CSSB 370(JUD): An Act providing an exemption from gambling laws for gambling conducted by cruise ships for their ticketed passengers in the offshore water of the state outside of ports; requiring certain disclosures in connection with promotions on board cruise ships and making violation of that provision an unfair trade practice; defining `cruise ship'; and providing for exemption fees for certain cruise ships before they can conduct gambling in the offshore water of the state. Tom Dow, Vice President of Hotels, Princess Tours, spoke to CSSB 370(FIN). CSSB 370(FIN) work draft "U" was HELD in committee. CS FOR SENATE BILL NO. 370(JUD): An Act providing an exemption from gambling laws for gambling conducted by cruise ships for their ticketed passengers in the offshore water of the state outside of ports; requiring certain disclosures in connection with promotions on board cruise ships and making violation of that provision an unfair trade practice; defining `cruise ship'; and providing for exemption fees for certain cruise ships before they can conduct gambling in the offshore water of the state. Co-chair Pearce announced that SB 370 was before the committee long enough to hear Tom Dow's testimony since he was from out of town. She said the bill would be brought back before the committee on April 26, 1994. TOM DOW, Vice President of Hotels, Princess Tours, spoke in support of SB 370 which would authorize, through the granting of an exemption for a fee, the operation of casinos aboard cruise ships within Alaskan state waters. He was opposed to the flat fee. His company had estimated that the total gaming activity aboard ships was in the 20-25 percent range based upon the time those ships were in international waters outside the three-mile limit. Of the total activity, about 22 percent occurred within the Alaskan state waters. He did not object to the establishment of an Alaska Tourism Marketing Council Fund that would have the effect of establishing legislative intent and the monies raised through these fees would be forwarded or used for a portion of the private sector match against state funds for tourism marketing. He did have problems with this law if it would extend the large hand of government behind the company's wallet into its books. He felt that was hard to justify for the public good. Mr. Dow said they had no problem with restricting on-board promotions that might apply to locally owned gift shops. They understood that the basic fee level would be doubled from the original bill and was acceptable to Princess Tours. They cautioned it was the outer limit. He pointed out a similar license from Maryland was only $25. The fee was proposed to be $40,000 for the larger ships and $30,000 for others in return for an unregulated practice that had been going on for over 20 years. Co-chair Pearce announced that SB 370 would be HELD in committee. SCHEDULED BUT NOT HEARD: