SJR 9-URGE EXEMPTION FOR CRUISE SHIPS  1:49:40 PM CO-CHAIR HOPKINS announced that the final order of business would be CS FOR SENATE JOINT RESOLUTION NO. 9(L&C), Urging the United States Congress to exempt cruise ships from certain provisions of the PVSA and other applicable provisions of federal law for the period during which Canadian ports are closed to cruise ships carrying more than 100 people; and urging the President of the United States not to fine or take actions against cruise ships sailing to the state. 1:49:51 PM SENATOR JESSE KIEHL, Senator, Alaska State Legislature, shared in 2019 Alaska had 2.2m tourists, most of whom came in on big ships. The tourists were responsible for about $4B in economic activity across Alaska, he shared. In 2020 the number was close to zero, he shared, putting small- and medium-sized Alaska businesses and their employees at great risk. There were federal payroll protection programs, disaster loans, Alaska CARES Act money, and unemployment assistance; yet, if the 2021 numbers looked similar, there would be very few businesses which would survive. SENATOR KIEHL stated in 2021 with the Canadian closure, a series of American federal laws were positioned to prevent another cruise ship season. In effect, with big ships' obligatory stops in Canada on their way to Alaska canceled, SJR 9 would ask for temporary reprieve during the pandemic and closed Canadian waters. He noted SJR 9 had been developed with the Congressional delegation; that all three members had introduced legislation that would do what SJR 9 requested. If SJR 9 did not pass, it would ensure prohibitive laws did not pass. It did not ask for any breaks or shortcuts on COVID-19 safety, he pointed out. The Center for Disease Control (CDC) put out a 40- page manual for COVID-19 mitigations should sailing again become safe. There were safe ways for cruising to resume, he added. 1:55:14 PM CO-CHAIR HOPKINS thanked the sponsor for bringing forth the statewide issue. 1:55:53 PM REPRESENTATIVE HANNAN asked about the similarity between SJR 9 and House Bill 13. SENATOR KIEHL said the only change was some clarifying language in the second resolved clause to clarify no enforcement would be taken against ships under the Passenger Vessel Services Act (PVSA). 1:56:54 PM REPRESENTATIVE CRONK asked when Congress would "deal with this," and if getting ships to Juneau in the summer of 2021 were a possibility. SENATOR KIEHL said he could not predict Congress. At one time he thought the provisions could have been inserted into the American Rescue Act because it was done through the budget reconciliation process and was not an order, he shared. Congressman Don Young originally introduced legislation on the matter, he stated, and shared he thought the solution "elegant." There are a couple potential vehicles in which to insert this resolution, he said. There was no date, he said. The cruise lines needed to make decisions; the CDC was still in partial shutdown mode; and it would take 90 days "from the word go" to get paying passengers on board, so there was very little chance before mid- or late-July. REPRESENTATIVE CRONK said he supported SJR 9. 1:59:38 PM REPRESENTATIVE DRUMMOND asked if other states impacted had asked for similar dispensation; for example, Washington, where many of the cruise ships originated. SENATOR KIEHL said he had been working with the Washington State delegation and several members of their legislature, but there had been no resolution from Washington. There were several issues, and the Port of Seattle would see significant impacts if the big ships didn't begin any voyages there this summer, he added. 2:00:31 PM CO-CHAIR HOPKINS opened public testimony. 2:00:45 PM ANDREW CREMATA, Mayor of Skagway, testified in support of SJR 9. Mr. Cremata said the PVSA presented a "significant hurdle" to cruises resuming their ability to pay visits to Skagway and described the dire situation in that community due to the pandemic and subsequent loss of cruise ship revenue income to the tune of $160m in 2020. The loss of the 2021 cruise season would mean 2.5 years in the best-case scenario. Has sent letter of support of SJR 9 to federal delegation and spoken with legislators, he stated. He has also encouraged independent traffic, but the border is closed for many of the same reasons Canada's were, he said. Other port communities were affected, as is Denali Borough, he imparted. 2:03:17 PM REPRESENTATIVE HANNAN asked about the total revenue loss compared to total of $160m in 2020. MR. CREMATA responded it was almost an entire year's income and that property taxes even had to be waived for businesses that couldn't afford to pay. Going into 2021 budget cycle with 6% revenue projected, which is optimistic. There was still sales tax revenue, but the significance of the impact wasn't shown, he said. It was 96% - 98% percent of revenue, he shared. 2:04:32 PM CO-CHAIR HOPKINS asked if Skagway had a similar problem with allocations based on population like Denali. MR. CREMATA responded CARES Act money was put back into the hands of residents and created a grant program for businesses out of sales tax. He emphasized SJR 9 was a matter of survival for the community of Skagway. 2:06:27 PM CO-CHAIR HOPKINS closed public testimony on SJR 9. 2:06:40 PM REPRESENTATIVE HANNAN moved to report SJR 9 out of committee with individual recommendations and the accompanying fiscal notes. There being no objection, SJR 9 moved out of the House Transportation Standing Committee.