HB 162 - BAN CRAFT BUYING ON LIQUOR PREMISES Number 050 CHAIRMAN IVAN indicated that the committee would consider HB 162, "An Act relating to the sale or purchase of authentic Native handicrafts on certain licensed premises; and providing for an effective date," sponsored by Representative Nicholia. He explained that this legislation was assigned to a subcommittee chaired by Representative Jerry Sanders. He referred to a proposed committee substitute labeled O-LS0434\E and said he would entertain a motion to adopt the committee substitute for the purpose of discussion. Number 114 REPRESENTATIVE JERRY SANDERS moved to adopt the committee substitute as noted. Hearing no objection, it was so ordered. Number 144 KATTARYNA BENNETT, Researcher to Representative Irene Nicholia, Alaska State Legislature, came forward to testify on HB 162. In response to requests from the committee members and the subcommittee, five changes were made to the bill. In Section 1, a restriction was added on sale, purchase, or offer to sell or purchase handicrafts in liquor stores, as well as taverns or bars. This was also a request made by Doug Griffin of the Alcohol Beverage Control (ABC) Board. The second change was the addition of language to restrict other handicrafts, as well as Native handicrafts. Also included was a definition of other handicrafts. She encouraged the members of the committee to review the definition to ensure it is acceptable. MS. BENNETT continued that the third change was the addition of language to clarify special events, such as Fur Rendezvous or other similar activities, that may be unintentionally affected by this legislation. As discussed, a lot of craft selling goes on at these events which is a big part of these functions. Fourth, they removed the language that exempted arenas or convention centers that were owned by the state or a political subdivision of the state. Finally, at the request of Legislative Legal the word "knowingly" was added to clarify that a bar owner or employee, who is not directly involved in a transaction, will not be held liable for actions beyond the realm of his/her knowledge. REPRESENTATIVE SCOTT OGAN stated that the bill has been improved, but he still has a few problems with the fact that this was an unenforceable law. He noted that it's illegal to sell drugs and various other sundry items that routinely are sold in bars. He said he understands the objectives of this legislation and thinks it is a laudable goal. Number 398 REPRESENTATIVE JOE RYAN stated that he still had a problem with making the person who owns an establishment responsible. He said he doesn't know that anyone invites an individual into an establishment to sell anything. REPRESENTATIVE OGAN asked about a person who owns an establishment and someone comes in to sell something, that person would be guilty and they may have a license sanctioned or receive a fine of up to $2,000. Number 488 MS. BENNETT responded that this does not happen unless a bar owner or employee is directly involved in the sale or transaction. It would be a person who is the purchaser, seller or they are the person who facilitates the buying or selling. The bar owner or employee would not be liable if they weren't directly involved. Ms. Bennett explained the word "knowingly" was added to further clarify that they wouldn't be liable. Number 601 REPRESENTATIVE SANDERS moved and asked unanimous consent to move HB 162 out of committee with individual recommendations and with the accompanying fiscal notes. Hearing no objection, HB 162 was moved out of the House Community and Regional Affairs Committee.