SB 478 – Relating to Motor Vehicle Rentals

On Monday, January 27, SB 478 by Senator Keith Perry (R-Gainesville) was heard by the Senate Innovation, Industry, and Technology Committee and was reported favorable with 9 yeas and 0 nays. AIF’s Senior Vice President of State and Federal Affairs, Brewster Bevis, stood in support of this legislation.

Currently, rental car companies levee a daily surcharge of $2 per day that is paid by individuals renting cars. Peer-to-peer vehicle sharing programs are typically app-based platforms where owners can list and lease their personal vehicles for a pre-determined time and rate. Presently, these car sharing services are exempt from the rental car surcharge. The proceeds from the rental car surcharge paid by consumers who rent vehicles goes to build and maintain the state’s infrastructure, which is very important to Florida businesses statewide.

The bill amends current Florida statute which establishes a surcharge on the lease or rental of a motor vehicle, to extend the surcharge to peer-to-peer vehicle sharing programs. The fee amounts to $2 per day on rentals over 24 hours and drops to $1 for rentals of less than 24 hours. The bill also establishes operational requirements for peer-to-peer vehicle sharing programs, such as insurance requirements to prevent a lapse in insurance coverage should an accident occur.

SB 478 will now move to the Senate Banking and Insurance Committee.

AIF supports the proposed measures in this bill to hold all rental car services accountable, regardless of how the vehicle is accessed.