HB 407 - COMMEMORATIVE GOLD RUSH LICENSE PLATES CHAIRMAN VEZEY opened HB 407 for discussion under bills previously heard. He stated a proposed committee substitute, version J, for HB 407 was before the committee. CHAIRMAN VEZEY asked if there was a motion before the committee to adopt version J of committee substitute for HB 407. Number 651 REPRESENTATIVE G. DAVIS so moved. Number 652 Hearing no objection, CHAIRMAN VEZEY announced CSHB 407, version J, was adopted. MS. HENSLEY, DIVISION OF MOTOR VEHICLES, DEPARTMENT OF PUBLIC SAFETY, addressed CSHB 407. She stated REPRESENTATIVE RICHARD FOSTER, introduced the first committee substitute, version E, which basically allowed the commemorative Gold Rush license plate to be displayed for a four year period. After the four year period, the Alaska flag plates would resume. MS. HENSLEY stated CSHB 407, version J, deletes the four year provision and the commemorative Gold Rush license plate would become Alaska's standard issue license plate, effective January 1, 1996. DMV is neutral on this version. There would be 25 percent of the public requesting the new plate and everyone would not be required to obtain a new plate. MS. HENSLEY noted the total operating cost to the state would be $45,000 for the first year, because it would only be for half of that year, $90,000 the next year, and $45,000 for every year thereafter. Revenued generated from CSHB 407 would be $67,000 the first year, $135,000 the second year, and $67,000 every year thereafter. CSHB 407 would generate revenue with program receipts. Number 688 CHAIRMAN VEZEY questioned if CSHB 407 could be phased in so existing stock of Alaska flag plates could be used before the new plates were issued. Number 691 MS. HENSLEY said yes, the DMV would use the current supply and be able to order specific amounts through capital funds. TAPE 94-23, SIDE A Number 000 (REPRESENTATIVE OLBERG left the meeting at 9:50 a.m.) REPRESENTATIVE ULMER inquired about the design and choice process the DMV goes through to pick a new license plate. Number 014 MS. HENSLEY replied the process flows through a developed committee comprised of interested individuals who review designs which are submitted by the public. For example, a car club designed a special car plate and the committee had final say over the appropriateness of the design. In terms of the Alaska flag plate, the committee was very involved in the actual design. REPRESENTATIVE ULMER asked if there was a cost associated with the design process. MS. HENSLEY answered there has not been a cost in the past. Artists usually submit their work and then they work with 3M Company on the paint and coverings required. CHAIRMAN VEZEY commented selecting a design using the Alaska flag involved a series of artistic decisions. REPRESENTATIVE ULMER had trouble visualizing a Gold Rush license plate. MS. HENSLEY stated the committee on the Gold Rush Commemorative plate has already submitted a sample design of a drawing they would like. The state of Alaska is outlined and then it has a miner with a pick and a gold pan in the middle. She commented that a sample could be made available for committees to see within a couple of weeks. (REPRESENTATIVE OLBERG returned at 9:52 a.m.) Number 076 CHAIRMAN VEZEY stated CSHB 407 would be held in committee pending transmittal of a fiscal note. He asked if the committee would be interested in an amendment which would allow the plates to be phased in as existing stock is used up. He thought it may produce a very minor cost savings. REPRESENTATIVE G. DAVIS believed CSHB 407 would end up phasing in the plates, anyway. Number 096 MS. HENSLEY stated she would provide the fiscal note to the Governor's Office on Monday morning. Number 102 Hearing no more business before the committee, CHAIRMAN VEZEY adjourned the meeting at 9:53 a.m. ANNOUNCEMENTS Alaska Railroad Subcommittee will meet at 10:30 a.m., March 5, 1994, to review the final draft of the Alaska Railroad Report.