BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 2363
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 2363 (Chesbro)
          As Amended  August 24, 2012
          2/3 vote.  Urgency
           
           ----------------------------------------------------------------- 
          |ASSEMBLY:  |69-1 |(May 25, 2012)  |SENATE: |35-0 |(August 29,    |
          |           |     |                |        |     |2012)          |
           ----------------------------------------------------------------- 
            
           Original Committee Reference:    W., P., & W.

          SUMMARY  :  Modifies requirements for quality testing of Dungeness 
          crab meat; changes the criteria governing transfers of Dungeness 
          crab vessel permits, and modifies law regulating Dungeness crab 
          trap tag allocations.
           
          The Senate amendments  :

          1)Add further adjustments to the Fish and Game Code relating to 
            quality control testing of Dungeness crab.

          2)Strike provisions expanding the circumstances under which, and 
            the persons to whom, a limited entry fishing permit may be 
            transferred upon the death of the permit holder.

          3)Clarify that it is a Dungeness crab permit holder that has 
            standing to appeal a trap tag allocation, that the appeal is 
            to the director of the Department of Fish and Game (DFG), and 
            that any appeal to revise upward a trap tag allocation must be 
            based on evidence of an unfair hardship. 

          4)Authorize a Dungeness crab permit holder to apply to the 
            administrative law judge (ALJ) for a waiver of trap tag 
            allocation appeal fees.  Authorize the ALJ in determining the 
            waiver request to only consider medical hardship and military 
            service occurring during the period of November 15, 2003, 
            through July 15, 2008.  Provide that an appeal to revise 
            downward a trap tag allocation shall be decided by DFG.

          5)Eliminate requirement that DFG's approval of certain vessel 
            permit transfers be based upon recommendations of the 
            Dungeness crab review panel.

          6)Modify the criteria for temporary transfer of Dungeness crab 








                                                                  AB 2363
                                                                  Page  2

            vessel permits from vessels that are damaged to require that 
            the vessel from which the permit is being transferred must 
            have had crab landings made with trap gear documented on DFG 
            landing receipts in an amount not less than 5,000 pounds 
            cumulative for the last two Dungeness crab seasons, and to 
            require that the replacement vessel be one which is not 
            already permitted for Dungeness crab, is of equivalent size 
            and capacity as the originally permitted vessel, and is no 
            greater than 10 feet longer overall than the originally 
            permitted vessel.  Only the permittee at the time of the loss 
            may apply for the permit transfer.  

          7)Require proof of the loss or destruction of the vessel to be 
            documented with copy of a report filed with the United States 
            Coast Guard or other law enforcement or fire agency that 
            investigated the loss, and require that cost repair estimates 
            be provided in the case of mechanical breakdowns.  Permit 
            transfers in the case of fraud would be prohibited.  Add 
            similar requirements with regard to requests for permanent 
            transfers of Dungeness crab vessel permits in cases of loss or 
            damage rendering a vessel inoperable.

          8)With regard to renewable permit transfers in the event of the 
            death or incapacity of a permit holder, authorize the estate 
            of the permit holder to renew the permit, and to transfer the 
            permit no later than two years from the death of the permit 
            holder.

          9)Require a vessel owner to sign and certify the truth of 
            information contained in an application for a permit transfer.

          10)Require existing vessel permit transfer fees to apply to all 
            transfers of permits.

          11)Adjust the "reasonable cost" amount for secretarial service, 
            travel, and postage by a county fish and wildlife commission.  
            The fee would be adjusted from 3% of the average amount 
            received by the fund during the previous three-year period, or 
            $3,000 annually, whichever is greater, to 15% of the average 
            amount received by the fund during the previous three-year 
            period, or $10,000 annually, whichever is greater.

          12)Delete proposed authorization for retrieval of lost or 
            abandoned crab traps and instead require DFG, in consultation 
            with the Dungeness Crab Task Force, to develop regulations as 








                                                                  AB 2363
                                                                  Page  3

            necessary to provide for retrieval of lost or abandoned 
            commercial crab traps.  

          13)Add an urgency clause.
           
          AS PASSED BY THE ASSEMBLY  , this bill:

          1)Required a limited entry fishery permit to be transferred, 
            upon application, to a parent, spouse, child, sibling, 
            domestic partner, or other natural person who is an heir of a 
            permit holder whose death occurred after January 1, 2010.  
            Required that the application for the transfer be submitted on 
            or before July 1, 2013, or not more than one year after the 
            death of the permittee, whichever is later.

          2)Authorized the DFG director to authorize another person, when 
            requested by the new permittee, to serve in the place of the 
            new permittee and to fish under the limited entry permit for 
            not more than one year from the date of the permit transfer.

          3)Narrowed the conditions under which Dungeness Crab vessel 
            permits may be temporarily transferred by requiring that the 
            permit holder who is seeking to transfer the permit must have 
            had Dungeness crab landings of not less than 5,000 pounds 
            cumulative over the past two years, and requiring that the 
            vessel to which the permit is to be temporarily transferred be 
            of equivalent size and capacity, and no greater than 10 feet 
            longer in length.  Required as a condition of a permanent 
            transfer of a Dungeness crab vessel permit in the event of a 
            loss or destruction or serious damage rendering a vessel 
            inoperable, that the replacement vessel be of an equivalent 
            size and capacity.

          4)Authorized any person with a commercial fishing license to 
            retrieve and bring to shore Dungeness Crab traps that are lost 
            or abandoned, or are present in ocean waters in Districts 6, 
            7, 8, 9 or 10, more than 96 hours after the closure of the 
            season in that district and before 96 hours prior to the 
            opening of the next season.  Provided that this authority 
            shall not apply to recreational crab traps.  Required DFG to 
            establish regulations as necessary to implement and enforce 
            this provision, including notification to owners of the traps, 
            any retrieval fee, and sale or auction of retrieved traps.  
            Included a sunset clause providing that this provision shall 
            become inoperative on April 1, 2019.








                                                                  AB 2363
                                                                  Page  4

           
          FISCAL EFFECT  :  According to the Senate Appropriations 
          Committee, pursuant to Senate Rule 28.8, negligible state costs.
           
          COMMENTS  :  The Senate amendments, among other things, make 
          changes to the quality testing of Dungeness crab such that the 
          meat extracted from the test may be sold by the entity approved 
          by DFG and revenues from the sale used for managing the testing 
          program.  Revenues from the sale would be required to be 
          deposited in an account managed by the Pacific States Marine 
          Fisheries Commission.  Guidelines for the testing program are to 
          be developed in consultation with representatives of the 
          California Dungeness crab industry, including California 
          delegates to the Tri-State Dungeness Crab Commission, members of 
          the California Dungeness Crab Task Force, or both.  The 
          guidelines are to include suggestions for the management of 
          funds received from the sale of the crab meat extracted during 
          the quality testing, guidelines for the testing program, and 
          measures to track crab caught for the purpose of the testing 
          program.  

          The Senate amendments also clarify the criteria for appeal of a 
          trap tag allocation and authorize a permit holder to apply to 
          the ALJ for a waiver of appeal fees.

          The Senate amendments also modify the criteria for transfers of 
          Dungeness crab vessel permits where vessels are damaged, 
          including requirements for proof of loss and signed 
          certifications.  

          An urgency clause was added on the basis that improved ability 
          for Dungeness crab quality testing should commence prior to the 
          2012-13 crab season, which may begin November 15, 2012.  
          According to the author, this improved testing will provide the 
          Director of DFG vital information that was lacking during the 
          2011-12 crab season.  Without this improved testing, the crab 
          season could be prematurely opened or unnecessarily closed.
           

          Analysis prepared by  :    Mandy Arens and Diane Colborn / W., P. 
          & W. / (916) 319-2096     


                                                               FN: 0005734 









                                                                  AB 2363
                                                                  Page  5