04/29/1998 03:22 PM House L&C

HB 298 - RENEW LIQUOR LICENSE FROM BANKRUPTCY CT                               
                                                                               
Number 0001                                                                    
                                                                               
CHAIRMAN ROKEBERG announced the committee's first order of business            
was HB 298, "An Act relating to denial of renewal of a liquor                  
license; and providing for an effective date."                                 
                                                                               
Number 0013                                                                    
                                                                               
REPRESENTATIVE MARK HODGINS came forward to present HB 298.  He                
said because of the time that the bill has sat in committee and the            
advent of not getting it through the system, he is planning on                 
pulling the legislation after giving a few remarks.  Representative            
Hodgins said what he is basically doing with this bill is trying to            
get the Alcoholic Beverage Control Board (ABC Board) to possibly               
examine some of its regulations.  One of those regulations he finds            
objectionable is that the applicant must operate a liquor license              
for 30 days a year or "shut it in."  He said he has relayed the                
problems he has with that to the board, but there are other areas              
of the board he would like to look at.  The one expressed in this              
bill are licenses that come up under bankruptcies.  Representative             
Hodgins stated he intended to work with the ABC Board through the              
interim and if there were not sufficient remedies to some of the               
problems he sees then he would put in some legislation for the next            
year.  He said, "With that, Mr. Chairman, I would ask that HB 298              
just sit a silent demise until the end of the session, and thank               
you very much for your time."  The sponsor statement read:                     
                                                                               
     This legislation amends AS 04.11.330(a) by adding the                     
     provision that a license may be renewed if the applicant                  
     has not previously operated the licensed premises and the                 
     applicant has acquired the right to apply for the license                 
     in United States Bankruptcy Court.                                        
                                                                               
     This right shall apply for only seven (7) years after the                 
     first renewal date and the license renewal under this                     
     subsection shall equal one-half (1/2) of the applicable                   
     biennial license fee.  Retroactive to July 1, 1995.                       
                                                                               
Number 0027                                                                    
                                                                               
CHAIRMAN ROKEBERG stated the committee would abide by                          
Representative Hodgins' wishes and recommended he seek a consensus             
with the ABC Board and members of the industry.                                
                                                                               
[HB 298 WAS HELD IN COMMITTEE]