Regulatory Changes Coming Under New Administration

The Truckload Carriers Association (TCA) aims to work together with President-elect Donald J. Trump to advance the critical priorities of truckers.

Carolyn Franks Adobe Stock 157451465
Carolyn Franks AdobeStock_157451465

The Truckload Carriers Association (TCA) aims to work together with President-elect Donald J. Trump to advance the critical priorities of truckers.

  1. Independent contractor status. In January, the U.S. Department of Labor officially announced its final rule regarding the classification of independent contractors under the Fair Labor Standards Act. The new ruling under the Biden Administration featured six critical factors for which Independent Contractors must qualify. Due to its intricacies, the ruling jeopardizes the freedoms of those businesspeople who have chosen to become entrepreneurs.

Legislative prediction: The previous rule under the Trump administration was straightforward, establishing two primary factors to determine independent contractors or employment status; TCA predicts that Trump and his administration will reinstate the original rule.


2. Environmental regulations. In March, the U.S. Environmental Protection Agency (EPA) announced a final rule, “Greenhouse Gas Emissions Standards for Heavy-Duty Vehicles – Phase 3,” which sets stringent standards and timelines to reduce greenhouse gas emissions from heavy-duty vehicles from Model Year 2027 to Model Year 2032. The ruling itself relied heavily on battery-electric and hydrogen-electric power systems. However, new battery-electric vehicles (BEVs) present significant challenges: they cost approximately $450,000 each, compared to around $180,000 for a diesel tractor. Additionally, the 16,000-pound batteries in these electric trucks reduce their cargo capacity, potentially requiring carriers to increase the number of trucks on highways to comply with the federal 80,000-pound weight limit while meeting shipping demands.

Legislative prediction: TCA along with over 150 GOP members of Congress supported a letter that was drafted by U.S. Senator Mike Crapo (R-Idaho) and U.S. Representative Randy Feenstra (R-Iowa) urging Administrator Michael Regan of the EPA to withdraw the “EPA’s Final Rule: Greenhouse Gas Emissions Standards for Heavy-Duty Vehicles – Phase 3”.  Expectations suggest that the standards may be revised to levels deemed achievable for internal combustion engines, extending compliance timelines, and exploring alternative pathways to reach emissions targets, such as the adoption of renewable diesel.

 

3.    Infrastructure. In 2021, the Biden Administration signed the $1.2 trillion Investment & Jobs Act (IIJA) for transportation and infrastructure spending, putting aside $110 billion for roads, bridges and significant projects.

Legislative prediction: Just as President Biden played a large impact of the IIJA, President-elect Trump could similarly influence the 2026 infrastructure bill, potentially by reducing environmental provisions and allocating additional funds for expanding highway and bridge capacity.

 

4. Truck parking. Although the Biden Administration did not set aside specific funding for truck parking initiatives in the IIJA, funding for infrastructure projects was generalized.

Legislative prediction: The Truck Parking Safety Improvement Act (S.1034/H.R. 2367) calls for $755 million over the next three years to expand commercial motor vehicle parking throughout the country. The bill itself has been quite favorable for both Republican and Democratic parties, as it shows bipartisanship in both houses of Congress. Vice-President Elect J.D. Vance is a co-sponsor of the bill and has been an ally to the trucking industry.

 

5. Speed limiters. During the Biden-Harris Administration, the Federal Motor Carrier Safety Administration sought to release an SNPRM on Speed Limiters. However, the proposed rule has been delayed throughout Biden’s time in office. TCA has supported this safety technology as many of their Carrier Members have speed limiters in place.

Legislative prediction: The speed limiter rule could be delayed, as many Republicans in Congress are not in favor of this technology. With a Trump Administration and a Prominent Republican Congress, a speed limiter ruling may never come in place.

 

6. Lawsuit Abuse. The Biden-Harris Administration supported labor law legislation to broaden the scope of violations and increase monetary damages, similar to those seen in truck accident lawsuits.

Legislative prediction: The Trump-Vance administration is expected to support legislation that would allow lawsuits to be brought into the federal court system. This move could help curb “nuclear verdicts” (awards exceeding $10 million) against trucking companies. It would also advance tort reform efforts championed by the trucking industry, building on the momentum these reforms have gained at the state level.

 

7. Size and weight. Historically, Congress has consistently opposed raising national semi-truck size and weight limits due to worries about public safety and potential damage to infrastructure. In 2015, the House of Representatives voted on a bipartisan basis to maintain the current federal limits. However, Republicans have always favored increasing a tractor-trailer’s size and weight limits. In the 118th Congress, Representative Dusty Johnson introduced multiple bills that had language increasing size and weight such as the Move Act (H.R.7496) and Introducing a Ten-Year Pilot program increasing the weight of tractor trailers to 91,000 pounds.

Legislative prediction: With a Republican President and a Republican majority in Congress, legislation increasing federal tractor-trailer size and weight standards could likely be introduced into Congress.

 

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