Legislature(1993 - 1994)
03/24/1994 08:00 AM House STA
| Audio | Topic |
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE STATE AFFAIRS STANDING COMMITTEE
March 24, 1994
8:00 a.m.
MEMBERS PRESENT
Representative Al Vezey, Chairman
Representative Pete Kott, Vice Chairman
Representative Bettye Davis
Representative Gary Davis
Representative Harley Olberg
Representative Jerry Sanders
MEMBERS ABSENT
Representative Fran Ulmer
COMMITTEE CALENDAR
SCR 15: Relating to the twenty-eighth annual Boys'
State.
MOVED OUT OF COMMITTEE WITH DO PASS
RECOMMENDATION
HB 504: "An Act relating to sale of alcoholic
beverages to military personnel who are
guests in certain clubs."
MOVED OUT OF COMMITTEE WITH DO PASS
RECOMMENDATION
HB 302: "An Act excluding certain sport officials and
certain recreational activities sanctioned by
an employer from coverage provided under
workers' compensation; and providing for an
effective date."
MOVED OUT COMMITTEE AS CSHB 302(STA) WITH DO
PASS RECOMMENDATION
HB 358: "An Act allowing a mobile home owner to
request a certificate of title from the
Department of Public Safety."
MOVED OUT OF COMMITTEE AS CSHB 358(STA) WITH
DO PASS RECOMMENDATION
SCR 17: Honoring Alaskan Tommy Moe for winning gold
and silver medals at the 1994 Winter Olympic
Games in Lillehammer, Norway.
MOVED OUT OF COMMITTEE AS HCS CSSCR 17(STA)
WITH NO RECOMMENDATION
WITNESS REGISTER
JERRY BURNETT, Staff
Senator Randy Phillips
Alaska State Capitol, Room 103
Juneau, AK 99811-0460
Phone: 465-4949
POSITION STATEMENT: Addressed SCR 15 for Senator Randy
Phillips, Sponsor
TIM SULLIVAN, Staff
Representative Eldon Mulder
Alaska State Capitol, Room 116
Juneau, AK 99811-0460
Phone: 465-2647
POSITION STATEMENT: Addressed HB 504
REPRESENTATIVE MIKE NAVARRE
Alaska State Legislature
Alaska State Capitol, Room 521
Juneau, AK 99811-0460
Phone: 465-3779
POSITION STATEMENT: Prime sponsor of HB 302
PATRICK LOUNSBURY, Staff
Representative Brian Porter
Alaska State Capitol, Room 122
Juneau, AK 99811-0460
Phone: 465-4930
POSITION STATEMENT: Addressed HB 358 for Representative
Brian Porter, Sponsor
BEN MARSH
2550 Denali, Ste. 1310
Anchorage, AK 99503
Phone: 278-3615
POSITION STATEMENT: Supported HB 358
LEONARD GROSS
9499 Braxton
Anchorage, AK 99507
Phone: 349-9599
POSITION STATEMENT: Supported HB 358
JUANITA HENSLEY, Chief of Driver Services
Division of Motor Vehicles
Department of Public Safety
P.O. Box 20020
Juneau, AK 99802
Phone: 465-2650
POSITION STATEMENT: Answered questions on HB 358
PREVIOUS ACTION
BILL: SCR 15
SHORT TITLE: TWENTY-EIGHTH ANNUAL BOYS' STATE
SPONSOR(S):SENATOR(S)PHILLIPS,Leman,Rieger,Ellis,Kerttula,
Duncan,Lincoln,Donley,Halford,Taylor,Sharp,Pearce,Kelly;
REPRESENTATIVE(S) Navarre
JRN-DATE JRN-PG ACTION
02/04/94 2682 (S) READ THE FIRST TIME/REFERRAL(S)
02/04/94 2682 (S) STATE AFFAIRS
02/04/94 2694 (S) COSPONSOR ADDED: KERTTULA
02/23/94 2935 (S) STA RPT 3DP
02/23/94 2935 (S) ZERO FISCAL NOTE PUBLISHED
(S.STA)
02/23/94 (S) STA AT 9:00 AM BUTROVICH RM 205
02/23/94 (S) MINUTE(STA)
03/09/94 (S) RLS AT 00:00 AM FAHRENKAMP
ROOM 203
03/09/94 (S) MINUTE(RLS)
03/10/94 3148 (S) RULES RPT 3CAL 1NR 3/10/94
03/10/94 3156 (S) READ THE SECOND TIME
03/10/94 3156 (S) COSPONSOR(S):LINCOLN, DONLEY,
HALFORD
03/10/94 3156 (S) TAYLOR, SHARP, PEARCE, KELLY
03/10/94 3156 (S) PASSED Y18 N- E2
03/10/94 3160 (S) TRANSMITTED TO (H)
03/11/94 2711 (H) READ THE FIRST TIME/REFERRAL(S)
03/11/94 2711 (H) STATE AFFAIRS
03/14/94 2803 (H) CROSS SPONSOR(S): NAVARRE
03/24/94 (H) STA AT 08:00 AM CAPITOL 102
BILL: HB 504
SHORT TITLE: SALE OF ALCOHOL IN CLUBS
SPONSOR(S): SPECIAL CMTE MILITARY & VETERANS AFFAIRS
JRN-DATE JRN-PG ACTION
02/16/94 2414 (H) READ THE FIRST TIME/REFERRAL(S)
02/16/94 2414 (H) MLV, STATE AFFAIRS
03/02/94 (H) MLV AT 05:00 PM CAPITOL 17
03/02/94 (H) MINUTE(MLV)
03/07/94 2643 (H) MLV RPT 4DP
03/07/94 2643 (H) DP:MULDER,WILLIS,KOTT,FOSTER
03/07/94 2643 (H) -ZERO FISCAL NOTE (REV) 3/7/94
03/24/94 (H) STA AT 08:00 AM CAPITOL 102
BILL: HB 302
SHORT TITLE: WORKERS COMP FOR RECREATIONAL ACTIVITIES
SPONSOR(S): REPRESENTATIVE(S) NAVARRE,Mulder
JRN-DATE JRN-PG ACTION
05/06/93 1665 (H) READ THE FIRST TIME/REFERRAL(S)
05/06/93 1665 (H) L&C, STATE AFFAIRS, FINANCE
02/24/94 (H) L&C AT 03:00 PM CAPITOL 17
02/24/94 (H) MINUTE(L&C)
02/28/94 2544 (H) L&C RPT 4DP
02/28/94 2544 (H) DP:PORTER,GREEN,MULDER,HUDSON
02/28/94 2544 (H) -ZERO FISCAL NOTE (LABOR)
2/28/94
03/09/94 2703 (H) COSPONSOR(S): MULDER
03/24/94 (H) STA AT 08:00 AM CAPITOL 102
BILL: HB 358
SHORT TITLE: MOBILE HOME CERTIFICATES OF TITLE
SPONSOR(S): REPRESENTATIVE(S) PORTER,Mulder
JRN-DATE JRN-PG ACTION
01/10/94 2021 (H) READ THE FIRST TIME/REFERRAL(S)
01/10/94 2022 (H) STATE AFFAIRS, FINANCE
03/03/94 (H) STA AT 08:00 AM CAPITOL 102
03/03/94 (H) MINUTE(STA)
03/24/94 (H) STA AT 08:00 AM CAPITOL 102
BILL: SCR 17
SHORT TITLE: HONORING TOMMY MOE
SPONSOR(S):SENATOR(S)KERTTULA,Halford,Phillips,Kelly,Leman,
Duncan,Taylor,Salo,Sharp,Miller,Pearce,Zharoff,Little,
Jacko,Lincoln,Rieger,Donley,Ellis;
REPRESENTATIVE(S)Larson,Nicholia,Navarre,Toohey
JRN-DATE JRN-PG ACTION
02/14/94 2826 (S) READ THE FIRST TIME/REFERRAL(S)
02/14/94 2826 (S) STATE AFFAIRS
02/23/94 2943 (S) COSPONSOR(S): RIEGER, DONLEY,
ELLIS
03/04/94 (S) STA AT 9:00 AM BUTROVICH RM 205
03/04/94 (S) MINUTE(STA)
03/07/94 3086 (S) STA RPT CS 3DP NEW TITLE
03/07/94 3086 (S) ZERO FN TO SCR & CS (S.STA)
03/09/94 (S) RLS AT 00:00 AM FAHRENKAMP
ROOM 203
03/09/94 (S) MINUTE(RLS)
03/10/94 3148 (S) RULES TO CALENDAR 3/10/94
03/10/94 3157 (S) READ THE SECOND TIME
03/10/94 3157 (S) STA CS ADOPTED UNAN CONSENT
03/10/94 3157 (S) AM NO 1 MOVED BY SALO
03/10/94 3157 (S) AM NO 1 ADOPTED UNAN CONSENT
03/10/94 3158 (S) PASSED Y18 N- E2
03/10/94 3160 (S) TRANSMITTED TO (H)
03/11/94 2712 (H) READ THE FIRST TIME/REFERRAL(S)
03/11/94 2712 (H) STATE AFFAIRS
03/11/94 2743 (H) CROSS SPONSOR(S):LARSON
03/14/94 2803 (H) CROSS SPONSOR(S):NICHOLIA,
NAVARRE
03/15/94 2818 (H) CROSS SPONSOR(S):TOOHEY
03/24/94 (H) STA AT 08:00 AM CAPITOL 102
ACTION NARRATIVE
TAPE 94-37, SIDE A
Number 000
CHAIRMAN AL VEZEY called the meeting to order at 8:00 a.m.
Members present were REPRESENTATIVES KOTT, SANDERS and
OLBERG. The meeting is on teleconference with Anchorage.
SCR 15 - TWENTY-EIGHTH ANNUAL BOYS' STATE
CHAIRMAN VEZEY opened SCR 15, Senator Randy Phillips,
sponsor, Leman, Rieger, Ellis, Kerttula and Duncan, co-
sponsors, for discussion.
(REPRESENTATIVES B. DAVIS and G. DAVIS joined the meeting at
8:02 a.m.)
Number 027
JERRY BURNETT, STAFF, SENATOR RANDY PHILLIPS, gave the
sponsor statement for SCR 15. He stated SCR 15 applauds the
volunteers who make Boys' State possible. Senator Phillips
attended Boys' State in 1968 when it was held in Copper
Center.
Number 043
REPRESENTATIVE PETE KOTT inquired what takes place at Boys'
State.
MR. BURNETT explained student leaders from around Alaska are
invited to participate in a mock government. They learn
governmental and legislative processes as participants.
Number 055
REPRESENTATIVE KOTT moved to pass SCR 15 from committee with
individual recommendations.
Number 058
CHAIRMAN VEZEY asked the committee secretary to call the
roll.
IN FAVOR: REPRESENTATIVES VEZEY, KOTT, B. DAVIS, G.
DAVIS, SANDERS, OLBERG.
ABSENT: REPRESENTATIVE ULMER.
MOTION PASSED
HB 504 - SALE OF ALCOHOL IN CLUBS
CHAIRMAN VEZEY opened HB 504, sponsored by House Special
Committee on Military and Veterans' Affairs, for discussion.
Number 075
TIM SULLIVAN, STAFF, REPRESENTATIVE ELDON MULDER, SPONSOR,
addressed HB 504. He stated current Alaska statute requires
that in order to purchase and be served alcohol in the
American Legion or other patriotic organizations, active
duty military personnel must be in uniform. This
requirement exists even though the military does not require
personnel to wear their uniform during off duty hours. He
noted HB 504 would amend statute by removing the words "in
uniform," thereby allowing military personnel to visit a
patriotic organization without having to wear a uniform. He
stated Alaska's VFW and American Legion posts support HB 504
to better accommodate the military personnel they represent.
Number 091
CHAIRMAN VEZEY asked when the last citation for a violation
of this statute was issued.
MR. SULLIVAN stated he did not know.
REPRESENTATIVE KOTT commented the idea of the statute was
about 40 years outdated. He explained a citation is not
usually issued; however, club managers tend to notify the
installation commander of the violation and it is then
handled internally. Presently, none of the clubs on base,
NCO or Officers' Clubs, require the personnel to be in
uniform. He felt HB 504 was updating the statute to fit the
times.
Number 107
CHAIRMAN VEZEY asked if the clubs on military reservations
were subject to regulation by Alaska statute.
MR. SULLIVAN answered no.
Number 110
CHAIRMAN VEZEY clarified HB 504 was only for external
organizations.
Number 119
REPRESENTATIVE GARY DAVIS moved to pass HB 504 from
committee with individual recommendations.
Number 121
CHAIRMAN VEZEY asked the committee secretary to call the
roll.
IN FAVOR: REPRESENTATIVES VEZEY, KOTT, B. DAVIS, G.
DAVIS, SANDERS, OLBERG.
ABSENT: REPRESENTATIVE ULMER.
MOTION PASSED
HB 302 - WORKERS COMP FOR RECREATIONAL ACTIVITIES
CHAIRMAN VEZEY opened HB 302 for discussion.
Number 145
REPRESENTATIVE MIKE NAVARRE, prime sponsor, addressed HB
302. He stated a recent court decision ruled if an employer
sponsored a team, and if employees play on the team, then by
virtue of having paid the team fees to the league which runs
the fields, the company is thereby providing the field. He
noted HB 302 merely changes the definition section to make
clear that this sort of interpretation does not happen. If
the definition was left unchanged, an employee playing
softball in a league who gets hurt after work is eligible
for workers' compensation from the employer/team sponsor.
He stated HB 302 changes the definition, whereby "only if
the field is at a remote job site or on the employment
premises, does workers' compensation apply."
REPRESENTATIVE NAVARRE stated the Senate added a new section
to the companion bill which states "persons employed as
sports officials are not eligible." This amendment relieves
the leagues from having to acquire workers' compensation for
those they hire on a temporary daily basis.
Number 179
CHAIRMAN VEZEY commented he thought REPRESENTATIVE NAVARRE
was referring to SB 336.
REPRESENTATIVE NAVARRE clarified he was referring to SB 356,
introduced by the Labor & Commerce Committee at his request.
He stated he had hoped to speed the process by going to the
Senate. He noted HB 302 actually passed as part of a
comprehensive workers' compensation bill a few years ago,
which the Governor in turn vetoed because of other sections.
Number 190
REPRESENTATIVE KOTT questioned the intent by leaving in the
employment premises in HB 302. He gave the example of
school districts with recreational fields, who may sponsor
their own team and challenge other districts, thereby
playing on their own field. He also mentioned fire station
challenges. Would the employees be eligible for workers'
compensation because the activities were sponsored on the
employer's premises.
REPRESENTATIVE NAVARRE stated those instances would probably
be subject to a court case if the employee did decide to
apply for workers' compensation. He felt the employees
might be covered.
Number 208
CHAIRMAN VEZEY stated under existing statute there would be
no question that the employees would be covered.
Number 215
REPRESENTATIVE BETTYE DAVIS asked if REPRESENTATIVE NAVARRE
planned on amending HB 302 or did he not want to.
REPRESENTATIVE NAVARRE replied he believed HB 302 made
sense; however, changes to the bill would be at the
discretion of the committee.
Number 229
REPRESENTATIVE G. DAVIS commented he did not have a problem
with HB 302 and he noted the next committee was House
Finance. He asked where REPRESENTATIVE NAVARRE preferred to
accommodate changes to HB 302.
Number 234
REPRESENTATIVE NAVARRE answered if the committee would
consider adopting the Senate Labor & Commerce committee
substitute for SB 356, he would encourage House Finance to
waive HB 302.
Number 238
CHAIRMAN VEZEY mentioned CSSB 356(L&C) did carry a zero
fiscal note. CSSB 356(L&C) was distributed to the committee
members. Section 2 of CSSB 356, reads verbatim to Section 1
of HB 302. He noted the CSSB 356 had a new Section 1
addressing the new subsection (4), which clarifies paid
sports officials are not covered by workers' compensation.
He believed this was the only change in Titles 23.30.230.
REPRESENTATIVE NAVARRE affirmed CHAIRMAN VEZEY.
Number 262
CHAIRMAN VEZEY stated he believed a committee substitute for
a senate bill could not be adopted in House State Affairs.
Number 266
REPRESENTATIVE HARLEY OLBERG inquired if the text of CSSB
356(L&C) could be adopted as the committee substitute for HB
302.
CHAIRMAN VEZEY replied they could.
Number 272
REPRESENTATIVE OLBERG moved to adopt the title and text of
CSSB 356(L&C) as the committee substitute for HB 302.
CSHB 302: "An Act excluding recreational activities
sponsored by an employer from coverage provided under
workers' compensation, unless participation is required as a
condition of employment; and providing for an effective
date."
Number 275
CHAIRMAN VEZEY asked the committee secretary to call the
roll.
IN FAVOR: REPRESENTATIVES VEZEY, KOTT, B. DAVIS, G.
DAVIS, SANDERS, OLBERG.
ABSENT: REPRESENTATIVE ULMER.
MOTION PASSED
Number 293
REPRESENTATIVE OLBERG moved to pass CSHB 302 from committee
with individual recommendations and accompanying zero fiscal
note.
Number 297
CHAIRMAN VEZEY asked the committee secretary to call the
roll.
IN FAVOR: REPRESENTATIVE VEZEY, KOTT, B. DAVIS, G.
DAVIS, SANDERS, OLBERG.
ABSENT: REPRESENTATIVE ULMER.
MOTION PASSED.
HB 358 - MOBILE HOME CERTIFICATES OF TITLE
CHAIRMAN VEZEY opened HB 358 for discussion. He noted the
committee has heard HB 358 once before.
Number 318
PATRICK LOUNSBURY, STAFF, REPRESENTATIVE BRIAN PORTER,
SPONSOR, addressed HB 358. He submitted a revised work
draft, version O, for CSHB 358. He stated the subcommittee
revised the work draft to "allow" the titling of mobile
homes, rather than "mandate."
Number 340
CHAIRMAN VEZEY stated at the first hearing CSHB 358, version
K, had been adopted. He clarified the new version before
the committee was version O. He asked MR. LOUNSBURY to
elaborate.
Number 343
MR. LOUNSBURY explained CSHB 358, which stated "an act
requiring a mobile home owner to obtain a certificate of
title," was changed to read "an act allowing a mobile
home..." He stated Ben Marsh, Alaska Manufactured Housing,
agreed a title would be a great asset for them.
CHAIRMAN VEZEY clarified the title of CSHB 358, version O,
reverts back to the original title of HB 358.
MR. LOUNSBURY agreed. He continued page 1, line 13 of CSHB
358, version K, was changed from "shall issue," to "may
issue a certificate of title."
Number 387
CHAIRMAN VEZEY reiterated the changes to page 1, line 13 of
CSHB 358, version K. He noticed the fee was still $100.
There was a minor grammatical change in Section 1,
subparagraph (b).
Number 400
MR. LOUNSBURY stated they felt CSHB 358, version O, was a
good bill. He mentioned there had been concerns about the
$100 fee and they would work with it as long as the bill
remained at least revenue neutral. He noted acquiring a
title for other types of property costs at least $100;
therefore, as the fee stands, it is not over and beyond a
real estate charge to title property.
Number 418
REPRESENTATIVE G. DAVIS clarified there had not been any
changes to Section 2.
MR. LOUNSBURY affirmed REPRESENTATIVE G. DAVIS.
Number 424
REPRESENTATIVE OLBERG moved to adopt CSHB 358, version O.
Number 434
CHAIRMAN VEZEY asked the committee secretary to call the
roll.
IN FAVOR: REPRESENTATIVES VEZEY, KOTT, B. DAVIS, G.
DAVIS, SANDERS, OLBERG.
ABSENT: REPRESENTATIVE ULMER.
MOTION PASSED
CHAIRMAN VEZEY moved to the Anchorage teleconference site.
Number 439
BEN MARSH, EXECUTIVE SECRETARY, ALASKA MANUFACTURED HOUSING
ASSOCIATION (AMHA), supported CSHB 358. He stated LEONARD
GROSS was also present to testify. They had requested HB
358 in order to correct the problems resulting from HB 99,
from the 1993 Legislative Session. He stated without
someone to guarantee titles to mobile homes, the buyer does
not have a means of finding out if there are any liens
against the units.
MR. MARSH noted the AMHA represents probably 50 percent of
the mobile homes in Alaska, therefore they consider
themselves as the spokespersons for the industry. They have
been organized for 50 years.
Number 462
CHAIRMAN VEZEY inquired if MR. MARSH indicated he felt a
title from the Division of Motor Vehicles (DMV) would
guarantee ownership.
Number 465
MR. MARSH replied a title from DMV would give the sale of
mobile homes a great deal more assurance.
Number 470
CHAIRMAN VEZEY referred to MR. MARSH's indication that
without a title, a person would not know if there were liens
against the property. He asked about the relationship
between a title and a lien.
Number 475
MR. MARSH deferred the question to MR. GROSS.
Number 478
LEONARD GROSS, VICE PRESIDENT, ALASKA MANUFACTURED HOUSING
ASSOCIATION, supported CSHB 358. He pointed out a lien is
recorded on mobile home titles, just as vehicles are.
Presently, under the new system, they have to file under the
Uniform Commercial Code (UCC). He stated a UCC can only be
traced to a persons name; therefore, it is very difficult to
research for outstanding liens. He stated he knew of two
cases where individuals were induced to buy a trailer and
gave deposits based on a fraudulent bill of sale. He
believed CSHB 358 would defend the public. He felt the $100
fee was reasonable seeing as how it currently costs $88 for
UCC filings, which lack any assurance.
Number 493
CHAIRMAN VEZEY reiterated a lien is expressed on the title,
and clarified this would only be correct if it was a
mortgage or lease-interest holders lien. He noted a
mechanic could not put a lien on a title.
MR. GROSS stated CHAIRMAN VEZEY's comments were true. He
stated the intent is to protect the buyer, not the owner.
CHAIRMAN VEZEY said MR. GROSS was implying CSHB 358 would
provide protection against liens, when a person could still
buy a mobile home and later find out there was $50,000
against it liens. He pointed out CSHB 358 did not address
the problem with liens.
Number 506
MR. GROSS responded if the title was clear and protected by
a UCC filing, he did not understand how a mechanics lien for
example, could be put on a mobile home title.
CHAIRMAN VEZEY answered they would file a lien under
"Alaska's Lien Law."
Number 510
MR. GROSS asked if a lien would be recorded under the
individual's name or under the title of the trailer.
CHAIRMAN VEZEY replied he understood the filing could be
made a lien against the property. He believed a lien was
usually against property as opposed to against an
individual, which would be a suit.
Number 515
MR. GROSS stated liens against property are recorded in the
Recorder's Office and can be traced.
Number 519
MR. MARSH interjected if the DMV were to carry titles on
mobile homes, and a mechanic wanted to place a lien against
a mobile home, he asked then if it would be convenient for
the mechanic to send in a picture for identification as the
lien holder of the title.
Number 524
REPRESENTATIVE OLBERG summarized the elimination of titling
mobile homes in HB 99 from 1993 caused problems. He stated
the intent of CSHB 358 is to cure those problems. He
believed the questions about liens were ancillary when
compared to the main question of trying to reinstate
peoples' ability to acquire a mobile home title. Having the
title service available at least gives people the option.
Number 534
CHAIRMAN VEZEY clarified his point as some people have tried
to imply a title is a "panacea" for ownership rights and
interest. He stated a title does not guarantee ownership;
it is only a change of documents giving financial
institutions a sense of security. He felt CSHB 358 would
not resolve all the problems there are in determining the
ownership of mobile homes.
Number 544
REPRESENTATIVE OLBERG agreed; however, CSHB 358 only
attempts to enable people title to mobile homes. This
intent was not to fix every problem.
CHAIRMAN VEZEY referred to the $88 cost for a UCC filing and
noted this cost was higher than what he was familiar with.
He asked why.
Number 552
MR. GROSS corrected CHAIRMAN VEZEY in that a mobile home is
personal property, not real property. Assuming a contract
is over five years, the initial filing, extension and
releasing plus filing with both the local areas and the
state, would make up the cost.
Number 562
CHAIRMAN VEZEY clarified MR. GROSS was referring to six
filings. He outlined the cost includes an $8 local filing
and a $10 state filing, which must be repeated two
additional times.
MR. GROSS affirmed CHAIRMAN VEZEY, and added the process was
for two people.
Number 570
CHAIRMAN VEZEY noticed the calculation did not add up
correctly. He inquired if the AMHA felt the $100 fee was
economically feasible.
Number 576
MR. GROSS responded they originally proposed $50; however,
it was suggested that $100 was necessary to make the program
feasible for the state. They did not object to the $100
fee.
Number 585
JUANITA HENSLEY, CHIEF OF DRIVER SERVICES, DIVISION OF MOTOR
VEHICLES (DMV), answered questions on CSHB 358.
Number 587
CHAIRMAN VEZEY referred to her testimony at the previous
hearing of CSHB 358 when she indicated the work related to
the issuance of titles varied from very easy to troublesome,
requiring a lot of research. He asked her to elaborate.
Number 594
MS. HENSLEY answered the issuance of a title to mobile home
with the proper documentation (i.e., bill of sale,
manufacturers' statement of ownership (MSO), bank mortgage
papers indicating a serial number) is a regular automobile
title.
Number 611
REPRESENTATIVE OLBERG pointed out with an initial sale, the
DMV would need an MSO, a lien document from the financing
institution, and a copy of the contract from the dealer.
Number 614
MS. HENSLEY stated upon the initial sale from the dealer,
REPRESENTATIVE OLBERG was correct. If the sale was a
regular person-to-person sale, the DMV would need a bill of
sale and they would have to research if the mobile home had
ever been titled before. This research tends to cause
problems. For example, when a mobile home has been sold
after 3-4 prior owners, and the new owner would like a
title.
Number 621
CHAIRMAN VEZEY commented statutes provide that certain
information is required for the DMV to issue a title. This
information, he noted, should be provided by the people
requesting a new title. He felt the DMV was really required
to do any searches.
Number 630
MS. HENSLEY clarified the files she was referring to were in
archives; therefore, it requires a manual search for the
original owner because they are no longer on the computer
system. The process is time-consuming.
MS. HENSLEY stated the title mandate in the original HB 358
caused her to originally believe the proposed $50 fee had to
be raised to $100 to make the bill revenue neutral. She
pointed out the higher fee was negotiable; however, making
CSHB 358 at least revenue neutral was necessary. She noted
the reason mobile home titling was deleted by HB 99 was
because the manual research they were having to do was very
labor intensive.
Number 654
CHAIRMAN VEZEY clarified the work gets difficult because the
DMV does go back past one chain of ownership.
MS. HENSLEY affirmed CHAIRMAN VEZEY.
Number 658
REPRESENTATIVE OLBERG stated he believed the problem really
existed with people who have completely lost the title after
several sales, and the DMV has to search with only a bill of
sale and a serial number.
MS. HENSLEY replied REPRESENTATIVE OLBERG's comment was
"exactly the case."
Number 666
CHAIRMAN VEZEY inquired if the titles were found on a search
based on manufacturer's serial numbers.
MS. HENSLEY answered they do a manual search with the bill
of sale and serial number.
Number 669
CHAIRMAN VEZEY asked if the DMV was searching manually
through microfiche.
MS. HENSLEY replied CHAIRMAN VEZEY was correct.
Number 671
REPRESENTATIVE JERRY SANDERS did not understand why
searching for a mobile home title was so much more difficult
than searching for an automobile title.
MS. HENSLEY responded the statute for mobile home titling
stated they "may" title the mobile home; thereby, not
requiring people to get titles. Automobiles titles are
required for the new owner to register for and acquire.
Number 678
REPRESENTATIVE SANDERS asked how long the mobile home
titling laws have stated "may."
MS. HENSLEY answered the titling of mobile homes has been
"may" ever since it was put into statute.
TAPE 94-37, SIDE B
Number 000
CHAIRMAN VEZEY questioned if it would not be feasible to
state if it is not reasonable to locate the title from the
DMV, then the title is the buyer's/seller's responsibility.
He questioned the responsibility of both parties.
Number 020
MS. HENSLEY responded she felt his suggestion would be a
legislative call. She noted according to meetings with the
sponsor and the industry, one of the main concerns was that
the industry and individuals are unable to obtain financing
without a vehicle title. She emphasized DMV would continue
titling mobile homes; however, the program would need to be
revenue neutral by providing the revenue and the funds to
function.
Number 059
CHAIRMAN VEZEY asked REPRESENTATIVE OLBERG what type of
financing would be available for a used mobile home. What
is the value life considered to be. He guessed 25 or 30
years.
REPRESENTATIVE OLBERG answered CHAIRMAN VEZEY was about
right. Most bankers want and require titles. Without a
title they do not have to furnish a loan.
Number 076
CHAIRMAN VEZEY questioned at what point of a mobile homes
life would a bank not finance it. He offered 20 years as an
example.
REPRESENTATIVE OLBERG replied Alaska Housing at one time
wrote 20 year mobile home loans. He stated a bank could
have a policy to not finance a mobile home after 20 years,
but some judge the mobile home on its condition.
Number 093
CHAIRMAN VEZEY stated manufactured housing covered more than
mobile homes. He clarified the subject of their debate was
a transportable home, and not just a prefabricated home.
Number 098
MR. GROSS answered they were referring to transportable
homes that become a permanent residence. Quasi-permanent
homes sometimes on leased or personal property.
Number 107
CHAIRMAN VEZEY asked when the home becomes an improvement to
real property, is it no longer considered a mobile home.
MR. GROSS explained if a mobile home was on a quasi-
permanent foundation rather than blocking, it would make a
difference.
Number 115
MR. MARSH clarified, the distinction by the municipality of
Anchorage was if the mobile home is on a permanent
foundation such as footings and concrete, it would then be
considered real estate. If the mobile home is on leased
property or blocks, then it is considered personal property.
Number 121
REPRESENTATIVE OLBERG added if the mobile home was not
permanently attached to real estate the bank would actually
do a real estate mortgage on the property and a separate
mortgage on the mobile home.
Number 128
CHAIRMAN VEZEY referred back to his original question of the
fee and whether or not it was reasonable. He stated the
reasonableness of the fee depended entirely upon how much
work is expected from the DMV. He asked if the committee
felt the DMV should be responsible for doing searches, and
suggested there could be a cutoff point to make the
individual responsible. He compared the suggestion to real
property where the title is entirely up to the individual.
Number 144
REPRESENTATIVE OLBERG pointed out subdivision lots do not
come with MSOs.
Number 154
CHAIRMAN VEZEY agreed with REPRESENTATIVE OLBERG. He
directed his comment to MR. GROSS and MR. MARSH, and stated
CSHB 358 is a "stopgap" measure, which makes people feel
better and satisfies financial institutions. He reiterated
they do not feel the fee is unreasonable and the DMV did not
really know how much the cost for implementation would be.
Hearing no objection from the industry, he did not believe
the legislature would be inclined to lower the fee. If the
fee were lowered, the state would have to have a
responsibility cutoff point.
Number 174
MR. GROSS responded he was happy with the fee. He felt the
fee was worth it to have a central registry, even though it
would not be title insurance. He commented if the title is
not required, however, the problems MS. HENSLEY mentioned
will continue. He would prefer the title exchange to be
mandated.
Number 187
REPRESENTATIVE OLBERG mentioned the subcommittee voted
unanimously in favor of "requiring."
Number 190
CHAIRMAN VEZEY asked what would then be done with those
people who do not comply.
Number 194
REPRESENTATIVE OLBERG stated there would not be a rush to
the DMV office to buy mobile home titles. Titles would
probably be bought when an individual decided to sell a
mobile home.
Number 199
CHAIRMAN VEZEY stated he did not feel that was the case. He
stated the problem exists in the sale of 30-50 year old
mobile homes for the price of $3,000 to $5,000. He noted
mobile homes were a common form of housing.
Number 214
REPRESENTATIVE OLBERG agreed with CHAIRMAN VEZEY that CSHB
358 is a "stopgap" measure, and stated it could be revised
in the future. He believed in the future there could be a
smaller fee and DMV, by regulation, could establish a
research cost per hour.
Number 224
CHAIRMAN VEZEY responded research should be incumbent upon
the Alaska Manufactured Housing Association to investigate
the needs of their own industry and propose suggestions. He
stated he was amenable to the difference between the words
"allowing" and "requiring." He was, however, more
comfortable with "allowing."
Number 236
REPRESENTATIVE SANDERS asked if CSHB 358 could make titling
required from this point forward.
CHAIRMAN VEZEY answered the problem was not with people
getting titles if they were financing through a financial
institution. When two people buy and sell, the title then
tends to drop out of the system and may never return.
Number 243
REPRESENTATIVE SANDERS asked if titling was required as of
now, would the problem take care of itself in 20 years.
CHAIRMAN VEZEY replied he did not believe anything would
change.
REPRESENTATIVE OLBERG believed CHAIRMAN VEZEY was absolutely
right. Once a mobile home is no longer able to be financed,
it "falls into a gray area," he commented. He felt this
problem probably should not be addressed in statute.
Number 259
MS. HENSLEY mentioned her fiscal note was based on not
requiring everyone already owning a mobile home to come in
and acquire a title. She stated at the point of sale, the
individual would need to provide the proof and obtain the
title. She also based her fiscal note upon the number of
mobile home sales per year, the turnover rate and the
average years the mobile home was owned by an individual.
The average year of mobile home ownership she believed, was
eight.
CHAIRMAN VEZEY inquired if there was indication from the
industry as to how many times a mobile home might be
financed.
Number 274
MS. HENSLEY replied they did not advise her of that.
Number 276
REPRESENTATIVE OLBERG estimated with an average 8-year
turnover it would possibly be financed three times. He
noted as the mobile home ages the term shrinks dramatically.
Number 281
CHAIRMAN VEZEY stated version O of CSHB 358 had been
adopted, which incorporates page 2 of the original HB 358.
He asked the pleasure of the committee.
Number 287
REPRESENTATIVE OLBERG moved to pass CSHB 358, version O,
from committee with individual recommendations and
accompanying fiscal note.
Number 296
CHAIRMAN VEZEY asked the committee secretary to call the
roll.
IN FAVOR: REPRESENTATIVES VEZEY, KOTT, B. DAVIS, G.
DAVIS, SANDERS, OLBERG.
ABSENT: REPRESENTATIVE ULMER.
MOTION PASSED
SCR 17 - HONORING TOMMY MOE
CHAIRMAN VEZEY opened CSSCR 17 for discussion. He
introduced a House State Affairs committee substitute for
CSSCR 17. He noted the changes of the committee substitute
were found on page 1, line 16 through page 2, line 5.
Number 329
REPRESENTATIVE KOTT moved to adopt the House committee
substitute for CSSCR 17(STA), and pass it from committee
with individual recommendations, asking unanimous consent.
Number 334
REPRESENTATIVE G. DAVIS objected.
Number 337
CHAIRMAN VEZEY commented he would be reluctant to pass the
House committee substitute out if the committee was
uncomfortable with it.
Number 339
REPRESENTATIVE KOTT recognized CHAIRMAN VEZEY had put a lot
of work into the House committee substitute and he did see
significant changes that would prevent the resolution from
being passed. Therefore, he continued to entertain his
motion.
Number 354
CHAIRMAN VEZEY, hearing no further objection, asked the
committee secretary to call the roll.
IN FAVOR: REPRESENTATIVES VEZEY, KOTT, B. DAVIS, G.
DAVIS, SANDERS, OLBERG.
ABSENT: REPRESENTATIVE ULMER.
MOTION PASSED
ANNOUNCEMENTS
CHAIRMAN VEZEY announced the final drafts of the Alaska
Railroad Reports had arrived and were available for those
who would like a copy. He asked individuals who take copies
to return them, so they can be stored for future reference.
REPRESENTATIVE OLBERG announced he would be in Glennallen on
Saturday at the District Republican Convention; therefore,
he would be unable to attend the meeting.
REPRESENTATIVE SANDERS announced he would be in Anchorage on
Saturday and would attend the meeting by teleconference.
ADJOURNMENT
CHAIRMAN VEZEY, having no more business before the
committee, adjourned the meeting at 9:13 a.m.
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