As early as 2005, but not likely until at least 2006, the charter industry may experience new limitations imposed by a proposed individual fishing quota system currently being developed by the National Marine Fisheries Service. Once implemented, it will be the first such system for sport fish harvest in the nation.

While some charter operators endorse the quota plan, which would allocate a certain number of fish to operators based on historical catches from the 1990s, others are concerned about the precedent it sets and the impact it will have on the industry.

In 2002, 60,883 halibut averaging a little over 20 pounds were caught south of Anchor Point by sport fishermen, according to Alaska Department of Fish and Game statistics. Approximately 100 charter boats operate out of Homer, and Deep Creek has a fleet of about 180 boats, those in the industry say.

Up until now, the only limitation placed on the industry was that each customer on a charter boat could catch only two halibut per day.

The IFQ program was approved in 2001 by the North Pacific Fishery Management Council, a federal panel that regulates commercial fishing off Alaska.

Since then, the National Marine Fisheries Service has been working to define the details of the program and figure out how it would be implemented. The proposed rule, or first draft, of the charter IFQ regulations, is expected to be released for comment this winter, said Glenn Merrill, regulation specialist with the Fisheries Service. It will then go to the U.S. Secretary of Commerce for approval, after which the program will be implemented for the halibut charter fleet.

What exactly the quota system, which gives charter fishermen halibut quota shares based mostly on their catch from 1998 and 1999, would mean for the fishing industry varies depending on who is asked. Some say it privatizes a public resource and would mean substantially higher prices for halibut charter trips. Others say it is the best solution, given limitations that would be imposed anyway by the fishery council.

Those in the industry estimate the IFQ system will more than double the cost of getting into the charter business because new operators must invest not only in a boat and gear but also in halibut IFQs, which are expected to run between $10 and $15 a pound. Current operators estimate new charter operators would have to spend between $100,000 and $400,000 just on halibut IFQs to start up a full-time business or about $500 for each customer they took out to catch a two-fish limit in their first year.

Too many charter boats

Much of the charter industry's support for the IFQ program came from those who thought the fleet was so bloated that making a living solely from charter fishing was becoming difficult.

If a cap was put on the number of fish caught by the industry and no limit was set on newcomers to the fleet, full-time charter operators would be hurt most, they reasoned.

Photo by Carey James, Homer News Marcel Bourgeois unloads halibut from a Homer Ocean Charters boat after taking a group of visitors from Colorado out for a day of successful fishing.

The IFQ system awards quota to the established charter operators while requiring an investment by newcomers so the fleet doesn't expand too far.

"If new operators want to do something that shows good intent, there's no better way to do that than a monetary investment," Evers said.

While the charter catch in waters surrounding the Kenai Peninsula and statewide has grown somewhat since the North Pacific council began looking at capping the charter industry more than a decade ago, it has not continued to grow at the rate many commercial fishermen feared. Instead, the charter industry's catch has stabilized more or less since the mid-'90s, indicating a plateau in the number of people coming to the peninsula to fish on charter boats. A stagnant number of people coming to fish on charters, combined with an ever-increasing number of boats spells trouble, operators say.

"With such a steady increase in new charters available, no company is running to its fullest capacity," said Bob Ward, one of the peninsula's leading proponents of the charter IFQ program.

"There's been an expansion in boats but not an expansion in the number of people proportionally. There's always been too many boats and it hurts in a lot of different ways," said Ward, who has operated a charter from Homer for 18 years and is secretary of the Homer Charter Association.

IFQs divide charter operators

One side effect of the debate over IFQs is that a group of approximately 20 charter operators from the Homer area has started its own association with its principal goal to stop the IFQ program from taking effect.

The Alaska Halibut Association is just getting going, organizers say, but has its goals clearly defined: stop the IFQ program; repeal the general harvest level, or GHL, that limits the number of halibut caught by the charter industry; and seek balanced representation on the North Pacific council.

Dick Koskovich, owner of Alaska Gold 'n Sea Adventures who has operated a charter in the Homer area for 15 years, said the association formed because its members believed they were not being represented by the Homer Charter Association.

"We aren't trying to get into a fight with charter people (in favor of IFQs), we just have a difference of opinion on this issue, and it's important for us to be heard and make a statement," Koskovich said.

Koskovich said the organization is working with the Recreational Fishing Alliance, an East Coast-based nonprofit that lobbies for recreational fishing rights at the federal level.

The alliance and the Homer Charter Association believe the key point that derails the legality of the IFQ program is that the fish are a public resource. Many speculate it's a point that may be decided in court, once the final decision on the IFQ program becomes law.

"I think it sets a very ugly precedent nationwide about the privatization of a public resource," Koskovich said. "It's pretty serious stuff. It's a matter of principle, really. It's stealing from the public."

Koskovich and others say they are frustrated by the fact that the IFQ program is so complicated that the average person can't easily follow it.

"The problem is that it's the public that has the most to lose on this thing," he said. "One of our goals is to let people know what's going on."

Once charter operators own fishing quotas, they can restrict public access to the resource by charging too much or, eventually, by selling their shares to the commercial fishing fleet, opponents of the IFQ system said.

Evers said while differing opinions on issues are expected, he is concerned the splintering of charter associations could have a negative effect on the industry's ability to lobby on other issues of concern to all charter boat operators.

"It's going to take everybody working together to deal with those issues," he said.

Both sides claim more charter operators agree with them than the opposition and call the other side the minority.

Evers and Ward say if there is a strong opposition to the IFQ plan, it didn't show itself during the years spent fine tuning the program.

"There was ample opportunity to take part in the process before it got to where it's at now," Ward said. "I'm a firm believer in the American process and we took part in the process. It wasn't a Bob Ward decision."

Ward said he became somewhat of a spokesperson for the IFQ program, answering scores of questions over the years about the proposal. It has left some hard feelings between him and those he said didn't pay attention or take the time to study during the process but now oppose it.

"I was the one that went to battle, and yet they are complaining about the results," he said.

Evers said he encourages anyone who has concerns about the IFQ program to contact their federal representatives.

"If there is an opposition, now is the time to let those voices be heard in Washington," he said.

$250 charters? Big retirements?

Because it's never been tried on a sportfish industry, no one knows for certain what the impact of the IFQ program will be on the charter fleet. Some contend it will drive the cost of a charter trip to catch halibut upward of $250. Currently, the cost of a charter trip varies from around $100 to $200 depending on the length of the trip.

Others speculate the industry will diversify, offering catch-and-release trips or different rates if clients only keep one fish instead of two.

Ward said it would take only one charter operator to offer a trip at $1 cheaper for the price of a halibut charter to be driven down. On the other hand, Ward said he doesn't think fishing fanatics will balk at absorbing some of the added cost to the industry.

"We're dealing with expendable income here," he said. "This is not a requirement of life. They spend a whole lot more getting here, and they are probably paying an equal amount just to sleep at night."

Evers said he expects the cost of charter trips to rise across the board, regardless of whether the owners of the charter received quotas or had to buy them. The value of an IFQ will be the same for new and old owners, and therefore the value of the fish and the cost to the angler should be the same for everyone, he said.

Some have speculated that the IFQ program will result in a mass exodus of quota-holding charter operators from the industry to retirement on a sunny beach.

While no one can predict the future, those holding the potential quotas, regardless of their position on IFQs, say the value of the quota shares won't be enough to retire on.

Instead, some, like Ward, expect that in a few years they might take a couple days a week off and sell a small amount of their quota as a result.

Ward points to the commercial IFQ program as an indication that fishing industries do stabilize after IFQ programs are implemented. Deckhands may start buying quota shares, dedicating them to the charter boat they work on in exchange for a higher rate of pay.

"We don't know what the monkey's chewing until he spits," Ward said.

Coming soon: The proposed rule

The IFQ plan currently resides on Merrill's desk at National Marine Fisheries Service.

Photo by Carey James, Homer News An onlooker admires a "barn door" halibut on Labor Day on the Homer Spit.

In addition to the points raised by those who say the halibut charter IFQ program is privatization of a public resource, there is the issue of the time gap that exists between the dates on which the quotas are based and the year the program would actually kick in.

But the biggest issue, Merrill said, is figuring out how to administer the quota program.

Halibut charters were only required to keep logbooks for a couple years and that data was questioned. How an IFQ program would accurately keep track of who is catching what is a big question, and a big change for an industry that has been largely unmonitored.

Another issue would be providing an efficient means for charter operators to buy and sell quota shares.

Merrill said some sort of electronically based system would need to be set up so charter operators could make the changes they needed quickly in response to consumer demand.

Merrill said the final rule is likely to take at least another year, following a public comment period.

Lawsuits are likely to be filed until the final rule is released, so it could be several years before the charter boats see implementation of the IFQ program.

In the meantime, however, the boats must still operate under the harvest limits. As yet, the industry hasn't exceeded those limits, but if it does, the very changes Ward and others fought to prevent might be enforced.

Ward said he wants the IFQ program implemented so it can be tested. If there are problems, they can be fixed.

If the whole thing is a mess, it can be tossed out and another idea tried.

"I just wish the government would do it, get it out and look at it," he said. "Let's all get an education from it."

Carey James can be reached at carey.james@homernews.com.