02/19/2013 01:30 PM Senate TRANSPORTATION

          HB 15-COMMERCIAL MOTOR VEHICLE REQUIREMENTS                                                                       
                                                                                                                                
1:48:35 PM                                                                                                                    
CHAIR EGAN said the next bill before the committee was HB 15.                                                                   
                                                                                                                                
REPRESENTATIVE WES KELLER,  sponsor of HB 15,  explained that the                                                               
bill reduces  a regulation on  Alaska businesses by  redefining a                                                               
commercial motor vehicle from 10,000  pounds to 14,000 pounds. He                                                               
related  that  the bill  has  support  from DOTPF,  the  National                                                               
Federation of Independent Businesses  (NFIB), the Alaska Trucking                                                               
Association, and Norcon Equipment.                                                                                              
                                                                                                                                
1:50:39 PM                                                                                                                    
JIM POUND,  staff, Representative Wes  Keller, sponsor of  HB 15,                                                               
noted  that a  similar bill  was heard  last year.  The situation                                                               
described in  the bill is seen  in pilot vehicles where  the same                                                               
weight requirements apply  as for a commercial  vehicle. The bill                                                               
would  also  apply  to  18-year-olds who  cannot  qualify  for  a                                                               
commercial driver's  license and who  would like to get  into the                                                               
pilot driving  business. It also  applies to small vans,  such as                                                               
lawn and garden trucks.                                                                                                         
                                                                                                                                
He gave an example of a one-ton  pickup with a welder in the back                                                               
that would no longer be  classified as a commercial vehicle under                                                               
HB 15.                                                                                                                          
                                                                                                                                
1:52:34 PM                                                                                                                    
SENATOR FRENCH asked if there is any opposition to the bill                                                                     
                                                                                                                                
MR. POUND said support in the House was unanimous.                                                                              
                                                                                                                                
SENATOR FRENCH asked if anyone testified against the bill.                                                                      
                                                                                                                                
MR. POUND said no.                                                                                                              
                                                                                                                                
REPRESENTATIVE KELLER noted that the  bill has not had a negative                                                               
vote yet.                                                                                                                       
                                                                                                                                
SENATOR  BISHOP noted  support for  HB 15  by the  Association of                                                               
General Contractors.                                                                                                            
                                                                                                                                
REPRESENTATIVE KELLER  thanked Senator  Bishop for  pointing that                                                               
out.                                                                                                                            
                                                                                                                                
1:53:38 PM                                                                                                                    
CHAIR EGAN opened public testimony.                                                                                             
                                                                                                                                
AVES THOMPSON,  Executive Director, Alaska  Trucking Association,                                                               
testified in  support of  HB 15. He  explained, as  vehicles have                                                               
gotten  larger   and  heavier,  many   fall  under   the  current                                                               
definition   of   intrastate   commercial   vehicle   that   have                                                               
historically not  been considered  a commercial vehicle,  such as                                                               
pickup trucks,  small step vans,  and small trailers. One  of the                                                               
Alaska  Trucking  Association's   legislative  priorities  is  to                                                               
change   the   current   statutory  description   of   intrastate                                                               
commercial vehicle  in order to  reduce the regulatory  burden on                                                               
small  businesses. He  said when  passed, HB  15 will  accomplish                                                               
that goal.                                                                                                                      
                                                                                                                                
He  pointed   out  that  for   purposes  of   commercial  vehicle                                                               
regulation  and inspection,  HB 15  raises the  weight threshold,                                                               
and lessens the  fiscal impact on businesses. It  does not change                                                               
the  commercial status  of intrastate  vehicles  for purposes  of                                                               
registration  with  the  Division  of Motor  Vehicles  (DMV)  and                                                               
therefore,  there is  no fiscal  impact  on the  state. He  urged                                                               
passage of the bill.                                                                                                            
                                                                                                                                
1:57:25 PM                                                                                                                    
DANIEL  SMITH, Director,  Division of  Measurement and  Standards                                                               
for Commercial  Vehicle Enforcement,  testified in support  of HB
. He  said the change made  in the bill removes  the regulatory                                                               
burden  on  businesses that  have  been  categorized as  carriers                                                               
operating  commercial  motor  vehicles   due  to  the  fact  that                                                               
vehicles  have  gotten  larger.  Now,  incidental  use  of  these                                                               
vehicles, or  combination vehicles over 10,000  pounds, meets the                                                               
definition of a commercial vehicle.                                                                                             
                                                                                                                                
SENATOR DYSON moved to adopt Amendment 1.                                                                                       
                                                                                                                                
                                               28-LS0058\A.2                                                                    
                                                      Nauman                                                                    
                                                                                                                                
                          AMENDMENT 1                                                                                           
                                                                                                                                
     OFFERED IN THE SENATE                                                                                                      
                                                                                                                                
                                                                                                                                
     Page 2, line 5:                                                                                                            
            Delete "designed"                                                                                                   
            Insert "being used[DESIGNED]"                                                                                   
                                                                                                                                
SENATOR DYSON  objected. He related  a story about  a constituent                                                               
in his  district who needs  a small handicap-equipped bus  with a                                                               
ramp. He  said without  the change proposed  in Amendment  1, his                                                               
constituent's  insurance  rate  would be  significantly  affected                                                               
because DMV's  opinion is "once  a bus,  always a bus."  He noted                                                               
that the sponsor is in agreement with the amendment.                                                                            
                                                                                                                                
REPRESENTATIVE KELLER said he concurs with Amendment 1.                                                                         
                                                                                                                                
2:01:53 PM                                                                                                                    
SENATOR FAIRCLOUGH  requested an  opinion from the  Department of                                                               
Law on the designated terminology.  She said she understands that                                                               
the language "a commercial motor  vehicle is defined" is followed                                                               
by a list  of appropriate vehicles. She opined  that "being used"                                                               
would  fall under  the commercial  requirements. On  line 20,  it                                                               
lists those vehicles which are not commercial motor vehicles.                                                                   
                                                                                                                                
ANMEI  GOLDSMITH,  Assistant   Attorney  General,  Transportation                                                               
Section, Department of  Law, opined that if the  vehicle is being                                                               
used  exclusively for  purposes other  than commercial  purposes,                                                               
then it would  not be a commercial motor vehicle.  If the current                                                               
bill is written  to eliminate the word "recreational"  on page 2,                                                               
line 20,  then a  bus pulling a  trailer equipped  for wheelchair                                                               
for personal use  it is not going  to be regulated by  DOTPF as a                                                               
commercial motor vehicle.                                                                                                       
                                                                                                                                
SENATOR  FAIRCLOUGH explained  that  proposed Amendment  1 is  on                                                               
page 2, line  5, and deletes the word "designed"  and adds "being                                                               
used". That proposed  change is in a place that  describes what a                                                               
commercial vehicle is. She wondered  if, instead, it should be on                                                               
line 20, where recreational vehicle  is being eliminated, and the                                                               
word "being" should  be inserted in between  the words "vehicles"                                                               
and "used".                                                                                                                     
                                                                                                                                
MS. GOLDSMITH  thought the bill,  as written, already  covers the                                                               
example  Senator Dyson  proposed and  would exclude  the modified                                                               
bus.  She noted  that  the  issue of  registration  at  DMV is  a                                                               
different story.  She said  she thought  DMV had  its own  set of                                                               
regulations.                                                                                                                    
                                                                                                                                
2:05:50 PM                                                                                                                    
SENATOR  FAIRCLOUGH requested  a description  of what  the effect                                                               
would be  of changing line  5, AS 19.10.300  (f)(1)(c)(ii), which                                                               
states  "is  designed  to  transport   more  than  15  passengers                                                               
including the driver." Amendment  1 proposes to change "designed"                                                               
to "being used".                                                                                                                
                                                                                                                                
MS. GOLDSMITH  explained that if  the term "designed"  is changed                                                               
to  "being  used",  and  the  vehicle  is  being  used  for  non-                                                               
commercial purposes, it is not a commercial vehicle.                                                                            
                                                                                                                                
2:07:43 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
2:08:04 PM                                                                                                                    
MR. POUND  commented that  when he  discussed the  amendment with                                                               
legislative legal,  they determined  that if  the vehicle  is not                                                               
being used  for commercial purposes,  the vehicle is no  longer a                                                               
commercial vehicle,  as far as  DOTPF is concerned;  however, DMV                                                               
still  considers  the  vehicle  a commercial  vehicle.  The  bill                                                               
addresses DOT statutes, not DMV regulations.                                                                                    
                                                                                                                                
SENATOR  FAIRCLOUGH said  she thought  DMV should  be present  to                                                               
address this issue.                                                                                                             
                                                                                                                                
MR. POUND  said if a vehicle  is not being used  to transport, it                                                               
eliminates its description as  a commercial vehicle. Recreational                                                               
vehicles  are  different according  to  both  DOTPF and  DMV.  He                                                               
assumed DMV would follow suit if DOTPF approves the changes.                                                                    
                                                                                                                                
SENATOR FAIRCLOUGH said she does not want to hold up the bill.                                                                  
                                                                                                                                
SENATOR DYSON said he would clear  this up with DMV. He suggested                                                               
that the amendment does no harm.                                                                                                
                                                                                                                                
SENATOR FRENCH suggested the committee adopt the amendment and                                                                  
hold the bill in committee.                                                                                                     
                                                                                                                                
2:13:04 PM                                                                                                                    
SENATOR FAIRCLOUGH suggested an at-ease in order to call DMV.                                                                   
                                                                                                                                
SENATOR DYSON agreed.                                                                                                           
                                                                                                                                
MR. POUND said he would call DMV.                                                                                               
                                                                                                                                
2:13:49 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
2:29:48 PM                                                                                                                    
CHAIR EGAN noted a problem with finding information from DMV. He                                                                
said he would schedule HB 15 again next week.                                                                                   
                                                                                                                                
CHAIR EGAN held HB 15 in committee with Amendment 1 pending.