Last week, the Joint Legislative Task Force on Evaluating Alaska’s Seafood Industry held its fourth round of meetings to continue discussing issues affecting the state’s seafood industry. The task force was created through Senate Concurrent Resolution 10 during the prior legislative session and has previously met over two-day sessions in September, October, and November.
On Tuesday, Dec. 10, the task force heard from many small-scale fish processors, harbormasters, and the Commercial Fisheries Entry Commission, who highlighted the challenges facing their sectors, such as:
- Labor costs have increased by 50%, compounded by inflation and high interest rates.
- Small processors struggle to secure pack loans, which are vital for financing inventory and operations.
- Economic Injury Disaster Loans from the COVID-19 pandemic placed blanket liens on assets, in turn restricting access to additional funding sources.
- High labor, energy, transportation, and capital costs have further reduced competitiveness.
- Regulatory complexities and uncertain climate conditions deter investors.
- Harbor maintenance costs are increasing due to inflation, placing a significant financial burden on local municipalities.
- The municipal harbor match grant cap of $5 million is outdated and does not meet current project demands.
On Wednesday, Dec. 11, the task force continued discussions with the Alaska Industrial Development & Export Authority (AIDEA), AVTEC, and the University of Alaska’s AK Sea Grant Program, which highlighted:
- Struggles to effectively reach high school students and support staff, such as guidance counselors, to promote vocational education and career pathways.
- Workforce development limitations include aging facilities and equipment and struggles to recruit and retain instructors in specialized programs.
- Fisherman disaster funds take years to process, causing further financial stress and limited access to federal dollars for modernization and infrastructure development.
“As we continue our deep dive into the challenges facing Alaska’s seafood industry, we are understanding more and more that the issues are multifaceted. There’s no single solution here. However, this task force is committed to taking up these challenges and identifying actionable steps within our legislative capacity,” said Sen. Gary Stevens. “While the path forward is not easy, I’m confident that we can present and work through solutions in the upcoming session to strengthen and sustain this industry for our economy and future generations.”
The task force plans to hold its next and possibly final round of meetings in Anchorage on Jan. 9 and 10 before providing recommendations to the 34th Alaska State Legislature, which begins on Jan. 21, 2025. Task force members include Senator Gary Stevens, Chair, R-Kodiak, Senator Jesse Bjorkman, R-Nikiski, Senator Jesse Kiehl, D-Juneau, Senator Bert Stedman, R-Sitka, Representative Bryce Edgmon, I-Dillingham, Representative George Rauscher, R-Sutton, Representative Louise Stutes, R-Kodiak, and Representative Sarah Vance, R-Homer.