BILL REQ. #:  S-5307.1 

READ FIRST TIME 02/08/08.   

     AN ACT Relating to used vehicle purchases; creating new sections; and providing an expiration date.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   The legislature finds that some Washington consumers have entered into used vehicle transactions that were not in their best interest. The legislature further finds that some used vehicle dealers provide consumers with inadequate disclosures regarding items purchased and financing terms. The legislature recognizes the impact that deceptive practices by used vehicle dealers have on working families' finances and transportation. Because of the importance of this issue, the legislature determines that the consumer protections available to used vehicle buyers should be thoroughly reviewed to ensure that the law fully protects used vehicle buyers from unfair and deceptive practices by used vehicle dealers.

NEW SECTION.  Sec. 2   (1) A legislative task force on consumer protections for used vehicle sales is established with nine members as provided in this subsection.
     (a) The majority leader of the senate shall appoint one member from each of the two largest caucuses of the senate.
     (b) The speaker of the house of representatives shall appoint one member from each of the two largest caucuses of the house of representatives.
     (c) The majority leader of the senate and the speaker of the house of representatives jointly shall appoint five nonlegislative members of the task force, which shall include one consumer advocate, two used vehicle dealers, an attorney with expertise in consumer protection law, and a representative from the consumer protection division of the attorney general's office.
     (2) The task force shall:
     (a) Convene as soon as possible upon the appointment of its members;
     (b) Elect a chair and adopt rules for conducting the business of the task force;
     (c) Thoroughly study consumer protections applicable to used vehicle buyers and the prevalence of consumer protection violations by used vehicle dealers. The materials studied must include, but are not limited to, the following:
     (i) The provisions governing used vehicle transactions in Titles 19 and 46 RCW;
     (ii) State and federal laws and regulations governing the disclosure of financing terms and retail installment terms;
     (iii) Other states' laws and regulations governing used vehicle transactions and the disclosure of financing terms and retail installment terms; and
     (iv) Any study or reports that provide information on the prevalence of consumer protection violations by used vehicle dealers;
     (d) Determine and document perceived and actual shortcomings of the current consumer protections afforded to used vehicle buyers; and
     (e) Draft proposed legislation if the task force determines that additional consumer protections for used vehicle dealers are advisable.
     (3) Staff support for the task force must be provided by senate committee services and the house of representatives office of program research.
     (4) Legislative members of the task force must be reimbursed for travel expenses in accordance with RCW 44.04.120.
     (5) The task force shall report its findings and any proposed legislation to the legislature by September 10, 2008.
     (6) The section expires December 31, 2008.