Austin, TX – On May 9, ABPA Executive Director Ed Salamy testified in opposition to Texas State Bill 1083 before the Texas House Insurance Committee. Previously, the ABPA had stated its opposition to the Bill with a letter that was sent to all the relevant Committee members.
During the abbreviated hearing, eleven witnesses provided testimony with only two of the witnesses in favor of the Bill (both with ties to Ford). Those against the Bill included the ABPA, NAMIC, LKQ, AutoCare, Texas Recyclers, and USAA Insurance. The Bill, if passed, will only allow OEM parts to be used in an insurance paid repair during the first 36 months of the vehicle’s service life per the guidelines of OEM repair procedures. Both aftermarket and recycled parts would be excluded as options from the repair.
During his testimony, Salamy cited various reasons why SB 1083 would be bad for consumers and the parts supply chain. He was then asked pointed questions from Committee Chair Tom Oliverson regarding CAPA Parts and how issues are resolved around decertification. Salamy noted that parts being decertified, while not ideal, is an indication that the program is working and doing what it was designed to do.
The Bill is still currently pending in Committee as of 5/16/23.
A copy of the submitted opposition letter and the latest bill text are below: