The Colorado Senate convened on March 14, 2025, to discuss Senate Bill 160, which aims to regulate the electric vehicle (EV) market and protect existing dealership models. The bill's supporters argue it safeguards jobs and ensures a competitive marketplace, while opponents raise concerns about potential anti-competitive effects.

During the meeting, proponents emphasized that the legislation is designed to protect Colorado's robust automotive industry by allowing new entrants into the market, including electric and alternative fuel vehicles. They highlighted the importance of dealerships in providing essential services such as test drives and competitive pricing, which are crucial for consumers, especially those unable to afford luxury brands like Tesla. Supporters noted that dealerships are adapting to the evolving market by investing in EV infrastructure and training.

Senator Henriksen, a vocal opponent of the bill, expressed concerns about the implications for competition within the automotive sector. He argued that the existing dealership model, established over a century ago, was intended to prevent monopolies and ensure consumer access to vehicle service. He warned that the bill could inadvertently restrict new electric vehicle manufacturers from entering the market, particularly if they are acquired by larger companies that already have dealership relationships in Colorado.

The discussion also touched on the challenges faced by smaller manufacturers in the power sports segment, where existing dealership networks could hinder competition for new entrants. Henriksen pointed out that the bill could create barriers for innovative companies, potentially stifling growth in the electric vehicle market.

As the Senate continues to deliberate on this legislation, the outcome could significantly impact the future of the automotive industry in Colorado, balancing the need for innovation with the protection of established business models. The next steps will involve further discussions and potential amendments to address the concerns raised during the meeting.