Legislation Highlights
Today is the 82nd day of the 2025 Legislative session. While our first constitutional priority is to pass a balanced budget, there is good legislation moving through the Legislature. Below are three bills from Senate Majority members that we've been working on.
Senate Bill 15
Senate Bill 15, sponsored by Senator Kelly Merrick, would allow young adults over the age of 18 to serve alcohol in restaurants. Currently, a person can only serve alcohol if they are 21 years or older. Alaska is one of only three states that require servers to be 21 to serve alcohol. Amid workforce shortages in every industry, we need to provide Alaska's young adults with good-paying jobs and opportunities for professional development.
The bill ensures responsible supervision of young adults serving alcohol and requires posting updated warning language in bars and restaurants.
SB 15 passed the Senate 19-0 and the House 32-8. The bill is before the Governor for his consideration.
Senate Bill 28
Senate Bill 28, sponsored by Senator Cathy Giessel, addresses Alaska’s public workforce challenges with recruitment and retention through establishing a new defined benefit retirement plan for police officers and firefighters, teachers, and all other public employees. Alaska is in the midst of an acute employee shortage that has crippled our state agencies and impacted our ability to deliver essential services.
This bill establishes a pension for public employees, moving away from the current 401-K style defined contribution system and towards defined benefits. Establishing a pension system encourages our public employees to stay in their jobs by giving them a dignified retirement option.
The bill is currently in the Senate Labor and Commerce Committee.
Senate Bill 73
Senate Bill 73, sponsored by my office, reforms Alaska's wholesale tax on marijuana. The current tax rate of $50 per ounce is the highest marijuana tax rate in the country and is pushing licensed marijuana businesses toward the unlicensed, black market for marijuana. Voters approved this tax rate in the ballot measure that legalized marijuana in 2014. Over time, however, this highest-in-the-nation tax rate is leading to closure of small, Alaskan-owned businesses as they struggle to compete with a thriving black market.
SB 73 lowers the wholesale tax rate from $50 per ounce to $12 per ounce, which aligns with recommendations from the Governor's Marijuana Advisory Task Force.
The bill also re-establishes the Alaska corporate income tax exemption for small businesses making less than $50 million in gross assets, which expired in 2023.
This bill is currently in the Senate Finance Committee.
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