LEGISLATIVE UPDATE
Session Moves into Final Weeks by Kevin Walli, AASP-MN Lobbyist
As we close in on the final weeks of the 2021 legislative session, COVID-19 safety measures have made interactions with legislators extremely challenging. There has been no opportunity to speak directly to legislators or their staff. Everything is done by phone and Zoom. There are three areas of concern on which we are focusing most of our time and attention. First, in the area of taxes, we are watching to see how the House and Senate omnibus tax bills treat tax liability for businesses that received federal relief to respond to the pandemic. With the state revenue forecast having improved dramatically, it appears that the Legislature will protect businesses and individuals from tax liability associated with federal payments. We will report on the outcome of that measure at the close of session. An issue which emerged over the last several months has gained considerable attention at the Legislature. The theft and resale of catalytic converters has become an epidemic of its own. Legislators and law enforcement officials have been seeking ways to blunt this practice. Our objective has been to scrutinize proposals to ensure that repair shops are not unreasonably burdened in handling catalytic converters. Be aware that the Legislature is working on this area and we are trying to keep the response reasonable. We will report more fully on what emerges from the legislative process as the session draws to a close.
Finally, proposals to change the Salvage Title statute continue to be a concern for AASP-MN. An amendment to the Senate transportation finance bill would remove the terms “late-model” and “high-value” from the Salvage Title statute. The result would be many more vehicles required to secure a Salvage Title. Consumers would likely see a devaluation of their vehicles and fewer vehicles would likely be repaired. The impetus for this legislation was a false argument that Minnesota is a dumping ground for inappropriately titled vehicles from other states. The proposal pending in the Senate bill will do nothing to change the current processing of out-of-state titles in Minnesota. The state currently adopts the title restrictions that have been imposed on a vehicle in other states when they are retitled in Minnesota. That practice would continue in any case. The House has not advanced the provision and our efforts are focused on having them hold their ground so that there is a better opportunity for a broad discussion of the Salvage Title statute to ensure that any change is based on real issues that consumers face. Again, these issues will likely play out in the final weeks of session and we will provide a timely legislative report as soon as the session ends – hopefully on the constitutional adjournment date of May 17 – and not with a special session which drags on into the summer months.
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6 | May 2021
AASP-MN News
