00 SENATE BILL NO. 312 01 "An Act providing for a reduction in the excise tax to $34.50 for a passenger for each 02 voyage on a commercial passenger vessel; providing for a reduction in the state excise 03 tax imposed on a passenger on a commercial passenger vessel by the amount of tax on a 04 passenger traveling on a commercial passenger vessel imposed by a municipality that 05 does not elect to receive an appropriation of a portion of the proceeds from the state tax; 06 authorizing an appropriation from the proceeds from the excise tax imposed on a 07 passenger on a commercial passenger vessel for state-owned infrastructure to properly 08 provide for commercial vessel or passenger visits; requiring a municipality receiving 09 funds appropriated from the excise tax imposed on a passenger on a commercial 10 passenger vessel to use the funds to improve port and harbor facilities and other services 11 and infrastructure to properly provide for commercial passenger vessel or passenger 12 visits; limiting the reduction for the excise tax imposed by a municipality on a passenger 01 on a commercial passenger vessel to $17.25 a passenger for each voyage; requiring the 02 Department of Commerce, Community, and Economic Development to prepare and 03 submit a report on the needs of communities to safely and efficiently host passengers 04 subject to the state tax imposed on a passenger on a commercial passenger vessel, and to 05 summarize the extent to which appropriations from the state tax have been used to 06 defray the costs of meeting those needs; eliminating the authority to appropriate funds 07 received from the excise tax imposed on a passenger on a commercial passenger vessel to 08 an area of the state that is not one of the first five ports of call in the state for a 09 commercial passenger vessel carrying a passenger subject to the state excise tax imposed 10 on a passenger of that vessel; and providing for an effective date." 11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 12 * Section 1. AS 43.52.200 is amended to read: 13 Sec. 43.52.200. Levy of excise tax on overnight accommodations on 14 commercial passenger vessels. There is imposed an excise tax on passengers 15 traveling [TRAVEL] on commercial passenger vessels providing overnight 16 accommodations that anchor or moor on [IN] the state's marine water with the 17 intent to allow passengers to embark or disembark. 18 * Sec. 2. AS 43.52.210 is amended to read: 19 Sec. 43.52.210. Rate of tax. The tax imposed by AS 43.52.200 - 43.52.295 is 20 levied at a rate of $34.50 for [$46] a passenger for each [PER] voyage. 21 * Sec. 3. AS 43.52.230(a) is amended to read: 22 (a) The proceeds from the tax imposed under AS 43.52.200 - 43.52.295 [ON 23 TRAVEL ON COMMERCIAL PASSENGER VESSELS PROVIDING 24 OVERNIGHT ACCOMMODATIONS IN THE STATE'S MARINE WATER] shall 25 be deposited in a special "commercial vessel passenger tax account" in the general 26 fund. The legislature may appropriate money from this account for the purposes 27 described in (b) [AND (c)] of this section, for state-owned port and harbor facilities, 01 other services and infrastructure to properly provide for commercial passenger 02 vessel or passenger [WATERCRAFT] visits, to enhance the safety and efficiency of 03 interstate and foreign commerce, and such other lawful purposes as determined by the 04 legislature. 05 * Sec. 4. AS 43.52.230(b) is amended to read: 06 (b) For each voyage of a commercial passenger vessel providing overnight 07 accommodations, the commissioner shall identify the first five ports of call in the state 08 and the number of passengers on board the vessel at each port of call. Subject to 09 appropriation by the legislature, the commissioner shall distribute to each port of call 10 $5 for each [PER] passenger of the tax revenue collected from the tax imposed 11 [LEVIED] under AS 43.52.200 - 43.52.295. If the port of call is a city located within a 12 borough not otherwise unified with the borough, the commissioner shall, subject to 13 appropriation by the legislature, distribute $2.50 for each [PER] passenger to the city 14 and $2.50 to the borough. Each port of call receiving funds under this section shall use 15 the funds [IN A MANNER CALCULATED] to improve port and harbor facilities and 16 other services and infrastructure to properly provide for commercial passenger 17 vessel or passenger [WATERCRAFT] visits and to enhance the safety and efficiency 18 of interstate and foreign commerce. 19 * Sec. 5. AS 43.52.250 is amended by adding new subsections to read: 20 (b) The tax imposed by AS 43.52.200 - 43.52.295 shall be reduced by the total 21 amount of a tax on a passenger traveling on a commercial passenger vessel imposed 22 on the passenger by a municipality. 23 (c) The tax reduction under (b) of this subsection 24 (1) applies only to taxes imposed by a municipality that did not elect to 25 receive funds under AS 43.52.200 - 43.52.295 by December 17, 2007; and 26 (2) may not exceed 50 percent of the tax rate imposed under 27 AS 43.52.210. 28 * Sec. 6. AS 43.52 is amended to add a new section to read: 29 Sec. 43.52.260. Periodic report. The Department of Commerce, Community, 30 and Economic Development shall, every three years, prepare and submit to the 31 governor, the legislature, and the public a report that 01 (1) addresses the projected needs of communities to safely and 02 efficiently host passengers that pay taxes under AS 43.52.200 - 43.52.295; and 03 (2) summarizes the extent to which appropriations of the proceeds of 04 the tax have been used to defray the cost of meeting the needs described in (1) of this 05 subsection. 06 * Sec. 7. AS 43.52.295(4) is amended to read: 07 (4) "voyage" means any trip or itinerary lasting more than 72 hours on 08 the state's marine water. 09 * Sec. 8. AS 43.52.230(c) is repealed. 10 * Sec. 9. This Act takes effect immediately under AS 01.10.070(c).