In the coming year, the Alliance of Automotive Service Professionals of Minnesota (AASP-MN) plans to continue pushing two legislative issues from previous sessions that would establish collision repair shop licensing and also ban insurance companies from owning body shops.
The proposed collision repair licensing regulations would establish basic requirements for shops to operate in the state, AASP-MN lobbyist Kevin Walli said in the association’s online newsletter.
“Some of the provisions, such as tax identification numbers and environmental permits, are already required,” Walli wrote. “There will be some equipment and continuing education provisions to ensure that shops are capable of making effective and safe repairs to damaged vehicles.”
The Minnesota Department of Commerce opposed the association’s licensing proposal in 2008, but as drafted, the legislation called for the Department of Public safety to be responsible for licensing, Walli noted. He estimated that the Department of Commerce was concerned about the cost of administering a licensing program.
“AASP-MN is intending that shop licensing fees should cover the costs of administration,” he noted. “This will be a primary topic of discussion in [an upcoming] meeting with the Department [of Commerce].”
AASP-MN’s legislation that would prohibit insurance companies from owning repair shops was first drafted in 2005. At that time, Allstate was appealing the Federal District Court upholding of the Texas law that prohibits insurers from owning repair shops. Last year, the Federal Circuit Court of Appeals ruled in favor of the Texas law, and the U.S. Supreme Court refused to hear the matter.
“With the court case complete, the way is clear to renew our efforts at the State Capitol,” Walli said.
For more information about AASP-MN’s legislative efforts, visit www.aaspmn.org.
