00 SENATE BILL NO. 60
01 "An Act providing an exemption from gambling and certain alcoholic beverage
02 laws for gambling conducted by cruise ships for their ticketed passengers in the
03 offshore water of the state; relating to promotions on board cruise ships; defining
04 `cruise ship'; providing for exemption procedures for certain cruise ships before
05 they can conduct gambling in the offshore water of the state; providing an
06 exemption from the coin-operated device tax for cruise ships exempted from the
07 gambling laws; and providing for an effective date."
08 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:
09 * Section 1. AS 04.16.175 is amended by adding a new subsection to read:
10 (c) This section does not apply to an agent or employee of a cruise ship
11 authorized to conduct gambling activities under AS 05.15.250 and AS 11.66.275.
12 * Sec. 2. AS 05.15 is amended by adding a new section to read:
13 ARTICLE 2A. CRUISE SHIP EXEMPTION.
14 Sec. 05.15.250. EXEMPTION OF CRUISE SHIPS. (a) A cruise ship may
01 conduct gambling as permitted under AS 11.66.275 in the offshore water of the state
02 if
03 (1) the operator of the cruise ship annually applies on a date set by the
04 department on a form provided by the department;
05 (2) the operator of the cruise ship agrees to comply with AS 45.50.474;
06 and
07 (3) the operator pays the annual exemption fee required under (b) of
08 this section.
09 (b) The exemption fee for a cruise ship to conduct gambling under (a) of this
10 section is for cruise ships with a capacity of
11 (1) 500 or fewer passengers. . . . . . . . . . . . . . . . . . . . . . . $10,000;
12 (2) 501 - 999 passengers . . . . . . . . . . . . . . . . . . . . . . . . $20,000;
13 (3) 1000 - 1999 passengers . . . . . . . . . . . . . . . . . . . . . . . $30,000;
14 (4) 2,000 passengers or more . . . . . . . . . . . . . . . . . . . . . . $40,000.
15 (c) The department shall revoke the exemption of a cruise ship that becomes
16 ineligible to hold an exemption under this section, provides false information in an
17 application for an exemption, violates an order issued under AS 05.15.200, or conducts
18 gambling in violation of the provisions of AS 11.66.275. When revoking an
19 exemption under this subsection, the department may bar a cruise ship from obtaining
20 an exemption under this section in the future or for a specified number of years in the
21 future.
22 (d) Except for AS 05.15.195, 05.15.200, and 05.15.210, other provisions of this
23 chapter do not apply to gambling on a cruise ship.
24 (e) In this section,
25 (1) "cruise ship" means a ship that operates at least 120 days a year
26 anywhere in the world, provides cruises of at least 72 hours in length for ticketed
27 passengers, provides on board the ship overnight accommodations for at least 300
28 passengers, is operated by an authorized cruise ship operator, and is certified under
29 the International Convention for the Safety of Life at Sea or otherwise certified by the
30 United States Coast Guard;
31 (2) "offshore water of the state" has the meaning given in
01 AS 11.66.275.
02 * Sec. 3. AS 05.15.680(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 of
06 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 43.35.010 is amended by adding a new subsection to read:
28 (d) The tax imposed by this section does not apply to a coin-operated device
29 on board a cruise ship for a tax period during which the cruise ship is authorized to
30 conduct gambling activities under AS 05.15.250 and AS 11.66.275.
31 * Sec. 6. AS 45.50.474 is amended to read:
01 Sec. 45.50.474. REQUIRED DISCLOSURES IN PROMOTIONS ON BOARD
02 CRUISE SHIPS. A person may not conduct a promotion on board a cruise ship that
03 mentions or features a business in a state port that has paid something of value for the
04 purpose of having the business mentioned or featured, unless the person conducting
05 the promotion clearly and fully discloses orally and in all written materials used in the
06 promotion that the featured businesses have paid to be included in the promotion.
07 This prohibition does not apply to on-shore excursions that are sold on board a
08 cruise ship. A violation of this section constitutes an unfair trade practice under
09 AS 45.50.471. In this section, "cruise ship" means a ship that operates at least 120
10 days a year anywhere in the world, provides cruises of at least 72 hours in length for
11 ticketed passengers, provides overnight accommodations and meals for those
12 passengers, is operated by an authorized cruise ship operator, and is certified under the
13 International Convention for the Safety of Life at Sea or otherwise certified by the
14 United States Coast Guard.
15 * Sec. 7. This Act takes effect immediately under AS 01.10.070(c).