House Bill No. 476, introduced by Representative Fontenot, proposes an annual automatic adjustment to the maximum fee that motor vehicle dealers can charge for various services, including credit investigations and document preparation. The bill amends R.S. 6:969.18(A)(2)(a) to establish a new base maximum fee of $425, which will be adjusted annually based on the cumulative percentage change in the Federal Consumer Price Index for All Urban Consumers (CPI-U) as reported by the U.S. Department of Labor. Importantly, the adjustment will not exceed 3% for any calendar year, and if the cumulative percentage change is negative, no adjustment will be made for that year. The Louisiana Motor Vehicle Commission is tasked with calculating and providing the adjusted maximum fee by January 14 of each year.

The fee adjustment is set to take effect on January 1, 2026. The bill also includes provisions for rounding adjustments to the fee, ensuring that any increase less than fifty cents is rounded down, while increases of fifty cents or more are rounded up to the nearest whole dollar. This legislation aims to ensure that the fees charged by motor vehicle dealers remain in line with inflation and economic conditions, thereby providing a structured approach to fee adjustments in the industry.

Statutes affected:
HB476 Original: 6:18(A)(2)
HB476 Engrossed: 6:18(A)(2)
HB476 Reengrossed: 6:18(A)(2)