SJR 9-URGE EXEMPTION FOR CRUISE SHIPS  2:18:12 PM CHAIR MYERS announced that the final order of business would be SENATE JOINT RESOLUTION NO. 9 Urging the United States Congress to exempt cruise ships from certain provisions of the Passenger Vessel Services Act 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. 2:18:42 PM SENATOR KIEHL, speaking as sponsor, said the pandemic has hit Alaska hard economically. He expressed concern that the cruise industry may not come to Alaska this summer. In 2019, about 2.25 million visitors came to Alaska. Of those, 1.2 million were passengers on cruise ships. The tourism sector brought $4 billion in economic activity in Alaska. He directed attention to language in the resolution that highlights this economic activity. In 2020, the tourism figures dropped close to zero. While some businesses closed, others have held on due to federal help from the CARES Act [Coronavirus Aid, Relief, and Economic Security Act]. Seasonal employees were not hired last year and were relying on pandemic unemployment assistance. He cautioned that these businesses would not survive without a cruise season this year. SJR 9 asks Alaska's Congressional Delegation and the executive branch of the federal government to take steps to make it possible for Alaska to have a cruise ship season this year. He noted that he worked with members of the delegation when drafting the resolution who suggested the language should be broad enough to allow it the flexibility to address this issue. SENATOR KIEHL said this resolution is not a call for permanent changes to federal laws, lasting changes in federal rules designed to protect American steel or shipbuilding jobs or allow for unlimited cruise ship passengers in the future. Instead, SJR 9 requests a waiver limited to the 2021 cruise ship season, he said. 2:25:21 PM SENATOR SHOWER said he appreciates SJR 9 and supports efforts to get Alaska's businesses operational. Many businesses were caught off guard by the pandemic, could not manage, and closed. He said his interest stems from the fact that his district has two ports. He expressed concern that fear mongering related to COVID-19 caused people not to book cruise ship travel. Further, the state highlighted COVID-19 issues to the extent that it added to people's concern about travel. In addition, the administration put some development projects on hold to the extent that the state might struggle economically. Many cruise passengers fall into the vulnerable COVID-19 category. Since the CDC can protect passengers, the cruise industry could have been operating. Instead, the cruise ship industry was shut down nationally and in Canada. He offered his view that people needed to let go of fear to allow the state to open up. 2:29:17 PM SENATOR KIEHL offered his view that many passengers will feel safe due to protocols in place on cruise ships. In addition, two vaccines are being offered and more are in the planning stages, he said. 2:30:25 PM CHAIR MYERS opened public testimony on SJR 9. 2:31:17 PM PAULA TERREL, representing self, Juneau, Alaska, stated that she previously served on the Juneau Visitor Industry Task Force, which dealt almost exclusively with the cruise ship industry. However, she is speaking on her own behalf today, she said. This resolution supports the waiver exemption provisions of the Passenger Vessel Services Act, specifically from requiring foreign flagged vessels to stop in a non-USA port. Cruise ships destined for Alaska must stop in Canada, which has closed its ports until 2022. Although this resolution was the sponsor's attempt to help businesses that have suffered economic hardships from last year cruise ship season last year, it is not the solution. Under the waiver, foreign flagged cruise ships could travel in international waters and directly access Southeast Alaska. She was uncertain how many large cruise ships would take advantage of this opportunity since some cruise lines are not foreign flagged, such as Norwegian Cruise Lines. However, many residents, including herself, desire to limit the number of cruise ships and passengers visiting Southeast Alaska. MS. TERREL related that foreign flagged vessels are exempt from certain taxes and enjoy other financial benefits. She acknowledged that strict CDC guidelines would potentially minimize COVID-19 but she was unsure how safe communities would be. She urged members to seek options for supporting local businesses other than this this waiver. 2:35:54 PM KIMBERLY METCALFE, representing self, Juneau, Alaska, spoke in opposition to SJR 9 because she has concerns about the issues related to the foreign-flagged cruise ship industry. She specifically spoke against the waiver exemption provisions of the Passenger Vessel Services Act that requires foreign-flagged vessels to stop in a Canadian or other non-USA port. Last month, Transport Canada reported that Canada decided to extend the ban on cruise ship travel until February 28, 2022, because: Cruise vessels in Canadian waters pose a risk to our health care systems. The government of Canada will continue to evaluate the situation and make changes as necessary to ensure the health and safety of all Canadians. Should the COVID-19 pandemic sufficiently improve to allow resumption of these activities, the Minister of Transport has the ability to rescind the interim orders. MS METCALFE said this ban emphasizes that Canada puts its citizens first. COVID-19 provides an opportunity for SE Alaska to explore its relationship with the cruise industry, including effects on whales, crowding, and emergency services, she said. 2:39:08 PM RAY PRESTON, representing self, Juneau, Alaska, spoke in opposition to SJR 9 due to COVID-19 risks highlighted by CDC. He said SJR 9 ignored the risk to Alaskans by offering a waiver, yet Canada issued the ban to protect its citizens. He offered his view that this resolution ignored the pandemic in favor of revenue from the cruise industry. It also ignored the CDC [Centers for Disease Control and Prevention] guidelines. He quoted from the CDC's website: CDC recommends that all people avoid travel on cruise ships, including river cruises, worldwide. That's because the chance of getting COVID-19 on cruise ships is high since the virus appears to spread more easily between people in close quarters aboard ships. It is especially important that people with an increased risk of severe illness put off travel on cruise ships, including river cruises. MR. PRESTON concluded by stating that he hoped that this resolution would not pass. 2:41:22 PM KARLA HART, representing self, Juneau, Alaska, highlighted her concern that the cruise industry has more physical impact in Alaska but SJR 9 does not recommend any enforcement or fines. She related that she operated tourism businesses in Juneau for ten years. The cruise industry has the biggest voice and the most visitors yet it also has the greatest adverse impact on communities. She expressed concern that SJR 9 lumped cruise and other visitors together. She said, "Tourism does not equal cruise tourism. According to the 2016 Alaska Visitors Statistics Program (AVSP), visitors spend $2 billion in Alaska. However, cruise passengers only account for one-third of it. Further, SJR 9 urges the President of the United States to not take enforcement actions against cruise ships sailing to the state while the Canadian ports are closed to the cruise ships. She surmised that the sponsor likely intended this resolution to refer to the Passenger Vessel Services Act but it does not do so. She urged the committee to amend this language since the cruise industry has a long history of environmental violations. 2:44:12 PM SUSAN SCHRADER, representing self, Juneau, Alaska, acknowledged that local businesses catering to cruise ship passengers were severely hurt during the pandemic as were other businesses. She commended the City and Borough of Juneau (CBJ) for its COVID-19 mitigation and vaccination efforts. She referred to the sponsor statement that cited the CDC's stringent COVID-19 safety protocols for responsible cruising in American waters. However, she does not trust the foreign-flagged cruise industry to follow the protocols or any US law, she said. MS. SCHRADER suggested that the committee consider the cruise ships as huge assisted-living facilities with passengers congregating in bars, restaurants, and night clubs for over a week. She expressed concern that passengers pose risks for local residents, ports of call, and their home communities. She offered her view that any approval to stop in Alaska communities should be based on the best science available and reflect the will of the local residents. She offered her view that SJR 9 was badly misguided. 2:47:19 PM At ease 2:47:55 PM CHAIR MYERS reconvened the meeting. 2:47:59 PM SENATOR SHOWER related his understanding that people have concerns about COVID-19. However, testing standards can mitigate the effects to protect citizens. He offered his view that communities can take precautions to protect their citizens yet still allow cruise ships. He cautioned people that federal funding to communities will run out. He solicited solutions from testifiers that would allow people to work and for the state to have a viable economy. He pointed out that Alaska has been devastated by job losses and closed businesses due to COVID-19. 2:49:27 PM RORIE WATT, City Manager, City and Borough of Juneau (CBJ), Juneau, Alaska, spoke in support of SJR 9. He stated that not having ships in port last summer was devastating to Juneau. He stated that the city government, local businesses, and neighbors and friends were hurting. He pointed out that this issue was not limited to Juneau. The lack of the cruise ship industry in Alaska affects Southeast Alaska and Interior Alaska since many visitors disembark from cruise ships and travel throughout Alaska, he said. 2:50:26 PM KATIE BOTZ, representing self, Juneau, Alaska, said she respected what Senator Kiehl is trying to do by keeping tour businesses open. She characterized downtown Juneau as a ghost town last summer. She asked the committee to consider amending the resolution to enforce stricter CDC guidelines to protect residents. 2:52:40 PM CHRIS EICHENLAUB, representing self, Wasilla, Alaska, spoke in support of SJR 9 due to the economic benefits from the cruise industry throughout Alaska. In fact, he said he supports any bill that will open the state up and allow things to return to normal. He suggested that businesses could decide to stay closed if the owner has concerns about COVID-19. 2:54:51 PM VIKKI JO KENNEDY, representing self, Juneau, Alaska, agreed with the prior testifier that businesses could decide to stay closed if the owner has concerns about COVID-19. She cautioned against stopping the progress of business in Juneau or elsewhere in Alaska. 2:57:25 PM CHAIR MYERS closed public testimony on SJR 9. 2:57:39 PM SENATOR KIEHL, speaking as sponsor, said he appreciates the robust comments. He clarified that Congress has authority to waive the provisions of the Passenger Vessel Services Act and change federal laws. He pointed out that the CDC requirements included laboratory testing on board each cruise ship for passengers and crew and isolation for those who test positive to limit spread. The CDC included requirements for shoreside COVID- 19 testing for passengers and crew, including for crew changes. He said local port agreements provide local control and include shoreside health care providers. He offered his view that this was a rigorous and thorough approach to COVID-19 that will also allow the possibility of economic activity. He acknowledged that issues arise. However, nothing in SJR 9 affects local control. 3:01:05 PM CHAIR MYERS noted there were no amendments and solicited a motion. 3:01:19 PM SENATOR SHOWER moved to report SJR 9, work order 32-LS0503\B, from committee with individual recommendations and attached fiscal note(s). CHAIR MYERS found no objection and SJR 9 was reported from the Senate Transportation Standing Committee.