04/27/1998 12:04 PM Senate RLS

CHAIRMAN KELLY brought CSHB 404(TRA) - REGULATION OF COMMERCIAL                
VEHICLES before the committee as the final order of business.  He              
directed attention to a proposed Rules SCS.                                    
                                                                               
SENATOR TAYLOR moved adoption of SCS CSHB 404(RLS).  Hearing no                
objection, it was so ordered.                                                  
                                                                               
JUANITA HENSLEY, Division of Motor Vehicles, Department of                     
Administration, addressing changes in the Rules SCS, directed                  
attention to Section 18, which increases the unladen weight limit              
for pick-up trucks and vans from 6,000 pounds to 10,000 pounds.                
The statue, as written, requires registering a new pick-up truck or            
van exceeding 6,000 pounds as a commercial vehicle, even though it             
is not being used for commercial purposes or even registered in a              
commercial business name.  She added the division supports that                
change, as well the language that requires  that if one of these               
vehicles is registered in a business name or company name, it must             
be registered as a commercial vehicle.                                         
                                                                               
Ms. Hensley next directed attention to Section 23, relating to                 
temporary registration fees for commercial vehicles.  She explained            
the House version of the legislation took registration of                      
commercial trailers and transfered those fees to the truck unit or             
the power unit that pulled those trailers.  However, it didn't take            
into account the municipal taxes that had been collected from                  
municipalities, and it could have resulted in a substantial loss of            
revenue for those municipalities.  This section basically allows               
those vehicles to be registered between January and March, with a              
sunset date of March 30, 1999, and it will allow the trucking                  
industry, the teamsters, and the municipalities and the Alaska                 
Municipal League time to work together to come up with a solution              
for the loss of those taxes that would have been a result of the               
bill if it had passed out without this provision.                              
                                                                               
SENATOR TAYLOR asked if it was correct that trailer units would not            
be registered anymore, the registration will be on the tractor                 
units.                                                                         
                                                                               
MS. HENSLEY replied that is correct.  They will still register, but            
it will be a one-time registration for the lifetime of the trailer.            
                                                                               
CHAIRMAN KELLY said it was also his understanding is that the Rules            
SCS is the result of the Division of Motor Vehicles, the teamsters,            
the Alaska Truckers Association, the Alaska Municipal League, Mat-             
Su Borough, the Municipality of Anchorage, etc., working together              
to address problems with the earlier version of the bill.                      
                                                                               
MS. HENSLEY also pointed out that the effective date for all of the            
DOT sections of the bill will be  July 1, 1998, and the DMV                    
sections will be January 1, 1999.                                              
                                                                               
CHAIRMAN KELLY noted he had a constituent who bought a new Ford F-             
150, and with the turbo charged engine, it edged over 6,000 pounds,            
which meant that she was going to have to pay commercial rates for             
her plates, even though the vehicle was for her personal use.                  
                                                                               
SENATOR TORGERSON proposed the following as an amendment to the                
Rules SCS:                                                                     
                                                                               
Page 11, line 30:  Add Section 18 to the immediate effective date.             
                                                                               
Page 11, line 31:  Delete Section 18 from the January 1, 1999                  
effective date.                                                                
                                                                               
He said he couldn't think of any reason why changing that weight               
limit to 10,000 pounds shouldn't have that immediate effective                 
date.  He said the reason he was interested in this particular area            
was because there is another agency that is forcing commercial                 
licenses on guides if they operate in state parks, and that season             
is coming up soon.                                                             
                                                                               
MS. HENSLEY stated the change to an immediate effective date would             
not be a problem for the department.                                           
                                                                               
CHAIRMAN KELLY asked if there were any objections to the adoption              
of Senator Torgerson's proposed amendment, and hearing none, he                
stated the amendment was adopted. He then requested a motion on SCS            
CSHB 404(RLS).                                                                 
                                                                               
SENATOR LEMAN moved SCS CSHB 404(RLS), as amended, be passed out of            
committee with individual recommendations, and that it be approved             
for calendaring at the discretion of the Chair.  Hearing no                    
objection, it was so ordered.