HB 241-NONRESIDENT SURCHARGE COMMERCIAL FISHING  10:18:18 AM CHAIR STUTES announced that the final order of business would be HOUSE BILL NO. 241, "An Act relating to the nonresident surcharge for commercial fishing permits." 10:18:48 AM GRACE ABBOTT, Staff, Representative Charisse Millett, Alaska State Legislature, focused on the outstanding questions, from the previous hearings on HB 241, regarding establishment of residency and use of the permanent fund dividend (PFD) resident determination criteria, as an interface program. The bill limits the definition of residency to the PFD statutes related to residency; AS 43.23.005 subsection (2)-(7), which read: Sec. 43.23.005. Eligibility. (a) An individual is eligible to receive one permanent fund dividend each year in an amount to be determined under AS 43.23.025 if the individual (1) applies to the department; (2) is a state resident on the date of application; (3) was a state resident during the entire qualifying year; (4) has been physically present in the state for at least 72 consecutive hours at some time during the prior two years before the current dividend year; (5) is (A) a citizen of the United States; (B) an alien lawfully admitted for permanent residence in the United States; (C) an alien with refugee status under federal law; or (D) an alien that has been granted asylum under federal law; (6) was, at all times during the qualifying year, physically present in the state or, if absent, was absent only as allowed in AS 43.23.008; and (7) was in compliance during the qualifying year with the military selective service registration requirements imposed under 50 U.S.C. App. 453 (Military Selective Service Act), if those requirements were applicable to the individual, or has come into compliance after being notified of the lack of compliance. 10:21:52 AM REPRESENTATIVE MILLETT noted that amendments to the bill, discussed at the previous hearing, are no longer considered necessary through the use of the broad language contained in this section of statutes. 10:22:59 AM REPRESENTATIVE KREISS-TOMKINS asked what sort of enforcement actions the commission has taken against anyone in violation of the current residency requirements. Also, he queried how the duties for establishing the residency information interface, employing the PFD statutes, will be organized and handled within the department. 10:23:58 AM BENJAMIN BROWN, Commissioner, Commercial Fisheries Entry Commission (CFEC), Alaska Department of Fish & Game (ADF&G), directed attention to the four page memo, to himself, from Frank Glass, Adjudications Project Leader, CFEC, dated March 25, 2016, which reviews the residency concerns, provides background information, addresses administrative costs for investigation and enforcement, and includes recommendations and conclusions. He pointed out that applicants must sign the completed form, under penalty of perjury, which includes ticking the box indicating Alaskan residency. The penalty of perjury in this situation is referred to as unsworn falsification. With the passage of HB 241, the application form would be revised to contain the stricter signed testament for being an Alaskan resident as defined under the PFD requirements. He reported that there have been charges brought, when people claim false residency. 10:26:30 AM REPRESENTATIVE KREISS-TOMKINS asked for a historic sense of scale regarding the number of false claims. MR. BROWN said there are not many offenders, and estimated less than 100. The process operates on an honor system, and staff do not work as investigators seeking out violations, but will act on direct reports. REPRESENTATIVE KREISS-TOMKINS asked about the organization aspect for implementing the administrative interface between the cooperating agencies. 10:27:26 AM KEVIN BROOKS, Deputy Commissioner, Alaska Department of Fish & Game (ADF&G), said the administration would be conducted in a "business as usual" manner, as many functions are similar. Violators are not actively pursued, but ADF&G works closely with enforcement agencies. 10:28:31 AM REPRESENTATIVE ORTIZ inquired whether passage of HB 241 will enhance the levels of residency verifications and be an improvement to the situation. MR. BROWN conjectured that the bill will raise the bar and may result in a truer assessment of non-resident surcharges. 10:29:47 AM REPRESENTATIVE HERRON asked what the collateral benefit is to a permit holder, in not paying the surcharge. MR. BROWN responded that the surcharge is only $215.00, and many fishermen may not want to be bothered with the paperwork, preferring instead to pay the fee. 10:31:07 AM CHAIR STUTES opened public testimony. Seeing no respondents she then closed public testimony. 10:31:45 AM REPRESENTATIVE KREISS-TOMKINS moved to report HB 241 out of committee with individual recommendations and the accompanying fiscal notes. There being no objection, HB 241 was reported from the House Special Committee on Fisheries.