Session: State Capitol, Room 13 Juneau, AK 99801-1182 Phone: (907) 465-2689 Fax: (907) 465-3472 Interim: 345 W. Sterling Hwy. Suite 102B Homer, AK 99603 Phone: (907) 235-2921 Fax: (907) 235-4008

Sponsor Statements for HB 288
Limited Entry Buy-Back Program

An Act relating to commercial fisheries limited entry permit buy-back programs.

Efficiencies in commercial fishery harvest practices have increased since the inception of the limited entry program. Arguably more permits were originally issued than necessary to effectively harvest the resource for sustained yield in some areas. Alaska presently has approximately 12,000 commercial fishing permits, with about three-fourths of those owned by Alaskans. The limited entry program instituted in the early 1970s worked well for those times; however, with low prices and an excess of harvesters, it is apparent that what worked thirty years ago is splitting the pie into minute portions today.

With the advent of foreign-farmed fish, members from the Alaska commercial fishing industry are now looking at ways to consolidate efforts, maximize efficiencies, and promote better quality. One such method of consolidation is a buy-back or buy-down program.

The provision currently in statute allowing for a buy-back requires purchase of the fishing vessel, skiff, nets, and related equipment involved in an individual's fishing operation as well as the permit. This last requirement can be cumbersome, costly, and an inherent disincentive to effectively promote a desired buy-back plan. This bill would allow for a buy-back plan that would incorporate the purchase of permits only, thus making it easier to clarify the costs associated with implementing such a plan. While the legislature would need to appropriate the funding to capitalize the buy-backs, the source of the funds could originate from several sources such as federal grants and permit holder self-assessment. The bill also provides for relinquishment of a permit to the Commercial Fisheries Entry Commission. In this bill, "optimum number" is redefined to mean an optimum range of numbers, a definition that more closely meets the needs for the conditions of Alaska's present-day fisheries.

In no way does this legislation imply or change in existing statute the status of voluntary participation in any such buy-back.

# # #

Attachments:

• Print Friendly Version
  requires Adobe Acrobat Reader - 1 page(s) - 96 K

| Rep. Scalzi's Page |

| Top | Home | Site Search | Breaking News | Legislators | Bills |
| Committees | E-Newsletter | Surveys | Research | Help |

The Official Web Site of the House and Senate Legislative Majorities
for the 22nd Alaska State Legislature
To Report Technical Problems or Contact Webmasters