Legislature(2009 - 2010)
2010-03-26 Senate Journal
Full Journal pdf2010-03-26 Senate Journal Page 1983 SB 311 SENATE BILL NO. 311 BY THE SENATE RULES COMMITTEE BY REQUEST OF THE GOVERNOR, entitled: "An Act relating to a corporation income tax credit for contributions to a qualified trade association awarded a contract by the Department of Commerce, Community, and Economic Development for planning and executing a destination tourism marketing campaign made by a person that derives income from the sale of goods or services to visitors to the state; relating to the excise tax on passengers traveling on commercial passenger vessels providing overnight accommodations in the state's marine waters; and providing for an effective date." was read the first time and referred to the Finance Committee. The following fiscal information was published today: Fiscal Note No. 1, Department of Revenue Fiscal Note No. 2, Department of Revenue Fiscal Note No. 3, Department of Commerce, Community and Economic Development Governor's transmittal letter dated March 25: Dear President Stevens: Under the authority of Art. III, Sec. 18, of the Alaska Constitution, I am transmitting a bill that provides for (1) a corporate income tax credit for contributions to the qualified trade association that plans and executes a destination tourism marketing campaign, and (2) amendments to the commercial passenger vessel excise tax program to reduce the tax rate and provide for a periodic review of the tax rate to ensure that it remains commensurate with costs of hosting passengers in Alaska. After decades of steady growth in cruise ship passenger visits to Alaska, Alaska is facing a 17 percent decline in cruise visitation this summer. Currently, that would translate into 140,000 fewer passengers 2010-03-26 Senate Journal Page 1984 coming here during the four-month cruise season, fewer Alaska jobs, and less revenue for Alaska's small businesses. In recognition of the significant impact this decline in cruise ship travel has on Alaska, I propose legislation to increase tourism marketing through a corporate income tax credit mechanism, and a reduction of the excise tax imposed upon passengers visiting Alaska by cruise ship. I am also proposing a periodic review to assess the projected community needs and use of appropriations to safely and efficiently host visitors in Alaska. We can grow our economy by bringing more visitors to fuel our own Alaska businesses. In short, we should make Alaska a more affordable destination and send a message that we welcome travelers. I urge your prompt and favorable action on the bill. Sincerely, /s/ Sean Parnell Governor