Honorable Joe Deshotel, Chair, House Committee on Business & Industry
FROM:
John S. O'Brien, Director, Legislative Budget Board
IN RE:
HB4395 by Deshotel (Relating to dealer agreements and other business requirements for boat dealers, distributors, and manufacturers.), As Introduced
No fiscal implication to the State is anticipated.
The bill would amend the Occupations Code relating to dealer agreements and other business requirements for boat dealers, distributors, and manufacturers. The bill would provide that a dealer's sales territory must be an exclusive area of at least 50 miles. The bill would provide that good cause be required for a nonrenewal of an agreement between a boat dealer and manufacturer, and the manufacturer may not pay the dealer a labor rate for warranty work that is less than the rate for retail customers when performing non-warranty work. A person cannot be a boat dealer, distributor, or manufacturer unless they hold a license issued by the Texas Parks and Wildlife Department. The bill would take effect September 1, 2009.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies:
304 Comptroller of Public Accounts, 802 Parks and Wildlife Department