Chapter 8. Multiple Permit Holdings

Consolidation Efforts

Salmon prices declined dramatically in the early 2000’s, reducing the value of the salmon fisheries and creating concern for the future economic viability of the industry. As a result, fishermen and policymakers explored many options for restructuring the fisheries. One such effort was implemented in 2002, when the Alaska Legislature passed House Bill 286, which amended Alaska Statute 16.43.140 (c). The law allows individuals to hold two salmon limited entry permits in the same fishery. The permits may be either limited entry or interim-use permits. The law specifies that individuals who hold two salmon limited entry permits are allowed to fish only one of the two permits. However, this prohibition was supplanted under specific circumstances by House Bill 251, which was passed in 2006. This law gives the Alaska Board of Fisheries (Board) the authority to grant fishing privileges to the second permit held by an individual (AS 16.05.251).

Although much of the initial interest in presenting House Bill 286 was centered on fishing activity in Bristol Bay, the bill was introduced as applicable to all CFEC limited entry permits. By the time the bill was signed into law in the same year, it had been modified to apply to salmon permits only.

The provisions were designed to assist fishermen in several ways. The law would allow individuals to purchase and hold a permit at times that are opportune to them. It would also allow families to acquire permits and hold them until their children become of age to fish them. And finally, the law would allow for a flexible and voluntary means of fleet consolidation.

Stacked Permit Operations

As mentioned above, in 2006 Alaska Statute 16.05.251 was amended, granting the Alaska Board of Fisheries authority to adopt regulations to allow additional fishing privileges to permit holders who hold two permits in a salmon fishery. A stacked permit operation consists of one individual holding two permits in a salmon fishery. This person is allowed to fish two legal units of gear, effectively fishing both permits at the same time.

To date, the Board has authorized stacked permit operations in the following salmon set gillnet fisheries:

  1. Kodiak Salmon Set Gillnet: Regulation 5 AAC 18.331 went into effect in 2008 with a clause for it to sunset at the end of 2010 unless reauthorized by the Board. At the 2011 Kodiak Finfish meeting, the Board decided to allow the sunset provision to prevail, effectively returning the fishery to its former status, where a permit holder is restricted to fishing one legal unit of gear. Individuals are still allowed to own two permits in the fishery, but the second permit can no longer be fished.
  2. Bristol Bay Salmon Set Gillnet: Regulation 5 AAC 06.331 went into effect in 2010, but the regulation sunset at the end of 2012. Individuals are still allowed to own two permits in the fishery, but the second permit can no longer be fished.
  3. Cook Inlet Salmon Set Gillnet: Regulation 5 AAC 21.331 went into effect in 2011. The Cook Inlet regulation does not have a sunset provision.
  4. Yakutat Salmon Set Gillnet: Regulation 5 AAC 30.345(i) went into effect in 2012. The Yakutat regulation did have a sunset provision set to expire the end of 2014 and then the end of 2017; however, during the 2019 meeting the expiration date was removed.

Chapter 8 Tables

Table 8-01. Number of Permit Holders with Two Permits in the Same Fishery at Year-end

Table 8-01 CSV download

Table 8-01 tabulates year-end counts of individuals who hold two permits in the same salmon permit fishery in total and by resident type. Resident type definitions can be found in Chapter 5. Note that this table differs from those in previous chapters, in that permit holders are counted rather than permits. The percentages are the number of individuals in each category who hold two permits divided by the overall number of permit holders in the fishery. The total count of permits in each fishery can be calculated by adding the number of permit holders to the count of permit holders who hold two permits. The total count of year-end 2022 permits can also be found in Table 3-02 in Chapter 3.

Table 8-02. Kodiak Salmon Set Gillnet Second Permit Acquisition Source

Table 8-02 CSV download

Stacked permit operations were allowed in the Kodiak salmon set gillnet fishery from 2008 through 2010 under 5 AAC 18.331. Table 8-02 examines how individuals holding two Kodiak salmon set gillnet permits acquired their second permit; either through cross-cohort or intra-cohort transfer. Recall that cross-cohort transfers are transfers between persons of different resident types, while intra-cohort transfers are transfers between individuals in the same resident type. Cross-cohort transfers result in a change in the distribution of permits between the resident types while intra-cohort transfers do not. Resident type definitions can be found in Chapter 3.

Table 8-03. Bristol Bay Salmon Set Gillnet Second Permit Acquisition Source

Table 8-03 CSV download

Stacked permit operations were allowed in the Bristol Bay salmon set gillnet fishery from 2010 through 2012 under 5 AAC 06.331. Table 8-03 examines how individuals holding two Bristol Bay salmon set gillnet permits acquired their second permit; either through cross-cohort or intra-cohort transfer. Recall that cross-cohort transfers are transfers between persons of different resident types, while intra-cohort transfers are transfers between individuals in the same resident type. Cross-cohort transfers result in a change in the distribution of permits between the resident types while intra-cohort transfers do not. Resident type definitions can be found in Chapter 3.

Table 8-04. Cook Inlet Salmon Set Gillnet Second Permit Acquisition Source

Table 8-04 CSV download

Stacked permit operations were allowed in the Cook Inlet salmon set gillnet fishery beginning in 2011 under 5 AAC 21.331(i). Table 8-04 examines how individuals holding two Cook Inlet salmon set gillnet permits acquired their second permit; either through cross-cohort or intra-cohort transfer. Recall that cross-cohort transfers are transfers between persons of different resident types, while intra-cohort transfers are transfers between individuals in the same resident type. Cross-cohort transfers result in a change in the distribution of permits between the resident types while intra-cohort transfers do not. Resident type definitions can be found in Chapter 3.

Table 8-05. Yakutat Salmon Set Gillnet Second Permit Acquisition Source

Table 8-05 CSV download

Stacked permit operations are allowed in the Yakutat salmon set gillnet fishery beginning in 2012. Table 8-05 examines how individuals holding two Yakutat salmon set gillnet permits acquired their second permit; either through cross-cohort or intra cohort transfer. Recall that cross-cohort transfers are transfers between persons of different resident types while intra-cohort transfers are transfers between individuals in the same resident type. Cross-cohort transfers result in a change in the distribution of permits between the resident types while intra-cohort transfers do not. Resident type definitions can be found in Chapter 3.