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Economic Development and Advocacy for Southwest Alaska
October 2011  
Greetings!
Hello again and welcome to the latest monthly edition of SWAMC's e-newsletter for members and friends of the Southwest region. There's a lot to report this month, including trips to Dutch Harbor for the NPFMC meetings and Juneau for the Rural Energy Conference. So without further ado, here's the news. Enjoy the autumn colors, and thanks for reading.
SWAMC Awarded USDA Funding to Study Broadband Potential 
USDA Rural Development Alaska recently announced that SWAMC was  awarded a Rural Business Opportunity Grant (RBOG), a program that supports regional planning activities to improve economic conditions in rural areas. "The Obama Administration has made a significant effort to bridge the digital divide by delivering broadband technology to rural Alaska. This RBOG will help to build on the infrastructure and provide increased economic development for Southwest Alaska," said Jim Nordlund, USDA-RD Alaska State Director.

This project aims to create economic development using existing and future broadband infrastructure in the Southwest Alaska region by researching best practices and most effective uses of broadband applications in rural economies. This baseline research will be used for a guiding plan addressing various economic, social and cultural development goals related to broadband, including: creating new or improved small business operations; generating effective health, education, and training services; creating efficiencies in delivery of government services; promotion of more information and communication technology entrepreneurs; and maintaining cultural and social connectivity throughout the Southwest Alaska region. SWAMC plans to start work on this project in the Fall, with an anticipated completion date of early 2012 to include new workforce and economic development opportunities for the region. 
North Pacific Fisheries Management Council - Notes from the October Mtg. 

Gulf of Alaska Groundfish Prohibited Species Catch (PSC): Halibut -  

In theory, deciding how much to cut the proportion of unintended halibut bycatch should be straight forward enough. In fact, it is in a place like Southeast Alaska where the main stakeholders are halibut fishermen; however, in the SWAMC region, rolling back halibut bycatch in the groundfish fleet (trawl and hook-and-line) means trading one job for another. At least that is how the debate was framed that took place in Dutch Harbor this week as the Council heard testimony from halibut, groundfish, processing and community interests. At issue is whether imposing stricter halibut bycatch limits the capacity of the groundfish fleet, thus reducing community tax revenue and eliminating fishing and processing jobs. So, the question becomes: if there is a trade-off between groundfish and halibut, what is the level that best maximizes resource utilization? Further complicating the issue are claims from the groundfish fleet that, provided the tools, they could voluntarily reduce bycatch. Again, one would think this is a straight halibutforward proposal - provide better tools. As with most things fishing, this is not the case of a simple decision. The tools requested are those of rationalization, and anyone involved in fisheries in the past 25 years knows that there is nothing straightforward about implementing rationalization programs. Thus, after two days of testimony and hundreds of pages of analysis the decision of the Council was passed. More information is needed to determine the effects of reducing halibut bycatch by 5%, 10% or 15%... or if it is time to start discussing a more comprehensive Gulf of Alaska Groundfish Rationalization program.  

 

Area 4B Community Quota Entity: Adak -  

With all the controversy surrounding rationalization and the allocation of ownership rights, one might be surprised to hear that an initial review of a program to establish a CQE program in Adak passed the Council and its Advisory Panel with near universal support. This is not to say that the Adak CQE is approved just yet; first the public has an opportunity to weigh in. This is likely just a procedural step as the Council passed a Preferred Alternative of support, so speak now or forever hold your peace. Good for you Adak. 

 

Comments on Council issues can be emailed to SWAMC,or mailed to:  

NPFMC

605 West 4th, Suite 306,  

Anchorage, Alaska 99501-2252   

What's New with SWAMC's Asset Mapping Project 

The following update is from SWAMC's project intern, Sam Tappen:processor workers

Progress is coming along on the asset mapping process. I am putting the final touches on the data of the Human Capital section in our regional asset database. This has been an interesting subject that is going to bring a lot of insight to regional leaders and members alike. To illustrate an example of some of the data I've collected so far, this chart shows the number of workers employed in seafood processing within our region from 2006 to 2010 according to the Alaska occupational database.  In 2010, the SWAMC region employed about two-thirds of the seafood processing workforce within the state of Alaska.  This is just one measure of the well-established resources we contain in the Southwest and their magnitude in the regional and global markets.

 

We are now delving into the industrial base section of the database which is sure to produce some extremely relevant and beneficial information on the significance of our industrial clusters. We are especially excited to start analyzing this data so that we can discover where the greatest potential lies for productive and sustainable growth in Southwest Alaska. Be sure to check next month's newsletter for my next update on our asset mapping project.

Southwest Alaska Transportation Plan Update

The Alaska Dept. of Transportation & Public Facilities (DOT&PF) has begun an update of the Southwest Alaska Transportation Plan (SWATP). Some of you may have survived the last SWATP update in 2004. This federally-required plan outlines how the area's roads, airports and ferries work together as a transportation system, and - most importantly - prioritizes transportation improvement projects that provide the biggest bang for the public's buck.  

 

Given the status of the federal deficit, federal funding for transportation improvements is likely to drop by up to one-third beginning in 2013. This makes transportation planning even more vital. Requests for federal funding will need to be better supported, and every community will need to carefully evaluate where to spend the limited federal dollars. A solid regional transportation plan leverages available transportation funding to support basic access needs, economic development, and community cohesion.

 

DOT&PF's project team is currently gathering data on the region's transportation system, transportation issues, and needs - and will be holding community meetings in Naknek, Unalaska, and Kodiak in the next few months. To develop a plan that best serves Southwest Alaska they will need broad representation from Southwest Alaskans in the planning process. DOT invites you to join them at one of their public meetings:

 

NAKNEK                           UNALASKA                           KODIAK  

Assembly Chambers        Council Chambers                  Assembly Chambers  

October 20, 2011               November 1, 2011                   November 15, 2011  

7 p.m. - 10 p.m.                   7 p.m.- 10 p.m.                         7 p.m. - 10 p.m.  

 

Go to: www.swaktransplan.com to follow the project's progress or to comment. Questions or comments can also be sent to [email protected].

Many Options for Rural Energy Needs...But What Fits?  rural energy

SWAMC went down south to Juneau last week to take part in the Alaska Rural Energy Conference. There were many topics on the agenda aimed at reducing - or at the very least stabilizing - the cost of energy in rural Alaska, both in terms of electricity and space heating. We learned about financing mechanisms (tax exempt energy bonds, for instance); the Integrated Resource Plan being developed in the Southeast; and the prospects for using propane off the North Slope for Western Alaska villages (short answer: there is potential, but many questions still to be answered). Several successful  SWAMC region projects were highlighted at the event, including wind -diesel in Kodiak and Kokhanok, hydropower in Atka and King Cove, and the geothermal potential of Akutan. Well done Southwest Alaska! Additionally, the Alaska Energy Authority (AEA) is beginning to undertake a regional energy planning process and SWAMC plans to play a role in what the future Southwest energy landscape looks like. There is no shortage of great ideas for energy solutions out there, it's just a matter of taking many moving parts and making them fit.  

 

On a related note, do you have a wood-fired heating project in mind for your community or school? If so, consider submitting a Statement of Interest to AEA to explore the feasibility of your project. SoI's are due by November 4

 Southwest Alaska Monthly Indicator
As SWAMC staff began identifying the region's assets, the likely starting place was our most valuable sector: Human Capital. Economists have drawn general consensus that it is the human capital component of an economy that dictates its standing as "advanced."

The chart below (click to enlarge) describes the average wage by sector in the region. Overall, the government sector provides some of the best paying jobs; although not displayed is the fact that the private sector accounts for the majority, roughly 75% of all jobs. An exception to this employment mix is in Lake & Peninsula and Bristol Bay Boroughs, where government provides 72% and 43% of all jobs respectively. As can be expected, the best paying jobs are in Natural Resources and Financial Services areas, and the poorest paying sector is Food Services. Not surprisingly, the highest paying jobs statewide are in oil and gas extraction, an industry with no presence in Southwest Alaska.
Average Monthly Wage by Sector

 

In This Issue...
New Broadband Grant
NPFMC Notes
Regional Asset Mapping
SW Transportation Plan
Rural Energy Conference
SW Economic Indicator
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Some of Our Partners

EDA

DCCED

USDA RD

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Thanks to Our FY2012 Members!

ABS Alaskan, Inc. 

Adak, City of    

AHFC 

AIDEA  

Akutan, City of  

Alaska Airlines  

Alaska Crab Coalition 

Alaska Energy Authority 

Alaska Groundfish Data Bank

Alaska Seafood Marketing Institute 

Alaska Village Electric Coop Aleknagik, City of   

 The Aleut Corp.  

Aleutians East Borough  

Aleutian Housing Auth.  

Alyeska Seafoods 

APICDA   

Atka, City of 

At-Sea Processors Association   

Becharof Corporation

Boyd, Chandler & Falconer 

Bristol Bay Borough  

Bristol Bay Economic Development Corporation 

Bristol Bay Housing Auth. 

Bristol Bay Native Assoc. 

Bristol Bay Native Corp.  

Chignik, City of  

Commercial Fishing & Agriculture Bank 

Crowley Petroleum, Inc.   

 Dillingham, City of  

Egegik, City of 

False Pass, City of  

First National Bank of Alaska  

HDR Engineering, Inc.  

Icicle Seafoods 

Katmailand 

Key Bank 

King Cove, City of 

Kodiak, City of  

Kodiak Inn -- Best Western  

Kodiak Island Borough 

Koniag, Inc. 

Lake & Peninsula Borough 

Larsen Bay, City of

Magone Marine 

Marine Advisory Program 

Marine Conservation Alliance  

Marine Stewardship Council 

McDowell Group  

Mundt MacGregor, LLP  

Northern Economics  

Nushagak Cooperative 

Ouzinkie, City of 

Pacific Seafood Processors Association  

Pedro Bay Corporation 

Petro Star 

Pilot Point, City of

Port Lions, City of  

Qagan Tayagungin Tribe  

Saint Paul, City of

Sand Point, City of  

SAVEC 

Shumagin Corporation   

Spruce Island Development Corporation 

UAF- Bristol Bay Campus 

Unalaska, City of  

UniSea 

WACDA 

 Wells Fargo Alaska 

Westward Seafoods  


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