Cruise Season Sets Sail

Charleston's cruise business is set for another strong year. Near the end of every winter, the Ports Authority announces its cruise calendar for the coming season. In 2000, nine different cruise lines will send ships to Charleston. Recognized companies such including Cunard, Carnival, Princess, Premier, Silverseas and Seabourn will offer both cruises leaving from Charleston, as well as stops in the Holy City. The 2000 season begins Friday with the 200-foot coastal cruise vessel NANTUCKET CLIPPER.

Already there are 26 cruise ship visits planned for this year, a strong sign after a record-breaking 1999 when 29,144 people on 30 vessels sailed from Charleston. Port and tourism officials are also encouraged by progress on efforts to loosen regulatory restrictions that have stymied Charleston's cruise business.

In the cruise industry there are basically two types of activities - embarkations and port calls. With a port-of-call, vessels make Charleston a part of their itineraries, allowing passengers to get off the ship to tour the area's many attractions, from shopping and sight-seeing to golf and water sports. With embarkations, passengers arrive in Charleston to board the ship to begin their cruise experience.

Local officials have been working together for several years to build the Port of Charleston cruise calendar, and their efforts are paying off. Port, tourism and airport officials are in Miami this week, touting Charleston as an ideal cruise destination for the industry.

The annual SeaTrade Cruise Shipping Convention attracts more than 900 exhibitors from 100 countries. The Charleston Area Convention and Visitors Bureau, the Charleston County Aviation Authority and the South Carolina State Ports Authority make the joint promotional trip. It is a fabulous opportunity to showcase the area diverse attractions. The coordinated effort proves to decision-makers in the cruise industry just how dedicated our community is to making their business in Charleston a success.

But it does not stop with the luring of new cruise business. When the vessels actually call, the Ports Authority and others on the waterfront seek to offer specialized service for making the visit a success. On the landside, the first people to greet passengers when they arrive are representatives of the CVB. Personal service, congeniality and attention to detail are not lost on the cruise operators or their passengers. This is another version of the "Southern Hospitality" that Charlestonians across the community exhibit that has allowed our area to achieve global recognition as a top travel destination.

The Passenger Terminal's location in the heart of one of the regions most popular and most visited cities certainly helps. Passengers are within walking distance of shopping, fine dining and entertainment. This proximity is a significant attraction to cruise operators. In addition, the Ports Authority recently made improvements to the Passenger Terminal including new carpeting, interior and exterior work and a new heating and cooling system.

With a strong spirit of cooperation, strategically located Passenger Terminal and its position as a tourism destination, the Charleston area should see its cruise business continue to grow in the future.

# # #

Year - # of vessels - Total Passengers

1999 - 30 - 29,144

1998 - 26 - 17,100

1997 - 13 - 6,209

1996 - 29 - 14,000

1995 - 27 -10,841

March 10 - NANTUCKET CLIPPER (New World Ship Mgmt.)

March 24 - NANTUCKET CLIPPER (New World Ship Mgmt.)

April 7 - NANTUCKET CLIPPER (New World Ship Mgmt.)

November 10 - NANTUCKET CLIPPER (New World Ship Mgmt.)

November 24 - NANTUCKET CLIPPER (New World Ship Mgmt.)

April 18 - NANTUCKET CLIPPER (New World Ship Mgmt.)

July 18- REGAL EMPRESS (Regal Cruises)

July 27- REMBRANDT BALTIMORE 2000 (Premier Cruise Lines)

July 28- CROWN PRINCESS (Princess Cruises)

August 13- SEABOURN SUN (Seabourn Cruises)

August 15 - REGAL EMPRESS (Regal Cruises)

September 26 - CLIPPER ADVENTURER (Cunard Line)

October 20- SILVER SHADOW (Silverseas Cruises)

October 22- SEABOURN PRIDE (Seabourn Cruises)

October 22- SILVER CLOUD (Silverseas Cruises)

October 26- CROWN PRINCESS (Princess Cruises)

October 30- NANTUCKET CLIPPER (New World Ship Mgmt.)

Monthly News Briefs

CRANE IMPROVEMENTS - Three contracts totaling $1.7 million were awarded yesterday to further improve the Port of Charleston's container crane infrastructure. At North Charleston Terminal, Foundation Specialist of Moncks Corner, SC will strengthen the supports under a 480-foot section of the waterside crane rail. At the Wando Welch Terminal, Proformance Group of Greenville, SC will construct electrical facilities for the four new super-post-panamax cranes ordered last year. Also related to the new cranes, D.M. Spears Construction of Goose Creek, SC will install storm tie-downs and service platforms.

CITY PUBLIC HEARING - The City of Charleston will hold a public hearing on the Ports Authority's proposed new terminal on Daniel Island in Charleston Harbor on Thursday, February 10, at 7 p.m. in Gaillard Auditorium. The SPA owns 1,300 acres for future terminal development and has requested permits to construct 12,000 feet of berthing space, a 660-acre container storage yard, road/rail access and other associated projects. Completion of the first phase is scheduled for 2005-2006.

SUPPORT GROUPS FORM - Two citizens' groups have formed in the last few days to support the new port facility on Daniel Island. "The Alliance for Port Progress" is an umbrella group representing various maritime and transportation organizations. A group of business and community leaders with no direct ties to the maritime community has formed "The Port Works for Everyone." Co-chairs represent various sectors of the economy, including finance, insurance, food service, tourism and construction.

HARBOR DEEPENING - Wednesday, the S.C. House Ways and Means Subcommittee approved a recommendation for $14 million to continue Charleston Harbor Deepening. The $159 million project will deepen the entrance channel from 42 to 47 feet, and the inner harbor channels from 40 to 45 feet. More than $100 million in projects have been awarded and the work is well underway, as construction began earlier last year.

YARD MANAGEMENT - To continue pilot testing and implementation of the new Yard Management System (YMS), the Ports Authority's Board approved a contract continuation with Communications Technology for Business. YMS is a real-time, radio frequency-based inventory management system that tracks containers as they move through the port link. The new work will
cover completion of the pilot phase and implementation.

RECORD YEAR FOR CONTAINERS - Port of Charleston container volume hit another all-time high in 1999. A total of 1.48 million 20-foot equivalent units moved across Charleston piers last year, up 16% from 1.27 million TEUs 1998.

BY THE NUMBERS

January 2000 vs. January 1999

Charleston Pier TEUs - 129,043 (up 21%)

Charleston Pier Breakbulk Tons - 27,302 (down 34%)

Georgetown Pier Tons - 88,618 (up 30%)

Port Royal Pier Tons - 11,352 (down 74%)

Vessel Calls - 172 (down 2%)

Feds Dismiss Gambling Boat Suit Against Port

Greenville, SC - A lawsuit filed by operators of the gambling boat TROPIC SEA against the State Ports Authority has been dismissed.

Norman D. Kline, administrative law judge for the Federal Maritime Commission (FMC), dismissed the suit against the State Ports Authority, citing lack of jurisdiction and a local ordinance that bans gambling boats.

In its motion to dismiss, The Ports Authority argued that the TROPIC SEA is not a cruise ship at all, but is classified as a ferry, cannot provide accommodations for all its passengers and has, as her primary purpose, gambling.

The Ports Authority has policy of not providing docking space to vessels whose primary purpose is gambling. The City of Charleston ordinance features similar language in banning the vessels.

In seeking dismissal, the Ports Authority argued that it is immune from suits by private parties in federal courts or before the FMC. The 11th Amendment to the Constitution provides States immunity from private suits in federal forums. In a previous unrelated case, the Fourth Circuit Court of Appeals found that the Ports Authority was an arm of the State of South Carolina.

The Ports Authority also cited the Johnson Act as evidence that Congress has reserved the matter of regulating gambling ships to the States. "The proper forum for the interpretation of South Carolina law in areas expressly reserved to the states is in a South Carolina state court," the Ports Authority said in its motion to dismiss.

South Carolina Maritime Services, the reported operator of the gambling boat TROPIC SEA anchored in Charleston Harbor, alleged that the Ports Authority discriminated against its vessel while allowing other cruise ships with gambling devices to dock. The TROPIC SEA's operators sought a cease and desist order plus money damages.

Judge Kline said in the decision that he could "find no reason to defer ruling on SCSPA's Motion" to dismiss and that the "complaint is dismissed on the basis of SCSPA's entitlement to immunity from private suits under the 11th Amendment to the Constitution and its related doctrine of State sovereign immunity from private suits."

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