SB 125-MOTOR VEHICLE TRANSACTIONS                                                                            
                                                                                                                                
2:21:39 PM                                                                                                                    
CHAIR EGAN announced SB 125 to be up for consideration.                                                                         
                                                                                                                                
SENATOR MEYER,  sponsor of  SB 125, said  it updates  the statute                                                               
that is  commonly referred to  as the Auto Dealers  Practice Act;                                                               
it  does that  by  clarifying several  provisions concerning  the                                                               
advertising  on new  and used  automobiles. These  revisions will                                                               
assist  the consumers  in understanding  auto comparison  pricing                                                               
and will eliminate any ambiguities  contained in current statutes                                                               
while assisting the dealers in their quest to follow state law.                                                                 
                                                                                                                                
This bill was drafted in  conjunction with the Department of law.                                                               
It also makes the document fees a moot issue.                                                                                   
                                                                                                                                
2:23:30 PM                                                                                                                    
ED   SNIFFIN,  Assistant   Attorney   General,  Civil   Division,                                                               
Commercial and  Fair Business Section,  Department of  Law (DOL),                                                               
said the language  in SB 125 was worked on  with the auto dealers                                                               
and clarifies  many provisions of  the statute to make  it easier                                                               
for  auto dealers  and consumers  in their  buying experience.  A                                                               
couple  of  substantive  changes  would allow  auto  dealers  the                                                               
ability  to  engage in  price  comparison  advertising with  used                                                               
automobiles,  and  that  is  something  that  isn't  in  statute.                                                               
Another  change  allows dealers  the  ability  to advertise  free                                                               
merchandise with  the vehicle which is  prohibited currently. All                                                               
other  changes to  the statute  are  clarifications and  consumer                                                               
friendly.                                                                                                                       
                                                                                                                                
MARTIN MARTINSON,  Alaska Auto Dealers Association,  Juneau, said                                                               
auto dealers are not trying  to get an unfair business advantage,                                                               
they are  simply trying  to clarify language  that would  make it                                                               
easier to both follow and enforce the law.                                                                                      
                                                                                                                                
CHAIR EGAN  said that public  testimony was closed and  asked the                                                               
sponsor if he had any closing comments.                                                                                         
                                                                                                                                
2:26:38 PM                                                                                                                    
SENATOR  MEYER replied  no, the  bill is  pretty self-explanatory                                                               
and people are in concurrence with its need.                                                                                    
                                                                                                                                
[SB 125 was held in committee.]