Legislature(2009 - 2010)BARNES 124

04/05/2010 01:00 PM LABOR & COMMERCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Please Note Time Change --
*+ HB 416 PRUDENT MANAGEMENT OF INSTITUTIONAL FUNDS TELECONFERENCED
Moved Out of Committee
+ HCR 21 ECONOMIC DEVELOPMENT PLANNING COMMISSION TELECONFERENCED
Heard & Held
+ HB 389 COMMERCIAL FISHING LOAN ACT TELECONFERENCED
Heard & Held
+ SB 269 ECON. STIMULUS BONDS: REALLOCATION/WAIVER TELECONFERENCED
Moved Out of Committee
+ SB 272 RENTAL CAR CHARGES TELECONFERENCED
Moved Out of Committee
                   SB 272-RENTAL CAR CHARGES                                                                                
                                                                                                                                
2:10:24 PM                                                                                                                    
                                                                                                                                
CHAIR OLSON announced  that the final order of  business would be                                                               
SENATE  BILL NO.  272, "An  Act  relating to  charges for  rented                                                               
motor  vehicles,  including  cost  recovery fees,  and  making  a                                                               
violation  of  the  rented motor  vehicle  charge  provisions  an                                                               
unfair trade practice."                                                                                                         
                                                                                                                                
2:10:32 PM                                                                                                                    
                                                                                                                                
EDRA  MORLEDGE,  Staff,  Senator Charlie  Huggins,  Alaska  State                                                               
Legislature, paraphrased  from the sponsor statement,  as follows                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     SB  272 is  a technical  bill  that would  allow rental  car                                                               
     companies to  do in  Alaska what they  already do  in thirty                                                               
     other states.  Alaska law is  currently silent on  the issue                                                               
     of separately-listed  charges on  rental car  statements for                                                               
     the recovery of fees. This  bill would require those fees to                                                               
     be listed  separately and clearly  identified on  the rental                                                               
     car agreement.                                                                                                             
                                                                                                                                
     The industry standard  is to turn over the  rental car fleet                                                               
     every twelve months and to  associate the costs of licensing                                                               
     the vehicles,  concessions, and airport  or facility-related                                                               
     costs  with   the  vehicles   themselves.  In   addition  to                                                               
     government  taxes  and   surcharges,  rental  car  companies                                                               
     assess  additional  "cost  recovery fees"  to  offset  those                                                               
     costs. Consumers  should be made  aware, and be able  to see                                                               
     the fees  they are charged, on  both the rental bill  and in                                                               
     an  online quote.  This bill  would provide  full disclosure                                                               
     and transparency of "cost recovery  fees" included in rental                                                               
     car  agreements. In  addition, this  legislation would  make                                                               
     violating the provision an unfair trade practice.                                                                          
                                                                                                                                
                                                                                                                                
MS. MORLEDGE stated that this  bill is a consumer protection bill                                                               
modeled on  car rental  legislation that has  passed in  30 other                                                               
states,  10 of  which  have passed  similar  legislation in  past                                                               
three  years.   The  bill  previously  passed the  Alaska  Senate                                                               
unanimously  and has  industry support  and is  supported by  the                                                               
Department of  Law.  She  encouraged the committee to  support SB
272.                                                                                                                            
                                                                                                                                
2:12:19 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BUCH  recalled a  disclosure bill that  applied to                                                               
documentation   fees  by   car  dealers   on  sales   of  vehicle                                                               
documentation fee.   It seemed to him that car  dealers were able                                                               
to charge a fee for basically "not doing anything."                                                                             
                                                                                                                                
CHAIR  OLSON  pointed out  the  referenced  bill applied  to  car                                                               
dealers and not car rental agencies.                                                                                            
                                                                                                                                
REPRESENTATIVE   BUCH  suggested   this  bill   requires  similar                                                               
disclosure which would only apply to car rental agencies.                                                                       
                                                                                                                                
MS. MORLEDGE  referred to page  2, line  19 to the  definition of                                                               
car which  read, "(1)  "car" means motor  vehicle."   She related                                                               
that the  bill drafter  indicated this would  apply to  all motor                                                               
vehicle rentals.                                                                                                                
                                                                                                                                
2:13:46 PM                                                                                                                    
                                                                                                                                
SHANE  SKINNER,  Controller/Business Manager,  Enterprise  Rental                                                               
Cars,  clarified  the  car  rental   charges.    He  stated  that                                                               
currently  there is  "nothing  on  the books"  in  Alaska on  car                                                               
rental charges.   This bill  would clarify the  allowable charges                                                               
plus it  would limit the charges  to those remitted to  the state                                                               
for car rental taxes, airport  taxes and fees, which are remitted                                                               
to  airports  to run  the  facilities,  and vehicle  registration                                                               
fees.   This bill would  cap the amount  that is allowable  to be                                                               
collected to the state or airport authority.                                                                                    
                                                                                                                                
2:14:33 PM                                                                                                                    
                                                                                                                                
CHAIR  OLSON,  after first  determining  no  one else  wished  to                                                               
testify, closed public testimony on SB 272.                                                                                     
                                                                                                                                
2:14:50 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE T. WILSON moved to  report SB 272 out of committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
notes.   There being no objection,  SB 272 was reported  from the                                                               
House Labor and Commerce Standing Committee.                                                                                    

Document Name Date/Time Subjects
HB416 Supporting Documents-Letter Foreaker Group.pdf HL&C 4/5/2010 1:00:00 PM
HB 416
HB416 Fiscal Note-UA-Sysbra-03-26-10.pdf HL&C 4/5/2010 1:00:00 PM
HB 416
CSHCR21(EDT) Changes from version E.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
CSHCR21(EDT) Draft Amendment P.1 (APED).PDF HL&C 4/5/2010 1:00:00 PM
HCR 21
CSHCR21(EDT) Fiscal Note-LEG-COU-3-29-10.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
CSHCR21(EDT) Sponsor Statement.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
CSHCR21(EDT) ver P.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
CSHCR21(EDT) Draft Amendment P.2 (Report to L&C Committees).PDF HL&C 4/5/2010 1:00:00 PM
HCR 21
HCR21 - Legacy outline.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
HCR21 - Letters of Support.PDF HL&C 4/5/2010 1:00:00 PM
HCR 21
HCR21 - Alaska Forward Project Executive Summary.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
HCR21 - Other State Incentives.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
HCR21 Briefing Paper Economic Development in State Government.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
HCR21 Economic Development Commission Powerpoint.pdf HL&C 4/5/2010 1:00:00 PM
HCR 21
Apr 5 Packet Info.pdf HL&C 4/5/2010 1:00:00 PM
CSHB389(FSH) Fiscal Note.pdf HL&C 4/5/2010 1:00:00 PM
HB 389
CSHB389(FSH) Sponsor Statement.pdf HL&C 4/5/2010 1:00:00 PM
HB 389
CSHB389(FSH) ver C.pdf HL&C 4/5/2010 1:00:00 PM
HB 389
HB389 Changes between ver C and ver S.pdf HL&C 4/5/2010 1:00:00 PM
HB 389
HB389 Commercial Fishing Loan Fund Home Page.pdf HL&C 4/5/2010 1:00:00 PM
HB 389
HB389 DCCED Statistics for Loan Servicing.pdf HL&C 4/5/2010 1:00:00 PM
HB 389
HB389 December 2009 Loan Stats.pdf HL&C 4/5/2010 1:00:00 PM
HB 389
HB389 Memo on HB389 to HFSH.pdf HL&C 4/5/2010 1:00:00 PM
HB 389
CSSB269(FIN) ver E.pdf HL&C 4/5/2010 1:00:00 PM
SB 269
HB338-SB269 Sponsor Statement.pdf HL&C 4/5/2010 1:00:00 PM
SB 269
HB338-SB269 Section Analysis.pdf HL&C 4/5/2010 1:00:00 PM
SB 269
SB269 Fiscal Note-2-1-021010-REV-Y.pdf HL&C 4/5/2010 1:00:00 PM
SB 269
SB269 Fiscal Note-1-2-021010-CED-N.pdf HL&C 4/5/2010 1:00:00 PM
SB 269
HB338-SB269 Supporting Documents Letter-AML 3-3-10.pdf HL&C 4/5/2010 1:00:00 PM
SB 269
SB272 ver A.pdf HL&C 4/5/2010 1:00:00 PM
SB 272
SB272 Fiscal Note-1-1-022410-LAW-N.pdf HL&C 4/5/2010 1:00:00 PM
SB 272
SB272 Sponsor Statement.pdf HL&C 4/5/2010 1:00:00 PM
SB 272
SB272 Supporting Documents - Vehicle Licensing Fee Per State.pdf HL&C 4/5/2010 1:00:00 PM
SB 272
SB272 Supporting Documents - BUSINESSADVISORY re VLF's 083006.pdf HL&C 4/5/2010 1:00:00 PM
SB 272
HB416 Fiscal Note-LAW-CIV-04-02-10.pdf HL&C 4/5/2010 1:00:00 PM
HB 416