03/05/1994 08:00 AM House STA

  HB 407 - COMMEMORATIVE GOLD RUSH LICENSE PLATES                              
                                                                               
  CHAIRMAN VEZEY opened HB 407 for discussion under bills                      
  previously heard.  He stated a proposed committee                            
  substitute, version J, for HB 407 was before the committee.                  
  CHAIRMAN VEZEY asked if there was a motion before the                        
  committee to adopt version J of committee substitute for HB
.                                                                         
                                                                               
  Number 651                                                                   
                                                                               
  REPRESENTATIVE G. DAVIS so moved.                                            
                                                                               
  Number 652                                                                   
                                                                               
  Hearing no objection, CHAIRMAN VEZEY announced CSHB 407,                     
  version J, was adopted.                                                      
                                                                               
  MS. HENSLEY, DIVISION OF MOTOR VEHICLES, DEPARTMENT OF                       
  PUBLIC SAFETY, addressed CSHB 407.  She stated                               
  REPRESENTATIVE RICHARD FOSTER, introduced the first                          
  committee substitute, version E, which basically allowed the                 
  commemorative Gold Rush license plate to be displayed for a                  
  four year period.  After the four year period, the Alaska                    
  flag plates would resume.                                                    
                                                                               
  MS. HENSLEY stated CSHB 407, version J, deletes the four                     
  year provision and the commemorative Gold Rush license plate                 
  would become Alaska's standard issue license plate,                          
  effective January 1, 1996.  DMV is neutral on this version.                  
  There would be 25 percent of the public requesting the new                   
  plate and everyone would not be required to obtain a new                     
  plate.                                                                       
                                                                               
  MS. HENSLEY noted the total operating cost to the state                      
  would be $45,000 for the first year, because it would only                   
  be for half of that year, $90,000 the next year, and $45,000                 
  for every year thereafter.  Revenued generated from CSHB 407                 
  would be $67,000 the first year, $135,000 the second year,                   
  and $67,000 every year thereafter.  CSHB 407 would generate                  
  revenue with program receipts.                                               
                                                                               
  Number 688                                                                   
                                                                               
  CHAIRMAN VEZEY questioned if CSHB 407 could be phased in so                  
  existing stock of Alaska flag plates could be used before                    
  the new plates were issued.                                                  
                                                                               
  Number 691                                                                   
                                                                               
  MS. HENSLEY said yes, the DMV would use the current supply                   
  and be able to order specific amounts through capital funds.                 
                                                                               
  TAPE 94-23, SIDE A                                                           
  Number 000                                                                   
                                                                               
  (REPRESENTATIVE OLBERG left the meeting at 9:50 a.m.)                        
                                                                               
  REPRESENTATIVE ULMER inquired about the design and choice                    
  process the DMV goes through to pick a new license plate.                    
                                                                               
  Number 014                                                                   
                                                                               
  MS. HENSLEY replied the process flows through a developed                    
  committee comprised of interested individuals who review                     
  designs which are submitted by the public.  For example, a                   
  car club designed a special car plate and the committee had                  
  final say over the appropriateness of the design.  In terms                  
  of the Alaska flag plate, the committee was very involved in                 
  the actual design.                                                           
                                                                               
  REPRESENTATIVE ULMER asked if there was a cost associated                    
  with the design process.                                                     
                                                                               
  MS. HENSLEY answered there has not been a cost in the past.                  
  Artists usually submit their work and then they work with 3M                 
  Company on the paint and coverings required.                                 
                                                                               
  CHAIRMAN VEZEY commented selecting a design using the Alaska                 
  flag involved a series of artistic decisions.                                
                                                                               
  REPRESENTATIVE ULMER had trouble visualizing a Gold Rush                     
  license plate.                                                               
                                                                               
  MS. HENSLEY stated the committee on the Gold Rush                            
  Commemorative plate has already submitted a sample design of                 
  a drawing they would like.  The state of Alaska is outlined                  
  and then it has a miner with a pick and a gold pan in the                    
  middle.  She commented that a sample could be made available                 
  for committees to see within a couple of weeks.                              
                                                                               
  (REPRESENTATIVE OLBERG returned at 9:52 a.m.)                                
                                                                               
  Number 076                                                                   
                                                                               
  CHAIRMAN VEZEY stated CSHB 407 would be held in committee                    
  pending transmittal of a fiscal note.  He asked if the                       
  committee would be interested in an amendment which would                    
  allow the plates to be phased in as existing stock is used                   
  up.  He thought it may produce a very minor cost savings.                    
                                                                               
  REPRESENTATIVE G. DAVIS believed CSHB 407 would end up                       
  phasing in the plates, anyway.                                               
                                                                               
  Number 096                                                                   
                                                                               
  MS. HENSLEY stated she would provide the fiscal note to the                  
  Governor's Office on Monday morning.                                         
                                                                               
  Number 102                                                                   
                                                                               
  Hearing no more business before the committee, CHAIRMAN                      
  VEZEY adjourned the meeting at 9:53 a.m.                                     
                                                                               
  ANNOUNCEMENTS                                                                
                                                                               
  Alaska Railroad Subcommittee will meet at 10:30 a.m., March                  
  5, 1994, to review the final draft of the Alaska Railroad                    
  Report.