CSHB 290(TRA) - LICENSE PLATES: RANCHES, FARMS, AND DAIRY JEFF LOGAN, legislative assistant to Representative Joe Green, sponsor of HB 290, explained the measure as follows. HB 290 broadens the definition of who can qualify as a person for the purpose of qualifying for an agricultural license plate. Language on lines 12-13 refers to AS 01.10.060, which defines a person as a corporation, company, partnership, firm, association, organization, and a few other entities. HB 290 was introduced at the request of one of Representative Green's constituents. The constituent was a farmer who formerly qualified for the agricultural license plates by registering his vehicles under his company name. The Division of Motor Vehicles (DMV) changed its interpretation of the statute and required that people registering under the company name pay the more expensive commercial fees. To pay the less expensive agricultural fees, he would have to register the vehicles under his personal name. Representative Green believes it is not up to any state agency to tell any Alaska business how it will organize the business, whether it be a corporation, sole proprietorship, etc., in order to get something that the business owner previously got anyway. After about one year of trying to get DMV to change its procedures, Representative Green introduced the bill. SENATOR HALFORD stated he agrees with Representative Green's intent, but he noted this restriction is abused in another area which could be fixed under this bill. He explained that farmers who have a bad year and seek seasonal employment elsewhere are forced to register their farm vehicles outside of the agricultural program if they did not earn their primary source of income from farming during the year. Senator Halford said he would like to see the language that requires the person's primary source of income be from farming deleted so that the statute would read, "vehicles under 16,000 pounds, owned by a person deriving income from the operation of a ranch, farm, or dairy where the person resides full time ...." He thought farm vehicles should not all of a sudden become illegally registered because the farmer took winter work. MR. LOGAN pointed out that agricultural vehicles are not on the road as often as commercial vehicles, as they are seasonal vehicles. CHAIRMAN WARD asked if the sponsor would object to Senator Halford's proposed amendment. MR. LOGAN said he did not think the proposed amendment is inconsistent with the goal of the legislation. SENATOR HALFORD moved to delete the words, "the person's primary source of" on line 7. SENATOR LINCOLN questioned whether anyone who gets any income from, and lives on, a farm or ranch would be eligible to get license plates for a lower fee. Number 520 SENATOR HALFORD explained the requirement is still restrictive in that a person can register a vehicle under the agricultural provision provided the vehicle is used exclusively to transport the person's own ranch, farm or dairy products to and from market, or to transport supplies, commodities or equipment to be used on a person's ranch, farm or dairy. SENATOR LINCOLN said that section would also allow a person with a few chickens on his/her land to register any vehicle used to transport chicken feed as agricultural. She objected to the motion because she stated the current language requires the person's primary source of income to be from agriculture, but not one's exclusive source of income. She believed the amendment would open up the reduced fee provision to many it is not intended for. MR. LOGAN showed committee members a picture of a 16,000 pound vehicle and stated, in regard to Senator Lincoln's concern, that it would not be necessary to use a 16,000 pound vehicle to transport chicken feed. SENATOR LINCOLN clarified the bill requires vehicles to not exceed 16,000 pounds, therefore a person could be using a regular pick-up truck. She maintained her objection to the amendment. The motion to adopt Senator Halford's amendment carried with Senators Halford, Wilken, Green, and Chairman Ward voting for the motion, and Senator Lincoln voting against it. SENATOR LINCOLN commented HB 290 is accompanies by a zero fiscal note that contains an asterisk signifying an indeterminate cost. She echoed Senator Halford's concern about not knowing the actual cost of a piece of legislation. SENATOR GREEN questioned whether the definition in the bill of "agricultural" includes greenhouse nurseries. MR. LOGAN replied under the definition given in AS 29.45.060(c), greenhouses are included. SENATOR GREEN moved SCSHB 290(TRA) from committee with individual recommendations and its accompanying fiscal note, and a letter to the Senate Finance Committee asking it to request an updated fiscal note. There being no objection, the motion carried.