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CSHJR 8(L&C) am: Opposing the enactment by the Washington State Legislature of a bill proposing to impose a fee on the processing of shipping containers in the State of Washington because of the negative impact of the fee on the people and the economy of this state.

00 CS FOR HOUSE JOINT RESOLUTION NO. 8(L&C) am 01 Opposing the enactment by the Washington State Legislature of a bill proposing to 02 impose a fee on the processing of shipping containers in the State of Washington because 03 of the negative impact of the fee on the people and the economy of this state. 04 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 WHEREAS Washington state has been the primary gateway to this state since before 06 the first gold rush, more than 100 years ago; and 07 WHEREAS the people of this state continue to depend on ships and barges to move 08 almost all of the necessities of daily life from Washington state; and 09 WHEREAS many isolated maritime communities that do not have road access 10 depend entirely on marine cargo shipped from Washington state as their lifelines; and 11 WHEREAS 97 percent by weight and 60 percent of the value of all goods shipped to 12 Alaska are shipped by water; and 13 WHEREAS most seafood harvested in this state and bound for the lower 48 states is 14 shipped from this state to and through ports in Washington state; and 15 WHEREAS, during 2003, this state was Puget Sound's fifth largest trading partner,

01 aside from the aerospace industry, and the economic connection between this state and 02 Washington state was responsible for at least 103,500 jobs and over $4,000,000,000 in labor 03 earnings; and 04 WHEREAS Senate Bill 5207, which is pending before the Washington State 05 Legislature, would impose a fee of $50 for each 20-foot equivalent unit on every cargo 06 container traveling between Washington state and this state; most cargo containers are at least 07 two 20-foot equivalent units and would be subject to a fee of $100 each time the container 08 leaves Washington state and each time the container returns to that state, regardless of 09 whether the container is empty, partially loaded, or full; and 10 WHEREAS Senate Bill 5207 would be detrimental to the trading relationship 11 between Washington state and this state; and 12 WHEREAS, because of this state's unique dependence on ports in Washington state, 13 enactment of Senate Bill 5207 would damage this state's economy and cripple many isolated 14 communities in this state by raising the cost of living by several percent; and 15 WHEREAS the Alaska State Legislature recognizes that freight congestion in 16 Washington ports is a serious problem; and 17 WHEREAS congestion in Washington ports can negatively impact the transport of 18 Alaska goods; and 19 WHEREAS the Alaska State Legislature recognizes that the efficient and economic 20 transport of freight along the west coast is a regional issue that takes a regional solution; 21 BE IT RESOLVED that the Alaska State Legislature respectfully requests that the 22 Washington State Legislature recognize the negative effect Senate Bill 5207 would have on 23 the trading relationship between Washington state and this state and the economic costs 24 associated with that negative effect to both states; and be it 25 FURTHER RESOLVED that the Alaska State Legislature respectfully requests that 26 the Washington State Legislature recognize the negative effect Senate Bill 5207 would have 27 on the people and economy of this state, particularly on maritime communities in the 28 southeast part of this state; and be it 29 FURTHER RESOLVED that the Alaska State Legislature opposes the enactment of 30 Senate Bill 5207 and urges the Washington State Legislature to consider alternative means for 31 raising revenue to be used for the infrastructure of the ports of that state; and be it

01 FURTHER RESOLVED that the Alaska State Legislature will work with the 02 Washington State Legislature and Washington state to find a mutually beneficial means for 03 the efficient and economic transport of goods between Alaska and Washington; and be it 04 FURTHER RESOLVED that the Alaska State Legislature urges the attorney general 05 to use the resources of the Department of Law to research the legal issues raised by the tax on 06 shipping containers proposed in Senate Bill 5207; and be it 07 FURTHER RESOLVED that, if the tax in Senate Bill 5207 is enacted and the facts 08 and law support an action by this state challenging the tax, the Alaska State Legislature urges 09 the attorney general to immediately file a complaint and request for injunction in Federal 10 District Court and in any other forum that could provide relief. 11 COPIES of this resolution shall be sent to the Honorable Chris Gregoire, Governor of 12 Washington; the Honorable Brad Owen, Lieutenant Governor of Washington; the Washington 13 State Senate; the Washington State House of Representatives; the Honorable Mary Margaret 14 Haugen, Washington State Senator; the Honorable Sarah Palin, Governor of Alaska; the 15 Honorable Sean Parnell, Lieutenant Governor of Alaska; and the Honorable Ted Stevens and 16 the Honorable Lisa Murkowski, U.S. Senators, and the Honorable Don Young, U.S. 17 Representative, members of the Alaska delegation in Congress.