00                             HOUSE BILL NO. 239                                                                          
01 "An Act establishing a state lottery; providing for participation in multi-state lotteries;                             
02 establishing the Alaska State Lottery Board in the Department of Revenue; relating to                                   
03 confidentiality of information regarding lottery winners; requiring background                                          
04 investigations by the Department of Public Safety; and providing for an effective date."                                
05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
06    * Section 1. AS 05 is amended by adding a new chapter to read:                                                     
07                        Chapter 18. State Lotteries.                                                                   
08                         Article 1. Administration.                                                                    
09            Sec. 05.18.010. Creation and membership of board. (a) The Alaska State                                     
10 Lottery Board is established in the Department of Revenue for the purpose of                                            
11 generating revenue for the state by conducting a state lottery and facilitating                                         
12 participation in multi-state lotteries. The board consists of five members appointed by                                 
13 the governor and confirmed by a majority of the members of the legislature in joint                                     
14 session. One member shall be appointed from each of the four judicial districts of the                                  
01 state. The fifth member shall be an at-large member. The board shall select a chair                                     
02       from among its members.                                                                                           
03 (b)  Members of the board serve staggered terms of three years. Except as                                               
04 provided in AS 39.05.080(4), a member of the board serves at the pleasure of the                                        
05 governor or until a successor is appointed. A vacancy occurring in the membership of                                    
06 the board shall be filled within 30 days by appointment of the governor for the                                         
07 unexpired portion of the vacated term. A member who has served all or part of three                                     
08 successive terms on the board may not be reappointed to the board unless three years                                    
09       have elapsed since the person has last served on the board.                                                       
10 (c)  Members of the board do not receive a salary but are entitled to per diem                                          
11       and travel expenses authorized for boards and commissions under AS 39.20.180.                                     
12 (d)  A member of the board may not have a pecuniary interest in a contract or                                           
13       agreement entered into by the board or the director.                                                              
14            (e)  A person may not serve as a member of the board if that person                                          
15                 (1)  has been convicted of                                                                              
16                      (A)  a felony; or                                                                                  
17 (B)  an offense under this chapter, AS 11.66.200 - 11.66.280, or                                                        
18            a comparable provision of municipal, state, or federal law;                                                  
19                 (2)  holds a license, permit, or registration under AS 05.15; or                                        
20 (3)  is an elected official of the state or of a political subdivision of the                                           
21       state.                                                                                                            
22 (f)  A person may not serve as a member of the board until the investigation                                            
23       required under AS 18.65.080(b) is completed.                                                                      
24 (g)  Three members of the board constitute a quorum for the transaction of                                              
25       business.                                                                                                         
26 Sec. 05.18.020. Meetings. (a) The board shall meet at least quarterly at the call                                     
27 of the chair, at the request of a majority of the members, or at a regularly scheduled                                  
28       time set by the board.                                                                                            
29 (b)  An action of the board is not binding unless taken at a meeting where three                                        
30       or more of the members are present and vote in favor of the action.                                               
31            Sec. 05.18.030. Duties and powers of board. (a) The board shall                                            
01                 (1)  enter into contracts and agreements necessary to carry out the                                     
02       provisions of this chapter;                                                                                       
03                 (2)  adopt regulations necessary to implement this chapter;                                             
04                 (3)  report to the governor and the legislature all state lottery revenue,                              
05       multi-state lottery revenue, prize disbursement, and other expenses;                                              
06 (4)  report to the governor and the legislature as frequently as the board                                              
07 determines necessary on conclusions from the analysis of the reaction of state                                          
08 residents to the state and multi-state lotteries, and on matters that require changes in                                
09 state law to prevent violations or evasions of this chapter or to correct undesirable                                   
10 conditions in connection with the operation or administration of the state or multi-state                               
11       lotteries;                                                                                                        
12 (5)  monitor the operation of the state and multi-state lotteries                                                       
13       throughout the state;                                                                                             
14 (6)  study and investigate the operation and administration of the state                                                
15 and multi-state lottery laws of other states and of federal laws that affect multi-state                                
16       lotteries;                                                                                                        
17                 (7)  conduct the state lottery; and                                                                     
18                 (8)  facilitate participation in multi-state lotteries.                                                 
19 (b)  The board shall deliver the reports required under (a) of this section to the                                      
20 senate secretary and the chief clerk of the house of representatives and notify the                                     
21       legislature that the reports are available.                                                                       
22 Sec. 05.18.040. Regulations. The board shall adopt regulations under                                                  
23       AS 44.62 (Administrative Procedure Act) to establish                                                              
24 (1)  the manner of conducting the state and multi-state lotteries and                                                   
25       awarding prizes;                                                                                                  
26                 (2)  the procedures for contracting with persons to be agents;                                          
27 (3)  the manner in which and amount of compensation agents are to be                                                    
28       paid;                                                                                                             
29 (4)  other matters necessary or desirable to carry out this chapter, to                                                 
30 operate the state and multi-state lotteries efficiently and economically, and to make the                               
31 purchase of state and multi-state lottery tickets and the distribution of prizes                                        
01       convenient.                                                                                                       
02 Sec. 05.18.050. Executive director and employees. (a) The board shall                                                 
03 employ an executive director who is qualified by training and experience to conduct                                     
04 the day-to-day work of the board. The director may not engage in another profession                                     
05       or occupation.                                                                                                    
06 (b)  Subject to the approval of the board, the director may appoint deputies as                                         
07 required to carry out the functions and duties of the board. The director may appoint                                   
08 professional, technical, and clerical employees necessary to perform the duties of the                                  
09       board.                                                                                                            
10 (c)  The director and other employees of the board are in the exempt service                                            
11       under AS 39.25.110.                                                                                               
12 (d)  The board may not employ a person who has been convicted, including                                                
13 conviction based on a guilty plea or plea of nolo contendere, of an offense listed in                                   
14       AS 05.18.010(e)(1).                                                                                               
15 (e)  A person may not serve as director until the investigation required under                                          
16       AS 18.65.080(b) is completed.                                                                                   
17            Sec. 05.18.060. Duties of director. The director shall                                                     
18 (1)  supervise the operation and administration of the state and multi-                                                 
19       state lotteries;                                                                                                  
20                 (2)  act as secretary to the board;                                                                     
21                 (3)  contract with agents to sell lottery tickets;                                                      
22 (4)  meet at least quarterly with the board on the operation and                                                        
23       administration of the state and multi-state lotteries;                                                            
24 (5)  make available for inspection by the board, upon request, all books,                                               
25       records, files, and other information and documents of the board;                                                 
26 (6)  advise the board and make recommendations to improve the                                                           
27       operation and administration of the state and multi-state lotteries;                                              
28 (7)  suspend or revoke a contract issued under this chapter for a                                                       
29       violation of this chapter or the regulations adopted under this chapter;                                          
30 (8)  subject to the approval of the board, enter into contracts for the                                                 
31 operation and administration of the state and multi-state lotteries, except that agent                                  
01       contracts are not subject to the approval of the board; and                                                       
02                 (9)  every six months, provide to the board a full and complete                                         
03       statement of all state and multi-state lottery revenue, prize disbursements, and other                            
04       expenses for the preceding period.                                                                                
05 Sec. 05.18.070. Subpoenas. (a) The director or the board may subpoena                                                 
06 witnesses and documents in a matter over which the board has jurisdiction, control, or                                  
07 supervision. The director or the board may administer oaths and affirmations to                                         
08       persons whose testimony is required.                                                                              
09            (b)  If a person fails to obey a subpoena, or if a person refuses to answer a                                
10 relevant question or exhibit a document when ordered to do so by the director or the                                    
11 board, the director or the board may apply to the superior court for an order directing                                 
12 the person to comply with the subpoena or the order. The court may order the person                                     
13       to comply.                                                                                                        
14                    Article 2. Lottery Retail Sales Agents.                                                            
15 Sec. 05.18.100. Lottery retail sales agents. (a) The director may enter into a                                        
16 contract on behalf of the board with a person who is qualified under AS 05.18.110 to                                    
17       be a lottery retail sales agent.                                                                                  
18 (b)  An agent may sell lottery tickets and hire employees to sell lottery tickets                                       
19       under the agent's supervision.                                                                                    
20 Sec. 05.18.110. Qualifications for agent contracts. (a) A person who wishes                                           
21 to contract with the director to be an agent shall apply on a form provided by the                                      
22 board. The director shall charge the applicant a fee to cover the costs of processing the                               
23 application and checking the background of the applicant. The applicant shall submit                                    
24 to the board, with the application, the applicant's fingerprints and the fees required by                               
25 the Department of Public Safety under AS 12.62.160 for criminal justice information                                     
26 and a national criminal history record check under AS 12.62.400. The Department of                                      
27 Public Safety may submit the fingerprints to the Federal Bureau of Investigation for a                                  
28 national criminal history record check. The director shall use the information obtained                                 
29       under this subsection when determining an applicant's qualification to be an agent.                               
30 (b)  Before contracting with an applicant to be an agent, the director shall                                            
31       consider                                                                                                          
01                 (1)  the financial responsibility and security of the applicant and the                                 
02       applicant's business or activity;                                                                                 
03                 (2)  the accessibility of the applicant's place of business or activity to                              
04       the public;                                                                                                       
05                 (3)  the ability of the applicant to promote the retail sale of lottery                                 
06       tickets;                                                                                                          
07                 (4)  the sufficiency of existing agent contracts to serve the public                                    
08       convenience;                                                                                                      
09                 (5)  the volume of expected sales; and                                                                  
10                 (6)  other factors the director determines are relevant.                                                
11 (c)  The director may not contract with an applicant to be an agent if the                                              
12       applicant                                                                                                         
13                 (1)  would be engaged in business exclusively as an agent;                                              
14                 (2)  is an individual under 18 years of age; or                                                         
15 (3)  has been convicted, including conviction based on a guilty plea or                                                 
16       plea of nolo contendere, of an offense listed in AS 05.18.010(e)(1).                                              
17 (d)  The director may contract with an agent for a term of not more than two                                            
18       years, but may renew the contract.                                                                                
19 Sec. 05.18.120. Revocation or suspension of agent contracts. (a) The                                                  
20 director shall, after a hearing, suspend or cancel the contract of an agent who violates                                
21       AS 05.18.320.                                                                                                     
22 (b)  The director may, after a hearing, suspend or cancel the contract of an                                            
23 agent who violates a regulation adopted under this chapter or a provision of this                                       
24       chapter other than AS 05.18.320.                                                                                  
25 (c)  The director shall conduct proceedings to suspend or cancel an agent                                               
26       contract under AS 44.62 (Administrative Procedure Act).                                                           
27 Sec. 05.18.130. Deposit and reporting of receipts. (a) Each agent shall                                               
28 deposit to the credit of the state in a bank designated by the director all money                                       
29       received by the agent from the sale of lottery tickets.                                                           
30 (b)  Each agent shall file with the director on a form provided by the board a                                          
31       weekly report of the receipts and transactions related to the sale of lottery tickets.                            
01            (c)  The director shall impose a service charge on an agent if the payor bank                                
02       dishonors                                                                                                         
03                 (1)  a check that is deposited to the credit of the state by the agent; or                              
04                 (2)  an electronic transfer of funds to the state lottery fund established                              
05       in AS 05.18.300 from the account of the agent for money received from the sale of                                 
06       lottery tickets.                                                                                                  
07            (d)  The director may charge an agent interest on money that is not paid to the                              
08       state within 10 days after the due date and may impose an additional service charge in                            
09       an amount to cover administrative costs if the debt is referred for collection.                                   
10 (e)  The amount, including any interest or service charge, owed to the board by                                         
11 an agent is a lien on the property of the agent at the time that the board files a claim of                             
12 lien in the recorder's office of the recording district of the principal place of business                              
13       of the agent.                                                                                                     
14 Sec. 05.18.140. Bond. (a) Each applicant for an agent contract shall, at the                                          
15 time of application under AS 05.18.110, file with the board and maintain during the                                     
16 term of the agent contract a bond running to the state with a corporate surety qualified                                
17       to do business in the state. The board shall determine the amount of the bond.                                    
18 (b)  The bond required by this section remains in effect until cancelled by                                             
19       action of the surety, the principal, or the board.                                                                
20 (c)  The state or another person may not bring an action on the bond if more                                            
21       than three years have elapsed since its cancellation.                                                             
22                    Article 3. Types of Games and Prizes.                                                              
23 Sec. 05.18.200. Types of lotteries. Under this chapter, the board may conduct                                         
24 a state lottery and facilitate participation in a multi-state lottery. The board may not                                
25 conduct or authorize instant lotteries, scratch-off ticket games, video lottery terminals,                              
26 or any other electronic game involving direct physical contact between the player and                                   
27       a machine.                                                                                                        
28 Sec. 05.18.210. Assignment of prizes. A person may not assign a right to a                                            
29 prize. However, a prize may be paid to a person other than the prize winner under a                                     
30 court order or to the estate of a deceased prize winner. The state is discharged of all                                 
31       further liability when a prize has been paid under this section.                                                  
01 Sec. 05.18.220. Unclaimed prize money. The director shall retain unclaimed                                            
02 prize money for the person entitled to the prize money for one year after the prize is                                  
03 awarded. If the winner does not claim the prize money within the year, the board shall                                  
04       return the money and accrued interest to the state lottery fund.                                                  
05 Sec. 05.18.230. Confidential payment of prizes. (a) Except as provided in (b)                                         
06 of this section, the board shall, upon request by a person entitled to a prize of $500,000                              
07 or more, treat as confidential and not subject to public disclosure under AS 40.25 the                                  
08       person's records and information on file with the board.                                                          
09 (b)  A person entitled to a prize may not remain confidential under (a) of this                                         
10       section if the person is an elected official.                                                                     
11 (c)  In this section, "elected official" means a person who holds an elected                                            
12       office of a governmental body, whether elected or appointed to the office.                                        
13                     Article 4. Miscellaneous Provisions.                                                              
14 Sec. 05.18.300. State lottery fund and appropriations. The state lottery fund                                         
15 is created in the general fund. The state lottery fund consists of all revenue received                                 
16 from the sale of lottery tickets and all other money credited or transferred to the fund                                
17       from another fund or source.                                                                                      
18 Sec. 05.18.310. Audit. The board shall have a certified public accountant                                             
19 perform an audit of the books and accounts of the board at least once a year. The                                       
20 board may have special audits performed at any time on its own motion or at the                                         
21 request of the director. The board shall file a copy of each audit with the commissioner                                
22 of revenue and submit the audit to the senate secretary and chief clerk of the house of                                 
23 representatives on or before February 15 of each year and notify the legislature that                                   
24       the audit is available.                                                                                           
25            Sec. 05.18.320. Prohibited acts. (a) A person may not                                                      
26 (1)  knowingly act as an agent or sell a lottery ticket unless the person                                               
27 has a contract to be an agent under AS 05.18.100 or is an employee of an agent and                                      
28       sells lottery tickets under the supervision of the agent;                                                         
29 (2)  knowingly sell a lottery ticket at a price greater than that fixed by                                              
30       the board;                                                                                                        
31 (3)  knowingly sell or offer to sell a lottery ticket to a person under 18                                              
01       years of age;                                                                                                     
02                 (4)  knowingly present a counterfeit or altered lottery ticket for                                      
03       collection of prize money or transfer a counterfeit or altered lottery ticket to another                          
04       person to present for collection of prize money;                                                                  
05                 (5)  with intent to defraud, falsely make, alter, forge, utter, pass, or                                
06       counterfeit a lottery ticket; or                                                                                  
07                 (6)  impersonate a lottery representative.                                                              
08            (b)  A lottery retail sales agent, the governor, or an officer, employee, or                                 
09       contractor of the board or the Office of the Governor may not purchase a lottery ticket                           
10       or receive a lottery prize.                                                                                       
11            (c)  An agent may not knowingly withhold funds owed to the board.                                            
12            (d)  In this section, "knowingly" has the meaning given in AS 11.81.900.                                     
13 Sec. 05.18.330. Assignment of contracts. A person that enters into a contract                                         
14       under this chapter may not assign the contract without the approval of the board.                                 
15 Sec. 05.18.340. Penalty. A person that violates AS 05.18.130, 05.18.140,                                              
16 05.18.210, 05.18.320, or 05.18.330 is guilty of a class C felony punishable as provided                                 
17       in AS 12.55.                                                                                                      
18 Sec. 05.18.350. Statement of odds. Each lottery ticket must indicate the odds                                         
19       of winning a prize in the particular lottery game represented by the lottery ticket.                              
20 Sec. 05.18.360. Applicability of other laws. Other laws regarding the sale of                                         
21 lottery tickets or the administration of a lottery do not apply to the sale of lottery                                  
22       tickets under this chapter.                                                                                       
23                       Article 5. General Provisions.                                                                  
24 Sec. 05.18.900. Definitions. In this chapter, unless the context requires                                             
25       otherwise,                                                                                                        
26 (1)  "agent" means a person who has contracted with the director to be                                                  
27       a lottery retail sales agent under this chapter;                                                                  
28 (2)  "agent contract" means a contract under AS 05.18.100 between the                                                   
29       state and a person for the person to be an agent;                                                                 
30                 (3)  "board" means the Alaska State Lottery Board;                                                      
31                 (4)  "director" means the executive director of the board;                                              
01                 (5)  "lottery" means a state lottery or multi-state lottery operated under                              
02       this chapter;                                                                                                     
03                 (6)  "lottery ticket" means a ticket, receipt, card, or other item received                             
04       by a person from an agent or an employee of an agent as evidence of participation in a                            
05       lottery;                                                                                                          
06                 (7)  "operation and administration" includes accounting, sales,                                         
07       promotion, and security;                                                                                          
08                 (8)  "person" has the meaning given in AS 01.10.060 and also includes                                   
09       an estate, receiver, trustee, assignee, referee, or other person acting in a fiduciary or                         
10 representative capacity, whether appointed by a court or otherwise, and a department,                                   
11 commission, agency, or instrumentality of the state, including a municipality and an                                    
12       agency or instrumentality of a municipality.                                                                      
13    * Sec. 2. AS 11.66.280(3) is amended to read:                                                                      
14 (3)  "gambling" means that a person stakes or risks something of value                                                  
15 upon the outcome of a contest of chance or a future contingent event not under the                                      
16 person's control or influence, upon an agreement or understanding that that person or                                   
17 someone else will receive something of value in the event of a certain outcome;                                         
18       "gambling" does not include                                                                                       
19 (A)  bona fide business transactions valid under the law of                                                             
20 contracts for the purchase or sale at a future date of securities or commodities                                        
21 and agreements to compensate for loss caused by the happening of chance,                                                
22 including contracts of indemnity or guaranty and life, health, or accident                                              
23            insurance;                                                                                                   
24                      (B)  playing an amusement device that                                                              
25 (i)  confers only an immediate right of replay not                                                                      
26 exchangeable for something of value other than the privilege of                                                         
27 immediate replay and does not contain a method or device by which the                                                   
28                 privilege of immediate replay may be cancelled or revoked;                                              
29 (ii)  confers only tickets, credits, allowances, tokens, or                                                             
30 anything of value that can be redeemed for toys, candy, or electronic                                                   
31 novelties offered at the same facility where the amusement device is                                                    
01                 located; or                                                                                             
02                           (iii)  allows a player to manipulate a claw machine or                                        
03                 similar device within an enclosure and enables a person to receive                                      
04                 merchandise directly from the machine;                                                                  
05                      (C)  an activity authorized by the Department of Revenue under                                     
06            AS 05.15 or AS 05.18; or                                                                                 
07                      (D)  the permanent fund dividend raffle authorized under                                           
08            AS 43.23.230;                                                                                                
09    * Sec. 3. AS 12.62.400(a) is amended to read:                                                                      
10 (a)  To obtain a national criminal history record check for determining a                                               
11 person's qualifications for a license, permit, registration, employment, or position, a                                 
12 person shall submit the person's fingerprints to the department with the fee established                                
13 by AS 12.62.160. The department may submit the fingerprints to the Federal Bureau                                       
14 of Investigation to obtain a national criminal history record check of the person for the                               
15       purpose of evaluating a person's qualifications for                                                               
16 (1)  a license or conditional contractor's permit to manufacture, sell,                                                 
17 offer for sale, possess for sale or barter, traffic in, or barter an alcoholic beverage                                 
18       under AS 04.11;                                                                                                   
19 (2)  licensure as a mortgage lender, a mortgage broker, or a mortgage                                                   
20       loan originator under AS 06.60;                                                                                   
21                 (3)  admission to the Alaska Bar Association under AS 08.08;                                            
22                 (4)  licensure as a collection agency operator under AS 08.24;                                          
23                 (5)  a certificate of fitness to handle explosives under AS 08.52;                                      
24                 (6)  licensure as a massage therapist under AS 08.61;                                                   
25 (7)  licensure to practice nursing or certification as a nurse aide under                                               
26       AS 08.68;                                                                                                         
27                 (8)  certification as a real estate appraiser under as 08.87;                                           
28 (9)  a position involving supervisory or disciplinary power over a minor                                                
29 or dependent adult for which criminal justice information may be released under                                         
30       AS 12.62.160(b)(9);                                                                                               
31                 (10)  a teacher certificate under AS 14.20;                                                             
01                 (11)  a registration or license to operate a marijuana establishment                                    
02       under AS 17.38;                                                                                                   
03                 (12)  admittance to a police training program under AS 18.65.230 or for                                 
04       certification as a police officer under AS 18.65.240 if that person's prospective                                 
05       employer does not have access to a criminal justice information system;                                           
06                 (13)  licensure as a security guard under AS 18.65.400 - 18.65.490;                                     
07                 (14)  a concealed handgun permit under AS 18.65.700 - 18.65.790;                                        
08                 (15)  licensure as an insurance producer, managing general agent,                                       
09       reinsurance intermediary broker, reinsurance intermediary manager, surplus lines                                  
10       broker, or independent adjuster under AS 21.27;                                                                   
11 (16)  serving and executing process issued by a court by a person                                                       
12       designated under AS 22.20.130;                                                                                    
13                 (17)  a school bus driver license under AS 28.15.046;                                                   
14 (18)  licensure as an operator or an instructor for a commercial driver                                                 
15       training school under AS 28.17;                                                                                   
16 (19)  registration as a broker-dealer, agent, investment adviser                                                        
17       representative, or investment adviser under AS 45.56.300 - 45.56.350;                                             
18 (20)  licensure, license renewal, certification, certification renewal, or                                              
19 payment from the Department of Health and Social Services of an individual and an                                       
20 entity subject to the requirements for a criminal history check under AS 47.05.310,                                     
21       including                                                                                                         
22                      (A)  a public home care provider described in AS 47.05.017;                                        
23 (B)  a provider of home and community-based waiver services                                                             
24            financed under AS 47.07.030(c);                                                                              
25 (C)  a case manager to coordinate community mental health                                                               
26            services under AS 47.30.530;                                                                                 
27 (D)  an entity listed in AS 47.32.010(b), including an owner,                                                           
28 officer, director, member, partner, employee, volunteer, or contractor of an                                            
29            entity; or                                                                                                   
30 (E)  an individual or entity not described in (A) - (D) of this                                                         
31 paragraph that is required by statute or regulation to be licensed or certified by                                      
01 the Department of Health and Social Services or that is eligible to receive                                             
02 payments, in whole or in part, from the Department of Health and Social                                                 
03 Services to provide for the health, safety, and welfare of persons who are                                              
04 served by the programs administered by the Department of Health and Social                                              
05            Services;                                                                                                
06                 (21)  a lottery retail sales agent under AS 05.18.100;                                              
07                 (22)  an applicant for executive director or appointee to the Alaska                                
08       State Lottery Board.                                                                                          
09    * Sec. 4. AS 18.65.080 is amended by adding a new subsection to read:                                              
10 (b)  At the request of the commissioner of revenue, the Department of Public                                            
11 Safety shall investigate a person intended to be hired as the executive director or a                                   
12 person appointed by the governor to serve as a member of the Alaska State Lottery                                       
13 Board to determine whether the person has been convicted of a crime listed in                                           
14 AS 05.18.010(e)(1). Upon recommendation for appointment to the board or for hire as                                     
15 the executive director of the board, a person shall submit the person's fingerprints and                                
16 the fees required by the Department of Public Safety under AS 12.62.160 for criminal                                    
17 justice information and a national criminal history record check under AS 12.62.400.                                    
18 The Department of Public Safety may submit the fingerprints to the Federal Bureau of                                    
19       Investigation for a national criminal history record check.                                                       
20    * Sec. 5. AS 39.25.110(11) is amended to read:                                                                     
21 (11)  the officers and employees of the following boards, commissions,                                                  
22       and authorities:                                                                                                  
23                      (A)  [REPEALED                                                                                     
24                      (B)]  Alaska Permanent Fund Corporation;                                                           
25 (B) [(C)]  Alaska Industrial Development and Export Authority;                                                      
26                      (C) [(D)]  Alaska Commercial Fisheries Entry Commission;                                       
27                      (D) [(E)]  Alaska Commission on Postsecondary Education;                                       
28                      (E) [(F)]  Alaska Aerospace Corporation;                                                       
29                      (F) [(G)  REPEALED                                                                             
30 (H)]  Alaska Gasline Development Corporation and subsidiaries                                                           
31            of the Alaska Gasline Development Corporation;                                                               
01                      (G)  Alaska State Lottery Board;                                                               
02    * Sec. 6. AS 39.50.200(b) is amended by adding a new paragraph to read:                                            
03                 (65)  Alaska State Lottery Board (AS 05.18).                                                            
04    * Sec. 7. AS 40.25.120(a) is amended to read:                                                                      
05            (a)  Every person has a right to inspect a public record in the state, including                             
06       public records in recorders' offices, except                                                                      
07                 (1)  records of vital statistics and adoption proceedings, which shall be                               
08       treated in the manner required by AS 18.50;                                                                       
09                 (2)  records pertaining to juveniles unless disclosure is authorized by                                 
10       law;                                                                                                              
11                 (3)  medical and related public health records;                                                         
12 (4)  records required to be kept confidential by a federal law or                                                       
13       regulation or by state law;                                                                                       
14 (5)  to the extent the records are required to be kept confidential under                                               
15 20 U.S.C. 1232g and the regulations adopted under 20 U.S.C. 1232g in order to secure                                    
16       or retain federal assistance;                                                                                     
17 (6)  records or information compiled for law enforcement purposes, but                                                  
18       only to the extent that the production of the law enforcement records or information                              
19 (A)  could reasonably be expected to interfere with enforcement                                                         
20            proceedings;                                                                                                 
21 (B)  would deprive a person of a right to a fair trial or an                                                            
22            impartial adjudication;                                                                                      
23 (C)  could reasonably be expected to constitute an unwarranted                                                          
24            invasion of the personal privacy of a suspect, defendant, victim, or witness;                                
25 (D)  could reasonably be expected to disclose the identity of a                                                         
26            confidential source;                                                                                         
27 (E)  would disclose confidential techniques and procedures for                                                          
28            law enforcement investigations or prosecutions;                                                              
29 (F)  would disclose guidelines for law enforcement                                                                      
30 investigations or prosecutions if the disclosure could reasonably be expected to                                        
31            risk circumvention of the law; or                                                                            
01                      (G)  could reasonably be expected to endanger the life or                                          
02            physical safety of an individual;                                                                            
03                 (7)  names, addresses, and other information identifying a person as a                                  
04       participant in the Alaska Higher Education Savings Trust under AS 14.40.802 or the                                
05       advance college tuition savings program under AS 14.40.803 - 14.40.817;                                           
06 (8)  public records containing information that would disclose or might                                                 
07 lead to the disclosure of a component in the process used to execute or adopt an                                        
08 electronic signature if the disclosure would or might cause the electronic signature to                                 
09       cease being under the sole control of the person using it;                                                        
10 (9)  reports submitted under AS 05.25.030 concerning certain                                                            
11       collisions, accidents, or other casualties involving boats;                                                       
12 (10)  records or information pertaining to a plan, program, or                                                          
13 procedures for establishing, maintaining, or restoring security in the state, or to a                                   
14 detailed description or evaluation of systems, facilities, or infrastructure in the state,                              
15       but only to the extent that the production of the records or information                                          
16 (A)  could reasonably be expected to interfere with the                                                                 
17            implementation or enforcement of the security plan, program, or procedures;                                  
18 (B)  would disclose confidential guidelines for investigations or                                                       
19 enforcement and the disclosure could reasonably be expected to risk                                                     
20            circumvention of the law; or                                                                                 
21 (C)  could reasonably be expected to endanger the life or                                                               
22 physical safety of an individual or to present a real and substantial risk to the                                       
23            public health and welfare;                                                                                   
24                 (11)  [REPEALED                                                                                         
25                 (12)]  records that are                                                                                 
26 (A)  proprietary, privileged, or a trade secret in accordance with                                                      
27            AS 43.90.150 or 43.90.220(e);                                                                                
28 (B)  applications that are received under AS 43.90 until notice is                                                      
29            published under AS 43.90.160;                                                                                
30 (12) [(13)]  information of the Alaska Gasline Development                                                          
31 Corporation created under AS 31.25.010 or a subsidiary of the Alaska Gasline                                            
01       Development Corporation that is confidential by law or under a valid confidentiality                              
02       agreement;                                                                                                        
03                 (13) [(14)]  information under AS 38.05.020(b)(11) that is subject to a                             
04       confidentiality agreement under AS 38.05.020(b)(12);                                                              
05                 (14) [(15)]  records relating to proceedings under AS 09.58 (Alaska                                 
06       Medical Assistance False Claim and Reporting Act);                                                                
07                 (15) [(16)]  names, addresses, and other information identifying a                                  
08       person as a participant in the Alaska savings program for eligible individuals under                              
09       AS 06.65;                                                                                                         
10 (16) [(17)]  artists' submissions made in response to an inquiry or                                                 
11       solicitation initiated by the Alaska State Council on the Arts under AS 44.27.060;                                
12                 (17) [(18)]  records that are                                                                       
13                      (A)  investigative files under AS 45.55.910; or                                                    
14                      (B)  confidential under AS 45.56.620;                                                          
15                 (18)  records of a lottery winner under AS 05.18.230.                                               
16    * Sec. 8. The uncodified law of the State of Alaska is amended by adding a new section to                          
17 read:                                                                                                                   
18 ALASKA STATE LOTTERY BOARD; STAGGERED TERMS. Notwithstanding                                                            
19 AS 39.05.055, the governor shall appoint the initial members of the Alaska State Lottery                                
20 Board to staggered terms as follows:                                                                                    
21            (1)  two members shall be appointed to serve three years;                                                    
22            (2)  two members shall be appointed to serve two years; and                                                  
23            (3)  one member shall be appointed to serve one year.                                                        
24    * Sec. 9. The uncodified law of the State of Alaska is amended by adding a new section to                          
25 read:                                                                                                                   
26 TRANSITIONAL PROVISION: REGULATIONS. The Department of Revenue may                                                      
27 adopt regulations necessary to implement the changes made by this Act. The regulations take                             
28 effect under AS 44.62 (Administrative Procedure Act), but not before the effective date of the                          
29 law implemented by the regulation.                                                                                      
30    * Sec. 10. Section 9 of this Act takes effect immediately under AS 01.10.070(c).                                   
31    * Sec. 11. Sections 1 - 8 of this Act take effect July 1, 2020.