The problem of blue-green algal toxin contamination of recreational waters and drinking water catchments is well described, as is the potential contamination of associated seafood. Algal contamination of Victorian waterways is now a widespread annual occurrence and, in some regions, the intersection of blooms and commercial fishing threatens the food safety of large numbers of people. Toxin levels which produce no observed adverse effect in animal studies were used to derive safe tolerable daily intake levels. These 'acceptable levels' were then modified to protect against potential acute health risks associated with short-term exposures. National food surveys were used to derive likely seafood intakes and thus, in combination with 'safe toxin levels', health alert levels for seafood were formulated. During the summer of 2001 a bloom of Nodularia spumigena occurred in the Gippsland Lakes area of Southern Victoria. During the bloom, seafood samples were collected and nodularin concentrations were estimated. Nodularin concentrations reached levels of concern in mussels and in prawn viscera at cell counts as low as 30,000 cells/ml. Nodularin concentrations in the flesh of finfish remained low. Boiling the seafood redistributed toxin between viscera and flesh. The results were used to restrict some seafood harvesting.