Portage County Legal News

Bill would allow for automobile displays at schools

TIFFANY L. PARKS
Special to the Legal News
Published: April 15, 2014

A bipartisan House bill that would allow a new motor vehicle dealer to display two or more new motor vehicles at an educational institution is rolling through the Senate.

House Bill 318, led by Reps. Kristina Roegner, R-Hudson, and Sean O’Brien, D-Hubbard, would create an exception to continuing law that prohibits any licensed motor vehicle dealer, motor vehicle leasing dealer, motor vehicle auction owner or distributor from displaying a motor vehicle at any place except the dealer’s, owner’s or distributor’s licensed location, without first obtaining permission from the Ohio Bureau of Motor Vehicles.

In recent sponsor testimony before the Senate Commerce and Labor committee, Roegner outlined the bill’s genesis.

“Hudson High School PTO wanted to have a charitable fundraiser for the school and as part of that fundraiser, partner with a local, new motor vehicle dealer to offer test drives,” she said. “They researched the law and realized that current Ohio law prohibits this. HB 318 will allow a dealer to display more than one vehicle off their licensed location and permit test drives to be taken as long as certain reasonable conditions are met and included in an affidavit filed with the registrar 14 days prior to the event.”

Under the bill’s provisions, the event must benefit an educational institution; the display must be on the grounds of the institution; donations have to be based on a per test drive basis; no contracts can be signed, deposits taken or sales consummated; the dealer needs to be from the same or contiguous county as the educational institution; and displays can not last more than three consecutive days or five days annually.

“As our schools look for entrepreneurial and creative ways to supplement funds for various causes, this is one easy way that we can help,” Roegner said.

The bill unanimously passed the House in January.

“I agreed to sign onto this legislation as a joint sponsor after hearing about cases in which institutions, namely a few high schools in the Northeastern Ohio region, have been restricted from displaying new automobiles for the purpose of fundraising,” O’Brien said, adding that he appreciates Roegner bringing the issue to his attention.

“There is no doubt that this restriction has impacted other educational institutions around Ohio as well who may be short on funds and may want to be creative in their fundraising efforts by offering a display of a vehicle or even perhaps a test drive.”

Given that Ohio is one of the few states that prohibits such practices, O’Brien said he believes it would be helpful to educational institutions around the state to update the law.

“This legislation would also fix a hole in current law regarding distributors of mobile homes,” he said. “Current law does not allow buyers of trailers from retail sellers such as Home Depot to legally drive the vehicle off the lot. This bill fixes that by adding “retail seller” to those who can apply for registration to obtain tags so these vehicles can be legally transferred.”

[Back]