Full Expensing Bill Stalled in Senate
Despite an overwhelming 357 – 70 vote in the House of Representatives, H.R. 7024 – the tax bill containing an extension of full expensing for personal property – is stalled in the Senate – at least for the time being. First of all, Senator Crapo (R-ID), the ranking Republican on the Senate Finance Committee, released a statement indicating he is not much of a fan of the House-passed bill (Sen. Crapo Statement). Further, the tax bill is caught up in the larger political battle over federal spending. The House and Senate currently are negotiating federal budget authority that is due to expire on March 8, 2024. Expectations are that an effort will be made to attach the tax bill to the government funding deal when it is reached – which will then be sent to the president’s desk for enactment.
But don’t start counting your full expensing before it is enacted. Given politics in D.C. today, lots could still go wrong. As with the House, there are several “mini caucuses” in the Senate who have criticized portions of the House tax bill – liberals who don’t want to extend corporate tax breaks and conservatives that don’t want to re-instate the child tax credit. And obviously, Senator Crapo is not “on board” at this point. Further, there is no guarantee that House Speaker Johnson will be able to keep his fractious House GOP caucus together on the underlying federal spending issues. A failure to do so could lead to a complete or partial government shutdown on March 8.
ACRA is working hard with our allies on the overall tax bill to push for Senate passage by whatever legislative avenue presents itself. Stay tuned for an update – perhaps even a “special edition” of this newsletter – when and if the tax bill starts to move toward enactment.
ACRA State Activities
- Hawaii – ACRA filed comments on February 28, 2024 in opposition to two proposed bills in Hawaii to make rental car companies primary with respect to liability and increase the minimum financial responsibility requirements for rental cars in the state (HB 1539 ACRA Statement & HB 1991 ACRA Statement).
- Illinois – Greg Scott, ACRA’s Government Relations Advisor, filed written testimony on ACRA’s behalf on February 20, 2024 in opposition to an Illinois legislative proposal that would have the state follow California’s lead with respect to air pollution and motor vehicle controls (ACRA Illinois Statement.
- Connecticut – Mr. Scott also testified remotely on ACRA’s behalf on February 26, 2024 against a Connecticut bill to prohibit securing a credit card from an additional driver and limiting loss of use recovery in the state (ACRA Connecticut Statement); the Connecticut bill has been promoted by peer-to-peer car rental companies.
- Maine –
- ACRA sent a letter (ACRA Maine ACCII Letter) to the Maine Department of Environmental Protection on February 5, 2024 urging the Department to defer to Maine’s legislature with respect to adoption of California’s ACCII program; and,
- Mr. Scott testified remotely on ACRA’s behalf on February 20, 2024 against a legislative proposal in Maine to repeal the industry’s exemption from the state’s sales tax on the purchase of vehicles in the state (ACRA Maine Statement); again, this Maine bill was supported by peer-to-peer car rental companies.
ACRA Plenary Session at 2024 International Car Rental Show
ACRA has announced that its plenary session at the 2024 International Car Rental Show will be entitled “A Look Forward, A Look Back” and will feature ACRA President Sharky Laguana of Bandago and Stephanie Valdez Streaty, Director of Industry Insights, Cox Automotive. Along with a ceremony to present the industry’s IMPACT Award, Mr. Laguana and Ms. Valdez Streaty will take a look back at the car rental industry and consumer attitudes since the end of the pandemic, as well as a look at the future of the industry and the promotion of zero emissions vehicles.
Additional State Legislative Activity
Attached is the late February version of that matrix (ACRA State Legislative Matrix — 2-28-24) to provide a sense of the wide variety of state legislative initiatives that are out there, the value of your ACRA membership, and the work that is being done on your behalf by others in the industry – whether you know it or not. If you have questions on any of these state legislative initiatives and/or want to assist in moving or killing these initiatives, please contact Greg Scott at gscott@merevir.com.
2024 International Car Rental Show
Planning is well underway for the 2024 International Car Rental Show in Las Vegas from April 15 – 17, 2024 at the Horseshoe Las Vegas. Please note the change in the standard days of the 2024 show – it will run from Monday through Wednesday (rather than Sunday through Tuesday). ACRA members again will receive a special discount registration rate for the 2024 ICRS – a discount that for many is more than your 2024 ACRA membership dues! So – don’t delay! When you receive your 2024 ACRA membership dues invoice from Sharon, process it quickly to take advantage of the 2024 ICRS registration discount. See you in Las Vegas in April 2024!
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 2023 and 2024 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!
ACRAPAC
ACRAPAC had a record year in 2023, with ACRA member company PACs and executives contributing over $40,000 to the PAC. The PAC entered 2023 with a bank balance of over $20,000 – positioning the PAC to make impactful contributions during the 2024 federal election year. If ACRA member company executives will support ACRAPAC in 2024 at the same level as last year, it will be a true milestone for ACRAPAC. ACRAPAC events are already being planned for the ICRS in Vegas in April and the ACRA D.C. Car Rental Conference in September, so there will be plenty of opportunities for folks to support the PAC. If you have questions about ACRAPAC, please contact Sharon or Greg.
ACRA Membership Activity
New Regular/Operator Members
- A Better Car Distributor; Avis Budget Little Rock, Arkansas
- Fleet One Leasing
- Ideal Rent a Car, Miami, FL
- United Access, Springfield, MO
New Associate/Supplier Members
- HopDrive, Richmond, VA
- Fleet Advisory Associates, LLC, Delray Beach, FL
- Passway Systems, Tempe, AZ
- Powerfleet, Woodcliff Lake, NJ
Renewed Associate/Supplier Members
- American Business Insurance Services
- Arthur J. Gallagher & Company
- Inter Insurance Agency Services LTD
- Izo, Inc.
- Geotab LLC
- United Leasing & Finance
- Viking Client Services
- Zurich American Insurance Company
Renewed Regular/Operator Members
- Devo Group LLC dba UrDrive
- Enterprise Mobility
- Europcar Mobility Group
- Floyd and Sons, Inc. dba Dollar Thrifty Car Rental
- Gateway Auto Rentals LLC, dba Budget Rent A Car Ketchikan
- Green Motion/U-Save
- Greenvans
- Jax Rideshare Rental
- NP Franchise Group
- Rabbit Rentals
- Jay Harland Corp. dba Sixt Rent A Car
- Sonjou Enterprises, Inc. dba Avis Rent A Car MN
- State Street Auto Sales and Rentals
- Travellers Autobarn
- Velocity Rent A Car