EMA Statement on the 2024 Election

Energy Marketers of America (EMA) President Rob Underwood issued the following statement on the results of the 2024 presidential election.

“Energy marketers across the country congratulate President-elect Donald Trump on his election victory. Liquid fuels are and will continue to be a crucial driver of economic growth in this county and a catalyst for affordable transportation. We look forward to working with his Administration and Congress to support balanced policies that address reasonable fuel efficiency standards and put an end to electric vehicle mandates.”

Avoid $591/Day in Fines by Meeting Compliance Deadline of January 1, 2025

By January 1, 2025, over 32 million small businesses are required to file a Beneficial Ownership Information report with FinCEN (the Financial Crimes Enforcement Network) under the Corporate Transparency Act. To date, FinCEN has received ~6M filings. You have approximately 50 days left to file.

EMA has partnered with Wolters Kluwer to help our small business members remain compliant and recommend taking the following steps immediately to avoid last-minute issues:

1. Determine Qualification: Confirm whether your entity/entities need to file

1. Qualifying Entities: Corporations, LLCs, and similar entities registered with the Secretary of State or equivalent office.
2. Exempt Entities: Exempt entities include publicly traded companies, public utility companies, and entities that employ more than 20 employees, operate at a physical office in the United States, and filed federal tax returns demonstrating more than $5 million in gross receipts or sales.

2. File BOI Reports Promptly: Use EMA’s endorsed BizFilings BOI reporting solution to file your reports.

3. Click here to access the BizFilings platform and file now. Enter EMA12 at checkout for 12% off your filing.

To ensure you understand the key requirements and avoid severe penalties for noncompliance, here are the filing deadlines:

4. Entities created before January 1, 2024:

1. File initial BOI report by January 1, 2025.
2. Update within 30 days of any business or ownership changes.

5. Entities created on or after January 1, 2024:

1. File initial BOI report within 90 days of formation (30 days starting in 2025).
2. Update within 30 days of any business or ownership changes.

Challenges against the DOL’s Final Rule

The Department of Labor (DOL) released a Final Rule earlier this year that implements a new overtime regulation and salary threshold increase (the “new rule”). There have been several legal challenges made in several different courts against the new rule. If one of these challenges is successful, DOL’s new rule could be overturned. As of today, no such challenge has been successful, and the new rule remains in effect.

What is the Department of Labor’s new rule?

On January 1, 2025, the new rule increases the minimum salary threshold that would qualify for exemption from overtime pay, which would result in a greater number of employees being eligible for overtime pay. The minimum salary threshold would increase to $58,656 annually (or $1,128 per week). Any eligible employee under this threshold would be eligible to collect overtime pay for any work completed over 40 hours.

Where do things stand now?

Currently, the challenges that have been decided in court have supported the DOL and kept the new rule in place. In one win for the DOL, a court specified that it is within the DOL’s authority to impose a minimum salary threshold for employees to qualify for overtime exemptions under the Fair Labor Standards Act (FLSA). However, that court recognized that if the DOL sets a threshold so high it overrides the need for employers to consider an employee’s job duties when determining their overtime exemption status, then the rule may not be enforceable.

There are currently other cases challenging the DOL’s new rule as well. This morning, the District Court for the Eastern District of Texas is holding a hearing on the rule in a case brought by the state of Texas and several employer organizations. A decision in the case could come as early as today, but it could take several more weeks.

Meanwhile, EMA sent a letter to Administrator Looman requesting the Wage and Hour Division delay the second increase to the minimum salary threshold until at least May 1, 2025, due to the pending legal challenges against the rule.

Recommendation going forward:

While the DOL’s new rule continues to be challenged in the courts, the new rule, as it stands today, is still in effect. We encourage businesses to review their compensation structure and be ready for implementation on January 1st. We will continue to monitor the courts and will provide updates on any changes.

EMA Urges FDA for Regulatory Flexibility for Required Warnings for Cigarette Packages and Advertisements

This week, the Energy Marketers of America (EMA) filed comments on FDA’s guidance document issued on September 13, 2024, regarding enforcement of the rule requiring graphic warnings for cigarette packages and advertisements. The guidance states that FDA intends to exercise enforcement discretion and generally not enforce requirements of the graphic warnings rule for 15 months after the date of the guidance—i.e., until December 12, 2025—and for an additional 30 days (until January 12, 2026) for products manufactured before December 12, 2025. EMA urged the FDA to issue regulatory guidance that the FDA make clear that retailers and distributors may sell cigarettes without graphic warnings so long as the cigarettes were validly manufactured by December 12, 2025, and introduced into commerce by January 12, 2026.

Click here to read EMA’s comments.

Priorities Being Set as Tax Teams Focus on 2025 Tax Bill

Given President-elect Trump’s victory and Congress likely to be in GOP control next year, it is expected that the Tax Cuts and Jobs Act will be preserved. The House Ways and Means Committee Chairman Rep. Jason Smith (R-MO) and Tax Subcommittee Chairman Rep. Mike Kelly (R- PA) formed ten Tax Teams earlier this year to study key provisions in the Trump-era TCJA. The Tax Teams are set up as follows: American Manufacturing, Working Families, American Workforce, Main Street, New Economy, Rural America, Community Development, Supply Chains, U.S. Innovation, and Global Competitiveness. The stated goal of these teams is to: “help families, workers, and small businesses,” according to Smith.

What Are Key Tax Priorities?

1. Preserve the current tax rates and brackets enacted under the Tax Cuts and Jobs Act. Family-owned businesses rely on the consistency of tax rates more than corporate businesses due to the increased complexity in succession planning. In addition, family businesses are uniquely suited to reinvest more in their business, their employees, and their communities, according to the results of our 2024 Annual Business Survey. In our survey, 52% of respondents indicated that if they paid less in taxes, they would invest more in the business, and 30% indicated they would raise their employees’ salaries.

2. Reduce the estate tax rate. Estate taxes severely hamper the ability for family business owners to pass the business and related assets (which are typically illiquid) to the next generation, making it more difficult for the business to continue growing, providing important jobs, and contributing to local communities. Of family businesses surveyed, 70% have generational employees and 81% have been in operation for 20 years or more. Eliminating the estate tax consistently ranks among the top three priorities.

3. Make permanent the Section 199A deduction for passthrough businesses. The Tax Cuts and Jobs Act included a new deduction to help ensure business owners pay tax rates more comparable to the corporate tax rate reduced by the TCJA. If allowed to expire, the section 199A deduction will be uniquely and severely disadvantage passthrough businesses. Of family businesses surveyed in our annual study, 78% operate as passthrough businesses, whether a partnership, LLC, S corporation, or other non-corporate structure.

4. Restore 100% bonus depreciation. Next to their commitment to their employees, family-owned businesses rely on capital investments to compete, grow, and thrive. Bonus depreciation is a critical tool for family businesses to support their capital investments and finance facilities and equipment critical to their ability to grow, expand employment, and contribute to the communities in which they operate.

5. Preserve the capital-gains tax rate. Like the estate tax, the capital-gain taxes present an obstacle for capital formation and investments necessary for family businesses to expand, modernize, and succeed in an increasingly competitive market, with 13% of family businesses ranking it in their top three tax policies of concern – a 4% increase over the 2023 Survey.

October 2024 Energy Marketers of America Small Business Committee (SBC) PAC Contributions

PAC Co-Chairs Mike Downs and Tim Keigher are grateful for the Energy Marketers of America Small Business Committee (SBC) PAC contributions from the following individuals during October 1-31, 2024 time frame:

Connecticut: Michael Devine

Iowa: Dave Reif

Louisiana: Justin Alford, Art Bonneval, Derek Breaux, Colby Chambers, Bobby Dandry, Andree Davis, Edgar Dugas, Gary Duplechin, Seth Dupuis, Annie Gauthier, April Indest, Frank Marcello, Cody Gielen, Michael Guillory, Frank Marcello, Taylor Marcello, Darrel McCartney, Russell McNeill, Ridge Miguez, Ali Momenzadeh, Todd Perry, Hugh Raetzsch, Blake Robert, Gayle Robert, Dan Ruiz, Mike Sibley, Nick St. Romain, Steven Waguespack, Vince Watts

Mississippi: John Fair, Benjamin Van Cleave, W. Clifton Van Cleave

NECSEMA: Thomas Frawley

New York: Joseph Alonzo, Vincenza Bick, Marcia Booth, Kris DeLair, Julia Miller, Brandon Smith, Kristyn Schweitzer

North Carolina: John Clark, John Strickland

Pennsylvania: Jim Barber, Andrew Bradigan, Dell Cromie, Steve Oehlert

Texas: Paul Hardin

Utah: Kyle Call, Roy Hall, John Hill

Weekend Reads

Trump expected to roll back environmental protections, boost oil and gas | The Hill

Oil settles lower as US dollar surges, investors take stock of Trump victory | Reuters

Federated Insurance Risk Management Corner
Key Strategies to Help Prevent Cyber Losses

Your employees are often your first line of defense in keeping your digital business assets secure. Using regular training programs and implementing a cyber risk management plan can be an effective way to build your line of defense against digital threats that could negatively impact your business, valuable information, and profits. Consider the following:
Conduct Frequent Employee Training

• Phishing Awareness - Teach employees to recognize common phishing tactics, such as suspicious emails and fraudulent links.
• Safe Browsing Habits - Instruct staff on best practices for navigating the internet securely, including how to identify secure websites.
• Password Management - Encourage the use of strong, unique passwords and emphasize the importance of changing them regularly.
• Regular Training - Use simulations and refresher courses to help reinforce cyber security knowledge.

Utilize a Risk Management Plan

• Regular Vulnerability Assessments - Conduct routine checks to identify and evaluate potential cyber risks within the organization.
• Automated Security Protocols - Implement automated systems to oversee security measures, ensuring timely updates and responses to threats.
• Incident Response Plans - Develop clear and structured response strategies for addressing data breaches or cyberattacks effectively.

For additional information or to discuss this in further detail, please feel free to contact your Federated regional representative or EMA’s National Account Executive Patrick Cunningham at 507.455.8935. 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 legal or other expert advice. The recommendations herein may help reduce, but are not guaranteed to eliminate, any or all risk of loss. Examples shown are for illustrative purposes only. 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. © 2024 Federated Mutual Insurance Company.

Chevron Pushes through Barriers to Provide Lower Carbon Intensity Fuel Solutions

“Embracing alternatives to traditional fuels is not only about aligning with environmental regulations — it can also be a strategic move for carriers to position themselves as a more responsive supply chain partner and potentially expand business opportunities,” said Chevron Renewable Energy Group Chief Technologist, Dave Slade, in a wide-ranging interview last month on FreightWaves. You can view the entire interview here.

For additional information about Chevron, please visit or contact Jason Lawrence. Chevron is an EMA Executive Committee Council Partner.

EMA Member Services Spotlight Featuring: Priceline from National Purchasing Partners (NPP)
Exclusive Discounts on Travel! Save Up to 25 Percent on Select Hotels with Priceline and NPP

Energy Marketers of America (EMA) members save on travel with a Priceline bundle through NPP. Simply package flight, hotel and rental car or book multiple hotels or any hotel/rental car combination and save up to 25 percent off Priceline "On Sale" hotels! Use Priceline's convenient shopping cart technology for a seamless booking experience.

You’ll find this great deal through NPP, an EMA member benefit provider.

Enroll your business for FREE here. Restrictions may apply.