Legislature(2005 - 2006)

05/02/2005 10:36 AM Senate FIN


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     CS FOR HOUSE BILL NO. 178(STA) am                                                                                          
     "An Act relating to special motor vehicle registration plates;                                                             
     and providing for an effective date."                                                                                      
                                                                                                                                
                                                                                                                                
This  was the first  hearing  for this  bill in  the Senate  Finance                                                            
Committee.                                                                                                                      
                                                                                                                                
CONRAD  JACKSON,  Staff to  Representative  Kurt Olson,  the  bill's                                                            
sponsor,  stated  that this  legislation  would  allow,  with a  few                                                            
exceptions, all  license plates to be made available  for use on all                                                            
motor vehicles.  Currently, the use  of specialized or non-standard                                                             
license plates  is limited to passenger vehicles,  motorcycles, non-                                                            
commercial  vans,  pickup  trucks, and  motor  homes.  Use of  these                                                            
license  plates is  currently prohibited  for  commercial  vehicles.                                                            
Therefore, the end result  of this bill would be to allow the use of                                                            
non-standard  plates on all vehicles.  However, he noted  that those                                                            
applying  for  Veterans,  Purple Heart,  or  Alaska  National  Guard                                                            
plates would  be required  to meet specific  qualifiers in  order to                                                            
display them.                                                                                                                   
                                                                                                                                
Mr.  Jackson  noted that  since  there  is a  fee  for non-standard                                                             
plates, this  expansion would  increase revenue  in the Division  of                                                            
Motor Vehicles (DMV), Department of Administration.                                                                             
                                                                                                                                
Mr. Jackson addressed the  confusion that has accompanied the bill's                                                            
fiscal  notes  by   communicating  that  while  the  State   Affairs                                                            
Committee's  version of the  bill had been  adopted in the  House of                                                            
Representatives,  the  fiscal note  accompanying  the House  Finance                                                            
Committee's version  of the bill had been inadvertently  transmitted                                                            
to the Senate. Therefore,  he requested that the Committee adopt the                                                            
State Affairs fiscal note.                                                                                                      
                                                                                                                                
2:01:48 PM                                                                                                                    
                                                                                                                                
Co-Chair  Wilken   understood  therefore  that  the   Department  of                                                            
Administration $5,000 fiscal  note #1, dated March 18, 2005 would be                                                            
the correct fiscal note.                                                                                                        
                                                                                                                                
Mr. Jackson affirmed.                                                                                                           
                                                                                                                                
2:02:02 PM                                                                                                                    
                                                                                                                                
Senator Olson  asked whether the fee structure for  the non-standard                                                            
license plates had been altered.                                                                                                
                                                                                                                                
2:02:16 PM                                                                                                                    
                                                                                                                                
Mr.  Jackson  replied  that  no  change  has  occurred  to  the  fee                                                            
structure.  This bill  would  simply serve  to expand  the usage  of                                                            
these plates.                                                                                                                   
                                                                                                                                
2:02:27 PM                                                                                                                    
                                                                                                                                
DUANE BANNOCK,  Director, Division of Motor Vehicles,  Department of                                                            
Administration,   testified  via   teleconference  from   an  offnet                                                            
location.  He voiced  appreciation for  the efforts  exerted by  the                                                            
bill's  sponsor  in this  effort to  increase  "the  greater use  of                                                            
vanity or personalized  specialty license plates".  This legislation                                                            
is one component  of the improvements  the Department is  attempting                                                            
to implement at the DMV.                                                                                                        
                                                                                                                                
2:03:27 PM                                                                                                                    
                                                                                                                                
Senator Hoffman asked whether  the Department of Public Safety has a                                                            
position on this bill.                                                                                                          
                                                                                                                                
2:04:02 PM                                                                                                                    
                                                                                                                                
Mr. Jackson  responded  that the  Director  of the DMV  has been  in                                                            
contact with  the Department of Public  Safety. No problem  has been                                                            
identified. The license  plates simply provide the identification of                                                            
the vehicle. Legibility  of the license plate and  other such issues                                                            
are addressed  in provisions  addressing the  basic construction  of                                                            
the plate.                                                                                                                      
                                                                                                                                
2:04:25 PM                                                                                                                    
                                                                                                                                
Senator  Hoffman  understood  therefore  that Department  of  Public                                                            
Safety is not opposed to the bill.                                                                                              
                                                                                                                                
2:04:30 PM                                                                                                                    
                                                                                                                                
Mr.  Jackson  responded  that  he  is  unaware  of  any opposition.                                                             
However, he deferred to Mr. Bannock.                                                                                            
                                                                                                                                
2:04:37 PM                                                                                                                    
                                                                                                                                
Senator  Hoffman  recalled  that,  in  the  past,  when legislation                                                             
allowing for increased  diversification of plates was discussed, the                                                            
Department  of Public Safety had voiced  reservations. Therefore  he                                                            
questioned whether their position had changed in that regard.                                                                   
                                                                                                                                
[NOTE: Co-Chair Green resumed Chair of the meeting.]                                                                            
                                                                                                                                
2:04:59 PM                                                                                                                    
                                                                                                                                
Mr.  Jackson clarified  that  this  legislation  would  not add  any                                                            
plates to Statute  it would merely  make them available to  a "wider                                                            
range of vehicles".                                                                                                             
                                                                                                                                
AT EASE 2:05:20 PM / 2:08:16 PM                                                                                             
                                                                                                                                
2:08:19 PM                                                                                                                    
                                                                                                                                
Co-Chair  Green requested  that  the fiscal  note  issue be  further                                                            
explained.                                                                                                                      
                                                                                                                                
2:08:22 PM                                                                                                                    
                                                                                                                                
Mr. Jackson clarified that  the State Affairs Committee fiscal note,                                                            
fiscal  note #1,  rather than  the  House Finance  Committee  fiscal                                                            
note,  fiscal note  #2, should  have accompanied  the  bill when  it                                                            
transmitted from the House to the Senate.                                                                                       
                                                                                                                                
Co-Chair Green acknowledged.                                                                                                    
                                                                                                                                
2:09:05 PM                                                                                                                    
                                                                                                                                
Co-Chair Green stated that  a question has been raised in regards to                                                            
Fiscal  note  #1, in  that,  in addition  to  the  $5,000  operating                                                            
expenses,  it reflects  a capital  expenditures  expense of  $5,000.                                                            
Therefore,  she asked whether  the total  expense should be  $10,000                                                            
rather than the $5,000 reflected in fiscal note #1.                                                                             
                                                                                                                                
2:09:27 PM                                                                                                                    
                                                                                                                                
Mr. Jackson deferred to the Division of Motor Vehicles.                                                                         
                                                                                                                                
2:09:32 PM                                                                                                                    
                                                                                                                                
Mr. Bannock, after  consulting with Division staff,  stated that the                                                            
$5,000 capital  expense would be provided  for from a separate  fund                                                            
account. Therefore,  while the total expense would  be $10,000, only                                                            
the $5,000 operating expense would be required.                                                                                 
                                                                                                                                
Co-Chair Green requested  that clarification be sought in regards to                                                            
whether $10,000 should be the total amount reflected.                                                                           
                                                                                                                                
Mr. Bannock stated  that while the first year's total  expense would                                                            
amount  to  $10,000,  the  $5,000  capital   expense  is  not  being                                                            
requested. Only the operating expense is being requested.                                                                       
                                                                                                                                
2:11:18 PM                                                                                                                    
                                                                                                                                
Co-Chair Green asked therefore  whether the capital expense might be                                                            
more  correctly  identified  as Capital  Improvement  Project  (CIP)                                                            
receipts.                                                                                                                       
                                                                                                                                
Co-Chair Green  stated that the fiscal note issue  should be further                                                            
reviewed,  as  the  desire would  be  to  have  correct information                                                             
accompany the bill.                                                                                                             
                                                                                                                                
Mr. Bannock agreed that the fiscal note should be "perfect".                                                                    
                                                                                                                                
2:11:42 PM                                                                                                                    
                                                                                                                                
The bill was HELD in Committee.                                                                                                 
                                                                                                                                
AT EASE 2:12:05 PM / 2:12:22 PM                                                                                             
                                                                                                                                
                                                                                                                                
     CS FOR HOUSE BILL NO. 178(STA) am                                                                                          
     "An Act relating to special motor vehicle registration plates;                                                             
     and providing for an effective date."                                                                                      
                                                                                                                                
                                                                                                                                
The bill  was again before  the Committee.  [For previous  Committee                                                            
discussion, see Time Stamp 1:59:29 PM]                                                                                          
                                                                                                                                
Co-Chair Green  informed that a corrected  fiscal note for  the bill                                                            
would be presented at the Committee's next scheduled hearing.                                                                   
                                                                                                                                
The bill was again HELD in Committee.                                                                                           
                                                                                                                                
AT EASE 2:30:55 PM                                                                                                            
                                                                                                                                
[NOTE: Due  to technical  difficulties, the  portion of the  meeting                                                            
between Time Stamp  2:30:55 PM and 2:43:55 PM was  not recorded. The                                                            
minutes  presented  are  from  the  Finance  Committee  Secretary's                                                             
notes.]                                                                                                                         
                                                                                                                                

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