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November Legislative Update: California regulations that can impact auto repair

Issues watched most closely are the upcoming BAR storage regulations, advertising regulations and the California Energy Commission’s tire regulations

Sacramento, Calif.—Below is the regulatory update for November provided by Jack Molodanof, legislative advocate for the California Autobody Association and the Automotive Service Councils of California. It includes all the relevant pending regulations impacting automotive repair dealers.

Molodanof notes that the legislature is out of session following the recent elections, but will return in early December for house organization, and new bills will start to be slowly introduced. 

The three regulatory issues the associations have been monitoring most closely are the upcoming BAR storage regulations, advertising regulations and the California Energy Commission’s tire regulations.

BAR Vehicle Storage Fee Regulations. 

The BAR is expected to adopt regulations in early 2027 that could significantly impact how automotive repair dealers charge vehicle storage fees and establish a “troubling precedent” for future regulation of the industry.

Under the proposed regulations, automotive repair dealers that intend to charge storage fees after performing repairs to vehicles resulting from an accident or the recovery of a stolen vehicle must report to the BAR their maximum daily storage rate for storing a non-electric passenger vehicle.

Additionally, all automotive repair dealers’ charging storage fees would be required to establish daily storage rates based on their costs associated with storing vehicles.

These requirements raise “significant concerns” for the industry, particularly regarding the BAR’s role in regulating and overseeing storage rates charged by automotive repair dealers. For more information, see the BAR’s see link for more details.

BAR Towing Authorization Regulations

The BAR has proposed regulations in response to industry concerns regarding the current requirement for separate documentation for towing services.

The proposed regulations would allow an automotive repair dealer (ARD) that does not maintain a motor carrier permit (i.e., does not operate a tow truck) to include towing charges on the repair estimate and final invoice, rather than requiring a separate document.

This would allow the ARD to provide the customer with one invoice covering both repair and towing charges. However, the ARD must still obtain customer authorization for towing charges before the towing service is performed and separately identify those charges on the final invoice.

Here is a link to the proposed regulatory language. The public comment period ends December 14.

BAR Internet-Based Advertising Regulations – Proposed Clarification

BAR has released proposed regulations addressing concerns raised by the industry regarding the use of multiple telephone numbers for marketing and tracking purposes.

Under the proposed regulations, automotive repair dealers would no longer be required to include a telephone number in their advertising. Instead, advertising must display the business name and BAR registration number.

However, ARDs would still be required to provide and maintain a business telephone number with BAR, at which the principal or Responsible Managing Employee can be reached during normal business hours.

The proposed requirements apply to print, vehicle, and internet-based advertising, including social media, email, and websites.

Here is a link to the proposed regulatory language. The public comment period ends December 14.

BAR Airbag Safety Regulations

BAR is proposing regulations that would prohibit an automotive repair shop from installing or using any component designed to mislead a vehicle owner into believing a functional airbag has been installed.

Shops would be required to restore any airbag that is part of an inflatable restraint system to its original operating condition, as designed by the original equipment manufacturer.

In addition, shops would be required to purchase all airbag replacement parts or components from the manufacturer or an authorized supplier or reseller and retain receipts for all parts purchased and received. See link for details.

California Energy Commission (CEC) Replacement Tire Regulations

The CEC approved regulations requiring replacement tires sold in California to meet specified efficiency (low rolling resistance) and safety standards, including wet grip performance.

These new rules prohibit tire retailers, including automotive repair dealers that sell or replace tires, from selling or offering for sale any non-California-compliant tires.  

Although retailers would rely on manufacturer’s certifications, they would still be responsible for ensuring that all tires they sell are approved and listed as compliant.

Shops would need to verify that their inventory meets regulatory requirements, likely through supplier assurances and database checks. The first phase will start in January 2029. For more details, see link.

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