Committee hears bill to allow direct sales by zero-emission vehicle manufacturers; testimony splits industry and labor, dealers warn of rural impacts

Representative Beth D'Oleo introduced House Bill 17-21 and argued the measure would open Washington to direct sales by manufacturers of zero-emission vehicles (ZEVs), correcting what she called an uneven market created when the state granted Tesla an exception in 2014.

"Washington denies consumers the choice to buy vehicles directly from American EV automakers," Representative Beth D'Oleo said, adding that single-company exceptions “created an uneven playing field, reduced competition, and limited consumer choice.” She described Colorado's visible Rivian fleet and said Washington should retain the economic benefits of EV investment.

Staff briefing and key provisions - Megan Mulvihill, staff to the committee, summarized the bill’s major changes for ZEVs and for the franchise system. Key ZEV-specific provisions in the bill as described by staff: - A qualified ZEV manufacturer may provide direct retail sales if it establishes at least two in‑state service centers and provides a mobile service for vehicle owners within the state. - ZEV manufacturers may offer online direct sales provided delivery occurs through a designated service center, delivery center, or partnership dealership. - Direct-sale ZEVs must include a warranty covering repairs and maintenance at a designated service center. - Subject to funding, the Department of Commerce must establish a ZEV technician training and charging-infrastructure grant program. Grant funding may be used for publicly available ZEV charging infrastructure and employee training. - A traditional auto dealer that partners with a manufacturer as a service or delivery partner is eligible for a…