HOUSE BILL REPORT

HB 250

BYRepresentatives Walk, Schmidt, Gallagher, Meyers and Dellwo; by request of Utilities and Transportation Commission

Allowing the utilities and transportation commission to take action on permits after notice and opportunity for hearing.

House Committe on Transportation

Majority Report:     Do pass.  (18)

     Signed by Representatives Walk, Chair; Baugher, Vice Chair; Betrozoff, Brough, Cantwell, Cooper, Fisch, Fisher, Gallagher, Hankins, Heavey, Kremen, Meyers, Schmidt, C. Smith, Spanel, K. Wilson and Zellinsky.

House Staff:Mary McLaughlin (786-7309)

AS PASSED HOUSE MARCH 4, 1987

BACKGROUND:

The Utilities & Transportation Commission may cancel or suspend a carrier's operating authority permit for repeated violations only after "notice and hearing".  The mandatory hearing requirement has been in effect since 1935.  Later adopted statutes, such as the Administrative Procedures Act, make the general legal requirement for such actions "notice and opportunity" for hearing.

The overwhelming reason for permit cancellation is failure to maintain insurance.  Some 12 to 20 permits are cancelled each month for this reason. The requirement of a mandatory hearing adds time and expense to the permit cancellation and suspension process.  Changing the hearing procedure to provide for an "opportunity" for hearing after preliminary notification should also reduce the UTC's workload.

SUMMARY:

The requirement that a hearing be held in a common carrier permit cancellation or suspension case when one is not requested by the affected carrier is deleted and replaced with an "opportunity" for hearing.  This brings the hearing procedure in line with the Administrative Procedures Act.

A warning notice will still be sent to the carrier by certified mail informing the carrier that his or her operating permit will be cancelled unless a hearing is requested to explain any extenuating circumstances.  By law, after a final order cancelling a permit is entered, the carrier may petition for reconsideration.

Fiscal Note:    Not Requested.

House Committee ‑ Testified For:     Commissioner Richard Casad, Utilities and Transportation Commission.

House Committee - Testified Against: None Presented.

House Committee - Testimony For:     The expense, manpower and paperwork is unnecessary as protection is provided through the Administrative Procedures Act's hearing procedures and other UTC statutes.  Only one person has appeared for his/her cancellation hearing in 45 years.

House Committee - Testimony Against: None Presented.