St. Paul Island Raises Taxes for First Time in 45 
Years, Announces New Community Development Tax Inc
Alaska's Saint Paul island passed its first sales tax increase in 45 years. The sales tax was increased by half a percentage point to 3.5% and will go into effect on July 17, 2016. Additionally, the Council opted a Community Development Tax Incentive to increase deliveries of bairdi crab by dropping the sales tax for certain shares of crab quota from 3 to 2 percent. The plan targets B, C, CP, and CDQ shares of crab which are not regionalized under the Crab Rationalization Program, particularly the newly reopened bairdi/tanner crab fishery. “The City of St. Paul values their partnership with the seafood industry and is demonstrating that there are alternatives to simple tax increases and service cuts. I hope that the seafood industry takes advantage of this program," said Steve Minor, managing partner of AbundantOceans Partnership, who worked with the city to create the incentive program.
Fresh and frozen Mahi prices are tracking at above average levels this summer as inventories in the US market are limited with overall imports below the five-year-average through May. Imports are down because of lower catches from major Central and South American suppliers this past fishing season. The El Nino weather pattern was blamed for increasing the natural bait fish stock, which reduced landings. Average mahi prices in July are already trending higher from June levels. However, the last time the mahi market climbed into $6 and $7 per pound territory in late 2011 and early 2012 was when the item priced itself off restaurant US menus for months.
In other news, Charlie Melancon, the secretary of the Louisiana Department of Wildlife and Fisheries told the Commission this week that the state cannot afford to take over management of the red snapper fishery. "If I've got to go find money, who do I take it from? The shrimpers? The crabbers? How about the duck people and the deer people?" Melancon said. "I'm going to have to rob a pot somewhere." He added that the current federal management regime under the Gulf Council is already effectively managing the commercial and recreational red snapper fishery.
Meanwhile, the Comprehensive Economic and Trade Agreement, or CETA, deal between Canada and the EU will be delayed because of the UK's decision to pull out of the Union. The European Commission proposed that its agreement with Canada face ratification by national parliaments in the 28-member bloc. This marks a retreat from an initial goal to require backing only by governments and the European Parliament. CETA between Canada and the EU was on track for approval by 2017, which now seems unlikely.
Finally, reaction to Canada's decision to abolish the Last In, First Out (LIFO) Northern Shrimp Management policy ranges from supportive to outrage. The Barry Group's Bill Barry supported Federal Fishery Minister Dominic LeBlanc's decision as a positive move for Newfoundland's inshore shrimp fleet. However, Conservative Critic Mark Strahl blasted the decision as "a betrayal of the offshore fishermen who built the northern shrimp fishery." At the same time, the Fish, Food and Allied Workers Union is uncertain that a proportional sharing strategy will actually help the inshore sector.
Have a great weekend.
To Read Full Story Login Below.