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h_tra_2016a_2016-04-14t11:41:15z1 Hearing Summary

Date: 04/14/2016



Final

BILL SUMMARY for HB16-1342



HOUSE COMMITTEE ON TRANSPORTATION & ENERGY


Votes: View--> Action Taken:
Adopt amendment L.011 (Attachment B). The motion p

Adopt amendment L.014 (Attachment D) to amendment

Adopt amendment L.016 (Attachment C) to Amendment

Adopt amendment L.017 (Attachment E) to amendment

Refer House Bill 16-1342, as amended, to the Commi
Pass Without Objection

FAIL

PASS

Pass Without Objection

PASS







12:43 PM -- HB 16-1342



Representative Moreno came to the table to present House Bill 16-1342, which was laid over by the chair on April 7, 2016. The bill requires licensed automobile dealers who sell salvage, non-repairable, flood-damaged, junk, or similarly branded motor vehicles to report each transaction to a third-party data consolidator within two days of the sale. The consolidator must be approved by the National Motor Vehicle Title Information System (NMVTIS) and must forward the report to NMVTIS by the following day. The consolidator may charge the dealer a per-transaction fee.



The report must be maintained electronically by the dealer for three years and must contain the following:



• the motor vehicle's make, model, year, vehicle identification number (VIN), and current odometer reading;

• the name and address of the purchaser and the seller;

• a copy of the purchaser's driver's license or other government-issued identification document; and

• proof of the purchaser's in- or out-of-state automobile dealer license, if applicable.



The consolidator is required to make information received under this section available without charge and upon request to law enforcement, the Department of Revenue (DOR), and, if the DOR approves, a nongovernmental entity.



Any person who violates the reporting requirements under the bill commits an unclassified misdemeanor, punishable by a fine of $500 per transaction, credited to the Auto Dealers License Fund.



In addition, the bill increases penalties for unlicensed automobile sales. Under current law, a person commits a class 3 misdemeanor for selling a motor vehicle without a license. Under the bill, this violation becomes an unclassified misdemeanor with the following penalties on unlicensed motor vehicle dealers, manufacturers, distributors, wholesalers, manufacturer representatives, used motor vehicle dealers, buyer agents, wholesale motor vehicle auction dealers, and motor vehicle salespersons:



• for an individual, a fine of no less than $1,000 and 25 hours of public service, neither of which may be suspended by the court. A second conviction results in a fine ranging from no less than $5,000 to no more than $25,000, neither of which may be suspended by the court; and



• for a corporation, a fine ranging from no less than $5,000 to no more than $25,000 for each separate offense.



Fines for unlicensed automobile sales are awarded half to the law enforcement agency that conducted the investigation and issued the citation and half to the Auto Dealers License Fund.



Representative Moreno described amendment L.011 (Attachment B), a strike-below amendment, to the committee. He then distributed and explained amendment L.016 (Attachment C) to amendment L.011.



160414 AttachB.pdf160414 AttachB.pdf160414 AttachC.pdf160414 AttachC.pdf

BILL: HB16-1342
TIME: 12:46:29 PM
MOVED: Moreno
MOTION: Adopt amendment L.016 (Attachment C) to Amendment L.011. The motion passed on a vote of 8-5.
SECONDED: Esgar
VOTE
Becker J.
No
Buck
No
Carver
No
Coram
No
Esgar
Yes
Kraft-Tharp
Yes
Melton
Yes
Moreno
Yes
Neville P.
No
Nordberg
Yes
Winter
Yes
Mitsch Bush
Yes
Tyler
Yes
YES: 8 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS





12:50 PM -- Melissa Kuipers, representing LKQ Corporation, testified in support of the bill. Ms. Kuipers discussed the bill as it would be amended by amendment L.011, and responded to questions. Committee discussion ensued.



12:54 PM



Jery Payne, Office of Legislative Legal Services, came to the table to explain amendment L.014 (Attachment D) to amendment L.011. Discussion ensued.



160414 AttachD.pdf160414 AttachD.pdf

BILL: HB16-1342
TIME: 12:54:23 PM
MOVED: Coram
MOTION: Adopt amendment L.014 (Attachment D) to amendment L.011. The motion failed on a vote of 5-8.
SECONDED: Neville P.
VOTE
Becker J.
Yes
Buck
Yes
Carver
Yes
Coram
Yes
Esgar
No
Kraft-Tharp
No
Melton
No
Moreno
No
Neville P.
Yes
Nordberg
No
Winter
No
Mitsch Bush
No
Tyler
No
YES: 5 NO: 8 EXC: 0 ABS: 0 FINAL ACTION: FAIL





12:58 PM



Mr. Payne explained amendment L.017 (Attachment E) to amendment L.011 and responded to questions from the committee.





160414 AttachE.pdf160414 AttachE.pdf

BILL: HB16-1342
TIME: 12:58:32 PM
MOVED: Coram
MOTION: Adopt amendment L.017 (Attachment E) to amendment L.011. The motion passed without objection.
SECONDED: Neville P.
VOTE
Becker J.
Buck
Carver
Coram
Esgar
Kraft-Tharp
Melton
Moreno
Neville P.
Nordberg
Winter
Mitsch Bush
Tyler
YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection



01:01 PM



Ms. Kuipers discussed the bill, as amended, and responded to questions from the committee.



01:07 PM --
Jep Seman, representing Copart, testified in opposition to the bill.

01:09 PM --
Shayne Madsen, representing the Consumer Data Industry Association, testified in opposition to the bill.



01:13 PM



Representative Moreno made his closing comments on the bill. The committee discussed the merits of the bill.



BILL: HB16-1342
TIME: 01:20:03 PM
MOVED: Moreno
MOTION: Adopt amendment L.011 (Attachment B), as amended. The motion passed without objection.
SECONDED: Esgar
VOTE
Becker J.
Buck
Carver
Coram
Esgar
Kraft-Tharp
Melton
Moreno
Neville P.
Nordberg
Winter
Mitsch Bush
Tyler
YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL: HB16-1342
TIME: 01:21:31 PM
MOVED: Moreno
MOTION: Refer House Bill 16-1342, as amended, to the Committee on Finance. The motion passed on a vote of 8-5.
SECONDED: Melton
VOTE
Becker J.
No
Buck
No
Carver
No
Coram
No
Esgar
Yes
Kraft-Tharp
Yes
Melton
Yes
Moreno
Yes
Neville P.
No
Nordberg
Yes
Winter
Yes
Mitsch Bush
Yes
Tyler
Yes
Final YES: 8 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS



01:23 PM



The committee was adjourned.




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