East Idaho Times

U.S. Senators Mike Crapo and Jim Risch, both Republicans from Idaho, have introduced a bipartisan bill aimed at curbing what they describe as excessive regulation in the automotive retail sector. The Federal Trade Commission (FTC) Review of Expensive and Detrimental Overregulation (REDO) Act seeks to halt the FTC from implementing new regulations on car buying without thorough consumer testing, cost-benefit analysis, and public input.

Crapo emphasized the importance of simplifying the car purchasing process for Americans: "Purchasing a new vehicle is a serious decision for most Americans. There is no need to complicate the process with added costs, more paperwork and a longer sales process." He stressed that stakeholders should have a say in changes impacting them.

Risch echoed this sentiment by stating, "Idahoans want buying a car to be simple, not bogged down by burdensome paperwork and costly red tape." He believes that the REDO Act will allow consumers and auto dealers to participate in decision-making processes affecting their industry.

Jim Addis, Executive Vice-President of the Idaho Automobile Dealers Association, expressed support for Crapo's involvement with the bill. Addis said that reversing recent FTC overregulation would prevent unnecessary time consumption and costs for new car buyers. He argued that these regulations conflict with existing state and federal laws designed to protect consumers.

The proposed FTC rule—known as the "Motor Vehicle Dealers Trade Regulation Rule" or "Vehicle Shopping Rule"—was introduced last summer. It spans 126 pages and aims to overhaul various aspects of automotive retailing without an Advanced Notice of Proposed Rulemaking (ANPRM), which allows public commentary.

If enacted, the FTC REDO Act would require several steps before any regulation change: issuing an ANPRM for public comment; conducting quantitative studies on auto retailing; performing consumer product testing; and publishing a cost-benefit analysis based on real data.