The Voice of the American Auto Rental Industry
Dedicated to the betterment of the rental car industry by supporting and promoting sensible legislation that will benefit all its members.

Legislative Accomplishments

State Level

State/Bill Summary ACRA Position Status Comments
Alabama SB 323 Implement 3% in Birmingham for the Birmingham-Jefferson Convention Authority Oppose Bill Failed. This tax was authorized in 2001, but can not be imposed until sufficient bonding is secured. That has not occurred and this bill would have eliminated that the bonding requirement and imposed the tax.
Arizona HB 2351 Increases penalty for failure to return rental vehicle Support Signed by Governor – 4/7/11
Arizona SB 1401 Required Renter’s Insurance to be Primary for liability Support Stalled on Senate Floor – Dead for this session This will be a multi-year effort. The insurance industry fought hard against. But, good progress was made and we will move forward for next year.
California AB 753 Requires certain actions by rental companies regarding vehicles subject to recalls Oppose Passed CA Assembly; in Senate Judiciary Committee; Hearing likely in June. The industry is working with the sponsor and other legislators to work toward a bill that we believe is less operationally disruptive, but maintains our commitment to safety.
Connecticut SB 674 Increases Minimum Financial Responsibility (MFR) levels Oppose Public Hearing held 3/7/11 – No further action taken
Connecticut SB 1007 Budget bill – Imposes statewide Car Rental Tax of 3% Oppose Passed Legislature The new Governor pushed for many new taxes, including this rental car tax.
Florida SB 1806/HB 1439 Increases MFR for rental/leasing companies to 100/300/500 Oppose Ultimately withdrawn. Dead for this session This will be an ongoing effort to impose pre-Graves Amendment vicarious limits (disguised as MFR) on rental and leasing companies.
Florida (via Amendment) Toll Fee Cap Oppose Amendment defeated in Committee.
Illinois HB 1592/SB 1819 Increases maximum liability of a renter for damages resulting from loss due to theft from $2,000 to actual fair market value of vehicle. Support Referred to House Rules Committee.
Hawaii   Eliminates Consolidated Facility Charge (CFC) of $4.50/day and adds that to existing $3/day rental car tax – results in a $7.50/day tax. Oppose  
Maine LD 527 Reduces MFR levels for rental car companies from $350,000 to 50/100, same as other vehicle owners. Support Signed by the Governor.
Maryland HB 1058/SB 711 Would establish renter as primary for liability Support Stalled in Committees. As in Arizona, the insurance industry strongly opposed these bills. But, a good education effort was made and Sharon Faulkner testified twice on behalf of these bills. We will likely make more progress next year.
Maryland Budget Bills Increase the vehicle titling tax Oppose Rental vehicles are exempt from increased titling tax for 3 years.
New Jersey AB 2033/AB 2588/AB 3233/ AB 3335/SB 2129 Exempts or decreases certain rentals from $5/day rental car tax; some decrease tax from $5 to $3/day; others to $2/day; some exempt car sharing from full $5/day tax ? All are pending in committee  
New Jersey AB 2057/SB 1415 Codifies ability of rental car companies to pass through vehicle licensing fees ? SB 1415 is out of committee and awaiting Floor debate.  
New York AB 1305 Increases MFR for rental car companies Oppose Referred to Assembly Transportation Committee  
New York AB 4708/ SB 2789 Permits passing through of vehicle licensing fees Support? AB 4708 is stalled; but SB 2789 is out of committee and on calendar.  
New York SB 2045 Requires rental car companies to supply renter with full size spare tire, if requested. Oppose? Referred to Senate Consumer Protection Committee  
North Dakota HB 1308 Codifies that renter’s insurance is primary for liability. Support Passed Legislature.
Oregon HB 2545 Statewide rental car tax Oppose Referred to Transportation and Economic Development Committee. Dead for this year.  
Texas HB 3059 Would regulate loss/collision damage waiver as an insurance product. Oppose Died in Committee.
Utah SB 214 Codifies ability of rental car companies to pass through vehicle licensing fees. ? Signed by Governor.
Virginia SB 1242 Imposes rental car tax for transportation funding. Oppose Died in Committee.  
Washington HB 1997/SB 5958 Extends life of car rental tax in King County that is scheduled to die when bonds of Safeco Field are retired. Oppose HB 1997 and SB 5958 have each failed in separate votes. But proponents have introduced yet another bill.
Wisconsin AB 4 Reduces MFR limits from 50/100 to 25/50 Support Signed by Governor.

Federal Level

State/Bill Summary ACRA Position Status Comments
Discriminatory Rental Car Excise Taxes A bill will be introduced that prohibits state and local governments from imposing discriminatory excise taxes upon car renters. Support Introduction forthcoming. Hearing in the House Committee on Judiciary Commercial & Administrative subcommittee will take place June 14.
Recalled Rental Cars A bill will likely be introduced by Sen. Charles Schumer regulating the rental car industry with respect to recalled vehicles. Oppose Introduction forthcoming. The industry, including ACRA Board members, have met with the staff of Sen. Schumer to educate them on our industry’s track record and current processes. We don’t believe we will dissuade him from introducing legislation.