Letter from the President
Legislative Wrap Up
SARAH OATES HARLOW | ALASKA CHARR PRESIDENT & CEO
The Alaska State Legislature’ s first regular session of the 34th Legislature concluded on May 20, 2025, a day earlier than the constitutional limit. Key actions included passing the state budget and addressing the Governor’ s veto of the education funding bill. House Bill 57, which aimed at increasing education funding by $ 700 per student and included policy reforms, was vetoed by Governor Mike Dunleavy on May 19, 2025, due to a perceived lack of evidence that funding increases would improve outcomes. However, the legislature overrode this veto on May 20 with a 46-14 vote, exceeding the two-thirds majority required, marking a rare override after previous failures. In addition to the veto override, the legislature passed a $ 6.2 billion budget that included a $ 1,000 Permanent Fund Dividend.
On the policy front, the Legislature passed 34 bills this session. Several of these bills were“ re-passed” bills that had been vetoed the previous year for constitutional reasons. 2025 was the first year of the two-year legislative session which means that during this interim, legislators will continue working on introduced legislation from 2025 with stakeholder groups to prepare for the next session. The following is a status summary of Alaska CHARR’ s legislative priorities and some other bills pertinent to the industry we have been working on or tracking.
SB 15 – Allow Employees Aged 18-20 to Serve or Sell Alcohol We are proud to announce that after three years of diligent advocacy efforts by Alaska CHARR and our members, 18- to 20-year-old employees may legally serve and sell alcohol in licensed establishments including restaurants, hotels, motels, golf courses, breweries, wineries, distilleries, large resorts, outdoor recreation lodges, common carriers, and wholesalers— excluding bars, package stores, and businesses that provide adult entertainment— beginning May 1, 2025 with a valid TAP card. This landmark legislation, Senate Bill 15( SB 15) is a significant win for Alaska’ s hospitality sector, addressing workforce shortages and providing young adults with valuable employment opportunities. SB 15 also added reciprocity for members of licensed patriotic clubs, expanded alcohol service privileges in licensed theaters and large resorts, and updated one of the required warning signs( effective August 1, 2025).
Liquor Liability( Dram Shop) Reform While we have secured a bill sponsor and were able to review draft legislation, a liquor liability reform bill failed to be introduced this year. The draft produced by legislative legal would have zero impact on Alaska’ s rating by the Insurance Services Office( ISO) – currently the worst in the nation. Unfortunately, the State’ s legal department was unwilling to produce a new draft before the end of the 2025 session. We will be working with the ISO, bill sponsor, and legislative legal team to produce an effective draft during the off-season for formal introduction in the 2026 session.
SB 79-- Prohibit Interchange Fees on Taxes and Tips There was a whirlwind of activity for one of our legislative priorities during the final weeks of session. Ultimately, Senate Bill 79 was amended in the House Labor & Commerce Committee to include a prohibition of interchange( swipe) fees by credit card networks on taxes or tips. The bill was subsequently( and we believe mistakenly) assigned to the House Finance Committee where it currently sits. We will be working in the off-season to garner additional written and verbal support for the legislation to ensure that legislators understand the positive impact on Alaska businesses.
Statuses of Other Pertinent Legislation
HB 25 – Disposable Food Service Ware( Oppose): This would prohibit restaurant operators from using polystyrene to-go containers and require them to use biodegradable, compostable, or reusable containers. HB 25 made it through the House committees and awaits a vote on the floor before moving to the Senate.
HB 35 / SB 19 – Prisoners: Electronic Device Access, Use( Support) This expands capability of incarcerated people to receive vocational training, including ServSafe. HB 35 was passed by the legislature and awaits Governor Dunleavy’ s signature.
HB 49 / SB 24 – Tobacco / Nicotine / E-cig Age; E-cig Tax( No position): This adds a tax to vape products and requirements and restrictions for transportation of tobacco products. SB 24 was amended and passed by the Senate and awaits action by the House.
HB 61 / SB 68 – Employment of Minors( Support): This would allow children to work in family-owned businesses without the parents having to obtain a permit from the state. Neither bill saw movement this year. We will look to advance this legislation in 2026.
HB 161 – Paid Sick Leave Exemption( Support): This would provide exemptions to the mandatory paid sick leave requirements for small businesses and seasonal employees while providing additional clarification on the new requirements becoming effective July 1, 2025. While this bill had one hearing with dozens of testifiers both in support( industry) and opposition( unions) to the bill, it unfortunately saw zero movement.
HB 180 / SB 165 – Electronic Driver’ s Licenses( No position): This legislation would make electronic driver’ s licenses valid forms of ID for purposes of driving. While the bills currently do not include language that would allow them to be used for purchasing alcohol, we are tracking them just in case.
HB 182 – Alcohol License: Live Music / Entertainment( No position): This bill would remove the requirement of manufacturing retail licensees to obtain permits from AMCO to provide live entertainment. It would maintain the four-events-per-year limitation. HB 182 awaits a House Floor vote before moving to the Senate.
SB 78 / HB 156 – Disclosure of Wage Information( No position): This would require employers to disclose pay ranges for positions when hiring and would prohibit them from asking prospective employees about previous or prior pay. HB 156 made it through its first two committees before being referred to House Finance.
SB 159 – Training & Employment Prog: Contributions( Support): This would double the funds allocated to the Department of Labor & Workforce Development’ s STEP Grant program which enables the Alaska CHARR Educational Fund to provide TAP, ServSafe, ServSuccess, and other training to industry members for free. The bill advanced from its first committee and awaits consideration in Senate Finance.
SB 170 – Gaming: Electronic Pull-tabs( No position at this time): This would legalize electronic pull-tabs and set requirements and restrictions around their use. The bill was introduced toward the end of session and did not see action this year. While Alaska CHARR supports electronic pull-tabs conceptually, our Government Affairs Committee will be meeting over the summer to discuss the particulars of the bill and determine which changes we should advocate for on behalf of the industry.
As noted earlier, we will continue to work on these legislative matters in the off-season. If any of these issues resonate with you, please contact our new Member Services Manager, Portland Sarantopoulos, who can help you prepare for providing testimony. Law makers need to hear directly from business owners and operators – from you – if we want to make a difference together.
At your service,
ALASKA CHARR MAGAZINE | 3