Auto Care Association State Government Affairs Update: July 11, 2025

what's moving?

• Bills on Electronic and Appliance Product Repairs; Regulations:
• RI HB 6053 became law on July 5, 2025. This act strengthens consumer protections in insurance claims by raising the total loss threshold for vehicles, requiring insurers to compensate for industry-recommended repair procedures, and expanding the definition of unfair claims practices to ensure fairer and more transparent settlements.
• RI HB 6207 was signed by the governor on June 30, 2025. This act requires Rhode Island to conduct a comprehensive statewide analysis and stakeholder-driven planning process for implementing a beverage container redemption and recycling program, with key reports due in 2026.
• IL HB3677 was sent to the governor on June 24, 2025. The bill  establishes comprehensive standards for the provision, repair, and insurance coverage of complex rehabilitation technology in Illinois, ensuring consumer protections, streamlined repair processes, and expanded insurance requirements for individuals who rely on complex wheelchairs and related equipment.

MI HB 4549 was reported favorably by committee on June 26, 2025. The bill updates Michigan's Motor Vehicle Service and Repair Act by introducing auxiliary repair facilities, increasing registration and certification fees, strengthening consumer protections, and modernizing regulatory requirements for motor vehicle repair businesses, effective Jan. 1, 2026.

state updates

Eight state legislatures are in regular session.

• Oregon’s HB 3178 will shorten the window for auto dealers to change financing terms from 14 business days to 10 calendar days, starting in January 2026. Lawmakers say the reform will help protect consumers from unexpected loan term changes after they’ve already driven off the lot, improving transparency in one of the biggest purchases many Oregonians make.
• As part of the newly-signed state budget, New Hampshire will eliminate mandatory annual vehicle inspections beginning next year. The policy was inserted into the trailer bill to help the budget pass and satisfy libertarian-leaning lawmakers. While critics argue it could make roads less safe and cost the state millions in Highway Fund revenue, supporters say it ends a  requirement voters have long opposed.

Connecticut car owners are seeing higher tax bills this year due to a new state law that requires towns to base vehicle value on original MSRP, rather than current market value. The change is meant to standardize car tax calculations but has raised concerns over fairness for owners of vehicles that depreciate faster than others. Some local leaders argue the old system was simpler and more equitable