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28th Legislature(2013-2014)

Bill Text 28th Legislature


00 Enrolled HB 71                                                                                                          
01 Relating to a vessel-based commercial fisheries limited entry system for the Bering Sea hair                            
02 crab fishery; requiring the Commercial Fisheries Entry Commission to report biennially on                               
03 the vessel-based limited entry fisheries system for the Bering Sea hair crab fishery;                                   
04 establishing the Alaska regional economic assistance program; requiring the Department of                               
05 Commerce, Community, and Economic Development to compile an annual report to the                                        
06 legislature regarding statewide and regional economic development projects and regional                                 
07 development organizations; and providing for an effective date.                                                         
08                           _______________                                                                               
09    * Section 1. AS 16.43.010(a) is amended to read:                                                                   
10            (a)  It is the purpose of this chapter to promote the conservation and the                                   
11       sustained yield management of Alaska's fishery resource and the economic health and                               
01       stability of commercial fishing in Alaska by regulating and controlling entry of                                  
02       participants and vessels into the commercial fisheries in the public interest and                             
03       without unjust discrimination.                                                                                    
04    * Sec. 2. AS 16.43.010(a), as amended by sec. 1 of this Act, is amended to read:                                   
05            (a)  It is the purpose of this chapter to promote the conservation and the                                   
06       sustained yield management of Alaska's fishery resource and the economic health and                               
07       stability of commercial fishing in Alaska by regulating and controlling entry of                                  
08       participants [AND VESSELS] into the commercial fisheries in the public interest and                               
09       without unjust discrimination.                                                                                    
10    * Sec. 3. AS 16.43.100(a) is amended to read:                                                                      
11            (a)  To accomplish the purposes set out in AS 16.43.010, the commission shall                                
12                 (1)  regulate entry into the commercial fisheries for all fishery resources                             
13       in the state;                                                                                                     
14                 (2)  establish priorities for the application of the provisions of this                                 
15       chapter to the various commercial fisheries of the state;                                                         
16                 (3)  establish administrative areas suitable for regulating and                                         
17       controlling entry into the commercial fisheries;                                                                  
18                 (4)  establish, for all types of gear, the maximum number of entry                                      
19       permits for each administrative area;                                                                             
20                 (5)  designate, when necessary to accomplish the purposes of this                                       
21       chapter, particular species for which separate interim-use permits or entry permits will                          
22       be issued;                                                                                                        
23                 (6)  establish qualifications for the issuance of entry permits;                                        
24                 (7)  issue entry permits to qualified applicants;                                                       
25                 (8)  issue interim-use permits as provided in AS 16.43.210, 16.43.220,                                  
26       and 16.43.225;                                                                                                    
27                 (9)  establish, for all types of gear, the optimum number of entry                                      
28       permits for each administrative area;                                                                             
29                 (10)  administer the buy-back program provided for in AS 16.43.310                                      
30       and 16.43.320 to reduce the number of outstanding entry permits to the optimum                                    
31       number of entry permits;                                                                                          
01                 (11)  provide for the transfer and reissuance of entry permits to                                       
02       qualified transferees;                                                                                            
03                 (12)  provide for the transfer and reissuance of entry permits for                                      
04       alternative types of legal gear, in a manner consistent with the purposes of this                                 
05       chapter;                                                                                                          
06                 (13)  establish and administer the collection of the annual fees provided                               
07       for in AS 16.43.160;                                                                                              
08                 (14)  administer the issuance of commercial fishing vessel licenses                                     
09       under AS 16.05.490;                                                                                               
10                 (15)  issue educational entry permits to applicants who qualify under                                   
11       the provisions of AS 16.43.340 - 16.43.390;                                                                       
12                 (16)  establish reasonable user fees for services;                                                      
13                 (17)  issue landing permits under AS 16.05.675 and regulations adopted                                  
14       under that section;                                                                                               
15                 (18)  establish and collect annual fees for the issuance of landing                                     
16       permits that reasonably reflect the costs incurred in the administration and                                      
17       enforcement of provisions of law related to landing permits;                                                      
18                 (19)  establish a moratorium on entry into commercial fisheries as                                      
19       provided in AS 16.43.225;                                                                                         
20                 (20)  [REPEALED                                                                                         
21                 (21)]  when requested by a regional development organization formed                                     
22       under AS 44.33.895, provide to the organization, without charge, public information                               
23       contained in the commission's data with respect to relevant fisheries, including limited                          
24       fisheries, fishery participants, and limited entry permit holders' harvests and earnings;                     
25       and                                                                                                           
26                 (21)  administer, when necessary to accomplish the purposes of this                                 
27       chapter, a Bering Sea hair crab fishery vessel permit system under AS 16.43.451 -                             
28       16.43.521.                                                                                                    
29    * Sec. 4. AS 16.43 is amended by adding new sections to read:                                                      
30            Sec. 16.43.451. Bering Sea hair crab fishery vessel permit system. (a) The                                 
31       commission may establish a vessel permit system under AS 16.43.451 - 16.43.521 for                                
01       the Bering Sea hair crab fishery if the commission determines that                                                
02                 (1)  the regulation of entry into the fishery is necessary to achieve the                               
03       purposes of this chapter;                                                                                         
04                 (2)  a vessel permit system would achieve the purposes of this chapter;                                 
05       and                                                                                                               
06                 (3)  either                                                                                             
07                      (A)  limiting the number of participants in the fishery under                                      
08            AS 16.43.140 - 16.43.330 would not achieve the purposes of this chapter; or                                  
09                      (B)  regulating the number of vessels in the fishery would                                         
10            enable the state to gain or retain management of the fishery.                                                
11            (b)  If the federal government has delegated management authority in the                                     
12       United States exclusive economic zone to the state for the Bering Sea hair crab                                   
13       fishery, the commission may, to the extent consistent with this chapter, adopt                                    
14       regulations to ensure that the vessel permit system is consistent with applicable federal                         
15       laws.                                                                                                             
16            (c)  If the commission establishes a vessel permit system for a fishery that                                 
17       involves more than one fishery resource, type of gear, or administrative area, the                                
18       commission may limit, as the commission determines appropriate, the fishery                                       
19       resources that may be harvested under the vessel permit, the types of gear that may be                            
20       used under the vessel permit, or the areas where fishing may occur under the vessel                               
21       permit. The commission shall adopt criteria, as appropriate, for determining                                      
22                 (1)  how restrictions on fishery resources, types of gear, and areas                                    
23       fished are established for individual vessel interim-use permits and vessel entry                                 
24       permits; and                                                                                                      
25                 (2)  how eligibility to take a particular fishery resource, to use a                                    
26       particular type of gear, or to fish in a particular area is established.                                          
27            (d)  The commission may, after consultation with the Department of Fish and                                  
28       Game, regulate the fishing capacity or effort authorized under a vessel interim-use                               
29       permit or a vessel entry permit if the commission finds that limitations on fishing                               
30       capacity or effort are necessary to achieve the purposes of this chapter. The                                     
31       commission shall adopt criteria, as appropriate, for measuring the fishing capacity or                            
01       effort of a vessel and for determining how restrictions on vessel fishing capacity or                             
02       effort are established for individual vessel interim-use permits and vessel entry                                 
03       permits. The criteria may be based on past participation.                                                         
04            (e)  The commission shall adopt regulations limiting the number of vessel                                    
05       permits that may be held by a permit holder or group of related permit holders if the                             
06       commission finds that limiting the number of vessel permits that may be held by a                                 
07       permit holder or group of related permit holders is necessary to prevent the excessive                            
08       concentration of ownership of vessel permits in the fishery.                                                      
09            (f)  By February 1 of the filing year, the commission shall submit a biennial                                
10       report to the governor and the legislature concerning the harvest and earnings of the                             
11       vessel-based limited entry fisheries system for the Bering Sea hair crab during the                               
12       preceding two years. The commission shall notify the legislature that the report is                               
13       available.                                                                                                        
14            Sec. 16.43.461. Initial issuance of vessel permits. (a) For the fishery that the                         
15       commission establishes a vessel permit system for under AS 16.43.451, the                                         
16       commission shall establish qualifications for vessel interim-use permits and vessel                               
17       entry permits. The qualifications may include a qualification date, eligibility period,                           
18       recent and past participation requirements, minimum requirements for the nature and                               
19       degree of ownership interest that a permit holder must have in a vessel in order to                               
20       receive a vessel permit for the vessel, and criteria for receiving transferable and                               
21       nontransferable vessel entry permits. In adopting qualifications for transferable and                             
22       nontransferable vessel entry permits, the commission shall consider                                               
23                 (1)  information provided by the Department of Fish and Game,                                           
24       participants in the fishery, owners of vessels and gear used in the fishery, and other                            
25       interested parties;                                                                                               
26                 (2)  the level of recent and past participation and harvest in the fishery,                             
27       the nature of the fishery, and the need to ensure the manageability of the fishery and                            
28       conservation of the fishery resource.                                                                             
29            (b)  If the commission establishes a vessel permit system under AS 16.43.451                                 
30       for a fishery that was subject to a moratorium on entry of new vessels under former                               
31       AS 16.43.901, the commission shall incorporate some or all of the vessel eligibility                              
01       criteria established for the moratorium into the eligibility criteria for vessel permits                          
02       issued under the vessel permit system.                                                                            
03            (c)  Pending the issuance of vessel entry permits for a fishery for which the                                
04       commission has established a vessel permit system under AS 16.43.451, the                                         
05       commission shall issue a vessel interim-use permit to the owner of each vessel that the                           
06       commission finds is potentially eligible to receive a vessel entry permit. A vessel                               
07       interim-use permit is renewable from year to year; however, a vessel interim-use                                  
08       permit expires at the end of the period for which the permit was issued and may not be                            
09       renewed after a final determination by the commission that the vessel is or is not                                
10       eligible for a vessel entry permit.                                                                               
11            (d)  The commission shall issue vessel entry permits for a fishery, subject to                               
12       conditions established by the commission under AS 16.43.451 - 16.43.521, to the                                   
13       owner of each vessel that the commission finds is eligible to receive a vessel entry                              
14       permit for that fishery.                                                                                          
15            (e)  The commission shall adopt regulations regarding                                                        
16                 (1)  the determination of which person or entity is eligible to receive a                               
17       vessel interim-use permit or a vessel entry permit for a vessel in the event of                                   
18       competing claims to ownership of the vessel; and                                                                  
19                 (2)  the substitution of another vessel by the applicant for a vessel                                   
20       interim-use permit or a vessel entry permit if the vessel or vessels used to establish                            
21       eligibility for a vessel entry permit are lost, or are retired from the fishery by the vessel                     
22       owner, before the initial issuance of a vessel entry permit for the vessel.                                       
23            Sec. 16.43.471. Optimum number range of vessel permits. (a) If, after the                                  
24       initial issuance of vessel entry permits for the Bering Sea hair crab fishery, the                                
25       commission determines that a long-term biological or economic change has occurred                                 
26       in the fishery, the commission, in consultation with the Department of Fish and Game,                             
27       shall establish the optimum number range of vessel entry permits for the fishery.                                 
28            (b)  In determining the optimum number range of vessel entry permits, the                                    
29       commission shall seek to                                                                                          
30                 (1)  facilitate sound management of the fishery;                                                        
31                 (2)  promote                                                                                            
01                      (A)  the economic health and stability of the fishery;                                             
02                      (B)  broad access to the fishery;                                                                  
03                      (C)  conservation of the fish resources taken in the fishery;                                      
04                      (D)  quality seafood products; and                                                                 
05                 (3)  discourage waste of harvested fish.                                                                
06            (c)  The commission may increase or decrease the optimum number range of                                     
07       vessel entry permits for a fishery if the commission finds that an established long-term                          
08       change in the biological or economic condition of the fishery has occurred and that the                           
09       number of vessel entry permits that are necessary to achieve the goals set out in (b) of                          
10       this section has substantially changed.                                                                           
11            (d)  If the optimum number range of vessel entry permits is less than the                                    
12       number of outstanding vessel permits for the fishery, the commission may adopt                                    
13       regulations to allow the voluntary consolidation of vessel entry permits by permit                                
14       holders, including entities. The commission may investigate procedures to                                         
15       permanently reduce the number of vessel permits issued for a fishery to within the                                
16       optimum number range.                                                                                             
17            (e)  If the optimum number range of vessel entry permits is greater than the                                 
18       number of permits authorized for the fishery, the commission shall issue additional                               
19       vessel entry permits until the number of vessel entry permits is consistent with the                              
20       optimum number range for the fishery. The commission shall obtain fair market value                               
21       for new vessel entry permits issued under this subsection. The commission shall                                   
22       determine whether the additional vessel entry permits issued under this subsection are                            
23       transferable or nontransferable.                                                                                  
24            Sec. 16.43.481. Transfer and expiration of vessel entry permits. (a) The                                   
25       commission may adopt regulations authorizing the transfer of a transferable vessel                                
26       entry permit to an eligible transferee and establishing the terms and conditions under                            
27       which vessel entry permits may be transferred. The commission may require that the                                
28       transferee of a vessel entry permit must have a legal ownership interest in the vessel                            
29       identified on the vessel entry permit. The commission may establish by regulation                                 
30       minimum requirements for the nature and degree of ownership interest that the                                     
31       transferee must have in the vessel.                                                                               
01            (b)  The commission may adopt regulations authorizing the simultaneous                                       
02       transfer of a transferable vessel entry permit to an eligible transferee and the                                  
03       substitution of another vessel for the vessel identified on the permit under                                      
04       AS 16.43.491.                                                                                                     
05            (c)  The commission shall adopt regulations relating to the expiration of                                    
06       nontransferable vessel entry permits.                                                                             
07            Sec. 16.43.491. Substitution of vessels. (a) The commission shall adopt                                    
08       regulations providing for the permanent or temporary substitution, after the initial                              
09       issuance of vessel entry permits, of another vessel for the vessel that is identified on a                        
10       vessel entry permit. The commission may specify by regulation the nature and degree                               
11       of legal ownership interest that a permit holder must have in the vessel that is                                  
12       permanently or temporarily substituted for the vessel identified on the permit. Upon                              
13       the approval of a permanent substitution of a vessel, the commission shall issue a new                            
14       vessel entry permit for the substituted vessel.                                                                   
15            (b)  A substituted vessel and the operation of the substituted vessel are subject                            
16       to all terms and conditions attached to the vessel entry permit at the time that the                              
17       vessel permit is transferred from the original vessel to the substituted vessel.                                  
18            Sec. 16.43.501. Renewal of vessel permits. (a) A vessel interim-use permit or                              
19       vessel entry permit is issued for one year and must be renewed annually.                                          
20            (b)  A vessel interim-use permit or vessel entry permit may not be renewed                                   
21       until the fees for each preceding year during which the permit has not been renewed                               
22       are paid.                                                                                                         
23            (c)  Failure to renew a vessel entry permit for two consecutive years from the                               
24       year of last renewal results in a forfeiture of the permit unless the forfeiture is waived                        
25       by the commission for good cause. If an administrative closure of a fishery occurs for                            
26       an entire season, the commission may not count the season toward the two-year                                     
27       period.                                                                                                           
28            Sec. 16.43.511. Vessel permit fees. (a) The commission shall establish fees for                            
29       the issuance and annual renewal of vessel interim-use permits and vessel entry                                    
30       permits. Annual fees established under this subsection may not exceed $2,500 and                                  
31       shall reasonably reflect the rate of economic return for the fishery.                                             
01            (b)  The commission shall waive the payment of the annual fees for a vessel                                  
02       interim-use permit or a vessel entry permit for a fishery in which there was an                                   
03       administrative closure for the entire season.                                                                     
04            (c)  Subject to AS 37.10.050(a), the commission may establish fees for                                       
05       processing applications for vessel interim-use permits and vessel entry permits, for                              
06       transfer of vessel entry permits, and for permanent and temporary substitution of                                 
07       vessels.                                                                                                          
08            (d)  The commission may charge interest at a rate not to exceed the legal rate                               
09       of interest established in AS 45.45.010(a) on fees established under the section that are                         
10       more than 60 days overdue.                                                                                        
11            Sec. 16.43.521. General Bering Sea hair crab vessel permit provisions. (a)                                 
12       A person or entity may not operate a vessel or use a vessel to take fish in the Bering                            
13       Sea hair crab commercial fishery for which a vessel interim-use permit or vessel entry                            
14       permit is required unless the appropriate vessel permit has been issued for the vessel                            
15       and is posted in a prominent location on the vessel.                                                              
16            (b)  A person or entity may not hold more than one vessel entry permit for the                               
17       Bering Sea hair crab fishery unless                                                                               
18                 (1)  the number of vessel entry permits held by the person or entity is                                 
19       consistent with regulations of the commission regarding concentration of ownership of                             
20       vessel permits in the fishery; and                                                                                
21                 (2)  either                                                                                             
22                      (A)  the person or entity qualified for each vessel entry permit at                                
23            the time of the initial issuance of vessel entry permits for the fishery; or                                 
24                      (B)  the vessel entry permits are issued for a vessel for which                                    
25            the person or entity already holds another vessel entry permit for that fishery.                             
26            (c)  The operator of a vessel for which a vessel interim-use permit or vessel                                
27       entry permit has been issued shall comply with the terms of the vessel permit while the                           
28       vessel is operated in the fishery for which the permit is issued.                                                 
29            (d)  A vessel interim-use permit and a vessel entry permit constitute a use                                  
30       privilege that may be modified or revoked by order of the commission or by law                                    
31       without compensation.                                                                                             
01            (e)  A vessel entry permit may not be                                                                        
02                 (1)  pledged, mortgaged, leased, or encumbered in any way;                                              
03                 (2)  transferred with any retained right of repossession or foreclosure,                                
04       or on any condition requiring a subsequent transfer; or                                                           
05                 (3)  attached, distrained, or sold on execution of judgment or under any                                
06       other process or order of any court.                                                                              
07            (f)  Unless the person who holds a vessel entry permit has expressed a contrary                              
08       intent in a will that is probated, the commission shall, upon the death of the person,                            
09       transfer the vessel entry permit by right of survivorship directly to the person's                                
10       surviving spouse or, if no spouse survives, to another person designated by the vessel                            
11       permit holder on a form provided by the commission. If no spouse survives and if the                              
12       person designated on the form, if any, does not survive, the permit passes as part of the                         
13       vessel permit holder's estate. A designation under this subsection must be                                        
14       acknowledged before a person authorized to administer an oath under AS 09.63.010 or                               
15       must be witnessed by two persons who are qualified under AS 13.12.505 to witness                                  
16       the will of the vessel permit holder. A vessel entry permit is exempt from the claims of                          
17       creditors of the estate.                                                                                          
18            (g)  AS 16.43.451 - 16.43.521 do not alter the requirement for an interim-use                                
19       permit or entry permit under AS 16.43.140 or a vessel license under AS 16.05.490 -                                
20       16.05.520.                                                                                                        
21            (h)  Nothing in AS 16.43.451 - 16.43.521 limits the powers of the Board of                                   
22       Fisheries or the Department of Fish and Game.                                                                     
23            (i)  Notwithstanding AS 16.05.815 and AS 16.43.975, the commission may                                       
24       release to the owner of a vessel information on the vessel's history of harvests in a                             
25       fishery that is necessary to apply for a vessel interim-use permit or vessel entry permit                         
26       under AS 16.43.451 - 16.43.521.                                                                                   
27    * Sec. 5. AS 16.43.960(a) is amended to read:                                                                      
28            (a)  The commission may revoke, suspend, or transfer all entry or interim-use                                
29       permits, vessel entry permits, or vessel interim-use permits held by a person or                          
30       entity who knowingly provides or assists in providing false information, or fails to                          
31       correct false information provided to the commission for the purpose of obtaining a                               
01       benefit for self or another, including the issuance, renewal, duplication, or transfer of                         
02       an entry or interim-use permit, [OR] vessel license, vessel entry permit, or vessel                       
03       interim-use permit. The commission may suspend, as appropriate, that person's or                          
04       entity's eligibility to hold an entry or interim-use permit, vessel entry permit, or                      
05       vessel interim-use permit for a period not to exceed three years, and may impose an                           
06       administrative fine of not more than $5,000 on the person or [. THE COMMISSION                                
07       MAY ALSO IMPOSE AN ADMINISTRATIVE FINE OF NOT MORE THAN                                                           
08       $5,000 ON AN] entity whose officers, employees, representatives, or agents                                        
09       knowingly provide or assist in providing false information, or fail to correct false                              
10       information provided, to the commission for the purpose of obtaining a benefit.                                   
11    * Sec. 6. AS 16.43.960(a), as amended by sec. 5 of this Act, is amended to read:                                   
12            (a)  The commission may revoke, suspend, or transfer all entry or interim-use                                
13       permits [, VESSEL ENTRY PERMITS, OR VESSEL INTERIM-USE PERMITS]                                                   
14       held by a person [OR ENTITY] who knowingly provides or assists in providing false                                 
15       information, or fails to correct false information provided to the commission for the                             
16       purpose of obtaining a benefit for self or another, including the issuance, renewal,                              
17       duplication, or transfer of an entry or interim-use permit or [,] vessel license [,                           
18       VESSEL ENTRY PERMIT, OR VESSEL INTERIM-USE PERMIT]. The                                                           
19       commission may suspend [, AS APPROPRIATE,] that person's [OR ENTITY'S]                                            
20       eligibility to hold an entry or interim-use permit [, VESSEL ENTRY PERMIT, OR                                     
21       VESSEL INTERIM-USE PERMIT] for a period not to exceed three years, and may                                        
22       impose an administrative fine of not more than $5,000 on the person. The commission                           
23       may also impose an administrative fine of not more than $5,000 on an [OR] entity                              
24       whose officers, employees, representatives, or agents knowingly provide or assist in                              
25       providing false information, or fail to correct false information provided, to the                                
26       commission for the purpose of obtaining a benefit.                                                                
27    * Sec. 7. AS 16.43.970(a) is amended to read:                                                                      
28            (a)  A person who violates a provision of this chapter or a regulation adopted                               
29       under this chapter or an entity that violates a provision of AS 16.43.451 - 16.43.521                         
30       or a regulation adopted under AS 16.43.451 - 16.43.521 is, upon conviction, guilty                            
31       of a class B misdemeanor and is punishable by a fine of not more than $5,000 for a                                
01       first conviction, and a fine of not more than $10,000 for a second or third conviction.                           
02       Upon a first or second conviction under this subsection, the court may in its discretion                          
03       also order the commission to suspend the commercial fishing privileges of the person                              
04       or entity for a period of not more than three years and to revoke one or more or all                          
05       commercial fishing permits held by the person or entity. Upon a third or subsequent                           
06       conviction under this subsection, the person or entity is also subject to a loss of                           
07       commercial fishing privileges as provided under (i) of this section. This subsection                              
08       does not apply to violations of AS 16.43.140(a).                                                                  
09    * Sec. 8. AS 16.43.970(a), as amended by sec. 7 of this Act, is amended to read:                                   
10            (a)  A person who violates a provision of this chapter or a regulation adopted                               
11       under this chapter [OR AN ENTITY THAT VIOLATES A PROVISION OF                                                     
12       AS 16.43.451 - 16.43.521 OR A REGULATION ADOPTED UNDER AS 16.43.451 -                                             
13       16.43.521] is, upon conviction, guilty of a class B misdemeanor and is punishable by a                            
14       fine of not more than $5,000 for a first conviction, and a fine of not more than $10,000                          
15       for a second or third conviction. Upon a first or second conviction under this                                    
16       subsection, the court may in its discretion also order the commission to suspend the                              
17       commercial fishing privileges of the person [OR ENTITY] for a period of not more                                  
18       than three years and to revoke one or more or all commercial fishing permits held by                              
19       the person [OR ENTITY]. Upon a third or subsequent conviction under this                                          
20       subsection, the person [OR ENTITY] is also subject to a loss of commercial fishing                                
21       privileges as provided under (i) of this section. This subsection does not apply to                               
22       violations of AS 16.43.140(a).                                                                                    
23    * Sec. 9. AS 16.43.970(b) is amended to read:                                                                      
24            (b)  A person or entity who knowingly makes a false statement to the                                     
25       commission for the purpose of obtaining a benefit, including the issuance, renewal,                               
26       duplication, or transfer of an entry or interim-use permit, [OR] vessel license, vessel                   
27       interim-use permit, or vessel entry permit, or a person who assists another by                                
28       knowingly making a false statement to the commission for the purpose of obtaining a                               
29       benefit for another, is guilty of the crime of unsworn falsification in the second degree                         
30       as set out in AS 11.56.210. Upon conviction, the person or entity is also subject to                          
31       suspension of commercial fishing privileges and revocation of commercial fishing                                  
01       permits under (i) of this section.                                                                                
02    * Sec. 10. AS 16.43.970(b), as amended by sec. 9 of this Act, is amended to read:                                  
03            (b)  A person [OR ENTITY] who knowingly makes a false statement to the                                       
04       commission for the purpose of obtaining a benefit, including the issuance, renewal,                               
05       duplication, or transfer of an entry or interim-use permit or [,] vessel license [,                           
06       VESSEL INTERIM-USE PERMIT, OR VESSEL ENTRY PERMIT,] or a person who                                               
07       assists another by knowingly making a false statement to the commission for the                                   
08       purpose of obtaining a benefit for another, is guilty of the crime of unsworn                                     
09       falsification in the second degree as set out in AS 11.56.210. Upon conviction, the                               
10       person [OR ENTITY] is also subject to suspension of commercial fishing privileges                                 
11       and revocation of commercial fishing permits under (i) of this section.                                           
12    * Sec. 11. AS 16.43.970(d) is amended to read:                                                                     
13            (d)  If a permit holder is charged by the state with violating a provision of this                           
14       chapter or a regulation adopted under this chapter, the holder may not transfer any                               
15       interim-use or entry permit under AS 16.43.170 or any transferable vessel entry                               
16       permit under AS 16.43.451 - 16.43.521 until after the final adjudication or dismissal                         
17       of the charges.                                                                                                   
18    * Sec. 12. AS 16.43.970(d), as amended by sec. 11 of this Act, is amended to read:                                 
19            (d)  If a permit holder is charged by the state with violating a provision of this                           
20       chapter or a regulation adopted under this chapter, the holder may not transfer any                               
21       interim-use or entry permit under AS 16.43.170 [OR ANY TRANSFERABLE                                               
22       VESSEL ENTRY PERMIT UNDER AS 16.43.451 - 16.43.521] until after the final                                         
23       adjudication or dismissal of the charges.                                                                         
24    * Sec. 13. AS 16.43.970(e) is amended to read:                                                                     
25            (e)  Notwithstanding any other provision of this section, an interim-use or entry                            
26       permit or transferable vessel entry permit may not be transferred while under                                 
27       suspension, without the consent of the commission.                                                                
28    * Sec. 14. AS 16.43.970(e), as amended by sec. 13 of this Act, is amended to read:                                 
29            (e)  Notwithstanding any other provision of this section, an interim-use or entry                            
30       permit [OR TRANSFERABLE VESSEL ENTRY PERMIT] may not be transferred                                               
31       while under suspension, without the consent of the commission.                                                    
01    * Sec. 15. AS 16.43.970(i) is amended to read:                                                                     
02            (i)  Upon the conviction of a person or entity for an offense described under                            
03       (a), (b), or (g) of this section, the court shall immediately notify the commission of the                        
04       conviction. The notice provided by the court shall be accompanied by an order                                     
05       suspending commercial fishing privileges and revoking commercial fishing permits                                  
06       under (a) of this section, as appropriate. The commission shall, upon receipt of                                  
07                 (1)  an order from the court under (a) of this section, suspend the                                     
08       commercial fishing privileges of a person or entity for the period set by the court and                       
09       revoke commercial fishing permits held by the person or entity as directed by the                             
10       court;                                                                                                            
11                 (2)  a notice from the court that a person or entity has been convicted                             
12       of a third or subsequent violation of (a) of this section, suspend all commercial fishing                         
13       privileges of the person or entity for a period of three years from the date of                               
14       conviction and revoke all commercial fishing permits held by the person or entity;                            
15                 (3)  a notice from the court that a person or entity has been convicted                             
16       of a violation described under (b) of this section, suspend all commercial fishing                                
17       privileges of the person or entity for a period of three years from the date of                               
18       conviction and revoke all commercial fishing permits held by the person or entity;                            
19                 (4)  a notice from the court that a person has been convicted of a                                      
20       violation described under (g)(1) of this section, suspend all commercial fishing                                  
21       privileges of the person for a period of one year from the date of conviction;                                    
22                 (5)  a notice from the court that a person has been convicted of a                                      
23       violation described under (g)(2) of this section, suspend all commercial fishing                                  
24       privileges of the person for a period of two years from the date of conviction;                                   
25                 (6)  a notice from the court that a person has been convicted of a                                      
26       violation described under (g)(3) of this section, suspend all commercial fishing                                  
27       privileges of the person for a period of five years from the date of conviction.                                  
28    * Sec. 16. AS 16.43.970(i), as amended by sec. 15 of this Act, is amended to read:                                 
29            (i)  Upon the conviction of a person [OR ENTITY] for an offense described                                    
30       under (a), (b), or (g) of this section, the court shall immediately notify the commission                         
31       of the conviction. The notice provided by the court shall be accompanied by an order                              
01       suspending commercial fishing privileges and revoking commercial fishing permits                                  
02       under (a) of this section, as appropriate. The commission shall, upon receipt of                                  
03                 (1)  an order from the court under (a) of this section, suspend the                                     
04       commercial fishing privileges of a person [OR ENTITY] for the period set by the                                   
05       court and revoke commercial fishing permits held by the person [OR ENTITY] as                                     
06       directed by the court;                                                                                            
07                 (2)  a notice from the court that a person [OR ENTITY] has been                                         
08       convicted of a third or subsequent violation of (a) of this section, suspend all                                  
09       commercial fishing privileges of the person [OR ENTITY] for a period of three years                               
10       from the date of conviction and revoke all commercial fishing permits held by the                                 
11       person [OR ENTITY];                                                                                               
12                 (3)  a notice from the court that a person [OR ENTITY] has been                                         
13       convicted of a violation described under (b) of this section, suspend all commercial                              
14       fishing privileges of the person [OR ENTITY] for a period of three years from the date                            
15       of conviction and revoke all commercial fishing permits held by the person [OR                                    
16       ENTITY];                                                                                                          
17                 (4)  a notice from the court that a person has been convicted of a                                      
18       violation described under (g)(1) of this section, suspend all commercial fishing                                  
19       privileges of the person for a period of one year from the date of conviction;                                    
20                 (5)  a notice from the court that a person has been convicted of a                                      
21       violation described under (g)(2) of this section, suspend all commercial fishing                                  
22       privileges of the person for a period of two years from the date of conviction;                                   
23                 (6)  a notice from the court that a person has been convicted of a                                      
24       violation described under (g)(3) of this section, suspend all commercial fishing                                  
25       privileges of the person for a period of five years from the date of conviction.                                  
26    * Sec. 17. AS 16.43.970(j)(1) is amended to read:                                                                  
27                 (1)  "commercial fishing permit" means an entry permit, [OR] an                                     
28       interim-use permit, a vessel entry permit, or a vessel interim-use permit issued                              
29       under this chapter;                                                                                               
30    * Sec. 18. AS 16.43.970(j)(1), as amended by sec. 17 of this Act, is amended to read:                              
31                 (1)  "commercial fishing permit" means an entry permit or [,] an                                    
01       interim-use permit [, A VESSEL ENTRY PERMIT, OR A VESSEL INTERIM-USE                                              
02       PERMIT] issued under this chapter;                                                                                
03    * Sec. 19. AS 43.33 is amended by adding a new section to article 14 to read:                                      
04            Sec. 44.33.896. Alaska regional economic assistance program. (a) The                                       
05       department shall                                                                                                  
06                 (1)  encourage the formation of regional development organizations by                                   
07       providing assistance in forming organizations to interested individuals, including                                
08       information on how to qualify and apply for regional development grants and federal                               
09       funding under 42 U.S.C. 3121 - 3246 (Public Works and Economic Development Act                                    
10       of 1965), as amended;                                                                                             
11                 (2)  assist an interested individual in establishing boundaries for a                                   
12       proposed organization to ensure that the region                                                                   
13                      (A)  is of sufficient geographic size and contains a large enough                                  
14            population to form an economically viable unit with shared interests,                                        
15            resources, traditions, and goals;                                                                            
16                      (B)  contains at least one municipality that serves as a regional                                  
17            center; and                                                                                                  
18                      (C)  contains the entire area of each municipality included in the                                 
19            region;                                                                                                      
20                 (3)  gather information about regional economic issues, international                                   
21       trade, and tourism from organizations;                                                                            
22                 (4)  serve as liaison between organizations and other state agencies and                                
23       encourage other agencies to make resources available to help accomplish goals of the                              
24       organizations;                                                                                                    
25                 (5)  assist each organization to                                                                        
26                      (A)  provide services designed to encourage economic                                               
27            development to local communities and businesses;                                                             
28                      (B)  collect and distribute economic information relevant to the                                   
29            region;                                                                                                      
30                      (C)  participate in state marketing campaigns and join state                                       
31            trade missions that are relevant to the region; and                                                          
01                      (D)  develop and implement strategies to attract new industry,                                     
02            expand international trade opportunities, and encourage tourism within the                                   
03            region.                                                                                                      
04            (b)  Subject to (c) of this section, the department may make regional                                        
05       development grants to organizations for projects the department determines will be of                             
06       value in encouraging economic development. During a fiscal year, the department may                               
07       make no more than 15 grants and may only make grants to one organization from a                                   
08       particular region. An organization that is designated an economic development district                            
09       under 42 U.S.C. 3171 qualifies for grants under this subsection. The department shall                             
10       by regulation adopt procedures for applying for regional development grants,                                      
11       including application deadlines. The department may by regulation establish                                       
12       additional grant eligibility requirements.                                                                        
13            (c)  To qualify for a grant, a regional development organization must match the                              
14       grant by providing an amount of money from nonstate sources. The department shall                                 
15       establish by regulation a formula that determines the amount of the match required                                
16       under this subsection based on the capability of each organization to generate money                              
17       from nonstate sources. The amount of match required may not exceed the amount of                                  
18       grant money and may not be less than 20 percent of the grant. The total amount of                                 
19       grant money provided to an organization during a fiscal year may not exceed                                       
20       $100,000.                                                                                                         
21            (d)  There is established in the department the regional development fund                                    
22       consisting of appropriations to the fund. Money from the fund may be used only for                                
23       regional development grants.                                                                                      
24            (e)  Not later than February 1 of each year, the department shall compile a                                  
25       report on statewide and regional economic development projects and on the activities                              
26       of regional development organizations that have received assistance under (a) of this                             
27       section or a grant under (b) of this section. The department shall notify the legislature                         
28       that the report is available. The report must include the information listed in (1) - (3)                         
29       of this subsection. To compile the report, the department shall require each regional                             
30       development organization to provide the following information to the department on                                
31       or before a date set by the department:                                                                           
01                 (1)  an assistance and funding summary for the previous fiscal year that                                
02       includes                                                                                                          
03                      (A)  the assistance provided to the organization by the                                            
04            department, the amount and purposes of grants made to the organization by the                                
05            department, and a statement of any other funding received by the organization                                
06            from the state;                                                                                              
07                      (B)  the amount of federal funding and grants received by the                                      
08            organization; and                                                                                            
09                      (C)  the amounts and sources of private sector sponsorships;                                       
10                 (2)  an activity summary that includes                                                                  
11                      (A)  a summary of the meetings of the board of the regional                                        
12            development organization held during the past year, including the number of                                  
13            meetings and the date, location, and a brief description of the agenda of each                               
14            meeting;                                                                                                     
15                      (B)  a summary of economic development initiatives being                                           
16            undertaken and services being provided by the regional development                                           
17            organization at the time of the report;                                                                      
18                      (C)  a work plan containing goals, objectives, and strategies for                                  
19            addressing regional economic needs;                                                                          
20                      (D)  a summary of any comprehensive economic development                                           
21            strategy being implemented by the board at the time of the report; and                                       
22                      (E)  the status of projects funded by grants from the state or the                                 
23            federal government; and                                                                                      
24                 (3)  an economic development summary that includes                                                      
25                      (A)  potential projects identified by the board that may enhance                                   
26            economic development; and                                                                                    
27                      (B)  challenges to regional economic development identified by                                     
28            the board.                                                                                                   
29            (f)  In this section,                                                                                        
30                 (1)  "department" means the Department of Commerce, Community,                                          
31       and Economic Development;                                                                                         
01                 (2)  "regional development organization" or "organization" means a                                      
02       nonprofit organization or nonprofit corporation formed to encourage economic                                      
03       development within a particular region of the state that includes the entire area of each                         
04       municipality within that region and that has a board of directors that represents the                             
05       region's economic, political, and social interests.                                                               
06    * Sec. 20. AS 16.43.100(a)(21), 16.43.451, 16.43.461, 16.43.471, 16.43.481, 16.43.491,                             
07 16.43.501, 16.43.511, and 16.43.521 are repealed.                                                                       
08    * Sec. 21. AS 44.33.896 is repealed July 1, 2016.                                                                  
09    * Sec. 22. The uncodified law of the State of Alaska is amended by adding a new section to                         
10 read:                                                                                                                   
11       INITIAL REPORT FILED UNDER AS 44.33.896(e). In addition to the requirements                                       
12 of AS 44.33.896(e), enacted by sec. 19 of this Act, the Department of Commerce,                                         
13 Community, and Economic Development shall include, in the first report compiled after the                               
14 effective date of sec. 19 of this Act, a funding summary for the previous three fiscal years.                           
15    * Sec. 23. The uncodified law of the State of Alaska is amended by adding a new section to                         
16 read:                                                                                                                   
17       TRANSITION: REGULATIONS. Notwithstanding AS 44.62.190, the Department of                                          
18 Commerce, Community, and Economic Development may continue to use and enforce                                           
19 regulations previously adopted to administer the former Alaska regional economic assistance                             
20 program to the extent those regulations do not conflict with AS 44.33.896, added by sec. 19 of                          
21 this Act. The Department of Commerce, Community, and Economic Development shall                                         
22 update and readopt those regulations in accordance with AS 44.62 to conform to the                                      
23 provisions of this Act.                                                                                                 
24    * Sec. 24. The uncodified law of the State of Alaska is amended by adding a new section to                         
25 read:                                                                                                                   
26       RETROACTIVITY. AS 44.33.896, enacted by sec. 19 of this Act, is retroactive to                                    
27 July 1, 2013.                                                                                                           
28    * Sec. 25. Sections 2, 6, 8, 10, 12, 14, 16, 18, and 20 of this Act take effect December 30,                       
29 2018.                                                                                                                   
30    * Sec. 26. AS 16.43.451(f), enacted by sec. 4 of this Act, takes effect January 1, 2015.                         
31    * Sec. 27. Except as provided in secs. 25 and 26 of this Act, this Act takes effect                              
01 immediately under AS 01.10.070(c).                                                                                      
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