NY State Senate Bill 2025-S6894

Senate Bill S6894

2025-2026 Legislative Session

Relates to certificates of registration for entities that manufacture or assemble zero emissions vehicles and have no franchised motor vehicle dealers in New York

download bill text pdf

Current Bill Status - In Senate Committee Transportation 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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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Mar 26, 2025	referred to transportation

2025-S6894 (ACTIVE) - Details

Current Committee:: Senate Transportation
Law Section:: Vehicle and Traffic Law
Laws Affected:: Amd §415, V & T L

2025-S6894 (ACTIVE) - Summary

Limits the number of certificates of registration that may be issued by the commissioner of motor vehicles to five total; provides that certificates issued prior to 1/1/25 shall not be eligible for renewal.

2025-S6894 (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S6894

SPONSOR: FAHY
 
TITLE OF BILL:

An act to amend the vehicle and traffic law, in relation to certificates
of registration for entities that manufacture or assemble zero emissions
vehicles and have no franchised motor vehicle dealers in New York

 
PURPOSE OR GENERAL IDEA OF BILL:

An act to amend the vehicle and traffic law, in relation to certificates
of registration for entities that manufacture or assemble zero emissions
vehicles and have no franchised motor vehicle dealers in New York.

 
SUMMARY OF PROVISIONS:

Section 1 amends section 415 of the vehicle and traffic law. Prior to
July first, two thousand twenty-six, the commissioner is directed to
review any certificates of registration issued before January first, two
thousand twenty-five for renewal. Any certificate issued before such
date shall not be eligible for renewal.

Section 2 sets the effective date.

 
JUSTIFICATION:

This bill extends and modifies an exemption allowing a limited number of
zero-emission vehicle manufacturers to operate without traditional deal-
erships. The bill maintains strict limitations on the number of eligible
businesses and prevents resale or transfer of registration rights. By
keeping the cap on the total number of direct-sale registrations at
five, this proposal maintains a measured approach that prevents market
disruption.

It also allows new ZEV manufacturers who were not previously granted
certificates to enter the market, ensuring fair access to this limited
opportunity. This framework provides controlled expansion without grant-
ing indefinite privileges to early entrants, and potentially expands the
geographic footprint of direct-sale registrations, which historically
have only been issued within the New York metropolitan area.

These sunset and renewal conditions balance fairness, market access, and
consumer interests while ensuring that State ZEV policy can be reviewed
and refined as needed. These provisions prevent early recipients from
locking up direct-sale privileges indefinitely while allowing future ZEV
manufacturers to participate in the market. The structured expiration
and review process ensures that New York's vehicle sales regulations
evolve alongside the industry's rapid growth.

 
PRIOR LEGISLATIVE HISTORY:

New bill

 
FISCAL IMPLICATIONS:

None

 
EFFECTIVE DATE:
This act shall take effect immediately

2025-S6894 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6894
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                              March 26, 2025
                                ___________
 
 Introduced  by  Sen.  FAHY  --  read twice and ordered printed, and when
   printed to be committed to the Committee on Transportation
 
 AN ACT to amend the vehicle and traffic law, in relation to certificates
   of registration for entities that manufacture or assemble  zero  emis-
   sions  vehicles  and  have  no franchised motor vehicle dealers in New
   York

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subparagraph  (iii)  of  paragraph  f of subdivision 7 of
 section 415 of the vehicle and traffic law, as amended by chapter 26  of
 the laws of 2014, is amended to read as follows:
   (iii) (1) Notwithstanding any other provision of this paragraph or any
 provision  of  paragraph (bb) of subdivision two of section four hundred
 sixty-three of this title, the commissioner may [renew  any  certificate
 of registration that was issued to a franchisor, manufacturer, distribu-
 tor,  distributor branch or factory branch, as such terms are defined in
 section four hundred sixty-two of this  title,  or  to  any  subsidiary,
 affiliate or controlled entity thereof, prior to March twenty-sixth, two
 thousand  fourteen;] ISSUE UP TO FIVE TOTAL CERTIFICATES OF REGISTRATION
 TO FRANCHISORS, MANUFACTURERS,  DISTRIBUTORS,  DISTRIBUTOR  BRANCHES  OR
 FACTORY  BRANCHES,  AS  SUCH  TERMS  ARE DEFINED BY SECTION FOUR HUNDRED
 SIXTY-TWO  OF  THIS  TITLE,  OR  TO  ANY  SUBSIDIARIES,  AFFILIATES   OR
 CONTROLLED ENTITIES THEREOF, provided, however, that:
   (A) such [franchisor, manufacturer, distributor, distributor branch or
 factory branch, or any subsidiary, affiliate or controlled entity there-
 of,  is  a  manufacturer that manufactures or assembles exclusively zero
 emissions vehicles, or is a subsidiary, affiliate, or controlled  entity
 of   such  a  manufacturer]  FRANCHISORS,  MANUFACTURERS,  DISTRIBUTORS,
 DISTRIBUTOR BRANCHES OR FACTORY BRANCHES, OR  ANY  SUBSIDIARIES,  AFFIL-
 IATES OR CONTROLLED ENTITIES THEREOF, ARE MANUFACTURERS THAT MANUFACTURE
 OR  ASSEMBLE  EXCLUSIVELY  ZERO EMISSIONS VEHICLES, OR ARE SUBSIDIARIES,
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10900-02-5

 S. 6894                             2
 
 AFFILIATES, OR CONTROLLED ENTITIES OF SUCH MANUFACTURERS; and  [provided
 further]
   (B)  IN  THE  CASE  OF  RENEWAL,  that  a controlling interest in such
 original [franchisor, manufacturer, distributor, distributor  branch  or
 factory branch or any subsidiary, affiliate or controlled entity was not
 transferred, sold or conveyed to another person or entity, other than to
 a  subsidiary,  affiliate  or  controlled  entity  of  such  franchisor,
 manufacturer, distributor, distributor branch or factory  branch]  FRAN-
 CHISORS,  MANUFACTURERS,  DISTRIBUTORS,  DISTRIBUTOR BRANCHES OR FACTORY
 BRANCHES OR ANY SUBSIDIARIES, AFFILIATES OR CONTROLLED ENTITIES WERE NOT
 TRANSFERRED, SOLD OR CONVEYED TO ANOTHER PERSON OR ENTITY, OTHER THAN TO
 A SUBSIDIARY,  AFFILIATE  OR  CONTROLLED  ENTITY  OF  SUCH  FRANCHISORS,
 MANUFACTURERS, DISTRIBUTORS, DISTRIBUTOR BRANCHES OR FACTORY BRANCHES.
   (2)  PRIOR  TO  JULY  FIRST, TWO THOUSAND TWENTY-SIX, THE COMMISSIONER
 SHALL CONSIDER FOR RENEWAL ALL CERTIFICATES OF REGISTRATION ISSUED UNDER
 CLAUSE ONE OF SUBPARAGRAPH (III) OF THIS  PARAGRAPH.  ANY  SUCH  CERTIF-
 ICATES OF REGISTRATION ISSUED PRIOR TO JANUARY FIRST, TWO THOUSAND TWEN-
 TY-FIVE,  SHALL  NOT BE ELIGIBLE FOR RENEWAL. THE COMMISSIONER MAY ISSUE
 UP TO FIVE CERTIFICATES OF REGISTRATION TO ENTITIES DEFINED UNDER CLAUSE
 ONE OF SUBPARAGRAPH (III) OF THIS  PARAGRAPH,  PROVIDED,  HOWEVER,  THAT
 SUCH ENTITIES HAVE NOT PREVIOUSLY BEEN ISSUED A CERTIFICATE OF REGISTRA-
 TION PRIOR TO JANUARY FIRST, TWO THOUSAND TWENTY-FIVE.
   (3)  For  purposes  of  this paragraph, "zero emission vehicles" shall
 have the same meaning as under part two hundred eighteen of title six of
 the New York code of rules and regulations.
   § 2. This act shall take effect immediately.

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