ASA argues the proposed legislation would force repairers to charge storage fees at a rate well below the fair market
Washington, D.C.—The Automotive Service Association (ASA) has called on the Oklahoma Legislature to oppose Senate Bill (SB) 1741. This bill would establish the same caps on storage rates that were proposed in SB 1853, which ASA also opposed, while removing SB 1853’s other provisions.
The proposed and maximum daily storage rates:
- Motorcycle, automobile, or light truck up to 20 feet in length: $24 (outdoor); $39 (indoor)
- Single vehicle or combination of vehicles over 20 feet in length but less than 30 feet in length: $32 (outdoor); $47 (indoor)
- Single vehicle or combination of vehicles over 30 feet in length and up to 8 feet in width: $39 (outdoor); $55 (indoor)
- Single vehicle or combination of vehicles over 30 feet in length and over 8 feet in width: $55 (outdoor); $70 (indoor)
These limits would force repairers to charge storage fees at a rate well below the fair market, ASA states. Third party surveys estimate average daily storage rates over $100 in both the Oklahoma City and Tulsa areas.
This bill would not protect consumers, but it would make it easier for insurers to prolong the repair process. These small repair businesses should not have to foot the bill for delays they cannot control.
Scott Benavidez, ASA’s Board of Directors Chairman, said, “Sensing a challenging path to passing SB 1853, the organizations supporting that legislation have found it more convenient to push for SB 1741 and dress it up as a ‘reasonable’ alternative. To an independent automotive repairer, there is nothing ‘reasonable’”’ about being told they can only charge $24 per day to store a vehicle.
“Many repairers have had to increase storage fees in recent years because insurance companies are taking longer to complete their claims process, leaving vehicles sitting pointlessly in the shop. These vehicles — especially electric vehicles — take up valuable space in shops and can prevent facilities from accepting other repair jobs. This bill would unfairly harm small businesses and signals an abandonment of free-market principles.”
ASA encourages automotive repair professionals in Oklahoma to join the repair community’s efforts to stop this bill from becoming law. Auto repairers in Oklahoma can educate their elected officials on the harms posed by 1741 by contacting them using ASA’s Taking the Hill advocacy platform. The link to take action is here.
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