Legislature(1995 - 1996)

05/04/1995 08:30 AM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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                     HOUSE FINANCE COMMITTEE                                   
                           May 4, 1995                                         
                            8:30 A.M.                                          
                                                                               
  TAPE HFC 95-112, Side 1, #000 - end.                                         
  TAPE HFC 95-112, Side 2, #000 - end.                                         
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Co-Chair  Mark Hanley  called  the  House Finance  Committee                 
  meeting to order at 8:45 a.m.                                                
                                                                               
  PRESENT                                                                      
                                                                               
  Co-Chair Hanley               Representative Martin                          
  Co-Chair Foster               Representative Mulder                          
  Representative Brown          Representative Navarre                         
  Representative Grussendorf    Representative Parnell                         
  Representative Kelly          Representative Therriault                      
  Representative Kohring                                                       
                                                                               
  ALSO PRESENT                                                                 
                                                                               
  Senator Dave  Donley;  Mike  Greany,  Director,  Legislative                 
  Finance  Division;  Cheryl  Sutton,   Staff,  Representative                 
  Moses;   Alan   Schuler,    Department   of    Environmental                 
  Conservation;    Steve    Torak,   Chief    of   Operations,                 
  Environmental Protection Agency; Ed Crane, President, Alaska                 
  Commercial Fishing and Agricultural Bank.                                    
                                                                               
  SUMMARY                                                                      
  HB 284    An Act relating  to the Alaska Commercial  Fishing                 
            and Agriculture Bank.                                              
                                                                               
            HB 284  was assigned to a  subcommittee consisting                 
            of    Representative    Kelly    as   Chair    and                 
            Representatives Brown and Therriault.                              
                                                                               
  SB 28     An  Act  repealing  an  additional fee  for  motor                 
            vehicle  registration  not conducted  by  mail and                 
            limiting  motor  vehicle  emissions inspection  to                 
            once every two years."                                             
                                                                               
            CSSB  28  (FIN)(title  am)  was  reported  out  of                 
            Committee  with "no  recommendation" and  with two                 
            fiscal   impact   notes  by   the   Department  of                 
            Environmental  Conservation  dated   4/19/95,  and                 
            Department of Public Safety dated 4/29/95.                         
  SENATE BILL NO. 28                                                           
                                                                               
                                                                               
       "An Act repealing  an additional fee for  motor vehicle                 
       registration  not conducted by  mail and limiting motor                 
       vehicle emissions inspection to once every two years."                  
                                                                               
  SENATOR DAVE DONLEY  spoke in  support of SB  28.  He  noted                 
  that  the Department  of Environmental Conservation  and the                 
  Division of Motor Vehicles  (DMV) support SB 28  which would                 
  allow biennial  motor vehicle  emission inspection  testing.                 
  He   observed  that   the   legislation  grants   additional                 
  enforcement  authority  to the  Department  of Environmental                 
  Conservation.   The Department would  be allowed to  issue a                 
  $200.0  hundred  dollar citation  in  lieu of  a misdemeanor                 
  charge.   He  pointed out that  prosecution expense  will be                 
  averted with the issuances of a  citation.  He asserted that                 
  the legislation will save citizens time and money.                           
                                                                               
  In  response to  a  question  by Representative  Therriault,                 
  Senator Donley clarified that the fee collected by DMV would                 
  be raised from $1.0 to $2.0 dollars.  He reiterated that the                 
  Department of  Environmental  Conservation  would  be  given                 
  direct enforcement authority.                                                
                                                                               
  Representative  Martin spoke  in  support  of  SB  28.    He                 
  referred to similar  legislation which  he sponsored in  the                 
  previous session.                                                            
                                                                               
  Representative   Brown   clarified   that   annual   vehicle                 
  registration is not being changed.   She asked if a biennial                 
  registration period was considered.  She also questioned the                 
  effect on municipalities.                                                    
                                                                               
  Senator  Donley emphasized  that  biennial inspection  would                 
  make biennial registration easier.                                           
                                                                               
  JUANITA   HENSLEY,   DIRECTOR,   DIVISION  MOTOR   VEHICLES,                 
  DEPARTMENT  OF PUBLIC SAFETY noted that the Division has not                 
  been able  to initiate  biennial registration  due to  piggy                 
  back  programs such  as the  annual I/M  inspection and  the                 
  annual  motor  registration  tax  which  is  collected   for                 
  municipalities.  She  observed that  a statutory change  may                 
  not   be  required  to  institute  a  biennial  registration                 
  program.                                                                     
                                                                               
                                                                               
  In response to  a question by Representative  Brown, Senator                 
  Donley explained that  the effective dates are  staggered to                 
  allow the Department of  Environmental Conservation to issue                 
  citations  as  of July  1,  1995.   He  emphasized  that the                 
  Department needs to show the Environmental Protection Agency                 
  that they have enforcement authority.  The implementation of                 
  biennial inspections would begin July 1, 1996.                               
                                                                               
  Representative Kohring  spoke  in  support  of SB  28.    He                 
  summarized that the cost  of the program will be  covered by                 
                                                                               
                                                                               
  program receipts.                                                            
                                                                               
  Ms. Hensley  stressed that  the Division  of Motor  Vehicles                 
  will not receive  additional funds.   She observed that  the                 
  Department  of  Environmental   Conservation  will   collect                 
  program receipts  as a result  of the $200.0  hundred dollar                 
  fine.                                                                        
                                                                               
  In response  to  a question  by  Representative  Therriault,                 
  Senator Donley observed that SB 28 was passed unanimously in                 
  the Senate.  He stated that there is no municipal opposition                 
  since local taxes will not be impacted.                                      
                                                                               
  STEVE  TORAK,  CHIEF  OF  STATE  OPERATIONS,   ENVIRONMENTAL                 
  PROTECTION  AGENCIES cautioned  members  that Anchorage  and                 
  Fairbanks  still  need  to  continue  monitoring  their  air                 
  quality.  He compare the I/M Program to a prescription of an                 
  antibiotic.   He  emphasized  the  need  to  take  the  full                 
  prescription.                                                                
                                                                               
  Representative Mulder asked the status of the Mat-Su Valley.                 
                                                                               
  ALAN  SCHULER,  DEPARTMENT  OF   ENVIRONMENTAL  CONSERVATION                 
  responded  that  Mat-Su  Valley commuters  are  required  to                 
  participate  in  the I?M  Program.   He  explained  that the                 
  Department intends to phase the  inspection starting July 1,                 
  1996.    He   noted  that   the  Department  would   prepare                 
  regulations stated that half the cars inspected between July                 
  1,  1996  and  June  30,  1997  would  receive  a  two  year                 
  inspection certificate.    Thee other  remaining half  would                 
  receive a  one year certificate inspection.   If the vehicle                 
  is 1987 or  older and has  not been inspected within  twelve                 
  months  of  sale  or transfer  of  title  the  car would  be                 
  required to have an inspection.                                              
                                                                               
  Representative Therriault  noted that cars registered at the                 
  I/M   inspection  station  could   have  the   $10.0  dollar                 
  registration fee waived.                                                     
                                                                               
  Ms. Hensley noted that a pilot  program has been expanded to                 
  allow any inspection station to offer the registration.  She                 
  noted that stations are buying their own computer equipment.                 
  There is no cost to the  State other than storage space  for                 
  data  processing.   She  observed that  the program  will be                 
  expanded  to  Fairbanks.   The  program  is  optional.   She                 
  stressed that the $10.0 fee is an attempt to  get people out                 
  of  DMV lines.   She  stated that  the inspections  stations                 
  could initiate a processing fee  to cover the registrations.                 
                                                                               
                                                                               
  Representative  Therriault observed  that the  Department of                 
  Environmental  Conservation  has no  other  authorization to                 
  assess an administration penalties.                                          
                                                                               
                                                                               
  Representative Mulder  asked how  vehicles that  are not  in                 
  compliance would be identified.  Mr. Schuler stated that up-                 
  to-date  registration  tags  indicate  that  the  inspection                 
  certificate has been  obtained.   He noted that  the use  of                 
  window stickers are being considered.                                        
                                                                               
  Ms. Hensley observed  that the  Department of  Environmental                 
  Conservation would  not be  issuing an administrative  fine.                 
  The  Department will be issuing a court fine which is set at                 
  $200.0 hundred dollars.                                                      
                                                                               
  Representative  Therriault acknowledged  the benefit  to the                 
  public that the two year inspection represents.                              
                                                                               
  Representative Brown  spoke in  support of the  legislation.                 
  She MOVED to report CSSB 28 (FIN)(title am) out of Committee                 
  with individual  recommendations and  with the  accompanying                 
  fiscal notes.  There being NO OBJECTION, it was so ordered.                  
  ADJOURNMENT                                                                  
                                                                               
  The meeting adjourned at 10:00 a.m.                                          
                                                                               
                                                                               
  The method of determining which half would be                                

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