HCS CSSB 16(L&C): "An Act relating to certain alcoholic beverage licenses and permits; relating to the bond requirement for certain alcoholic beverage license holders; and providing for an effective date."
00 HOUSE CS FOR CS FOR SENATE BILL NO. 16(L&C) 01 "An Act relating to certain alcoholic beverage licenses and permits; relating to the bond 02 requirement for certain alcoholic beverage license holders; and providing for an 03 effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 04.11.080 is amended to read: 06 Sec. 04.11.080. Types of licenses and permits. Licenses and permits issued 07 under this title are as follows: 08 (1) beverage dispensary license; 09 (2) duplicate beverage dispensary license for additional rooms; 10 (3) restaurant or eating place license; 11 (4) club license; 12 (5) bottling works license; 13 (6) brewery license; 14 (7) package store license;
01 (8) general wholesale license; 02 (9) wholesale malt beverage and wine license; 03 (10) distillery license; 04 (11) common carrier dispensary license; 05 (12) retail stock sale license; 06 (13) recreational site license; 07 (14) pub license; 08 (15) winery license; 09 (16) caterer's permit; 10 (17) special events permit; 11 (18) conditional contractor's permit; 12 (19) brewpub license; 13 (20) golf course license; 14 (21) outdoor recreation lodge license; 15 (22) destination resort license; 16 (23) performing arts theater license; 17 (24) fair license. 18 * Sec. 2. AS 04.11.100(g) is amended to read: 19 (g) A restaurant or eating place licensee 20 (1) operating under a license issued under (f) of this section shall offer 21 a full-service menu of food items available to the public during all times that beer or 22 wine is served or consumed; the menu must be approved by the board; 23 (2) may only provide entertainment on the licensed premises between 24 the hours of 11:00 a.m. and 7:00 p.m. or 3:00 p.m. and 11:00 p.m. as permitted in 25 (h) of this section, unless approved by the director after written request by the 26 licensee for a specific occasion [; IN THIS PARAGRAPH, "ENTERTAINMENT" 27 INCLUDES DANCING, KARAOKE, LIVE PERFORMANCES, OR SIMILAR 28 ACTIVITIES, BUT DOES NOT INCLUDE RECORDED OR BROADCAST 29 PERFORMANCES WITHOUT LIVE PARTICIPATION]. 30 * Sec. 3. AS 04.11.100 is amended by adding new subsections to read: 31 (h) An applicant for initial licensure or renewal of a restaurant or eating place
01 license shall select, at the time of application, whether to permit entertainment on the 02 licensed premises between the hours of 11:00 a.m. and 7:00 p.m. or between the hours 03 of 3:00 p.m. and 11:00 p.m. A licensee may not change the permitted hours of 04 entertainment until the licensee submits an application for renewal of the license. 05 (i) In this section, "entertainment" includes dancing, karaoke, live 06 performances, or similar activities, but does not include recorded or broadcast 07 performances without live participation. 08 * Sec. 4. AS 04.11 is amended by adding a new section to read: 09 Sec. 04.11.205. Performing arts theater license. (a) A performing arts theater 10 license authorizes the holder of a beverage dispensary license to sell alcoholic 11 beverages and the holder of a restaurant or eating place license to sell beer and wine 12 at multiple noncontiguous locations at a specified performing arts theater site for 13 consumption on the licensed premises. 14 (b) The biennial performing arts theater license fee is $1,250. 15 (c) The holder of a performing arts theater license may not sell or serve 16 alcoholic beverages as provided under the license during an event that is expected to 17 attract an audience predominantly composed of attendees under 21 years of age. 18 (d) The holder of a performing arts theater license may sell or serve alcoholic 19 beverages as provided under the license only 20 (1) in designated areas on the licensed premises; and 21 (2) for a period beginning two hours before the event until one hour 22 after the event. 23 (e) The holder of a performing arts theater license shall post the license 24 conspicuously in the performing arts theater during times when alcoholic beverages 25 are sold. 26 (f) The board may not approve an application for the transfer of a performing 27 arts theater license to another location. 28 (g) An application for a performing arts theater license must clearly identify 29 designated areas for the sale and consumption of alcoholic beverages, which may 30 include portions of the audience viewing area at the performing arts theater site. The 31 board may approve an application for a performing arts theater license only if the
01 application is approved by the local governing body of the municipality in which the 02 performing arts theater site is located or, for a performing arts theater site outside a 03 municipality, approved by the law enforcement agency that has jurisdiction over the 04 performing arts theater site. 05 (h) In this section, "performing arts theater" means a location where events are 06 presented by live performers on a stage, such as plays, operas, orchestra concerts, 07 readings, and similar activities as determined by the board. 08 * Sec. 5. AS 04.11.210(a) is amended to read: 09 (a) The holder of a recreational site license may sell beer and wine at a 10 recreational site during and one hour before and after a recreational activity or event 11 that is not a school event, for consumption on designated areas at the site. 12 * Sec. 6. AS 04.11.210(c) is amended to read: 13 (c) In this section, "recreational site" includes 14 (1) a location where sporting events such as baseball games, car 15 races, hockey games, dog sled racing [EVENTS], or curling matches [ARE] regularly 16 take place [HELD] during a season; 17 (2) a public bowling alley where bowling occurs; and 18 (3) a public ski area 19 (A) where skiing and snowboarding occur; 20 (B) that sells lift tickets; and 21 (C) that has a permanent public structure. 22 * Sec. 7. AS 04.11.210 is amended by adding a new subsection to read: 23 (d) The board may not deny an application for renewal of a license issued 24 under this section or an application to transfer a license issued under this section to 25 another person solely because the board determines that the licensed premises is not a 26 "recreational site" as defined under (c) of this section if the applicant 27 (1) held a license under this section or received a transferred license 28 under this section that was valid on December 31, 2018; and 29 (2) operates the license under the same conditions required at the time 30 of initial licensure. 31 * Sec. 8. AS 04.11 is amended by adding a new section to read:
01 Sec. 04.11.215. Fair license. (a) A fair license authorizes the holder to sell 02 beer and wine at multiple noncontiguous locations at an annual fair held on 03 fairgrounds for consumption on licensed premises. 04 (b) The biennial fair license fee is $800. 05 (c) The board may issue a fair license only to a nonprofit organization that is 06 incorporated under AS 10.20 and has been active for a period of at least five years 07 before the effective date of sec. 8 of this Act. 08 (d) In this section, "annual fair" means an annual gathering of residents of all 09 or a portion of the state that offers competitive exhibitions of livestock and agricultural 10 crops, carnival amusement rides and games, and displays of arts and crafts. 11 * Sec. 9. AS 04.11.220 is amended by adding new subsections to read: 12 (f) The board may designate two alternating premises for a pub license if 13 (1) both premises are 14 (A) located on the accredited college or university campus; 15 (B) not located in contiguous rooms or adjacent buildings; and 16 (C) under the licensee's control; 17 (2) at any time, only one location is operating as a licensed premises 18 with specified operating hours approved by the board; and 19 (3) all alcoholic beverages are either removed from the alternate 20 premises or stored in a secure location that is not accessible to the general public 21 during times when the alternate premises is not operating as a licensed premises. 22 (g) The board may suspend or revoke a licensee's use of an alternate premises 23 under (f) of this section after providing written notice and an opportunity to be heard 24 to the licensee. 25 * Sec. 10. AS 04.11.240(c) is amended to read: 26 (c) Not [THE SPECIAL EVENTS PERMIT MUST BE SURRENDERED TO 27 THE BOARD, ITS AGENT, OR THE LAW ENFORCEMENT AGENCY 28 APPROVING THE PERMIT, WITHIN 48 HOURS OF ITS EXPIRATION TIME. 29 FAILURE TO SURRENDER THE PERMIT IS CAUSE, IN THE DISCRETION OF 30 THE BOARD, FOR DENIAL OF APPLICATIONS FOR PERMITS MADE IN THE 31 FUTURE BY THE ORGANIZATION. NO] more than five special events permits
01 may be granted to an organization, including its auxiliary, in any one calendar year. 02 * Sec. 11. AS 04.11.260(c) is amended to read: 03 (c) An applicant for a new license or permit must include with the application 04 (1) proof that notice required by AS 04.11.310 has been given; 05 (2) any petitions required to be secured under AS 04.11.460 before a 06 license may be issued; 07 (3) evidence of any approval by public authorities required to be 08 obtained under AS 04.11.220(c) [AS 04.11.090(e), 04.11.220(c)], 04.11.230(b), 09 04.11.240(b), or 04.11.250(b), before a license or permit may be issued. 10 * Sec. 12. AS 04.11.330(d) is amended to read: 11 (d) Notwithstanding (a)(3) of this section, a performing arts theater license 12 issued under AS 04.11.205 and a recreational site license issued under AS 04.11.210 13 may be renewed if the license was exercised at least once during each of the two 14 preceding calendar years. 15 * Sec. 13. AS 04.16.049(a) is amended to read: 16 (a) A person under 21 years of age may not knowingly enter or remain in 17 premises licensed under this title unless 18 (1) accompanied by a parent, guardian, or spouse who has attained 21 19 years of age; 20 (2) the person is at least 16 years of age, the premises are designated 21 by the board as a restaurant for the purposes of this section, and the person enters and 22 remains only for dining; 23 (3) the person is under 16 years of age, is accompanied by a person 24 over 21 years of age, the parent or guardian of the underaged person consents, the 25 premises are designated by the board as a restaurant for the purposes of this section, 26 and the person enters and remains only for dining; 27 (4) the person is permitted on the premises under a club license issued 28 under AS 04.11.110(g); or 29 (5) otherwise provided under (c), (d), [OR] (g), or (j) of this section. 30 * Sec. 14. AS 04.16.049 is amended by adding a new subsection to read: 31 (j) Notwithstanding any other provision of this section, a person under 21
01 years of age may be present on licensed premises of a performing arts theater for the 02 purpose of viewing an event presented by live performers on a stage or attending a 03 performing arts-related activity if the person is 04 (1) at least 16 years of age; or 05 (2) under 16 years of age and 06 (A) is accompanied by a person who is at least 21 years of age; 07 and 08 (B) the person's parent or guardian consents. 09 * Sec. 15. AS 04.21.065(a) is amended to read: 10 (a) A holder of one of the following types of licenses or permits shall post on 11 the licensed or designated premises three separate warning signs as described in (b) of 12 this section: 13 (1) beverage dispensary license; 14 (2) restaurant or eating place license; 15 (3) club license; 16 (4) brewery license; this paragraph applies only to a brewery that 17 permits a person to sample portions of the brewery's product; 18 (5) package store license; 19 (6) common carrier dispensary license; 20 (7) recreational site license; 21 (8) pub license; 22 (9) winery license; this paragraph applies only to a winery that permits 23 a person to sample portions of the winery's product; 24 (10) distillery license; this paragraph applies only to a distillery that 25 permits a person to sample portions of the distillery's product; 26 (11) caterer's permit; 27 (12) special events permit; 28 (13) conditional contractor's permit; 29 (14) performing arts theater license; 30 (15) fair license; 31 (16) another license or permit issued by the board authorizing
01 consumption of alcoholic beverages. 02 * Sec. 16. AS 43.60.040(a) is amended to read: 03 (a) Each brewer, distiller, bottler, jobber, wholesaler, or manufacturer is 04 primarily liable for the payment of the excise taxes on alcoholic beverages sold, and, 05 except as provided under (i) of this section, shall furnish a good and sufficient 06 surety bond of $25,000 payable to the department and approved by the Department of 07 Law. If a wholesaler fails to pay the tax to the state, the wholesaler forfeits the bond 08 and the wholesaler's license shall be revoked. The department, in its discretion, may 09 issue permits in place of bonds to resident holders of wholesale, malt beverage, and 10 wine licenses doing business wholly in the state who pay the tax before shipment. 11 * Sec. 17. AS 43.60.040(b) is amended to read: 12 (b) Upon receipt of the bond and its subsequent approval, the department shall 13 issue a license certificate authorizing the brewer, distiller, bottler, jobber, wholesaler, 14 or manufacturer, liable for the payment of the tax, to sell alcoholic beverages in the 15 state or to consign shipments of alcoholic beverages to the state. Except as provided 16 under (i) of this section, it [IT] is unlawful for a brewer, distiller, bottler, jobber, 17 wholesaler, or manufacturer to sell alcoholic beverages in the state or to consign 18 shipments of alcoholic beverages into the state without first furnishing the required 19 bond and obtaining the license certificate or permit from the department. The license 20 certificate does not constitute permission to sell alcoholic beverages in the state or to 21 consign them to the state without having complied with other requirements of state or 22 federal law. 23 * Sec. 18. AS 43.60.040 is amended by adding a new subsection to read: 24 (i) The department may not require a brewer, distiller, bottler, jobber, 25 wholesaler, or manufacturer who has timely filed monthly tax returns and paid 26 monthly taxes to the department over the most recent three consecutive years to 27 maintain a bond if the brewer, distiller, bottler, jobber, wholesaler, or manufacturer 28 continues to remain in compliance with AS 43.60. The department shall notify the 29 brewer, distiller, bottler, jobber, wholesaler, or manufacturer of any noncompliance 30 that requires the brewer, distiller, bottler, jobber, wholesaler, or manufacturer to file a 31 bond under (a) of this section. The brewer, distiller, bottler, jobber, wholesaler, or
01 manufacturer shall, within 30 days after receiving the notice of noncompliance, file 02 with the department a bond under (a) of this section. 03 * Sec. 19. The uncodified law of the State of Alaska is amended by adding a new section to 04 read: 05 TRANSITION. The board shall reconsider an application for renewal of a recreational 06 site license or transfer of a recreational site license to another person and apply 07 AS 04.11.210(d), enacted by sec. 7 of this Act, if 08 (1) the application was denied between December 31, 2018, and the effective 09 date of this Act; and 10 (2) the board denied the application because the board determined that the 11 licensed premises was not a "recreational site" as defined under AS 04.11.210(c). 12 * Sec. 20. AS 04.11.230(d) is repealed. 13 * Sec. 21. The uncodified law of the State of Alaska is amended by adding a new section to 14 read: 15 RETROACTIVITY. Section 7 of this Act is retroactive to December 31, 2018. 16 * Sec. 22. This Act takes effect immediately under AS 01.10.070(c).