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CSSB 107(L&C): "An Act relating to tourism and tourism marketing; eliminating the Alaska Tourism Marketing Council; and providing for an effective date."

00CS FOR SENATE BILL NO. 107(L&C) 01 "An Act relating to tourism and tourism marketing; eliminating the Alaska 02 Tourism Marketing Council; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. FINDINGS AND INTENT. (a) The legislature finds that it is important for 05 the state to continue to work cooperatively with the private sector visitor industry to promote 06 Alaska as a tourist destination for the benefit of the citizens of the state. 07 (b) It is the intent of the legislature that all tourism marketing functions currently 08 performed by the Alaska Tourism Marketing Council and the Alaska division of tourism be 09 consolidated and performed under a contract with a single qualified trade association and that 10 the association provide a significant financial contribution to this cooperative tourism 11 marketing program, with the Alaska division of tourism performing primarily planning, 12 governmental coordination, and advocacy for tourism development. 13 * Sec. 2. AS 23.20.526(d)(8) is amended to read: 14  (8) in the employ of the state or a political subdivision of the state if

01 the service is performed by an individual in the exercise of duties 02  (A) as a judicial officer, the governor, the lieutenant governor, 03 a person hired or appointed as the head or deputy head of a department in the 04 executive branch, a person hired or appointed as the director of a division of 05 a department in the executive branch, an assistant to the governor, a chair or 06 member of a state commission or board, state investment officers and the state 07 comptroller in the Department of Revenue, [THE EXECUTIVE DIRECTOR 08 OF THE ALASKA TOURISM MARKETING COUNCIL,] an appointed or 09 elected municipal officer, any other elected official, the fiscal analyst of the 10 legislative finance division, the legislative auditor of the legislative audit 11 division, the executive director of the Legislative Affairs Agency, and the 12 directors of the divisions within the Legislative Affairs Agency; 13  (B) as a member of the Alaska Army National Guard or Alaska 14 Air National Guard or Alaska Naval Militia; 15  (C) as an employee serving on only a temporary basis in case 16 of fire, storm, snow, earthquake, flood, or similar emergency; or 17  (D) as an election official or election worker if the amount of 18 remuneration received by the individual during the calendar year for services 19 as an election official or election worker is less than $1,000; 20 * Sec. 3. AS 36.30.850(b) is amended by adding a new paragraph to read: 21  (41) a tourism marketing contract awarded under AS 44.33.125(a) or 22 (h), a tourism related contract awarded under AS 44.33.125(b) to a qualified trade 23 association with a right of first refusal, or a subcontract awarded by the qualified trade 24 association. 25 * Sec. 4. AS 44.33.119 is amended to read: 26  Sec. 44.33.119. Purposes. The purposes of AS 44.33.119 - 44.33.135 [AND 27 AS 44.33.700 - 44.33.735] are to 28  (1) encourage the expansion and growth of the state's visitor industry 29 for the benefit of the citizens of the state; 30  (2) ensure that the economic benefits to be derived from tourism in the 31 state are retained in the state, to the greatest extent possible;

01  (3) ensure that a maximum number of residents of the state are 02 employed in the tourism industry; 03  (4) [PROMOTE COOPERATION BETWEEN THE STATE AND 04 PRIVATE SECTOR IN THE PLANNING AND EXECUTION OF A GENERIC 05 VISITOR MARKETING CAMPAIGN IN THE PUBLIC INTEREST; 06  (5) PROMOTE THE DEVELOPMENT OF VISITOR INDUSTRY 07 FACILITIES, BOTH IN THE PUBLIC SECTOR AND THE PRIVATE SECTOR, 08 THROUGH THE USE OF STATE RESOURCES, AS APPROPRIATE; 09  (6) ENSURE THAT THE VISITORS' EXPERIENCE IN THE STATE 10 IS AND CONTINUES TO BE SATISFACTORY AND LEADS TO WORD-OF- 11 MOUTH ADVERTISING AND RETURN VISITS TO THE STATE; 12  (7)] ensure that consideration is given in the development and 13 implementation of the tourism program to local community goals and objectives, to 14 impacts on existing private enterprises, and to impacts on recreational and subsistence 15 opportunities for the residents of the state; 16  (5) [(8)] promote the development of tourism opportunities throughout 17 the state, including along the highway system of the state, [INCLUDING] the marine 18 highway, and in rural areas of the state. 19 * Sec. 5. AS 44.33.120(b) is repealed and reenacted to read: 20  (b) The Alaska division of tourism shall 21  (1) cooperate with organizations in the private sector for the promotion 22 and development of tourism into and within the state; 23  (2) coordinate with municipal, state, and federal agencies for the 24 development of tourism resources in the state; 25  (3) promote and develop the state's tourist industry; 26  (4) cooperate with the private sector in the planning and execution of 27 a destination tourism marketing campaign under AS 44.33.125 that is in the public 28 interest; 29  (5) promote the development of visitor industry facilities, both in the 30 public sector and the private sector, through the use of state resources as appropriate; 31  (6) plan and advocate for tourism and tourism development in

01 coordination with the private sector, municipalities, state, and federal agencies; 02  (7) administer and evaluate the tourism marketing contract program 03 under AS 44.33.125; 04  (8) administer visitor information centers; and 05  (9) conduct research. 06 * Sec. 6. AS 44.33.120 is amended by adding a new subsection to read: 07  (d) During the term of a contract with a qualified trade association under 08 AS 44.33.125(a), the Department of Commerce and Economic Development may not 09 execute another tourism marketing campaign except as provided under 10 AS 44.33.125(h). 11 * Sec. 7. AS 44.33 is amended by adding a new section to read: 12  Sec. 44.33.125. Tourism marketing contracts and other tourism related 13 contracts. (a) Subject to appropriations for the purpose, the Department of 14 Commerce and Economic Development shall, on or before August 1 of each year, 15 contract with a single qualified trade association for the purpose of planning and 16 executing a destination tourism marketing campaign. The contract may be awarded 17 only if the qualified trade association provides matching funds equal to at least 30 18 percent of the costs of the marketing campaign described in the contract. Before 19 executing the contract, the marketing campaign plan must be approved by the 20 department. The marketing campaign must include essential components identified by 21 the department and may include media advertising, establishing and operating a system 22 for responding to visitor inquiries, publishing and distributing information regarding 23 vacation planning, establishing and maintaining Internet sites that provide tourism 24 information, conducting market research, and other activities related to tourism that the 25 department may designate in the contract. The marketing campaign may promote 26 distinct segments of tourism, such as highway tourism, seasonal tourism, ecotourism, 27 cultural tourism, regional tourism, and rural tourism. 28  (b) A qualified trade association that has been awarded a tourism marketing 29 contract under (a) of this section has, while the contract is in effect, the right of first 30 refusal for every other tourism marketing related contract offered by the department. 31 The qualified trade association is required to provide matching funds for a contract

01 awarded under this subsection only if matching funds are required by the contract 02 offer. If the qualified trade association refuses a contract offer under this subsection, 03 the department may award the contract to another person but only under terms not 04 materially different from those offered to the qualified trade association. 05  (c) If, during the term of a contract awarded under (a) of this section, funds 06 from any source become available to the department for tourism marketing activities 07 in addition to the funds already committed under the contract, the contract may be 08 amended to include the additional funds and the additional tourism marketing 09 activities. The department may require the qualified trade association to provide 10 matching funds in any amount for the additional funds, or the department may impose 11 no matching requirement for the additional funds. 12  (d) The marketing campaign conducted under a tourism marketing contract 13 awarded under (a) of this section must be directed by a group within the qualified 14 trade association that is broadly representative of the various sectors of the visitor 15 industry in the state and whose members are 16  (1) involved in a visitor industry business or have experience in tourism 17 marketing; or 18  (2) officers or senior staff members of a state agency, a local 19 government, or a nonprofit enterprise established to promote the visitor industry. 20  (e) Materials produced and marketing information and tourism related data 21 generated by the qualified trade association under a contract awarded under (a) or (b) 22 of this section are the joint property of the qualified trade association and the 23 department. However, the qualified trade association may, but only for the purpose 24 of promoting the state, sell or lease the materials, information, and data. In addition, 25 the qualified trade association may only permit the use by or sale to another person 26 of the materials, information, or data if the use by the other person is also for the 27 purpose of promoting the state. The qualified trade association may impose other 28 restrictions on the right of another person to use the materials, information, or data. 29 If a qualified trade association provides the right to use a mailing list generated under 30 a contract awarded under (a) or (b) of this section, the list must be made available to 31 every person at the same price, except that a person who is not a participant in the

01 qualified trade association's marketing program may be charged an additional amount 02 based on the amount of the qualified trade association's participation fee attributable 03 to a participant's right of access to mailing lists. The qualified trade association retains 04 all revenue generated by the association under a contract awarded under (b) or (c) of 05 this section. 06  (f) A qualified trade association shall provide to the department, on request, 07 materials produced and marketing information and tourism related data generated by 08 the qualified trade association under a contract awarded under (a) or (b) of this section. 09 The materials, information, and data provided to the department under this subsection 10 are not public records under AS 09.25.100 - 09.25.220. 11  (g) A qualified trade association may not use money from a contract awarded 12 under (a) or (b) of this section 13  (1) to lobby a municipality or an agency of a municipality or to lobby 14 the state or an agency of the state, as those terms are defined in AS 44.99.030(b); 15  (2) to raise funds that will be used to lobby a municipality or an agency 16 of a municipality or to lobby the state or an agency of the state, as those terms are 17 defined in AS 44.99.030(b); or 18  (3) for administrative or overhead costs that directly support any effort 19 to lobby a municipality or an agency of a municipality or to lobby the state or an 20 agency of the state, as those terms are defined in AS 44.99.030(b). 21  (h) If the qualified trade association refuses a contract component requested 22 by the department, the department may award a contract to another person to perform 23 that component but only if the terms are not materially different from those offered to 24 the qualified trade association. 25  (i) In this section, "qualified trade association" means a private, nonprofit 26 organization whose primary purposes include the promotion of tourism within the state 27 and encouraging tourists to visit the state and that has a statewide membership 28 consisting of representatives of all major sectors of the visitor industry, including 29 hotels, airlines, cruise lines, wholesale and retail travel agencies, visitor attractions, 30 convention and visitors bureaus, bed and breakfast enterprises, wilderness lodges and 31 outfitters, and charter operations.

01 * Sec. 8. AS 44.33.125(a) is amended to read: 02  (a) Subject to appropriations for the purpose, the Department of Commerce and 03 Economic Development shall, on or before August 1 of each year, contract with a 04 single qualified trade association for the purpose of planning and executing a 05 destination tourism marketing campaign. The contract may be awarded only if the 06 qualified trade association provides matching funds equal to at least 60 [30] percent 07 of the costs of the marketing campaign described in the contract. Before executing the 08 contract, the marketing campaign plan must be approved by the department. The 09 marketing campaign must include essential components identified by the department 10 and may include media advertising, establishing and operating a system for responding 11 to visitor inquiries, publishing and distributing information regarding vacation planning, 12 establishing and maintaining Internet sites that provide tourism information, conducting 13 market research, and other activities related to tourism that the department may 14 designate in the contract. The marketing campaign may promote distinct segments of 15 tourism, such as highway tourism, seasonal tourism, ecotourism, cultural tourism, 16 regional tourism, and rural tourism. 17 * Sec. 9. AS 39.25.110(27); AS 39.50.200(a)(8)(G), 39.50.200(b)(49); AS 44.33.700, 18 44.33.705, 44.33.710, 44.33.715, 44.33.720, 44.33.723, 44.33.725, 44.33.727, 44.33.730, 19 44.33.733, 44.33.735; AS 44.66.010(a)(15); and AS 44.99.030(a)(14) are repealed. 20 * Sec. 10. Sections 1 - 7 and 9 of this Act take effect July 1, 2000. 21 * Sec. 11. Section 8 of this Act takes effect July 1, 2002.