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EXCUSED:

Mr. Detmar then presented RS13491. This legislation amends Sec. 49-439, Idaho Code, to allow for the transfer of the ITD Motor Carrier Services Audit Unit to the State Tax Commission in the FY2005. The audit unit is currently being transferred using a Memorandum of Understanding (MOU). Mr. Detmar stated that this would reduce the number of audits required by ITD from two to one. It would also transfer 4 auditors and one half time clerical position to the State Tax Commission. He said this reorganization was an efficiency measure to improve audits with motor carriers.

A question was asked regarding the four year audit restriction being deleted. Mr. Detmar stated that it is now under the State Tax rules. He also said that all appeals will be handled by the tax commission. When asked if four and one half people are enough to do the job, Mr. Detmar said that the department had worked closely with the tax commission and they have agreed that this number was sufficient.

Rep. Bauer seconded the motion to send RS13491 to print.

Motion passed unanimously.

There was concern voiced by the committee regarding how impartial a independent hearing officer would be if chosen by the department. Mr. Parry said that in a bid dispute the department is a neutral third party, and any litigant would have the right to disqualify the hearing officer. There was also concern that we would be adding a step rather than expediting the process. Rep. Wood stated that it would only go to the courts if the disgruntled contractor doesn't like the decision.

Rep. Smith made a motion to send RS13490C1 to print. Rep. Cannon seconded the motion.

Motion passed unanimously.

Mr. Spangler also noted that the SOP was incorrect and should say that there would be an additional $20,000 motor fuel tax that will qualify for refunds.

Questions were asked about six-wheel ATVs and motorcycles. Mr. Spangler said this bill included three or more, and that motorcycles are defined as recreational vehicles.

Motion passed unanimously.

EXCUSED:

Rep. Shepherd made a motion to accept the minutes from January 14, 2004, with the corrections from a letter received by Mr. Ted Spangler, STC. (Letter attached).

Motion passed.

11-1301-0201 &

11-1302-0301

The temporary rule incorporates by reference a version of 39 CFR Parts 393 and 395 effective January 4, 2004, governing commercial vehicle load securement and driver hours of service.

Capt. Johnston stated that the new Cargo Securement Rules had a mandatory compliance as of January 1, 2004. He passed out a synopsis of these rules (see attached). He also said that this list is not all inclusive but an example. It was felt by the committee that they should have a complete list to see what changes have been made. Capt. Johnston said he would get a complete list to the Chairman. It was asked if these rules just cover interstate and he said yes.

Capt Johnston said that they have been working hard with the industry to let them know of the changes. Mr. Allen Frew, ITD, said that two officers have been assigned to help train the port of entry people.

The committee had real concerns regarding the new Hours of Service regulations. Specific concerns were: if the new hours included loading time; how this applies to utility and emergency people; adequate rest areas; eleven hours layovers may be too long; would this be an economic hardship on some people. Capt. Johnston said that these new rules are regulated by congress and needed for federal funding.

11-1301-0201 and 11-1301-1301.

Motion passed. Rep. McKague voted nay.

34-0105-0301

Motion passed unanimously.

Motion passed unanimously.

Rep. Roberts will carry the bill on the floor.

There were some questions about the safety of this and Rep. Roberts said that the legislation makes it clear that the vehicle has to be safely designed to travel the faster speeds. There was also a question about the foot break and breaking system. Rep. Roberts said the old equipment uses the foot breaks, but that the newer equipment has the breaking system.

In answer to a question regarding tractors going fast with a driver with out a license, Rep. Roberts said that there is a section of the Idaho Code that specifically lists slow moving vehicles. This would just allow those vehicles that are designed to travel at those speeds. Regarding a question about interstate travel, Rep. Roberts said that vehicles have to meet all requirements.

Motion passed unanimously.

Senate members: Chairman Ingram, Vice Chairman Keough, Senators Geddes, Brandt, Bilbao(Little), Bailey, McWilliams and Marley.

EXCUSED:

Senator Calabretta

The goal of the meeting was communication among the states to achieve uniformity for the transport industry. The panel provided information on issues from a broad perspective. Each state was given time to explain what is going on in their state. There were also discussions on the latest technology such as mobile weight testing.

Issues that could affect us are concerns over food bioterrorism and rules concerning the agriculture exemption from hours of service. The Federal Motor Carrier Safety Administration of the US Department of Transportation issued a "guidance" stating that determined poultry, livestock, and feed grains were not agriculture commodities. Ag exemptions which gives each state the ability to decide on the best use of these allowed exemptions within their state are in jeopardy by being in the rules not law. Rep. Skippen said she will be introducing a joint House Memorial asking the U.S.

Congress to support HR871 which will move the ag exemption hour of service from rules to law. This will protect it from future easy changes.

A question was asked if there had been an effort to regulate heavier trucks on the interstate. Rep. Skippen said only in the context of uniformity for the states.

TRAC (Terminal Rental Adjustment Clause) vehicle leasing is the way commercial fleets of cars and trucks are leased throughout the US. Typical TRAC lessees include state and local governments, utility companies, Federal Express, Wendy's Hamburgers, and small and large businesses. What this legislation does is make it clear that TRAC vehicle leases are true lease not sales, and this will put and end to wasteful litigation about the issue. The bill would clarify the law, keep the cost of TRAC vehicle leasing low, make the law uniform and consistent throughout the US, and aid commerce across the nation and Idaho in particular.

Mr. Huddleson said he received a letter from the National Conference of Commissioner on Uniform State Laws and asked that this be included in the record. (See attached) In Idaho TRAC legislation is supported by Enterprise Leasing and by the Idaho Trucking Association.

A question was asked about wrecked or salvaged vehicles and Mr. Huddleson said that was outside this legislation. There was also a question regarding some states which had adopted this legislation making changes. Mr. Huddleson said that they had made small changes but didn't change the significant part of the legislation.

A vote was called for on the motion.

Passed unanimously.

39-0247-0301

039-0316-0301

039-0322-0301

Mr. Frew said that changes to expand the permit requirements for vehicles are: the permit must be displayed on the passenger side of the windshield, lower right had corner; vehicle-specific trip logs must be submitted quarterly in a standard electronic format; and failure to submit trip logs will result in the revocation of all pilot project permits issued to the motor carrier.

A question was asked as to why this rule was changed. Mr. Frew said that it is to streamline the process and make it simpler for law enforcement and carriers. There was a question as to whether the formula had changed on a truck and two trailers. Mr. Frew said he would follow up and get back to the committee with an answer.

In answer to a question regarding how many were taking advantage of the heavier truck weights, Mr. Frew said that they have issued 50 permits since this came into effect, but that some were not able to go the maximum 129,000 pounds because of bridge weight restrictions.

Regarding the electronic reports, Mr. Frew said they had developed a form and web site available to all carriers enabling carriers to report this way. He said the report could also be faxed.

39-0341-0201

39-0343-0301

39-0346-0301

39-0363-0201

A question was asked regarding what happens to memorials that are now exceeding the new limits. Mr. Holland said that they are addressing these issues and those that are a traffic hazard or in the right-of-ways would be moved. Last year the department had two removals, 13 inquiries about placement, and one application.

EXCUSED:

Motion approved.

Motion approved.

Motion carried.

Motion carried.

Motion carried.

Motion carried.

Motion carried.

Motion carried.

Motion carried.

Motion carried.

Rep. Smith will carry the bill on the floor.

Mr. Chuck Winder, presented a video put together by ITD. Mr. Winder then gave a power point presentation. He stated that Idaho has the fifth most efficient transportation system in the nation. Points made in the presentations were:

• A strong transportation system strengthens Idaho; virtually every item in your home and at your job traveled into your life through Idaho's transportation system.
• Transportation is driving Idaho's economy; construction sustains 14,000 private sector jobs, and Idaho's aviation system supports 26,000 jobs.
• Continuing commitment to US 95; $264 million invested in 74 projects on US 95 during the last six years, and another $264 million will be invested over the next five years.
• Connecting Idaho; with highway improvements, transit funding and airport projects.
• Serving motorists and truckers.
• Building bridges to Idaho's past & promoting tourism.
• Reaching out & listening to customers.
• Improving practices and productivity; the construction program grew 62% over the last six years; workforce increased less than 1%; Sixty-four efficiency measures were implemented saving $4.2 million in one-time savings and another $1.6 million in on-going savings.
• Safety; ITD partners with law enforcement and health care professionals; promote seat belt use; and engineering improvements to make a daily difference.

Mr. Winder introduced Mr. Dave Ekern, ITD Director. Mr. Ekern said that after 12 years Congress has said the interstate is complete.

Rep. Skippen said that Idaho is one of the few states in the nation that does not have a north/south interstate so she has to disagree that the Interstate is complete. Mr. Ekern stated that with the completion of the Interstate system states can now set their own priorities. He said that priority setting is a harder question as the systems that are in place today force them to look seven or more years into the future.

Some of the challenges ahead will be:

• Moving toward zero deaths
• Transportation as a tool for growth
• Strengthening community involvement
• Providing statewide access to public transportation
• Improving Idaho's airport system
• Innovative financing tools
• Delivering projects that are; an asset to the community; environmentally compatible, the best in engineering and construction excellence, and delivered on time and in budget.

Mr. Ekern said that car crash injuries are the number one cause of death in those 35 and younger. When asked about moving to zero deaths, Mr. Ekern stated that law enforcement, education, and finance all come into play.

A question regarding bridges was asked. Mr. Ekern stated that local system bridges is the next challenge and priorities will need to be set. Rep. Wood stated that when LHTAC gives their presentation to the committee they will give us more information.

There was a question about increased funding and how we will fair with matching state money. Mr. Ekern said that they believe they have the matching funds. There was also a question regarding our deteriorating highways. Mr. Ekern said that the board and the department have made it a priority to preserve and maintain the roads. He said this is not a large dollar amount but it gets us miles. He also stated that this is one of the most efficient departments in the country.

Mr. Ekern said the department will give its budget presentation on Wednesday.

EXCUSED:

Motion approved.

When a bid is challenged they must file an action in District Court. At times the Court is not able to hear and decide the case in a timely manner. This proposed legislation will allow the Department to use the Administrative Procedures Act to resolve a bid protest through the use of hearing officers. Mr. Bywater stated the AGC agrees with this legislation. In answer to a question regarding liability to the Department, Mr. Bywater said that there would be no liability.

Motion passed unanimously.

Rep. Cuddy will carry the bill on the floor.

A discussion followed as to whether the language in this bill was specific enough to allow for certain emergency organizations such as rural fire departments to use these devices; and whether official duty, on line 21, was explicit enough. It was felt that someone could be on official duty, but they were not hurrying to an emergency and still might use this device.

Rep. Kellogg withdrew her motion.

Rep. Smith made a motion to hold in time certain RS13692C1 until next week.

Motion approved.

Replying to a question regarding the number of signatures it would take to dissolve a highway district. Rep. Smith said it would take 10% plus one signature for a hearing for dissolution.

Motion approved.

Mr. Scott Patrick, Idaho Division of Aeronautics, briefed the committee about their mission statement and members. There are five board members that consult with and advises ITD. He said that their group is always working on improving and saving airports.

Mr. Grant Peterson, Chairman Idaho Automobile Dealers Advisory Board, stated that they have eight members and assist and advise the Idaho Transportation Department in the administration and enforcement of Motor Vehicle Dealer and Salesman Licensing Act.

Mr. Jim Pline, Idaho Traffic Safety Commission, stated that the commission was created in 1965 and has 15 commission members. They review traffic safety problems, develop effective plans for additional local-state cooperative activities, recommend programs to receive federal

aid for highway safety, and recommend future traffic accident prevention activities.

Mr. Jerry Whitehead, Motor Carrier Advisory Committee. This committee was created to review proposed regulations, statutes and general issues relating to motor carrier matters. There are 12 members.

General Jim Brooks, Vice Chairman Public Transportation Advisory Council. This advisory council consists of six members; two members appointed from each of the three Transportation Department Districts. They advise the Idaho Transportation Department on issues and policies regarding public transportation in Idaho.

Rep. Wood thanked everyone stating that these are all volunteers.

Mr. Charlie Rountree, ITD Administrator, briefed the committee regarding the transportation bills being addressed at the Federal level. He said the House and Senate have different bills and they will mean different funding. He stated that the Department is now working on an extension of the T-21 and until there is a transportation bill their hopes are to get another extension on T-21.

Mr. Dave Ekern, ITD Director, presented the proposed 2005 budget request. Mr. Ekern said that the total budget request is $425,910,300. (See attached budget).

A number of questions were asked that Mr. Ekern needed time to research, Rep. Wood requested that Mr. Ekern come to the committee meeting on February 4.

EXCUSED:

Motion approved with 9 Yea and 4 Nay. Representatives Bedke, Roberts, Smith and Wood voted Nay.

Motion carried.

Mr. Joe Haynes, LHTAC Administrator, Mr. Haynes said that they have twelve council members: three mayors, three county commissioners, three highway district commissioners and a representative from each of their associations.

He noted three out of ten specific areas in the authority of the council. (1) Develop uniform standards and procedures that may be recommended to its member jurisdictions for the construction, maintenance, use, operation and administration of local highways; (2) Make recommendations to the Idaho Transportation Board for the distribution and prioritization of federal funds for local highway projects; and (3) Assist the legislature by providing research and data relating to transportation matters affecting local highway jurisdictions within the state.

LHTAC gives regular reports to the Legislature and publications for Local Highway Jurisdictions as well as joint publications. In upcoming publications and studies, Mr. Haynes mentioned that they will do Weight Restrictions Due to Frost Breakup manuals as this seems to be a problem.

LHTAC provides project selection and administration for the following Idaho Transportation Department programs:

• Local Federal-aid Incentive Program/STP Urban & Rural
• Local Rural Highway Investment Program
• Local Federal-aid Bridge Program
• Asset Management Project
• Intergovernmental Relations
• State of Idaho Agencies
• Federal Agencies

Mr. Haynes said that they have a joint bridge project with Nez Perce County using Indian Reservation Roads funding and local funding for a bridge over the Clearwater River. The total cost of the project is $8.5 million. A million in local federal aid will be spent on bridge study. Chairman Wood stated that one million dollars seemed high for a study. Mr. Haynes said that since it was federal dollars an impact study would be done on such things as prime spawning ground; Indian artifacts; historical sites, etc. This is why the cost is high and why projects are held up.

Mr. Keely gave a broad overview of Local Highway Jurisdictions. He said there are 288 local highway jurisdictions. There are 191 cities, and cities have jurisdiction in all but one county. For roads outside the cities there are 33 counties, 21 exclusively county, and 12 are county and highway district administration. There are 64 highway districts in 23 counties with 11 exclusively highway district administration and 12 county and highway district administration. Mr. Keely said that the local highway system is made up of roads, bridges, and railroad crossings.

As of 2003 there were 33,250 LHJ miles; 2,283 bridges, and 1,275 railroad crossings. On bridges over 20 feet, 50 qualify for replacement and 130 qualify for rehabilitation.

Mr. Keely gave the figures for revenue and expenditures using 2002 figures. He stated that disbursement of revenues was 99.2%, and he said that everything that came in went back out with the holdover of funds for construction and maintenance, which shows a prudent use of funds.

Some of the challenges for LHJ's are:

• Revenue is unbalanced - not enough coming from user revenues (Regis, fuel, title)
• LHJ growing mileage in the last 10 years and population growth has increased the need to retrofit and/or expand existing highway facilities
• Dealing with rural to urban migration and generational turnover increased the need for trained personnel

Future challenges :

• Preserve the system
• Upgrade for safety and performance
• Training for local elected officials and the approximately 1,900 LHJ employees.

Mr. Keely talked about addressing needs and conditions in Idaho. The number one recommendation from the 2003 Idaho Transportation Resource Task Force was to come up with and approach the condition and needs of local highway jurisdictions. Also during the task force meetings a funding concept was developed, to basically increase title fees and use the funds for cities, counties and highway districts. This proposal has been supported by adoption of a resolution by the Association of Idaho Cities, Idaho Association of Counties, and the Idaho Association of Highway Districts. Mr. Keely introduced J.R. Van Tassel who has been chosen to coordinate this project.

There were questions from the committee regarding how smaller highway districts could obtain federal money through grants when they don't have a grant writer on staff. Chairman Wood said this is where LHTAC comes in and that these groups should call LHTAC for information.

EXCUSED:

Motion approved.

Motion approved.

Motion approved.

There was a concern about a 10 or 12 year old driving the new ag equipment at higher speeds on a state highway. Rep. Roberts said that there is no age limit on driving farm equipment in the state of Idaho.

Motion approved.

Motion approved.

There were questions about what income will come into the department this year and if this is about what the Governor estimated. Ms. Pipal said that the anticipated revenue is less than the governor's budget. She said there was a cash balance carryover and this is always pulled forward. It was also asked what the income is from fuel tax, car registration, etc., and if they are climbing or declining. Also what the revenue from truck registration will be.

Rep. Wood stated that the committee needs to know whether revenues are going up or down or if they are steady so that the committee can make informative decisions when a bill comes before them that will increase fees. Ms. Pipal said that she would get a graph and other information to the committee which will answer these questions.

Motion approved.

Rep. Roberts stated that he supports this motion.

It was asked if this means someone unlicensed could still drive ag equipment if their speed was less than 25 mph. Rep. Smith said yes.

A vote was taken to send RS13919 for introduction with the amended language.

Motion approved.

EXCUSED:

Motion approved.

Answering a question regarding new or used cars, Rep. Ridinger stated that this effects all new titles. There was also concern about what the money could be used for. Mr. Byron Keely, LHTAC, stated that these fees cannot be used for equipment purchases or employee's wages. All funds would be used for purchase of material and/or contracting with private business for work. Mr. Keely said that administrative costs are kept low in the program this proposal is modeled after by spot-checking on project work and financial records as opposed to complete review of every project.

A roll call vote was called for on the motion to introduce RS13891 for print. (See attached roll call sheet)

Motion approved with 12 voting Aye, 1 voting Nay, and 1 absent.

Mr. Dar Olberding, representing the Grain Producers Association, spoke in favor of the bill.

Motion approved.

Rep. Martinez said that there are 25,000 to 50,000 aliens living in Idaho and 15,000 to 30,000 undocumented workers. He named ten states where undocumented aliens can get licenses.

In the bill, it states that individuals are required to register for selective service and can fulfill such registration requirements in conjunction with an application for a driver's license. There was a question asking if these people are subject to this requirement. Rep. Martinez said he didn't know but could find out the information.

Rep. Martinez used the word undocumented when speaking of the people to which this bill would apply. It was asked if undocumented was the same as illegal. Rep. Martinez responded by saying it means not assigned a Social Security number.

A vote was taken on the substitute motion.

10 Aye, 4 Nay. (Representatives Douglas, McKague, Kellogg, and Shepherd voted Nay)

Motion approved. RS13958 will be returned to sponsor.

There were a number of questions from the committee concerning whether the county commissioners would be making a decision for an election or if they would make the decision to dissolve the highway district. Rep. Smith said that the county commissioners would not make the decision to dissolve the highway district as an election would need to be held.

Answering a question about a bill like this that was brought before the committee last year, Rep. Smith said that the bill last year applied to every highway district and this one would only apply to the Ada County Highway District.

Motion approved (Chairman Wood and Rep. McKague voted Nay).

Motion approved.

Mr. Morris Detmar, ITD Division of Motor Vehicles, gave background on how this study came about after Idaho's weight/distance tax was found in violation of Commerce Clause in the U.S. Constitution which ended in a settlement to ATA in 2000. The legislative study comparing the old weight distance/use fee truck registration system with the new registration system created by the repeal of weight distance tax procedures in October of 2001.

Mr. Detmar introduced Dr. Ken Casavant and Dr. Eric Jessup who gave a power point presentation. Dr.'s Casavant and Jessup talked about:

• Revenue Neutrality became the accepted goal of participants in the settlement (negotiated at $41.3 million)
• Comparison of Old/New system on taxpayer (trucking firms) cost of operation
• Comparison of Old/New system on dollars per ton mile.
• The revenue generated by different weight vehicles.
• Level of the states current budget in regard to registration collection.

(See attached power point handout)

It was asked what was done with the windfall that was mentioned. Mr. Detmar said that it was used primarily for state projects as well as matching federal funds had to be met. He said that it did go into the highway account.

There was some concern about the amount that is charged to trucks and the amount that is charged for cars, and that maybe we need to look at cars for more money.

Mr. Detmar was asked how many trucks have taken advantage of the 129,000 pounds weight. He said 50.

Senate: Chairman Ingram, Vice Chairman Keough, Senators Geddes, Brandt, Little, Bailey, McWilliams, Marley, Calabretta

EXCUSED:

Senate: None

Sen. Ingram turned the gavel over to Chairman Wood. Chairman Wood stated that there are two RS's that need to be heard today as this is the last day for our committee to hear them, and she asked the committee to introduce for print RS13993 and RS14076.

Motion approved.

Motion approved.

Sen. Ingram introduced Roy Eiguren who is with the law firm of Givens Pursley and represents Valley Ride. Mr. Eiguren gave background on the Idaho Task Force on Public Transportation. He introduced the task force members who were in the audience. He also talked about:

• The formation of the task force
• Their responsibilities
• Key definitions:
• public transportation
• client transportation

Gen. Jim Brooks, Vice Chairman ITD Advisory Council, gave a history of Public Transportation Legislation in Idaho. Prior to 1991, there was little or no state support for public transportation in Idaho and no state legislation pertaining to public transportation. In 1991, an interim legislative committee was formed to study public transportation. In the 1992 legislative session the work of the interim committee resulted in HB779. It called for the formation of the six-member Public Transportation Advisory Council. In 1994, legislation was passed which allowed for the creation of regional public transportation authorities (RPTAs). Today there are two RPTAs in Idaho, one in Bonneville County and one in Ada and Canyon counties.

Summary Points:

• Idaho is one of seven states that receive no state funds for public transportation.
• The enabling legislation that allowed for the creation of regional transportation agencies did not include a funding mechanism.
• Three efforts to secure a state-funding source for public transportation have been unsuccessful.
• Three efforts to pass enabling legislation to allow for a dedicated funding source for public transportation have been unsuccessful.
• During the 1990s, at least 20 states adopted new laws authorizing local option transportation taxes.
• 22 states have some local option vehicle taxes earmarked for public transportation related purposes.
• 33 states have authorized local option tax for public transportation purposes.

In Idaho (statewide) there are approximately 56 general public transportation providers ­ 10 public, 34 private for profit and 12 private non-profit.

There are six sources for funding for public transportation in Idaho:

• Federal Transit Administration
• Medicaid
• Other
• Idaho Department of Transportation
• Idaho Department of Education
• Local Funds

Funding options considered by the Idaho Task Force on Public Transportation were:

• Employment tax
• Gasoline tax
• Impact fees
• Local sales taxes
• Local excise taxes on tobacco, beer and wine
• Personal income tax
• Personal property tax on vehicles
• Real property taxes
• Title transfer fees
• Vehicle registration fees

Summary of the prevailing comments made at focus group meetings:

• There needs to be better education of services already provided.
• Incentives must be provided for people to use public transportation.
• There is solid support for public transportation.
• There is support for local funding option for public transportation.
• There are opportunities for better utilization of existing transportation systems and services.
• Support for a sales tax increase earmarked for public transportation was mixed. Support was stronger for a vehicle property tax.

Ms. Kelli Fairless, Valley Ride; Mr. Ron Binggeli, Executive Director Pocatello Regional Transit; Mr. Terry Crawford, Transit Manager Ketchum/Sun Valley Transit Authority; Mr. Joe Herring, Executive Director, Region IV Development Agency; Mr. Steve Purvis, City of Boise, all spoke on Public Transportation services and needs.

A full report Idaho Task Force on Public Transportation Report to the State Legislature, February 2004, is available in the House Transportation and Defense Committee office and the Legislative Library.

EXCUSED:

Motion approved.

Motion approved.

Motion approved.

Motion approved.

A question was asked if there will be any trucks that will be allowed to take the tax credits. Rep. Ridinger said not when they are idling by the definition of idle in this bill. It was asked how the audits are performed. Mr. Dan Johns, State Tax Commission, stated that they would get credit for Power Take Off units (PTO) and file on separate forms. He said that there are national guide lines to follow.

The motion on the floor is to send H684 to the floor with a do pass recommendation.

Motion approved.

EXCUSED:

Motion approved.

Mr. Juengling said there are two types of transportation; Public Transportation and Client Transportation. Public transportation services are open and available to general public; anyone may ride and usually there is a standard fare paid; and Client Transportation is arranged transportation for clients of a specific health and human service or educational program where an agency pays for transportation services. Criteria, regulations, and restrictions typically apply.

Mr. Larry Falkner, IWG Vice Chair, said there are three IWG initiatives; Pocatello Regional Transit (Four-County Regional Demonstration Project); Magic Valley Initiative; and North Central Idaho Rural Access.

Mr. Falkner mentioned that they are developing a pilot project in North Central Idaho using school buses. This would allow use of the school buses year round and employment year round for the drivers. A question was asked if Idaho Code would allow this. Mr. Falkner said that they have ITD and the Attorney General's office looking into this.

There was also some concern about the wear and tear on the school buses and the increased milage it would put on the buses. Mr. Falkner said the pilot program would need to be reviewed to see what the added costs would be.

Motion approved.

Rep. Wills will carry SJM105 on the floor.

Mr. J.R. VanTassel, Nez Perce County Commissioner, representing the Idaho Association of Counties, handed out a chart on Surface Transportation Program (STP) funding for Local Highway Jurisdictions. (See attachment #2). He said that in addition to the $5,000,000 Investment Fund ($2.5 million urban and $2.5 million rural) four more $1,000,000 rural federal-aid projects could be funded every year with this legislation. Mr. VanTassel said that the local highway system is adding about 400 miles a year, and we need to maintain these roads in good fashion otherwise they deteriorate and have to be rebuilt which is really expensive.

A questions was asked about how many new titles are issued in a year. Mr. Morris Detmar, ITD Division of Motor Vehicles, said about 580,000 a year.

It was also asked if these funds were used for matching federal dollars, would it still be expected that you meet federal requirements. Mr. VanTassel said yes.

Mr. Stuart Davis, Executive Director Idaho Association of Highway Districts, said they support the concept of this bill.

Mayor Nancy Merril, City of Eagle, on behalf of the Association of Idaho Cities, spoke in support of this bill.

Ms. Jane Gorsuch, Intermountain Forest Association, spoke in support of this bill.

Chairman Wood stated that there is a motion on the table to send H655 to the floor with a do pass recommendation.

Motion approved. Rep. McKague voted Nay.

The Voters of Ada County formed the Ada County Highway District (ACHD) in a special election held in 1971. ACHD manages approximately 1900 miles of road and encompasses the cities of Boise, Eagle, Garden City, Kuna, Meridian and Star.

There was a question asked--if 10% in each subdistrict is needed and one of the subdistricts has 80% but the other two only have 7% would this still cause an election. Rep. Smith said it requires 10% in each subdistrict.

It was asked if on Line 15 of the bill would there be an objection of changing "qualified electors" to "those who voted in the last election". Mr. John Franden, Chairman ACHD Commissioners, said they would like them to stand as written. He said that they are concerned with the small limitation which puts dissolution in motion. He said this takes away from the focus of the highway district, and he feels they need stability. Mr. Franden also said they feel if it takes 10% to put together a highway district it should take at least that to dissolve it.

In response to how many times there has been a petition for a hearing. Mr. Franden said only once. A comment was made that it seemed before the petition ACHD was harder to work with but after they seemed to be more interested in what was happening; so it would seem that the petition with only 25 signatures got the required results. Mr. Franden said that they now have a public comment time at every meeting, they have a citizens advisory committee, and an impact fee advisory committee.

Mr. Stuart Davis, Executive Director Idaho Association of Highway Districts, spoke in favor of the bill.

Mayor Nancy Merril, City of Eagle, spoke in favor of the bill.

Mr. Rod Beck, a Ada County Citizen, spoke against the bill.

A recurring concern by some on the committee was that this legislation would take the decision making from the county commissioners. With the bill that is now in place the 25 signatures are merely asking for a hearing. This bill would force an election and the expense that it would incur. Rep. Smith said this legislation gives citizens more rights as it can compel an election.

Rep. Skippen spoke in favor of the motion saying that anyone can ask the county commissioners for a hearing and if someone in Ada County is unhappy they can recall their commissioners.

Rep. Cuddy spoke in favor of the motion saying that a recall is a better solution than dissolution.

Rep. Bedke spoke in favor of the substitute motion. He said he would support a bill that keeps the county commissioners in the loop; he felt that 25 is a low threshold but 10% in each of the three subdistricts was to high.

Rep. Cannon spoke against the substitute motion. He stated that ACHD and the commissioners are asking for help. The bar needs to be high for dissolution, and in the end the public gets to decide.

Rep. Nonini spoke against the substitute motion. He said that if it takes 10% to establish he didn't see a problem with 10% to dissolve.

Rep. Douglas spoke against the substitute motion. She said if this happened once she would want assurances that it wouldn't happen again.

Rep. Cuddy spoke against the substitute motion.

Rep. Ridinger spoke against the substitute motion.

A roll call vote was called for on the substitute motion to hold H654 in committee.

6 Aye - Representatives McKague, Roberts, Bedke, Bauer, Wills, and Wood.

8 Nay - Representatives Ridinger, Nonini, Smith, Cannon, Skippen, Cuddy, Shepherd, and Douglas.

Motion failed.

A voice vote was then taken on the motion to send H654 to the floor with a do pass recommendation.

Motion approved.

EXCUSED:

Motion approved

AAA has identified Traffic Crashes as Public Enemy Number 1 because traffic crashes are the leading cause of death for US citizens up to age 34 taking 43,000 lives per year. Mr. Carlson said that they have set priorities to get to a target zero goal of no accidents. He said that if everyone would buckle up 75 lives a year could be saved in Idaho and approximately 9,000 nationally. He talked about AutoMobility which is the ability, capacity or quality to use our vehicles without unnecessary or punitive restrictions. Mr. Carlson also gave a brief overview of AAA's strengths, weaknesses, opportunities, and threats.

Mr. Carlson also talked about AAA's State of the States Report which is a list of hot button issues gathered from throughout the country. These issues are likely to be considered at state legislatures in 2004. These include budget woes for transportation at the federal and state levels. Other hot button issues mentioned in the report are distracted driving, licensed to learn teen drivers, senior mobility, alcohol laws, aggressive/reckless driving, and child safety restraints.

In conclusion, Mr. Carlson said that AAA is a resource on all things transportation, it offers a perspective drawn from 100 years and 46 million member motorists, and it brings a consumer perspective on issues important to Idahoans.

Motion approved

Rep. Roberts will carry the bill on the floor.

EXCUSED:

Motion approved.

Rep. McGeachin said that there is a typo in the bill and the Class A should be Class D. She said she has amendments to correct this error.

Rep. McGeachin stated that this bill came about because of an number of incidents where military personnel have been on active duty and when they returned home they found that their Idaho drivers license had expired and they needed to take the driving and written test and pay for a new license. This bill would allow Idaho to recognize a military driver's license as long as the military license is current.

Mr. Russ Mathews, spoke in favor of the bill and read a letter from the father of one of the people effected by this law asking for help in correcting this inequity.

Responding to a question regarding the military license replacing a valid Idaho drivers, Mr. Morris Detmar, ITD Division of Motor Vehicles , stated that generally speaking the military does issue a military card, but in addition military personnel are to carry their state license.

The biggest concern of the committee was that someone could drive military equipment on a base and then come back home and get a license either never having had a state license to begin with or maybe it had been revoked.

Rep. McGeachin said that in order to get a military license the person would have to have a valid state license.

It was stated that everyone agrees with the premise of this bill, but it needs to be clarified that the person in question get the type of license they had when they went into the military.

Rep. McGeachin said that she would work with Mr. Detmar and come back on Tuesday with the new wording.

A voice vote was taken on the motion to hold in Time Certain H752 until Tuesday, March 2.

Motion approved.

EXCUSED:

Motion approved.

Motion approved.

Motion approved.

Motion approved.

There was a question regarding this being part of the Patriot Act and if this would effect funding from the federal government. Mr. Norris said that they are different. Mr. Bevis, Col. Judge Advocate, Idaho National Guard, said there would be no impact regarding the Patriot Act by passing this legislation.

There was a question of Mr. Norris if this legislation also needed an emergency clause. He said that since it doesn't deal with the soldiers they felt it didn't need an emergency clause.

Motion approved.

EXCUSED:

Motion approved.

It was asked if these vehicles would need to display a slow moving vehicle sign. Ms. Brennan said no. It was also asked if they would need to carry insurance and Ms. Brennan said yes.

It was felt by many on the committee that driving these vehicles at 25 mph on the roads where the posted speed limit is 35 mph (and some vehicles travel at speeds as high as 40 to 45 mph) could be very dangerous. Ms. Brennan stated that these are designed for residential use. It was pointed out that many residential area speed limits are 35 mph.

David Hambleton, a police officer with the Boise Police Department, spoke against the bill. It was asked if this bill were to become law would that obligate all cities to abide by this law. Sgt. Hambleton said yes.

Jim Tibbs, Boise Chief of Police, spoke against the bill. He said that their objection is strictly from a safety stand point. It was asked if they would have a different opinion if the bill would allow cities to make the determination of whether to allow these vehicles or not. Chief Tibbs said that he still sees a danger. He said anytime you have full sized vehicles driving with smaller, slower vehicles there is a risk.

Motion approved.

A question was asked who are the people other than physicians. Mr. Pemble said it gives a list and clarifies what they are to do. He said they are not making specific diagnosis but are able to make a distinction that these people have difficulty walking more than 200 feet.

Regarding of suspension of drivers licenses it was asked if this includes tribal courts. Mr. Pemble said that it could, but they have not received any from tribal courts.

Motion approved.

Rep. Cuddy asked to be recorded as voting Nay.

Rep. Cannon will carry the bill on the floor.

Rep. Eskridge, co-sponsor of the bill, spoke in favor of the legislation. It was asked if this was the first motorcycle vanity plate. Rep. Eskridge said yes.

Sen. Bailey, co-sponsor, also spoke in favor of the bill. In response to a question about requirements, Sen. Bailey said that this plate has to qualify just as the regular license plates do.

Rep. Clark, spoke against the bill. He said this bill excludes a whole bunch of people from obtaining the license plate, even wives of veterans or mothers and fathers of veterans. He said it is not a good feeling when you exclude someone. It was mentioned that there are POW plates and legislator plates which exclude.

It was asked if the bill could be changed to include everyone. Rep. Eskridge stated that a veteran is a veteran and that the plate indicates you are a veteran.

Bob Finney, USMC retired and representing the VFW, spoke in favor of the bill. He said they would not like to see the plate go to non-veterans.

Rep. Cuddy spoke in support of the motion saying we need to honor every veteran who wants a plate.

Rep. Wills spoke in support of the motion.

Rep. Cannon spoke for the Substitute Motion. He said that the bill calls the wife of a veteran less than a veteran.

A voice vote was called for on the Substitute Motion.

Motion failed.

A voice vote was then called for on the Motion to send S1224 to the floor with a do pass recommendation.

Motion Approved.

Representatives Roberts, Smith, Kellogg, Cannon and Wood asked to be recorded as voting Nay.

EXCUSED:

Motion approved.

There will be a charge of $35 for the initial issuance of these plates and $25 upon each succeeding annual registration. $10 of the initial fee and $10 of the renewal fee shall be deposited in the state highway account and shall be used to fund the cost of administration of this special license plate program. $25 of the initial fee and $15 of each renewal fee shall be transferred by the state treasurer to the pupil transportation support program fund created in section 33-1513, Idaho Code, and shall be used for educational programs promoting school transportation safety and awareness.

A question was asked if each school bus would be required to buy one of these plates. Mr. McKnight said no.

A roll call vote was requested on the Substitute Motion.

Voting Aye: Representatives Ridinger, Kellogg, Bauer, Cannon, Skippen, Cuddy, Shepherd and Douglas.

Voting Nay: Representatives Roberts, Smith, McKague, and Wood.

Motion approved.

It was asked if this would hurt the portion allocated to highways and bridges. Mr. Eiguren said they believe it would not.

In the discussion that followed the motion, Chairman Wood said it worries her that this asks for the same sliding scale as highways and bridges. Mr. Eiguren stated that Idaho has a small population base and a huge land mass that is federally owned which cannot be taxed or developed by the state thereby reducing the ability of the state to raise additional tax revenues.

It was asked how much revenue is taken in each year by fares. Mr. Eiguren said about 4.2 million which includes local funds from cities and counties and the fare riders. He also stated that Idaho is one out of six states that does not provide some type of state funding for public transit.

A voice vote was taken on the motion to send SJM109 to the floor with a do pass recommendation.

Motion approved.

Representative Roberts, McKague, and Wood asked to be recorded as voting Nay.

This legislation prohibits issuing, renewing, transferring, or upgrading a commercial driver's license with a hazardous materials endorsement unless the U.S. Department of Justice has first conducted a background records check of the applicant, and the Transportation Security Administration has determined that the applicant does not pose a security risk warranting denial of the hazardous materials endorsement. An applicant for a hazardous materials endorsement must be a U.S. Citizen or be an alien classified as a lawful permanent resident of the U.S. with a valid Bureau of Citizenship and Immigration Services alien registration number.

In the fiscal impact it shows a $50 fee to the applicant. It was asked if this is in Idaho Code. Mr. Pemble stated no that these are estimated fees for finger printing and background checks and would be completed through the FBI. Mr. Pemble also stated that the federal rules would be released shortly, and all they have now are estimates. In response to a question of timing to get these checks, Mr. Pemble stated that the federal requirement is to notify the driver within 180 days of his CDL license expiring. Mr. Pemble said that the feds believe they can do checks within 90 days. It was also asked what kind of proof was needed when applying for a CDL license. Mr. Pemble said a birth certificate.

One of the concerns of the committee was whether a truck from Canada or Mexico, which was hauling hazardous material into the U.S., would have to meet these requirements or would they be exempt. Mr. Morris Detmar, Idaho Transportation Department, stated that they don't know what is going to happen at the borders, but they would be dealt with at the check points.

Mr. Pemble was asked when this Federal mandate would take effect. He said that this legislative session will be the last chance to be in compliance. He said that it is suppose to take effect in April, but they are asking for an extension until December. If this legislation is passed it would go into effect in July which would meet the deadline.

One of the concerns of the committee was that the Federal Government is requiring that we have sanctions before they give us the requirements. It was also felt that the federal government is passing this on to us without looking at the total consequences.

It was also mentioned that if we don't comply with this we could lose $13.2 million in federal funding which is not a little amount of money.

Rep. Roberts said that he would support the motion with a smoking gun to his head.

Rep. Ridinger spoke against the motion stating that he feels sometimes we just need to say whoa to the federal government instead of just blindly following.

Rep. McKague said she would vote against the motion in support of Idaho commerce.

A voice vote was taken on the motion.

Motion approved.

Representatives Ridinger and McKague asked to be recorded as voting Nay.

The meeting was adjourned at 4:12 p.m.

EXCUSED:

Motion approved.

Senator Ingram, stated that this bill applies to Boise­it can't go out of the city limits. The bill would allow the installation of intra-city light rail systems upon state highways when determined by the board to be in the public interest.

It was pointed out that 50-322 of the bill already gives this authority. It was wondered why legislation is needed when local areas can make the decision now.

Mr. Bob Arney, concerned citizen, spoke in favor of the legislation.

In the discussion that followed it was asked if the regulatory board is interested and asking for this authority. Senator Ingram said no, but this is why they want to nudge them. It was then asked if there was any reason why meetings couldn't take place without passing this legislation and what in the bill would bring about meetings. Senator Ingram stated that people will not show up unless shown there is a process. Rep. Ridinger stated that at some point the state is going to have to do something about public transit and this bill just gives them a tool. Ms. Julie Pipal, Idaho Transportation Department, was asked if this oversight group would get separate transportation funds out of the highway account. Ms. Pipal answered that funds that come now to Ada County Highway District, with most of that coming from transit funds and counties share of fuel tax, could be used.

A voice vote was taken on the motion to send S1269a to the floor with a do pass recommendation.

Motion approved

Representatives Bauer, Bedke, Roberts and McKague asked to be recorded as voting Nay.

Rep. Ridinger will carry the bill on the floor.

Mr. Lynn Humphreys, Post Falls Highway District, spoke in favor of the bill.

Mr. Dave Burgess, Twin Falls Highway District, spoke in favor of the bill.

Mr. Dave Wynkoop, Attorney for multiple Highway Districts, spoke in favor of the bill.

Mr. Steve West, Lobbyist for Old Castle Materials, spoke against the bill.

Mr. Dennis Tanikuni, Lobbyist for Idaho Farm Bureau, spoke against the bill.

Mr. Steve Ahrens, Lobbyist for Idaho Association of Commerce & Industry spoke against the bill.

Mr. Davis stated that the problem now is that they can not get citations written on resolutions. It was asked if they really feel that ordinance authority will help with frost laws and bridges. He answered yes.

Rep. Roberts explained that if this bill passes you could start in one jurisdiction and be legal and within a few miles go into another jurisdiction and be illegal. He also feels this bill takes away the authority the county commissioners setting what the standards would be. He also has concerns about where the funds would be collected and how they would be distributed.

A question about how ITD views this bill was asked of Ms. Julie Pipal, Idaho Transportation Department, Ms. Pipal said that ITD chose not to take a position.

Rep. Skippen, Rep. Smith and Rep. Cuddy spoke against the substitute motion.

Rep. Cannon stated that he is on the fence.

Rep. Bedke, Rep. Ridinger, and Rep. Kellogg spoke in support of the substitute motion.

A roll call vote was called for on the substitute motion to hold S1287a in committee.

Aye: Ridinger, Kellogg, McKague, Roberts, Bedke, Bauer, Wills, Shepherd, and Wood.

Nay: Smith, Cannon, Skippen, Cuddy, Douglas.

Motion approved. S1287a will be held in committee.

EXCUSED:

Motion approved.