Legislature(2015 - 2016)BUTROVICH 205

02/11/2015 03:30 PM Senate RESOURCES

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03:30:18 PM Start
03:30:58 PM Alaska Department of Fish and Game (adf&g) Overview
05:00:47 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Overview: Department of Fish and Game TELECONFERENCED
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+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
              SENATE RESOURCES STANDING COMMITTEE                                                                             
                       February 11, 2015                                                                                        
                           3:30 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Cathy Giessel, Chair                                                                                                    
Senator Mia Costello, Vice Chair                                                                                                
Senator John Coghill                                                                                                            
Senator Peter Micciche                                                                                                          
Senator Bert Stedman                                                                                                            
Senator Bill Stoltze                                                                                                            
Senator Bill Wielechowski                                                                                                       
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
OVERVIEW: ALASKA DEPARTMENT OF FISH AND GAME (ADF&G)                                                                            
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
SAM COTTEN, COMMISSIONER DESIGNEE                                                                                               
Alaska Department of Fish and Game (ADF&G)                                                                                      
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Presented overview of ADF&G.                                                                              
                                                                                                                                
TOM BROOKOVER, Acting Director                                                                                                  
Division of Sport Fish                                                                                                          
Alaska Department of Fish and Game (ADF&G)                                                                                      
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Related the license modernization effort                                                                  
taking place in his division.                                                                                                   
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:30:18 PM                                                                                                                    
CHAIR  CATHY   GIESSEL  called  the  Senate   Resources  Standing                                                             
Committee meeting  to order at 3:30  p.m. Present at the  call to                                                               
order  were Senators  Costello,  Wielechowski, Stedman,  Coghill,                                                               
Stoltze, and Chair Giessel.                                                                                                     
                                                                                                                                
^Alaska Department of Fish and Game (ADF&G) Overview                                                                            
      Alaska Department of Fish and Game (ADF&G) Overview                                                                   
                                                                                                                              
3:30:58 PM                                                                                                                    
CHAIR GIESSEL announced  an overview of the  Alaska Department of                                                               
Fish  and Game  (ADF&G) and  invited Commissioner  Cotten to  the                                                               
table.                                                                                                                          
                                                                                                                                
SAM COTTEN, Commissioner Designee,  Alaska Department of Fish and                                                               
Game  (ADF&G), Juneau,  Alaska,  said one  the department's  core                                                               
services is  managing the resources.  It measures its  success by                                                               
level  of  commercial  harvest, habitat  permits  issued,  angler                                                               
days, and  user harvest. It  participates in federal  issues that                                                               
affect the state.  The more information they have  the better job                                                               
they can do of managing the resources.                                                                                          
                                                                                                                                
He said  the department  provides another  core service  of stock                                                               
assessment  and  research  for meeting  escapement  goals,  which                                                               
addresses the  sustained yield requirements of  the constitution:                                                               
meeting  or   exceeding  threshold   harvest  or   catch  levels,                                                               
performing   wildlife  surveys   and   research  and   performing                                                               
subsistence surveys  and research to help  ensure sustainable and                                                               
harvestable surpluses.                                                                                                          
                                                                                                                                
Their customer  service and public involvement  are core services                                                               
that include  program development  to improve angling  skills and                                                               
to learn about wildlife and  wildlife management, selling hunting                                                               
and fishing  licenses and  providing a  lot of  information about                                                               
hunting permit  drawings. A lot  of their public  involvement has                                                               
to do  with the boards  and advisory committees where  the public                                                               
has good opportunity to participate  in the regulatory process as                                                               
well as the advisory committee process.                                                                                         
                                                                                                                                
3:34:20 PM                                                                                                                    
CHAIR GIESSEL asked if the boards are self-supporting.                                                                          
                                                                                                                                
COMMISSIONER COTTEN  answered that  the department  provides some                                                               
funding for  the advisory committees  and that the  board support                                                               
section of  the budget has to  do with funding the  board's needs                                                               
to  travel,  rent hotels,  and  hold  meetings. Funding  was  not                                                               
reduced in this budget round, but  it was reduced in the past two                                                               
budgets. It  was felt that  reducing it more would  too seriously                                                               
affect the public's ability to participate.                                                                                     
                                                                                                                                
CHAIR GIESSEL  asked if fishing  permits and licenses  don't even                                                               
come  close  to paying  for  the  Board  of Fisheries  (BOF),  do                                                               
hunting license fees cover the Board of Game.                                                                                   
                                                                                                                                
COMMISSIONER  COTTEN replied  that the  money the  state receives                                                               
from fishing  and hunting  licenses goes into  the Fish  and Game                                                               
Fund and those  funds have to be used for  either the Division of                                                               
Wildlife  or   the  Division  of  Sport   Fish.  Those  divisions                                                               
supplement the board support requirements in the budget.                                                                        
                                                                                                                                
3:35:47 PM                                                                                                                    
He  showed a  map of  Alaska with  their offices,  but it  didn't                                                               
include  a  lot of  the  field  offices  that are  seasonal,  for                                                               
instance for the  weir and camp on the Deshka  River. Hundreds of                                                               
temporary people help with management activities like that.                                                                     
                                                                                                                                
3:35:55 PM                                                                                                                    
SENATOR MICCICHE joined the committee.                                                                                          
                                                                                                                                
3:36:18 PM                                                                                                                    
COMMISSIONER   COTTEN  said   the  commissioner   delegates  some                                                               
activities to  the Deputy Commissioner;  for example  the Pacific                                                               
Salmon  Commission that  is a  treaty  organization with  Canada,                                                               
Washington and representatives of the Washington Tribes.                                                                        
                                                                                                                                
Another very  important extra responsibility is  participation in                                                               
the North Pacific Fisheries Management  Council (NPFMC), which is                                                               
what he has done for several  years, but now, as commissioner, he                                                               
will lead  the state  delegation on  that council.  It is  an 11-                                                               
member council  that is one  of several regional  councils around                                                               
the country that  were established when the  Magnuson Stevens Act                                                               
provided for extended jurisdiction up  to 200 miles. The regional                                                               
council does  the regulatory  work for  the federal  waters. This                                                               
includes codfish, pollock (the biggest  biomass that is harvested                                                               
in  the Bering  Sea), and  dozens of  other species.  The halibut                                                               
responsibilities  are shared  between the  U.S. and  Canada in  a                                                               
Treaty organization, although  the NPFMC and the  State of Alaska                                                               
do some  things with  halibut, too. The  State of  Alaska manages                                                               
crab under a federal plan in a combination of efforts.                                                                          
                                                                                                                                
3:38:54 PM                                                                                                                    
The department has fishery management  plans that regulate things                                                               
like bycatch levels. For example,  in the Bering Sea, the state's                                                               
effort  has been  to  reduce  the bycatch  allowed  by the  trawl                                                               
fleets,  because the  halibut stocks  are  so far  down that  the                                                               
directed fisheries  - for  example, in  St. Paul  - were  down to                                                               
almost  nothing. They  did  the same  thing  with Chinook  salmon                                                               
bycatch limits in the Bering Sea.                                                                                               
                                                                                                                                
3:39:29 PM                                                                                                                    
COMMISSIONER  COTTEN said  the Division  of Commercial  Fisheries                                                               
manages all  commercial, personal  use and  subsistence fisheries                                                               
in state  waters and some  shell fish fisheries  under delegation                                                               
from the  federal government. They  do research, plan  and permit                                                               
salmon  hatcheries and  mariculture operations  like oysters  and                                                               
mussels and  negotiate fishing agreements subject  to the Pacific                                                               
Salmon  Treaty and  the Alaska/Yukon  Treaty (requires  a certain                                                               
number of  Chinook salmon to make  it across the border  into the                                                               
Yukon). They  participate in  the Board  of Fisheries  process of                                                               
which the commissioner is the  ex-officio secretary, a non-voting                                                               
member. The department  always has a presence at  the meetings in                                                               
support of the boards.                                                                                                          
                                                                                                                                
3:40:41 PM                                                                                                                    
SENATOR  STOLTZE said  the FY16  proposed Division  of Commercial                                                               
Fish budget  is a little  over $71.1  million and of  that, $51.7                                                               
million is from unrestricted general  funds and incoming revenues                                                               
are  projected to  be  $24.7 million  (according  to the  Revenue                                                               
Sources Book) and asked what  his long-term goals were for having                                                               
the  largest  private  sector  employer  pay  for  all  of  their                                                               
operations.                                                                                                                     
                                                                                                                                
COMMISSIONER COTTEN answered that the  long term goal is, if it's                                                               
possible,  to become  pay as  you go.  There is  interest in  the                                                               
outdoor  community in  proposing some  options along  those lines                                                               
and there is  a possible opportunity from  the commercial fishing                                                               
industry, but that might not be  quite as voluntary. Who likes to                                                               
pay taxes?  But the commercial  fishing industry  recognizes that                                                               
without a good management system  in Alaska, they can't enjoy the                                                               
success they have been having.                                                                                                  
                                                                                                                                
SENATOR STOLTZE asked how soon.                                                                                                 
                                                                                                                                
COMMISSIONER COTTEN said  he didn't have a timeline,  but time is                                                               
running short.                                                                                                                  
                                                                                                                                
3:43:53 PM                                                                                                                    
He  showed a  chart of  the value  of the  commercial harvest  in                                                               
Alaska  and  stated that  scientific  management  of the  various                                                               
fisheries  contributes to  the success  of the  seafood industry.                                                               
Scientific  management practices  allow for  the largest  harvest                                                               
that  can be  biologically sustained  over time.  The ADF&G  also                                                               
plays a  vital role  by the adoption  of regulations  and fishery                                                               
management  plans in  conjunction  with the  Board of  Fisheries,                                                               
fishermen, and processors. This  provides an orderly fishery that                                                               
produces high  quality products  in a  cost effective  manner for                                                               
utilization by the seafood industry.                                                                                            
                                                                                                                                
He reported  that the 2014 commercial  salmon fishery all-species                                                               
harvest was 156 million fish  with an estimated preliminary value                                                               
of $576 million.                                                                                                                
                                                                                                                                
COMMISSIONER  COTTEN   said  the   Division  of  Sport   Fish  is                                                               
responsible  for managing  Alaska's  sport fisheries  as well  as                                                               
many personal use fisheries and  some subsistence fisheries. They                                                               
do fisheries  enhancement through  the two major  hatcheries, one                                                               
in  Fairbanks and  one in  Anchorage. They  maintain and  improve                                                               
boater  and  angler access  for  sport  fishing and  recreational                                                               
opportunities.  They give  a  lot of  information  to the  public                                                               
about   recreational   fishing  opportunities,   angler   skills,                                                               
management-related and conservation issues. It  is the ADF&G lead                                                               
on invasive  species. It has  three regional offices and  22 area                                                               
offices.                                                                                                                        
                                                                                                                                
SENATOR WIELECHOWSKI  asked how  likely it  is that  the decision                                                               
that  allows subsistence  set netting  halfway  across the  Kenai                                                               
River by the Federal Subsistence Board can be reversed.                                                                         
                                                                                                                                
COMMISSIONER  COTTEN   responded  that   the  department   has  a                                                               
representative that  sits on the  Federal Subsistence Board  as a                                                               
non-voting member and four federal  agencies have votes; three of                                                               
those voted no  and one voted yes. They were  quite surprised and                                                               
didn't have  any advance warning  that the National  Park Service                                                               
was  going to  vote in  favor. He  emphasized their  conservation                                                               
concerns about the  details on where the nets will  be placed; it                                                               
could be on  the spawning grounds or where it  would affect other                                                               
species. Geoff Haskett,  Regional Director for the  U.S. Fish and                                                               
Wildlife Service (USFWS)  in Alaska and he informed  him that he,                                                               
too, was surprised at that vote.                                                                                                
                                                                                                                                
3:47:13 PM                                                                                                                    
He  said that  getting  that  vote turned  around  could be  done                                                               
through  a reconsideration  by  the  department, individuals,  or                                                               
maybe the legislature. Director  Haskett suggested that the USFWS                                                               
overturn it on  an ANILCA compliance basis.  ANILCA describes the                                                               
purpose of  the refuge,  and if this  isn't compatible  with that                                                               
purpose, then  they can  make a  determination and  disallow that                                                               
regulation;  and that  is what  he is  working on.  But there  is                                                               
still plenty of time to request reconsideration.                                                                                
                                                                                                                                
SENATOR WIELECHOWSKI encouraged  reconsideration of that decision                                                               
and went on to another issue  about salmon returns to the Susitna                                                               
Drainage. He  said it  is about  a two-hour drive  to get  to the                                                               
Kenai and one hour to the  Susitna, so they would prefer going to                                                               
Susitna, but  there has been a  huge lack of fish  coming back to                                                               
that drainage. Changes  were made at the Board  of Fisheries last                                                               
year and  he wondered  if they  had gotten any  data back  on the                                                               
effect of those changes.                                                                                                        
                                                                                                                                
COMMISSIONER COTTEN replied that he  knew there was a good silver                                                               
return,  but he  couldn't  say if  it  was a  result  of the  new                                                               
regulations.                                                                                                                    
                                                                                                                                
3:49:54 PM                                                                                                                    
SENATOR STOLTZE  said Alaska statute  provides that the  Board of                                                               
Fisheries "may"  allocate among the  uses, but it also  says they                                                               
"shall" provide the criteria on  which to make those decision and                                                               
asked  if  the  board  has  the necessary  tools  to  make  those                                                               
criteria  decisions,  particularly  on   the  economic  value  of                                                               
fisheries and its importance to a region.                                                                                       
                                                                                                                                
COMMISSIONER  COTTEN replied  that information  available to  the                                                               
department will certainly be available  to the boards and that he                                                               
hadn't heard any concerns expressed  from board members that they                                                               
were unable to get information that the department might have.                                                                  
                                                                                                                                
SENATOR STOLTZE said  he was concerned that  the economic studies                                                               
on the  benefits of  sport fish  uses had  not been  updated, and                                                               
there  is also  an incredible  lack of  non-anecdotal data  about                                                               
personal use fisheries.                                                                                                         
                                                                                                                                
COMMISSIONER COTTEN  said he had  seen separate  economic studies                                                               
that show  value as a result  of the sport fishing  industry, the                                                               
personal  use fisheries  and the  commercial fishing  industries,                                                               
and  thought perhaps  they could  all be  put altogether  to make                                                               
into  one credible  study  as well  as to  have  a comparison  of                                                               
existing fishing industries.                                                                                                    
                                                                                                                                
3:53:52 PM                                                                                                                    
SENATOR  WIELECHOWSKI   said  the  United  Cook   Inlet  Driftnet                                                               
Association  (UCIDA) had  filed a  lawsuit that  would allow  the                                                               
federal government to  become more involved in  management of the                                                               
Cook Inlet, and asked if he  knew the status of that lawsuit, and                                                               
whether  or not  it is  appropriate  to change  the structure  as                                                               
UCIDA is suggesting.                                                                                                            
                                                                                                                                
COMMISSIONER COTTEN  replied that  he is  very familiar  with the                                                               
lawsuit  and dealt  with  that issue  when he  sat  on the  North                                                               
Pacific Management  Council (NPFMC). He explained  that under the                                                               
Magnuson Act,  the federal government controls  the waters beyond                                                               
three miles,  so many places in  Alaska have been ceded  to state                                                               
government by  the federal government for  management for obvious                                                               
reasons  like a  salmon run  that might  cross over  a line  into                                                               
federal waters.  There was concern  that perhaps people  would be                                                               
able to fish out  beyond three miles and not have  to put up with                                                               
any state  regulations as long  as they  didn't land the  fish in                                                               
Alaska. That is  one of the reasons the council  decided it would                                                               
be  better to  make sure  that  those authorities  were with  the                                                               
State of  Alaska. At  that point,  the state  also said  it would                                                               
prefer to have  comprehensive management of salmon.  So, from the                                                               
state  and NPFMC's  perspective  the most  logical  thing was  to                                                               
allow salmon management within Alaska.                                                                                          
                                                                                                                                
The  argument  from  the  advocates  involved  with  the  lawsuit                                                               
suggested the  Magnuson Stevens Act  had national  standards that                                                               
should be considered by Alaska fish  managers that had to do with                                                               
a fishing  community's sustainability,  and perhaps if  they were                                                               
able to  get those national  standards at the table,  their point                                                               
of view  might have  carried more weight.  He voted  against that                                                               
perspective  as  a  member  of  the  council,  and  his  personal                                                               
position is to allow the State  of Alaska to have full management                                                               
of the salmon.                                                                                                                  
                                                                                                                                
SENATOR WIELECHOWSKI asked what  actions the department is taking                                                               
to minimize by-catch that is impacting returning king salmon.                                                                   
                                                                                                                                
COMMISSIONER COTTEN  clarified that  "bycatch" has more  than one                                                               
definition, but the one the  council uses is a prohibited species                                                               
that must be discarded or otherwise  not kept for profit. In that                                                               
regard, most  of the by-catch  takes place in  federal fisheries,                                                               
and as a member of the NPFMC, Alaska  has a lot to say about that                                                               
and has established  by-catch limits in the Gulf  of Alaska (that                                                               
had  not been  there before  the  pollock industry)  and for  all                                                               
other fishing  in the  Gulf (two  different bycatch  limits), and                                                               
they will  take final  action in April  to reduce  Chinook salmon                                                               
bycatch limits in  the Bering Sea. They are also  working on chum                                                               
salmon  bycatch  restrictions  in  the Bering  Sea.  One  of  the                                                               
problems, he  explained, is  if you  get the  fleets off  of chum                                                               
salmon they may  have to move and land on  the Chinook salmon, so                                                               
they are forced  to make some choices occasionally.  From his and                                                               
now from the  state's perspective they are  being more aggressive                                                               
on reducing  bycatch. In June,  they expect to take  final action                                                               
on some major halibut bycatch reductions.                                                                                       
                                                                                                                                
3:58:33 PM                                                                                                                    
COMMISSIONER  COTTEN said  the chart  on slide  10 surprised  him                                                               
when  he discovered  that there  were  more non-resident  fishing                                                               
licenses  sold than  resident. That's  a good  thing, because  we                                                               
enjoy a lot of visitors up here.                                                                                                
                                                                                                                                
CHAIR GIESSEL said she is  hearing from citizens that our fishing                                                               
licenses are an  incredible bargain and it's time  to raise their                                                               
price, particularly for non-residents.                                                                                          
                                                                                                                                
COMMISSIONER COTTEN referenced the  Carlson case that limited how                                                               
much of a  difference can be charged for  a non-resident license,                                                               
but he  has an over-60 free  license, which is really  a bargain,                                                               
and there  are 87,000 of those.  He said he had  spreadsheets and                                                               
statistics  showing  what all  the  states  charge for  different                                                               
licenses and, by most accounts, Alaska is quite a bargain.                                                                      
                                                                                                                                
SENATOR MICCICHE  said fishing  is important  in his  district; a                                                               
key industry  is sport  fishing guides and  lodges and  asked how                                                               
the  spread  works between  resident  and  non-residents in  that                                                               
regard.                                                                                                                         
                                                                                                                                
COMMISSIONER COTTEN  answered that  some guidelines were  used in                                                               
the  Carlson  Case that  required  the  State  of Alaska  to  pay                                                               
people back  for having paid too  much for their licenses  and he                                                               
would get those for him.                                                                                                        
                                                                                                                                
SENATOR STEDMAN  said the  state, in  settling the  Carlson Case,                                                               
had to pay the attorney tens  of millions of dollars and he would                                                               
like  to  see  the  cost  of hunting  and  fishing  licenses  for                                                               
residents  held  to  a  minimum.  A  fundamental  objective  that                                                               
Alaskans  should have  is access  to and  enjoyment of  the great                                                               
outdoors.  It's not  just  for running  around  with your  go-pro                                                               
camera, but running  around with your rifle and  fishing pole. He                                                               
likes not  charging young Alaskans  under the  age of 16  to fish                                                               
and hunt. He  is just not interested in raising  license fees for                                                               
Alaskans.                                                                                                                       
                                                                                                                                
SENATOR STOLTZE  asked how much  decreased opportunity  there has                                                               
been in Southcentral Alaska.                                                                                                    
                                                                                                                                
COMMISSIONER COTTEN  said he would  get that historical  data for                                                               
him.                                                                                                                            
                                                                                                                                
4:03:40 PM                                                                                                                    
COMMISSIONER   COTTEN  said   that  the   Division  of   Wildlife                                                               
Conservation  collects   scientifically  sound   information  and                                                               
manages  wildlife  populations in  Alaska  on  a sustained  yield                                                               
principle.  Managers have  to understand  the animals  Alaska has                                                               
and the division  has a lot of good scientific  experts. It has a                                                               
program that is intended to  increase lower or declining ungulate                                                               
populations  through  intensive  management  that  has  had  good                                                               
success. It helps  maintain opportunities to hunt,  trap and view                                                               
wildlife;  three shooting  ranges  conduct  hunter education  and                                                               
safety programs.                                                                                                                
                                                                                                                                
SENATOR STEDMAN said  the shooting ranges used to  have a subsidy                                                               
of $360,000 a year and that needed to be reviewed at some point.                                                                
                                                                                                                                
CHAIR  GIESSEL said  there is  talk  about a  buffer zone  around                                                               
Denali  National  Park  and  asked  what  ADF&G  is  doing  about                                                               
maintaining state  control of its  lands and,  therefore, hunting                                                               
and fishing opportunities, as the  federal government attempts to                                                               
expand its land.                                                                                                                
                                                                                                                                
COMMISSIONER COTTEN answered that when  he first got appointed to                                                               
this job, he  received a letter asking him to  rescind a Board of                                                               
Game action that  allowed trapping in this buffer  zone (that the                                                               
state has  authority over).  Since the board  had just  made that                                                               
decision, he declined  to reverse it. It was  an allocative issue                                                               
that had a close vote.  He suggested bringing any new information                                                               
to the board and asking it to rule based on that.                                                                               
                                                                                                                                
He said  the state  is facing some  pretty intense  opposition to                                                               
some of its management measures,  both proposed and in place, and                                                               
a lot  of it has  to do  with intensive management.  For example,                                                               
the Board  of Game wanted to  extend a wolf hunting  and trapping                                                               
season,  and that  can be  done on  state land,  but the  federal                                                               
government wouldn't  allow it  on refuge  lands -  suspecting the                                                               
state's  purpose was  to increase  moose or  caribou populations,                                                               
which they  wouldn't allow.  He is  keeping a  positive attitude,                                                               
but hasn't  had a lot of  encouragement in meeting with  the Park                                                               
Service. Other meetings with the USFWS were coming up, too.                                                                     
                                                                                                                                
CHAIR GIESSEL asked  how he would address  the Endangered Species                                                               
Act proposals.                                                                                                                  
                                                                                                                                
COMMISSIONER  COTTEN responded  that he  had a  conversation with                                                               
the  director on  that one  and  there is  an interesting  debate                                                               
about wolves in  Southeast. Some people want to refer  to them as                                                               
the  Archipelago  Wolves  and   they  aren't  necessarily  widely                                                               
accepted as a  distinct population. Prince of Wales  Island has a                                                               
lot of  wolves and recently  the board  took action to  limit the                                                               
percentage  of wolves  that could  be  taken there  on an  annual                                                               
basis. Green  Peace had a  proposal in to  limit them to  30, but                                                               
after hearing  the state had a  proposal to limit the  numbers to                                                               
20,  they quickly  changed  theirs  to zero.  The  state has  the                                                               
responsibility  of sustainably  managing wolves  and not  causing                                                               
their  extinction  or  that  of any  other  predators,  and  they                                                               
probably won't be listed.                                                                                                       
                                                                                                                                
On  the  other  hand,  the  state has  had  some  "not  so  good"                                                               
experiences over the  years with Steller sea lions. A  lot of the                                                               
closures - that shouldn't have  been - in the Aleutians seriously                                                               
affected the fishing industry. It took  a long time for the USFWS                                                               
and  the  National Marine  Fisheries  Service  (NMFS) to  finally                                                               
agree  that they  couldn't defend  their case  and many  of those                                                               
areas got reopened. "The struggle continues," he said.                                                                          
                                                                                                                                
CHAIR  GIESSEL  asked   who  will  be  the   lead  on  addressing                                                               
Endangered Species proposed designations.                                                                                       
                                                                                                                                
COMMISSIONER COTTEN replied that  he was very involved personally                                                               
and he  has a special assistant  who is an attorney  that has had                                                               
some experience  in that field and  is coming up to  speed pretty                                                               
quickly. Some  of the department  staff has experience  that will                                                               
be used, as  well, and they work closely with  two attorneys from                                                               
the Department  of Law  (DOL). They  are currently  involved with                                                               
Ice Seals.                                                                                                                      
                                                                                                                                
CHAIR  GIESSEL said  she heard  the Department  of Law  is losing                                                               
some  of the  attorneys who  have been  working on  these federal                                                               
overreach issues.  They had seen  some success, for  example, the                                                               
Bearded Seal designation.                                                                                                       
                                                                                                                                
COMMISSIONER  COTTEN   said  there   hadn't  been  a   change  of                                                               
philosophy, and he couldn't comment on the DOL's budget.                                                                        
                                                                                                                                
4:13:13 PM                                                                                                                    
SENATOR  STEDMAN   said  he  was  concerned   about  the  federal                                                               
government's 100-year  view of invasive species,  because he gets                                                               
the impression  that they  view humans  as the  invasive species.                                                               
Otters continue  to proliferate and  they are more  invasive than                                                               
humans.                                                                                                                         
COMMISSIONER COTTEN  said Southeast  Alaska isn't the  only place                                                               
with a few extra  sea otters. Kachemak Bay used to  have a lot of                                                               
Dungeness and Tanner crab and shrimp,  so he could relate to what                                                               
he was  saying.  He said  he would be interested  in working with                                                               
Senator Stedman to see what could be done.                                                                                      
                                                                                                                                
SENATOR STEDMAN  added that it's  pretty clear they can't  have a                                                               
bounty on  otters as  was done  in the  territorial days  to thin                                                               
them out.   The state has  to get the  feds to at least  do their                                                               
research and  keep accurate  data on  harvest numbers.  Maybe the                                                               
department  could  get back  to  him  on  some  of the  red  crab                                                               
surveys, as well.                                                                                                               
                                                                                                                                
4:16:16 PM                                                                                                                    
SENATOR  MICCICHE  asked  his  basic   philosophy  of  where  the                                                               
management  plans intersect  and if  there is  any potential  for                                                               
improvement.                                                                                                                    
                                                                                                                                
COMMISSIONER  COTTON said  he was  keeping an  open mind,  but he                                                               
hadn't  had  a lot  of  encouragement  that  he would  have  much                                                               
success working with the federal  agencies. But some meetings are                                                               
currently set up to discuss some  of these issues and he intended                                                               
to give them a fair chance.                                                                                                     
                                                                                                                                
4:17:16 PM                                                                                                                    
SENATOR  STOLTZE said  there  had  been a  lot  of concern  about                                                               
proposals 207  and 208 regarding  Dall sheep and  a corresponding                                                               
concern about  a lack of  information coming from  the department                                                               
in the upcoming Board of Game meeting.                                                                                          
                                                                                                                                
COMMISSIONER  COTTEN  responded that  the  sheep  issues will  be                                                               
predominant on  the agenda  and there will  be a  workshop Friday                                                               
night that everyone  can attend. All of the  sheep proposals have                                                               
to do  with resident  versus non-resident. But  he would  have to                                                               
claim  ignorance  on whether  the  department  has kept  anything                                                               
internal that should  have been made public and  promised to look                                                               
into it.                                                                                                                        
                                                                                                                                
He showed a  graph indicating the big  difference in non-resident                                                               
versus resident hunting licenses and  noted that the small uptick                                                               
in  resident  hunting  licenses  might   be  the  result  of  the                                                               
department's hunter education programs.                                                                                         
                                                                                                                                
4:19:47 PM                                                                                                                    
SENATOR STEDMAN said  several years ago, he was  surprised at the                                                               
lack of both hunting and  fishing licenses being sold in northern                                                               
and western Alaska  and asked for an update  of those statistics,                                                               
because  they   would  be  handy   to  have  in   discussing  fee                                                               
structures.                                                                                                                     
                                                                                                                                
4:21:22 PM                                                                                                                    
SENATOR COGHILL  said he also  wanted to see histories  of issues                                                               
that require a tag or a specific license.                                                                                       
                                                                                                                                
4:23:00 PM                                                                                                                    
COMMISSIONER  COTTEN   said  the   Division  of   Subsistence  is                                                               
primarily compiles and  analyzes subsistence harvest information.                                                               
People in the field actually  go to villages, sometimes getting a                                                               
local person  to walk around and  knock on doors with  them. This                                                               
is typically in  the winter and they will end  up sleeping at the                                                               
school  or wherever  trying  to get  data in  what  is a  "pretty                                                               
personal" operation  that takes a  lot of  time. But the  data is                                                               
extremely valuable and is used in a lot of areas.                                                                               
                                                                                                                                
4:23:56 PM                                                                                                                    
SENATOR   STEDMAN,   who   represents  a   lot   of   subsistence                                                               
communities,  asked  for  subsistence  numbers  from  around  the                                                               
state.                                                                                                                          
                                                                                                                                
COMMISSIONER COTTEN replied  that he would make sure  to get back                                                               
to Senator Stedman with that information.                                                                                       
                                                                                                                                
4:25:27 PM                                                                                                                    
SENATOR  STOLTZE  said  both personal  use  and  subsistence  are                                                               
managed  within the  Division of  Commercial Fisheries  and asked                                                               
his  view  of  the  similarities and  differences  between  them,                                                               
absent  a  federal   definition.  He  said  it  was   more  of  a                                                               
philosophical question.                                                                                                         
                                                                                                                                
4:26:57 PM                                                                                                                    
COMMISSIONER  COTTEN  replied that  those  terms  are defined  by                                                               
regulation.                                                                                                                     
                                                                                                                                
He  said  the  Division  of  Habitat has  a  new  director,  Tony                                                               
DeGange,  and   it  reviews  applications,  issues   permits  for                                                               
activities in  anadromous water bodies,  fish bearing  waters and                                                               
legislatively designated special areas.  It provides expertise to                                                               
protect  important   fish  and  wildlife  habitat,   monitor  and                                                               
authorize projects,  conduct compliance actions and  maintain and                                                               
revise the  anadromous waters catalogue (important  to industrial                                                               
folks that  need to  know where  to stay  away from).  It reviews                                                               
proposed  timber  harvest  activities  and  development  projects                                                               
(although  it   doesn't  issue  permits)  and   conducts  applied                                                               
research  to develop  methods and  means to  minimize impacts  of                                                               
development projects on  fish and wildlife resources.  It has six                                                               
offices statewide.                                                                                                              
                                                                                                                                
CHAIR GIESSEL  said Mr.  DeGange has  30 years  in the  USFWS and                                                               
USGS, both agencies that in  some opinions overly protect federal                                                               
jurisdiction in  Alaska and asked  if he was comfortable  that he                                                               
will  have Alaska's  best interest  in terms  of maximum  use for                                                               
Alaskans in mind.                                                                                                               
                                                                                                                                
COMMISSIONER COTTEN  replied that  he thinks  Alaska is  lucky to                                                               
have Mr. DeGange  in this position. He brings a  lot of expertise                                                               
with him and probably some ability  on how to understand and work                                                               
better  with  the  federal  agencies.  He will  also  be  a  good                                                               
advocate for Alaska.                                                                                                            
                                                                                                                                
4:31:23 PM                                                                                                                    
He  said the  Division  of Administrative  Services supports  the                                                               
other  divisions' budget,  accounting and  IT. The  Board Support                                                               
Section  has a  person for  the Board  of Game  and the  Board of                                                               
Fisheries. He really enjoys interacting  with people at the Board                                                               
of Fisheries on issues that they care a lot about.                                                                              
                                                                                                                                
SENATOR STOLTZE asked  if he went as an interested  citizen or as                                                               
a compensated participant.                                                                                                      
                                                                                                                                
COMMISSIONER  COTTON  replied  both.  He  did  some  work  as  an                                                               
employee  and  later  as  a consultant  for  the  Aleutians  East                                                               
Borough. Fishing is their only economy  and one of his duties was                                                               
to  attend   Board  of  Fisheries  meetings   and  North  Pacific                                                               
Fisheries  Management  Council  (NPFMC) meetings.  He  was  later                                                               
appointed to the  NPFMC as a private citizen.  He enjoyed working                                                               
there and learned a lot.                                                                                                        
                                                                                                                                
COMMISSIONER  COTTEN said  a couple  of independent  agencies are                                                               
the Commercial  Fisheries Entry Commission  (CFEC) and  the Exxon                                                               
Valdez Oil Spill Trustee Council.                                                                                               
                                                                                                                                
SENATOR WIELECHOWSKI said  he read the CFEC report  and asked how                                                               
it was generated  and what actions he is taking  at this point to                                                               
enact any of the recommendations.                                                                                               
                                                                                                                                
4:34:33 PM                                                                                                                    
COMMISSIONER COTTEN  replied that his understanding  is that last                                                               
year Representative Seaton introduced a  bill to get rid of CFEC.                                                               
So, the department decided to  do an independent review. They got                                                               
it back, read it  and decided to not make any  changes, as it was                                                               
a completed  piece of work  that the previous  administration had                                                               
initiated. They decided  to put it out, let everybody  see it and                                                               
draw  their  own  conclusions.  He  said  it  appears  that  some                                                               
efficiencies could be gained, but  cautioned that this commission                                                               
performs some  extremely important functions that  somebody would                                                               
have to  do, like registering  and issuing permits for  boats and                                                               
people on  an annual  basis. Most of  the proposed  changes would                                                               
require legislation.                                                                                                            
                                                                                                                                
SENATOR WIELECHOWSKI said  it seems the CFEC has  good people and                                                               
it performs a necessary service and  asked if he is going to lead                                                               
the charge.                                                                                                                     
                                                                                                                                
COMMISSIONER COTTEN  replied that Representative Stutes  said she                                                               
was going to  introduce a bill and he informed  her they would be                                                               
happy to work with her on it.                                                                                                   
                                                                                                                                
SENATOR  MICCICHE  asked  if  he  had  plans  to  look  for  more                                                               
efficiencies in permitting through technology.                                                                                  
                                                                                                                                
4:38:45 PM                                                                                                                    
TOM BROOKOVER,  Acting Director,  Division of Sport  Fish, Alaska                                                               
Department  of   Fish  and  Game   (ADF&G),  answered   that  the                                                               
department had  undertaken a licensing modernization  effort that                                                               
includes an on  line store that will open within  days. That will                                                               
make it  more efficient for  people to apply and  obtain licenses                                                               
and  other products  in the  future. His  division is  working on                                                               
incorporating  an electronic  capability for  personal use  fresh                                                               
water permits - for example,  the Cook Inlet personal use fishery                                                               
and the Chuitna  dip net fishery - and couple  it with an ability                                                               
to  report harvest  electronically. It  will be  an option  not a                                                               
requirement. They are also working  on a pilot electronic charter                                                               
vessel log book program on the Kenai River.                                                                                     
                                                                                                                                
SENATOR MICCICHE  agreed with previous  statements that  it seems                                                               
like CFEC is still a very manual process.                                                                                       
                                                                                                                                
SENATOR  STOLTZE cautioned  against  totally automating,  because                                                               
people buy a lot of gear where they buy their licenses.                                                                         
                                                                                                                                
4:41:54 PM                                                                                                                    
SENATOR WIELECHOWSKI  asked when  online harvesting  for personal                                                               
use will  be ready to  go and if  he was getting  complaints from                                                               
people who  have sent them  in and  are getting second  and third                                                               
notices. He  sent his  Copper River dip  netting and  Kenai River                                                               
report in twice and that's not the first time it has happened.                                                                  
                                                                                                                                
MR. BROOKOVER  answered that they  are shooting for June  for the                                                               
online capability.  He was not familiar  with specific complaints                                                               
about the  paper system, but they  do what they can  to work with                                                               
folks to minimize those.                                                                                                        
                                                                                                                                
SENATOR MICCICHE  said the various  user groups in  his community                                                               
have access challenges  to the Kenai River and asked  how he felt                                                               
about  the  philosophy  behind  Exxon  Valdez  Oil  Spill  (EVOS)                                                               
properties that  are sealed off from  public use or any  level of                                                               
development.  Huge  chunks of  property  along  the Kenai  River,                                                               
specifically around the City of Soldotna, are off-limits.                                                                       
                                                                                                                                
4:44:05 PM                                                                                                                    
MR.  BROOKOVER, the  EVOS designee,  explained  Exxon Valdez  Oil                                                               
Spill Trustee Council is involved  in purchasing land for habitat                                                               
conservation  reasons.  In  order  to purchase  land  under  EVOS                                                               
guidelines, it  has to add value  to either the resources  or the                                                               
surfaces damaged by the spill.  With those requirements there are                                                               
requirements for  habitat conservation. He  was not aware  of any                                                               
hard  and fast  guidelines that  prohibit some  types of  access.                                                               
Some low scale  development has taken place, such  as board walks                                                               
and signage.  The importance  of access  to those  properties and                                                               
habitat  conservation measures  have  been discussed  recognizing                                                               
the  potential use  that  could be  occurring  there while  still                                                               
fulfilling the habitat conservation guidelines.                                                                                 
                                                                                                                                
4:46:33 PM                                                                                                                    
SENATOR WIELECHOWSKI asked  if he had any plans to  file a motion                                                               
with  U.S.  District  Court  to   compel  Exxon  to  honor  their                                                               
commitment to pay additional damages for the oil spill.                                                                         
                                                                                                                                
MR. BROOKOVER replied that is  being currently considered in both                                                               
the state and federal governments.  A decision can be expected in                                                               
about a year or so.                                                                                                             
                                                                                                                                
SENATOR STOLTZE  asked him to  comment on past  EVOS expenditures                                                               
now that a less money is available.                                                                                             
                                                                                                                                
COMMISSIONER COTTEN  said he would  let Mr. Brookover  respond on                                                               
past expenditures and he offered  to do more exhaustive work with                                                               
the committee on this.                                                                                                          
                                                                                                                                
4:48:46 PM                                                                                                                    
He went on to the FY 2016  Budget by division and fund source and                                                               
offered to answer questions on it.                                                                                              
                                                                                                                                
SENATOR STOLTZE noted the 3.7  percent reduction for the Division                                                               
of  Commercial  Fish and  a  10-plus  percent reduction  for  the                                                               
Division of Sport Fish and asked about that evaluation process.                                                                 
                                                                                                                                
COMMISSIONER COTTEN replied  that he was not  prepared to respond                                                               
to that right now, but he  would like to go through the different                                                               
reductions with  him. He noted  the full and part  time positions                                                               
and said  since 2012, the  overall department position  count was                                                               
down by  66 positions.  He said the  commercial component  of the                                                               
2014 budget  was $576 million  and the biggest component  of that                                                               
is in  Bristol Bay. Kotzebue had  a banner year for  chum salmon,                                                               
second  largest on  record; people  hadn't  seen a  lot of  those                                                               
opportunities for quite some time.                                                                                              
                                                                                                                                
4:51:25 PM                                                                                                                    
The  department is  currently  implementing intensive  management                                                               
programs  aimed  at  increasing  caribou  and  moose  numbers  in                                                               
portions  of  several game  management  units.  It has  allocated                                                               
funds to  support and intensified  field monitoring  and research                                                               
to document population parameters  to support, sustain and defend                                                               
existing and new intensive management programs.                                                                                 
                                                                                                                                
CHAIR GIESSEL  asked for his  plans going forward  on unjustified                                                               
Endangered Species listings by the federal government.                                                                          
                                                                                                                                
COMMISSIONER COTTEN  replied that it  would be on  a case-by-case                                                               
basis and, in  fact, the Steller sea lion issue  is not done. The                                                               
state was on  the prevailing side of recent  litigation until the                                                               
department was  forced to  open up some  new fishing  areas. Now,                                                               
the same  agencies are doing a  brand new review of  all critical                                                               
habitat areas that were "amazingly"  inspired by the delisting of                                                               
the eastern  sea lion  populations. Now,  they are  concerned the                                                               
federal government will  head west.  But they  recently agreed to                                                               
disclose all  their new  work products  and to  get a  public and                                                               
peer review before going out with a proposed rule.                                                                              
                                                                                                                                
CHAIR GIESSEL underscored that she  didn't want the department to                                                               
stand  down   on  those  issues,  because   the  non-governmental                                                               
organizations (NGO) won't.                                                                                                      
                                                                                                                                
COMMISSIONER COTTEN  related how  a recent  proposal to  create a                                                               
brand new  marine sanctuary that  would have taken in  the entire                                                               
Aleutians, Alaska Peninsula and Bristol Bay was dropped.                                                                        
                                                                                                                                
4:55:10 PM                                                                                                                    
SENATOR  STOLTZE  asked what  he  thought  were the  department's                                                               
failures or  shortfalls, for instance  meeting the  harvest goals                                                               
for moose in Game Management Unit 16.                                                                                           
                                                                                                                                
COMMISSIONER  COTTEN   responded  that   Unit  16  is   a  pretty                                                               
interesting   subject,   because   there  are   three   different                                                               
possibilities for  hunts up there: a  general hunt for a  50 inch                                                               
bull (a  regular hunting season  that all can participate  in), a                                                               
drawing hunt for  bull moose of less than appropriate  size and a                                                               
tier  2 hunt  in the  winter  time that  has received  criticism,                                                               
because a  lot of moose  are available  in the winter  time. They                                                               
congregate along  the rivers  and migrate  from other  game units                                                               
into the Susitna  Yentna area. Last year hunters had  a low level                                                               
of  success  even  though  typically   moose  are  easy  to  get,                                                               
especially if  you have a snow  machine. He would look  into that                                                               
issue, because he didn't realize the numbers were down.                                                                         
                                                                                                                                
4:57:34 PM                                                                                                                    
SENATOR MICCICHE said  that the commissioner has a  tough job and                                                               
that Alaska has  changed. Groups are at each  other's throats and                                                               
he asked if he could make it better.                                                                                            
                                                                                                                                
COMMISSIONER  COTTEN  replied  that   his  goal  was  to  diffuse                                                               
polarized elements, a lofty goal  that he didn't have a sure-fire                                                               
plan to  accomplish. One of  the goals of this  administration is                                                               
to  be transparent  and let  people see  how decisions  are being                                                               
made. They want  the face of ADF&G to be  one of impartiality and                                                               
science-based  management. If  those  goals can  be achieved,  it                                                               
will be a good start on a road toward less animosity.                                                                           
                                                                                                                                
5:00:11 PM                                                                                                                    
SENATOR MICCICHE wished Commissioner Cotton luck.                                                                               
                                                                                                                                
CHAIR GIESSEL thanked Commissioner Cotton for the overview.                                                                     
                                                                                                                                
5:00:47 PM                                                                                                                    
CHAIR GIESSEL  adjourned the  Senate Resources  Committee meeting                                                               
at 5:00 p.m.                                                                                                                    
                                                                                                                                

Document Name Date/Time Subjects
SRES-ADF&G Overview-02-11-2015.pdf SRES 2/11/2015 3:30:00 PM