After his role in the Toyota recall scandal, Brian Ross of ABC News has become the Mainstream Media’s go-to guy for auto safety exposés. Now, Ross reports on a story that had been largely championed by Christopher Jensen of the NY Times: Ford’s response to rear-axle breakage on Windstar minivans. Jensen reports that NHTSA opened an investigation into Windstar axle issues in May, when the auto safety watchdog had some 243 complaints in its database. At the time, Ford insisted that

the operator retains control of the vehicle at all times… the few reports alleging loss of control are inconsistent with how Ford would expect these front-wheel-drive vehicles to respond

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Washington state’s attorney general confirmed Monday that the legislature may no longer pass authority to raise transportation tolls and fees to an unelected commission. In November, 64 percent of voters approved Initiative 1053 which stated that taxes must be approved by the vote of a majority in the state House and Senate.

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For all the debate about strong sales of trucks and SUVs this year, American gasoline consumption is actually going down and may have reached an all-time high. Fox News may filed the AP story under “Disasters” but the worst news in the story is that

America will continue to burn more gasoline than any other country, in total and per capita, for decades to come. China is second in total consumption, but, despite its explosive growth, still uses just half of what the U.S. uses. Canada is second in consumption per capita but is on its own path toward a more fuel-efficient economy.

While America’s diminishing demand will temper global demand, it will be more than offset by rapidly growing demand in China, India, the Middle East and Africa. As a result, declining U.S. gasoline demand will not bring lower pump prices.

The AP gives most of the credit for the projected decline in gas consumption to demographic shifts and government policies like CAFE standards and ethanol blending credits. The coming of electric and plug-in vehicles is even given some credit as a long-term driver of lower gas consumption, but the success of alt-energy cars does seem to be dependent on the pump price of gasoline. And, in fact, if you look at medium-term historical gas prices it seems that unleaded is unlikely to ever cost less than it did in 2006, indicating that a gas tax would have been at least as effective as the convoluted CAFE and ethanol policies. Now that gas seems unlikely to ever drop below the $2.50/gallon mark, baby boomer demographics and complex government policies need not take all the credit.

One of the many reasons for Ford’s surging market share are Americans who refuse to buy a car from a company that has been bailed-out with their tax dollars. In survey after survey after survey, Americans took issue with the bailouts. The backlash was so severe that one of the first measures Joel Ewanick implemented at GM was to get rid of GM. He replaced “General Motors” with “the parent company.” Smart move: You can be against Government Motors. But who dares to be against parenthood?

Ford meanwhile rode high on the perception that they didn’t accept a single dollar. “Ford did not seek a government bailout,” says a very recent Rasmussen Report,  “and 55 percent of Americans say they are more likely to buy a Ford car for that reason.”

Americans (and possibly GM and Chrysler) are the victims of a big lie, says Wall Street insider Eric Fry. And he has the numbers to back it up. (Read More…)

The AP [via Google] reports that Toyota’s board has voted to pay $32.4m on top of the $16.4 it already paid the US Department of Transportation in connection with its handling of several recalls. The first involved Toyota’s handling of gas-pedal entrapment by floormats in its vehicles that were part of the Unintended Acceleration scandal earlier this year. The other involved steering rods in certain 4Runners and T-100 pickups that were not recalled despite a 2004 Japanese market recall for the same parts on Hilux pickups.

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When oil and food industry groups sued to roll back the EPA’s ruling allowing E15 ethanol blends in 2007 and later model-year cars, we concluded

the political tail has wagged the scientific dog on ethanol ever since the farm lobby realized that ethanol could be the next corn syrup. With any luck, this lawsuit could just be the point at which science re-asserts itself.

The missing link: the automakers. Though auto manufacturers have been slowly climbing on board the anti-ethanol bandwagon, in no small part because large domestic OEMs like GM were once closely allied with the ethanol industry, it seems that the coalition to stop E15 is now complete. A new group known as the Engine Products Group, comprised of the Alliance of Automobile Manufacturers, The Association of International Automobile Manufacturers, the National Marine Manufacturers Association, and the Outdoor Power Equipment Institute, has filed a new petition to block the EPA’s E15 ruling.

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The French parliament has taken a step toward significantly reducing the non-monetary penalties that accompany most speeding tickets. The National Assembly voted Thursday to diminish the amount of time that minor traffic violations affect a driver’s record, and consequently his insurance rates. The changes came in the form of a compromise amendment to a wide-ranging homeland security bill known by the acronym LOPSSI II.

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[Graph courtesy:opensecrets.org]

Newly freed from the government’s controlling interest, GM is turning the tables back on the government by accelerating its lobbying efforts some 83 percent in the third quarter of this year. GM spent $2.72m on lobbying in the second quarter of this year, and $2.49m in the third quarter, a massive increase over the $1.36m GM spent in the third quarter of last year (Chrysler spent $846k last quarter). Bloomberg reports

The Detroit automaker had nine registered lobbyists speaking with federal agencies and Congress on free trade agreements, distracted driver legislation, tax credits for electric vehicles, pension legislation, climate change bills [as well as] Wall Street reform; fuel economy regulations; U.S.-Asia trade; pending free trade agreements with South Korea, Colombia, and Panama; funding for renewable fuel research; defense spending; emergency response privacy regulation; event data recorders; pedestrian safety and other issues

But let’s be real about something: some of these issues are just a little more important than others….

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Class action attorneys have set their sights on a South Carolina town that set up a freeway speed camera in defiance of state law. Since August, the town of Ridgeland has allowed the private company iTraffic to operate a speed camera system to mail tickets worth $133 to $300 each to the owners of vehicles photographed as they pass through a tiny stretch of Interstate 95. The fully automated system is housed in a recreational vehicle that is usually concealed behind a bridge. When state legislators heard of the town’s plan, they unanimously enacted a law to prohibit the use of speed cameras (view law).

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ABC reports that GM has purchased $2.1b worth of its stock from the Treasury Department, bring the government’s stake in the bailed-out automaker to 33 percent. GM’s stock price must now reach $53/share in order for the government to recoup its remaining $16.88b investment in The General. GM’s stock currently trades at around $33.70, and recent analysis from UBS shows that the company faces significant short-term challenges as an investment.

The red light camera program in Cleveland, Ohio faces serious legal trouble as the state’s second-highest court ruled Thursday that a class action lawsuit could proceed. In its decision, a three-judge panel of the Ohio Court of Appeals for the Eighth Appellate District overturned a county court ruling that had blocked a class action challenge to the city’s issuance of photo tickets to the drivers of leased vehicles. The appellate court insisted that the case had merit as did a federal appeals court in a separate case decision over Cleveland’s automated ticketing machines handed down last month (view ruling).

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A federal judge sided yesterday with a traffic camera company by blocking anti-red light camera referendum sponsors in Houston, Texas from participating in an ongoing legal challenge. US District Court Judge Lynn N. Hughes will decide whether the November 2 vote of Houstonians against traffic cameras should be nullified. Hughes will now make his decision based solely on the arguments presented by supporters of photo enforcement — the city of Houston and American Traffic Solutions (ATS).

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Opposing factions in the Missouri General Assembly have emerged ready either to authorize or prohibit the further use of automated ticketing machines in the state. One one side, state Representative Tim Meadows (D-Imperial) has been wined and dined by lobbyists for the photo ticketing industry and, in return, has filed legislation specially crafted to expand the use of speed cameras while appearing to be a “limitation” on their use.

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The last time we discussed the idea of “crash taxes,” it kicked off quite the debate. After all, it’s a question that cuts to the core of political philosophy: to what extent should individuals take responsibility for using public resources? As motorists, would we rather know that we’ll be taken care of in case of a crash, or would we rather have financial incentives to take care to not crash? Well, New York City has decided that, philosophy aside, it simply doesn’t have the money to send emergency responders to car crashes without charging some kind of fee. The WSJ reports

The FDNY plans to start sending out bills July 1. A vehicle fire or any other incident with injuries will cost $490. A vehicle fire without injuries will cost $415. And incidents without fire or injuries will cost $365. These charges apply to every vehicle involved in the incident.

Except, of course, when they don’t…

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A watchdog group last week filed a complaint with Canada’s privacy commissioner and the Manitoba Ombudsman’s Office over the city of Winnipeg’s refusal to release data about its photo enforcement efforts. Over the past five months, WiseUpWinnipeg had filed three separate requests for basic information under under a freedom of information law known as FIPPA, but city officials have refused to comply.

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