HOUSE BILL NO. 19 "An Act relating to permanent motor vehicle registration; relating to the registration fee for noncommercial trailers and to the motor vehicle tax for trailers; and providing for an effective date." 2:27:49 PM Co-Chair Stoltze relayed some background on the legislation. 2:30:41 PM DARREL BREESE, STAFF, REPRESENTATIVE BILL STOLTZE, stated that the CS for HB 19 had been changed in the Transportation Committee to remove the final section of the bill which set a maximum for how much the Department of Motor Vehicles (DMV) could collect for a Motor Vehicle Registration Tax. He said that Section 2 of the bill allowed for the owners of non-commercial vehicles, over 8 years-old, to receive a permanent registration. He explained that the basic registration fee for the vehicle would be paid, plus a $25 permanent registration fee, which would be honored for as long as the person owned the vehicle. He relayed that the permanent registration was non-transferable. He shared that Section 3 addressed senior's ability to receive one-year of free registration, which could be applied along with the $25 permanent registration fee, towards permanent registration. He furthered that Section 4 offered the $25 permanent registration fee to owners of non-commercial trailers. He continued that Section 5 remained under the recommendation of legislative legal and addressed I/M testing in municipalities. He continued that Section 6 addressed the Motor Vehicle Registration Tax; it established a base rate for municipalities and communities to use as a guideline for determining a registration tax. Section 7 allowed municipalities to set a motor vehicle registration tax rate for permanently registered vehicles. He relayed that this would allow municipalities raise or lower the rate for permanently registered vehicles. 2:35:29 PM AMY ERICKSON, DIRECTOR, DIVISION OF MOTOR VEHICLES, DEPARTMENT OF ADMINISTRATION (via teleconference), related that the DMV was responsible for the fiscal note and what the changes in revenue would be for the state. 2:36:08 PM Co-Chair Stoltze inquired whether the DMV supported the bill. Ms. Erickson responded that the DMV was neutral on the bill. 2:36:18 PM Representative Wilson inquired the average duration of vehicle ownership in the state. Ms. Erickson replied that the average age of vehicles on the road was 13 years. Representative Wilson inquired if there was any way to know how many times a specific vehicle changed ownership. Ms. Erickson responded that the DMV did not keep those records. 2:36:56 PM Representative Thompson inquired how many senior exempt vehicles were currently on the road in Alaska. Ms. Erickson replied that she was unsure but would get back to the committee with the requested information. 2:37:44 PM CYNNA GUBATAYAO, ASSISTANT BOROUGH MANAGER, KETCHIKAN GATEWAY BOROUGH, KETCHIKAN (via teleconference), expressed the borough's opposition to HB 19. She shared the motor vehicle taxes in the borough were used to fund the Junk Vehicle Program; borough residents could dispose of one vehicle per year, with no disposal costs. She concluded that the borough had a direct nexus between the tax and solving the problems that older vehicles caused. 2:38:40 PM Co-Chair Stoltze queried the population of the Ketchikan Gateway Borough. Ms. Gubatayao replied that it was approximately 13,000. 2:39:13 PM Co-Chair Stoltze CLOSED public TESTIMONY 2:39:28 PM Co-Chair Stoltze stated that discussion of the fiscal notes would take place at the next hearing. 2:40:45 PM HB 19 was HEARD and HELD in committee for further consideration.