House Bill No. 127 Summary

• Amends Idaho Code Section 49-1626 to require manufacturers and distributors to reimburse dealers for warranty labor using either the manufacturer's labor time guide or the dealer's own labor time guide, at the dealer's election.

• Requires reimbursement for parts and supplies (including engine and transmission assemblies) at the prevailing retail rate or markup charged by the dealer for non-warranty work.

• Prohibits manufacturers and distributors from recovering warranty compensation costs through vehicle price reductions, surcharges, or other impositions, though normal business price increases are permitted.

• Applies the same warranty service procedures and protections to recreational vehicle dealers, except compensation for recreational-specific parts and residential features is excluded.

• Becomes effective July 1, 2023, with an emergency declaration allowing immediate enactment.