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Incentive program changes to rev up in Annapolis

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I wrote in November about a law change that resulted in hundreds of car salespeople not getting manufacturers’ incentives for their sales. Those connected with the law called it an unintended consequence that they promised to address as soon as possible when the General Assembly reconvened in January.

An amendment to the law is now Senate Bill 18, and a hearing will be held Jan. 21 before the Senate Judicial Proceedings Committee. Aides to Sen. Jamie Raskin, D-Montgomery, the bill’s sponsor, are confident it will ultimately pass through both the Senate and House of Delegates with little problem.

You can see a copy of the proposed legislation here; the new law would allow manufacturers to directly give incentives to salespeople, but the incentives must be disclosed to the dealerships.

The dealer and manufacturer associations have signed off on the changes, according to Raskin’s office. Also supporting the bill is Honda, the only manufacturer not to adopt an interim solution to the incentive problem.

Stay tuned for more news next week following the hearing.

Category: Annapolis, Business, Cars, general assembly, law

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