WSR 97-22-087

PROPOSED RULES

DEPARTMENT OF

FISH AND WILDLIFE

(Fisheries)

[Filed November 5, 1997, 8:16 a.m.]

Original Notice.

Preproposal statement of inquiry was filed as WSR 97-19-091.

Title of Rule: Sale of eggs and carcasses by volunteer cooperatives and regional enhancement groups.

Purpose: Provide for accounting mechanism.

Statutory Authority for Adoption: RCW 75.50.100, 75.52.035.

Statute Being Implemented: RCW 75.50.100, 75.52.035.

Summary: Clarify definitions; provide accountability and procedure for carcass and egg sales.

Reasons Supporting Proposal: Accountability.

Name of Agency Personnel Responsible for Drafting: Evan Jacoby, 1111 Washington Street, Olympia, 902-2930; Implementation: Sandi Snell, 1111 Washington Street, Olympia, 902-2229; and Enforcement: Ron Swatfigure, 1111 Washington Street, Olympia, 902-2927.

Name of Proponent: Washington State Department of Fish and Wildlife, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: These rules provide for accountability of salmon carcass and salmon egg sales, and the distribution of the funds received. They protect department programs by ensuring that eggs are first used for production, and allow for increasing the scope of volunteer cooperative projects and fisheries regional enhancement groups by providing necessary funding.

Proposal Changes the Following Existing Rules: Changes definitions and project recovery of reimbursable expenses.

No small business economic impact statement has been prepared under chapter 19.85 RCW. This rule affects volunteers, not small businesses.

Section 201, chapter 403, Laws of 1995, does not apply to this rule adoption. Not hydraulics rules.

Hearing Location: Red Lion Inn, Spokane, on December 12-13, 1997, at 9:00 a.m.

Assistance for Persons with Disabilities: Contact Robin Ayers by December 1, 1997, TDD (360) 902-2295, or (902) [(360)] 902-2933.

Submit Written Comments to: Evan Jacoby, 600 Capitol Way North, Olympia, WA 98501, FAX (360) 902-2940, by December 5, 1997.

Date of Intended Adoption: December 13, 1997.

November 4, 1997

Evan Jacoby

Rules Coordinator

AMENDATORY SECTION (Amending Order 90-06, filed 1/30/90, effective 3/2/90 WAC 220-140-010 Definitions. The following definitions apply to this chapter:

(1) "Regional fisheries enhancement group" or "group" means a nonprofit association established in compliance with Title 24 RCW, representing diverse interests, and which will work together within a predesignated area for the express purpose of enhancing salmon production and habitat in that area.

(2) (("Enhancement project" means a project undertaken or overseen by a group, whether publicly or privately funded, the goal of which project is an increase in the salmon resource of the state. Enhancement projects include both salmon production and salmon habitat improvement.

(3) "Regional enhancement task force" means persons, representing diverse interests, who have been designated by the department of fisheries to review the establishing of groups, to select among competing prospective groups, and to review start up enhancement project applications. Should the legislature authorize a regional fisheries enhancement group advisory board, the board shall take over the responsibilities of the task force.)) "Regional fisheries enhancement group's project surplus viable salmon eggs" means those viable salmon eggs that are surplus to both the needs of the department and other public entities within the state and to the group itself. The priority for use of viable salmon eggs is as established in chapter 220-74 WAC.

[Statutory Authority: 1989 c 426 and RCW 75.08.080. 90-04-026 (Order 90-06), 220-140-010, filed 1/30/90, effective 3/2/90.]

NEW SECTION

WAC 220-140-040 Project funds from the sale of surplus salmon carcasses and eggs. (1) Regional fisheries enhancement groups whose projects produce surplus salmon carcasses and eggs may request that the department sell such surplus, providing the following conditions are met:

(a) Salmon must be returning to a department approved group facility (hatchery, trap or weir);

(b) An approved and current salmon rearing project must be on file with the department;

(c) The department must declare that a surplus exists beyond the needs of the department, tribes, other public entities, and group project requirements; and

(d) Use of funds generated by such sale will be approved by the regional fisheries enhancement group advisory board and the department, using the same procedure as established for handling moneys allocated from the regional fisheries enhancement group account.

(2) The department may sell the surplus salmon carcasses, nonviable eggs and viable eggs of a group project. Surplus viable salmon eggs shall be sold by the department as prescribed in chapter 220-74 WAC, Surplus salmon eggs. A group may not sell any salmon products resulting from its activities.

(3) All money received by the department from the sale of group surplus salmon carcasses, nonviable eggs and viable eggs shall be placed into the regional fisheries enhancement group account and used solely to fund the expenses of approved activities for the group that developed the project.

(4) All money received by the department from the sale of surplus salmon carcasses, nonviable eggs and viable eggs returning to state funded hatcheries shall be placed into the general regional fisheries enhancement group account. Eighty percent of this money will be distributed equally to each of the twelve groups and twenty percent will be used by the department to administer the program.

(5) All fish produced from an approved group project are intended for release into state waters. Live fish will not be transported from a group project without prior written approval of the department.

(6) Surplus carcasses from salmon returning to a group project may be seeded into and along streams if a plan to do so has been preapproved and coordinated by the department.

[]

AMENDATORY SECTION (Amending Order 89-02, filed 1/6/89)

WAC 220-130-020 Definitions. For the purposes of this chapter:

(1) Project means a volunteer fisheries resource project.

(2) ((Director's)) Commission's designee means the director, deputy director or the assistant director for resource management having departmental authority over the species being enhanced by the volunteer program.

(3) Reimbursable expense means an actual expense of the volunteer cooperative project that may be reimbursed by the department to the project from funds generated by the sale of surplus salmon eggs and salmon carcasses from that project. Reimbursable expenses include but are not limited to: Fish food; hardware items; lumber; telephone; electricity; salary for hired labor; office supplies; mileage; insurance; fish culture supplies. Nonreimbursable expenses include purchases of items that have certificate of title or ownership, including but not limited to real estate and motor vehicles, or expenses for debt reduction.

(4) Volunteer cooperative project surplus salmon eggs means those viable salmon eggs that are surplus to both the needs of all programs of the department and other public entities within the state and to the volunteer cooperative project itself. Priority of use of viable eggs ((by the department and other public entities)) is ((the highest priority, and project use is second only to departmental and public entity use)) as established by chapter 220-74 WAC.

[Statutory Authority: RCW 75.52.035. 89-03-015 (Order 89-02), 220-130-020, filed 1/6/89. Statutory Authority: RCW 75.08.080. 85-04-045 (Order 85-07), 220-130-020, filed 2/1/85.]

AMENDATORY SECTION (Amending Order 89-02, filed 1/6/89)

WAC 220-130-070 Project recovery of reimbursable expenses. (((1) In order for a project to recover reimbursable expenses, the project must have an annual budget presubmitted and approved by the department. The budget must generally show expected expenses, including the names of all persons expected to draw salaries as hired labor.

(2) The department may sell the products of a project when they are available. The project may not sell products. Nonviable salmon eggs and salmon carcasses shall be sold under competitive bidding. Volunteer cooperative project surplus salmon eggs shall be sold as prescribed by chapter 220-74 WAC, Surplus salmon eggs.

(3) All moneys received by the department from the sale of project products shall be placed into a special account used solely to fund the reimbursable expenses of that project.

(4) The project shall annually submit a list of expenses, which will be reviewed by the director or his designee. The department may require actual receipts for items purchased and will require signed timesheets for hired labor salary expenses.

(5) Reimbursable expenses shall be limited to the actual annual operating expenses of the project. No profit may be realized by the project, and no moneys shall apply to amortization or depreciation.

(6) Moneys accruing in excess of the reimbursable expense amount, as determined by the director, shall annually be remitted to the state general fund.)) (1) For a project to recover expenses from the sale of surplus salmon carcasses and eggs resulting from project supplementation activities, the following requirements must first be met:

(a) Salmon must be returning to a department approved group facility (hatchery, trap or weir);

(b) An approved and current salmon rearing project must be on file with the department;

(c) The agency must declare that a surplus exists beyond the needs of the department, tribes, other public entities, volunteer cooperative projects and regional fisheries enhancement group requirements; and

(d) An annual budget must be presubmitted and approved by the department.

The department shall indicate which expenses are approved for reimbursement. The budget must be submitted to the department by the first of July preceding the expected return of the salmon, and show expected expenses. To collect the funds the project shall annually submit a list of expenses for review by the commission or its designee. The department shall require actual receipts for items purchased. Expenses shall be limited to the actual annual operation expenses of the project as detailed in the preapproved budget. No profit may be realized by the project and no money shall apply to amortization or depreciation.

(2) The department may sell surplus salmon carcasses and nonviable eggs of a project. If the department cannot sell the surplus salmon carcasses and nonviable eggs of a project, then the project may sell them directly, subject to the following guidelines:

(a) Surplus salmon carcasses and nonviable eggs shall be sold under a competitive bidding system;

(b) The project must provide bid information to the commission or its designee for approval prior to any sale;

(c) Revenue resulting from the sale must be deposited by the successful bidder into a special account of the department and used solely to fund the approved expenses of the project that produced the surplus;

(d) Salmon products provided to the volunteer cooperative project by the successful bidder as part of the approved sale arrangement shall strictly adhere to applicable department of health and department of agriculture requirements;

(e) The project shall provide to the department detailed accounting records of salmon products provided by the successful bidder as part of the approved sale arrangement, including: Types and amount of salmon product received; monthly disposition of salmon products including amount sold, amount in storage, or amount no longer viable, and total moneys collected; and

(f) All revenue from the sale of salmon products provided to the successful bidder as part of the approved sale arrangement shall be deposited into a special account of the department and used solely to fund the approved expenses of the volunteer cooperative project that produced the surplus.

(3) The department may sell the surplus viable salmon eggs of a project. Surplus viable salmon eggs will be sold by the department as prescribed in chapter 220-74 WAC. Revenue received shall be deposited into a special account of the department and used solely to fund the approved expenses of the project that produced the surplus. Surplus viable salmon eggs may not be sold by a project.

(4) Revenue from the sale of surplus salmon carcasses and eggs placed into the special account of the project producing the surplus may not exceed the amount reflected by the current preapproved budget for project expenses. Moneys accruing in excess of the approved expense amount, as determined by the commission or its designee, shall annually be remitted to the state general fund.

(5) All fish produced from a project are intended for release into state waters. Live fish will not be transported from a project without prior written approval of the department.

(6) Surplus carcasses of salmon returning to an approved volunteer cooperative project may be seeded into and along streams for the purpose of nutrient enrichment if a plan has been preapproved and coordinated with the department.

[Statutory Authority: RCW 75.52.035. 89-03-015 (Order 89-02), 220-130-070, filed 1/6/89.]

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