3. Port Governance and Infrastructure

The City of Morro Bay manages the Morro Bay Harbor, which stretches along 1.5 miles of coast. The harbor has four marinas with 400 berths, 50 commercial vessels slips and 150 moorings. Of those, the Morro Bay Harbor Department manages 50 city slips and approximately 125 moorings. The commercial slips are subsidized by the city. Other facilities include a well-established boatyard for maintenance, fuel dock, haul-out, a boat launch, shower and laundry, dry storage and a work yard. Fishing services include a fish cleaning station, bait facility, two ice facilities, four hoists, two cold storage facilities, and seafood buying, processing and retail. In 2009, a specialized offloading pump was installed at the Municipal Dock which supported a growing market squid fishery (Source). Morro Bay Marina offers a variety of services for recreational vessels. The Morro Bay Yacht Club offers an additional six mooring spaces and a 150-foot dock for transient yachts.

Funds from the Santa Barbara County Fisheries Enhancement Fund have helped to improve fishing infrastructure at the harbor. The Morro Bay Commercial Fishermen’s Organization has received two grants: one to pave areas at the harbor for fishing equipment storage and net repair, and a second to upgrade the organization’s computer system for predicting offshore weather patterns and water temperatures (Source).

The Morro Bay National Estuaries Program encompasses the principal wetland system on the south-central coast. The Morro Bay National Estuary Program is a non-regulatory nonprofit that brings together citizens, organizations, and agencies for monitoring, research, conservation and restoration. The Morro Bay estuary provides the eelgrass beds and wetlands that serve as a habitat for several migratory birds and as a nursery for juvenile offshore marine fish. The estuary is home to several aquaculture facilities producing pacific oysters, bay mussels, and manila clams (Source).

A fishery worker processes a catch in Morro Bay.
A fishery worker processes a catch in Morro Bay. (Photo: Picryl)

3.1 Commercial Seafood Handling Infrastructure

A variety of commercial fish businesses receive, and in some cases, process the catch landed at Morro Bay by commercial fishers (Table 1). These include businesses that lease and operate the fish receiving stations located at Morro Bay Harbor, other local and non-local businesses that receive the unloaded catch from these receiving station operators and some fishers who handle their own (and in some cases others’) catch. In 2021, 24 fish business licensees had a mail, street, or plant address of Morro Bay (Table 1). Thirty-nine unique fish business licenses received catch at the port. Those based in Morro Bay included commercial fishers licensed to receive and sell their catch, and several smaller locally owned receivers that also had retail storefronts and/or restaurants.

Table 1: Fish Business Licenses Associated with Morro Bay (Plant, Mailing or Street address) and Statewide by Type in 2018.
License TypeLicense DefinitionMorro BayStatewide
Fish ReceiverBusiness that buys catch from commercial fishers3287
Fisherman’s RetailFisherman who handles/sells their own catch to consumers6357
Fish ProcessorBusiness that handles the catch (processes, wholesales, etc.) and sells to other commercial entities after it has been handled by a receiver, but does not sell to ultimate consumer/public041
Multifunction Fish BusinessIndividual or entity that can act as a fish receiver, fish processor, fish wholesaler, fish importer and /or a fisherman retailer6859

Note: Excludes Fish Importer and Fish Wholesaler licenses. Some businesses hold more than one license. If multiple licenses of a single type were issued to an individual that type was only counted once.

Because of local dependence on the high volume, year-round, groundfish fishery, Morro Bay once had an active processing sector with 5 processors in the port in the 1970s. By the 1990s, landings and ex-vessel value were on the decline in Morro Bay and all of the port’s large-scale processors left (Figure 2) (Source). At the same time, the number of fishermen’s retail licenses increased from just 9 in 1993 to 23 by 1998. This is in large part due to the success of the salmon fishery for most of the 1990s and its profitability, and popularity, as a direct sales fishery (Figure 2) (Source: Personal interview, Harbormaster). However, like most ports along the California coast, commercial fish businesses in Morro Bay continued to slowly decline after 2002 (36), with 24 businesses in 2021 (Figure 2). The contraction of the processing sector is in large part due to the 2000 groundfish disaster and subsequent (2003) coastwide federal trawl buyback program and local buyback led by The Nature Conservancy (2006) (Table 2).

With the decline in the year-round, high-volume trawl groundfish fishery, shift to a low volume, high value fixed gear groundfish fisher, and increased dependence on the seasonal Dungeness crab and market squid fisheries, receiving and processing businesses struggled to stay afloat. Furthermore, the salmon fishery went into sharp decline, and fishers were no longer able to buffer their earnings with the salmon direct sales cottage industry. The swordfish fishery, one of the port’s other key fisheries, also went into decline following a brief resurgence in the early 2000s. A hagfish processor was briefly based in Morro Bay in 2014 and 2015, following the start of the fishery in Morro Bay just a few years prior (Figure 2).

Figure 2:  Fish Business Licenses held locally, by type, in Morro Bay, 1993-2021

The working waterfront in Morro Bay
The working waterfront in Morro Bay. (Photo: Picryl)

Table 2: Timeline of selected events affecting Morro Bay’s primary fisheries.

YearEventDungeness CrabPink ShrimpGroundfishHagfishHighly Migratory SpeciesSquid
1989 $Asian and domestic live fish market growth✓
🏛Set gillnet fishery restricted to outside 20 fathoms in state waters✓
1990🏛Tri-State Dungeness Crab Committee formed✓
🏛California Marine Resources Protection Act (MRPA) passes ("gillnet   ban" & call to establish 4 marine reserves)✓
🏛Driftnetting for shark and swordfish wi†hin 75 miles of the coast   prohibited✓
1991🏛Sardine quota increased from 1,000 tons to 10,000 tons
🏛Set gillnet fishery restricted to outside 30 fathoms in state waters✓
1992🏛Moratorium on entry into commercial Dungeness crab fishery✓
🌎El Niño✓✓✓✓✓✓
$Central Coast Seafood moves from Morro Bay to Atascadero✓✓✓✓✓✓
1993🏛Salmon Total Allowable Catch re-allocated to tribes (50%)
1994🏛Pink shrimp fishery permit required✓
🏛Gillnet ban in state waters fully implemented✓
🏛 🌎Federal groundfish fishery limited entry implemented✓
🏛Spot prawn trap gear specifications and trap limit adopted
$Salmon fishery disaster declared
1995🏛Commercial Dungeness crab fishery restricted access implemented✓
$State-funded reconstruction of South T-Pier completed✓✓✓✓✓✓
$Salmon fishery disaster declared
1996🏛Take of hagfish in Korean and bucket traps allowed✓
🏛White Seabass FMP adopted (regulations not implemented)
$Cordero-Winston seafood buying/processing facility closes✓✓✓✓✓✓
1997🌎El Niño✓✓✓✓✓✓
1998🏛Nearshore Fishery Management Act (NFMA) passed; Nearshore Fishery Permit   program established (precursor to regional restricted access)✓
🏛Marine Life Management Act (MLMA) passed✓✓✓✓✓✓
🏛Commercial hagfish fishery trap limits implemented✓
🌎El Niño✓✓✓✓✓✓
🏛Commerical abalone fishery closed
$Santa Barbara Shellfish Co. and part of Stearn's Wharf destroyed by   fire✓✓✓✓✓✓
1999🏛Marine Life Protection Act (MLPA) passed✓✓✓✓✓✓
$Pacific Rim Seafood (sea urchin processor) opened
🏛Squid fishery logbook requirement and statewide weekend closures adopted✓
🌎La Niña✓✓✓✓✓✓
🏛Sardine, mackerels and squid added   to Coastal Pelagic Species Fishery Management Plan (CPS FMP, Amendment 8; CPS   finfish limited entry implemented; squid a “monitored” versus “actively   managed” species)
🏛Sea cucumber dive fishery restricted access implemented
2000🏛Nearshore fishery permit required✓
$Federal Groundfish fishery disaster declared✓
🏛Substantially reduced quotas for cabezon, greenlings and California   sheephead set✓
🏛Spot prawn fishery regulations   implemented: 1-yr observer program (trawl and trap fisheries), trawl bycatch   reduction devices required and seasonal closure; regional trap limits   implemented
2001🏛California pink shrimp trawl fishery management areas replaced by   North-South division at Pt. Conception✓
🏛Bycatch Reduction Devices (BRDs) required in shrimp trawl fishery✓
🏛General Trap Permit for hagfish take required (sunset 2006)✓
🏛Area and depth closures implemented to protect overfished groundfish   stocks✓
2002🏛1st Federal Rockfish Conservation Area (RCA) established✓
🏛California Nearshore Fisheries Management Plan and restricted access   implemented✓
🏛Spot prawn trap fishery restricted access implemented
🏛RCAs in Northern Channel Islands area established✓✓✓✓✓✓
🏛Highly Migratory Species (HMS) Fishery Management Plan (FMP) adopted✓
🏛Set gillnet fishery restricted B24 to outside 60 fathoms from Pt. Reyes   to Pt. Arguello✓
🏛White Seabass FMP regulations adopted
2003$ 🏛Federal Groundfish Trawl Vessel Buyback✓✓✓
🏛Trawling for spot prawn in state waters prohibited
2004🏛Pink shrimp trawl fishery management authority transferred from federal   Pacific Fisheries Management Council (PFMC) to state Fish and Game Commission   (FGC)✓
🏛Tier-3 trap permit for spot prawn trawler transition to trap gear adopted
🏛AB 1459 banning trawling in state waters except where certain criteria   are met passed✓✓
$Olde Port Fisheries ceases operations at Harford Pier (Avila)✓✓✓✓✓✓
$TNC Trawl Vessel Buyback (6 at Morro Bay) and Conservation Fishing   Agreement✓
🏛Essential Fish Habitat designated✓✓✓✓✓✓
2007 $Morro Bay Commercial Fishermen's Organization ice facility opens✓✓✓✓✓✓
🏛TNC-Morro Bay Experimental Fishery Permit (for trawl gear alternatives)   approved by PFMC✓
$Morro Bay-Port San Luis Community Fishing Association formed✓✓✓✓✓✓
🏛Central California Marine Protected Areas (MPAs) implemented✓✓✓✓✓✓
🏛All state waters including parts of California halibut trawl grounds   closed to trawling✓✓
2009$ 🏛 🌎Statewide salmon disaster and fishery closure✓✓✓✓✓✓
2010🏛Dungeness Crab Task Force established✓
2011🏛Groundfish Trawl Individual Quota (TIQ, catch share) program implemented✓
2013🏛Dungeness crab trap limits implemented✓
2015🌎Warm water "Blob" event✓✓✓✓✓✓
🌎Harmful Algal Blooms (HABs); Dungeness crab season delayed; Rock crab   fisheries closed✓
🏛Hagfish gear specifications changed✓
2016$ 🌎Dungeness and rock crab fishery disaster declared✓
2018 $Whale entanglement lawsuit brought by Center for Biological Diversity,   Dungeness crab commercial season closed mid April✓
2020🏛RCAs off of California/Oregon coast reopened✓
🏛Closure of waters deeper than 3500 meters to bottom-contact trawl gear✓
$Seafood supply system disrupted by COVID-19✓✓✓✓✓✓
$Dungeness crab opener delayed due to price dispute✓
$Socioeconomic Event
🏛Regulatory Event
🌎Environmental Event
ACRONYMS
CPS: Coastal Pelagic Species
FGC: Fish and Game Commission
FMP: Management Plan
HMS: Highly Migratory Species
MLMA: Marine Life Management Act
MLPA: Marine Life Protection Act
MPA: Marine Protected Area
NFMA: Nearshore Fishery Management Act
PFMC: Pacific Fisheries Management Council
RCA: Rockfish Conservation Area
TNC: The Nature Conservancy