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As a bargain-basement cruise destination, Key West keeps growing in popularity.  Will Key West try to shed its bargain-basement image?  This article from the October 26 Key West Citizen:

Key West's cruise ship numbers continue to rise

BY TIMOTHY O'HARA

keysnews.com

KEY WEST -- The cruise ship industry may still be in its infancy here, but some fear it's taking over the small island town.

Over the past three years, the city has seen a steady increase in the number of cruise ships coming to town, with 323 in the 2000-01 fiscal year and 563 expected this fiscal year.

Earlier this month, city officials realized they had violated a 1993 resolution that limited the number of cruise ships coming to the city's busiest port, Pier B. Seven ships a week are allowed to dock there or anchor just off shore. But more have docked there a week in June and May and as many as 12 were scheduled to either dock or anchor near there next month. The scheduling problem has been corrected, Port Director Raymond Archer said.

Many residents and city officials want too see a system of checks and balances put in place to make sure the city, not the industry, determines the future of the business in Key West. Groups like Livable Old Town and Last Stand actively champion causes meant to control cruise ship growth. The city's recent push to conduct a cruise ship quality-of-life study came out of lawsuit settlement with Last Stand.

City Manager Julio Avael and Archer are working on plans to help ease tensions between cruise ship companies and residents and to allow the city to get a handle on the issue.

Future of fees

They recently returned from a meeting of the Florida Caribbean Cruise Association, where they talked about establishing a Caribbean-wide tariff for passengers, setting up a citizen-based task force in Key West to monitor the industry and create facilities to handle solid waste. They also discussed the city's proposal to increase disembarkment fees from $8 to $10. The increase will go into effect in January. Cruise ships will probably be hit with more fees later, to help cover the increasing costs of policing the ports.

Many cruise ship companies don't see the $2 increase as outrageous and will still dock at Key West marinas, which include Mallory Square, the Outer Mole Pier and Pier B behind the Hilton hotel. Cruise ship companies like Key West as a destination because their passengers get a Caribbean feel, but still have the safety of traveling in the United States, Archer said.

Avael and Archer plan to meet with cruise ship officials again Thursday to further discuss security costs and other issues.

With cruise ships beginning to make stops in Jacksonville, Tampa Bay and Mississippi, city officials don't want to regulate the cruise ship industry out of Key West. Roughly $3 million of the city's $33 million general fund operating budget comes from disembarkment fees.

Key West is not alone in the battle over fees. At the recent cruise ship meeting, cruise ship and port officials discussed raising fees to $20 a person in some sections of the Caribbean. The proposal was met with mixed reactions and the delegation could not come up with a with a solution, Avael said.

Avael and Archer would like to see a tariff that is the same throughout the Caribbean and Florida, to keep cruise ship companies from pitting cities against each other.

Some offer incentives

Ports in the Bahamas and Jamaica currently charge $15 per person. But the Bahamian government provides incentives that bring fees down to $7.50 per person if a cruise ship company can bring in a half million people a year. Jamaica gives incentives that drop fees to $8, Florida Caribbean Cruise Association President Michelle Paige said. Ports in Miami charge $5.50 and $4.50 in Cape Canaveral.

Alaskan ports charge $5 a head. A cruise ship watch dog group is pushing a ballot initiative that would set a $50 tax on all passengers who disembark at Alaskan ports. The measure would also require cruise ship companies to pay the government a percentage of gambling revenues, pay state corporate income tax and require permits for wastewater discharge. Alaska, unlike Florida, has state regulations guiding the cruise ships. Florida has letters of understanding with cruise ship companies.

"We have the strictest laws in the country and ours are still inadequate," said Gershon Cohen, who heads the Blue Water Network's Campaign to Safeguard America's water.

Blue Water officials have continued to push for stricter regulations of the cruise ship industry and say Florida's lack of state laws governing cruise ships is bad policy.

"We don't believe a lot the laws governing cruise ships are adequate," said Teri Shore, member of the Blue Water network. "Making laws voluntary means the cruise industry doesn't really have to comply. It gives states a false sense of security."

tohara@keysnews.com

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