Legislature(1995 - 1996)

03/07/1995 01:12 PM House CRA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
 HCRA - 03/07/95                                                               
 HB 180 - LIQUOR LICENSES FOR RESORT/LODGES                                  
                                                                               
 Number 029                                                                    
                                                                               
 BARBARA COTTING, Administrative Assistant to Representative                   
 Jeannette James, stated this bill was introduced at the request of            
 a constituent.  She read the following sponsor statement: "HB 180             
 was a cooperative effort between remote lodge owners and the                  
 Alcoholic Beverage Control Board to correct an inequity.  Under the           
 current laws, some small lodges which just happen to be located in            
 a remote corner of large, unified population areas, cannot get a              
 liquor license.  These small remote lodges exemplify the very heart           
 of Alaska and provide a vital service to Alaskan residents as well            
 as visitors from outside our state.  For example, as the law now              
 reads, if a person wants to develop a small lodge or tourist                  
 facility in a remote or inaccessible area of the Mat-Su or Kenai              
 boroughs, the lodge would be required to have 40 rental rooms to              
 obtain a full service liquor license.  All of us who have enjoyed             
 visiting small remote lodges in Alaska know that this requirement             
 is excessive and unfair.  It's important to realize this is not a             
 liquor issue.  This is an effort to remove a road block created by            
 an inequity in our laws.  If Alaska is to survive economically, we            
 must allow hard working Alaskans to develop small businesses in the           
 spirit of Alaskan enterprise."  Ms. Cotting stated this bill was              
 first heard in the House Special Committee on International Trade             
 and Tourism and many questions arose that could only be answered by           
 the Alcoholic Beverage Control Board.  For this reason, she said,             
 Patrick Sharrock was on teleconference to help answer questions               
 from the committee.                                                           
                                                                               
 Number 067                                                                    
                                                                               
 CO-CHAIR IVAN asked the members if they had any comments or                   
 questions.                                                                    
                                                                               
 Number 069                                                                    
                                                                               
 CO-CHAIR ALAN AUSTERMAN asked if this change in legislation would             
 affect how lodges would apply for liquor licenses.  He used an                
 example from his district of Kodiak, in which a hunting lodge                 
 applied for a liquor license.  He said this hunting lodge was                 
 within skiff distance from a village and the villagers were opposed           
 to having a liquor store in the perimeters of the village.  He                
 wanted to know whether the municipality or the borough would be               
 given the opportunity to oppose a liquor license in their vicinity.           
                                                                               
 Number 098                                                                    
                                                                               
 PATRICK SHARROCK, Director, Alcoholic Beverage Control Board (ABC             
 Board), answered that the application procedure and administrative            
 processing of the application would be the same as it always was,             
 but this legislation would only add another step of criteria,                 
 whereby a person could obtain a liquor license.                               
                                                                               
 Number 111                                                                    
                                                                               
 REPRESENTATIVE PETE KOTT asked Mr. Sharrock to comment on the                 
 requirements concerning the decision to allow public testimony to             
 be included as part of the decision making process that allocates             
 liquor licenses.                                                              
                                                                               
 Number 119                                                                    
                                                                               
 MR. SHARROCK listed the process for granting a license.  First, the           
 application had to be publicly posted for at least ten days.  It              
 also had to be advertised once a week for three weeks in a                    
 newspaper publication.  Upon completion of public notification, the           
 application is filed with the ABC Board. If the proposed premises             
 rests in an area that has a local governing body, the ABC Board               
 forwards a copy of the application to that governing body for their           
 opportunity to lodge or file a protest of the application.  Under             
 the statute, if that governing body does "protest" that                       
 application, the statute tells the ABC Board that it can't approve            
 the application unless the reason of "protest" is found arbitrary             
 and unreasonable.  During this process, any public testimony in               
 written form or appearance before the board is welcome.                       
                                                                               
 Number 147                                                                    
                                                                               
 CO-CHAIR IVAN also asked how this proposed legislation would affect           
 unorganized boroughs.                                                         
                                                                               
 Number 154                                                                    
                                                                               
 MR. SHARROCK answered there were separate rules under the statute             
 for premises in unorganized boroughs.  Under current law, these               
 were determined by the population within a five mile radius of a              
 proposed licensed premises.  If a person were to establish a                  
 tourist facility as a location in the unorganized borough, that               
 person would have to have a minimum of ten rooms, or the number of            
 rooms is determined by the population of a community within a five            
 mile radius of the proposed premises in order to be eligible to               
 apply for a liquor license.                                                   
                                                                               
 Number 174                                                                    
                                                                               
 CO-CHAIR IVAN stated that his constituents were concerned over                
 local businesses in his district looking into getting liquor                  
 licenses in the future.                                                       
                                                                               
 Number 180                                                                    
                                                                               
 MR. SHARROCK stated that HB 180 does not apply to unorganized                 
 borough areas.  He said there were separate statutes that deal with           
 how licenses were issued in the unorganized borough.                          
                                                                               
 Number 185                                                                    
                                                                               
 CO-CHAIR AUSTERMAN asked about notification policies in areas not             
 included within city limits.  He wanted to know if unincorporated             
 villages would not be informed of pending license applications.               
                                                                               
 Number 196                                                                    
                                                                               
 MR. SHARROCK confirmed this and said the village would not be                 
 notified.                                                                     
                                                                               
 Number 198                                                                    
                                                                               
 NOLAND HALLMAN from Mat-Su, expressed his approval of HB 180.  He             
 stated he was particularly in favor of the issuance of a liquor               
 license for Maclaren River Lodge owned by Mike Tittle.  He                    
 explained that the lodge was completely isolated and had at least             
 ten rooms and was only accessible by snowmobile in the winter time.           
 Mr. Hallman said the license would help Mr. Tittle's winter trade             
 coming out of Fairbanks and Anchorage.                                        
                                                                               
 Number 220                                                                    
                                                                               
 CO-CHAIR IVAN invited questions or comments from committee members.           
                                                                               
 Number 225                                                                    
                                                                               
 REPRESENTATIVE AL VEZEY moved that HB 180 pass from the Community             
 and Regional Affairs (CRA) Committee with individual                          
 recommendations and with attached zero fiscal notes.                          
                                                                               
 Number 229                                                                    
                                                                               
 CO-CHAIR IVAN heard no objection and it was so ordered.                       

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