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. 13, No. 20 Pro-Hobbyist Vermont Inoperable Vehicle Bill Becomes Law
SEMA-supported legislation to provide an exemption to automotive hobbyists from the restrictions on salvage yards
was signed into law by Vermont  Governor Jim Douglas. The new law increases the regulation of salvage yards and
automobile graveyards in the state, but includes a provision stipulating that hobbyists are not to be confused with
the owners of automobile graveyards.
The law defines an “automobile hobbyist” as a person not primarily engaged in the sale of vehicles and parts or
dismantling junk vehicles. Further, the definition of “automobile graveyard” does not include an area used by an
automobile hobbyist for storage and restoration purposes, provided their activities comply with federal, state and
municipal law.

SEMA eNews Vol. 13, No. 20 Bill to Increase Fees for Antiques, Street Rods and Special-Interest Vehicles
Defeated
Working with the SEMA Action Network (SAN), SEMA convinced Kansas legislators to delete provisions from a
revenue bill that increased the fees on antiques, street rods and special-interest vehicles. The language sought to
raise the registration fees on these vehicles, including a $10 increase on January 1, 2013, and another $10
increase on January 1, 2014.
After alerting SAN members in the state of the impending fee increases, hobbyists responded in full force with e-
mails and phone calls to their state representatives. The response facilitated the removal of the fee increases for
both antiques and special-interest vehicles/street rods (which are treated as one category under Kansas law).

SEMA eNews Vol. 13, No. 16 New York Reintroduces Bill to Provide One-Time Historic Vehicle Registration Fee
Legislation has been reintroduced in the New York Assembly by Assemblymember and State Automotive
Enthusiast Leadership Caucus Chairman Bill Reilich to provide that historical vehicle owners only pay a one-time
registration fee of $100 upon initial registration. The $100 one-time fee would replace the current annual fee of
$28.75.
The reduced registration fee would be available to owners of historical vehicles owned and operated as an
exhibition piece or collector’s item and used for club activities, exhibits, tours, parades, occasional transportation
and similar uses.
Under current New York law, a historical motor vehicle is either a vehicle manufactured more than 25 years ago or
one which has unique characteristics and which is determined to be of historical, classic or exhibition value. The bill
has been referred to the New York Assembly Transportation Committee for consideration.

SEMA eNews Vol. 13, No. 14 Kansas Seeks to Raise Specialty Vehicle Fees.  
Kansas lawmakers are proposing to raise the registration fee on antiques, street rods and special-interest vehicles.
SEMA is opposing legislation to raise the registration fee on antiques, street rods and special-interest vehicles in
Kansas. The bill has already passed the House. The Senate substituted the House bill with all-new language to
increase the state’s revenue.
One section of the substituted bill increases the registration fee for all passenger vehicles, while two separate
sections were inserted to specifically target antiques and street rods/special-interest vehicles. Under the substituted
bill, each of the registration fees would increase by $10 on January 1, 2013, and by another $10 on January 1,
2014.

SEMA eNews Vol. 13, No. 14 Massachusetts Exhaust Noise Bill Dies Silent Death
A bill targeted for defeat by SEMA to ban the “use and sale of any exhaust pipe that increases the sound emissions
of any vehicle, including motorcycles,” was set aside for study by the legislature. This action means that the
measure is unlikely to be considered by the legislature this year.
Among other things, the measure ignored the fact that aftermarket exhaust systems are designed to make vehicles
run more efficiently without increasing emissions and did not supply law enforcement with a clear standard to
enforce, allowing them to make subjective judgments on whether or not a modified exhaust system is in violation.
Legislation to require the incorporation of noise-level testing into the vehicle-inspection process was also set aside.
The bill did not define a noise-level limit, but allowed it to be determined by the regulators.

SEMA eNews Vol. 13, No. 8
Nebraska Legislature Drops Anti-Hobbyist Abandoned Vehicle Bill
Legislation that would have expanded the definition of “abandoned motor vehicle” to include vehicles that were left
unattended for more than six hours on private property without valid plates, title or permit will not be considered in
the 2010 legislative session. The bill also sought to include vehicles that are inoperable, partially dismantled,
wrecked, junked or discarded.
Under current law, a vehicle is not considered to be abandoned on private property until it is left unattended for
more than seven days. Motor vehicles are defined as abandoned for the purpose of allowing state and local
authorities to remove them from private property. Given the opposition raised by SEMA and the Nebraska vehicle
hobbyist community, the bill sponsor will make a series of amendments to protect hobbyists before reintroducing
legislation next year.

SEMA eNews Vol. 13, No. 8 Anti-Hobbyist Inoperable Vehicle Bill Dies in Kansas
According to Kansas legislators, support for a SEMA-opposed bill that would allow cities to enforce “nuisance
abatement” procedures by notifying affected property owners by use of first-class mail instead of certified mail (with
a return receipt) has been withdrawn. There will be no action on the bill this year. The Kansas jurisdiction behind
the bill’s introduction has decided to withdraw its support until there is another method to notify property owners of
enforcement action. Nuisance abatement laws are often used by cities to force removal of inoperable vehicles,
including parts cars, stored on private property by car collectors. SEMA opposed the bill because without actual and
verified notification, owners could risk removal of valuable collector cars and parts, especially when they are not at
home to receive a first-class mailing.

SEMA eNews Vol. 13, No. 8 Oklahoma Introduces Bill to Reduce Registration Fee for Older Motor Vehicles
SEMA is supporting a bill in the Oklahoma Legislature to reduce the annual registration fee for vehicles 25 years
old and older to $5. Under current law, these vehicles are assessed at a rate of $15 per year.


SEMA eNews Vol. 13, No. 8 Washington State Scraps Scrappage—Again
SEMA again helped turn back legislation in the Washington Legislature that would have implemented a vehicle
scrappage program for passenger vehicles more than 15 years old. Given the outcry of SEMA and members of the
Washington vehicle hobbyist community, the House Finance Committee chose not to consider the bill before the
cut-off deadline.
Under the bill, qualifying vehicles would have had to be registered for a 24-month period and in satisfactory
operating condition. Replacement vehicles purchased under the plan would have been required to have an
Environmental Protection Agency (EPA) highway gasoline mileage rating of at least 30 mpg. Participants in the
program were to be granted a sales-tax exemption for the first $2,000 of tax paid on the purchase price. All trade-in
vehicles would have been destroyed, regardless of their historical value or collector interest.

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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