Legislature(2015 - 2016)HOUSE FINANCE 519
04/05/2016 05:00 PM House FINANCE
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Audio | Topic |
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Start | |
HB319 | |
HB250 | |
HB249 | |
Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
+ | HB 319 | TELECONFERENCED | |
*+ | HB 250 | TELECONFERENCED | |
+ | HB 249 | TELECONFERENCED | |
+ | TELECONFERENCED |
HOUSE BILL NO. 319 "An Act relating to registration fees for snowmobiles and off-highway vehicles." 5:03:36 PM Co-Chair Neuman MOVED to ADOPT proposed committee substitute for HB 319, Work Draft 29-LS1444\H (Wallace/Martin, 4/1/16). There being NO OBJECTION, it was so ordered. JANE PIERSON, STAFF, REPRESENTATIVE STEVE THOMPSON, explained that the only difference in the new version was a repealer added for July 1, 2019. 5:04:54 PM REPRESENTATIVE CATHY TILTON, SPONSOR, HOUSE DISTRICT 12, explained HB 319: Passage of House Bill 319 would increase two-year snowmobile registration fees from $10 to $20 and allow a six-year registration fee of $50. The measure has support from snow machine users as a way to help the state during cash-strapped times and back funding to develop and maintain snowmobile trails and provide safety and educational programs. Current snowmobile registration fees generate up to $250,000 a year for the Snowmobile Trail Development Program which is managed by the Department of Natural Resources' Division of Parks and Outdoor Recreation and the nine-member Snowmobile Trails Advisory Council (SnowTRAC). SnowTRAC approved a resolution last August in support of the provisions of HB 319, saying Alaska's snowmobile trails program is revenue-neutral, self- funded, and user-based. The council also said the demands for trail maintenance, development, and safety continue to grow and that support for winter trails brings increased business and recreational opportunities to communities across the state. HB 319 helps promote snowmobile user safety and enjoys support from those who are willing to pay more for a service they need and enjoy. 5:08:52 PM Co-Chair Neuman wanted to clarify that no state money would be funding the bill. Representative Tilton responded correct. Co-Chair Neuman asked when the rates were last adjusted. Representative Tilton responded that the rates were adjusted in 2008, at the program's inception. Co-Chair Neuman asked whether the groups were supportive of the bill, because of the high cost of fuel. Representative Tilton replied in the affirmative. Representative Gattis wondered whether the stickers were the same as the state park stickers. Representative Tilton replied that the stickers for state parks were a separate program. She explained that the registration fees on a snow mobile was at the point of purchase. Representative Gattis wondered whether an unregistered snowmobile would be against the law. Co-Chair Thompson explained that it was just like registering the car. Representative Gattis felt confused about the difference between the separate registration stickers. Co-Chair Neuman stressed that a snow machine must be registered in order to use it on state land. He explained that the Department of Motor Vehicles (DMV) would use the money for that sticker for trail grooming. Representative Gattis surmised that a one must have a state park sticker and a registration sticker. Co-Chair Neuman shared that a state park sticker was not required, but a snow machine must be registered to use on state land. Representative Gattis placed on record that she had been registered the entire time. 5:13:27 PM Representative Guttenberg wondered if there was a list of grantees. Representative Tilton replied that the monies were delivered through the capital projects through the Snowmobile Trail Development Program. She explained that SnowTRAC administered the funds. She announced that, in the last year's cycle, the funds were administered to seventeen different organizations such as Big Lake, the Denali Highways Trails Club, Hatcher's Pass, Juneau, the Chena River State Recreational Area, Petersville, Willow Area Trails, and the Yukon Quest Trail. Representative Guttenberg wondered if the grants were allocated proportionately by community or in another way. Representative Tilton deferred to Ben Ellis. 5:16:09 PM BEN ELLIS, DIRECTOR, ALASKA DIVISION OF STATE PARKS AND OUTDOOR RECREATION, DEPARTMENT OF NATURAL RESOURCES, stated that the percentage of distribution depended on the type of request. He shared that SnowTRAC was an advisory board, and ranked the grant requests. He stated that there were approximately 50 percent more requests than funds available. He stated that the recipients would receive a portion of the request, and either reduce grooming activity or seek alternative funding. He stressed that the requests were granted at the beginning of the season, so there was no way of knowing the exact grooming requirements. He stated that leftover money was rolled over year to year, and became part of the entire pool that could be used for safety and education the following year. Representative Wilson wondered whether there was any attempt to allocate funds based on areas in which people were registered. Mr. Ellis replied in the negative. Representative Wilson wondered whether a scoring process was used. Mr. Ellis responded that there was a scoring process established by the SnowTRAC Board. He stressed that it was an advisory board, so there were times when he may not adhere to the recommendations. Representative Gattis relayed that there were many people that purchased registrations in Anchorage who would use the machines in the Mat-Su 5:22:51 PM AL BARRETTE, SELF, FAIRBANKS (via teleconference), strongly opposed HB 319. He talked about people who never re- registered their machines in the Interior. He did not feel that he should have to support a dog race with his registration fee. He referred to Page 1, Line 4 which defined an "Off-road vehicle." He thanked the committee. 5:25:38 PM ROD ARNO, ALASKA OUTDOOR COUNCIL, PALMER (via teleconference), supported the legislation. Users were willing to pay their own way. He thought that with the additional in the committee substitute would give the users the opportunity to observe the use of the funds to see the benefits of the program. He thanked the sponsor for putting the bill forward and urged support for the bill. 5:27:37 PM STEVEN SAMUELSON, SELF, PETERSBERG, did not support the bill. He had paid registration for his snow machine. He had never seen grooming done on the trails he had used. He did not support paying fees that would cover the cost of grooming elsewhere. Co-Chair Thompson CLOSED public testimony. Co-Chair Thompson discussed the fiscal note. Co-Chair Neuman was a high use snow machine user. He remarked that much of the money would be used for safety instruction classes. 5:33:00 PM Vice-Chair Saddler relayed that in his experience thought it was appropriate that a self-funded program benefit the recreation zones. Representative Edgmon was going to support the bill but did not think much of the funding would reach the area he represents. Co-Chair Thompson addressed the sunset date. Representative Wilson mentioned that in Section 6 there was a repealer but another part took effect. She could not support the bill. 5:35:44 PM Ms. Pierson explained that the way it was written if it did not be re-implemented. The repealer returns to the previous registration fee. Representative Wilson stressed that the tags were required, but would require no action by the legislature in 2019. Ms. Pierson responded that Representative Wilson was correct. Representative Wilson had a problem with the bill was because she did not think that all users would benefit. Her larger issue was because it was not a user fee. She was not willing to place additional taxes on people. 5:38:16 PM Co-Chair Neuman MOVED to REPORT CSHB 319 (FIN) out of committee with individual recommendations and the accompanying fiscal note. There being NO OBJECTION, it was so ordered. CSHB 319 (FIN) was REPORTED out of committee with a "do pass" recommendation and with one new fiscal impact note from the Department of Administration. 5:38:16 PM AT EASE 5:41:22 PM RECONVENED 5:41:38 PM
Document Name | Date/Time | Subjects |
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HB 319 CS WORKDRAFT FIN v.H 4-1-16.PDF |
HFIN 4/5/2016 5:00:00 PM |
HB 319 |
DOR Tax Division Presentation INCOME HB250 4-4-16 final.pdf |
HFIN 4/5/2016 5:00:00 PM |
HB 250 |
HB 249 DOR Tax Division Presentation MOTOR FUEL HB249 4-5-16 final.pdf |
HFIN 4/5/2016 5:00:00 PM |
HB 249 |
HB319 Supporting Documents - Dan Mayfield letter of support, 5 April 2016.pdf |
HFIN 4/5/2016 5:00:00 PM |
HB 319 |
HB 249 DOT Response International Fuel Tax (5).pdf |
HFIN 4/5/2016 5:00:00 PM |
HB 249 |
HB 250 DOR Response to House Finance - 4.14.16 Signed by RH.pdf |
HFIN 4/5/2016 5:00:00 PM |
HB 250 |