Effective February 1, 2011, new federal regulations went into effect that effectively closed 40% of all charter halibut fishing businesses in Alaska and cost hundreds of Americans their jobs. The actions of the National Marine Fisheries Service (NMFS), a division of the National Oceanographic and Atmospheric Association (NOAA) under the Secretary of Commerce, eliminated competition and free enterprise with the stroke of a pen and is bad news for the consumer and sport fisherman. 

The Secretary of Commerce signed into law a Limited Access Program (CFR 50 Part 300.67) in 2010 that mandated NOAA to issue permits for participation in the Alaskan charter halibut fishery.  Beginning February 1, 2011 all charter halibut vessel operators in Southeast Alaska and the Central Gulf of Alaska must have a valid charter halibut permit.  

Arbitrary and capricious actions were used in developing the criteria that charter boats must have been active participants in either 2004 or 2005, and 2008 to qualify for a permit in 2011. Companies that do not meet the required participation requirements will not receive a permit and are denied access to the charter halibut fishery.

These permits immediately acquired value as high as $100,000 and can be sold, bartered, or traded. The program is a windfall for permit holders since they have a monopoly and will absorb non-permitted charter patrons in addition to the increased value of their businesses that a permit brings. Those being denied permits will be forced to obtain one from a permit holder at great expense, or go out of business. As of this date there is no financial compensaion for the charter halibut businesses that are no longer allowed to operate.

Other regulations imposed by the International Pacific Halibut Commission (IPHC) have been implemented that reduced bag limits for charter interests to one fish per day in Southeast Alaska since 2009, and a 37" maximum size limit is poised to go into effect there for this season.

The fishing ports of Homer, Seward, Kodiak, Whittier, Deep Creek, Anchor Point, Ninilchik, and Valdez will see their charter halibut fishing fleets reduced by 35%.  It is even worse in Sitka, Juneau, Ketchikan, Gustavus, and Petersburg who will be cut by 45% and reduced to a one fish under 37" limit per day for guided anglers.

The Limited Access Program and the impending reduced size limit are economic disasters for the already fragile Alaskan economy where unemployment in some charter fishing communities is over 14%.  Of the over 700 licensed halibut charter boats that operated in 2010, roughly 400 have been granted permits for 2011. Businesses and employees being excluded from the 2011 fishery face financial disaster and even losing their businesses, lodges, boats and employment. 

NOAA has determined that halibut removals are exceeding harvest levels by recreational interests fishing from licensed charter boats even though sport fishing accounts for less than 20% of the total allowable harvest.  By contrast, the same agency is allowing the commercial trawl fleet to discard over 12.4 million pounds of halibut overboard as bycatch in 2011!

What does all of this mean to the average American consumer? No competition, increased prices, and no incentive for the big winners in this game to improve quality or safety due to this government-sanctioned monopoly. Opportunities for the American public to harvest a resource that they own will be severely limited.  If this government agency can get away with it here, what sector is next?

Tell President Barack Obama, Alaska Senators Lisa Murkowski and Mark Begich, and Alaska Congressman Don Young that you believe in free enterprise, and that government actions that cost hundreds of Americans their jobs and deny anglers access to a resource that belongs to all Americans are unacceptable.