The Community Entities Quota (CQE) program was adopted earlier this year by the North Pacific Fishery Management Council. It allows 42 Gulf of Alaska communities with fewer than 1,500 residents to form non-profit corporations to act on their behalf and purchase quota shares.

"The non-profits will enter the quota share market and buy and sell like anyone else. But their annual permits are transferred by lease to residents of the community on whose behalf the CQE is operating. It's a way of letting guys in small villages go fishing without a huge barrier to capital getting in their way," said Phil Smith, director of the Restricted Access Management Division of NOAA Fisheries. He added: "This is not a give away program, and it does not allocate dollars or fish. It is an opportunity that could really enhance their fisheries economies over time."

Concerns over finding money to jump start the new CQE program may be put to rest, thanks to legislation introduced by Governor Frank Murkowski that would allow state funding through the Division of Investments. HB 554 and SB 387 would amend the Commercial Fishing Revolving Loan Fund to allow loans to the CQE purchasers, and in turn, create a new local revenue stream.

"This is a major step towards revitalizing fishing communities that have suffered because of the out migration of IFQs and limited entry permits," Murkowski said in a press release. "I am encouraged that this will provide smaller communities an opportunity for future revenue and new jobs."

Phil Smith said there is a lot of interest in the CQE program. "It will take time for the communities to put a program together. In four or five years the verdict will come in and we'll see if it works. There's lots of hope," he said. NOAA Fisheries is expected to publish the final rule authorizing the CQE program in May, meaning it could be operational sometime this summer.

The communities with a combined total of 13,030 residents determined eligible for the CQE program are:

(Area 2C/Southeast) - Angoon, Coffman Cove, Craig, Edna Bay, Elfin Cove, Gustavus, Hollis, Hoonah, Hydaburg, Kake, Kassan, Klawock, Metlakatla, Meyers Chuck, Pelican, Point Baker, Port Alexander, Port Protection, Tenakee Springs and Thorne Bay.

(Area 3A/Central Gulf) - Akhiok, Chenega Bay, Halibut Cove, Karluk, Larsen Bay, Nanwalek, Old Harbor, Ouzinkie, Port Graham, Port Lions, Seldovia, Tatitlek, Tyonek and Yakutat.

(Area 3B/Western Gulf) - Chignik, Chignik Lagoon, Chignik Lake, Ivanof Bay, King Cove, Perryville and Sand Point.

No observers for setnetters

Budget uncertainties mean observers will not be watching interactions between marine mammals and salmon setnetters again this summer. "We are not able to get our funding in place in time to award a contract to an observer provider so we can get observers out in the field in time to get enough data for this summer," said Bridget Mansfield, project coordinator for NOAA Fisheries.

Observers are required by law to assess the levels and kinds of marine mammal and sea bird interactions in all commercial fisheries in the United States. In 2002, 14 observers began a two-year study with about 184 Kodiak set gillnet permit holders. The project operates in rotation with 11 other near shore salmon fisheries in Cordova, Prince William Sound and Cook Inlet. Those fisheries are categorized as having occasional interactions with marine birds and mammals.

Mansfield said the postponement is disappointing. "We want to get the Kodiak study wrapped up and get the data analyzed so we can move on to the next fishery," she said, adding that the two-year delay should not have a negative effect on fisheries management or the ongoing research.

Visa watch

Alaska fishing operations are closely watching the status of a bill that will raise the visa cap for temporary foreign workers. The Department of Homeland Security drastically reduced the yearly cap of 66,000 on H-2B visas and that caught Alaska's salmon industry off guard. Companies can apply for the visas only 120 days prior to when the workers are needed. For summer fisheries, that means now. Each year, salmon processors bring in hundreds of highly skilled Japanese technicians to oversee the grading and handling of salmon roe, and buyers will not purchase it unless the packing is overseen by their experts.

Market analyst Bill Atkinson provided this perspective from the Japanese press: "The problem for the packers is that time is limited. The Copper River fishery is scheduled to open in early May, and any authorization of additional visa quota may not pass Congress in time for technicians to be present for this fishery. And with the good fat content and high demand for Copper River sockeye roe in Japan, a lack of technicians could be disastrous for the packers in the region. The market for sujiko (salmon eggs still in the sac) and ikura (caviar) in Japan is already distressed, but it could completely fall apart for the U.S. industry if the extra visas are not available."

Atkinson pointed out that the visa problem extends to other fisheries besides salmon.

H-2B visas are also widely used for technicians on vessels operating in Alaska groundfish fisheries. "The inability to obtain visas for these groundfish technicians could have a similar affect on these operations. Uncertainty about packing standards will have a definite affect on groundfish prices in Japan, including cod and surimi," Atkinson said.