Legislature(2005 - 2006)CAPITOL 17

04/23/2005 02:00 PM House TRANSPORTATION


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Note Time Change --
*+ HB 279 OUTDOOR ADVERTISING; ENCROACHMENTS TELECONFERENCED
Moved CSHB 279(TRA) Out of Committee
*+ HJR 18 FEDERAL MARINE TRANSPORTATION SAFETY ACT TELECONFERENCED
Tabled
Bills Previously Heard/Scheduled
= HB 259 TRUCK LOAD REQUIREMENTS
Heard & Held
HJR 18 - FEDERAL MARINE TRANSPORTATION SAFETY ACT                                                                             
                                                                                                                                
CO-CHAIR ELKINS announced that the  final order of business would                                                               
be  HOUSE  JOINT  RESOLUTION  NO.  18  Relating  to  the  federal                                                               
Maritime  Transportation Security  Act  of 2002  and the  state's                                                               
right to tax commercial passenger vessels.                                                                                      
                                                                                                                                
2:47:31 PM                                                                                                                    
                                                                                                                                
CODY  RICE,  Staff to  Representative  Carl  Gatto, Alaska  State                                                               
Legislature, sponsor,  relayed on behalf of  Representative Gatto                                                               
that HJR  18 asks  Congress to  clarify or  repeal Section  445 -                                                               
proposed  33  U.S.C.  5(b)  -   of  the  Maritime  Transportation                                                               
Security  Act of  2002.    This provision  was  put  in place  to                                                               
prevent Yakutat from  taxing cruise ships that  sailed by Yakutat                                                               
and did not  stop at its port.  He  added that the aforementioned                                                               
provision essentially says that all taxes  must be no more than a                                                               
small burden  on interstate commerce  and must be used  either to                                                               
compensate [a community]  for services rendered to  the vessel or                                                               
to increase the efficiency and safety of interstate commerce.                                                                   
                                                                                                                                
MR.  RICE  offered  his  belief  that  this  provision  has  been                                                               
interpreted  rather broadly  by  some groups,  thus resulting  in                                                               
disagreements  regarding  the  meaning  of  the  provision.    He                                                               
mentioned  that a  Fairbanks  Daily  News-Miner article  contains                                                             
comments [by spokespersons for U.S.  Senator Ted Stevens and U.S.                                                               
Congressman Don Young], and that a  copy of that article has been                                                               
included in members' packets.                                                                                                   
                                                                                                                                
2:49:14 PM                                                                                                                    
                                                                                                                                
CO-CHAIR ELKINS  said he would  not characterize the  comments in                                                               
the  article  as   either  U.S.  Senator  Ted   Stevens  or  U.S.                                                               
Congressman Don  Young "weighing in" on  the issue.  He  said his                                                               
concern with  HJR 18 is  that the legislature didn't  really open                                                               
up  a  dialog  with  either  U.S. Senator  Ted  Stevens  or  U.S.                                                               
Congressman Don  Young before having  "gone public with it."   He                                                               
concluded by saying, "I don't care for it."                                                                                     
                                                                                                                                
MR. RICE replied:                                                                                                               
                                                                                                                                
     I don't know that that's necessarily entirely correct.                                                                     
        This [section] actually applies specifically to                                                                         
     several taxes  that may already be  existing throughout                                                                    
     the United States, and I,  myself, have been in contact                                                                    
     with both [U.S. Senator  Ted Stevens's] chief of staff,                                                                    
     [and  U.S.  Congressman   Don  Young's]  transportation                                                                    
     drafting  attorney   on  several  instances   and  have                                                                    
     discussed this particular provision  with them.  And in                                                                    
     fact,  last summer,  there was  some talk  of including                                                                    
     some kind of a clarification  in the "Coast Guard bill"                                                                    
     that passed.   It  didn't happen,  but it  is something                                                                    
     that  we've   ...  [had]  existing   conversations  ...                                                                    
     [about, though] it has been several months. ...                                                                            
                                                                                                                                
2:50:24 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  THOMAS said  he didn't  like the  resolution, and                                                               
didn't want to  embarrass the Senator and Congressmen  with it by                                                               
using it tell those gentlemen that  they made a mistake.  He also                                                               
noted that no one raised  the issue when those gentlemen recently                                                               
addressed the legislature.                                                                                                      
                                                                                                                                
MR. RICE said  that nothing in the resolution claims  there was a                                                               
mistake  made  in the  drafting  of  the Maritime  Transportation                                                               
Security  Act of  2002, and  noted that  neither the  Senator nor                                                               
Congressman   have  corrected   the   comments   made  by   their                                                               
spokespersons.                                                                                                                  
                                                                                                                                
2:52:03 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  THOMAS  pointed  out,  however,  that  the  first                                                               
portion  of the  resolution  claims that  the  Act's sponsor  has                                                               
stated  that the  Act  was  never meant  to  prevent Alaska  from                                                               
imposing a head  tax, but doesn't actually state  who the sponsor                                                               
is.                                                                                                                             
                                                                                                                                
MR.  RICE said  the sponsor  of that  specific provision  is U.S.                                                               
Congressman  Don Young,  and opined  that spokespersons  commonly                                                               
speak on behalf  of their employers.  He noted  that according to                                                               
the  newspaper  article,  comments   that  [Section  445  of  the                                                               
Maritime Transportation Security Act  of 2002] was never intended                                                               
to prevent  state or local  governments from imposing a  head tax                                                               
were made by Congressman Young's spokesperson.                                                                                  
                                                                                                                                
REPRESENTATIVE THOMAS  asked why Congressman Young  sponsored the                                                               
language in that provision.                                                                                                     
                                                                                                                                
CO-CHAIR GATTO  offered his understanding that  Congressman Young                                                               
offered  that  language  in  response to  local  laws  passed  in                                                               
Yakutat.   He suggested  that the language  of the  provision has                                                               
resulted  in  unintended  consequences,   and  offered  that  the                                                               
resolution merely asks Congress to clarify the issue.                                                                           
                                                                                                                                
CO-CHAIR  ELKINS   opined  that  there   is  an  easier   way  to                                                               
communicate with  U.S. Senator Ted  Stevens and  U.S. Congressman                                                               
Don  Young than  by passing  a resolution,  which, he  suggested,                                                               
could embarrass those  gentlemen.  He reiterated  his belief that                                                               
the legislature has  not yet made an effort to  discuss the issue                                                               
with the provision's sponsor.                                                                                                   
                                                                                                                                
2:55:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KAPSNER  said that  she doesn't know  enough about                                                               
the  issue  to  agree  with  the statements  being  made  in  the                                                               
resolution.   She pointed  out that generally  when she  wants to                                                               
communicate  with or  deliver  a message  to  someone, she  sends                                                               
him/her a letter directly.   She asked Co-Chair Gatto whether his                                                               
intent  in sponsoring  the resolution  was to  get the  public on                                                               
board.                                                                                                                          
                                                                                                                                
CO-CHAIR  GATTO said  that  he doesn't  know  whether the  public                                                               
knows about this  issue, and suggested that a  resolution of this                                                               
sort is  a logical follow-up to  the aforementioned conversations                                                               
his  staff has  had  with  U.S. Senator  Ted  Stevens's and  U.S.                                                               
Congressman Don Young's spokespersons.                                                                                          
                                                                                                                                
2:56:37 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE NEUMAN  asked Mr. Rice and  Co-Chair Gatto whether                                                               
either  of them  had written  to U.S.  Senator Ted  Stevens, U.S.                                                               
Senator Lisa Murkowski, or U.S.  Congressman Don Young to request                                                               
that this issue be clarified at the federal level.                                                                              
                                                                                                                                
MR.  RICE   reiterated  that  he   has  had  at  least   a  dozen                                                               
conversations with  [U.S. Senator  Ted Stevens's] chief  of staff                                                               
[and  U.S.  Congressman   Don  Young's]  transportation  drafting                                                               
attorney on this subject.                                                                                                       
                                                                                                                                
REPRESENTATIVE  KAPSNER  asked  if   anything  has  been  put  in                                                               
writing.                                                                                                                        
                                                                                                                                
MR. RICE  said such has  not been done, that  phone conversations                                                               
were considered a more expedient  form of conversation.  He again                                                               
said  that the  resolution  merely asks  for  clarification on  a                                                               
contentious issue.                                                                                                              
                                                                                                                                
2:57:53 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  NEUMAN  asked  whether the  committee  wanted  to                                                               
request  that Co-Chair  Gatto write  to the  members of  Alaska's                                                               
congressional delegation  and ask  them to provide  the committee                                                               
with  a written  response on  this issue.   Such  a letter  might                                                               
appease members' concerns, he suggested.                                                                                        
                                                                                                                                
CO-CHAIR ELKINS acknowledged  that such could be  done, but noted                                                               
that  the cruise  ship industry  was  present and  might wish  to                                                               
testify on the bill.                                                                                                            
                                                                                                                                
2:58:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE THOMAS instead expressed  a preference for tabling                                                               
the  resolution  and  then contacting  the  members  of  Alaska's                                                               
congressional delegation in writing on this issue.                                                                              
                                                                                                                                
REPRESENTATIVE  THOMAS made  a motion  to  table HJR  18.   There                                                               
being no objection, HJR 18 was tabled.                                                                                          

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