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The Changing of the Guard:  What’s in Store With the Return of President Trump

On January 20, Donald Trump will return to office as the 47th President of the United States accompanied by a Republican-controlled House and Senate, albeit with slim majorities (particularly in the House). Although the first Trump administration taught us to expect the unexpected, President-elect Trump’s track record of lowering taxes and tackling regulatory burdens should signal initiatives that will ultimately benefit the transportation industry.

Republican control of the Senate affords President-elect Trump the opportunity to have most of his Cabinet nominations confirmed expeditiously, though a few may test that theory. His nominee for Secretary of Transportation, former Representative Sean Duff (R-WI), appears to be on a smooth path for confirmation. As of this writing, the President-elect has yet to announce a nominee to serve as Administrator of the Federal Motor Carrier Safety Administration (FMCSA).

Enactment of significant tax relief for individuals and businesses was a signature achievement of the first Trump administration.  Many of the individual provisions are set to expire at the end of 2025, and President-elect Trump has made no secret about his desire to renew and potentially enact additional tax relief. With Republicans in control, Congress can use special budget reconciliation procedures to circumvent a Senate filibuster in order to enact a tax reform package, although prolonged debate amongst Republican leaders over funding tax cuts and suspending the debt limit is expected.

Primarily due to California Air Resources Board’s (CARB) unrealistic emissions regulations and timelines, compounded by the U.S. Environmental Protection Agency’s (EPA) regulatory measures, the trucking industry is facing significant equipment availability challenges. From raw materials to battery production and EV infrastructure, timelines for such standards have been questioned by President-elect Trump, along with the practical application of such standards to heavy duty trucking.  President-elect Trump’s track record and his nomination of former Representative Lee Zeldin (R-NY) to head EPA suggests the Trump era EPA will rein in the forced and impractical transition to zero-emission trucks.

Despite growing support of candidate Trump by pro-labor voters and the nomination of former Representative Lori Chavez-DeRemer (R-WA) to head U.S. Department of Labor (DOL), the DOL is unlikely to deviate from the first Trump administration’s approach favoring a simpler, more predictable test for determining worker status under the Fair Labor Standards Act. As has been the case over the past several changes in administrations, President-elect Trump will have the opportunity to appoint a Republican majority to the National Labor Relations Board (NLRB), which should check some of the more pro-union measures adopted by the Biden-era NLRB. There appears to be insufficient support for the PRO Act (with its ABC test) in the Senate, and Chavez-DeRemer’s prior support of the PRO Act will likely not be relevant during the upcoming administration.

During his first administration, President-elect Trump was committed to eliminating regulatory burdens. This included an Executive Order requiring the elimination of two regulations before a new regulation could be adopted. President-elect Trump has suggested the ratio should be increased (even suggesting it should be ten to one). For certain Biden-era regulations finalized after August 2024, Congress and President-elect Trump may opt to utilize the Congressional Review Act to overturn them. During his first term, President Trump and the Republican Congress overturned 16 regulations using this procedure (in comparison to President Biden and the Democrat-controlled Congress which used it three times).

While the Firm expects a deregulatory push, assisted by the work of the newly formed Department of Government Efficiency task force, many of these deregulatory measures may be subject to challenges in the courts. In addition, blue states will likely be active in furthering their policy preferences at the state level. At the least, the Firm can safely predict that it will be an interesting Presidential term ahead.

The Transportation Brief®

A quarterly newsletter of legal news for the clients and friends of Scopelitis, Garvin, Light, Hanson & Feary

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News from Scopelitis is intended as a report to our clients and friends on developments affecting the transportation industry. The published material does not constitute an exhaustive legal study and should not be regarded or relied upon as individual legal advice or opinion.

The Changing of the Guard:  What’s in Store With the Return of President Trump

On January 20, Donald Trump will return to office as the 47th President of the United States accompanied by a Republican-controlled House and Senate, albeit with slim majorities (particularly in the House). Although the first Trump administration taught us to expect the unexpected, President-elect Trump’s track record of lowering taxes and tackling regulatory burdens should signal initiatives that will ultimately benefit the transportation industry.

Republican control of the Senate affords President-elect Trump the opportunity to have most of his Cabinet nominations confirmed expeditiously, though a few may test that theory. His nominee for Secretary of Transportation, former Representative Sean Duff (R-WI), appears to be on a smooth path for confirmation. As of this writing, the President-elect has yet to announce a nominee to serve as Administrator of the Federal Motor Carrier Safety Administration (FMCSA).

Enactment of significant tax relief for individuals and businesses was a signature achievement of the first Trump administration.  Many of the individual provisions are set to expire at the end of 2025, and President-elect Trump has made no secret about his desire to renew and potentially enact additional tax relief. With Republicans in control, Congress can use special budget reconciliation procedures to circumvent a Senate filibuster in order to enact a tax reform package, although prolonged debate amongst Republican leaders over funding tax cuts and suspending the debt limit is expected.

Primarily due to California Air Resources Board’s (CARB) unrealistic emissions regulations and timelines, compounded by the U.S. Environmental Protection Agency’s (EPA) regulatory measures, the trucking industry is facing significant equipment availability challenges. From raw materials to battery production and EV infrastructure, timelines for such standards have been questioned by President-elect Trump, along with the practical application of such standards to heavy duty trucking.  President-elect Trump’s track record and his nomination of former Representative Lee Zeldin (R-NY) to head EPA suggests the Trump era EPA will rein in the forced and impractical transition to zero-emission trucks.

Despite growing support of candidate Trump by pro-labor voters and the nomination of former Representative Lori Chavez-DeRemer (R-WA) to head U.S. Department of Labor (DOL), the DOL is unlikely to deviate from the first Trump administration’s approach favoring a simpler, more predictable test for determining worker status under the Fair Labor Standards Act. As has been the case over the past several changes in administrations, President-elect Trump will have the opportunity to appoint a Republican majority to the National Labor Relations Board (NLRB), which should check some of the more pro-union measures adopted by the Biden-era NLRB. There appears to be insufficient support for the PRO Act (with its ABC test) in the Senate, and Chavez-DeRemer’s prior support of the PRO Act will likely not be relevant during the upcoming administration.

During his first administration, President-elect Trump was committed to eliminating regulatory burdens. This included an Executive Order requiring the elimination of two regulations before a new regulation could be adopted. President-elect Trump has suggested the ratio should be increased (even suggesting it should be ten to one). For certain Biden-era regulations finalized after August 2024, Congress and President-elect Trump may opt to utilize the Congressional Review Act to overturn them. During his first term, President Trump and the Republican Congress overturned 16 regulations using this procedure (in comparison to President Biden and the Democrat-controlled Congress which used it three times).

While the Firm expects a deregulatory push, assisted by the work of the newly formed Department of Government Efficiency task force, many of these deregulatory measures may be subject to challenges in the courts. In addition, blue states will likely be active in furthering their policy preferences at the state level. At the least, the Firm can safely predict that it will be an interesting Presidential term ahead.

News from Scopelitis is intended as a report to our clients and friends on developments affecting the transportation industry. The published material does not constitute an exhaustive legal study and should not be regarded or relied upon as individual legal advice or opinion.