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This Bill changes modifies the disclosure requirements created by the Cruise Ship Ballot Initiative which passed in August 2006.
Full Text:
HOUSE BILL NO. 217
"An Act relating to required onboard disclosures and displays about tours, flightseeing operations, other shoreside activities, and visitors bureaus; and providing for an effective date."
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:
Section 1. AS 45.50.474(b) is amended to read:
(b) A person or other entity aboard a cruise ship conducting or making a sale of tours, flightseeing operations, or other shoreside activities to be delivered by a vendor or other entity at a future port of call shall disclose, both orally and in writing,
(1) the amount of commission or percentage of the total sale retained or returned to the person making the sale; the [. THE] person or entity aboard a cruise ship making or attempting to make a sale of services or goods provided by a shoreside vendor shall disclose the address and telephone number of the shoreside vendor if asked by a consumer; or
(2) that an onboard sale is a paid promotion by a shoreside vendor and that other alternatives may be available at a port of call; in addition, the address, Internet website address, and telephone number of the visitors bureau at each future port of call [. ALL SUCH WRITTEN NOTICE OF DISCLOSURE] shall be prominently displayed in writing at the point of sale or otherwise disclosed in writing at the point of sale [IN A TYPE NOT LESS THAN 14-POINT TYPEFACE AND IN A CONTRASTING COLOR CALCULATED TO DRAW ATTENTION TO THE DISCLOSURE].
Sec. 2. AS 45.50.474 is amended by adding a new subsection to read: (e) A written notice of disclosure under (b)(1) or (2) of this section or a written display under (b)(2) of this section must be in a type that is not less than 14-point typeface and in a contrasting color calculated to draw attention to the disclosure.
Sec. 3. This Act takes effect immediately under AS 01.10.070(c).
HB 217 addresses important concerns Alaskan small businesses have about the disclosure section of the Cruise Ship Ballot Initiative. As written, the law requires disclosure of commission rates that tour operators pay to have their tours sold onboard the ships.
This poses a significant threat to Alaskan businesses that work with the cruise lines. The required disclosure exposes the price structures of these local businesses, which could lead to unfair price undercutting, with all Alaskan tourism businesses suffering as a result.
HB 217 offers an alternative that would allow a choice between disclosing commission rates (as under current law), or disclosing that the tours featured onboard a cruise ship pay for on board promotion and a statement reminding passengers that they are free to book alternative tours on their own along with information to help them do so.
The bill's sponsor, Representative Lindsey Holmes, is seeking letters, e-mails, and faxes in support of HB 217. Here's how to show your support:
- E-mail Representative Holmes:
Rep.Lindsey.Holmes@legis.state.ak.us
- Write Representative Holmes a letter:
Representative Lindsey Holmes
Alaska State Capitol - Room # 405
Juneau, AK 99801
- Send Representative Holmes a fax:
(907) 465-2137
ATIA strongly believes that the disclosure provisions of the Cruise Ship Ballot Initiative are among the worst parts of a bad ballot measure, This legislation, HB 217, corrects serious flaws in the law created by the over-broad ballot initiative and it provides consumers with useful information, but not proprietary information about individual Alaskan tour operators. We urge all our members to ask their Representatives to sign on as co-sponsors and to insure that this bill passes before the end of this session.
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