Nebraska bill would create franchise protections for RV dealers, extend board representation

Senator Beau Ballard introduced LB1121, the Recreational Vehicle Industry Regulation Act, telling the Transportation and Telecommunications Committee the bill "would create the Recreational Vehicle Industry Regulation Act" and provide a statutory framework for franchise agreements between RV manufacturers and dealers.

The bill, Ballard said, is modeled on the existing motor vehicle franchise framework and would not create a new regulatory board; instead it would add RV dealer and manufacturer representation to the Motor Vehicle Licensing Board. Ballard also offered an amendment (AM1930) to address technical issues and to change current statutory length language, increasing the maximum allowed length for certain fifth‑wheel trailers and motor homes from 45 feet to 46 feet.

Industry representatives said the change responds to manufacturers building larger RVs that are road‑ready under federal standards but cannot be sold in Nebraska. Michael Ochs, director of government affairs for the RV Industry Association, told the committee the association negotiated language with dealers and manufacturers and said the industry contributes roughly $647,000,000 in annual economic output and supports about 3,500 Nebraska jobs. "We urge all members of this committee to vote yes on this important legislation," Ochs said.

Nebraska dealers described recurring business harms the bill aims to fix. Nicholas Staub of Rich & Son's Camper Sales said many Nebraska dealers sell towables and lack franchise agreements or protected territories; he said manufacturers can shift product lines between dealers and leave established dealers without recourse. "There's no protection that says that this is my area," Staub said, describing instances where manufacturers authorized nearby dealers for the same product lines.

Andy Mullin of AC Nelson RV World described customer warranty and quality problems that leave dealers as the primary point of consumer complaints. Mullin said franchise provisions in the bill would clarify how warranty work is handled and how dealers are recouped for warranty labor and parts.

Supporters and neutral witnesses said the bill tries to align RV distribution with long‑standing franchise law for new car and truck dealers. Lloyd Todd, president of the Nebraska New Car and Truck Dealers Association, said industry stakeholders collaborated on a franchise framework that has worked for the auto sector. Josh Eichmear, director of the Motor Vehicle Industry Licensing Board, recommended careful review of statutory definitions; he said motor homes that are driven by an operator (with steering wheel and seat belt) already fall under motor vehicle franchise definitions, but many tow‑behind fifth wheels currently fall under trailer definitions and lack the franchise protections the bill would provide.

Committee members asked technical questions about which trailers and campers would be covered, how online ordering would interact with territorial protections, and whether the state can reach out‑of‑state manufacturers. Supporters responded that licensing is the mechanism to reach any manufacturer that seeks to sell in Nebraska — manufacturers must obtain a Nebraska license to sell in the state and would thus be subject to licensing and franchise requirements.

The hearing closed with committee discussion of statutory definitions and weight/length thresholds; no committee vote was recorded at the hearing. Ballard asked the committee to attach AM1930 and advance the bill to general file, but the record shows no formal vote that day. The committee did not take final action during the session.