US Legislation Threatens Victoria Cruise IndustryTourism industry professionals in Victoria are concerned by news that several Alaskan senators and congressmen are seeking to pass legislation that could seriously impact the cruise ship industry in BC.
Currently, the US Passenger Vessel Services Act prohibits foreign-flagged vessels from travelling directly between two US ports. Because of this, many Alaskan cruises have to make a stop in Canada on their route between Washington and Alaska, contributing millions of dollars to the Canadian tourism industry in the process. This year, however, bills have been introduced to the US senate and congress that would allow cruise ships to bypass Canadian ports and travel directly to Alaska.
Under the PVSA, vessels are considered foreign-flagged unless they are US-flagged, US-built, US-owned and primarily US-crewed. Currently, almost all vessels in the major cruise lines running to Alaska are considered foreign-flagged.
In July, the Tribal Tourism Sovereignty Act was introduced to Congress by Congressman Don Young (R-AK). The bill would allow foreign-flagged vessels to stop at Alaskan ports owned by local indigenous Tribes or Alaska Native Corporations instead of foreign ports. In an op ed in The Vancouver Sun, Senator Young argued that his bill will “assist Alaska’s native communities in attracting investment and pursuing economic development.” On September 15, similar legislation was introduced to the senate by Senator Lisa Murkowski (R-AK), with support from Senator Dan Sullivan (R-AK) and Senator Mike Lee (R-UT). Rather than re-directing cruise traffic to Native communities, Senator Murkowski’s bill would simply exempt cruise ships carrying more than 1,000 passengers from the PVSA requirement. The bills come after a period of disagreement between the representatives from Alaska and the Canadian government.
In February 2020, the Government of Canada announced that foreign cruise ships and pleasure craft would not be allowed to stop in Canada due to concerns surrounding the spread of COVID-19. The ban was extended for a further year in February 2021, much to the chagrin of the delegates for Alaska. In a strongly-worded press release, Murakowski, Sullivan and Young called the decision “unacceptable” and accused Canadian Minister of Transport Omar Alghabra of acting without regard for the Alaska economy and “without so much as a courtesy conversation with the Alaska Delegation”.
In an attempt to salvage the 2021 cruise season for the struggling Alaskan tourist industry, the US senate passed the Alaska Tourism Recovery Act on May 24 of this year. The act temporarily exempted cruise ships from the requirement to stop in Canada between Washington State and Alaska. At the time, premier John Horgan dismissed the legislation as a “blip,” despite concerns expressed by The Association of Canadian Travel Agencies that the legislation could become permanent. Now that those concerns have proven to be well-founded, Premier Horgan is coming under fire for not taking the threat seriously enough.
This past July, the timeline of the cruise ship ban was revised to allow foreign vessels to return in November 2021, due to the improved public health outlook in Canada. However, the measure appears to have been too little, too late to placate the delegates from Alaska. “[W]e cannot allow such a vital portion of our economy to be held hostage by a foreign country” wrote Senator Young in the Vancouver Sun.
Currently the cruise industry is worth $143 million to the Victoria economy, Ian Robertson of the Greater Victoria Harbour Authority told The Times Colonist. Victoria would likely be hit harder by the impact of the new legislation than Vancouver, which is a home port from which cruises depart and arrive. In 2019, the cruise industry contributed $2.72 billion to the British Columbia economy and supported 17,384 jobs. The industry was devastated by the travel bans imposed in response to COVID-19, and industry advocates are concerned that, with the passing of the proposed legislation, it may never recover.
Premier John Horgan told The Globe and Mail that he was in discussions with the Canadian Ambassador to the US, Kristen Hillman. BC Minister of Tourism Rob Fleming also said he is working with industry leaders to raise awareness of the issue. At this point, however, it’s possible that the issue is out of Canadian hands altogether.
By Robin Smith, M.A., CCS
– Robin is a trade industry professional based in Victoria, BC.
Tourism industry professionals in Victoria are concerned by news that several Alaskan senators and congressmen are seeking to pass legislation that could seriously impact the cruise ship industry in BC.
Currently, the US Passenger Vessel Services Act prohibits foreign-flagged vessels from travelling directly between two US ports. Because of this, many Alaskan cruises have to make a stop in Canada on their route between Washington and Alaska, contributing millions of dollars to the Canadian tourism industry in the process. This year, however, bills have been introduced to the US senate and congress that would allow cruise ships to bypass Canadian ports and travel directly to Alaska.
Under the PVSA, vessels are considered foreign-flagged unless they are US-flagged, US-built, US-owned and primarily US-crewed. Currently, almost all vessels in the major cruise lines running to Alaska are considered foreign-flagged.
In July, the Tribal Tourism Sovereignty Act was introduced to Congress by Congressman Don Young (R-AK). The bill would allow foreign-flagged vessels to stop at Alaskan ports owned by local indigenous Tribes or Alaska Native Corporations instead of foreign ports. In an op ed in The Vancouver Sun, Senator Young argued that his bill will “assist Alaska’s native communities in attracting investment and pursuing economic development.” On September 15, similar legislation was introduced to the senate by Senator Lisa Murkowski (R-AK), with support from Senator Dan Sullivan (R-AK) and Senator Mike Lee (R-UT). Rather than re-directing cruise traffic to Native communities, Senator Murkowski’s bill would simply exempt cruise ships carrying more than 1,000 passengers from the PVSA requirement. The bills come after a period of disagreement between the representatives from Alaska and the Canadian government.
In February 2020, the Government of Canada announced that foreign cruise ships and pleasure craft would not be allowed to stop in Canada due to concerns surrounding the spread of COVID-19. The ban was extended for a further year in February 2021, much to the chagrin of the delegates for Alaska. In a strongly-worded press release, Murakowski, Sullivan and Young called the decision “unacceptable” and accused Canadian Minister of Transport Omar Alghabra of acting without regard for the Alaska economy and “without so much as a courtesy conversation with the Alaska Delegation”.
In an attempt to salvage the 2021 cruise season for the struggling Alaskan tourist industry, the US senate passed the Alaska Tourism Recovery Act on May 24 of this year. The act temporarily exempted cruise ships from the requirement to stop in Canada between Washington State and Alaska. At the time, premier John Horgan dismissed the legislation as a “blip,” despite concerns expressed by The Association of Canadian Travel Agencies that the legislation could become permanent. Now that those concerns have proven to be well-founded, Premier Horgan is coming under fire for not taking the threat seriously enough.
This past July, the timeline of the cruise ship ban was revised to allow foreign vessels to return in November 2021, due to the improved public health outlook in Canada. However, the measure appears to have been too little, too late to placate the delegates from Alaska. “[W]e cannot allow such a vital portion of our economy to be held hostage by a foreign country” wrote Senator Young in the Vancouver Sun.
Currently the cruise industry is worth $143 million to the Victoria economy, Ian Robertson of the Greater Victoria Harbour Authority told The Times Colonist. Victoria would likely be hit harder by the impact of the new legislation than Vancouver, which is a home port from which cruises depart and arrive. In 2019, the cruise industry contributed $2.72 billion to the British Columbia economy and supported 17,384 jobs. The industry was devastated by the travel bans imposed in response to COVID-19, and industry advocates are concerned that, with the passing of the proposed legislation, it may never recover.
Premier John Horgan told The Globe and Mail that he was in discussions with the Canadian Ambassador to the US, Kristen Hillman. BC Minister of Tourism Rob Fleming also said he is working with industry leaders to raise awareness of the issue. At this point, however, it’s possible that the issue is out of Canadian hands altogether.
By Robin Smith, M.A., CCS
– Robin is a trade industry professional based in Victoria, BC.
