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