Page 16 - PIADA-March 2022-Final-web

NIADA GOVERNMENT REPORT
NIADA, Washington Update

BY BRETT SCOTT, NIADA VICE PRESIDENT OF GOVERNMENT AFFAIRS

income cap on increases in the child tax
credit to target the money to low-income
families while extending that credit for
10 years, as Manchin had previously
proposed.

Reuters’ sources said the slimmed down
bill would still likely cost more than $1
trillion.

NIADA joined more than 80 trade
NIADA is your voice in Washington D.C., association and business groups in signing POLITICAL ACTION
advocating for independent dealers, the used a letter to House and Senate leaders
vehicle industry and small business. Here’s a opposing the “multi-trillion-dollar tax COMMITTEE
look at the latest news and NIADA efforts increase included in the Build Back Better Last month, NIADA’s political action
regarding legislative, regulatory, PAC and bill” and asking them to “focus instead committee increased the reach and scope
grass roots activities. on the challenges confronting American in Washington with the addition of
families and businesses today – rising Christina Perez as NIADA’s new director
LEGISLATIVE prices, labor shortages, and ongoing supply of government affairs. NIADA-PAC will
be Christina’s primary focus.
President Biden’s top legislative priority chain constraints.”
– the massive social spending package She’ll work to get association members
known as the Build Back Better act – was REGULATORY engaged in the PAC, as well as raising
effectively sunk in December, when Sen. The Federal Reserve Board and the awareness of the PAC and educating
Joe Manchin (D-W.Va.) announced he Consumer Financial Protection Bureau NIADA member dealers about the
would not vote for it because of concerns announced the dollar thresholds used importance of participating.
about inflation, deficit spending and to determine whether certain consumer
what he called an attempt to “reshape our credit and lease transactions are exempt She’ll also be involved with lobbying on
society.” from Regulation Z (Truth in Lending Act) Capitol Hill to advocate for independent
and Regulation M (Consumer Leasing
But that doesn’t mean the White House Act) in 2022. dealers, the used vehicle industry ad small
has given up on salvaging at least parts of business, and will represent NIADA in
it. By law, the agencies are required to meetings with members of Congress and
adjust the thresholds annually based on other government entities.
Reuters, citing unnamed sources, reported the annual percentage increase in the
the Administration is looking for a “reset” consumer price index for urban wage GRASS ROOTS
of the $1.75 trillion bill with an eye toward earners and clerical workers, known as Florida: The state’s Department of
keeping its climate change proposals while CPI-W. Transactions at or below the Highway Safety and Motor Vehicles could
reducing or cutting other items in an thresholds are subject to the protections of suspend Carvana’s dealer license because
attempt to win Manchin’s support. the regulations. of delays in transferring titles to vehicles
sold by the online auto retail giant.
Manchin’s vote is crucial because the Based on the annual percentage increase
Senate is split 50-50 between Democrats in the CPI-W as of June 1, 2021, the Television station WFLA in Tampa
and Republicans, and with the GOP protections of Regulations Z and M reported the department sent an email
solidly against the bill, every Democratic generally will apply to consumer credit to Carvana in December giving the
vote is needed to pass it using the budget transactions and consumer leases of company until Jan. 31 to resolve all
reconciliation process. $61,000 or less in 2022. title-related issues and submit title
applications for vehicles sold before Dec.
The White House is considering cutting Private education loans and loans secured 21, 2021. Otherwise, FDHSMV said it
back or cutting out measures such as paid by real property (such as mortgages) are “may commence administrative action
family leave, universal pre-kindergarten subject to Regulation Z regardless of the to suspend Carvana’s dealer license in
and home healthcare, as well as placing an amount of the loan. Florida.”

14 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • MARCH 2022