Trump is going after California’s clean car mandate
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This expansion of the commerce clause could lead to trump being able to get something like this through. Be wary of expansions of federal power predicated on reinterpretation of the constitution.
I see the government is familiar with interaction-free measurements of quantum systems.
But seriously, it sounds like people will "interpret" anything in any way that is most convenient to them. I almost wish we had a formal system of language so these sorts of things would not occur. Of course, then we would have bugs in that system that would miss important edge cases...
You mean "legalese"? The language used in law is very specific and nuanced. I enjoy how similar it is to programming, where a bug in the source language can be exploited, much how imperfections in legal documents can be used as a loophole.
I'd love to see a software system that is able to reliably output high-quality legal documents. If developed in the open, any lawyer could theoretically contribute and help avoid loopholes for everyone. In theory we could build a framework that makes it easy to write loophole-free contracts that are easy for all parties to understand.
You mean similar to how, in theory, we could build a framework that makes it easy for us all to write readable, bug-free code?
Edit: I was mostly being tongue in cheek, but I also recognize that this is about provably correct code à la Coq, etc. That'd be cool for sure. :)
Unfortunately bugs written in legalese tend to take years or decades to patch.
No, more so something that could be verified using an interactive theorem prover; e.g., Coq (https://en.wikipedia.org/wiki/Coq).
All lawsuits would then consist of running a computer program against the legal "code".
I think that's what Meng Wong's startup 'legalese.com' is for: https://legalese.com/
He gave a talk about it here: https://www.youtube.com/watch?v=NlGqifLBsy8
Instead, the issue here would be whether the Act of Congress that specifically governs air efficiency standards gives any quarter to this administration's laughable potential reasoning for not granting a waiver that the law dictates must be granted by the EPA Administrator to allow any state to exceed the federal standard.
That is not the strategy the Trump administration is using, according to the article. California is regulating emissions under a 2009 waiver granted by EPA. The administration is seeking to revoke that waiver.
Such a business, when it makes a choice to not execute a sale that it would have had an opportunity to execute, has “mens rea” for that act’s effects on interstate commerce—because such companies keep track of such things, and their decisions are driven by such metrics.
It’s just like insider trading: not executing a trade that would have otherwise (i.e. given only public knowledge) been in your best interests to execute, where you didn’t execute it because of corporate-internal knowledge, is still just as illegal as the reverse. In either case, since it’s your job as a trader to be aware of the effects of both executing and not executing trades, either “act” can be said to be the result of an explicit, intentional choice you made.
(Of course, that’s different from just not executing a trade that you would have had no particular reason to execute. You can’t blame someone for insider trading just because they don’t short a stock, if they don’t already have a pattern of shorting stocks!)
In all such cases, the guilty party is a more abstract type of actor than an individual (e.g. a corporation; an accredited investor) and their guilt is driven by the fact that such actors behave predictably according to some preference function, such that it’s clear where such actors act against that preference function both through explicit action; and through inaction.
Or, as a formalism: when it’s 100% of your job, as an agent in a system, to decide whether to make deals, then a lack of a deal, together with evidence that you considered the deal, can be regarded as an explicit choice you’ve made to not make that deal.
Are you sure about that? I don't know that much about the law, but I've always heard of this case specifically because the excess wheat he was producing was for his own consumption.
Wiki seems to agree with this, not mentioning anything about his having a business that I see (although I only skimmed the article and may have missed something).
There may not have been an incorporated entity beyond just the farmer as farmer; but, sole proprietorship+ or corportation, there was still a separate abstract entity from the federal government’s perspective whose function was to trade in wheat (a “trading entity” or “Doing Business As” entity.) The farmer was—again, from the federal government’s perspective—the employee and sole shareholder of that entity; and that entity did business selling wheat.
+ (Sole proprietorships are a “hack” of the public API by which individuals interact with the tax system, allowing them to track their DBA revenue and expenses as part of their individual income and expenses. From the government’s perspective, though, when it comes to trade law rather than tax law, there’s always a company on both sides of each trade. In the case of sole proprietorships—including the case of, say, two neighbouring farmers bartering—the trade is just being executed by two "companies" whose identities are foreign-keyed to the individual sole shareholders' identities.)
Under this model, the amount grown in excess of the law was, effectively, grown by a business that sells wheat, and then given to the business’s sole shareholder in place of pay. That transaction caused the shareholder to not have to buy wheat on the market, which means the business made a choice to make this deal, when the business—as an entity that sells wheat—had a responsibility to know that it was breaking the excess law by doing this.
Can you provide a citation for that? Every definition I've read (eg. [1]) says that for it to be insider trading, there must be a trade. It doesn't necessarily have to be done by you (eg. U.S. vs. Rajaratnam [2], where an insider was convicted of passing information to a friend for relationship goodwill), nor do you have to be the insider (eg. Martha Stewart [3]) but some exchange of tangible property for financial benefit must have taken place.
It seems very problematic, from an enforcement perspective, to criminalize not doing something, particularly when it comes to trading. I don't see how you could ever prove "would be in your best interest to execute, given only public knowledge", given that the whole point of a trade is that one counterparty believes that it's in their best interests to own the security at the sale price while the other party believes it's in their best interests to not own the security. If there's any market liquidity at all at that price, it implies there's a difference of opinion over whether the security is worth owning. It also seems problematic to try and infer whether your lack of an action was because of inside knowledge or whether it was because you were restricted from stock transactions because of insider trading laws (ironically) or whether you just had too many other things going on to bother trading.
[1] https://www.investor.gov/additional-resources/general-resour...
[2] https://www.businessinsider.com/can-you-be-guilty-of-insider...
[3] https://en.wikipedia.org/wiki/ImClone_stock_trading_case
I guess you could phrase this more clearly as: never investigating a trade in the first place can't be insider trading; but proposing/planning/scheduling a trade and then cancelling that trade, can be insider trading. Where, as well, choosing to execute a competing trade can be considered to cancel the trade that would have been executed in its place.
I don’t remember the story, but you can imagine a situation where you scheduled a big buy a year in advance right before earnings. You’ve done this consistently for a few years, and it’s paid off for you. The company has grown consistent quarter after quarter. Only now, this year right before the earnings call, you cancel the purchase.
Now tell me, do you think the company’s earnings exceeded expectations?
Given my understanding of how lower courts work on case law, this set a whole bunch of biased precedents from this one ruling. The ability of California to set good environmental law could still prevail if they could get a ruling using some other way like the 10th amendment.
Even the same general panel of judges will about-face on it sometimes.
Second: you still don't know what you're talking about, because even if there weren't federal statute explicitly covering this, California's rules apply to cars sold in California. SCOTUS has never reliably pushed far enough into expansive Commerce Clause jurisprudence to be able to strike that sort of thing down, and never ever will (hint: because doing so would create a legal precedent for federal gun control to pre-empt more-permissive state-level gun laws, something the Court's conservatives will never allow a hint of a possibility of a thought of an option of a shadow of a consideration of...).
Third: cherry-picking Commerce Clause cases is a really bad way to make an argument. SCOTUS has been all over the damn place on the Commerce Clause at different points in US history, and you can ultimately find a Commerce Clause case to justify basically anything you want to say, which is why any given example tends to be pretty meaningless as an argument.
The relevant portion of the law [1] is pretty clear. The "waiver" granted to California is automatic, with no discretion for the EPA, "if the State determines that the State standards will be, in the aggregate, at least as protective of public health and welfare as applicable Federal standards", unless the standards are "arbitrary and capricious" or not needed for "compelling and extraordinary conditions". If they go to court with the current law, they'll get laughed at and then either give up or get an early 2020s Supreme Court to upend over two hundred years of federalism jurisprudence. Good luck with that.
To clarify, here's the original quote:
> No such waiver shall be granted if the Administrator finds that—
> (B) such State does not need such State standards to meet compelling and extraordinary conditions
That is, the heightened state standards themselves must be justified by compelling and extraordinary conditions, in the judgement of the EPA administrator. (Your trimmed quote suggests an alternate interpretation where they'd need compelling and extraordinary reasons to reject the state standards, but it's the other way around.)
It doesn't sound hard to me for the EPA administrator to argue that there are no longer "extraordinary" conditions specific to California that justify additional regulation. Apparently, when the language was initially enacted in 1970, it was meant to refer to smog episodes in Los Angeles [1]...
[1] https://theconversation.com/why-california-gets-to-write-its...
The Administator's discretion to get out of giving a waiver that shall be granted is pretty limited.
I disagree. It's not just the judgement of the EPA Administrator. The state can still bring a lawsuit, and in that lawsuit the EPA will need to provide evidence showing that the standards aren't required.
I also disagree with the argument that they are no longer "extraordinary" conditions. LA traffic is still absolutely insane, and it would be pretty damn easy for the state to provide data suggesting that the city would become smog-ridden if they rolled back regulations.
[1]: http://www.latimes.com/local/lanow/la-me-ln-bad-air-days-201...
[2]: https://www.sciencedaily.com/releases/2017/06/170619092749.h...
We would not be allowed standards that are below federal standards, we're just allowed to be tougher on ourselves than the fed requires.
I don't want standards to be rolled back, but it's hard for me to defend the principle of this waiver even if I like the outcome.
https://www.theatlantic.com/science/archive/2017/03/trump-ca...
Edit: I was actually wrong here, no other state may even ask for a waiver.
> This power is reserved alone for California, and it only covers pollution from cars. No other state can ask for a waiver. (In all of federal law, this might be the only time that a specific state is given special authority under such a major statute.)
https://www.theatlantic.com/science/archive/2017/03/trump-ca...
https://www.nytimes.com/2018/05/14/us/politics/supreme-court...
Other states were allowed the adoption of adopting the stronger California standard or using the weaker EPA's, but the goal was to avoid a hodgepodge of different laws.
The history is totally understandable, to avoid a hodgepodge they were granted special powers. Not fair in principle is all, I don't believe any state should have special rights above all others.
California's clean-air efforts were one of those laboratory-style experiments, though, and were deemed worthwhile enough that, when the federal Clean Air Act was drafted, it was set up to allow California -- the only state which really was experimenting in this area -- to obtain waivers allowing it to continue exploring its own policies. Other states have the freedom to choose to adopt California's standard, or the federal standard.
Also, the Clean Air Act is a bit interesting in how it works. Rather than applying for a waiver and having to hope it's granted, California is basically entitled to the waiver unless the EPA can show certain conditions have not been met:
https://www.epa.gov/state-and-local-transportation/vehicle-e...
Which in turn means that a President who simply dislikes California is not in a position to deny the waiver on a whim. Trump would have to show that the conditions for the waiver were not met, and would likely have to prove it to a court, rather than just give the order to an administrator who's beholden to him for employment.
And anyone can challenge the legality of a law by filing a suit; then it's left to the courts to ultimately decide whether the challenge has merit or not.
The federal government may not prevail in court, so it exerts it's influence elsewhere, typically by with holding federal funding, or refusing to provide federally backed services.
You do, after all, need to get people to agree to the thing. If some party objects, the easiest fix is often to just grant them a waiver.
"...any State which has adopted standards (other than crankcase emission standards) for the control of emissions from new motor vehicles or new motor vehicle engines prior to March 30, 1966..."
There are less problems with standards, more problems with double-standards.
States don't have rights.
States have certain powers granted them by their and the US constitutions. People too often misinterpret "limited Federal powers" as equating to "states' rights".
I think of those monkeys whenever some executives and their political allies complain about the regulations that keep them from making big messes for the taxpayers to clean up.
Has he looked or been otherwise briefed on how these mandates have crippled the American automakers? I'll be damned if he knows more than a talking point or two.
Didn't you hear? Those coal miners in West Virginia with black lung disease are losing their jobs because those yuppies in California are buying electric vehicles. He must protect BlockBuster. Hell, subsidize the shovels.
Until they do away with California’s stricter regulations, the loosening of regulations at the federal level has no effect.
There is still plenty of money in Ford, Chevy, etc.
If they remove the exception for California, now the weaker EPA rules are what automakers can work towards. This probably saves the auto manufacturer money.
If they Trump administration has a defining principle, it's the removal of regulations.
As has already been explained, this is false. These rules are for CARB states, not for California. California is in charge of working with the other states to set the rules.
Edit: Looked it up, no other states have a vote. 12 governor appointed members and 2 elected members of the CARB board decide.
No one is forced to do anything. Car manufacturers have the privilege of selling in California if they follow California's rules. They have decided that the privilege is worth standardizing emissions requirements everywhere in the united states.
I don't think "Car manufacturers have to make cars better for everybody, not just some people" will lead to the downfall of mass manufacturing.
I'd like you to go ahead and not pump a crapton of pollution into the air, thanks. Sorry for being so direct, and I would generally prefer to be more civil, but your comment strikes me as incredibly tone deaf and frankly, destructive. You are one inch away from advocating peeing in the swimming pool because it's cheaper than building toilets.
It mostly comes down to the diesel particulate filter (DPF) that reduces visible soot. This is not really a problem outside some major cities.
Why don’t we like the DPF systems? Consider something like a VW Golf or Jetta TDI. With these systems you’re adding hundreds of pounds of extra dead weight, a regen cycle is required which wastes fuel by blowing it into the filter to regenerate. Combined, this wastes around 10-15%. The cherry on top is you cannot run blends of biodiesel higher than 15% or it ruins the DPF since it doesn’t volatilize like diesel does. Biodiesel is renewable and already comes with reduced emissions without extra controls.
I do give a bit of a shit about the environment and if given the option I would not have a DPF on a light diesel. I have a hard time seeing how decreased fuel mileage and a restriction on running renewables equals care for the environment.
Keep in mind, we removed sulfur from our on-road fuel in the US back in 2007 (way behind europe). This was a big help in allowing new catalyst controls to work as well as reduce conventional diesel pollution.
But yeah, this is not stuff most people consider or know about until they own a noxwagen after previously owning one of the pre-2007 tdi’s, read the bosch whitepapers on the controls, and have a dpf fail just outside federal emissions warranty (VW’s motto: If you can program it to cheat, you can program it to fail!)
EDIT: Forgot to mention the cost of just the DPF is usually $4-6k. It’s a huge failure component and I can’t recommend anyone purchase a lightt vehicle with one for city use as it won’t be able to properly regenerate and will fail early. Since the cost is that high the car/truck may be prematurely scrapped.
The DPF should be self cleaning if you do an occasional high-speed trip (such as on a highway), so it shouldn't be wasting fuel unless you're doing exclusively city driving (in which case I agree; petrol or electric is better in this situation).
Our 2016 Golf Bluemotion gets at least 50mpg in normal driving, usually over 60mpg, and occasionally we crack 70mpg.
Wholesale its pretty much everywhere. Retail it depends on the state. Most states have a small % (usually 2-5%) blended into standard diesel to replace the lubricity lost from removing sulfur, but to get B20 or higher you’d have to google.
>The DPF should be self cleaning
Key words, ‘should be’. Do a quick search of dpf problems. They either plug from not completing (though you get dpf light telling you to go race it for a half hour or so to clear) or having some other issue. This causes obstruction and reduces economy more. That or they crack like mine did and plug the egr with soot. Regen takes some time to run, if your commute is 5mi it will not complete.
>Our 2016 Golf Bluemotion gets at least 50mpg in normal driving, usually over 60mpg, and occasionally we crack 70mpg.
(Casual reminder UK mpg different than US mpg, I will convert my experience to UK mpg)
Consistent with my 98 jetta tdi’s mileage. Unfortunately my 2012 golf tdi usually only topped out around 60mpg, I only broke 70mpg in a few extrodinary circumstances. The newer ones have urea injection systems and are a bit lighter.
Also from what I remember UK diesel is usually higher cetane and generally higher quality (also comparing any US/EU spec vehicles, US almost always detuned for emissions and running on poor fuel)
What's missing is the fact that 12 other states (the west coast and most of New England) have voluntarily agreed to adopt California's standards. So yes, the rest of the country does have influence, and they're wielding that influence on California's side.
Nobody is being "forced" to comply. Instead CA's standards are reasonable enough that it's more economical to implement them nationally than to build two models.
This is nothing more than special interests dictating policy, helpfully exposing GOP hypocrisy in its wake. "State's rights" for me when I want to enslave someone, externalize costs, or infringe on civil rights but "federal supremacy" when you don't do what we want.
The comparison is not easy though as the european standards focussus on hydrocarbons and the californian on NOx.
CA wrote extraordinarily strict rules (maybe the Feds will call them "arbitrary and capricious" ?) that unduly penalized diesel engines. As a result, great diesel engines and often the cars that go in them, that are sold in other parts of the world, are not available in the USA.
Since CA is such a large market for cars, a car maker will usually not bother to make or import a car that they can't sell in CA.
So, I am harmed by CA's standards and have no recourse - I can't vote in CA state elections because I don't live in CA.
The BMW 320d, which is sold all over EU etc. and has better performance and better fuel economy than the Toyota Prius? CA won't allow its sale because of their regulations.
Meanwhile, up to 29% of SF Bay Area smog is from China (I found different quoted numbers ranging from 20 to 29%)... which has nothing to do with cars being driven by Americans.
see https://www.npr.org/sections/thetwo-way/2017/03/03/518323094...
Right, which is why it's not relevant.
Try thinking a bit harder.
Thinking a bit harder is good advice, you should try it some time.
You aren't harmed by California's standards by any stretch of the imagination:
You can't show any actual harm by not being able to purchase specific diesel engines.
> Meanwhile, up to 29% of SF Bay Area smog is from China (I found different quoted numbers ranging from 20 to 29%)... which has nothing to do with cars being driven by Americans.
Sure, let's sign a bill telling the smog it can't go to LA anymore. That should do the trick. Do you understand the purpose of the regulations are to give Bay-area residents breathable, healthy air, and these regulations are the ones California can actually enact?
But hey, it's a conservative mantra to only think of the individual, so you fit the mold pretty well. Poor guy, can't buy a BMW 320d, and the damn Bay-area residents should get sick and breath horrible air so he can.
If a 320d is MORE efficient than a Prius, even though it doesn't have batteries, wouldn't you want it to be sold in the USA?
EDIT to add: it seems that the latest gen of the 320d is sold in the USA, as the 328d. The previous generation was not, which is what my comments were based on.
I know that's your point. But your point is without merit. You aren't being harmed because you aren't showing harm. California isn't vetoing diesels. They are regulating their environment and businesses are responding by not producing vehicles that meet the smog requirements.
You keep talking about efficiency, it's not about that. It's about pollution. You aren't being harmed, even had you been more informed about the 328d.
The BMW 320d that is sold in Europe is exactly the same car as the 328d that IS sold in the US, including in CA. I know, because I have one.
CA only has a by-name carveout for non-public-road vehicles. For cars, they get the same automatically granted formality of a waiver to exceed the standards that any other state can. Indeed, something like 15 other states adhere to the stricter California standard via that process.
Think about that for a second. Then you will understand ridiculous this notion is.
For another example, see textbooks and the Texas Board of Education. https://www.nybooks.com/articles/2012/06/21/how-texas-inflic...
What they’re not allowed to do is to set their own standard, because 300,000 people in Wyoming is just too small of a market.
It’s funny that you take exception with me using Wyoming, when your example was Rhode Island, the 7th least populous state.
Either everyone should get the ability, or no one should.
So there is obviously a market solution here. It seems wrong to target the CA regulation layer on this one.
Also, are we sure that it costs more on the margin to manufacture cleaner cars?
Plus, I can't help but think it's not that bad if we accidentally have cleaner cars, but that's not really a principled stance, it just worked out in this case.
There's no "more fair to other consumers" here, nor is there any "imposition" by California on consumers in other states. There is, however, an imposition on car manufacturers who wish to have their vehicles operated in California. Not seeing the problem here.
It should also be noted that California is the fifth or sixth largest economy in the world that's dramatically disenfranchised with respect to its representation in US government.
Also, it’s important to know that special California emissions standards have been the case for over 50 years. Additionally, I believe 14 other states have also adopted CARB standards.
There is no economic reason to be doing this in 2018.
By keeping the exemption, the state is making things more fair for its residents :)
the same overheating planet
California-specific fuels have less energy per unit volume, requiring more to be burned per mile, which results in worsened production of CO2 and other greenhouse gases in order to slightly reduce oxides of nitrogen.Global warming is not an argument in favor of CA's policy.