Legislature(1999 - 2000)

04/08/1999 01:20 PM House JUD

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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HB 108 - USE, REGULATION, AND OPERATION OF BOATS                                                                                
                                                                                                                                
CHAIRMAN KOTT announced that the first order of business is HB 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."                                                                                                         
                                                                                                                                
CHAIRMAN KOTT noted that the committee should have copies of the                                                                
proposed committee substitute (committee substitute) which reflects                                                             
the changes discussed at the April 7, 1999 hearing.                                                                             
                                                                                                                                
Number 0097                                                                                                                     
                                                                                                                                
REPRESENTATIVE HUDSON, Sponsor of HB 108, noted that at the last                                                                
hearing there was concern regarding the failure to register being                                                               
labeled a class A misdemeanor which some felt was an excessive                                                                  
penalty.  Therefore, on page 9, line 7 the failure to register was                                                              
added to the list of violations.  Representative Hudson recalled                                                                
that there had been discussion regarding the need to restrict the                                                               
amount of meetings the Alaska Boating Safety Council could have.                                                                
Therefore, it was determined that two council meetings per year                                                                 
would be appropriate and such language was included on page 8, in                                                               
Section 7 (c).  He noted this would not restrict the council from                                                               
meeting electronically.  Both those changes are incorporated into                                                               
the proposed committee substitute, Version LS044\S, Ford, 4/7/99.                                                               
                                                                                                                                
CHAIRMAN KOTT believed that one of the concerns raised was in                                                                   
regard to Section 4, AS 05.25.040 which deals with reporting.                                                                   
There was discussion regarding the location of that in the proposed                                                             
committee substitute.                                                                                                           
                                                                                                                                
REPRESENTATIVE HUDSON clarified that he was looking at page 4 of                                                                
the proposed committee substitute, Version S.                                                                                   
                                                                                                                                
Number 0322                                                                                                                     
                                                                                                                                
REPRESENTATIVE GREEN moved to adopt the proposed committee                                                                      
substitute, Version LS044\S, Ford, 4/7/99, as the working document                                                              
before the committee.  There being no objection, it was so ordered.                                                             
                                                                                                                                
CHAIRMAN KOTT expressed concern with Section 11, the penalties                                                                  
section of the proposed committee substitute.  Section 11 (b) does                                                              
not include AS 05.25.030 which deals with rendering assistance                                                                  
reporting.  He stated, "That's the two main areas which would then                                                              
include that particular section in the penalty section which would                                                              
make it a class A misdemeanor."                                                                                                 
                                                                                                                                
SUE HARGIS, Boating Safety Specialist, Alaska Coast Guard,                                                                      
explained that AS 05.25.030 was not placed in the violations                                                                    
section was due to the issue of rendering assistance.  "So you                                                                  
could basically have a hit and run accident and then that would                                                                 
have been reduced to a violation by switching that whole section.                                                               
So, if you wanted to consider--previously the state had in the                                                                  
bill, that the person was guilty of a misdemeanor was not a                                                                     
classified misdemeanor.  So, if you want to reduce that to a class                                                              
B misdemeanor or something else.  But that's why, I think, the                                                                  
rationale and the discussions yesterday for not switching 030 [AS                                                               
05.25.030] into that violations section was strictly because of                                                                 
reducing the penalty for somebody who might be involved in a hit                                                                
and run accident rather than the reporting issue."                                                                              
                                                                                                                                
CHAIRMAN KOTT pointed out that in Section 4 which discusses                                                                     
reporting, one would remain subject to penalties under the class A                                                              
misdemeanor for not reporting.  To put someone away for up to a                                                                 
year with a fine up to $1,000 under a class A misdemeanor seems a                                                               
bit harsh.  Chairman Kott said that he would prefer a class B                                                                   
misdemeanor which carries up to 180 days in jail and a $500 fine.                                                               
Chairman Kott commented that would be a policy call for the                                                                     
committee.                                                                                                                      
                                                                                                                                
REPRESENTATIVE HUDSON agreed that a class A misdemeanor is probably                                                             
excessive, therefore it would be reasonable to change to a class B                                                              
misdemeanor.                                                                                                                    
                                                                                                                                
REPRESENTATIVE CROFT understood then that failure to render                                                                     
assistance would remain a class A misdemeanor while failure to                                                                  
report would be a class B misdemeanor.                                                                                          
                                                                                                                                
CHAIRMAN KOTT indicated that was the direction being taken.  The                                                                
committee should consider whether those two should be separated or                                                              
AS 05.25.030 placed in its entirety as a class B misdemeanor under                                                              
the penalty section.  Chairman Kott further clarified that the                                                                  
class A misdemeanor would be switched to a class B misdemeanor.                                                                 
This is a policy call.  He noted AS 05.25.030 could be placed in                                                                
the fine section and rendering assistance could be left as a class                                                              
A misdemeanor.  Chairman Kott thought that AS 05.25.030 should be                                                               
a class B misdemeanor so that anything other than those listed in                                                               
the penalties section would be a class B misdemeanor which would                                                                
cover rendering assistance and reporting.                                                                                       
                                                                                                                                
Number 0714                                                                                                                     
                                                                                                                                
REPRESENTATIVE CROFT said he felt it important to separate                                                                      
subsection (b) which defines a violation from a class B                                                                         
misdemeanor.  Currently, there are two levels:  a misdemeanor and                                                               
a lower violation such as a traffic ticket.  Representative Croft                                                               
did not believe the bill included a class B misdemeanor; the bill                                                               
only includes a misdemeanor or a violation.  Placing AS                                                                         
05.25.030(b) under subsection (b) of the bill which defines only                                                                
violations would leave (a) as a misdemeanor and should accomplish                                                               
what Chairman Kott desired.  Would it be inappropriate to have the                                                              
failure to report within 20 days as a violation?                                                                                
                                                                                                                                
MS. HARGIS stated that would be appropriate because the other                                                                   
portion in subsection (a) is negligent operations which she                                                                     
suggested should not be lowered.  Either meets the Coast Guard's                                                                
standards.                                                                                                                      
                                                                                                                                
REPRESENTATIVE HUDSON agreed with Ms. Hargis.  If subsection (a) on                                                             
page 9, line 4 was left as is and AS 05.25.030 was placed under the                                                             
violation section, an adequate penalty appropriate to the offense                                                               
would be created.                                                                                                               
                                                                                                                                
CHAIRMAN KOTT clarified that on page 9, line 7, after "AS                                                                       
05.25.020," the language "AS 05.25.030(b)" would be inserted.                                                                   
Therefore, failure to report would be subject to a fine of up to                                                                
$500.  The rendering of assistance section on page 4, lines 11                                                                  
through 14, would be left in tact as a class A misdemeanor.                                                                     
                                                                                                                                
Number 0860                                                                                                                     
                                                                                                                                
CHAIRMAN KOTT moved the following as a conceptual amendment.                                                                    
                                                                                                                                
     Page 9, line 7, after "AS 05.25.020,"                                                                                      
                                                                                                                                
          Insert, "AS 05.25.030(b)"                                                                                             
                                                                                                                                
There being no objection, the conceptual amendment was adopted.                                                                 
                                                                                                                                
CHAIRMAN KOTT referred to page 10, line 16 regarding the fee                                                                    
schedule and the non-motorized boat registration which he                                                                       
identified as another policy call for the committee.  Currently,                                                                
non-motorized boat registration is set at $10 in this statute.                                                                  
Does the committee want that fee to be consistent with paragraph                                                                
(1) in Section 13 which requires a fee of $24.  This is an                                                                      
administrative function for the department.  Chairman Kott                                                                      
indicated the need for consistency whether it be $10 or $24.  He                                                                
noted that testimony from the Coast Guard at the March 7, 1999                                                                  
hearing stated that 30 percent of the fatalities occur within                                                                   
non-motorized vessels.                                                                                                          
                                                                                                                                
REPRESENTATIVE KERTTULA informed the committee that she has an                                                                  
amendment prepared which would remove vessels such as canoes and                                                                
kayaks from the ambit of the bill.  This section was specifically                                                               
changed to reduce the fees to non-motorized vessels.                                                                            
Representative Kerttula noted that there is great concern regarding                                                             
registering everyone's canoe and kayak.  Representative Kerttula                                                                
opposed increasing non-motorized vessels to $24.                                                                                
                                                                                                                                
CHAIRMAN KOTT inquired as to whether Representative Kerttula would                                                              
consider making it $10 a year.  He believed that much of the money                                                              
collected goes towards education and publishing the pamphlet.                                                                   
                                                                                                                                
REPRESENTATIVE HUDSON informed the committee that this topic was                                                                
discussed at length in the first committee of referral.  During                                                                 
that discussion, the canoers and kayakers testified that they                                                                   
should not be included in this legislation because they are not in                                                              
the federal law.  Representative Hudson explained that this fee                                                                 
schedule attempts to generate a reasonable rate of return from                                                                  
every boater in Alaska in order to have an educational boating                                                                  
safety program. He indicated that the fee schedule was drawn from                                                               
the discussion of families who use a canoe a few times a year                                                                   
versus a motorized vessel which would probably be utilized more                                                                 
often.  Representative Hudson said he would like the committee to                                                               
consider leaving the fee schedule as it is.                                                                                     
                                                                                                                                
CHAIRMAN KOTT was not sure of the usage.  He reiterated that the                                                                
same administration is being done for both fees and the same                                                                    
boating safety pamphlet will be utilized by both types of boaters.                                                              
Chairman Kott acknowledged that the usage of non-motorized vessels                                                              
would be less than that of motorized vessels.                                                                                   
                                                                                                                                
Number 1237                                                                                                                     
                                                                                                                                
REPRESENTATIVE CROFT noted that it is the same low level of effort                                                              
to register a boat or a kayak.  To some extent, there is a                                                                      
distinction between the purchase price of a motorized and                                                                       
non-motorized vessel.  He inquired as to how onerous the fee should                                                             
be on a canoe owner versus a motorized boat owner.  The price of a                                                              
canoe is not in the same category as that of a motorized boat.                                                                  
Representative Croft drew a parallel between the fact that bikes                                                                
are not required to be registered although there may be a lot of                                                                
bike accidents; it is not the same level or cost as registering an                                                              
automobile.                                                                                                                     
                                                                                                                                
REPRESENTATIVE GREEN asked if page 10, line 15 could include                                                                    
inflatables as well as non-motorized boats with regard to the $10                                                               
registration fee.                                                                                                               
                                                                                                                                
REPRESENTATIVE HUDSON noted that the Coast Guard has not required                                                               
inflatables to be registered.  Representative Hudson said that a                                                                
motorized inflatable is different.                                                                                              
                                                                                                                                
REPRESENTATIVE GREEN said there is not much chance of damage with                                                               
an inflatable, therefore the registration fee for an inflatable                                                                 
should be lower.   Representative Green  believed the question of                                                               
whether this is an attempt to recoup costs or make money should be                                                              
addressed.                                                                                                                      
                                                                                                                                
REPRESENTATIVE MURKOWSKI stated that her impression was that the                                                                
fees would cover the minor administrative costs, but more                                                                       
importantly the fees would be utilized for boating safety                                                                       
educational purposes.  In her mind, anyone using the water should                                                               
pay for some of these educational courses.  Furthermore, $10 for a                                                              
three year period seems minimal.                                                                                                
                                                                                                                                
Number 1452                                                                                                                     
                                                                                                                                
REPRESENTATIVE HUDSON pointed out that the registration fee is for                                                              
each non-motorized boat.  Often, people own more than one                                                                       
non-motorized boat.  In response to Representative Green,                                                                       
Representative Hudson clarified that this is an attempt to recoup                                                               
the costs for the management provided by the Division of Motor                                                                  
Vehicles(DMV) as well as establish a boating safety educational                                                                 
program.  Motorized boat operators believed that those responsible                                                              
for a third of the accidents should have registration fees.  On the                                                             
other hand, the non-motorized boat operators note that they are                                                                 
only on the water a few times a year and it does not seem equitable                                                             
for non-motorized boats to have the same registration fee as                                                                    
someone who is pulling crab pots every week.  He explained that                                                                 
this legislation has been a balancing act between motorized and                                                                 
non-motorized boats.                                                                                                            
                                                                                                                                
REPRESENTATIVE GREEN asked if these people with multiple                                                                        
non-motorized boats go out in a different boat each time, if their                                                              
argument is that they are only on the water a few times a year.  He                                                             
asked why these folks  do not use the same boat.                                                                                
                                                                                                                                
REPRESENTATIVE KERTTULA explained that those with multiple                                                                      
non-motorized boats could have single kayaks.  Therefore, a family                                                              
would have multiple kayaks requiring under this legislation a                                                                   
registration fee for each which would amount to more than the                                                                   
registration fee for a motorized boat.                                                                                          
                                                                                                                                
REPRESENTATIVE CROFT informed the committee that he has three                                                                   
non-motorized river rafting boats which are only used once a year.                                                              
He pointed out that one could own multiple non-motorized boats such                                                             
as three drift boats or three single kayaks which he indicated                                                                  
would not cost as much as a single motorized boat.  Representative                                                              
Croft emphasized that the registration requirement should not                                                                   
overburden the non-motorized boat owner.                                                                                        
                                                                                                                                
REPRESENTATIVE GREEN suggested a compromise in which a multiple                                                                 
non-motorized boat owner would pay a registration fee of $24 for                                                                
the first boat and $10 for each boat thereafter.                                                                                
                                                                                                                                
REPRESENTATIVE ROKEBERG said that he shared the concerns of                                                                     
Representative Croft and Representative Green.                                                                                  
                                                                                                                                
Number 1791                                                                                                                     
                                                                                                                                
JUANITA HENSLEY, Administrator, Division of Motor Vehicles,                                                                     
Department of Administration, stated that Representative Green's                                                                
suggestion would be an administrative nightmare.  Currently, those                                                              
with senior citizen exemptions are allowed to have the registration                                                             
of one vehicle free per year per household, if two or more vehicles                                                             
in which the registration fee is paid are owned by that senior.                                                                 
Ms. Hensley stressed that it is a nightmare to control due to the                                                               
difficulty in determining who owns which vehicle or in this case                                                                
boat.  The fees in HB 108 would generate revenue.  She estimated                                                                
that in fiscal year(FY) 2001 the revenue generated by HB 108 would                                                              
amount to about $1 million per year.                                                                                            
                                                                                                                                
MS. HENSLEY informed the committee, in response to Representative                                                               
Croft, that there are approximately 75,000 motorized boats and                                                                  
100,000 non-motorized boats.  She noted that Ms. Hargis could                                                                   
provide better information.                                                                                                     
                                                                                                                                
CHAIRMAN KOTT inquired as to the net effect of making the motorized                                                             
boat registration and the non-motorized boat registration a $15                                                                 
fee.  With the approximately 175,000 registrations, as Ms. Hensley                                                              
approximated, the registration fee would generate approximately                                                                 
$2.5 million.                                                                                                                   
                                                                                                                                
MS. HENSLEY clarified that DMV would process 58,000 registrations                                                               
per year of which 33,000 registrations would be non-motorized boats                                                             
and 25,000 for motorized boats.  Therefore, the result of 58,000                                                                
times $15 would be the net effect of a $15 fee for all boats.                                                                   
                                                                                                                                
REPRESENTATIVE GREEN asked if water skis would qualify as a boat                                                                
capable of being used as a means for transportation on water and                                                                
therefore, be charged a $10 registration fee.                                                                                   
                                                                                                                                
MS. HENSLEY replied no.  She explained that water skis are a device                                                             
which the boat pulls.                                                                                                           
                                                                                                                                
REPRESENTATIVE GREEN referred to the definition on page 10, line                                                                
30, which states, "'boat' means watercraft used or capable of being                                                             
used as a means of transportation on water,".                                                                                   
                                                                                                                                
MS. HENSLEY believed that unless the ski is being pulled it would                                                               
not be considered a method of transportation.                                                                                   
                                                                                                                                
REPRESENTATIVE CROFT said that he did not believe skis were                                                                     
watercraft.                                                                                                                     
                                                                                                                                
REPRESENTATIVE HUDSON clarified that water skis have never been                                                                 
declared as watercraft by the federal government.  He explained                                                                 
that he has attempted to take the federal program, rate,                                                                        
definitions, and intent in order to take over the federal boating                                                               
program.  The state would then administer the boating program and                                                               
assume those monies and expand the safety program.  He pointed out                                                              
that he has expanded the program to non-motorized boats that are                                                                
over 10 feet in length.  Representative Hudson expressed the hope                                                               
that the funds generated would be utilized towards saving lives.                                                                
                                                                                                                                
Number 2036                                                                                                                     
                                                                                                                                
REPRESENTATIVE ROKEBERG asked if HB 108 had a fiscal note and                                                                   
indicated the need for a fiscal note.                                                                                           
                                                                                                                                
MS. HENSLEY informed the committee that there would be a new fiscal                                                             
note as soon as the legislation passes from committee.  She said                                                                
that she could not prepare a final fiscal note on the proposed                                                                  
committee substitute.  Certainly, this will cost DMV to administer                                                              
the registration portion of the legislation.  The boat registration                                                             
fees will offset the administrative costs and in future years will                                                              
generate revenue for the general fund.  The revenue generated would                                                             
exceed the DMV's operation, therefore the rest of the money would                                                               
be placed in the  general fund in order to be appropriated for the                                                              
boat education, safety programs, and to meet the federal match, if                                                              
any, for federal tax dollars that go to the rest of the U.S.  Ms.                                                               
Hensley emphasized that in order for DMV to operate this program,                                                               
DMV would need the operational costs in the general fund.  Ms.                                                                  
Hensley further stated that DMV does not want its regular budget                                                                
reduced as a result of that.                                                                                                    
                                                                                                                                
CHAIRMAN KOTT asked if the fiscal note dated March 25, 1999 was                                                                 
correct or were changes made adding non-motorized boats.                                                                        
                                                                                                                                
MS. HENSLEY stated that the March 25, 1999 fiscal note is not                                                                   
correct.  The final fiscal note will be different due to the                                                                    
addition of the non-motorized boats and the change in fee.  The                                                                 
proposed committee substitute would add an additional 100,000 boats                                                             
as well as additional personnel required to monitor this program.                                                               
                                                                                                                                
REPRESENTATIVE CROFT said that the distinction between motorized                                                                
and non-motorized vehicles, in this case boats, is an appropriate                                                               
distinction.  The distinction is appropriate because motorized                                                                  
vehicles can get one farther faster and in more trouble than a                                                                  
non-motorized vehicles.  Representative Croft commented that this                                                               
is why cars are registered and not bikes.  Bikes are registered in                                                              
order to protect them from theft, but there is not a state                                                                      
requirement or fee for bike registration.  He acknowledged that                                                                 
there are vehicles that fall in between such as a motorcycle which                                                              
is required to be registered.  Representative Croft expressed                                                                   
concern that good legislation would be hurt by requiring everyone                                                               
with a kayak or a canoe, similar to a bike, to have the same                                                                    
registration requirements as a motorized vehicle.  Representative                                                               
Croft stated that it made sense to have a less onerous registration                                                             
or none at all, which he preferred, for non-motorized vehicles.                                                                 
Representative Croft suggested that language on page 7, line 26 be                                                              
changed from "10 feet" to "20 feet".  Therefore, the bikes of the                                                               
sea world would not be included.  This is an onerous registration                                                               
requirement.  He acknowledged that the kayaking community is                                                                    
willing to be included at a lower level, but to treat them                                                                      
identical to a motorized boat creates a disproportionate intrusion.                                                             
                                                                                                                                
REPRESENTATIVE MURKOWSKI referred to an article by a journalist in                                                              
Fairbanks who does not like HB 108.  The Fairbanks journalist's                                                                 
comments lead to Representative Murkowski's question regarding                                                                  
whether the boating safety regulations are a mirror image of what                                                               
is in the Lower 48 or have the regulations been adapted to Alaska.                                                              
                                                                                                                                
REPRESENTATIVE HUDSON explained that the regulations are comparable                                                             
to some states in the Lower 49.  Some states do not include                                                                     
non-motorized boats while others do.  Representative Hudson                                                                     
believed that all states must apply its boating safety program to                                                               
all waters, not just federal navigable waters which the U.S. Coast                                                              
Guard is currently responsible for administering.  Representative                                                               
Hudson felt that if the interest is truly in saving lives, the                                                                  
regulations must apply to all the waters of the state.  There are                                                               
not many small rivers or unconnected lakes that would be added.                                                                 
Representative Hudson specified that under this legislation,                                                                    
operating a boat on any water in Alaska would have to comply which                                                              
he believed necessary to save lives.  Furthermore, expanding the                                                                
federal regulations to include all waters provides fairness to all.                                                             
                                                                                                                                
Number 2428                                                                                                                     
                                                                                                                                
REPRESENTATIVE CROFT moved to report CSHB 108, Version LS03445\S,                                                               
Ford, 4/7/99, as amended from committee with individual                                                                         
recommendations and the attached fiscal notes and final fiscal note                                                             
forthcoming.  There being no objection, it was so ordered.                                                                      
                                                                                                                                
REPRESENTATIVE KERTTULA commented that she has not had a chance to                                                              
explain the committee substitute and its changes to folks.                                                                      

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