Brown bill would triple some RV fees

Hungry Horse News

A Coram Republican wants to significantly increase RV fees, but Montanans could recapture the increased cost on their income taxes.

State Rep. Dee Brown introduced a bill to raise fees for motor home purchases. The bill would increase the fees by three times their current rates and also add charges of $500 or $1,000, depending on the length of the vehicle.

But the bill states that Montanans would be eligible for a rebate on their income tax equal to two-thirds of the amount of fees paid.

"I got a couple hate e-mails, one from people probably drinking their piña coladas in Boca Raton saying, 'I can't believe a Republican came up with this bill,'" Brown said.

The fee for a new motor home less than two years old would increase from $250 to $750. The charges are less for each additional year of age. In addition, owners must pay $500 for motor homes 35 to 40 feet long and $1,000 if they are more than 40 feet long.

She said she is targeting motor homes because there is a huge industry in this state that caters to a person who calls from out of state and sets up a limited liability corporation in order to license their motor home. They buy $1 million coaches and pay just a few hundred dollars in fees, she said.

Brown, who owns Canyon RV and Campground, said the revenues will be significant and noted that there are about 7,000 companies registered in the state that license motor homes.

"They use our tax laws for their own benefit," she said. "I don't want to ruin an industry. But I just I want to get a few more bucks from the people who are buying the biggest rigs in the business and putting them under corporations in Montana."

Red Gardner, the owner of Gardner's RV and Trailer Center, said the bill is approaching the problem the wrong way. He said they should leave the licensing fees alone and just crack down on non-residents and make it tougher for brokers to set up licensing companies.

Gardner said the tax will discourage local buyers, even if they get a rebate, because they might not have the extra money up front.

Brown said the hassle for Montanans of having to wait get their money back is worth it.

"I just say that for somebody to forego two thirds of the motor home fee is the least we can do for Montana," she said.

Brown also introduced another bill targeting motor homes.

House Bill 412 aims to create a lemon law to provide remedies for consumers who purchase motor homes, fifth wheelers or travel trailers that don't conform to the manufacturer's warranty.

Brown said under current warranties consumers don't have much assurance.

She said only some parts of the vehicle will be covered by the RV manufacturer's warranty, and the rest of the components are covered by the individual manufacturers, creating a hodge-podge of warranties. Brown wants the dealer or manufacturer to make repairs for all components of a motor home for at least two years after its delivery.

If they can't repair any defect that substantially reduces the vehicle's value, then they must replace it.

"This isn't just a Montana problem," she said. "It's a huge problem in the industry."

Gardner said he agreed that making the RV manufacturers responsible for the entire vehicle is important. He said it would force them to create a longer-lasting product.

"It would get rid of some of the junk on the market," he said.