BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2684
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          Date of Hearing:   April 8, 2014

                   ASSEMBLY COMMITTEE ON WATER, PARKS AND WILDLIFE
                                Anthony Rendon, Chair
                    AB 2684 (Stone) - As Amended:  March 27, 2014
           
          SUBJECT  :   Hatchery Practices; Salmon and Steelhead

           SUMMARY  :   Requires the Department of Fish and Wildlife (DFW) to  
          implement specified policies and practices for hatchery salmon  
          and steelhead reared and released in California waters,  
          including a requirement that all hatchery chinook salmon, coho  
          salmon, and steelhead be tagged with coded-wire tags before  
          being released.  Specifically,  this bill  :

          1)Requires the DFW to implement policies and practices for  
            hatchery salmon and steelhead reared and released in  
            California waters by adopting all of the following: 
             a)   Hatchery practices that improve the survival and fitness  
               of the hatchery population;
             b)   Hatchery practices that reduce the genetic and  
               ecological risks posed by hatchery juveniles and adults to  
               wild and native populations;
             c)   A requirement that hatchery chinook salmon, coho salmon  
               and steelhead trout released in California waters be  
               externally marked on the top fin at a level to be  
               determined by DFW, and that all hatchery chinook salmon,  
               coho salmon and steelhead trout be coded-wire tagged prior  
               to their release.

           EXISTING LAW  :

          1)Requires the Fish and Game Commission (FGC) to establish fish  
            hatcheries for stocking the waters of the State with fish, and  
            requires DFW to maintain and operate the hatcheries.

          2)Authorizes DFW to enter into agreements with counties,  
            nonprofit groups, and private entities for the management and  
            operation of rearing facilities for salmon and steelhead, for  
            the purpose of providing additional fishing resources and to  
            augment natural runs.

          3)Requires mitigation of significant environmental impacts to  
            salmonid species listed under the state or federal endangered  
            species acts from approved projects.  In some cases, salmon  








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            hatcheries have been approved as one method of mitigating  
            environmental impacts of projects such as dams and other water  
            infrastructure that impact fish passage and habitat.

          4)Establishes the Salmon, Steelhead Trout, and Anadromous  
            Fisheries Program Act, which states findings regarding the  
            need to increase natural production of salmon and steelhead  
            trout, and establishes a state policy to significantly  
            increase natural production.  Requires DFW to prepare and  
            maintain a comprehensive program for protection and increase  
            of salmon, steelhead trout and anadromous fisheries.   
            Anadromous fish are fish that are born in freshwater, migrate  
            to sea and live most of their lives in salt water, and migrate  
            back to the fresh water stream of their birth to spawn.

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   This bill would implement some of the  
          recommendations from a scientific California Hatchery Review  
          Report published in 2012.  Specifically, this bill would require  
          further external fin marking, at a level to be determined by  
          DFW, and 100% coded-wire tagging of all salmon and steelhead  
          trout released from California hatcheries in order to allow for  
          collection of better scientific data aimed at revitalizing  
          salmon populations and fisheries, and to better protect wild and  
          native fish.  Coded wire tags contain microscopic data that can  
          be detected with an electronic device, allowing real time  
          identification of all hatchery-origin fish, plus additional  
          information such as hatchery of origin and run-type.   

          The author notes that wild salmon in California have declined  
          from being some of the largest salmon runs in North America to  
          the point that some of the runs are now listed on the endangered  
          species list.  Most losses in population numbers have been  
          attributed to habitat loss through the building of dams and  
          other operations to divert water.  Seven salmon hatcheries built  
          as mitigation for these projects have been a key tool in  
          attempts to revitalize stocks, but there is insufficient data to  
          further address and restore salmon populations.  The author also  
          notes that research to evaluate the effect of hatchery  
          operations on wild runs, funded by the federal government and  
          conducted by the California Hatchery Scientific Review Group  
          (HSRG), identified the need to control for undesirable impacts  
          of hatchery salmon on natural salmon, including displacement,  
          genetic and ecological risks posed by reduced diversity, and  








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          inaccurate counts of natural populations.  The author asserts  
          that the dual goals of conservation and abundant commercial  
          harvest have yet to be achieved due to a lack of data and the  
          inability to distinguish wild fish from hatchery fish.  Current  
          hatchery tagging operations make use of coded-wire tagging for a  
          small subset of hatchery-origin salmon, but the usefulness of  
          the data is limited.  In general, hatchery operations have only  
          been able to attain a 25% rate of coded-wire tagging of hatchery  
          fish.

           California Hatchery Review Report  :  A comprehensive scientific  
          review of reforms needed to improve California's salmon  
          hatcheries was conducted and a report with recommendations  
          released in June 2012.  The report was prepared by the  
          California HSRG with federal funding.  The members of the HSRG  
          include representatives from federal and state fishery agencies,  
          including the U.S. Fish and Wildlife Service, NOAA Fisheries,  
          California DFW, and the Pacific States Marine Fisheries  
          Commission, as well as scientists affiliated with academic  
          institutions, including the University of California at Davis  
          and Humboldt State University.  The report includes detailed  
          technical recommendations on management specific to each of the  
          nineteen hatcheries currently operating in the Klamath-Trinity  
          Basin and the Central Valley of California, as well as proposed  
          statewide hatchery standards and guidelines.

          In addition to the marking and tagging recommendations, which  
          are the focus of this bill, the report makes a number of  
          important general findings, including that:

           While many factors have contributed to significant declines  
            from earlier levels of salmon and steelhead abundance in  
            California, habitat loss, degradation and modification  
            associated with construction of dams and water diversion is  
            the single greatest cause of population declines in the  
            Central Valley.  The loss of Chinook salmon spawning and  
            rearing habitat probably exceeds 75% and may be as high as  
            95%.  
           Fish hatcheries in the Central Valley and Klamath-Trinity  
            Basin were constructed to mitigate for habitat loss associated  
            with a number of major dams.  Currently, hatchery-origin  
            chinook salmon make up a substantial percentage of Central  
            Valley salmon runs.  As abundance of natural-origin fish  
            continues to decline, hatchery production has become  
            increasingly important to support commercial and recreational  








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            salmon fisheries.
           While harvest opportunities are an important societal benefit,  
            hatchery operations and programs also have adverse effects on  
            natural salmon and steelhead productivity.  Modifications to  
            hatchery operations are needed to control undesirable impacts  
            on natural fish populations.
           Hatchery reform alone will not be sufficient to restore  
            healthy naturally produced fish populations, but need to be  
            combined with restoration of habitat quantity and quality,  
            including adequate water flows. 
           Hatcheries, habitat and harvest management need to be  
            considered together as an integrated system.  Fish production  
            in hatcheries can have detrimental genetic and ecological  
            effects on natural salmon populations.  Efforts to augment  
            harvest must be balanced against impacts of fisheries on  
            natural salmon and steelhead populations.

          The report includes a number of detailed recommendations  
          regarding marking and tagging.  Currently, tagging programs for  
          most California chinook salmon hatcheries consist of a "constant  
          fractional marking" program, in which 25% of hatchery fish are  
          externally marked by an adipose fin clip and internally tagged  
          with a coded-wire tag.  The coded-wire tags identify the fish as  
          belonging to a particular brood year and release location group,  
          as well as the hatchery of origin.  These programs allow  
          reasonably accurate estimates of proportion of hatchery fish on  
          natural spawning grounds and in hatchery returns, but does not  
          allow real-time identification of all hatchery fish as being of  
          hatchery origin. 

          With the advent of 100% marking of hatchery fish in other  
          northwest states, mark-selective fisheries have been instituted  
          in some areas off the coasts of Oregon and Washington, whereby  
          fish harvest is restricted to hatchery fish with marked fins.   
          Mark-selective salmon fisheries have not been introduced in  
          California and remain a controversial subject.  The HSRG did not  
          reach a consensus on that issue, and therefore did not recommend  
          100% external marking in California, but did recommend 100%  
          coded-wire tagging of hatchery produced chinook salmon, with 25%  
          adipose fin clip marking. 

          The statewide standards and guidelines recommended by the HSRG  
          for use at all anadromous salmonid hatcheries with regard to  
          marking and tagging for the three species in this bill are:
           For chinook salmon, tagging 100% of hatchery-released fish  








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            with coded-wire tagging plus marking 25% of hatchery-released  
            fish by adipose fin clip.  The rationale is that this would  
            allow all hatchery fish to be identified in real-time at weirs  
            and hatcheries using electronic detection devices, and allow  
            stock of origin to be determined when necessary through  
            removal of the coded-wire tag.  The report explicitly notes  
            that this recommendation is not designed to promote  
            mark-selective fisheries.
           For coho salmon, a hatchery-specific external mark (not an  
            adipose fin clip) on 100% of fish to distinguish them from  
            other natural-origin fish and northern hatchery-origin fish  
            that are part of a mark-selective fishery in Oregon.
           For steelhead trout, the report recommends 100% adipose fin  
            clip marking and Parent-based tagging to enable mark-selective  
            river fisheries.

          The report also includes recommendations on other statewide  
          hatchery standards beyond the scope of this bill, including:  
          standards for broodstock management; program size and release  
          strategies; incubation, rearing and fish health management; and  
          monitoring and evaluation.

           Note  :  This bill would require coded wire tagging of 100% of all  
          chinook salmon, coho salmon and steelhead trout produced in  
          California hatcheries.  However, the HSRG actually only  
          recommended 100% coded wire tagging for chinook salmon, but not  
          for coho and steelhead.  The recommendations for coho salmon  
          included a hatchery-specific external mark on 100% of hatchery  
          fish, and for steelhead, 100% adipose fin clip marking and  
          Parent-based tagging.  Should this bill be amended to match the  
          HSRG recommendations as described above?

           Cost Implications  :  This bill does not specify how the  
          requirement for 100% coded wire tagging would be paid for.  If  
          the DFW is not able to secure commitments from all parties  
          responsible for mitigation, these costs could end up being born  
          by the state.  In some cases, the responsible party is a branch  
          of the federal government.  This is the case for both the  
          Coleman and Trinity fish hatcheries where funding comes from the  
          Bureau of Reclamation.  The state may not be able to impose  
          additional costs on the federal government.  However, since the  
          federal fishery agencies were part of the HSRG that made these  
          recommendations, perhaps they may agree to cover the additional  
          costs.    In some cases the state is one of the responsible  
          parties.  Costs for operations at Merced River Hatchery are  








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          divided between the Department of Water Resources, DFW, and the  
          Merced Irrigation District.  In other cases, the responsible  
          party is a water district.  For instance, East Bay Municipal  
          Utility District is responsible for costs of operations at the  
          Mokelumne Fish Hatchery. Whether DFW can renegotiate the  
          contracts for the various hatcheries to incorporate the  
          additional costs mandated by this bill is unclear.      

           Support Arguments  : Supporters assert this bill will provide  
          needed scientific data that will benefit both the salmon fishery  
          and conservation of wild and native fish.  Supporters also note  
          that this bill supports the science established by the  
          California Hatchery Review Report, which built upon the Pacific  
          Northwest Hatchery Reform process.  In both the California  
          review and the Pacific Northwest review, one of the key  
          recommendations was identification of hatchery fish so they can  
          be easily distinguished in real time from wild salmon.  

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California Association for Recreational Fishing
          California-Nevada Conference of Operating Engineers, of the  
              International Union of Operating     Engineers
          Northwest Marine Technology, Inc.
          Oceana
          Sierra Club California
          Union of American Physicians and Dentists

           Opposition 
           
          None on file
           
          Analysis Prepared by  :    Diane Colborn / W., P. & W. / (916)  
          319-2096