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Specifics on why no Texas rebate

Discussion in 'Texas' started by burjoes, Apr 10, 2015.

  1. burjoes

    burjoes New Member

    Joined:
    Apr 10, 2015
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    Location:
    Austin, Texas
    I have read the TCEQ's rules about the grant at https://www.tceq.texas.gov/assets/public/legal/rules/hist_rules/Complete.13s/13039114/13039114_pro.pdf.

    I understand that Tesla can't sell in Texas. But according to Tesla Leasing | Tesla Motors, they CAN lease cars in Texas.

    The TERP grant rules say that the manufacturer must be able to "sell or lease" cars in Texas. It seems to me that Tesla does meet that requirement, since the leasing company is Tesla Leasing and is authorized to lease cars in Texas.

    If I can lease a car in Texas, which is not a transaction in another state, pay sales taxes in Texas as a new vehicle (slightly different than buying a CA car and then paying sales tax when it is imported), then *exactly* why is Tesla not eligible?

    I do see that Tesla would have to follow certain rules about registering, listing their vehicles, etc., but that's a different issue.

    I also know that there is a contentious issue about the whole Tesla model, and that the state may not want them to get the grant. But this is a very specific legal question as to wording that the TCEQ has claimed makes Tesla ineligible. I believe those words were written before the Tesla Business Lease was announced - the lease program was announced in April, while the TERP rebate was announced in May (from what I can tell); but the language was surely drafted in prior months.

    Has this been explored thoroughly, and if so, are there any references? The TERP money runs out in June, and they have millions left over. If it's legally available, Tesla owners should have their share.
     
  2. JohnQ

    JohnQ Active Member

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    Note that I haven't reviewed the statutes. If your reading of the statute is that Tesla should be eligible under the current requirements then you should file for the grant, wait for the denial by the appropriate agency, then file suit. I can't imagine that anything else would work given the June expiration.
     
  3. SoTX_WestTX

    SoTX_WestTX Member

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    Lubbock, TX
    I'm not a lawyer (well, not a real one, anyway), but I did a little bit of Googling this morning. I'm not saying this is "the answer", but apparently there are different ways a company can lease vehicles in Texas. Texas has two different types of leasing licenses - one for a company doing the actual leasing ("Leassor") and another called a "Leasing Facilitator", which is by definition not the company doing the actual leasing. The TxEQ documents and various other things I found reference "out-of-state leasing companies", suggesting a company can both be able to lease vehicles in Texas and NOT not be a TEXAS licensed leasing company.

    Like JohnQ said, though, lawsuits are how these things are sorted out. Someone applies, gets denied, then has to find a lawyer willing to at least do (real) research into the matter to see if there's actually a case to be made. I suppose there might be SOME lawyer out there willing to do a few hours research for a flat fee...or a lawyer Tesla-owner who has a law student clerk with nothing to do. :)
     
  4. Danal

    Danal electricmotorglider.com

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    Location:
    Fairview, TX, United States
    From the "eligible vehicle list" on the State of TX website: Only new electric and plug-in hybrid vehicles purchased or leased from a dealer or leasing company licensed to sell or lease new vehicles in Texas may qualify. Vehicles purchased orleased directly from the manufacturer or from an out-of-state dealer or leasing company will not be eligible. The LDPLI program is available statewide.

    That's why.


    As stated before... fill out the form: Click here (PDF), turn it in, get denied, sue.


    Better hurry with those first few steps:

    Sec. 386.162. EXPIRATION. This subchapter expires August 31, 2015.
     
  5. EarlyAdopter

    EarlyAdopter Active Member

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    You might have a better chance of someone taking the case if you could convince a couple hundred Texas Tesla owners to apply, get denied, then sue as a class.
     
  6. brucet999

    brucet999 Active Member

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    Golly, I wonder if that language could possibly ​have been aimed at a particular manufacturer?
     
  7. ddimit

    ddimit Member

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  8. CHG-ON

    CHG-ON Still in love after all these miles

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    Being a Californian, I will withhold comment on this issue, except to say that it is self interest that is disallowing Tesla to sell.
     
  9. bollar

    bollar Disgruntled Member

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    Whose self-interest? A Tesla typically consumes more Texas-produced fossil fuel than an ICE, so it's arguably better for every sector of the economy except for car dealers. ;)
     
  10. polything

    polything Member

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    they emailed me back saying something along the line of tesla does not have franchise dealer blah blah blah
     
  11. Shaggy

    Shaggy Member

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