Legislature(1993 - 1994)
1994-05-10 Senate Journal
Full Journal pdf1994-05-10 Senate Journal Page 4622 SB 370 Message of May 9 was read, stating the House passed and returned for consideration CS FOR SENATE BILL NO. 370(FIN) with the following amendment: HOUSE CS FOR CS FOR SENATE BILL NO. 370(JUD) "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." Senator Sharp moved and asked unanimous consent for the adoption of the following House Letter of Intent No. 1. Without objection, Legislative Letter of Intent No. 1 was adopted. Letter of Intent No. 1 for HCS for CSSB 370(JUD) As originally introduced, SB 370 related only to offshore casino gambling on cruise ships. During hearings on the bill, the Senate Judiciary Committee was advised of a practice conducted by a few cruise lines of promoting to its passengers particular shoreside 1994-05-10 Senate Journal Page 4623 SB 370 businesses in Southeast Alaska ports in exchange for a fee paid by the business to be promoted. In an effort to put a stop to this practice in Alaska, and with the full support of those cruise lines advocating the passage of SB 370, the Senate Judiciary Committee adopted a provision in the bill to make it an unlawful trade practice under AS 45.50.474 to conduct such onboard promotions unless the cruise operator fully disclosed to its passengers that the business being promoted, mentioned or featured had paid a fee for that purpose. The Senate passed the bill with this provision included in it. When SB 370 was heard by the House Finance Committee, that Committee went even further and banned outright the practice of cruise ship promotions of named shoreside businesses in exchange for fees. The Legal Services Division of the Legislative Affairs Agency has advised that the outright ban of this practice raises serious constitutional issues. The Legislature prefers an outright ban as a matter of public policy. However, rather than risk a successful constitutional challenge and being left with no regulation of cruise ship promotions on the books, the Legislature believes that the approach adopted by the Senate Judiciary Committee is preferable to adopting a provision that is vulnerable to constitutional attack. The Legislature does, however, wish to express its strong condemnation of this practice and its hope that cruise lines visiting Alaska ports will, as a matter of good public policy, not engage in the practice at all. Senator Sharp moved and asked unanimous consent for the adoption of the following House Letter of Intent No. 2. Without objection, Legislative Letter of Intent No. 2 was adopted. Letter of Intent No. 2 for HCS for CSSB 370(JUD) It is the intent of the House Judiciary Committee that the exemption fee for cruise ships collected under Section 1 (b) of this bill, shall be separately accounted for and may be appropriated for tourism promotion. 1994-05-10 Senate Journal Page 4624 SB 370 Senator Taylor moved that the Senate concur in the House amendment. The question being: "Shall the Senate concur in the House amendment to CS FOR SENATE BILL NO. 370(FIN)?" The roll was taken with the following result: HCS CSSB 370(JUD) Shall the Senate concur in the House amendment to CSSB 370(FIN)? YEAS: 11 NAYS: 9 EXCUSED: 0 ABSENT: 0 Yeas: Duncan, Ellis, Frank, Jacko, Kelly, Little, Rieger, Salo, Sharp, Taylor, Zharoff Nays: Adams, Donley, Halford, Kerttula, Leman, Lincoln, Miller, Pearce, Phillips Kelly changed from "Nay" to "Yea". Adams changed from "Yea" to "Nay". Jacko changed from "Nay" to "Yea". and so, the Senate concurred in the House amendment, thus passing HOUSE CS FOR CS FOR SENATE BILL NO. 370(JUD) "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" with Legislative Letters of Intent. Senator Taylor moved the effective date clause. The question being: "Shall the effective date clause be adopted?" The roll was taken with the following result: HCS CSSB 370(JUD) Effective Date YEAS: 20 NAYS: 0 EXCUSED: 0 ABSENT: 0 1994-05-10 Senate Journal Page 4625 SB 370 Yeas: Adams, Donley, Duncan, Ellis, Frank, Halford, Jacko, Kelly, Kerttula, Leman, Lincoln, Little, Miller, Pearce, Phillips, Rieger, Salo, Sharp, Taylor, Zharoff The Secretary was requested to notify the House. SB 370 HOUSE CS FOR CS FOR SENATE BILL NO. 370(JUD) was referred to the Secretary for enrollment.