MEMORANDUM

TO: Timothy Navarre, Assembly President

Members, Kenai Peninsula Borough Assembly

FROM: Chris Moss, Assembly Member

Ron Long, Assembly Member

DATE: April 15, 2002

SUBJECT: Resolution 2002-____, Opposing processor shares

The North Pacific Fishery Management Council (NPFMC) sets the regulations for all fisheries that occur between the State of Alaska three-mile limit and 200-mile federal exclusive economic zone. Currently before the NPFMC is a proposal to allocate the crab fisheries to individuals who participate in those fisheries. Along with that allocation the NPFMC is considering requiring harvested crab to be processed by existing processing entities. We believe that this would have a negative effect on the prices offered to fishermen and would also reduce the number of new processors that would be able to compete for resources delivered to Alaska communities. While this program is for the Bering Sea, it will probably be the template for groundfish and be expanded into the Gulf of Alaska, ultimately affecting Kenai Peninsula Borough communities, fishermen, and processors.