Policy Resolution BED-22-52

EQUITABLE TREATMENT FOR CAR RENTAL TRANSACTIONS
Business and Economic Development (BED) Committee

WHEREAS, the National Black Caucus of State Legislators (NBCSL) welcome any innovation, platform or service to meet the mobility needs for communities of color, and are committed to ensuring all companies within the rental car industry, including peer-to-peer vehicle sharing companies, receive regulatory fairness and parity;

WHEREAS, the NBCSL has consistently supported policies that treat businesses in a similar and equitable fashion to ensure a fair, safe, and equitable marketplace for all businesses;

WHEREAS, the rental car industry has historically provided and continues to provide important transportation options for communities of color and valuable revenue to support state governments as well as important projects in local communities;

WHEREAS, legislation is being adopted in states across the country further helps protect communities by adding important consumer protections, including regulations regarding safety standards and insurance for vehicles on the road;

WHEREAS, the legislation supports the state general fund, as well as special authorized projects, by providing clear and consistent taxation guidelines for all car rental services, regardless of the platform through which the service is solicited;

WHEREAS, the legislation provides clarity and consistency on how car rental services contribute to the maintenance of public infrastructure that benefits members of the community, including airports;

WHEREAS, these policies have been endorsed by a broad and diverse coalition of consumer advocacy organizations, municipal groups, insurance regulators and other proponents of public infrastructure;

WHEREAS, the peer-to-peer model of vehicle sharing is similar to traditional car rental service, including through digital platforms like apps, regardless of the duration of the rental;

WHEREAS, consumers should be able to trust that vehicle they have rented is safe and up-to-date on all maintenance requirements, that proper insurance is provided, and taxes are paid; and

WHEREAS, certain states may regulate, and tax identical rental transactions differently based on whether they are managed by a peer-to-peer car rental provider or traditional car rental provider.

THEREFORE BE IT RESOLVED, that the National Black Caucus of State Legislators (NBCSL) is committed to supporting efforts to ensure that communities are treated equitably and fairly when utilizing any of the mobility options available in their community;

BE IT FURTHER RESOLVED, that the NBCSL recognizes that state adoption of legislation that streamlines, clarifies, and makes consistent, regulations for all car rental companies including peer-to-peer vehicle sharing services, ensures that all individuals receive the same protections and pay the same taxes regardless of how they choose to rent a vehicle;

BE IT FURTHER RESOLVED, that the NBCSL urges the passage and implementation of these laws for the sake of public interest, to protect state tax revenue and ensure that consumer safety; and

BE IT FINALLY RESOLVED, that a copy of this resolution be transmitted to the President of the United States, the Vice President of the United States, members of the United States House of Representatives and the United States Senate, and other federal and state government officials and agencies as appropriate.

  • SPONSOR(S): Representative Harold Love, Jr. and Senator James Sanders, Jr. (NY)
  • Committee of Jurisdiction: Business and Economic Development (BED) Policy Committee
  • Ratified in Plenary Session: December 2, 2021
  • Ratification certified by: Representative Billy Mitchell (GA), NBCSL President