERSION: CSSCR 10(FIN) AM
04/22/24 (H) READ THE FIRST TIME - REFERRALS
04/22/24 (H) FSH
04/23/24 (H) FSH AT 10:00 AM GRUENBERG 120
WITNESS REGISTER
JAKE ALMEIDA, Staff
Representative Sarah Vance
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Introduced HR 8, on behalf of
Representative Vance, prime sponsor.
BRIAN GABRIEL, Mayor
City of Kenai
Kenai, Alaska
POSITION STATEMENT: Reviewed a report on the findings of the
Bycatch Advisory Council during the hearing on HR 8.
SENATOR GARY STEVENS
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: As the prime sponsor, introduced CSSCR
10(FIN) AM.
TIM LAMKIN, Staff
Senator Gary Stevens
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: On behalf of Senator Stevens, prime
sponsor, explained CSSCR 10(FIN) AM and answered questions.
GREG SMITH, Communications Director
Alaska Seafood Marketing Institute
Juneau, Alaska
POSITION STATEMENT: Provided invited testimony on CSSCR 10(FIN)
AM.
TRACY WELCH, Executive Director, Lobbyist
United Fisherman of Alaska
Petersburg, Alaska
POSITION STATEMENT: Provided invited testimony on CSSCR 10(FIN)
AM.
JULIE DECKER, President
Pacific Seafood Processors Association
Wrangell, Alaska
POSITION STATEMENT: Provided invited testimony on CSSCR 10(FIN)
AM.
BRIAN O'LEARY, Chief Operating Officer
OBI Seafoods
Seattle, Washington
POSITION STATEMENT: Provided invited testimony on CSSCR 10(FIN)
AM.
ACTION NARRATIVE
10:04:01 AM
CHAIR SARAH VANCE called the House Special Committee on
Fisheries meeting to order at 10:04 a.m. Representatives
McCabe, McCormick, Himschoot, and Vance were present at the call
to order. Representatives C. Johnson, Stutes, and Carpenter
arrived as the meeting was in progress.
HR 8-FISHERIES BYCATCH REGULATIONS
10:04:46 AM
CHAIR VANCE announced that the first order of business would be
HOUSE RESOLUTION NO. 8, Encouraging the Department of Fish and
Game to adopt certain regulations relating to fisheries bycatch.
10:05:06 AM
JAKE ALMEIDA, Staff, Representative Sarah Vance, Alaska State
Legislature, introduced HB 8, on behalf of the prime sponsor,
Representative Vance. He paraphrased from the sponsor statement
[copy included in the committee packet], which read as follows
[original punctuation provided]:
House Resolution 8 encourages the Department of Fish
and Game, through the department's regulatory
authority and through the commissioner's seat on the
North Pacific Fishery Management Council (NPFMC) to
support actions and regulatory changes on both the
state and federal levels to reduce bycatch.
Alaska's rich marine resources support thriving
fisheries managed by the NPFMC under the Magnuson-
Stevens Fishery Conservation and Management Act.
However, alongside the targeted harvest of seafood,
these fisheries inevitably result in bycatch fish
caught incidentally and often discarded due to
regulatory constraints or unsuitability for commercial
use.
Bycatch poses significant challenges to the health and
sustainability of marine ecosystems, as well as to the
economic viability of fishing operations and
ultimately Alaskans' way of life. Current regulations
allow for the annual discard of tens of millions of
pounds of fish in the Bering Sea and Gulf of Alaska
waters, representing a substantial loss of potential
food resources and economic value. Moreover, this
resolution acknowledges the recommendations of the
Alaska Bycatch Review Task Force (ABRT) and the
Bycatch Advisory Council which emphasized the
importance of incremental regulatory changes to
improve bycatch reduction, particularly for species
caught with non-targeted gear or discarded due to
regulatory requirements.
In essence, HR 8 represents a proactive step towards
more sustainable fishing practices in Alaska's federal
fisheries by emphasizing the need to reduce bycatch.
It underscores the importance of balancing economic
interests with environmental conservation to achieve a
more resilient and prosperous future for Alaska's
fisheries and way of life.
10:07:37 AM
MR. ALMEIDA stated that the draft of the proposed resolution
before the committee focuses on the utilization of bycatch;
however, in reaction to public comment, the sponsor has changed
the focus to reducing bycatch. He pointed out the decline in
the state's fisheries resource and that Alaskans need solutions.
He pointed out this could be done by utilizing bycatch or by
furthering regulatory restraints, but he argued that all bycatch
is wanton waste and needs to be reduced as soon as possible. He
stated that the Bycatch Advisory Council held a meeting last
week and adopted findings based on the utilization of bycatch.
He stated that Brian Gabriel would speak to these findings.
10:10:33 AM
BRIAN GABRIEL, Mayor, City of Kenai, gave invited testimony on
HB 8. He stated that he held a seat on the Alaska Bycatch
Review Task Force, which finished its work in November 2022. He
explained that in March 2023, the Alaska Bycatch Advisory
Council was created with the purpose to advise the Alaska
Department of Fish and Game (ADF&G) on ways to implement the
recommendations from the final report of the task force. He
stated that a Bycatch Utilization Subcommittee was created to
report on this issue. He stated that he served as the chair of
the subcommittee.
MR. GABRIEL addressed the recommendations from the report,
titled "Bycatch Utilization Subcommittee Report to Bycatch
Advisory Council," [copy included in the committee packet]. He
stated that the purpose of the subcommittee was to identify
issues that would need to be addressed when considering
utilization of bycatch. He defined "bycatch" as fish that are
harvested in a fishery but are not sold or kept. He stated that
the subcommittee had met four times, taking public testimony
each time. He discussed the presentations given to the
subcommittee, of which SeaShare's model was the most relevant
for bycatch utilization. He explained that SeaShare is a
federally permitted, prohibited species donation program.
MR. GABRIEL stated that the subcommittee's focus was on paring
down the information, as bycatch is present in every fishery.
He stated that the focus was on the high value bycatch, such as
salmon, halibut, and crab, and the subcommittee chose halibut
bycatch in the Gulf of Alaska as its starting point.
MR. GABRIEL, in paring down the topic, stated that the
subcommittee chose the following categories as a focus:
regulatory, economic, logistical, and political. He stated that
the report did not produce a "revelation;" rather it created a
roadmap of areas that need to be addressed in utilizing bycatch.
MR. GABRIEL stated that because the fisheries are both federally
and state managed, regulatory change would need to be addressed,
which would include the International Pacific Halibut
Commission. He moved to the issue of economic factors, stating
that there would need to be a plan on how the proceeds would be
utilized and how bycatch would be marketed, which would involve
processors.
10:17:26 AM
MR. GABRIEL warned that on the regulatory side, bycatch
retention could cause a higher mortality rate to endangered
species. On the economic side, he discussed how retention would
affect processors who are only set up for processing targeted
species, as the retention of bycatch could cause processing
concerns. He noted that retaining undersized fish could create
a negative market effect for that species. He pointed out that
per the regulation side, subsidies may need to be implemented to
facilitate utilization.
MR. GABRIEL, per the harvest side, discussed the gear, deck
space, and storage space issues for fishermen on the grounds.
He reiterated that small fish could negatively affect marketing,
as this would be seen as poor quality. He noted the struggle
the seafood market is currently having, and he offered the
advice that utilization requirements could be an issue.
MR. GABRIEL, per the logistical side, discussed the
transportation challenges, noting that SeaShare is heavily
subsidized. On the political side, he offered the advice that
there could be public resistance to requirements of retention
and utilization before further reduction measures are
implemented. He also noted that there could be concerns about
incentivizing or institutionalizing bycatch. He stated that
this theme was heard during the public comment period. Another
common point made during the public comment period was that
bycatch should be minimized before any program on utilization
moves forward. He observed that because all fisheries have
bycatch, there could be different strategies for each fishery.
MR. GABRIEL discussed the conclusion of the report, which
included that a mandatory rather than a voluntary program would
need to have a full economic analysis. The analysis would
address the issues discussed, along with other issues which
might be identified. He stated that there was no final
recommendation, as the discussion is very complicated,
particularly when noting all the species that pertain to bycatch
and how each one would need to be dealt with differently.
10:23:48 AM
REPRESENTATIVE HIMSCHOOT expressed excitement about the advisory
council. She questioned whether the subcommittee was able to
investigate international strategies for bycatch.
MR. GABRIEL stated that there had been some discussion on
Iceland, but no specific reports were provided.
CHAIR VANCE noted that the 2022 Alaska Bycatch Review Task
Force's report is in the committee packet. She commented that
the report is robust and expressed appreciation for the original
intent of reducing wanton waste. She questioned whether the
complicated nature of bycatch was the main take away for the
subcommittee.
MR. GABRIEL responded that this was the main takeaway, as there
are many moving parts. He offered the advice that throughout
the entire process, every element would need to be considered.
10:26:10 AM
CHAIR VANCE referenced his participation on the task force and
questioned some of the other considerations by the council.
MR. GABRIEL recommended referencing the website, as it would
take time to review it all now. He pointed out that the website
lists recommendations and categories, showing the progress on
each recommendation. He noted that the recommendations are
easily understandable. He expressed gratitude that the task
force's recommendations did not "just go on a shelf."
CHAIR VANCE reiterated that the report is robust, and the
advisory council is looking at implementation of the
recommendations.
10:28:42 AM
CHAIR VANCE sought to give full transparency on the intention of
the proposed legislation. She discussed the desire to make fish
waste beneficial to Alaskans; however, she stated that this
would be complicated to do. She expressed the intention to
remove the utilization parts of the resolution. She requested
that members provide amendments that would encourage the
commissioner of ADF&G to implement regulations on the avoidance
and reduction of bycatch. She encouraged interaction with
stakeholders and expressed the importance of every voice being
heard.
10:30:40 AM
CHAIR VANCE announced that HR 8 was held over.
10:31:07 AM
The committee took an at-ease from 10:31 a.m. to 10:35 a.m.
SCR 10-JOINT LEGIS SEAFOOD INDUSTRY TASK FORCE
10:35:52 AM
CHAIR VANCE announced that the final order of business would be
CS FOR SENATE CONCURRENT RESOLUTION NO. 10(FIN) AM, Establishing
the Joint Legislative Seafood Industry Task Force.
SENATOR GARY STEVENS, Alaska State Legislature, as the prime
sponsor, introduced CSSCR 10(FIN) AM. He pointed out that the
Seafood Industry Task Force would be created by the proposed
legislation. He discussed the background idea for this, which
came from the success of the Salmon Industry Task Force. He
pointed out that he was a member of this task force, which was
created in 2002. The Salmon Industry Task Force had addressed
how to raise the quality of salmon. For example, fishermen had
been helped with engine replacements and ice machine
installations.
SENATOR STEVENS stated that the proposed legislation would be an
effort to explore ways that the state could help the seafood
industry recover from "a terrible tailspin." He pointed out
that the seafood industry is the largest manufacturing sector in
the state, employing around 48,000 workers. He added that it is
also one of the largest sources of municipal revenue in 11
communities throughout the state. He remarked on several of the
economic and market headwinds, including depressed consumer
demand, a weakened U.S. currency, and international
overharvesting. To help turn the seafood industry around, he
said that the proposed task force would be an attempt to find
solutions at a state level, federal level, and in global
markets. He stated that the goal would be to have specific
bills for introduction by the beginning of next session.
10:39:41 AM
TIM LAMKIN, Staff, Senator Gary Stevens, Alaska State
Legislature, on behalf of Senator Stevens, prime sponsor,
addressed CSSCR 10(FIN) AM. He stated that the proposed
resolution is an effort to put specifics on the table for the
task force to evaluate. He expressed the understanding that the
seafood industry is complex, with many moving parts. He
suggested that the task force would discuss many different
ideas. He noted that the proposed legislation was drafted
broadly so the task force would be represented by many different
stakeholders in the industry.
10:40:57 AM
REPRESENTATIVE CARPENTER, concerning the makeup of the task
force, expressed the understanding that there would be three
members from the seafood-processing sector and three harvesters.
He questioned whether a representative could be both a processor
and a harvester.
SENATOR STEVENS expressed agreement that this is possible. He
expressed the desire to have every aspect of the seafood
industry represented on the task force.
10:41:59 AM
REPRESENTATIVE HIMSCHOOT expressed the concern that the task
force would have six months to do the work; however, this
timeframe would be during prime fishing season. She questioned
whether a delineated structure could apply. She recommended
that anyone from the commercial sector, who felt he/she could do
the work, should be able to apply.
SENATOR STEVENS expressed acceptance to any ideas presented,
suggesting that the job would be done no matter who is at the
table. He added that this job would be ongoing through the
winter as well, as there should be some legislation to consider
by the beginning of next session.
10:43:21 AM
REPRESENTATIVE MCCABE suggested that the report be sent directly
to the U.S. trade ambassador or trade delegation, so this can be
included in the delegation's report. He expressed the
understanding that currently this report does not mention the
Alaska seafood industry.
SENATOR STEVENS concurred that the trade delegation needs to
know what is happening in Alaska.
10:45:51 AM
GREG SMITH, Communications Director, Alaska Seafood Marketing
Institute, provided invited testimony on CSSCR 10(FIN) AM. He
stated that while the seafood industry is used to having ebbs
and flows, the current situation is unprecedented. He added
that all species are under market pressure. He pointed out that
one of the reasons for this is the large size of the Russian
harvest combined with the lower value of Russia's currency. He
stated the list of economic challenges continues, with a
multitude of geopolitical obstacles that are effecting trade.
He addressed inflation, high interest rates, and the growth of
fixed expenses. He expressed the opinion that the industry is
resilient, but it is at a crossroads, and it needs a way of
vetting better ideas, with better courses of action. He
expressed support for the proposed legislation as a way to
investigate and collaborate with key stakeholders regarding new
opportunities for the long-term economic health of the seafood
industry in Alaska.
10:48:52 AM
TRACY WELCH, Executive Director, Lobbyist, United Fisherman of
Alaska (UFA), provided invited testimony on CSSCR 10(FIN) AM.
She stated that UFA is a statewide fishing trade association,
and it represents 36 different member groups participating in
state and federal fisheries. On behalf of UFA, she expressed
strong support for the proposed legislation. She commented on
the unprecedented challenges the state's seafood industry is
facing across the entire state. She stated that fishermen,
processors, workers, and communities are facing extremely low
prices, which is resulting in plant closures, lost markets,
barriers to business, and forgone fishing opportunities. This
in turn is effecting state and local tax revenues. She
estimated that the loss to the state's economy in 2023 was over
$2 billion. She expressed the opinion that the task force would
be an important mechanism for the industry and policy makers to
provide recommendations on legislative and administrative
actions. She stated that this should not just be an immediate
action, but a long-term vision for the industry.
10:51:40 AM
JULIE DECKER, President, Pacific Seafood Processors Association,
provided invited testimony on CSSCR 10(FIN) AM. She shared her
history in the seafood industry. On behalf of the Pacific
Seafood Processors Association, she expressed support for the
proposed legislation. She stated that the association
represents 11 major seafood processing companies, operating over
30 facilities in over 20 communities in Alaska. She summarized
that these companies buy millions of pounds of seafood from
fishermen in the state and send it to markets around the world.
She maintained that these companies are invested in the state
for the long term.
MS. DECKER noted that the Alaska seafood industry has not seen a
collapse such as this since the 1990s; however, this time the
collapse is across multiple species. She explained that in 2023
multiple economic and geopolitical factors occurred
simultaneously to create the environment today, with the
downturn still occurring. She mentioned the seafood processors
who do not expect to open in 2024, which will leave some
communities without markets and tax revenue. She stated that
there are systemic challenges to competitiveness and fairness
globally. She stated that the association has been advocating
for several state and federal actions; however, she suggested
that the challenges are larger than any one sector of the
industry or region in the state, and this downturn will affect
coastal communities and state revenue. She suggested that in
creating the task force, various stakeholders will be brought
together to focus on the economic challenges in the seafood
industry.
10:55:16 AM
BRIAN O'LEARY, Chief Operating Officer, OBI Seafoods, provided
invited testimony on CSSCR 10(FIN) AM. He shared his background
in the fishing industry in Alaska. He addressed the
unprecedented seafood market dislocation, with multiple seafood
species being affected simultaneously. On behalf of OBI, he
expressed support for the proposed legislation. He noted
coastal Alaska's heavy economic reliance on the seafood industry
and the state's fisheries. He expressed the opinion that the
dialogue created by the task force would help stabilize the
seafood industry. He discussed the success of the previous task
force created [in 2002] for the fishing industry in the state.
He remarked that Alaskans are resilient in tough conditions,
expressing the opinion that the state will find a way forward.
10:57:11 AM
CHAIR VANCE questioned Mr. Lamkin on the timeline for the
appointments to the task force. She questioned the anticipated
date the task force would begin its work.
MR. LAMKIN expressed the expectation that, with passage of the
resolution, work could begin as soon as May. Between this time
and May, he expressed the hope that interested stakeholders
would come forward, so the appointment process could begin even
before passage. He stated that the first organizational meeting
could be as soon as late May in Anchorage, followed by virtual
meetings throughout the interim. He noted that this was written
to keep the cost down. He stated that the plan is for a final
meeting in January to review the recommendations.
10:59:04 AM
REPRESENTATIVE CARPENTER referenced the representation of
coastal communities. He questioned which entities this refers
to, such as municipalities or Tribes.
MR. LAMKIN answered that it is open to either, as the intent
would be to keep it general, and this could include Western
Alaska quota holders, mayors, city councils, and others in rural
areas.
10:59:51 AM
CHAIR VANCE pointed to page 2, line 20, of CSSCR 10(FIN) AM,
which referenced ways to improve the coordination of harvesting,
processing, and marketing seafood. She questioned the intent
behind this.
MR. LAMKIN explained that this language was drafted and modeled
after the legislation passed in 2002, and this was duplicated
from that effort.
CHAIR VANCE expressed the idea that there should be more
communication between harvesters and processors. She referenced
the "outcry and confusion" around the price of fish in 2023.
She expressed the understanding that many fishermen felt that
they were not communicated with clearly. She stated that
expectations should be better communicated, along with the
anticipation of harvest goals. She pointed out that many
fishermen went into debt because they did not know how bad the
market was. She expressed the hope that the task force could
address this. She explained that if entities feel they are
partners in the global market, they will work harder to improve
the quality of fish. In this way fishermen may feel they will
be taken care of with the price of the fish, and their
confidence would be regained.
11:03:08 AM
CHAIR VANCE announced that CSSCR 10(FIN) AM was held over.
11:03:48 AM
ADJOURNMENT
There being no further business before the committee, the House
Special Committee on Fisheries meeting was adjourned at 11:04
a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HR 8 - Sponsor Statement.pdf |
HFSH 4/23/2024 10:00:00 AM |
HR 8 |
| HR 8 - v.A.pdf |
HFSH 4/23/2024 10:00:00 AM |
HR 8 |
| HR 8 - Supporting Document - Bycatch Utilization Subcommittee Report (04-16-24).pdf |
HFSH 4/23/2024 10:00:00 AM |
HR 8 |
| CSSCR 10 - Sponsor Statement.pdf |
HFSH 4/23/2024 10:00:00 AM |
SSCR10 |
| CSSCR 10 - version S.A.pdf |
HFSH 4/23/2024 10:00:00 AM |
SSCR10 |
| CSSCR10 - Summary of Changes S to S.A - 4.22.24.pdf |
HFSH 4/23/2024 10:00:00 AM |
SSCR10 |
| CSSCR 10 - Support Letter PSPA 3.25.24.pdf |
HFSH 4/23/2024 10:00:00 AM |
SSCR10 |
| CSSCR 10 - Fiscal Note LAA 4.19.24.pdf |
HFSH 4/23/2024 10:00:00 AM |
SSCR10 |