02/15/2018 03:15 PM House STATE AFFAIRS

        HB 319-RENEW MARIJUANA LICENSE:BACKGROUND CHECKS                                                                    
                                                                                                                              
4:07:31 PM                                                                                                                    
                                                                                                                                
CHAIR KREISS-TOMKINS  announced that  the final order  of business                                                              
would  be  HOUSE  BILL  NO. 319,  "An  Act  relating  to  criminal                                                              
background  checks for marijuana  establishment registrations  and                                                              
renewals; and providing for an effective date."                                                                                 
                                                                                                                                
4:08:02 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ANDY  JOSEPHSON,   Alaska  State  Legislature,  as                                                              
prime sponsor of  HB 319, stated that the proposed  legislation is                                                              
well  founded  because  submitting  fingerprints  every  year  for                                                              
background  checks  is  unnecessary;   the  Department  of  Public                                                              
Safety (DPS) would  become aware through the Alaska  Public Safety                                                              
Information  Network (APSIN)  or  another means  of  the need  for                                                              
further  scrutiny   regarding  a  marijuana  establishment.     He                                                              
relayed  that HB  319  would  require fingerprinting  every  three                                                              
years;  and  there  is a  forthcoming  amendment  to  expand  that                                                              
period, which he supports.                                                                                                      
                                                                                                                                
4:08:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  WOOL  moved  to  adopt Amendment  1,  labeled  30-                                                              
LS1334\A.1, Martin, 2/15/18, which read:                                                                                        
                                                                                                                                
     Page 1, line 14:                                                                                                           
          Delete "three"                                                                                                    
          Insert "six"                                                                                                      
                                                                                                                                
REPRESENTATIVE TUCK objected for the purpose of discussion.                                                                     
                                                                                                                                
4:09:14 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   WOOL  explained   that   the  statute   currently                                                              
requires  it to  occur annually;  HB  319 would  require it  every                                                              
three  years;  and   the  proposed  amendment  would   change  the                                                              
requirement  for fingerprinting  to every  six years.   He  stated                                                              
that  the only  other license  requiring recurring  fingerprinting                                                              
is massage  therapy at  three years, which  has been  discussed in                                                              
House Labor and  Commerce Standing Committee and  will most likely                                                              
be changed, because  it constitutes a burden on the  industry.  He                                                              
relayed that  someone holding  a liquor  license is  fingerprinted                                                              
for a background  check as a new owner; it is  required when there                                                              
is a change of  ownership; however, it is only  performed once for                                                              
each owner.  He  conceded that the marijuana industry  is new, and                                                              
people are  nervous about its  legality and criminal  involvement.                                                              
He expressed  his belief that  people who are entering  legitimate                                                              
businesses,   following   all   the   regulation   and   licensure                                                              
requirements,  and  investing  hundreds of  thousands  of  dollars                                                              
would  not want  to  jeopardize that  investment  by committing  a                                                              
crime;  therefore,  every six  years  should  be sufficient.    He                                                              
offered  that background  checks  can be  done  within the  state;                                                              
however, to  determine if a  federal crime  or a crime  in another                                                              
state  has  been  committed, a  Federal  Bureau  of  Investigation                                                              
(FBI)  check with  fingerprints  would be  necessary.   He  opined                                                              
that  a   fingerprint  background   check   every  six  years   is                                                              
sufficient.                                                                                                                     
                                                                                                                                
REPRESENTATIVE   KNOPP  asked  whether   every  employee   in  the                                                              
marijuana industry  must have a certification like  the Techniques                                                              
of Alcohol  Management (TAM) card  in the alcohol industry  and if                                                              
so, the  renewal frequency.   He  also asked  whether the  workers                                                              
are required  to submit  fingerprints for  a background  check and                                                              
the frequency for fingerprinting.                                                                                               
                                                                                                                                
4:12:43 PM                                                                                                                    
                                                                                                                                
MEGAN  HOLLAND,  Staff,  Representative   Andy  Josephson,  Alaska                                                              
State Legislature,  on behalf  of Representative Josephson,  prime                                                              
sponsor  of  HB  319,  responded  that  the  proposed  legislation                                                              
addresses   a   registration  for   a   marijuana   establishment,                                                              
therefore, is not related to a worker certification card.                                                                       
                                                                                                                                
4:13:10 PM                                                                                                                    
                                                                                                                                
ERICA  MCCONNEL,  Director,  Alcohol &  Marijuana  Control  Office                                                              
(AMCO), Department  of Commerce, Community &  Economic Development                                                              
(DCCED), stated that  all employees in the marijuana  industry are                                                              
required to  obtain a Marijuana  Handler Permit which  lasts three                                                              
years;  currently  no  background  checks  are  required  for  the                                                              
employees.   She said  that the  Alcoholic Beverage Control  (ABC)                                                              
Board  has recently  adopted a  regulation change  that will  soon                                                              
require  a State  of Alaska  background check  for employees,  but                                                              
not a full national criminal background check.                                                                                  
                                                                                                                                
REPRESENTATIVE TUCK  removed his objection to the  motion to adopt                                                              
Amendment  1.    There  being no  further  objection,  it  was  so                                                              
ordered.                                                                                                                        
                                                                                                                                
4:14:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEDOUX  stated that she supports the  amendment and                                                              
HB 319.                                                                                                                         
                                                                                                                                
REPRESENTATIVE WOOL  agreed.  He stated that  hopefully with these                                                              
beginning  industries,  people will  respect  them  and not  treat                                                              
them like "they have one foot in the criminal world."                                                                           
                                                                                                                                
REPRESENTATIVE KNOPP added his support.                                                                                         
                                                                                                                                
REPRESENTATIVE TUCK also added his support.                                                                                     
                                                                                                                                
4:15:28 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEDOUX  moved to report HB 319, as  amended, out of                                                              
committee  with individual  recommendations  and the  accompanying                                                              
zero fiscal  note.   There being no  objection, CSHB  319(STA) was                                                              
reported from the House State Affairs Standing Committee.