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Web posted Sunday, May 22, 2005

False Pass puts hopes in harbor and fish plant

By Margaret Bauman
Alaska Journal of Commerce

On wind swept Unimak Island, on the eastern edge of the Aleutians, the salmon will soon be running by False Pass, and hopes are high for major economic improvements that are in the works.

Commercial salmon fishing and fishing services drive the local economy, including that of Isanotski Corp., the Alaska Native village corporation of False Pass. The city, population 62, derives some income from a two percent local fish tax, and Isanotski anticipates its economic fortunes will rise with a shore-based fish processing facility and a new small-boat harbor already out for bid.

The processing facility, to be built by the Aleutian Pribilof Island Community Development Association, will hopefully have state approval within weeks and should be completed in 2007, said Larry Cotter, the association's chief executive officer.


  The Isanotski Crab Pot Storage yard in False Pass may store more crab pots as new development spurs economic growth in the remote village on Unimak Island . Photo courtesy of Isanotski Corp.    
The association hopes to begin construction this summer on the new plant, which will replace Bering Pacific Seafoods' now defunct floating barge processor, Cotter said.

Bering Pacific Seafoods, a subsidiary of the development association, operated from a floating barge with some shore-side infrastructure, including a bunkhouse, power facilities and an ice house from 2000 to 2002. Then the association "put it to sleep and went back to the drawing board," Cotter said. "We have been working since then to decide what we want in False Pass."

The new processing facility will fillet as much salmon as can be canned and fed to domestic markets, along with halibut and sablefish. Cotter said the association would like to operate the plant as much as possible throughout the year, but would proceed with caution because of the costs associated with operating on a year-round basis.

Once the facility is completed, it will probably be operating initially from May to October.

The new plant will be down by the new boat harbor, where Isanotski runs a storage business for crab pots and other fishing gear. The plan is to eventually get a boatlift to store boats on land, said Chuck Martinson, office manager for the Native corporation.

The U.S. Army Corps of Engineers will be opening proposals June 1, and awarding a contract June 22 for the $13 million small-boat harbor, including two rock breakwaters to create a mooring basin, and for dredging of the mooring basin and entrance channel, said Pat Richardson, spokeswoman for the corps in Anchorage.

All this should bring more business to Isanotski's gear storage operation, plus the corporation's grocery store, package liquor store, and bed and breakfast, Isanotski president Tom Hoblet said.

"We're also thinking of expanding our grocery store and getting into the fuel sales business," he said.

Isanotski's grocery, the only one in False Pass, is currently housed in a bunkhouse owned by Bering Pacific Seafoods, but the grocery is to be moved to a converted warehouse, which is 30 feet by 50 feet owned by the city of False Pass later this year, Martinson said.

In mid-May, Martinson was preparing to place orders for new False Pass sweatshirts to be sold at the store, along with fresh produce, and canned and frozen foods.

The whole composition of the community has changed since Peter Pan Seafoods "walked out and turned off the lights," Martinson said, referring to Peter Pan's decision to close its grocery and fuel tank farm last year.

The old cannery, built in 1919, burned down in 1983. Remaining structures at False Pass owned by the Seattle seafood processor are up for sale, but Martinson said he knows of no offers to date.

"The land is sitting there (in the middle of town) with a bunch of derelict buildings and three docks all in need of a lot of repair," he said.

"What the people here want is a situation where the people who live in the town work at the plant, not a fishing community with a bunch of migrant workers," he said. "We want a real economy."

Margaret Bauman can be reached at margie.bauman@alaska

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