End of Session Legislative Report

By Darrell W. Fuller, OVDA Lobbyist

June 29, 2023

LEGISLATIVE UPDATE

It will take a few weeks — perhaps longer — to really understand what happened in the Capitol DMZ that was the final days of the 82nd Legislative Assembly.

News stories, legislators, reporters, lobbyists, and pundits have been using words like “turbulent”, “frantic”, “rancor”, “chaotic”, “exasperating” and “tumultuous”. Here are some of the better stories if you’d like to do a deeper dive in to our political dysfunction:

Capital Chatter

Oregon Capital Chronicle

Oregon Capital Chronicle 2

OregonLive

OPB

This session was the most frustrating I’ve endured in my thirty years of Oregon politics (sheesh, I’m really old). Not because of the historic walk out by Senate Republicans, but because they returned. Whether you think they should, or should not, have walked out, the move killed everything in the legislative pipeline – good and bad. And, there was definitely more bad than good. But it only worked if they stayed out. And they didn’t.

The walk out was generally based on gun rights and abortion and “gender affirming care”. These are not business issues, nor OVDA issues. But when the Senate GOP cut a deal to return, some bad business bills which might have been dead prior to the walkout quickly moved from the dustbin to the fast track. None of those bills are related to the dealer industry, but some of my other clients are experiencing whiplash. Work sessions were held with barely an hour’s-notice. Amendments running hundreds of pages were adopted with little or no public input or testimony. Often the amendments were not available until just before the meeting, giving lobbyists (let alone legislators, reporters and the public) no time to read them prior to their adoption.

The 82nd Oregon Legislative Assembly began on January 9, 2023 with fanfare and new leadership. The Constitution required them to finish by midnight, June 25th. They beat the clock by about six hours, leaving the still-under-construction-Capitol with plenty of bumps and bruises. It wasn’t pretty.
With this report are two PDFs. One includes all the bills I tracked specifically for OVDA, the other lists the general business bills I tracked on behalf of all my clients.

OVDA PRIORITY BILLS

Below are a mere handful of the most significant bills I tracked for OVDA this year.

House Bill 2099-A / Bill Information

Summary: Requires Department of Transportation to study development of uniform standards for speed bump height

and markings.] Sunsets January 2, 2025.] Expands eligibility criteria for Safe Routes to School

grants. Eliminates minimum cash match for grants. Provides that Connect Oregon Fund grants

may be awarded when there is minimum amount in fund to pay for grants. Provides exemptions

related to requirements to obtain use fuel license. Defines “liquefied petroleum gas.” Modifies

conversion factors for compressed natural gas and propane. Changes small city allocation to

specify that moneys may be used on roads for project elements required for compliance with

federal or state law. Directs Department of Transportation to administer federal Drug and

Alcohol Clearinghouse related to commercial driving privileges. Permits weighmaster or motor

carrier enforcement officer who issued citation for offense to present evidence at trial instead of

city or district attorney. Provides that inspection of vehicle dealers by department should be

during normal business hours Monday through Friday. Modifies laws related to vehicle dealer

certificates and plates. Modifies laws related to special interest registration plates. Allows

department to designate law enforcement agencies to perform inspections of vehicle

identification numbers. Deletes provision allowing voluntary reporting of odometer reading by

person to department. Modifies and repeals laws related to commercial driver training schools.

Modifies fees related to issuance and renewal of vehicle transporter certificates, driver training

certificates and commercial driver training school certificates. Caps number of special vehicle

transporter plates or devices person is entitled to apply for and receive. Extends certificate

period to three years. Provides definition of “qualified provider” for purposes of driving tests.

Allows department to enter into intergovernmental agreement with City of Portland for removal,

storage and disposition of personal property left on property owned by department. Takes effect

on 91st day following adjournment sine die.

Relating To: Relating to transportation; and prescribing an effective date.

6/28/23 – Becomes law 91 days after June 25, 2023.

6/24/23 S – President signed.

6/24/23 H – Speaker signed.

6/22/23 S – Third reading. Carried by Frederick. Passed.

6/21/23 S – Carried over to 06-22 by unanimous consent.

6/20/23 S – Second reading.

6/20/23 S – Recommendation: Do pass the A-Eng. bill.

6/15/23 S – Referred to Transportation.

6/15/23 S – First reading. Referred to President’s desk.

5/31/23 H – Third reading. Carried by McLain. Passed.

5/30/23 H – Carried over to May 31, 2023 Calendar by virtue of adjournment.

5/26/23 H – Carried over to May 30, 2023 Calendar by virtue of adjournment.

5/25/23 H – Second reading.

5/24/23 H – Recommendation: Do pass with amendments and be printed A-Engrossed.

5/18/23 H – Work Session held.

5/9/23 H – Public Hearing held.

1/11/23 H – Referred to Transportation.

1/9/23 H – First reading. Referred to Speaker’s desk.

House Bill 2787 / Bill Information

Summary: Directs Department of Transportation to notify vehicle dealers when department discovers

documentation or fees vehicle dealer submitted to register or title vehicle are missing or

incomplete. Directs department to take certain actions to allow dealer to rectify missing

documentation, information or fees. Directs department to undertake study to assess delays in

processing documentation and fees submitted by vehicle dealers. Provides that department report

results of study and recommendations to Oregon Dealer Advisory Committee no later than

September 15, 2025. Takes effect on 91st day following adjournment sine die.

Relating To: Relating to vehicle dealers; and prescribing an effective date.

Sponsors: Rep Evans

Status:

6/26/23 – In committee upon adjournment, Sine Die. Dead for 2023.

2/16/23 H – Public Hearing held.

1/16/23 H – Referred to Transportation.

1/9/23 H – First reading. Referred to Speaker’s desk.

This bill was sponsored by OVDA. To avoid this bill potentially becoming law, DMV adopted new internal policies where only dealers are notified of missing information. Dealers are given 30 days to cure problems before purchasers and lien holders are notified. These policy changes may not have occurred without OVDA requesting legislation. So, even though the bill “died”, it was the catalyst for new policies.

House Bill 2790 / Bill Information

Summary: Directs Department of Transportation to provide two days’ notice to vehicle dealers and

dismantlers before inspecting records unless department is responding to complaint.

Relating To: Relating to businesses regulated by the Department of Transportation; creating new provisions; and amending ORS 822.035, 822.045 and 822.130.

Sponsors: Rep Evans

Status:

6/25/23 H – Died in Committee upon adjournment, Sine Die.

2/16/23 H – Public Hearing held, Darrell Fuller testified on behalf of OVDA.

1/16/23 H – Referred to Transportation.

1/9/23 H – First reading. Referred to Speaker’s desk.

This bill was sponsored by OVDA and NATA. To avoid this bill potentially becoming law, DMV adopted two new internal policies to provide dealers and dismantlers with some notice and flexibility prior to a routine inspection. These policy changes would not have occurred without OVDA requesting legislation. So, even though the bill “died”, it was the catalyst for the new policy.

House Bill 2801/ Bill Information

Summary: Prohibits seller from selling or leasing motor vehicle if sale or lease is contingent upon lender’s agreement to purchase retail installment contract or lease agreement. Provides that if seller sells retail installment contract or lease agreement to lender, lender must provide final approval of funding within 14 days after buyer takes possession of motor vehicle. Provides that if lender does not agree to buy retail installment contract or lease agreement or agrees to buy on terms other than exact terms that seller and buyer agreed to, seller must retain retail installment contract or lease agreement, must notify buyer of seller’s retention and may not thereafter sell, assign, transfer or delegate any of the benefits, duties or obligations of the contract or agreement. Provides that seller’s failure to comply with provisions of Act deprives seller of right to collect payment due under contract or agreement and right to repossess motor vehicle.

Relating To: Relating to conditions for financing a purchase of a motor vehicle; creating new provisions; and amending ORS 646.608 and 646A.090.

Sponsors: Rep Nelson, Rep Sosa, Sen Patterson, Rep Holvey, Rep Bynum, Rep Gamba, Rep Grayber, Rep

Hudson, Rep Lively, Rep Marsh, Rep Neron, Rep Valderrama, Sen Campos, Sen Dembrow, Sen

Gorsek, Sen Prozanski, Sen Sollman, Rep Nathanson

Status:

6/25/23 H – Died in Committee upon adjournment, Sine Die.

2/8/23 H – Public Hearing held. Darrell Fuller testified on behalf of OVDA.

1/16/23 H – Referred to Business and Labor.

1/9/23 H – First reading. Referred to Speaker’s desk.

This bill would have made “spot delivery” illegal in Oregon. OVDA lead the fight to oppose this legislation and was successful at killing it after just one public hearing.

House Bill 2818 / Bill Information

Summary: Expands definition of “consumer contract” to include purchases of used motor vehicles used primarily for personal, family or household purposes. Allows consumer to revoke provision of consumer contract that requires consumer to assert claim against other party to contract in forum that is not in this state. Provides that if provision in contract requires arbitration in forum that is not in this state, sole effect of revocation is that proceeding that requires or allows attendance by consumer must be conducted in this state. Provides that party seeking to enforce revoked provision is liable for reasonable attorney fees incurred by consumer. Expands offense of acting as vehicle dealer without certificate to include individuals who act as agents of Department of Transportation without authorization. Establishes civil cause of action for improper sale of vehicle.

Relating To: Relating to motor vehicles; creating new provisions; and amending ORS 81.150 and 822.005.

Sponsors: Rep Evans

Status:

6/25/23 H – Died in Committee upon adjournment, Sine Die.

2/13/23 H – Public Hearing held.

2/8/23 H – Public Hearing held.

1/16/23 H – Referred to Business and Labor.

1/9/23 H – First reading. Referred to Speaker’s desk.

This bill was an effort by consumer lawyers, with support from OVDA, to find an avenue in Oregon law to protect consumers from the practices of out-of-state dealers selling directly into Oregon with no dealer’s license. We will continue to fight this battle moving forward.

House Bill 2819 / Bill Information

Summary: Permits vehicle dealer to issue temporary registration permits for motor vehicles that do not have proof of compliance with pollution control equipment requirements. Requires dealer to give  written notice to purchaser that Department of Transportation will not issue stickers, registration or plates unless proof of compliance is provided. Modifies trip permit issuance by Department of Transportation.

Relating To: Relating to motor vehicles; amending ORS 803.350, 803.600 and 803.625.

Sponsors: Rep Evans

Status:

6/25/23 H – Died in Committee upon adjournment, Sine Die.

2/8/23 H – Public Hearing held. Darrell Fuller testified on behalf of OVDA.

1/12/23 H – Referred to Climate, Energy, and Environment.

1/9/23 H – First reading. Referred to Speaker’s desk.

This bill was introduced at the request of OVDA. We still believe a dealer should be able to issue a temporary registration for an Oregon customer who needs a DEQ compliance certificate. Currently, dealers must issue a trip permit, then a temporary registration after the DEQ certificate is obtained. This is unnecessary paperwork and cost for our customers, for dealers, and for DEQ. We will continue to fight this battle moving forward.

House Bill 3080-A / Bill Summary

Summary: Directs Department of Transportation to allow vehicle dealers that sold more than 100 vehicles in previous calendar year to electronically transmit certain documents related to vehicle sales.] Directs Department of Transportation to adopt rules permitting vehicle dealers or financial institutions to electronically transmit documents necessary to take actions related to vehicle ownership including registering and titling vehicles. Provides that vehicle dealer records may be kept electronically. Authorizes department to issue title to vehicle dealers under certain circumstances.] Directs Department of Transportation to provide primary security interest holder of vehicle with electronic title if requested.

Relating To: Relating to motor vehicles.

Sponsors: Rep McLain

Status:

1/1/2027 – This bill becomes law on January 1, 2027. DMV is required to file annual reports to the Legislature on the progress they are making in writing the rules to implement this legislation.

6/27/23 S – President signed.

6/25/23 H – Speaker signed.

6/23/23 S – Manning Jr, absent, granted unanimous consent to vote aye.

6/23/23 S – Third reading. Carried by Woods. Passed.

6/22/23 S – Carried over to 06-23 by unanimous consent.

6/21/23 S – Carried over to 06-22 by unanimous consent.

6/20/23 S – Second reading.

6/20/23 S – Recommendation: Do pass the A-Eng. bill.

6/15/23 S – Referred to Transportation.

6/15/23 S – First reading. Referred to President’s desk.

5/22/23 H – Third reading. Carried by McLain. Passed.

5/18/23 H – Second reading.

5/17/23 H – Recommendation: Do pass with amendments and be printed A-Engrossed.

5/11/23 H – Work Session held.

2/16/23 H – Public Hearing held.

1/20/23 H – Referred to Transportation.

1/17/23 H – First reading. Referred to Speaker’s desk.

House Bill 3158 / Bill Information

Summary: Imposes excise tax on retail sale of tires, privilege tax for engaging in business of providing

nonroad diesel equipment, tax on use in Oregon of nonroad diesel equipment purchased out of state at retail, heavy equipment rental tax on rentals of nonroad diesel equipment, privilege tax on heavy-duty vehicles and license tax on dyed diesel for transfer to Clean Diesel Engine Fund. Increases cap on grants or loans awarded from Clean Diesel Engine Fund for repower of nonroad diesel engine to 50 percent of certified costs. Directs Environmental Quality Commission to establish preference for grants and loans from fund for replacements, repowers or retrofits necessary to satisfy certain title and registration requirements for heavy- or medium-duty trucks powered by diesel engines. Takes effect on 91st day following adjournment sine die.

Relating To: Relating to engine emissions; creating new provisions; amending ORS 307.870, 307.872, 307.875, 307.888, 317A.100, 319.010, 319.320, 319.410, 320.400, 320.435, 468A.795, 468A.801, 468A.803 and 468A.807; prescribing an effective date; and providing for revenue raising that requires approval by a three-fifths majority.

Sponsors: Rep Nosse

Status:

6/25/23 H – Died in Committee upon adjournment, Sine Die.

2/15/23 H – Public Hearing held.

1/30/23 H – Referred to Climate, Energy, and Environment with subsequent referral to Transportation.

1/26/23 H – First reading. Referred to Speaker’s desk.

House Bill 3556 / Bill Information

Summary: Requires Department of Transportation to study issues related to abandoned recreational vehicles. Directs department to submit findings to interim committees of Legislative Assembly related to transportation not later than September 15, 2024. Takes effect on 91st day following adjournment sine die.

Relating To: Relating to abandoned recreational vehicles; and prescribing an effective date.

Status:

6/25/2023 H – Died in Committee upon adjournment, Sine Die.

4/25/23 H – Public Hearing held. Darrell Fuller testified on behalf of OVDA.

3/7/23 H – Referred to Transportation.

3/2/23 H – First reading. Referred to Speaker’s desk.

This bill was a “placeholder” for a bill establishing a program to dismantle abandoned RVs. A 47-page amendment was the subject of a public hearing. Darrell Fuller testified on behalf of OVDA.

Senate Bill 256 / Bill Information

Summary: Prohibits person from knowingly or intentionally manufacturing, importing, distributing, offering for sale, selling or leasing or otherwise transferring, or installing or reinstalling counterfeit automobile supplemental restraint system component, nonfunctional airbag or object that does not comply with federal standard for make, model and year of motor vehicle. Punishes violation of Act as unlawful practice under Unlawful Trade Practices Act.

Relating To: Relating to automobile supplemental restraint systems; creating new provisions; and amending ORS 646.608.

Sponsors: Sen Gorsek

Status:

1/1/2024 – This bill becomes law on January 1, 2024.

6/20/23 H – Speaker signed.

6/20/23 S – President signed.

6/15/23 S – Vote explanation(s) filed by Anderson.

6/15/23 S – Senate concurred in House amendments and repassed bill.

5/25/23 H – Third reading. Carried by Conrad. Passed.

5/24/23 H – Rules suspended. Carried over to May 25, 2023 Calendar.

5/23/23 H – Rules suspended. Carried over to May 24, 2023 Calendar.

5/22/23 H – Second reading.

5/19/23 H – Recommendation: Do pass with amendments and be printed B-Engrossed.

5/16/23 H – Work Session held.

5/11/23 H – Public Hearing held. Darrell Fuller testified on behalf of OVDA.

4/13/23 H – Referred to Judiciary.

4/12/23 H – First reading. Referred to Speaker’s desk.

4/12/23 S – Vote explanation(s) filed by Boquist.

4/12/23 S – Third reading. Carried by Thatcher. Passed.

4/11/23 S – Carried over to 04-12 by unanimous consent.

4/10/23 S – Carried over to 04-11 by unanimous consent.

4/6/23 S – Second reading.

4/5/23 S – Recommendation: Do pass with amendments. (Printed A-Eng.)

3/30/23 S – Work Session held.

3/28/23 S – Public Hearing held. Darrell Fuller testified on behalf of OVDA.

1/13/23 S – Referred to Judiciary.

1/9/23 S – Introduction and first reading. Referred to President’s desk.

As originally introduced, this bill would have had disastrous implications for dismantlers, dealers, and new/used parts buyers and sellers. However, working with a local and national coalition of stakeholders, led by OVDA, the bill was substantially amended to protect the legitimate stream of commerce for air bags and motor vehicles. OVDA supported the final version of the bill after it was amended to address our concerns.

Senate Bill 512 / Bill Information

Summary: Requires that fee for motor vehicle emission certificates of compliance issued after inspection that did not occur at department test station and did not use testing equipment owned by department not exceed lowest fee for other motor vehicle emissions certificates of compliance. Takes effect on 91st day following adjournment sine die.

Relating To: Relating to motor vehicle emission control fees; amending ORS 468A.400; and prescribing an effective date.

Sponsors: Sen Thatcher

Status:

6/25/23 H – Died in Committee upon adjournment, Sine Die.

3/2/23 S – Public Hearing held. Darrell Fuller testified on behalf of OVDA.

1/14/23 S – Referred to Transportation.

1/9/23 S – Introduction and first reading. Referred to President’s desk.

At the request of NATA. This bill had a public hearing on March 2nd. DEQ did not even attend to testify or answer questions.

Senate Bill 780 / Bill Information

Summary: Creates offense of unlawful fender height modifications. Punishes by maximum fine of $500, unless commission of offense contributes to accident. Punishes by maximum fine of $2,000 if commission of offense contributes to accident.

Relating To: Relating to unlawful fender height modifications.

Sponsors: Sen Frederick

Status:

1/1/2024 – This bill becomes law on January 1, 2024.

6/15/23 S – Effective date, January 1, 2024.

6/15/23 S – Chapter 213, 2023 Laws.

6/12/23 S – Governor signed.

6/7/23 H – Speaker signed.

6/5/23 S – President signed.

5/31/23 H – Passed.

5/31/23 H – Vote reconsideration carried.

5/25/23 H – Fahey served notice of possible reconsideration.

5/25/23 H – Third reading. Carried by Chaichi. Failed.

5/24/23 H – Rules suspended. Carried over to May 25, 2023 Calendar.

5/23/23 H – Second reading.

5/22/23 H – Recommendation: Do pass.

5/17/23 H – Work Session held.

5/15/23 H – Public Hearing held.

4/26/23 H – Referred to Judiciary.

4/24/23 H – First reading. Referred to Speaker’s desk.

4/18/23 S – Third reading. Carried by Frederick. Passed.

4/17/23 S – Second reading.

4/14/23 S – Recommendation: Do pass with amendments. (Printed A-Eng.)

4/4/23 S – Work Session held.

3/22/23 S – Public Hearing held.

1/23/23 S – Referred to Judiciary.

1/19/23 S – Introduction and first reading. Referred to President’s desk.

This bill solves a problem that does not yet exist in Oregon. Darrell Fuller testified in opposition on behalf of OVDA. Our testimony included several requests for amendments to address potential unintended consequences. One of those requests was drafted into an amendment and adopted by the committee. The amendment clarified that a vehicle carrying a load which causes the rear of the vehicle to be lower than the front of the vehicle will not violate the new statute.

If you have questions about this report, or anything related to the Legislative Session, politics, policy, regulatory enforcement, or the upcoming elections in 2024, reach out to me at your convenience.

Darrell Fuller has been a lobbyist for various sectors of the auto industry since 1996. He began his career in politics and policy as an intern at the Capitol in Salem in 1987. You can reach him at fuller_darrell@yahoo.com, or at 971-388-1786.