Legislature(2003 - 2004)

03/25/2003 01:39 PM TRA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
             SB 103-MOTOR VEHICLE REGISTRATION FEES                                                                         
                                                                                                                                
CHAIR COWDERY  told members  that SB 103  was heard  in committee                                                               
last week  but was held  over to provide  time to get  answers to                                                               
questions from  Senators Lincoln and Olson.  Those questions were                                                               
answered so it  is his intention to pass this  legislation out of                                                               
committee today.                                                                                                                
                                                                                                                                
SENATOR  LINCOLN said  she didn't  receive one  of the  documents                                                               
other members received.  She said she only  received responses to                                                               
her individual questions and she  was interested in the responses                                                               
to  other  members' questions.  She  asked  for the  response  to                                                               
Senator  Olson's  question  about whether  the  Anchorage  School                                                               
District's school buses would be exempt from registration.                                                                      
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
CHAIR  COWDERY noted  that Mr.  Dwayne Bannock  was available  to                                                               
answer questions via teleconference.                                                                                            
                                                                                                                                
SENATOR OLSON  asked Mr.  Bannock whether  school buses  owned by                                                               
private schools must pay a registration  fee and, if so, how much                                                               
that fee would increase.                                                                                                        
                                                                                                                                
MR. DWAYNE  BANNOCK, Director of  the Division of  Motor Vehicles                                                               
(DMV),  Department of  Administration  (DOA),  told members  that                                                               
school buses  fall under  a number  of classifications.  A school                                                               
district that owns school buses  falls under Class 5G. The school                                                               
district  pays  a  form  of  exempt  registration  fees.  Private                                                               
schools or church  schools that own buses fall  under the "Exempt                                                               
Bus  Charitable"  classification.  They  pay  $10.  If  a  school                                                               
district contracts  for bus service  with a private  company, the                                                               
private contractor pays traditional commercial fees.                                                                            
                                                                                                                                
SENATOR OLSON asked about the increase in fees.                                                                                 
                                                                                                                                
MR. BANNOCK  said there is no  proposed increase in fees  for the                                                               
exempt buses.                                                                                                                   
                                                                                                                                
SENATOR LINCOLN  noted that Senator Therriault  asked whether the                                                               
Alaska State Constitution grants  local governments the option of                                                               
charging a vehicle license fee.                                                                                                 
                                                                                                                                
MR.  BANNOCK told  members that  DMV  has a  formula called  MVRT                                                               
(Motor Vehicle  Registration Tax). That  tax can be  exercised at                                                               
the  option of  a local  municipality or  borough. He  provided a                                                               
list of communities  that participate in the  MVRT schedule. That                                                               
cost is added to the state  registration fee and then returned to                                                               
the local government.                                                                                                           
                                                                                                                                
SENATOR THERRIAULT noted  the list on pages 2 and  3 contains the                                                               
names of  all the communities  that require no  vehicle licensure                                                               
or insurance.                                                                                                                   
                                                                                                                                
MR. BANNOCK replied,  "I can't speak to the insurance  side of it                                                               
Senator, but I  can only tell you that those  are exempt from the                                                               
registration portions."                                                                                                         
                                                                                                                                
SENATOR  OLSON  asked Mr.  Bannock  if  he  is familiar  with  AS                                                               
28.10.011(a)  and   (b),  which  address  vehicles   exempt  from                                                               
registration.                                                                                                                   
                                                                                                                                
MR. BANNOCK said he is.                                                                                                         
                                                                                                                                
SENATOR OLSON  said a number  of communities within  his district                                                               
are listed in that statute. He  asked if those communities do not                                                               
have roads that were built or are maintained by the state.                                                                      
                                                                                                                                
MR. BANNOCK apologized for not  having good information about the                                                               
compilation of  that list.  Its effective date  was July  1, 2001                                                               
and he is not aware of what was involved in making that list.                                                                   
                                                                                                                                
SENATOR THERRIAULT  referred to item 10  on page 1 of  the memo -                                                               
vehicles  operated  on the  roadway  not  connected to  the  land                                                               
highway  system or  to a  highway with  an average  daily traffic                                                               
volume greater than 499 - and  said he believes that is where the                                                               
list originated.                                                                                                                
                                                                                                                                
SENATOR OLSON  pointed out neither  Nome nor Kotzebue is  on that                                                               
list and they are not connected to the land highway system.                                                                     
                                                                                                                                
SENATOR  THERRIAULT  said  Nome  is not  connected  to  the  land                                                               
highway system,  but would fall  under a highway with  an average                                                               
daily traffic volume greater than 499.                                                                                          
                                                                                                                                
SENATOR  OLSON asked  Mr. Bannock  if it  is restricted  to state                                                               
built or maintained roads.                                                                                                      
                                                                                                                                
MR.  BANNOCK said  Senator  Olson  is correct  in  that the  list                                                               
contains  things  that  allow  a   community  to  file  for  that                                                               
exemption. Nome would be greater than 499 units.                                                                                
                                                                                                                                
SENATOR OLSON asked about Barrow.                                                                                               
                                                                                                                                
MR.  BANNOCK  said  he believes  the  registration  records  will                                                               
reflect that Barrow has more than 499 vehicles.                                                                                 
                                                                                                                                
There  being no  further questions,  Senator Therriault  moved SB
103 from  committee with individual recommendations  and attached                                                               
zero fiscal note. He then asked for unanimous consent.                                                                          
                                                                                                                                
CHAIR  COWDERY  announced  that  without  objection,  the  motion                                                               
carried.                                                                                                                        

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