Legislature(2015 - 2016)SENATE FINANCE 532

03/10/2015 01:30 PM Senate FINANCE



Audio Topic
01:35:46 PM Start
01:36:43 PM SB30
03:02:47 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 30 Presentation: Overview FY17 Operating Budget TELECONFERENCED
Departments: Environmental Conservation and
+ Bills Previously Heard/Scheduled TELECONFERENCED
                 SENATE FINANCE COMMITTEE                                                                                       
                      March 10, 2015                                                                                            
                         1:35 p.m.                                                                                              
                                                                                                                                
                                                                                                                                
1:35:46 PM                                                                                                                    
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair  MacKinnon  called  the  Senate  Finance  Committee                                                                    
meeting to order at 1:35 p.m.                                                                                                   
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Anna MacKinnon, Co-Chair                                                                                                
Senator Pete Kelly, Co-Chair                                                                                                    
Senator Peter Micciche, Vice-Chair                                                                                              
Senator Click Bishop                                                                                                            
Senator Mike Dunleavy                                                                                                           
Senator Lyman Hoffman                                                                                                           
Senator Donny Olson                                                                                                             
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
None                                                                                                                            
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Kaci   Schroeder,  Assistant   Attorney  General,   Criminal                                                                    
Division, Department  of Law;  Nancy Mead,  General Counsel,                                                                    
Alaska Court  System; Cynthia Franklin,  Executive Director,                                                                    
Alcohol Beverage Control Board.                                                                                                 
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
Tracey Wollenberg,  Director, Public Defender  Agency; Major                                                                    
Dennis  Casanovas,  Alaska  State  Troopers,  Department  of                                                                    
Public  Safety;  Orin   Dym,  Forensic  Laboratory  Manager,                                                                    
Department of Public Safety.                                                                                                    
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
SB 30     MARIJUANA REG;CONT. SUBST;CRIMES;DEFENSES                                                                             
                                                                                                                                
          CSSB 30(FIN) was HEARD and HELD in committee for                                                                      
          further consideration.                                                                                                
                                                                                                                                
SENATE BILL NO. 30                                                                                                            
                                                                                                                                
     "An Act relating to  controlled substances; relating to                                                                    
     marijuana;  relating  to  driving motor  vehicles  when                                                                    
     there  is an  open marijuana  container; and  providing                                                                    
     for an effective date."                                                                                                    
                                                                                                                                
1:36:43 PM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon  asked if  there was  continued objection                                                                    
to the adoption of the  proposed committee substitute for SB
30, Work Draft 29-LS0231\X (Martin, 3/9/15).                                                                                    
                                                                                                                                
Co-Chair MacKinnon WITHDREW her  OBJECTION from the previous                                                                    
day. There being NO further OBJECTION, it was so ordered.                                                                       
                                                                                                                                
1:37:46 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
1:38:36 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
KACI   SCHROEDER,  ASSISTANT   ATTORNEY  GENERAL,   CRIMINAL                                                                    
DIVISION, DEPARTMENT  OF LAW,  addressed questions  from the                                                                    
March  5, 2015  hearing.  She explained  that  the issue  of                                                                    
contraband had  been discussed in  previous versions  of the                                                                    
bill but  was not  addressed in  the current  version before                                                                    
the committee. She  said that if marijuana  were placed back                                                                    
into  the  controlled substances  schedule,  it  would be  a                                                                    
class  C  felony  to bring  marijuana  into  a  correctional                                                                    
facility in the state. She  relayed that the question before                                                                    
the  committee  in  addressing the  issue  was  whether  the                                                                    
penalty should be lowered to  make bringing marijuana into a                                                                    
correctional facility a  class A misdemeanor, and  put it on                                                                    
par with tobacco.                                                                                                               
                                                                                                                                
1:39:39 PM                                                                                                                    
                                                                                                                                
Ms.  Schroeder  referred  to  Page  12, line  6  of  SB  30,                                                                    
regarding the  definition of marijuana.   She explained that                                                                    
version X removed the comma after the word "oil," and read:                                                                     
                                                                                                                                
          "marijuana" means  all parts  of the plant  of the                                                                    
     genus  cannabis  whether  growing  of  not,  the  seeds                                                                    
     thereof,  the  resin extracted  from  any  part of  the                                                                    
     plant,  and  every compound,  manufacture,  derivative,                                                                    
     mixture,  or preparation  of the  plant, its  seeds, or                                                                    
     its    resin,    including    marijuana    concentrate;                                                                    
     "marijuana" does  not include  fiber produced  from the                                                                    
     stalks, oil or  cake made from the seeds  of the plant,                                                                    
     sterilized  seed  of the  plant  that  is incapable  of                                                                    
     germination,  or the  weight  of  any other  ingredient                                                                    
     combined  with marijuana  to  prepare  topical or  oral                                                                    
     administrations, food, drink, or other products;                                                                           
                                                                                                                                
Ms.  Schroeder elucidated  that  the removal  of the  comma,                                                                    
combined  with hashish  and hash  oil being  moved into  the                                                                    
same  schedule  as  marijuana,   provided  clarity  for  law                                                                    
enforcement  as  to  how  they should  treat  hash  oil  and                                                                    
hashish.                                                                                                                        
                                                                                                                                
1:40:36 PM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon asked whether  the current version of the                                                                    
bill was more consistent with the intent of the initiative.                                                                     
                                                                                                                                
Ms. Schroeder  replied that she  could not speculate  on the                                                                    
intent of  the initiative, but  that it was  consistent with                                                                    
testimony that had been provided in previous committees.                                                                        
                                                                                                                                
1:41:02 PM                                                                                                                    
                                                                                                                                
Ms.  Schroeder  referred to  Page  16,  line 25,  which  was                                                                    
Section 26  of the bill.  She shared that the  section would                                                                    
make it  a violation for  a marijuana establishment  to sell                                                                    
or  provide  marijuana  to  a  person  under  21,  and  also                                                                    
included parameters for conduct  with persons under 21 years                                                                    
of age. She relayed that  violators could be fined from $250                                                                    
to $500; it  was a class A misdemeanor  to provide marijuana                                                                    
to a person under  21 years of age, and a  class C felony if                                                                    
done twice within a 5 year span.                                                                                                
                                                                                                                                
1:42:04 PM                                                                                                                    
                                                                                                                                
Ms.  Schroeder  stated  that  the  bill  was  reestablishing                                                                    
possession   limits,  which   could   potentially  lead   to                                                                    
litigation.                                                                                                                     
                                                                                                                                
1:42:32 PM                                                                                                                    
                                                                                                                                
Co-Chair  MacKinnon understood  that  the  limits that  were                                                                    
being referred  to was  the establishment  of 16  ounces for                                                                    
personal possession.                                                                                                            
Ms. Schroeder  replied that  the bill had  16 ounces  as the                                                                    
threshold for  a felony, anything  over an ounce would  be a                                                                    
class A or B misdemeanor.                                                                                                       
                                                                                                                                
1:43:02 PM                                                                                                                    
                                                                                                                                
Senator Hoffman  asked whether an unorganized  borough could                                                                    
unilaterally  opt  out  of  the   marijuana  law  and  if  a                                                                    
provision  could be  added to  the legislation  that allowed                                                                    
each community within the unorganized  areas of the state to                                                                    
opt back in at their discretion.                                                                                                
                                                                                                                                
Ms. Schroeder  noted that the  question regarded  civil law.                                                                    
She had forwarded the question  to the civil division, which                                                                    
would provide and answer in a timely manner.                                                                                    
                                                                                                                                
1:44:03 PM                                                                                                                    
                                                                                                                                
Senator Dunleavy asked  what would happen if  no action were                                                                    
to be taken on CSSB 30, or another related bill.                                                                                
                                                                                                                                
Ms. Schroeder  responded that chaos  in the streets  was not                                                                    
expected.  She hoped  that legislation  would bring  further                                                                    
clarity and  definition to the  issue. She related  that the                                                                    
Department of  Law would be  able to maintain  public safety                                                                    
in  the  absence  of  CSSB  30, but  that  anarchy  was  not                                                                    
expected.  She  said  that  she   could  not  speak  to  the                                                                    
regulatory context, but believed  that those bills should be                                                                    
defined.                                                                                                                        
                                                                                                                                
Senator Dunleavy  understood that  the law would  default to                                                                    
the initiative.                                                                                                                 
                                                                                                                                
Ms. Schroeder replied in the affirmative.                                                                                       
                                                                                                                                
1:45:31 PM                                                                                                                    
                                                                                                                                
Vice-Chair  Micciche   requested  examples  of   where  non-                                                                    
applicability was used in criminal law in the state.                                                                            
                                                                                                                                
Ms.  Schroeder cited  the bill;  Page 9,  section 10,  which                                                                    
offered a version of a non-applicability clause.                                                                                
                                                                                                                                
1:46:16 PM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon  directed attention to a  memorandum from                                                                    
the  Division of  Legislative  Legal  and Research  Services                                                                    
dated  March  6,  2015,  which pointed  out  that  the  non-                                                                    
applicability clause did not apply  when people were using a                                                                    
product consistent  with the initiative.  She added  that it                                                                    
would be a jurisdictional issue.                                                                                                
                                                                                                                                
Vice-Chair   Micciche    queried   the   version    of   the                                                                    
applicability clause from Section 10.                                                                                           
                                                                                                                                
Ms.  Schroeder  believed that  it  was  the section  of  law                                                                    
related  to   prescriptions  and  pharmaceutical   drugs;  a                                                                    
pharmacist  acting in  the  course of  their  job would  not                                                                    
violate the drug offense statutes.                                                                                              
                                                                                                                                
Vice-Chair Micciche asked if  the department was comfortable                                                                    
with Section 10.                                                                                                                
                                                                                                                                
Ms. Schroeder replied yes.                                                                                                      
                                                                                                                                
1:47:35 PM                                                                                                                    
                                                                                                                                
Senator Dunleavy  understood that there could  be litigation                                                                    
concerning the issue, regardless of  whether or not the bill                                                                    
passed.                                                                                                                         
                                                                                                                                
Ms. Schroeder replied in the affirmative.                                                                                       
                                                                                                                                
1:47:57 PM                                                                                                                    
                                                                                                                                
TRACEY  WOLLENBERG, DIRECTOR,  PUBLIC  DEFENDER AGENCY  (via                                                                    
teleconference),  spoke to  concerns she  had with  CSSB 30,                                                                    
specifically inconsistencies with  the voter initiative. She                                                                    
related  that the  bill version  returned  marijuana to  the                                                                    
controlled substances  schedule and did not  treat marijuana                                                                    
like alcohol by making it  legal and then regulating it like                                                                    
alcohol; it  returns marijuana to the  controlled substances                                                                    
schedule and  then redefines  the marijuana  related conduct                                                                    
that is  outlawed. She stated that  the agency's overarching                                                                    
concerns  involved the  controlled substance  and misconduct                                                                    
involving marijuana  offenses. She relayed that  a number of                                                                    
the  provisions were  inconsistent with  the initiative  and                                                                    
could  confuse, rather  than clarify,  the  type of  conduct                                                                    
that was  legal or illegal.  She asserted that  the offences                                                                    
seemed to  differentiate between the numbers  of plants that                                                                    
a  person was  prohibited from  possessing and  an aggregate                                                                    
weight   of  marijuana   a   person   was  prohibited   from                                                                    
possessing. She referred  to Page 5, lines  2-4, relating to                                                                    
felony  conduct.  She  stated  that the  problem  with  this                                                                    
section was  two-fold. She explained that  the definition of                                                                    
marijuana  included all  parts of  the plant;  a distinction                                                                    
needed  to be  made  between 16  ounces of  a  plant and  16                                                                    
ounces of  useable marijuana. She said  that current statute                                                                    
AS 11.71.080  defined the aggregate  weight of a  live plant                                                                    
as one-sixth of  the measured weight of  the marijuana plant                                                                    
after  the roots  of the  plant had  been removed.  She said                                                                    
that the  combination of the  broad definition  of marijuana                                                                    
included all  parts of  the plant  and the  use of  the term                                                                    
aggregate  weight in  the provision  led  to the  conclusion                                                                    
that the  provision applied not  only to  useable marijuana,                                                                    
but to plants. She stated  that if the one-sixth calculation                                                                    
were  applied a  person would  be penalized  for the  plant,                                                                    
rather than only the useable marijuana.                                                                                         
                                                                                                                                
1:54:30 PM                                                                                                                    
                                                                                                                                
Ms.  Wollenberg  suggested  returning to  the  term  "usable                                                                    
marijuana," adopted  in the Senate Judiciary  Committee. She                                                                    
shared that there was a  definition for useable marijuana in                                                                    
existing law  under AS 17.37. She  said that the use  of the                                                                    
term  usable marijuana,  in  conjunction  with deleting  the                                                                    
aggregate  weight  provision,  would  make  the  distinction                                                                    
between the number of plants  a person could possess and the                                                                    
weight  of usable  marijuana that  could  be possessed.  She                                                                    
said that  expecting that plants  would not weigh  more than                                                                    
one ounce was not realistic.                                                                                                    
                                                                                                                                
1:55:47 PM                                                                                                                    
                                                                                                                                
Ms. Wollenberg  pointed out another  potential inconsistency                                                                    
with the initiative. She stated  that the initiative allowed                                                                    
a person to  possess all of the marijuana  produced from the                                                                    
plants  on the  premises where  the plants  were grown.  She                                                                    
explained that  under the legislation, if  3 plants produced                                                                    
4 ounces  of marijuana each,  some of  which was put  into a                                                                    
freezer for  later use, marijuana  then produced  by another                                                                    
plant would put the grower in violation.                                                                                        
                                                                                                                                
1:56:58 PM                                                                                                                    
                                                                                                                                
Ms. Wollenberg  she spoke to  Section 6, line 11,  which was                                                                    
starkly inconsistent  with the initiative. She  relayed that                                                                    
the  provision  would  outlaw  transport,  manufacture,  and                                                                    
delivery of more  than one ounce of a  schedule 6 controlled                                                                    
substance;  the  initiative  specifically  allowed  for  the                                                                    
delivery  of once  ounce, plus  up to  6 immature  marijuana                                                                    
plants. She  surmised that there  was a problem in  the bill                                                                    
of  distinguishing between  one ounce  of useable  marijuana                                                                    
and the weight of the plants themselves.                                                                                        
                                                                                                                                
1:58:48 PM                                                                                                                    
                                                                                                                                
Ms.  Wollenberg spoke  to the  non-applicability provisions.                                                                    
She explained  that non-applicability  codes were  not often                                                                    
used because  they created confusion.  She said that  if the                                                                    
intent was  to not outlaw  certain types of conduct  then it                                                                    
would be clearer  to the public to state what  was legal and                                                                    
what was  illegal in  the legislation.  She felt  that first                                                                    
time growers  could have difficulty  gaging how  much plants                                                                    
would  weigh.  She  felt  that  illegal  conduct  should  be                                                                    
published outside of the scope of AS 17.37.020.                                                                                 
                                                                                                                                
2:01:08 PM                                                                                                                    
                                                                                                                                
Ms.  Wollenburg stated  that  because the  non-applicability                                                                    
codes  were not  common  it was  conceivable  that a  person                                                                    
could  be  arrested for  conduct  that  was actually  legal,                                                                    
which would lead to litigation in court.                                                                                        
                                                                                                                                
2:02:22 PM                                                                                                                    
                                                                                                                                
Vice-Chair Micciche asked whether  there was anything in the                                                                    
initiative that  required the removal of  marijuana from the                                                                    
controlled substance list.                                                                                                      
                                                                                                                                
Ms. Wollenburg responded  that she did not  believe that the                                                                    
initiative had set  up the mechanics of  how the legislature                                                                    
should  proceed  on  the  matter.  She  commented  that  the                                                                    
purpose and findings  of the initiative made  clear that the                                                                    
use of  marijuana should  be legal for  persons 21  years of                                                                    
age or  older, and  that law  enforcement resources  be used                                                                    
elsewhere because  marijuana would be legalized  and sold by                                                                    
regulated  businesses.   She  said   that  keeping   in  the                                                                    
controlled  substances schedule  was  inconsistent with  the                                                                    
purpose of the initiative.                                                                                                      
                                                                                                                                
2:04:54 PM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon  highlighted the fact that  marijuana was                                                                    
still illegal on the federal  level. She solicited a comment                                                                    
on  the federal  legality  of the  transportation, use,  and                                                                    
possession of marijuana.                                                                                                        
Ms. Wollenburg conceded that  marijuana would remain illegal                                                                    
under  federal law.  She did  not believe  that states  were                                                                    
prohibited from  passing laws to  regulate marijuana  in the                                                                    
manner   of  previous   drafts  of   the  legislation.   She                                                                    
understood  that  if  the state  was  adequately  and  fully                                                                    
regulating  the use  of  marijuana,  the federal  government                                                                    
would not intervene.                                                                                                            
                                                                                                                                
Co-Chair MacKinnon  asked whether  marijuana was  an illegal                                                                    
substance on the federal level.                                                                                                 
                                                                                                                                
Ms. Wollenburg replied in the affirmative.                                                                                      
                                                                                                                                
2:06:36 PM                                                                                                                    
                                                                                                                                
Vice-Chair Micciche  revealed that  he was,  "not a  fan" of                                                                    
the initiative. He  expressed concern that there  was no way                                                                    
for a person growing marijuana  legally in the state to know                                                                    
the weight of a live plant until it is harvested.                                                                               
                                                                                                                                
Ms. Wollenburg agreed.  She added that the  public would not                                                                    
know how much  each plant was going to  weigh; the provision                                                                    
that  restricted the  possession of  an aggregate  weight of                                                                    
mare than X amount, when X  amount included all parts of the                                                                    
plant, was problematic.                                                                                                         
                                                                                                                                
Vice-Chair  Micciche  surmised  that  there was  no  way  to                                                                    
accurately weigh the entire living plant.                                                                                       
                                                                                                                                
Ms. Wollenburg understood  that that was one  of the reasons                                                                    
that the aggregate weight provision was put in to place.                                                                        
                                                                                                                                
2:08:51 PM                                                                                                                    
                                                                                                                                
Ms. Wollenburg  referred to Page  10, section 10, lines  7 -                                                                    
15:                                                                                                                             
                                                                                                                                
          (1) up to $300 for a violation of (a)(l),                                                                             
     (a)(2)(A),  (a)(3), or  (a)(4)  of  this section;  upon                                                                    
     conviction  of   a  person  under  (a)(2)(A)   of  this                                                                    
     section, the court may grant  a suspended imposition of                                                                    
     sentence  under AS  12.55.085 and  place the  person on                                                                    
     probation for up  to one year. Among  the conditions of                                                                    
     probation,  the  court shall,  with  the  consent of  a                                                                    
     community  diversion panel,  refer  the  person to  the                                                                    
     panel,   and  require   the  person   to  comply   with                                                                    
     conditions  set  by  the panel,  including  counseling,                                                                    
     education,  treatment, community  work, and  payment of                                                                    
     fees. In  this subsection, "community  diversion panel"                                                                    
     means  a youth  court or  other group  selected by  the                                                                    
     court  to serve  as a  sentencing option  for a  person                                                                    
     convicted under (a)(2)(A) of this section;                                                                                 
                                                                                                                                
Ms. Wollenburg commented  that because of the  nature of the                                                                    
potential  penalties, the  full panoply  of rights  that are                                                                    
attendant to a criminal case  could be called into play. She                                                                    
said that past case law  suggested that the court might find                                                                    
that  the   rights  were  applicable  when   there  was  the                                                                    
possibility of  probation or community diversion  panel. She                                                                    
suggested that the committee consider  whether it intends to                                                                    
impose those types of penalties  that require those types of                                                                    
resources for a violation that  otherwise might carry a $300                                                                    
fine.                                                                                                                           
                                                                                                                                
2:11:28 PM                                                                                                                    
                                                                                                                                
Ms. Wollenburg referred to Page 11, section 13, line 13:                                                                        
                                                                                                                                
     * Sec.13. AS 11.71.31 l(a) is amended to read:                                                                           
                                                                                                                                
               (a) A person may not be prosecuted for a                                                                         
     violation  of  AS 11.71.030(a)(3),  11.71.040(a)(3)  or                                                                    
     (4),      11.71.050(a)(2),      or      11.71.060(a)(2)                                                                
     [ll.71.060(a)(l) OR (2)] if that person                                                                                    
               (l) sought, in good faith, medical or law                                                                        
     enforcement  assistance  for  another  person  who  the                                                                    
     person  reasonably  believed  was experiencing  a  drug                                                                    
     overdose and                                                                                                               
                    (A)   the    evidence   supporting   the                                                                    
     prosecution  for an  offense under  AS ll.71.030(a)(3),                                                                    
     ll.71.040(a)(3)    or    (4),    ll.71.050(a)(2),    or                                                                    
     11.71.060(a)(2) [l1.71.060(a)(l)  OR (2)]  was obtained                                                                
     or  discovered  as  a  result  of  the  person  seeking                                                                    
     medical or law enforcement assistance;                                                                                     
                    (B) the person remained at the scene                                                                        
     with the other person  until medical or law enforcement                                                                    
     assistance arrived; and                                                                                                    
                    (C) the person cooperated with medical                                                                      
     or  law enforcement  personnel, including  by providing                                                                    
     identification;                                                                                                            
          (2) was  experiencing a  drug overdose  and sought                                                                    
     medical  assistance,  and  the  evidence  supporting  a                                                                    
     prosecution  for an  offense under  AS ll.71.030(a)(3),                                                                    
     ll.71.040(a)(3)    or    (4),    ll.71.050(a)(2),    or                                                                    
     11.71.060(a)(2) [ll.71.060(a)(l) OR (2)] was obtained                                                                  
     as a result of the overdose and the need for medical                                                                       
     assistance.                                                                                                                
                                                                                                                                
Ms.  Wollenburg believed  that the  previous version  of the                                                                    
bill had broadened  the section to allow for  the seeking of                                                                    
medical  or   law  enforcement   assistance  for   a  person                                                                    
experiencing   an  adverse   reaction   to  marijuana.   She                                                                    
encouraged language that would  allow people to seek medical                                                                    
assistance   for  people   who  were   experiencing  adverse                                                                    
reactions to potential  marijuana use, even if  it could not                                                                    
be  classified as  a strict  drug overdose.  She noted  that                                                                    
popular  opinion   stated  people  could  not   overdose  on                                                                    
marijuana.                                                                                                                      
                                                                                                                                
2:12:41 PM                                                                                                                    
                                                                                                                                
Ms.  Wollenburg referred  to Section  15, page  12 line  10,                                                                    
which  defined remuneration.  She said  that the  definition                                                                    
was potentially  broader than  the initiative  had intended.                                                                    
She  noted  that it  was  broader  than the  definition  for                                                                    
alcohol,  which   prohibited  a   person  from   selling  an                                                                    
alcoholic beverage without a license.                                                                                           
                                                                                                                                
2:14:35 PM                                                                                                                    
                                                                                                                                
Co-Chair  MacKinnon asked  about Section  13. She  requested                                                                    
clarification with regard to use of the word "overdose."                                                                        
                                                                                                                                
Ms.  Wollenburg  replied  that   the  term  "drug  overdose"                                                                    
commonly  implied  that  a  person  had  taken  drugs  at  a                                                                    
potentially fatal level; the adverse  reaction that a person                                                                    
might suffer from marijuana would  not be necessarily due to                                                                    
the amount  of marijuana  the person  had taken,  but rather                                                                    
the potency  of the  strain, or  if the  person was  a first                                                                    
time user.                                                                                                                      
                                                                                                                                
2:17:00 PM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon directed committee  attention to the fact                                                                    
that on Page  11, lines 18, 28, and 31;  the word "overdose"                                                                    
was used. She hoped that  specific language in the bill that                                                                    
was  problematic  could  be  identified  and  addressed  for                                                                    
clarity.                                                                                                                        
                                                                                                                                
2:17:35 PM                                                                                                                    
                                                                                                                                
Ms. Wollenburg continued to Page 17, section 26, line 12:                                                                       
                                                                                                                                
     Sec.  17.38.210. Access  of persons  under 21  years of                                                                  
     age  to  registered premises.  (a)  A  person under  21                                                                  
     years  of age  may  not knowingly  enter  or remain  on                                                                    
     premises   registered   under    this   chapter   where                                                                    
     marijuana,    marijuana    products,    or    marijuana                                                                    
     accessories are sold.                                                                                                      
          (b) A person does not violate (a) of this section                                                                     
     if the person                                                                                                              
               (1)   enters   and    remains   on   premises                                                                    
     registered  under  this chapter  at  the  request of  a                                                                    
     peace  officer,  if   the  peace  officer  accompanies,                                                                    
     supervises,  or otherwise  observes the  person's entry                                                                    
     or  remaining  on premises,  and  the  purpose for  the                                                                    
     entry  or remaining  on premises  is to  assist in  the                                                                    
     enforcement of this section; or                                                                                            
               (2) is accompanied by a parent, guardian, or                                                                     
     spouse who has attained 21 years of age.                                                                                   
          (c) A person who violates this section is guilty                                                                      
    of a violation and is punishable by a fine of $300.                                                                         
                                                                                                                                
Ms.  Wollenburg  thought  that the  committee  may  want  to                                                                    
consider adding  an exception  for those  under 21  years of                                                                    
age who  had to enter  the premises  in the course  of their                                                                    
employment, unrelated to the marijuana business.                                                                                
                                                                                                                                
2:19:46 PM                                                                                                                    
                                                                                                                                
Vice-Chair  Micciche  asked if  there  was  anything in  the                                                                    
initiative that looked for such an exemption.                                                                                   
                                                                                                                                
Ms. Wollenburg replied in the negative.                                                                                         
                                                                                                                                
Vice-Chair Micciche  thought that it could  be difficult for                                                                    
a person to  work in a "cannabis club"  without breathing in                                                                    
second hand smoke.                                                                                                              
                                                                                                                                
Ms.  Wollenburg clarified  that the  exception would  not be                                                                    
that  someone under  age could  work at  a cannabis  club or                                                                    
marijuana establishment,  only that  they not be  subject to                                                                    
violation  if their  work, unrelated  to the  establishment,                                                                    
brings them momentarily into the marijuana establishment.                                                                       
                                                                                                                                
Vice-Chair Micciche  commented that  there were  some things                                                                    
that were difficult to regulate  like alcohol because of the                                                                    
differences in how the intoxicant was consumed.                                                                                 
2:21:28 PM                                                                                                                    
                                                                                                                                
Ms. Wollenburg commented on Page 18, line 11:                                                                                   
                                                                                                                                
          Sec. 17.38.240. Court records of violations of                                                                    
     persons under 21 years of  age. The Alaska Court System                                                                  
     may  not publish  on a  publicly available  website the                                                                    
     court records of a violation  of AS l 1.71.07l(a)(2)(A)                                                                    
     or AS 17.38.210  by a person who was under  21 years of                                                                    
     age  at  the  time  of the  offense,  after  the  court                                                                    
     proceedings are completed and the case is closed.                                                                          
                                                                                                                                
Ms.  Wollenburg reiterated  that  the  provision would  only                                                                    
remove a  minor's file  form CourtView,  but would  not make                                                                    
the file confidential.                                                                                                          
                                                                                                                                
2:22:43 PM                                                                                                                    
                                                                                                                                
Vice-Chair  Micciche understood  she  was discussing  sealed                                                                    
records, after  the completion of court  proceedings and the                                                                    
closure of the case.                                                                                                            
                                                                                                                                
Ms. Wollenburg  replied that she  was pointing out  that the                                                                    
files would  not be sealed  or confidential, making  it more                                                                    
difficult for future employers to access.                                                                                       
                                                                                                                                
2:23:34 PM                                                                                                                    
                                                                                                                                
Ms. Wollenburg referred to Page 22, lines 5 through 7:                                                                          
                                                                                                                                
          (8) "open marijuana container" means a receptacle                                                                     
     or  marijuana accessory  that  contains  any amount  of                                                                    
     marijuana and  that is open  or has a broken  seal, and                                                                    
     any amount of marijuana is removed.                                                                                        
                                                                                                                                
Ms. Wollenburg relayed  that it would make  sense to require                                                                    
evidence of use, or removal  of marijuana in the vehicle, if                                                                    
the purpose of the open container  law was to prevent use of                                                                    
marijuana in  a vehicle. She  noted that the  previous draft                                                                    
of the  bill had  required evidence of  use of  marijuana in                                                                    
the vehicle.                                                                                                                    
                                                                                                                                
2:25:40 PM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon requested that  Ms. Wollenburg submit her                                                                    
comments in written form.                                                                                                       
Ms. Wollenburg  that she had  relayed her  comments directly                                                                    
to Chuck Kopp, Staff to  Vice-Chair Micciche and Erin Shine,                                                                    
Staff to  Senator Anna MacKinnon,  and that any  requests of                                                                    
written  finding  would need  to  be  authorized by  Quinlan                                                                    
Steiner,  Director, Public  Defender  Agency, Department  of                                                                    
Administration.                                                                                                                 
                                                                                                                                
Co-Chair MacKinnon related that  both eventualities would be                                                                    
helpful.                                                                                                                        
                                                                                                                                
2:27:37 PM                                                                                                                    
                                                                                                                                
Co-Chair  MacKinnon welcomed  Nancy Meade,  General Counsel,                                                                    
Alaska Court System to the table.                                                                                               
                                                                                                                                
2:28:13 PM                                                                                                                    
                                                                                                                                
NANCY MEAD, GENERAL COUNSEL, ALASKA  COURT SYSTEM, said that                                                                    
there  were three  areas of  the legislation  she hoped  the                                                                    
committee would  address. She turned  to Page 10, lines  8 -                                                                    
15:                                                                                                                             
                                                                                                                                
          (1)  up  to  $300   for  a  violation  of  (a)(l),                                                                    
     (a)(2)(A),  (a)(3), or  (a)(4)  of  this section;  upon                                                                    
     conviction  of   a  person  under  (a)(2)(A)   of  this                                                                    
     section, the court may grant  a suspended imposition of                                                                    
     sentence  under AS  12.55.085 and  place the  person on                                                                    
     probation for up  to one year. Among  the conditions of                                                                    
     probation,  the  court shall,  with  the  consent of  a                                                                    
     community  diversion panel,  refer  the  person to  the                                                                    
     panel,   and  require   the  person   to  comply   with                                                                    
     conditions  set  by  the panel,  including  counseling,                                                                    
     education,  treatment, community  work, and  payment of                                                                    
     fees. In  this subsection, "community  diversion panel"                                                                    
     means  a youth  court or  other group  selected by  the                                                                    
     court  to serve  as a  sentencing option  for a  person                                                                    
     convicted under (a)(2)(A) of this section;                                                                                 
                                                                                                                                
Ms.  Mead  reiterated  Ms. Wollenburg's  concerns  with  the                                                                    
language. She  stated that suspending the  imposition of the                                                                    
sentence  could be  problematic  because  the definition  of                                                                    
"violation"  was something  that  was punishable  only by  a                                                                    
fine; to add other  potential punishments, namely probation,                                                                    
was inconsistent with the definitions  and would confuse the                                                                    
issue.  She  believed  that  the  drafters  were  trying  to                                                                    
imitate what happened with minor  consuming cases, but those                                                                    
cases were not considered violations.                                                                                           
2:30:53 PM                                                                                                                    
                                                                                                                                
Ms. Mead commented on Page 18, lines 5-10:                                                                                      
                                                                                                                                
          Sec. 17.38.230. Bail forfeiture for certain                                                                         
     offenses. The supreme court shall  establish by rule or                                                                  
     order a schedule of bail  amounts that may be forfeited                                                                    
     without  court   appearance  for  a  violation   of  AS                                                                    
     11.71.071,  AS 17.38.210,  and  17.38.220. The  supreme                                                                    
     court, in establishing scheduled  amounts of bail under                                                                    
     this  section,  may not  allow  for  disposition of  an                                                                    
     offense without court appearance  for a person under 18                                                                    
     years  of age  who is  cited for  a violation  of AS  l                                                                    
     l.71.07l(a)(2)(A).                                                                                                         
                                                                                                                                
Ms.  Mead   suggested  adding  17.38.200  to   the  list  of                                                                    
violations   in    the   section.    She   said    that   AS                                                                    
11.71.071(a)(2)(A)  was  for people  under  the  age of  21,                                                                    
which   meant  that   the  section   created  two   separate                                                                    
punishments depending on the age  of the person being cited.                                                                    
She  believed  that the  issue  could  be addressed  with  a                                                                    
drafting adjustment so  that those under 18 were  cited by a                                                                    
different  statute than  those between  18 and  21 years  of                                                                    
age.                                                                                                                            
                                                                                                                                
2:33:14 PM                                                                                                                    
                                                                                                                                
Ms.  Mead  said  that  the   bill  had  two  definitions  of                                                                    
marijuana  that would  appear in  statute  in two  different                                                                    
places. She spoke to Page 12, line 2:                                                                                           
                                                                                                                                
          (14) "marijuana" means all parts of the plant of                                                                      
     the genus  cannabis whether growing  or not,  the seeds                                                                    
     thereof,  the  resin extracted  from  any  part of  the                                                                    
     plant,  and  every compound,  manufacture,  derivative,                                                                    
     mixture,  or preparation  of the  plant, its  seeds, or                                                                    
     its    resin,    including    marijuana    concentrate;                                                                    
     "marijuana" does  not include  fiber produced  from the                                                                    
     stalks, oil or  cake made from the seeds  of the plant,                                                                    
     sterilized  seed  of the  plant  that  is incapable  of                                                                    
     germination,  or the  weight  of  any other  ingredient                                                                    
     combined  with marijuana  to  prepare  topical or  oral                                                                    
     administrations, food, drink, or other products;                                                                           
                                                                                                                                
Ms. Mead  read the  second definition  of marijuana  on Page                                                                    
20, line 23:                                                                                                                    
                                                                                                                                
          (6) "marijuana" means all parts of the plant of                                                                       
     the genus  cannabis whether growing  or not,  the seeds                                                                    
     thereof,  the  resin extracted  from  any  part of  the                                                                    
     plant,   and  every   compound,  manufacture,   [SALT,]                                                                    
     derivative, mixture,  or preparation of the  plant, its                                                                    
     seeds, or  its resin, including  marijuana concentrate;                                                                    
     "marijuana" does  not include  fiber produced  from the                                                                    
     stalks,  oil [,]  or cake  made from  the seeds  of the                                                                    
     plant,  sterilized seed  of the  plant that  [WHICH] is                                                                    
     incapable of  germination, or the  weight of  any other                                                                    
     ingredient combined  with marijuana to  prepare topical                                                                    
     or   oral  administrations,   food,  drink,   or  other                                                                    
     products;                                                                                                                  
                                                                                                                                
Ms. Mead relayed  that having the definition  located in two                                                                    
different places in the bill could be problematic.                                                                              
                                                                                                                                
2:35:13 PM                                                                                                                    
                                                                                                                                
MAJOR  DENNIS CASANOVAS,  ALASKA STATE  TROOPERS, DEPARTMENT                                                                    
OF   PUBLIC  SAFETY   (via  teleconference),   directed  the                                                                    
committee to Page 5, lines 6-10:                                                                                                
                                                                                                                                
          (4) possesses a schedule IIIA, IVA, or VA [, OR                                                                   
     VIA] controlled substance                                                                                                  
     or                                                                                                                         
                                                                                                                                
          (A) with reckless disregard that the possession                                                                       
     occurs                                                                                                                     
               (i) on or within 500 feet of school grounds;                                                                     
     or                                                                                                                         
               (ii) at or within 500 feet of a recreation                                                                       
     or youth center;                                                                                                           
                                                                                                                                
Major  Casanovas  relayed  that under  AS  17.38.120(d),  if                                                                    
schools, youth recreational centers,  or other businesses or                                                                    
property  owners  wished  to   prohibit  the  possession  of                                                                    
marijuana on their premises, the  burden had been shifted to                                                                    
those  location to  post the  prohibition; violations  would                                                                    
then   be  investigated   and   prosecuted  as   trespassing                                                                    
offenses.                                                                                                                       
                                                                                                                                
2:37:17 PM                                                                                                                    
                                                                                                                                
Vice-Chair  Micciche  queried  the definition  of  "reckless                                                                    
disregard" on page 5, line 8.                                                                                                   
                                                                                                                                
Major Casanovas  replied that  the definition  of "reckless"                                                                    
was referred to in other parts  of the statute. He said that                                                                    
he could not speak to the question.                                                                                             
                                                                                                                                
Co-Chair  MacKinnon   said  that   a  definition   would  be                                                                    
provided.                                                                                                                       
                                                                                                                                
Vice-Chair Micciche  felt that 500 feet  encompassed a large                                                                    
area. He wondered whether there  were other legal substances                                                                    
that were not  allowed within 500 feet of  school grounds or                                                                    
recreational youth centers.                                                                                                     
                                                                                                                                
Major  Casanovas believed  that most  private and  community                                                                    
property  allowed  the  land   owner,  or  guardian  of  the                                                                    
property, to  decide what items  were allowed to  be brought                                                                    
onto the  land, or into  the building; any  prohibitions had                                                                    
to  be  posted  and  would   be  enforced  from  a  trespass                                                                    
standpoint.                                                                                                                     
                                                                                                                                
2:39:27 PM                                                                                                                    
                                                                                                                                
Major Casanovas referred to Page 11, lines 6-12:                                                                                
                                                                                                                                
* Sec. 12.  AS 11. 71. l 90(b) is  repealed and reenacted to                                                                  
read:                                                                                                                           
          (b)  Schedule  VIA includes,  unless  specifically                                                                    
     excepted  or unless  listed  in  another schedule,  any                                                                    
     material,  compound,   mixture,  or   preparation  that                                                                    
    contains any quantity of the following substances:                                                                          
           (1) marijuana;                                                                                                       
           (2) hashish;                                                                                                         
           (3) hash oil or hashish oil.                                                                                         
                                                                                                                                
Major Casanovas  suggested that, for clarity,  the committee                                                                    
include    tetrahydrocannabinols    (THC),    a    principal                                                                    
psychoactive  constituent  of  the cannabis  plant,  in  the                                                                    
description of a controlled substance VIA.                                                                                      
                                                                                                                                
He referred to Page 23, section 36, lines 20-21:                                                                                
                                                                                                                                
          * Sec. 36. AS ll.71.040(a)(2), ll.71.060(a)(l),                                                                     
     11.7l.l60(f)(l),    ll.71.160(f)(2);   AS    17.38.030,                                                                    
     17.38.040, and 17.38.050 are repealed.                                                                                     
                                                                                                                                
Major Casanovas  explained that the  list of statutes  to be                                                                    
repealed  left  THC  in  statute,   and  currently  THC  was                                                                    
identified  as  a  schedule 3(a)  controlled  substance.  He                                                                    
concluded  that  THC  should  be included  as  part  of  the                                                                    
definition  of  marijuana,  or part  if  the  schedule  6(a)                                                                    
description,  if  it  were  going to  be  removed  from  the                                                                    
schedule 3(a) description.                                                                                                      
                                                                                                                                
2:41:19 PM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon asked for information regarding THC.                                                                         
                                                                                                                                
ORIN DYM, FORENSIC LABORATORY  MANAGER, DEPARTMENT OF PUBLIC                                                                    
SAFETY (via teleconference), related  that THC was a natural                                                                    
product produced  by the marijuana  plant, and was  the main                                                                    
psychoactive component.  He stated  that the  plant produced                                                                    
other cannabinoids  produced by the  plant, but THC  was the                                                                    
most powerful.                                                                                                                  
                                                                                                                                
Co-Chair MacKinnon  asked whether THC could  be manufactured                                                                    
in a  lab. She  queried whether it  would be  appropriate to                                                                    
include THC in the definition.                                                                                                  
                                                                                                                                
Mr. Dym  replied that THC  could be  produced in a  lab, but                                                                    
that  it  was not  generally  done  because it  was  readily                                                                    
available through  the plant. He  felt that the  question of                                                                    
whether  THC should  be  included in  the  definition was  a                                                                    
matter for the Department of Law.                                                                                               
                                                                                                                                
2:44:59 PM                                                                                                                    
                                                                                                                                
Senator Bishop asked  whether a test existed  to measure the                                                                    
THC concentration in oils.                                                                                                      
                                                                                                                                
Mr. Dym replied that it could  be done. He believed that the                                                                    
development of a method would take approximately 3 months.                                                                      
                                                                                                                                
2:46:10 PM                                                                                                                    
                                                                                                                                
Major Casanovas moved to Page 22, section 31, lines 5-7:                                                                        
                                                                                                                                
          (8) "open marijuana container" means a receptacle                                                                     
     or  marijuana accessory  that  contains  any amount  of                                                                    
     marijuana and  that is open  or has a broken  seal, and                                                                    
     any amount of marijuana is removed.                                                                                        
                                                                                                                                
Major Casanovas  said that "open marijuana  container" spoke                                                                    
to an accessory  that was open or had a  broken seal and any                                                                    
amount of marijuana had been  removed. He stated that it was                                                                    
not  clear whether  a smoking  or inhaling  device that  had                                                                    
been used before the person  got into the vehicle, would fit                                                                    
into  that   definition.  He  expressed  concern   that  the                                                                    
language  did  not define  what  how  live marijuana  plants                                                                    
would be  transported, or what  definition the  plants would                                                                    
fall under.                                                                                                                     
                                                                                                                                
2:48:02 PM                                                                                                                    
                                                                                                                                
Vice-Chair  Micciche  asked  whether  the  department  could                                                                    
manage decriminalized marijuana without this legislation.                                                                       
                                                                                                                                
Major  Casanovas  responded  that the  department  had  been                                                                    
operating  since   February  24,   2015,  with   the  ballot                                                                    
initiative language in  contrast to some areas  of Title 11.                                                                    
He said that  the Alaska State Troopers were  averaging 1 to                                                                    
2 events  per day involving  marijuana across the  state. He                                                                    
relayed that there had not  yet been a circumstance that had                                                                    
been  at  odds  with  current statutes,  versus  the  ballot                                                                    
measure.   He  mentioned   the   likelihood  of   litigation                                                                    
resulting  from conflicting  statutes and  interpretation of                                                                    
statutes.                                                                                                                       
                                                                                                                                
2:50:24 PM                                                                                                                    
                                                                                                                                
Vice-Chair Micciche  understood that further clarity  in the                                                                    
bill language would be beneficial.                                                                                              
                                                                                                                                
Major   Casanovas  replied   that  he   would  prefer   less                                                                    
litigation  and hoped  that all  the involved  parties could                                                                    
come up with an agreed upon set of rules.                                                                                       
                                                                                                                                
2:51:31 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
2:51:58 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
2:52:07 PM                                                                                                                    
                                                                                                                                
CYNTHIA  FRANKLIN,  EXECUTIVE   DIRECTOR,  ALCOHOL  BEVERAGE                                                                    
CONTROL (ABC)  BOARD, commented that the  scope of authority                                                                    
that  the board  had over  alcohol  in the  state, gave  the                                                                    
board  complete control  over ever  verb involving  alcohol,                                                                    
including possession.  She said that  looking at Title  4 it                                                                    
was   impossible   to   separate  licensing   and   creating                                                                    
commercial  establishments around  alcohol from  enforcement                                                                    
of  individuals  who  would  deal  with  alcohol  without  a                                                                    
license. She  explained that the tension  for the regulatory                                                                    
agency  between Title  11 and  Title 17,  was assuring  that                                                                    
enforcement  officers  had  statutory authority  to  act  on                                                                    
businesses and  individuals who held  licenses, and  had the                                                                    
authority  to shut  down places  that attempt  to look  like                                                                    
licensed marijuana  businesses, but  were not.  She asserted                                                                    
that  a control  board  dealing with  marijuana should  have                                                                    
some authority  relating to shutting  down the  black market                                                                    
aspect of  marijuana. She  said that the  way that  AS 17.38                                                                    
currently  read, the  ABC Board  only had  the authority  to                                                                    
make the rules for licensed sellers.                                                                                            
                                                                                                                                
2:57:31 PM                                                                                                                    
                                                                                                                                
Ms.  Franklin  related a  concern  with  local control.  She                                                                    
referred to Page 18, lines 16 - 21:                                                                                             
                                                                                                                                
          Sec. 17.38.250. Local option. (a) If a majority                                                                     
     of the  voters voting on  the question vote  to approve                                                                    
     the  option, an  established village  shall exercise  a                                                                    
     local  option to  prohibit the  operation of  marijuana                                                                    
     establishments.                                                                                                            
          (b) A ballot question to adopt a local option                                                                         
     under  this  section  must at  least  contain  language                                                                    
     substantially  similar to  the following:  "Shall (name                                                                    
     of  village)  adopt  a local  option  to  prohibit  the                                                                    
     operation of marijuana establishments? (yes or no)."                                                                       
                                                                                                                                
Ms.  Franklin  hoped  that  whatever  rules  were  developed                                                                    
around  local  option  and   marijuana  mirrored  the  rules                                                                    
relating to  local option and  alcohol. She said  that local                                                                    
option  allowed a  community  to  opt in  or  out, but  also                                                                    
allowed for  a menu of what  would and would not  be allowed                                                                    
in individual  communities. She said  that one  local option                                                                    
that she  had discussed at length  with municipalities would                                                                    
make the municipality  the sole point of retail  sale of the                                                                    
substance in their community.                                                                                                   
                                                                                                                                
3:01:15 PM                                                                                                                    
                                                                                                                                
Co-Chair  MacKinnon   noted  that  there  would   be  public                                                                    
testimony the following day.                                                                                                    
CSSB  30  was  HEARD  and  HELD  in  committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
ADJOURNMENT                                                                                                                   
3:02:47 PM                                                                                                                    
                                                                                                                                
The meeting was adjourned at 3:02 p.m.                                                                                          
                                                                                                                                
                                                                                                                                

Document Name Date/Time Subjects
SB 30 Municipal Attorney Association Testimony - Chandler.doc SFIN 3/10/2015 1:30:00 PM
SB 30
SB 30 Letter from Alaska Municipal League.PDF SFIN 3/10/2015 1:30:00 PM
SB 30
SB 30 Dept of Law Policy Issues Letter to Senate FIN.pdf SFIN 3/10/2015 1:30:00 PM
SB 30
SB 30 Legal Memo on Non-Applicabilty Sections in AS 11.pdf SFIN 3/10/2015 1:30:00 PM
SB 30
SB 30 Sectional Analysis Version X.pdf SFIN 3/10/2015 1:30:00 PM
SB 30