STATE UPDATE

Alaska—Internal Combustion Engine: Alaska has introduced SEMA-supported legislation to protect consumers’ choice of vehicle powerplants and fuel by preventing a state agency, county or city from limiting access to certain power sources. Under current law, new gas- and diesel-powered vehicle sales may be threatened if narrow energy policies are adopted.

Arizona—Cruising: Arizona has introduced a SEMA-supported bill to allow automobile cruising activities to return statewide. Currently, local authorities are authorized to pass ordinances that regulate or prohibit cruising. This effort follows similar legislation that was approved in California last year. Having passed the House Committee on Transportation & Infrastructure, the bill now awaits consideration by the full House.

California—Speed Limiter: California has introduced SEMA-opposed legislation to require new vehicles to be equipped with speed governors starting in model-year ’27. Speed governors—also known as intelligent speed limiters—use GPS technology to limit vehicle speed. If enacted into law, new vehicles could not travel more than 10 mph above the speed limit. Currently, devices that prevent vehicles from exceeding a certain speed are not required.

Georgia—Suspension Laws: Georgia lawmakers introduced SEMA-supported legislation to revamp the state’s suspension modification laws. If enacted, this bill would remove the ambiguous 2-in. limit with a clear frame height standard. This aims to bring clarity, fairness and broader product options for Georgia’s off-road community and the automotive industry. The House Motor Vehicles Committee passed the bill, which now awaits a vote on the House floor.

Hawaii—Exhaust Noise: Hawaii has introduced SEMA-opposed legislation to reform its enforcement of exhaust noise laws by creating enhanced penalties for repeat offenders. However, the underlying laws are fundamentally flawed. Similar legislative proposals have failed to be approved in prior years, including last year. Currently, Hawaii prohibits mufflers that “noticeably increase the noise” and mandates that mufflers must be identical to their factory setting. The current law is unenforceable as it is vague, subjective and unfair.

Illinois—Internal Combustion Engine: Illinois has introduced SEMA-supported legislation that would prevent any state or local government unit from restricting the use or sale of motor vehicles based on the energy source used to power them, including internal combustion engines (ICEs). SEMA believes Illinois’ families, not the government, should be allowed to choose the vehicle technology that best serves them.

Kansas—Internal Combustion Engine: Kansas has introduced SEMA-supported legislation to ensure consumers’ choice of vehicle powerplants and fuel by preventing a state agency, county or city from limiting access to certain power sources. Under current law, new gas- and diesel-powered vehicle sales may be threatened if narrow energy policies are adopted.

Maine—Antique Vehicles: Maine has introduced SEMA-opposed legislation to limit the definition of “antique auto” to automobiles more than 35 years old. Currently, vehicles at least 25 years old are eligible for the distinction.

Maryland—Exhaust Noise: Maryland has introduced SEMA-opposed legislation to allow Anne Arundel, Montgomery, and Prince George’s Counties to enforce motor-vehicle noise requirements using sound-activated enforcement devices. Rather than investing in unproven technology, Maryland must implement a fair testing procedure and decibel limit for vehicle owners accused of exhaust noise violations.

Missouri—Single Plate: Missouri has introduced SEMA-supported legislation to allow the display of only a single, rear-mounted license plate for all passenger vehicles. These bills also apply to personalized plates. Under current law, vehicles must display two license plates.

New Jersey—Off-Highway Vehicles: The NJDEP Division of Parks and Forestry has published a SEMA-opposed plan to close 200 mi. of motorized vehicle trails at Wharton State Forest. While illegal ATV/UTV use and drivers leaving the established roads cause concern, targeting legal motorized vehicles is unlikely to deter trespassers. Closing legal roads will only hinder enforcement efforts and disenfranchise responsible users who often act as valuable eyes and ears, reporting illegal activity.

FEDERAL UPDATE

ZEV 2035 Mandate: The U.S. Environmental Protection Agency (EPA) is reviewing the California Air Resources Board’s (CARB) “Advanced Clean Cars II” (ACC II) regulation, which requires all new vehicles sold in California to be zero emissions vehicles (ZEV) by 2035, at the time of publication. The regulation would prohibit the sale of traditional ICE vehicles in 2035, although ACC II allows for 20% of vehicles sold to be hybrids. ACC II requires that 35% of new cars, SUVs and small trucks sold in California must be ZEVs starting in 2026. The regulation increases ZEV sales requirements by 6% to 8% annually through 2035, when all new vehicles sold in California must be ZEV. Before ACC II can be implemented, CARB must receive a Clean Air Act (CAA) waiver from the U.S. Environmental Protection Agency (EPA) for the regulations to take effect.
SEMA is advocating against the EPA providing a waiver for ACC II. SEMA President and CEO Mike Spagnola submitted written and oral testimony in opposition to the agency providing a waiver for ACC II. The association has also rallied its member companies and automotive enthusiasts to send more than 5,000 letters to the EPA opposing a waiver for ACC II. SEMA also continues to advocate for Congress to pass a bill to prohibit the EPA from issuing a waiver for ACC II and any other regulations that would ban the sale of new ICE vehicles. The SEMA-supported “Preserving Choice in Vehicle Purchases Act” (HR 1435) passed the U.S. House of Representatives in September. The bill awaits action in the U.S. Senate.
Right to Repair: The U.S. Public Interest Research Group (PIRG) and iFixit submitted a petition for the Federal Trade Commission (FTC) to issue a rulemaking to formalize right to repair protections. SEMA submitted a comment in response to the petition that highlighted the need for the federal government to protect consumers’ rights to decide where and with what parts they can use to repair, maintain and modify their vehicles.
SEMA also continues to advocate for HR 906, the “Right to Equitable and Professional Auto Industry Repair Act” (REPAIR Act), which currently awaits consideration in the House Energy and Commerce (E&C) Committee. The SEMA-supported REPAIR Act would ensure automotive enthusiasts, aftermarket parts manufacturers, and repair shops have access to the information and tools needed to maintain and personalize vehicles as automotive technology evolves. The bill currently has 50 bipartisan co-sponsors evenly divided between Republicans and Democrats.
SEMA is working to expand the REPAIR Act to ensure that it protects the right to modify your motor vehicle, engaging with E&C Committee members to address the presented amendments that were ultimately withdrawn before the House E&C Subcommittee on Innovation, Data and
Commerce passed the bill.
Digital Millennium Copyright Act: SEMA filed comments with the Library of Congress’ Copyright Office supporting the Motor & Equipment Manufacturer Association’s (MEMA) request for an exemption from the Digital Millennium Copyright Act for “Computer Programs—Vehicle Operational Data” that would allow for circumvention of technological protection measures (TPMS) on computer programs that are contained in and control the functioning of
a motor vehicle to allow vehicle owners and businesses acting on their behalf, to access, store and share vehicle operational data, including diagnostic and telematics data. The petition would create a necessary extension of an existing DMCA exemption for “Computer Programs—Repair of Motorized Vehicles” that was created in 2015 and was expanded in 2018 to both cover third-party service providers and remove the limitation prohibiting circumvention of TPMS to access computer programs primarily designed to control vehicle telematics and entertainment systems. The copyright office renewed this exemption in 2021 and again recommends that it be renewed in the ninth triennial review of Section 1201 exemptions.