Bill Summaries: S573 STRENGTHEN OYSTER INDUSTRY.

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  • Summary date: May 20 2015 - View Summary

    Senate committee substitute makes the following changes to the 1st edition.

    Amends the long title.

    Amends the definition for water column found in GS 113-201.1(5), making a technical correction. Effective July 1, 2015.

    Amends GS 113-202 concerning the application process for a shellfish cultivation lease, providing that location information required by the application can be based on coordinate information from a device equipped to receive global positioning system data. Also sets the application fee for lease renewal at $50 (was, $100) and provides that the rental for initial leases is fifty cents per acre until the first day of July following the first anniversary of the lease, at which time it increases to $5 per acre (previously leases were $10 per acre per year for leases entered into after July 1, 1965). Makes conforming changes. Adds new subsection (r) providing that the specified lease includes the right to place devices or equipment related to the cultivation of marine resources on or within 18 inches of the leased bottom. Sets out when a water column lease would be required for devices or equipment. Effective July 1, 2015.

    Amends GS 113-202.1 concerning water column leases for aquaculture, providing that shellfish cultivation leases can only be  amended to allow the use of devices or equipment not resting on the bottom or that extend more than 18 inches above the bottom when certain specified criteria are met, including the submittal of an application with a nonrefundable $50 application fee (previously application fee was $100). Provides that the annual rental fee for a new or renewal water column amendment is $50 (was, $100 an acre).  Effective July 1, 2015.

    Deletes the following provisions from the previous edition: changes made to GS 106-758 (definitions for use in the Aquaculture Development Act); changes made to GS 106-761 (Aquaculture facility registration and licensing); proposed GS Chapter 113, Article 16A (Leasing of Bottom Land and Waters of the State for Marine Aquaculture); and changes made to GS 113-134.1 (Jurisdiction over marine fisheries resources in Atlantic Ocean).

    Amends Section 44 of SL 2014-120, concerning the Senator Jean Preston Marine Oyster Sanctuary, adding a new component to the plan to construct and manage additional oyster habitat that provides that the plan cannot provide funding or resources to water bodies where a moratorium or other legal prohibition on shellfish leasing as specified is in effect. 

    Directs the Division of Marine Fisheries and the Division of Coastal Management to create a new permitting process for oyster restoration projects, with a required report to be submitted to the Environmental Review Commission no later than May 1, 2016. 

    Directs the Coastal Resources Commission and the Department of Environment and Natural Resources to implement 15A NCAC 03O .0503(g) (Scientific or Educational Activity Permit rule) until the required, substantively identical revised permanent rule as provided can be adopted, to allow issuance of a scientific or educational activity permit for approved activities conducted by or under the direction of a nongovernmental conservation organization as well as a scientific or educational institution. 

    Amends GS 113-169.2, Shellfish license for North Carolina residents without a Standard Commercial Fishing License (SCFL), to allow individuals that work for a shellfish leaseholder with a valid SCFL to take shellfish from the leased cultivation area without personally holding a SCFL. Makes technical and conforming changes. 


  • Summary date: Mar 30 2015 - View Summary

    Part I.

    Amends GS 143B-431.1 to require the nonprofit that the Department of Commerce (Commerce) contracts with to include on its board a member with expertise in shellfish or other aquaculture. Adds to the mandatory contract provisions that the nonprofit must create an entity within the corporation that is responsible for developing a strategic plan to further economic development of and otherwise providing continuing assistance to the state's shellfish and other aquaculture industries. Requires Commerce to take the steps necessary to ensure that the contract complies with these requirements.

    Part II.

    Amends GS 113-202 to no longer require that a shellfish cultivation lease application include a survey of the area approved for leasing. Also doubles the duration of the initial and renewal leases. Applies to shellfish lease applications received on or after July 1, 2015.

    Part III.

    Requires the Division of Marine Fisheries, in consultation with specified entities, to create a proposal to open certain areas of the Core Sound to shellfish cultivation leasing. Requires a report by May 1, 2016, to the Joint Legislative Commission on Governmental Operations.

    Part IV. 

    Amends GS 106-758 to include within the definition of aquaculture marine hatcheries and other deep water fish farming operations in the state's coastal and ocean waters. 

    Amends GS 106-761 to require the Department of Agriculture and Consumers Services (DACS) to also regulate the production and sale of commercially raised saltwater fish and crustacean species. Requires the Board of Agriculture (Board) to designate the species of fish, crustaceans, and shellfish that may be produced and sold under a Marine Aquaculture Propagation and Production Facility License, as created in the act. Specifies issues that must be taken into account in making the designation. Allows the Board to authorize and license the operation of fish hatcheries and production facilities for species of fish listed above. Requires the Board to (1) consult with the Marine Fisheries Commission and the National Marine Fisheries Service regarding appropriate measures to protect wild stocks from disease or genetic contamination and (2) enter into memoranda of agreement with the US Army Corps of Engineers and any other appropriate state or federal regulatory agencies regarding appropriate standards and markings for marine aquaculture structures to avoid impairment of navigation. Provides that marine aquaculture facilities requiring the use of public bottom lands underlying waters of the state or the superjacent water column also require a lease from the Department of Environment and Natural Resources. Allows the Board to prescribe standards of operation, qualifications of operators, and the conditions under which fish may be commercially reared, transported, possessed, bought, and sold. Makes the Marine Aquaculture Propagation and Production Licenses valid for five years. Makes it illegal for anyone without a Marine Aquaculture Propagation and Production Facility License and associated lease to take or attempt to take marine species being produced under the license and associated lease from any privately leased, franchised, or deeded marine aquaculture operation without written authorization of the holder and with actual knowledge it is a marine aquaculture leased area. Violations are a Class A1 misdemeanor, which may include a fine of up to $5,000. 

    Enacts new Article 16A, Leasing of Bottom Land and Waters of the State for Marine Aquaculture, in GS Chapter 113. Allows the Secretary of Environment and Natural Resources (Secretary) to grant marine aquaculture leases for the public bottom under the terms specified to state residents who have a Marine Aquaculture Propagation and Production Facility License when it is determined that the public interest will benefit from issuance of the lease. Specifies standards that must be met for suitable areas for marine aquaculture. Specifies additional duties of the Secretary concerning the leasing, sets out the procedure for applying for a lease, and requires the area of bottom applied for to be as compact as possible. Sets out steps to be taken in deciding whether to approve leases, including conducting a public hearing in the county where the proposed leasehold lies. Leases are for 10 years and can be renewed. Specifies seven conditions under which the leasehold must be terminated and sets out the procedure for the termination. Allows the Secretary to include in marine aquaculture leases provisions allowing the use of the water column superjacent to the leased bottom when the Secretary determines the public interest will benefit from inclusion of water column provisions. Specifies requirements for suitable areas for the authorization of water column use.

    Amends GS 113-134.1 to provide for how to settle jurisdiction conflicts between the Marine Fisheries Commission and DACS.

    Part V.

    Amends Section 44 of SL 2014-120, establishing the Senator Jean Preston Marine Shellfish Sanctuary as follows. Changes the name of the program to the Senator Jean Preston Marine Oyster Sanctuary Program. Modifies and adds to the General Assembly's intent. Requires the Division to develop a plan to construct and manage additional oyster habitat and requires that the new sanctuaries along with existing oyster sanctuaries be included in the Senator Jean Preston Oyster Sanctuary Network (was, required the Division to designate an area within the Pamlico Sound as a recommendation to the Environmental Review Commission for establishment of the shellfish sanctuary and create a plan for managing sanctuary). Modifies the required components of the plan to now include provisions concerning the location and delineation of oyster sanctuaries, enhancement of oyster habitat restoration, waiver of application and yearly rental fees for new shellfish leases, outreach, monitoring, funding, and recommendations for changes. Deletes the reporting requirement.