Legislature(2021 - 2022)BARNES 124

05/18/2021 01:00 PM House TRANSPORTATION

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Audio Topic
01:04:10 PM Start
01:05:19 PM SB76
01:22:33 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Bills Previously Heard/Scheduled TELECONFERENCED
+ SB 76 ABANDONED VEHICLES; PRIVATE PROPERTY TELECONFERENCED
Moved SB 76 Out of Committee
**Streamed live on AKL.tv**
           SB 76-ABANDONED VEHICLES; PRIVATE PROPERTY                                                                       
                                                                                                                                
1:05:19 PM                                                                                                                    
                                                                                                                                
CHAIR HOPKINS announced that the  only order of business would be                                                               
SENATE BILL  NO. 76,  "An Act relating  to vehicles  abandoned on                                                               
private property."                                                                                                              
                                                                                                                                
1:05:41 PM                                                                                                                    
                                                                                                                                
SENATOR JESSE KIEHL, Alaska State  Legislature, as prime sponsor,                                                               
presented  SB 76.   He  said  vehicles get  abandoned in  various                                                               
places,  including business  parking  lots,  driveways of  rental                                                               
properties, and  other privately owned properties.   He described                                                               
a situation in  which the property owner attempts  to contact the                                                               
last registered  owner and  is either  not able to  do so  or the                                                               
last registered  owner is not  the current owner of  the vehicle.                                                               
In that  situation, under  current law,  the property  owner must                                                               
wait six  months to begin a  process of notification to  the last                                                               
registered  owner, certified  notification receipt,  notification                                                               
to  any lean  holders,  which eventually  leads  to the  property                                                               
owner getting title  to the vehicle, at which  point the property                                                               
owner must  pay the  fee to  have the  vehicle removed.   Senator                                                               
Kiehl said SB 76 does not  have the funding source to address the                                                               
issue of  removal cost; however,  it would shorten  the six-month                                                               
wait  to one  month.    The proposed  legislation  would make  no                                                               
change to  the current notification  requirements to  the vehicle                                                               
owner.  He  opined that 30 days  is long enough to  give an owner                                                               
of a  vehicle the  chance to move  the abandoned  vehicle without                                                               
losing the title to it.                                                                                                         
                                                                                                                                
1:09:21 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCABE remarked  that he  was happy  to see  this                                                               
proposed  legislation because  his  district  is "notorious"  for                                                               
this  type of  thing happening.   He  asked about  the timing  of                                                               
giving notice.                                                                                                                  
                                                                                                                                
1:10:08 PM                                                                                                                    
                                                                                                                                
CATHY  SCHLINGHEYDE, Staff,  Senator  Jesse  Kiehl, Alaska  State                                                               
Legislature, on behalf of Senator  Kiehl, prime sponsor, answered                                                               
that  current statute,  AS 28.05.121,  states the  property owner                                                               
must send notice via certified mail,  and [under SB 76], once the                                                               
owner receives receipt the 30-day clock would start.                                                                            
                                                                                                                                
REPRESENTATIVE MCCABE asked, "So, you  have to wait 30 days, then                                                               
send the notice - a week or ten  days or however long it takes to                                                               
come back -  and then there's another 30-day waiting  period.  Am                                                               
I getting that right?"                                                                                                          
                                                                                                                                
MS. SCHLINGHEYDE answered, "That's exactly correct."                                                                            
                                                                                                                                
1:11:05 PM                                                                                                                    
                                                                                                                                
CHAIR HOPKINS asked about the impetus for SB 76.                                                                                
                                                                                                                                
SENATOR  KIEHL replied  that  a friend  with  rental property  in                                                               
Juneau, which included  a driveway, had a tenant  move out, leave                                                               
behind a nonworking  vehicle, and refuse to move it.   He said he                                                               
has  discussed this  issue with  commercial  property owners  and                                                               
people around  the state.  He  said there is a  letter of support                                                               
from  an  autobody repair  shop  where  people sometimes  abandon                                                               
their vehicles.   He said this  is an issue with  which people in                                                               
all parts of the state deal.                                                                                                    
                                                                                                                                
1:12:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCABE asked  if the  proposed legislation  would                                                               
apply only to  private land or would cover  vehicles abandoned on                                                               
state property.                                                                                                                 
                                                                                                                                
SENATOR KIEHL  answered that  SB 76 would  apply only  to private                                                               
property.   He  noted that  local and  state governments  already                                                               
have significant powers to address such situations.                                                                             
                                                                                                                                
1:13:08 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HANNAN suggested  some people  may read  the bill                                                               
and think that the solution occurs  at 30 days; however, the bill                                                               
sponsor has articulated  that at 30 days  "the other notification                                                               
processes  start,"  and  that  the   wait  for  that  process  is                                                               
currently six  months.  She looked  to clarify that no  one would                                                               
be  deprived of  their  property at  30 days;  that  is when  the                                                               
process "to get that property gone" would begin under SB 76.                                                                    
                                                                                                                                
SENATOR KIEHL  confirmed Representative  Hannan is  correct about                                                               
the current law and what SB 76 would do.                                                                                        
                                                                                                                                
1:14:38 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCKAY asked  about  towing locations,  processes,                                                               
and costs.                                                                                                                      
                                                                                                                                
SENATOR KIEHL  replied that the  availability of and  distance to                                                               
junk  yards and  scrap  metal processors  in  Alaska varies  from                                                               
region to region.   He mentioned a tax-funded  program within the                                                               
Municipality  of Juneau  pertaining to  the cost  of barging  out                                                               
abandoned vehicles.  He said if he  had a fund source to take the                                                               
burden of disposal off the  private property owner, he would have                                                               
presented a more complex bill, but he cannot identify one.                                                                      
                                                                                                                                
1:17:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SPOHNHOLZ  offered her understanding  that nothing                                                               
in SB  76 would require a  property owner to pay  for the removal                                                               
of  the  vehicle,  although  it  is  generally  in  his/her  best                                                               
interest to do so.                                                                                                              
                                                                                                                                
SENATOR KIEHL confirmed that is correct.                                                                                        
                                                                                                                                
1:18:08 PM                                                                                                                    
                                                                                                                                
CHAIR HOPKINS opened public testimony on SB 76.                                                                                 
                                                                                                                                
1:18:23 PM                                                                                                                    
                                                                                                                                
LAURA MACVAY, CEO,  True North Federal Credit  Union, stated that                                                               
vehicles abandoned on  private property in the  Vintage Park area                                                               
of  Juneau is  a common  occurrence  and one  for which  business                                                               
owners have  to budget.   She offered her understanding  that the                                                               
process of ridding  a property of an abandoned  vehicle is nearer                                                               
to seven and a half months.   She said an abandoned vehicle is an                                                               
eyesore;  it encourages  some others  to  abandon their  vehicles                                                               
there, as well;  and it uses up valuable  customer parking space.                                                               
She offered  her understanding that the  current six-month period                                                               
was established  to strike  a balance between  the rights  of the                                                               
property owner and the rights  of the vehicle owner; however, she                                                               
opined that six months  is too long a period.   As a lien holder,                                                               
when she sees an abandoned vehicle,  she wonders if it is one her                                                               
company  has a  lien  on; she  knows "nothing  good  is going  to                                                               
happen  to  that  collateral  in the  intervening  six  to  eight                                                               
months."  She  stated that 30 days should be  enough time to have                                                               
that information.   She stated her  support for SB 76,  which she                                                               
opined would  address "a profound  imbalance in the  current law"                                                               
and would empower  property owners "to take  reasonable action in                                                               
a reasonable  period of time"  to remove abandoned  vehicles left                                                               
on their properties.                                                                                                            
                                                                                                                                
1:21:13 PM                                                                                                                    
                                                                                                                                
CHAIR  HOPKINS, after  ascertaining  there was  no  one else  who                                                               
wished to testify, closed public testimony on SB 76.                                                                            
                                                                                                                                
1:21:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HANNAN moved  to report  SB 76  out of  committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
notes.  There being no objection, SB 76 was reported out of the                                                                 
House Transportation Standing Committee.                                                                                        

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