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40 Alaska B. Rag 1 (2016)

handle is hein.barjournals/askabar0040 and id is 1 raw text is: 
























It's time Alaskans take a deep breath and pay our way


By  Dan  Branch

   We  live in an angry country and
an angry state. Since the legislators
are sitting in Juneau now, a lot of
that anger is directed at them.
   It's raining in our angry state.
A fiscal rainstorm has settled over
Alaska, threatening the  kinds of
economic downturn that led to bank
failures and foreclosures during the
1980's oil glut. Then, home prices
plummeted  until the amount owed
on the mortgage exceeded what the
debtor could gross from a sale. Own-
ers of Anchorage  townhouses  and
three-bedroom  ranches packed  up
their family SUVs and  left behind
Alaska  and  their mortgage debt.
The  more thoughtful ones dropped
off their house keys at their bank on
the way out of town.
   If we take a step back and ignore
the talk-radio inflamers, self-disap-
pointment  may replace our anger.
We  might, like Walt Kelly's philo-
sophical possum, Pogo, realize that,
We  have met the enemy  and it is
us. We rmight also remember that
the original purpose of the Alaska
Perr        Fun   was  to get the


state through the bust that always
follows each boom in a resource ex-
traction economy.
   Back  in the 1970s, when dino-
saurs walked  the  earth and Jay
Hammond was Alaska's governor,
I lived in Bethel. Hammond   sent
some  Juneauites dressed in busi-
ness casual (button-down shirts, V
neck sweaters, clean pants, XTRA
Tuff boots) to the river city to talk
about a proposed rainy day account
called, The Permanent Fund.
   The bright young things warned
a scoping session of Bethelites in
Kusko-business casual (clean jeans,
wear-to-basketball-games   sweat-
shirts, JB Crowe ball caps, maybe
kuspuks)  that someday  we would
run out of oil money. Rather than
blowing all our tax dough on fancy
buildings and roads, they wanted
to stash away a big chunk of it in
an  income-generating fund. Even
with the planned annual, share-the-
wealth payout, this permanent fund
would grow like a glutton in a choco-
late factory until needed to help the
state weather economic downturns.


Continued  on page 10


Marijuana legalization: Read'


By  Jason  Brandeis


   In November 2014, 53 percent of
Alaska voters approved the path to
a legal, regulated marijuana mar-
ket in the state. The passage  of
Ballot Measure 2  (BM2) amended
Alaska's marijuana laws in several


ways.  First, it legalized possession
of up to one ounce of marijuana (and
several plants) and decriminalized
public consumption  of marijuana
(subjecting such activity to a maxi-
mum   $100 fine). Next, the initia-
tive tasked the state with creating
a Marijuana  Control Board (MCB)
and developing the regulations nec-
essary to implement and govern the
state's future commercial marijua-
na industry. Recently, after about
a year of work, the MCB completed
that process.
   During  that  time,  municipal
governments  across the state were
also busy contemplating this new
industry, as many set up their own
local marijuana regulatory authori-
ties and began debating local plan-
ning and zoning options. The next
phase, where local rules are being
finalized, businesses are forming,
and  application packets are being
prepared  and submitted, is under
way. The  last stage-the operation
of a  legal commercial marijuana
industry as envisioned by BM2-is
slated to commence in late summer/
early fall.

   Overview   of the final regula-
tions
   The  MCB  adopted final regula-
tions Nov. 20, 2015. Pursuant  to
the  Alaska Administrative Proce-
dure Act, the MCB   sent the regu-
lations to the lieutenant governor
and Department  of Law for review.
With  several exceptions and correc-


I   ~PH~I6U6.


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before you grow, sell,

  tions, the regulations were signed state statute.
  into law by the lieutenant governor statute author:
  as 3 AAC 306. The effective date of nal history recc
  the new regulations, Feb. 21, 2016, ment and licen
  came just before the re-named Al-  marijuana est
  cohol and Marijuana Control Office Thus, there is
  (AMCO)  began accepting marijuana  duct the check,
  establishment license applications must  come fro
  Feb. 24.                           not the MCBI
     The regulations are comprehen-  amenable  to a
  sive, covering all aspects of the mar- troversial legis
  ijuana industry. There are rules for problem is mor
  growing marijuana  plants and for  volves the ong
  converting plants into other prod- state laws lega
  ucts. There are stringent product  the existing fec
  safety and quality testing require-   Federal law
  ments. The regulations include pa- some cases ma
  rameters for operating marijuana   state shipping
  businesses, detailing when   and   or sea. This cou
  where stores may operate and adver- potential mari*
  tise; how plants and products must tablishments 1
  be packaged, labeled, and tracked; munities off th
  and  establishing training require- establishments
  ments for marijuana establishment  their marijuan
  employees. The regulations also give potency and c
  the MCB  investigation and enforce- The problem i
  ment  powers, and explain the role are expensive
  of local governments in application, and will likely
  licensing and other administrative communities  c
  processes.                         The MCB  atter
     Two  of the MCB's proposed reg- emption for th
  ulations were  rejected. The first allowing alterr
  governed  background   checks for  if geographic 1
  marijuana   establishment  license tation limitati
  applicants. In short, the regulations  ing marijuana
  required a national criminal history feasible. This
  record check, but federal law re-  too vague, 1a
  quires that before the FBI will con- necessary to e
  duct such a check for state licensing  plied in a bah
  purposes, it must be required by ary


C


toke


The  current Alaska
izing national crimi-
rd checks for employ-
sing does not include
ablishment licenses.
no  authority to con-
ks, as that authority
om  the Legislature,
rhis disconnect seems
  relatively non-con-
lative fix. The other
e complicated and in-
oing tension between
lizing marijuana and
deral prohibition.
is complicate, and in
y preclude, the intra-
of marijuana  by air
uld be problematic for
juana cultivation es-
ocated in rural com-
e road system. Those
will have to submit
.na for the required
ontamination checks.
s that such facilities
to build and operate,
y not exist in rural
off the road system.
mpted to create an ex-
ese circumstances by
nate means of testing
ocation and transpor-
ons made transport-
to such facilities un-
regulation was found
cking the standards
nsure it could be ap-
anced, unbiased and

ontinued  on page 5

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