Legislature(2017 - 2018)BARNES 124

03/29/2018 01:15 PM TRANSPORTATION

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Audio Topic
01:17:34 PM Start
01:18:09 PM HB136
01:23:04 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Presentation: Rural Airports in AK by DOT&PF TELECONFERENCED
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 136 MOTOR VEHICLE DEALER FRANCHISES TELECONFERENCED
Moved CSHB 136(TRA) Out of Committee
                    ALASKA STATE LEGISLATURE                                                                                  
            HOUSE TRANSPORTATION STANDING COMMITTEE                                                                           
                         March 29, 2018                                                                                         
                           1:17 p.m.                                                                                            
                                                                                                                                
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Adam Wool, Co-Chair                                                                                              
Representative Matt Claman                                                                                                      
Representative Harriet Drummond                                                                                                 
Representative Chuck Kopp                                                                                                       
Representative Colleen Sullivan-Leonard                                                                                         
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Louise Stutes, Co-Chair                                                                                          
Representative Mark Neuman                                                                                                      
Representative David Eastman (alternate)                                                                                        
Representative Gabrielle LeDoux (alternate)                                                                                     
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 136                                                                                                              
"An Act relating to motor vehicle franchises, motor vehicle                                                                     
transactions,    motor    vehicle    dealers,    motor    vehicle                                                               
manufacturers, and motor vehicle distributors."                                                                                 
                                                                                                                                
     - MOVED CSHB 136(TRA) OUT OF COMMITTEE                                                                                     
                                                                                                                                
PRESENTATION: RURAL AIRPORTS IN AK BY DOT&PF                                                                                    
                                                                                                                                
     - SCHEDULED BUT NOT HEARD                                                                                                  
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 136                                                                                                                  
SHORT TITLE: MOTOR VEHICLE DEALER FRANCHISES                                                                                    
SPONSOR(s): REPRESENTATIVE(s) CLAMAN                                                                                            
                                                                                                                                
02/20/17       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/20/17       (H)       TRA, L&C                                                                                               
03/16/17       (H)       TRA AT 1:00 PM CAPITOL 17                                                                              
03/16/17       (H)       <Bill Hearing Canceled>                                                                                
03/21/17       (H)       TRA AT 1:00 PM BARNES 124                                                                              
03/21/17       (H)       Heard & Held                                                                                           
03/21/17       (H)       MINUTE(TRA)                                                                                            
04/13/17       (H)       TRA AT 1:00 PM BARNES 124                                                                              
04/13/17       (H)       -- MEETING CANCELED --                                                                                 
03/27/18       (H)       TRA AT 1:15 PM BARNES 124                                                                              
03/27/18       (H)       Heard & Held                                                                                           
03/27/18       (H)       MINUTE(TRA)                                                                                            
03/29/18       (H)       TRA AT 1:15 PM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
STEVE ALWINE, Dealer                                                                                                            
Mendenhall Auto;                                                                                                                
Member                                                                                                                          
Board of Directors                                                                                                              
Alaska Auto Dealers Association;                                                                                                
State Director                                                                                                                  
National Auto Dealers Association                                                                                               
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 136.                                                                          
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
1:17:34 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ADAM  WOOL  called the  House  Transportation  Standing                                                             
Committee meeting  to order at  1:17 p.m.   Representatives Wool,                                                               
Sullivan-Leonard,  Drummond, Claman,  and Kopp,  were present  at                                                               
the call to order.                                                                                                              
                                                                                                                                
             HB 136-MOTOR VEHICLE DEALER FRANCHISES                                                                         
                                                                                                                                
1:18:09 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  WOOL announced  that only  order of  business would  be                                                               
HOUSE  BILL   NO.  136,  "An   Act  relating  to   motor  vehicle                                                               
franchises,  motor vehicle  transactions, motor  vehicle dealers,                                                               
motor  vehicle manufacturers,  and  motor vehicle  distributors."                                                               
[Before the committee,  adopted as a working  document during the                                                               
House Transportation  Standing Committee's  meeting on  March 27,                                                               
2018,  was the  proposed committee  substitute (CS)  for HB  136,                                                               
Version 30-LS0561\R, Bannister, 3/21/18.]                                                                                       
                                                                                                                                
1:18:25 PM                                                                                                                    
                                                                                                                                
CO-CHAIR WOOL opened public testimony on HB 136.                                                                                
                                                                                                                                
1:18:49 PM                                                                                                                    
                                                                                                                                
STEVE  ALWINE,   Dealer,  Mendenhall   Auto;  Member,   Board  of                                                               
Directors,  Alaska  Auto  Dealers  Association;  State  Director,                                                               
National  Auto Dealers  Association, testified  in support  of HB
136.   He  said the  proposed legislation  would serve  to update                                                               
state  franchise laws  that were  written in  2004.   Further, it                                                               
would serve to provide reasonable  protections to Alaska's 29 new                                                               
car  dealers,  the  6,900  direct  and  indirect  employees,  and                                                               
consumers  throughout  the state  -  especially  those in  remote                                                               
areas.   Mr.  Alwine said  most people  do not  realize that  car                                                               
dealerships  are family  businesses.    The proposed  legislation                                                               
would give dealers the ability to  pass their dealerships on to a                                                               
family  member  or to  an  experienced  manager.   He  said  most                                                               
importantly, HB  136 would  address manufacturer  warranty issues                                                               
and  recall.   The  bill would  provide that  a  dealer would  be                                                               
compensated for these  types of work at a level  that would allow                                                               
"investment in both equipment and  personnel to provide stronger,                                                               
more  effective  customer service  throughout  the  state."   Mr.                                                               
Alwine emphasized that HB 136  would provide significant consumer                                                               
protections to customers in outlying  areas by giving dealers and                                                               
manufacturers "opportunities and  responsibilities to help people                                                               
that  have  cars that  may  be  in  ... Petersburg  or  Wrangell,                                                               
Ketchikan,  [and] places  like that."   Mr.  Alwine credited  the                                                               
bill  sponsor  for bringing  all  parties  together to  reach  "a                                                               
reasonable accord."   He thanked  the bill sponsor and  urged the                                                               
House Transportation  Standing Committee  to move  HB 136  out of                                                               
committee.                                                                                                                      
                                                                                                                                
1:21:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KOPP   said  this  issue  has   been  before  the                                                               
legislature  for a  number of  years, and  he commended  the bill                                                               
sponsor, manufacturers, and automobile  dealers for "working this                                                               
out."                                                                                                                           
                                                                                                                                
1:21:42 PM                                                                                                                    
                                                                                                                                
CO-CHAIR WOOL echoed  the words of Representative Kopp.   He told                                                               
Mr.  Alwine, "It  looks like  you covered  a lot  of the  ... big                                                               
issues, and I'm glad you guys were able to come to agreement."                                                                  
                                                                                                                                
1:22:16 PM                                                                                                                    
                                                                                                                                
CO-CHAIR WOOL, after ascertaining that  there was no one else who                                                               
wished to testify, closed public testimony on HB 136.                                                                           
                                                                                                                                
1:22:40 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  DRUMMOND moved  to report  CSHB 136,  Version 30-                                                               
LS0561\R, Bannister,  3/21/18, out  of committee  with individual                                                               
recommendations and  the accompanying fiscal notes.   There being                                                               
no  objection,  CSHB  136(TRA)  was reported  out  of  the  House                                                               
Transportation Standing Committee.                                                                                              
                                                                                                                                
1:23:04 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the House                                                                 
Transportation Standing Committee meeting was adjourned at 1:23                                                                 
p.m.                                                                                                                            

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