FILED 10/13/ :03 AM ARCHIVES DIVISION SECRETARY OF STATE

Transcription

1 Attachment 2 OFFICE OF THE SECRETARY OF STATE DENNIS RICHARDSON SECRETARY OF STATE LESLIE CUMMINGS DEPUTY SECRETARY OF STATE NOTICE OF PROPOSED RULEMAKING INCLUDING STATEMENT OF NEED & FISCAL IMPACT CHAPTER 635 DEPARTMENT OF FISH AND WILDLIFE ARCHIVES DIVISION MARY BETH HERKERT DIRECTOR 800 SUMMER STREET NE SALEM, OR FILED 10/13/ :03 AM ARCHIVES DIVISION SECRETARY OF STATE FILING CAPTION: Vessel Permit Sale Preliminary Injunction LAST DAY AND TIME TO OFFER COMMENT TO AGENCY: 12/08/2017 5:00 PM The Agency requests public comment on whether other options should be considered for achieving the rule's substantive goals while reducing negative economic impact of the rule on business. CONTACT: April Mack april.h.mack@state.or.us 4034 Fairview Industrial DR SE Salem,OR Filed By: April Mack Rules Coordinator HEARING(S) Auxilary aids for persons with disabilities are available upon advance request. Notify the contact listed above. DATE: 12/08/2017 TIME: 8:00 AM - 5:00 PM OFFICER: Oregon Department of Fish & Wildlife Commission ADDRESS: Oregon Department of Fish & Wildlife Headquarters 4034 Fairview Industrial Dr. SE Salem OR, OR NEED FOR THE RULE(S): These rules are needed to comply with HB 2499 DOCUMENTS RELIED UPON, AND WHERE THEY ARE AVAILABLE: 1. Staff Report for the Oregon Fish & Wildlife Commission hearing of December 8, A copy of the rules and the other documents relied upon for this rulemaking [the above documents] are available from the Oregon Department of Fish and Wildlife, Fish Division, Second Floor, 4034 Fairview Industrial Drive SE, Salem, Oregon , between the hours of 8:00 a.m. and 4:00 p.m., on normal working days, Monday through Friday. FISCAL AND ECONOMIC IMPACT: Economic and Fiscal Impact Statement for the December 8, 2017

2 Hearing Relating to Rules for Commercial Fishing Vessel Permitting The amended rules will enable the Oregon Department of Fish and Wildlife to grant a temporary permit to allow a seller of a commercial fishing vessel permit to continue fishing on that vessel permit for which the prospective buyer has agreed to purchase but has not completely paid for yet. Statement of Cost of Compliance 1. Impact on state agencies, units of local government and the public (ORS (2)(b)(E)): The proposed rules will affect state agencies, units of local government, and the public, respectively, as discussed below: A. The state agency that could be affected by adoption of these rules is the Oregon Department of Fish and Wildlife (ODFW). Minimal changes in costs to ODFW are expected from these rule changes, however additional staff time may result from issuing a temporary permit. A situation in which a seller has sold a vessel permit, but has not collected payment in full from the prospective buyer is expected to be a rare occurrence. No changes in Ad Valorem (AV) revenues would be anticipated because commercial fish landings would not be expected to be affected. B. No impacts are expected. C. The public will be minimally affected by the amending of these rules. Oregonian and nonresident commercial fishermen will have the ability to be more flexible in the transfer of vessel permits and vessel permit holders will be able to fully benefit from the permit while the transaction is in process. Changes in commercial fish landings are not expected to result from these rule amendments. 2. Cost of compliance effect on small business (ORS ): a. Estimate the number of small businesses and types of business and industries with small businesses subject to the rule: The types of business related to the rule are primarily those that receive economic benefit from vessel permit holders. Because the quantity of small businesses that fit this description are unquantifiable and the impact is also incalculable, the impact to small business in unknown. Should disputes arise between buyer and seller and who has legal right to the vessel permit, there may be cost associated with that litigation. b. Projected reporting, recordkeeping and other administrative activities required for compliance, including costs of professional services: None expected, beyond current recordkeeping requirements c. Equipment, supplies, labor and increased administration required for compliance: None expected The rules are believed to be fully compatible with legislative direction on the goals of wildlife management in Oregon. We do not believe that a less intrusive or less costly alternative adaptation to only small business is consistent with the purpose of the rule. COST OF COMPLIANCE: (1) Identify any state agencies, units of local government, and members of the public likely to be economically affected by the rule(s). (2) Effect on Small Businesses: (a) Estimate the number and type of small businesses subject to the rule(s); (b) Describe the expected reporting, recordkeeping and administrative activities and cost required to comply with the rule(s); (c) Estimate the cost of professional services, equipment supplies, labor and increased administration required to comply with the rule(s). 1. Impact on state agencies, units of local government and the public (ORS (2)(b)(E)): Refer to Fiscal Impact Statement 2. Cost of compliance effect on small business (ORS ): Refer to Fiscal Impact Statement a. Estimate the number of small businesses and types of business and industries with small business subject to the rule: Refer to Fiscal Impact Statement

3 b. Projected reporting, recordkeeping and other administrative activities required for compliance, including costs of professional services: Refer to Fiscal Impact Statement c. Equipment, supplies, labor and increased administration required for compliance: Refer to Fiscal Impact Statement DESCRIBE HOW SMALL BUSINESSES WERE INVOLVED IN THE DEVELOPMENT OF THESE RULE(S): There was no involvement by small businesses. WAS AN ADMINISTRATIVE RULE ADVISORY COMMITTEE CONSULTED? NO IF NOT, WHY NOT? The proposed rule amendment for vessel permit sales is needed to comply with House Bill 2499 RULES PROPOSED: , , , , , AMEND: Transferability of Permits (1) Any transfer of a permit away from a vessel without the written consent of each person holding a security interest in such vessel is void. (2) Black Rockfish/ / Blue Rockfish/ / Nearshore Fishery Permit holders may transfer a permit pursuant to ORS (3) To be eligible for transfer the vessel operating under the permit must have made, in the previous calendar year, a minimum of five landings that contained at least 15 pounds of any combination of black rockfish, blue rockfish or nearshore fish in each landing. (4) In the event a buyer fails to complete a purchase agreement for a vessel permit, the seller is eligible for a temporary transfer of the vessel permit back to the seller, if a preliminary injunction is issued by a circuit court requiring the State Department of Fish and Wildlife to allow the seller to continue to operate a vessel in the fishery during the pendency of the proceeding. An order granting a preliminary injunction under this section must include a finding that allowing the seller to continue to operate a vessel in the fishery will not cause excessive harvest pressure on the fishery resource. Statutes/Other Implemented: ORS , ,

4 AMEND: Transferability of Ocean Dungeness Crab Permits (1) Any transfer of a permit away from a vessel without the written consent of each person holding a security interest in such vessel is void. (2) Ocean Dungeness Crab Permit holders may transfer a permit: (a) Pursuant to ORS ; and (b) Once in an 18-month period, provided the vessel holding the permit has landed at least 500 pounds of ocean Dungeness crab into Oregon in each of two ocean Dungeness crab fishing seasons in the last five ocean Dungeness crab fishing seasons, which includes landings made during any season open at the time of application. However, the Board may waive the landing requirement as well as the 18-month waiting period for transfers, if the Board finds strict adherence to this requirement was not met by the individual seeking to transfer a permit as a result of undue hardship as defined in OAR The Board also may delegate to the Department its authority to waive these requirements in such specific instances as the Board sets forth in a Letter of Delegation to the Department. (3) An Ocean Dungeness Crab Permit is transferable: (a) To another vessel; or (b) To the purchaser of the vessel when the vessel is sold. (4) The vessel to which an Ocean Dungeness Crab Permit is transferred: (a) Shall not be more than 10 feet longer than the vessel which held the permit on January 1, 2006, except that a permit transferred to to a vessel that is more than 10 feet shorter than the vessel for which the permit was held on January 1, 2013, may subsequently be transferred to a vessel of a length equal to or less than the length of the vessel for which the permit was held on January 1, 2013; (b) Shall not be more than 99 feet in length; and (c) Shall not be more than 26 feet in length if the Ocean Dungeness Crab Permit was obtained as a result of qualifying under subsection (1)(e) of ORS (5) For the purpose of subsection (4)(a) of this rule, the Commercial Fishery Permit Board may waive the vessel length restriction if it finds that strict adherence to this requirement was not met as a result of undue hardship as defined in OAR (6) In the event a vessel is destroyed due to fire, capsizing, sinking or other event, the vessel owner has up to two years to transfer the Ocean Dungeness Crab Permit to a replacement vessel. (7) Ocean Dungeness Crab Permit transfers are suspended during split season openings as pursuant to OAR (2). (8) In the event a buyer fails to complete a purchase agreement for a vessel permit, the seller is eligible for a temporary transfer of the vessel permit back to the seller, if a preliminary injunction is issued by a circuit court requiring the State Department of Fish and Wildlife to allow the seller to continue to operate a vessel in the fishery during the pendency of the proceeding. An order granting a preliminary injunction under this section must include a finding that allowing the seller to continue to operate a vessel in the fishery will not cause excessive harvest pressure on the fishery resource. Statutes/Other Implemented: ORS ,

5 AMEND: Transferability of Pink Shrimp Permits (1) Any transfer of a Pink Shrimp Permit away from a vessel without the written consent of each person holding a security interest in such vessel is void. Pink Shrimp Permit holders may transfer a permit pursuant to ORS (2) In the event a buyer fails to complete a purchase agreement for a vessel permit, the seller is eligible for a temporary transfer of the vessel permit back to the seller, if a preliminary injunction is issued by a circuit court requiring the State Department of Fish and Wildlife to allow the seller to continue to operate a vessel in the fishery during the pendency of the proceeding. An order granting a preliminary injunction under this section must include a finding that allowing the seller to continue to operate a vessel in the fishery will not cause excessive harvest pressure on the fishery resource. Statutes/Other Implemented: ORS , ,

6 AMEND: Transferability of Weathervane Scallop Permits (1) Any transfer of a Weathervane Scallop Permit away from a vessel without the written consent of each person holding a security interest in such vessel is void. Weathervane Scallop Permit holders may transfer a permit pursuant to ORS (2) In the event a buyer fails to complete a purchase agreement for a vessel permit, the seller is eligible for a temporary transfer of the vessel permit back to the seller, if a preliminary injunction is issued by a circuit court requiring the State Department of Fish and Wildlife to allow the seller to continue to operate a vessel in the fishery during the pendency of the proceeding. An order granting a preliminary injunction under this section must include a finding that allowing the seller to continue to operate a vessel in the fishery will not cause excessive harvest pressure on the fishery resource. Statutes/Other Implemented: ORS , ,

7 AMEND: Transferability of Sea Urchin and Sea CucumberPermits (1) Any transfer of a Sea Urchin and Sea Cucumber Permit without the written consent of each person holding a security interest in such vessel is void. The following rules apply to transfer of Sea Urchin and Sea Cucumber Permits: (2) The Department shall approve the transfer of any permit to any purchaser of the permit, provided that not more than one sale or transfer of the permit occurs within that calendar year; (3) No Sea Urchin and Sea Cucumber Permit issued to an individual through the lottery after 1998 may be transferred to another individual until a cumulative total of 20,000 pounds of sea urchins, or 2,000 pounds of California sea cucumbers have been landed on commercial fish receiving tickets by the individual issued the permit through the lottery. (4) In the event a buyer fails to complete a purchase agreement for a vessel permit, the seller is eligible for a temporary transfer of the vessel permit back to the seller, if a preliminary injunction is issued by a circuit court requiring the State Department of Fish and Wildlife to allow the seller to continue to operate a vessel in the fishery during the pendency of the proceeding. An order granting a preliminary injunction under this section must include a finding that allowing the seller to continue to operate a vessel in the fishery will not cause excessive harvest pressure on the fishery resource. Statutes/Other Implemented: ORS , ,

8 AMEND: Transferability of Permits Any transfer of a permit away from a vessel without the written consent of each person holding a security interest in such vessel is void. The following rules apply to transfer of limited entry fishery permits: (1) Gillnet salmon - see ORS (2) Troll salmon - see ORS (3) In the event a buyer fails to complete a purchase agreement for a Columbia River Gillnet vessel permit, the seller is eligible for a temporary transfer of the vessel permit back to the seller, if a preliminary injunction is issued by a circuit court requiring the State Department of Fish and Wildlife to allow the seller to continue to operate a vessel in the fishery during the pendency of the proceeding. An order granting a preliminary injunction under this section must include a finding that allowing the seller to continue to operate a vessel in the fishery will not cause excessive harvest pressure on the fishery resource. Statutes/Other Implemented: ORS , , ,

9 Economic and Fiscal Impact Statement for the December 8, 2017 Hearing Relating to Rules for Commercial Fishing Vessel Permitting The amended rules will enable the Oregon Department of Fish and Wildlife to grant a temporary permit to allow a seller of a commercial fishing vessel permit to continue fishing on that vessel permit for which the prospective buyer has agreed to purchase but has not completely paid for yet. Statement of Cost of Compliance 1. Impact on state agencies, units of local government and the public (ORS (2)(b)(E)): The proposed rules will affect state agencies, units of local government, and the public, respectively, as discussed below: A. The state agency that could be affected by adoption of these rules is the Oregon Department of Fish and Wildlife (ODFW). Minimal changes in costs to ODFW are expected from these rule changes, however additional staff time may result from issuing a temporary permit. A situation in which a seller has sold a vessel permit, but has not collected payment in full from the prospective buyer is expected to be a rare occurrence. No changes in Ad Valorem (AV) revenues would be anticipated because commercial fish landings would not be expected to be affected. B. No impacts are expected. C. The public will be minimally affected by the amending of these rules. Oregonian and nonresident commercial fishermen will have the ability to be more flexible in the transfer of vessel permits and vessel permit holders will be able to fully benefit from the permit while the transaction is in process. Changes in commercial fish landings are not expected to result from these rule amendments. 2. Cost of compliance effect on small business (ORS ): a. Estimate the number of small businesses and types of business and industries with small businesses subject to the rule: The types of business related to the rule are primarily those that receive economic benefit from vessel permit holders. Because the quantity of small businesses that fit this description are unquantifiable and the impact is also incalculable, the impact to small business in unknown. Should disputes arise between buyer and seller and who has legal right to the vessel permit, there may be cost associated with that litigation. b. Projected reporting, recordkeeping and other administrative activities required for compliance, including costs of professional services: None expected, beyond current recordkeeping requirements

10 c. Equipment, supplies, labor and increased administration required for compliance: None expected The rules are believed to be fully compatible with legislative direction on the goals of wildlife management in Oregon. We do not believe that a less intrusive or less costly alternative adaptation to only small business is consistent with the purpose of the rule.