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CSSSSB 76(JUD): "An Act relating to alcoholic beverages; relating to the regulation of manufacturers, wholesalers, retailers, and common carriers of alcoholic beverages; relating to licenses, endorsements, and permits involving alcoholic beverages; relating to the Alcoholic Beverage Control Board; relating to offenses involving alcoholic beverages; amending Rule 17(h), Alaska Rules of Minor Offense Procedure; and providing for an effective date."

00 CS FOR SPONSOR SUBSTITUTE FOR SENATE BILL NO. 76(JUD) 01 "An Act relating to alcoholic beverages; relating to the regulation of manufacturers, 02 wholesalers, retailers, and common carriers of alcoholic beverages; relating to licenses, 03 endorsements, and permits involving alcoholic beverages; relating to the Alcoholic 04 Beverage Control Board; relating to offenses involving alcoholic beverages; amending 05 Rule 17(h), Alaska Rules of Minor Offense Procedure; and providing for an effective 06 date." 07 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 08 * Section 1. AS 04.06.075 is amended by adding a new subsection to read: 09 (b) The director shall prepare and submit to the board an annual budget for the 10 board that includes funding for administration, enforcement, education, training, and 11 prevention activities under this title. 12 * Sec. 2. AS 04.06.080 is amended to read: 13 Sec. 04.06.080. Delegation of authority. The director shall issue, renew,

01 transfer, suspend, or revoke all licenses, endorsements, and permits at the direction of 02 the board. However, notwithstanding AS 04.06.090(b) [AS 04.11.070], the board may 03 delegate authority to the director to temporarily grant or deny the issuance, renewal, or 04 transfer of licenses, endorsements, and permits. The director's temporary grant or 05 denial of the issuance, renewal, or transfer of a license, endorsement, or permit is not 06 binding on the board. The board may delegate to the director any duty imposed by this 07 title except its power to propose and adopt regulations. 08 * Sec. 3. AS 04.06.090(b) is amended to read: 09 (b) Only the board may issue, renew, transfer, relocate, suspend, or 10 revoke a license or endorsement under this title. The board shall review all 11 applications for licenses and endorsements made under this title and may order the 12 director to issue, renew, revoke, transfer, or suspend licenses, endorsements, and 13 permits authorized under this title. 14 * Sec. 4. AS 04.06.090(e) is amended to read: 15 (e) The board shall promptly notify all licensees and municipalities of major 16 changes to this title and to regulations adopted under this title. However, if changes 17 only affect specific classifications of licenses, endorsements, and permits, the board 18 need only notify those licensees and municipalities directly affected by the changes. 19 Current copies of this title and current copies of the regulations adopted under it shall 20 be made available at all offices in the state of the Department of Commerce, 21 Community, and Economic Development and the detachment headquarters and posts 22 maintained by the division of Alaska state troopers in the Department of Public Safety. 23 * Sec. 5. AS 04.06.090 is amended by adding new subsections to read: 24 (f) The board shall develop a comprehensive plan to educate public safety 25 professionals, the alcoholic beverage industry, individuals under 21 years of age, local 26 governments, established villages, and the general public on the responsible use of 27 alcoholic beverages and on relevant state statutes, regulations, and policies. The board 28 shall update and revise the plan annually. 29 (g) The board shall review the fees specified in this title and regulations 30 adopted under this title at least every 10 years. 31 (h) The board may, within 30 days after the introduction of a bill amending a

01 provision of this title or adding a new provision to this title, prepare an advisory 02 opinion regarding the changes proposed in the bill. 03 (i) The board shall, within 30 business days after receiving notice of a 04 conviction or violation under this title, provide a copy of the conviction or violation to 05 the holder of a license if an offense or violation occurred on the holder's licensed 06 premises and the holder is not the subject of the conviction or violation. 07 (j) The board shall post information on the board's Internet website about fetal 08 alcohol syndrome and fetal alcohol effects resulting from a woman consuming alcohol 09 during pregnancy. 10 * Sec. 6. AS 04.06.095 is amended to read: 11 Sec. 04.06.095. Statewide database. (a) The board, after consulting with 12 package store licensees, shall create and maintain a statewide database that contains a 13 monthly record of the alcohol purchased by, and shipped to, a person who resides in a 14 municipality or established village that has restricted the sale of alcoholic beverages 15 under AS 04.11.491(a)(1), (2), or (3) or (b)(1) or (2). 16 (b) Except as otherwise specifically provided in this section, the information 17 contained in the database is confidential and is not subject to inspection or copying 18 under AS 40.25.110 - 40.25.220. Personally identifiable information, including 19 business names and addresses, [INFORMATION] in the database shall be purged 20 one year after entry unless it is needed for criminal investigation or prosecution. All 21 other information in the database shall be retained in aggregate form and purged 22 10 years after entry. Information in the database is available only to 23 (1) a package store licensee, agent, or employee to consult before 24 shipping alcohol to a purchaser in a restricted area under a package store shipping 25 endorsement as provided in AS 04.09.460 [AS 04.11.150(g)]; 26 (2) a law enforcement officer; 27 (3) a probation or parole officer; 28 (4) the board; and 29 (5) the person who is the subject of the information; the board shall 30 adopt regulations concerning access by a person to information contained in the 31 database of the purchases by, and shipments to, that person.

01 * Sec. 7. AS 04.06.095 is amended by adding a new subsection to read: 02 (c) The board shall produce an annual report of the aggregate regional and 03 statewide data from the database, excluding personally identifiable information and 04 the names and addresses of businesses, and shall make the report available for public 05 inspection and copying under AS 40.25.110 - 40.25.220. The report must include 06 information about the total volume of alcohol received in each municipality or 07 established village. 08 * Sec. 8. AS 04.06.100(b) is amended to read: 09 (b) The subjects covered by regulations adopted under (a) of this section may 10 include the following matters: 11 (1) employment, conduct, and duties of the director and of regular and 12 contractual employees of the board; 13 (2) procedures for the issuance, denial, renewal, transfer, revocation, 14 and suspension of licenses, endorsements, and permits; 15 (3) terms and conditions of licenses, endorsements, and permits 16 issued; 17 (4) fees for licenses, endorsements, and permits issued for which fees 18 are not prescribed by statute; 19 (5) conduct of regular and special meetings of the board; 20 (6) delegation to the director of routine administrative functions and 21 powers; 22 (7) the temporary granting or denial of issuance, transfer, and renewal 23 of licenses and endorsements; 24 (8) manner of giving any notice required by law or regulation when not 25 provided for by statute; 26 (9) requirements relating to the qualifications of licensees, the 27 conditions upon which a license may be issued, the accommodations of licensed 28 premises, and board inspection of those premises; 29 (10) making of reports by wholesalers; 30 (11) purchase of fidelity bonds by the state for the director and the 31 employees of the board;

01 (12) prohibition of possession of alcoholic beverages by drunken 02 persons and by minors; 03 (13) required reports from corporations licensed under this title, 04 including reports of stock ownership and transfers and changes of officers and 05 directors; 06 (14) [CREATION OF CLASSIFICATIONS OF LICENSES OR 07 PERMITS NOT PROVIDED FOR IN THIS TITLE; 08 (15)] establishment and collection of fees to be paid on application for 09 a license, endorsement, or permit; 10 (15) [(16)] required reports from partnerships and limited partnerships 11 licensed under this title, including reports of transferred interests of 10 percent or 12 more; 13 (16) [(17)] required reports from limited liability organizations 14 licensed under this title, including reports of the transfer of a member's interest if the 15 transfer equals 10 percent or more of the ownership of the limited liability 16 organization and any change of managers; 17 (17) restrictions on the manufacture, packaging, sale, and 18 distribution of products containing alcohol that are intended for human 19 consumption. 20 * Sec. 9. AS 04 is amended by adding a new chapter to read: 21 Chapter 09. Licenses, Endorsements, and Permits. 22 Article 1. License Types. 23 Sec. 04.09.010. Types of licenses. A license defines activities allowed daily on 24 licensed premises. License type is a general category of license activity based on the 25 three-tier system of alcohol regulation. The three types of licenses the board may issue 26 are manufacturer, wholesale, and retail licenses. The board may issue only the licenses 27 authorized in AS 04.09.020 - 04.09.360. 28 Article 2. Manufacturer Licenses. 29 Sec. 04.09.020. Brewery manufacturer license. (a) A brewery manufacturer 30 license authorizes the holder to operate a brewery for the manufacture, packaging, 31 storing, and sale of its brewed beverages to a buyer as permitted in AS 04.09.050.

01 (b) The biennial brewery manufacturer license fee is $1,500. 02 (c) At least 80 percent of each final product that contains brewed beverages 03 offered for sale by the holder of a brewery manufacturer license must be manufactured 04 on the holder's licensed premises in the state. 05 Sec. 04.09.030. Winery manufacturer license. (a) A winery manufacturer 06 license authorizes the holder to operate a winery for the manufacture, packaging, 07 storing, and sale of its wine to a buyer as permitted in AS 04.09.050. 08 (b) The biennial winery manufacturer license fee is $1,500. 09 (c) At least 80 percent of each final product that contains wine offered for sale 10 by the holder of a winery manufacturer license must be manufactured on the holder's 11 licensed premises in the state. 12 Sec. 04.09.040. Distillery manufacturer license. (a) A distillery manufacture 13 license authorizes the holder to operate a distillery for the manufacture, packaging, 14 storing, and sale of its distilled spirits to a buyer as permitted in AS 04.09.050. 15 (b) The biennial distillery manufacturer license fee is $1,500. 16 (c) At least 80 percent of each final product that contains distilled spirits 17 offered for sale by the holder of a distillery manufacturer license must be 18 manufactured on the holder's licensed premises in the state. 19 Sec. 04.09.050. Authorized sales. (a) The holder of a manufacturer license 20 that annually produces in total less than 300,000 barrels of brewed beverages, less than 21 50,000 nine-liter-equivalent cases of wine, or less than 50,000 nine-liter-equivalent 22 cases of distilled spirits may sell its product to 23 (1) the holder of a wholesale license issued under this chapter; 24 (2) the holder of a retail license issued under this chapter; 25 (3) the holder of a permit issued under this chapter; 26 (4) an entity in another state or country. 27 (b) The holder of a manufacturer license that annually produces in total 28 300,000 barrels or more of brewed beverages, 50,000 nine-liter-equivalent cases or 29 more of wine, or 50,000 nine-liter-equivalent cases or more of distilled spirits may sell 30 its product to 31 (1) the holder of a wholesale license issued under this chapter;

01 (2) an entity in another state or country. 02 (c) For purposes of calculating the volume that the holder of a manufacturer 03 license produces under this section, the volume of production must include all 04 production by 05 (1) the holder of the manufacturer's license; and 06 (2) an officer, director, agent, employee, or affiliate of the holder; in 07 this paragraph, "affiliate" means a person that directly or indirectly, through one or 08 more intermediaries, controls, or is controlled by, or is under common control with, a 09 corporation. 10 Sec. 04.09.060. Unlicensed manufacturing. (a) A person commits the crime 11 of unlicensed manufacturing if the person knowingly operates a 12 (1) brewery without a brewery manufacturer license; 13 (2) winery without a winery manufacturer license; or 14 (3) distillery without a distillery manufacturer license. 15 (b) Unlicensed manufacturing is a class A misdemeanor. 16 Sec. 04.09.070. Unlicensed manufacturing in a local option area. (a) A 17 person commits the crime of unlicensed manufacturing in a local option area if the 18 person knowingly operates in an area that has adopted a local option under 19 AS 04.11.491 a 20 (1) brewery without a brewery manufacturer license; 21 (2) winery without a winery manufacturer license; or 22 (3) distillery without a distillery manufacturer license. 23 (b) Unlicensed manufacturing in a local option area is a class C felony. 24 Sec. 04.09.080. Unauthorized manufacturer sale. (a) Except as provided in 25 AS 04.09.310 - 04.09.330, a person who holds a manufacturer license commits the 26 offense of unauthorized manufacturer sale if the person sells its product in violation of 27 AS 04.09.050. 28 (b) Unauthorized manufacturer sale is a violation. 29 Sec. 04.09.090. Definition. In AS 04.09.020 - 04.09.090, "packaging" means 30 the process of containing alcoholic beverages in bottles or other types of containers for 31 purpose of resale.

01 Article 3. Wholesale Licenses. 02 Sec. 04.09.100. General wholesale license. (a) A general wholesale license 03 authorizes the holder to sell alcoholic beverages at wholesale. The holder of a general 04 wholesale license may not sell to a person not licensed under this title, except as 05 provided in AS 04.21.040. 06 (b) The biennial general wholesale license fee is $2,000. 07 (c) In addition to the license fee under (b) of this section, the holder of a 08 general wholesale license shall pay an annual fee based on the total value of business 09 transacted by the wholesale business, including the excise tax imposed by 10 AS 43.60.010. If the total value of business transacted during the calendar year 11 including the excise tax imposed by AS 43.60.010 is 12 (1) less than or equal to $100,000, then the annual fee is $0; 13 (2) over $100,000 and not over $150,000, then the annual fee is $250; 14 (3) over $150,000 and not over $200,000, then the annual fee is $500; 15 (4) over $200,000 and not over $250,000, then the annual fee is $750; 16 (5) over $250,000 and not over $300,000, then the annual fee is 17 $1,000; 18 (6) over $300,000 and not over $350,000, then the annual fee is 19 $1,250; 20 (7) over $350,000 and not over $400,000, then the annual fee is 21 $1,500; 22 (8) over $400,000 and not over $500,000, then the annual fee is 23 $2,000; 24 (9) over $500,000 and not over $600,000, then the annual fee is 25 $2,500; 26 (10) over $600,000 and not over $700,000, then the annual fee is 27 $3,000; 28 (11) over $700,000 and not over $800,000, then the annual fee is 29 $3,500; 30 (12) over $800,000 and not over $1,000,000, then the annual fee is 31 $4,500;

01 (13) over $1,000,000, then the annual fee is $10,000. 02 Sec. 04.09.110. Limited wholesale brewed beverage and wine license. (a) A 03 limited wholesale brewed beverage and wine license authorizes the holder to sell 04 brewed beverages and wine at wholesale. The holder of a limited wholesale brewed 05 beverage and wine license may not sell to a person not licensed under this title, except 06 as provided in AS 04.21.040. 07 (b) The biennial limited wholesale brewed beverage and wine license fee is 08 $400. 09 (c) In addition to the license fee under (b) of this section, the holder of a 10 limited wholesale brewed beverage and wine license shall pay an annual fee based on 11 the total value of business transacted by the wholesale business, including the excise 12 tax imposed by AS 43.60.010. If the total value of business transacted during the 13 calendar year including the excise tax imposed by AS 43.60.010 is 14 (1) less than or equal to $20,000, then the annual fee is $0; 15 (2) over $20,000 and not over $50,000, then the annual fee is $150; 16 (3) over $50,000 and not over $100,000, then the annual fee is $500; 17 (4) over $100,000 and not over $150,000, then the annual fee is $750; 18 (5) over $150,000 and not over $200,000, then the annual fee is 19 $1,000; 20 (6) over $200,000 and not over $400,000, then the annual fee is 21 $2,000; 22 (7) over $400,000 and not over $600,000, then the annual fee is 23 $3,000; 24 (8) over $600,000 and not over $800,000, then the annual fee is 25 $4,000; 26 (9) over $800,000, then the annual fee is $10,000. 27 Sec. 04.09.120. Annual fee and affidavit. (a) Not later than February 28 of 28 each year the holder of a general wholesale license or a limited wholesale brewed 29 beverage and wine license shall pay the annual fee for the license for the preceding 30 calendar year, and file with the board an affidavit showing the 31 (1) total value of business transacted under the license by the

01 wholesale business, including the excise tax imposed by AS 43.60.010, during the 02 preceding calendar year; and 03 (2) location of the licensed premises at which the business was 04 transacted. 05 (b) Failure to file an affidavit under (a) of this section or the expiration of a 06 license under AS 04.11.540 does not relieve a licensee from paying the prescribed 07 annual fee. 08 Sec. 04.09.130. Wholesale supplier declaration. (a) A person who applies for 09 issuance or renewal of a general wholesale license or a limited wholesale brewed 10 beverage and wine license shall submit to the board, on a form prescribed by the 11 board, a declaration that the person is the appointed wholesaler of the distiller, brewer, 12 vintner, or importer of each product line of alcoholic beverage that the person intends 13 to purchase, offer for sale, or sell. The form must include a space for the person to 14 indicate the total number of suppliers. The board may request a list of suppliers, or 15 additional information about a product line. 16 (b) A person filing a declaration under this section shall pay a biennial filing 17 fee. If the declaration lists 18 (1) one to 25 suppliers, the fee is $500; 19 (2) 26 to 50 suppliers, the fee is $1,000; 20 (3) 51 to 75 suppliers, the fee is $1,500; 21 (4) 76 or more suppliers, the fee is $2,000. 22 (c) In this section, "distiller, brewer, vintner, or importer" includes an 23 exclusive agent of the distiller, brewer, vintner, or importer if the agent's name appears 24 on the label of the brand approved by the Alcohol and Tobacco Tax and Trade Bureau. 25 Sec. 04.09.140. Unlicensed wholesale sale. (a) A person commits the crime of 26 unlicensed wholesale sale if the person knowingly sells 27 (1) distilled spirits at wholesale without a general wholesale license; or 28 (2) brewed beverages or wine at wholesale without a general wholesale 29 license or a limited wholesale brewed beverage and wine license. 30 (b) Unlicensed wholesale sale is a class A misdemeanor. 31 Sec. 04.09.145. Unlicensed wholesale sale in a local option area. (a) A

01 person commits the crime of unlicensed wholesale sale in a local option area if the 02 person knowingly sells in an area that has adopted a local option under AS 04.11.491 03 (1) distilled spirits at wholesale without a general wholesale license; or 04 (2) brewed beverages or wine at wholesale without a general wholesale 05 license or a limited wholesale brewed beverage and wine license. 06 (b) Unlicensed wholesale sale in a local option area is a class C felony. 07 Sec. 04.09.150. Failure to pay annual fee or file affidavit. (a) A person 08 commits the offense of failure to pay an annual wholesale fee or file a wholesale 09 affidavit if the person fails to pay the annual fee or file the affidavit as required under 10 AS 04.09.120. 11 (b) Failure to pay an annual wholesale fee or file a wholesale affidavit is a 12 violation. 13 Sec. 04.09.160. Failure to pay biennial fee or file declaration. (a) A person 14 commits the offense of failure to pay a biennial supplier fee or file a supplier 15 declaration if the person fails to pay the biennial supplier fee or file the declaration as 16 required under AS 04.09.130. 17 (b) Failure to pay a biennial supplier fee or file a supplier declaration is a 18 violation. 19 Article 4. Retail Licenses. 20 Sec. 04.09.200. Beverage dispensary license. (a) A beverage dispensary 21 license authorizes the holder to sell or serve on the licensed premises alcoholic 22 beverages for consumption only on the licensed premises. 23 (b) The biennial beverage dispensary license fee is $2,500. 24 (c) The holder of a beverage dispensary license may not maintain on the 25 licensed premises more than one room in which there is regularly maintained a fixed 26 counter or service bar that has plumbing connections to permanent plumbing at which 27 alcoholic beverages are sold or served to members of the public for consumption, 28 unless the license has a multiple fixed counter endorsement under AS 04.09.420. 29 (d) Except as provided under AS 04.09.610, 04.09.640, 04.09.670, and 30 AS 04.16.120(c), the holder of a beverage dispensary license who sells or serves 31 alcoholic beverages off the licensed premises or permits consumption off the premises

01 of alcoholic beverages sold or served on the premises commits the offense of 02 unauthorized beverage dispensary activity. 03 (e) Unauthorized beverage dispensary activity is a violation. 04 Sec. 04.09.210. Restaurant or eating place license. (a) A restaurant or eating 05 place license authorizes a restaurant or eating place to sell brewed beverages and wine 06 for consumption only on the licensed premises. 07 (b) The biennial restaurant or eating place license fee is $1,250. 08 (c) The board may issue or renew a license under this section only if the 09 (1) board determines that the licensed premises is a bona fide 10 restaurant as defined in AS 04.21.080(b); 11 (2) licensee has, or the licensee has simultaneously applied for, a 12 restaurant endorsement; and 13 (3) sale and service of food and alcoholic beverages and any other 14 business conducted on the licensed premises of the restaurant or eating place is under 15 the sole control of the licensee. 16 (d) The holder of a restaurant or eating place license shall ensure that gross 17 receipts from the sale of food for consumption on the licensed premises are not less 18 than the total of the gross receipts from the sale of alcoholic beverages for 19 consumption on the licensed premises in each calendar year. At the time the holder 20 submits an application for renewal of the license, the holder shall submit a statement 21 to the board certifying that the holder has met the requirement under this subsection 22 for the designated period of the license under AS 04.11.680. The board may renew a 23 restaurant or eating place license only if the licensee's statement provides evidence 24 satisfactory to the board that, during the designated period of the license under 25 AS 04.11.680, the gross receipts from the sale of food for consumption on the licensed 26 premises were not less than the total of the gross receipts from the sale of alcoholic 27 beverages for consumption on the licensed premises. 28 (e) The holder of a restaurant or eating place license may provide 29 entertainment on or adjacent to the licensed premises only between the hours of 3:00 30 p.m. and 11:00 p.m. unless additional hours are approved by the director upon the 31 written request of the licensee for a specific occasion. The director may not grant

01 approval for additional hours of entertainment on or adjacent to the licensed premises 02 of an individual licensee more than six times in a calendar year. In this subsection, 03 "entertainment" includes dancing, karaoke, live performances, or similar activities, but 04 does not include recorded or broadcast performances without live participation. 05 (f) Except as provided under AS 04.09.620, 04.09.640, and AS 04.16.120(c), 06 the holder of a restaurant or eating place license commits the offense of failure to 07 comply with the terms of a restaurant or eating place license if the person sells brewed 08 beverages or wine in violation of (a) of this section or fails to comply with (e) of this 09 section. 10 (g) Failure to comply with the terms of a restaurant or eating place license is a 11 violation. 12 Sec. 04.09.220. Club license. (a) A club license authorizes a club or 13 organization to sell alcoholic beverages for consumption only on the licensed 14 premises. 15 (b) The biennial fee for a club license is $1,500. 16 (c) The board may issue a club license only to an organization operated for 17 social, recreational, benevolent, or athletic purposes and not for profit. The board may 18 issue a club license only to a club, fraternal organization, patriotic organization, or 19 social organization that has been 20 (1) chartered by a state or national organization for a period of 10 21 consecutive years before application for a license under this section; or 22 (2) chartered by a national organization that has maintained a chartered 23 club or organization within the state for a period of at least 20 years. 24 (d) Alcoholic beverages sold under a club license may be purchased only by 25 (1) members of the club and their families; 26 (2) widows or widowers of deceased members of the club who have 27 been accorded club privileges; and 28 (3) military personnel on active duty who are extended the privilege by 29 patriotic organizations. 30 (e) Alcoholic beverages may be purchased only in the portion of the club 31 rooms that are part of the licensed premises.

01 (f) Guests who enter the club premises on the invitation of a member and in 02 the company of the member may be served but not sold alcoholic beverages. A guest 03 shall leave the premises immediately upon the departure of the member who extended 04 the invitation to enter. 05 (g) Notwithstanding AS 04.16.049, access by persons under 21 years of age to 06 the 07 (1) licensed premises of a club is permitted when alcoholic beverages 08 are not present; and 09 (2) premises of a patriotic organization licensed as a club under this 10 section is permitted when alcoholic beverages are present, if the person possesses a 11 valid active duty military or armed forces identification card issued by the United 12 States Department of Defense or the United States Department of Homeland Security. 13 (h) The holder of a club license may not serve or sell alcoholic beverages for 14 use or consumption off the licensed premises of the club or organization, including use 15 or consumption by a club member or employee, except under a club caterer's permit. 16 (i) The holder of a club license may not 17 (1) solicit public patronage of the club premises, except as approved by 18 the board; 19 (2) distribute income from the sale of alcoholic beverages under the 20 license to a member, director, or officer; 21 (3) sell or serve alcoholic beverages in club rooms outside the portion 22 of the club rooms that are part of the licensed premises. 23 (j) In this section, "member" means a holder of a full year of paid membership 24 entitling the holder to all voting rights and privileges of membership under the 25 constitution or bylaws of the club or organization. 26 (k) The holder of a club license commits the offense of failure to comply with 27 the terms of a club license if the person sells alcoholic beverages in violation of (a) of 28 this section or violates (d), (e), (f), (h), or (i) of this section. 29 (l) Failure to comply with the terms of a club license is a violation. 30 Sec. 04.09.230. Package store license. (a) A package store license authorizes 31 the holder to operate a package store to store alcoholic beverages with federally

01 compliant labels, and to sell alcoholic beverages with federally compliant labels to a 02 person present on the licensed premises. 03 (b) The biennial package store license fee is $1,500. 04 (c) The licensed premises occupied by the holder of a package store license 05 may not be connected by a door, opening, or other means of passage intended for the 06 access of the general public to an adjacent retail business not licensed under this title 07 unless approved by the board. 08 (d) If the holder of a package store license also holds a beverage dispensary 09 license, the licensed premises of the package store are contained within or are adjacent 10 to the licensed premises of the beverage dispensary, and the only public entrance to 11 the package store is by a door or other means within the beverage dispensary, the 12 board shall determine whether additional entrances to the package store are necessary 13 for enforcement purposes, to meet health and fire safety standards, or for the 14 convenience of the public. 15 (e) The holder of a package store license may not 16 (1) offer alcoholic beverages for consumption on the licensed premises 17 or allow the consumption of alcoholic beverages on the licensed premises except as 18 authorized by a package store sampling endorsement issued under AS 04.09.490 or a 19 tasting event permit issued under AS 04.09.670; 20 (2) subdivide alcoholic beverages except as authorized by a package 21 store repackaging endorsement issued under AS 04.09.480; 22 (3) offer alcoholic beverages for sale or sell alcoholic beverages to a 23 person not present on the licensed premises who makes an order for shipment except 24 as authorized by a package store shipping endorsement under AS 04.09.460; or 25 (4) deliver alcoholic beverages to a person not present on the licensed 26 premises except as authorized by a package store delivery endorsement under 27 AS 04.09.470. 28 (f) The holder of a package store license commits the offense of failure to 29 comply with the terms of a package store license if the person stores or sells alcoholic 30 beverages in violation of (a) of this section or fails to comply with (c) or (e) of this 31 section.

01 (g) Failure to comply with the terms of a package store license is a violation. 02 Sec. 04.09.240. Pub license. (a) A pub license authorizes the holder to sell 03 brewed beverages and wine for consumption only at a designated premises located on 04 the campus of an accredited college or university. 05 (b) The biennial pub license fee is $1,250. 06 (c) The board may not 07 (1) issue more than one pub license for each accredited college or 08 university campus in the state; and 09 (2) issue or renew a pub license without the written approval of the 10 governing body of the accredited college or university. 11 (d) The board may designate two alternating premises for a pub license if 12 (1) both premises are 13 (A) located on the accredited college or university campus; 14 (B) not located in contiguous rooms or adjacent buildings; and 15 (C) under the licensee's control; 16 (2) at any time, only one location is operating as a licensed premises 17 with specified operating hours approved by the board; and 18 (3) all alcoholic beverages are either removed from the alternate 19 premises or stored in a secure location that is not accessible to the general public 20 during times when the alternate premises is not operating as a licensed premises. 21 (e) The board may suspend or revoke a licensee's use of an alternate premises 22 under (d) of this section after providing written notice and an opportunity to be heard 23 to the licensee. 24 (f) In this section, "accredited college or university" means a college or 25 university accredited by the Northwest Commission on Colleges and Universities. 26 (g) The holder of a pub license commits the offense of failure to comply with 27 the terms of a pub license if the person sells brewed beverages or wine in violation of 28 (a) of this section. 29 (h) Failure to comply with the terms of a pub license is a violation. 30 Sec. 04.09.250. Theater license. (a) A theater license authorizes the holder of 31 a beverage dispensary license or a restaurant or eating place license to sell alcoholic

01 beverages for consumption on licensed premises at a specified theater site, except that 02 a restaurant or eating place licensee with a theater license may only sell brewed 03 beverages and wine. 04 (b) The biennial theater license fee is $1,250. 05 (c) The holder of a theater license may sell or serve alcoholic beverages only 06 in designated areas on the licensed premises, and only for one hour before the event 07 and during intermissions. 08 (d) The holder of a theater license may not sell, serve, or permit the 09 consumption of alcoholic beverages in the audience viewing area. 10 (e) The holder of a theater license shall post the license conspicuously in the 11 theater during times when alcoholic beverages are sold. 12 (f) The board may not approve an application for transfer of a theater license 13 to another location. 14 (g) The board may deny an application for renewal of a theater license if the 15 theater license was not used for at least one event during each calendar year of the 16 license period. 17 (h) In this section, "theater" means a location where events, including plays, 18 operas, orchestra concerts, readings, and similar activities as determined by the board 19 are presented by live performers on a stage. 20 (i) A person commits the offense of failure to comply with the terms of a 21 theater license if the person sells, serves, or permits the consumption of alcoholic 22 beverages except as permitted in this section or fails to post the license as required by 23 this section. 24 (j) Failure to comply with the terms of a theater license is a violation. 25 Sec. 04.09.260. Common carrier dispensary license. (a) A common carrier 26 dispensary license authorizes the holder to sell alcoholic beverages for consumption 27 aboard a boat or train licensed by a state or federal agency for passenger travel, or 28 aboard aircraft operated by an airline licensed by a state or federal agency for 29 passenger travel. 30 (b) Except as provided for airlines under (c) of this section, the biennial 31 common carrier dispensary license fee is $1,000 for each of the first 10 licenses a

01 common carrier holds and $100 for each additional license issued to the common 02 carrier after the first 10 licenses. 03 (c) The biennial fee for a common carrier dispensary license issued to an 04 airline is the fee specified under (b) of this section for each aircraft in which alcoholic 05 beverages are served or $2,000 for each community served by the airline. An airline 06 shall specify the fee applicable to the license at the time of the airline's application for 07 issuance or renewal of the license. 08 (d) Except for a common carrier that is an airline, a common carrier shall 09 obtain a license for each boat or train in which alcoholic beverages are served. After 10 obtaining an initial license for the first boat or train, the common carrier may obtain 11 additional licenses for additional boats or trains upon making a written request 12 identifying the boat or train in the manner prescribed by the board, and paying the 13 biennial fee for additional licensed premises as required by (b) of this section. 14 (e) The holder of a common carrier dispensary license who exceeds the 15 authority granted in (a) of this section commits the crime of unauthorized common 16 carrier dispensary activity. 17 (f) Unauthorized common carrier dispensary activity is a class A 18 misdemeanor. 19 (g) The holder of a common carrier dispensary license who fails to comply 20 with (b) - (d) of this section commits the offense of common carrier dispensary 21 noncompliance. 22 (h) Common carrier dispensary noncompliance is a violation and is punishable 23 by a fine of $500 for each boat, train, or aircraft not in compliance with this section. 24 Sec. 04.09.270. Sporting event license. (a) A sporting event license authorizes 25 the holder to sell brewed beverages and wine at multiple noncontiguous locations at a 26 sporting event site during and one hour before and after a sporting event that is not a 27 school event, for consumption on designated areas at the sporting event site. 28 (b) The biennial sporting event license fee is $1,250. 29 (c) In this section, "sporting event site" includes a location where baseball, 30 hockey, rugby, soccer, or football games, car races, dog sled racing events, or curling 31 matches are regularly held during a season.

01 (d) The holder of a sporting event license who sells brewed beverages or wine 02 off the licensed premises or during hours not authorized under (a) of this section or 03 who permits consumption off the premises of brewed beverages or wine sold on the 04 premises commits the offense of unauthorized sporting event activity. 05 (e) Unauthorized sporting event activity is a violation. 06 (f) The holder, on the day before the effective date of this section, of a 07 recreational site license issued under former AS 04.11.210 who offered brewed 08 beverages and wine for sale to the public for consumption on the licensed premises 09 may continue to offer brewed beverages and wine for sale to the public for 10 consumption on the premises until December 31, 2026, for a license renewing on an 11 even-numbered year, or December 31, 2027, for a license renewing on an odd- 12 numbered year, if the holder of the license is otherwise in compliance with the 13 requirements of this title as it read on the day before the effective date of this section. 14 Sec. 04.09.280. Outdoor recreation lodge license. (a) An outdoor recreation 15 lodge license authorizes the holder to sell alcoholic beverages to a registered overnight 16 guest or off-duty staff of the lodge for consumption on the licensed premises or in 17 conjunction with purchased outdoor recreation activities provided by the licensee. 18 (b) The biennial outdoor recreation lodge license fee is $2,500. 19 (c) The board may not grant an application for transfer of an outdoor 20 recreation lodge license to another location. 21 (d) In this section, "outdoor recreation lodge" means a licensed business that 22 provides overnight accommodations and meals, is primarily involved in offering 23 opportunities for persons to engage in outdoor recreation activities, and has a 24 minimum of two guest rooms. 25 (e) The holder of an outdoor recreation lodge license who sells alcoholic 26 beverages in violation of the authority granted under (a) of this section commits the 27 offense of unauthorized outdoor recreation lodge activity. 28 (f) Unauthorized outdoor recreation lodge activity is a violation. 29 Sec. 04.09.290. Golf course license. (a) A golf course license authorizes the 30 holder to sell brewed beverages and wine for consumption on the licensed premises. 31 (b) The biennial golf course license fee is $1,250.

01 (c) An application for a golf course license must include 02 (1) a drawing of the golf course with an annotated illustration and 03 description of the portions of the course that are intended to be licensed premises; and 04 (2) a sample food menu. 05 (d) The board may not approve an application for transfer of a golf course 06 license to another location. 07 (e) The holder of a golf course license shall make food similar to that listed in 08 the sample menu available during times when brewed beverages and wine are sold, 09 served, and consumed on the licensed premises. 10 (f) The holder of a golf course license may not allow a person other than the 11 holder or an agent or employee of the holder, in the regular course of employment, to 12 bring alcoholic beverages onto the licensed premises or other portions of the course 13 for consumption. 14 (g) In this section, "licensed premises" includes the golf course, a driving 15 range, a club house, and other buildings located on the course, and a vending cart 16 carrying beverages or food to, from, or on the course, and does not include the parking 17 lot. 18 (h) The holder of a golf course license commits the offense of failure to 19 comply with the terms of a golf course license if the person sells brewed beverages or 20 wine in violation of this section or violates (e) or (f) of this section. 21 (i) Failure to comply with the terms of a golf course license is a violation. 22 Sec. 04.09.300. Destination resort license. (a) A destination resort license 23 authorizes the holder to sell alcoholic beverages at multiple noncontiguous locations at 24 a destination resort for consumption on the licensed premises in conjunction with the 25 visitor activities provided by the licensee to cruise ship passengers and staff and other 26 visitors while the cruise ship is in port at the resort. 27 (b) The biennial destination resort license fee is $2,500. 28 (c) The board may not approve an application for transfer of a destination 29 resort license to another location. 30 (d) In this section, "destination resort" means a business that owns a site of at 31 least 20 acres that is used principally as a destination for cruise ships and other vessels

01 that carry a minimum of 50 passengers and that does not provide overnight lodging on 02 its premises for visitors. 03 (e) The holder of a destination resort license commits the offense of failure to 04 comply with a destination resort license if the person sells alcoholic beverages in 05 violation of (a) of this section. 06 (f) Failure to comply with the terms of a destination resort license is a 07 violation. 08 Sec. 04.09.310. Brewery retail license. (a) A brewery retail license authorizes 09 the holder to store, sell, or serve on the licensed premises brewed beverages for 10 consumption on and off the premises. 11 (b) The biennial brewery retail license fee is $1,250. 12 (c) The board may issue a brewery retail license only to the holder of a 13 brewery manufacturer license under AS 04.09.020. The brewery retail licensed 14 premises may be all or part of the brewery manufacturer licensed premises, or the 15 brewery retail licensed premises may be at a single different site that is adjacent to the 16 brewery manufacturer licensed premises. 17 (d) Each day, the holder of a brewery retail license may sell, to a person on the 18 licensed premises for consumption on the licensed premises, not more than 19 (1) 36 ounces of the holder's beer; or 20 (2) 18 ounces of the holder's sake. 21 (e) The holder of a brewery retail license may not 22 (1) allow live entertainment, televisions, pool tables, dart games, 23 dancing, electronic or other games, game tables, or other recreational or gaming 24 opportunities on or adjacent to the premises where the consumption occurs; 25 (2) provide seats at the counter or bar where the brewed beverages are 26 served; 27 (3) open the room where the consumption occurs before 9:00 a.m.; or 28 (4) serve brewed beverages after 8:00 p.m. 29 (f) Each day, the holder of a brewery retail license is authorized to sell, to a 30 person on the licensed premises for consumption off the licensed premises, not more 31 than

01 (1) 5.167 gallons of the holder's beer; or 02 (2) nine liters of the holder's sake. 03 (g) The holder of a brewery retail license commits the offense of failure to 04 comply with the terms of a brewery retail license if the person stores, sells, or serves 05 brewed beverages in violation of (a) of this section or violates (d), (e), or (f) of this 06 section. 07 (h) Failure to comply with the terms of a brewery retail license is a violation. 08 Sec. 04.09.320. Winery retail license. (a) A winery retail license authorizes 09 the holder to store, sell, or serve on the licensed premises wine for consumption on 10 and off the premises. 11 (b) The biennial winery retail license fee is $1,250. 12 (c) The board may issue a winery retail license only to the holder of a winery 13 manufacturer license issued under AS 04.09.030. The winery retail licensed premises 14 may be all or part of the winery manufacturer licensed premises, or the winery retail 15 licensed premises may be at a single different site that is adjacent to the winery 16 manufacturer licensed premises. 17 (d) Each day, the holder of a winery retail license may sell, to a person on the 18 licensed premises for consumption on the licensed premises, not more than 19 (1) 18 ounces of the holder's wine, mead, or cider containing 8.5 20 percent or more alcohol by volume; or 21 (2) 36 ounces of the holder's cider containing less than 8.5 percent 22 alcohol by volume. 23 (e) The holder of a winery retail license may not 24 (1) allow live entertainment, televisions, pool tables, dart games, 25 dancing, electronic or other games, game tables, or other recreational or gaming 26 opportunities on or adjacent to the premises where the consumption occurs; 27 (2) provide seats at the counter or bar where the wine is served; 28 (3) open the room where the consumption occurs before 9:00 a.m.; or 29 (4) serve wine after 8:00 p.m. 30 (f) Each day, the holder of a winery retail license is authorized to sell, to a 31 person on the licensed premises for consumption off the licensed premises, not more

01 than 02 (1) nine liters of the holder's wine, mead, or cider containing 8.5 03 percent or more alcohol by volume; or 04 (2) 5.167 gallons of the holder's cider containing less than 8.5 percent 05 alcohol by volume. 06 (g) The holder of a winery retail license commits the offense of failure to 07 comply with the terms of a winery retail license if the person stores, sells, or serves 08 wine in violation of (a) of this section or violates (d), (e), or (f) of this section. 09 (h) Failure to comply with the terms of a winery retail license is a violation. 10 (i) The holder, on the day before the effective date of this section, of a winery 11 license issued under former AS 04.11.140 who provided seating at the counter or bar 12 where the wine is served on the winery's licensed premises may continue to provide 13 seating at the counter or bar where the wine is served for a period ending on 14 December 31, 2022, for a license that is subject to renewal on an even-numbered year 15 and December 31, 2023, for a license that is subject to renewal on an odd-numbered 16 year. 17 Sec. 04.09.330. Distillery retail license. (a) A distillery retail license 18 authorizes the holder to store, sell, or serve on the licensed premises distilled spirits 19 for consumption on and off the premises. 20 (b) The biennial distillery retail license fee is $1,250. 21 (c) The board may issue a distillery retail license only to the holder of a 22 distillery manufacturer license under AS 04.09.040. The distillery retail licensed 23 premises may be all or part of the distillery manufacturer licensed premises, or the 24 distillery retail licensed premises may be at a single different site that is adjacent to the 25 distillery manufacturer licensed premises. 26 (d) The holder of a distillery retail license may sell not more than three ounces 27 of the holder's distilled spirits each day to a person on the licensed premises for 28 consumption on the licensed premises. 29 (e) The holder of a distillery retail license may not 30 (1) allow live entertainment, televisions, pool tables, dart games, 31 dancing, electronic or other games, game tables, or other recreational or gaming

01 opportunities on or adjacent to the premises where the consumption occurs; 02 (2) provide seats at the counter or bar where the distilled spirits are 03 served; 04 (3) open the room where the consumption occurs before 9:00 a.m.; or 05 (4) serve distilled spirits after 8:00 p.m. 06 (f) The holder of a distillery retail license is authorized to sell not more than 07 3.75 liters of the holder's distilled spirits each day to a person on the licensed premises 08 for consumption off the licensed premises. 09 (g) The holder of a distillery retail license commits the offense of failure to 10 comply with the terms of a distillery retail license if the person stores, sells, or serves 11 distilled spirits in violation of (a) of this section or violates (d), (e), or (f) of this 12 section. 13 (h) Failure to comply with the terms of a distillery retail license is a violation. 14 Sec. 04.09.340. Beverage dispensary tourism license. (a) A beverage 15 dispensary tourism license authorizes the holder to sell or serve on the licensed 16 premises alcoholic beverages for consumption only on the licensed premises. 17 (b) The biennial beverage dispensary tourism license fee is $2,500. 18 (c) The board may issue a beverage dispensary tourism license or approve an 19 application for the transfer of ownership of a beverage dispensary tourism license if it 20 appears that issuance or transfer will encourage the tourism trade by promoting the 21 construction or improvement of 22 (1) a hotel, motel, resort, or similar business relating to the tourist trade 23 with a dining facility or having kitchen facilities in a majority of its rental rooms and 24 at least a minimum number of rental rooms required according to the population of the 25 established village, incorporated city, unified municipality, or population area 26 established under AS 04.11.400(a) in which the facility will be located, as follows: 27 (A) 10 rental rooms if the population is less than 1,501; 28 (B) 20 rental rooms if the population is 1,501 - 2,500; 29 (C) 25 rental rooms if the population is 2,501 - 5,000; 30 (D) 30 rental rooms if the population is 5,001 - 15,000; 31 (E) 35 rental rooms if the population is 15,001 - 25,000;

01 (F) 40 rental rooms if the population is 25,001 - 50,000; and 02 (G) 50 rental rooms if the population is greater than 50,000; or 03 (2) an airport terminal. 04 (d) The holder of a beverage dispensary tourism license may not maintain on 05 the licensed premises more than one room in which there is regularly maintained a 06 fixed counter or service bar that has plumbing connections to permanent plumbing at 07 which alcoholic beverages are sold or served to members of the public for 08 consumption unless the license has a multiple fixed counter endorsement under 09 AS 04.09.420, a hotel or motel endorsement under AS 04.09.430, or a large resort 10 endorsement under AS 04.09.440. 11 (e) Except as provided under AS 04.09.610, 04.09.640, 04.09.670, and 12 AS 04.16.120(c), the holder of a beverage dispensary tourism license who sells or 13 serves alcoholic beverages off the licensed premises or permits consumption off the 14 premises of alcoholic beverages sold or served on the premises commits the offense of 15 unauthorized beverage dispensary tourism activity. 16 (f) Unauthorized beverage dispensary tourism activity is a violation. 17 Sec. 04.09.350. Seasonal restaurant or eating place tourism license. (a) A 18 seasonal restaurant or eating place tourism license authorizes a restaurant or eating 19 place to sell brewed beverages and wine for consumption only on the licensed 20 premises for a period not to exceed six months in each calendar year. 21 (b) The biennial seasonal restaurant or eating place tourism license fee is 22 $1,250. 23 (c) The board may issue or renew a license under this section only if 24 (1) the board determines that the licensed premises is a bona fide 25 restaurant as defined in AS 04.21.080(b); 26 (2) the licensee has, or the licensee has simultaneously applied for, a 27 restaurant endorsement; and 28 (3) the sale and service of food and alcoholic beverages and any other 29 business conducted on the licensed premises of the restaurant or eating place is under 30 the sole control of the licensee. 31 (d) The board may issue a license under this section only in a municipality or

01 established village that 02 (1) has a population of 20,000 or less; and 03 (2) includes a community that receives more than 4,000 visitors a year, 04 as determined by the Department of Commerce, Community, and Economic 05 Development. 06 (e) The board may issue a license or approve an application for the transfer of 07 ownership of a license under this section if it appears that issuance or transfer will 08 encourage the tourism trade. 09 (f) The holder of a seasonal restaurant or eating place tourism license shall 10 ensure that gross receipts from the sale of food for consumption on the licensed 11 premises are not less than the total of the gross receipts from the sale of alcoholic 12 beverages for consumption on the licensed premises in each calendar year. At the time 13 the holder submits an application for renewal of the license, the holder shall submit a 14 statement to the board certifying that the holder has met the requirement under this 15 subsection for the designated period of the license under AS 04.11.680. The board 16 may renew a seasonal restaurant or eating place tourism license only if the licensee 17 provides evidence satisfactory to the board that, during the designated period of the 18 license under AS 04.11.680, the gross receipts from the sale of food for consumption 19 on the licensed premises were not less than the total of the gross receipts from the sale 20 of alcoholic beverages for consumption on the licensed premises. 21 (g) The board shall adopt a regulation establishing a formula to limit the 22 number of seasonal restaurant or eating place tourism licenses. 23 (h) The holder of a seasonal restaurant or eating place tourism license may 24 provide entertainment on or adjacent to the licensed premises only between the hours 25 of 3:00 p.m. and 11:00 p.m. unless additional hours are approved by the director upon 26 the written request of the licensee for a specific occasion. The director may not grant 27 approval for additional hours of entertainment on or adjacent to the licensed premises 28 of an individual licensee more than three times in a calendar year. In this subsection, 29 "entertainment" includes dancing, karaoke, live performances, or similar activities, but 30 does not include recorded or broadcast performances without live participation. 31 (i) Except as provided under AS 04.09.620, 04.09.640, and AS 04.16.120(c),

01 the holder of a seasonal restaurant or eating place tourism license commits the offense 02 of failure to comply with the terms of a seasonal restaurant or eating place tourism 03 license if the person sells brewed beverages or wine in violation of (a) of this section 04 or fails to comply with (f) or (h) of this section. 05 (j) Failure to comply with the terms of a seasonal restaurant or eating place 06 tourism license is a violation. 07 Sec. 04.09.360. Winery direct shipment license. (a) A winery direct shipment 08 license authorizes the holder of a winery retail license issued under AS 04.09.320, or 09 the holder of a winery license issued in another state, to sell the holder's wine in 10 response to an order for shipment to a person, for personal use only and not for resale, 11 who is located in the state. A winery direct shipment license may not be transferred to 12 another person or another location. 13 (b) The biennial fee for a winery direct shipment license is $200. 14 (c) An applicant for issuance or renewal of a winery direct shipment license 15 shall 16 (1) submit an application on a form prescribed by the board; 17 (2) consent to the jurisdiction of the board, the Department of 18 Revenue, and any other state agency or state court concerning enforcement of this 19 title; and 20 (3) if the applicant is the holder of a license or permit authorizing the 21 holder to manufacture and sell wine to the public issued in another state, provide to the 22 board a copy of the holder's license or permit issued 23 (A) in the state; and 24 (B) by the Alcohol and Tobacco Tax and Trade Bureau. 25 (d) All wine shipped to a purchaser in the state by the holder of a winery direct 26 shipment license is subject to the state excise tax. 27 (e) The holder of a winery direct shipment license may not 28 (1) ship wine to an address with a zip code located in an area that has 29 adopted a local option under AS 04.11.491; 30 (2) sell more than the equivalent of six nine-liter cases of wine to a 31 purchaser in one transaction, or more than the equivalent of 12 nine-liter cases of wine

01 to a purchaser in a calendar year; and 02 (3) ship wine using a common carrier who is not approved by the 03 board to ship alcoholic beverages to persons in the state under AS 04.09.750(b). 04 (f) Before shipping an order under this section, the holder of a winery direct 05 shipment license shall 06 (1) verify that the person submitting the order is at least 21 years of 07 age, using an age verification service or other method, and that the named recipient of 08 the shipment, if not the same person as the person submitting the order, is at least 21 09 years of age; 10 (2) determine that the order will not exceed the limits of (e)(2) of this 11 section; 12 (3) provide written or electronic information to the person submitting 13 the order on fetal alcohol syndrome and fetal alcohol effects resulting from a woman's 14 consumption of alcohol during pregnancy; and 15 (4) label the shipping container as containing alcoholic beverages and 16 requiring a signature by a person who is at least 21 years of age upon delivery. 17 (g) The holder of a winery direct shipment license shall 18 (1) retain records of sales made under this license for at least two 19 years; and 20 (2) make records of sales available for inspection and audit by the 21 board and the Department of Revenue. 22 (h) The board shall compile a list that is available for public inspection of zip 23 codes that are located within a local option area and notify the holder of a winery 24 direct shipment license of any change to the list. 25 (i) The holder of a winery direct shipment license commits the offense of 26 failure to comply with the terms of a winery direct shipment license if the person fails 27 to comply with (e) - (g) of this section. 28 (j) Failure to comply with the terms of a winery direct shipment license is a 29 violation. 30 Sec. 04.09.370. Unlicensed retail sale. (a) A person commits the crime of 31 unlicensed retail sale if the person knowingly operates without the appropriate license

01 a retail operation that requires a license under AS 04.09.200 - 04.09.360. 02 (b) Unlicensed retail sale is a class A misdemeanor and is punishable under 03 AS 12.55. 04 Sec. 04.09.380. Unlicensed retail sale in a local option area. (a) A person 05 commits the crime of unlicensed retail sale in a local option area if the person 06 knowingly operates without a license in an area that has adopted a local option under 07 AS 04.11.491 a retail operation that requires a license under AS 04.09.200 - 08 04.09.360. 09 (b) Unlicensed retail sale in a local option area is a class C felony and is 10 punishable under AS 12.55. 11 Article 5. Endorsements. 12 Sec. 04.09.400. Types of endorsements. (a) An endorsement expands the 13 boundaries of a licensed premises or the authorized activities of a licensed business. 14 (b) Only the board may issue an endorsement. The board may issue only the 15 endorsements authorized in AS 04.09.400 - 04.09.520. 16 (c) An endorsement is valid only in conjunction with a license. An 17 endorsement may only be transferred to another person if the license for which the 18 endorsement was issued is also transferred to that person. An endorsement expires if 19 the licensed premises are relocated, the license expires, or the license is revoked. 20 (d) Except as provided in (c) of this section, an endorsement is valid for the 21 duration of the license as designated in AS 04.11.680. The holder of the endorsement 22 shall renew the endorsement biennially. 23 (e) An application for an endorsement under AS 04.09.400 - 04.09.520 must 24 (1) be made in writing on a form prescribed by the board; and 25 (2) demonstrate that the holder of the license has authority over and 26 will exercise control over conduct of the business in all areas of the licensed premises, 27 including premises newly licensed by the endorsement. 28 Sec. 04.09.410. Manufacturer sampling endorsement. (a) A manufacturer 29 sampling endorsement authorizes the holder of a brewery manufacturer license, 30 winery manufacturer license, or distillery manufacturer license to offer for 31 consumption on the licensed premises at no charge a small sample of an alcoholic

01 beverage produced by the manufacturer. 02 (b) The biennial fee for a manufacturer sampling endorsement is $200. 03 (c) A person serving a sample of an alcoholic beverage under this section must 04 have a current alcohol server education card issued under AS 04.21.025(c). Only the 05 license holder or an agent or employee of the license holder may serve a sample. 06 (d) The holder of a manufacturer sampling endorsement may serve a total 07 volume of samples to a person on a licensed premises each day that does not exceed 08 (1) for the holder of a brewery manufacturer license, 09 (A) 12 ounces of beer; or 10 (B) six ounces of sake; 11 (2) for the holder of a winery manufacturer license, 12 (A) six ounces of wine, mead, or cider containing 8.5 percent 13 or more alcohol by volume; or 14 (B) 12 ounces of cider containing less than 8.5 percent alcohol 15 by volume; 16 (3) for the holder of a distillery manufacturer license, 1.5 ounces of 17 distilled spirits. 18 (e) The holder of a manufacturer sampling endorsement may not publicly 19 advertise, including through newsprint, radio, or television, sampling activities 20 conducted under the endorsement. However, the holder of a manufacturer sampling 21 endorsement may notify existing customers of sampling activities, including by 22 electronic means. 23 (f) A person who offers a sample of an alcoholic beverage for consumption on 24 the licensed premises of a brewery, winery, or distillery without an endorsement under 25 this section commits the offense of unendorsed sampling. 26 (g) Unendorsed sampling is a violation and is punishable by a fine of $500. 27 (h) The holder of a manufacturer sampling endorsement who fails to comply 28 with the requirements of (c) - (e) of this section commits the offense of failure to 29 comply with the terms of a manufacturer sampling endorsement. 30 (i) Failure to comply with the terms of a manufacturer sampling endorsement 31 is a violation.

01 Sec. 04.09.420. Multiple fixed counter endorsement. (a) A multiple fixed 02 counter endorsement authorizes the holder of a beverage dispensary license or a 03 beverage dispensary tourism license to sell or serve alcoholic beverages on the 04 licensed premises from multiple fixed counters. 05 (b) The biennial fee for a multiple fixed counter endorsement is $200. 06 (c) In addition to the fee under (b) of this section, the initial application fee for 07 each fixed counter covered under the endorsement is $1,250. 08 (d) An initial application for a multiple fixed counter endorsement must 09 include an annotated drawing of the location of each fixed counter in the licensed 10 premises. 11 (e) A fixed counter at which alcoholic beverages are sold or served to the 12 public for consumption covered under a multiple fixed counter endorsement must be a 13 regularly maintained fixed counter or service bar that has plumbing connections to 14 permanent plumbing. Multiple fixed counters must be located in the same building 15 under the same contiguous licensed premises as set out in regulation, except as 16 provided for the holder of a hotel or motel endorsement under AS 04.09.430 or a large 17 resort endorsement under AS 04.09.440. The board shall adopt regulations to 18 implement this subsection. 19 (f) The holder of a beverage dispensary license or a beverage dispensary 20 tourism license who maintains multiple fixed counters without an endorsement under 21 this section commits the offense of unendorsed service at multiple fixed counters. 22 (g) The holder of a multiple fixed counter endorsement who fails to comply 23 with the requirements of (e) of this section commits the offense of multiple fixed 24 counter endorsement noncompliance. 25 (h) Unendorsed service at multiple fixed counters is a violation and is 26 punishable by a fine of $500. 27 (i) Multiple fixed counter endorsement noncompliance is a violation. 28 Sec. 04.09.430. Hotel or motel endorsement. (a) A hotel or motel 29 endorsement authorizes the holder of a beverage dispensary license or a beverage 30 dispensary tourism license that is a hotel, motel, resort, or similar business premises 31 that caters to the traveling public as a substantial part of its business to sell or serve

01 alcoholic beverages on the licensed premises, including in the dining room, banquet 02 room, and other public areas approved by the board, and in guest rooms. 03 (b) The biennial fee for a hotel or motel endorsement is $200. 04 (c) The holder of a beverage dispensary license or a beverage dispensary 05 tourism license that is a hotel, motel, resort, or similar business premises that caters to 06 the traveling public as a substantial part of its business shall apply for a multiple fixed 07 counter endorsement under AS 04.09.420 to sell or serve alcoholic beverages at a 08 secondary location located in a building different than the licensed premises for the 09 beverage dispensary license or a beverage dispensary tourism license if the different 10 building 11 (1) is located on the same property as, adjacent to, or attached to the 12 originally licensed premises; 13 (2) principally caters to guests of the hotel or motel; and 14 (3) principally encourages the tourism trade at the hotel or motel. 15 (d) The holder of a hotel or motel endorsement may stock alcoholic beverages 16 in guest rooms, for sale and consumption only in the guest room. Alcoholic beverages 17 stocked under this subsection must be stocked by an employee who is 21 years of age 18 or older, may not be supplied or resupplied during hours that the sale of alcoholic 19 beverages is prohibited as provided under AS 04.16.010(a) and (d), and must be stored 20 in a unit using a key or combination lock system within the guest room. A key lock 21 system must be designed to prevent the removal of the key unless the unit is locked. 22 Except for the licensee, or an agent or employee of the licensee, a key or combination 23 enabling a person to obtain alcoholic beverages stocked in a guest room may only be 24 provided to a guest who occupies the room and who is 21 years of age or older. 25 (e) The holder of a hotel or motel endorsement shall exercise control over 26 conduct of the business in all areas of the licensed premises. 27 (f) The holder of a beverage dispensary license or a beverage dispensary 28 tourism license who engages in activity under this section without an endorsement 29 under this section commits the offense of unendorsed hotel or motel service. 30 (g) The holder of a hotel or motel endorsement who fails to comply with the 31 requirements of this section commits the offense of hotel or motel endorsement

01 noncompliance. 02 (h) Unendorsed hotel or motel service is a violation and is punishable by a fine 03 of $500. 04 (i) Hotel or motel endorsement noncompliance is a violation. 05 Sec. 04.09.440. Large resort endorsement. (a) A large resort endorsement 06 authorizes the holder of a beverage dispensary license or a beverage dispensary 07 tourism license that is a large resort to sell or serve alcoholic beverages from multiple 08 locations on the resort property including in the dining room, banquet room, and other 09 public areas approved by the board, and in guest rooms, regardless of whether the 10 locations are in the same building or under the same roof. 11 (b) The biennial fee for a large resort endorsement is $200. 12 (c) The holder of a large resort endorsement shall apply for a multiple fixed 13 counter endorsement under AS 04.09.420 to sell or serve alcoholic beverages from 14 multiple locations within the large resort's property. The locations do not need to be 15 located in the same building or on the same parcel, but must be within the boundary of 16 the large resort, as that term is defined in (h) of this section. 17 (d) The holder of a large resort endorsement may sell or serve alcoholic 18 beverages only from locations on the site of the large resort. 19 (e) For federal income tax purposes, the profit and loss from the licensed 20 business conducted at locations on the resort under a large resort endorsement, other 21 than guest rooms, must be combined or consolidated with the profit and loss from the 22 licensed business conducted under the multiple fixed counter endorsement. 23 (f) The holder of a large resort endorsement shall exercise control over 24 conduct of the business in all areas of the licensed premises. 25 (g) A holder of a beverage dispensary license with a large resort endorsement 26 may stock alcoholic beverages in guest rooms, for sale and consumption only in the 27 guest room. Alcoholic beverages stocked under this subsection must be stocked by an 28 employee who is 21 years of age or older, may not be supplied or resupplied during 29 hours that the sale of alcoholic beverages is prohibited as provided under 30 AS 04.16.010(a) and (d), and must be stored in a unit using a key or combination lock 31 system within the guest room. A key lock system must be designed to prevent the

01 removal of the key unless the unit is locked. Except for the licensee, or an agent or 02 employee of the licensee, a key or combination enabling a person to obtain alcoholic 03 beverages stocked in a guest room may be provided only to a guest who occupies the 04 room and who is 21 years of age or older. 05 (h) In this section, "large resort" means a resort that offers both outdoor 06 recreational activities and overnight lodging to the public and is located on a site 07 consisting of at least 10 contiguous acres containing one or more parcels of real 08 property owned by the licensee, leased by the licensee, or a combination of parcels 09 owned by the licensee and leased by the licensee. 10 (i) The holder of a beverage dispensary license or a beverage dispensary 11 tourism license who engages in activity under this section without an endorsement 12 under this section commits the offense of unendorsed large resort service. 13 (j) The holder of a large resort endorsement who fails to comply with the 14 requirements of (c) - (g) of this section commits the offense of large resort 15 endorsement noncompliance. 16 (k) Unendorsed large resort service is a violation and is punishable by a fine of 17 $500. 18 (l) Large resort endorsement noncompliance is a violation. 19 Sec. 04.09.450. Restaurant endorsement. (a) A restaurant endorsement 20 authorizes the holder of a restaurant or eating place license, beverage dispensary 21 license, golf course license, sporting event license, club license, outdoor recreation 22 lodge license, destination resort license, beverage dispensary tourism license, or 23 seasonal restaurant or eating place tourism license to allow a person 24 (1) under 21 years of age access as provided in (e) of this section to the 25 premises of a bona fide restaurant on the licensed premises; and 26 (2) to enter or remain on the licensed premises to consume food or 27 nonalcoholic beverages as authorized under AS 04.16.010(c)(5). 28 (b) The biennial fee for a restaurant endorsement is $200. 29 (c) An application for a restaurant endorsement must specify the establishment 30 or portion of the establishment that constitutes a bona fide restaurant. 31 (d) The board may issue an endorsement under this section only if the board

01 finds 02 (1) that the establishment or portion of the establishment for which the 03 endorsement is requested is a bona fide restaurant; 04 (2) there is supervision on the premises adequate to reasonably ensure 05 that a person under 21 years of age will not obtain alcoholic beverages; and 06 (3) that it is unlikely that persons under 21 years of age not employed 07 on the premises will enter and remain on the premises of the bona fide restaurant for 08 purposes other than dining. 09 (e) The board may authorize the holder of a license with a restaurant 10 endorsement 11 (1) to allow a person who is at least 16 years of age but under 21 years 12 of age to enter and remain on the licensed premises for dining only; 13 (2) to allow a person who is under 16 years of age to enter and remain 14 on the licensed premises for dining only if 15 (A) the person is accompanied by a person who is 21 years of 16 age or older; and 17 (B) the parent or guardian of the person consents to the person 18 being on the licensed premises; and 19 (3) subject to AS 04.16.049, to employ or permit the employment of a 20 person who is at least 16 years of age but under 21 years of age on the premises of the 21 bona fide restaurant if the employer provides adequate supervision to ensure that the 22 person does not obtain alcoholic beverages. 23 (f) The holder of a license who engages in activity under this section without 24 an endorsement under this section commits the offense of unendorsed restaurant 25 service. 26 (g) The holder of a restaurant endorsement who engages in activity not 27 authorized by the board under (e) of this section or fails to comply with the 28 requirements of (e) of this section commits the offense of restaurant endorsement 29 noncompliance. 30 (h) Unendorsed restaurant service is a violation and is punishable by a fine of 31 $500.

01 (i) Restaurant endorsement noncompliance is a violation. 02 Sec. 04.09.460. Package store shipping endorsement. (a) A package store 03 shipping endorsement authorizes the holder of a package store license to sell alcoholic 04 beverages to a person who makes an order to that licensee for shipment. 05 (b) The biennial fee for a package store shipping endorsement is $200. 06 (c) An endorsement holder may ship alcoholic beverages only to the purchaser 07 and may ship alcoholic beverages only in response to an order. The endorsement 08 holder may not, in response to an order, ship alcohol to a purchaser at an address other 09 than the address where the purchaser resides or, if the purchaser resides in a 10 municipality or established village that has adopted a local option under 11 AS 04.11.491(a)(1), (2), or (3) or (b)(1) or (2) for which a community delivery site has 12 been designated under AS 04.11.491(f), to an address other than that community 13 delivery site except as provided by AS 04.11.491(f)(1) and (2). 14 (d) An endorsement holder shall provide written or electronic information on 15 fetal alcohol syndrome and fetal alcohol effects resulting from a woman's 16 consumption of alcohol during pregnancy to the purchaser in response to an order. 17 (e) If a shipment is to an area that has restricted the sale of alcoholic beverages 18 under AS 04.11.491(a)(1), (2), or (3) or (b)(1) or (2), an endorsement holder may not 19 ship to a purchaser more than 10.5 liters of distilled spirits or 24 liters or more of wine, 20 or either a half-barrel keg of brewed beverages or 15.5 gallons or more of brewed 21 beverages in individual containers in a calendar month, or a lower amount of distilled 22 spirits, wine, or brewed beverages if the municipality or established village has 23 adopted the lower amount by local option under AS 04.11.491(g). Before shipping 24 alcohol to a purchaser in a restricted area, an endorsement holder shall consult the 25 database maintained by the board under AS 04.06.095 for any alcoholic beverage 26 shipments made to the purchaser during that calendar month by a package store. An 27 endorsement holder may not ship an amount of alcoholic beverages to a purchaser in a 28 restricted area that, when added to the amount already shipped, exceeds the amount 29 authorized by this subsection. An endorsement holder shall immediately enter into the 30 database the date and the amount of alcoholic beverages shipped to the purchaser. 31 (f) An endorsement holder may not divide or combine shipments of alcoholic

01 beverages so as to circumvent the limitation imposed under (e) of this section. 02 (g) In this section, "endorsement holder" means the holder of a package store 03 license with a package store shipping endorsement, and an agent or employee of the 04 holder of a package store license with a package store shipping endorsement. 05 (h) The holder of a package store license who ships alcoholic beverages 06 without an endorsement under this section commits the offense of unendorsed package 07 store shipping. 08 (i) The holder of a package store shipping endorsement who fails to comply 09 with the requirements of (c) - (f) of this section commits the offense of package store 10 shipping endorsement noncompliance. 11 (j) Unendorsed package store shipping is a violation and is punishable by a 12 fine of $500. 13 (k) Package store shipping endorsement noncompliance is a violation. 14 Sec. 04.09.470. Package store delivery endorsement. (a) A package store 15 delivery endorsement authorizes the holder of a package store license to deliver 16 alcoholic beverages to the location of a social event as set out in this section. For 17 purposes of this subsection, the board shall define by regulation the term "social 18 event." 19 (b) The biennial fee for a package store delivery endorsement is $200. 20 (c) The holder of a package store delivery endorsement may deliver alcoholic 21 beverages only in response to an order. The board shall adopt regulations specifying 22 the occasions for which delivery of alcoholic beverages is allowed and the manner of 23 delivery by the licensee. 24 (d) The holder of a package store delivery endorsement may deliver alcoholic 25 beverages only to a responsible adult at the delivery location specified on the order. 26 The responsible adult shall provide identification and acceptable proof of age under 27 AS 04.21.050 and acknowledge in writing receipt of the alcoholic beverages. 28 (e) The holder of a package store license who delivers alcoholic beverages 29 without an endorsement under this section commits the offense of unendorsed package 30 store delivery. 31 (f) The holder of a package store delivery endorsement who fails to comply

01 with the requirements of (c) and (d) of this section commits the offense of package 02 store delivery endorsement noncompliance. 03 (g) Unendorsed package store delivery is a violation and is punishable by a 04 fine of $500. 05 (h) Package store delivery endorsement noncompliance is a violation. 06 Sec. 04.09.480. Package store repackaging endorsement. (a) A package 07 store repackaging endorsement authorizes the holder of a package store license to 08 subdivide and sell alcoholic beverages from original packages with federally 09 compliant labels to smaller containers with the standard federal government warnings 10 and the product name. 11 (b) The biennial fee for a package store repackaging endorsement is $200. 12 (c) A package store licensee with a package store repackaging endorsement 13 may 14 (1) subdivide alcoholic beverages 15 (A) for sale on the licensed premises by opening the original 16 package for the purpose of subdividing the contents into smaller packages; or 17 (B) in response to a purchase request from a person who is on 18 the licensed premises or purchase order submitted in accordance with 19 AS 04.09.470(c); 20 (2) permit an agent or employee to subdivide alcoholic beverages, but 21 may not permit a customer or another person who is not an agent or employee of the 22 licensee to subdivide alcoholic beverages. 23 (d) The holder of a package store license who repackages alcoholic beverages 24 without an endorsement under this section commits the offense of unendorsed package 25 store repackaging. 26 (e) The holder of a package store repackaging endorsement who fails to 27 comply with the requirements of this section commits the offense of package store 28 repackaging endorsement noncompliance. 29 (f) Unendorsed package store repackaging is a violation and is punishable by a 30 fine of $500. 31 (g) Package store repackaging endorsement noncompliance is a violation.

01 Sec. 04.09.490. Package store sampling endorsement. (a) A package store 02 sampling endorsement authorizes the holder of a package store license to offer for 03 consumption on the licensed premises at no charge a small sample of an alcoholic 04 beverage from its inventory during the package store's stated hours of business, but not 05 between the hours of midnight and 8 a.m. 06 (b) The biennial fee for a package store sampling endorsement is $200. 07 (c) Only the license holder or an agent or employee of the license holder may 08 serve a sample. 09 (d) The holder of a package store sampling endorsement may serve a total 10 volume of samples to a person on a licensed premises each day that does not exceed 11 (1) 12 ounces of beer or cider, if the cider contains less than 8.5 12 percent alcohol by volume; 13 (2) six ounces of wine, mead, sake, or cider, if the cider contains 8.5 14 percent or more alcohol by volume; 15 (3) 1.5 ounces of distilled spirits; or 16 (4) the alcoholic equivalent of (1), (2), or (3) of this subsection. 17 (e) The holder of a package store sampling endorsement may not publicly 18 advertise, including through newsprint, radio, or television, sampling activities 19 conducted under the endorsement. However, the holder of a package store sampling 20 endorsement may notify existing customers of sampling activities, including by 21 electronic means. 22 (f) A person who offers a sample of an alcoholic beverage for consumption on 23 the licensed premises of a package store without an endorsement under this section 24 commits the offense of unendorsed package store sampling. 25 (g) Unendorsed package store sampling is a violation and is punishable by a 26 fine of $500. 27 (h) The holder of a package store sampling endorsement who fails to comply 28 with the requirements of (a) and (c) - (e) of this section commits the offense of failure 29 to comply with the terms of a package store sampling endorsement. 30 (i) Failure to comply with the terms of a package store sampling endorsement 31 is a violation.

01 Sec. 04.09.500. Bowling alley endorsement. (a) A bowling alley endorsement 02 authorizes the holder of a beverage dispensary license or a beverage dispensary 03 tourism license to sell or serve alcoholic beverages in the concourse or lane areas of 04 the bowling alley adjacent to the main bar area. 05 (b) The biennial fee for a bowling alley endorsement is $200. 06 (c) The board may issue a bowling alley endorsement only if the concourse or 07 lane areas of the bowling alley or both are 08 (1) designated as part of the licensed premises for the beverage 09 dispensary license or a beverage dispensary tourism license; and 10 (2) adjacent to the main bar area. 11 (d) Notwithstanding AS 04.16.049, the board may, upon application, authorize 12 access by persons under 21 years of age to the concourse or lane areas or both that are 13 designated part of the licensed premises of the bowling alley during hours when no 14 alcoholic beverages are being sold, served, or consumed. 15 (e) The periods during which persons under 21 years of age may be permitted 16 access to the licensed premises must be clearly posted on the licensed premises. 17 (f) The holder of a beverage dispensary license or a beverage dispensary 18 tourism license who sells or serves alcoholic beverages in the concourse or lane areas 19 of a bowling alley without an endorsement under this section commits the offense of 20 unendorsed bowling alley service. 21 (g) The holder of a bowling alley endorsement under this section who fails to 22 comply with the requirements of (e) of this section or who permits access by a person 23 under 21 years of age to the concourse or lane areas of the bowling alley during hours 24 when alcoholic beverages are being served in the concourse or lane areas commits the 25 offense of bowling alley endorsement noncompliance. 26 (h) Unendorsed bowling alley service is a violation and is punishable by a fine 27 of $500. 28 (i) Bowling alley endorsement noncompliance is a violation. 29 Sec. 04.09.510. Golf course endorsement. (a) A golf course endorsement 30 authorizes the owner of a golf course who has obtained a beverage dispensary license 31 or a beverage dispensary tourism license to sell or serve alcoholic beverages on the

01 golf course, driving range, club house and other buildings located on the course, and a 02 vending cart carrying beverages or food to, from, or on the course, excluding the 03 parking lot. 04 (b) The biennial fee for a golf course endorsement is $200. 05 (c) An application for a golf course endorsement must include a drawing of 06 the golf course with an annotated illustration and a description of the portions of the 07 course that are licensed premises and that are intended to be covered by the 08 endorsement. 09 (d) The holder of a beverage dispensary license or beverage dispensary 10 tourism license who sells or serves alcoholic beverages on a golf course without an 11 endorsement under this section commits the offense of unendorsed golf course service. 12 (e) The holder of a golf course endorsement who fails to comply with (a) of 13 this section commits the offense of golf course endorsement noncompliance. 14 (f) Unendorsed golf course service is a violation and is punishable by a fine of 15 $500. 16 (g) Golf course endorsement noncompliance is a violation. 17 Sec. 04.09.520. Brewery repackaging endorsement. (a) A brewery 18 repackaging endorsement authorizes the holder of a brewery manufacturer license who 19 held a license to operate a brewpub under former AS 04.11.135 and was operating a 20 brewpub on the day before the effective date of this section and who also holds, 21 wholly or in part, a beverage dispensary license, beverage dispensary tourism license, 22 restaurant or eating place license, or a seasonal restaurant or eating place tourism 23 license to offer the holder's brewed beverages for sale for consumption off the licensed 24 premises and to subdivide and sell the holder's brewed beverages from original 25 packages with federally compliant labels to smaller containers with the standard 26 federal government warnings and the product name. 27 (b) The biennial fee for a brewery repackaging endorsement is $200. 28 (c) A brewery manufacturer licensee with a brewery repackaging endorsement 29 (1) is authorized to sell, each day to a person on the licensed premises 30 for consumption off the licensed premises, not more than 31 (A) 5.167 gallons of the holder's beer; or

01 (B) nine liters of sake; 02 (2) may permit an agent or employee to subdivide the holder's brewed 03 beverages, but may not permit a customer or another person who is not an agent or 04 employee of the licensee to subdivide the holder's brewed beverages. 05 (d) The holder of a brewery manufacturer license who repackages brewed 06 beverages without an endorsement under this section or a brewery retail license under 07 AS 04.09.310 commits the offense of unendorsed brewery repackaging. 08 (e) In this section, "licensed premises" means a premises licensed under a 09 beverage dispensary license, beverage dispensary tourism license, restaurant or eating 10 place license, or a seasonal restaurant or eating place tourism license that is controlled 11 by a brewery manufacturer licensee. 12 (f) The holder of a brewery repackaging endorsement who fails to comply 13 with the requirements of this section commits the offense of brewery repackaging 14 endorsement noncompliance. 15 (g) Unendorsed brewery repackaging is a violation, punishable by a fine of 16 $500. 17 (h) Brewery repackaging endorsement noncompliance is a violation. 18 Article 6. Permits. 19 Sec. 04.09.600. Types of permits. (a) A permit allows catering and serving 20 activities for a specific time period on a single specified premises and allows an 21 eligible nonprofit organization to host a fundraising or not-for-profit event. 22 (b) The director may issue only the permits authorized in AS 04.09.600 - 23 04.09.690. An application for a permit must be received by the director not less than 24 three business days before the first day of the event. Except for a conditional 25 contractor's permit issued under AS 04.09.690, the director shall require every person 26 who will serve or sell alcohol or check identification of a patron during a permitted 27 event to complete an alcohol server education course under AS 04.21.025 before the 28 first day of the permitted event. 29 (c) An applicant for a permit must follow the application requirements set out 30 in AS 04.11.260. 31 (d) A permit, other than an inventory resale permit under AS 04.09.680 and a

01 conditional contractor's permit under AS 04.09.690, is valid only on the premises, for 02 the event, and for the period specified. 03 (e) The holder of an approved permit may submit a written request for 04 amendment of the approved permit to change the event date, site, designated area, or 05 designated time. The holder of the approved permit shall submit the request to the 06 director not later than three business days before the event and shall include approval 07 of the law enforcement agency having jurisdiction over the site of the event for which 08 the amended permit is sought. 09 (f) The holder of an approved permit shall ensure that the individuals serving 10 alcohol have completed alcohol server training as required under AS 04.21.025 before 11 the first day of the permitted event. 12 (g) A permit may not be transferred to another person or another location and, 13 except for a conditional contractor's permit under AS 04.09.690, may not be renewed. 14 (h) Except as otherwise provided in AS 04.09.680 for an inventory resale 15 permit and AS 04.09.690 for a conditional contractor's permit, the fee for a permit 16 shall be set by the board in regulation. The fee must be at least $50 for each day of the 17 event. 18 (i) The director shall approve or deny a permit application. If the director 19 denies a permit application, the applicant may appeal to the board. 20 Sec. 04.09.610. Beverage dispensary caterer's permit. A beverage 21 dispensary caterer's permit authorizes the holder of a beverage dispensary license or 22 beverage dispensary tourism license to sell or dispense alcoholic beverages at 23 conventions, picnics, sporting events, concerts, street festivals, or similar affairs held 24 off the holder's licensed premises for which a beverage dispensary license or beverage 25 dispensary tourism license would not otherwise be required. The permit may be issued 26 only for designated premises for a specific occasion and for a limited period. 27 Sec. 04.09.620. Restaurant caterer's dining permit. (a) A restaurant caterer's 28 dining permit authorizes the holder of a restaurant or eating place license or a seasonal 29 restaurant or eating place tourism license to sell brewed beverages and wine before 30 and during the service of food provided by the licensee at a single dining event held 31 off the holder's licensed premises.

01 (b) The director may issue a restaurant caterer's dining permit only for 02 designated premises, for a specific occasion, and for a limited period. 03 (c) The licensee shall provide food in conjunction with the service of brewed 04 beverages and wine under a restaurant caterer's dining permit. The licensee shall 05 comply with the requirements for gross receipts from food sales for a restaurant or 06 eating place license under AS 04.09.210(d) or a seasonal restaurant or eating place 07 tourism license under AS 04.09.350(f). 08 Sec. 04.09.630. Club caterer's permit. (a) A club caterer's permit authorizes 09 the holder of a club license to sell or dispense alcoholic beverages at an event held off 10 the club's licensed premises. 11 (b) The application for a club caterer's permit filed under AS 04.11.260 must 12 be signed by two officers of the organization. 13 (c) A restriction or prohibition under AS 04.09.220 regarding a club member 14 or a guest of a club member applies at the premises covered by the permit. 15 (d) The director may not issue more than three club caterer's permits to the 16 holder of a club license in a calendar year. 17 Sec. 04.09.640. Art exhibit event permit. (a) An art exhibit event permit 18 authorizes the holder of a beverage dispensary license, a beverage dispensary tourism 19 license, a restaurant or eating place license, or a seasonal restaurant or eating place 20 tourism license to sell and serve brewed beverages and wine for consumption at a 21 specific art exhibit event. 22 (b) The director may issue an art exhibit event permit only for a specific art 23 exhibit event at premises designated in the application for a limited period specified in 24 the application. 25 (c) The director may not grant more than 12 art exhibit event permits to a 26 licensee in a calendar year. 27 (d) An art exhibit event permit may not be exercised during an event that is 28 expected to attract attendees under 21 years of age. 29 (e) Food must be provided in conjunction with the service of brewed 30 beverages and wine under an art exhibit event permit. 31 Sec. 04.09.650. Nonprofit organization event permit. (a) A nonprofit

01 organization event permit authorizes the holder to sell or dispense brewed beverages 02 or wine for consumption at an event organized by the nonprofit organization. 03 (b) Only a nonprofit organization, such as a fraternal, civic, professional, or 04 patriotic organization, that is incorporated under AS 10.20 and has been active for a 05 period of at least two years before filing an application is eligible for a nonprofit 06 organization event permit. 07 (c) The application for a nonprofit organization event permit filed under 08 AS 04.11.260 must be signed by two officers of the organization. The nonprofit 09 organization shall submit, together with the application, 10 (1) either a signed copy of a resolution adopted by the board of 11 directors or a copy of the minutes from a board meeting of the nonprofit organization 12 authorizing the application; and 13 (2) a sworn affidavit showing the length of time the organization has 14 been in existence. 15 (d) The director may not issue more than five nonprofit organization event 16 permits to a nonprofit organization, including an auxiliary of the organization, in a 17 calendar year. A nonprofit organization event permit may only be issued for 18 designated premises for a specific occasion and for a limited period of time as 19 specified in the application. 20 (e) The nonprofit organization shall ensure that all profits derived from the 21 sale of brewed beverages or wine under a nonprofit organization event permit are paid 22 to the organization that holds the permit and not to an individual. 23 Sec. 04.09.660. Alcoholic beverage auction permit. (a) An alcoholic 24 beverage auction permit authorizes the holder to sell alcoholic beverages by outcry or 25 silent auction. An alcoholic beverage auction permit is sufficient to authorize a 26 nonprofit organization under (b) of this section to sell alcoholic beverages by outcry or 27 silent auction, and no other permit or license is required. An alcoholic beverage 28 auction permit may be operated on the licensed premises of a beverage dispensary 29 license, beverage dispensary tourism license, club license, restaurant or eating place 30 license, or seasonal restaurant or eating place license. 31 (b) Only a nonprofit organization, such as a fraternal, civic, professional, or

01 patriotic organization, that is incorporated under AS 10.20 and has been active for a 02 period of at least two years before filing an application is eligible for an alcoholic 03 beverage auction permit. 04 (c) The application for an alcoholic beverage auction permit filed under 05 AS 04.11.260 must be signed by two officers of the organization. The nonprofit 06 organization shall submit, together with the application, 07 (1) either a signed copy of a resolution adopted by the board of 08 directors or a copy of the minutes of a board meeting of the nonprofit organization 09 authorizing the application; and 10 (2) a sworn affidavit showing the length of time the organization has 11 been in existence. 12 (d) The director may not issue more than five alcoholic beverage auction 13 permits to a nonprofit organization, including an auxiliary of the organization, in a 14 calendar year. The director may issue a permit only for designated premises for a 15 specific event and for a limited period as specified in the application. 16 (e) The nonprofit organization shall ensure that all profits derived from the 17 sale of brewed beverages or wine under an alcoholic beverage auction permit are paid 18 to the organization that holds the permit and not to an individual. 19 (f) The nonprofit organization may not permit consumption at the auction site 20 of the alcoholic beverages being auctioned under a nonprofit organization alcoholic 21 beverage auction permit. 22 Sec. 04.09.670. Tasting event permit. (a) A tasting event permit authorizes 23 the holder of a beverage dispensary license or a beverage dispensary tourism license to 24 sell or dispense alcoholic beverages at a tasting event held in partnership with the 25 holder of a package store license, brewery retail license, winery retail license, or 26 distillery retail license. 27 (b) A tasting event must be for the purpose of promoting products available 28 for purchase from the partnering package store licensee, brewery retail licensee, 29 winery retail licensee, or distillery retail licensee; only products produced or sold by 30 the partnering licensee may be sold or dispensed at the event. 31 (c) Only the holder of a beverage dispensary license or a beverage dispensary

01 tourism license may apply for a tasting event permit under this section. An application 02 for a tasting event permit must list both the beverage dispensary licensee or beverage 03 dispensary tourism licensee and the partnering licensee, and specify the designated 04 premises for the event. The tasting event must be held in the same municipality or 05 organized village in which the licensed premises of the partnering licensee are located. 06 (d) The director may not issue more than six permits in a calendar year to a 07 beverage dispensary licensee or a beverage dispensary tourism licensee for tasting 08 events with a particular partnering licensee; however, there is no limit on the number 09 of different partnering licensees with whom a beverage dispensary licensee may 10 partner for different events. If a person holds two or more qualifying partnering 11 licenses, then the director shall treat each license as separate and distinct when 12 applying the limitation under this subsection, regardless of how many other licenses 13 the person holds, wholly or in part. 14 (e) The director may not issue a tasting event permit for a period that 15 (1) is longer than four hours; 16 (2) lasts beyond 9:00 p.m. 17 (f) Food must be provided in conjunction with the service of alcoholic 18 beverages under a tasting event permit. 19 (g) In this section, "partnering licensee" means the holder of a package store 20 license, brewery retail license, winery retail license, or distillery retail license who has 21 partnered with the holder of a beverage dispensary license or a beverage dispensary 22 tourism license to host a tasting event permitted by this section. 23 Sec. 04.09.680. Inventory resale permit. (a) An inventory resale permit 24 authorizes the holder to sell the remaining inventory of alcoholic beverages of a 25 business when the owner of the business no longer has a valid license under this title. 26 (b) The fee for an inventory resale permit is $100. 27 (c) The holder of an inventory resale permit may sell the remaining alcoholic 28 beverage inventory only to the holder of a valid license under this chapter. 29 (d) The director may issue an inventory resale permit for a period ending 90 30 days after the date of expiration or forfeiture of the license. The director may not issue 31 a permit if the license was suspended or revoked.

01 Sec. 04.09.690. Conditional contractor's permit. (a) A conditional 02 contractor's permit authorizes the holder to sell brewed beverages or wine for 03 consumption only on designated premises for the designated period of the permit 04 under AS 04.11.680 at construction sites that are located outside a city and inside the 05 boundaries of a military or naval reservation. 06 (b) The biennial conditional contractor's permit fee is $1,200. 07 (c) An applicant for a conditional contractor's permit must obtain and file with 08 the board written permission from the commanding officer of the military or naval 09 reservation and the prime contractor of the remotely situated project for the conduct of 10 the activities authorized by the permit. A conditional contractor's permit may be 11 renewed biennially upon reapplication for a permit and may be revoked or suspended 12 at the discretion of the commanding officer or the prime contractor. 13 (d) A conditional contractor's permit may not be transferred and is not valid 14 after the completion of the holder's contract or the closing of the military or naval 15 reservation. 16 Sec. 04.09.700. Failure to comply with a permit requirement. (a) A person 17 who engages in activity that requires a permit under AS 04.09.600 - 04.09.690 without 18 having a permit and a person who violates the terms of a permit issued under 19 AS 04.09.600 - 04.09.690 commits the offense of failure to comply with a permit 20 requirement. 21 (b) Except as provided in (c) of this section, failure to comply with a permit 22 requirement is a violation punishable under AS 04.21.072. 23 (c) Failure to comply with a permit requirement of an inventory resale permit 24 under AS 04.09.680 or a conditional contractor's permit under AS 04.09.690 is 25 punishable by a fine of $500. 26 Article 7. Common Carrier Approval. 27 Sec. 04.09.750. Common carrier approval. (a) A common carrier may not 28 transport or deliver alcoholic beverages to a person in the state unless the board has 29 approved the common carrier under (b) of this section. 30 (b) A common carrier may apply to the board, on a form prescribed by the 31 board, for approval to transport and deliver alcoholic beverages to persons in the state.

01 The board shall approve an application if the common carrier certifies that it will meet 02 the requirements under (c) and (d) of this section. 03 (c) A common carrier delivering alcoholic beverages to a person in the state 04 shall ensure that the package containing alcoholic beverages is delivered directly to a 05 person who 06 (1) presents identification and acceptable proof of age under 07 AS 04.21.050 showing that the person is 21 years of age or older; and 08 (2) provides a signature acknowledging that the person received the 09 package. 10 (d) A common carrier approved by the board under (b) of this section shall 11 make records of shipments of alcoholic beverages to persons in the state available for 12 inspection and audit by the board. The board may require periodic reporting of 13 approved common carriers on a form prescribed by the board. 14 (e) The board shall maintain, periodically review, and make available for 15 public inspection a list of approved common carriers for transport and delivery of 16 alcoholic beverages to persons in the state. 17 (f) The board may remove a previously approved common carrier from the list 18 if the common carrier transports or delivers alcoholic beverages in violation of (c) or 19 (d) of this section. 20 (g) A common carrier that has not been approved by the board to transport and 21 deliver alcoholic beverages and that transports or delivers alcoholic beverages into or 22 within the state commits the offense of unapproved common carrier transport or 23 delivery of alcoholic beverages. 24 (h) Unapproved common carrier transport or delivery of alcoholic beverages is 25 a violation and is punishable by a fine of $500. 26 (i) An approved common carrier that violates a provision under (c) or (d) of 27 this section commits the offense of common carrier noncompliance for transport or 28 delivery of alcoholic beverages. 29 (j) Common carrier noncompliance for transport or delivery of alcoholic 30 beverages is a violation. 31 (k) In this section,

01 (1) "common carrier" means a motor vehicle, watercraft, aircraft, or 02 railroad car available for public hire to transport freight or passengers; 03 (2) "transport" has the meaning given in AS 04.11.499. 04 * Sec. 10. AS 04.11.010(a) is amended to read: 05 (a) A [EXCEPT AS PROVIDED IN AS 04.11.020, A] person may not 06 knowingly [MANUFACTURE, SELL, OFFER FOR SALE,] possess for [SALE OR] 07 barter, traffic in, or barter an alcoholic beverage unless under license or permit issued 08 under this title. 09 * Sec. 11. AS 04.11.010(b) is amended to read: 10 (b) Except as provided in this subsection, a person may not solicit or receive 11 orders for the delivery of an alcoholic beverage in an area that has adopted a local 12 option under AS 04.11.491. If the area has adopted a local option under 13 AS 04.11.491(a)(1), (2), or (3), or (b)(1) or (2), a package store licensee outside of that 14 local option area may receive orders as provided under a package store shipping 15 endorsement under AS 04.09.460 [AS 04.11.150] but may not solicit in that area or 16 receive orders through an agent or employee in that area. This subsection does not 17 apply to a package store licensee who operates a package store in an area that has 18 adopted a local option under AS 04.11.491(a)(2)(C) or (3)(C) or (b)(2)(C). A person 19 who violates this subsection is punishable upon conviction as provided under 20 AS 04.16.200(a) or (b). 21 * Sec. 12. AS 04.11.010(c) is amended to read: 22 (c) Unless a municipality or established village has adopted a more restrictive 23 local option under AS 04.11.491(g), in a criminal prosecution for possession of 24 alcoholic beverages for barter or sale in violation of (a) of this section, AS 04.09.060, 25 04.09.070, 04.09.140, 04.09.145, 04.09.370, or 04.09.380, the fact that a person 26 (1) possessed more than 10 1/2 liters of distilled spirits or 24 liters or 27 more of wine, or either a half-barrel keg [HALF-KEG] of brewed [MALT] 28 beverages or 15.5 [12] gallons or more of brewed [MALT] beverages in individual 29 containers in an area where the sale of alcoholic beverages is restricted or prohibited 30 under AS 04.11.491 creates a presumption that the person possessed the alcoholic 31 beverages for barter or sale;

01 (2) sends, transports, or brings more than 10 1/2 liters of distilled 02 spirits or 24 liters or more of wine, or either a half-barrel keg [HALF-KEG] of 03 brewed [MALT] beverages or 15.5 [12] gallons or more of brewed [MALT] 04 beverages in individual containers to an area where the sale of alcoholic beverages is 05 restricted or prohibited under AS 04.11.491 creates a presumption that the person sent, 06 transported, or brought the alcoholic beverages for barter or sale in the area. 07 * Sec. 13. AS 04.11.015 is amended to read: 08 Sec. 04.11.015. Purchase from nonlicensee prohibited. (a) A person may not 09 purchase or barter for alcoholic beverages from a person who is not a licensee, 10 permittee, or an agent or employee of a licensee or permittee. 11 (b) A person who violates (a) of this section is guilty of a violation. 12 * Sec. 14. AS 04.11.040 is amended by adding new subsections to read: 13 (d) A person who transfers a license or permit or a controlling interest in a 14 license or permit in violation of this section commits the offense of unauthorized 15 transfer of an alcoholic beverage license or permit. 16 (e) Unauthorized transfer of an alcoholic beverage license or permit is a 17 violation. 18 * Sec. 15. AS 04.11.045 is amended by adding new subsections to read: 19 (c) A limited liability organization that fails to report as required under (a) of 20 this section commits the offense of failure to report a change in member interest or 21 manager. 22 (d) Failure to report a change in member interest or manager is a violation. 23 * Sec. 16. AS 04.11.050 is amended by adding new subsections to read: 24 (d) A corporation that fails to report as required under (a) of this section, other 25 than a corporation described in (c) of this section, commits the offense of failure to 26 report a stock transfer or change of officers or board members. 27 (e) Failure to report a stock transfer or change of officers or board members is 28 a violation. 29 * Sec. 17. AS 04.11.055 is amended by adding new subsections to read: 30 (c) A partnership that fails to report as required under (a) of this section 31 commits the offense of failure to report a transfer of partnership interest or change of

01 general partner. 02 (d) Failure to report a transfer of partnership interest or change of general 03 partner is a violation. 04 * Sec. 18. AS 04.11.060 is amended to read: 05 Sec. 04.11.060. Nonresident distiller, brewer, winery, or wholesaler. A 06 distiller, brewer, winery, or wholesaler whose plant or principal place of business is 07 outside the state may not sell products directly to licensees in the state without 08 (1) obtaining a general wholesale license under AS 04.09.100 09 [AS 04.11.160(a)] for each wholesale distributing point in the state; 10 (2) appointing an agent upon whom process can be served; and 11 (3) obtaining other applicable licenses under the provisions of this title. 12 * Sec. 19. AS 04.11.060 is amended by adding a new subsection to read: 13 (b) A person who violates (a) of this section is guilty of a class A 14 misdemeanor. 15 * Sec. 20. AS 04.11.260 is amended to read: 16 Sec. 04.11.260. Application for new license, endorsement, or permit. (a) An 17 applicant for a new license, endorsement, or permit shall file with the director a 18 written application, signed and sworn to by the applicant, giving the applicant's name, 19 mailing address, telephone number, and electronic mail address. If the applicant is 20 a corporation, the application shall be executed by an [THE] authorized officer 21 [OFFICERS] of the corporation. If the applicant is a partnership, including a limited 22 partnership, the application shall be executed by an authorized general partner. The 23 application must include 24 (1) the type of license, endorsement, or permit desired; 25 (2) a description of the premises for which the license, endorsement, 26 or permit is desired, giving the address by street and number, or other information, so 27 that the location of the premises can be definitely determined; 28 (3) an annotated illustration of the premises designating the areas 29 for manufacture, storage, service, and consumption of alcoholic beverages and, 30 for a license application, the area for warehousing of the alcoholic beverages; 31 (4) the license, endorsement, or permit fee, and, for a multiple fixed

01 counter endorsement, the application fee for each counter; 02 (5) [(4)] the duration of the license, endorsement, or permit desired, 03 including, for a permit, a statement of the event dates and the specific hours of 04 intended operation; 05 (6) [(5)] any other information required by the board. 06 (b) A corporation applying for a license or conditional contractor's permit 07 under AS 04.09.690 shall provide the names and addresses of the president, vice- 08 president, secretary, managing officer, and all stockholders who own 10 percent or 09 more of the stock in the corporation, together with any other information required by 10 the board. 11 (c) An applicant for a new license or permit must include with the application 12 (1) proof that notice required by AS 04.11.310, if any, has been given; 13 (2) any petitions required to be secured under AS 04.11.460 before a 14 license may be issued; 15 (3) evidence of any approval by public authorities required to be 16 obtained [UNDER AS 04.11.090(e), 04.11.220(c), 04.11.230(b), 04.11.240(b), OR 17 04.11.250(b),] before a license or permit may be issued, including 18 (A) written approval under AS 04.09.240 from the 19 governing body of a college or university for a pub license; 20 (B) approval under AS 04.11.365 for a restaurant or eating 21 place license in a multi-unit residential housing development owned or 22 financed by the Alaska Housing Finance Corporation; 23 (C) permission from the commanding officer and the prime 24 contractor for a conditional contractor's permit under AS 04.09.690; 25 (D) for a permit other than a conditional contractor's 26 permit, approval of the law enforcement agency having jurisdiction over 27 the site of the event for which the permit is sought. 28 (d) A partnership, including a limited partnership, that applies for a license or 29 conditional contractor's permit under AS 04.09.690 shall provide information 30 required by the board including the names and addresses of all general partners and all 31 partners with an interest of 10 percent or more.

01 (e) A limited liability organization that applies for a license or conditional 02 contractor's permit under AS 04.09.690 shall provide information required by the 03 board, including the names and addresses of all members with an ownership interest of 04 10 percent or more and the names and addresses of all managers. 05 * Sec. 21. AS 04.11.260 is amended by adding a new subsection to read: 06 (f) This section does not apply to a winery direct shipment license issued 07 under AS 04.09.360. 08 * Sec. 22. AS 04.11.270 is amended to read: 09 Sec. 04.11.270. Application for renewal of license, license with 10 endorsement, or conditional contractor's permit. (a) An application for renewal of 11 a license, license with endorsement, or [RENEWAL OF A] conditional contractor's 12 permit under AS 04.09.690 must include 13 (1) the information required for a new license, license with 14 endorsement, or permit under AS 04.11.260 except that proof of notice under 15 AS 04.11.310 is not required; and 16 (2) a list of all convictions of the applicant of violations of this title, a 17 regulation adopted under this title, or an ordinance adopted under AS 04.21.010, that 18 occurred in the preceding two calendar years. 19 (b) A license, license with endorsement, or permit shall be renewed as 20 follows: 21 (1) on or before November 1, the director shall mail a renewal 22 application to each licensee whose license, license with endorsement, or permit, 23 unless renewed, will expire on December 31 of that year; the application shall be 24 mailed to the licensee or permittee [AT THE LICENSED PREMISES OR] at a 25 mailing address or electronic mail address furnished by the licensee or permittee; 26 (2) the licensee or permittee shall submit the completed renewal 27 application and the biennial [LICENSE] fee to the director before January 1; 28 (3) a renewal application filed after December 31 is delinquent and 29 must be accompanied by a $500 penalty fee; 30 (4) if December 31 falls on a weekend or a state holiday, the deadline 31 is extended to the first business day following December 31.

01 * Sec. 23. AS 04.11.270 is amended by adding a new subsection to read: 02 (c) This section does not apply to a winery direct shipment license issued 03 under AS 04.09.360. 04 * Sec. 24. AS 04.11.280 is amended to read: 05 Sec. 04.11.280. Application for transfer of a license to another person. (a) 06 An application for transfer of a license or a license with one or more endorsements 07 to another person must contain the same information about the transferee as is required 08 of an applicant for a new license or endorsement under AS 04.11.260 and must 09 include other information required by the board. 10 (b) An application for the transfer of a license or a license with one or more 11 endorsements to another person must be accompanied by a statement, under oath, 12 executed by the transferor, listing all debts of the business and all taxes due by the 13 business. The board shall promptly inform each listed creditor of the application and 14 the amount shown as owed to that creditor. 15 * Sec. 25. AS 04.11.295(a) is amended to read: 16 (a) An applicant for the issuance or transfer of a license or issuance of a 17 conditional contractor's permit under this title shall submit to the board, with the 18 application, the applicant's fingerprints and the fees required by the Department of 19 Public Safety under AS 12.62.160 for criminal justice information and a national 20 criminal history record check. The board may require an applicant for renewal of a 21 license or a conditional contractor's permit under this title to submit fingerprints and 22 pay fees as required by this subsection. The board shall submit the fingerprints to the 23 Department of Public Safety to obtain a report of criminal justice information under 24 AS 12.62 and a national criminal history record check under AS 12.62.400. The 25 Department of Public Safety may submit the fingerprints to the Federal Bureau of 26 Investigation for a national criminal history record check. The board shall use the 27 information obtained under this section in its determination of an applicant's 28 qualification for issuance, transfer, or renewal of a license or issuance or renewal of a 29 conditional contractor's permit. 30 * Sec. 26. AS 04.11.295(b)(1) is amended to read: 31 (1) "applicant" means all individuals whose names and addresses are

01 required to be provided with an application for a new license or conditional 02 contractor's permit under AS 04.09.690 [AS 04.11.260]; 03 * Sec. 27. AS 04.11.310 is amended by adding a new subsection to read: 04 (c) This section does not apply to a winery direct shipment license issued 05 under AS 04.09.360. 06 * Sec. 28. AS 04.11 is amended by adding a new section to article 3 to read: 07 Sec. 04.11.315. False statement on application. A person who knowingly 08 makes a false sworn statement that the person does not believe to be true on an 09 application under AS 04.11.260 - 04.11.310 commits the crime of perjury under 10 AS 11.56.200. 11 * Sec. 29. AS 04.11.320(a) is amended to read: 12 (a) An application requesting issuance of a new license or endorsement shall 13 be denied if 14 (1) the board finds, after review of all relevant information, that 15 issuance of the license or endorsement would not be in the best interests of the 16 public; 17 (2) issuance of the license is prohibited by AS 04.11.410, relating to 18 location of premises near churches and schools; 19 (3) the application has not been completed in accordance with 20 AS 04.11.260; 21 (4) issuance of the license or endorsement would violate the 22 restrictions pertaining to the particular license or endorsement imposed under this 23 title; 24 (5) issuance of the license is prohibited under this title as a result of an 25 election conducted under AS 04.11.507; 26 (6) the requirements of AS 04.11.420 - 04.11.450 relating to zoning, 27 ownership and location of the license or endorsement, and the identity and financing 28 of a licensee have not been met; 29 (7) issuance of the license is prohibited under AS 04.11.400(a) or 30 prohibition of issuance of the license is found necessary under AS 04.11.400(b); 31 (8) the application contains false statements of material fact;

01 (9) the license is sought for the sale of alcoholic beverages in a first or 02 second class city where there are no licensed premises at the time of application unless 03 a majority of the voters have voted not to approve a local option to restrict or prohibit 04 the sale of alcoholic beverages under AS 04.11.491, have voted to approve a local 05 option to allow the type of premises under AS 04.11.491(a)(2) or (3), or have voted to 06 remove a restriction or prohibition on the sale of alcoholic beverages under 07 AS 04.11.495; or 08 (10) the license is sought for the sale of alcoholic beverages in an 09 established village where there are no licensed premises at the time of application 10 unless a majority of the voters have voted not to approve a local option to restrict or 11 prohibit the sale of alcoholic beverages under AS 04.11.491, have voted to approve a 12 local option to allow the type of premises under AS 04.11.491(b)(2), or have voted to 13 remove a restriction or prohibition on the sale of alcoholic beverages under 14 AS 04.11.495. 15 * Sec. 30. AS 04.11.330(a) is amended to read: 16 (a) An application requesting renewal of a license shall be denied if 17 (1) the board finds, after review of all relevant information, that 18 renewal of the license would not be in the best interests of the public; 19 (2) the license has been revoked for any cause; 20 (3) the applicant has not operated the licensed premises for at least 240 21 hours [30 EIGHT-HOUR DAYS] during each of the two preceding calendar years, 22 unless the board determines that the licensed premises are under construction or 23 cannot be operated through no fault of the applicant; 24 (4) the board finds that issuance of an existing license under 25 AS 04.11.400(d) has not encouraged tourist trade; 26 (5) the requirements of AS 04.11.420 - 04.11.450 relating to zoning, 27 ownership of the license, and financing of the licensee have not been met; 28 (6) renewal of the license would violate the restrictions pertaining to 29 the particular license under this title or the license has been operated in violation of a 30 condition or restriction imposed by the board; 31 (7) renewal of the license is prohibited under this title as a result of an

01 election conducted under AS 04.11.507; or 02 (8) the application has not been completed in accordance with 03 AS 04.11.270 [; OR 04 (9) THE LICENSE WAS ISSUED UNDER AS 04.11.400(g), AND 05 THE BOARD FINDS THAT THE PUBLIC CONVENIENCE DOES NOT 06 REQUIRE RENEWAL]. 07 * Sec. 31. AS 04.11.330(a), as amended by sec. 30 of this Act, is amended to read: 08 (a) An application requesting renewal of a license or endorsement shall be 09 denied if 10 (1) the board finds, after review of all relevant information, that 11 renewal of the license or endorsement would not be in the best interests of the public; 12 (2) the license or endorsement has been revoked for any cause; 13 (3) the applicant has not operated the licensed premises for at least 240 14 hours [30 EIGHT-HOUR DAYS] during each of the two preceding calendar years, 15 unless the board determines that the licensed premises are under construction or 16 cannot be operated through no fault of the applicant; 17 (4) the board finds that issuance of an existing beverage dispensary 18 tourism license under AS 04.09.340 or seasonal restaurant or eating place tourism 19 license under AS 04.09.350 [AS 04.11.400(d)] has not encouraged tourist trade; 20 (5) the requirements of AS 04.11.420 - 04.11.450 relating to zoning, 21 ownership of the license, and financing of the licensee have not been met; 22 (6) renewal of the license or endorsement would violate the 23 restrictions pertaining to the particular license or endorsement under this title or the 24 license or endorsement has been operated in violation of a condition or restriction 25 imposed by the board; 26 (7) renewal of the license is prohibited under this title as a result of an 27 election conducted under AS 04.11.507; or 28 (8) the application has not been completed in accordance with 29 AS 04.09.360 or AS 04.11.270. 30 * Sec. 32. AS 04.11.330(d) is amended to read: 31 (d) Notwithstanding (a)(3) of this section, a common carrier dispensary

01 license issued under AS 04.09.260 or a sporting event [RECREATIONAL SITE] 02 license issued under AS 04.09.270 [AS 04.11.210] may be renewed if the license was 03 exercised at least once during each of the two preceding calendar years. 04 * Sec. 33. AS 04.11.330 is amended by adding a new subsection to read: 05 (e) The requirements of (a)(3), (a)(5), and (a)(7) of this section do not apply to 06 a winery direct shipment license issued under AS 04.09.360. 07 * Sec. 34. AS 04.11.340 is amended to read: 08 Sec. 04.11.340. Denial of request for relocation. An application requesting 09 approval for the relocation of licensed premises shall be denied if 10 (1) the board finds, after review of all relevant information, that 11 relocation of the license would not be in the best interests of the public; 12 (2) the relocation is prohibited under AS 04.11.400(a) or (b); 13 (3) the license would be relocated out of the established village, 14 incorporated city, unified municipality, or population area established under 15 AS 04.11.400(a) within which it is located; 16 (4) transfer of ownership is to be made concurrently with the 17 relocation of the licensed premises and a ground for denial of the transfer of 18 ownership under AS 04.11.360 is presented; 19 (5) the application has not been completed in accordance with 20 AS 04.11.290; 21 (6) relocation of the license would result in violation of a local zoning 22 law; 23 (7) relocation of the license would violate the restrictions pertaining to 24 the particular license imposed by this title; 25 (8) relocation of the license is prohibited under this title as a result of 26 an election conducted under AS 04.11.507; or 27 (9) the license was issued under AS 04.11.400(d) [, (e), OR (g)]. 28 * Sec. 35. AS 04.11.340, as amended by sec. 34 of this Act, is amended to read: 29 Sec. 04.11.340. Denial of request for relocation. An application requesting 30 approval for the relocation of licensed premises shall be denied if 31 (1) the board finds, after review of all relevant information, that

01 relocation of the license would not be in the best interests of the public; 02 (2) the relocation is prohibited under AS 04.11.400(a) or (b); 03 (3) the license would be relocated out of the established village, 04 incorporated city, unified municipality, or population area established under 05 AS 04.11.400(a) within which it is located except as provided under 06 AS 04.11.400(k); 07 (4) transfer of ownership is to be made concurrently with the 08 relocation of the licensed premises and a ground for denial of the transfer of 09 ownership under AS 04.11.360 is presented; 10 (5) the application has not been completed in accordance with 11 AS 04.11.290; 12 (6) relocation of the license would result in violation of a local zoning 13 law; 14 (7) relocation of the license would violate the restrictions pertaining to 15 the particular license imposed by this title; or 16 (8) relocation of the license is prohibited under this title as a result of 17 an election conducted under AS 04.11.507 [; OR 18 (9) THE LICENSE WAS ISSUED UNDER AS 04.11.400(d)]. 19 * Sec. 36. AS 04.11.360 is amended to read: 20 Sec. 04.11.360. Denial of transfer of a license to another person. An 21 application requesting approval of a transfer of a license to another person under this 22 title shall be denied if 23 (1) the board finds, after review of all relevant information, that 24 transfer of a license to another person would not be in the best interests of the public; 25 (2) the application has not been completed in accordance with 26 AS 04.11.280; 27 (3) the application contains false statements of material fact; 28 (4) the transferor has not paid all debts or taxes arising from the 29 conduct of the business licensed under this title unless 30 (A) the transferor gives security for the payment of the debts or 31 taxes satisfactory to the creditor or taxing authority; or

01 (B) the transfer is under a promise given as collateral by the 02 transferor to the transferee in the course of an earlier transfer of the license 03 under which promise the transferor is obliged to transfer the license back to the 04 transferee in the event of default in payment for property conveyed as part of 05 the earlier transfer of the license; 06 (5) transfer of the license to another person would result in violation of 07 the provisions of this title relating to identity of licensees and financing of licensees; 08 (6) transfer of the license to another person would violate the 09 restrictions pertaining to the particular license under this title; 10 (7) transfer of the license to another person is prohibited under the 11 provisions of this title as a result of an election conducted under AS 04.11.507; 12 (8) the prospective transferee does not have the qualifications required 13 under this title of an original applicant; 14 (9) the license was issued under AS 04.11.100(f) [OR 04.11.400(g)]; 15 however, this paragraph does not apply to a beverage dispensary license issued before 16 June 6, 1985, under former AS 04.11.400(j) if the transfer does not involve a change 17 in location; or 18 (10) the license was issued under AS 04.11.135, unless the transferor is 19 also applying to transfer the beverage dispensary license required under AS 04.11.135 20 to the same transferee. 21 * Sec. 37. AS 04.11.360, as amended by sec. 36 of this Act, is amended to read: 22 Sec. 04.11.360. Denial of transfer of a license to another person. An 23 application requesting approval of a transfer of a license to another person under this 24 title shall be denied if 25 (1) the board finds, after review of all relevant information, that 26 transfer of a license to another person would not be in the best interests of the public; 27 (2) the application has not been completed in accordance with 28 AS 04.11.280; 29 (3) the application contains false statements of material fact; 30 (4) the transferor has not paid all debts or taxes arising from the 31 conduct of the business licensed under this title unless

01 (A) the transferor gives security for the payment of the debts or 02 taxes satisfactory to the creditor or taxing authority; or 03 (B) the transfer is under a promise given as collateral by the 04 transferor to the transferee in the course of an earlier transfer of the license 05 under which promise the transferor is obliged to transfer the license back to the 06 transferee in the event of default in payment for property conveyed as part of 07 the earlier transfer of the license; 08 (5) transfer of the license to another person would result in violation of 09 the provisions of this title relating to identity of licensees and financing of licensees; 10 (6) transfer of the license to another person would violate the 11 restrictions pertaining to the particular license under this title; 12 (7) transfer of the license to another person is prohibited under the 13 provisions of this title as a result of an election conducted under AS 04.11.507; or 14 (8) the prospective transferee does not have the qualifications required 15 under this title of an original applicant; 16 [(9) THE LICENSE WAS ISSUED UNDER AS 04.11.100(f); 17 HOWEVER, THIS PARAGRAPH DOES NOT APPLY TO A BEVERAGE 18 DISPENSARY LICENSE ISSUED BEFORE JUNE 6, 1985, UNDER FORMER 19 AS 04.11.400(j) IF THE TRANSFER DOES NOT INVOLVE A CHANGE IN 20 LOCATION; OR 21 (10) THE LICENSE WAS ISSUED UNDER AS 04.11.135, UNLESS 22 THE TRANSFEROR IS ALSO APPLYING TO TRANSFER THE BEVERAGE 23 DISPENSARY LICENSE REQUIRED UNDER AS 04.11.135 TO THE SAME 24 TRANSFEREE]. 25 * Sec. 38. AS 04.11.365 is amended to read: 26 Sec. 04.11.365. Licensed premises in multi-unit residential housing 27 developments owned or financed by the Alaska Housing Finance Corporation. 28 For premises located in a multi-unit residential housing development owned or 29 financed by the Alaska Housing Finance Corporation, the board may issue a new 30 license under AS 04.11.320, renew a license under AS 04.11.330, or approve a request 31 for relocation under AS 04.11.340 if the Alaska Housing Finance Corporation

01 authorizes the use under AS 18.56.230 and 02 [(1) THE LICENSE IS FOR A RESTAURANT OR EATING PLACE 03 UNDER AS 04.11.100; OR 04 (2)] the premises are covered by a restaurant endorsement 05 [DESIGNATED BY THE BOARD AS A RESTAURANT] under AS 04.09.450 06 [AS 04.16.049]. 07 * Sec. 39. AS 04.11.370(a) is amended to read: 08 (a) A license, endorsement, or permit shall be suspended or revoked if the 09 board finds 10 (1) misrepresentation of a material fact on an application made under 11 this title or a regulation adopted under this title; 12 (2) continuation of the manufacture, sale, or service of alcoholic 13 beverages by the licensee or permittee would be contrary to the best interests of the 14 public; 15 (3) failure on the part of the licensee to correct a defect that constitutes 16 a violation of this title, a condition or restriction imposed by the board, a regulation 17 adopted under this title, or other laws after receipt of notice issued by the board or its 18 agent; 19 (4) conviction of a licensee of a violation of this title, a regulation 20 adopted under this title, or an ordinance adopted under AS 04.21.010; 21 (5) conviction of an agent or employee of a licensee of a violation of 22 this title, a regulation adopted under this title, or an ordinance adopted under 23 AS 04.21.010, if the licensee is found by the board to have either knowingly allowed 24 the violation or to have recklessly or with criminal negligence failed to act in 25 accordance with the duty prescribed under AS 04.21.030 with the result that the agent 26 or employee violates a law, regulation, or ordinance; 27 (6) failure of the licensee to comply with the public health, fire, or 28 safety laws and regulations in the state; 29 (7) use of the licensed premises as a resort for illegal possessors or 30 users of narcotics, prostitutes, or sex traffickers; in addition to any other legally 31 competent evidence, the character of the premises may be proved by the general

01 reputation of the premises in the community as a resort for illegal possessors or users 02 of narcotics, prostitutes, or sex traffickers; 03 (8) occurrence of illegal gambling within the limits of the licensed 04 premises; 05 (9) the licensee permitted a public offense involving moral turpitude to 06 occur on the licensed premises; 07 (10) violation by a licensee of this title, a condition or restriction 08 imposed by the board, a regulation adopted under this title, or an ordinance adopted 09 under AS 04.21.010; or 10 (11) violation by an agent or employee of a licensee of a provision of 11 this title, a condition or restriction imposed by the board, a regulation adopted under 12 this title, or an ordinance adopted under AS 04.21.010, if the licensee is found by the 13 board to have either knowingly allowed the violation or to have recklessly or with 14 criminal negligence failed to act in accordance with the duty prescribed under 15 AS 04.21.030 with the result that the agent or employee violates the law, condition or 16 restriction, regulation, or ordinance. 17 * Sec. 40. AS 04.11.395 is amended to read: 18 Sec. 04.11.395. Conditions [BOARD IMPOSED CONDITIONS] or 19 restrictions imposed on a license, endorsement, or permit. The board may, in the 20 best interests of the public, impose conditions or restrictions on a license, 21 endorsement, or permit issued under this chapter. 22 * Sec. 41. AS 04.11.395 is amended by adding a new subsection to read: 23 (b) Except for a conditional contractor's permit issued under AS 04.09.690, 24 the director may, in the best interests of the public, impose conditions or restrictions 25 on a permit issued under this chapter. 26 * Sec. 42. AS 04.11.400(a) is amended to read: 27 (a) Except as provided in (d) - (k) of this section and AS 04.11.405, a new 28 license may not be issued and the board may prohibit relocation of an existing license 29 (1) outside an established village, incorporated city, unified 30 municipality, or organized borough if, after the issuance or relocation, there would be 31 (A) more than one restaurant or eating place license for each 1,500 population or

01 fraction of that population, or (B) more than one license of each other type, including 02 licenses that have been issued under (d) or (e) of this section, for each 3,000 03 population or fraction of that population, in a radius of five miles of the licensed 04 premises, excluding the populations of established villages, incorporated cities, unified 05 municipalities, and organized boroughs that are wholly or partly included within the 06 radius; 07 (2) inside an established village, incorporated city, or unified 08 municipality if, after the issuance or relocation, there would be inside the established 09 village, incorporated city, or unified municipality 10 (A) more than one restaurant or eating place license for each 11 1,500 population or fraction of that population; or 12 (B) more than one license of each other type, including licenses 13 that have been issued under (d) or (e) of this section, for each 3,000 population 14 or fraction of that population; 15 (3) inside an organized borough but outside an established village or 16 incorporated city located within the borough if, after the issuance or relocation, there 17 would be inside the borough, but outside the established villages and incorporated 18 cities located within the borough, 19 (A) more than one restaurant or eating place license for each 20 1,500 population or fraction of that population; or 21 (B) more than one license of each other type, including licenses 22 that have been issued under (d) or (e) of this section, for each 3,000 population 23 or fraction of that population excluding the population of those established 24 villages that have adopted a local option under AS 04.11.491(b)(1), (3), or (4), 25 and excluding the population of incorporated cities located within the 26 organized borough. 27 * Sec. 43. AS 04.11.400(a), as amended by sec. 42 of this Act, is amended to read: 28 (a) Except as provided in (f) and (k) [(d) - (k)] of this section and 29 AS 04.11.405, a new license may not be issued and the board may prohibit relocation 30 of an existing license 31 (1) outside an established village, incorporated city, unified

01 municipality, or organized borough if, after the issuance or relocation, in a radius of 02 five miles of the licensed premises, excluding the populations of established 03 villages, incorporated cities, unified municipalities, and organized boroughs that 04 are wholly or partly included within the radius, there would be 05 (A) more than one restaurant or eating place license for each 06 1,500 population or fraction of that population; [, OR] 07 (B) more than one brewery retail, winery retail, or distillery 08 retail license for each 9,000 population or fraction of that population; or 09 (C) more than one license of each other type, except a type 10 listed in (i) of this section [INCLUDING LICENSES THAT HAVE BEEN 11 ISSUED UNDER (d) OR (e) OF THIS SECTION], for each 3,000 population 12 or fraction of that population [, IN A RADIUS OF FIVE MILES OF THE 13 LICENSED PREMISES, EXCLUDING THE POPULATIONS OF 14 ESTABLISHED VILLAGES, INCORPORATED CITIES, UNIFIED 15 MUNICIPALITIES, AND ORGANIZED BOROUGHS THAT ARE 16 WHOLLY OR PARTLY INCLUDED WITHIN THE RADIUS]; 17 (2) inside an established village, incorporated city, or unified 18 municipality if, after the issuance or relocation, there would be inside the established 19 village, incorporated city, or unified municipality 20 (A) more than one restaurant or eating place license for each 21 1,500 population or fraction of that population; [OR] 22 (B) more than one brewery retail, winery retail, or distillery 23 retail license for each 9,000 population or fraction of that population; or 24 (C) more than one license of each other type, except a type 25 listed in (i) of this section [INCLUDING LICENSES THAT HAVE BEEN 26 ISSUED UNDER (d) OR (e) OF THIS SECTION], for each 3,000 population 27 or fraction of that population; 28 (3) inside an organized borough but outside an established village or 29 incorporated city located within the borough if, after the issuance or relocation, there 30 would be inside the borough, but outside the established villages and incorporated 31 cities located within the borough, excluding the population of those established

01 villages that have adopted a local option under AS 04.11.491(b)(1) or (3), and 02 excluding the population of incorporated cities located within the organized 03 borough; 04 (A) more than one restaurant or eating place license for each 05 1,500 population or fraction of that population; [OR] 06 (B) more than one brewery retail, winery retail, or distillery 07 retail license for each 9,000 population or fraction of that population; or 08 (C) more than one license of each other type, except a type 09 listed in (i) of this section [INCLUDING LICENSES THAT HAVE BEEN 10 ISSUED UNDER (d) OR (e) OF THIS SECTION], for each 3,000 population 11 or fraction of that population [EXCLUDING THE POPULATION OF THOSE 12 ESTABLISHED VILLAGES THAT HAVE ADOPTED A LOCAL OPTION 13 UNDER AS 04.11.491(b)(1), (3), OR (4), AND EXCLUDING THE 14 POPULATION OF INCORPORATED CITIES LOCATED WITHIN THE 15 ORGANIZED BOROUGH]. 16 * Sec. 44. AS 04.11.400(i) is repealed and reenacted to read: 17 (i) This section does not apply to a 18 (1) brewery manufacturer license issued under AS 04.09.020; 19 (2) winery manufacturer license issued under AS 04.09.030; 20 (3) distillery manufacturer license issued under AS 04.09.040; 21 (4) general wholesale license issued under AS 04.09.100; 22 (5) limited wholesale brewed beverage and wine license under 23 AS 04.09.110; 24 (6) outdoor recreation lodge license issued under AS 04.09.280; 25 (7) destination resort license issued under AS 04.09.300; 26 (8) beverage dispensary tourism license issued under AS 04.09.340; 27 (9) seasonal restaurant or eating place tourism license issued under 28 AS 04.09.350; 29 (10) winery direct shipment license issued under AS 04.09.360; 30 (11) conditional contractor's permit issued under AS 04.09.690. 31 * Sec. 45. AS 04.11.400(k) is amended to read:

01 (k) The board may allow the relocation of an existing beverage dispensary 02 license under AS 04.09.200 or former AS 04.11.090 to a restaurant, eating place, or 03 hotel, motel, resort, or similar business that contains a restaurant or eating place, or of 04 an existing package store license under AS 04.09.230 or former AS 04.11.150, in a 05 borough with a population of 50,000 [60,000] or more [IF THE GOVERNING BODY 06 OF THE BOROUGH APPROVES THE RELOCATION. HOWEVER, IF THE 07 RELOCATION OF THE LICENSE IS] into or within an incorporated city in the 08 borough. The [, THE] board may not approve the relocation unless, at the time of 09 application, the existing number of issued licenses of the type under consideration 10 for relocation located within the borough exceeds the maximum allowed under 11 (a) of this section, and the governing bodies of both the borough and the incorporated 12 city approve the relocation. The board may allow not more than three relocations into 13 each city [IN A BOROUGH] under this subsection each decade. In this subsection, 14 "decade" means each 10-year period beginning April 1 in a year ending in zero. 15 * Sec. 46. AS 04.11 is amended by adding a new section to read: 16 Sec. 04.11.405. Petition for additional restaurant or eating place licenses 17 for certain local governing bodies. (a) A first class city, a home rule city, or a unified 18 municipality may submit a resolution to the board, adopted by its legislative body, 19 petitioning the board for the issuance of additional restaurant or eating place licenses 20 under AS 04.11.100 that exceed the limits under AS 04.11.400(a) in accordance with 21 this section. 22 (b) The board, following a public hearing, may issue one or more additional 23 restaurant or eating place licenses under AS 04.11.100, within the boundaries of the 24 municipality, if the board finds that 25 (1) the municipality 26 (A) serves as a center for commercial activity within and 27 outside the boundaries of the municipality by providing goods and services to a 28 population that is greater than the permanent resident population within the 29 boundaries of the municipality; 30 (B) maintains a local law enforcement department; 31 (C) exercises planning and land-use authority; and

01 (D) at the time of the petition, meets or exceeds the maximum 02 limit under AS 04.11.400(a) for restaurant or eating place licenses issued under 03 AS 04.11.100; 04 (2) the number of additional licenses does not exceed the number of 05 additional licenses requested by the municipality in the petition; and 06 (3) granting the additional licenses is in the public interest. 07 (c) A resolution submitted by a municipality under (a) of this section must 08 include 09 (1) information demonstrating that the petitioner meets the criteria in 10 (b) of this section; 11 (2) the most recent estimate of the number of people who claim 12 residency or work outside the boundaries of the municipality and who are served by 13 the municipality, including the 14 (A) population located outside the boundaries of the 15 municipality that relies on the municipality for goods and services; 16 (B) visitor population; and 17 (C) nonresident worker population that resides in the 18 municipality, but that is not counted in the latest federal or state census for the 19 municipality; 20 (3) the number of existing restaurant or eating place licenses 21 (A) within the boundaries of the municipality; 22 (B) in a geographic area that the municipality serves under (2) 23 of this subsection; 24 (4) information showing that the number of additional licenses 25 requested does not exceed one license for each 1,500 population of the population 26 identified under (2) of this subsection; and 27 (5) additional justification, as necessary, to demonstrate that granting 28 of the additional licenses is in the public interest. 29 (d) If the board grants a petition for additional restaurant or eating place 30 licenses under this section to a municipality, the board may not authorize additional 31 restaurant or eating place licenses to the same municipality under this section for the

01 following five years. 02 * Sec. 47. AS 04.11.405(a), enacted by sec. 46 of this Act, is amended to read: 03 (a) A first class city, a home rule city, or a unified municipality may submit a 04 resolution to the board, adopted by its legislative body, petitioning the board for the 05 issuance of additional restaurant or eating place licenses under AS 04.09.210 06 [AS 04.11.100] that exceed the limits under AS 04.11.400(a) in accordance with this 07 section. 08 * Sec. 48. AS 04.11.405(b), enacted by sec. 46 of this Act, is amended to read: 09 (b) The board, following a public hearing, may issue one or more additional 10 restaurant or eating place licenses under AS 04.09.210 [AS 04.11.100], within the 11 boundaries of the municipality, if the board finds that 12 (1) the municipality 13 (A) serves as a center for commercial activity within and 14 outside the boundaries of the municipality by providing goods and services to a 15 population that is greater than the permanent resident population within the 16 boundaries of the municipality; 17 (B) maintains a local law enforcement department; 18 (C) exercises planning and land-use authority; and 19 (D) at the time of the petition, meets or exceeds the maximum 20 limit under AS 04.11.400(a) for restaurant or eating place licenses issued under 21 AS 04.09.210 [AS 04.11.100]; 22 (2) the number of additional licenses does not exceed the number of 23 additional licenses requested by the municipality in the petition; and 24 (3) granting the additional licenses is in the public interest. 25 * Sec. 49. AS 04.11.430 is amended to read: 26 Sec. 04.11.430. Person and location. (a) Each license shall be issued to a 27 specific individual or individuals, to a partnership, including a limited partnership, to a 28 limited liability organization, or to a corporation. If the license is issued to a 29 corporation or a limited liability organization, the registered agent of the corporation 30 or limited liability organization may [MUST] be either an individual resident of the 31 state or a domestic corporation authorized to transact business in this state whose

01 business office is the same as the registered office. 02 (b) Except for a license authorizing the sale of alcoholic beverages on a 03 common carrier, a specific location shall be indicated on the license or permit as the 04 licensed premises, the principal address of which shall be indicated on the license or 05 permit. The mailing address, telephone number, and electronic mailing address of a 06 licensee or, if the licensee is a corporation, the address, telephone number, and 07 electronic mailing address of the registered office of the corporation must be kept 08 current and on file in the main office of the board. 09 * Sec. 50. AS 04.11.450(b) is amended to read: 10 (b) A person who is a representative or owner of a wholesale business 11 licensed under AS 04.09.100 or 04.09.110 [, BREWERY, WINERY, BOTTLING 12 WORKS, OR DISTILLERY] may not be issued, solely or together with others, a 13 manufacturer license issued under AS 04.09.020 - 04.09.040, or a retail license 14 issued under AS 04.09.200 - 04.09.360 [BEVERAGE DISPENSARY LICENSE, A 15 RESTAURANT OR EATING PLACE LICENSE, OR PACKAGE STORE 16 LICENSE. A HOLDER OF A BEVERAGE DISPENSARY LICENSE MAY BE 17 ISSUED A BREWPUB LICENSE, SUBJECT TO THE PROVISIONS OF 18 AS 04.11.135. THE PROHIBITION AGAINST ISSUANCE OF A RESTAURANT 19 OR EATING PLACE LICENSE IMPOSED UNDER THIS SUBSECTION DOES 20 NOT APPLY TO A RESTAURANT OR EATING PLACE LICENSE ISSUED ON 21 OR BEFORE OCTOBER 1, 1996 OR A RESTAURANT OR EATING PLACE 22 LICENSE ISSUED UNDER AN APPLICATION FOR A RESTAURANT OR 23 EATING PLACE LICENSE APPROVED ON OR BEFORE OCTOBER 1, 1996]. 24 * Sec. 51. AS 04.11.450(e) is amended to read: 25 (e) A holder of either a general wholesale license or a limited wholesale 26 brewed [MALT] beverage and wine license may not be employed by or act as the 27 agent or employee of the holder of a manufacturer [BEVERAGE DISPENSARY OR 28 PACKAGE STORE] license under AS 04.09.020 - 04.09.040 or a retail license 29 under AS 04.09.200 - 04.09.360. 30 * Sec. 52. AS 04.11.450 is amended by adding new subsections to read: 31 (g) The holder of a manufacturer license that annually produces in total

01 300,000 barrels or more of brewed beverages, 50,000 nine-liter-equivalent cases or 02 more of wine, or 50,000 nine-liter-equivalent cases or more of distilled spirits may not 03 be issued, solely or together with others, a license under AS 04.09.100 - 04.09.360. 04 (h) For purposes of calculating the volume that the holder of a manufacturer 05 license produces under this section, the volume of production must include all 06 production by 07 (1) the holder of the manufacturer's license; and 08 (2) an officer, director, agent, employee, or affiliate of the holder; in 09 this paragraph, "affiliate" means a person that directly or indirectly, through one or 10 more intermediaries, controls, or is controlled by, or is under common control with, a 11 corporation. 12 * Sec. 53. AS 04.11.460 is amended by adding a new subsection to read: 13 (d) This section does not apply to a winery direct shipment license issued 14 under AS 04.09.360. 15 * Sec. 54. AS 04.11.470 is amended to read: 16 Sec. 04.11.470. Objection. A person may object to an application for issuance, 17 renewal, transfer of location, or transfer to another person of a license, for issuance, 18 renewal, or transfer to another person of a license with one or more 19 endorsements, for issuance of an endorsement or for issuance of a permit, by 20 serving upon the applicant and the board the reasons for the objection. The board shall 21 consider the objections and testimony received at a hearing conducted under 22 AS 04.11.510(b)(2) when it considers the application. An objection and the record of a 23 hearing conducted under AS 04.11.510(b)(2) shall be retained as part of the board's 24 permanent record of its review of the application. 25 * Sec. 55. AS 04.11.480(a) is amended to read: 26 (a) A local governing body may protest the issuance, renewal, relocation, or 27 transfer to another person of a license, issuance, renewal, or transfer to another 28 person of a license with one or more endorsements, or issuance of an 29 endorsement by sending the board and the applicant a protest and the reasons for the 30 protest within 60 days of the date [RECEIPT FROM THE BOARD] of the notice of 31 filing of the application. A protest received after the 60-day period may not be

01 accepted by the board, and in no event may a protest cause the board to reconsider an 02 approved renewal, relocation, or transfer. The local governing body may protest the 03 continued operation of a license or endorsement during the second year of the 04 biennial license period by sending the board and the licensee a protest and the reasons 05 for the protest by January 31 of the second year of the license. The procedures for 06 action on a protest of continued operation of a license or endorsement are the same as 07 the procedures for action on a protest of a renewal application. The board shall 08 consider a protest and testimony received at a hearing conducted under 09 AS 04.11.510(b)(2) or (4) when it considers the application or continued operation, 10 and the protest and the record of the hearing conducted under AS 04.11.510(b)(2) or 11 (4) shall be kept as part of the board's permanent record of its review. If an application 12 or continued operation is protested, the board shall deny the application or continued 13 operation unless the board finds that the protest is arbitrary, capricious, and 14 unreasonable. 15 * Sec. 56. AS 04.11.480(b) is amended to read: 16 (b) If the permanent residents residing outside of but within two miles of an 17 incorporated city or an established village wish to protest the issuance, renewal, or 18 transfer of a license or a license with one or more endorsements within the city or 19 village, they shall file with the board a petition meeting the requirements of 20 AS 04.11.510(b)(3) requesting a public hearing not later than [WITHIN] 30 days 21 after [OF] the posting of notice required under AS 04.11.310, or by December 31 of 22 the year application is made for renewal of a license. The board shall consider 23 testimony received at a hearing conducted under AS 04.11.510(b)(3) when it considers 24 the application, and the record of a hearing conducted under AS 04.11.510(b)(3) shall 25 be retained as part of the board's permanent record of its review of the application. 26 * Sec. 57. AS 04.11.480(c) is amended to read: 27 (c) A local governing body may recommend that a license be issued, renewed, 28 relocated, or transferred, or that a license with one or more endorsements be 29 issued, renewed, or transferred to another person, with conditions. The board shall 30 consider recommended conditions and testimony received at a hearing conducted 31 under AS 04.11.510(b)(2) or (4) when it considers the application or continued

01 operation, and the recommended conditions and the record of the hearing conducted 02 under AS 04.11.510(b)(2) or (4) shall be kept as part of the board's permanent record 03 of its review. If the local governing body recommends conditions, the board shall 04 impose the recommended conditions unless the board finds that the recommended 05 conditions are arbitrary, capricious, or unreasonable. If a condition recommended by a 06 local governing body is imposed on a licensee, the local governing body shall assume 07 responsibility for monitoring compliance with the condition, except as otherwise 08 provided by the board. 09 * Sec. 58. AS 04.11.491(a) is amended to read: 10 (a) If a majority of the persons voting on the question vote to approve the 11 option, a municipality shall adopt a local option to prohibit 12 (1) the sale of alcoholic beverages; 13 (2) the sale of alcoholic beverages except by one or more of the 14 following listed on the ballot: 15 (A) a restaurant or eating place licensee; 16 (B) a beverage dispensary licensee; 17 (C) a package store licensee; 18 (D) a caterer holding a beverage dispensary caterer's permit 19 under AS 04.09.610 [AS 04.11.230] to sell alcoholic beverages at a site within 20 the municipality who is also licensed under a beverage dispensary license for 21 premises outside of the municipality; 22 (E) a winery manufacturer licensee; [OR] 23 (F) a winery manufacturer licensee, except that sales may 24 occur only to a person licensed under this title or in another state or country; or 25 (G) an outdoor recreation lodge; 26 (3) the sale of alcoholic beverages except on premises operated by the 27 municipality and under a type of licensed premises listed on the ballot, that may 28 include one or more of the following: 29 (A) a restaurant or eating place license; 30 (B) a beverage dispensary license; or 31 (C) a package store license;

01 (4) the sale and importation of alcoholic beverages; or 02 (5) the sale, importation, and possession of alcoholic beverages. 03 * Sec. 59. AS 04.11.491(b) is amended to read: 04 (b) If a majority of the persons voting on the question vote to approve the 05 option, an established village shall exercise a local option to prohibit 06 (1) the sale of alcoholic beverages; 07 (2) the sale of alcoholic beverages except by one or more of the 08 following listed on the ballot: 09 (A) a restaurant or eating place licensee; 10 (B) a beverage dispensary licensee; 11 (C) a package store licensee; 12 (D) a caterer holding a beverage dispensary caterer's permit 13 under AS 04.09.610 [AS 04.11.230] to sell alcoholic beverages at a site within 14 the established village who is also licensed under a beverage dispensary license 15 for premises outside of the established village; 16 (E) a winery manufacturer licensee; [OR] 17 (F) a winery manufacturer licensee, except that sales may 18 occur only to a person licensed under this title or in another state or country; or 19 (G) an outdoor recreation lodge; 20 (3) the sale and importation of alcoholic beverages; or 21 (4) the sale, importation, and possession of alcoholic beverages. 22 * Sec. 60. AS 04.11.491(d) is amended to read: 23 (d) The ballot for an election on the option set out in (a)(2)(A), (a)(3)(A), or 24 (b)(2)(A) of this section must include a summary explanation of the authority to sell 25 alcoholic beverages given to a restaurant or eating place under AS 04.09.210(a) 26 [AS 04.11.100(a)]. The ballot for an election on the option set out in (a)(2)(B) or (D), 27 (a)(3)(B), or (b)(2)(B) or (D) of this section must include a statement that a beverage 28 dispensary license is commonly known as a "bar" and a summary explanation of the 29 authority to sell alcoholic beverages given to a beverage dispensary licensee under 30 AS 04.09.200 [AS 04.11.090(a)]. The ballot for an election on the option set out in 31 (a)(2)(C), (a)(3)(C), or (b)(2)(C) of this section must include a statement that a

01 package store license is commonly known as a "liquor store" and a summary 02 explanation of the authority to sell alcoholic beverages given to a package store 03 licensee under AS 04.09.230 [AS 04.11.150(a)]. 04 * Sec. 61. AS 04.11.491(g) is amended to read: 05 (g) If a municipality or established village has adopted a local option under 06 (a)(1), (2), (3), or (4), or (b)(1), (2), or (3) of this section, the municipality or 07 established village, as part of the local option question or questions placed before the 08 voters, may 09 (1) adopt an amount of alcoholic beverages that may be imported that 10 is less than the amounts set out in AS 04.09.460(e) [AS 04.11.150(g)]; 11 (2) adopt an amount of alcoholic beverages that would give rise to a 12 presumption that the person possessed the alcoholic beverages for sale; the amounts 13 adopted under this paragraph may be lower than those set out in AS 04.11.010(c); 14 (3) opt to not apply a class C felony to violations of AS 04.16.051 that 15 apply solely by reason of the municipality or established village adopting a local 16 option under this section. 17 * Sec. 62. AS 04.11.520 is amended to read: 18 Sec. 04.11.520. Notice to local governing body. After receipt of an 19 application for the issuance or renewal of a license, the renewal of a license with 20 one or more endorsements, the transfer of a license or a license with one or more 21 endorsements to another person, transfer of a license to a new location, or the 22 issuance of an endorsement from within [(1)] an established village, [(2)] an 23 incorporated city, [(3)] an organized borough, or [(4)] a unified municipality, the 24 board shall notify [TRANSMIT WRITTEN NOTICE TO] the local governing body in 25 writing within 10 business days so that the local governing body may protest under 26 AS 04.11.480. 27 * Sec. 63. AS 04.11.535(a) is amended to read: 28 (a) If, in a proceeding to suspend or revoke a license, endorsement, or permit 29 under AS 04.11.370(a)(5), the board finds that a sentencing report, record of 30 conviction, or judgment sent to the board under AS 12.55.025(b) or a report prepared 31 by the investigating or arresting officers in connection with the violation, contains

01 information that if uncontradicted or unexplained would provide a ground for 02 suspension or revocation under AS 04.11.370(a)(5), the licensee or permittee has the 03 burden of proof to establish that the licensee or permittee neither knowingly allowed 04 the violation nor recklessly or with criminal negligence failed to act in accordance 05 with the duty prescribed under AS 04.21.030. 06 * Sec. 64. AS 04.11.537 is amended to read: 07 Sec. 04.11.537. Application of precedent. In determining whether issuance, 08 renewal, transfer, relocation, suspension, or revocation of a license or the issuance, 09 renewal, transfer to another person, suspension, or revocation of an endorsement 10 is in the best interests of the public, the board need not conform to or distinguish its 11 decision from any action it has taken in the past on applications presenting similar 12 facts, but may instead base its decision only on the particular facts before it. 13 * Sec. 65. AS 04.11.540 is amended to read: 14 Sec. 04.11.540. License, endorsement, and conditional contractor's permit 15 renewal and expiration. Notwithstanding AS 04.11.680, an application for renewal 16 of a license, endorsement, or a conditional contractor's permit under 17 AS 04.09.690 issued for the two calendar years ending December 31 or of a seasonal 18 license issued for parts of those calendar years may be submitted up until the next 19 February 28. If a complete application for renewal has not been filed by February 28 20 or the required fees and the penalty fees have not been paid by that date, the license, 21 endorsement, or conditional contractor's permit expires at 12:00 midnight 22 February 28. A new license may not be issued to the holder of an expired license for 23 the same premises except on proof satisfactory to the board of good cause for the 24 failure to file and pay. 25 * Sec. 66. AS 04.11.560(b) is amended to read: 26 (b) A decision by the board relating to the issuance, renewal, transfer, 27 relocation, suspension, or revocation of a license or an endorsement under this title 28 may be appealed to the superior court under AS 44.62.560. 29 * Sec. 67. AS 04.11.570 is amended to read: 30 Sec. 04.11.570. Refund and forfeiture of fees. (a) If an application for a 31 license or endorsement is denied, the board shall refund the license fee but not

01 [LESS] the application fee. 02 (b) A license or endorsement fee may not be refunded after the license or 03 endorsement has been issued unless the board determines it has erred in the issuance 04 through no fault of the applicant. 05 (c) If a license, endorsement, or permit is revoked on grounds that 06 statements made in the application are untrue, the [LICENSE] fee paid by the 07 applicant is forfeited to the state. 08 * Sec. 68. AS 04.11.580(b) is amended to read: 09 (b) The licensee shall surrender a current license to the board not later than 10 [WITHIN] 10 days after the loss or vacation of the licensed premises. 11 * Sec. 69. AS 04.11.590(a) is amended to read: 12 (a) Money collected from licenses, endorsements, permits, and civil 13 penalties [FINES] under this title shall be transferred by the board to the Department 14 of Commerce, Community, and Economic Development and deposited in the general 15 fund. 16 * Sec. 70. AS 04.11.610 is amended to read: 17 Sec. 04.11.610. Allocation [REFUND] to municipalities. (a) An amount 18 equal to the sum of the biennial [BIENNIAL] license fees, excluding annual 19 wholesale fees and biennial wholesale license fees, collected within a municipality 20 shall be allocated [REFUNDED] semi-annually to the municipality. 21 (b) If the officers of a municipality fail to actively enforce local ordinances, 22 this title, laws of the United States and the state, and the regulations relating to the 23 manufacture and sale of alcoholic beverages in the state, or fail to provide the 24 director with a report of contacts with licensed establishments, educational 25 activities concerning this title and local ordinances, and violations of this title 26 occurring in the municipality, at the time and in the format as may be required 27 by regulation adopted by the board, the commissioner of commerce, community, 28 and economic development may deny the allocation [REFUND] provided for under 29 (a) of this section until the board finds the enforcement of the ordinances, laws, and 30 regulations is resumed or the report is provided. 31 (c) The Department of Commerce, Community, and Economic Development

01 shall recover any funds [AMOUNTS] erroneously allocated [REFUNDED] under (a) 02 of this section. The Department of Commerce, Community, and Economic 03 Development shall schedule repayments of erroneously allocated funds 04 [REFUNDED AMOUNTS] over a sufficient period of time to minimize financial 05 hardship to the municipality involved. 06 * Sec. 71. AS 04.11.630(b) is amended to read: 07 (b) A license, endorsement, or permit issued under this title shall be posted 08 within the licensed premises or designated premises so as to be easily available for 09 inspection upon request by a peace officer or other person during regular business 10 hours or during the time period specified on the permit. 11 * Sec. 72. AS 04.11.680 is amended to read: 12 Sec. 04.11.680. Duration of licenses, endorsements, and permits. (a) Upon 13 application [AND PAYMENT OF ONE-HALF OF THE BIENNIAL FEE], the board 14 may issue a seasonal license under this title that is effective for the intervals stated on 15 the license. [A SEASONAL LICENSE MAY NOT BE EFFECTIVE FOR MORE 16 THAN 12 MONTHS IN A TWO-YEAR PERIOD.] Otherwise, a license or 17 endorsement [ALL LICENSES] issued under this title and a conditional 18 contractor's permit issued under AS 04.09.690 is [OTHER THAN A RETAIL 19 STOCK SALE LICENSE ARE] effective for the two calendar years ending 20 December 31, unless a shorter period is prescribed by the board or by law. 21 (b) A permit issued under this title shall be for a specific time [THE] period 22 [PRESCRIBED BY THE BOARD]. The period shall be clearly designated on the 23 permit. 24 * Sec. 73. AS 04.16.010(c) is amended to read: 25 (c) A licensee, an agent, or employee may not permit a person to enter and a 26 person may not enter premises licensed under this title between the hours of 5:00 a.m. 27 and 8:00 a.m. each day, unless the person is 28 (1) on the premises to conduct business with the licensee, agent, or 29 employee, and the licensee, agent, or employee is in compliance with (a) and (b) 30 of this section; 31 (2) a common carrier with a common carrier dispensary license

01 under AS 04.09.260; 02 (3) [. THIS SUBSECTION DOES NOT APPLY TO COMMON 03 CARRIERS OR TO] an employee of the licensee who is on the premises to prepare 04 for the next day's business; 05 (4) performing maintenance or improvements authorized by the 06 licensee; 07 (5) [. A PERSON MAY ENTER OR REMAIN] on the premises [OF 08 A BONA FIDE RESTAURANT OR EATING PLACE LICENSED UNDER THIS 09 TITLE] to consume food or nonalcoholic beverages and the premises are covered 10 under a restaurant endorsement issued under AS 04.09.450. 11 * Sec. 74. AS 04.16.010 is amended by adding a new subsection to read: 12 (e) A person who violates (a), (b), or (c) of this section is guilty of a violation. 13 * Sec. 75. AS 04.16.015(a) is amended to read: 14 (a) On premises where alcoholic beverages are sold by the drink, a licensee or 15 a licensee's agent or employee may not 16 (1) offer or deliver, as a marketing device to the general public, free 17 alcoholic beverages to a patron, except as provided for the holder of a 18 manufacturer sampling endorsement under AS 04.09.410 or a package store 19 sampling endorsement under AS 04.09.490; 20 (2) deliver an alcoholic beverage to a person already possessing two or 21 more; 22 (3) sell, offer to sell, or deliver alcoholic beverages to a person or 23 group of persons at a price less than the price regularly charged for the beverages 24 during a consecutive seven-day period [THE SAME CALENDAR WEEK], except at 25 private functions not open to the general public; 26 (4) sell, offer to sell, or deliver an unlimited number of alcoholic 27 beverages to a person or group of persons during a set period of time for a fixed price; 28 (5) sell, offer to sell, or deliver alcoholic beverages to a person or 29 group of persons on any one day at prices less than those charged the general public 30 on that day, except at private functions not open to the general public; 31 (6) encourage or permit an organized game or contest on the licensed

01 premises that involves drinking alcoholic beverages or the awarding of alcoholic 02 beverages as prizes. 03 * Sec. 76. AS 04.16.015 is amended by adding a new subsection to read: 04 (e) A person who violates this section is guilty of a violation. 05 * Sec. 77. AS 04.16 is amended by adding a new section to read: 06 Sec. 04.16.017. Trade practices. (a) A person holding a license under 07 AS 04.09.020, 04.09.030, 04.09.040, 04.09.100, or 04.09.110 or engaged in the 08 alcoholic beverage industry in another state or country as a brewer, vintner, distiller, 09 or importer, or as an agent of a brewer, vintner, distiller, or importer, may not, except 10 as provided in regulations adopted by the board under (b) of this section, induce a 11 person holding a license under this title to 12 (1) operate as a tied house by inducing a retailer engaged in the sale of 13 alcoholic beverages to purchase products from an entity to the exclusion, in whole or 14 in part, of products sold or offered for sale by other entities by 15 (A) furnishing, giving, renting, lending, or selling to the retailer 16 equipment fixtures, signs, supplies, money, services, or other things of value, 17 except those excluded in regulation and determined to be not contrary to the 18 public interest or contrary to the intent of this subsection; 19 (B) paying or crediting the retailer for an advertising, display, 20 or distribution service; 21 (C) guaranteeing a loan or the repayment of a financial 22 obligation of the retailer; 23 (D) extending to the retailer credit for a period in excess of the 24 credit period usual and customary to the industry for the particular class of 25 transactions; or 26 (E) requiring the retailer to take and dispose of a certain quota 27 of the products; 28 (2) operate as an exclusive outlet by requiring that a retailer engaged in 29 the sale of alcoholic beverages purchase products from an entity to the exclusion, in 30 whole or in part, of alcoholic beverages sold or offered for sale by other entities; 31 (3) purchase products from an entity to the exclusion, in whole or in

01 part, of products sold or offered for sale by other entities by 02 (A) commercial bribery; or 03 (B) offering or giving any bonus, premium, or compensation to 04 an officer, employee, or representative of the licensee; 05 (4) enter into an agreement for consignment sales, or to purchase, offer 06 to purchase, or contract to purchase products on consignment, under conditional sale, 07 or with the privilege of return on any basis other than a bona fide sale, or where part of 08 the transaction involves, directly or indirectly, the acquisition by an entity from the 09 licensee or the entity's agreement to acquire from the licensee other alcoholic 10 beverages, except that this paragraph does not apply to transactions involving solely 11 the return of merchandise for ordinary and usual commercial reasons arising after the 12 merchandise has been sold. 13 (b) The board shall adopt regulations providing exceptions to the practices 14 listed under (a) of this section that are 15 (1) consistent with federal law at the time of the effective date of this 16 section; 17 (2) necessary to avoid practical difficulty or undue hardship on a 18 licensee; 19 (3) in the best interests of the public; and 20 (4) consistent with the requirements of this title. 21 (c) The board shall adopt regulations establishing administrative penalties for 22 a violation of this section. 23 (d) In this section, "commercial bribery," "consignment sales," "exclusive 24 outlet," and "tied house" have the meanings given in 27 U.S.C. 205 and regulations 25 adopted under that section. 26 * Sec. 78. AS 04.16.020 is amended by adding new subsections to read: 27 (d) A person who violates a provision of this section commits the offense of 28 unauthorized solicitation or purchase of alcoholic beverages. 29 (e) Unauthorized solicitation or purchase of alcoholic beverages is a violation 30 and is punishable by a fine of $100. 31 * Sec. 79. AS 04.16 is amended by adding a new section to read:

01 Sec. 04.16.022. Online sale and purchase of alcoholic beverages. (a) A 02 licensee or a licensee's agent or employee may not sell or offer to sell alcoholic 03 beverages to the public online unless the licensee holds a winery direct shipment 04 license issued under AS 04.09.360 or a package store shipping endorsement under 05 AS 04.09.460. 06 (b) A person may not purchase alcoholic beverages online except from the 07 holder of a winery direct shipment license issued under AS 04.09.360 or a package 08 store shipping endorsement under AS 04.09.460. 09 (c) A person who violates (a) of this section is, upon conviction, guilty of a 10 class A misdemeanor. 11 (d) A person who violates (b) of this section is guilty of a violation. 12 * Sec. 80. AS 04.16.025(a) is amended to read: 13 (a) A person may not knowingly enter or remain on premises 14 (1) in which alcoholic beverages are manufactured, sold, offered for 15 sale, possessed for sale or barter, trafficked in, or bartered in violation of 16 (A) AS 04.09.060, 04.09.070, 04.09.145, 04.09.370, 04.09.380, 17 or AS 04.11.010; or 18 (B) a municipal ordinance adopted under AS 04.21.010(a) or 19 (b); or 20 (2) licensed under this title during hours in which the person's presence 21 on the premises is a violation of a municipal ordinance adopted under authority of 22 AS 04.16.010(d) providing for hours of closure that are outside the hours of closure 23 prescribed by AS 04.16.010(c). 24 * Sec. 81. AS 04.16.030 is amended by adding new subsections to read: 25 (c) A person who violates this section commits the offense of prohibited 26 conduct relating to a drunken person. 27 (d) Prohibited conduct relating to a drunken person is a violation, punishable 28 by a fine of $500. 29 (e) In addition to the penalty specified under (d) of this section, the holder of 30 the license is strictly and vicariously liable for a violation committed by an employee 31 or agent of the licensee on the licensed premises, punishable by an administrative

01 penalty of $250. Notwithstanding AS 04.11.370(a)(4) and (5) and AS 04.16.180(b)(1), 02 the board may not order suspension of the license for the first violation committed on 03 the licensed premises under this section. 04 (f) A licensee who knowingly allows an agent or employee of the licensee to 05 commit the offense of prohibited conduct relating to a drunken person under (c) of this 06 section commits the offense of failure to ensure compliance relating to a drunken 07 person. 08 (g) Failure to ensure compliance relating to a drunken person is a class A 09 misdemeanor. 10 * Sec. 82. AS 04.16.035 is amended to read: 11 Sec. 04.16.035. Possession of ingredients for homebrew in certain areas. A 12 person residing in an area that has adopted a local option under AS 04.11.491 [TO 13 PROHIBIT THE SALE, IMPORTATION, AND POSSESSION OF ALCOHOLIC 14 BEVERAGES UNDER AS 04.11.491(a)(5) OR (b)(4)] may not possess sugar, 15 artificial sugar, malt, yeast, or any other material or equipment with the intent to use 16 the material or equipment to create an alcoholic beverage. 17 * Sec. 83. AS 04.16.035 is amended by adding new subsections to read: 18 (b) A person who knowingly violates this section commits the crime of 19 possession of ingredients for homebrew. 20 (c) Possession of ingredients for homebrew is a class A misdemeanor. 21 * Sec. 84. AS 04.16.040 is amended to read: 22 Sec. 04.16.040. Access of drunken persons to licensed premises. A drunken 23 person may not knowingly enter or remain on licensed premises [LICENSED 24 UNDER THIS TITLE]. 25 * Sec. 85. AS 04.16.040 is amended by adding new subsections to read: 26 (b) A person who violates this section commits the offense of prohibited 27 access by a drunken person. 28 (c) Prohibited access by a drunken person is a violation. 29 * Sec. 86. AS 04.16.045 is amended by adding new subsections to read: 30 (b) A person who violates this section commits the offense of permitting 31 consumption not authorized under a license.

01 (c) Permitting consumption not authorized under a license is a violation. 02 * Sec. 87. AS 04.16.047 is amended by adding new subsections to read: 03 (d) A person who is restricted from purchasing alcohol under AS 04.16.160 04 who knowingly violates (a) of this section commits the offense of entering or 05 remaining on licensed premises. 06 (e) Entering or remaining on licensed premises is a class A misdemeanor. 07 * Sec. 88. AS 04.16.049(a) is amended to read: 08 (a) A person under 21 years of age may not knowingly enter or remain in 09 premises licensed under this title unless 10 (1) accompanied by a parent, guardian, or spouse who has attained 21 11 years of age; 12 (2) the person is allowed to enter and remain on [AT LEAST 16 13 YEARS OF AGE,] the premises under a restaurant endorsement issued under 14 AS 04.09.450 [ARE DESIGNATED BY THE BOARD AS A RESTAURANT FOR 15 THE PURPOSES OF THIS SECTION, AND THE PERSON ENTERS AND 16 REMAINS ONLY FOR DINING; 17 (3) THE PERSON IS UNDER 16 YEARS OF AGE, IS 18 ACCOMPANIED BY A PERSON OVER 21 YEARS OF AGE, THE PARENT OR 19 GUARDIAN OF THE UNDERAGED PERSON CONSENTS, THE PREMISES ARE 20 DESIGNATED BY THE BOARD AS A RESTAURANT FOR THE PURPOSES OF 21 THIS SECTION, AND THE PERSON ENTERS AND REMAINS ONLY FOR 22 DINING]; 23 (3) [(4)] the person is permitted on the premises under a club license 24 issued under AS 04.09.220(g) or former AS 04.11.110(g); or 25 (4) [(5)] otherwise provided under (c), (d), or (g) of this section. 26 * Sec. 89. AS 04.16.049(c) is amended to read: 27 (c) Notwithstanding any other provision in this section, a person 16 or 17 28 years of age may enter and remain within the licensed premises of a hotel or motel, 29 large resort, golf course, general wholesaler, limited brewed beverage and wine 30 wholesaler, common carrier dispensary, outdoor recreation lodge, or restaurant 31 [OR EATING PLACE] in the course of employment if

01 (1) the employment does not involve the serving, mixing, delivering, 02 or dispensing of alcoholic beverages; 03 (2) the person has the written consent of a parent or guardian; and 04 (3) an exemption from the prohibition of AS 23.10.355 is granted by 05 the Department of Labor and Workforce Development. [THE BOARD, WITH THE 06 APPROVAL OF THE GOVERNING BODY HAVING JURISDICTION AND AT 07 THE LICENSEE'S REQUEST, SHALL DESIGNATE WHICH PREMISES ARE 08 HOTELS, GOLF COURSES, RESTAURANTS, OR EATING PLACES FOR THE 09 PURPOSES OF THIS SUBSECTION.] 10 * Sec. 90. AS 04.16.049(d) is amended to read: 11 (d) Notwithstanding any other provision in this section, a person 18, 19, or 20 12 years of age may be employed within the licensed premises of a hotel or motel, large 13 resort, golf course, general wholesaler, limited brewed beverage and wine 14 wholesaler, common carrier dispensary, outdoor recreation lodge, or restaurant 15 [OR EATING PLACE], may enter and remain within those premises for the purpose 16 of employment, but may not, in the course of employment, sell, serve, deliver, or 17 dispense alcoholic beverages. 18 * Sec. 91. AS 04.16.049 is amended by adding a new subsection to read: 19 (j) Notwithstanding any other provision in this section, a person under 21 20 years of age may be present on the licensed premises of a common carrier dispensary, 21 destination resort, or outdoor recreation lodge for the purpose of travel, travel lodging, 22 or outdoor recreation activities provided by the licensee if the person is 23 (1) at least 16 years of age; or 24 (2) under 16 years of age and a parent or legal guardian of the 25 underaged person consents. 26 * Sec. 92. AS 04.16.052 is amended by adding new subsections to read: 27 (b) In addition to the penalty specified under (d) of this section, for a violation 28 committed by an employee or agent of the licensee on a licensed premises under this 29 section, the holder of the license is strictly liable and subject to an administrative 30 penalty of $250. Notwithstanding AS 04.11.370(a)(4) and (5) and AS 04.16.180(b)(1), 31 the board may not order suspension of the license for the first violation committed on

01 the licensed premises under this section. 02 (c) A person who violates (a) of this section commits the offense of licensee, 03 employee, or agent furnishing alcohol to a minor. 04 (d) Licensee, employee, or agent furnishing alcohol to a minor is a violation 05 and is punishable by a fine of $500. 06 (e) A licensee who knowingly allows an agent or employee of the licensee to 07 commit the offense of licensee, employee, or agent furnishing alcohol to a minor 08 under (c) of this section commits the offense of failure to ensure compliance relating 09 to furnishing alcohol to a minor. 10 (f) Failure to ensure compliance relating to furnishing alcohol to a minor is a 11 class A misdemeanor. 12 * Sec. 93. AS 04.16.055 is amended by adding new subsections to read: 13 (b) A person who knowingly rents a room in a hotel, motel, resort, or similar 14 business for the purpose of providing alcoholic beverages to a person under 21 years 15 of age commits the crime of renting a room for the purpose of providing alcoholic 16 beverages to a person under 21 years of age. 17 (c) Renting a room for the purpose of providing alcoholic beverages to a 18 person under 21 years of age is a class A misdemeanor. 19 * Sec. 94. AS 04.16.057(b) is amended to read: 20 (b) A person who violates this section is guilty of a violation and is 21 punishable by a fine of $500 [SHALL BE PUNISHED AS PROVIDED IN 22 AS 12.55]. 23 * Sec. 95. AS 04.16.060(e) is amended to read: 24 (e) A person under the age of 21 who is seeking to enter and remain in a 25 licensed premises under AS 04.16.049(a)(2) [OR (3)] may not misrepresent the 26 person's age or having obtained the consent of the parent or guardian required by that 27 section. 28 * Sec. 96. AS 04.16.060 is amended by adding new subsections to read: 29 (g) A person who violates (a) of this section commits the offense of purchase 30 by a person under 21 years of age. 31 (h) A person who violates (b) or (c) of this section commits the offense of

01 delivery to a person under 21 years of age. 02 (i) Purchase by a person under 21 years of age is a violation and is punishable 03 by a fine of $500. 04 (j) Delivery to a person under 21 years of age is a violation and is punishable 05 by a fine of $500. 06 (k) For a person under 21 years of age who commits an offense under (g) of 07 this section, the violation must be charged and filed with the court as a separate case 08 and may not be combined or joined with any other minor offense or criminal charge in 09 one action at the time of filing. A court may reduce the fine to $50 for a person who 10 has not more than one previous violation or to $250 for a person who has two or more 11 previous violations if the person provides the court, not later than six months after a 12 judgment of conviction is entered, with proof of completion of 13 (1) an alcohol safety action program or a juvenile alcohol safety action 14 program developed, designated, or approved by the Department of Health and Social 15 Services under AS 47.37; or 16 (2) a community diversion panel. 17 * Sec. 97. AS 04.16.080 is amended to read: 18 Sec. 04.16.080. Consumption [SALES OR CONSUMPTION] at school 19 events. A person who is 21 years of age or older may not [SELL OR] consume 20 alcoholic beverages during a school event at the site of the event. 21 * Sec. 98. AS 04.16.080 is amended by adding new subsections to read: 22 (b) A person who is 21 years of age or older who consumes an alcoholic 23 beverage during a school event at the site of the event commits the offense of 24 consuming at a school event. 25 (c) Consuming at a school event is a violation and is punishable by a fine of 26 $100. 27 * Sec. 99. AS 04.16.090(c) is amended to read: 28 (c) In [FOR THE PURPOSES OF] this section, "consideration" includes 29 [BUT IS NOT LIMITED TO] cover charge, the sale of food, ice, mixers, or other 30 liquids used with alcoholic beverage drinks, [OR] the furnishing of glassware or other 31 containers for use in the consumption of alcoholic beverages, other charges for

01 access to the licensed premises, or other services or products provided on the 02 licensed premises. 03 * Sec. 100. AS 04.16.090 is amended by adding new subsections to read: 04 (d) A person who knowingly violates this section commits the crime of 05 maintaining a bottle club. 06 (e) Maintaining a bottle club is a class A misdemeanor. 07 * Sec. 101. AS 04.16.110 is amended by adding new subsections to read: 08 (b) A person who knowingly sells an alcoholic beverage in violation of (a) of 09 this section commits the crime of sale of a prohibited alcoholic beverage. 10 (c) Sale of a prohibited alcoholic beverage is a class A misdemeanor. 11 * Sec. 102. AS 04.16.120 is amended by adding new subsections to read: 12 (d) A person who removes an alcoholic beverage from licensed premises in 13 violation of (a) of this section and a person who brings an alcoholic beverage onto 14 licensed premises in violation of (b) of this section commits the offense of removal or 15 introduction of alcoholic beverages. 16 (e) Notwithstanding (a) of this section, the holder of a beverage dispensary 17 license under AS 04.09.200, the holder of a beverage dispensary tourism license under 18 AS 04.09.340, or the holder's employee may transport alcoholic beverages across 19 unlicensed portions of a hotel, motel, or large resort if the 20 (1) licensee holds an endorsement under AS 04.09.430 or 04.09.440; 21 and 22 (2) licensee or employee is walking directly from one licensed area of 23 the premises to another licensed area. 24 (f) Removal or introduction of alcoholic beverages is a violation and is 25 punishable by a fine of $100. 26 * Sec. 103. AS 04.16.125(a) is amended to read: 27 (a) A person may [NOT] use a common carrier approved by the board 28 under AS 04.09.750(b) to transport alcoholic beverages into an area that has restricted 29 the sale of alcoholic beverages under AS 04.11.491(a)(1), (2), or (3) or (b)(1) or (2) if 30 [UNLESS] 31 (1) the shipping container holding the alcoholic beverages is clearly

01 labeled as containing alcoholic beverages [WITH LETTERS THAT CONTRAST IN 02 COLOR TO THE SHIPPING CONTAINER AND THAT ARE AT LEAST TWO 03 INCHES IN HEIGHT]; and 04 (2) an itemized invoice showing the quantity and purchase value of 05 distilled spirits, [OF] wine, and brewed [OF MALT] beverages is attached to the 06 outside of the shipping container. 07 * Sec. 104. AS 04.16.125(b) is amended to read: 08 (b) This section does not apply to 09 (1) a person transporting [NOT MORE THAN] 10 (A) two liters or less of wine; 11 (B) one gallon or less of brewed [MALT] beverages; or 12 (C) one liter or less of distilled spirits; or 13 (2) the transportation of alcoholic beverages for use on premises 14 allowed under AS 04.11.491(a)(2) - (3) or (b)(2) or for use under a permit allowed 15 under AS 04.11.491(a)(2). 16 * Sec. 105. AS 04.16.125 is amended by adding new subsections to read: 17 (d) A person who knowingly violates this section commits the crime of 18 unauthorized transportation of alcoholic beverages by common carrier into a local 19 option area. 20 (e) Unauthorized transportation of alcoholic beverages by common carrier into 21 a local option area is a class A misdemeanor. 22 * Sec. 106. AS 04.16.130 is amended by adding new subsections to read: 23 (c) A person who violates this section commits the offense of unauthorized 24 storage of alcoholic beverages. 25 (d) Unauthorized storage of alcoholic beverages is a violation. 26 * Sec. 107. AS 04.16.140 is amended by adding new subsections to read: 27 (b) A person who knowingly violates (a) of this section commits the offense 28 of sale or consumption of an alcoholic beverage in a warehouse. 29 (c) Sale or consumption of an alcoholic beverage in a warehouse is a violation. 30 * Sec. 108. AS 04.16.150 is amended by adding new subsections to read: 31 (b) Except as provided under AS 04.16.030(f) and 04.16.052(e), a licensee

01 who knowingly violates (a) of this section commits the offense of failure to ensure 02 compliance. 03 (c) Failure to ensure compliance is a violation. 04 * Sec. 109. AS 04.16.160 is amended by adding new subsections to read: 05 (c) A person who knowingly fails to comply with a restriction on purchasing 06 alcoholic beverages in violation of (a) of this section commits the crime of failure to 07 comply with a restriction on purchasing alcoholic beverages. 08 (d) Failure to comply with a restriction on purchasing alcoholic beverages is a 09 class A misdemeanor. 10 * Sec. 110. AS 04.16.170 is amended to read: 11 Sec. 04.16.170. Source of alcoholic beverages. (a) Alcoholic beverages for 12 consumption by the purchaser may only [NOT] be sold by [UNLESS OBTAINED 13 FROM] a person licensed under this title. 14 (b) A person transporting alcoholic beverages into the state may not sell those 15 alcoholic beverages to a person not licensed under this title, unless the alcoholic 16 beverages are used for religious, industrial, pharmaceutical, or medical purposes, or as 17 allowed under AS 04.09.360. 18 * Sec. 111. AS 04.16.170 is amended by adding new subsections to read: 19 (c) A licensee who knowingly violates (a) or (b) of this section commits the 20 crime of sale of alcoholic beverages from or to an unlicensed person. 21 (d) Sale of alcoholic beverages from or to an unlicensed person is a class A 22 misdemeanor. 23 * Sec. 112. AS 04.16.172 is amended to read: 24 Sec. 04.16.172. Restrictions on purchase and sale of alcoholic beverages. A 25 person licensed under AS 04.09.200, 04.09.210, 04.09.220, 04.09.230, 04.09.270, 26 04.09.280, 04.09.290, 04.09.300, 04.09.310, 04.09.320, 04.09.330, 04.09.340, or 27 04.09.350 [AS 04.11.090, 04.11.100, 04.11.110, OR 04.11.150] may not purchase, 28 sell, or offer for sale an alcoholic beverage unless the alcoholic beverage being 29 purchased, sold, or offered for sale was obtained from a person licensed under 30 (1) AS 04.09.100 or 04.09.110 [AS 04.11.160] as a primary source of 31 supply for the alcoholic beverage being purchased, sold, or offered for sale;

01 (2) AS 04.09.230 [AS 04.11.150] and the alcoholic beverage being 02 purchased, sold, or offered for sale was obtained from a person licensed under 03 AS 04.09.100 or 04.09.110 [AS 04.11.160] as a primary source of supply; or 04 (3) AS 04.09.020, 04.09.030, or 04.09.040 [AS 04.11.130, 04.11.140, 05 OR 04.11.170]. 06 * Sec. 113. AS 04.16.172 is amended by adding new subsections to read: 07 (b) A licensee who knowingly violates (a) of this section commits the crime of 08 licensee obtaining alcoholic beverages from an unlicensed seller. 09 (c) Licensee obtaining alcoholic beverages from an unlicensed seller is a class 10 A misdemeanor. 11 * Sec. 114. AS 04.16.175 is amended by adding new subsections to read: 12 (c) A person who knowingly furnishes an alcoholic beverage to a player in 13 violation of (a) of this section commits the crime of furnishing an alcoholic beverage 14 in aid of a gambling enterprise. 15 (d) Furnishing an alcoholic beverage in aid of a gambling enterprise is a class 16 A misdemeanor. 17 * Sec. 115. AS 04.16.180(b) is amended to read: 18 (b) A suspension or revocation of a license ordered by the board under 19 AS 04.11.370(a)(4) and (5) shall be as follows: 20 (1) on first conviction, the license of the premises involved may not be 21 revoked, but, except as provided in AS 04.16.030 and 04.16.052, may be suspended 22 for not more than 45 days; 23 (2) on second conviction, the license of the premises involved may not 24 be revoked, but may be suspended for not more than 90 days; 25 (3) on third conviction, the license of the premises involved may be 26 suspended or revoked. 27 * Sec. 116. AS 04.16.180(e) is amended to read: 28 (e) In this section, 29 (1) "conviction" includes a conviction of a violation, a 30 misdemeanor, and a felony; 31 (2) [THE TERMS] "second conviction" and "third conviction" include

01 only convictions for violations that occur within five years after [OF] the first 02 conviction; the [. THE] terms refer to the cumulative number of convictions of a 03 licensee of any combination of violations of the provisions of this title, regulations 04 adopted under this title, or ordinances adopted under AS 04.21.010; [. THE TERMS] 05 "second conviction" and "third conviction" include a conviction of the agent or 06 employee of a licensee of a violation of a law, regulation, or ordinance if the 07 conviction constitutes a ground for suspension or revocation under 08 AS 04.11.370(a)(5). 09 * Sec. 117. AS 04.16.180 is amended by adding new subsections to read: 10 (f) In addition to the criminal penalties specified in this title and AS 12.55, a 11 holder of a license under this title who is convicted of a crime or offense involving the 12 violation of a provision of this title or a regulation adopted under this title is subject to 13 suspension or revocation of the license under this section and other administrative 14 penalties imposed by the board. For purposes of administrative penalties under this 15 subsection, each violation is a separate offense. 16 (g) The holder of a license subject to suspension or revocation under (b)(2) or 17 (3) of this section may request a hearing to petition the board to reduce the 18 administrative penalty. The board may reduce the administrative penalty if the 19 licensee shows, by a preponderance of the evidence, that 20 (1) the licensee complied with the alcohol server education course 21 requirement of AS 04.21.025 and adopted and enforced a compliance program and a 22 disciplinary program for agents and employees of the licensee; 23 (2) the licensee has a pattern and practice of exercising the degree of 24 care required under AS 04.16.030; 25 (3) the licensee posted warning signs as required under AS 04.21.065; 26 and 27 (4) in the case of a conviction for a violation of AS 04.16.030 or 28 04.16.052, the agent or employee convicted under AS 04.16.030 or 04.16.052 29 completed an alcohol server education course under AS 04.21.025. 30 * Sec. 118. AS 04.16.220(a) is amended to read: 31 (a) The following are subject to forfeiture:

01 (1) alcoholic beverages manufactured, sold, offered for sale, possessed 02 for sale, or bartered or exchanged for goods and services in this state in violation of 03 AS 04.09.060, 04.09.070, 04.09.145, 04.09.370, 04.09.380, or AS 04.11.010; 04 alcoholic beverages possessed, stocked, warehoused, or otherwise stored in violation 05 of AS 04.21.060; alcoholic beverages sold or offered for sale in violation of a local 06 option adopted under AS 04.11.491; alcoholic beverages transported into the state and 07 sold to persons not licensed under this title [CHAPTER] in violation of 08 AS 04.16.170(b); alcoholic beverages transported in violation of AS 04.09.750 or 09 AS 04.16.125; 10 (2) materials and equipment used in the manufacture, sale, offering for 11 sale, possession for sale, or barter or exchange of alcoholic beverages for goods and 12 services in this state in violation of AS 04.09.060, 04.09.070, 04.09.145, 04.09.370, 13 04.09.380, or AS 04.11.010; materials and equipment used in the stocking, 14 warehousing, or storage of alcoholic beverages in violation of AS 04.21.060; materials 15 and equipment used in the sale or offering for sale of an alcoholic beverage in an area 16 in violation of a local option adopted under AS 04.11.491; 17 (3) aircraft, vehicles, or vessels used to transport or facilitate the 18 transportation of 19 (A) alcoholic beverages manufactured, sold, offered for sale, 20 possessed for sale, or bartered or exchanged for goods and services in this state 21 in violation of AS 04.09.060, 04.09.070, 04.09.145, 04.09.370, 04.09.380, or 22 AS 04.11.010; 23 (B) property stocked, warehoused, or otherwise stored in 24 violation of AS 04.21.060; 25 (C) alcoholic beverages imported into a municipality or 26 established village in violation of AS 04.11.499(a); 27 (4) alcoholic beverages found on licensed premises that do not bear 28 federal excise stamps if excise stamps are required under federal law; 29 (5) alcoholic beverages, materials, or equipment used in violation of 30 AS 04.16.175; 31 (6) money, securities, negotiable instruments, or other things of value

01 used in financial transactions or items of value purchased from the proceeds derived 02 from activity prohibited under AS 04.09.060, 04.09.070, 04.09.145, 04.09.370, 03 04.09.380, or AS 04.11.010 or in violation of a local option adopted under 04 AS 04.11.491; 05 (7) a firearm used in furtherance of a violation of this title. 06 * Sec. 119. AS 04.16.220(d) is amended to read: 07 (d) Property subject to forfeiture under (a) of this section may be forfeited 08 (1) upon conviction of a person for a violation of AS 04.09.060, 09 04.09.070, 04.09.145, 04.09.370, 04.09.380, AS 04.09.750, AS 04.11.010, 04.11.499, 10 AS 04.16.125, AS 04.21.060, or AS 04.11.501 or an ordinance adopted under 11 AS 04.11.501; or 12 (2) upon judgment by the superior court in a proceeding in rem that the 13 property was used in a manner subjecting it to forfeiture under (a) of this section. 14 * Sec. 120. AS 04.16.220(g) is amended to read: 15 (g) It is no defense in an in rem forfeiture proceeding brought under (d)(2) of 16 this section that a criminal proceeding is pending or has resulted in conviction or 17 acquittal of a person charged with violating AS 04.09.060, 04.09.070, 04.09.145, 18 04.09.370, 04.09.380, AS 04.11.010, 04.11.499, or AS 04.21.060. 19 * Sec. 121. AS 04.16.220(i) is amended to read: 20 (i) Upon conviction for a violation of AS 04.09.060, 04.09.070, 04.09.145, 21 04.09.370, 04.09.380, AS 04.11.010, or 04.11.499(a), if an aircraft, vehicle, or 22 watercraft is subject to forfeiture under (a) of this section, the court shall, subject to 23 remission to innocent parties under this section, 24 (1) order the forfeiture of an aircraft to the state; 25 (2) order the forfeiture of a vehicle or watercraft if 26 (A) the defendant has a prior felony conviction for a violation 27 of AS 11.41 or a similar law in another jurisdiction; 28 (B) the defendant is on felony probation or parole; 29 (C) the defendant has a prior conviction for violating 30 AS 04.11.010 or 04.11.499(a); or 31 (D) the quantity of alcohol transported in violation of this title

01 was twice the presumptive amounts in AS 04.11.010(c). 02 * Sec. 122. AS 04.21 is amended by adding a new section to read: 03 Sec. 04.21.012. Keg registration. (a) A person may not purchase a keg or 04 similar container holding four or more gallons of an alcoholic beverage unless the 05 person provides proof that the person is over 21 years of age and completes and signs 06 a registration form. The purchaser of a keg or similar container holding four or more 07 gallons of an alcoholic beverage may not remove or obliterate the temporary 08 identifying tag on the keg or container. 09 (b) A licensee or an agent or employee of a licensee who sells or offers for 10 sale a keg or similar container holding four or more gallons of an alcoholic beverage 11 shall require a purchaser to show acceptable proof of age under AS 04.21.050(b) and 12 sign the sworn statement on a registration form. The licensee shall complete the 13 registration form and affix a temporary tag with a unique identifier to the keg or 14 container before releasing the container to the purchaser. The licensee shall retain a 15 copy of the form for one year and make the form available for inspection. 16 (c) The board shall prescribe a registration form for use by licensees and 17 purchasers. The board may approve for use a registration form adopted by a local 18 governing body. A registration form must include 19 (1) the name of the seller; 20 (2) the name of the purchaser; 21 (3) a description of the proof of age provided by the buyer, including 22 the identification number, if any; 23 (4) the unique identifier on the temporary tag attached to the keg or 24 container under (b) of this section. 25 (d) A licensee or an agent or employee of a licensee who sells a keg or similar 26 container holding four or more gallons of an alcoholic beverage without completing a 27 registration form or affixing a temporary identification tag to the keg or container 28 commits the crime of selling alcoholic beverages in an unregistered keg. 29 (e) A person who is not licensed under this title or the employee or agent of a 30 person who is not licensed under this title who possesses a keg or similar container 31 holding four or more gallons of an alcoholic beverage without a temporary

01 identification tag commits the crime of possessing alcoholic beverages in an 02 unregistered keg. 03 (f) Selling alcoholic beverages in an unregistered keg is a violation. 04 (g) Possessing alcoholic beverages in an unregistered keg is a violation and is 05 punishable by a fine of $100. 06 * Sec. 123. AS 04.21.020(a) is amended to read: 07 (a) Except as provided under (b) and (d) of this section, a person who provides 08 alcoholic beverages to another person may not be held civilly liable for injuries 09 resulting from the intoxication of that person unless the person who provides the 10 alcoholic beverages holds a license authorized under AS 04.09.010 - 04.09.380 11 [AS 04.11.080 - 04.11.220] or is an agent or employee of [SUCH] a licensee and 12 (1) the alcoholic beverages are provided to a person under [THE AGE 13 OF] 21 years of age in violation of AS 04.16.051, unless the licensee, agent, or 14 employee secures in good faith from the person a signed statement, liquor 15 identification card, or driver's license meeting the requirements of AS 04.21.050(a) 16 and (b), that indicates that the person is 21 years of age or older; or 17 (2) the alcoholic beverages are provided to a drunken person in 18 violation of AS 04.16.030. 19 * Sec. 124. AS 04.21.020(b) is amended to read: 20 (b) A person who sells or barters an alcoholic beverage to another person in 21 violation of AS 04.09.060, 04.09.070, 04.09.145, 04.09.370, 04.09.380, or 22 AS 04.11.010 is strictly liable (1) to the recipient or another person for civil damages 23 if, while under the influence of the alcoholic beverage, the person receiving the 24 alcoholic beverage engages in conduct that results in civil damages and the recipient's 25 being under the influence of the alcoholic beverage substantially contributes to the 26 civil damages; and (2) for the cost to the state or a political subdivision of the state to 27 criminally prosecute a person who receives an alcoholic beverage from a person who 28 violates AS 04.11.010 if the prosecution results from the violation of AS 04.11.010 29 described in this subsection. 30 * Sec. 125. AS 04.21.025(a) is repealed and reenacted to read: 31 (a) Except as provided under (e) and (f) of this section, as a condition of

01 issuance or renewal of a license or conditional contractor's permit and selling alcoholic 02 beverages under a license or conditional contractor's permit, the board shall require a 03 licensee or permittee who sells or serves alcoholic beverages and a licensee's or 04 permittee's agents and employees who sell or serve alcoholic beverages or check the 05 identification of a patron to complete an alcohol server education course approved by 06 the board. 07 * Sec. 126. AS 04.21.025(b) is amended to read: 08 (b) The subjects that are included in an approved alcohol server education 09 course shall be determined under regulations adopted by the board. In approving 10 alcohol server education courses, the board shall consider the needs of both urban and 11 rural licensees regarding access to an approved alcohol server education course. A 12 licensee, permittee, agent, or employee who sells or serves alcoholic beverages shall 13 keep the card described in (c) of this section or other proof acceptable to the board of 14 successful completion of an approved alcohol server education course on the licensed 15 premises during working hours. 16 * Sec. 127. AS 04.21.025(c) is amended to read: 17 (c) A licensee, permittee, agent, or employee shall complete the course 18 required under (a) of this section and pass a written test demonstrating an 19 understanding of the course subjects not more than 30 days after being licensed, 20 permitted, or employed. The course provider shall issue a card to each individual who 21 completes the course and passes the written test. A card issued under this subsection is 22 valid for three years from the date of issue. A licensee, permittee, agent, or employee 23 may renew a card issued under this section; to renew the card, the licensee, permittee, 24 agent, or employee must pass a written test demonstrating an understanding of the 25 course subjects. Notwithstanding the 30-day period for completing the course and 26 passing the written test under this subsection, a person may not sell or serve 27 alcoholic beverages or check the identification of a patron at a permitted event 28 under AS 04.09.600 - 04.09.690 unless the person possesses a valid card issued 29 before the event. 30 * Sec. 128. AS 04.21.025 is amended by adding new subsections to read: 31 (f) This section does not apply to the following licenses:

01 (1) brewery manufacturer license under AS 04.09.020, unless the 02 licensee holds a manufacturer sampling endorsement; 03 (2) winery manufacturer license under AS 04.09.030, unless the 04 licensee holds a manufacturer sampling endorsement; 05 (3) distillery manufacturer license under AS 04.09.040, unless the 06 licensee holds a manufacturer sampling endorsement; 07 (4) general wholesale license under AS 04.09.100; 08 (5) limited wholesale brewed beverage and wine license under 09 AS 04.09.110; 10 (6) winery direct shipment license under AS 04.09.360. 11 (g) A person who violates (a) - (c) or (e) of this section commits the offense of 12 failure to comply with alcohol server education requirements. 13 (h) Failure to comply with alcohol server education requirements is a 14 violation. 15 * Sec. 129. AS 04.21.050(a) is amended to read: 16 (a) If a licensee or an agent or employee of the licensee questions or has 17 reason to question whether a person entering licensed premises, or ordering, 18 purchasing, attempting to purchase, or otherwise procuring or attempting to procure 19 alcoholic beverages, 20 (1) has attained the age of 21 years or is entering without consent in 21 violation of AS 04.16.049(a)(2) [AS 04.16.049(a)(3)] and has not attained the age of 22 16 years, that licensee, agent, or employee shall require the person to furnish proof of 23 age acceptable under (b) of this section or proof of consent in a form determined by 24 the board; if the person questioned does not furnish proof of age acceptable under (b) 25 of this section, or if a licensee, agent, or employee questions or has reason to question 26 the validity of the proof of age furnished, the licensee, employee, or agent shall require 27 the person to sign a statement that the person is over the age of 21 or 16 years, as 28 appropriate; this statement shall be made on a form prepared by and furnished to the 29 licensee by the board; 30 (2) is restricted from purchasing alcoholic beverages under 31 AS 04.16.160, the licensee, agent, or employee may, but has no duty or obligation to,

01 require the person to furnish proof acceptable under (b) of this section that the person 02 is not restricted from purchasing alcoholic beverages or require the person to sign a 03 statement that the person is not restricted from purchasing alcoholic beverages under 04 AS 04.16.160; this statement shall be made on a form prepared by and furnished to the 05 licensee by the board. 06 * Sec. 130. AS 04.21.060 is amended by adding new subsections to read: 07 (b) A licensee who stores alcoholic beverages elsewhere than on the licensed 08 premises and who fails to comply with (a)(1) - (3) of this section commits the offense 09 of unauthorized warehousing. 10 (c) Unauthorized warehousing is a violation. 11 * Sec. 131. AS 04.21.065(a) is repealed and reenacted to read: 12 (a) A holder of one of the following types of licenses or permits shall post on 13 the licensed or designated premises three separate warning signs as described in (b) of 14 this section: 15 (1) brewery manufacturer license under AS 04.09.020 with a 16 manufacturer sampling endorsement under AS 04.09.410; 17 (2) winery manufacturer license under AS 04.09.030 with a 18 manufacturer sampling endorsement under AS 04.09.410; 19 (3) distillery manufacturer license under AS 04.09.040 with a 20 manufacturer sampling endorsement under AS 04.09.410; 21 (4) beverage dispensary license under AS 04.09.200; 22 (5) restaurant or eating place license under AS 04.09.210; 23 (6) club license under AS 04.09.220; 24 (7) package store license under AS 04.09.230; 25 (8) pub license under AS 04.09.240; 26 (9) theater license under AS 04.09.250; 27 (10) common carrier dispensary license under AS 04.09.260; 28 (11) sporting event license under AS 04.09.270; 29 (12) outdoor recreation lodge license under AS 04.09.280; 30 (13) golf course license under AS 04.09.290; 31 (14) destination resort license under AS 04.09.300;

01 (15) brewery retail license under AS 04.09.310; 02 (16) winery retail license under AS 04.09.320; 03 (17) distillery retail license under AS 04.09.330; 04 (18) beverage dispensary tourism license under AS 04.09.340; 05 (19) seasonal restaurant or eating place tourism license under 06 AS 04.09.350; 07 (20) beverage dispensary caterer's permit under AS 04.09.610; 08 (21) restaurant caterer's dining permit under AS 04.09.620; 09 (22) club caterer's permit under AS 04.09.630; 10 (23) art exhibit event permit under AS 04.09.640; 11 (24) nonprofit organization event permit under AS 04.09.650; 12 (25) tasting event permit under AS 04.09.670; 13 (26) conditional contractor's permit under AS 04.09.690; 14 (27) another license or permit issued by the board authorizing 15 consumption of alcoholic beverages. 16 * Sec. 132. AS 04.21 is amended by adding new sections to read: 17 Sec. 04.21.072. Fines and other criminal penalties. (a) A violation under this 18 title, unless otherwise specified in the provision of this title defining the offense, is 19 punishable by a fine of $250. 20 (b) A misdemeanor or felony under this title, unless otherwise specified in the 21 provision of this title defining the offense, is punishable as provided in AS 12.55. 22 Sec. 04.21.074. Bail forfeiture schedule. The supreme court shall establish by 23 rule or order a schedule of bail amounts for violations under this title that allow the 24 disposition of a citation without a court appearance. The bail amount may not exceed 25 the maximum penalty prescribed by law for the violation. 26 Sec. 04.21.076. Suspension of fine or sentence. The court may not suspend a 27 fine for an offense other than a misdemeanor or felony under this title, or suspend 28 imposition or execution of sentence for an offense other than a misdemeanor or felony 29 under this title, unless otherwise expressly provided in this title. 30 * Sec. 133. AS 04.21.078 is amended to read: 31 Sec. 04.21.078. Court records of persons under 21 years of age. The Alaska

01 Court System may not publish on a publicly available website the court records of a 02 violation of AS 04.16.049, [OR] 04.16.050, 04.16.060(g), or a similar ordinance of a 03 municipality, if the violation was charged separately and was not joined with any other 04 minor offense or criminal charge at the time of filing. 05 * Sec. 134. AS 04.21.080(b)(6) is amended to read: 06 (6) "designated premises" means any or all designated portions of a 07 building or structure, rooms or enclosures in the building or structure, or real estate 08 leased, used, controlled, or operated by a licensee or permittee for the purpose for 09 which the license or permit is issued by the board at the location of the site for which 10 the license or permit is issued; 11 * Sec. 135. AS 04.21.080(b)(15) is amended to read: 12 (15) "licensed premises" means any or all designated portions of a 13 building or structure, rooms or enclosures in the building or structure, or real estate 14 leased, used, controlled, or operated by a licensee in the conduct of business for which 15 the licensee is licensed by the board at the specific address for which the license or an 16 endorsement to the license is issued; 17 * Sec. 136. AS 04.21.080(b) is amended by adding new paragraphs to read: 18 (21) "bona fide restaurant" means an establishment or a portion of an 19 establishment where, during all times alcoholic beverages are served or consumed, 20 (A) the patron's principal activity is consumption of food; and 21 (B) a variety of types of food items appropriate for meals is 22 prepared on site and available for sale as shown on a menu provided to patrons 23 and filed with the board; 24 (22) "brewed beverage" means an alcoholic beverage made by 25 fermenting cereal grains, including beer and malt beverages, sake, and kombucha; 26 (23) "calendar year" means the period beginning January 1 and ending 27 December 31; 28 (24) "cider" means a type of wine made primarily from fermented 29 apples, apple juice, or concentrate; 30 (25) "distilled spirit" means an alcoholic beverage that is first 31 fermented and then distilled;

01 (26) "golf course" means a course that is open to the public, having at 02 least nine holes and covering at least 2,950 yards; 03 (27) "kombucha" means a brewed beverage made from fermented tea 04 and containing at least one-half percent alcohol by volume; 05 (28) "mead" means a type of wine made primarily from honey; 06 (29) "sake" means a type of brewed beverage made primarily from 07 fermented rice; 08 (30) "wine" means an alcoholic beverage made from fermented grapes 09 or other fruit or honey. 10 * Sec. 137. AS 05.15.690(48) is amended to read: 11 (48) "vendor" means a business whose primary activity is not regulated 12 by this chapter but that 13 (A) is engaged in the sale of pull-tabs on behalf of a permittee; 14 (B) holds a business license under AS 43.70; and 15 (C) is an establishment holding a 16 (i) beverage dispensary license under AS 04.09.200 17 without a restaurant endorsement issued under AS 04.09.450 18 [AS 04.11.090 THAT HAS NOT BEEN DESIGNATED BY THE 19 ALCOHOLIC BEVERAGE CONTROL BOARD UNDER 20 AS 04.16.049(a)(2) - (3)], has not been exempted by the Department of 21 Labor and Workforce Development under AS 04.16.049(c) and 22 AS 23.10.355, and if the establishment is a hotel, motel, resort, or 23 similar business that caters to the traveling public as a substantial part 24 of its business, does not allow the sale of pull-tabs in a dining room, 25 banquet room, guest room, or other public areas other than a room in 26 which there is regularly maintained a fixed counter or service bar that 27 has plumbing connections to permanent plumbing at which 28 alcoholic beverages are sold or served to members of the public for 29 consumption; 30 (ii) package store license under AS 04.09.230 31 [AS 04.11.150];

01 * Sec. 138. AS 09.65.315(b) is amended to read: 02 (b) A person licensed under AS 04.09.010 - 04.09.380 [AS 04.11.080 - 03 04.11.255], or an agent or employee of the person, is not liable for damages resulting 04 from a motor vehicle accident described under (a) of this section. A person or entity 05 that participates in making arrangements for transportation of a vehicle under (a) of 06 this section is not liable for damages resulting from a motor vehicle accident described 07 in (a) of this section. 08 * Sec. 139. AS 11.76.100(b) is amended to read: 09 (b) Notwithstanding the provisions of (a) of this section, a person who 10 maintains a vending machine is not in violation of (a)(3) of this section if the vending 11 machine is located 12 (1) on premises licensed as a beverage dispensary under AS 04.09.200 13 [AS 04.11.090], licensed as a club under AS 04.09.220 [AS 04.11.110], or licensed as 14 a package store under AS 04.09.230 [AS 04.11.150]; and 15 (A) as far as practicable from the primary entrance; and 16 (B) in a place that is directly and continually supervised by a 17 person employed on the licensed premises during the hours the vending 18 machine is accessible to the public; or 19 (2) in an employee break room or other controlled area of a private 20 work place that is not generally considered a public place and the room or area 21 contains a posted warning sign at least 11 inches by 14 inches indicating that 22 possession of tobacco by a person under 19 years of age is prohibited under 23 AS 11.76.105. 24 * Sec. 140. AS 11.76.107(a) is amended to read: 25 (a) A person commits the offense of failure to supervise a cigarette vending 26 machine if the person owns premises licensed as a beverage dispensary under 27 AS 04.09.200, [AS 04.11.090 OR] licensed as a club under AS 04.09.220, 28 [AS 04.11.110] or licensed as a package store under AS 04.09.230 [AS 04.11.150] and 29 with criminal negligence fails to have an employee supervise a vending machine on 30 those premises that dispenses cigarettes, cigars, tobacco, or products containing 31 tobacco as required by AS 11.76.100(b)(1)(B).

01 * Sec. 141. AS 12.62.400(a) is amended to read: 02 (a) To obtain a national criminal history record check for determining a 03 person's qualifications for a license, permit, registration, employment, or position, a 04 person shall submit the person's fingerprints to the department with the fee established 05 by AS 12.62.160. The department may submit the fingerprints to the Federal Bureau 06 of Investigation to obtain a national criminal history record check of the person for the 07 purpose of evaluating a person's qualifications for 08 (1) a license or conditional contractor's permit to manufacture, sell, 09 offer for sale, possess for sale or barter, traffic in, or barter an alcoholic beverage 10 under AS 04.09 [AS 04.11]; 11 (2) licensure as a mortgage lender, a mortgage broker, or a mortgage 12 loan originator under AS 06.60; 13 (3) admission to the Alaska Bar Association under AS 08.08; 14 (4) licensure as a collection agency operator under AS 08.24; 15 (5) a certificate of fitness to handle explosives under AS 08.52; 16 (6) licensure as a massage therapist under AS 08.61; 17 (7) licensure to practice nursing or certification as a nurse aide under 18 AS 08.68; 19 (8) certification as a real estate appraiser under AS 08.87; 20 (9) a position involving supervisory or disciplinary power over a minor 21 or dependent adult for which criminal justice information may be released under 22 AS 12.62.160(b)(9); 23 (10) a teacher certificate under AS 14.20; 24 (11) a registration or license to operate a marijuana establishment 25 under AS 17.38; 26 (12) licensure as a security guard under AS 18.65.400 - 18.65.490; 27 (13) a concealed handgun permit under AS 18.65.700 - 18.65.790; 28 (14) licensure as an insurance producer, managing general agent, 29 reinsurance intermediary broker, reinsurance intermediary manager, surplus lines 30 broker, or independent adjuster under AS 21.27; 31 (15) serving and executing process issued by a court by a person

01 designated under AS 22.20.130; 02 (16) a school bus driver license under AS 28.15.046; 03 (17) licensure as an operator or an instructor for a commercial driver 04 training school under AS 28.17; 05 (18) registration as a broker-dealer, agent, investment adviser 06 representative, or state investment adviser under AS 45.55.030 - 45.55.060. 07 * Sec. 142. AS 18.56.230(b) is amended to read: 08 (b) The corporation may not authorize the commercial use of space in a multi- 09 unit residential housing development owned or financed by the corporation for 10 (1) a business that offers adult entertainment; 11 (2) the sale of alcoholic beverages, unless the sale [IS IN A 12 RESTAURANT OR EATING PLACE LICENSED UNDER AS 04.11.100 OR] is in 13 premises covered by a restaurant endorsement issued [DESIGNATED] by the 14 Alcoholic Beverage Control Board under AS 04.09.450 [AS A RESTAURANT 15 UNDER AS 04.16.049]; 16 (3) substance abuse treatment; or 17 (4) a business that primarily sells, transfers, or stores cigarettes or 18 tobacco-related products. 19 * Sec. 143. AS 18.65.085(c) is amended to read: 20 (c) The Department of Public Safety may establish and administer a reward 21 program, and provide grants to municipalities, established villages, and, at the request 22 of a municipality or established village, to a nonprofit association that administers a 23 village public safety officer program, for reward programs leading to the apprehension 24 and conviction of persons who violate AS 04.09.060, 04.09.070, 04.09.145, 04.09.370, 25 04.09.380, or AS 04.11.010 by selling, importing, or possessing alcoholic beverages 26 in violation of a local option adopted by a municipality or established village under 27 AS 04.11.491. 28 * Sec. 144. AS 18.80.230(b) is amended to read: 29 (b) Notwithstanding (a) of this section, a physical fitness facility may limit 30 public accommodation to only males or only females to protect the privacy interests of 31 its users. Public accommodation may be limited under this subsection only to those

01 rooms in the facility that are primarily used for weight loss, aerobic, and other 02 exercises, or for resistance weight training. Public accommodation may not be limited 03 under this subsection to rooms in the facility primarily used for other purposes, 04 including conference rooms, dining rooms, and premises licensed under AS 04.09 05 [AS 04.11]. This subsection does not apply to swimming pools or golf courses. 06 * Sec. 145. AS 39.50.200(b) is amended by adding a new paragraph to read: 07 (65) Marijuana Control Board (AS 17.38.080). 08 * Sec. 146. AS 43.60 is amended by adding a new section to read: 09 Sec. 43.60.060. Winery direct shipment tax; statement; audit. A holder of a 10 winery direct shipment license under AS 04.09.360 who sells wine in the state or who 11 consigns shipments of wine into the state shall 12 (1) be subject to the taxes provided under AS 43.60.010(a); 13 (2) provide monthly statements and other information required under 14 AS 43.60.020 with the remittance of a tax collected under this section; 15 (3) allow the Department of Revenue to perform an audit of the 16 holder's records upon request; and 17 (4) consent to the jurisdiction of a state court concerning enforcement 18 of this section relating to the collection of taxes and other money owed by the holder, 19 including interest and penalties. 20 * Sec. 147. AS 43.70.105(a) is amended to read: 21 (a) This chapter does not apply to 22 (1) a fisheries business; 23 (2) the sale of liquor under a license issued under AS 04.09 24 [AS 04.11]; 25 (3) an insurance business; 26 (4) a mining business; 27 (5) supplying services as an employee; 28 (6) furnishing goods or services by a person who does not represent to 29 be regularly engaged in furnishing goods or services; 30 (7) the activities of an investment club; in this paragraph, 31 (A) "investment club" means a group of individuals,

01 incorporated or otherwise organized, that engages primarily in investing in 02 securities, that does not sell investment services to another person, that does 03 not advertise, and the primary purpose of which is educational; 04 (B) "security" has the meaning given in AS 45.55.990. 05 * Sec. 148. AS 45.45.590(1) is amended to read: 06 (1) "business proprietor" means a person who owns a place of business 07 in which the public may assemble and in which copyrighted musical works may be 08 performed, broadcasted, or otherwise transmitted; in this paragraph, "place of 09 business" includes a store, professional office, sports facility, entertainment facility, 10 restaurant, hotel, or [AN] alcoholic beverage establishment licensed under AS 04.09 11 [AS 04.11]; 12 * Sec. 149. The uncodified law of the State of Alaska is amended by adding a new section 13 to read: 14 DIRECT COURT RULE AMENDMENT. Rule 17(h), Alaska Rules of Minor 15 Offense Procedure, is amended to read: 16 (h) Joinder Limits. A prosecutor may not join a violation of AS 04.16.049, 17 [OR] 04.16.050, or 04.16.060(g) or a similar municipal ordinance with a related 18 criminal charge. 19 * Sec. 150. AS 04.11.070, 04.11.080, 04.11.090, 04.11.100, 04.11.110, 04.11.115, 20 04.11.120, 04.11.130, 04.11.135, 04.11.140, 04.11.150, 04.11.160, 04.11.170, 04.11.180, 21 04.11.200, 04.11.210, 04.11.220, 04.11.225, 04.11.230, 04.11.240, 04.11.250, 04.11.255, 22 04.11.400(d), 04.11.400(h), 04.11.400(j); AS 04.16.070, 04.16.100, 04.16.180(a), 23 04.16.180(d), 04.16.210; and AS 04.21.080(b)(3) are repealed. 24 * Sec. 151. AS 04.11.400(e) and 04.11.400(g) are repealed. 25 * Sec. 152. AS 04.09.270(f) and 04.09.320(i) are repealed January 1, 2028. 26 * Sec. 153. Section 156 of this Act is repealed January 1, 2020. 27 * Sec. 154. The uncodified law of the State of Alaska is amended by adding a new section 28 to read: 29 APPLICABILITY. (a) The provisions of secs. 9 - 19, 28, 73 - 76, 78 - 122, 127 - 130, 30 132, 139, and 140 of this Act apply to offenses committed on or after the effective date of 31 each of those respective sections.

01 (b) References to previous convictions in AS 04.11.270(a), as amended by sec. 22 of 02 this Act, AS 04.16.180(b), as amended by sec. 115 of this Act, AS 04.16.180(e), as amended 03 by sec. 116 of this Act, and AS 04.16.220(i), as amended by sec. 121 of this Act, apply to 04 convictions occurring before, on, or after the effective date of each of those respective 05 sections. 06 * Sec. 155. The uncodified law of the State of Alaska is amended by adding a new section 07 to read: 08 TRANSITION: CONVERSION OF APPLICATIONS AND LICENSES. (a) 09 Notwithstanding the population limits under AS 04.11.400(a) or (b), the Alcoholic Beverage 10 Control Board shall convert, within 90 days after the effective date of this section, 11 (1) a license issued or renewed as necessary for the public convenience under 12 former AS 04.11.400(e) or 04.11.400(g), repealed by sec. 151 of this Act, into a restaurant or 13 eating place license under AS 04.09.210, added by sec. 9 of this Act, if the license was issued 14 as a restaurant or eating place license, or into a beverage dispensary license under 15 AS 04.09.200, added by sec. 9 of this Act, if the license was issued as a beverage dispensary 16 license under former AS 04.11.400(j); 17 (2) an application submitted to the board that meets all of the requirements 18 under former AS 04.11.400(e) or 04.11.400(g), repealed by sec. 151 of this Act, into an 19 application for a restaurant or eating place license under AS 04.09.210, added by sec. 9 of this 20 Act, if the license was issued as a restaurant or eating place license; 21 (3) a license issued or renewed as a bottling works license under former 22 AS 04.11.120, repealed by sec. 150 of this Act, into a brewery manufacturer license under 23 AS 04.09.020, added by sec. 9 of this Act, or into a winery manufacturer license under 24 AS 04.09.030, added by sec. 9 of this Act; 25 (4) a license issued or renewed as a brewpub license under former 26 AS 04.11.135, repealed by sec. 150 of this Act, into a brewery manufacturer license under 27 AS 04.09.020, added by sec. 9 of this Act; 28 (5) a license issued or renewed as a beverage dispensary license or restaurant 29 or eating place license for a premises that is a theater under former AS 04.11.090 or 30 AS 04.11.100, repealed by sec. 150 of this Act, into a theater license under AS 04.09.250, 31 added by sec. 9 of this Act;

01 (6) a license issued or renewed as a wholesale license under former 02 AS 04.11.160(a), repealed by sec. 150 of this Act, into a general wholesale license under 03 AS 04.09.100, added by sec. 9 of this Act; 04 (7) a license issued or renewed as a wholesale license under former 05 AS 04.11.160(b), repealed by sec. 150 of this Act, into a limited wholesale brewed beverage 06 and wine license under AS 04.09.110, added by sec. 9 of this Act; 07 (8) a license issued or renewed as a beverage dispensary license under former 08 AS 04.11.400(d), repealed by sec. 150 of this Act, into a beverage dispensary tourism license 09 under AS 04.09.340, added by sec. 9 of this Act; 10 (9) a duplicate license issued or renewed as a duplicate beverage dispensary 11 license under former AS 04.11.090(e), repealed by sec. 150 of this Act, into a multiple fixed 12 counter endorsement under AS 04.09.420, added by sec. 9 of this Act. 13 (b) Notwithstanding the population limits under AS 04.11.400(a) or (b), the Alcoholic 14 Beverage Control Board may 15 (1) convert a license issued or renewed as a brewery license under former 16 AS 04.11.130, repealed by sec. 150 of this Act, into a brewery manufacturer license under 17 AS 04.09.020, added by sec. 9 of this Act, and a brewery retail license under AS 04.09.310, 18 added by sec. 9 of this Act, upon application by the licensee; 19 (2) convert an application submitted to the board that meets all of the 20 requirements under former AS 04.11.130, repealed by sec. 150 of this Act, into an application 21 for a brewery manufacturer license under AS 04.09.020, added by sec. 9 of this Act, and a 22 brewery retail license under AS 04.09.310, added by sec. 9 of this Act; 23 (3) convert a license issued or renewed as a winery license under former 24 AS 04.11.140, repealed by sec. 150 of this Act, into a winery manufacturer license under 25 AS 04.09.030, added by sec. 9 of this Act, and a winery retail license under AS 04.09.320, 26 added by sec. 9 of this Act, upon application by the licensee; 27 (4) convert an application submitted to the board that meets all of the 28 requirements under former AS 04.11.140, repealed by sec. 150 of this Act, into an application 29 for a winery manufacturer license under AS 04.09.030, added by sec. 9 of this Act, and a 30 winery retail license under AS 04.09.320, added by sec. 9 of this Act; 31 (5) convert a license issued or renewed as a distillery license under former

01 AS 04.11.170, repealed by sec. 150 of this Act, into a distillery manufacturer license under 02 AS 04.09.040, added by sec. 9 of this Act, and a distillery retail license under AS 04.09.330, 03 added by sec. 9 of this Act, upon application by the licensee; 04 (6) convert an application submitted to the board that meets all of the 05 requirements under former AS 04.11.170, repealed by sec. 150 of this Act, into an application 06 for a distillery manufacturer license under AS 04.09.040, added by sec. 9 of this Act, and a 07 distillery retail license under AS 04.09.330, added by sec. 9 of this Act; 08 (7) convert a license issued or renewed as a recreational site license under 09 former AS 04.11.210, repealed by sec. 150 of this Act, into a sporting event license under 10 AS 04.09.270, added by sec. 9 of this Act, upon application by the licensee; 11 (8) establish an application form and procedure for conversion applications 12 under this section. 13 * Sec. 156. The uncodified law of the State of Alaska is amended by adding a new section 14 to read: 15 TRANSITION: SEASONAL RESTAURANT OR EATING PLACE LICENSE. (a) 16 Notwithstanding AS 04.11.080, the Alcoholic Beverage Control Board may issue a seasonal 17 restaurant or eating place tourism license to a person who files an application under 18 AS 04.11.260. 19 (b) A seasonal restaurant or eating place license authorizes a restaurant or eating place 20 to sell brewed beverages and wine for consumption only on the licensed premises for a period 21 not to exceed six months in each calendar year. 22 (c) The biennial seasonal restaurant or eating place tourism license fee is $1,250. 23 (d) The board may issue a license under this section only if 24 (1) the board determines that the licensed premises is a bona fide restaurant or 25 eating place; and 26 (2) the sale and service of food and alcoholic beverages and any other 27 business conducted on the licensed premises of the restaurant or eating place is under the sole 28 control of the licensee. 29 (e) The board may issue a license under this section only in a municipality or 30 established village that 31 (1) has a population of 20,000 or less; and

01 (2) includes a community that receives more than 4,000 visitors a year, as 02 determined by the Department of Commerce, Community, and Economic Development. 03 (f) The board may issue a license or approve an application for the transfer of 04 ownership of a license under this section if it appears that issuance or transfer will encourage 05 the tourism trade. 06 (g) The holder of a seasonal restaurant or eating place tourism license shall ensure 07 that gross receipts from the sale of food for consumption on the licensed premises are not less 08 than the total amount of the gross receipts from the sale of alcoholic beverages for 09 consumption on the licensed premises in each calendar year. 10 (h) The board shall adopt a regulation establishing a formula to limit the number of 11 seasonal restaurant or eating place tourism licenses. 12 (i) The holder of a seasonal restaurant or eating place tourism license may provide 13 entertainment on or adjacent to the licensed premises only between the hours of 3:00 p.m. and 14 11:00 p.m. unless additional hours are approved by the director upon the written request of the 15 licensee for a specific occasion. The director may not grant approval for additional hours of 16 entertainment on or adjacent to the licensed premises of an individual licensee more than 17 three times in a calendar year. In this subsection, "entertainment" includes dancing, karaoke, 18 live performances, or similar activities, but does not include recorded or broadcast 19 performances without live participation. 20 (j) A license issued under this section may be renewed under AS 04.09.350, added by 21 sec. 9 of this Act, on or after the effective date of sec. 9 of this Act. 22 * Sec. 157. The uncodified law of the State of Alaska is amended by adding a new section 23 to read: 24 TRANSITION: REGULATIONS. The Department of Commerce, Community, and 25 Economic Development and the Alcoholic Beverage Control Board may adopt regulations 26 necessary to implement the changes made by this Act. The regulations take effect under 27 AS 44.62 (Administrative Procedure Act), but not before the effective date of the law 28 implemented by the regulation. 29 * Sec. 158. Sections 30, 34, 36, 42, 46, 49, 96, 133, 151, 156, and 157 of this Act take effect 30 immediately under AS 01.10.070(c). 31 * Sec. 159. Except as provided in sec. 158 of this Act, this Act takes effect January 1, 2020.