HB 15-COMMERCIAL MOTOR VEHICLE REQUIREMENTS  1:48:35 PM CHAIR EGAN said the next bill before the committee was HB 15. REPRESENTATIVE WES KELLER, sponsor of HB 15, explained that the bill reduces a regulation on Alaska businesses by redefining a commercial motor vehicle from 10,000 pounds to 14,000 pounds. He related that the bill has support from DOTPF, the National Federation of Independent Businesses (NFIB), the Alaska Trucking Association, and Norcon Equipment. 1:50:39 PM JIM POUND, staff, Representative Wes Keller, sponsor of HB 15, noted that a similar bill was heard last year. The situation described in the bill is seen in pilot vehicles where the same weight requirements apply as for a commercial vehicle. The bill would also apply to 18-year-olds who cannot qualify for a commercial driver's license and who would like to get into the pilot driving business. It also applies to small vans, such as lawn and garden trucks. He gave an example of a one-ton pickup with a welder in the back that would no longer be classified as a commercial vehicle under HB 15. 1:52:34 PM SENATOR FRENCH asked if there is any opposition to the bill MR. POUND said support in the House was unanimous. SENATOR FRENCH asked if anyone testified against the bill. MR. POUND said no. REPRESENTATIVE KELLER noted that the bill has not had a negative vote yet. SENATOR BISHOP noted support for HB 15 by the Association of General Contractors. REPRESENTATIVE KELLER thanked Senator Bishop for pointing that out. 1:53:38 PM CHAIR EGAN opened public testimony. AVES THOMPSON, Executive Director, Alaska Trucking Association, testified in support of HB 15. He explained, as vehicles have gotten larger and heavier, many fall under the current definition of intrastate commercial vehicle that have historically not been considered a commercial vehicle, such as pickup trucks, small step vans, and small trailers. One of the Alaska Trucking Association's legislative priorities is to change the current statutory description of intrastate commercial vehicle in order to reduce the regulatory burden on small businesses. He said when passed, HB 15 will accomplish that goal. He pointed out that for purposes of commercial vehicle regulation and inspection, HB 15 raises the weight threshold, and lessens the fiscal impact on businesses. It does not change the commercial status of intrastate vehicles for purposes of registration with the Division of Motor Vehicles (DMV) and therefore, there is no fiscal impact on the state. He urged passage of the bill. 1:57:25 PM DANIEL SMITH, Director, Division of Measurement and Standards for Commercial Vehicle Enforcement, testified in support of HB 15. He said the change made in the bill removes the regulatory burden on businesses that have been categorized as carriers operating commercial motor vehicles due to the fact that vehicles have gotten larger. Now, incidental use of these vehicles, or combination vehicles over 10,000 pounds, meets the definition of a commercial vehicle. SENATOR DYSON moved to adopt Amendment 1. 28-LS0058\A.2 Nauman AMENDMENT 1 OFFERED IN THE SENATE Page 2, line 5: Delete "designed" Insert "being used[DESIGNED]" SENATOR DYSON objected. He related a story about a constituent in his district who needs a small handicap-equipped bus with a ramp. He said without the change proposed in Amendment 1, his constituent's insurance rate would be significantly affected because DMV's opinion is "once a bus, always a bus." He noted that the sponsor is in agreement with the amendment. REPRESENTATIVE KELLER said he concurs with Amendment 1. 2:01:53 PM SENATOR FAIRCLOUGH requested an opinion from the Department of Law on the designated terminology. She said she understands that the language "a commercial motor vehicle is defined" is followed by a list of appropriate vehicles. She opined that "being used" would fall under the commercial requirements. On line 20, it lists those vehicles which are not commercial motor vehicles. ANMEI GOLDSMITH, Assistant Attorney General, Transportation Section, Department of Law, opined that if the vehicle is being used exclusively for purposes other than commercial purposes, then it would not be a commercial motor vehicle. If the current bill is written to eliminate the word "recreational" on page 2, line 20, then a bus pulling a trailer equipped for wheelchair for personal use it is not going to be regulated by DOTPF as a commercial motor vehicle. SENATOR FAIRCLOUGH explained that proposed Amendment 1 is on page 2, line 5, and deletes the word "designed" and adds "being used". That proposed change is in a place that describes what a commercial vehicle is. She wondered if, instead, it should be on line 20, where recreational vehicle is being eliminated, and the word "being" should be inserted in between the words "vehicles" and "used". MS. GOLDSMITH thought the bill, as written, already covers the example Senator Dyson proposed and would exclude the modified bus. She noted that the issue of registration at DMV is a different story. She said she thought DMV had its own set of regulations. 2:05:50 PM SENATOR FAIRCLOUGH requested a description of what the effect would be of changing line 5, AS 19.10.300 (f)(1)(c)(ii), which states "is designed to transport more than 15 passengers including the driver." Amendment 1 proposes to change "designed" to "being used". MS. GOLDSMITH explained that if the term "designed" is changed to "being used", and the vehicle is being used for non- commercial purposes, it is not a commercial vehicle. 2:07:43 PM At ease 2:08:04 PM MR. POUND commented that when he discussed the amendment with legislative legal, they determined that if the vehicle is not being used for commercial purposes, the vehicle is no longer a commercial vehicle, as far as DOTPF is concerned; however, DMV still considers the vehicle a commercial vehicle. The bill addresses DOT statutes, not DMV regulations. SENATOR FAIRCLOUGH said she thought DMV should be present to address this issue. MR. POUND said if a vehicle is not being used to transport, it eliminates its description as a commercial vehicle. Recreational vehicles are different according to both DOTPF and DMV. He assumed DMV would follow suit if DOTPF approves the changes. SENATOR FAIRCLOUGH said she does not want to hold up the bill. SENATOR DYSON said he would clear this up with DMV. He suggested that the amendment does no harm. SENATOR FRENCH suggested the committee adopt the amendment and hold the bill in committee. 2:13:04 PM SENATOR FAIRCLOUGH suggested an at-ease in order to call DMV. SENATOR DYSON agreed. MR. POUND said he would call DMV. 2:13:49 PM At ease 2:29:48 PM CHAIR EGAN noted a problem with finding information from DMV. He said he would schedule HB 15 again next week. CHAIR EGAN held HB 15 in committee with Amendment 1 pending.