Legislature(2005 - 2006)HOUSE FINANCE 519

04/04/2006 09:00 AM House FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 384 FINES AND OFFENSES TELECONFERENCED
Moved CSHB 384(JUD) Out of Committee
+ HB 403 NEIGHBORHOOD ELECTRIC VEHICLES TELECONFERENCED
Heard & Held
+ HB 419 REPEAL UNDERGROUND STORAGE TANK LAWS TELECONFERENCED
Moved Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= SB 218 CRIMINAL SENTENCING AND POLYGRAPHS TELECONFERENCED
Moved HCS CSSB 218(FIN) Out of Committee
HOUSE BILL NO. 403                                                                                                            
                                                                                                                                
"An   Act  relating   to   registration   and  operation   of                                                                   
neighborhood electric vehicles."                                                                                                
                                                                                                                                
Representative Foster  MOVED to ADOPT  the work draft  for HB
403, labeled 24-LS1229\I, Mischel/Luckhaupt,  3/31/06.  There                                                                   
being NO OBJECTION, it was so ordered.                                                                                          
                                                                                                                                
IAN  FISK, STAFF,  REPRESENTATIVE BILL  THOMAS, related  that                                                                   
the bill is  about low-speed vehicles.  He  explained that HB
403  was amended  in  the House  State  Affairs Committee  to                                                                   
eliminate  all references  to electric  vehicles in order  to                                                                   
conform to federal law.  Mr. Fisk  referred to a handout that                                                                   
describes  the vehicle (copy  on file.)   These vehicles  are                                                                   
not golf carts.  It is defined  in federal law that they must                                                                   
have four  wheels and  be capable  of a  minimum speed  of 20                                                                   
mph,  and a  top  speed  of 25  mph.   The  National  Highway                                                                   
Transportation Safety Administration  requires equipment such                                                                   
as taillights,  break lights, headlights,  automotive quality                                                                   
windshield, turn  signals, mirrors, parking breaks,  and they                                                                   
must meet testing requirements.   The federal regulations for                                                                   
these vehicles were developed  in 1998 and they are now legal                                                                   
in 36 states.  They offer fuel  efficiency and zero emissions                                                                   
and are  popular in retirement  communities.  DMV  would like                                                                   
the authority,  which  this bill provides,  to regulate  this                                                                   
class of vehicle.                                                                                                               
                                                                                                                                
Co-Chair  Meyer  asked about  speed  limitations.   Mr.  Fisk                                                                   
related that  they can go no more  than 25 mph.   They cannot                                                                   
be used on a  road where the posted speed limit  is 35 mph or                                                                   
faster.    They  are  limited   to  neighborhood  roads,  but                                                                   
permitted to cross roads with  higher speed limits.  Co-Chair                                                                   
Meyer asked how they operate in  snow and ice.  Mr. Fisk said                                                                   
he does not know.                                                                                                               
                                                                                                                                
10:05:10 AM                                                                                                                   
                                                                                                                                
Co-Chair  Meyer stated  that he tested  electric vehicles  in                                                                   
Fairbanks  and  they  have  limited  experience  in  northern                                                                   
climates.  He expressed support for this legislation.                                                                           
                                                                                                                                
Representative   Holm   asked   about  the   occasional   use                                                                   
provision.  Farm equipment can  go on highways for occasional                                                                   
use.  There are roads with varying  speed limits.  Under this                                                                   
law these vehicles could not be  used on them.  Mr. Fisk said                                                                   
that is correct.  Representative  Holm spoke of limited roads                                                                   
available for these  vehicles in his neighborhood.   He noted                                                                   
a provision that allows a municipality to modify the bill.                                                                      
                                                                                                                                
10:08:29 AM                                                                                                                   
                                                                                                                                
Co-Chair  Chenault pointed  out that  they do  not require  a                                                                   
valid driver's license.   Mr. Fisk said that  is corrected in                                                                   
Section 5 of the bill, subject to all laws.                                                                                     
                                                                                                                                
Co-Chair   Chenault  asked   if   there   are  any   specific                                                                   
communities  where these  can be  used.   Mr. Fisk  responded                                                                   
that Skagway has requested the use of this type of vehicle.                                                                     
                                                                                                                                
Representative   Weyhrauch   pointed   out  that   the   word                                                                   
"electric" does  not appear anywhere  in the bill.   Mr. Fisk                                                                   
said   that   federal  regulation   terms   them   "low-speed                                                                   
vehicles".     Representative  Weyhrauch  wondered   why,  in                                                                   
subsection (e) on  page 1, the wording "or by  this state" is                                                                   
needed.  Fisk said that was not  caught in previous hearings.                                                                   
                                                                                                                                
10:12:22 AM                                                                                                                   
                                                                                                                                
Representative Kelly  asked about line 13-14 on  page 3, "may                                                                   
further restrict".   He wondered  if a community  could allow                                                                   
for less  restriction.  Mr.  Fisk responded that  a community                                                                   
could not supersede the maximum  speed limit of 35 mph.  They                                                                   
could restrict  where they can  be used.  He  suggested using                                                                   
"modify" instead of "restrict".   He asked what would prevent                                                                   
these vehicles from being used  now.  Mr. Fisk said DMV wants                                                                   
to clearly  allow this new  category of car.   Representative                                                                   
Kelly  noted  that  a  reason  for  not  including  the  word                                                                   
"electric" is because  there are many power types.   He asked                                                                   
what is  stopping people from using  this car now.   Mr. Fisk                                                                   
deferred to Mr. Bannock at DMV.                                                                                                 
                                                                                                                                
10:14:58 AM                                                                                                                   
                                                                                                                                
Representative  Hawker  related  that  this bill,  as  it  is                                                                   
constructed, would  empower municipalities to  regulate these                                                                   
vehicles.    He  wondered if  the  sponsor  had  contemplated                                                                   
making the  municipalities "opt in".   Mr. Fisk  replied that                                                                   
the  opposite  approach  was taken.    Representative  Hawker                                                                   
stated that  he preferred to  let decisions be  made locally,                                                                   
rather  than  state  mandated.    He  asked  the  sponsor  to                                                                   
consider that idea.                                                                                                             
                                                                                                                                
Representative  Hawker  suggested  that  in Section  1,  "or"                                                                   
should be "and".                                                                                                                
                                                                                                                                
Representative Hawker suggested  adding a subparagraph (e) to                                                                   
AS 28.10.041,  grounds for refusing registration,  and a list                                                                   
of  many reasons  why  registration  could  be refused.    He                                                                   
provided examples  such as: the application contains  a false                                                                   
statement, the  applicant does not give the  information, the                                                                   
applicant is  not entitled to  the issuance of  a certificate                                                                   
of title,  and the vehicle  is determined to  be mechanically                                                                   
unsafe.    Also added would  be a blanket statement  that DMV                                                                   
may not  refuse to  register a  low-speed vehicle that  meets                                                                   
the  requirements  of a  passenger  vehicle,  the safety  and                                                                   
equipment requirements of a passenger  vehicle, and it has to                                                                   
meet federal  motor vehicle safety  standards.   He suggested                                                                   
that  these  requirements  would  override the  rest  of  the                                                                   
prohibitions.   Mr.  Fisk responded  that  there are  federal                                                                   
safety elements  in the  statute.  He  said that  the sponsor                                                                   
would have no problem changing "or" to "and".                                                                                   
                                                                                                                                
10:19:35 AM                                                                                                                   
                                                                                                                                
Representative Hawker concurred  that safety is considered in                                                                   
the bill, but not the other elements.                                                                                           
                                                                                                                                
MICHAEL  CATSI,   EXECUTIVE  DIRECTOR,  SKAGWAY   DEVELOPMENT                                                                   
CENTER, SKAGWAY,  emphasized that  these vehicles  provide an                                                                   
alternative transportation  that is  cheaper for  short runs.                                                                   
He  requested  the  opportunity   for  people  to  own  these                                                                   
vehicles.  They go 25 miles on  a single charge and have easy                                                                   
maintenance.   Each municipality should be allowed  to decide                                                                   
on restrictions, but not ban them outright.                                                                                     
                                                                                                                                
10:23:35 AM                                                                                                                   
                                                                                                                                
DUANE BANNOCK,  DIRECTOR, DIVISION  OF MOTOR VEHICLES  (DMV),                                                                   
DEPARTMENT  OF ADMINISTRATION,  testified  that DMV  supports                                                                   
the  addition of  Neighborhood  Electric  Vehicle (NEV's)  or                                                                   
low-speed  vehicle (LSV's),  a  different  class of  vehicle.                                                                   
There is language  in the Manufacturer's Statement  of Origin                                                                   
(MSO) that  gives direction to  DMV and states  conformity to                                                                   
federal regulation.  NEV's have  an MSO that states that this                                                                   
low-speed vehicle conforms to  federal regulation under Title                                                                   
49.  He  explained the title  process.  He  addressed Section                                                                   
3.                                                                                                                              
                                                                                                                                
10:27:23 AM                                                                                                                   
                                                                                                                                
Representative Kelly  summarized that Alaskans  are currently                                                                   
prevented  from driving these  vehicles.   He asked  if other                                                                   
states  license these  vehicles as passenger  vehicles.   Mr.                                                                   
Bannock replied  that only one  state does not  have specific                                                                   
language regarding them.                                                                                                        
                                                                                                                                
Representative Weyhrauch spoke  to the issue of conforming to                                                                   
federal  standards.   He noted  that Representative  Hawker's                                                                   
concern   was  about   state   supremacy.     He  asked   for                                                                   
clarification of line 6 on page 1.                                                                                              
                                                                                                                                
Mr. Bannock  said Section  1 is  not DMV's.   He opined  that                                                                   
issues of safety  are addressed in the federal  definition of                                                                   
low-speed vehicle.  Representative  Weyhrauch summarized that                                                                   
it is  complying with  federal standards.   Mr. Bannock  said                                                                   
yes.   Representative Weyhrauch  asked if the  wording should                                                                   
say  "by  federal  motor  vehicle  safety  standards".    Mr.                                                                   
Bannock agreed.                                                                                                                 
                                                                                                                                
10:30:30 AM                                                                                                                   
                                                                                                                                
Representative  Weyhrauch  asked  if the  vehicle  should  be                                                                   
limited to "electric"  motor vehicle.  Mr.  Bannock suggested                                                                   
that  "electric"   be   struck  because   the  name   is  not                                                                   
appropriate.  "Other powered" vehicles are available.                                                                           
                                                                                                                                
Representative Weyhrauch asked  if it is the sponsor's intent                                                                   
to limit it to electric vehicle.  Mr. Fisk said no.                                                                             
                                                                                                                                
Mr.  Bannock said  that  there are  other  vehicles that  are                                                                   
electric, such as hybrids, which  are not low-speed vehicles.                                                                   
                                                                                                                                
10:32:40 AM                                                                                                                   
                                                                                                                                
Representative  Hawker asked about  the definition of  a low-                                                                   
speed  vehicle  and the  4-wheel  restriction.   Mr.  Bannock                                                                   
agreed that there  are other-wheeled vehicles  and they would                                                                   
not meet the definition of a low speed vehicle.                                                                                 
                                                                                                                                
Co-Chair Meyer suggested that  a new CS be written to include                                                                   
today's suggestions.                                                                                                            
                                                                                                                                
HB  403  was   heard  and  held  in  Committee   for  further                                                                   
consideration.                                                                                                                  
                                                                                                                                

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