SSB 5447

SENATE BILL REPORT
SSB 5447

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Amended by House, April 5, 2007

Title: An act relating to ensuring a sustainable coastal Dungeness crab fishery.

Sponsors: Senate Committee on Natural Resources, Ocean & Recreation (originally sponsored by Senators Hatfield, Jacobsen, Honeyford, Hargrove, Poulsen, Benton and Rasmussen).

Committee Activity: Natural Resources, Ocean & Recreation: 2/07/07, 2/28/07 [DPS].

Majority Report: That Substitute Senate Bill No. 5447 be substituted therefor, and the substitute bill do pass.Signed by Senators Jacobsen, Chair; Rockefeller, Vice Chair; Morton, Ranking Minority Member; Fraser, Hargrove, Poulsen, Spanel, Stevens and Swecker.

Background: Dungeness crab exists in commercial quantities from Alaska to central California. These crabs live in waters from the intertidal zone out to a depth of 170 meters. The coastal Dungeness crab fishery is one of the most valuable commercial fisheries in Washington State. The 2004-2005 season saw a record catch of 21 million pounds, with an ex-vessel value of over $30 million.

Unlike many coastal fisheries which are operated under federal management plans, Congress has authorized Washington, Oregon, and California to manage, with some limitations, the coastal crab fishery in federal waters.

The Legislature and Department of Fish and Wildlife (DFW) have taken measures to limit the growth of this fishery, including limiting entry into the fishery, imposing limitations on the number of pots that may be fished, limiting vessel size and transfers, and pursuing interstate agreements.

The program must provide for the purchase and permanent retirement of coastal Dungeness crab licenses. DFW must design this portion of the program with the goal of purchasing between 80 and 100 licenses. The program may also provide for the purchase or retirement of vessels.

The program must explore funding alternatives that involve federal funding, state funding, industry funding, and combinations of these sources. The program must also include elements necessary for the administration of the program.

The program must be designed to have a neutral impact on crab harvests off the coasts of Oregon and California. Participation in the program is voluntary. DFW must consult with license holders when designing the program, and may contract for assistance in developing the program.

DFW must provide a report to the Legislature detailing the program by December 1, 2007. The program may not be implemented, and state funds may not be expended, without specific legislative authorization.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony: PRO: The bill's goal is to keep the coastal crab fishery sustainable for the crab fishers and for the crab resources. The fishery is overcapitalized, and the growing tribal allocation issues will make the situation more difficult in the future. The industry is willing to take a lead role in working with the federal government to find funding for the program. The industry is hesitant to fund the buyback itself because the industry is already absorbing the transfer of crab catch opportunity to tribal fishers. This bill will help the state and industry survive and stay healthy into the future.

OTHER: The coastal crab fishery is a key fishery for coastal communities. Despite the past efforts of the Legislature, DFW, and the industry, the fishery remains overcapitalized and the solution will not be easy. A buy down of 80 licenses, as contemplated in the legislation, would cost an estimated $50 million. Policy issues for the Legislature to consider when looking at a buyback program include avoiding impacts to other coastal states, the agency's role in soliciting funds for the program, the desired fleet number and harvest levels, and the flexibility granted to DFW in putting the program together.

Persons Testifying: PRO: Senator Hatfield, prime sponsor; Ed Owens, Coalition of Coastal Fisheries; Ray Toste, WDCFA; Dale Beasley, CRCFA.

OTHER: Phil Anderson, DFW.

House Amendment(s): The House striking amendment adds language further specifying that the coastal crab fishery buyback program to be developed by DFW is a proposal, and that further legislative authorization is necessary to implement the program.