Whereas, Public Law 2003, chapter 496 requires that a motor vehicle dealer be denied renewal of the dealer license if the dealer sold fewer than 4 motor vehicles in the previous license year; and

Whereas, because of the often low-volume annual sales of classic autos, motor vehicle dealers who sell only classic autos will be denied renewal of their dealer's license; and

Whereas, to ensure that motor vehicle dealers that sell only classic autos may continue to do business, it is imperative that this legislation take effect immediately; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 29-A MRSA §903, sub-§3, as amended by PL 2003, c. 496, §1, is further amended to read:

3. Plate reduction. Upon renewal of a dealer license, the number of plates allowed a motor vehicle dealer who fails to sell, through retail sales, a minimum of one vehicle per month or 12 vehicles within a 12-month period must be reduced to one dealer plate, and the motor vehicle dealer may not be issued a dealer plate under section 1002, subsection 1, paragraph B. Upon a 2nd application for renewal of a dealer license, a motor vehicle dealer must be denied renewal if the Secretary of State determines that the dealer sold fewer than 4 vehicles, through retail sales, in the previous license year, at which time all dealer credentials issued previously must be returned to the Secretary of State.

A motor vehicle dealer who is denied a license renewal under this subsection may not reapply until the license has been expired at least one year.

A motor vehicle dealer who holds a vehicle auction business license under section 1051 is exempt from this subsection.

A motor vehicle dealer who engages only in the sale of classic autos is exempt from this subsection.