HOUSE SPECIAL COMMITTEE ON FISHERIES March 8, 1995 5:03 p.m. MEMBERS PRESENT Representative Alan Austerman, Chairman Representative Gary Davis Representative Kim Elton Representative Scott Ogan MEMBERS ABSENT Representative Carl Moses, Vice Chair COMMITTEE CALENDAR Confirmation Hearing for Frank Rue, Commissioner Designee, Alaska Department of Fish and Game. CONFIRMATION ADVANCED HJR 23: Relating to the Western Alaska Community Development Quota Program and the North Pacific Fishery Management Council Comprehensive Rationalization Program. PASSED OUT OF COMMITTEE WITNESS REGISTER FRANK RUE, Commissioner Designee Alaska Department of Fish and Game Post Office Box 25526 Juneau, Alaska 99811 Telephone: 465-4100 POSITION STATEMENT: Presented brief statement and resume GORDON JENSEN Post Office Box 264 Petersburg, Alaska 99833 Telephone: 772-4705 POSITION STATEMENT: Supported Frank Rue's confirmation DALE BONDURANT HC 1, Box 1197 Soldotna, Alaska 99669 Telephone: 262-0818 POSITION STATEMENT: Expressed Concerns about Frank Rue's confirmation BEN ELLIS, Executive Director Kenai River Sport Fishing Post Office Box 1228 Soldotna, Alaska 99669 Telephone: 262-8588 POSITION STATEMENT: Supported Frank Rue's confirmation AL FRANZMANN Post Office Box 666 Soldotna, Alaska 99669 Telephone: 262-4107 POSITION STATEMENT: Expressed Concerns about Frank Rue's confirmation STOSH ANDERSON Post Office Box 310 Kodiak, Alaska 99615 Telephone: 486-3673 POSITION STATEMENT: Supported Frank Rue's confirmation OLIVER HOLMES Area K Seiners Association Post Office Box 3865 Kodiak, Alaska 99615 Telephone: 486-6957 POSITION STATEMENT: Supported Frank Rue's confirmation LARRY MALLOY, Executive Director Kodiak Regional Aquaculture Association Post Office Box 2407 Kodiak, Alaska 99615 Telephone: 486-6555 POSITION STATEMENT: Supported Frank Rue's confirmation KRIS NOROSZ, Executive Director Petersburg Vessel Owners Association Post Office Box 232 Petersburg, Alaska 99833 Telephone: 772-9323 POSITION STATEMENT: Supported Frank Rue's confirmation DEAN PADDOCK Bristol Bay Driftnetters Association Post Office Box 21951 Juneau, Alaska 99802 Telephone: 463-4970 POSITION STATEMENT: Supported Frank Rue's confirmation JOHN WALSH, Aide Representative Richard Foster State Capitol, Room 410 Juneau, Alaska 99801 Telephone: 465-3789 POSITION STATEMENT: Provided sponsor statement for HJR 23 PREVIOUS ACTION BILL: HJR 23 SHORT TITLE: COMMUNITY DEVELOPMENT FISHING QUOTAS SPONSOR(S): REPRESENTATIVE(S) AUSTERMAN,Ivan,Foster,Finkelstein JRN-DATE JRN-PG ACTION 01/25/95 129 (H) READ THE FIRST TIME - REFERRAL(S) 01/25/95 129 (H) FSH, L&C 01/30/95 180 (H) COSPONSOR(S): FINKELSTEIN 02/08/95 (H) FSH AT 05:00 PM CAPITOL 124 02/08/95 (H) MINUTE(FSH) 03/08/95 (H) FSH AT 05:00 PM CAPITOL 124 ACTION NARRATIVE TAPE 95-16, SIDE A Number 000 The House Special Committee on Fisheries was called to order by Chairman Alan Austerman at 5:03 p.m. Members present at the call to order were Representatives Austerman, Elton and Ogan. The meeting was on teleconference with Kodiak, Kenai/Soldotna and Petersburg.  Number 036 HFSH - 03/08/95 CONFIRMATION HEARING - ADF&G COMMISSIONER DESIGNEE, FRANK RUE FRANK RUE, Commissioner Designee, Alaska Department of Fish and Game (ADF&G), gave an opening statement. Mr. Rue conveyed his deep caring and belief in the mission of ADF&G. The main mission of the ADF&G, he stated is, "To leave the resource in better shape, than it was when we found it, and make sure it's available for people to use and enjoy." He indicated that he has been with the department for about seven years as the Director of Habitat. He emphasized, "One of the strengths I think I bring to the job is my management style. My ability to work with people, both within the department, as well as various interests and outside the department." He went on to note that a fundamental part of management is respecting the views of other people. He asserted, "Part of respecting people's view is listening, because you don't always have the idea, the only idea, the only solution. And that is something I will continue to do as commissioner; listen to the staff, listen to the people of Alaska who care about these resources and use them." He further avowed, "I believe it's critical that the department bring both to the legislature and the public, the best information we can." Number 136 CHAIRMAN AUSTERMAN indicated that some concerns have been raised to him, that Mr. Rue might have a tendency towards habitat protection, rather than allowing other resources to be developed, as some people would like to see. MR. RUE responded that he certainly couldn't guarantee that he would agree with everyone on how the resources should be development within the state. He added, "I believe that what we want to achieve in Alaska, is a balance among our resources." He felt that the Division of Habitat has not stood in the way of resource development. MR. RUE emphasized, "If the ADF&G raises a concern, we ought to be very clear about the level of our concern and the basis for our concern." He further commented, "I'm not against development, but I would like to see it happen in a way that maintains other resources." Number 202 REPRESENTATIVE KIM ELTON commented that some of the more difficult decisions that government has, deals with balancing the needs of different resource industries. He added that Mr. Rue, by working with three different Administrations, has demonstrated an ability to work with people. Number 230 GORDON JENSEN testified via teleconference from Petersburg, strongly supporting Mr. Rue for the ADF&G commissioner. He hoped that the legislature doesn't play politics with the appointments of commissioners. Number 252 DALE BONDURANT testified via teleconference from Soldotna, raising some concerns about this confirmation and the need for some questions to be answered. He declared, "Since the federal subsistence law and their board's management regulations are not in compliance with Alaska's Constitution, Article 1, Section 1, and Article 8; equality under the law and common use and no (indisc.) privilege for provisions. I ask, under what justification can the state employees be used to support, regulate or enforce these regulations? Further, since a very large percentage of the ADF&G is funded by federal Dingell-Johnson and Pittman-Robertson grants, which results from specific excise taxes paid on sports, fishing and hunting equipment. How can the state legally use these monies and the necessary matching funds for fish and game management of the resources, which are closed to equal use by so called sport users? I believe an injunction against future use and an audit of past use of these specific funds are in order. When will Alaska quit paying to furnish information of support to the enemy, who violates state Constitution provisions of equal consideration for the mass majority of Alaskans?" CHAIRMAN AUSTERMAN suggested that all teleconference participants be heard first and then Mr. Rue can respond to any questions raised. Number 286 BEN ELLIS, Executive Director, Kenai River Sport Fishing, testified via teleconference from Soldotna, in support of Mr. Rue's confirmation. He conveyed, "We have found him to be knowledgeable towards fishery issues. A professional who knows how to work with the staff and public and especially a person who seeks consensus to difficult resolutions." Mr. Ellis further stated, "He was the department's lead in negotiating and securing passage of the Forest Practices and Mining Reclamation Act." Number 325 AL FRANZMANN testified via teleconference from Soldotna, with concerns and a specific question for Mr. Rue. In reference to the altered report on the wolf kill investigation, Mr. Franzmann had a concern about how Mr. Rue may deal with other controversial issues. He asked, "Can we expect more wolf-gates during your tenure?" Number 340 STOSH ANDERSON testified via teleconference from Kodiak, strongly supporting Mr. Rue's appointment. He pointed out, "I believe Frank has a handle on the issues that are before the state and the department. I believe he'll provide the balanced management of staff to address these problems." Number 355 OLIVER HOLMES, Area K Seiners Association, testified via teleconference from Kodiak, supporting the confirmation of Mr. Rue. Number 365 LARRY MALLOY, Executive Director, Kodiak Regional Aquaculture Association, testified via teleconference from Kodiak, supporting and endorsing Mr. Rue as commissioner of ADF&G. He indicated, "We were impressed with his abilities to resolving issues of conflict where fish habitat was involved." Number 384 KRIS NOROSZ, Executive Director, Petersburg Vessel Owners Association, testified via teleconference from Petersburg, in full support of Mr. Rue. She briefly said, "We've worked with Mr. Rue on habitat issues and have found him to be very open and direct. He works quite well with the public." Number 396 DEAN PADDOCK, Bristol Bay Driftnetters Association, testified on behalf of the association in full support of Mr. Rue's confirmation. He indicated that people who work for Mr. Rue, think very highly of him. He said, "I believe that Frank Rue has the potential to be an outstanding commissioner." Number 422 MR. RUE responded to Mr. Franzmann about the incident of the wolf kill. He recounted, "I had very strong concerns with the initial report that came out on that incident as well. I met with Public Safety and the staff and I came out with my findings, which I believe corrected some of the problems with that report. I shared the concern and went immediately to Fairbanks with Public Safety to clarify the points that I thought were inaccurate and that were causing some problems in the public perception, as well as the staff perception." MR. RUE indicated that he wasn't prepared to answer Mr. Bondurant's broad questions because of the time factor involved. CHAIRMAN AUSTERMAN noted that Representative Davis arrived at 5:28 p.m. Number 446 REPRESENTATIVE SCOTT OGAN asked Mr. Rue if he would be willing to work with the Fish and Game Boards, to follow their directions concerning intensive management. MR. RUE replied that in general he would follow their direction. But he went on to say, "What I've been charged to do by the Governor, is work with the board and the public and see if we can come up with a predator control policy, which is one aspect of intensive management." He went on briefly to describe the components of a successful policy and other segments of intensive management that are far easier to deal with. REPRESENTATIVE OGAN posed a hypothetical question for Mr. Rue. He asked, "If it's determined, that the best way to improve habitat for moose in a particular area, would be to, maybe, step up logging efforts, would you have any problems doing that?" MR. RUE indicated they would make sure the logging was done correctly to benefit the wildlife and the timber resource. REPRESENTATIVE OGAN followed up with a question on intensive management. He asked if in certain circumstances where you have extremely high predation of young calves, would predator control be the most cost effective and best way to manage this situation. MR. RUE asserted that there are times when predators do cause a problem. A population can be depressed to the point where predator control will have a significant benefit to both the predator and the prey population. He wants to work with the Board of Game and make this a deliberate process. He further stated, "My biggest concern on this issue is that the various interests will push it to the point where we'll have to make hasty decisions and it will get everyone polarized and in their corners." MR. RUE continued by saying, "I believe the only way, if we do decide to do predator control, it should be with aircraft. There is no other efficient, humane way to do it. I think the last effort in Unit 28 demonstrated that." He emphasized that ADF&G were going to have to work with people so they understand the benefits and the biology involved with predator control. REPRESENTATIVE OGAN commented that the perception exists about hunters who believe, "The only good wolf is a dead wolf." Some areas have too many wolves and some units don't have enough," he said. For the record, he stressed, "We don't want the wolves killed off in this state, we just would like to achieve a reasonable balance." MR. RUE responded that a large minority of Alaskans are hunters. He observed, "I think we as hunters have a responsibility to make sure that our activities are done in a way that the rest of the nonhunting public finds acceptable." He went on to add, "I think we have to be careful as hunters, not to be too focused and narrow in our perspective." REPRESENTATIVE ELTON moved to forward Frank Rue's name to a joint session of the House and Senate for consideration as the commissioner of ADF&G.  CHAIRMAN AUSTERMAN hearing no objection, ordered it so moved. HFSH - 03/08/95 HJR 23 - COMMUNITY DEVELOPMENT FISHING QUOTAS  Number 571 REPRESENTATIVE GARY DAVIS moved to accept committee substitute for HJR 23 as a working document. CHAIRMAN AUSTERMAN hearing no objection, placed CSHJR 23(FSH) before the committee. JOHN WALSH, Aide to Representative Richard Foster, affirmed they do support the committee substitute and encouraged passage of this resolution. He commented that the Community Development Quota (CDQ) program has brought tremendous economic development potential and opportunity for development in rural Alaska. This experimental program comes to an end at the end of this calendar year. He stated the North Pacific Fisheries Management Council (NPFMC) is not prepared to establish a permanent regime of comprehensive rationalization. In order to prolong the current CDQ program, a proposal is before the council to extend it for three years. He further stated that the resolution of endorsement would be appropriate and significant for the NPFMC to have before them at their June meeting. Number 612 REPRESENTATIVE ELTON commented that there is probably no single issue that is more important to Alaskan jobs than the CDQ program. CHAIRMAN AUSTERMAN acknowledged and agreed with Representative Elton's comments. The inshore/offshore issue of getting more fish ashore means jobs to the coastal communities. The CDQ program is part of that issue and is really a boom to the Bering Sea area. Number 634 REPRESENTATIVE DAVIS also agreed with the importance of this program. The CDQ's improve the job and economic base in that area of the state. He made a motion to move CSHJR 23(FSH) out of committee, with individual recommendations. CHAIRMAN AUSTERMAN upon hearing no objections, moved CSHJR 23(FSH) out of the House Special Committee on Fisheries, with individual recommendations. ADJOURNMENT CHAIRMAN AUSTERMAN adjourned the meeting at 5:45 p.m.