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"We're talking about the largest fishery in Alaska. The State needs to know that 850 individual and family fishing businesses face bankruptcy."

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Beyond the 2001
Salmon Season:

BBNA-sponsored talks in response to the economic failure of the Bristol Bay salmon industry focus on two areas. All concerned are encouraged to participate in these discussions. (Meeting minutes included below, as available).

Immediate Human Needs: Organizing emergency aid for families unable to pay for food, electricity and winter fuel.

Human Needs Committee Meeting Draft Minutes
July 25, 2001 Teleconference Meeting
BBNA Conference Room

I. Call to Order: Terry Hoefferle called the teleconference to order at 9:05 a.m.

II. Introductions: Present: BBNA Staff: Terry Hoefferle, COO; Dee Dee Bennis, CAO; Anna Mae Miller, Pearl Strub, Helen Chythlook-recorded meeting. Human Needs Committee: Present: Curyung Native Village Council- DuWayne Johnson; BBHA-Andy Anderson; BBEDC-Dorothy Wilson; Village Corporations-Fred Nishimura-Aleknagik Natives. Ltd.; Ekwok Natives, Ltd.; Stuyahok Natives, Ltd.;Chignik Lagoon- Tony Gregario; Chignik Lake: Johnny Lind, Virginia Alec; Newhalen: Agnes Rvchnovsky; New Stuyahok: Dennis Andrew; BBHA-King Salmon-Steven Angasan; BBAHC-Daryl Richardson; Lake & Peninsula Borough-Marv Smith & Helen Allen; Wells Fargo- Annemarie Weiland; Office of Self Goverance (OSG)-Washington, D.C.-Ken Reinfeld; Governor's Office- John Sisk; George Ascott; Tina; Absent: Janet Thompson-Rapid Response Team, DOL, Anchorage; Donald Nielsen, South Naknek; Harry Wassily, Sr., Clarks Point. Guests: Ekwok: Jimmy Hurley; Peter Walcott; Bruce Tiedman- AEA. Villages not on-line- Togiak, Manokotak, Twin Hills, Koliganek. Katie and Roy.

III. Elect a Chair: Andy Anderson nominated Fred Nishimura for Human Needs Committee Chair. Fred Nishimura was nominated by unanimous consent of committee.

IV. Agenda -Dorothy Wilson made an addition to agenda. In "Immediate Human Needs" section, add under subheading "Other-Community and Public Health Issues."

Hoefferle: The Human Needs Committee was formed to address and identify basic human need issues due to the poor fishing season. Basic human needs consist of fuel, food, shelter, finances/bankruptcies are a major problem. Fishermen got outstanding bills such as boat loan payments, IRS back taxes, some delinquent utility payments, fuel and other survival expenses. Many of the 60 fishermen household credit are in arrears from this season. Medium needs consist of jobs to connect people to job information, employment and training and other related needs to improve skills.

1. Disaster Declaration - John Sisk, Office of the Governor (Return)

The Governor has not made a decision. Right now, it is unlikely a disaster declaration is unlikely. Senator Stevens and U.S. Congress will put more funds to Alaska this year either with our without a disaster declaration. In terms of the funding side, it does not appear a disaster declaration side will take place. In terms of the action side of disaster declaration, FEMA looks at hurricanes and earthquakes. Unexpected natural catastrophes of a sudden nature are considered a disaster. State look at Federal legislation of the Magnason-Stevens Act. Section 312 of the Federal law provides Federal assistance from the Department of Commerce in the even of a commercial fishing failure or disaster. In this legislation, there isn't anything about salmon prices or market. Salmon runs were low. Governor's office is getting overall Kvichak information and will ask all State agencies, such as the Department of Commerce & Economic Development what can be done with existing funds to help with heating, lights, etc. State is asking appropriate entities to identify needs and resources without declaring a disaster declaration. In the Bristol Bay region, the State is trying to direct communities to type of resources they have available to utilize in assisting the fishermen with basic human needs and other financial problems. The Governor needs the Secretary of Commerce to make a disaster declaration.

Discussion: Several communities represented on the Human Needs Committee reiterated several times to John Sisk that the main reason why their present is for the goal of getting a fishery disaster declared. Financial lending institutions, some state and federal disaster assistance agencies such as BBHA NAHASDA programs, BBNA general assistance, state's low income energy assistance program, tribal councils on the 638 social services compacting program can't disburse any funds to assist fishermen unless a disaster is declared.

Local tribal councils, city governments and boroughs were all encouraged to pass a disaster declaration resolution and submit to Congressional delegations, Governor's office, and a copy to BBNA. BBNA had sent disaster declaration resolutions to encourage tribal councils, cities and boroughs to pass disaster declaration for their own communities. BBNA can utilize these to trigger the Secretary of Commerce to declare a disaster.

Communities affected by the disaster include all Bristol Bay villages of whom 60% of the households are commercial salmon fishermen including the Chignik area. Various factors have triggered the communities to encourage the Governor to make a disaster declaration and village fishermen who made little or no money from this fishing season are counting on committee representatives to let this happen.

Village Concerns: (Return)
Chignik fishermen strike resulted in little or no fishing income for the season. The cost of living is high in the villages and most of the people fly in to Anchorage or order their groceries from wholesale grocery distributors there. Rural residents fly into the hub business centers to buy groceries and take care of business transactions. The village residents feel they cannot afford to pay for the high airfare costs for medical emergencies, grocery shopping and for other necessary expenses needed for basic living.

Most of the villages are concerned about how they are going to pay for their delinquent boat loans, boat insurance, delinquent utility bills, back IRS taxes owed, personal bank loans, home mortgage payments, groceries and other expenses.


Income Eligibility Concerns (Return)
During previous disasters, state and federal general assistance was available, but some fishermen weren't income eligible for energy assistance or general assistance because federal and state regulations require previous year's income. One Ekwok fisherman applied for disaster assistance before and the State turned around and said he didn't qualify. His statement should be well noted, 'One's that don't qualify for disaster and the ones that qualify for disaster assistance are having a hard time.'

This needs to be waived so all Bristol Bay fishermen can qualify for energy assistance; emergency disaster vouchers which include fuel, utility and food per household; and other general relief assistance for families in distress. State or federal agencies need to take into consideration that the fishermen's final fishing season settlement minus gross income and expenses is the fishermen's income in Bristol Bay.

BBNA ATAP (Alaska Temporary Assistance Program) provides during fishing months. ATAP benefits are cut in half during fishing months. BBNA is threatened to sue the State of Alaska waiving ATAP income requirement for assistance. The Governor's office will look into the issue of waiving the State's ATAP income eligibility requirement.

Possible Supportive Agencies: (Return)
BBEDC will send income survey forms to all 32 villages. Most of these resources available to assistance require previous year's income. If anything can be done to agencies to use this years fishing income statement and not use 2000 fishing income. That is going to screw fishermen up if agencies' use 2000 fishing income and they won't be income eligible for assistance.

It was suggested by this committee to see if other Businesses such as the Chamber of Commerce, Anchorage and other chamber of commerce organizations involved in helping other regions with disaster declarations, since they benefit from fishermen income during a good season. BBHA, BBEDC, and BBAHC Board members need to address the issue of declaring a fishery disaster during board meetings and pass resolutions as well as send letters to appropriate entities.

Operations Renewal Hope (ORH) Last year the Governor's office developed the Operations Renewal Hope which combines all resources including the state, local nonprofits, and municipalities. ORH takes a comprehensive approach directly contacting persons and secure new jobs, and to better understand our fisheries. Bernice Joseph, is Chair for ORH. Governor's office does take the current Bristol Bay disaster situation and see what opportunities there are and bring these to ORH, the template for state and federal assistance programs. Federal agencies aren't expecting any additional disaster funds.

Bristol Bay Fishery Season a Unique Occurrence: (Return)
We are looking at the importance of this fishery season as a unique Bristol Bay occurrence. Emphasize the situation we are in is not like Norton Sound, Yukon or Kuskokwim River financial obligation. Bristol Bay fish are different than the Norton Sound, Yukon or Kuskokwim financial obligations of people in these areas. In reference to Kvichak, we are talking about the failure of the single largest single producing river in the world. We are talking about the largest fishery in the State of Alaska. State needs to be aware of the fact that 850 individuals and family fishery businesses are financially broke and some are considering declaring bankruptcy. State is looking at loss of its most productive salmon fishery. Don't try to compare this Bristol Bay fishery disaster situation with A/Y/K. Governor's office will take these comments into consideration, because they are aware that the situation in Bristol Bay is different.

Break at 10:10 a.m. Reconvene at 10:27 a.m.

2. Immediate Human Needs

A. Fuel (Heat, Light, Transportation) Concerns:
Kokhanok, Egegik, and Pilot Point have budget shortfalls in meeting their bulk fuel payments; Portage Creek families have no bulk fuel but may pay fuel with this year's permanent fund dividend (PFD). Yutana Barge Lines will fill family fuel tanks and wait for PFD. Port Heiden has no funds to purchase bulk fuel. New Stuyahok has bulk fuel problems. Levelock has financial difficulties and families can't pay their fuel bills. Community doubts they will not fill up their fuel tanks and bulk fuel tank. Chignik Lake has $24,000 fuel budget. Last year the Yutana Barge Lines didn't make it up the Kvichak River so the fuel had to be flown to Kokhanok to be delivered to Iliamna area villages.

Ugashik got individual homeowners fuel tanks but households will have difficulty paying fuel bills. Ugashik didn't get all fuel supply for village this year so there will be a fuel shortage. Northland barge comes in the Spring to fill household 500 gallon fuel tanks. Got 1,000 gallons for community. BIA and Northland barge is fuel supplier.

Bulk Fuel Tank Concerns: (Return)
Other concerns are bulk fuel tank capacities for each community and homeowners because they use them only for reservoirs or for families in need. If communities don't have any funds to pay for their fuel then they won't get any fuel unless they make arrangements to pay later like using their PFD's. These can be taken care of individual homeowners by contacting their fuel supplier ahead of time when ordering their fuel.

Some villages won't have any monies for gas to participate in subsistence activities or for wood hauling for winter heat. Approximately 200 gallons per household was suggested for subsistence activities.

Bruce Tiedeman, Alaska Energy Authority -Bulk Fuel Loan Program; office - (907)-269-3000)- program overview. There's two bulk fuel program areas. 1. Revolving Bulk Fuel Loan Program. Assist small rural communities in purchasing bulk fuel supplies on a first come first served basis. 2. Emergencies (Bulk Fuel) are particularly those communities declared as a disaster. Since a disaster has not been declared, those funds are not available right now.

Alternate Low Cost Fuel Supplier (Return)
Aleut Enterprises sells Russian fuel prices and are the cheapest in the state. Michail Shestakov fuel marketer can be contacted at 907)-526-5444; direct line is (907)-277-7505; cell 907-301-4774. Information needed from potential fuel buyer would be quantities of fuel needed and destination points for delivery. Barge delivers fuel to communities and Aleut Enterprises can tender barge deliveries up to October. Fuel comes directly from Russia on ships and off load it in Adak where the product is. Aleutian Enterprises services Bethel, Kuskokwim communities and on the Alaska Peninsula. Dorothy Wilson suggested Fuel Committee members look into this.

Chairman has talked with Yukon Fuels/Yutana Barge lines about fuel assurances for homeowners. They need to contact fuel suppliers before barge leaves for the villages. Fuel Committee will facilitate this and financial problems as well.

An establishment of a financial counseling department administered by BBNA or the Department of Labor was brought up. Organizations including the Governor's office are advised to provide financial packages and counseling to fishermen and families in financial crisis.

B. Shelter (Return)
BBHA- Past Governor's declaration emergency has been very important in BBHA implementing direct funds for low income housing. BBHA has had reduced payment programs since the 1997 disaster. NAHASDA funds goes to tribes that qualify for low income to use for employment. Tribes using forced accounting method can hire local members. BBHA work with tribal councils to support water and community projects. NAHASDA Administrators are hired by Village Council to implement projects.

BBHA -King Salmon- NAHASDA funds can pay for fuel and electricity for income eligible HUD homeowners. There are problems with income eligible NAHASDA applicants for fuel and light vouchers because they use the previous year's income. NAHSDA program follows federal low income guidelines. BBHA helped with disasters in the past and communities will be using NAHASDA funds provided from EDR funds.

Lake & Peninsula Borough got two grants for a Small Business Center that would be a clearinghouse for business information. Technical assistance workshops would include business related topics such as financial

Discussion- Suggestion was made for some village NAHADA home modernization and HUD construction employees work in rotated shifts, or be split to half days so local homeowners can benefit by being employed.

C. Food & Clothing (Return)
BBNA General Assistance Program had a voucher program available in a week after the Governor declared a disaster. Without a disaster declaration, some state and federal agencies will not be able to provide assistance to needy families in our region.

BBNA Food Bank provides food for families in need throughout the region. Food Bank will not provide services to those communities contracting directly with BIA- Social Services unless these tribes agree to support them with financial donations suggested in previous correspondence.

Discussion:
Two families in Newhalen will be needing food this year. BBNA will be in contact with the tribal office for further assistance.

D. Finances/ Bankruptcies (Return)
Fishermen need to contact their financial lenders or creditors immediately if they are having problems meeting their loan obligations.

Financial Institutions (Return)
CFAB will be in Dillingham working out of BBEDC's office July 31-August 1, 2001.
Bristol Bay Permit Brokerage, Wells Fargo Bank, and Division of Investments can help fishermen with debt counseling.

Discussion: Participants from Chignik, New Stuyahok, and Ekwok mentioned that airfare to travel to meet with financial lenders or creditors are expensive. Human Needs Committee members and participants suggest financial lenders and creditors travel to their villages from the Nushagak area villages as far down as to the Chignik area.

CFAB, Wells-Fargo, Bristol Bay Permit Brokerage and other agencies providing assistance travel will together to curtail high airfare costs to communities. Travel schedule list will be sent to tribal offices or boroughs of the dates when they will be in the communities.

E. Other -Community & Public Health Issues (Return)
Dorothy Wilson of BBEDC commented on community and mental health concerns she has observed when people have faced financial hardships due to disastrous seasons. There have been lice, scabies, boils, tuberculosis, low self-esteem and other problems. There is going to be a breakdown in community health because households will not be able to afford personal hygiene items (shampoo, soap-body and laundry, Clorox and other household cleaning products). These are serious issues that will be happening to our people due to fatigue and stress from worrying how they are going feed their families. Self-esteem will be affected, because some people will not be feeling worthy of getting a job. BBEDC encouraged Bristol Bay Area Health Corporation (BBAHC) to have internal planning sessions to discuss these issues, and deal with them proactively to prevent these problems from happening.

Daryl Thompson, BBAHC mentioned he has seen increased alcohol consumption, domestic violence, increase in medical services, an increase in depression resulting in an increase in behavioral services. There's less health insurance which some cases have postponed primary health care needs when it's a primary care issue. Medical travel costs are decreased because people don't have money to travel to medical hospitals for health care. Pharmaceuticals for medical needs aren't purchased because people can't afford to purchase these.

Impacts in the general justice system are more theft crimes, and burglaries. The 2000 US Census showed an increase in out-migration of Bristol Bay residents. Bristol Bay increased resources of HIS are being diverted to where higher populations in Anchorage, Juneau and larger municipalities.

The Indian Health Service (HIS) takes care of a significant portion of Alaska Native's primary health care in the region. For primary specialized needs, BBAHC has limited resources.

Discussion:
Outmigration concerns has been closures of community health clinics, post offices, air fare increases and schools. The Governor's office will follow up on rural education school formula legislation, and the Economic Recovery Subcommittee will discuss concerns.

2. Mid Range Needs (Return)

1. Jobs

BBEDC provides short and long term seafood processing jobs available now through November. There has been some trouble filling these positions due to applicants failing the required urine drug test for offshore processors. Short term jobs can become long term employment opportunities. Basic and advanced training is available for interested participants who can contact BBEDC for further information.

Southwest Vocational Education Center (King Salmon) is currently being remodeled and won't start until January 2002. Seven members serve on this board from BBNA, BBNC, BBAHC, BBEDC, BBHA, Bristol Bay Borough, and UAF Bristol Bay Campus. This center started after 1995 disaster season. We need to help people during "undeclared" disaster. The Board recognizes that this center is needed now for immediate job training.

Pearl Strub, BBNA Workforce Development Program Director is planning a regional Early Childhood/Childcare conference. Anticipating 50 participants and another 25 for training and facilitation who will be getting college credit and educational plan from this training.

BBNA Workforce Development continues to coordinate with BBEDC on funding. BBNA works with Dillingham Job Center for outreach and securing jobs. BBNA would like to assess interested candidates before they get trained in potential job careers so they can improve computational and language skills, for example if they are deficient in these areas.

Bruce Tiedeman (AEA) -There are corporations that are energy related and provide some training for employees such as in Hazwop training for tank consolidation. Other job training skills include operator training, utility operator training, bulk fuel operators, hydro training and others. These jobs are identified for upcoming projects. We would like to locate rural projects and project contractors a year in advance to get training for these jobs.

Discussion
Terry Hoefferle is planning to hold a Job Symposium this Fall.

New Stuyahok would like BBEDC to conduct workshops for training local residents for jobs.

Alaska Mental Health Board will have their quarterly meeting in Dillingham October 18-20,2001. DFYS representative will be attending this meeting. The board will focus on mental health issues, last 5 years of fishing disaster in Bristol Bay because stress is high and can result in suicide and other concerns.

2. Action Plans (Return)

Sub Committees:
1. Fuel Sub Committee members are AnnaMae Miller, Chair; Fred Nishimura; Marv Smith; Bruce Tiedman; Andy Anderson; Dorothy Wilson; Shaen Tarter; Mary Riggen-Ver; Brenda Akelkok; Terry Hoefferle. (see Attachment 1-Fuel Sub Committee).
2. Financial Sub Committee members list will be sent to members.

3. Public Health/Safety Sub Committee no appointments but will be taken care of.

4. Economic Development/Recovery Sub Committee no appointments but will be taken care of.

V. Time & Place of Next Meeting
Call of the Chair.

VI. Adjournment
Meeting adjourned at 2:05 p.m.

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Minutes of Fuel Sub-Committee Teleconference, July 27, 2001

Participants: Marv Smith of Lake & Pen, Monica Moore of Alaska Energy Authority, Shaen Tarter of Yutana/Yukon Fuel, Andy Anderson of Bristol Bay Housing Authority, Anna Mae Miller of BBNA Workforce Development, Brenda Akelkok of BBNA, Fred Nishimura, Virginia Aleck of Chignik Lake. The group elected Anna Mae Miller as chair.

Shaen Tarter explained that his company was trying to handle the current situation as they did in 1997 and 1998 with fall deliveries. He said they put enough gallons up this spring to do more customer service and small household deliveries, adding that the fall schedule was pushed back to allow villages to secure needed funds such as through the revolving loan fund program.

Shaen said that August 4 - 6 would see the first load go up the Kvichak where they are having good water depth to communities such as Pedro Bay, Pile Bay, Newhalen, Kokhanok and Iliamna. He estimated that they would make about 4 deliveries up to the Lake Area through the end of September. The first deliveries will be to established customers. Shaen said Debbie Reiswig at 842-5409 helps locally with fuel distribution.

(Return)

Shaen said during the disaster in 1997, his company had to deal with three different funding sources; whereas, one billing source is much cleaner. He said 1998 went much better when BBNA went on-site to assist persons to apply for LIHEAP. Then BBNA provided the fuel company with proof of eligibility, took a summary invoice, and the fuel company just had to deal with BBNA. Shaen said the problem was when local residents put off a request for fuel until the very end, they don't have their ducks in a row with any type of fuel assistance program, and then the fuel company gets the black eye.

Shaen said New Stuyahok's capacity is very limited. The fuel barge attempts to get every house filled that has an order in, and the village still runs out. New Stuyahok just doesn't have the needed tankage.

Andy Anderson asked for a copy of fuel rates for the villages.

Fred Nishimura asked if there will be a change in price for bulk fuel heating prices, will they be lower?

Shaen said his company constantly monitors supply cost, but they use the Delta Western terminals in Dillingham and Naknek for storeage. Shaen said he was trying to hold firm on the Spring price for small home fuel deliveries. If the delivery goes beyond 3,000 gallons to one customer, they can get a bulk fuel price as New Stuyahok Limited enjoys.
Shaen said he didn't think the Kvichak would see any lower prices because the barges have to go upriver with fewer gallons per trip.

Shaen said he thought the Nushagak River may see three deliveries this fall because of using a small barge. Ekwok, Koliganek and Stu Limited want bulk deliveries, and AVEC has requested to be topped off. Shaen said this area is not viewed as a one-trip scenario in the fall dating back to the late 40's and early 50's from experience with Smith Lighterage.

Shaen said propane may stay pretty much the same or a little less, but his company is now just moving the bottles exclusively. They're encouraging Bristol Fuels to build a village distributorship in each village. It's easy to get burned when you put new propane bottles into a village and get only old ones back. The customers can send bottles down river at their own risk to see if they'll be filled or have to be rejected for regulatory reasons. Shaen's company is only transporting the filled propane bottles.

(Return)

Shaen said AVEC has a continuing and worsening capacity in New Stuyahok. They're having to do a spring delivery with a bulk fuel order and again in the late fall to top off to the cones. AVEC installed a thirstier generator in New Stuyahok. Shaen's company is bringing extra inventory into Bristol Bay to fill some late orders. Shaen said he still does barge scheduling from the Anchorage office, but Debbie is the local traffic contact.

Shaen cautioned that, with the bad fishing season and Peter Pan's statement not to issue purchase orders, people upriver may have had the hope of getting a P.O. and procrastinate. Shaen was worried that some many people are used to being self-reliant through use of the purchase order against their fishing earnings, that they may be reluctant to participate in fuel assistance programs until it is too late and they are out of options. Shaen thought the last of the Nushagak deliveries could run to October 10th, but the end of September would be more reliable.

Anna Mae Miller said, if the Governor does not declare a formal disaster, then the General Assistance program would only pay a benefit of $360. The estimate of $360.00 is an example of a one person household. This amount can change depending on how many approved eligible members are included in the household benefit.

Shaen said he was surprised that, with increased fuel costs, the State's fuel assistance program has not kept in step with inflation of prices.

Anna Mae said the State doesn't know the LIHEAP benefit amount yet, but it could possibly be about $1,700 a household.

Fred and Shaen gave some information on Aleut Enterprises out of Adak. Shaen said his own company was constantly looking for ways to move quality fuel more cheaply and safely. He explained that Aleut Enterprises has brought fuel in from a foreign refinery with the assurance of having taken care of quality issues. Shaen explained some logistical and weather problems which could tie up his equipment for a number of days at a price of $10,000 to $12,000 a day. The waits could be attributed to tanks waiting for a tug assist, Coast Guard approval, and long weather delays.

Andy Anderson said that the Bristol Bay Housing Authority would also need a Declaration of a Disaster by the Governor to implement assistance. Andy said several villages still have NAHASDA pass-through funds that has been unused for 1 or 2 years. He said Clark's Point has used some of its funds to go toward a voucher system for fuel. Regarding eligibility, Andy said the Bristol Bay Housing Authority has some flexibility to use net income with deductions for subsistence, the last 12 months' income or a 3 year average, whatever works. Often a village's plan is to do rehab work on homes for qualified people.

The group adjourned with an agreement to meet again once information was in from Mary Riggen-Ver regarding the State LIHEAP program's ability to let BBNA do the pre-screening and fuel vouchers with LIHEAP as they did with the BIA General Assistance program in 1998. Shaen said he would send information to the State supporting BBNA's request to get pre-screening done in time to pre-qualify persons for fuel assistance vouchers.

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