AK

Ballot Measure No. 2 – 13PSUM

An Act to Tax and Regulate the Production, Sale, and Use of Marijuana.

This bill would tax and regulate the production, sale, and use of marijuana in Alaska.
The bill would make the use of marijuana legal for persons 21 years of age or older. The bill
would allow a person to possess, use, show, buy, transport, or grow set amounts of marijuana,
with the growing subject to certain restrictions. The bill would ban the public use of marijuana.
The bill would prohibit a person under 21 years of age from using false identification to buy or try
to buy marijuana or marijuana accessories.

The bill would allow validly registered marijuana-related entities and persons 21 years of age or
older who own or are employed by these entities to make, possess, buy, distribute, sell, show,
store, transport, deliver, transfer, receive, harvest, process, or package marijuana and marijuana
products, subject to certain restrictions. Alaska Statute 17.30.020 (Controlled Substances) would
not apply to these entities.

The bill would require the Alcoholic Beverage Control (ABC) Board to implement parts of the bill.
But the bill would also let the legislature create a Marijuana Control Board to assume these
duties. The bill would require the ABC Board to adopt regulations governing marijuana-related
entities. The regulations would need to cover certain topics and be subject to certain restrictions.
The bill would also create procedures for registering a marijuana-related entity. The procedures
would be managed by the ABC board and local governments.

The bill would allow a local government to prohibit the operation of marijuana-related entities. A
local government could do that by enacting an ordinance or through voter initiative. The
ordinances could cover the time, place, manner, and registration of a marijuana entity’s
operations.

The bill would allow a person 21 years of age or older to possess, use, show, buy, or transport
marijuana accessories. Marijuana accessories are products individuals use to grow or consume
marijuana. The bill would also allow persons 21 years of age or older to make marijuana
accessories and to distribute or sell them to persons who are 21 years of age or older.

The bill states that it is not intended to require an employer to allow marijuana use,
transportation, possession, sale, growth, or transfer, or prevent an employer from prohibiting
these activities. The bill does not intend to supersede laws prohibiting driving under the influence
of marijuana. The bill does not intend to prohibit schools, correction facilities, hospitals, or private
persons or entities from restricting marijuana on their property. The bill does not intend to limit
the state’s existing medical marijuana laws.

The bill would impose a $50 per ounce (or proportionate) excise tax on the sale or transfer of
marijuana from a cultivation facility to a retail store or marijuana product manufacturing facility.
The marijuana cultivation facility would pay the tax and send monthly tax statements to the
Department of Revenue. The Department of Revenue could exempt certain parts of the
marijuana plant from the tax. It could also establish a lower tax rate for certain parts of the plant.
The bill defines numerous terms. The bill contains a statement of purpose and findings. The bill
would impose civil fines and penalties for violations.

Should this initiative become law?