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Legislation

WASHINGTON, D.C., March 22, 2012 – The U.S. House Committee on Energy and Commerce’s Subcommittee on Commerce, Manufacturing and Trade recently held a hearing to discuss the motor vehicle safety provisions in the House and Senate highway bills. Many witnesses expressed concern for overlapping themes that included standards for the use of new technology in vehicles, safety of passengers and importance of accountability for vehicle-related mishaps.

Witnesses included the Honorable David Strickland, administrator for the National Highway Transportation Safety Administration. Strickland discussed the importance of NHTSA having more authority to ensure better safety on America’s highways. He said:

“The Senate has included several helpful provisions that would strengthen the agency’s capabilities. These include:

• Increased authority to address safety hazards caused by some imported motor vehicle equipment,

• Protection for consumers affected by safety defect or non-compliance recalls from manufacturers who file for bankruptcy,

• Increases in the total amount of civil penalties NHTSA can seek for safety related violations.

“Together, these enhanced authorities would permit NHTSA to ensure motor vehicle and equipment safety on a broader basis than we can today. The Senate bill also includes a number of rulemakings that the agency has under way. For example, we published the Notice of Proposed Rulemaking for keyless ignition systems last December and expect to issue a final rule in the near future. We are also considering Notices of
Proposed Rulemaking for Brake Override and Event Data Recorders and conducting research on Pedal Placement.”

Strickland went on to suggest that there are other areas in which NHTSA would like more authority:

“To strengthen our safety mission even further, we would seek additional authority in the following areas:

• Authority to require action by used car dealers or rental companies with regard to recalled vehicles,

• Clarification of authority over the safety-related aspects of portable electronic devices in vehicles to address the clear and serious distraction hazard they pose,

• Clarification of authority over devices external to vehicles that will be essential to ensure the safety, security and effectiveness of vehicle-to-vehicle communications in order to realize the enormous safety benefits these systems may bring, and

• Direct appellate review of recall orders to ensure that manufacturers have the opportunity to challenge orders while avoiding lengthy district court trials during which time no recall is in effect to protect consumers.”

Another witness included Ami Gadhia, a senior policy counsel with Consumers Union (CU), the public policy and advocacy wing of Consumer Reports. She made additional suggestions for the Senate version of the highway bill, including:

“First, as CU has discussed since the unintended acceleration concerns arose in 2010, NHTSA should mandate intuitive, clearly labeled transmission shifters in all new cars. If a car is accelerating out of control, our engineers have advised that hitting the brakes and shifting into Neutral is a driver’s best strategy. However, the advent of gated and electronic shifters can make finding Neutral difficult if the driver is in a panic. Shifters should be designed so that a driver can quickly identify the Neutral position and easily shift gears to regain control.”

Gadhia also suggested:

“Regarding distracted driving, NHTSA is currently in the process of finalizing its guidelines for manufacturers regarding “in-car” distractions, such as the streams of textual information that appear on dashboard screens. CU is pleased to see the development of these
guidelines. However, to ensure the widest application of these guidelines, CU recommends that the guidelines be incorporated into NHTSA’s New Car Assessment Program (NCAP). Once made a part of the NCAP, in-car distractions could be evaluated on a star-rating system, like other critical safety features, and consumers could utilize the ratings as they make purchasing decisions.”

Gadhia’s testimony also stated:

“CU would also like to see vehicle roof strength requirements strengthened. Specifically, we would also like to see a dynamic rollover test, not simply a static roof crush test as is currently the case. A static test gives us an idea of how strong a car’s roof is, but it does not tell us anything about the dynamics of the occupants in the vehicle in a rollover. Many fatalities occur when the occupants hit their heads on the roof of the car or on the ground once the car has rolled over, even though the roof has not deformed. CU therefore recommends that NHTSA adopt a test that would evaluate the complete vehicle system – as the agency does in frontal and side crash tests – so credit can be given for seat belt pretensioners
and side airbags that deploy in a rollover to help keep the occupant in the seat and away from impact with either the roof of the car or the ground.”

To view the full testimony from this hearing, visit ASA’s legislative website at www.TakingTheHill.com.

The Automotive Service Association is the largest not-for-profit trade association of its kind dedicated to and governed by independent automotive service and repair professionals. ASA serves an international membership base that includes numerous affiliate, state and chapter groups from both the mechanical and collision repair segments of the automotive service industry.

ASA advances professionalism and excellence in the automotive repair industry through education, representation and member services. For additional information about ASA, including past news releases, go to www.ASAshop.org, or visit ASA’s legislative website at www.TakingTheHill.com.

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WASHINGTON, D.C., March 22, 2012 – U.S. Rep. Paul Gosar’s (R-Ariz.) amendment to H.R. 5, Restoring the Application of Antitrust Laws to Health Sector Insurers, passed on the House floor today.

In early 2010, the U.S. House of Representatives passed H.R. 4626, the Health Insurance Industry Fair Competition Act, which amended the McCarran-Ferguson Act to provide that 1) nothing in the act shall modify, impair or supersede the operation of any of the antitrust laws with respect to the business of health insurance; and 2) Federal Trade Commission Act prohibitions against using unfair methods of competition shall apply to the business of health insurance without regard to whether such business is carried on for profit. This legislation did not become law.

Since 1945, insurance companies have had a “limited” exemption from federal antitrust laws that apply to most other industries assured to them through an act of Congress. The McCarran-Ferguson Act provides that federal antitrust law applies to the “business of insurance” only to the extent that such business is not regulated by state law. The anti-competitive consequences of McCarran-Ferguson impact both consumers and
small businesses that have to deal with insurers.

Gosar’s amendment to the McCarran-Ferguson Act has an additional limitation that no class action may be heard in a federal or state court on a claim against a health insurer for a violation of the antitrust laws.

The Automotive Service Association (ASA) supported H.R. 4626, and supports this latest Gosar amendment passed by the U.S. House of Representatives.

To view the amendment in its entirety, visit ASA’s legislative website at www.TakingTheHill.com.

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WASHINGTON, D.C., March 21, 2012 – Diane Larson, AAM, owner of Larson’s Service in Peabody, Mass., and a member of the Automotive Service Association’s Mechanical Division Operations Committee, testified on behalf of ASA today before the Massachusetts Joint Committee on Consumer Protection and Professional Licensure on a Right to Repair hearing.

Larson stated: “For shops like mine that are willing to invest in the tools, equipment and training – all the information needed to repair their customer’s vehicles is available today without legislative mandates.

“While tools and information are accessible, it is important to note, however, that not every independent shop in Massachusetts today is qualified or fully prepared to service every make and model of vehicle, and understandably so. Each shop owner must make a business decision as to the investment he or she makes in the required tools and technician training to repair each brand. As you can imagine, a Ford is different than a Chevy, which is different than a Toyota, which is different than a Mercedes. All cars are different in price, in look, in design, in performance, and in diagnostics and repair, and rightly so. There can be no single silver bullet to fix every car as proponents seem to suggest.”

Addressing the proposed universal diagnostic interface, Larson said: “The concept of a non-proprietary interface for accessing diagnostic and repair information over the Internet is not a bad one, and the convenience it potentially could provide is appealing to most technicians. However, the ballot initiative as written is completely the wrong way to go about it. The initiative language – which cannot be changed at this
point – limits the use of only the SAE J2534 standard forever and ever. These protocols were developed more than 15 years ago and may or may not be the future of advanced diagnostics. Why not allow for the innovation of better systems in the future? The ballot language freezes old technology with no allowance for future advancements. If the concept of a non-proprietary interface is a good one, why not allow any future SAE, ISO or other globally recognized standards that automakers develop?”

ASA opposes Right to Repair legislation and has been an advocate for a voluntary, industry solution to issues of service information availability, tool and training information.

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WASHINGTON, D.C., March 13, 2012 – Florida Senate Bill 540, the companion bill of Florida House Bill 885, has died in the senate. Florida H.B. 885 passed the House with language that eliminates the current 80 percent threshold for a total-loss vehicle to receive a certificate of destruction – which would allow potentially unsafe vehicles to be branded as “repairable” and put back on the roads.

The Automotive Service Association (ASA) opposed this bill if it included language similar to H.B. 885. ASA appreciates the Florida collision repairers who took the time to contact their legislators to express opposition.

To view the full text of these bills, visit ASA’s legislative website at www.TakingTheHill.com.

The Automotive Service Association is the largest not-for-profit trade association of its kind dedicated to and governed by independent automotive service and repair professionals. ASA serves an international membership base that includes numerous affiliate, state and
chapter groups from both the mechanical and collision repair segments of the automotive service industry.

ASA advances professionalism and excellence in the automotive repair industry through education, representation and member services. For additional information about ASA, including past news releases, go to www.ASAshop.org, or visit ASA’s legislative website at www.TakingTheHill.com.

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WASHINGTON, D.C., Feb. 27, 2012 – The U.S. Department
of Transportation (DOT) proposed today, in the Federal Register, guidelines for
vehicle manufacturers to help reduce the distraction of in-vehicle electronic
devices. The proposed guidelines are designed for electronic devices that do
not take part in safely operating the vehicle. For example, devices used for
communications, entertainment, information gathering and navigation. The
National Highway Traffic Safety Administration’s (NHTSA) guidelines are
recommendations for electronic devices installed in vehicles that require
visual or manual operation.

According to DOT Secretary Ray LaHood, “Distracted driving is a dangerous and deadly
habit on America’s roadways – that’s why I’ve made it a priority to encourage
people to stay focused behind the wheel … These guidelines are a major step
forward in identifying real solutions to tackle the issue of distracted driving
for drivers of all ages.”

The guidelines are geared toward vehicles not weighing more than 10,000 lbs, and
are a first in a series of guidance documents NHTSA plans to release regarding
distracted driving.

The proposed Phase I distraction guidelines include recommendations to:

  • Reduce complexity and task length required by the device;
  • Limit device operation to one hand only (leaving the other
    hand to remain on the steering wheel to control the vehicle);
  • Limit individual off-road glances required for device
    operation to no more than two seconds in duration;
  • Limit unnecessary visual information in the driver’s field of
    view;
  • Limit the amount of manual inputs required for device
    operation.

NHTSA is currently considering Phase II guidelines for the future that would include devices or
systems not built into the vehicle. This would include aftermarket and portable
personal electronic devices such as navigation systems, smart phones,
electronic tablets and pads, among other mobile communications devices. More
proposed guidelines (Phase III) could address voice-activated controls to further
minimize distraction in factory-installed, aftermarket and portable
devices.

To view the Federal Register’s publication of the NHTSA Driver Distraction for In-Vehicles
Electronic Devices Guidelines, visit ASA’s legislative website at
www.TakingTheHill.com.

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WASHINGTON, D.C., Feb. 8, 2012 – U.S. Reps. Darrell Issa, R-Calif., and Zoe Lofgren, D-Calif., recently introduced H.R. 3889, the Promoting Automotive Repair, Trade and Sales (PARTS) Act in the House of Representatives. The bill would amend the U.S. design patent law to change the
period of design patent protection for automakers from 14 years to 30 months.

Both members serve on the House Judiciary Committee’s Subcommittee on Intellectual Property, Competition and the Internet. Lofgren introduced auto parts patent legislation in the last Congress.

The new subsection reads as follows:

            “It shall not be an act of infringement of such design patent to make or offer to sell within the United States, or import into the United States, any article of manufacture that is similar or the same in appearance to the component part that is claimed in such design patent if the purpose of such article of manufacture is for the repair of a motor vehicle so as to restore such vehicle to its appearance as originally manufactured; and after the expiration of a period of 30 months beginning on the first day on which any such component part is first offered to the public for sale as part of a motor vehicle in any country, it shall not be an act of infringement of such design patent to use or sell within the United States any article of manufacture that is similar or the same in appearance to the component part that is claimed in such design patent if the purpose of such article of manufacture is for the repair of a motor vehicle so as to restore such vehicle to its appearance as originally manufactured.”

“Competition is the hallmark of our free market system,” Issa said. “Consumers have dozens of choices in electronics, food, service, clothing and other products – this same array of choices, across all price points, should also extend to automotive repair parts.”

To view the full text of this legislation, visit ASA’s legislative website at www.TakingTheHill.com.

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