The Texas Independent Automotive Association testified against Texas House Bill 4526, which was submitted March 13, 2009 by San Antonio Representative Michael Villarreal from District 21, during a hearing in the Texas House Committee for Business & Industry on April 6, 2009.   The bill relates to the disclosure of charges for motor vehicle repairs and provides for a civil penalty.

At the hearing, TIAA President Gary Pundt and his wife Darla from Alamo Heights Garage in San Antonio, Executive Director Lee Roberts, and TIAA members Grady Foshee and Lori Jondron from Roadrunner Body & Paint, and Frank Bellucci from Performance Motors in Austin, testified to the committee opposing the bill. 

Before the committee adjourned, the group met with the representative and his staffer about the bill. 

Rep. Villarreal clearly listened to TIAA’s concerns, but spoke of his desire and conviction to get behind consumers in his district that had been supposedly scammed by automotive and collision repair shops.  He would not pull the bill, but did decide after talking to TIAA to reverse his plan to submit a substitute bill to the committee that would have made dealer service departments exempt from the bill and to make any offenses criminal misdemeanors. 

The TIAA contingent then testified to the committee.  No fewer than 10 other entities lobbied for the bill, while only three automotive associations, including TIAA, lobbied against.

TIAA argued that as a stakeholder in this bill, it had not been consulted about the bill, and only found out about it when it was filed on March 13.  TIAA’s position is that it was not given any input to ensure the interests of its members were heard.  In addition, the bill would not provide assurances that shops would be covered in specific instances when additional parts and labor charges would be required to return a vehicle to the same condition as when the shop took custody of it.  The language of the bill needed attention for TIAA to change its position, the group said.

The TIAA contingent all communicated its desire to work with any legislator on issues affecting the automotive and collision repair industry.  After the hearing, Representative Villarreal met with the group in the hall outside the committee hearing room.  He stated his desire to work with all concerned stakeholders in coming up with suitable language that would be agreeable to all parties.

On April 7, TIAA was given a mandate to provide its language proposals no later than April 9 so that the bill could be sent for legal review and back into committee in order to move it forward for a vote in the current legislative session.  TIAA made it clear its displeasure over the short deadline, but nonetheless provided suggested changes to ensure its members interests are met in the event the bill were to pass.  However, TIAA indicated it reserves the right to support or oppose this bill when and if it makes it out of committee based on its new language.

"We're keeping a close eye on this bill because politicians don't always realize that despite their best intentions to help the consumer, they often don't realize that legislation can end up taxing businesses, which can ultimately hurt the consumers they wish to protect," Roberts said.  "TIAA members are the best of automotive and collision repair industry in the state of Texas.  They want to protect consumers too, but want to make sure administrative and work process that are mandated by the state don't end up hurting business or customers."

TIAA notes this bill does not currently have a companion bill in the Texas Senate.  The status of the bill remains pending in the house committee.  TIAA will continue to update its members on this important bill.