Lewis Wall Jr., CEO of Davenport Energy in Chatham, Virginia, named 2027 Chairman of EMA
At EMA’s Fall Meeting in Las Vegas this week, the Board of Directors
elected Wall to lead the national trade association representing
independent energy marketers. Tom Frawley of Summit Distributing LLC in
New Hampshire was elected 1st Vice Chair, and Steve Clark of Genesee
Energy in Seattle, Washington, was elected 2nd Vice Chair. Glenn Hasken,
chief operating officer of Molo Petroleum (Molo Companies) in Dubuque,
Iowa, will serve as Immediate Past Chair.
EMA’s Executive Committee acts for the Board of Directors in its absence, interprets and implements policies adopted by the Board, and recommends courses of action to the Board. Wall also represents EMA on the Petroleum Marketers Oil Company, LLC (PMOCO), the association subsidiary that owns the Spirit® brand.
Davenport Energy is a family-owned fuel and propane company founded in Chatham in 1941 by Ben and Lois Davenport. The company, which rebranded from Chatham Oil Company in 2003, supplies propane and other petroleum products to more than 30,000 customers across Virginia and North Carolina and provides gasoline and diesel to more than 300 convenience stores. It employs roughly 175 people.
President Trump Directs Diesel Tax Relief
Federal and State Implementation Remains Unclear
President Trump signed an Executive Order, “Emergency Tax Relief on Diesel Fuel,” intended to provide temporary relief from high diesel fuel prices. The Order directs the Treasury Department to provide conditional federal excise tax deferral and specified penalty relief for highway sales and use of dyed diesel from October 5 through December 31, 2026. Trump said on Friday that a big announcement is coming up on diesel so stay tuned.
Importantly, the Executive Order does not itself authorize highway sales or on-highway use of dyed diesel fuel. Whether relief is available, whom it covers, and on what conditions depend on Treasury determinations and guidance not yet issued. State actions also may be necessary. EMA members, therefore, should proceed with caution.
What the Order Directs
Conditional tax deferral (§ 2(a)–(b)). Within five days (October 10, 2026), Treasury, in consultation with the Secretary of War as appropriate, must determine whether relief is authorized under Internal Revenue Code § 7508A, which authorizes Treasury/IRS to postpone certain federal tax deadlines for up to one year. This determination includes whether a qualifying event has occurred, and which taxpayers are affected. If Treasury makes those determinations, it is to defer payment of diesel fuel excise taxes imposed by § 4041(a)(1)(A) or § 4041(b)(1)(B) and incurred from October 5 through December 31, 2026, for the covered taxpayers only. To the extent the law allows, the deferral will be without penalties, interest, additional amounts, or additions to tax.
Penalty relief (§ 2(c)). Additionally, within five days (October 10, 2026), Treasury must direct the IRS to announce that it will not impose penalties under § 6715(a)(1) or (a)(2) when dyed diesel is sold for use or used on the highway during that period. The announcement must also address penalties for failure to make semimonthly deposits.
Implementing guidance (§ 3). Treasury must issue guidance identifying:
the specific relief and any conditions on it;
its legal basis;
the covered taxpayers, persons, locations, acts and liabilities;
the applicable periods; and
the date by which postponed taxes must be paid.
Other agencies (§§ 5–8). The other directives in the Executive Order are:
Treasury must determine and publicly announce how the IRS will allocate fuel-tank inspection and sampling resources during the relief period.
FMCSA must coordinate with states, industry and labor organizations while continuing all compliance enforcement, including audits, inspections, and monitoring.
USDA and the White House Office of Intergovernmental Affairs are to promote dyed diesel access for farmers and encourage corresponding state action.
Key Issues for EMA Members
Deferral is not forgiveness. Section 4 of the Executive Order directs Treasury only to explore ways, including legislation, to eliminate the deferred liability. It does not eliminate it. The § 4041(a)(1)(A) tax applies to sales of diesel for use in highway vehicles, so marketers could be among the taxpayers liable for 24.4 cents per gallon when the deferral ends. Pending guidance on covered taxpayers and payment dates, marketers should consider documenting any such sales and customer use.
Federal penalty relief does not resolve EPA or state restrictions. The § 6715 announcement addresses only federal excise tax penalties, and the Order must be implemented consistent with applicable law (§ 9(b)).
EPA’s fuel regulations do not currently require on-highway diesel fuel to be free of red dye. The federal red dye requirement is part of the IRS’ administration of the fuel excise taxes. EPA instead regulates fuel quality and does require on-highway diesel fuel meet the 15-ppm ultra-low sulfur diesel standard. The President’s Order does not direct EPA to act. High-sulfur heating oil and locomotive or marine fuel may not be used in highway vehicles.
State fuel taxes, licensing and reporting requirements, and dyed-fuel prohibitions also continue to apply unless a state acts. States, including Alabama, Arkansas, Indiana, Kentucky, Louisiana, Missouri, Nebraska, North Carolina, North Dakota, Oklahoma, and Texas, have issued emergency relief. These state orders vary, and many are limited to agricultural vehicles, state highways, or short time periods.
Supply impacts. Added demand during harvest and the start of heating season could strain dyed diesel and heating fuel supplies.
A separate program. The IRS has also issued temporary regulations implementing the separate § 6435 refund mechanism for tax-paid fuel later removed from a terminal as dyed fuel for nontaxable use. That program is distinct from the relief under this Order.
Next Steps
Treasury’s § 7508A determination and the IRS penalty announcement are due by about October 10. EMA has engaged with Treasury, IRS, EPA, DOE and DOT, and in the coming days, will provide updates, including on state actions, as details become available. EMA Members should wait for the applicable federal and state guidance before changing their dyed-diesel sales, tax collection, recordkeeping, or compliance practices.
EMA members with questions can contact EMA regulatory counsel Jeff Leiter or Jorge Roman.
EMA Regulatory Alert: Hurricane Isaias HOS Federal and State Waivers
Hurricane Isaias is moving toward the northern Gulf Coast as a category 3, with emergency declarations and transportation-related regulatory relief measures already activated in several states. In addition, a nationwide FMCSA HOS waiver remains in effect through December 16, 2026, covering interstate transportation of gasoline and diesel fuel.
Federal Relief
While the nationwide HOS waiver from FMCSA is not specific to Hurricane Isaias, it provides some HOS flexibility to drivers seeking to offer direct assistance to affected areas. There is no need for FMCSA to separately declare a regional emergency for operators to make use of the existing relief. See FMCSA’s waiver to review its terms and conditions by clicking here.
At this time, the waiver is limited to the interstate transportation of gasoline and diesel fuel. EMA continues to work with FMCSA to expand the covered fuels in the waiver, asking the agency to include heating fuel, aviation fuel, ethanol, denatured ethanol, and propane given related logistics concerns. In addition, EMA has requested a modest increase to the weekly on-duty limits (60/70 hours).
FMCSA could declare a regional emergency to provide more coverage in terms of products (e.g., propane) and relief (e.g., waiving weekly limits) targeted to this emergency. There is no indication that the agency is currently considering an extra layer of relief, as states have also responded.
Pursuant to 49 CFR § 390.23, states also have the authority to trigger interstate HOS relief through an emergency declaration. If they do so, it will be important to check for inconsistencies between the coverage, terms, and conditions of FMCSA's non-emergency waiver and the state-triggered emergency waiver. Drivers must clearly understand and document the authority and relief under which they are operating.
| Click Here for the Full Regulatory Report Including State Updates |
EMA Supports FMCSA Proposal to Codify ELP Out-of-Service Rule
On October 9, 2026, EMA submitted comments supporting FMCSA's proposal to codify noncompliance with the English language proficiency (ELP) requirement at 49 CFR 391.11(b)(2) as an out-of-service (OOS) violation. The proposal would write into federal regulations the OOS consequence that has applied at roadside inspections since June 2025, requiring all MCSAP States to adopt compatible requirements.
EMA's comments emphasize that ELP is critical for drivers of placarded cargo tanks, who must use shipping papers and emergency response information and communicate clearly with inspectors and responders. To improve implementation and enforcement consistency, EMA urged FMCSA to:
Establish objective evaluation criteria for each step of the roadside assessment.
Require uniform documentation of the assessment step a driver failed and the basis for that determination, giving carriers and drivers a contemporaneous record.
Define a clear return-to-service pathway.
Confirm that a driver placed OOS with a loaded cargo tank may remain with the vehicle under the hazmat attendance rule at 49 CFR 397.5(c) until a qualified replacement arrives.
EMA also noted that FMCSA's cost estimates rely on general-freight assumptions that may not reflect fuel distribution, where replacement drivers must hold hazmat and tank vehicle endorsements and many deliveries, such as winter heating oil and propane, are time sensitive.
EMA will continue to monitor the rulemaking and engage with FMCSA as it moves toward a final rule. For questions, contact Regulatory Counsel Jeff Leiter at jleiter@bmalaw.net or Jorge Roman at jroman@bmalaw.net.
In the weeks leading up to the midterm elections, gas prices and affordability issues are likely to significantly influence election outcomes. Both the House and Senate are expected to be decided by narrow margins, with the House being more likely to flip. In the House, there are 22 races considered to be highly competitive or toss-ups, with Democrats needing a net gain of four seats to reach the 218-seat threshold. Of these seats, 16 are currently held by Republicans and six by Democrats, increasing the likelihood of a change in control. Many of the members that EMA has met with, including Rep. Bob Latta (R-OH), Rep. Erin Houchin (R-IN), and Rep. Ron Estes (R-KS), are very likely to retain their seats.
On the Senate side, six races have been declared toss-ups, including Alaska, Iowa, Maine, Michigan, Ohio, and Texas. Democrats require a net gain of four seats to take the majority, but five of the six toss-up seats are currently held by Republicans. Of the toss-up races, EMA has previously met with Rep. Ashley Hinson (R-IA), who faces Iowa State Rep. Josh Turek to succeed Sen. Joni Ernst (R-IA), and Sen. Jon Husted (R-OH), who is running a tight race against former Sen. Sherrod Brown (D-OH). In addition to the toss-up races, Rep. Mike Collins (R-GA) is currently trailing Sen. Jon Ossoff (D-GA) by six points, while the race of Sen. Roger Marshall (R-KS) has shifted from Likely Republican to Lean Republican, with some analysts even calling it a toss-up.
With the House and Senate out of session until after the midterm elections, the Trump administration has continued its efforts to lower oil and gas prices. Environmental Protection Agency (EPA) Administrator Lee Zeldin announced an upcoming proposal to loosen federal oil and gas methane rules. Under the proposal, the EPA would rescind the Super Emitter Program, create separate standards for covers and closed vent systems, and provide technical standard flexibility for systems used to monitor emissions. The EPA would also change its approach to marginal wells by creating two regulatory categories for well sites. The action is another step in the Trump administration's plans to reshape the Biden administration's 2024 oil and gas rules.
In addition to issuing an Executive Order easing restrictions on diesel, President Trump is considering a suspension of the 18.4-cent-per-gallon federal gas tax. A suspension would require Congress to pass legislation, which would likely not happen until after the midterm elections. Previous attempts by the House Freedom Caucus to advance legislation creating a suspension were rejected by Speaker Mike Johnson (R-LA). In the meantime, GOP-led states have begun enacting gas tax holidays through November 2026.
During the lame-duck period, Congress will be tasked with passing appropriations bills and a reconciliation bill that could include farm aid and Iran war funding. House Agriculture Chair Glenn "GT" Thompson (R-PA) stated that he is optimistic Congress will pass a five-year farm bill before the end of the year. Senate Agriculture Chair John Boozman (R-AR) has echoed Rep. Thompson's sentiment, but the House and Senate will need to reconcile the differences between the two bills the chambers have passed.
THANK YOU to EMA’s Partner Sponsors for Las Vegas Conference!
EMA wants to give a huge THANK YOU to our EMA Board of Directors Council and Executive Committee Council Corporate Partner Sponsors: Federated Insurance, Reynolds American, Altria Group Distribution Company, Marathon Petroleum Company LP, Philip Morris International, Valero Energy Corporation, Citgo Petroleum Corporation, ExxonMobil, Chevron, HF Sinclair, BP Products North America, Shell, Phillips 66, Spirit Petroleum and Meridian Associates!
Energy Marketers of America (EMA), Kentucky Petroleum Marketers Association (KPMA) and Ohio Energy and Convenience Association (OECA) want to extend a distinct THANK YOU to Federated Insurance and Marathon Petroleum Company LP for the DSA Luncheon honoring our 2026 Distinguished Service Recipient Jeff Lykins.
We appreciate the loyalty and support of each of our EMA Corporate Partners and their continuous commitment to the energy sector. For more information on our Partner Programs, please contact Rob Underwood.
The Small Business Disaster Preparedness Series October 20, 2026, 1:00 PM Eastern Time
The upcoming session Ensure Readiness with Smart Insurance Practices will be held on October 20, 2026, from 1:00 p.m. – 2:30 p.m. ET. It will focus on how small businesses can utilize insurance and building codes to better secure their business. This session is part of the 2026 Small Business Disaster Preparedness Series aimed at sharing critical information and resources for small businesses to successfully navigate disaster recovery situations and build resiliency before, during, and after disasters.
FEMA’s National Flood Insurance Program provides flood insurance to property owners, renters, and businesses. The Insurance Institute for Business and Home Safety (IBHS) is an independent, 501(c)(3) nonprofit committed to conducting research that leads to real-world solutions for home and business owners.
| Click Here to Register via Zoom |
If you would like to submit a question in advance, please email: OB3I@fema.dhs.gov.
September 2026 Contributors to EMA MDF
EMA’s Marketer Defense Fund (MDF) committee wants to thank the following individuals for their MDF contributions during the September 1-30, 2026 timeframe:
Idaho:
Suzi Budge, Idaho Petroleum & Convenience Store Association
Illinois:
Curt Adams, Illinois Ayers Oil Company
Kentucky:
Brian Clark, Kentucky Petroleum Marketers Association
Louisiana:
Johnny Milazzo, Lard Oil Company, Inc.
Maryland:
Brad Fulton, AC&T Company, Inc.
Mississippi:
Philip Chamblee, Mississippi Petroleum Marketers & Convenience
Stores Association
Missouri:
Ron Leone, Missouri Petroleum & Convenience Association
Montana:
Brad Longcake, Montana Petroleum Marketers & Convenience Store
Association
NECSEMA:
Tom Frawley, Summit Distributing LLC
Stephen Garrett, Volta Oil Company
Thomas Healey, Nouria Energy
Jon Shaer, NECSEMA
North Carolina:
Jimmy White, Nisbet Oil Company
Tennessee:
Cindy Edwards, Edwards Oil Company of Lawrenceburg, Inc.
Jonathan Edwards, Edwards Oil Company of Lawrenceburg, Inc.
Emily LeRoy, Tennessee Fuel & Convenience Store Association
Jay Moore, JAT Energy
Corporate donations are acceptable. MDF funds have been used to create a COVID-19 Situational Update & Resources webpage, to hire experts to cover important regulatory agencies and disaster relief dedicated to strengthening our lobbying efforts on Capitol Hill. Click here to donate to the EMA MDF.
Oil prices jump as Iran steps up tanker attacks, hurricane threatens US Gulf production | CNBC
Lonnie McQuirter Named 2026-27 NACS Chairman | NACS Daily News
USA Continues Strategic Petroleum Reserve Release | Rigzone
Federated Insurance: It’s Your Life
Life insurance is an important type of coverage to consider when planning for the future. Yet it’s not uncommon for people to overestimate the costs, assume work-provided insurance is sufficient, or remain unaware of coverage options.1 Understanding the basics is the first step.
With life insurance, you agree to pay premiums to your insurance company. In return, your insurer provides a death benefit to your beneficiaries if you pass away, and usually it’s tax-free. Younger, healthier individuals are generally able to secure more affordable coverage.
Two Main Types of Life Insurance
Term Life Insurance
Provides coverage for a set amount of time
Often costs less than permanent insurance
May be used as an income replacement during key earning years
Permanent Life Insurance
Offers lifelong coverage and can build cash value if managed correctly
Can provide more flexibility with premium and policy options than term insurance
May be useful for advanced estate planning and business strategies
Life insurance is about providing protection and peace of mind for the future. Talk to your Federated Insurance® marketing representative about our life insurance options, or for a referral to a member of Federated®’s network of independent attorneys for estate planning resources or for additional information or to discuss this in further detail, please contact your Federated regional representative or EMA’s National Account Executive Jack West at 507.455.5175 for any additional information or risk management questions. 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 an offer of insurance or legal, financial, tax, or other expert advice. The recommendations herein may help reduce, but are not guaranteed to eliminate, any or all losses. The information herein may be subject to, and is not a substitute for, any laws or regulations that may apply. This information is current as of its publication date and is subject to change. Some of the services referenced herein are provided by third parties wholly independent of Federated. Federated provides access to these services with the understanding that neither Federated nor its employees provide legal or other expert advice. All products and services not available in all states. Qualified counsel should be sought with questions specific to your circumstances. All rights reserved.