CS FOR HOUSE BILL NO. 266(FIN) "An Act relating to penalties for violation of vehicle weight limitations; prohibiting the use of a violation of a vehicle weight limitation for certain personal automobile insurance actions; amending Rule 43.6, Alaska Rules of Administration; and providing for an effective date." This was the first hearing for this bill in the Senate Finance Committee. JENNIFER BAXTER, Staff to Representative Jim Elkins, Chair, House Transportation Committee, which sponsors this bill, explained the bill would modify existing laws pertaining to the penalty structure for overweight vehicle violations. These penalties have not increased since their establishment in the 1970s. Ms. Baxter professed current penalties do not deter commercial shipping companies and others from violating vehicle weight limitations. In addition, the bill would protect drivers cited for overweight vehicle violations from insurance companies, which might otherwise penalize those drivers' private automobile insurance coverage. Oftentimes, drivers of commercial vehicles have little control of the weight loaded on the commercial vehicles they are assigned to drive. Thus, the bill would protect drivers who are unknowingly in violation of weight limits on the State's road system. 9:37:54 AM Senator Dyson asked whether both the owner of an overweight truck and its non-owner driver could be cited for an offense. Ms. Baxter affirmed. Senator Dyson understood therefore that the aforementioned insurance coverage provision would serve to protect the driver by prohibiting his or her private vehicle coverage insurer from taking punitive action. In other words, the driver of an overweight vehicle would not be excused from operating a safe and legal vehicle. Ms. Baxter stated that was correct. 9:39:06 AM Co-Chair Wilken recognized Aves Thompson, Director, Division of Measurement Standards & Commercial Vehicle Enforcement, Department of Transportation and Public Facilities as being in attendance. Mr. Thompson consistently acted in a fair and responsible manner during the numerous occasions Co-Chair Wilken met with him about private business matters. Co-Chair Wilken stated that under Mr. Thompson's tenure, the Division has used federal transportation funds to upgrade its weights and measures equipment. Commercial trucks are no longer required to pull into weigh stations as scales imbedded in roadways could now transmit weight information to a scale as trucks travel along at 55 miles per hour. The readings are accurate and are furthering the effort to prevent overweight vehicles from damaging State roads. 9:40:56 AM AVES THOMPSON, Director, Division of Measurement Standards & Commercial Vehicle Enforcement, Department of Transportation and Public Facilities, affirmed Ms. Baxter's testimony on the bill. The Division worked with the bill's sponsor, the Alaska Trucking Association, the Alaska Teamsters, and numerous other entities to develop a bill with "reasonable ground" that would recognize the Division's role in trying to protect the State road infrastructure and deter the operation of overweight vehicles. This would be the first increase in associated penalties since the early 1970s. At that time, the penalties were amongst the highest in the nation; now they are some of the nation's lowest. The proposed penalties "are a reasonable increase" and would position the State at the mid-range level. The bill would protect drivers from unfair insurance increases, would generate a "fair increase" in penalty revenue, and would deter overweight vehicles' operation. 9:42:46 AM Senator Stedman communicated the ease at which a truck could experience an overweight axel, particularly a front axel in the case of a dump truck. Thus, he asked how such a situation would be accommodated, specifically with the onset of imbedded scales. In addition, he asked whether weight offenses in the range of 5,000 or 10,000 pounds were common. Mr. Thompson stated that the Division would attempt to address these concerns in a couple of ways. First would be the graduated penalty structure proposed in this bill. A truck marginally overweight would not receive a hefty fine; however a severely overweight truck would be fined "pretty heavy". Overweight vehicles with a "low-end" violation of between zero and 2,000 pounds overweight could avoid a citation were they able to shift the load weight to the legal limits before leaving the weight station. The Division provides some leeway as it does recognize that loading trucks is not "an exact science" and "sometimes honest mistakes are made". Mr. Thompson stated that the imbedded scales were a work in progress. They would assist in speeding up the flow of traffic, and they would allow the focus to be on unsafe and illegal trucks rather than those that are safe and legal. 9:45:06 AM Senator Dyson appreciated the Division's "enlightened position", as from personal experience he found that not to have been their position in the past. Senator Dyson ascertained that the majority of the bill addressed penalty levels. The insurance coverage provisions must have been included to address the insurance methodology that counts the number of citations a driver accumulates against their insurance record; the fact that these citations were not traffic or safety related is not recognized. To that point, he asked whether this issue has been a "widespread problem" in Alaska. Mr. Thompson responded that the Division has received reports of this occurring. The Alaska Trucking Association could better respond to the question. Co-Chair Green understood that the insurance industry does not object to the inclusion of the provision in the bill. Mr. Thompson appreciated the Committee's efforts in regards to the bill, as it is important to the Division. Co-Chair Green acknowledged. 9:47:04 AM MICHAEL BELL, Director, Alaska Trucking Association, testified via teleconference from an offnet location in support of the bill. The provision in the bill that would prohibit overweight citations from affecting a driver's personal automobile insurance is important as drivers are seldom "responsible for loading their vehicles and have very little opportunity to adjust a load if they are overweight on an axel or gross" weight. Roadways would also benefit from the bill, as it would discourage continual overweight violations. It would encourage the proper loading of a truck before it arrived at a scale. Senator Stedman disclosed having a commercial driver's license (CDL). Co-Chair Green acknowledged there being a need for such a bill. Co-Chair Wilken moved to report the bill from Committee with individual recommendations and accompanying fiscal notes. There being no objection, CS HB 266(FIN) was REPORTED from Committee with three previous fiscal notes: zero fiscal note #4 dated January 23, 2006 from the Department of Commerce, Community and Economic Development; zero fiscal note #5 dated January 20, 2006 from the Department of Transportation and Public Facilities; and zero fiscal note #6 dated January 25, 2006 from the Department of Law. 9:49:07 AM