Legislature(1993 - 1994)

03/17/1993 08:50 AM Senate FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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  SENATE BILL NO. 84                                                           
                                                                               
       An  Act relating to  fees for identification cards                      
       and certain motor vehicle licenses and permits; to                      
       licenses issued to drivers and  to revocation of a                      
       license to  drive; and providing for  an effective                      
       date.                                                                   
                                                                               
  Co-chairman  Frank directed  that SB  84 be  brought on  for                 
  discussion.                                                                  
                                                                               
  Senator Kelly acknowledged a problem  with the $215.7 fiscal                 
  note  from  the  Department  of   Public  Safety  but  noted                 
  projected revenue of $815.0, resulting in  a net gain to the                 
  state.                                                                       
                                                                               
  JOSH FINK, aide to Senator Kelly, came before committee.  He                 
  explained  that similar  legislation passed  the House  last                 
  session.  It  is supported  by the Dept.  of Public  Safety,                 
  Dept. of  Health and Social  Services, the health  and human                 
  services  commission  of   the  Municipality  of  Anchorage,                 
  Mothers  Against  Drunk  Driving,  Bristol Bay  Area  Health                 
  Corporation, and the Alcoholic Beverage Control Board.                       
                                                                               
  The bill is  intended to have  a preventative and  deterrent                 
  impact  on use  of fraudulent  licenses for the  purchase of                 
  alcohol by minors.   A hologram would be placed  on licenses                 
  to prevent tampering.   The phrase "under  twenty-one" would                 
  be inscribed across the face of  licenses for minors to make                 
  it  easier for alcohol  providers to identify  those who are                 
  underage.     Those   who  are   caught   using   fraudulent                 
  identification  to  purchase  alcohol would  be  subject  to                 
  revocation of driving privileges for 60 days.                                
                                                                               
  JUANITA HENSLEY,  Chief, Driver  Services,  Dept. of  Public                 
  Safety, next came before committee.   She voiced support for                 
  the bill as well  as "anything that we can do  to save lives                 
  and prevent alcohol deaths."                                                 
                                                                               
  Directing  attention  to  the  department  fiscal  note, Co-                 
  chairman Frank asked  why three  additional people would  be                 
  needed to administer  the program.   Mrs. Hensley  explained                 
  that the department  estimates an  additional 1,500  license                 
  revocations  a  year.     One  bar  in   Anchorage  annually                 
  confiscates   approximately   400   licenses   from   minors                 
  attempting to purchase alcohol.   The department estimate is                 
  extremely conservative.  There is no way of knowing how many                 
  licenses will actually  be involved.   Approximately 500  to                 
                                                                               
                                                                               
  700  per  year  are  turned  over   to  the  ABC  Board  and                 
  subsequently forwarded to the department.                                    
                                                                               
  Senator Kelly suggested  that licenses for minors  bearing a                 
  hologram and the  above noted  inscription would reduce  the                 
  number of young people attempting  to enter bars or purchase                 
  alcohol.    Mrs. Hensley  explained  that young  people will                 
  sometimes  use the birth certificate of  an older brother or                 
  sister  to obtain a fraudulent duplicate license.  A license                 
  inscription identifying a minor  as being "under twenty-one"                 
  is not going to stop that behavior.                                          
                                                                               
  Last  year's budget contained funding for technical upgrades                 
  within  the  department.    That  funding will  purchase  an                 
  imaging system for  the Anchorage field office.   This pilot                 
  project for driver license photos  will allow the department                 
  to retrieve the photo of the  driver for comparison with the                 
  applicant.                                                                   
                                                                               
  In response to a question  from Senator Rieger, Mrs. Hensley                 
  concurred that while there was no problem  with the proposed                 
  bill, it would not close  some already identified loopholes.                 
                                                                               
                                                                               
  End, SFC-93, #41, Side 1                                                     
  Begin, SFC-93, #41, Side 2                                                   
                                                                               
  Discussion  followed  between  Co-chairman  Frank  and  Mrs.                 
  Hensley regarding  existing penalties associated with use of                 
  false identification.  The normal  penalty is ten days  with                 
  ten  days  suspended and  a  $100  fine.   Unless  the false                 
  identification  is  used to  defraud  someone of  money, the                 
  lesser misdemeanor  violation rather than felony  forgery is                 
  most often utilized  because prosecutors simply do  not have                 
  the time to pursue a felony conviction.                                      
                                                                               
  Co-chairman Frank asked if the  three positions requested by                 
  the department relate to revocation  hearings.  Mrs. Hensley                 
  answered  that  one  would  be  an  administrative   hearing                 
  officer.  The request is based on the fact that 25% of those                 
  arrested for  DWI request  an administrative  hearing.   The                 
  other two are entry-level document processor II positions to                 
  process the other 75% of the paper work, etc.                                
                                                                               
  Further discussion followed between the Co-chairman and Mrs.                 
  Hensley regarding  issues in dispute  when an administrative                 
  hearing is requested.  Mrs. Hensley noted:                                   
                                                                               
       1.   Did the individual obtain false identification?                    
       2.   Was false identification used to purchase alcohol?                 
       3.   Should the license be revoked?                                     
                                                                               
  Additional discussion followed concerning processes involved                 
  in conducting  administrative hearings.   The  proposed bill                 
                                                                               
                                                                               
  specifies that the hearing will be held telephonically.  The                 
  hearing officer will be based  in Anchorage.  The department                 
  would like to see this provision applied to DWI law as well.                 
  Co-chairman Frank concurred in that approach.                                
                                                                               
  Senator Kelly suggested  that forfeiture of  an individual's                 
  permanent fund dividend be added as a penalty in addition to                 
  the proposed 60-day revocation of license under the proposed                 
  bill.                                                                        
                                                                               
  Mrs. Hensley  noted that  the cost  of a  duplicate driver's                 
  license is presently $3.  The  proposed bill increases it to                 
  $5.  From the department's standpoint, it takes more time to                 
  issue a duplicate  license than to renew a  license.  If the                 
  fee  was raised  to  $10, it  would  generate an  additional                 
  $312.0.                                                                      
                                                                               
  Senator Rieger  inquired regarding the  revenue fund  source                 
  set  forth  on the  department  fiscal note.    Mrs. Hensley                 
  explained  that reinstatement fees contribute to the program                 
  receipts.  Further  discussion of incoming program  receipts                 
  followed.                                                                    
                                                                               
  Senator  Kelly requested  that  staff  prepare an  amendment                 
  requiring that someone caught using false identification  to                 
  purchase alcohol  would forfeit  his or  her permanent  fund                 
  check.                                                                       
                                                                               
  Mrs. Hensley noted that the  number of licenses suspended or                 
  revoked each year  is extremely  high.  Approximately  5,700                 
  are suspended for DWI, 8,300 for court revocation, 6,200 for                 
  accident involvement with no  insurance, and 400 to 600  for                 
  fraudulent driver licenses.                                                  
                                                                               
  Co-chairman Frank next inquired concerning  Court System and                 
  Dept. of Correction costs associated with the proposed bill.                 
  Senator Kelly suggested  that only a small  percentage would                 
  continue  to  drive once  the  license  was revoked.    Mrs.                 
  Hensley noted that a driver's license is extremely important                 
  to minors.  It is  hoped that the threat of revocation  will                 
  prevent them  from using  false identification.   While  the                 
  potential is there  for them to continue  to drive following                 
  revocation, studies  indicate that they drive more carefully                 
  for fear of getting caught.                                                  
                                                                               
  In the course  of discussion relating to charges for driving                 
  licenses and  duplicate licenses, Mrs. Hensley  advised that                 
  the proposed hologram  would add approximately $0.25  to the                 
  cost  of  the license.   Senator  Kelly  noted that  the fee                 
  charged  for an  Alaska driver's  license is much  less than                 
  that paid in other states.  Mrs. Hensley  noted that the fee                 
  in Alaska equates to $2 a year ($10 for a five year period).                 
  She  referenced  a  list  of  states  and  the fees  charged                 
  thereby,  and concurred that Alaska's is among the lowest in                 
                                                                               
                                                                               
  the nation.  Costs range from $1.75 to $6.25 per year.                       
                                                                               
  Co-chairman  Frank asked  if the  department had  considered                 
  increasing  the  five-year  license  period  to  relieve the                 
  workload on  the department.   Mrs.  Hensley  said that  the                 
  department  had  looked  at  renewal   by  mail.    Problems                 
  associated with a  longer term,  ten-year, license are  age,                 
  changes in vision, health, etc.                                              
                                                                               
  Senator Rieger suggested that  two-year vehicle registration                 
  rather than  the current  annual renewal  would save  costs.                 
  Co-chairman  Frank concurred,  advising that  exploration of                 
  that possibility  ran into  difficulty in  terms of  vehicle                 
  emission testing in  Anchorage and Fairbanks.   Mrs. Hensley                 
  acknowledged that the department presently has authority for                 
  registration every two  years.  It has  encountered problems                 
  with  both  ion  testing  and   yearly  property  taxes  the                 
  department collects on behalf of some municipalities.                        
                                                                               
  Co-chairman  Frank  directed  that  the   bill  be  HELD  in                 
  committee  while  cost  features  of  the  fiscal  note  and                 
  possible amendments are reviewed.                                            
                                                                               

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