Legislature(2013 - 2014)BARNES 124
03/26/2013 01:30 PM House TRANSPORTATION
| Audio | Topic |
|---|---|
| Start | |
| HB176 | |
| HJR13 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HJR 13 | TELECONFERENCED | |
| *+ | HB 176 | TELECONFERENCED | |
| + | TELECONFERENCED |
HB 176-EXPERIMENTAL VEHICLE PLATES
2:11:42 PM
CHAIR P. WILSON announced that the first order of business would
be HOUSE BILL NO. 176, "An Act relating to experimental
vehicles."
2:12:22 PM
REPRESENTATIVE ISAACSON moved to adopt the proposed committee
substitute (CS) for HB 176, Version U [labeled 28-LS0674\U,
Strasbaugh, 3/18/13] as the working document. [Version U was
before the committee.
2:12:47 PM
REPRESENTATIVE STEVE THOMPSON, Alaska State Legislature,
speaking as sponsor of HB 176, stated that this bill is badly
needed in the state. He recalled that about 10 years ago, while
he was mayor in Fairbanks, he was trying to get a test track for
winter testing of manufacturers of vehicles. He discovered
large numbers of worldwide car manufacturers were using Interior
Alaska for cold-weather testing, although most people did not
know the testing was occurring since the cars were disguised.
He characterized auto manufacturer's testing as a pretty good
sized industry. He reported three people in Fairbanks told him
they test drive every winter in Fairbanks for different
manufacturers. Volkswagen Group of America, Inc. (VWGoA)
brought up test vehicles last winter, but needed to re-test and
VWGoA the DMV indicated the vehicles would need to be titled and
licensed since temporary licenses were not available for test
vehicles. This bill would authorize license plates for up to 36
months to allow winter testing programs to occur. He offered
his belief that the test driving is an important economic
development driver that uses local mechanics, garages,
warehouses, and drivers.
2:15:21 PM
JANE PIERSON, Staff, Representative Steve Thompson, Alaska State
Legislature, on behalf of the sponsor, Representative Steve
Thompson, stated this bill would give statutory authority for
experimental vehicle plates to be issued by the Division of
Motor Vehicles (DMV) to manufacturers or distributors for a 12-
month period, with the ability for the license to be renewed for
additional 12-month periods, for a maximum of 36 months. She
clarified that this authority will be restricted to
manufacturing or distributors and not just an individual who has
built an experimental vehicle in a garage. When the vehicles
leave Alaska they are relocated or destroyed since these
vehicles cannot be titled due to their experimental nature. The
bill would amend AS 28.10.181 related to registration of unique
and special vehicles to be used for special purposes, and would
create a special license plate the purposes of cold-weather
experimental vehicles. She reiterated that this is a good
economic driver for Interior Alaska.
2:17:10 PM
REPRESENTATIVE LYNN asked whether other type of testing can be
done.
MS. PIERSON answered that according to DMV currently there isn't
any other testing is going on in Alaska. She deferred to the
department to expand on this.
REPRESENTATIVE LYNN said perhaps other types of testing should
be happening.
MS. PIERSON answered that the sponsor would not have any problem
with expanding the scope of the bill; however, she would like
DMV to respond in case it raises any issues for the department.
2:18:31 PM
REPRESENTATIVE ISAACSON offered his support for HB 176. He
understood that Minnesota is the only other state currently
offering cold-weather testing. He reported that Minnesota
charges $50 for first four license plates and $35 for each one
thereafter. The plates expire each December 31 without any
prorated fees. He asked for a comparison in DMV's fees in
Minnesota and Alaska.
2:19:54 PM
SHELLY MELLOT, Deputy Director, Director's Office, Division of
Motor Vehicles (DMV), Department of Administration (DOA), stated
that DMV currently charges $90 for annual registration fees
since the fees fall under commercial vehicle rates. In response
to Representative Lynn's previous question, she said the
department did not have any issue with going beyond cold-weather
testing. The DMV has visited the facility and currently the
testing is limited to cold-weather testing; however, the
department does not have an issue with removing cold-weather
from the bill.
2:20:53 PM
REPRESENTATIVE ISAACSON asked whether the $90 covers a three
year period per vehicle.
MS. MELLOT answered the fee is every 12 months.
REPRESENTATIVE ISAACSON understood that Alaska's DMV fees would
be higher than the ones Minnesota charges. He asked whether the
DMV sets the fee structure.
MS. MELLOT indicated the legislature sets the fees under AS
28.10.421, noting these vehicles are considered commercial
vehicles.
REPRESENTATIVE ISAACSON asked whether a special category such as
a vehicle testing category could be done in this bill.
2:22:12 PM
REPRESENTATIVE P. WILSON asked for clarification on the effect
of removing "cold-weather" and whether that would allow the
department to be more flexible with respect to experimental
vehicle testing.
MS. MELLOT answered yes; that the change would be more flexible.
2:22:42 PM
ALLISON EARHART, Attorney, Volkswagen Group of America, Inc.
(VWGoA) stated that VWGoA is the parent company of the
Volkswagen operations in the U.S. She offered VWGoA's support
for this bill. She stated she is an in-house attorney for VWGOA
and she specializes in licensing matters. She offered that HB
176 would allow VWGoA to continue to perform its cold-weather
testing in Alaska. She summarized that VWGoA typically tests
its vehicles in Alaska and apply for a one-year registration in
order to do so; however, with more stringent EPA standards it
has become necessary to bring the vehicles back for subsequent
years for additional testing; however, the DMV does not have any
provision available to allow for additional testing in
subsequent years.
2:24:08 PM
REPRESENTATIVE ISAACSON understood this bill would be adequate,
but perhaps removing "cold-weather" would allow other
experimental vehicle testing; however, perhaps the committee
should not worry about adjusting fees at this time. He asked
whether this would be adequate to keep VWGoA in business in
Alaska.
MS. EARHART answered yes.
2:24:47 PM
JIM DODSON, President, Fairbanks Economic Development
Corporation (FEDC) stated that FEDC has been promoting cold-
weather testing for more than 20 years. He characterized it as
a growing industry that creates jobs and helps to diversify the
economy in Interior Alaska and in the state. He reported the
FEDC has partnered with the City of Valdez and the community of
Big Delta to attract the cold-weather automotive industry in
Alaska to do their cold-weather testing. Today at least four
car manufacturers have been performing cold-weather testing in
Fairbanks. The FEDC has advertised Fairbanks as the most
accessible, reliable, and affordable place in the nation to do
cold-weather testing. This industry creates more than 200 jobs
annually in Fairbanks and it is a growing industry. In fact, it
represents an industry that the state has not had to invest
money to attract. The state has the natural weather to attract
cold-weather testing. He urged members to support HB 176 as it
is rewritten.
2:26:13 PM
REPRESENTATIVE GATTIS asked whether Fairbanks is the least
expensive place in the nation to do the testing.
MR. DODSON answered that one factor is the accessibility and
reliability of cold-weather. For example, a manufacturer may go
to Minnesota to perform tests, but if cold-weather doesn't
materialize, the company has lost the opportunity to conduct
testing.
CHAIR P. WILSON remarked she lived in Tok for four years and she
recalled experiencing 78 below zero degree weather without a
wind-chill factor.
2:27:22 PM
JULIE EMSLIE, Project Manager, Cold-weather Testing, Fairbanks
Economic Development Corporation (FEDC) Fairbanks Economic
Development Corporation (FEDC), stated that everyone thinks of
Alaska, especially Interior Alaska, as being cold. She said
that Interior Alaska experiences consistent cold-weather
conditions which are difficult to find anywhere else in the
world. She explained that the weather, combined with the
facilities and vibrant service industry has become a prime
location for companies to cold-weather test its products. This
testing brings significant, positive impacts to the community of
Fairbanks. She estimated that cold-weather testing generates
$500 million annually for the local economy. She pointed out
that the automotive testing industry heavily utilizes Interior
Alaska for cold-weather testing. In fact, it was recently
brought to the FEDC's attention that some of the local
automotive testing companies have encountered issues with
Alaska's current vehicle titling and registration regulations.
As previously stated, this has largely becoming problematic due
to changes in federal regulations on emissions. She said that
Alaska's current laws are incompatible with what the car testing
companies need to do to perform their work. She offered her
belief that HB 176 offers a solution to this problem and the
bill would remove the barrier to automotive testing, but will
also not infringe on the DMV's mission, as well.
2:29:19 PM
REPRESENTATIVE LYNN asked whether the cold-weather testing will
change emission systems and if any provision allows for
experimental types of emission systems. In response to a
question, he repeated his question and clarified that one
emission system may perform better in the cold than others. He
wondered if an alternative system might run afoul of emissions
testing in Alaska, although he acknowledged he was uncertain
about emissions.
MS. MELLOT answered that she is not aware of all the types of
testing being done. She recalled that part of the reason to
perform testing beyond 12 months was due to the requirement by
the EPA for longer periods of emissions testing.
CHAIR P. WILSON pointed out she is somewhat familiar, recalling
it has something to do with the types of gasoline used. She
further recalled Alaska has been working on a [federal]
exemption. She suggested that it might be necessary to revisit
[emissions].
2:31:39 PM
REPRESENTATIVE KREISS-TOMKINS wondered how Fairbanks was
partnering with Valdez on cold-weather testing.
MS. EMSLIE answered it relates to snow levels since Valdez
receives lots of snow whereas Fairbanks does not so Fairbanks
has partnered with Valdez to accommodate all of the cold-weather
testing needs. She stated that [Valdez] has also attended trade
shows and the FEDC can also refer companies to Valdez who are
primarily interested in testing vehicles [in snow conditions].
REPRESENTATIVE KREISS-TOMKINS was curious if any other ways
exist to make Alaska's bad weather economical.
2:32:57 PM
CHAIR P. WILSON, after first determining no one else wished to
testify, closed public testimony on HB 176.
2:33:08 PM
REPRESENTATIVE ISAACSON made a motion to adopt Conceptual
Amendment 1, to remove "cold-weather" on page 1, lines 6, 7, and
11 of HB 176.
REPRESENTATIVE FEIGE objected for purpose of discussion.
CHAIR P. WILSON recapped the reason for Conceptual Amendment 1,
which is to expand the bill to allow for additional vehicle
testing. She advised that the DMV and the VWGoA did not
anticipate any issues arising by taking out "cold-weather."
REPRESENTATIVE FEIGE removed his objection.
There being no further objection, Conceptual Amendment 1 was
adopted.
2:34:12 PM
REPRESENTATIVE ISAACSON moved to report the proposed committee
substitute (CS) for HB 176, labeled [28-LS0674\U, Strasbaugh,
3/18/13], as amended, out of committee with individual
recommendations and the accompanying zero fiscal note. There
being no further objection, the CSHB 176(TRA) was reported from
the House Transportation Standing Committee.
The committee took a brief at-ease.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB0176A.pdf |
HTRA 3/26/2013 1:30:00 PM |
HB 176 |
| HB 176 Sponsor Stmt ver A.pdf |
HTRA 3/26/2013 1:30:00 PM |
HB 176 |
| HB 176 FEDCO support letter.pdf |
HTRA 3/26/2013 1:30:00 PM |
HB 176 |
| HB 176 VWGoA memo.pdf |
HTRA 3/26/2013 1:30:00 PM |
HB 176 |
| HJR013A.pdf |
HTRA 3/26/2013 1:30:00 PM |
HJR 13 |
| HJR 13 Sponsor Statement Coast Guard Vessels.pdf |
HTRA 3/26/2013 1:30:00 PM |
HJR 13 |
| HJR 13 Support NSC fact sheet.pdf |
HTRA 3/26/2013 1:30:00 PM |
HJR 13 |
| HJR 13 support Arctic Shield 2012.pdf |
HTRA 3/26/2013 1:30:00 PM |
HJR 13 |
| HJR 13 support CGC Bertholf - Arctic Circle.pdf |
HTRA 3/26/2013 1:30:00 PM |
HJR 13 |
| HB 176 - CS version U.pdf |
HTRA 3/26/2013 1:30:00 PM |
HB 176 |
| HB176-DOA-DMV-3-22-13.pdf |
HTRA 3/26/2013 1:30:00 PM |
HB 176 |
| HB 176 - CS version U.pdf |
HTRA 3/26/2013 1:30:00 PM |
HB 176 |
| HJR-13-TRA-3-22-13 Home Port Coast Guard Cutter.pdf |
HTRA 3/26/2013 1:30:00 PM |
HJR 13 |