HB 357-ACCESS TO LICENSED PREMISES  3:24:36 PM CHAIR OLSON announced that the first order of business would be HOUSE BILL NO. 357, "An Act relating to the purchase of alcoholic beverages at a club and to access by certain persons under 21 years of age to a club's licensed premises when alcoholic beverages are present." 3:24:52 PM REPRESENTATIVE SADDLER, speaking as prime sponsor of HB 357, explained that this bill is an access bill. He explained that HB 357 does not allow anyone under the 21 to drink alcohol. Instead, the bill could be considered an access bill, with two elements. Section 1 relates to service members over the age of 21. This bill makes it easier for them and their spouses to enjoy companionship in the clubhouses of service and patriotic clubs, such as the Veterans of Foreign Wars (VFW) or American Legion. These are great organizations where veterans and active duty soldiers can relax with their friends and spouses and enjoy the special understanding and support from others who have been there and understand the rigors of military life. The legislature recognizes these values, and since 2006, active duty personnel over the age of 21 can enter such clubs using their military identification cards (IDs). He referred to page 1, line 10 of HB 357, which limits access to special occasions, noting this bill removes that limitation. REPRESENTATIVE SADDLER said this bill allows spouses ages 21 and over, as well. Section 2 relates to soldiers under the age of 21 and allows them to enter licensed premises of patriotic clubs if they are members or if they are guests of members. Again, he reiterated that this bill does not allow anyone under the age of 21 to drink alcohol. He commented that military commanders will sometimes use these clubs to hold off-base commanders calls to welcome soldiers home, to give them a sendoff, or to share important information with them. He surmised that dividing the young and older soldiers could erode morale. He said this bill would allow soldiers under the age of 21 to enter such clubs if they are members or guests of members. Section 3 provides conforming language regarding the allowance for club admission granted in Section 2, emphasizing that this bill does not permit underage soldiers to drink alcohol, but rather clarifies that soldiers over the age of 21 and their spouses don't have to wait for a special occasion to visit patriotic clubs. It would further clarify that soldiers under the age of 21 can visit if they are club members or guests. He suggested that showing support for this bill would show that the legislature wants to accommodate the special needs of the young men and women in uniform who defend our freedom. 3:27:37 PM REPRESENTATIVE REINBOLD remarked that this allows not only the spouse but also for someone under the age of 21 to visit the establishment. REPRESENTATIVE SADDLER answered yes. 3:28:21 PM REPRESENTATIVE REINBOLD asked the differences between patriotic clubs and a regular restaurant or bar that serves alcohol. REPRESENTATIVE SADDLER responded that Alaska law allows access to persons under the age of 21 to enter if accompanied by an adult, but it does not allow them to drink. 3:29:03 PM REPRESENTATIVE JOSEPHSON asked whether some fraternization rules were unique to the military, but he assumed that those rules can coexist under the bill. REPRESENTATIVE SADDLER answered that this bill does not address fraternization. 3:29:33 PM CHAIR OLSON, after first determining no one else wished to testify, closed public testimony on HB 357. 3:29:54 PM SHIRLEY COTE, Director, Alcoholic Beverage Control Board (ABC Board), Department of Commerce, Community & Economic Development, said she was available for questions and the board was neutral on the bill. REPRESENTATIVE REINBOLD asked whether she had any concerns. MS. COTE answered that underage persons are not allowed to drink on the premises. 3:31:07 PM REPRESENTATIVE REINBOLD referred to page 2, line 16 of HB 357, which read, in part, "(3) the person is under the age of 16 years, is accompanied by a person over the age of 21 years, the parent or guardian of the underage person consents, the premises are designed by the board as a restaurant for the purpose of this section, and the person enters and remains only for dining...." She asked whether the board is comfortable with this language. MS. COTE answered yes; plus she pointed out added language that states the person is permitted on the premises under AS 04.11.110(g), which is the club license. Thus, the club would be treated in a similar fashion to the restaurant. 3:32:02 PM REPRESENTATIVE REINBOLD asked how parents would give permission for youth to be on premises. MS. COTE explained permission would happen in the same way that it currently happens with restaurants. In the event the ABC Board receives complaints about underage drinking, the board would investigate this activity. Additionally, she stated that parents or guardians consent to coaches bringing kids to have pizza; but it is up to the school and the restaurant licensee to ensure that the activity is in compliance with the law. 3:33:01 PM CHAIR OLSON pointed out that establishments also have liquor licenses [and revocation] could be a "heavy hammer." REPRESENTATIVE SADDLER said that the language in paragraph (3) that Representative Reinbold highlighted is existing statute and this bill does not change the law for people under 16. 3:33:26 PM REPRESENTATIVE REINBOLD related a scenario in which VFW would change its atmosphere to more of a "Denny's" type restaurant. She did not see letters of support and wondered if any controversy exists. REPRESENTATIVE SADDLER referred to a letter of support from a former communed state commander of the VFW and from the commander of post 10029 in members' packets. He emphasized that VFW's are used as family meeting places. He recalled the Eagle River post 9785 facility frequently rents out its downstairs for public events although the upstairs has a licensed premise. He reminded members that this bill does not pertain to person under the age of 16 accessing licensed premises. 3:34:30 PM REPRESENTATIVE REINBOLD acknowledged she has been to many events, but she said she has always been a guest and has been invited to attend. She wanted to be certain the people who frequent these facilities are comfortable with this and it sounds like that is the case. REPRESENTATIVE SADDLER related that he was in Eagle River for the Vietnam Veteran's welcome home day ceremony and was encouraged to pursue this bill, thus there has been interest in his home town for the bill. 3:35:11 PM REPRESENTATIVE JOSEPHSON asked whether this bill would include the Elks or Moose club or only to military affiliations. REPRESENTATIVE SADDLER related his understanding that a patriotic license is distinct from the fraternal organizations. MS. COTE explained that the club license authorizes a club or organization, which is a club for fraternal organization, patriotic organization, or social organization that has been chartered by a state or national organization for a period of two consecutive years prior to an application for a license under the section. Or it could be chartered by the national organization that has maintained a chartered club or organization for 20 years in the state. Thus, if a club meets either one of those criteria, it can have a club license. REPRESENTATIVE JOSEPHSON said it sounds like the answer is yes. 3:36:22 PM REPRESENTATIVE JOSEPHSON asked whether the [Benevolent and Protective Order of] Elks Club and {Loyal Order of] Moose club fall under this rubric. MS. COTE answered yes. REPRESENTATIVE REINBOLD moved to report HB 357 out of committee with individual recommendations and the accompanying fiscal notes. There being no objection, HB 357 was reported from the House Labor and Commerce Standing Committee.