Legislative Bulletin - February 4, 2010

TRALA Questions Rhode Island Registration Mandate Proposal

TRALA has contacted five members of the Rhode Island general assembly regarding legislation they co-sponsored that would require any vehicle that is rented or leased in the State of Rhode Island to be registered, insured, and inspected in the State of Rhode Island. The legislation, Rhode Island House Bill 7230 would directly conflict with the International Registration Plan (IRP).

HB 7230 proposes to amend the Rhode Island statutes that deal with rented and leased vehicles by adding a sentence which states, “Any such vehicle rented or leased in the State of Rhode Island shall be registered, insured and inspected in the State of Rhode Island.” However, vehicles used in interstate commerce register under the IRP which is a reciprocity agreement between states in the U.S. and provinces in Canada providing for payment of vehicle license fees based on fleet distance traveled in the various jurisdictions. If HB 7230 were to pass in Rhode Island or any other state, it would create a burden on the ability to operate freely in interstate commerce for companies operating rented or leased vehicles in that state. Companies would be required to register their vehicles in the state, and then register them again under the IRP, effectively creating a double registration.

TRALA wrote letters to Rhode Island Assemblymen David Caprio, Peter Petrarca, Michael Rice, Stephen Ucci, and Assemblywoman Lisa Baldelli-Hunt outlining how the current interpretation of their legislation conflicts with the IRP. The intent of the legislation remains unclear at this point. However, TRALA has offered to talk with the sponsors of HB 7230 to discuss how they can achieve their legislative goals, while at the same time preserving the benefits of the IRP and the operation of vehicles in interstate commerce.

To see a copy of HB 7230, please click here. A copy of the letters sent to the five members of the Rhode Island general assembly who sponsored HB 7230 can be seen here. If you have any questions, please contact TRALA’s Tom James at tjames@trala.org or Joe Sculley at jsculley@trala.org or by calling (703) 299-9120.