| EMA Requests Card Networks to Extend Upcoming EMV Liability Shift Deadline
Yesterday, the Energy Marketers of America (EMA) along with NACS, SIGMA and NATSO requested that the card networks extend the EMV liability shift deadline for one final time through October 2021 to ensure small business fuel retailers have time to fully comply. EMA recently heard from its state association member companies that major equipment and service providers are booked through this summer for EMV projects. For example, Arkansas retailers are experiencing a six-to-ten-week lead time for EMV equipment to arrive plus another two to three weeks for installation. Rural small business retailers are also experiencing delays due to lack of technicians and equipment. Click here to read the letter.
Due to the COVID-19 pandemic, the card networks extended the deadline from October 1, 2020 to mid-April 2021. Specifically, the AMEX, Discover and Mastercard deadline is April 16th while VISA’s deadline is April 17th. There is no guarantee the card networks will extend the deadline again, therefore, EMA urges retailers to be fully EMV compliant as soon as possible.
Biden Administration Releases Infrastructure Proposal
This week, President Biden announced the first of a two-part infrastructure proposal, the American Jobs Plan, which includes the Made in America Tax Plan. According to the Administration’s fact sheet, the 8-year, $2.25 trillion proposal includes $621 billion in transportation and infrastructure improvements aimed to modernize 20,000 miles of roads and renovate at least 10,000 bridges. The plan would direct $174 billion to promote adoption of electric vehicles (EV) and creates grants and incentives for private industry and state and local governments to install 500,000 EV charging stations over the next ten years. In addition, the Biden Administration recommends extending key clean energy tax credits expected to cost $300 billion over the next decade. To finance the plan, the Biden Administration would raise corporate taxes from 21 percent to 28 percent and increase taxes on companies’ foreign earnings.
While the Biden Administration released a framework, Congress must draft and pass the legislation where it will face an uphill battle in the divided Senate and could face challenges in the House where Democrats hold a very slim vote margin. Congressional Republicans quickly voiced opposition to the plan and associated tax increases. Several Democratic Representatives from the northeast stated they would not vote for a package that includes tax changes unless Congress also repeals the State and Local Tax (SALT) caps. Recognizing the likely need to move the package without bipartisan support, Senate Majority Leader Chuck Schumer (D-NY) asked the Senate Parliamentarian to allow Democrats to move the bill under reconciliation, which would allow Senate Democrats to pass the measure on strict party lines. Success of this route, if permitted, is dependent on support from moderate Senate Democrats like Sens. Manchin (D-WV), Sinema (D-AZ), and Kelly (D-AZ) who urged a bipartisan path forward.
In addition to policy priorities, various incentives, and proposed tax credits – the Administration proposes funding levels for key programs including: $300 billion for housing-related investment including $27 billion for a Clean Energy and Sustainability Accelerator, intended to “mobilize private investment into distributed energy resources; retrofits of residential, commercial and municipal buildings; and clean transportation;” $35 billion for clean energy technology and jobs, including $5 billion for climate-focused research and $15 billion for climate demonstration projects (including “utility-scale energy storage, carbon capture and storage, hydrogen, advanced nuclear, rare earth element separations, floating offshore wind, biofuel/bioproducts, quantum computing, and electric vehicles”).
Made in America Tax Plan
President Biden is proposing $2 trillion in corporate tax increases over 15 years to help offset the cost of the of the infrastructure components of the plan. Broadly speaking, the revenue-raising side of the Made in America Tax Plan reverses many changes included in the Tax Cuts and Jobs Act (TCJA) passed in 2017, and closely tracks with President Biden’s campaign proposals. Among other tax provisions, the plan raises the corporate tax rate to 28 percent (from 21 percent); increases a minimum tax on multinational corporations by doubling its rate to 21 percent and requiring companies to calculate that tax on a country-by-country basis; and imposes a 15 percent minimum tax on companies’ book income (which is the income corporations use to report their profits to shareholders). The American Jobs Plan also eliminates tax breaks available for oil companies, makes it more difficult for businesses to deduct expenses associated with offshoring jobs, and boosts IRS funding for enforcement actions against corporations. President Biden did not propose an increase in motor fuels excise taxes or a change towards a vehicle mile traveled (VMT) tax.
Outlook
The legislative strategy for President Biden’s plan remains unknown, as key Democratic Congressional leaders, including House Transportation and Infrastructure Chairman Peter DeFazio (D-OR), would prefer to bundle an infrastructure package with surface transportation, which expires September 30, 2021. More details on process are expected to come when Congress returns to session.
Looking ahead to the American Families Plan, we expect President Biden to announce proposals affecting taxes on high-income individuals’ income, capital gains, estate taxes, step-up in basis and a potential extension of the expanded child tax credit.
Regulatory Compliance Reminder: New Edition of DOT ERG Requires Update of In-Cab Emergency Response Information
Every four years, the U.S. DOT’s Pipeline and Hazardous Material Safety Administration (PHMSA) publishes an updated version of its Emergency Response Guidebook (ERG) required for use by CDL drivers hauling hazardous materials. The latest version of the emergency response guide, ERG 2020, is now available. ERG 2020 updates and replaces the ERG 2016 edition currently in use by energy marketers. The ERG guidebook is intended for use by first responders during the initial phase of a transportation incident involving hazardous materials.
Click here to read the full Regulatory Report.
March 2021 EMA Small Business Committee (SBC) PAC Contributions
PAC Co-Chairs Brad Bell and Tim Keigher are grateful for the Energy Marketers of America Small Business Committee (SBC) PAC contributions from the following individuals during the March 1-31, 2021 time frame:
Kansas: Tom Palace
Michigan: David Coyne
Minnesota: Milo Drevlow, E. Milton Latvala, Robert Skalko, Phil Troutwine
North Carolina: Brian Campbell
North Dakota: Tony Bernhardt, Matt Bjornson, Mark Bondy, Chris Fitterer, Andrew Fjeldahl, Tracy Good, Paul Arlen Hjelmstad, Paul Klosterman, Paul Mutch, Mike Rud, Deanne Schatz
Utah: David Bell, John Hill, Carl Hunt
West Virginia: Greg Darby
EMA Corporate Gold Partner Spotlight Featuring: Patriot Capital
BP and Patriot Capital Offering $500 Rebates for New Dispensers
In collaboration with BP, Patriot Capital is offering a $500 rebate per new dispenser financed in the U.S. BP and Patriot Capital partnered to give customers extra assistance to meet EMV standards before the April 17, 2021 deadline and to avoid fraud.
The $500 rebate is only available when financing with Patriot Capital. Only new, EMV-compliant dispensers purchased by jobbers or dealers of BP or Amoco sites qualify.
Please read the press release and the instructions to receive the rebate here.
For more information or to apply for the promotion, interested parties should visit here. Patriot Capital is an EMA Corporate Gold Partner. BP Products is an EMA Corporate Platinum Partner.
Secure Your Listing or Advertisement Now in EMA’s Online Buyer’s Guide
The Energy Marketers of America (EMA) is pleased to partner again with Strategic Value Media - a leading nationwide provider of print and digital media solutions for national, state and local trade and membership associations - to produce the 2021 edition of EMA’s Buyers’ Guide, the premier resource of relevant products and services for energy marketers. This will be the fourth year that the Buyers’ Guide will be produced. Please read the full press releasehere.
The Buyers’ Guide is accessible through the EMA website and will be updated soon with new advertisements and updated information. To view the Buyers’ Guide - click here. We encourage you to take advantage of this exceptional opportunity to highlight your products and services in the Buyers’ Guide. To learn more about advertising your products or services in the Buyers’ Guide, please email.
March 2021 Contributors to EMA MDF
Energy Marketers of America’s Marketer Defense Fund wants to thank the following individuals for their contributions during the March 1- 31, 2021 timeframe:
California: Nathan Crum
Colorado: Colorado Petroleum Marketers and Convenience Store Association
Florida: P.N. Risser III
Maryland: Lock Wills
New York: Scott Smith
Oregon: John Truax
Tennessee: Mark Radosevich
West Virginia: Dennis Thompson
Corporate donations are acceptable. MDF funds have been used to create a COVID-19 Situational Update & Resources webpage, to hire experts to cover important regulatory agencies dedicated to strengthening our lobbying efforts on Capitol Hill. Click here to donate to the EMA MDF.
Federated Insurance Employment Practices Network HR Question of the Month
Different Surnames on I-9 Documentation?
Federated Insurance’s HR Question of the Month focuses on employment-related practices liability issues. This month’s question is: What is the responsibility of the employer when a newly hired employee provides I-9 documentation that shows two different surnames? Specifically, a driver's license and a Social Security card that do not match. The employee states that the SS card has her maiden name and her driver's license has her married name. Please click here to read the response.
For additional information or to discuss this in further detail, please contact your Federatedregional representative or EMA’s National Account Executive Jon Medo at 800.533.0472. Federated is an EMA Corporate Platinum Partner.
This article is for general information and risk prevention only and should not be considered legal or other expert advice. The recommendations herein may help reduce, but are not guaranteed to eliminate, any or all risk of loss. The information herein may be subject to, and is not a substitute for, any laws or regulations that may apply. Qualified counsel should be sought with questions specific to your circumstances. © 2021 Federated Mutual Insurance Company.
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