History and Politics of History and Politics of the Federal Aid in Sport the Federal Aid in Sport

Fish Restoration ActFish Restoration Act

Andrew J. Loftus Gilbert C. RadonskiALoftus@andrewloftus.com gcrgmr@earthlink.net

Loftus Consulting3116 Munz Drive

Annapolis, MD, 21403(410) 295-5997

Legislative Landmarks of Legislative Landmarks of the Sport Fish Restoration the Sport Fish Restoration

ActAct• Enactment of the Sport Fish Restoration Act of 1950Enactment of the Sport Fish Restoration Act of 1950

• 1984 Wallop-Breaux Amendments1984 Wallop-Breaux Amendments

• 1988 Amendments1988 Amendments

• 1990 Coastal Wetlands Program1990 Coastal Wetlands Program

• 1992 Clean Vessel Act1992 Clean Vessel Act

• 1998 Sportfishing and Boating Safety Act1998 Sportfishing and Boating Safety Act

• 2005 SAFETEA-LU Act2005 SAFETEA-LU Act

Historical Setting Leading Historical Setting Leading to SFRto SFR

• Precedent of State/federal partnerships codified Precedent of State/federal partnerships codified in the Black Bass Act (1926) and Lacey Act (1900)in the Black Bass Act (1926) and Lacey Act (1900)

• Depression-era conservation programs of 1930’sDepression-era conservation programs of 1930’s

• Professional recognition of the need to do more Professional recognition of the need to do more than stockingthan stocking

• Political influence in state conservation programsPolitical influence in state conservation programs

• Federal Aid in Wildlife Restoration (Pittman-Federal Aid in Wildlife Restoration (Pittman-Robertson) Act of 1937Robertson) Act of 1937

The Road to SFRThe Road to SFR• May 1939, Congressman Frank Buck (CA) May 1939, Congressman Frank Buck (CA)

introduces legislation modeled after P-R. introduces legislation modeled after P-R. Legislation died in the House Ways and Means Legislation died in the House Ways and Means CommitteeCommittee

• February 1941, Congressman Buck reintroduces February 1941, Congressman Buck reintroduces similar legislation. U.S. entry into WWII halts similar legislation. U.S. entry into WWII halts further action.further action.

• October 1941, “Luxury Tax” to fund WWII imposes October 1941, “Luxury Tax” to fund WWII imposes 10% tax on rods, reels, creels, and artificial lures.10% tax on rods, reels, creels, and artificial lures.

Post-WWIIPost-WWII• July 1946, Congressman Buck re-introduces July 1946, Congressman Buck re-introduces

legislation, Bill is tabled in committee over legislation, Bill is tabled in committee over concerns from commercial fishing & recreational concerns from commercial fishing & recreational industry interests.industry interests.

• February 1947, Congressman John Dingell, Sr. (MI) February 1947, Congressman John Dingell, Sr. (MI) introduces legislation addressing concerns of introduces legislation addressing concerns of legislators. Bill fails to pass.legislators. Bill fails to pass.

• 1949, Congressman Dingell and Senator Johnson 1949, Congressman Dingell and Senator Johnson (CO) introduce similar bills. Legislation is vetoed (CO) introduce similar bills. Legislation is vetoed by President Truman.by President Truman.

Concerns of President Concerns of President Truman regarding SFRTruman regarding SFR

• It is poor fiscal policy to earmark taxes.It is poor fiscal policy to earmark taxes.

• It would isolate one small set of items from the It would isolate one small set of items from the tax code.tax code.

• It would be difficult to administer 3 year It would be difficult to administer 3 year retroactive features of tax collection.retroactive features of tax collection.

• ““Permanent appropriation” language.Permanent appropriation” language.

• Wanted portion of any funds to be used to Wanted portion of any funds to be used to support support federalfederal fish hatcheries. fish hatcheries.

Passage of the Original Passage of the Original SFR ActSFR Act

• Grassroots support from sportsmenGrassroots support from sportsmen

• 1950. Dingell and Johnson 1950. Dingell and Johnson reintroduce bills addressing some reintroduce bills addressing some concerns of President Truman.concerns of President Truman.

• August 9, 1950. President Truman August 9, 1950. President Truman reluctantly signs Federal Aid in Sport reluctantly signs Federal Aid in Sport Fish Restoration Act.Fish Restoration Act.

The Number of Professional Fisheries Managers Grew (AFS Membership)

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12000

1873 1883 1893 1903 1913 1923 1933 1943 1953 1963 1973 1983 1993

Year

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SFR Enacted

W-B Amendments

Historical Setting Leading Historical Setting Leading to the Wallop-Breaux to the Wallop-Breaux

AmendmentsAmendments

Angler participation had Angler participation had doubled since the 1950’sdoubled since the 1950’s

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120

140

160

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220

240

1955 1960 1965 1970 1975 1980 1985 1991 1996

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Angler Participation

Historical Setting Leading Historical Setting Leading to Wallop-Breaux to Wallop-Breaux AmendmentsAmendments• Angler participation had doubled since the 1950’sAngler participation had doubled since the 1950’s

• Wildlife Restoration funding exceeded SFR Wildlife Restoration funding exceeded SFR funding by 2.5 times.funding by 2.5 times.

• It was politically difficult for states to increase It was politically difficult for states to increase angler license fees.angler license fees.

• The boating sector was seeking ways to obtain The boating sector was seeking ways to obtain appropriations for the unfunded Recreational appropriations for the unfunded Recreational Boating Safety and Improvements Act (Biaggi Boating Safety and Improvements Act (Biaggi Act). Act).

The “D-J Expansion” The “D-J Expansion” EffortEffort

(precursor to ALAB)(precursor to ALAB)

• Grassroots effort to expand SFRGrassroots effort to expand SFR

• Led by Bass Anglers Sportsman Society Led by Bass Anglers Sportsman Society (BASS) and American Fisheries Society(BASS) and American Fisheries Society

• Objective: Expand the list of fishing Objective: Expand the list of fishing equipment subject to the tax and equipment subject to the tax and create a tax on fishing boats, motors, create a tax on fishing boats, motors, trailers, etc.trailers, etc.

The “D-J Expansion” EffortThe “D-J Expansion” Effort

• 1979, Senator Jennings Randolph (WV) 1979, Senator Jennings Randolph (WV) and Congressman John Breaux and Congressman John Breaux introduce legislation. Key points introduce legislation. Key points expand the list of taxable items and expand the list of taxable items and impose a 3% tax on boating impose a 3% tax on boating equipment.equipment.

• Legislation fails due to opposition from Legislation fails due to opposition from the boating community.the boating community.

The “D-J Expansion” EffortThe “D-J Expansion” Effort

• May 1982, Sport Fishing Institute May 1982, Sport Fishing Institute (SFI) introduces compromise (SFI) introduces compromise position at the AFS Fishery position at the AFS Fishery Administrators Meeting in Administrators Meeting in Bettendorf, IA. Shortly thereafter, Bettendorf, IA. Shortly thereafter, compromise is presented to compromise is presented to Congressman Breaux.Congressman Breaux.

Elements of D-J Expansion Elements of D-J Expansion “1982 compromise”“1982 compromise”

• Deleted language calling for a 3% tax on Deleted language calling for a 3% tax on fishing boats and equipmentfishing boats and equipment

• ““Capture” funds from the Biaggi Act into Capture” funds from the Biaggi Act into Sport Fish Restoration ProgramSport Fish Restoration Program

• Incorporate import duties collected on Incorporate import duties collected on fishing tackle into Sport Fish Restorationfishing tackle into Sport Fish Restoration

• D-J Expansion Committee did not endorse D-J Expansion Committee did not endorse the compromisethe compromise

The “D-J Expansion” EffortThe “D-J Expansion” Effort

• Senator Malcolm Wallop inserts Senator Malcolm Wallop inserts expansion language that placed a tax expansion language that placed a tax on fishing boats and captured import on fishing boats and captured import duties from pleasure boats into a larger duties from pleasure boats into a larger tax bill.tax bill.

• August 1982, Conference Committee August 1982, Conference Committee struck expansion provisions from the bill struck expansion provisions from the bill on Constitutional grounds.on Constitutional grounds.

The “D-J Expansion” EffortThe “D-J Expansion” Effort

• 1982-83, D-J Expansion Committee diversified 1982-83, D-J Expansion Committee diversified to include boating intereststo include boating interests

• March 1983, Congressman Breaux introduced March 1983, Congressman Breaux introduced D-J CompromiseD-J Compromise

• July 1984, compromise sponsored by July 1984, compromise sponsored by Congressman Breaux and Senator Wallop was Congressman Breaux and Senator Wallop was written as an amendment to the Sport Fish written as an amendment to the Sport Fish Restoration Act and attached to the Deficit Restoration Act and attached to the Deficit Reduction Act for passage.Reduction Act for passage.

Major Elements of 1984 Major Elements of 1984 Wallop-Breaux Wallop-Breaux

Amendments to SFRAmendments to SFR

• Created the Aquatic Resources Created the Aquatic Resources Trust Fund with two accounts: Sport Trust Fund with two accounts: Sport Fish Restoration Account Fish Restoration Account (permanent appropriation) and Boat (permanent appropriation) and Boat Safety AccountSafety Account

How Did the Original Flow How Did the Original Flow of Money Work…….of Money Work…….

(changed in 2005)(changed in 2005)

Funding of the Sport Fish Funding of the Sport Fish Restoration ProgramRestoration Program

0

50,000,000

100,000,000

150,000,000

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250,000,000

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FY1952

FY1957

FY1962

FY1967

FY1972

FY1977

FY1982

FY1987

FY1992

FY1997

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nt

$38 million in 1985

$274 million in 1997

Programmatic Elements of Programmatic Elements of Wallop-Breaux Wallop-Breaux AmendmentsAmendments

• Provided funding of Boat Safety Programs.Provided funding of Boat Safety Programs.

• Mandated each state to spend 10% on Mandated each state to spend 10% on boat access projects.boat access projects.

• Allowed funding for Aquatic Resource Allowed funding for Aquatic Resource EducationEducation

• Equitable expenditure between saltwater Equitable expenditure between saltwater and freshwater projects in coastal statesand freshwater projects in coastal states

1988 Amendments to SFR1988 Amendments to SFR

• Removed the distinction between “old” Removed the distinction between “old” and “new” funds for saltwater projects, and “new” funds for saltwater projects, effectively increasing allowable funds for effectively increasing allowable funds for these projects.these projects.

• Authorized survey of motorboat fuels use.Authorized survey of motorboat fuels use.

• Allowed in-kind contributions to be used Allowed in-kind contributions to be used as state matchas state match

1990 Legislation: 1990 Legislation:

What Do Wetlands and What Do Wetlands and Weed Wackers Have in Weed Wackers Have in

Common?Common?

1990 Amendments to the 1990 Amendments to the Sport Fish Restoration ActSport Fish Restoration Act

• Increased funding through two meansIncreased funding through two means– The fuels tax attributable to small engines The fuels tax attributable to small engines

(weed trimmers, lawn mowers, etc) was (weed trimmers, lawn mowers, etc) was dedicated to SFR. (dedicated to SFR. (FortuitouslyFortuitously, this amount , this amount approximated the 18% of SFR funds that approximated the 18% of SFR funds that was needed to fund the wetlands program.)was needed to fund the wetlands program.)

– 1/2 of 5 cent increase in gas tax went to the 1/2 of 5 cent increase in gas tax went to the Highway Trust Fund. SFR received 1.08% of Highway Trust Fund. SFR received 1.08% of this.this.

1990 Coastal Wetlands 1990 Coastal Wetlands Planning, Protection, and Planning, Protection, and

Restoration ProgramRestoration Program(Breaux Act)(Breaux Act)

• Receives 18% of Receives 18% of allall funds deposited funds deposited into the Sport Fish Restoration Accountinto the Sport Fish Restoration Account– Louisiana Coastal Wetlands Restoration Louisiana Coastal Wetlands Restoration

Program - 70% of fundsProgram - 70% of funds

– North American Wetlands Conservation North American Wetlands Conservation Act - 15% of fundsAct - 15% of funds

– National Coastal Wetlands Conservation National Coastal Wetlands Conservation Program - 15% of fundsProgram - 15% of funds

1992 Amendments to the 1992 Amendments to the Sport Fish Restoration ActSport Fish Restoration Act• Congressman Walter Jones (NC) wanted Congressman Walter Jones (NC) wanted

funding for coastal pumpout stations.funding for coastal pumpout stations.

• Clean Vessel Act - provided for a 5-year Clean Vessel Act - provided for a 5-year program to construct pumpout facilitiesprogram to construct pumpout facilities

• Funding came from the additional revenue Funding came from the additional revenue associated with the increased gas tax (1990).associated with the increased gas tax (1990).

• Reauthorization included the term “outreach” Reauthorization included the term “outreach” for the first time.for the first time.

1998 Sportfishing and 1998 Sportfishing and Boating Safety ActBoating Safety Act

• For the first time, established a 5-year For the first time, established a 5-year national outreach program for sport national outreach program for sport fishing and boating.fishing and boating.

• Guaranteed minimum appropriations Guaranteed minimum appropriations for boat safety program.for boat safety program.

• Reauthorized Clean Vessel Act (CVA).Reauthorized Clean Vessel Act (CVA).

1998 Sportfishing and 1998 Sportfishing and Boating Safety ActBoating Safety Act

• Created Boating Infrastructure Created Boating Infrastructure Grants (BIG) program.Grants (BIG) program.

• Increased funding due to “reserved” Increased funding due to “reserved” transfer of boat fuel tax from transfer of boat fuel tax from Highway Trust Fund.Highway Trust Fund.

• Increased percentage mandated for Increased percentage mandated for “Access” to 15%.“Access” to 15%.

2005 SAFETEA-LU Act2005 SAFETEA-LU Act

• Trust fund renamed “Sport Fish Trust fund renamed “Sport Fish Restoration and Boating Trust Fund” - Restoration and Boating Trust Fund” - all programs brought into the fund.all programs brought into the fund.

• ““Permanent appropriation” language Permanent appropriation” language extended to Boat Safety.extended to Boat Safety.

• All programs funded on a percentage All programs funded on a percentage basis (instead of dollar basis).basis (instead of dollar basis).

Flow of Sport Fish Restoration Funds

Following 2005 Amendments

GREATEST POLITICAL GREATEST POLITICAL STRENGTHS:STRENGTHS:

• USER PAY, USER BENEFITUSER PAY, USER BENEFIT

• PARTNERSHIPSPARTNERSHIPS

•Photo by Dave Kenyon; Provided by MI Sea Grant