S.B. 941: FLOOR ANALYSIS - VEHICLE DEALERS

VEHICLE DEALERS - S.B. 941: FLOOR ANALYSIS

Senate Bill 941 (as reported without amendment)

CONTENT

The bill would amend the Michigan Vehicle Code to:

-- Prohibit a dealer from charging a purchaser of a vehicle more than the dealer had been charged by the Secretary of State for a temporary plate or marker.

-- Specify that a dealer license would entitle a dealer to conduct at another business in the State the wholesale buying, selling, or dealing in vehicles.

-- Establish a December 31 expiration date for a dealer license and permit a license to be renewed for up to four years.

-- Require a seller's statement to a vehicle buyer to include the amount charged for a temporary registration plate.

-- Revise the registration fee for vehicles with a list price of more than $30,000.

-- Establish a multiple year license and fee for vehicle dealers as well as used vehicle parts dealers, automotive recyclers, and foreign salvage vehicle dealers.

MCL 257.41a - Legislative Analyst: L. Arasim

FISCAL IMPACT

There would be an indeterminate fiscal impact on State government. It is unknown how much revenue could be gained by permitting a dealer license to be renewed for up to four years, rather than granting licenses for full or half years as required under the current law. In fiscal year 1996-97, however, there were 6,400 licensed vehicle dealers in the State of Michigan. There would be no fiscal impact on local government.

Date Completed: 3-26-98 - Fiscal Analyst: E. Limbs

FLOOR\SB941 - Analysis available @ http://www.michiganlegislature.org

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.