PENDER COUNTY — Two applications for shellfish leases in Pender County are making their way through the approval process from the North Carolina Division of Marine Fisheries, though one town is pushing back.
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Annual leases for potential shellfish harvesting sites open March 1 and close Aug. 1 for farmers to cultivate and commercially sell their catch. Leaseholders apply for 10-year contracts through the North Carolina Division of Marine Fisheries and are subject to U.S. Food and Drug Administration food safety regulations.
Pirate Oysters LLC submitted an application for a 0.88-acre shellfish bottom lease and column lease in Topsail Marshes. The other was submitted by Michael Connor MacNair for a 10-acre water column lease in Waters Bay, Surf City. Internal N.C. Division of Marine Fisheries departments — Fisheries Management, Marine Patrol and Shellfish Sanitation — review all pending applications after a biological investigation is performed.
But during the Dec. 13 Topsail Beach Board of Commissioners meeting, officials said allowing the additional leases would violate the town’s ordinances and interfere with recreation — a top economic driver for Topsail. While they do not have the final approval of what leases are allowed, they can submit a request for denial to the North Carolina Division of Marine Fisheries.
Applicants pay $10 per acre for bottom leases, which use a cage less than 18 inches from the ground floor, and $100 per acre for column leases, which use floating equipment. The latter, also more expensive, tend to produce a greater yield, according to N.C. Marine Fisheries.
Topsail Beach town manager Doug Shipley told Port City Daily the town is opposed to shellfish leases that interfere with public access to waters. Mayor Steve Smith already submitted a letter to the N.C. Division of Marine Fisheries earlier in the year, asking it to decline two other applications: 0.8 acres for Gator Bay Oyster Company LLC and almost 1 acre for Southeast Shellfish LLC.
Owned by Nelson Bullock, Gator Bay Oyster Company’s 0.8-acre site is located in an area frequented by boaters who use the sandy beach to swim and anchor vessels. The sandbar is a popular tourist attraction, according to Fisheries Management.
Both Gator Bay and Southeast Shellfish operations would interfere with kayaking, fishing and paddle boarding for visitors and tourists who use the areas regularly, the letter stated.
Outdoor recreation and beaches are the biggest draws to Pender County’s coastal towns. In 2022, the county saw a record-breaking impact on the economy, $189.7 million, from tourism, a 14% spike from the prior year.
Mayor Smith requested denial of both leases, adding “there would be conflict and possible damage to watercraft and to the shellfish equipment” due to people utilizing boats in the waterways.
The leases are still pending.
Shipley said the same sentiments apply for submitted — and future — applications, including Pirate Oysters LLC and Michael Macnair. While the town has not formally submitted a similar letter in opposition to the new leases, attorney Steve Coggins recommended commissioners sign one to send the stage agency. He was specifically referring to the site sought by Pirate Oysters LLC, since it’s roughly 100 feet north of Topsail Creek, frequently used by kayakers, fishermen and swimmers.
Pirate Oysters LLC owner Paul Spiers’ application wants access to a hotspot for recreational fishing and gigging when flounder season is open in early spring and again in late fall into winter, according to comments submitted by Fisheries Management and Marine Patrol. The process includes them both reviewing the application and taking note of current recreational and fishing activities in the area, history of compliance with the applicant, existing shellfish leases nearby and potential impacts to public access. Both departments said Pirate Oysters’ lease could limit public access to the sandbar and create navigation issues for boats.
While municipalities may take issue with shellfish leases that impede tourist activity or already established commercial fishing, statewide there is a push for more aquaculture business. In 2021, the North Carolina Coastal Federation released a blueprint for restoring the wild oyster population, which declined in recent decades due to over-harvesting and pollution. The five-year plan developed by the nonprofit included eight strategies to improve oyster populations, including building a $45-million industry, protecting and restoring water quality in shellfish-growing waters and establishing sufficient acreage to protect oyster reefers.
N.C. Coastal Federation encourages shellfish leases to help increase the natural population and improve the habitat and water quality.
Pirate Oysters LLC’s Topsail Creek property is also a funnel for fish migration and is used for recreational clamming and oystering when the season is open, October to March. The LLC intends to participate in closed-season harvesting and has requested both a bottom lease and a column lease.
Fisheries Management noted water depths in the area Pirate Oysters wants to lease has water depths as low as 8 inches during low tide. This is problematic because if oysters are out of the water for more than five hours, which could happen in shallow lease areas, they would need to be fully submerged for seven days before harvesting to prevent health risks.
It’s one of the factors the division considers when approving leases to ensure oysters are harvested properly and safely. The same applies to areas that are frequently closed after large storms due to increased sediment and pollution.
Often storms can wash material from the shores into the coastal waters, which are then taken in by the oysters.
As the bivalves are filter feeders, meaning they take in the seawater to obtain needed nutrients, they often ingest contaminated water with it. While it’s not harmful to the shellfish, it can cause health risks for human consumption.
As a result, the state will temporarily close leased areas from harvest until it can confirm the water quality is safe. If an area is frequently closed, it could prove to be an unsafe location for harvesting.
One-third of the state’s coastal waters remain permanently closed to shellfish harvest as a result of pollution and a lack of water monitoring to ensure the coastal areas are safe, according to the North Carolina Coastal Federation.
MacNair’s 10-acre spot is not as much of a concern for Topsail Beach as it’s located north of the Surf City bridge and outside Topsail’s jurisdiction.
Surf City town manager Kyle Breuer said while shellfish leases can improve the quality of water and abundance of fisheries available, the town is also concerned about column leases. Floating equipment used in column leases can cause navigational issues for boating.
Surf City is currently working with a consultant to update its town ordinances, with oyster leasing regulations one of many items under review.
“Ultimately, a balance needs to be presented between shellfish production and the other commercial and recreational features that make Surf City a wonderful place,” Breuer said.
MacNair’s proposed site in Surf City is flanked by 8.5-acres, 5-acres and 15.9-acres leases already in use. This area is also one of the most frequently closed in the state — 82 days, or 22%, of the year. It shutters following up to 1.5 inches of rain or more within a 24-hour period.
While this location would not cause any navigational issues, according to application comments from Marine Patrol and Fisheries Management, commercial fishing occurs there year-round — with mesh gill nets, flounder gigs, crab pots, shrimp trawling and hand harvesting shellfish.
Certain commercial fishing has already been impacted by three leases surrounding MacNair’s 10-acre site, according to N.C. Fisheries Management.
MacNair already holds five other shellfish leases, 28.9 acres total, in Pender County; one resident can only be responsible for or have interest in up to 50 acres. There are more than 187 acres over 31 leases in Pender County, most in Topsail Beach and Surf City.
Throughout North Carolina 448 shellfish leases exist, over a cumulative 2,221 acres. Bottom leases are the most common as they are the least expensive and comprise 1,309 acres in the state. Water column leases make up 393 acres, franchise leases cover 512 acres and research is used on roughly 6 acres.
The North Carolina Division of Marine Fisheries will hold a public hearing on the two new lease submissions on Jan. 31, 6 p.m. at the Surf City Municipal Complex, 214 W. Florence Way. The public can attend in person, watch online via WebEx or submit comments ahead of time here.
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