SUMMARY OF: A Sunset Review of the Department of Commerce,

Community, and Economic Development,

Marijuana Control Board

Why DLA Performed This Audit

The purpose of the audit was to determine if there is a need for the board’s continued existence and whether its termination date should be extended. The board is set to sunset June 30, 2018, and will have one year from that date to conclude its administrative operations.

Report Conclusions

The board is serving the public’s interest by effectively licensing marijuana establishments and developing and adopting regulations necessary to implement statutes that allow for the cultivation, manufacture, and sale of marijuana in Alaska. The audit makes four recommendations for operational improvements.

In accordance with AS 44.66.010(a)(13), the board is scheduled to terminate on June 30, 2018. We recommend the legislature extend the board’s termination date to June 30, 2024.

Findings and Recommendations

  1. The board members, Alcohol and Marijuana Control Office (AMCO) director, and enforcement supervisor should work together to formally establish an enforcement plan to direct limited enforcement resources.
  2. The board and the AMCO director should implement a process to monitor and track complaints to ensure they are assessed for follow up action and investigated in a timely manner.
  3. The AMCO director should develop written procedures for establishing the expiration dates of marijuana handler permits and ensure staff receive the appropriate training.
  4. The AMCO director should develop and implement procedures to segregate the duties for calculating and remitting fees to local governments.