Oppose Senate Bill 144 and House Bill 233
When you buy a new car, certain repairs are covered under an auto manufacturer's warranty for a set period of time. Auto dealerships perform these repairs and are reimbursed by the auto manufacturers for their services.
On top of already high profit margins on warranty repairs, Senate Bill 144 and House Bill 233 would increase dealer profits for warranty work by requiring manufacturers to pay higher rates.
The sponsors of this legislation claim it will boost pay for technicians. However, the legislation does not guarantee any increase in technicians' compensation. Instead, it allows the auto dealers to use the additional profits at their discretion.
Studies of similar dealer-friendly laws show they cost consumers an additional $48 billion annually. Please join us in contacting your state lawmakers to oppose this legislation.
I urge you to oppose Senate Bill 144 and House Bill 233. This legislation would increase warranty repair payments for auto dealers from auto manufacturers. Considering dealers already enjoy high profits on warranty repairs, this will only serve to drive up costs for consumers on new vehicles.
Proponents claim it will enhance technicians' pay, yet the legislation does not mandate any such increase. Instead, it would pad the profits of wealthy dealers at the expense of Alaskans.
I am calling on leaders in Juneau to oppose this legislation and protect consumers.
