JUNEAU -- Rep. Eldon Mulder (R-Anchorage), co-chair of the House Finance Committee, spoke out today against court opinions that could force the state to pay about $30 million in refunds and interest to non-resident commercial fishermen.

"The Finance Committee heard a report today from Department of Law on a class-action lawsuit by Outside fishermen who say it's illegal for Alaska to charge them more than year-round Alaskans for limited-entry permits," Mulder said. "I am shocked the state may owe $30 million because one judge says Outsiders must only pay a fraction of the cost of the services they enjoy while fishing in our waters."

Since 1982, Alaska has been fighting Carlson vs. State of Alaska, in which about 11,000 non-resident fishermen are protesting years of permit fees up to three times higher than those charged residents. Assistant Attorney General Stephen White told the committee the case has been before state Superior Court and the Supreme Court several times.

In 1996 the Alaska Supreme Court established a formula that said the more the state could show it provided services to fishermen with non-fish revenue, the more it could charge non-resident fishermen for permits, White said. But in June 2000, Superior Court Justice Michalski disallowed four of the six ways Alaska supports fishing, including building ports and harbors, subsidizing fish hatcheries and providing general government services. If these were not dismissed, Alaska would owe the disgruntled fishermen only a negligible amount, White said.

"The Alaska Supreme Court has ruled in some cases that residents aren't allowed the same rights as non-residents when it comes to political contributions," Mulder said. "But then the Superior Court turns around and says Alaska shouldn't treat Outsiders different when it comes to fishing in state waters. This is a false distinction that could cost the people of Alaska $30 million. It's simply outrageous."

The Department of Law expects to appeal to the Alaska Supreme Court a third time, and hopes to overturn Michalski's dismissal and win final resolution sometime in 2002. Meanwhile, Mulder said the Legislature will consider ways to correct the situation. These include investigating the possibility of taxing commercial fishermen retroactively, but giving credit to Alaska residents for property taxes or other contributions they might make to help pay the costs of managing and supporting commercial fishing, he said.

Broadcasters note: Audio comments are available on the Majority Actuality line, 1-800-478-6540, or below.
= Eldon Mulder, 76 K

| Top | Representative Mulder's Page |