Industry Wire

TRALA Working to Reduce Excessive Odometer Registration Fees

TRALA’s recent discussions with Robert Atkins, Commissioner/Sealer of Weights and Measures for the Department of Agriculture, Weights and Measures for the County of San Diego, California may have moved TRALA members and the County closer to an agreement regarding payment of an annual odometer registration fee for rental trucks. TRALA staff and representatives from TRALA members Enterprise, U-Haul, and Penske held a conference call with Commissioner Atkins and Jim Byers, Deputy Ag Commissioner/Sealer for the County of San Diego on Wednesday, January 20, 2010.

TRALA’s President and CEO Tom James reiterated TRALA’s position to Commissioner Atkins, which is that we disagree with the County’s interpretation of the statutes that authorize payment of the annual registration fee. California Business and Profession Code 12240(a) and Local Ordinance 9514 are the applicable state and local statutes which require that registration fees be paid for each business location and measuring device used commercially in the County of San Diego. The County of San Diego has held the position that each rental truck operating in the County of San Diego is considered a business location, and requires a $100 registration fee, plus a $20 registration fee for each vehicle’s odometer for a total of $120 per vehicle. Commissioner Atkins stated this position in a letter to TRALA, and compared the application of the fee to ambulances and the taxicab industry, which he says have been paying the fee for many years. TRALA believes that the payment of the odometer registration fee for rental trucks should be $100 per physical brick and mortar location, plus $20 per odometer. The legislative history of the fee supports TRALA’s contention that this was the intent of the County when authorizing the fee to be imposed.

TRALA members that rent trucks in the County of San Diego first received invoices for payment of the annual odometer registration fee in August 2009, and were told to expect to pay fees again in early 2010. Subsequently, TRALA negotiated an agreement with the County to postpone any imposition of fees until January 2010. Any members that paid the fee for 2009 received refunds. In the meantime, TRALA spoke with Commissioner Atkins and his staff a number of times, and welcomed the opportunity to hold a conference call with TRALA members as well as himself and Mr. Byers.

Subsequent to that conference call, Commissioner Atkins has promised to contact TRALA staff after discussing the issue with his Board of Supervisors in hopes of reaching an agreement with TRALA members on payment of the annual odometer registration fee. TRALA will keep our membership updated on any developments with the odometer registration fee issue. For more information, please contact TRALA’s Tom James at tjames@trala.org or Joe Sculley at jsculley@trala.org or by calling (703) 299-9120.