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Marine Resources Committee Assembles Final Assistance Package

 
On April 11, the Marine Resources Committee assembled a package of measures to assist Maine's groundfish industry.  For comparison, below are the Groundfish Subcommittee's recommendations, and the final Committee package.

  Subcommittee Recommendation Final Package
Item Year 1 Year 2 Year 3 Year 1 Year 2 Year 3
Per-lb. rebate $2.5m $2.5m $2.5m $1.8m $2.25m $3.0m
Ice reimbursement $0.6m $0.6m $0.6m $0.6m $0.6m $0.6m
Fuel tax rebate $0.3m $0.3m $0.3m $0.3m $0.3m $0.3m
Transportation rebate $0.1m $0.1m $0.1m $0.1m $0.1m $0.1m
Loan fund $5.0m          
TOTAL

$8.5m

$3.5m

$3.5m

$2.8m

$3.25m

$4.0m

The loan fund was dropped primarily because it was too late to include it in a bond package, and Committee members felt the full Legislature would balk at a cash appropriation at that sum (even though as a loan fund, it would be repaid).  They also believed the other items would provide more immediate relief.  The per-lb. rebates were adjusted to reflect an expectation of increasing landings.

Though details are still subject to change, a general idea of how each item might be rebated can be found in the Portland Fish Exchange's Proposed Measures to Assist Maine's Groundfish Industry.  Processes will be worked out over the next few weeks.

The Committee is also seeking some way to guarantee that vessels receiving these rebates sell 90% of their groundfish in Maine.  The industry discouraged the Committee from waiting until the end of the year to 'prove' that a vessel reached the 90% mark.  However, it is likely that vessels will have to sign some sort of legally binding contract.  The 90% figure is open for discussion, and the Dept. of marine Resources would be empowered to grant exceptions.

In this package, the Committee recommended elimination of Maine's diesel fuel sales tax for groundfish vessels.  Therefore a bill which repealed the tax (LD 1570: "An Act To Support Commercial Groundfishing.") was set aside.

Next step is to craft a final bill, then hold a public hearing and a workshop.  The toughest battle - the actual appropriation of funds - is some weeks off.

 

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