BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           408 (Saldana)
          
          Hearing Date:  08/02/2010           Amended: 08/02/2010
          Consultant:  Brendan McCarthy   Policy Vote: NR&W 5-3














































          AB 408 (Saldana), Page 2


          _________________________________________________________________ 
          ____
          BILL SUMMARY:  AB 408 creates a new supplemental fee to be paid  
          by commercial spiny lobster fisherman. Proceeds from the fee  
          will be expended by the Department of Fish and Game on projects  
          to improve the sustainability of the spiny lobster fishery. The  
          bill also creates an advisory committee to provide input to the  
          Department on expenditure of the fee revenues. 
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          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2010-11      2011-12       2012-13     Fund
           
          Fee revenues                      ($61)       ($61)     Special  
          *

          Fishery management                $46         $46       Special  
          *
             projects

          Allowed program administration    $15         $15       Special  
          *

          Additional administration cost                $10        
          $10Special **

          * Fish and Game Preservation Fund, new dedicated account.
          ** Fish and Game Preservation Fund, Non-dedicated account.
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: 
          
          Under current law, commercial anglers taking spiny lobsters in  
          waters of the state are required to have a permit from the  
          Department of Fish and Game. The current commercial permit fee  
          is $336 and the permit fee for a fishing boat crew member is  
          $159. The Department has the authority to limit the number of  
          permits issued to protect the sustainability of the spiny  
          lobster fishery. The Department issues approximately 200  
          commercial spiny lobster fishing permits per year. Proceeds from  
          permit fees are deposited in the Fish and Game Preservation Fund  
          Non-dedicated account and are used for administrative costs,  
          fishery management, and enforcement activities.








          AB 408 (Saldana), Page 2


          This bill establishes a $300 supplemental fee, to be collected  
          in addition to the existing permit fee. Revenues from the  
          supplemental fee will be deposited in a new account within the  
          Fish and Game Preservation Fund. The Department is authorized to  
          spend revenues from the supplemental fee, upon appropriation of  
          the Legislature and with input from a new advisory board, for  
          projects and programs to improve lobster sustainability and  
          management. The bill caps administrative expenses at 24 percent  
          of revenues.

          The bill establishes the Lobster Management Enhancement Advisory  
          Committee, to be made up of representatives of commercial  
          lobster fisherman, other anglers, and a scientist appointed by  
          the Director of Fish and Game. The Advisory Committee is  
          required to develop a plan that prioritizes expenditures that  
          support long-term sustainability of the spiny lobster fishery  
          and to recommend projects and programs to the Department for  
          funding. 

          The new supplemental fee is expected to raise about $61,000 per  
          year. The Department estimates that costs for collecting the  
          supplemental fee and providing staffing to support the  
          expenditure of funds from the new account will be about $25,000  
          per year. The bill caps administrative costs at 24 percent of  
          expenditures ($14,500 per year). Thus, the bill will require the  
          expenditure of funds from the Fish and Game Preservation Fund,  
          Non-dedicated account to cover the shortfall of about $10,500  
          per year.

          The bill sunsets on January 1, 2017.

          The bill also makes minor, technical changes to the standards  
          for lobster traps used in state waters.


          AB 571 (Saldana, 2009) was substantially similar to this bill.  
          AB 571 was vetoed by the Governor because the bill would have  
          increased fees on lobster fisherman and imposed additional  
          duties on the Department.