Legislature(2019 - 2020)BUTROVICH 205
03/19/2019 01:30 PM Senate TRANSPORTATION
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| Audio | Topic |
|---|---|
| Start | |
| SB75 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | SB 75 | TELECONFERENCED | |
SB 75-COMMERCIAL VEHICLE LICENSING REQ'S
CHAIR HUGHES announced the consideration of SENATE BILL NO. 75
"An Act relating to a license to drive a commercial motor
vehicle."
She invited Mr. Plesha to the witness table.
1:31:45 PM
JOE PLESHA, Staff, Senator Mia Costello, Alaska State
Legislature, Juneau, introduced SB 75 speaking to the following
sponsor statement: [Original punctuation provided.]
Nationally and in state, there is a commercial driver
shortage. Currently, Alaska is looking to court
projects of considerable size, like the Alaska LNG
pipeline. The demand for interstate freight
transportation must be met.
Driving interstate freight and intrastate freight
requires separate licenses. To qualify for an
interstate Commercial Driver's License a person must
be 21 years of age, while a driver with an intrastate
Commercial Driver's License must be 19 years of age.
Presumably, two identically loaded tractor trailer
rigs require differing ages to drive them. This
arbitrary inconsistency in regulation restricts the
available pool of Alaskan commercial drivers.
SB 75 changes the statue regarding the license to
drive a commercial motor vehicle to reflect two
changes. First, it changes the minimum age requirement
from 19 years old to 18 years old when driving
intrastate commerce. Second, it adds a new subsection
regarding interstate commerce, changing the minimum
age requirement for a Commercial Driver's License to
18, if the federal law regarding interstate commerce
is also changed.
In the long run, SB 75 will increase pressure to
change the Federal statute. As a more immediate
effect, it will also increase the available pool of
drivers for intrastate commerce by recruiting
graduating high schoolers who wish to immediately
enter the work force. This bill will help businesses
and create jobs alike.
1:35:20 PM
CHAIR HUGHES asked if Congress had done any work to lower the
minimum age requirement to 18 for commercial interstate
truckers, and if other states had passed legislation to help
move the idea forward at the federal level.
MR. PLESHA reported SB 75 was patterned after the Colorado
model. He didn't know if other states had passed similar
legislation or if there was any progress on the federal level.
He offered to do some research and follow up with the committee.
CHAIR HUGHES highlighted safety and asked if 18-year-old drivers
and 19-year-old drivers are statistically similar for insurance
purposes.
MR. PLESHA offered to do some research and follow up with the
committee.
1:37:12 PM
CHAIR HUGHES said the training programs emphasize safety which
gives her confidence that 18-year-old drivers who meet the
requirements would be as prepared as qualified 19-year-old
drivers.
1:37:37 PM
At ease
1:37:51 PM
CHAIR HUGHES reconvened the meeting.
SENATOR KIEHL asked for clarification on what constitutes
interstate commerce versus intrastate commerce.
MR. PLESHA explained that freight that crosses state boundaries
is interstate and freight that moves within the state is
intrastate.
SENATOR KIEHL asked if an 18-year-old could drive a truck to the
barge line if the freight was headed out of state.
MR. PLESHA deferred to Aves Thompson.
1:39:23 PM
SENATOR KIEHL asked, should the bill pass, if an 18-year-old
with a CDL could drive a tour bus around town that was filled
with tourists from out of state.
MR. PLESHA deferred to Aves Thompson.
CHAIR SHOWER wondered if the rental car cutoff at age 25 was
based on actuarial data. He requested data on insurance costs
based on the driver's age because it could potentially drive
insurance costs for all companies that require their drivers to
have a CDL. He also asked for data on accident rates for the age
range of 18 to 21. He said this is potentially very good for
jobs, but it makes sense to look for any unintended
consequences.
1:41:14 PM
SENATOR MICCICHE joined the meeting.
MR. PLESHA said he would follow up.
CHAIR HUGHES thanked Mr. Plesha and turned to invited testimony.
1:42:06 PM
AVES THOMPSON, Executive Director, Alaska Trucking Association
(ATA), Anchorage, stated that ATA is a statewide organization
representing nearly 200 member companies. He described freight
moving as an essential element of the economy that impacts
people every day. He related that a challenge in the trucking
industry is that commercial driving licenses are currently
limited to those who are 19 years old to transport intrastate
freight and 21 years old to transport interstate freight. This
creates a gap for those young men and women who have graduated
high school and are interested in immediately beginning a career
as a truck driver. Freight hauling businesses can only tell
these young people to come back when they're old enough to
obtain a CDL.
He highlighted that depending on the nature of the freight, two
identical trucks may need an intrastate CDL for one and an
interstate CDL for the other. The intrastate driver may be 19
and the interstate driver must be 21. State law governs the
minimum age for an intrastate driver, and Section 1 of the bill
reduces the minimum age one year to allow an 18-year-old driver
to receive an intrastate commercial driver's license. Federal
law governs the age of interstate commercial drivers. Section 2
tells the federal government that when Congress changes the law
to allow younger interstate drivers, Alaska will be ready.
Reducing the eligibility for a CDL to age 18 allows a student to
go directly from high school to training to be a commercial
truck driver. He said it's a great opportunity for young
Alaskans and will potentially build a larger driver pool to meet
increasing demands, particularly if there is a major project. He
urged the committee to pass the bill.
1:45:26 PM
SENATOR WILSON asked the timeframe to get a CDL and the
endorsements needed to work for companies like Lynden Transport
and Carlile Transportation Systems.
MR. THOMPSON said it varies depending on the experience of the
driver. Training that assumes the driver knows nothing about
commercial driving can last 5-6 weeks. It includes hands-on
training, classroom training, a written test, and a skills test
all of which will allow the student to obtain a CDL. Many
companies also have their own training requirements,
particularly for new CDL holders. A new driver may be paired
with a seasoned driver until it's clear that the new driver is
able to manage the vehicle. It might be 6 months to a year
before the new driver is deemed ready to take a $250,000 rig
down the road alone, he said.
SENATOR WILSON observed that, as currently written, someone
could receive their CDL and drive a truck during their senior
year in high school.
MR. THOMPSON said yes, if they're a senior at age 18.
1:47:55 PM
SENATOR MICCICHE asked about the current status of the effort to
change the [U.S. Department of Transportation] rule, 49 CFR to a
lower age. He acknowledged this may have been answered earlier
in the meeting when he was absent.
MR. THOMPSON clarified that it will take a statute change at the
federal level and both the American Trucking Association and the
Alaska Trucking Association have supported the effort for some
time. He expressed hope for something to come out of Congress
this session that will help set the stage for 18-year-old
drivers.
1:49:13 PM
CHAIR HUGHES asked if he believes that Congress might actually
pass the relevant legislation this year.
MR. THOMPSON estimated the odds were even and added that it will
take pressure from the states to get Congress to act.
SENATOR KIEHL referenced his earlier question about where the
federal government draws the line between intrastate and
interstate. The sponsor's staff indicated that freight coming
from Seattle is considered interstate freight between the barge
terminal and the Ketchikan Walmart. He asked if he needs an
older driver to move freight from his house in Juneau to the
barge terminal when the destination is Seattle.
MR. THOMPSON answered yes.
SENATOR KIEHL asked if a tour bus driver in Alaska needs to be
21 to carry cruise ship passengers that come from out of state.
MR. THOMPSON said the federal government has made a very nuanced
distinction there. If arrangements for the land excursion are
made on the cruise ship, that is an interstate trip. If the
passenger purchases a trip when they're off the ship and it's
not prearranged, that is an intrastate trip. He said this has
long been a point of contention with the cruise industry.
1:53:21 PM
SENATOR WILSON asked how many commercial drivers are 19 years
old.
MR. THOMPSON replied the Division of Motor Vehicles has that
information.
SENATOR WILSON asked about the minimum qualifications for
driving a commercial vehicle and said he didn't want to
incentivize students to drop out of high school to become truck
drivers.
MR. THOMPSON replied, "Trucking is a proud profession Senator."
SENATOR WILSON clarified that wants students to finish high
school or get their GED first.
1:54:34 PM
MR. THOMPSON explained that both interstate and intrastate
drivers must meet physical and performance-based requirements,
regardless of their age. He said he sees this as an opportunity
for young men or women who don't want to go to school any more,
but they want a job. Within a couple of years they can make good
money.
SENATOR WILSON asked if most trucking companies or school bus
companies require either a GED or a high school diploma.
MR. THOMPSON replied drivers need the ability to read and write
and federal regulations require drivers to be able to
communicate with an enforcement officer. He said he believes
it's up to the individual company to decide if a diploma or GED
is required.
CHAIR HUGHES asked if the cost of insurance for a trucker is
higher or lower depending on their age.
MR. THOMPSON replied that has been an issue because some
insurance carriers don't want anyone driving for their insured
who is under age 25. Other companies allow younger drivers, but
anecdotal evidence is that the premium is higher due to the
perceived increased risk.
CHAIR HUGHES asked if the federal "drive act" requires stricter
training for younger drivers.
MR. THOMPSON replied it targets entry-level drivers, regardless
of age. He cited the example of someone who retires from the
corporate world and decides to become a commercial driver. They
would be considered an entry-level driver. He related that about
30 years ago, Congress told the U.S. Department of
Transportation to develop entry level training requirements and
they're moving in that direction. ATA supports the "drive act"
and wants well-trained drivers who are mature enough to safely
handle the responsibility of a $200,000 rig, congested traffic,
and erratic drivers. He highlighted that 75 percent of all
commercial vehicle involved accidents are caused by the other
vehicle. He offered his expectation that if federal laws change
the State of Alaska would adopt similar regulations for entry-
level drivers.
CHAIR HUGHES asked if he agrees that if the federal "drive act"
passes, there would be stricter training requirements at the
state level.
MR. THOMPSON replied that's a fair assumption. The driving
schools in Alaska would adjust their training programs to meet
any new federal requirements.
2:00:01 PM
SENATOR MICCICHE commented that he doesn't look at driver safety
from the perspective that the driver is responsible for a
$250,000 truck; rather the driver is responsible for safely
driving an 80,000 pound truck. He offered his assumption that an
18-year-old would start driving for a smaller company and work
his or her way up as he or she gained experience. He asked if
there would be adequate employment opportunities for younger
drivers at the smaller companies.
MR. THOMPSON replied he believes so.
2:00:55 PM
SENATOR KIEHL requested clarification on the insurance
requirements for truck driving companies. "Are we looking at
changing the nature of the pool here for all companies that
employ CDL holders?"
MR. THOMPSON offered his belief that each insurance company
either sets minimum qualifications or looks at the driving
record of each driver. He said CDL drivers are required to give
their employer a copy of their driving record each year and he's
reasonably certain the carrier shares that information with
their insurance company. If nothing else, he said, it
demonstrates that their drivers haven't had any incidents.
SENATOR WILSON highlighted the fiscal note analysis that says
that of the [31,267] class A, B, and C CDLs in Alaska as of
1/1/2018, just 33 were issued to applicants under age 21. He
asked, should this legislation pass, if it would be used to
aggressively recruit younger drivers for the Alaska Trucking
Association.
MR. THOMPSON explained that the immediate impact of the bill
would be to lower the age of eligibility to apply for a CDS from
19 years to 18 years. This would bring Alaska into alignment
with most other state laws for intrastate CDLs. The bill also
sets the stage for the potential change in federal law. He
acknowledged that the bill may stimulate recruitment efforts,
depending on the level of economic activity in the state. He
offered his perspective that SB 75 would give young men and
women an opportunity for a truck driving job or career.
2:04:11 PM
CHAIR HUGHES thanked Mr. Thompson for sharing his knowledge on
the subject. She asked Josh Norum to provide his testimony.
2:04:30 PM
JOSH NORUM, incoming Vice President, Alaska Trucking
Association, stated that he is also the director of operations
at Sourdough Express. He said this is an Alaska-based, family-
owned trucking company that's been in business for more than 120
years. He noted that Mr. Thompson discussed the technical
reasons to support SB 75 and he would talk about his experience.
He stated that when he got his CDL at age 19, he drove on a
restricted license for two years. He could not haul household
goods that either came from outside Alaska or were leaving
Alaska.
MR. NORUM explained that many of the Sourdough Express employees
who are younger than age 21 see no benefit in getting their CDL
because it won't benefit the company in their current job. By
the time many of these young employees reach age 21 they've
moved on to do something else. He opined that SB 75 would
address this issue by making it possible for the company to move
these young people from a labor position to a driver position,
potentially retaining their interest in a trucking job or
career. The state would benefit from a wider driver pool,
particularly if anticipated projects become a reality. He
described the bill as a way to pressure the federal government
to change its rules on the age when someone is eligible to apply
for intrastate and interstate CDLs and an opportunity to align
Alaska law with other states in this regard. He offered his
belief that most companies are very safety conscious and will
continue to vet and train their drivers carefully. SB 75 should
not impact the public at all, he said.
CHAIR HUGHES asked if there is a commercial driver shortage in
Alaska.
MR. NORUM said yes.
CHAIR HUGHES asked if ATA has had positive feedback from the
federal delegation regarding the "drive act."
MR. NORUM deferred the question to Mr. Thomson.
MR. THOMPSON advised that ATA has discussed the issue with the
delegation for some time. While they are supportive, they want
to ensure that drivers are properly prepared and trained to do
the job safely.
2:08:22 PM
CHAIR HUGHES thanked the testifiers. She found no further
discussion and stated she would hold SB 75 in committee.
| Document Name | Date/Time | Subjects |
|---|---|---|
| STRA Agenda 3.19.19.pdf |
STRA 3/19/2019 1:30:00 PM |
|
| SB75 Sponsor Statement.pdf |
STRA 3/19/2019 1:30:00 PM STRA 3/28/2019 1:30:00 PM |
SB 75 |
| SB75 Bill Text Version A.PDF |
STRA 3/19/2019 1:30:00 PM STRA 3/28/2019 1:30:00 PM |
SB 75 |
| SB75 Fiscal Note - DMV.pdf |
STRA 3/19/2019 1:30:00 PM STRA 3/28/2019 1:30:00 PM |
SB 75 |
| SB75 Letter of Support_Local 302.pdf |
STRA 3/19/2019 1:30:00 PM STRA 3/28/2019 1:30:00 PM |
SB 75 |
| SB75 Letter of Support_NIT.pdf |
STRA 3/19/2019 1:30:00 PM STRA 3/28/2019 1:30:00 PM |
SB 75 |
| SB75 Letter of Support_Carlile.pdf |
STRA 3/19/2019 1:30:00 PM STRA 3/28/2019 1:30:00 PM |
SB 75 |
| SB75 Additional Materials_Federal Statute.pdf |
STRA 3/19/2019 1:30:00 PM STRA 3/28/2019 1:30:00 PM |
SB 75 |