27 



now, but for the species that are underutilized, for the species that 

 there is an abundance of, such as mackerel and herring. 



Let me directly bring your attention to some of the problems we 

 have had. Now, taking into consideration Star Fisheries, this is a 

 debt-free company. It is sitting on 3.5 acres of oceanfront property 

 in the Port of Gloucester, debt-free property. Our plans now for the 

 auction are ready to go. We have our permits in hand, we have our 

 contract, or contracts, actually signed. So, what is the holdup? The 

 holdup is some additional financing. 



Unfortunately, local banks have been unwilling to provide us 

 with conventional loans because of their broad-based fears regard- 

 ing the fishing industry in general. They see the recent product de- 

 crease and subsequent layoffs as symptomatic of an industry that 

 is dying, that is dying, not of one that is in transition, not of one 

 that sees windows of opportunity ahead of them, but one that is 

 dying. 



We have turned to the State level. We have worked with the land 

 bank, agents of Massachusetts to help us get additional financing. 

 They have combined to form MDFA, Massachusetts Development 

 Finance Agencies. We are working with them and have been work- 

 ing with them. Though we meet all the criteria for loan applica- 

 tions and though they have verbally committed to us to help us and 

 stand by us in this project, it has been a year and half, and we still 

 haven't gotten a determination on the project. 



It is this exasperation that exists for us, this frustration, that 

 brings us here in front of you today. We need help. We need help 

 in the form of practical financing, practical, flexible financing, so 

 we can keep our industry healthy, to continue to work in our indus- 

 try, and so when Amendment 7 does what it needs to do and brings 

 back and replenishes the fish stocks, we are alive and we are well 

 and we can use these stocks to create a viable, much healthier 

 business and continue to compete in the world markets with our 

 foreign competitors. 



We are here not because we want to be here. We are not here 

 because we have not explored other avenues. We are here because 

 we need to be here. We are speaking as one voice. Please, gen- 

 tleman, hear our cry. These are needed assistances that we seek. 



Thank you. 



[Mr. Ciulla's statement may be found in the appendix.] 



Chairman Torkildsen. Thank you very much, Mr. Ciulla, for 

 your testimony and that specific example about the electronic auc- 

 tion. 



Mr. Buccheri. 



TESTIMONY OF CORRADO BUCCHERI, BNN FISHING GEAR, 

 GLOUCESTER, MASSACHUSETTS 



Mr. Buccheri. Good afternoon, Mr. Chairman. 



I will be brief. If you want to summarize, more or less what we 

 need is more assistance. We all have worked very hard, and 

 Amendment 5 and 7 going into effect destroyed the industry. About 

 a year from now, there will be no fishing industry left in the port 

 of Gloucester. 



Before the sudden impact, the rules and regulations, and the 

 heavy cost of doing business, the heavy cost of insurance and all, 



