What's happening
This bill prohibits rental car companies in New York from charging extra fees for tolls beyond the actual toll cost.
Why it matters
Protects consumers from surprise fees. By banning extra charges beyond the actual toll cost, the bill prevents rental car companies from adding administrative or convenience fees to tolls, which have become a common source of unexpected expenses for renters.
Promotes transparency in rental agreements. Renters will now know that any toll-related charges reflect only the real toll amount, making it easier to budget for travel and compare rental options without worrying about hidden costs.
Encourages fair business practices. This law levels the playing field among rental car companies, ensuring that none can gain an unfair advantage by exploiting customers through excessive toll-related fees.
Supports consumer trust and satisfaction. By addressing a frequent source of complaints, the bill aims to improve overall customer experience and trust in the car rental industry, potentially leading to more repeat business and positive reviews.
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Who cares
Headline styles
Ban Rental Car Toll Fees
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to consumer protection
- Committed to rules
- Advanced to third reading
- 2nd report cal.
- 1st report cal.217
- Referred to consumer protection
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Ban Rental Car Toll Fees
In Assembly Committee · Ways And Means · Sponsor Aileen Gunther
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
1843
2019-2020 Regular Sessions
IN SENATE
January 16, 2019
Introduced by Sen. HOYLMAN -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection
AN ACT to amend the general business law, in relation to prohibiting rental vehicle companies from imposing any fees, charges or penalties, other than the actual cost of a toll, on an authorized driver for such driver's use of a rental vehicle
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 396-Z of the general business law is amended by adding a new subdivision 13-b to read as follows:
13-b. A rental vehicle company shall not impose any fees, charges or penalties, other than the actual cost of a toll, on an authorized driver for such driver's use of a rental vehicle through a toll collection facility that utilizes an electronic toll collection system, as defined in section twenty-nine hundred eighty-five of the public authorities law, or a photo-monitoring system for the payment of tolls.
§ 2. This act shall take effect on the sixtieth day after it shall have become a law; provided that the amendments to section 396-Z of the general business law made by section one of this act shall survive the expiration and reversion of such section as provided in section 4 of chapter 656 of the laws of 2002, as amended.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07854-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general business law, in relation to prohibiting rental vehicle companies from imposing any fees, charges or penalties, other than the actual cost of a toll, on an authorized driver for such driver's use of a rental vehicle
Summary of provisions
Section 1 of the bill amends section 396-z of the general business law by adding a new section 13-b. This new section would prevent rental vehicle companies from charging any fees, charges or penalties, other than the actual cost of a toll, on an authorized driver for that driv- er's use of a rental vehicle through a toll collection facility that uses an electronic toll collection system.
Section 2 of the bill is the effective date.
Justification
New York State has begun the transition away from traditional tollbooths on our roads towards an automatic tolling system. The system uses a camera to take a picture of the vehicle's license plate, and subsequent- ly sends the bill to the driver of the vehicle. The new system helps to ease traffic congestion, helps the environment by reducing emissions from idling cars in lines, and saves hours of driving time for commu- ters.
An unintended consequence of this technology is some rental car compa- nies treat camera-generated bills as traffic violations, such as when a driver passes through a red light that is equipped with a camera. The bill is outsourced to another company that charges the renter of the car the fee for the toll, and a processing fee on top of the original toll fee. This practice forces renters to pay more than their fair share for travel.
Governor Andrew Cuomo has announced that tollbooths will be removed from all Metropolitan Transportation Authority bridges and tunnels starting in 2017. As New York abandons traditional tollbooths for the new elec- tronic system, the issue of unfairly imposed fees from camera-generated tolls will affect more New Yorkers who choose to rent a car to travel.
By refusing to allow rental car companies to impose any fees, charges, or penalties other than the actual cost of a toll, this bill will elimi- nate the inequity between drivers using their personal vehicles, and those travelling in rental vehicles.
Legislative history
S.5910 of 2017-2018 (Hoylman): Died in Consumer Protection
Fiscal implications
None.
Effective date
This act shall take effect on the sixtieth day after it shall have become law; provided that the amendments to section 396-z of the general business law made by section one of this act shall survive the expira- tion and reversion of such section as provided in section 4 of chapter 656 of the laws of 2002, as amended.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.