HB 496 - SPORT FISH GUIDE LICENSING CHAIRMAN CARL MOSES called the meeting to order at 8:43 a.m. Members in attendance were REPRESENTATIVES HARLEY OLBERG, GAIL PHILLIPS AND CLIFF DAVIDSON. CHAIRMAN MOSES noted HB 496 was on the agenda. The bill has previously been heard on teleconference and today there are several proposed amendments. The first amendment is by the sponsor. PETER ECKLUND, LEGISLATIVE STAFF FOR REPRESENTATIVE WILLIAMS will discuss the amendment. Number 019 PETER ECKLUND, LEGISLATIVE STAFF FOR REPRESENTATIVE WILLIAM K. WILLIAMS, PRIME SPONSOR OF HB 496, advised members that the first amendment clarifies the intent of the legislature to deposit the proceeds from the sale of the sport fish guide licenses and pay the Division of Sport Fish for the data collection and analysis. Number 044 REPRESENTATIVE CLIFF DAVIDSON stated that intent language does not do well with this Administration and asked if Mr. Ecklund had spoken to the Administration about the issue. MR. ECKLUND said the issue had just come up recently and he had not spoken to the Administration. Number 055 REPRESENTATIVE HARLEY OLBERG asked if anyone knows how program receipts are designated. PAUL KRASNOWSKI, Director, Division of Sport Fish, Alaska Department of Fish & Game, advised members that in the budgeting process, the department asks for authority to receive program receipts in the budget. If the legislature approves the budget, it may or may not approve the authority for the department to accept program receipts. It is an annual process. Number 085 REPRESENTATIVE OLBERG MOVED and asked UNANIMOUS CONSENT on amendment one. CHAIRMAN MOSES MOVED amendment one. Number 110 REPRESENTATIVE DAVIDSON MOVED and asked UNANIMOUS CONSENT ON AMENDMENT A-LS1665\A.3, (amendment two), dealing with confidentiality. MICHAEL HEIMBUCH, LEGISLATIVE STAFF FOR REPRESENTATIVE GAIL PHILLIPS, advised members the amendment contains language that is already in statute. It broadens that language to include the new provisions, and it is part of the sunset clause. Because HB 496 sunsets, an additional clause is needed with broader language so there will still be something in statute that addresses raptors and other birds. MR. ECKLUND referred to this amendment as number two, and explained it is a sunset provision that will take effect on January 1, 1999, and if that date is not extended by the future legislature, the sport fish guide licenses will be omitted from statute. REPRESENTATIVE OLBERG asked why the sport fish guide license should be repealed on January 1, 1999. MR. HEIMBUCH advised members that Representative Phillips was concerned that unless the program started to get direction and goals, it should sunset. If the data is successfully collected in a few years, there should be no reason to keep the program going; therefore, it should sunset in 1999. CHAIRMAN MOSES stated that the information will probably be needed on a continual basis to keep the management of the resource up to date. REPRESENTATIVE OLBERG objected to amendment two. CHAIRMAN MOSES noted that Representative Phillips arrived at 8:55 a.m. REPRESENTATIVE PHILLIPS advised members that if the purpose of HB 496 is to study the effects of the charter boat industry in Alaska, then the study does not need to last for 25 years. It needs to come to a conclusion. The Department of Fish & Game said four years would be adequate to develop the information, then a report can be presented and the legislature can take further action at that time. REPRESENTATIVE OLBERG stated again that the information will be needed forever to manage the resource. Number 308 REPRESENTATIVE PHILLIPS read a list of various licenses and fees that charter boat operators pay as an order of business. If the intent is to study the industry, then there needs to be a definite time that the results of the study are due. Number 270 CHAIRMAN MOSES reiterated that from a management standpoint, continual information gathering will be necessary. REPRESENTATIVE DAVIDSON noted that the legislature should get yearly information back from the study, as the bill is currently written, because it will report annually to the Board of Fish. Number 361 MR. KRASNOWSKI conveyed that the department would anticipate using this data on an annual basis, to report to the Alaska Board of Fisheries. For management purposes, the report could also be supplied to the legislature, as it continues to be interested in the results. Number 387 REPRESENTATIVE PHILLIPS exclaimed that "the sponsor should take out the pretense of HB 496 being a study, and be honest, and say we're assessing a fee on the charter boat operators; period." REPRESENTATIVE OLBERG stated that the bill does both. There is limited information about the fishery, and the gathering of the information should be paid for by the people who reap the benefits of the guiding. Number 399 REPRESENTATIVE PHILLIPS asked why the information wasn't already available somewhere else. REPRESENTATIVE OLBERG explained that the bill is not necessarily only assessing a fee for charter boat operators. It can also be applied to someone with an airplane or a canoe, who guides. Number 411 REPRESENTATIVE PHILLIPS again asked why this information is not currently available. MR. KRASNOWSKI stated that the information gathered by the department for the current level of resource management categorizes the harvest by group. Homer's salmon harvests for instance, can be tracked from the statewide mail-in survey. The information that the commissioner would be empowered to require that be reported under this legislation, would be individual harvest information, which the department currently does not have. This information has become important since the potential for the legislature regulating the industry through limited entry or vessel moratorium has become an issue. REPRESENTATIVE PHILLIPS quickly stated the information is available, and the department could simply contact the Kenai Peninsula Borough and ask for the sales tax reports from those businesses. The business sales tax is based on the number of clients that are taken out. The fees are all set, and clients can only catch two halibut per day. MR. KRASNOWSKI once again stated that in the position paper, it was clear that for present resource management, the information available is adequate. It's a question of where the state is going over the next few years. More specific information is needed to determine the potential for limited entry for charter boat fishing. Information is needed not only to see economic dependence on the resource, but the harvest records will link the charter boat operator to the specific numbers of fish taken. REPRESENTATIVE OLBERG said that some of his constituents are in the unorganized borough, where there are no tax records. REPRESENTATIVE PHILLIPS argued that in all the identifiable, big halibut charter boat areas, there are records. MR. ECKLUND clarified that the department has spotty information from different areas of the state, and the intent of the bill was to get information from across the whole state. The sport fish guide license establishes a participatory record for sport guide license operators so if there is a limitation or moratorium in the future, the department has a record to show who has been involved in the industry. CHAIRMAN MOSES asked if there were further comments on amendment two. REPRESENTATIVE PHILLIPS moved amendment two be adopted. REPRESENTATIVE OLBERG objected. A roll call vote was taken. REPRESENTATIVE PHILLIPS voted YEAH. REPRESENTATIVES OLBERG, DAVIDSON AND MOSES voted NAY. So amendment number two failed. CHAIRMAN MOSES noted that amendment three by Representative Phillips was in the packet. REPRESENTATIVE PHILLIPS MOVED amendment number three be adopted. REPRESENTATIVE DAVIDSON objected. REPRESENTATIVE PHILLIPS explained that in the financing of the program, the cost of the program is about $258,000. The amount that will be collected is about twice the amount needed. She noted that it is irresponsible to collect a larger amount than is needed. The amendment will change the resident fee to $100, and the nonresident fee to $250. CHAIRMAN MOSES noted an inconsistency, as the vessel license fees for commercial fishing have increased considerably. REPRESENTATIVE DAVIDSON noted that any excess funds will assist the department in other ways, as this resource is very valuable compared to the amount of fees collected. Therefore, the resident fee should be $150, and nonresident fees should remain at $600. REPRESENTATIVE PHILLIPS OBJECTED to the change, and noted that to be honest in this bill, charter operators will be charged double what is necessary to run the program. CHAIRMAN MOSES noted that the bill currently is consistent with license fees. REPRESENTATIVE DAVIDSON withdrew his amendment to amend amendment three. A roll call vote was then taken on amendment three. REPRESENTATIVE PHILLIPS voted YEAH. REPRESENTATIVES OLBERG, DAVIDSON AND MOSES voted NAY. So amendment three failed. Number 576 REPRESENTATIVE PHILLIPS MOVED amendment four. CHAIRMAN MOSES objected. REPRESENTATIVE PHILLIPS explained that amendment four would tighten the definition of sport fish guiding. The language speaks more specifically about the behavior of an individual on a boat or vessel. REPRESENTATIVE DAVIDSON asked about guides "directly aiding the person in taking sport fish" as people arrive in Kodiak and simply get pointed in the direction of the river, but really don't use a guide while fishing along the riverbank. MR. KRASNOWSKI explained that the additional language would clarify the behavior of sport fish guides. It also helps define a tour guide that may only say that a particular spot is a good place. TAPE 94-12, Side B Number 000 MR. ECKLUND noted that on page two, line 11 the language allows the department to adopt regulations allocating responsibility for completing reports between one or more persons on a boat. MR. KRASNOWSKI said that the Board of Fish would have to examine who was receiving compensation for assisting individuals who fish. On a large vessel, the driver of the boat falls into a gray area. REPRESENTATIVE DAVIDSON asked if the department would use regulations to address the different cases, as in the case of riverbank fishing. MR. KRASNOWSKI noted there are a large number of people who were unsuccessful in harvesting any resource. The potential for the Board of Fisheries to regulate this business could become very sensitive, very quickly. CHAIRMAN MOSES asked if there was further discussion on amendment number four. Hearing none, amendment four was adopted. REPRESENTATIVE PHILLIPS MOVED to pass CSHB 496 FROM COMMITTEE. IT WAS SO ORDERED. ADJOURNMENT CHAIRMAN MOSES adjourned the meeting at 9:38 a.m.