HLS 16RS-1069 ENGROSSED
2016 Regular Session
HOUSE BILL NO. 637
BY REPRESENTATIVE STOKES
FEES/LICENSES/PERMITS: Authorizes the imposition of certain fees for rental of
automobiles
1 AN ACT
2To enact Chapter 27-B of Title 51 of the Louisiana Revised Statutes of 1950, comprised of
3 R.S. 51:1949.1, relative to fees for automobile rentals; to authorize the inclusion of
4 certain mandatory fees as separate charges in a rental agreement; and to provide for
5 related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. Chapter 27-B of Title 51 of the Louisiana Revised Statutes of 1950,
8comprised of R.S. 51:1949.1, is hereby enacted to read as follows:
9 CHAPTER 27-B. MOTOR VEHICLE RENTAL AGREEMENTS
10 ยง1949.1. Imposition of certain fees in motor vehicle rental agreements
11 A. A motor vehicle lessor, in a rental agreement, may list mandatory charges
12 separately, including but not limited to vehicle license recovery fees, airport access
13 fees, airport concession fees, and all applicable taxes.
14 B. If a motor vehicle lessor includes a vehicle license recovery fee as a
15 separate charge in a rental agreement, the amount of the fee shall represent the motor
16 vehicle lessor's good-faith estimate of the lessor's average per vehicle portion of the
17 lessor's total annual titling and registration costs incurred pursuant to the provisions
18 of R.S. 47:451 et seq.
19 C. If the total amount of the vehicle license recovery fees collected by a
20 motor vehicle lessor pursuant to this Section in any one calendar year exceeds the
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 16RS-1069 ENGROSSED
HB NO. 637
1 lessor's actual costs to license, title, and register the motor vehicles for that year, the
2 lessor shall do the following:
3 (1) Retain the excess amount collected.
4 (2) Adjust the estimated average per vehicle titling and registration charge
5 for the following calendar year by a corresponding amount.
6 D. As used in this Section, the following terms have the following meanings:
7 (1) "Motor vehicle" means that term as defined in R.S. 32:1252.
8 (2) "Motor vehicle lessor" means that term as defined in R.S. 32:1252 and
9 subject to the licensing provisions of R.S. 32:1254(A).
10 (3) "Vehicle license recovery fee" means a charge that is included in a
11 vehicle rental transaction to recover costs incurred by a motor vehicle lessor to
12 license, title, and register rental vehicles.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 637 Engrossed 2016 Regular Session Stokes
Abstract: Authorizes motor vehicle lessors to separately list certain charges to recover the
cost of titling, licensing, and registering their vehicle fleet.
Proposed law authorizes a motor vehicle lessor, in a rental agreement, to list mandatory
charges separately, including but not limited to vehicle license recovery fees, airport access
fees, airport concession fees, and all applicable taxes.
Proposed law provides that if a motor vehicle lessor includes a vehicle license recovery fee
as a separate charge in a rental agreement, the amount of the fee shall represent the motor
vehicle lessor's good-faith estimate of the lessor's average per vehicle portion of the lessor's
total annual titling and registration costs. Proposed law requires adjustment of the fee each
year based on the amount collected as compared to the amount necessary for titling and
registration.
Proposed law provides certain definitions.
(Adds R.S. 51:1949.1)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Commerce to the
original bill:
1. Make technical changes.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 16RS-1069 ENGROSSED
HB NO. 637
2. Revise and reorganize definitions of the terms "motor vehicle" and "motor
vehicle lessor".
3. Replace all references to "motor vehicle rental companies" with references to
"motor vehicle lessors".
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.