CS FOR HOUSE BILL NO. 342(FIN) am An Act relating to the Alaska Tourism Marketing Council; increasing to at least 25 percent the share of the council's expenses that must be paid through contributions by an association that contracts to jointly manage the council; required disclosures in promotions on board tourism cruise ships; and providing for an effective date. Co-chair Pearce directed that CSHB 342 (Finance)am be brought on for discussion and noted that the Senate version, SB 341, was reported out of committee last week. The House bill contains provisions from Senate "gaming on cruise ships" legislation (SB 370), and it also extends the Alaska Tourism Marketing Council to December 30, 1998. SB 341 extended the Council to 1996 to conform with SB 370. REPRESENTATIVE PETE KOTT, sponsor of the legislation, came before committee. He voiced need for the 1998 sunset date for the Council since it is more efficient for the legislature to extend the date as long as possible. The four-year period is also well established as a sunset date for numerous boards and commissions. It would also send a stronger message to ATMC supporters and those involved in marketing and sales programs. The Dept. of Commerce and Economic Development is supportive of the bill as currently written. Senator Rieger referenced language relating to disclosure of promotions and advised of his understanding that dollar amounts would not have to be provided. Representative Kott concurred. Disclosure would merely have to indicate that one is paying someone to "promote your business in port." Senator Rieger asked if that type of promotion would include a "kickback" on the fee charged by the shoreside operator or merely an advertising payment. Representative Kott voiced his recollection that it includes the "kickback." Senator Sharp noted an ongoing problem with ATMC in that, over a six-year period, the Council has been unable to reach agreement and come forward with a method of offsetting general funds. He suggested that the sunset date should be "kept as short as possible" to force a decision by the Council which cannot continue to be funded from state general funds. Senator Sharp then MOVED to change the sunset date from December 30, 1998, to December 30, 1996. Senator Rieger noted that statutory sunset dates include a grace year. A sunset date of 1996 would allow the Council to operate into 1997. Co-chair Pearce called for a show of hands on the motion. The motion carried on a vote of 3 to 2, and the amendment was ADOPTED. Co-chair Frank MOVED that SCS CSHB 342 (Finance) pass from committee with individual recommendations. No objection having been raised, SCS CSHB 342 (Finance) was REPORTED OUT of committee with a zero fiscal note from the Dept. of Commerce and Economic Development. Co-chairs Pearce and Frank signed the committee report with a "do pass" recommendation. Senators Kelly, Kerttula, Rieger, and Sharp signed "no recommendation." Senator Jacko was absent from the meeting and did not sign. ADJOURNMENT The meeting was adjourned at approximately 10:05 a.m.