Legislature(1995 - 1996)
03/29/1996 01:50 PM House FIN
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SENATE BILL 226
"An Act relating to biennial registration of motor
vehicles; imposing biennial registration fees on motor
vehicles and authorizing a scheduled biennial municipal
tax on motor vehicles; relating to fees for motor
vehicle emissions control programs; and providing for
an effective date."
TOM WILLIAMS, STAFF, SENATOR STEVE FRANK, stated that SB 226
would require motor vehicle registration to be renewed once
every two years instead of annually. This would result in
shorter customer service lines at the Division of Motor
Vehicles (DMV) by reducing the necessity for frequent public
contact.
Mr. Williams commented, to help offset the burden of having
to pay two years fees at once, the legislation would give
the public a small registration fee break. However, despite
the small fee break to the public, the State and those
municipalities which have a motor vehicle registration would
receive additional one time revenues in the year of
implementation due to the accelerated collections.
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Mr. Williams requested the Committee's consideration of a
technical amendment #9-LS1352\K.2, Ford, 3/22/96, Amendment
effective date section.
Mr. Williams added that Amendment #2, #9LS1452\K.3, Ford,
3/25/96, and Amendment #3, #9LS1452\K.7, Cook, 3/28/96, were
also recommended for adoption. [Copies on file].
Representative Parnell MOVED to adopt Amendment #1 which
would change the effective date to 1/01/97 for biennial
registrations. There being NO OBJECTION, it was adopted.
Co-Chair Hanley questioned the feasibility of implementing
the legislation by 7/01/96.
RON KING, CHIEF, AIR QUALITY IMPROVEMENT SECTION, DEPARTMENT
OF ENVIRONMENTAL CONSERVATION, testified in favor of a joint
implementation of the biennial vehicle inspection program
with a biennial vehicle registration program. He assessed
that the Department submitted a letter requesting that the
implementation date for the biennial inspection program be
changed from 7/01/96 to 1/01/97.
Mr. King noted that vehicle inspection and registration
programs are intricately linked, and it would be essential
to have an orderly transition period. He advised that he
has had problems with the modification of the software for
the test analyzers. The analyzer manufacturers have
indicated that they could not complete the software
modifications until 11/01/96.
Mr. King continued, if the amendment was adopted, the
Department would have to implement a manual system that
would be labor intensive and would require considerable
cooperation from the facilities performing the tests.
The second option and the one preferred by the Department
would be to delay the implementation of the biennial vehicle
inspection program until 1/01/97. Under that option,
computer software modifications would be completed. Mr.
King added that the Department would request that the two
programs be implemented simultaneously.
JUANITA HENSLEY, CHIEF, DRIVER SERVICES, DIVISION OF MOTOR
VEHICLES, DEPARTMENT OF PUBLIC SAFETY, stated that the
legislation would need to be passed by 4/01/96 in order for
the Department to be able to implement it by 7/01/96.
Renewal registration forms are mailed out four months in
advance and people need to know the duration of their
registration and how much it will cost them.
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Co-Chair Hanley agreed that both concerns should be
implemented at the same time. Mr. King pointed out that the
statutory starting time had been based on SB 28. SB 226
would change the initial date. Co-Chair Hanley encouraged
passage of the amendment in which both would begin 1/01/97.
Mr. Williams stated that the motion would not require a
title change resolution, although, would require a 2/3
effective date vote change.
Mr. King responded to Representative Brown's question,
stating that the Department would do the best they could in
implementing the program without the requested $50 thousand
dollar allocation, while reminding the Committee that this
would be a fiscally "tight" budget year. Mr. King explained
that the $50 thousand dollar note would be an on-going fee
as authorized in SB 28 language. Amendment #2 was
WITHDRAWN.
Representative Mulder MOVED to adopt Amendment #3. [Copy on
file]. There being NO OBJECTION, it was adopted.
Representative Mulder MOVED to WITHDRAW Amendment #4. [Copy
on file]. There being NO OBJECTION, it was WITHDRAWN.
Representative Mulder spoke to Amendment #5, #9-LS1452\K.4,
Ford, 3/28/96. [Copy on file]. He noted that the amendment
had been requested by the Municipality of Anchorage and that
it would allow that the inspection program not be related to
the air quality program. Mr. Williams indicated that
Senator Frank was opposed to Amendment #5.
Representative Mulder spoke to Amendment #6, #9-LS1452\K.8,
Ford, 3/29/96. [Copy on file]. He stated that Amendment #6
had been provided by car rental agencies in Anchorage to
address a matter of equity in the registration costs.
Co-Chair Hanley requested that a written response to the
amendments be provided by the Department of Public Safety,
the Department of Environmental Conservation and the
sponsor, Senator Frank.
CS SB 226 (FIN) am was HELD in Committee for further
consideration.
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