02/07/2025 01:30 PM Senate LABOR & COMMERCE

                       SB  80-EXTEND BOARDS                                                                                 
                                                                                                                                
1:33:25 PM                                                                                                                    
CHAIR BJORKMAN announced the consideration of SENATE BILL NO. 80                                                                
"An  Act  extending   the  termination  date  of   the  Big  Game                                                               
Commercial Services Board; extending  the termination date of the                                                               
Board of  Massage Therapists; extending  the termination  date of                                                               
the  Marijuana  Control Board;  and  providing  for an  effective                                                               
date."                                                                                                                          
                                                                                                                                
1:33:45 PM                                                                                                                    
SAVAYA BIEBER, Staff, Senator Jesse Bjorkman, Alaska State                                                                      
Legislature, Juneau, Alaska, introduced SB 80 on behalf of the                                                                  
sponsor as follows:                                                                                                             
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     This bill extends the sunset  date of three boards, the                                                                    
     Marijuana Control Board, Board  of Massage Therapy, and                                                                    
     Big Game  Commercial Services Board.  SB 80  is cleanup                                                                    
     for a  bill from  last year,  it backdates  these board                                                                    
     extensions  from  the previous  bill  back  to June  of                                                                    
     2024, and extends them again, as amended in the bill.                                                                      
                                                                                                                                
     The  Marijuana  Control  Board  is  comprised  of  five                                                                    
     members that control  the cultivation, manufacture, and                                                                    
     sale of marijuana in the state.                                                                                            
                                                                                                                                
     The Board  of Massage  Therapists is comprised  of five                                                                    
     members that  examine applications and  issue licenses,                                                                    
     adopt and enforce  regulations, and establish standards                                                                    
     of professional competence.                                                                                                
                                                                                                                                
     The Big Game Commercial  Services Board is comprised of                                                                    
     nine   members   who   prepare,   and   grade   guiding                                                                    
     examinations, issue guide  licenses, adopt regulations,                                                                    
     and assist DPS and DCCED in big game investigations.                                                                       
     All three  2023 board audits concluded  that the boards                                                                    
     operated in the public's  interest by actively amending                                                                    
     regulations and enhancing public safety.                                                                                   
     This legislation was heard last  year as three separate                                                                    
     bills, and  they each passed  out of this body  with no                                                                    
     opposition.                                                                                                                
                                                                                                                                
     On the  line we have Kris  Curtis, Legislative Auditor,                                                                    
     she will  be going over  the audits for the  boards, we                                                                    
     also  have  Bailey  Stuart,   Chair  of  the  Marijuana                                                                    
     Control  Board, Annetta  Atwell Chair  of the  Board of                                                                    
     Massage Therapists, and Aaron  Bloomquist, Chair of the                                                                    
     Big  Game  Commercial  Services  Board  to  answer  any                                                                    
     questions  for  the  boards. In  person,  we  have  Sam                                                                    
     Rohrer,  President of  the Alaska  Professional Hunters                                                                    
     Association.                                                                                                               
                                                                                                                                
1:35:59 PM                                                                                                                    
KRIS  CURTIS,  Legislative  Auditor,  Alaska  State  Legislature,                                                               
Juneau,  Alaska,  presented the  audit  reports  for SB  80.  She                                                               
stated  that she  will  start with  the  Marijuana Control  Board                                                               
audit.  She said  the audit  found  the board  served the  public                                                               
interest and recommended a three-year  extension due to potential                                                               
changes from  the Governor's  Task Force  report and  Alcohol and                                                               
Marijuana Control office (AMCO)'s  new system rollout by December                                                               
2023.  The shorter  extension lets  the Legislative  Audit review                                                               
changes  and  aligns  the  board's   sunset  with  the  Alcoholic                                                               
Beverage Control  Board. This would  allow the  legislative audit                                                               
department to  look at AMCO  support to  both boards at  the same                                                               
time.  The  legislative  audit team  made  three  recommendations                                                               
beginning on page 20:                                                                                                           
                                                                                                                                
   1.AMCO's director should establish procedure to ensure                                                                       
     handler permit records are kept.                                                                                           
                                                                                                                                
   2.Board and AMCO director continue implementing the new                                                                      
     license/enforcement system.                                                                                                
                                                                                                                                
   3.Legislature should consider requiring marijuana board                                                                      
     regulations be approved by majority of board members.                                                                      
                                                                                                                                
MS.   CURTIS   stated   that   management's   response   to   the                                                               
recommendations was on page 39.  The commissioner of DCCED agreed                                                               
with all  the recommendations but  the third-the number  of board                                                               
members  required for  regulation  changes. She  stated that  the                                                               
commissioner requiring  a minimum  of 3  board members  would not                                                               
serve  the   publics  interest  moving  forward   the  regulatory                                                               
projects.  She said  on  page  41 the  board  chair also  opposed                                                               
recommendation three for similar reasons.                                                                                       
                                                                                                                                
1:38:25 PM                                                                                                                    
CHAIR BJORKMAN asked if there have  been any changes in the audit                                                               
reports since last year.                                                                                                        
                                                                                                                                
1:38:36 PM                                                                                                                    
MS. CURTIS  answered that  she wouldn't  know because  she hasn't                                                               
looked  at the  reports  since  2023. She  opined  that with  the                                                               
governor  extending the  advisory  task force,  there could  have                                                               
been changes.                                                                                                                   
                                                                                                                                
1:39:03 PM                                                                                                                    
MS. CURTIS continued  with her report of the audit  for [Board of                                                               
Massage  Therapy]. She  stated  that the  audit  found the  board                                                               
served the public interest and  recommended a six-year extension.                                                               
On  page  6,  as  of  December  2022,  there  were  1,157  active                                                               
licenses. The legislative audit team made four recommendations:                                                                 
                                                                                                                                
   1. The director of DCBPL, develop procedures to ensure                                                                       
     licenses aren't approved based on outdated documents.                                                                      
                                                                                                                                
   2. The commissioner work with policy makers to improve                                                                       
      recruitment and retention of investigators.                                                                               
                                                                                                                                
   3. Improve recruitment and retention of licensing staff.                                                                     
                                                                                                                                
   4. Found on page 14, board and DCBPL director consider raising                                                               
      licensing fees to cover regulatory costs.                                                                                 
                                                                                                                                
MS CURTIS stated that licensing fees  must be set up to cover the                                                               
cost of regulations but their  fees were not sufficient. She said                                                               
the commissioner agreed with all findings and recommendations.                                                                  
                                                                                                                                
1:40:04 PM                                                                                                                    
MS. CURTIS continued with the next  audit report for the Big Game                                                               
and Commercial  Services Board. She  stated that the  audit found                                                               
the board served  the public interest and  recommended a six-year                                                               
extension.  On page  8,  as  of January  2023,  there were  1,438                                                               
active   licenses.   The   legislative  audit   team   made   two                                                               
recommendations:                                                                                                                
                                                                                                                                
  1. Director improve oversight procedures to ensure licenses                                                                   
      approvals are not based on incomplete or inappropriate                                                                    
      documentation.                                                                                                            
                                                                                                                                
   2. The board consider the need for two long-vacant private                                                                   
      landholder seats.                                                                                                         
                                                                                                                                
The commissioner agreed with the  first recommendation. The chair                                                               
also agreed  with the first  recommendation but  highlighted that                                                               
recent   improvements  over   the   last  few   years  were   not                                                               
acknowledged.  She  said  the chair  disagreed  with  the  second                                                               
recommendation. Instead  of changing the board's  composition the                                                               
chair  felt the  Governor's  office  should do  a  better job  of                                                               
recruiting to fill the positions.                                                                                               
                                                                                                                                
1:41:32                                                                                                                         
SENATOR GRAY-JACKSON commented  that auditors are in  place for a                                                               
reason   and  that   she  always   takes  their   recommendations                                                               
seriously.  She takes  the recommendation  to  change the  sunset                                                               
provision  seriously. She  supports the  audits even  though they                                                               
were brought before the legislature last year.                                                                                  
                                                                                                                                
[CHAIR BJORKMAN announced invited testimony on SB 80.]                                                                          
                                                                                                                                
1:42:34 PM                                                                                                                    
ANNETTA  ATWELL,  Chair,  Board of  Massage  Therapy,  Fairbanks,                                                               
Alaska, testified  by invitation  on SB 80.  She stated  that the                                                               
Board  of  Massage  Therapists  review  applications  that  raise                                                               
concernssuch  as issues flagged  in background checks, applicants                                                               
applying from  schools that have  not been approved by  the State                                                               
of  Alaska, or  incomplete  renewal applications  that have  been                                                               
audited.  The  board also  reviews  and  decides on  disciplinary                                                               
action,  for  cases  involving lapsed  licenses  or  arrests,  to                                                               
determine whether restrictions  or penalties need to  be added to                                                               
a  license. She  said the  board  ensures that  the statutes  and                                                               
regulations stay current with national  standards of care for the                                                               
public. She said  the board strives to align  with best practices                                                               
and update outdated  or unclear guidelines. She  said the board's                                                               
role includes protecting the public  by identifying suspicious or                                                               
noncompliant activity  and supporting licensees by  responding to                                                               
massage  therapy   business  concerns  and   ensuring  businesses                                                               
understand and follow professional standards.                                                                                   
                                                                                                                                
1:45:38 PM                                                                                                                    
AARON  BLOOMQUIST, Chair,  Big  Game  Commercial Services  Board,                                                               
Palmer, Alaska,  testified by invitation  on SB 80  regarding the                                                               
Big Game  Commercial Services Board.  He said the  board oversees                                                               
licensing and  regulations for big-game guides  and transporters.                                                               
He stated  that as the  new chair of  the board he  supports both                                                               
audit  recommendations.  The board  had  planned  for a  bill  to                                                               
address board make-up  and regulations that got  stuck in statute                                                               
years ago, but the board held  off to focus on the sunset review,                                                               
a new guide  concession bill that passed last  year, and securing                                                               
an Environmental Analyst (EA) position.  He said financially, the                                                               
board  has improved  from a  $500 thousand  deficit to  nearly $1                                                               
million surplus over the past  decade. He reported that the board                                                               
is  very  active,  meetings  are well  attended,  and  the  board                                                               
members are consistently working on projects.                                                                                   
                                                                                                                                
1:48:13 PM                                                                                                                    
BAILEY STUART, Chair, Marijuana Control Board, Wasilla, Alaska,                                                                 
testified by invitation on SB 80. She read the following:                                                                       
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     I'm  supportive of  this extension  to 2027,  to be  in                                                                    
     line with  the Alcohol Control Board.  The extension of                                                                    
     the marijuana control board is  vital for the health of                                                                    
     the industry  and what is  in the best interest  of the                                                                    
     public.   Currently,   we    are   facing   significant                                                                    
     challenges  not  only  within   our  industry  and  the                                                                    
     constant changes in law on  a federal level but also on                                                                    
     the issue of public health and safety within Alaska.                                                                       
                                                                                                                                
     Alaska has  a prolific black  and gray market.  We have                                                                    
     effectively   protected    the   black    market   from                                                                    
     prosecution, and they are aware  of this. And regarding                                                                    
     the  gray   market  which  has  surfaced   due  to  the                                                                    
     legalization of  hemp in Alaska. Which  had allowed for                                                                    
     intoxicating  hemp to  enter Alaska's  market. While  a                                                                    
     regulatory   change  on   part  of   the  division   of                                                                    
     agriculture  as now  disallowed  any amount  of THC  in                                                                    
     hemp  products. These  products  still  make their  way                                                                    
     into the Alaska market,  with little to no enforcement.                                                                    
     The past two  days the MCB heard  from public testimony                                                                    
     to the severity  of the issue and  are actively working                                                                    
     on addressing the issue. It's  a complicated issue that                                                                    
     is going to  take time to address and  the extension is                                                                    
     vital.                                                                                                                     
                                                                                                                                
MS. STUART recounted an instance regarding a majority of members                                                                
present to vote during a board meeting. She provided details and                                                                
stated it was not mentioned in the audit.                                                                                       
                                                                                                                                
1:51:36 PM                                                                                                                    
SAM ROHRER, President, Alaska Professional Hunters Association,                                                                 
Anchorage, Alaska, testified by invitation on SB 80. He read the                                                                
following:                                                                                                                      
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     The APHA strong supports Senate  Bill 80, to extend the                                                                    
     Big  Game  Commercial  Services Board.  This  Board  is                                                                    
     critical  to the  long-term  viability  of the  Guiding                                                                    
     Industry in Alaska.                                                                                                        
                                                                                                                                
     The APHA believes  that it is in the  best interests of                                                                    
     the State, the public, and  our profession to have well                                                                    
     qualified  hunting guides.    The  Big Game  Commercial                                                                    
     Services  Board  maintains  the testing  standards  and                                                                    
     provides for oral testing of  all new guides in Alaska.                                                                    
     This  helps to  ensure that  only qualified  applicants                                                                    
     are receiving  licenses.  Alaska continues  to have the                                                                    
     most stringent  hunting guide qualifications in  all of                                                                    
     North  America,   this  is  thanks  to   the  Big  Game                                                                    
     Commercial Services Board.                                                                                                 
                                                                                                                                
     If this  board were to  sunset, oral testing  would not                                                                    
     be possible,  and licensing  standards would  suffer. I                                                                    
     also might  add, that the Guiding  Profession in Alaska                                                                    
     is one of  the few Professional Licenses  that does not                                                                    
     require  formal  education,  but  instead  is  acquired                                                                    
     through an apprenticeship process.   This process makes                                                                    
     our   profession  particularly   attractive  to   rural                                                                    
     Alaskan folks.  This  method of training guides through                                                                    
     an  apprenticeship   process  that  leads   to  written                                                                    
     testing  and oral  boards is  only possible  because of                                                                    
     this Licensing Board.                                                                                                      
                                                                                                                                
     Lastly,   the  Big   Game  Commercial   Services  Board                                                                    
     provides  the only  interface between  the Division  of                                                                    
     Occupational  Licensing   &  the   Guiding  Profession,                                                                    
     without  the board,  our profession  has no  meaningful                                                                    
     input on  the development of regulations  that directly                                                                    
     impacts hunting  guides.  However,  this isn't  just an                                                                    
     issue  for  hunting guides.    The  public also  has  a                                                                    
     vested  interest in  how the  guides  are regulated  as                                                                    
     well.   Without the board,  the public would  have very                                                                    
     little  opportunity to  influence the  regulations that                                                                    
     control the  guide industry. Currently, the  public can                                                                    
     submit regulations  to the board, they  can participate                                                                    
     in meaningful  public testimony to the  board, and they                                                                    
     can participate  in subcommittees at Board  Meetings to                                                                    
     help  work  through  challenging issues  and  concerns.                                                                    
     Without the  board, the publics ability  to be involved                                                                    
     in the process is seriously limited.                                                                                       
                                                                                                                                
1:54:36 PM                                                                                                                    
CHAIR BJORKMAN asked  if Ms. Robb could provide an  update on how                                                               
the Board of Massage Therapy,  Big Game Commercial Services Board                                                               
and  the Marijuana  Control Board  have performed  over the  past                                                               
year and what their outlook is moving forward.                                                                                  
                                                                                                                                
1:54:52 PM                                                                                                                    
SYLVAN  ROBB, Director,  Division of  Corporations, Business  and                                                               
Professional  Licensing (CBPL),  Anchorage, Alaska,  testified by                                                               
invitation on  SB 80. She stated  that she will speak  to the Big                                                               
Game Commercial Services Board and  the Board of Massage Therapy.                                                               
The Marijuana  Control Board doesn't  belong to CBPL.  She stated                                                               
that   CBPL    addressed   many   of   the    legislative   audit                                                               
recommendations  for the  Board  of Massage  Therapy, related  to                                                               
staff  recruitment and  retention  for both  licensing staff  and                                                               
investigators.   CBPL  has   worked  to   improve  retention   by                                                               
reclassifying  professional  licensing  staff,  creating  clearer                                                               
career  paths,   and  adding   supervisor  positions   to  reduce                                                               
workloads. She  said this structure allows  for better oversight,                                                               
more targeted  training, and  improved documentation.  She stated                                                               
that  both  programs are  in  a  better  place because  of  these                                                               
changes.                                                                                                                        
                                                                                                                                
1:57:41 PM                                                                                                                    
CHAIR BJORKMAN held SB 80 in committee.