HOUSE BILL NO. 283 "An Act relating to the purchasing of and restrictions concerning alcoholic beverages." REPRESENTATIVE HARRY CRAWFORD spoke to the reasoning behind the bill. He believed that prevention is crucial regarding alcohol related crimes. The bill is directed at identifying those individuals that cannot handle alcohol. The bill restricts a person who commits a felony from purchasing alcohol. The bill also restricts a third misdemeanor directly or indirectly caused by the consumption of alcohol and prohibits the purchase alcohol from a person who is restricted or has a youth driver's license or identification. 9:23:20 AM Co-Chair Hawker expressed issues with recent amendments to the bill, particularly Sections 4 and 5. He asked if the sections were added to the original bill. Representative Crawford replied yes. Co-Chair Hawker stated that Section 5 bothers him because an Alaska citizen turning 21 years of age with a valid driver's license is unable to purchase alcohol until he or she obtains a new license. He pointed out Section 4, which is in existing statute. He wished to remove the section from statute. 9:25:53 AM Representative Crawford commented that the operative word is "may" as people will occasionally buy alcohol with their passport because they have the red mark on the license. The red mark indicates alcohol restriction. He explained that a person can drive with a vertical (junior) license following their 21st birthday, but cannot buy alcohol with it. Co-Chair Hawker recalled certain times in the nation's history where different views regarding equity were observed. He observed insult when a young person returns to Alaska after serving their country in Afghanistan and is unable to purchase alcohol without renewing his driver's license. 9:31:09 AM Representative Joule echoed Co-Chair Hawker's point of view. In small communities, one lacks the ability to renew their driver's license without a local Division of Motor Vehicle (DMV) office. Representative Austerman shared the concerns of Co-Chair Hawker. He opined that a law mandating the presentation of state identification indicating a potential alcohol problem may be more effective. He compared his solution to a "filtration system" for those with known problems with alcohol. He appreciated the efforts of Representative Crawford. 9:34:23 AM Representative Crawford stated that these two sections were a high priority for the industry. Currently an alcohol restricted driver's license has red stripe. He spoke of recent contact with a woman who voluntarily deemed herself alcohol restricted with a red mark on her license as she could not control her drinking and believed that this tool would help her. He realized that prohibition of alcohol did not work, but another tool is necessary for those people who have proven that they cannot handle alcohol. 9:37:51 AM Representative Gara stated that the bill makes it illegal to use another person's identification to buy alcohol. He opined that Section 4 and 5 make the bill more effective and balanced. 9:40:08 AM Vice-Chair Thomas applauded the bill's merits. He shared a personal story regarding lack of identification upon discharge from the military. He echoed the concerns of Representative Joule as his district was also rural and lacking in DMV offices. He expressed sympathy for the military and the rural portion affected by the bill as written. 9:43:09 AM Representative Crawford provided a personal story regarding lack of alcohol service without proper identification. He understood that the law can occasionally create inconveniences, but the overall benefits of this bill would outweigh them. He suggested that military identification would suffice for the purchase of alcohol, but he did not advocate for use of a passport as proper identification when purchasing alcohol. 9:45:40 AM Representative Foster echoed the concerns expressed by Representative Joule. Representative Crawford stated that the industry of package stores in Anchorage requested that a person with a vertical picture on their license be unable to purchase alcohol. 9:47:47 AM Co-Chair Hawker pointed out that the amendment as drafted will remove the "illiterate bartender provision." He continued that Section 4 is existing statute and will remain unaffected by the amendment. Co-Chair Stoltze clarified that bartenders often have a wide variety of education levels. He asked the Alcohol Board about requirements for package stores regarding identification and alcohol. SHIRLEY GIFFORD, ALCOHOL BOARD (via teleconference) stated that clarification in the bill will prove helpful regarding requirements. She stressed that she was not available to oppose the bill, but instead to answer questions. Co-Chair Stoltze asked if the current law prevents a package store from requiring an Alaskan driver's license. Ms. Gifford responded yes, beverage dispensaries, package stores, and restaurants set their own policies. The establishments can refuse service to anyone. Licensed establishments tend to protect themselves from potential liability. Co-Chair Stoltze asked if an establishment could create policy for acceptance or not of military identification. Ms. Gifford understood that the licensees can refuse service to any person. 9:55:01 AM Representative Kelly asked if Section 5 was removed, would the ability to force the training program under the new license be lost. Representative Crawford responded that a person seeking their license must take the training program. Representative Austerman asked if the time frame comprised of a 90 day period. Representative Crawford clarified that a person has 90 days to renew their license following their 21st birthday. 9:57:22 AM Representative Foster revisited the passport issue. He communicated that village DMVs sometimes close for weeks at a time and the hours are often restricted. He opined that the use of a passport would be helpful in that situation. Co-Chair Stoltze CLOSED public testimony. 9:58:58 AM Co-Chair Hawker moved Amendment #1: Page 2, line 12 through line 29 Delete all material Renumber following sections accordingly. Representative Gara OBJECTED for discussion. Co-Chair Hawker explained that the amendment removes the discriminatory provision of a person who has reached the age of 21 without the opportunity to visit a DMV office for reissuance of a new driver's license. The amendment does not alter existing statute. A roll call vote was taken on the motion. IN FAVOR: Joule, Salmon, Thomas, Austerman, Fairclough, Foster, Stoltze, Hawker OPPOSED: Gara, Doogan The MOTION PASSED (8-2). Amendment 2 was adopted. Co-Chair Stoltze addressed the fiscal notes from DMV, and the Department of Health and Social Services (DHSS). 10:02:06 AM DIANE CASTO, PROJECT MANAGER, DEPARTMENT OF HEALTH AND SOCIAL SERVICES explained the fiscal notes. She stated that very little enforcement of the red striped licenses occurs. The Alcohol Safety Action program works with misdemeanant alcohol offenses. With the bill, increased enforcement leads to increased probation violations. A probation violation leads to additional monitoring including regular urinalysis testing requiring an increase in staff. Co-Chair Stoltze asked if the amendment has an impact on the fiscal note. Ms. Casto replied no. Co-Chair Hawker expressed concern about the zero nature of DMV's fiscal note as it creates a net of $2 million state revenue. KERRY HENNINGS, DRIVERS LICENSE MANAGER, DRIVER SERVICES, DIVISION OF MOTOR VEHICLES (via teleconference) agreed that the change was positive. Co-Chair Hawker asked about the fiscal note prepared January 26, 2010 which reflects the additional charge for alcohol restricted licenses with the agency estimating 40,000 additional licenses each year. Ms. Hennings apologized as she was not prepared to answer the question. Representative Crawford possessed a different fiscal note from DMV stating expenses of $17,500 with a change in revenue of $50 thousand. 10:07:01 AM Representative Austerman requested committee review of the new fiscal note. He asked if the amendment affects the fiscal note for DMV. Ms. Casto repeated that the amendment does not change the fiscal note. Ms. Hennings added that the amendment does not change the fiscal note for DMV either. Representative Crawford stated that the fiscal note from DHSS was created before the last committee where the increase of the fine from $1000 to $2000 was amended out. The former proposal would have increased enforcement.