Legislature(2021 - 2022)BUTROVICH 205
04/07/2021 01:30 PM Senate JUDICIARY
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| SJR1 | |
| Confirmation Hearing | |
| SB9 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | SB 9 | TELECONFERENCED | |
| += | SJR 1 | TELECONFERENCED | |
| + | TELECONFERENCED |
SB 9-ALCOHOLIC BEVERAGE CONTROL; ALCOHOL REG
2:45:48 PM
CHAIR REINBOLD reconvened the meeting and announced the
consideration of SENATE BILL NO. 9, "An Act relating to
alcoholic beverages; relating to the regulation of
manufacturers, wholesalers, and retailers of alcoholic
beverages; relating to licenses, endorsements, and permits
involving alcoholic beverages; relating to common carrier
approval to transport or deliver alcoholic beverages; relating
to the Alcoholic Beverage Control Board; relating to offenses
involving alcoholic beverages; amending Rule 17(h), Alaska Rules
of Minor Offense Procedure; and providing for an effective
date."
2:46:37 PM
SENATOR PETER MICCICHE, Alaska State Legislature, Juneau,
Alaska, speaking as the sponsor, stated that 90 percent of the
bill is a reorganization of Title 4. SB 9 will place items into
the code to protect public health and safety. It will help the
alcohol industry avoid piecemeal amendments to Title 4. He
characterized the bill as providing the alcoholic beverage
industry with options to encourage a healthy and lucrative
industry.
2:47:17 PM
CHAIR REINBOLD stated that the committee would take up
amendments.
2:47:20 PM
SENATOR HUGHES moved to adopt Amendment 1, work order 32-
LS0124\B. 13:
32-LS0124\B.13
Bruce
4/1/21
AMENDMENT 1
OFFERED IN THE SENATE BY SENATOR HUGHES
TO: SB 9
Delete "at an annual fair"
Insert "during an event"
Page 21, line 14, following "on":
Insert "the"
Page 21, lines 19 - 21:
Delete all material.
CHAIR REINBOLD objected for discussion purposes.
2:47:37 PM
SENATOR HUGHES referred to page 21 of SB 9, language relating to
fairs. This would remove the language "at an annual event" and
replace it with "during an event." She stated that the Alaska
State Fair has about 400,000 people who live within an hour's
drive of the fairgrounds. The fairgrounds are used for multiple
events throughout the year, which is important to Anchorage, the
Mat-Su Valley and the surrounding area. According to the
director, the Alaska State Fair would be prevented from carrying
out its typical operations.
2:48:46 PM
SENATOR MICCICHE stated that he supports the Alaska State Fair.
Passage of SB 9 will allow the fair to operate. He advised
members that another amendment would put sideboards on Amendment
1. However, Amendment 1 would turn the Alaska State Fair and any
other annual fair into a bar. He said he advised the Alaska
State Fair that a subsequent amendment would cover every event
the fair offers.
2:49:58 PM
CHAIR REINBOLD asked how Amendment 1 would turn the fairgrounds
into a bar.
SENATOR MICCICHE answered that currently, the Alaska State Fair
would be limited to a permit for the three days of the annual
fair. Amendment 1 would allow the fair to hold an event every
night and allow operating at will, similar to a Beverage
Dispensary License (BDL). In addition, the sporting permit and
other types of permits could be used.
2:50:36 PM
SENATOR HUGHES offered her view that characterizing it as a bar
would be inaccurate. She stated that people would be required to
purchase tickets. She agreed the fairgrounds have been busy,
although the events are not held every night. She said the
fairground's operator has a record of being a responsible
operator. She stated that at least one fair has been struggling
financially and this revenue could help.
2:51:49 PM
SENATOR SHOWER asked for information on the sideboards.
SENATOR MICCICHE related that Senator Myers would be offering a
subsequent amendment, labeled 32-LS0124\B.12, which will address
the concerns.
SENATOR HUGHES clarified that Senator Micciche is referring to
Amendment 4.
SENATOR SHOWER asked if Amendment 4 would address the concerns
raised and whether Amendment 1 would apply to all fairgrounds.
He stated that he does not want to limit opportunities.
SENATOR HUGHES answered that the Alaska State Fair would be
limited to holding about 20 events per year. It would apply to
all fairs. She said she had observed events at the fairgrounds
nearly every weekend. She said that she served on the Recover
Alaska board over ten years ago. The initial goal of the Title 4
rewrite was to curb consumption and address alcoholism which was
rampant in some Alaskan communities. She expressed concern that
since the Mat-Su Valley is growing, Amendment 1 would limit
development, which she said was not the intent of the rewrite.
2:54:50 PM
SENATOR SHOWER asked if the sponsor of Amendment 1 would be
willing to consider language limited explicitly to the Alaska
State Fairgrounds.
SENATOR HUGHES said she would be open to it, but she was unsure
what would be legally permissible.
CHAIR REINBOLD asked for the sponsor's will.
2:55:48 PM
SENATOR HUGHES said she would like Amendment 1 to pass.
SENATOR KIEHL pointed out that Amendment 1 retains the use of
the word "event." He asked if a definition of "event" exists.
2:56:37 PM
BUDDY WHITT, staff, Senator Shelley Hughes, Alaska State
Legislature, Juneau, Alaska, on behalf of Senator Hughes, stated
he believes it would be a common-use definition. The term
"event" is not defined in the bill. He suggested the committee
may need Legislative Legal Services to provide clarification.
2:57:11 PM
SENATOR MICCICHE clarified that someone incorrectly commented
that Amendment 4 would limit events to 22 events per year. That
is not the case, he said. He stated that the director of the
Alaska State Fair previously indicated that due to COVID-19,
about 20 events were held during the year, which was an increase
in fairground use. He was unsure if that increased use would
continue. The Alaska State Fair nonprofit license allows for
sporting event licenses and caterer's permits.
2:57:57 PM
At ease
[The LIO moderator left the meeting because Chair Reinbold
removed her mask contrary to the Legislative Council COVID-19
requirements.]
3:02:30 PM
CHAIR REINBOLD reconvened the meeting.
3:02:45 PM
SENATOR KIEHL asked if the sponsor of Amendment 4 plans to offer
his amendment.
SENATOR MYERS said if Amendment 1 were to pass, he planned to
withdraw Amendment 4.
SENATOR KIEHL maintained his objection.
3:03:08 PM
A roll call vote was taken. Senators Myers, Hughes, and Reinbold
voted in favor of Amendment 1 and Senators Kiehl and Shower
voted against it. Therefore, Amendment 1 was adopted by a 3:2
vote.
3:03:34 PM
SENATOR HUGHES moved to adopt Amendment 2, work order 32-
LS0124\B.14:
32-LS0124\B.14
Bruce
4/1/21
AMENDMENT 2
OFFERED IN THE SENATE BY SENATOR HUGHES
TO: SB 9
Page 107, line 12, following "course":
Insert "and allow a licensee, permittee, agent,
or employee to complete an alcohol server education
course online or in person"
Page 107, line 19, following "test":
Insert ", online or in person,"
CHAIR REINBOLD objected for discussion purposes.
3:03:49 PM
SENATOR HUGHES explained Amendment 2. She reported that close to
20 percent of the notice of violations issued by the Alcohol &
Marijuana Control Office (AMCO) were for expired or missing
server education. The Alcoholic Beverage Control Board (ABC
Board) allowed online courses due to COVID-19. Amendment 2 would
make that change permanent. It would benefit people who need to
travel to take the alcohol server education course. Amendment 2
would allow people to take the alcohol server education course
online but still allow the board to hold in-person classes. This
would reduce the number of violations issued.
3:04:38 PM
SENATOR MICCICHE offered his view that Amendment 2 was a great
amendment. It is something that the ABC Board currently offers,
so the board supports it.
CHAIR REINBOLD removed her objection. There being no further
objection, Amendment 2 was adopted.
3:05:04 PM
SENATOR HUGHES moved to adopt Amendment 3, work order 32-
LS0124\B.15.
32-LS0124\B.15
Bruce
4/1/21
AMENDMENT 3
OFFERED IN THE SENATE BY SENATOR HUGHES
TO: SB 9
Page 73, line 26:
Delete "restaurant or eating place"
Page 73, line 27:
Delete "first class city, a home rule city, or a
unified"
Page 73, lines 29 - 30:
Delete "restaurant or eating place licenses under
AS 04.11.100"
Insert "licenses under this chapter"
Page 74, line 2:
Delete "restaurant or eating place licenses under
AS 04.11.100"
Insert "licenses of each type under this chapter"
Page 74, lines 5 - 9:
Delete all material.
Reletter the following subparagraphs accordingly.
Page 74, lines 12 - 13:
Amendment 3 continued, as follows:
Delete "restaurant or eating place licenses
issued under AS 04.11.100;"
Insert "each type of license requested in the
petition; and"
Page 74, lines 15 - 16:
Delete "; and
(3) granting the additional licenses is in
the public interest"
Page 74, line 20, following "section;":
Insert "and"
Page 74, line 21, through page 75, line 11:
Delete all material and insert:
"(2) the number of existing licenses of
each type requested in the petition within the
boundaries of the municipality."
Page 75, line 13:
Delete "first class city, a home rule city, or a
unified"
Page 75, lines 15 - 16:
Delete "restaurant or eating place licenses under
AS 04.09.210 [AS 04.11.100]"
Insert "licenses under AS 04.09 [THIS CHAPTER]"
Page 75, line 20:
Delete "restaurant or eating place licenses under
AS 04.09.210 [AS 04.11.100]"
Insert "licenses of each type under AS 04.09
[THIS CHAPTER]"
Page 75, lines 23 - 27:
Delete all material.
Reletter the following subparagraphs accordingly.
Page 75, lines 30 - 31:
Delete "restaurant or eating place licenses
issued under AS 04.09.210 [AS 04.11.100];"
Insert "each type of license requested in the
petition; and"
Page 76, lines 2 - 3:
Delete "; and
(3) granting the additional licenses is in
the public interest"
CHAIR REINBOLD objected for discussion purposes.
3:05:19 PM
SENATOR HUGHES stated that the Mat-Su Borough is one of the
fasted growing areas in the state. She explained that Amendment
3 would not change the population criteria, but it will change
the petition process above the population limits. It would allow
the ABC Board to make final decisions. Still, it would allow
municipalities to petition for additional licenses if the area
has experienced growth in population and business activity. She
offered her belief that this was a reasonable compromise.
3:06:14 PM
SENATOR MICCICHE reminded members that the bill added
"substantial increases" for the ability of municipalities to get
additional licenses. He cautioned members that if these changes
go too far, it risks losing support from some stakeholders for
the bill. Amendment 3 would allow licenses in municipalities
without law enforcement oversight. He acknowledged that the
committee could consider adopting Amendment 3, but members
should be aware of its overall effect on Title 4.
SENATOR HUGHES commented that this is not automatic since
municipalities still need to apply for the license and the ABC
Board still needs to consider other things. She offered her
belief that this would provide a balanced approach.
3:06:59 PM
SENATOR MICCICHE reiterated his concern that this would open it
up to all communities. It would delete language "first class
city, a home rule city, or a unified" municipality. It would
mean that anyone in the state could apply for licenses. If the
parties place enough political pressure on the ABC Board, they
might get one. It could happen in places without law
enforcement, which is key to responsible management of alcohol
licensees. That's what this whole bill is about, he said.
3:07:34 PM
SENATOR HUGHES said limiting access points can sound great on
the surface, but it has other effects. For example, people will
be out on the road for longer distances. She argued that
ensuring that people are not on the road for longer distances
could even be safer.
3:08:02 PM
SENATOR REINBOLD maintained her objection.
A roll call vote was taken. Senators Kiehl, Shower, Hughes and
Myers voted in favor of Amendment 3 and Senator Reinbold voted
against it. Therefore, Amendment 3 was adopted by a 4:1 vote.
3:08:40 PM
SENATOR MYERS withdrew Amendment 4, work order 32-LS0124\B.12.
3:08:53 PM
SENATOR KIEHL withdrew Amendment 5, work order 32-LS0124\B.16.
3:09:04 PM
SENATOR KIEHL moved to adopt Amendment 6, work order 32-
LS0124\B.17.
32-LS0124\B.17
Bruce
4/5/21
AMENDMENT 6
OFFERED IN THE SENATE BY SENATOR KIEHL
TO: SB 9
Page 45, lines 28 - 29:
Delete "for a conditional contractor's permit
issued under AS 04.09.690"
Insert "as provided under (g) of this section"
Page 46, line 13:
Delete "The"
Insert "Except as provided under (g) of this
section, the"
Page 46, following line 15:
Insert a new subsection to read:
"(g) A person who will serve or sell alcohol or
check identification of a patron during a permitted
event is not required to complete an alcohol server
education course under AS 04.21.025 before the first
day of the permitted event if the permittee holds
(1) a conditional contractor's permit
issued under AS 04.09.690; or
(2) a nonprofit organization event permit
issued under AS 04.09.650 or an alcoholic beverage
auction permit issued under AS 04.09.660 and the
director approves a server plan submitted by the
permittee."
Reletter the following subsections accordingly.
Page 102, line 27, following "course":
Insert "or server plan"
Page 103, line 5, following "course":
Insert "or complied with a server plan"
Page 107, line 1:
Delete "(e) and (f)"
Insert "(e) - (g)"
Page 107, line 27, following "subsection":
Insert "and except as provided under
AS 04.09.600(g)"
Page 108, following line 11:
Insert a new subsection to read:
"(g) The holder of a fair license under
AS 04.09.290 and agents and employees of the holder of
a fair license may sell or serve alcoholic beverages
or check the identification of a patron without
completing an alcohol server education course under
this section if the director approves a server plan
submitted by the holder of the fair license."
Reletter the following subsections accordingly.
Page 108, line 12:
Delete "(a) - (c) or (e)"
Insert "(a) - (c), (e), or (g)"
Page 108, line 13, following "education":
Insert "or server plan"
Page 108, line 14, following "education":
Insert "or server plan"
CHAIR REINBOLD objected for discussion purposes.
3:09:14 PM
SENATOR KIEHL explained Amendment 6. He stated that sometimes
not everyone has an alcohol server education (TAP) card. This
would allow the organizer of a nonprofit fair licensee event to
serve alcoholic beverages by having a plan for other servers
approved by the Alcohol & Marijuana Control Office (AMCO). He
said many small nonprofits hold small events. However, not every
volunteer has a TAP card. For example, alcohol professionals
from out of state pour beer at an event in his district.
However, these professionals do not have an Alaska TAP card. It
seems appropriate not to allow anyone to pour alcoholic
beverages in those limited situations, but to allow AMCO to
approve a serving plan that does not require everyone to have a
TAP card.
CHAIR REINBOLD asked the sponsor to comment.
3:10:29 PM
SENATOR MICCICHE responded that he had no comment.
3:10:34 PM
SENATOR KIEHL emphasized that this would have limited effects on
nonprofit organizations for events such as the Haines State
Fair.
CHAIR REINBOLD maintained her objection.
3:11:21 PM
SENATOR MICCICHE stated that nonprofits could always auction off
a bottle of wine. Amendment 6 would allow fairs throughout
Alaska to allow anyone to serve so long as someone has a TAPS
card. It would dramatically expand the number of servers that do
not receive training.
3:12:16 PM
SENATOR HUGHES asked for clarification on whether the person
would need to supervise.
3:12:38 PM
SENATOR MICCICHE answered no. He said he often oversees
nonprofit events and uses servers who have passed a Training for
Alcohol Professionals (TAP) course and hold a TAP card. He
emphasized the importance of using trained people to serve
alcoholic beverages because otherwise, it creates liability for
the organization. For example, a server might overserve
customers who could later drive drunk and injure or kill people.
He offered his view that this is very important. Amendment 6
would require someone with a TAP card to supervise all the
people serving. He characterized some of the events as large
events with numerous servers.
3:13:48 PM
SENATOR KIEHL offered that the bill requires a person to hold a
TAP card to serve or sell. That language would include an
auctioneer at an event. Amendment 6 would require director
approval from AMCO for an alternate plan. He acknowledged that
some events are large ones, as described by the sponsor. He
related that a TAP-certified person currently oversees a random
number of volunteers without incident. However, it is certainly
not a requirement in Amendment 6 that one TAP-certified person
oversees 20 servers. Instead, the nonprofit must have a server
plan approved by the Alcohol & Marijuana Control Office. He
cautioned that without Amendment 6, it could shut down many
events.
SENATOR HUGHES asked if the Alcohol & Marijuana Control Office
could comment.
3:15:36 PM
GLEN KLINKHART, Executive Director, Alcohol & Marijuana Control
Office, Department of Commerce, Community and Economic
Development, Anchorage, Alaska, advised members that it is now
much easier to take courses and obtain TAP server cards online.
As online courses are offered more frequently, it will be
possible for people to get certified within a week. He offered
his view that server education is paramount from a public safety
perspective. He expressed concern about the ratio of servers to
those holding TAP cards because it would be difficult to
supervise all the servers.
3:17:09 PM
CHAIR REINBOLD said it sounds like he does not support Amendment
6.
MR. KLINKHART expressed concern that without proper supervision
and education, it could open up issues for public safety.
3:17:55 PM
SENATOR HUGHES asked for the cost and hours to obtain a TAP
card.
MR. KLINKHART answered that the Cabaret, Hotel, Restaurant and
Retailers Association (CHARR) alcohol server classes take about
half a day.
3:18:35 PM
SENATOR KIEHL offered his view that the cost for the CHARR
course is $65.
3:18:43 PM
SENATOR MICCICHE referred to page 49. He stated that the
alcoholic beverage auction permit fees of $50 would cover the
gift baskets.
3:19:04 PM
CHAIR REINBOLD maintained her objection.
3:19:07 PM
A roll call vote was taken. Senator Kiehl voted in favor of
Amendment 6 and Senators Hughes, Shower, Myers, and Reinbold
voted against it. Therefore, Amendment 6 failed by a 1:4 vote.
[Public testimony was not opened or closed.]
[SB 9 was held in committee.]
| Document Name | Date/Time | Subjects |
|---|---|---|
| Agenda 4.7 UPDATE.pdf |
SJUD 4/7/2021 1:30:00 PM |
Agenda 4.7 UPDATE |
| Agenda 4.7.pdf |
SJUD 4/7/2021 1:30:00 PM |
Senate Judiciary Hearing April 7, 2021 Agenda |
| SJR1 Amendment Presentation Senator Myers.pdf |
SJUD 4/7/2021 1:30:00 PM |
SJR 1 |
| Amendment SJR1 Myers A.3.pdf |
SJUD 4/7/2021 1:30:00 PM |
SJR 1 |
| Amendment SJR1 Kiehl A.2.pdf |
SJUD 4/7/2021 1:30:00 PM |
SJR 1 |
| Amendment SJR1 Kiehl A.1.pdf |
SJUD 4/7/2021 1:30:00 PM |
SJR 1 |
| ALL AG Taylor Public Testimony Against.pdf |
SJUD 4/7/2021 1:30:00 PM |
Governor's Appointee Attorney General Nominee Treg Taylor, All Public Testimony |
| Amendment SB9 Hughes B.13.pdf |
SJUD 4/7/2021 1:30:00 PM |
SB 9 |
| Amendment SB9 Hughes B.14.pdf |
SJUD 4/7/2021 1:30:00 PM |
SB 9 |
| Amendment SB9 Hughes B.15.pdf |
SJUD 4/7/2021 1:30:00 PM |
SB 9 |
| Amendment SB9 Myers B.12.pdf |
SJUD 4/7/2021 1:30:00 PM |
SB 9 |
| Amendment SB9 Kiehl B.16.pdf |
SJUD 4/7/2021 1:30:00 PM |
SB 9 |
| Amendment SB9 Kiehl B.17.pdf |
SJUD 4/7/2021 1:30:00 PM |
SB 9 |
| SB9 ALL Public Testimony February 10- April 7.pdf |
SJUD 4/7/2021 1:30:00 PM |
SB 9 |