03/26/1998 01:45 PM House FIN

SENATE BILL NO. 157                                                            
                                                                               
"An Act establishing a children's trust motor vehicle                          
registration plate."                                                           
                                                                               
SENATOR DAVE DONLEY commented that SB 157 would establish a                    
motor vehicle registration plate that the Division of Motor                    
Vehicles (DMV) would design and issue to represent the                         
Alaska Children's Trust.  He commented that this action                        
would allow the Legislature to appropriate funds received                      
from the sale of these registration plates into the                            
principal of the Alaska Children's Trust.                                      
                                                                               
Representative Martin voiced concern with the State                            
becoming a fundraiser for nonprofit organizations.  Co-                        
Chair Therriault clarified that the money would accrue into                    
the general fund and that the Legislature would deposit it                     
into the Children's Trust.  He advised that the Trust is                       
not a charitable organization.                                                 
                                                                               
Senator Donley commented that the Child's Trust had been                       
created by statute.  The revenue from the corpus would                         
allow the Children's Trust Board to administer grants for                      
child protection purposes, promoting children in the State.                    
It will be subject to Legislative appropriation.                               
                                                                               
JUANITA HENSLEY, DIVISION OF MOTOR VEHICLES, DEPARTMENT OF                     
ADMINISTRATION, commented that the Division currently has                      
45 different license plates in stock.  In response to                          
Representative Martin, Ms. Hensley noted the the revenue                       
from the University plates goes back into the University's                     
budget and that revenue received from the Veterans plates                      
goes directly into the general fund.  The University plate                     
has been the only plate to date which generates income                         
specifically for the authority represented.  The cost range                    
of plates is between $30 to $50 dollars per set.                               
                                                                               
Co-Chair Therriault questioned the $5 thousand dollars                         
which had been allocated for graphic design.  He noted that                    
Senator Donley had suggested that there could be a contest                     
to create the design.  Ms. Hensley replied that the                            
Division would have to work with the plate manufacturers to                    
assure the quality of the product made.                                        
                                                                               
Co-Chair Therriault asked why the fiscal note did not                          
indicate the anticipated revenue.  Ms. Hensley responded                       
that it is difficult to predict the volume of specialty                        
plates which will sell.  Consequently, the anticipated                         
revenue was asterisked.                                                        
                                                                               
Representative Martin asked if the State would be                              
reimbursed for the initial costs.  Ms. Hensley advised such                    
action would be the call of the Legislature.  Senator                          
Donley pointed out that language had been addressed on Page                    
2, Section 2.  Ms. Hensley stressed that it is imperative                      
during Conference Committee that the fiscal note be funded.                    
She stressed that the Division does not have enough                            
existing funds to substantiate the legislation.                                
                                                                               
SHARI PAUL, SPECIAL ASSISTANT, CHILDREN'S TRUST, OFFICE OF                     
THE GOVERNOR, explained that the primary purpose of the                        
Alaska Children's Trust is to work in partnership with                         
communities, private business, and government to reduce and                    
prevent child abuse, neglect, and family violence.  The                        
Children's Trust will improve the status of children in                        
Alaska by generating funds and committing resources to                         
promote healthy families and by assisting in developing                        
healthy communities.                                                           
                                                                               
Representative J. Davies MOVED to report CSSB 157 (FIN) out                    
of Committee with individual recommendations and with the                      
accompanying fiscal note.  There being NO OBJECTION, it was                    
adopted.                                                                       
                                                                               
CSSB 157 (FIN) was reported out of Committee with                              
individual recommendations and with a fiscal note by the                       
Department of Administration.