Although this has been termed as the ‘most lobbied bill’ in the legislative session, this really has nothing to do with the taxes. The whole fuss is with regard to the changes in the tow truck and auto salvage industry. The lobbies include the wealthy business owners who are often seen contributing during political campaigns on one side, the auto insurance sector, the AFL-CIO as well as a former speaker of the Assembly.
The other segment includes the salvage yards, tow truck companies, Las Vegas Metropolitan Police Department, and the Nevada Tow Car Council.
Sandwiched somewhere in the middle are the two groups – Nevadans who are paying auto insurance and who may someday require the services of a tow truck, and the citizen members from the Nevada Assembly, some of whom knew little or nothing about the auto industry.
The stake here is for the business groups who have their monopolistic, lucrative business deals.
With the Senate Bill 407, the treatment of the damaged vehicles (by the tow companies) that end up in accidents in Clark County is bound to change. At present, the tow companies take these vehicles to their lots and people come and find their vehicles at a later stage.
According to the amendments that have been proposed in the bill, insurance companies can now have a contract with an independent storage lot. Hence, now if you have a car wreck, the vehicle will now go to the insurance company’s lot, where you can retrieve it later.
Senator John Lee, D-North Las Vegas commented on the bill and stated that he is not sure as to where all the money is coming from on that bill, but he was aware that there was huge lobbying on that bill. At the Senate Transportation Committee meet last month he stated that there were many good people on both the sides who made some very good points.
This bill could either create or destroy monopoly argue lobbyists. Bobby Ellis, a businessman and the main proponent of the bill, owns SNAP towing and is one who regularly contributes for political campaigns. Another person lobbying the bill on behalf of Bobby Ellis is Richard Perkins, who is the former Democratic Speaker of the Assembly.
Just two tow companies are presently getting all the business for vehicles that are involved in motor vehicle accidents as the police have authorized only these two – Quality Towing and Ewing Brothers.
