Legislature(1999 - 2000)

02/07/2000 01:50 PM House FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
HOUSE BILL NO. 108                                                                                                              
                                                                                                                                
An Act relating to the use, operation, and regulation                                                                           
of boats; establishing a uniform state waterway marking                                                                         
system; and providing for an effective date.                                                                                    
                                                                                                                                
MIKE TIBBLES, STAFF, REPRSENTATIVE GENE THERRIUALT, spoke to                                                                    
Amendment #1, 1-LS0445\U.1, Ford, 2/7/00.  [Copy on File].                                                                      
The amendment would insert "by a person who has not                                                                             
established residency as described under AS 01.10.055".  He                                                                     
noted that original language did not address the difference                                                                     
between residents and non-residents and would have exempted                                                                     
all paddleboats.  The amendment adds the language, that if                                                                      
you are a non resident, you would have 90 days before you                                                                       
would be required to register your boat, however, if you are                                                                    
a resident, you would be required to register your paddle                                                                       
boat regardless of the amount of time intended to use the                                                                       
boat.                                                                                                                           
                                                                                                                                
Vice Chair Bunde MOVED to adopt Amendment #1.  There being                                                                      
NO OBJECTION, Amendment #1 was adopted.                                                                                         
                                                                                                                                
Mr. Tibbles spoke to Amendment #2, 1-LS0445\U.3, Ford,                                                                          
2/7/00.  [Copy on File]. He explained in the current draft,                                                                     
the director of Legislative Finance would be responsible to                                                                     
notify the reviser of the statute.  If no federal receipts                                                                      
were received by the State, the language of the amendment                                                                       
would speak to that.  Amendment #2 would remove the director                                                                    
of the Legislative Finance Division and would specify the                                                                       
Chair of Legislative Council.   Additionally, there would be                                                                    
language added which would speak to the federal funds                                                                           
received during the year.  Co-Chair Therriault clarified                                                                        
that this should be action approved by the majority of the                                                                      
Legislative Council.                                                                                                            
                                                                                                                                
MELINDA HOFSTAD, STAFF, REPRESENTATIVE BILL HUDSON,                                                                             
testified that Representative Hudson did support Amendment                                                                      
                                                                                                                                
Vice Chair Bunde MOVED to adopt Amendment #2.  There being                                                                      
NO OBJECTION, it was adopted.                                                                                                   
                                                                                                                                
Co-Chair Therriault questioned the fiscal note.                                                                                 
                                                                                                                                
Ms. Hofstad spoke to the Department of Administration's                                                                         
fiscal note.  She commented on the potential to bring in                                                                        
federal dollars somewhere between $400,000 and $600,000                                                                         
dollars per year to operate the boating safety program and                                                                      
the registration of the vessels. Ms. Hofstad reiterated,                                                                        
following the initial set-up costs, the State could expect                                                                      
to receive these funds to be used for the boating safety                                                                        
program. She clarified that it was expected that the funds                                                                      
would be used for that program, however, added that would be                                                                    
decided by future legislatures.                                                                                                 
                                                                                                                                
Co-Chair Therriault asked if the amount should be indicated.                                                                    
Ms. Hofstad replied that it should represent total operating                                                                    
costs.  She added that the program would be a potential                                                                         
moneymaker for the State and would be revenue positive after                                                                    
the first year.                                                                                                                 
                                                                                                                                
In response to queries by Co-Chair Therriault, Ms. Hofstad                                                                      
stated that she was referring to the total operating costs.                                                                     
She pointed out that changes in revenue are indicated on the                                                                    
note.  Ms. Hofstad repeated that the intent of the proposed                                                                     
legislation was to get people into the safety aspect of the                                                                     
program.                                                                                                                        
                                                                                                                                
Co-Chair Mulder referenced the non-motorized boats such as                                                                      
canoes, 10' and over, and asked if they were currently                                                                          
required to be registered with the Coast Guard.  Ms. Hofstad                                                                    
noted that they are not.  She added that one reason they                                                                        
were included in the registration section is that a large                                                                       
percentage of the deaths which occur in recreational                                                                            
boating, happen in non-motorized vessels.  She stated it is                                                                     
important that those boat owners are contributing and                                                                           
registered in the program in order that lives can be saved.                                                                     
                                                                                                                                
Co-Chair Mulder interjected if these people will be taxed so                                                                    
that "they can be saved".  Ms. Hofstad replied that there                                                                       
are two different programs which address the safety aspects.                                                                    
Additionally, there are two types of vessel groups, the                                                                         
motorized and the non-motorized.  The intent is to include                                                                      
all boat users.                                                                                                                 
                                                                                                                                
Co-Chair Mulder emphasized that the pool of people being                                                                        
required to pay would be expanded through the proposed                                                                          
legislation.  He pointed out that currently there are 33,300                                                                    
non-powered boat registrations processed each year at $10                                                                       
dollars.  He believed his constituents would not appreciate                                                                     
the legislation.                                                                                                                
                                                                                                                                
REPRESENTATIVE BILL HUDSON advised that the majority of                                                                         
accidents in the State of Alaska take place in small                                                                            
vessels.  When providing search and rescue, it is difficult                                                                     
to determine who owns these boats.  He pointed out that many                                                                    
times boats are found drifting.  Through the proposed                                                                           
legislation, the boat owner would be required to have on                                                                        
their boat, a small decal with large numbers so that they                                                                       
could be quickly recognized.  He emphasized that this is not                                                                    
a matter of the money to be generated, but rather an                                                                            
opportunity to help identify in the search and rescue                                                                           
situations.  He understood the concerns voiced by Co-Chair                                                                      
Mulder.  Representative Hudson clarified that the cost would                                                                    
be $10 dollars for three years.  He reiterated that this                                                                        
legislation would help to save lives.                                                                                           
                                                                                                                                
Co-Chair Mulder noted that he had based his statement upon                                                                      
information included in the fiscal note.  Representative                                                                        
Hudson clarified that the note stipulates only one third of                                                                     
the boats would register each year.  Ms. Hofstad pointed out                                                                    
that Representative Hudson had worked with the two largest                                                                      
non-powered boat groups and that both of those groups had                                                                       
endorsed the legislation.  They believe these safety                                                                            
benefits will help boat users.                                                                                                  
                                                                                                                                
Co-Chair Mulder understood why the large groups would                                                                           
endorse the bill but he did not believe that group                                                                              
represented the general rank of the casual user.  He stated                                                                     
that those constituents will resist the proposed                                                                                
legislation.  He suggested that a good safety educational                                                                       
program could be provided without including that group under                                                                    
the umbrella of the bill.  He recommended using the fiscal                                                                      
note to buy life jackets and then place them on the ends of                                                                     
each dock.   He advised that would save more money than the                                                                     
proposed education program.                                                                                                     
                                                                                                                                
Representative Grussendorf reminded members of previous                                                                         
testimony and the support voiced by specific groups.  He did                                                                    
agree that the "paddle boat aspect" would be a concern for                                                                      
the individual users.                                                                                                           
                                                                                                                                
Co-Chair Therriault referenced the fiscal note provided by                                                                      
the Department of Administration, Page 3, which would                                                                           
require three-year registration.  He reiterated that                                                                            
language was not clear regarding the length of time for the                                                                     
registration renewals.  He asked the total number of                                                                            
paddleboats in use throughout the State.  Ms. Hofstad                                                                           
clarified that there are 90,000 paddleboats in the State,                                                                       
and noted that information had been specified in the bill.                                                                      
                                                                                                                                
Co-Chair Therriault explained that the Department would                                                                         
address this work in much the same manner as it does with                                                                       
the Division of Motor Vehicles (DMV).  He advised that if                                                                       
the municipalities wanted access to the raw data regarding                                                                      
the information, they would then be responsible to refine it                                                                    
at their at their own expense.                                                                                                  
                                                                                                                                
Representative Austerman MOVED to report CS HB 108 (FIN) out                                                                    
of Committee with individual recommendations and with the                                                                       
accompanying fiscal notes.  There being NO OBJECTION, it was                                                                    
so ordered.                                                                                                                     
                                                                                                                                
CS HB 108 (FIN) was reported out of Committee with a "do                                                                        
pass" recommendation and with a fiscal note by the                                                                              
Department of Administration and zero notes by the                                                                              
Department of Public Safety and the Department of Natural                                                                       
Resources.                                                                                                                      

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