HB 234-BREWPUBS; ABC BOARD CHAIR ROKEBERG announced that the next order of business would be HOUSE BILL NO. 234, "An Act relating to brewpubs, and continuing the existence of the Alcoholic Beverage Control Board; and providing for an effective date." Number 0613 REPRESENTATIVE COGHILL moved to adopt CSHB 234, Version 23- LS0862\X, Ford, 4/30/03, as the working document. There being no objection, Version X was before the committee. REPRESENTATIVE BERKOWITZ objected and inquired as to the difference between Version X and [CSHB 234(FIN)]. CHAIR ROKEBERG pointed out that Section 2 of CSHB 234(FIN) regarding peace officer powers eliminated the Alcoholic Beverage Control Board's (ABC) authorization to investigate violations of laws against prostitution and gambling on [premises licensed under] Title 4. There seems to be some question with regard to what the Department of Public Safety (DPS) and the ABC Board want. Although this matter was discussed at length in the House Labor and Commerce Standing Committee, the language was taken out in the House Finance Standing Committee. He explained his belief that the law enforcement agencies of the state have better things to do than enforce laws relating to prostitution and gambling on licensed premises. The ABC investigators should, in the course of their activity, be in a position to enforce laws relating to prostitution and gambling in licensed premises because there is a direct relation between the aforementioned activities and the activities of a licensee under Title 4. CHAIR ROKEBERG, in response to Representative Berkowitz, clarified that [under CSHB 234(FIN)] the activities the ABC investigators can investigate are limited and thus he wanted to return to the current statute under which ABC investigators are able to [investigate/enforce prostitution and gambling]. Number 0792 REPRESENTATIVE BERKOWITZ withdrew his objection. CHAIR ROKEBERG specified that the remainder of Version X essentially remains the same. REPRESENTATIVE KERTTULA inquired as to the department's thoughts on the matter. Number 0856 JUANITA HENSLEY, Special Assistant, Office of the Commissioner, Department of Public Safety, informed the committee that DPS requested that the provision to take away [the ABC Board's authority with regard to] prostitution and gambling be included in the legislation. This was requested so that the ABC investigators would refocus on alcohol investigation. If the ABC investigators see prostitution or gambling going on in an establishment, then they should contact local law enforcement agencies. Ms. Hensley noted that DPS would continue to work with the ABC investigators, even without the provision. REPRESENTATIVE BERKOWITZ related his understanding that DPS wants the provision to be included in the legislation. MS. HENSLEY clarified that DPS had requested that peace officer powers of investigating gambling and prostitution be removed from the ABC investigators. However, Version X allows the ABC investigators to continue to investigate prostitution and gambling. At this point, it doesn't matter to DPS, she said. REPRESENTATIVE BERKOWITZ asked if there are concerns with regard to peace officer safety or is this a resource issue. Number 0969 MS. HENSLEY pointed out that through one of the recent executive orders the ABC Board is being placed in DPS. One of the recommendations of the Joint Committee on Legislative Budget and Audit's sunset audit of the ABC Board was that the ABC investigator's work time should be refocused on enforcing alcohol laws while enforcement of gambling and prostitution should be left to the regular police powers of the state. The DPS agreed with the aforementioned and if ABC investigators do see prostitution and gambling in an establishment, DPS or any other law enforcement agency in the area should assist in those investigations. Version X gives the ABC investigators the power to investigate prostitution and gambling, and DPS would continue to work with them and further investigate. Ms. Hensley mentioned that there will be times in which prostitution and gambling are a vice issue that can be handled in conjunction with the ABC investigators. REPRESENTATIVE BERKOWITZ inquired as to the percentage of an ABC investigator's time spent investigating prostitution and gambling as opposed to alcoholic (indisc.) infractions. MS. HENSLEY said she couldn't answer that. REPRESENTATIVE BERKOWITZ said that he didn't recall prostitution or gambling ever coming through the ABC Board. He expressed curiosity as to why Chair Rokeberg wants Version X because the audit, the department, and the governor want CSHB 234(FIN). CHAIR ROKEBERG pointed out that the audit specifies that the ABC Board [wants to maintain its powers with regard to prostitution and gambling]. Number 1126 REPRESENTATIVE KERTTULA highlighted that the ABC Board didn't obtain these powers until 1999. She also highlighted that the audit says that the issue has been that the ABC investigators "are ex-police officers who would like to carry guns and investigate other crimes, in fact they seem to be intensively preoccupied with the topic". Furthermore, the problem hasn't really been alcohol control. She noted that there are already officers that investigate prostitution and gambling in Alaska and thus she characterized [DPS's authority to investigate prostitution and gambling] as a duplication of services. Number 1173 CHAIR ROKEBERG noted his disagreement with the audit and recommended maintaining the status quo while reviewing how the transition [of the ABC Board to DPS] goes. REPRESENTATIVE BERKOWITZ mentioned the duplication of service issue. He related his experience that when law enforcement officers make decisions about how they want their organization organized it's best to defer to their wishes. He noted his willingness to return the peace officer power provision in the legislation and indicated that perhaps the discussion would be held on the House floor. CHAIR ROKEBERG inquired as to the department's position on Version X. Number 1273 MS. HENSLEY reiterated that DPS made the recommendation, jointly with the governor's office, for this provision. However, DPS is willing to work with the ABC investigators to fulfill the provisions under Title 4 whether gambling and prostitution is included or not. With regard to the notion of there being a duplication of service, Ms. Hensley pointed out that the ABC investigators would be in a position to notify the local law enforcement agency and work jointly with it with regard to gambling and prostitution. CHAIR ROKEBERG requested that Ms. Hensley provide information with regard to the amount of time that DPS allocates to gambling and prostitution investigation in the context of their entire scope of work. Chair Rokeberg suggested that the time would be small. CHAIR ROKEBERG, upon determining no one else wished to testify, closed public testimony. Number 1403 REPRESENTATIVE BERKOWITZ moved to report CSHB 234(FIN), Version W, out of committee with individual recommendations and the accompanying fiscal notes. CHAIR ROKEBERG objected. A roll call vote was taken. Representatives Kott, Morgan, Berkowitz, and Kerttula voted in favor of reporting CSHB 234(FIN) from committee. Representatives Coghill and Rokeberg voted against it. REPRESENTATIVE KOTT, upon the announcement that the vote was 4- 2, said that he wanted to change his vote to be against reporting CSHB 234(FIN) from committee. The committee took an at-ease. [Due to technical difficulties the following motion wasn't recorded on tape.] Number 1504 REPRESENTATIVE BERKOWITZ moved to report CSHB 234, Version 23- LS0862\X, Ford, 4/30/03, out of committee with individual recommendations and the accompanying fiscal notes. There being no objection, CSHB 234(RLS) was reported from the House Rules Standing Committee.