Oregon RV dealer sales

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May 1, 2007 — update

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April 3, 2007

The Oregon State Legislature is considering two bills that would affect motorhome owners. One addresses requirements for dealers who sell RVs in Oregon. The other concerns warranty issues.

According to Senate Bill 566, dealers who sell RVs in Oregon must maintain a permanent service facility in the state.

If approved, SB 566 would prohibit out-of-state RV dealers from displaying or selling at RV events in Oregon. Currently, non-Oregon dealers are permitted to sell vehicles in the state for a designated period of time.

SB 566, as written, would make it impractical for FMCA to hold international conventions and area rallies in Oregon.

The bill was referred to the Committee on Business, Transportation and Workforce Development, on Feb. 14, 2007.

Frank Brodersen, of Salem, Ore., a member of FMCA’s Governmental and Legislative Advisory Committee, has been following the bill's progress. He said the measure might be amended to exempt larger RV shows from the permanent service facility requirement. Other states, he said, have such provisions or are considering adopting them.

In Georgia, for example, a pending bill would provide franchise agreement exemptions for conventions involving more than 2,500 RVs.

If a similar exemption were attached to the Oregon bill, FMCA international conventions, which typically attract more than 3,000 motorhomes, would not be affected by the bill.

But FMCA's Northwest Area Rally, to be held June 4 to 7, 2008, in Albany, Ore., attracts fewer motorhomes and would be affected. For this reason, Brodersen sent a letter to state legislators asking them to consider an exemption threshold of 350 or more registered RVs, instead of 2,500.

Each sponsoring organization should be allowed one exemption per calendar year for events of 350 or more RVs, Brodersen said.

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Oregon House Bill 2758 would change reimbursement to RV dealers for warranty service from 130 percent to 140 percent of the dealer’s cost of warranty parts.

The bill would require RV warrantors to accept dealer warranty service claims and compensate dealers for warranty service performed on components or accessories that the warrantor installs or includes on the vehicle.

HB 2758 was referred to the Committee on Business on Labor, on Feb. 22, 2007.

Oregon State Legislature
www.leg.state.or.us/bills_laws