The Alaska Legislature passed Senate Bill 156, preserving a vital financial tool for Alaska commercial fishing families. The bill invests in the Commercial Fishing and Agriculture Bank (CFAB), letting them match the low interest rates on commercial fishing loans that the legislature and governor adopted in the 2024 legislative session.
The legislation came from the recommendations of the Joint Legislative Task Force Evaluating Alaska’s Seafood Industry. Unable to match the rates from the revolving loan fund, CFAB has lost significant loan volume.
SB 156 fixes it with a one-time, temporary investment of state money that will be paid back to the general fund.
Representative Will Stapp (R-Fairbanks) supported the bill but expressed concern about the long-term approach. “I hope that we develop a long-term, permanent fix for this kind of issue that was created in the last session… I just want to say that my hope is that next year we can come back here and work out a permanent fix to this issue.”
“This bill will help Alaska small fishing businesses during these tough financial times,” said Senator Jesse Kiehl, D-Juneau. He served on the task force and carried the bill in the Senate. “Keeping CFAB afloat helps Alaska fishermen today and preserves an important financing option for many years to come.”
*Photo courtesy of Gavel Alaska, KTOO