Hopes Dim for Full Expensing Tax Bill in Senate
No news is not good news with respect to the status of H.R. 7024, the federal tax package – including retroactive full expensing of personal vehicles. Sen. Mike Crapo (R-ID), the ranking Republican on the Senate Finance Committee (and likely Finance Committee Chair if the Rs take over the Senate in November!) continues to raise objections to the bill passed overwhelmingly by the House. Republican senators are reluctant to cross the next potential chair of Senate Finance – memories are long on Capitol Hill! A handful of Senate Republicans have said they would support the bill – but that number is short of the 10 Republican votes that would be needed to overcome a filibuster by bill opponents (60 votes are needed to “invoke cloture” and cut off debate in the Senate). So even if Senate Majority Leader Schumer were to bring the House bill directly to the Senate floor, opponents could stymie action by garnering 40 votes to delay a vote the bill.
ACRA and its allies supporting the corporate tax provisions of H.R. 7024 continue to meet with Senators and their staff to urge them to bring the bill to a vote in the Senate. Some GOP members of the Senate have stated that they prefer to wait until 2025 or 2026, when Republicans may control the Senate and potentially the White House, to negotiate the extension of any federal tax provisions enacted as part of the 2017 tax reform law. Stay tuned – if there is any positive news to report, ACRA will reach out to its members with the latest.
EV Working Group First Annual Report
The DOT/DOE Electric Vehicle Working Group – created by the 2022 Bi-Partisan Infrastructure Law which has ACRA President Sharky Laguana as a member representing all ACRA members – released its first annual report to Congress – “Initial Priorities of the Electric Vehicle Working Group” (EVWG First Report 2024) in late April. Of significance to many ACRA members, examining electrification of airport CONRACs specifically and airports in general is one of the priorities highlighted in the report. The next in-person meeting of the Work Group will be in the Fall of 2024.
Vehicle Data Access and House Privacy Bill
House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) and Senate Commerce Committee Chair Maria Cantwell (D-WA) released a discussion draft of a data privacy bill on April 7, 2024. A section by section of the discussion draft is attached (Federal Data Privacy Discussion Draft 2024). To date, ACRA has not taken a position on the discussion draft and it is worth noting that the lead Democrat on privacy in the House (Rep. Frank Pallone (D-NJ)) the lead Republican on privacy in the Senate (Sen. Ted Cruz (R-TX)) have not endorsed the discussion draft.
The Innovation Subcommittee of House Energy and Commerce held a hearing on the discussion draft on April 17, 2024. The American Alliance for Vehicle Owners’ Rights, of which ACRA is a leading member, filed a statement for the hearing record which focused on vehicle data ownership and control (AAVOR 2024 Privacy Hearing Statement).
Leaders Agree to Federal FAA Bill
The “Big 4” leaders (Senators Cantwell and Cruz and Representatives Graves (R-MO) and Larsen (D-WA)) of legislation to reauthorize Federal Aviation Administration (FAA) programs announced on April 27, 2024 that they had reached agreement on a bi-partisan and bi-cameral FAA bill. A section by section of the agreement is attached (4 Corner FAA Agreement 2024). ACRA will analyze the long bill for issues of interest to the car rental industry, but an initial scan didn’t turn up policy initiatives that would impact the car rental industry significantly.
ACRA State Activities
- Hawaii – The most up to date news out of Hawaii is that the minimum financial responsibility requirements for vehicles in the state will be raised to 40/80, but the proposal to adopt a “hyper” MFR for rental cars has been defeated – as has a proposal to make rental car operators “primary” in the state. The Hawaii legislature hasn’t adjourned yet, so stay tuned for additional updates.
- Colorado – Despite active lobbying by ACRA and its members against it, a proposal by the state government, the House speaker, and the Senate president to impose a $3.00/day fee on car rentals in the state to pay for light rail projects is making its way quickly through the Colorado legislature. ACRA also has promoted a ballot initiative to prevent such “user fees” from being imposed in the state without a vote of the people. If the Colorado fee is enacted, ACRA and its allies have the option of filing a lawsuit against the state or pursuing the ballot initiative. ACRA’s leaders will discuss these options in the coming weeks and decide on a course of further action against the Colorado car rental fee.
- California – Legislation has been filed in California with ACRA’s support (AB2741) to reduce the delay before a car rental operator can “ping” an overdue, stolen or abandoned vehicle using the vehicle’s location technology (ACRA 2024 California Car Theft Letter). ACRA President Sharky Laguana testified in favor of the bill at a hearing on April 30, 2024.
ACRAPAC Vegas Reception
ACRAPAC hosted another successful fundraising reception at the International Car Rental Show in Las Vegas on April 16, 2024 – raising over $13,000 for ACRAPAC contributions to federal candidates during the 2024 election year. Reception attendees were again entertained by the piano playing of ACRA President Sharky Laguana – along with his growing chorus of singing companions. Many thanks to the many contributors to ACRAPAC in Las Vegas!
ACRAPAC’s Congressional Reception at the D.C. Car Rental Conference in September is being planned as you read this. If you have questions about ACRAPAC, please contact Sharon or Greg.
Mark Your Calendars – 2024 ACRA D.C. Car Rental Conference – September 15 – 18, 2024
Building on the tremendous success of the 2023 ACRA D.C. Car Rental Conference – overwhelming positive feedback on operational and political education, record attendance, record fundraising for ACRAPAC, and dozens of meetings with legislators and their staff on key ACRA federal policy issues – the ACRA Board of Directors has set the 2024 ACRA D.C. Car Rental Conference for Sunday through Wednesday, September 15 – 18, 2024. Mark your calendars! ACRA will return again to the Westin Gateway Arlington and will focus a day on operational education session from expert speakers, a day on political education from key stakeholders and legislators, and a day of “citizen lobbying” on Capitol Hill to build relationships and advance the interests of the car rental industry as a whole.
Stay tuned for additional details. Remember, the 2022 and 2023 ACRA D.C. Conferences sold out and the hotel ran out of rooms for attendees. So, when the 2024 registration and hotel information is published, jump on it so be sure you are not excluded from the conference next year!
ACRA Membership Activity
New Regular/Operator Members
- Akamai Rentals, Honolulu, HI
- Alliance Corporate Housing, Houston, TX
- American Rent A Car, Warren, MI
- Amazon Rental Company LLC
- B Smart Rent A Car, Puerto Rico
- Elit Rent A Car, Houston, TX
- HDC Rent-a-Car International Serv Corp., Miami, FL
- Horizon Rental Car
- Nola Rent A Car, Metairie, LA
- Real Dear Car Rental, Aruba
- Renta Florida LLC, Miami, FL
- We Can Help Auto Rentals, Easton, PA
New Associate/Supplier Members
- Acertus, St. Louis, MO
- Axle, Atlanta, GA
- Intelitrack LTD, Hewood, England
- Knight Shield Insurance, Miami, FL
- Norton Rose Fulbright: Neil Thakor, Los Angeles, CA
- Poms & Associates Insurance Brokers, Calabasas, CA
Renewed Associate/Supplier Members
- Frontline Performance Group
- GMI
- Hawkeye Claims, LLC
- Hawthorne Estimating
- Rate Highway, Inc.
- The Goodyear Tire & Rubber Company
Renewed Regular/Operator Members
- Kelei Auto Sales dba Allsave and Nu
- Pritchard Auto Group/Pritchard Commercial Sales
- RideShare Carz
- Verc Van Rentals