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ELECTRIC CAR STORES WILL BE RESTRICTED IN MISSISSIPPI
FILE - Mississippi Republican Gov. Tate Reeves speaks during a news conference
on Feb. 28, 2023, in Jackson, Miss. Reeves signed a bill Tuesday, March 14,
2023, that will restrict electric car manufacturers from opening dealerships in
the state unless they work with a franchisee, defying calls to veto the
legislation from some lawmakers in his party. (AP Photo/Rogelio V. Solis, File)
Images
1
1 of 1 |
FILE - Mississippi Republican Gov. Tate Reeves speaks during a news conference
on Feb. 28, 2023, in Jackson, Miss. Reeves signed a bill Tuesday, March 14,
2023, that will restrict electric car manufacturers from opening dealerships in
the state unless they work with a franchisee, defying calls to veto the
legislation from some lawmakers in his party. (AP Photo/Rogelio V. Solis, File)
Read More
1 of 1
f04ebc62b67d4d0186aa138f1ad4e80c_3000.jpeg (3000x2000, AR: 1.50)
FILE - Mississippi Republican Gov. Tate Reeves speaks during a news conference
on Feb. 28, 2023, in Jackson, Miss. Reeves signed a bill Tuesday, March 14,
2023, that will restrict electric car manufacturers from opening dealerships in
the state unless they work with a franchisee, defying calls to veto the
legislation from some lawmakers in his party. (AP Photo/Rogelio V. Solis, File)
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By Michael Goldberg
Published [hour]:[minute] [AMPM] [timezone], [monthFull] [day], [year] Published
4:44 PM HST, March 14, 2023
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JACKSON, Miss (AP) — Mississippi Gov. Tate Reeves signed a bill Tuesday
restricting electric car manufacturers from selling vehicles in person unless
they open franchised dealerships.
Defying calls from some fellow Republicans in the Legislature to veto the
measure, Reeves enacted into law House Bill 401, introduced by Republican Rep.
Trey Lamar of Senatobia. The law will force electric car companies such as Tesla
and Rivian to sell vehicles through franchises rather than company-owned stores,
which is how they currently operate.
“Almost 200 small businesses in communities across our state are seeking
assurances that big manufacturers can’t just destroy their businesses. That’s
fair!” Reeves, a Republican, said in a statement posted to social media. “I also
recognize that innovation in this industry is inevitable. And with innovation
comes new companies with new business models. I am committed to find long-term
solutions—in an ever changing market.”
The bill does not restrict the sale of electric cars, as people can buy them
online. But if they want to buy an electric car in person, they would have to
drive to the state’s only Tesla store in Brandon, which will be allowed to
remain open under the new law. Tesla or any other electric car company could not
open a new brick-and-mortar location to sell cars unless they enter a franchise
agreement.
Before the bill passed in a bipartisan 39-13 vote on March 3, it sparked an
intraparty debate among GOP lawmakers. Opponents said it would interfere with
the automobile market and stop electric carmakers from bringing new technology
and jobs to the state. Proponents said the law would ensure all car
manufacturers, regardless of their business model, play by the same rules.
Republican Sen. Brice Wiggins, a Republican from Pascagoula, had hoped Reeves
would veto the legislation. Lawmakers were aiming to attract Tesla to
Mississippi’s Gulf Coast, an area Wiggins called the state’s economic driver.
709301e5f74a404fb7512869462abcc9
“In today’s world, if you don’t innovate, you lose out. We as a state cannot
afford to lose out,” Wiggins told The Associated Press on Tuesday. “My vote
against the bill was a vote for capitalism, competition and innovation rather
than for a policy of protectionism.”
___
Michael Goldberg is a corps member for the Associated Press/Report for America
Statehouse News Initiative. Report for America is a nonprofit national service
program that places journalists in local newsrooms to report on undercovered
issues. Follow him on Twitter at twitter.com/mikergoldberg.
Michael Goldberg
Mississippi government and politics reporter
twitter
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