Tracking legal, legislative, and regulatory developments impacting the racing and performance industry.

PRI’s Washington, DC-based legal and advocacy teams work continuously to protect and support motorsports venues, sanctioning bodies, and businesses around the nation. We are tracking several topics this month, including a key Supreme Court victory against federal agency overreach, information about the 2024 election vice presidential candidates, a PRI member company hosting a US Congressman, and an exciting new addition to the PRI Government Affairs team.

US Supreme Court Delivers Win for Motorsports Industry Against Federal Agency Overreach

The US Supreme Court delivered a huge win for industries impacted by federal overreach. In its decisions in Loper Bright v. Raimondo and Relentless v. Commerce, the high Court has provided increased regulatory certainty to small businesses around the country, including specialty automotive aftermarket and motorsports companies, that have been adversely impacted by federal regulatory overreach.
The Court’s decisions overturned what is known as the Chevron doctrine, which adopted the principle that judges should defer to federal executive branch agencies’ interpretations of their powers when the laws that Congress has written are ambiguous or have gaps so long as those interpretations are reasonable. The Court’s decision affirms that agencies cannot take actions that are inconsistent with, or not supported by, the language of the laws passed by Congress.
These precedent-setting decisions will provide opportunities to revisit a wide array of regulations that affect so much of everyday life—including issues that directly impact the specialty automotive aftermarket and motorsports industry. For the last four decades, many energy, climate, health, and safety regulations have been given deferential treatment in federal courts because of the Chevron doctrine. During this time, federal agencies expanded the scope of regulations beyond congressional intent, which has adversely impacted small businesses that drive the US economy.
“The recent Supreme Court decision regarding the Chevron doctrine has a positive impact on our industry and the potential regulatory burdens our members face,” said Karen Bailey-Chapman, SEMA and PRI’s senior vice president for public and government affairs. “One key takeaway is that the law is still the law. The sale of parts or components that alter emissions systems out of compliance for on-road use remains illegal. The Supreme Court’s decision no longer gives deference to federal agencies when they fill in the blanks when the law is silent or ambiguous. This decision levels the playing field for our members and returns the power back to the courts to interpret laws as written.”

Things You Should Know About the Vice Presidential Candidates

Former President Donald Trump selected US Senator JD Vance (R-OH) as his nominee for vice president. Here’s what PRI members need to know about Sen. Vance, 39, as it relates to our industry:

• Vance is an EV skeptic. In the Senate, Vance has actively sought to protect the nation’s market for gas-powered motor vehicles, arguing that Chinese-manufactured electric vehicles (EVs) represent a risk to the American workforce, seeking to repeal the $7,500 clean-vehicle tax credit. Sen. Vance introduced the “Drive American Act” (S. 2962), a bill that would provide tax incentives for US-made vehicles that run solely on gas or diesel. He’s regularly sparred with the Biden administration on environmental and energy policy and is expected to align closely with Trump’s positions on ethanol and biofuels.
• He’s a political newcomer. Vance first ran for elected office in 2022, winning a seat to represent Ohio in the US Senate after gaining Trump’s endorsement. Sen. Vance has developed a reputation for occasional bipartisanship, particularly on manufacturing and transportation issues.
• Blue-collar roots. Sen. Vance rose to prominence as the author of the New York Times bestseller “Hillbilly Elegy: A Memoir of a Family and Culture in Crisis,” the true story of his upbringing in poor, working-class America. His background surrounded by divorce and substance abuse in Rust Belt Ohio gives him first-hand perspective into the people of that area and the challenges they face and informs his self-described populist views on jobs, manufacturing, and the economy. Sen. Vance served in the Marine Corps from 2003 to 2007 and is an Iraq war veteran. He is a graduate of The Ohio State University and Yale Law School.

Democratic presidential nominee Kamala Harris made her highly anticipated selection of a running mate, tapping two-term Minnesota Governor Tim Walz. Gov. Walz is a veteran and previously served six terms in the U.S. House of Representatives. Here’s what PRI members should know about the pick:

• He led Minnesota in becoming a CARB state. Climate policy is a core issue for his administration. During his tenure as governor, Minnesota became a “CARB state,” a state that has adopted California’s vehicle emissions standards. This plan has been subject to litigation by the Minnesota Auto Dealers Association, which opposes Minnesota’s clean cars plan and asserts that the state is not allowed to delegate its authority to CARB regulators in California.
• Walz knows cars. Walz, a former public school teacher, once delivered an impromptu lesson in auto repair while on the campaign trail, in the process going viral online for his folksy, clear explanation of the problem and fix.
• Walz is a Midwesterner. Walz was born in Nebraska and entered the public eye as representative of a significantly rural congressional district in southern Minnesota. His Midwestern appeal is seen by some as a counterweight to Harris’s California roots—particularly as she attempts to win over rural and working-class voters who largely lean toward Donald Trump.
• While Walz as governor did sign "right to repair" legislation, the bill did not include language supporting the automotive or farming industries.
   

Hellwig Products Hosts US Representative Jim Costa

While many people assume that lawmakers aren’t working when Congress is not in session, most members are out visiting businesses that are run by the people they were elected to represent. Hellwig Products, a PRI member company, recently took advantage of the Congressional recess week by hosting US Representative Jim Costa (D-CA). Hellwig provided Rep. Costa a tour of its 57,000-square-foot location in Visalia, California, and conversation with its employees.

“Hosting Rep. Costa at our business further solidified the relationship that we have forged over the years with the Congressman,” said Hellwig Products CEO and Owner Melanie White. “I encourage SEMA/PRI member companies to take the opportunity to invite your elected representatives to visit your business. It’s the best way to educate your lawmakers on our industry and its policy needs. We thank Congressman Costa for taking the time to interact with our team and for recognizing the important role that specialty automotive aftermarket businesses like Hellwig play in the local economy.”

Matt Daigle Joins SEMA/PRI Government Affairs as Director, Communications

Matt Daigle has joined SEMA/PRI as director, communications for public and government affairs. He will be based in Washington, DC.
Daigle is a seasoned communicator with more than 20 years of experience and leadership in advocacy and member communications. He has served on Capitol Hill, in a consulting company and in-house at multiple professional associations.

“We’re very excited to have Matt join SEMA/PRI’s DC team. He brings a wealth of experience in media relations and advocacy communications,” said Karen Bailey-Chapman, SEMA/PRI senior vice president of public and government affairs. “Matt’s expertise will help bolster SEMA and PRI’s brand in Washington, DC, and state capitols, and better elevate the important issues we advocate for on behalf of our industry every day.”
In his new role, Daigle coordinates communications strategies and executions with the association’s marketing, councils, membership, political action committees (PACs), and other internal teams. He supports the development and execution of public relations that help shape the views of voters and opinion leaders about the automotive aftermarket industry, its products, and its leadership in the public policy arena.
“I’m excited to join SEMA/PRI at such a pivotal time for the automotive aftermarket,” said Daigle. “Our members make a tremendous contribution to the American economy, and I’m looking forward to sharing their accomplishments and driving positive change for the industry.”
A native of South Orleans, Massachusetts, Daigle received a Bachelor of Arts degree in Communications from Marist College and a Master of Science degree in Journalism from Northwestern University.