EMA has been active in federal courts, ensuring the voices of energy marketers are heard as California attempts to unlawfully force electrification onto small businesses and consumers. The Clean Air Act allows EPA to grant California a waiver for the adoption of emissions controls for new motor vehicles, new motor vehicle engines, and nonroad vehicles or engines only in “compelling and extraordinary conditions.” If EPA grants a waiver to California, other states are permitted to adopt the California standards in their states as well.

In the last weeks of the Biden Administration, EPA granted waivers for several California Air Resources Board (CARB) regulations intended to reduce emissions and force the transition from combustion engines to electric engines. Recently, EMA has joined with the American Fuel & Petrochemical Manufacturers (AFPM) in seeking judicial review of three of these waiver decisions that EMA believes are arbitrary and capricious, contrary to law, and beyond EPA’s statutory authority. The petitions were filed in the United States Court of Appeals for the District of Columbia Circuit, with protective petitions filed in the Ninth Circuit to preserve EMA’s right to review if the courts determine that the petitions should be heard in the Ninth Circuit.

First, EMA has challenged EPA’s waiver for California’s small offroad engine (SORE) regulations that apply to spark-ignition engines of less than or equal to 25 hp—engines that are used in most lawn and garden equipment. The regulations apply to new equipment sold in California beginning in model year 2024 and are intended to transition all new equipment to “zero-emission equipment” in model year 2028.

Second, EMA has challenged EPA’s waiver for California’s heavy-duty vehicle and engine “omnibus” low NOx regulations (Omnibus Lox NOx). These regulations require new on-road medium- and heavy-duty engines and vehicles to meet lower nitrogen oxide and particulate matter emissions standards beginning in model year 2024. CARB says these regulations will complement California’s Advanced Clean Truck (ACT) regulations, which mandate electrification of the heavy-duty vehicle sector.

Third, EMA has challenged EPA’s waiver for California’s Advanced Clean Cars II (ACC II) regulations. These regulations apply to light-duty passenger cars, pickup trucks, and SUVs sold in California beginning in model year 2026. They will phase out the use of the internal combustion engine and require that all new passenger vehicles sold in California be “zero-emission vehicles” by 2035.

“California’s unrealist electrification efforts, which carry vast consequences beyond the state, cannot be aided and abetted by EPA. EMA continues to challenge government regulations that significantly impact our industry. We remain optimistic that the courts will recognize that there are not compelling reasons to upend the country’s energy and transportation sector,” said EMA President Rob Underwood.

Inside the Beltway Update

Next week, House and Senate leaders are expected to revive deliberations over reconciliation strategy as deadlines to increase the federal debt limit and extend the 2017 Tax Cuts and Jobs Act (TCJA) quickly approach. Senate Majority Leader John Thune (R-SD) has pledged to consider a budget resolution on the Senate floor during the last week of March to further advance the reconciliation process. However, disagreements between House and Senate leaders over how to measure the cost of forthcoming tax legislation persist, with key Senators huddling with the Senate Parliamentarian to seek guidance on whether Republicans can employ a budget tool know as a “current policy baseline” to reduce the on-paper cost of extending their signature 2017 law. In any event, the House and Senate must adopt identical budget resolutions to kick off the budget reconciliation process and begin marking up legislation. Republican tax-writers are expected to continue meeting in groups to discuss key proposals as negotiations over strategy continue, meaning Republicans may act quickly on legislation once disagreements are resolved.

Congress is also expected to immediately pivot to the fiscal year (FY) 2026 federal funding process next week, fresh off largely partisan House and Senate votes to avert a mid-March government shutdown. FY 2026 funding bills may be a major test of Republican and Democratic resolve, with Democratic leaders likely to take an aggressive stance to counter budget cuts and Trump Administration actions impacting federal agencies and programs. Meanwhile, Republicans are likely to face tremendous pressures to cut spending and codify “DOGE savings.” Looming over the FY 2026 funding process is the forthcoming President’s Budget Request, expected to be released in late April or early May, and may include significant proposed spending cuts by the Trump Administration.

Meanwhile, EMA joined a coalition letter asking the Trump Administration to abandon the administration’s defense in federal courts of the Biden Administration’s Department of Labor (DOL) 2024 final rule (the 2024 Rule) altering the overtime regulations under the Fair Labor Standards Act (FLSA), entitled “Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees.” Click here to read the letter.

DC Conference Opening Session Featured Speaker: U.S. Senator Cindy Hyde-Smith (R-MS)

On Monday, EMA Chairman Jim Lipscomb (Lipscomb Oil company; Greenville, Mississippi) was delighted to announce that Senator Cindy Hyde-Smith (R-MS) will be the featured speaker for EMA’s DC Conference and Day on the Hill Opening Session this year.

“On behalf of EMA, I’m honored to have the Senator address marketers this year to give us an overview of the Senate’s reconciliation process and the Trump Administration’s goals to lower energy costs and support small business energy marketers across the country.”

U.S. Senator Cindy Hyde-Smith is a public servant committed to conservative principles as she works for all Mississippians. She is the first woman elected to represent Mississippi in Washington, D.C. She won a six-year term in November 2020, following her April 2018 appointment to fill the U.S. Senate seat vacated by long-time U.S. Senator Thad Cochran and subsequent November 2018 special election victory to complete his term.

In the 119th Congress, Hyde-Smith serves on a number of key Senate committees, including the Committee on Appropriations, the Committee on Agriculture, Nutrition, and Forestry, the Committee on Energy and Natural Resources, and the Committee on Rules and Administration.

As Senator, Hyde-Smith is a leading voice for Mississippians, working to improve the state’s economy and quality of life. She has used her committee roles to support policies and legislation that benefit both the state and nation. Her successful efforts in the legislative process include championing initiatives that support economic growth in Mississippi, including fighting for the state’s agricultural sector, infrastructure development, job training and educational programs, rural healthcare, energy development, shipbuilding industry, and defense and aerospace sectors. Please click here to read her full bio.

EMA Washington Conference and Day on the Hill – May 14-16, 2025: Please Make Your Hotel Reservation and Register Now

EMA’s annual Washington Conference and Day on the Hill will be held in Washington, DC from May 14-16 at The Mayflower Hotel. Our industry continues to have many important legislative and regulatory issues to discuss, and the Day on the Hill remains the primary focus of this conference for you to meet with your members of Congress and network with other marketers from across the country!

Hotel reservations will close the earlier of April 23 at 6:00 pm Eastern or when the room block is sold out. Tuesday night (has reached capacity), Wednesday night (15 available), and Thursday night (12 available). We will most likely SELL OUT.

Registration must be received by April 23 to be included in our hotel guarantee.

EMA Endorses Bill to Stop the “California Car Mandate”

This week EMA reached out to Sen. Mike Lee (R-UT), and Rep. Troy Nehls (R-TX) to endorse their newly re-introduced bills, the Stop California from Advancing Regulatory Burden Act of 2025, which would immediately dismantle California's efforts to mandate electric vehicles. Since California Gov. Gavin Newsom (D.) took office, the California Air Resources Board (CARB), the state's main environmental regulator, has pursued dozens of Clean Air Act waivers as part of its climate-related efforts to slash the transportation sector's emissions.

Specifically, EMA President Rob Underwood stated that, “The Energy Marketers of America (EMA) strongly endorses the Stop California from Advancing Regulatory Burden Act. We greatly appreciate Senator Lee and Rep Nehl’s introduction of the bills. Congress should determine the major questions of our national transportation policy, rather than allowing one state's unelected bureaucrats to unilaterally impose an EV mandate for the country. By overturning the mandate, Congress will restore regulatory balance, protect consumer choice, and ensure that energy marketers can continue to serve their customers' demand for liquid fuels.”

“The radical liberal state of California should never be able to govern for our great state of Texas,” said Congressman Nehls. “California should not be legislating for the rest of the country. My bill will ensure that California only governs California, not hard-working patriots in my district, by repealing California’s waiver.” Further, Senator Lee stated that, "California has abused the Clean Air Act’s waiver provision for years, essentially imposing ridiculous emission standards on the other 49 states. Fortunately, the rest of the country isn’t governed by far-left extremists like California, and we shouldn’t have to answer to them. By putting an end to this overreach, our legislation will keep costs lower for hardworking American families, increase consumer choice, and restore economic freedom.”

Play the EMA SBC PAC Raffle to Win a Charleston Fishing Trip

Michael Fields and the South Carolina Convenience & Petroleum Marketers Association (SCCPMA) have donated a Fishing Social & Tournament in the Charleston Harbor Resort & Marina located in Mount Pleasant, South Carolina. Airfare and travel are not included in this package.

The lucky winner of the EMA PAC raffle package will join the members of the SCCPMA for an unforgettable fishing excursion on December 3-4, 2025, in Charleston, South Carolina. Sure, it can be chilly in Charleston in December, but it “AIN’T” Owatonna or Fargo cold.

The package includes a 2-night hotel stay at the Charleston Harbor Resort and Marina, 4-hours of inland fishing on December 4 with one of Charleston’s best fishing guides, as well as a 2-hour happy hour reception the night before.

Before heading out to fish, Michael will also serve the winner breakfast the morning of, let ‘em load up a cooler full of adult beverages just in case the fish aren’t biting and then close out the event by cooking what we catch for lunch, while eating lunch from our venue with a view of the historic USS Yorktown.

Trophy fisherman (yeah, he won a trophy at his own fishing event), SCCPMA Executive Director Michael Fields, will also take the winner to dinner the last night.

The Raffle will take place in conjunction with EMA’s Washington Conference May 14-16. Bidding will begin April 14 and will close May 16 at 9:00 am.

EMA Small Business Committee (SBC) PAC Co-Chairs Mike Downs and Tim Keigher would like to thank Michael Fields and the South Carolina Convenience & Petroleum Marketers Association for their donation to support the EMA SBC PAC Raffle. If you have items that you would like to contribute to the EMA SBC PAC Silent Auction or the MDF Fall Auction, please click here or contact Sabrina Pitcher at 703-351-8000.

Weekend Reads

Regulation roundup: What does EPA’s rollback of emissions standards mean for trucking?

Goldman Cuts Oil Forecasts on Slow US Growth, OPEC+ Policy | yahoo!finance

Trump administration sends a clear message to the oil and gas industry: ‘You’re the customer’ | CNBC

Trump prioritizes infrastructure resilience against cyber-attacks, rolls out National Resilience Strategy - Industrial Cyber

Oil Prices Likely to be Lower in 2025 | Rigzone

Federated Insurance: It’s Your Life
Protect the Future of Your Business with Estate Planning

If you own a business, planning what happens to it after you pass away is important. This is called "estate planning,” and it’s a way to make sure your assets are handled the way you want to help keep your business running smoothly.

Why Business Owners Need an Estate Plan

• Keeping Your Business Running: An estate plan helps keep your business operating without interruption by identifying successors and outlining their responsibilities.

• Minimizing Taxes: Proper planning may reduce estate, capital gains, and income taxes. You can use tools like trusts and life insurance policies to accomplish this.

• Avoiding Probate: Probate is a legal process to settle someone’s estate after they die, and it can be expensive and take a long time. Using tools like trusts can help avoid this.

• Protecting Family Interests: Estate planning ensures your family’s financial needs are taken care of and helps prevent arguments over who gets what.

Key Considerations

Succession Planning: Decide whether to pass your business to the next generation or sell it to a third party.

Asset Value Assessment: Figure out how much your business and other assets are worth. This helps with taxes and deciding how to divide everything up.

Legal Agreements: Set up agreements, like a Buy-Sell Agreement, which makes it easier to transfer ownership when needed.

Tax Planning Strategies: Work with professionals to develop tax-efficient strategies for transferring assets.

Updates to the Estate Plan: Review your plan regularly to make sure it still fits your business, family situation, and any new tax laws.

An attorney who specializes in estate and business succession can discuss a wide range of planning options. To learn more, talk to your Federated Insurance® marketing representative for a referral from Federated’s network of independent attorneys or please feel free to contact your Federated regional representative or EMA’s National Account Executive Jack West at 262.719.7750 for any additional information or risk management questions. Federated is a Partner in EMA’s Board of Directors Council.

At Federated Insurance, It’s Our Business to Protect Yours®

This article is for general information and risk prevention only and should not be considered another other offer of insurance or legal, financial, tax, or other expert advice. The recommendations herein may help reduce, but are not guaranteed to eliminate, any or all losses. The information herein may be subject to, and is not a substitute for, any laws or regulations that may apply. This information is current as of its publication date and is subject to change. Some of the services referenced herein are provided by third parties wholly independent of Federated. Federated provides access to these services with the understanding that neither Federated nor its employees provide legal or other expert advice. All products and services not available in all states. Qualified counsel should be sought with questions specific to your circumstances. All rights reserved.

Member Services Benefit with RINAlliance
Are You Taking Advantage of the Renewable Fuel Standard?

In 2024, the Energy Marketers of America announced an exclusive member service agreement with RINAlliance, so that every fuel marketer has an opportunity to leverage the Renewable Fuel Standard (RFS).

Whether a fuel marketer is determining whether to blend and take renewable fuel with RINs, or whether they are a current RFS participant looking to improve RIN management, RINAlliance can help with strategies, tools and expert support.

Schedule your consultation today to learn more by visiting www.rinalliance.com/contact. Be sure to tell them you heard about RINAlliance through EMA or one of its Federation members.