CSHB 91(STA): "An Act relating to the lawful operation of retail marijuana stores; relating to marijuana cultivation; relating to the registration of marijuana establishments; relating to marijuana taxes; relating to the duties of the Department of Revenue; and providing for an effective date."
00 CS FOR HOUSE BILL NO. 91(STA) 01 "An Act relating to the lawful operation of retail marijuana stores; relating to 02 marijuana cultivation; relating to the registration of marijuana establishments; relating 03 to marijuana taxes; relating to the duties of the Department of Revenue; and providing 04 for an effective date." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. AS 17.38.070(a) is amended to read: 07 (a) Notwithstanding any other provision of law, the following acts, when 08 performed by a retail marijuana store with a current, valid registration, or a person 21 09 years of age or older who is acting in the person's capacity as an owner, employee, or 10 agent of a retail marijuana store, are lawful and are not an offense under state law or a 11 basis for seizure or forfeiture of assets under state law: 12 (1) possessing, displaying, storing, or transporting marijuana or 13 marijuana products, except that marijuana and marijuana products may not be 14 displayed in a manner that is visible to the general public from a public right-of-way;
01 (2) delivering or transferring marijuana or marijuana products to a 02 marijuana testing facility; 03 (3) receiving marijuana or marijuana products from a marijuana testing 04 facility; 05 (4) purchasing marijuana from a marijuana cultivation facility; 06 (5) purchasing marijuana or marijuana products from a marijuana 07 product manufacturing facility; and 08 (6) delivering, distributing, or selling marijuana or marijuana products 09 to a consumer, a marijuana cultivation facility, or a marijuana product 10 manufacturing facility [CONSUMERS]. 11 * Sec. 2. AS 17.38 is amended by adding a new section to read: 12 Sec. 17.38.075. Marijuana inventory tracking at marijuana cultivation 13 facilities. A marijuana cultivation facility shall assign a tracking number to each crop 14 of marijuana plants when the height of one or more plants exceeds eight inches. The 15 board may not require a marijuana cultivation facility to assign an individual tracking 16 number to each plant propagated, grown, or cultivated on the marijuana cultivation 17 facility's premises. 18 * Sec. 3. AS 17.38.200(a) is amended to read: 19 (a) Each application or renewal application for a registration to operate a 20 marijuana establishment shall be submitted to the board. A renewal application may be 21 submitted up to 90 days before the expiration of the marijuana establishment's 22 registration. When filing an application for a new registration under this subsection, 23 the applicant shall submit the applicant's fingerprints and the fees required by the 24 Department of Public Safety under AS 12.62.160 for criminal justice information and 25 a national criminal history record check. When filing an application for renewal of 26 registration, an applicant shall submit the applicant's fingerprints and the fees required 27 by the Department of Public Safety under AS 12.62.160 for criminal justice 28 information and a national criminal history record check every six [FIVE] years. The 29 board shall forward the fingerprints and fees to the Department of Public Safety to 30 obtain a report of criminal justice information under AS 12.62 and a national criminal 31 history record check under AS 12.62.400.
01 * Sec. 4. AS 17.38.200(d) is amended to read: 02 (d) Within 45 to 90 days after receiving an application or renewal application, 03 the board shall issue a biennial [AN ANNUAL] registration to the applicant unless 04 the board finds the applicant is not in compliance with regulations enacted under 05 [PURSUANT TO] AS 17.38.190 or the board is notified by the relevant local 06 government that the applicant is not in compliance with ordinances and regulations 07 made under [PURSUANT TO] AS 17.38.210 and in effect at the time of application. 08 * Sec. 5. AS 17.38.210(e) is amended to read: 09 (e) A local government may establish a schedule of biennial [ANNUAL] 10 operating, registration, and application fees for marijuana establishments, provided 11 that the local government may charge the 12 (1) application fee only if an application is submitted to the local 13 government in accordance with (f) of this section; and 14 (2) registration fee only if a registration is issued by the local 15 government in accordance with (f) of this section. 16 * Sec. 6. AS 17.38.210(f) is amended to read: 17 (f) If the board does not issue a registration to an applicant within 90 days 18 after receiving [OF RECEIPT OF] the application filed in accordance with 19 AS 17.38.200 and does not notify the applicant of the specific, permissible reason for 20 its denial, in writing and within that [SUCH] time period, or if the board has adopted 21 regulations under [PURSUANT TO] AS 17.38.190 and has accepted applications 22 under [PURSUANT TO] AS 17.38.200 but has not issued any registrations by 15 23 months after February 24, 2015, the applicant may resubmit its application directly to 24 the local regulatory authority, under [PURSUANT TO] (c) of this section, and the 25 local regulatory authority may issue a biennial [AN ANNUAL] registration to the 26 applicant. If an application is submitted to a local regulatory authority under this 27 subsection, the board shall forward to the local regulatory authority the application fee 28 paid by the applicant to the board upon request by the local regulatory authority. 29 * Sec. 7. AS 17.38.210(h) is amended to read: 30 (h) A local regulatory authority issuing a registration to an applicant shall do 31 so within 90 days after receiving [OF RECEIPT OF] the submitted or resubmitted
01 application unless the local regulatory authority finds and notifies the applicant that 02 the applicant is not in compliance with ordinances and regulations made under 03 [PURSUANT TO] (b) of this section in effect at the time the application is submitted 04 to the local regulatory authority. The local government shall notify the board if a 05 biennial [AN ANNUAL] registration has been issued to the applicant. 06 * Sec. 8. AS 17.38.210(j) is amended to read: 07 (j) A subsequent or renewed registration may be issued under (f) of this 08 section on a biennial [AN ANNUAL] basis only upon resubmission to the local 09 government of a new application submitted to the board under [PURSUANT TO] 10 AS 17.38.200. 11 * Sec. 9. AS 17.38.320 is amended to read: 12 Sec. 17.38.320. Effect on registrations of prohibition of marijuana 13 establishments. If a majority of voters vote to prohibit the operation of marijuana 14 establishments under AS 17.38.300, the board may not issue, renew, or transfer, 15 between persons or locations, a registration for a marijuana establishment located 16 within the perimeter of the established village. A registration that may not be renewed 17 because of a local option election held under AS 17.38.300 is void 90 days after the 18 results of the election are certified. A registration that expires during the 90 days after 19 the results of a local option election are certified may be extended, until it is void 20 under this section, by payment of a prorated portion of the biennial [ANNUAL] 21 registration fee. 22 * Sec. 10. AS 17.38.900(18) is amended to read: 23 (18) "retail marijuana store" means an entity registered to purchase 24 marijuana from marijuana cultivation facilities, to purchase marijuana and marijuana 25 products from marijuana product manufacturing facilities, and to sell marijuana and 26 marijuana products to consumers, marijuana cultivation facilities, and marijuana 27 product manufacturing facilities; 28 * Sec. 11. AS 43.61.010(a) is amended to read: 29 (a) An excise tax is imposed on the sale or transfer of marijuana from a 30 marijuana cultivation facility to a retail marijuana store or marijuana product 31 manufacturing facility. Every marijuana cultivation facility shall pay an excise tax at
01 the rate of $12.50 an [$50 PER] ounce, or proportionate part thereof, on marijuana 02 that is sold or transferred from a marijuana cultivation facility to a retail marijuana 03 store or marijuana product manufacturing facility. 04 * Sec. 12. AS 43.61.010(f) is amended to read: 05 (f) The marijuana education and treatment fund is established in the general 06 fund. In addition to the accounting under (c) of this section, the Department of 07 Administration shall separately account for 25 percent of the tax collected under this 08 section and deposit it into the marijuana education and treatment fund. The 09 Department of Administration shall deposit interest earned on the fund into the general 10 fund. Money in the fund does not lapse. The legislature may use the annual estimated 11 balance in the fund to make appropriations to the Department of Health for the 12 comprehensive marijuana use education and treatment program established under 13 AS 44.29.020(a)(14) and may use at least 50 percent of the annual estimated 14 balance in the fund to make appropriations to the youth services grant program 15 within the community-based marijuana misuse prevention component of that 16 program. 17 * Sec. 13. AS 43.61.010 is amended by adding new subsections to read: 18 (g) In addition to the accounting under (c) and (f) of this section, the 19 Department of Administration shall separately account for 25 percent of the tax 20 collected under this section and deposit it into the public education fund. 21 (h) A sales tax is imposed on the sale of marijuana and marijuana products 22 from a retail marijuana store to a consumer. Every consumer shall pay a six percent 23 sales tax at a retail marijuana store for all marijuana and marijuana products intended 24 for human consumption. 25 * Sec. 14. AS 43.61.020 is amended to read: 26 Sec. 43.61.020. Quarterly statements [MONTHLY STATEMENT] and 27 payments. (a) Each retail marijuana store [CULTIVATION FACILITY] shall send a 28 statement by mail or electronically to the department on or before the last day of each 29 quarter [CALENDAR MONTH]. The statement must contain an account of the 30 amount of marijuana sold to consumers [OR TRANSFERRED TO RETAIL 31 MARIJUANA STORES AND MARIJUANA PRODUCT MANUFACTURING
01 FACILITIES IN THE STATE] during the preceding quarter [MONTH], setting out 02 [(1)] the total number of ounces, including fractional ounces, sold and 03 the total value of the marijuana sold [OR TRANSFERRED; 04 (2) THE NAMES AND ALASKA ADDRESS OF EACH BUYER 05 AND TRANSFEREE; AND 06 (3) THE WEIGHT OF MARIJUANA SOLD OR TRANSFERRED 07 TO THE RESPECTIVE BUYERS OR TRANSFEREES]. 08 (b) The retail marijuana store [CULTIVATION FACILITY] shall pay 09 quarterly [MONTHLY] to the department [,] all taxes, computed at the rates 10 prescribed in this chapter, on the respective total quantities of the marijuana sold [OR 11 TRANSFERRED] during the preceding quarter [MONTH]. The quarterly 12 [MONTHLY] return shall be filed and the tax paid on or before the last day of each 13 quarter [MONTH] to cover the preceding quarter [MONTH]. 14 * Sec. 15. AS 43.61.030 is amended to read: 15 Sec. 43.61.030. Administration and enforcement of tax. (a) Delinquent 16 payments under this chapter shall subject the retail marijuana store [CULTIVATION 17 FACILITY] to civil penalties under AS 43.05.220. 18 (b) If a retail marijuana store [CULTIVATION FACILITY] fails to pay the 19 tax to the state, the retail marijuana store's [CULTIVATION FACILITY'S] 20 registration may be revoked in accordance with procedures established under 21 AS 17.38.190(a)(1). 22 * Sec. 16. AS 44.25.020 is amended to read: 23 Sec. 44.25.020. Duties of department. The Department of Revenue shall 24 (1) enforce the tax laws of the state; 25 (2) collect, account for, have custody of, invest, and manage all state 26 funds and all revenues of the state except revenues incidental to a program of licensing 27 and regulation carried on by another state department, funds managed and invested by 28 the Alaska Retirement Management Board, and as otherwise provided by law; 29 (3) invest and manage the balance of the power development fund in 30 accordance with AS 44.83.386; 31 (4) administer the surety bond program for licensure as a fish
01 processor or primary fish buyer; 02 (5) provide reasonable assistance to the Alaska Industrial Development 03 and Export Authority under AS 44.88.850(c); 04 (6) establish at least one facility in each judicial district to collect 05 monthly statements and payments from retail marijuana stores under 06 AS 43.61.020. 07 * Sec. 17. AS 43.61.010(b) is repealed. 08 * Sec. 18. AS 43.61.010(a) is repealed January 1, 2026. 09 * Sec. 19. The uncodified law of the State of Alaska is amended by adding a new section to 10 read: 11 APPLICABILITY. AS 43.61.010(a), as amended by sec. 11 of this Act, applies to 12 taxes accrued on or after the effective date of sec. 11 of this Act. 13 * Sec. 20. Sections 13 - 16 of this Act take effect January 1, 2026. 14 * Sec. 21. Except as provided in sec. 20 of this Act, this Act takes effect July 1, 2025.