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HCS CSSB 370(FIN): "An Act providing an exemption from gambling laws for gambling conducted by cruise ships for their ticketed passengers in the offshore water of the state; relating to promotions on board cruise ships; defining `cruise ship'; providing for exemption procedures for certain cruise ships before they can conduct gambling in the offshore water of the state; and providing for an effective date."

00HOUSE CS FOR CS FOR SENATE BILL NO. 370(FIN) 01 "An Act providing an exemption from gambling laws for gambling conducted by 02 cruise ships for their ticketed passengers in the offshore water of the state; 03 relating to promotions on board cruise ships; defining `cruise ship'; providing for 04 exemption procedures for certain cruise ships before they can conduct gambling 05 in the offshore water of the state; and providing for an effective date." 06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 07 * Section 1. AS 05.15 is amended by adding a new section to read: 08 ARTICLE 4. CRUISE SHIP EXEMPTION. 09  Sec. 05.15.250. EXEMPTION OF CRUISE SHIPS. (a) A cruise ship may 10 conduct gambling as permitted under AS 11.66.275 in the offshore water of the state 11 if 12  (1) the operator of the cruise ship annually applies on a date set by the 13 department on a form provided by the department; 14  (2) the operator of the cruise ship agrees to comply with AS 45.50.474;

01 and 02  (3) the operator pays the annual exemption fee required under (b) of 03 this section. 04  (b) The exemption fee for a cruise ship to conduct gambling under (a) of this 05 section is for cruise ships with a capacity of 06  (1) 500 or fewer passengers . . . . . . . . . . . . . . . . . . . .$10,000; 07  (2) 501 - 999 passengers. . . . . . . . . . . . . . . . . . . . . .$20,000; 08  (3) 1000 - 1999 passengers. . . . . . . . . . . . . . . . . . . . .$30,000; 09  (4) 2,000 passengers or more. . . . . . . . . . . . . . . . . . . .$40,000. 10  (c) The department shall revoke the exemption of a cruise ship that becomes 11 ineligible to hold an exemption under this section, provides false information in an 12 application for an exemption, violates an order issued under AS 05.15.200, or conducts 13 gambling in violation of the provisions of AS 11.66.275. When revoking an 14 exemption under this subsection, the department may bar a cruise ship from obtaining 15 an exemption under this section in the future or for a specified number of years in the 16 future. 17  (d) Except for AS 05.15.195, 05.15.200, and 05.15.210, other provisions of this 18 chapter do not apply to gambling on a cruise ship. 19  (e) In this section, 20  (1) "cruise ship" means a ship that operates at least 120 days a year 21 anywhere in the world, provides cruises of at least 72 hours in length for ticketed 22 passengers, provides on board the ship overnight accommodations for at least 300 23 passengers, is operated by an authorized cruise ship operator, and is certified under 24 the International Convention for the Safety of Life at Sea or otherwise certified by the 25 United States Coast Guard; 26  (2) "offshore water of the state" has the meaning given in 27 AS 11.66.275. 28 * Sec. 2. AS 05.15.200(b) is amended to read: 29  (b) A person who, with the intent to mislead a public servant in the 30 performance of the public servant's duty, submits a false statement in an application 31 for a permit, license, exemption, or vendor registration under this chapter is guilty of

01 unsworn falsification. 02 * Sec. 3. AS 05.15.200(b) is amended to read: 03  (b) A person who, with the intent to mislead a public servant in the 04 performance of the public servant's duty, submits a false statement in an application 05 for a permit, license, [EXEMPTION,] or vendor registration under this chapter is guilty 06 of unsworn falsification. 07 * Sec. 4. AS 11.66 is amended by adding a new section to read: 08  Sec. 11.66.275. CRUISE SHIP EXEMPTION. (a) The provisions of 09 AS 11.66.200 - 11.66.280 do not apply to gambling conducted by a cruise ship for its 10 ticketed passengers in the offshore water of the state if 11  (1) the cruise ship is exempt under AS 05.15.250; 12  (2) the cruise ship does not conduct gambling in, or within three miles 13 of, a state port visited by the cruise ship; 14  (3) the gambling is ancillary to the cruise and the cruise has as its main 15 purpose scenic cruising and port visits at maritime communities in the state; and 16  (4) the cruise ship operates under an itinerary that either originates or 17 terminates in a port outside the state. 18  (b) In this section, 19  (1) "cruise ship" means a ship that operates at least 120 days a year 20 anywhere in the world, provides cruises of at least 72 hours in length for ticketed 21 passengers, provides on board the ship overnight accommodations for at least 300 22 passengers, is operated by an authorized cruise ship operator, and is certified under 23 the International Convention for the Safety of Life at Sea or otherwise certified by the 24 United States Coast Guard; 25  (2) "offshore water of the state" means the marine water over which 26 the state has jurisdiction. 27 * Sec. 5. AS 45.50.471(b) is amended by adding a new paragraph to read: 28  (37) violating AS 45.50.474 (on board promotions). 29 * Sec. 6. AS 45.50 is amended by adding a new section to read: 30  Sec. 45.50.474. PROHIBITION OF CERTAIN ADVERTISING 31 PROMOTIONS ON BOARD CRUISE SHIPS. A person may not conduct an

01 advertising promotion on board a cruise ship that mentions or features a business in 02 a state port that has paid something of value for the purpose of having the business 03 mentioned or featured. This prohibition does not apply to on-shore excursions that are 04 sold on board a cruise ship. A violation of this section constitutes an unfair trade 05 practice under AS 45.50.471. In this section, "cruise ship" means a ship that operates 06 at least 120 days a year anywhere in the world, provides cruises of at least 72 hours 07 in length for ticketed passengers, provides on board the ship overnight 08 accommodations for at least 300 passengers, is operated by an authorized cruise ship 09 operator, and is certified under the International Convention for the Safety of Life at 10 Sea or otherwise certified by the United States Coast Guard. 11 * Sec. 7. AS 05.15.250 and AS 11.66.275 are repealed December 31, 1996. 12 * Sec. 8. Section 3 of this Act takes effect December 31, 1996. 13 * Sec. 9. Except for sec. 3 of this Act, this Act takes effect immediately under 14 AS 01.10.070(c).