Category: Government

By on December 3, 2010

It’s the policy of many automakers that you can’t get through the factory gate unless you drive something made by that company. If recent trends continue, GM’s largest stockholder will have to park outside and walk.

The U.S. government, now owning 33 percent after a pre-IPO 61 percent of GM, bought most of its cars from the competition. Bloomberg had to file a Freedom of Information request with the GSA until they handed over the data. This is what they received: Read More >

By on December 2, 2010

The ethanol industry might have enjoyed a small popularity bump when NASCAR switched to E15 (15% ethnol blend) gas, but it’s facing one of its biggest tests yet, as the so-called “blender’s credit” draws within a month of its expiration date. And the signs aren’t looking good for the most important subsidy in the ethanol playbook. Bloomberg reports that 17 Senators from both parties are pushing to end the 45 cent-per-gallon tax credit for ethanol blenders (and 54 cent-per-gallon import duty), and they’re opposed by only 13 Senators openly pushing for renewal. Plus, they’ve got a pretty strong argument:

If the current subsidy is extended for five years, the Federal Treasury would pay oil companies at least $31 billion to use 69 billion gallons of corn ethanol that the Federal Renewable Fuels Standard already requires them to use. We cannot afford to pay industry for following the law

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By on December 2, 2010

The IIHS’s latest bid for relevance comes in the form of an entirely unshocking revelation: crash a car and an small SUV together, and the car will be more expensive to repair. I know, I know… mind-blowing stuff. And it would be goofy enough if the IIHS had performed these crash tests simply for the data, but in fact the results gave them cause to exhume one of the most asinine crusades in the history of automotive regulation: regulating bumper height. Because, as the IIHS’s Joe Nolan puts it

We picked vehicles from the same manufacturer because we think automakers should at the least pay attention to bumper compatibility across their own fleets. The results show that many don’t.

And why not? Well, maybe because the odds of hitting a vehicle made by the same manufacturer that made your car are so astronomically unlikely that testing “bumper compatibility” let alone calling automakers to task for not paying enough attention to this meaningless metric is the height of self-important stupidity. But of course the IIHS wasn’t going to just leave things there…

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By on December 2, 2010

The US Court of Appeals for the Ninth Circuit on Tuesday reaffirmed a decision handed down in January (read decision) limiting the ability of police to taser motorists over minor traffic violations. Coronado, California Police Officer Brian McPherson blasted motorist Carl Bryan, then 21, with a 1200-volt taser during a traffic stop over a minor infraction on the Coronado Bridge near San Diego, five years ago. Bryan lost four of his front teeth and was hit with “resisting arrest” charges. He sued, claiming excessive force had been used.

“We concluded that Officer Brian MacPherson used excessive force when, on July 24, 2005, he deployed his X26 taser in dart mode to apprehend Carl Bryan for a seatbelt infraction, where Bryan was obviously and noticeably unarmed, made no threatening statements or gestures, did not resist arrest or attempt to flee, but was standing inert twenty to twenty-five feet away from the officer,” Judge Kim Wardlaw summarized.

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By on December 1, 2010

In a supplemental memo related to forthcoming fuel economy standards for the years after 2017 [full doc in PDF here], the EPA has revealed the results of its consultations with stakeholders including the auto industry, and it seems that there are tradeoffs to high standards. The industry’s complaint seems to be that the government has underestimated the impact of higher fuel economy standards on such details as

vehicle performance, utility (e.g., towing capability), and comfort (e.g., noise, vibration, and harshness), the role of competing regulatory or technical requirements (e.g., criteria pollutant and/or safety standards), and assumptions regarding future gasoline fuel properties (e.g., octane levels).

All of which comes with a real price. The government is targeting a 2-6 percent increase in fuel economy standards between 2017 and 2025, which amounts to a range of 47-62 MPG. The NHTSA/EPA estimates show that this level of increase will cost automakers between $770 and $3,500 per vehicle to meet, but automakers insist that these estimates are too low. And apparently, the government takes these concerns seriously enough to blow its end-of-November deadline for narrowing the range of possible standards. At the top of the list of issues for study: the age-old trade-off between efficiency and safety.

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By on December 1, 2010

As documented here, German carmakers mostly talk about EVs, but build very few. Volkswagen’s Christian Klingler even said that customers don’t want EVs, only governments do. He’s sure right about the government part. The German government prods its carmakers to get on with the building of EVs.  Germany’s Economy Minister Brüderle (the very same that said no to Opel help) demanded “more tempo” in the EV department. The German government wants to see a million EVs by 2020. The government is worried that the Germans are missing the (electric) train. Just like the automakers, the government is a lot of talk, and little action. Read More >

By on December 1, 2010

The Ohio Court of Appeals ruled on Monday that police do not need to obtain a warrant before attaching a GPS tracking device to anyone’s vehicle. The case arose after paid informants told the Butler County Sheriff’s Office that Sudinia Johnson was involved in selling cocaine. Acting on this information, Detective Mike Hackney attached a pager-sized GPS tracker to the undercarriage of Johnson’s white Chevy van.

The GPS unit uploaded information regarding the van’s location to a website that Hackney regularly checked. This information was used to follow the van from Chicago back to Ohio, with police prepared to make a traffic stop with drug-sniffing canines as soon as Johnson entered Butler County, as long as “they were able to find probable cause to make a stop,” according to Hackney’s testimony.

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By on November 30, 2010

The following is a “Confidential” memo from the US embassy in Berlin, leaked in the latest Wikileaks dump, describing German reaction to GM’s flip-flop decision to not sell its German subsidiary, Opel. The memo reveals that Germany saw GM as a “unreliable partner” and that at least one German government official believed that “if the U.S. Government had GM under better control, this would not have happened.” The document also confirms that GM scuttled the deal largely over concerns about Russian access to its intellectual property, and that Opel may well have been happy to see the deal fall apart rather than face losing its entire BMW supply business. Though none of this information is completely new, the leaked document provides a fascinating insight into the muddled mess that was the Opel rescue.

BERLIN 00001395 001.2 OF 002

Classified By: ECONMIN Robert A. Pollard for reasons 1.4 (b,d).

1. (C) Summary: Just hours after Chancellor Merkel’s historic November 3 address to a joint session of Congress, General Motors (GM) canceled its sale of Opel to Canadian auto parts manufacturer Magna. The decision, which followed repeated assurances from GM that it was a done deal, came as a complete shock in Germany and dominated media coverage throughout the day. Merkel herself was reportedly highly upset over GM’s flip flop. Ulrich Wilhelm, the Chancellor’s spokesman on Opel said the German government “regretted” the decision, and reminded GM that it must now repay Berlin’s 1.5 billion bridge loan to Opel by the end of the month, while FDP Economics Minister Rainer Bruederle described GM’s action as “totally unacceptable.” The cabinet was expected to discuss the GM move on November 4. Opel’s labor unions, which had strongly backed the Magna sale because of its promise to save jobs and keep plants open, announced that workers would withdraw all concessions made under the terms of the Magna deal and start a general strike at Opel plants on November 5. While anger is widespread, there are already some voices outside the government advocating acceptance of GM’s announcement as the only viable alternative to a total collapse of Opel. End Summary.

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By on November 30, 2010


Drunk driving is often heralded as a model for government-led shifts in personal behavior, as the social taboo around drinking and driving has become stronger with time. But what about other drugs, both illegal and legal? Most drugs do not impair driving ability as obviously as alcohol, and intoxication is not always easy to spot… in fact, it’s not technically illegal to drive when taking a legal medication that may impair driving. As a result, NHTSA is noticing a distinct uptick in the number of positive tests for legal and illegal drugs performed on drivers who died in car wrecks.

According to data compiled by NHTSA, 63 percent of the 21,798 drivers who were killed in motor vehicle crashes in 2009 were tested for drugs. Of these, 3,952 tested positive for drug involvement, representing 18 percent of the total for that year. The report also showed drug use reported by the states among fatally injured drivers increasing from 13 percent in 2005, to 15 percent in 2006, 16 percent in 2007, and 18 percent in 2008.

The drug data released today was collected by NHTSA as part of its Fatality Analysis Reporting System (FARS) and included information collected from the states under three broad categories: whether the driver was tested, the type of test conducted, and the test results. The types of drugs recorded in FARS include narcotics, depressants, stimulants, hallucinogens, cannabinoids, phencyclidines (PCPs), anabolic steroids, and inhalants. The groups include both illicit drugs, as well as legally prescribed drugs and over-the-counter medicines.

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By on November 29, 2010

A federal judge issued an order last Friday blocking the immediate removal of red light cameras from Houston, Texas intersections. On November 2, voters adopted an amendment to the city charter making photo tickets unenforceable, against the wishes of the Houston city council and the private vendor that operates the cameras, American Traffic Solutions (ATS). Over the Thanksgiving holiday, US District Court for the Southern District of Texas Judge Lynn N. Hughes worked out a deal with the city and ATS to preserve the cameras, for now.

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By on November 26, 2010

A divided federal court last week ruled that police could not use GPS devices to track a suspect without first obtaining a warrant. Nine judges of the US Court of Appeals for the DC Circuit considered the case of Antoine Jones who had been arrested on October 24, 2005 for drug possession after police attached a tracker to Jones’s Jeep — without judicial approval — and used it to follow him for a month.

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By on November 26, 2010

The official MPG(e) ratings for Chevy’s Volt and Nissan’ Leaf have been out for a few days. Finally, The Nikkei [sub] noticed something: Nissan’s “all-electric Leaf has gained bragging rights in the U.S. market after garnering a higher fuel economy rating than the Chevrolet Volt.” Bragging rights bestowed courtesy of the U.S. government. Read More >

By on November 24, 2010

Bloomberg reports that the General Services Administration has increased the percentage of hybrids in its fleet purchases from about one percent to at least ten percent since President Obama took over. And you better believe that the government isn’t buying the same hybrids that American consumers are.

The U.S. government buys hybrids almost exclusively from Ford and GM. It bought only 17 Prius models and five of Honda’s Civic hybrids in the past two years. Chrysler Group LLC stopped making hybrids in 2008 after about two months of production.

The government purchased about 64 percent of GM’s Chevy Malibu hybrid models and 29 percent of all Ford Fusion hybrids manufactured since Obama took office in 2009, the data show. GM stopped making the Malibu hybrid in 2009 after lack of consumer demand. GSA also bought about 14 percent of Ford Escape hybrids.

According to Bloomberg’s math, a quarter of the hybrids built by GM and Ford since Obama took office have been purchased by the government. And the fleet buys weren’t cheap… for taxpayers or the automakers.

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By on November 24, 2010

The Las Cruces, New Mexico city council on Monday agreed once again to continue using a photo enforcement program that has proved to cause a significant increase in accidents. The jurisdiction in May reluctantly complied with a New Mexico Department of Transportation (NMDOT) order shutting down automated ticketing on state roads. Officials ignored the evidence at the time that accidents had increased, not decreased as promised, at photo enforced locations.

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By on November 23, 2010

Why does the Nissan Leaf get a 99 MPG from the EPA? After all, you could pour gallons of gasoline into the thing and it wouldn’t budge an inch. It is, after all, an electric car. But hey, this ain’t America if a consumer can’t glance at a label and say “gosh honey, check out how many em-pee-gees this one gets. That sure is a whole lot of em-pee-gees.” And at least the EPA did include the most important detail: the Leaf’s battery range is rated 73 miles, or about three quarters the range Nissan had been claiming. Of course, as is always the case, your mileage may vary… only the amount of gasoline required by a Nissan Leaf won’t.

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