Thu, 08/05/2021 - 10:56

 

The SEMA Data Excellence designation recognizes the companies that have worked with SEMA Data to recreate and relaunch industry-leading product data sets. Here are products from current SEMA Data members that have achieved data excellence.

Fuelab’s 565 Regulators—The New “PRO Series” Line
Fuelab

Fuelab has given the tried and true 565 series regulator new digs and a new purpose. The 565 Series of regulators are capable of taming huge electric pumps (like their 40501 PRO Series spur gear pump) and the meanest belt driven mechanical pumps, all with a flat regulation slope.

These regulators feature -10AN ports and a massive ½-in. return orifice for applications well over 2500hp. They’re available in 4-12psi, 10-25psi, 25-65psi, and 40-80psi configurations, and utilize fluorosilicone diaphragms and o-rings, so they’re cross-fuel compatible, just like the rest of the Fuelab line.

www.fuelab.com
PN: 565

JMS PedalMAX Extreme
JMS

JMS PedalMAX Extreme is designed specifically for the Polaris Slingshot market. Throttle response and acceleration are improved leading to more initial power and torque. Taking only minutes to install, the unit plugs in-line between your vehicle's pedal position sensor and vehicle harness, utilizing OEM connectors with a remote mounted control knob making performance adjustable on-the-fly. PedalMAX Extreme units are fully waterproof, backed by a lifetime warranty and made in the USA.

www.jmschip.com
PN: 61271P

Tuffy Security Products Flow-Through Center Security Console Safe for Late-Model Ford Pickups
Tuffy

Tuffy Security Products fits ’15–’21 Ford F-150, ’17–’21 Ford F-250 Super Duty and ’17–’21 Ford F-350 Super Duty pickup models and offers owners a flow-through center security console safe that maintains a completely stock look, while providing full use of the factory accessory tray, arm rest and lid. It also retains access to the truck’s optional OEM USB and power outlets situated inside the console. The product installs in a few minutes using hand tools with no drilling required.

A lid support allows the console’s lid to remain open while accessing contents. It is manufactured with welded steel components and features a durable black texture powdercoat finish. The company’s patented Pry-Guard locking system and a 10 tumbler double-bitted lock with built-in weather seals secure the console’s contents.

www.tuffyproducts.com

PN: 317-01

Thu, 08/05/2021 - 10:24

Compiled by SEMA Editors

USTCC
The new Round 5 of the USTCC championship will be at the
WeatherTech Raceway Laguna Seca, September 17–19.

The United States Touring Car Championship to Race With IndyCar at WeatherTech Raceway Laguna Seca

The United States Touring Car Championship (USTCC) has added the Firestone Grand Prix of Monterey to its 2021 calendar. The new Round 5 of the championship will be at the WeatherTech Raceway Laguna Seca, September 17–19, with the IndyCar series. The weekend starts with practice, qualifying and round 5 of the championship, Friday, September 17, followed by round 6 on Saturday, September 18. Tickets for the event are available at www.weathertechraceway.com.

Drydene Xtreme DIRTcar Series Sets 2021–22 Schedule

The Drydene Xtreme DIRTcar Series has announced its third season winter tour schedule, which features four weekends of Late Model racing from November through February. Eight races are set across South Carolina, Tennessee and Georgia, as the series adds Lancaster Motor Speedway and I-75 Raceway to the schedule for the first time. The season champion is set to earn $15,000 from a $42,000 point fund that rewards the top 10 overall who compete in the entire schedule. Drydene Performance Products also continues as the title sponsor of the tour. All events will be broadcast on DIRTVision. For more information, visit xtremedirtcar.com.

Fifty Five
Fifty Five Promotions will take over ownership of Skagit Speedway,
the dirt track based in Burlington, Washington. Photo courtesy: Skagit
Speedway

Fifty Five Promotions Acquires Skagit Speedway

Fifty Five Promotions will take over ownership of Skagit Speedway, the dirt track based in Burlington, Washington. Fifty Five Promotions is the new promotional group comprised of Washington car owners Kevin Rudeen and Mike Anderson and the California-based promoter Peter Murphy. The group takes over ownership from longtime track owner Steve Beitler, who was inducted into the National Sprint Car Hall of Fame in 2018. Also the owner of Funtime Promotions, Beitler manages the Grays Harbor Raceway in Elma, Washington, and the Summer Thunder Sprint Car Series and the Washington Modified Tour. The acquisition and transition will be completed at the end of the track’s season following the Sage Fruit Skagit Nationals featuring the World of Outlaws 410 sprint cars and NW Focus midgets, September 3–5, followed by the season championship presented by Scrap-It-Stow-It on September 18.

Texas Motor Speedway
Ellen Stallcup

Texas Motor Speedway Promotes New Vice President of Marketing

Texas Motor Speedway (TMS) has promoted Ellen Stallcup to the newly created position of vice president of marketing. Stallcup began working for the multi-purpose facility—which celebrates its 25th Season of Speed this year—in 2003 as an intern with the corporate sales department for the fall IndyCar race weekend. She is now responsible for the development of marketing, advertising, promotional and budgetary planning, and the NASCAR event at Circuit of The Americas in Austin, Texas. She also manages Big Hoss, the 22,704.64-sq.-ft. HD LED display that owns the Guinness World Record as the world’s largest HD LED video board. The Windthorst, Texas native began her full-time career at No Limits, Texas, in 2004 as a ticket sales representative. In 2006, she was named advertising and events manager and promoted to director of the department in 2017. She was promoted in 2020 to the position of director of marketing.

Bubba Wallace
Toyota will team up with Bubba Wallace’s foundation to assist the
students who dream of working within the world of motorsports.
Photo courtesy: NASCAR

Toyota Racing Forms “The Dream” Experiential Endowment

Toyota Racing has announced the establishment of the Dream Experiential Endowment in partnership with Bubba Wallace’s Live to be Different Foundation. The initiative will see Toyota team up with Wallace’s foundation to assist the students who dream of working within the world of motorsports. It is a continuation of the Toyota Racing “Dream” commercial that took to the airwaves around the 2021 Daytona 500. By working with various organizations around the country, Toyota Racing will identify a minimum of four participants per year and arrange for them to spend a finite amount of time with a Toyota race team or TRD-related organization to experience the dream they have to pursue a career in the world of motorsports. The initial group of recipients will be chosen in the coming weeks and begin their experience during the late summer of the 2021 racing season. Applicants looking to be considered can submit a resume along with a 500-word maximum essay explaining their dream to work in motorsports to ToyotaRacing@golin.com.

CalistogaCalistoga Speedway Announces HOF Class of 2021

Calistoga Speedway, the 1/2-mile dirt oval in Calistoga, California, has announced its 2021 Hall of Fame class. The Hunt Family, Dewey Gatson, Paul Worden, and Dick Golden join the already announced inductees, which include Gene Figone, Ray Smith, Shane Scott, Roger Henderson, and Rick Hirst. The inductees will be honored during the Louie Vermeil Classic taking place at Silver Dollar Speedway in Chico, California, on Labor Day weekend. The 10th annual Calistoga Speedway HOF dinner takes place Friday, September 3, prior to the winged sprint car event running on Saturday and Sunday, September 4–5. For more information, visit the event page.

Kyle PettyKyle Petty Charity Ride Announces Mini Ride for Fall

This fall, Kyle Petty will host the “Charity Ride Revival (CRR),” a one-time only, miniature version of his annual Kyle Petty Charity Ride Across America. The CRR was created in response to postponing the larger Kyle Petty Charity Ride Across America until Spring 2022 due to the COVID-19 pandemic. Differing from the annual Ride, the CRR will be half the time, half the size and based at one single hotel–The Omni Homestead Resort in Hot Springs, Virginia. It will also only include previous participants of the Ride. These are precautions put in place by the Ride to protect the safety of participating riders and team members. From September 21–23, the CRR will travel a different route each day to a unique point of interest for riders to explore and enjoy before returning to the hotel.

Kyle Petty’s 2021 Charity Ride Revival Schedule:

  • Day 1, Tuesday, September 21 – National D-Day Memorial in Bedford, Virginia
  • Day 2, Wednesday, September 22 – Seneca Rocks in Seneca Rocks, West Virginia
  • Day 3, Thursday, September 23 – New River Gorge National Park and Preserve in West Virginia

The CRR will continue the Ride’s mission of raising funds and awareness for Victory Junction–a camp dedicated to providing life-changing camping experiences for children with chronic and serious medical illnesses. For more information, visit kylepettycharityride.com.

For more racing news, visit Performance Racing Industry’s (PRI) website.

Thu, 08/05/2021 - 10:14

By Ashley Reyes

Virtual EducationRegister now for the following upcoming live webinars and stay tuned to SEMA eNews as additional sessions are announced throughout the year. For a comprehensive library of upcoming live and on-demand sessions that members can access anytime, visit www.sema.org/virtual-education.

Wednesday, August 11 – Pricing Policies 101: The Truth About Pricing Policies
Series: Pricing Policies Webinar Series

During this live webinar, manufacturers and sole-exclusive distributors will learn the basics of pricing policies and why it’s important to consider one to avoid price erosion in the marketplace. Rich Barsamian of Advanced Clutch Technology will share what he has learned from more than 10 years of experience, writing, implementing and executing pricing policies in the automotive aftermarket and participate in a live Q&A with session attendees.

Register here.

Wednesday, August 18 – Wheel Knowledge 401: Resources for WTC Members
Series: Wheel and Tire Industry Insights, Powered by WTC
Track: Industry Segments, Powered by SEMA Councils and Networks

During this live webinar, wheel and tire manufacturers and companies will learn about the resources, high-tech tools and equipment available to them through the SEMA Garage. Participants will get the latest information on measuring sessions, 3-D printing capabilities, the Tech Transfer program and ADAS resources. An update on services available through the new SEMA Garage in Detroit will also be discussed.

Register here.

Wednesday, August 18 – Pricing Policies 201: Implementing a Pricing Policy That Works
Series: Pricing Policies Webinar Series

Learn the step-by-step approach to understanding the key components of a successful pricing policy. During this live webinar, attendees will learn what the most effective pricing policy is, what to do when your biggest customer breaks the policy and how a pricing policy increases sales. Cost: $25.

Register here.

Tuesday, August 24 – The Value of Managing Different Personalities
Series: Sharpen Your Soft Skills, Powered by SBN
Track: Industry Segments, Powered by SEMA Councils and Networks

During this live webinar geared toward automotive aftermarket managers, attendees will learn about the value of managing different personalities and how to identify different personality traits in the workplace. Methods discussed will help managers learn more about their employees so they can adjust their management style accordingly, enhance teamwork and collaboration, and avoid unnecessary conflicts.

Register here.

Wednesday, August 25 – Pricing Policies 301: Why Isn’t My Pricing Policy Working?
Series: Pricing Policies Webinar Series

If you’ve launched a pricing policy and have not yet seen the benefits—stick with it and you will. This live webinar will help members understand the most common reasons why a pricing policy isn’t moving the needle. You will learn how long it typically takes to see results, why only some resellers follow a pricing policy, and what the top KPIs that measure a successful pricing policy are. Cost: $25.

Register here.

Newly Added: Tuesday, August 31 – Preventing Ransomware in the Automotive Aftermarket – What SEMA Retailers, Manufacturers and WDs Can Do to Mitigate Threats
Cybersecurity threats continue to be one of the most important concerns for businesses and organizations. During this live webinar, aftermarket executives and decision makers will learn everything they need to know about how to make educated cybersecurity decisions. The information conveyed will help businesses identify key vulnerabilities within their organization and provide strategies and techniques for mitigating security threats.

Register here.

Thu, 08/05/2021 - 09:59

By Ashley Reyes

Virtual EducationAvailable when you need them, where you need them—SEMA’s On-Demand Virtual Education library includes dozens of recorded sessions that SEMA members can access anytime, anywhere.  

Below are newly added and popular recordings that are available. For a complete list of sessions and registration information for upcoming webinars, visit www.sema.org/virtual-education.

ADAS Webinar Series

ADAS Technologies: Real-World Systems and Trends (Part One)
Advanced driver assistance systems (ADAS) are now becoming standard on new vehicles. Aftermarket parts manufacturers and installers must adapt to the change and learn how to work with the new technology. In this webinar, industry experts provide a high-level look at current ADAS systems’ function, technology and trends. Watch on-demand.

ADAS Technologies: Making Sense of Simulation, Testing and Calibration (Part Two)
Learn how to test and verify that products perform as designed, without affecting OEM functionality or ADAS systems. In this webinar, experts and leading providers of ADAS simulation, testing and calibration explain the testing process, what it means, how it works and what to expect. Watch on-demand.

ADAS Technologies: How to Navigate Product Development (Part Three)
In the final session of the ADAS Webinar Series, leading aftermarket manufacturers who have successfully developed and launched products for ADAS-equipped vehicles share the steps they took to understand the systems, design compatible parts, and validate the functionality of all OEM features. Watch on-demand.

ARMO Builder Series

Episode One: Bob Smith “The Ferrari King”

Get to know the legendary builder and founder of Coachworks Bob Smith, who is sometimes dubbed “The Ferrari King.” Hosted by Sabra Johnson of City Classic Cars, the video features intimate and candid conversations showcasing Smith’s passion and creativity. The two talk shop and all things restoration, including lessons learned from working in the industry, advice for other restoration builders and more. Watch on-demand.

SEMA Industry Insights Series

2021 SEMA Market Report Webinar
As aftermarket businesses and the economy begin to recover from the COVID-19 pandemic, businesses must stay informed about trends that have changed and where the most opportunities can be found for various aftermarket segments. Watch as the SEMA Market Research team presents highlights from the recently released “2021 SEMA Market Report,” including key trends and insights on sales, consumer behavior, industry trends and more. Watch on-demand.

Industry Talks Track

ETTN Live Chat featuring Matt Beenen
2018 SEMA Launch Pad winner Matt Beenen has led BuiltRight Industries to developing and launching more than 80 unique aftermarket products in less than five years. In this Facebook live chat recording, Beenen discusses how the recent affordability of rapid prototyping and 3-D tools have leveled the playing field for small businesses, and how using 3-D scanning, 3-D printing and AR/VR can shorten iterative design cycles and encourage innovation. Watch on-demand.  

ETTN Live Chat featuring David Goch
The automotive aftermarket is impacted by countless political and environmental policies. In this Facebook live chat recording, SEMA General Counsel David Goch shares information that will help manufacturers understand current emissions testing and policies, where the future is headed, and how aftermarket companies can adapt their products to be compliant. Watch on-demand.

SBN Live Chat featuring Shannon Welch
Stop worrying if you are good enough or smart enough, and focus instead on being valuable. During this Facebook live chat recording, Shannon Welch, former communications director at ULTRA4 Racing and founder of “Hey Shannon Quick Question,” shares lessons learned from her entrepreneurial journey that will help others gain the confidence they need to create value that will ultimately attract success. Watch on-demand.

YEN Live Chat featuring Jim Liaw
When co-founder of Formula DRIFT Jim Liaw introduced drifting to the United States in 2003, the sport was mostly unknown. In this Facebook live chat recording, Liaw shares how the premier United States drifting series came to be, what other motorsports events he’s helped organize and why he supports the RPM Act. Watch on-demand

Thu, 08/05/2021 - 08:23

By Linda Spencer

Global Media
Join SEMA Monday, November 1, for a series of roundtables focused
on key international markets.

Exhibiting at the SEMA Show? Registration is now open for the International Happy Hour, where you can network with international buyers and global enthusiast media.

Want to meet with international buyers even before the Show opens? Join us on Monday, November 1, for four International Roundtables.

For a copy of the Roundtable schedule and other international programs and resources at the 2021 SEMA Show, including how to order a complimentary “We Export” sign, visit SEMA News.

For more information, contact Linda Spencer at lindas@sema.org.

Sun, 08/01/2021 - 18:31

SEMA News—August 2021

LEGISLATIVE AND TECHNICAL AFFAIRS

Fighting Against Regulatory Overreach

By Caroline Fletcher

Overreach
SEMA advocates for the industry before regulatory agencies
since government officials have authority to regulate a broad
range of issues that may impact SEMA members and their
customers. Photo courtesy: Shutterstock.com

Most people involved in the automotive industry have heard of the RPM Act, SEMA’s federal legislation to ensure that street vehicles can be modified into dedicated race cars. However, many people aren’t aware that SEMA works to influence regulatory agencies as well as the legislative process.

While not as flashy as introducing a bill in Congress, much of SEMA’s advocacy efforts are on the regulatory front—protecting members and enthusiasts from bureaucratic overreach. Regulatory agencies frequently issue proposed rulemakings, and they have authority over a broad range of issues that could impact SEMA members. SEMA staff monitor the Federal Register (where federal rulemakings are published daily) to make sure that the automotive aftermarket’s concerns are taken into consideration before the rulemakings are finalized.

In the last few months alone, SEMA has submitted comments to the U.S. Environmental Protection Agency (EPA), the National Highway Traffic Safety Administration (NHTSA), the Patent and Trade Office (PTO), and the California Energy Commission (CEC) on topics of importance to the specialty auto parts market, ranging from cybersecurity and ethanol-blended gasoline labels to tire standards.

Cybersecurity is an issue of growing concern for many industries, including the automotive aftermarket. SEMA submitted comments to NHTSA on its updated document, “Cybersecurity Best Practices for the Safety of Modern Vehicles.” SEMA is supportive of cybersecurity best practices for vehicles that maintain the legal right of vehicle owners to access data, hardware, and software in order to repair or modify their vehicles.

In its comments, SEMA cited the recent Massachusetts right-to-repair ballot initiative that passed in 2020, emphasizing consumers’ desire to legally modify and repair their vehicles how they see fit. SEMA recommended that the best practices document’s reference to “vehicle modification” be expanded to confirm the consumer’s right to modify their vehicles in addition to having them serviced. SEMA also recommended that NHTSA clarify that the document applies to all types of aftermarket parts, not just the referenced mobile phones or other digital devices.

Overreach
SEMA noted that it is working with lawmakers, regulators and
industry partners to make sure customers always have a
chance to modify and customize their vehicles. Photo
courtesy: Shutterstock.com

Other issues of increasing interest for the automotive aftermarket are advance driver-assistance systems (ADAS) and automated driving systems (ADS). While NHTSA was focused on developing a framework for ADS safety, SEMA noted that automated driving relies on ADAS technology (cameras, radar, LIDAR, etc.) for features such as advanced braking and lane departure, so the two issues are commingled.

Within that context, SEMA’s comments focused on information availability to the automotive aftermarket in the coming years to ensure that vehicles can be independently serviced, repaired and modified as new ADS/ADAS-related technologies emerge. As the agency works with industry stakeholders to create a regulatory overlay for both topics, SEMA took the opportunity to proactively focus attention on the issue.

In comments to the EPA on its proposed rulemaking on E15 gas pump labels, SEMA pushed back on the EPA’s proposal to limit or remove the labeling requirement. Ethanol—especially in higher concentrations such as E15—can cause metal corrosion and dissolve certain plastics and rubbers in older automobiles that were not constructed with ethanol-resistant materials, or in certain specialty high-performance equipment.

SEMA expressed dismay that the EPA would suggest making the current label smaller in size and soften the warning language—or rescind the warning label altogether—since there are still millions of older vehicles and non-road vehicles for which ethanol poses a threat. SEMA argued that the label needs to be larger and have a stronger warning to prevent misfuelling.

Protecting SEMA members’ intellectual property rights and combatting counterfeit product sales is a top priority. SEMA submitted comments to the PTO in support of its proposal to develop a national consumer awareness campaign on combatting trafficking in counterfeit and pirated products. For example, current major sources of counterfeit products are internet consumer purchases that arrive in the United States via postal and overnight carriers rather than container ships.

SEMA noted that it is working with lawmakers, regulators, and industry partners to combat the problem. SEMA is a part of the National Association of Manufacturers’ anti-counterfeiting task force, which is seeking to enact legislation that would require e-commerce platforms to provide basic information about their identity and location and to compel the platforms to exert oversight over their sellers.

While this article focuses on federal issues, SEMA also monitors and advocates on behalf of the industry before state-level regulatory bodies. Most recently, SEMA provided comments on the replacement tire efficiency program being pursued by the CEC. SEMA worked with California lawmakers in 2003 to limit the scope of the Replacement Tire Efficiency Program (AB 844), which largely applies to mass-produced passenger and light-duty truck tires.

Overreach
Other issues of increasing interest for the automotive
aftermarket are\ advance driver-assistance systems (ADAS)
and automated driving systems (ADS). Photo courtesy:
Shutterstock.com

Lawmakers provided an exemption from the program to five categories of tires, including tires with the same SKU, plant and year in volumes of 15,000 or less annually, along with several other categories. The exemptions apply to most specialty tires marketed by SEMA members.

In its comments, SEMA reinforced the idea that the program is a consumer awareness initiative and not a mechanism for removing consumer choice. SEMA also reminded regulators that consumers may desire to emphasize tire characteristics other than fuel efficiency for their driving needs when selecting a replacement tire, such as wet traction, handling or mileage.

While federal and state regulations aren’t a subject many people find riveting, bureaucrats sitting in office buildings in Washington, D.C., and in state capitals around the country can have enormous impact on issues relevant to the automotive aftermarket. Those positions usually aren’t elected but appointed, so they lack the level of accountability that can keep elected officials in check. However, SEMA members can rest easy knowing that their industry is being looked out for from incoming threats from regulatory agencies.

Sun, 08/01/2021 - 18:13

SEMA News—August 2021

LEGISLATIVE AND TECHNICAL AFFAIRS

COVID-19’s Unexpected Automotive Consequences

New Legislative Proposals Target Street Racing, Loud Vehicles

By Christian Robinson

Street Racing
Illegal street racing took off during the pandemic, sometimes
to deadly effect. Photo courtesy: Shutterstock.com

When the COVID-19 pandemic took hold in early 2020 and stay-at-home orders became the new normal, many Americans suddenly found themselves stuck at home with spare time on their hands. Often, that meant new hobbies or binging on classic TV shows. For gearheads across the country, it was a new opportunity to put in quality time on the project car that had been collecting dust in the garage. As a result, many manufacturers in the automotive specialty-equipment aftermarket experienced boom markets. Unfortunately, not all of the automotive trends to emerge from the pandemic were positive, especially when it came to state legislation.

The early days of the COVID-19 pandemic were uncharted territory for most Americans. Business as usual had been turned on its head by wide-ranging shutdown orders. Unless travel was “essential,” Americans were told to remain at home. As a result, roadways were eerily empty. While most people heeded instructions to limit their time spent out and about, others saw an opportunity to behave badly.

Illegal street racing took off during the pandemic, sometimes to deadly effect. In New York City, incidents of illegal racing increased 500% from 2019, while the city of Albuquerque, New Mexico, handed out thousands of tickets during a crackdown last fall. In Arizona, Georgia and Oregon, innocent bystanders lost their lives after being struck by out-of-control racers. As a result, at least a dozen states have taken up measures to crack down on those who feel the need to turn public roadways into their own personal dragstrips.

While most states already have laws on the books making street racing illegal, the latest efforts sought to increase and expand the penalties, including substantially raising fines and jail time, seizing vehicles, and enforcement against all who were involved in the practice, even if they weren’t behind the wheel.

SEMA has long held that all racing should take place on the track and not on public roads. While none of 2021’s proposals to curb illegal street racing impact law-abiding enthusiasts, the association continues to monitor and track such legislation in all 50 states. To see if your state is considering new restrictions on street racing, please visit www.SEMAsan.com/legislation.

Bills targeting illegal street racing weren’t the only automotive trend emanating from state capitols this year as a result of COVID-19. Motor vehicle exhaust noise also found itself in the crosshairs.

For many workers across the country, the pandemic meant an unexpected shift to remote work. Office settings suddenly changed from cubicles to dining-room tables, with business being conducted on Zoom. Not only that, but people were forced to exercise in the great outdoors while gyms and fitness centers were closed. Additionally, an evening spent at a local eatery meant dining al fresco. As a result, people became far more aware of their surroundings and the noises that come with them, especially from cars and trucks.

So far in 2021, 11 states have introduced bills aiming to curb the amount of noise emitted from a vehicle’s muffler. While no two states’ means of achieving that goal have been identical, they all have one thing in common: They were requested by constituents upset by loud vehicles in their communities.

Street Racing
Some lawmakers had their own ideas in mind when it came to
regulating muffler noise. In New York, Nevada, Vermont and
Oregon, legislators proposed banning any modification to a
vehicle’s exhaust system that made it louder than when it left
the dealership. Photo courtesy: Shutterstock.com

In some instances, that presented an opportunity for SEMA to promote its model legislation, which sets a reasonable exhaust noise limit of 95 decibels when using an objective Society of Automotive Engineers test. Georgia, Maryland, Hawaii and Texas each opted to go that route, which sets the bar high enough to allow enthusiasts to enjoy their passion.

However, some lawmakers had their own ideas in mind when it came to regulating muffler noise. In New York, Nevada, Vermont and Oregon, legislators proposed banning any modification to a vehicle’s exhaust system that made it louder than when it left the dealership.

That approach is problematic for several reasons. For starters, it sets hundreds if not thousands of exhaust noise standards for police to enforce. For example, a midsize family sedan may emit 80 decibels of noise, while a high-performance sports car emits 95 decibels. It is unreasonable to expect law enforcement to know the factory noise level for thousands of makes and models.

Worse, the owner of the same sedan may install a new cat-back exhaust system made by a SEMA-member company that marginally increases the vehicle’s noise. If those states had their way, the modified grocery getter would be illegal while the louder stock sports car would pass muster. It simply defies logic.

Fortunately for SEMA-member companies and enthusiasts alike, SEMA’s Government Affairs staff has been successful thus far in killing or amending any onerous proposals before they become law. Why? SEMA’s position on exhaust noise is well established.

For decades, SEMA’s Government Affairs team has successfully worked to ensure that states enact reasonable muffler noise laws that are not burdensome to the industry while not creating a nuisance for local communities. Successfully enacted in states such as California, Maine and Montana, SEMA’s model bill sets one exhaust noise limit (95 decibels) and uses an objective test procedure (SAE J1492) to determine compliance. The more states that enact the bill, the easier it is to get others to do the same.

QRHas your home state enacted SEMA’s exhaust noise model bill? To learn more, contact Christian Robinson with SEMA Government Affairs at christianr@sema.org, or find out by visiting www.semasan.com/resources/exhaust-noise-laws-state.

Sun, 08/01/2021 - 15:16

SEMA News—August 2021

FROM THE HILL

Behind the Scenes With U.S. Representative Bill Posey

Florida Congressman Tells SEMA News About His Racing Experiences

By Eric Snyder

Bill Posey
U.S. Representative Bill Posey (R-FL) after a win at New Smyrna
Speedway.

How many members of Congress have sold more than 100 racetracks, raced professionally, and have fought to reform government at the local, state, and federal levels? If your answer was one, you guessed correctly. U.S. Representative Bill Posey (R-FL) is one of a kind. He is a former racer, classic car owner, and has been one of SEMA’s strongest supporters since his days in the Florida State Legislature. When he’s not fighting to make the federal government more accountable and fiscally responsible, he’s working to advance policy solutions that benefit racers and automotive enthusiasts.

Rep. Posey serves as the House co-chair of the Congressional Automotive Performance and Motorsports Caucus, a position he’s uniquely qualified for given that he’s owned more than 30 race cars. He enjoys driving his ’66 Chevrolet Chevelle Malibu, ’57 Chevy stock tribute and ’30 Model A Ford Speedster when he’s back home in Florida. His daily driver is a ’15 Mustang GT. The Congressman is also an accomplished stock car racer, having received the Victory Lane Racing Association award for short track driver achievement in memory of Davey and Clifford Allison presented by Bobby and Judy Allison, Living Legends of Auto Racing, and other Hall of Fame awards.

Growing up in Southern California in the ’50s, the car culture was omnipresent. As a young boy, Rep. Posey started attending short track races with his father and riding his bike to watch older children race midgets. His family moved to the Space Coast of Florida, also known for its proximity to Daytona, when he was nine; his father accepted a position working on the Delta rocket. Rep. Posey witnessed the last Daytona race on the beach in 1958 and attended the next 10 Daytona 500s at the Super Speedway. By age 13, he started racing a Harley-Davidson motorcycle. Rep. Posey purchased his first stock car at 15 and a ’54 Corvette when he was 16. He also raced a local businessman’s ’33 Ford with a fuel injected Hemi and a ’56 Chevy Gasser.

Bill Posey
Former SEMA Chairman of the Board and member of the SEMA
Hall of Fame Doug Evans (left) and SEMA President and CEO
Chris Kersting (right) present Rep. Posey with an award at the
2017 SEMA Washington Rally.

By his senior year at Cocoa High School, Rep. Posey purchased Mercury Astronaut Gus Grissom’s ’63 fuel-injected Corvette. Of course, he raced that too. After graduating from Brevard Community College with an Associate of Arts degree in 1969, he worked as an inspector for McDonnell Douglas on the third stage of the Saturn V Apollo rocket at the Kennedy Space Center but was laid off shortly after the Moon landing. While this period of transition ended his work in aerospace, it was the start of his career in real estate, including the buying and selling of racetracks.

At the age of 21 he was primarily racing at the Eau Gallie Speedway in Melbourne, Florida. When the track closed, Rep. Posey then formed the Mid-Florida Racing Association Inc. which bought, renovated and operated the speedway. Two years later he wrote the first book ever published about race promoting.

Rep. Posey heard the call to public service in 1974 when he was recruited to join the Rockledge Planning Commission. He was elected to the Rockledge City Council in 1976, serving for 10 years.

While Rep. Posey took a 12-year break from racing after the birth of his first child, he couldn’t keep away from the track and started to race again in the ’80s, primarily at Orlando Speedworld and New Smyrna Speedway.

He founded Posey & Co. Realtors and served as a Director of the Florida Association of Realtors and President of the Space Coast Association of Realtors. Continuing his ties to the motorsports industry, he established the National Racetrack Clearinghouse, which listed and sold racetracks in 35 states.

In 1992, Rep. Posey was elected to the Florida House of Representatives where he served for eight years before being elected to the Florida Senate in 2000. Despite his burgeoning political career, Posey continued to race late-models as a state lawmaker and began competing in classic race cars on dirt and asphalt in 2001.

SEMA started working with Rep. Posey when he was serving in the Florida Senate, where he was a charter member of SEMA’s State Automotive Enthusiast Leadership Caucus and sponsored SEMA-model legislation in 2007 to amend the vehicle titling and registration classification for street rods and create a new classification for custom vehicles. In 2008, he introduced legislation to provide an exemption from the commercial motor-carrier regulations for vehicles that occasionally transport personal property to a motorsports facility. Both bills were enacted into law. He also led the successful effort to reform Florida’s insurance laws to increase competition and lower rates and oversaw reforms to lower the cost of workers’ compensation, medical malpractice, and automobile insurance laws.

Bill Posey
Congressman Posey competes at Eau Gallie Speedway in
Melbourne, Florida, in his ’56 Ford.

When former U.S. Representative Dave Weldon announced his retirement from Congress in 2008, Posey once again heard the call to serve. He won a three-way primary for the U.S. House of Representatives and went on to handily win the general election. Rep. Posey currently represents the 8th Congressional District, which encompasses all of Brevard and Indian River Counties, and a portion of east Orange County.

Rep. Posey continues to be an excellent friend to automotive enthusiasts, racing, and the specialty automotive aftermarket in Washington. He was an original sponsor of the Low-Volume Motor Vehicle Manufacturers Act, which streamlined the requirements associated with producing replica vehicles. Rep. Posey worked closely with the White House and the U.S. Department of Transportation to advocate for completing the replica car rule in the final days of the Trump Administration. He is also an enthusiastic supporter of the Recognizing the Protection of Motorsports Act (RPM Act), serving as an original cosponsor of the bill during each session that it’s been introduced. As an accomplished racer, he is passionate about amending federal law to clarify the right to convert a street vehicle into a race car.

The Congressman is also a fierce advocate for reining in federal deficit spending and reducing government regulations. Rep. Posey serves on the Financial Services Committee and its two subcommittees on Consumer Protection & Financial Institutions and Housing, Community Development & Insurance. He is also a member of the Committee on Science, Space and Technology and its subcommittee on Space & Aeronautics.

Now, let’s go behind the scenes and hear directly from Congressman Posey.

SEMA News: What sparked your interest in cars and racing?

Bill Posey: It started when I was just a child. We lived in Encino, California, and my dad took me to what were then known as jalopy races at tracks in Culver City, Saugus, and other places around Los Angeles. I loved it, and we had a great time together.

I also used to ride my bicycle to watch the kids race midgets at a public park there that was about a mile or two away. It was exciting stuff. My one lifetime achievement that went unfulfilled is that I never had a quarter midget. Our family just couldn’t afford it. They were luxury items back in those days.

SN: Which classes of racing did you compete in?

BP: I started in the early model class at Eau Gallie Speedway. I raced there, on and off, from 16 until I was 21. I had a number of different cars, including a ’51 Ford, ’55 Chevy, two Hudson Hornets, and then a ’56 Ford, which was my best one, and I finally learned how to make these things work. Back in those days, a lot of performance products were homemade, including downdraft intake manifolds and headers.

I remember when I bought a cam for my ’56 Ford. It was a Crane cam. And if you go back to 1969, Harvey Crane was answering the phone. I told him what I wanted, referencing the lift and duration that the other guys were saying they were running, and Mr. Crane said, “I think you’re over-camming that thing for what you have in it. Send me your old cam, and I’ll regrind it for you.” Instead of charging $60 for new cam, he reground my cam for $25. And this was Harvey Crane!

Bill Posey
Rep. Posey prepares to drive a ’30 Ford Speedster in the annual
North Turn Legends Beach parade at Ponce Inlet, Florida.

SN: What motivated you to become a racetrack owner?

BP: I wanted to race, and Eau Gallie Speedway was closed. The next closest track is probably 60 mi. away. The previous owner of Eau Gallie Speedway was just behind on his payments, and I just got laid off from the Apollo rocket program. I worked as an inspector on the rocket. Not long after we got a man on the moon, they laid us off because we already had the next three rockets pretty much ready to go. At that time, I was wondering if I could make a living in racing.

I blew up the engine on my car the last night the racetrack operated before it closed. The owner was in foreclosure, so I cut a deal with him and quickly formed a company. I was only 21 years old at the time.

I put together a business plan and ran the numbers for what I thought it should look like for six months. A buddy and I each put up $10,000, and I went to the owner of the racetrack. I said, “Listen, in 30 days you’re evicted from this place and you’ll have nothing. If you agree to put in your equity, we’ll each own a third of it. Let me go renegotiate this mortgage. I think we can pay it down with $10,000 and then have $10,000 to make some improvements.” He was impressed enough with the business plan that he agreed to it.

I owned the racetrack for about a year and turned it around. I promulgated a new set of rules that made sense. I had the first tire rule that I ever heard of in the country in 1969. Nobody else had tire rules anyone would want to have.

SN: How many tracks were you involved in buying and selling?

BP: In more than 40 years, maybe 100.

SN: What inspired you to run for office?

BP: I never saw myself involved in politics. I was in real estate and sold a friend a building lot, but the owner couldn’t get a permit to build his house because the city never dedicated the street. The city manager told me it’s the city’s fault, the developer did nothing wrong. It’s just a box they didn’t check, and he needed to check it before he could issue more permits. But one guy on the city council gave me a rash of baloney three times. I kept my mouth shut until after the thing was approved, and I shot back a wise comment to him. When I left city hall, a bunch of people followed me downstairs and said “it’s about time somebody stood up to that bully. You need to run for office.”

A friend of mine worked for Boeing and was on the council. He got a job promotion and moved to Seattle, so there was a vacancy and people encouraged me to run for it. I just started my real estate company, so my attention wasn’t on running for office. The day before the qualifying deadline, when I came home from work my wife Katie told me that, “three more people called today encouraging me to run.” So, we prayed about it. At the time I was thinking along the lines of, “if you want me to do that, you’re going to have to show me a way to do this that’s not going to be too expensive or too time-consuming.” Then I walked into the den and started opening the mail, and there’s a letter with no return address. Inside was a wanted poster for William J. Posey, like they put on the post office wall.

So, I decided to run. I drew up a poster with WANTED at the top. Under that it said “For Better Ideas” followed by my photograph and “REWARD.” The reward was my ideas about how to make government more efficient. I went down the next day to Village Printing and paid $100 to print up about 300 posters and filed for office on the last day. I came in middle of the pack, but I only had about 10 days to campaign before the special election.

A college political science teacher won, and I told him that he would always have my support if he did what he promised. After getting sworn in down at city hall, he gave some remarks and said, “It’s a good thing people didn’t elect Bill Posey blah, blah, blah.” He kept egging me on to run. So, a year later, at age 26, I spent $400 and unseated the political science professor. I served three terms. I promised my wife I would never run again. I was off for seven years, and they were the best seven years of making money, selling real estate, selling racetracks, racing cars, having a good life. I’ve been working as an elected official ever since.

​ Bill Posey
Congressman Posey celebrates a 1982 super late-model victory
at Orlando Speedworld.

SN: Why is the RPM Act so important to the future of motorsports?

BP: Well, if you don’t get interested in politics, you’re probably going to be out of business. That’s the bottom line. We know that our government tends to overregulate, including the automotive field. They also tend to be dishonest about it, as evidenced by the threat the RPM Act was initiated to defeat. They tried to sneak in rules saying you can never remove any pollution control devices even if it’s not for the street. I keep up to date on the bills introduced, but I don’t have a chance to read all the rules and regulations. Most people don’t know that rules are enforceable as laws, and rules are made by unelected bureaucrats. The Federal Register was 1 to 5 in. thick!

One of my big three goals in the Florida Legislature was to change the state’s Administrative Procedures Act, which I did. It took me eight years to do it. One of my goals was to change that up here, so that they couldn’t make laws they weren’t authorized to do. The EPA wasn’t authorized by any legislation to write a rule declaring it illegal to convert a motor vehicle into a race car, but they did anyway. Had it not been for SEMA, it would have been implemented. I didn’t catch it, nobody else caught it, because we don’t read the rules. The only thing we do about a bad rule, is to pass legislation to counteract it. It’s purely a matter of freedom. The omnipresent defenders of the nonexistent problems of the people never sleep!

SN: What can motorsports industry members do to better protect the future of racing? What can they do to make an impact?

BP: Get engaged. There are so many things on peoples’ plates right now between the pandemic, the border crisis, and the economic crisis. They don’t worry about automotive issues until they go to a car show or racetrack on a Saturday. It’s hard to keep it front and center.

If you’re worried about the defense of your industry, follow the SEMA Action Network (SAN). People need daily reminders, such as a decals on the back of their vehicle—maybe a sticker that says, “I vote motorsports rights!”

People need to understand. Performance automotive enthusiasts can’t sit on their hands hoping to be the last sheep eaten. Because surely, they will be eaten if they don’t take action and stop this craziness.

Sun, 08/01/2021 - 15:07

SEMA News—August 2021

RESEARCH

The Latest SEMA “State of the Industry Report”

Market Research to Inform Business Planning After a Year of Disruption

By Mike Imlay

State of Industry
As the worst of the pandemic recedes in the United States, where
does the industry now stand? The latest SEMA “State of the Industry
Report” looks at how the aftermarket weathered disruptions and is
poised for renewed growth this year and beyond.

Back in late 2019, the trendlines looked good for the automotive specialty-equipment industry. Then, of course, the 2020 pandemic threw the world into confusion. As lockdowns swept the United States, uncertainty gripped virtually every market sector, including the aftermarket. With the pandemic ebbing, it’s a good time to assess where the industry finds itself and where it may be headed. Enter the latest SEMA 2021 “State of the Industry Report,” now available from SEMA Market Research.

Seeking to bring some clarity to a jumbled financial picture, the report is based on a statistical survey of aftermarket manufacturers, distributors and retailers/installers who were asked a series of questions touching on their overall economic health as well as their expectations and outlooks for the coming year. Government data encompassing broader American consumer and automotive-sector trends was also tapped for comparison with industry benchmarks.

Company Sales Performance Over Time

State of Industry
Statistical surveys performed by SEMA Market Research indicate that
the aftermarket’s manufacturing, distributor and retailer/installer
sectors have all largely weathered the COVID-19 disruption. As
companies continue to recover, many are experiencing strong sales
growth.

“This is a study that we do twice a year to gauge the state of the industry, how aftermarket sales are doing, and other metrics that are of interest to SEMA members,” said SEMA Market Research Manager Kyle Cheng. “For this report, we were especially interested in how the industry did after a lot of disruption. Now that we’re further removed from the initial shock of the pandemic, the data is reflective of where our businesses stand as we return to some sort of normalcy.”

According SEMA Senior Director of Market Research Gavin Knapp, the study was designed as a comprehensive view of the aftermarket.

“We looked across the industry at different business types, from manufacturers to retailers, distributors and other business models,” he said. “Wherever they are in the industry, whether they focus on classic cars or musclecars or whether they’re in the performance or accessory world or even the racing world, our goal was to bring them all together and get their input for our ‘State of the Industry’ research.”

When Companies Expect Industry To Return to Pre-Pandemic Levels

State of Industry
With the pandemic not yet completely in the rearview mirror, some
aftermarket companies believe there is still work to do before the
industry fully recovers. However, the aftermarket is showing more
optimism about rebound than it did last fall.

A Year of (Mixed) Growth

Perhaps the report’s biggest takeaway is the impressive aftermarket sales growth that followed the widespread U.S. lockdowns shortly after COVID-19 hit.

“Obviously, the elephant in the room is that sales have really performed and that many companies have really killed it,” Cheng said. “We’ve heard anecdotally from a lot of them that they’ve seen record sales, and the data largely supports that across the industry. That’s not to say that some companies out there—particularly retailers—weren’t hit fairly hard in sales, but most companies are showing pretty good sales growth compared to where things were last fall.”

For many companies, the surge in sales came as an unexpected windfall, Knapp added.

How Total Number of Staff Changed Over Past Year

State of Industry
While all sectors of the specialty-equipment industry suffered some
degree of job losses, most companies managed to maintain and, in
some cases, even grow their staffs over the past year.

“The pandemic shutdowns brought a lot of disruption over the last year, and we would’ve expected a year ago that there would be some serious ramifications for the industry in terms of sales,” he said. “But while companies were really worried last spring and even took a sales shock, the outlook was much better by fall. Now we’re seeing even more increases. We’re at a point where a majority of companies report doing as well as or better than they did in 2019 over this past year.”

That specialty-equipment sales growth mirrors an overall trend in the automotive sector at large. In March 2021, U.S. government data indicated that consumer spending at motor vehicle and parts dealers had hit $135.5 billion—the highest number ever recorded. By the following month, that figure had climbed even higher to $139.5 billion.

“This record spending is helping our market recover a lot faster,” Cheng noted. “On top of that, automotive parts production, which was disrupted in the beginning of the pandemic, is now reaching really high capacity and producing more parts than it had in the last 20 years.”

Overall, aftermarket manufacturers saw the steadiest sales growth, while the industry’s retailers experienced a more mixed outcome.

“In a recession, we would typically expect a lot of hurt across all industries and sectors of the economy, but this was very sectorial,” Knapp observed. “Certain industries were hurt a lot, others not so much. Luckily for us, our industry was one that fared very well. But even within our industry, there were a lot of differences.”

On the manufacturing side, business remained good as long as consumers were buying parts and manufacturers could crank them out and ship them. But Knapp explained that the inherent structure of retailing sometimes worked against resellers and mom-and-pop shops.

“For example, people were afraid during lockdowns—and sometimes are still afraid now—to go into a brick-and-mortar store,” he said. “We also saw a lot of differences in results, depending on the size of a business. Larger businesses came through very well and have by this point not only recovered but are likely to say they’re growing, but there is a larger proportion of smaller businesses who say they got hurt over the year and are still feeling it.”

The ability to source products from multiple suppliers and to sell online helped many businesses (notably manufacturers) weather the storm. Leveraging social-media channels also seemed to bolster retail sales for many. While the downturn was generally tougher on retailers, fewer than a third of those surveyed for the “State of the Industry Report” said they suffered losses over the past year. In fact, a relatively healthy 40% said they grew their sales—some by double digits. Without minimizing the pain of the smaller businesses that struggled, the aftermarket retail segment in general demonstrated remarkable resiliency.

“If you think about how things looked a year ago, again, those numbers are better than we might have expected,” Knapp said. “While we can say the pandemic hurt more retailers than it did manufacturers or other types of businesses, it certainly wasn’t uniform.”

Expect Industry to Grow Next Year

State of Industry
Among retailers and installers, business size as reflected in
sales noticeably influences expectations for industry
recovery.

The Industry Is Hiring

After some industry job losses last year—with 17% of manufacturers, 21% of distributors and 13% of retailers reporting staff decreases—the good news is that the industry is looking to hire in the coming months. Moreover, the positions that aftermarket businesses seek to fill are broad and varied.

“Companies across the board are certainly looking for more general-labor-type people to work in warehousing, shipping and areas like that,” Knapp explained. “However, a lot of companies on the manufacturing and retail sides are also looking at other jobs, such as sales. As things ramp up, there will also be engineering and product-development-type jobs as well as other skilled positions to move products out the door. In fact, 83% of manufacturers expect to increase staffing in the next 12 months or so. That’s big.”

Cheng added that the industry has made significant progress in bringing back jobs thus far.

“Within a period of a couple of months, we had recovered about 80% of the jobs that were lost over the past year,” he said. “It’s that last 10% to 20% that is going to take some time to fully bounce back from, and when we look at companies’ opinions on when the industry will be back to pre-pandemic levels, most are looking at the end of 2021 as the goal.

When Industry Will Return to Pre-Pandemic Levels

State of Industry
Looking specifically at retailers/installers, most believe the
industry will be back to pre-pandemic levels by the end of
2021.

“Along those lines, the pandemic disrupted a lot of supply chains, so companies are looking at ways to repair and rebuild that infrastructure or find alternative pathways. In order to do that, you need a lot of staff and resources. That could also mean a lot more business opportunities. A lot of companies relied on international suppliers that were disrupted severely, so new ways to source parts will be an important issue for the future.”

Out of the Storm?

Taking into account the sharp ups and downs of the past year, the various uncertainties still playing out in the overall economy and the business challenges ahead, what’s the prognosis for the industry? Are the economic winds blowing favorably again for the aftermarket?

“I think the overall story is pretty good,” Cheng answered. “Our companies are doing pretty well. They’re optimistic for the future. Still, there is a fair degree of economic uncertainty. Companies are kind of figuring out where the economy is and where it will be in the next couple of months. Obviously, the virus situation has gotten a lot better, but there’s still some concern that about that, too.

“Another factor is consumers. Over the past year, they have spent a lot of money on our industry, as we see from the government data, but will they continue to funnel money into our industry at the levels they have lately as we return to normal? That’s going to be an important question moving forward. All indications are yes, but consumers will have more options. Of course, enthusiasts will always find ways to invest in the aftermarket.”

Knapp agreed.

“Keep in mind that as we look at expectations for this year, we see that 70% of our manufacturing and 57% of our retailer respondents said they expect to grow,” he said. “Only a very small portion expect to see declines this year, so optimism for sales in 2021 is really strong across the industry right now.”

Get the Latest Research

To download your free copy of the 2021 “State of the Industry Report,” visit the SEMA Market Research webpage at www.sema.org/market-research. While there, be sure to check out the many other research reports that can help your business succeed and prosper in 2021 and beyond.

Sun, 08/01/2021 - 14:57

SEMA News—August 2021

LEGISLATIVE AND TECHNICAL AFFAIRS

Law and Order

By Stuart Gosswein

FEDERAL UPDATE

FTC Report on Right to Repair: The Federal Trade Commission (FTC) issued a report to Congress that is highly critical of anti-competitive repair restrictions employed by manufacturers that limit consumer choice. The report is based on industry research gathered at an FTC workshop in 2019 and covers a wide range of products, including automobiles. The FTC noted little evidence to support manufacturers’ justifications for repair restrictions (e.g., safety, cybersecurity, liability and reputational harm, quality of service). While the Magnuson-Moss Warranty Act makes it illegal to void a warranty or deny coverage due to the mere presence of an aftermarket replacement or specialty part, the FTC expressed concern that new technologies such as software lockouts may prevent independent servicing or installation of the non-OEM parts. SEMA noted at the FTC 2019 workshop that it periodically receives complaints of auto dealerships voiding warranties based on the presence of a specialty part rather than confirming that the part had caused a malfunction. SEMA recommended that consumers be provided a written explanation if being denied warranty coverage. The FTC will consider if there are additional regulatory and legislative actions that can be taken to better protect consumers.

Definition of Independent Contractor: The Biden administration officially withdrew the independent contractor regulation issued in the closing days of the Trump administration. While the issue may be revisited in the future, the U.S. Department of Labor (DOL) is reverting for now to previous guidance on distinguishing whether an individual should be classified as an independent contractor or an employee. Specifically, the DOL is deferring to the seven-factor “economic realities” guidance test issued in 2008:

  • The extent to which the services rendered are an integral part of the principal’s business.
  • The permanency of the relationship.
  • The amount of the alleged contractor’s investment in facilities and equipment.
  • The nature and degree of control by the principal.
  • The alleged contractor’s opportunities for profit and loss.
  • The amount of initiative, judgment or foresight in open market competition with others required for the success of the claimed independent contractor.
  • The degree of independent business organization and operation.

The increase of independent contractors in recent years who perform on-demand services such as drivers and other gig workers has placed a focus on the definition. Company employees have protections under the Fair Labor Standards Act such as minimum wage and overtime compensation that do not apply to independent contractors.

STATE UPDATE

Alaska—License Plates: The Alaska House Transportation Committee passed SEMA-supported legislation to allow the display of only a single, rear-mounted license plate for all passenger vehicles. Under current law, vehicles must display two license plates. The bill currently awaits consideration in the House Finance Committee.

Illinois—Antique Vehicles: The Illinois Senate Transportation Committee passed SEMA-supported legislation to allow expanded-use antique vehicles to be driven without limitation for two additional months. Currently, expanded-use antique vehicles are defined as being more than 25 years old “or a bona fide replica” and are limited to traveling to and from auto shows, exhibitions, service stations and demonstrations during the colder months (November through March) but can be driven without limitation during the warmer months (April through October). The bill proposes that the months without driving limitations be expanded to March through November. The bill previously passed the House of Representatives and now awaits consideration on the Senate floor.

Kansas—Antique Vehicles: Kansas Governor Laura Kelly signed into law SEMA-supported legislation to redefine vehicles eligible to be registered as antique vehicles. Previously, the Kansas Highway Patrol defined an antique vehicle as being “more than 35 years old and as close to the original as possible, without any significant alterations to the major component parts.” The new law requires only that the vehicle be more than 35 years old, regardless of the age of the component parts installed.

Massachusetts—Antique Vehicles: The Massachusetts House of Representatives introduced a pair of SEMA-supported bills to exempt older antique vehicles from the state’s annual safety inspection requirement. The bills apply to vehicles at least 50 years old and registered with antique or year-of-manufacture (YOM) license plates and whose owner is a member of a recognized antique automobile club. Current law requires all vehicles to be inspected every year regardless of model year, including those registered as antiques. The bills await consideration in the Joint Transportation Committee.

Massachusetts—License Plates: The Massachusetts House of Representatives introduced legislation to allow the display of only a single, rear-mounted license plate for all passenger vehicles. Under current law, vehicles must display two license plates. The bill currently awaits consideration in the Joint Transportation Committee.

Massachusetts—YOM Plates: The Massachusetts Legislature introduced a pair of SEMA-supported bills to allow year-of-manufacture (YOM) registration plates to be restored to their original colors and designs. Vehicles registered as antique may currently display YOM plates with DMV approval. DMV regulations state that the plates must be in original condition. The bills await consideration in the Joint Transportation Committee.

New York—Historic Vehicles: The New York Assembly introduced SEMA-supported legislation to allow historical vehicle owners to pay only a one-time registration fee of $100 upon initial registration. Under current law, owners of the vehicles pay a fee of $28.75 every year. The bill currently awaits consideration in the Assembly Transportation Committee.

North Dakota—Antique Vehicles: The North Dakota legislature failed to pass prior to adjournment SEMA-supported legislation to lower the age requirement for a vehicle to be registered as antique from at least 40 years old to at least 35 years old. It also would have lowered the age requirement for a vehicle to be registered as a collector’s vehicle from at least 25 years old to at least 20 years old.

North Dakota—Vehicle Titling: The North Dakota legislature failed to pass prior to adjournment SEMA-supported legislation to allow a “collector’s title” to be issued to an owner of a rebuilt, reconstructed, salvaged, antique or vintage motor vehicle without a certificate of inspection.

Texas—License Plates: The Texas Senate passed SEMA-supported legislation to allow the display of only a single, rear-mounted license plate for passenger vehicles if the vehicle is unable to display a front license plate. The bill awaits consideration by the House Transportation Committee.

RacetracksEconomic Support for Racetracks: SEMA, the Performance Racing Industry and 17 other organizations representing live recreation and amusement venues asked the U.S. Small Business Administration (SBA) to expand the Shuttered Venues Operator Grant (SVOG) program to include motorsports, horse racing, recreation events, and mobile amusement. The COVID-19 pandemic posed significant challenges for racetracks and other live entertainment operators, especially when states placed restrictions on the sizes of gatherings. The U.S. Congress created the $16 billion SVOG program to assist live entertainment and performing arts venues that experienced significant revenue declines, but the SBA did not include racetracks and many other forms of live entertainment in the list of groups that are eligible to apply for grants. The coalition asked the SBA to reconsider its eligibility guidance and is also working with Congress to expand the SVOG program through legislation.

Trade Show Participant Tax Credit: SEMA-supported legislation was introduced in the U.S. Congress that would provide tax credits to cover 50% of the expenses associated with exhibiting at or attending trade shows and conventions in the United States between January 2021 and December 2024. SEMA continues to work with other key industry and trade groups in urging Congress to consider the Hospitality and Commerce Job Recovery Act. The legislation has been referred to the House and Senate tax and finance committees.