NY State Senate Bill 2021-S363

Senate Bill S363

2021-2022 Legislative Session

Prohibits rental vehicle companies from imposing any fees, charges or penalties, other than the actual cost of a toll, on an authorized driver for such driver's use of a rental vehicle

download bill text pdf

Archive: Last Bill Status - In Senate Committee Consumer Protection Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 05, 2022	referred to consumer protection
Jan 06, 2021	referred to consumer protection

2021-S363 (ACTIVE) - Details

See Assembly Version of this Bill:: A3485
Current Committee:: Senate Consumer Protection
Law Section:: General Business Law
Laws Affected:: Amd §396-Z, Gen Bus L
Versions Introduced in Other Legislative Sessions:: 2015-2016: S5543
2017-2018: S5910, S6910
2019-2020: S1843, S1974, A6233
2023-2024: S1533, A3796

2021-S363 (ACTIVE) - Summary

Prohibits rental vehicle companies from imposing any fees, charges or penalties, other than the actual cost of a toll, on an authorized driver for such driver's use of a rental vehicle.

2021-S363 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S363

SPONSOR: HOYLMAN
 
TITLE OF BILL:

An act to amend the general business law, in relation to prohibiting
rental vehicle companies from imposing any fees, charges or penalties,
other than the actual cost of a toll, on an authorized driver for such
driver's use of a rental vehicle

 
SUMMARY OF PROVISIONS:

Section 1 of the bill amends section 396-z of the general business law
by adding a new section 13-b. This new section would prevent rental
vehicle companies from charging any fees, charges or penalties, other
than the actual cost of a toll, on an authorized driver for that driv-
er's use of a rental vehicle through a toll collection facility that
uses an electronic toll collection system.

Section 2 of the bill is the effective date.

JUSTIFICATION:

New York State has begun the transition away from traditional tollbooths
on our roads towards an automatic tolling system. The system uses a
camera to take a picture of the vehicle's license plate, and subsequent-
ly sends the bill to the driver of the vehicle.  The new system helps to
ease traffic congestion, helps the environment by reducing emissions
from idling cars in lines, and saves hours of driving time for commu-
ters.

An unintended consequence of this technology is some rental car compa-
nies treat camera-generated bills as traffic violations, such as when a
driver passes through a red light that is equipped with a camera. The
bill is outsourced to another company that charges the renter of the car
the fee for the toll, and a processing fee on top of the original toll
fee. This practice forces renters to pay more than their fair share for
travel.

Governor Andrew Cuomo has announced that tollbooths will be removed from
all Metropolitan Transportation Authority bridges and tunnels starting
in 2017. As New York abandons traditional tollbooths for the new elec-
tronic system, the issue of unfairly imposed fees from camera-generated
tolls will affect more New Yorkers who choose to rent a car to travel.

By refusing to allow rental car companies to impose any fees, charges,
or penalties other than the actual cost of a toll, this bill will elimi-
nate the inequity between drivers using their personal vehicles, and
those travelling in rental vehicles.

 
LEGISLATIVE HISTORY:

S.1843 of 2019-2020 (Hoylman): Died in Consumer Protection
A.6233 of 2019-2020 (Gunther): Died in Ways and Means
S.5910 of 2017-2018 (Hoylman): Died in Consumer Protection

 
FISCAL IMPLICATIONS:

None.
 
EFFECTIVE DATE:
This act shall take effect on the sixtieth day after it shall have
become law; provided that the amendments to section 396-z of the general
business law made by section one of this act shall survive the expira-
tion and reversion of such section as provided in section 4 of chapter
656 of the laws of 2002, as amended.

2021-S363 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    363
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 6, 2021
                                ___________
 
 Introduced  by  Sen. HOYLMAN -- read twice and ordered printed, and when
   printed to be committed to the Committee on Consumer Protection
 
 AN ACT to amend the general business law,  in  relation  to  prohibiting
   rental vehicle companies from imposing any fees, charges or penalties,
   other than the actual cost of a toll, on an authorized driver for such
   driver's use of a rental vehicle
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 396-Z of the general business  law  is  amended  by
 adding a new subdivision 13-b to read as follows:
   13-B.  A  RENTAL VEHICLE COMPANY SHALL NOT IMPOSE ANY FEES, CHARGES OR
 PENALTIES, OTHER THAN THE ACTUAL COST OF A TOLL, ON AN AUTHORIZED DRIVER
 FOR SUCH DRIVER'S USE OF A RENTAL  VEHICLE  THROUGH  A  TOLL  COLLECTION
 FACILITY  THAT UTILIZES AN ELECTRONIC TOLL COLLECTION SYSTEM, AS DEFINED
 IN SECTION TWENTY-NINE HUNDRED EIGHTY-FIVE  OF  THE  PUBLIC  AUTHORITIES
 LAW, OR A PHOTO-MONITORING SYSTEM FOR THE PAYMENT OF TOLLS.
   §  2.  This  act  shall take effect on the sixtieth day after it shall
 have become a law; provided that the amendments to section 396-Z of  the
 general  business  law made by section one of this act shall survive the
 expiration and reversion of such section as provided  in  section  4  of
 chapter 109 of the laws of 2018, as amended.
 
 
 
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD02839-01-1

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