Specialty Equipment Market Association (SEMA)
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State Legislative Caucus  
Uniting Car-Loving Lawmakers From All 50 States
By Steve McDonald SEMA VP

Caucus Chairman and New York Assemblyman Bill Reilich has been instrumental in promoting pro-industry
legislation in the New York Legislature, including the introduction of the SEMA Street Rod/Custom Vehicle bill.        
In its daily efforts to promote and protect the auto hobby, SEMA continues to partner with state lawmakers from
across the country through the State Automotive Enthusiast Leadership Caucus. Formed in 2005, the caucus is a
bipartisan group of state lawmakers whose common thread is a love and appreciation for automobiles. To date,
approximately 250 legislators from all 50 states are involved in the caucus.
Supported by SEMA’s government affairs office in Washington, D.C., the caucus serves to raise the motor-vehicle
hobby’s profile in state legislatures and in the public’s eyes. Working in state capitals, many of these legislators
have sought to preserve and protect the hobby by improving existing motor-vehicle statutes and creating new
programs to safeguard and expand the hobby.
“Over the past several years, the work of these lawmakers has brought a series of significant legislative
accomplishments for the vehicle enthusiast community on issues ranging from equipment standards to registration
classifications and from emissions-test exemptions to hobbyist rights,” said Steve McDonald, SEMA vice president
of government affairs. “Through the caucus, automotive enthusiasts are now able to quickly identify which state
legislators have chosen to be recognized for their support of this great American hobby.”
The caucus is chaired by New York Assemblyman Bill Reilich. In the spring of 2007, he succeeded Montana
Senator John Brueggeman, who served as the first caucus chairman. “Since assuming the position of chairman, I
have made it my number-one priority to grow our membership so we can ensure that this hobby is protected for
years to come,” Reilich said. Under his watch, 125 state lawmakers have joined the caucus, including 35 New York
legislators that he personally recruited.
Reilich took a seat on the New York Assembly’s Transportation Committee in order to help safeguard the rights of
motor-vehicle enthusiasts. He continues to pursue the enactment of SEMA-model legislation to create a vehicle
titling and registration classification for street rods and custom vehicles, including kit cars and replicas. In addition,
his current advocacy efforts on behalf of small businesses benefit the many industry members who cater to this
growing crowd.
Despite his busy legislative schedule, Reilich still finds time to fit in all the “car stuff.” He has been a car nut all his
life and counts a ’57 Chevy, an ’81 T-Bird and an ’07 Shelby GT 500 among his fleet of vehicles. He’s currently
assembling a kit car modeled after the Batmobile.
“The automobile is part of our culture and history,” said Reilich. “I am extremely pleased at how the membership
numbers have increased. However, our work is not done. I will continue to work with the SEMA government affairs
staff to help educate and encourage participation by our state governmental leaders and work toward my personal
goal of having at least 500 members actively participating in the caucus.”

Colorado Caucus Members:

Senator Ken Kester    SD 2 Pueblo, Baca, Bent, Las Animas,  Crowly, Custer, Fremont, Huerfano, Otero
Representative Debbie Benefield    HD 29 Jefferson
Representative Larry Liston    HD 16 El Paso
Representative Nancy Todd    HD 41 Arapahoe, Denver
Representative Edward Vigil  HD 62 Saguache, Mineral, Conejos, Costilla, Huerfano

If your State senator or representative does not appear on this list - give them a phone call and suggest that they
get in touch with SEMA and join the caucus. SEMA is non-controversial and represents the interests of automotive
hobbyists and auto related businesses.

To find your  legislators - click here  Please note that Senate and House districts are not the same.



In Search of Fair and Reasonable Laws
By Eric Saltrick

Steel body or ’glass, original frame or repro, Flathead or injected Modular engine, every street rod can face a titling
and registration nightmare. That’s why SEMA, HRIA and SAN work so hard on legislation that is fair and
reasonable.         
For most hot-rodding enthusiasts, there are two unique and exciting moments that define the hobby: the build and
showing off. First we spend countless hours cutting, chopping and building our hot rods to be unique and special.
Once completed, our attention turns to showing off our creations to fellow enthusiasts and hot-rod fans.
Unfortunately, there is often a very uncomfortable and difficult stage between building and driving your hot rod—
registration and titling.
Few things frustrate a car builder or owner as much as a visit to the local office of motor vehicle registration to
attempt to explain how your ’32 Coupe was actually built in 2008 using parts from a ’69 Camaro. If you are fortunate
enough to confront an individual across the counter who understands your request, there is still a good chance that
your state has no accurate and fair way to register and title your vehicle. Many states have simply not made defining
a street rod, custom vehicle or replicar a priority, and the state therefore has no way of applying emissions
standards and registration policies to your vehicle.
SEMA Street Rod Bill
One of the primary goals of HRIA and SEMA is to bring legislative issues that are important to hot rodders to the
attention of appropriate politicians. The SEMA Street Rod/Custom Vehicle Bill addresses titling, legislation and
regulations related to hot rods. Developed by SEMA, this bill provides standard definitions for street rods, kit cars,
custom vehicles and replicars, and it promotes reasonable and fair registration requirements. Some of the most
important aspects of the bill include:
•        Defining a street rod and a custom vehicle and creating specific registration classes and license plates for them
•        Assigning the same model-year designation to a replica vehicle or kit car as the production vehicle it most
closely resembles
•        Exempting street rods and custom vehicles from periodic vehicle inspections and emissions inspections
•        Exempting street rods and custom vehicles from a range of standard-equipment requirements and allowing
the use of blue-dot taillights Allowing properly titled street rods and custom vehicles to be used for occasional
transportation, exhibitions, parades, etc.
To date, 17 states have enacted versions of the SEMA Street Rod Bill, and 10 states are currently discussing the bill.
As an example, Idaho recently passed a version of the bill that defines a replica vehicle as a “vehicle made to
replicate any passenger car or truck previously manufactured, using metal, fiberglass or other composite materials.
Replica vehicles must look like the original vehicle being replicated but may use a more modern drive train.”
Getting Involved
The force behind the Street Rod/Custom Vehicle Bill has been the SEMA Action Network (SAN). The SAN
proactively monitors a variety of legislation impacting our industry, including registration fees, limited-use
provisions, inoperable vehicles and emissions tests. All of these laws can change the way you own and operate
your vehicle. Unfortunately, most hot-rod enthusiasts are not aware of such legislative discussions until after they
have become law. The SAN provides HRIA members with the most important tool in protecting our hobby—
information.
As members of HRIA and SEMA, we have access to valuable industry information. To take the next step as an
active member of our industry, all HRIA members should consider signing up for the SAN. Your involvement
includes a monthly newsletter, Driving Force, which offers a snapshot of what’s happening with hobby-related
legislation across the country. The SAN website also provides valuable information about current legislation being
discussed in your state, as well as contact information for various local, state and federal officials.
The most important person in preserving the hot-rod hobby is you. It’s important for every HRIA member to stay
informed and proactively influence legislation that may impact street rods and custom vehicles. The SAN provides a
simple and easy way for you to protect hot rodding for our industry and the next generation of enthusiasts.

SEMA News

Federal Vehicle Scrappage Program news:

The $1 billion vehicle scrappage program authorized under the “Consumer Assistance to Recycle and Save Act”
(CARS) began on July 24. The National Highway Traffic Safety Administration (NHTSA) issued a rule on how the
program will operate. Although it proved impossible to stop, SEMA worked with lawmakers to minimize the harm
the program would needlessly impose on thousands of independent repair shops, auto restorers, customizers and
hobbyists across the country. SEMA persuaded Congress to spare cars 25-years and older from the scrappage
heap and expand parts recycling opportunities under the new law.  

Consumers will receive a $3,500 voucher if they buy a new passenger car that was rated at 4 mpg higher than the
older vehicle, or a new pickup/SUV that was at least 2 mpg higher than the old truck (1 mpg for heavy-duty
trucks/vans). They will receive a $4,500 if the passenger car was at least 10 mpg higher and the truck/SUV was at
least 5 mpg higher (2 mpg for heavy-duty trucks/vans). The new vehicle must have a manufacturer's suggested
retail price of less than $45,000.

Lawmakers authorized $1 billion worth of vouchers towards the new car purchases made between July 1–
November 1, 2009. Lawmakers may seek to authorize another $3 billion later this summer to extend the program
into 2010. The NHTSA is hiring 30 staffers to implement the four-month program and another 200 contract
employees to process registration forms and issue vouchers.  

SEMA helped convince lawmakers to permit most parts to be recycled, including the drive train if the transmission,
drive shaft or rear end are sold as separate parts. Dealers are required to disable the engines before sending them
off for scrappage. The dealers must drain the oil and replace it with a sodium silicate solution, then run the engine
until it locks-up.  

The NHTSA has established a website to answer questions about the program: www.CARS.gov.

SEMA Opposes Request to Market Gasoline with 15% Ethanol

SEMA submitted comments to the U.S. Environmental Protection Agency (EPA) opposing an application to allow
the ethanol content of gasoline to increase to 15% (from 10%). SEMA cited concern that the additional content could
harm automobile parts of all ages, including special interest collector and historic vehicles, and that there is
insufficient information to allay these concerns. Read SEMA’s comments.

SEMA’s comments were echoed by other organizations as well, including the Engine Manufacturers Association,
Alliance of Automobile Manufacturers, Outdoor Power Equipment Institute and American Lung Association. SEMA
identified a number of unanswered concerns which are reinforced by the fact that tests using ethanol concentrations
up to 20% have shown a notable increase in wear on fuel systems in vehicles produced up to and including model
year 1995.  Deterioration of such systems in vehicles built prior to 1990 has shown a greater rate of damage. Fuel
pumps, tanks, seals, hoses and other rubber components are particularly subject to failures.
The EPA has until December 1 to decide whether to grant or deny the request. For more information, contact Jim
McFarland at jmcfar1@aol.com.

SEMA eNews Vol. 12, No. 50
EPA Delays Ethanol-15 Decision Until Next Summer
The U.S. Environmental Protection Agency (EPA) delayed until mid-2010 a decision on whether to permit the
ethanol content of gasoline to increase to 15% (from 10%). The original deadline was December 2009. The EPA
indicated that it would likely accept the new level if tests confirm that the blend would not cause damage to cars. The
EPA noted that it might limit use only in cars of the 2001 and later model years since initial tests suggest that newer
cars may better accommodate the fuel. The EPA needs additional time for durability testing regarding the long-term
effects on vehicle components and the emissions control system.

If the application is limited to model year 2001 and newer cars, gasoline retailers would have to supply varying
ethanol blends and relabel pumps, and drivers of older cars would need to be cautioned not to misfuel. Last year,
SEMA submitted comments to the EPA opposing the 15% ethanol content, citing concern that the additional content
could harm automobile parts of all ages, including special-interest collector and historic vehicles. A number of other
organizations expressed similar concerns.



SEMA eNews Vol. 12, No. 49
EPA Finds Greenhouse Gases Pose Danger
The U.S. Environmental Protection Agency (EPA) issued a finding that carbon dioxide (CO2) and other greenhouse
gas emissions endanger public health and the environment. The EPA had reached a preliminary conclusion to this
effect last spring and subsequently joined with the National Highway Traffic Safety Administration (NHTSA) to limit
average CO2 emissions from cars and light trucks to 250 grams per mile and to increase average fuel efficiency
from 25 to 35.5 miles per gallon by model year 2016.

The state of California agreed to adopt the same standard in exchange for being issued a waiver recognizing its
authority to regulate greenhouse gas emissions. The automakers and SEMA support a national approach to tailpipe
standards. The EPA and NHTSA are expected to finalize the CO2 tailpipe rule by April 2010.

The EPA was directed to consider whether greenhouse gases endanger health and safety under a 2007 Supreme
Court ruling. The EPA decision is expected to increase pressure on Congress to enact legislation directing the
agency on how to regulate emissions. The U.S. House of Representatives passed a bill to require a 17% reduction
in CO2 emissions by 2020 and 80% by 2050, based on 2005 levels. Legislation is pending in the U.S. Senate. The
primary targets are large stationary source emitters, such as power plants, refineries and large factories.

The EPA has authority to regulate emissions if Congress fails to act. Beyond the auto tailpipe emissions rule, the
agency has implemented a regulation requiring stationary-source facilities that emit 25,000 metric tons or more per
year of greenhouse gases (power plants, refineries, etc.) to submit annual tracking reports to the EPA. The EPA
could eventually require these emitters to install the best available equipment on new and modified plants to curb
emissions.

SEMA eNews Vol. 12, No. 48
Saskatchewan Postpones Implementation of Raised Vehicle Regulation
The province of Saskatchewan is postponing the adoption of a raised-vehicle policy and will instead participate in
the Canadian Council of Motor Transport Administrators (CCMTA) Excessively Raised Vehicle Working Group. The
CCMTA convened the working group with a mandate to develop a national best practice for the regulation of raised
vehicles.

In August 2009, SEMA submitted technical comments to a regulatory proposal issued by Saskatchewan
Government Insurance (SGI) to regulate raised vehicles in the province. SGI operates the province driver’s
licensing and vehicle registration system. SGI regulators claimed that the number of raised vehicles imported into
and operating in Saskatchewan has increased, prompting inquiries from the general public, raised vehicle owners,
off-road enthusiasts, vehicle inspection stations and law enforcement with requests to clarify the existing regulations
and standards for raised vehicles.

Under the proposed policy, all aftermarket raised vehicles operated on Saskatchewan highways would be subject
to a raised vehicle inspection after January 1, 2011. The policy would be rolled out in two phases to mitigate the
impact on existing raised vehicle owners and provide time to train and inform the public, inspection stations and law
enforcement.

Regulators were considering requiring owners to carry a “Letter of Authorization” issued by the province in order to
operate a raised vehicle. The letter would signify that the vehicle has passed inspection and would be shown to law
enforcement during roadside stops to demonstrate compliance with the applicable frame-height limit.

SEMA eNews Vol. 12, No. 40
On-Road Diesels to Be Included in 2010 California Smog-Check Program
Beginning January 1, 2010, the California Bureau of Automotive Repair (BAR) will include light- and medium-duty,
on-road diesel vehicles in its smog-check program. Under the program, manufacturers of performance and
specialty aftermarket parts for diesel applications will need to meet certain requirements. Specifically, the test will
include a visual inspection for uncertified/non-OEM parts, an OBDII readiness check and a snap-idle tail-pipe test
for particulate matter (PM).

BAR has developed a list of non-OEM replacement parts that will be identified during the visual portion of the smog-
check process. Any such parts not qualified as a replacement part (and thereby exempt from certification) will
require compliance coverage with a CARB Executive Order (E.O.). Identification of any uncertified parts will cause a
vehicle to fail the visual portion of the test. A similar program is being proposed in the state of Nevada.


SEMA eNews Vol. 12, No. 39
No Trails, No Sales: SEMA Creates "Guide to Land Use Policies and Off-Road Recreation"
Sales of specialty auto parts to off-road enthusiasts represent a large and growing segment of the industry. This
same equipment is also popular with car owners who simply want to improve the look and performance of their
street vehicle. Restrictive land-use policies, however, can have a negative impact on sales.

SEMA’s Government Affairs Office has created a layperson's guide to land-use issues that explains how federal laws
like the Wilderness and Endangered Species Acts can close existing OHV roads and trails. It also identifies major
interest groups that SEMA partners with to advocate for reasonable land-use policies that are not unnecessarily
restrictive.

View the Guide to Land Use Policies & Off-Road Recreation.


SEMA eNews Vol. 12, No. 38
Federal Agencies Move to Reduce Greenhouse Gases Via Fuel Economy Standards

The NHTSA and EPA drafted regulations to increase fuel economy and reduce CO2 for model year 2012-2016 cars
and trucks.  

The National Highway Traffic Safety Administration (NHTSA) and the US Environmental Protection Agency (EPA)
issued draft regulations to implement new fuel-economy standards for model year 2012-2016 cars/trucks, and
simultaneously reduce carbon dioxide (CO2) emissions through a national standard.

The Obama Administration announced this approach last spring as a mechanism to end years of debate between
California, the federal government and the automakers over who can regulate CO2 emissions.

The federal standards are harmonized with those previously adopted by California and 13 other states. The
average CAFE rating will be 35.5 mpg in 2016, based on a combined 39 MPG rating for passenger cars and 30
mpg for light trucks. The EPA will set a CO2 emissions standard of 250 grams per mile for vehicles sold in 2016,
roughly equivalent to 35.5 MPG.

The final regulations must be issued by March 31, 2010 so as to apply to MY 2012 vehicles. SEMA is reviewing the
draft CO2 rules to see how they would apply to the aftermarket. The automakers view the standards as being
achievable and, with SEMA, support a national approach to fuel economy and CO2 emissions.
SEMA News
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