H.C.R. 19

1

GENERAL MOTORS CONCURRENT RESOLUTION
2 2010 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Melvin R. Brown
5 Senate Sponsor: ____________
6
7 LONG TITLE
8 General Description:
9 This concurrent resolution of the Legislature and the Governor recognizes General
10 Motors for offering reinstatements to 661 dealerships originally slated for termination.
11 Highlighted Provisions:
12 This resolution:
13 . recognizes General Motors for its decision to offer reinstatement to 661 dealerships
14 it had originally planned to drop from its sales network.
15 Special Clauses:
16 None
17
18 Be it resolved by the Legislature of the state of Utah, the Governor concurring therein:
19 WHEREAS, General Motors, founded in 1908, is the renown manufacturer of iconic
20 vehicles such as the Camaro, Firebird, Malibu, Chevelle, Corvette, Suburban, and Tahoe;
21 WHEREAS, in 2009, General Motors filed Chapter 11 Bankruptcy, and currently the
22 United States Treasury has majority ownership of the reorganized corporation;
23 WHEREAS, as part of its restructuring plan, General Motors informed approximately a
24 third of its 6,000 dealerships that it would not renew their franchise agreements once they
25 expire in October 2010;
26 WHEREAS, approximately 1,100 of the dealerships affected by this announcement
27 appealed their termination;

28 WHEREAS, Congress passed a law requiring an appeals process for dealers whose
29 franchise agreements were set to expire, and gave General Motors four months to complete the
30 process;
31 WHEREAS, General Motors has now announced that 661 of the affected dealerships
32 will be offered the option of remaining open as a General Motors franchise;
33 WHEREAS, General Motors has indicated that it chose the 661 dealerships based on
34 sales and other business factors;
35 WHEREAS, General Motors should be recognized for its willingness to change its
36 decision and allow many of its dealerships the option to remain open; and
37 WHEREAS, reinstating General Motors dealerships in Utah will have a significant
38 positive impact on the state's economy:
39 NOW, THEREFORE, BE IT RESOLVED that the Legislature of the state of Utah, the
40 Governor concurring therein, recognize General Motors for its decision to offer reinstatement
41 to 661 dealerships it had originally slated for termination.
42 BE IT FURTHER RESOLVED that a copy of this resolution be sent to the General
43 Motors Corporation.




Legislative Review Note
as of 3-9-10 9:03 AM

Office of Legislative Research and General Counsel