OAR 635-040-0025: Changes in Operation or Ownership

This rule describes the requirements for notification and/or requests for approval for changes in operation or ownership of a private salmon hatchery. This rule provides that while all of the decisions shall normally be made in the first instance by the Department, a permittee may request review of the Department’s decision by the Commission and, in addition, the Commission may choose to consider a request for a change in the first instance: (1) Permittees shall advise the Department in writing within two weeks of any change in address. In addition, in the event of a change in any of the following persons or entities the Department shall be notified in writing within two weeks and provided with names and addresses: (a) Principals of the permittee, operating company, parent company or any other entity active in operations of the permittee under the permit; (b) The individual(s) designated by the permittee as the contact person for the Department. (2) The Department shall be promptly notified in writing of any change in the personnel listed in subsections (2)(a) through (d) of this rule. In addition, permittee shall provide to the Department information as to the credentials of such personnel: (a) General manager, production manager, and/ or operations manager of the operating company; (b) Technical fisheries consultant(s); (c) Operations manager or supervisor at each rearing and release site; (d) Pathologist(s). (3) The Department shall be notified in writing prior to any proposed change in operating methods and/or releases within the number specified in the permit and as shown in the annual production program. The Department shall approve or deny a request for a change based on the Department’s assessment of potential biological impacts. (4)(a) The Department shall be notified of any proposed acquisition of a controlling interest in the hatchery and/or permit, regardless of method of acquisition. Such notification shall be provided in writing by the current permittee and confirmed in writing by the entity proposing to acquire a controlling interest in the operation of the private salmon hatchery; (b) The Department shall be provided, at the time of such notification, with information sufficient in the judgment of the Department to enable the Department to assess: (A) The financial and technical capability of the proposed new entity to successfully construct or operate the hatchery; and (B) The biological impact and economic benefit to the State of Oregon of any proposed changes in operating methods. (c) The Department shall also be provided with ten (10) copies of the proposed general production plan, including species and stocks; expected release size and times; and numbers to be produced; (d) The Department shall approve or disapprove the proposed change in controlling interest based on the criteria set forth in subsection (b) of this section, and shall notify both the current permittee and the proposed new entity, in writing, of its decision. Such notification shall be made within 60 days from the date on which complete information as set forth in subsection (b) of this section is provided to the Department. (5) Any permittee, or in the case of a proposed change in controlling interest, any proposed new entity, whose request for a change under sections (3) or (4) of this rule has been disapproved by the Department may petition the Commission for review of the decision. Such petition shall be in writing and shall set forth the reasons why the petitioner believes that the decision should be reviewed. The Commission shall, within 60 days of receipt of such petition, schedule the matter for the next regularly scheduled Commission meeting, and shall consider the request for a change under sections (3) or (4) of this rule de novo (as though it had not been heard before). The Commission shall hear the matter in a contested case proceeding. (6) The Department and/or the Commission may determine that the Commission should consider a request for a change under sections (3) or (4) of this rule in the first instance. In that event, the matter shall be placed on the agenda of the next regularly scheduled Commission meeting at which time is available, and shall be heard in a proceeding other than a contested case. Both the permittee (and/or proposed new entity) and the public shall be invited to testify on the matter. The Commission shall advise the permittee of its decision, including any decision on whether to proceed with a contested case hearing on the matter, within 30 days after the meeting at which the matter is considered.