For the North American Equipment Dealers Assn. (NAEDA), the focus of the 2024 legislative cycle is on right to repair bills across the country. As of Feb. 22, 46 right to repair bills in 20 jurisdictions have been introduced this year. Of those, 15 are agriculture-specific, while the rest focus on consumer electronics, wheelchairs, motor vehicles, broad based bills and repairability. This is roughly 30 fewer bills than 2023, according to NAEDA Director of Government Affairs Kipp McGuire.
“We definitely have our work cut out for us and some tough fights ahead, but we’re not nearly as steeped in the right to repair fight as we expected at this time,” he says.
Fewer right to repair bills have been introduced in 2024 than 2023. Along with Farm Bill reauthorization, NAEDA is prioritizing education on self-repair resources and MOUs, which currently accommodate the majority of U.S. farmers and act as more of a living document than right to repair legislation. Source: NAEDA
The reason McGuire and NAEDA Senior Vice President of Government Affairs Eric Wareham are seeing fewer bills in 2024 is because of the distribution of biennial legislatures across states. Texas and Montana, for example, are only in session every other year, while other states have designated years for budget and policy matters, with budget years being shorter 35-day sessions in states such as Oregon, according to Wareham.
An increase in wheelchair-specific right to repair bills in 2023 was what proponents hoped would get their foot in the door for future agriculture bills, McGuire says. The bipartisan passing of the 2023 Colorado right to repair bill is what he estimates is driving the subsequent surge in ag-specific bills. November 2023 also saw a White House sponsored meeting with various elected officials, advocates of right to repair and the Republican and Democrat sponsors of the Colorado bill calling on Congress to pass right to repair legislation.
“There’s a concerted political effort because it’s an election year,” McGuire says. “Democrats see this as an issue that can garner some favor with the rural voting population that they’ve struggled to get to come out for the Democratic ticket in the past.”
Of around 420 total bill sponsors in 2023, over 70% were Democrats. Wareham estimates right to repair has become a more partisan issue in recent years partially because of the increase in memoranda of understanding (MOUs) between OEMs and the American Farm Bureau Federation — which together represent the majority of farmers in the U.S.
“Republicans who are aware of that say philosophically, ‘industry has answered the call.’ Whereas Democrats still see a possible political gain and are also philosophically not predisposed to allow industry to come up with private sector solutions. They much prefer a legislative framework,” says Wareham.
We’re trying to educate customers and legislators on self-repair resources and seeing a lot of positive movement…
When MOUs were “sudden and against the grain,” there was a pushback on their effectiveness, according to Wareham. Education by NAEDA and the Farm Bureau have helped MOUs gain traction in the last 2 years, including getting MOUs ratified in several states. Without Farm Bureau involvement, he says entities like iFixit — a company that publishes free online repair guides — and the Public Interest Research Group (PIRG) step in to advocate for legislation.
“It’s a shame when that happens because they’re certainly not subject matter experts, don’t understand our industry and are doing it for purely political purposes,” Wareham says. “MOUs are starting to turn the tide in the legislative arena against further legislation.”
State & Federal Activity
On the top of Wareham and McGuire’s list of state-based concerns is Vermont, which passed H.81 at the end of 2023. Now in the hands of the Senate Agriculture Committee, NAEDA will be attending hearings when possible and pursuing amendments, of which Wareham says senators have been reasonable in accepting.
In West Virginia, a bill sponsored by the Senate Ag Chair and Vice Chair passed the Senate Ag Committee after several amendments.
“It’s only applicable to equipment or the parts of any equipment sold whenever that equipment is past its warranty period,” McGuire says. “There’s no stipulation on having to provide parts or documentation at a fair and reasonable price. It just says that a manufacturer has to provide the parts documentation to anybody that requests them.”
Michigan and Tennessee have also introduced several ag-specific bills in 2024. Though, the Michigan legislative session is delayed due to the redrawing of districts and subsequent special elections. Tennessee right to repair bills have bipartisan support, and Wareham says NAEDA has reached out to its senators.
Webinar Replay
Watch the full 2024 legislative priorities webinar here.
On the federal level, U.S. HR 5604 — the Agricultural Right to Repair Act — was introduced Sept. 20, 2023, with primary sponsor Marie Gluesenkamp-Perez and 6 additional Democratic co-sponsors from Michigan, Colorado, Oregon, California and Virginia. Initially referred to the House committee on Energy and Commerce, it was then transferred to the subcommittee on Innovation, Data and Commerce. Wareham says they’re keeping an eye on Senate and House seats this year — with over 40 members of Congress opting not to run for reelection, including Senate Ag Chairwoman Debbie Stabenow — and anticipates “shakeups” in committee and subcommittee membership.
In Canada, Bill C-244 has stalled after it provided a 2023 budget for right to repair consultations across various industries. Wareham says there is good industry input, and NAEDA is leading the charge. A provincial ag-specific bill has also stalled.
MOU Education
To provide resources outside of right to repair legislation, NAEDA created the Farmers Fix It page on its website that offers self-repair information and MOUs by manufacturer. Many legislators, McGuire and Wareham find, simply don’t know much or anything about MOUs.
“We’ve been going to Farm Bureau annual meetings and doing presentations on the self-repair offerings by manufacturer, trying to help get both customers and legislators up to speed and educate them on what self-repair resources are already available. We’ve been seeing a lot of positive movement whenever we do that,” McGuire says.
The most effective talking point that Wareham uses around MOUs is that they are a living document that is automatically reassessed every 6 months, something federal or state legislation is not able to do. The Farm Bureau also has a portal for anyone to make a complaint about a manufacturer not abiding by the MOU in place, ensuring MOUs are elastic and grow with the industry.
Farm Bill Reauthorization
Over 200 members of Congress have not yet voted on a Farm Bill, and there is $75 billion in additional investments that both Republicans and Democrats have called for, says Wareham. Not only is finding the money difficult, but SNAP has become a bigger portion of the Farm Bill than in previous years.
“From 2002-2021, SNAP has increased 242% over and above what Farm Safety Programs account for in the Farm Bill,” Wareham says. “In the next 10 years, SNAP is projected to increase 508% over the Farm Safety net. Those realities are breaking down the traditional SNAP is more Democratic, Farm Bill programs are more rural Republican and the compromise coalition is what gets it past the finish line. So it’s stalling out right now.”
There’s a concerted political effort because it’s an election year…
Recent Ag Census data also shows a 2024 projected decrease of 24.5% or $40 billion in net farm income.
To support farmers, NAEDA hopes to get HR 3425, the Community College Agriculture Advancement Act, incorporated into the Farm Bill. It provides funding for technician programs across the country and has bipartisan support. The Tax Relief for American Families and Workers Act of 2024, HR 7024, was also passed in the House with bipartisan support.
To aid in getting a beneficial Farm Bill passed and right to repair legislation minimized, NAEDA has established a political action committee (PAC).
“This is a separate entity from NAEDA,” McGuire says. “It has its own bank account, and its own EIN. However, it is associated and sponsored by NAEDA. The PAC is officially constituted of 5 dealer members and 2 staff."
Keep up to date on the Deere right to repair litigation here.
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