California: Storage fee, airbag regs could take effect Jan. 1; comment open on towing regulation

Changes to the California Bureau of Automotive Repair (BAR) storage fee and airbag safety regulations are expected to take effect Jan. 1, pending approval by the Office of Administrative Law (OAL).

BAR also plans to change its towing authorization regulations, with a comment period open Oct. 30-Dec. 14.

BAR says the storage fee changes clarify how and when automotive repair dealers (ARDs) can charge the fees. Adopted changes to airbag regulations would expand repair safety in the state, including requiring ARDs to follow OEM procedures, according to BAR.

In an update given at BAR’s Advisory Group meeting on Oct. 22, the adopted storage fee changes would require ARDs to:

• • Store a vehicle at its primary business address as registered with BAR;
  • Provide an itemized invoice for storage fees;
  • Post current daily storage fees in an area frequented by customers; and
  • Report maximum daily storage rate to BAR when renewing registration.

Based on reported daily storage rates, BAR plans to launch a search tool on its website that shows the average and median rates using defined geographic areas around each ARD.

BAR held four public workshops on proposed changes, which were modified at least twice. Three comment periods were also held. BAR submitted its package on the changes to the OAL on Oct. 9 for final approval. BAR said last week the OAL deadline is Nov. 23.

The OAL previously identified several provisions where wording needed greater clarity to ensure consistent interpretation and application. In August, BAR said it withdrew the package to address the concerns.

The passage of AB1263 in 2024 gave BAR authority to address storage fees. It also allows BAR to codify its guidance and unify existing laws on the subject, which BAR says is part of the regulation changes package. The changes also include teardown disclosures.

Repairers have previously voiced concerns about language in the proposed regulations that would cap storage fees and cause shops to lose storage revenue.

Under the airbag safety regulation changes, ARDs will be required “to restore an airbag that is part of an inflatable restraint system to its original operating condition as designed by the original equipment manufacturer (OEM).”

Prohibit an ARD from manufacturing, installing, or selling any airbag or airbag part/component that has been deployed, has an electrical fault, includes a component designed to mislead the vehicle owner or operator into believing a functional airbag has been installed, or displays a mark identical or substantially similar to the genuine mark of a motor vehicle manufacturer, or a parts supplier without authorization from the OEM or supplier.

ARDs would also not be allowed to manufacture, install, or sell recalled airbags either by the OEM or the National Highway Traffic Safety Administration.

BAR states that ARDs can buy airbag replacement parts or components from OEMs; suppliers or resellers previously authorized by the appropriate OEM; or DMV-licensed automotive dismantlers.

The California Department of Consumer Affairs is reviewing the package. After that’s complete, BAR says it will file the package with OAL for final approval.

Proposed towing authorization changes would require customer authorization for towing fees before service on a separate document from repair authorizations. ARDs would also have to list any storage or towing-related charges as separate line items on the invoice. The package has been filed with the OAL.

The Advisory Group also received an update last week on BAR consumer complaints data.

Complaints have increased about 15% over the past year, with auto body making up 16% of all complaints. Engine repair complaints were highest at 35%.

The rest of the complaint categories break down in the following order:

• • General repair/maintenance 19%;
  • Transmission 6%;
  • Vehicle purchase 7%;
  • Smog 4%;
  • Used car lots 5%;
  • Towing and storage 2%; and
  • Unlicensed activity 1%.

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