03/20/2020 03:15 PM House LABOR & COMMERCE

        HB 146-MOTOR VEHICLE DEALERS: APPLIC.; INSURANCE                                                                    
                                                                                                                                
4:29:26 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ announced that the  final order of business would                                                               
be CS  FOR SPONSOR  SUBSTITUTE FOR HOUSE  BILL NO.  146(JUD), "An                                                               
Act relating  to an  application for  a license  to operate  as a                                                               
dealer  in  motor  vehicles;  and requiring  a  dealer  in  motor                                                               
vehicles to maintain liability and property insurance."                                                                         
                                                                                                                                
4:29:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MATT  CLAMAN, Alaska  State Legislature,  as prime                                                               
sponsor, provided a  brief review of HB 146.   He stated that the                                                               
bill  adds additional  requirements  for  licensed motor  vehicle                                                               
dealers, such as increasing the  surety bond rate from $50,000 to                                                               
$100,0000 and requiring that the  dealer has liability insurance.                                                               
Additional provisions  require that motor vehicle  dealer license                                                               
applicants provide a copy of that insurance, he said.                                                                           
                                                                                                                                
4:30:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY expressed her  support for actions involving                                                               
fraud, embezzlement,  or misappropriations of  property resulting                                                               
in a  felony charge.   She opined that its   appropriate  because                                                               
it affects what the intent is.                                                                                                  
                                                                                                                                
4:30:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GILLIS  recalled that  raising the  insurance rate                                                               
would cost $750.  He asked if that is correct.                                                                                  
                                                                                                                                
REPRESENTATIVE  CLAMAN   clarified  that   what  Mr.   Gillis  is                                                               
referring to  is the bond  rate.  He  further noted that  $750 is                                                               
for two years of coverage.                                                                                                      
                                                                                                                                
REPRESENTATIVE GILLIS opined  that [$750] is not  enough money to                                                               
deter someone.                                                                                                                  
                                                                                                                                
REPRESENTATIVE CLAMAN agreed that its   not enough money to deter                                                               
someone from becoming a  dealer.  He said its  not  meant to be a                                                               
barrier to entry into the profession.                                                                                           
                                                                                                                                
4:32:01 PM                                                                                                                    
                                                                                                                                
CHAIR  SPOHNHOLZ opened  public  testimony.   After  ascertaining                                                               
that no one wished to testify, she closed public testimony.                                                                     
                                                                                                                                
4:32:22 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STUTES moved  to  report CSSSHB  146(JUD) out  of                                                               
committee  with individual  recommendations and  the accompanying                                                               
fiscal notes.  Without objection,  CSSSHB 146(JUD) was moved from                                                               
the House Labor and Commerce Standing Committee.