BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                   SB 470|
          |Office of Senate Floor Analyses   |                         |
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                                 THIRD READING


          Bill No:  SB 470
          Author:   Evans (D)
          Amended:  5/31/11
          Vote:     21

           
           SENATE NAT. RESOURCES & WATER COMMITTEE  :  7-0, 4/12/11
          AYES:  Pavley, La Malfa, Cannella, Evans, Fuller, Kehoe, 
            Wolk
          NO VOTE RECORDED:  Padilla, Simitian

           SENATE APPROPRIATIONS COMMITTEE  :  7-2, 5/26/11
          AYES:  Kehoe, Alquist, Emmerson, Lieu, Pavley, Price, 
            Steinberg
          NOES:  Walters, Runner


           SUBJECT  :    Commercial fishing:  salmon stamp

           SOURCE :     Author


           DIGEST  :    This bill extends the sunset of a requirement 
          that commercial salmon fishermen purchase a commercial 
          salmon stamp, and extends the sunset of code provisions 
          authorizing the expenditure of commercial salmon stamp 
          revenues.

           ANALYSIS  :    Section 7862 of the Fish and Game Code 
          establishes the Commercial Salmon Trollers Advisory 
          Committee (Committee), consisting of six members, selected 
          by the Director of the Department of Fish and Game (DFG).  
          The Committee is charged with recommending programs and a 
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          budget for expenditures from the account to DFG, whom must 
          include this information to the Legislature through the 
          Governor's Budget.  DFG may only recommend funding for 
          programs that have been recommended by the Committee.

          Under current law, commercial salmon fishermen pay for a 
          commercial salmon stamp.  The commercial salmon stamp cost 
          is $85 plus an additional fee determined by a formula based 
          on the previous year's total industry catch.  The maximum 
          fee is $260.  The 2011-12 commercial salmon stamp costs 
          $87.55 (which reflects last year's very poor commercial 
          salmon season).

          Fee revenues are deposited into the Commercial Salmon Stamp 
          Account within the Fish and Game Preservation Fund.  These 
          funds are continuously appropriated to DFG to fund programs 
          to enhance commercial salmon fishing, including habitat 
          restoration projects and salmon hatchery operations.  
          Current law caps administrative expenditures at 3.3 percent 
          of total expenditures.  Current law creates a Commercial 
          Salmon Trollers Advisory Committee to recommend projects 
          for funding from the program.  These statutory requirements 
          sunset on January 1, 2012.

          This bill extends the sunset date of these provisions to 
          January 1, 2014, allows administrative costs to be set at 
          15 percent of expenditures, and requires specified 
          expenditure reporting by DFG.

           Background
           
          A commercial fishing permit from DFG is required for the 
          commercial take of fish.  Commercial salmon fishermen are 
          also required to purchase a commercial fishing salmon stamp 
          under Section 7860 of the Fish and Game Code.  The base 
          cost of the permit is $85.  However, if more than 
          three-million pounds of commercial troll salmon were landed 
          in the previous year, the permit fee may be increased based 
          on the salmon landed, with a cap of $260.  The 2011-2012 
          commercial fishing stamp costs $87.55, which is reflective 
          of last year's poor salmon season.

          Proceeds from the commercial salmon stamp, less 
          administrative costs which are capped at 3.3 percent, are 







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          to be deposited in the Commercial Salmon Stamp Account 
          (account) in the Fish and Game Preservation Fund. Monies in 
          the fund are continuously appropriated to DFG for salmon 
          restoration and enhancement programs to increase open 
          salmon landings, and for other related purposes.  Thirty 
          dollars of the salmon stamp fee must be used by DFG for the 
          hatchery production of Chinook salmon that are to be 
          released into state waters. DFG must match the stamp monies 
          used for the hatcheries with non-stamp funds.

           FISCAL EFFECT  :    Appropriation:  Yes   Fiscal Com.:  Yes   
          Local:  Yes

                          Fiscal Impact (in thousands)

           Major Provisions                2011-12     2012-13    
           2013-14   Fund
           
          Future Stamp revenues                             Between 
          ($200) and ($500) per year                        Special*

          Future restoration and                       Between $170 
          and $425 per year   Special*
          hatchery operations

          Allowed admin. costs                         Between $30 
          and $75 per year                             Special*

          Admin. Subsidy from           Up to $45 per yearSpecial*
          other accounts

          *Fish and Game Preservation Fund

           SUPPORT  :   (Verified  5/27/11) (prior version)

          Pacific Coast Federation of Fishermen's Association

           ARGUMENTS IN SUPPORT  :    According to the author's office, 
          "Fishermen know that rearing salmon and restoring their 
          habitat is key to bringing back California's once great 
          runs of salmon.  That is why commercial fishermen have been 
          willing to tax themselves through the Salmon Stamp Program 
          to supplement Department of Fish and Game rearing and 
          restoration projects.  This year, our salmon fisheries are 







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          on the rebound after several years of serious declines and 
          closures.  And this year, unless we pass SB 470, the Salmon 
          Stamp program expires, taking with it one of the state's 
          key tools to finance salmon recovery."


          CTW:do  5/31/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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