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Building Support for Direct Sales in Arizona

Discussion in 'Mountain/Southwest' started by MarkR, Feb 1, 2015.

  1. MarkR

    MarkR Member

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    #1 MarkR, Feb 1, 2015
    Last edited: Feb 1, 2015
    A bill has been introduced in the Arizona House to allow direct sales of Tesla in Arizona.

    I am hoping to build support from Arizona enthusiasts for legislation that will remedy this problem. Most owners are aware that current Arizona law forbids consumers from buying directly buy from Tesla. Pretty dumb, huh? If you are also a Tesla stockholder, you've got an additional reason weigh in on this issue.

    We've got four options on how to support this legislation:
    1) Arizona enthusiasts can write their legislators and/or the members of the House Commerce Committee (see email addresses below). We can write an original letter or simply "cut-and-paste" from the sample at the bottom of this email. Note the list of Commerce Committee members also shown below. When you write a state representative, please 'blind copy' [email protected] so we will know to follow up with legislators.
    2) Show up at the State Capital this Wednesday 9am in front of the House Building. We will go in to the committee hearing together. If you want to speak, great! If you just want your presence to show your support, that's more than fine too! If you can, wear some Tesla clothing. I will have a Tesla Club-AZ ID badge/lanyards for you if you let me know you're coming. See very cool ID badge (below). Please, tell me you're coming! PM me at MarkR.
    3) "Sign in" supporting the bill - email Miranda Cain at Hamilton Consulting to set this up - [email protected]
    4) Do it all . . . or as much as you can!

    We especially need Tucson enthusiasts to reach out to Rep. Mach in District 10 and owners who live around Peoria to connect with Rep. Rivero in District 21. They are both on the Commerce Committee.

    To find the representative and senators in your district, visit Arizona State Legislature and click on "How do I find my legislators?"

    Here's the text of the bill: http://www.azleg.gov/legtext/52leg/1r/bills/hb2216p.pdf

    Call me, Mark (cell 602.980.1875) or David Leibowitz at 602.317.1414 if you have any questions. Thanks. Mark

    House Commerce Committee Members
    Rep Warren Petersen, Chairman - [email protected]
    Rep. Jill Norgaard, Vice Chair - [email protected]
    Rep. Jay Lawrence - [email protected]
    Rep. Tony Rivero - [email protected]
    Rep. TJ Shope - [email protected]
    Rep Diego Espinoza - [email protected]
    Rep Charlene Fernandez - [email protected]
    Rep Stephanie Mach - [email protected]

    Template Letter to Legislators:

    Dear Representative/Senator <insert name>:

    My name is <insert name>. I am writing to urge you to support H.B. 2216: motor vehicle manufactures; retail sales. This bill modernizes antiquated state law, reducing restrictions on Arizonans by allowing the purchase of a car directly from a manufacturer if the manufacturer does not have an existing relationship with a dealership.

    Current law hinders innovation and American ingenuity. I want my state to be one that welcomes and encourages innovation and technological advancement in the free marketplace. I am asking you to endorse those same principles that will allow consumers – not government - to be the final decision makers regarding how vehicles are purchased in Arizona. Supporting this measure means you are promoting consumer choice by permitting consumers to purchase a vehicle directly from a manufacturer. This bill serves as an important demonstration of Arizona’s belief in both the entrepreneurial spirit and the open market, both foundational aspects of our economy and our great state.

    I encourage you to support H.B. 2216. Ensure that Arizona fosters a free market environment that thrives on innovation and consumer choice, not state regulation.

    Respectfully,
    <insert name>
    <insert contact information>


    TMC-AZ-SampleID.jpg
     
  2. procarl

    procarl Member

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    I'll email a letter to Rep Mach and committee members, from the general area of Tucson.



     
  3. Monsoon

    Monsoon Member

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    #3 Monsoon, Feb 3, 2015
    Last edited: Feb 3, 2015
    I wrote to all 16 representatives today. Here's the reply I got from Representative Jay Lawrence:

    I guess we know where he stands. His email address is [email protected] and his phone number is 602-926-3095.
    Feel free to let him know how you really feel.

    - - - Updated - - -

    Oh, and that, "...25% of the state's funds" is just a plain lie.

    http://azbigmedia.com/ab/economy/17-percent-state-tax-revenue-auto-sources
    This article cites an industry report touting only 17%, and they reeeealy stretch to get to that number.

     
  4. TexasEV

    TexasEV Active Member

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    You would think the person who wrote that letter would have looked at the 25% number and realized it couldn't possibly come from auto dealers and their employees. What are the 99% of other businesses and employees doing?

    It's not stretching to get that number, it's completely meaningless. Taxes and fees paid by auto owners-- no difference if purchased at a dealer or at a store owned by Tesla. Income taxes paid by auto industry workers-- no difference if their paycheck is signed by a franchised dealer or by Tesla. Fuel taxes paid by drivers-- not paid by EV drivers, but that's the case whether they are sold by dealers or directly. Corporate taxes paid by dealers and other auto related businesses-- I don't know how Arizona corporate tax works but it seems unlikely this would be different.

    On the flip side, more competition means better prices (DOJ study estimated 8% savings by not having franchised dealers). That money staying in the hands of consumers means more can be spent on other things, stimulating economic activity, so maybe the state won't have to depend on the auto industry for 25% of its revenue :smile:
     
  5. procarl

    procarl Member

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    Unfortunately, it's easy to see that Mr Lawrence's response is just carefully rehearsed public cover for siding with the Dealers Association. For the issue under discussion, only dealer corporate taxes are really the relevant category from the article here, and they would only be lost to the state if Tesla succeeded in putting each of them out of business: not its intention nor a possibility. Even the 17% is quite bogus; it includes much, much more than just dealer contributions.

    Maybe Mr Lawrence can be a little more specific in backing up his assertions.
     
  6. TexasEV

    TexasEV Active Member

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    Someone may want to check the web sites that list campaign contributions, to see what percentage of his comes from the auto industry.
     
  7. Monsoon

    Monsoon Member

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    It will never happen.
    Please tell your friends and colleagues, to look into this and if motivated, chime in.
     
  8. gjunky

    gjunky Waiting for the Model ☰

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    I emailed the 8 committee members as well as my district "representatives".
     
  9. MarkR

    MarkR Member

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    #9 MarkR, Feb 3, 2015
    Last edited: Feb 4, 2015
    Anthony: I wonder if you might ask Representative Lawrence for the source of his 25% figure. I'll bet he got the figure from the dealers association and never questioned it.

    - - - Updated - - -

    It looks like we've got about 9 people attending the Commerce Committee hearing in the morning and a lot more who have emailed the committee, their senators and their representative in home districts. Thanks for all of the support.

    If you are one of the nine, please plan to wear Tesla clothing if you've got it. I will have Tesla Motor Club ID badges with the club logo and your name - will pass out at the capitol. 9am meet-up.
     
  10. MarkR

    MarkR Member

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    HB-2216 was passed out of the Commerce Committee on a 5-3 vote and may now go to the Transportation Committee (or not), then to Rules, and the whole House, then to the Senate for a repeat process. We're a looooog way from getting this passed, but thanks to a dedicated cadre of enthusiasts led by Tudor Melville, David Newell, and Maria Speth, we're on our way.
     
  11. shrink

    shrink Member

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  12. procarl

    procarl Member

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    Nice work, Mark. Loved your quote in the AR print edition today as well. Your comments sum up the situation nicely and correctly. Thx for all your efforts!
     
  13. MBS

    MBS Member

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    THAT is great MarkR! So happy to hear step 1 is in the books. While I suspect we expected the AZ Dealers Association (my words) would not put up some resistance. Rep. Lawrence has actually helped our cause by providing us with their argument. TexasEV and others have provided us with a rebuttal - our ammo to getting this to the next level.

    Things that matter take time. The Model S was not built in a day.

    Mark

    - - - Updated - - -

    WOW - Is this writer, Ronald Hansen, bias or what?!?! Nice quote MarkR! Thank you for all the heavy lifting you are doing brother.
     
  14. MarkR

    MarkR Member

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    While I appreciate the feedback, the real stars at the legislature were Tudor Melville, Maria Speth, and David Newell - we also had a number of great supporting players and orchestration by Tesla's team.

    I'd say that Ronald Hansen, the article's author, was in a hellova bind. He is actually a very nice guy and I was pleased that he reached out to Tudor and myself. His newspaper, the Republic, makes A MASSIVE AMOUNT OF MONEY from advertising by the auto dealers and Tesla doesn't advertise at all. I'm certain that the Dealer's Association leaned on the newspaper. In the hearing, no representative of the newspaper spoke, but they had registered their desire for the defeat of the bill. I plan to invite Ron Hansen for a test drive - he seems interested. I kinda wonder if he can like Tesla very much and keep his job.
     

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