[Congressional Record Volume 145, Number 76 (Tuesday, May 25, 1999)]
[Extensions of Remarks]
[Page E1075]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




RECOGNIZING THE CONTRIBUTIONS OF THE CRUISE LINE INDUSTRY IN ALASKA AND 
                           THE UNITED STATES

                                 ______
                                 

                             HON. DON YOUNG

                               of alaska

                    in the house of representatives

                         Tuesday, May 25, 1999

  Mr. YOUNG of Alaska. Mr. Speaker, today I rise to address an issue 
that is very critical to the constituents of my home State of Alaska. 
The issue I wish to speak about is the significant contribution which 
the cruise line industry has made to the great State of Alaska and this 
country.
  Alaska is a State where the land mass is larger than all of the 
Northeastern and Great Lakes States put together. Approximately 600,000 
Americans live there. Many Americans have heard of Alaska and have some 
image of its wildness but fewer than 10 percent of Americans have ever 
visited. Nonetheless, the opportunity for Americans to visit this great 
state has increased tenfold with the presence of the cruise industry. 
Furthermore, the economic benefits that the cruise lines bring have 
greatly impacted Alaska.
  Recently, Price Waterhouse Coopers (PwC) and Wharton Econometric 
Forecasting Associates concluded a Study on the Economic Impact of the 
Cruise Industry on the U.S. economy. This study reveals that the cruise 
industry spent $6.6 billion in the United States in 1997, and generated 
an additional $5 billion of impact on the economy. In the United States 
alone, the cruise lines purchased $1.8 billion in transportation from 
airlines, $794 million in fuel and lubricants, $626 million in business 
services, $1 billion in financial services, and $600 million in food 
and beverage supplies. In the State of Alaska in 1998, the cruise 
industry spent with Alaskan business and service providers 
$363,274,000. These statistics are significant and make clear that the 
cruise industry has benefited both the state of Alaska and our Nation.
  This study also reveals that the cruise industry created 176,433 jobs 
for U.S. citizens in 1997. These jobs included direct employment by the 
industry and jobs attributable to the U.S. based cruise line suppliers 
and industry partners. Through its annual growth of 6-10 percent, the 
industry is responsible for thousands of new jobs every year for 
Americans. The cruise industry is the single largest direct employer in 
the maritime sector of the United States. In my State of Alaska in 
1998, the cruise industry was responsible for the employment of 17,189 
Alaskans. That is 3 percent of the population of our State.
  Another issue that I wish to address is the matter regarding Federal 
and State taxation of the cruise industry. Some critics state that the 
cruise industry does not pay federal and state taxes in the United 
States. This statement is false. In fact the recently completed study 
revealed that the industry pays millions of dollars in taxes each year. 
In 1997, the cruise industry paid over $1 billion in Federal, State, 
and local taxes in the United States.
  Mr. Speaker, I rise today to speak to the contributions made by the 
cruise industry to our great Nation. The benefits have been abundant, 
both throughout this nation and in my home State, Alaska. In view of 
the many contributions, I wish to acknowledge the vital role which the 
cruise industry plays in sustaining the economy and the maritime sector 
of this country.

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