SUMMARY OF IMPORTANT POINTS FROM A ‘CONFERENCE ON MARINE AQUACULTURE: EFFECTS ON THE WEST COAST AND ALASKA FISHING INDUSTRY’ NOVEMBER 17-19 2004 For the first 2 days of the conference various speakers spent time trying to dispel criticism of the problems inherent in salmon aquaculture, and reiterated information about the growing seafood market in the US. Offshore aquaculture’s role in reducing the seafood trade deficit was frequently touted. Most of the useful information regarding offshore aquaculture came in a speech by Conrad Mahnken, director of NOAA’s aquaculture program, and related to the fourth coming aquaculture bill which will be presented to congress in 2004. The bill was first identified in 1997, drafted in ’98, reviewed by the Joint Sub-committee on Aquaculture in ’99, rewritten in ’02, and has very recently been approved by NOAA’s executive council. In 2004 it will be given to the Office of Management and Budget and Joint Sub-committee on Aquaculture, the JSA’s concerns will be addressed and the bill will go to congress. Most of the draft bill’s findings are predictable, e.g. that it is US policy to support aquaculture, encourage responsible aquaculture and promote research and development in this area. There will be two types of permit issued for offshore sites. 1) A site permit for a minimum of 10 years, giving security of tenure to allow investors to attract loans for their projects. Following the initial period it would be renewable every 5 years. 2) An operating permit dependent on species, seabed, anchoring, consistency with the Coastal Zone Management Act, and compatibility with other users. There would be a ‘one stop permitting process’ and operators would have to meet standards consistent with the species being raised (these have yet to be defined as many species are experimental). Permits would be transferable and any citizen would be able to hold one. It was mentioned that this must be consistent with international law such as the Sea Convention, of which ‘the US is not a signatory but complies’ There will be annual permit fees which may be waived for research and tribal rights, and these fees would go into an aquaculture fund used to safeguard aquaculture. Permits could be revoked, and monitoring would take place. However if farms comply with standards monitoring will be reduced.There will be Department of Commerce financial assistance, R&D partnerships with industry for feasibility studies, and financial assistance for farms that are not economically viable. Standards would be set through partnership with industry in association with scientific studies. Perhaps the most controversial aspect of the bill is that it will exempt Offshore aquaculture facilities from the Magnusson Stevens act which currently regulates the EEZ. This would allow foreign companies and individuals to own offshore sites. This is not possible for US ships, which may not be foreign owned. When asked about foreign ownership of leases and how it would benefit the US trade deficit, Mr Mahnken answered that ‘we can’t and don’t’ exclude ownership by foreign companies. He did however suggest that the Alien Exclusion Act of 1931 does not allow ownership of lands by foreigners. When asked what would happen if states, e.g. Alaska, opposed this federal policy, he replied that Alaska was a signatory to the Coastal Zone Management Act and has constitutional rights with federal government. He suggested that an operator would require land-based facilities which the state could veto Tim Keeney, co-propenent of the bill with Conrad Mahnken, also gave a less informative speech in which he indicated that NOAA’s Code of Conduct for Aquaculture in the US EEZ, developed with the Joint Sub-committee on Aquaculture will be published in 2004. A speaker from the fishing industry later noted that there is a disparity whereby commercial fishing is very highly regulated, while aquaculture is subject only to voluntary regulations. He talked of the re-structuring which has occurred within NOAA recently under which, NMFS, OAR, NOS and NESDIS remain part of NOAA but are ‘matrix managed’. This means that various programs within NOAA will be managed across all the sub-agencies, Conrad Mahnken being the matrix manager for the aquaculture program. In response to a question about funding, Keeney stated that setting up the permitting process would require $30 in its initial year, that revenues would come in with sales of permits/leases and that there would be a further investment of ‘some millions of $’s’ in the following years. This in addition to the $8million R&D money going annually to Sea Grant. This seems like an extremely conservative estimate In answer to a question, Bill Waknitz, also of NOAA Fisheries (NMFS) suggested that since 2004 is a presidential election year, and senate is up for re-election along with half of congress, the bill would be likely to die and be resubmitted in 2005.