00           CS FOR SPONSOR SUBSTITUTE FOR HOUSE BILL NO. 146(JUD)                                                         
01 "An Act relating to an application for a license to operate as a dealer in motor vehicles;                              
02 and requiring a dealer in motor vehicles to maintain liability and property insurance."                                 
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1. AS 08.66.030 is amended to read:                                                                      
05            Sec. 08.66.030. Form of application. The department shall prescribe and                                    
06       furnish the form of application for dealer registration under AS 08.66.010. The                                   
07       application must contain                                                                                          
08                 (1)  the name under which the business is conducted;                                                    
09                 (2)  the location and telephone number of the business;                                             
10                 (3)  the name and address of all persons having an interest in the                                      
11       business and, in the case of a corporation, the application shall contain the name and                            
12       address of the two principal officers;                                                                            
13                 (4)  the name and make of all vehicles handled;                                                         
14                 (5)  a statement of whether or not used vehicles are handled;                                           
01                 (6)  a statement that the applicant is a bona fide dealer in motor                                      
02       vehicles with an established business at the location given;                                                      
03 (7)  a statement that no person holding a five percent or greater                                                   
04 interest in the business has, during the five-year period immediately preceding                                   
05 the date of the application, been convicted of a felony if the felony involved fraud,                               
06       embezzlement, or misappropriation of property;                                                                
07                 (8)  a statement that the applicant has reviewed the workers'                                       
08       compensation insurance requirements of AS 23.30 and will maintain applicable                                  
09       workers' compensation insurance as required under AS 23.30;                                                   
10 (9)  a copy of a certificate of insurance documenting that the                                                      
11       applicant maintains the insurance coverage required under AS 08.66.085;                                       
12 (10)  if the applicant sells a motor vehicle as a new or current model                                              
13 motor vehicle having a manufacturer's warranty, the name of the manufacturer of the                                     
14 motor vehicle and the date and duration of the applicant's sales and service agreement                                  
15       with the manufacturer; and                                                                                        
16 (11) [(8)]  other information the department requires to administer this                                            
17       chapter.                                                                                                          
18    * Sec. 2. AS 08.66.060(a) is amended to read:                                                                      
19 (a)  An applicant for a dealer registration under AS 08.66.010 shall file with                                          
20 the application and shall maintain in force while registered a bond in favor of the state                               
21 that is executed by a surety approved by the commissioner. The amount of the bond                                       
22 shall be $100,000 [$50,000], except that the amount of a bond for a dealer who sells                                
23       only motorcycles shall be $25,000. The bond must be conditioned on the dealer's                                   
24 (1)  doing business in compliance with this chapter and the other laws                                                  
25       of this state; and                                                                                                
26 (2)  not committing fraud or making fraudulent representations in the                                                   
27       course of doing business as a dealer.                                                                             
28    * Sec. 3. AS 08.66 is amended by adding a new section to read:                                                     
29 Sec. 08.66.085. Insurance requirements. A dealer in motor vehicles shall                                              
30 maintain public liability and property damage insurance on the dealer's operations in                                   
31 the state in amounts of not less than $50,000 for damage to property, $100,000 for                                      
01       injury, including death, to any one person, and $200,000 for injury, including death, to                          
02       more than one person.