HB 451 - ASSISTIVE TECHNOLOGY & MOBILITY AIDS Number 0150 CHAIRMAN ROKEBERG announced the committee's first item of business was HB 451, "An Act relating to assistive technology devices and mobility aids for physically disabled persons." Number 0157 JEFF LOGAN, Legislative Assistant to Representative Joseph Green, came forward to testify. He noted Representative Green was at another committee meeting and hoped to join the committee shortly. Mr. Logan referred to previous the House Labor and Commerce Standing Committee hearing on HB 451, commenting that the committee's instructions had been to provide a more concise definition of the term "collateral costs" on page 5, line 26, subsection (3) which read, "(3) "collateral costs" means expenses incurred by a consumer in connection with the repair of a nonconformity including the costs of obtaining an alternative assistive technology device or mobility aid;". Mr. Logan noted the committee members had a memorandum and amendment from the bill drafter, Terri Lauterbach, legislative counsel. He said the amendment narrowed the definition of collateral costs to medical expenses, replacement rental, shipping and communication with the manufacturer. He also noted Ms. Lauterbach's memorandum stated the collateral cost provision only applied to Section 620 of the bill, not Section 610. He said the sponsor intended for the collateral costs section to apply to both Section 610 and Section 620; they were offering an additional amendment on page 2, line 6, adding, "and the manufacturer shall refund collateral costs incurred by the consumer.". Number 0298 CHAIRMAN ROKEBERG stated that amendment would be marked Amendment 1. Amendment 1 read: Page 2/Line 6 after "repaired" INSERT "and the manufacturer shall refund collateral costs incurred by the consumer." Number 0308 REPRESENTATIVE GENE KUBINA made a motion to adopt Amendment 1. Number 0315 REPRESENTATIVE TOM BRICE objected for discussion purposes, indicating the use of "refund" meant the consumer who has been wronged would have to pay these costs initially rather than the manufacturer. He suggested, "manufacturer shall pay the collateral costs incurred by the customer". Number 0380 MR. LOGAN said they have no objection to that, noting the point was well-taken and that situation was considered. CHAIRMAN ROKEBERG suggested, "liable for payment of the collateral costs". REPRESENTATIVE BRICE noted the shipping costs for sending the assistive technology device would be the large cost. REPRESENTATIVE JOE RYAN commented it was difficult for this legislature to accept the concept of "time value of money" done throughout industry. He stated, "When you have to spend your money it could be earning money for you, and very easy that the person who has to reimburse you shall include the time value of money for the period of time you were without the use of your funds." He indicated this concept had existed for thousands of years, suggesting an increment of interest be added to reimbursement. Number 0470 CHAIRMAN ROKEBERG directed Representative Ryan's attention to the second amendment defining collateral costs, noting he thought they would be "stretching the envelope enough" without adding something like interest charges. REPRESENTATIVE KUBINA asked what language the chairman was envisioning. Number 0495 CHAIRMAN ROKEBERG indicated there were two ideas conceptually, "the manufacturer shall pay" or, in his thoughts, "the manufacturer shall be liable for payment of". REPRESENTATIVE BRICE indicated that was acceptable to him. REPRESENTATIVE KUBINA noted "shall pay" or "payment" were both acceptable to him. CHAIRMAN ROKEBERG said the difference was the timing of payment. REPRESENTATIVE BRICE commented that returning a wheelchair would cost a large amount of money and the consumer should be able to send it COD (cash on delivery, collect on delivery). CHAIRMAN ROKEBERG asked the committee's preference. REPRESENTATIVE BRICE indicated the chairman should decide. Number 0600 CHAIRMAN ROKEBERG stated, "Let's just change it to 'shall pay the collateral costs' and we'll have the Judiciary Committee (indisc.)." He noted there was an amendment to Amendment 1 to delete "refund" and add "pay the". He asked if there were any objections to the amendment to the amendment. There being none, the amendment to Amendment 1 was adopted. Amendment 1 as amended read: Page 2/Line 6 after "repaired" INSERT "and the manufacturer shall pay the collateral costs incurred by the consumer." SHIRLEY ARMSTRONG, Legislative Assistant to Representative Norman Rokeberg, stated the term "refund" appeared again on page 2, line 15 [from lines 14 and 15: "... within 30 days, refund any collateral costs;"]. REPRESENTATIVE KUBINA noted it was saying within 30 days there. Number 0628 CHAIRMAN ROKEBERG commented that was a little different and indicated the language could be changed to "refund or pay for". He asked for Mr. Logan's opinion, noting it wasn't clear if the language needed to be changed because it specified "within 30 days". MR. LOGAN replied it seemed sufficient at this point. Number 0688 CHAIRMAN ROKEBERG asked Mr. Logan to examine this further for a recommendation to the next committee of referral. He asked if the objection to adoption of Amendment 1 still stood. REPRESENTATIVE BRICE withdrew his objection. Number 0720 CHAIRMAN ROKEBERG, hearing no objections, stated Amendment 1 was adopted as amended. He noted the committee had before it Amendment 2, marked 0-LS1538\E.1, Lauterbach, 4/3/98. Amendment 2 read: Page 5, lines 26 - 28: Delete all material and insert: "(3) "collateral costs" means the following expenses incurred by a consumer: (A) medical expenses for the treatment of a physical injury caused by a nonconformity in an assistive technology device or mobility aid; (B) the cost to rent a substitute assistive technology device or mobility aid during the time repairs are attempted for an assistive technology device or mobility aid that has a nonconformity and during the time preceding receipt of a replacement when repairs have been unsuccessful; (C) the cost of shipping an assistive technology device or mobility aid that has a nonconformity to a manufacture, lessor, or authorized dealer for repair or replacement; and (D) the documented costs of long-distance telephone calls and facsimile transmissions used to contact the manufacturer, lessor, or authorized dealer for the purpose of effecting a repair or replacement of an assistive technology device or mobility aid that has a nonconformity;" REPRESENTATIVE KUBINA made a motion to adopt Amendment 2. Number 0747 CHAIRMAN ROKEBERG, hearing no objections, stated Amendment 2 was adopted. REPRESENTATIVE KUBINA made a motion to move HB 451 as amended to the next committee of referral, with individual recommendations and the accompanying zero fiscal note. Number 0768 CHAIRMAN ROKEBERG asked if there were any objections. There being none, CSHB 451(L&C) moved out of the House Labor and Commerce Standing Committee.