HB 76 - Mariculture Revolving Loan Fund Summary

• Establishes state policy to promote mariculture and shellfish fisheries through long-term, low-interest loans administered by the Department of Commerce, Community, and Economic Development.

• Creates two categories of eligible borrowers: individual residents with permitted mariculture farms and experience in the industry, and entities operating hatcheries or conducting shellfish enhancement projects.

• Sets loan limits at $100,000 annually for individual mariculture farms (up to $300,000 total outstanding) and $1,000,000 annually for hatcheries and enhancement projects (up to $1,000,000 total outstanding).

• Requires interest rates between 5-9 percent annually and allows 20-year terms for individual farms and 30-year terms for larger operations, with optional interest rate reductions up to 2 percent if 50 percent of loan proceeds purchase Alaska-manufactured products.

• Permits deferral of principal and interest payments for the first 6 years on individual loans and up to 11 years on hatchery/enhancement loans, with interest accrual deferred during these periods.