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Alex Borg

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Dec 5, 2023

6 minute read

Fleet Management Blog

Impending Regulations for Fleets

A critical part of maintaining compliance is adapting to the implementation of new regulations. In 2024, fleets will have a whole host of new state and federal statutes to abide by.

Impending Regulations for Fleets

At the start of every year, a multitude of new federal, state and locals go into effect across the US. 2024 is no exception to this pattern, and many upcoming statutes are poised to impact fleets nationwide.

Here are three of the most notable new regulations fleets should be aware of heading into 2024.

1. California’s Advanced Clean Fleets (ACF) Regulation

California is well-known for implementing many of the most ambitious emissions regulations in the country, but did you know that standards set in the Golden State tend to be ratified by other states as well? Since the early 2000s, more than a dozen states have deliberately adopted emissions standards based on California’s (in lieu of the more lenient requirements set by the federal government). All this is to say that, even if your fleet isn’t based in California, it’s very likely that fleet sustainability measures similar to those in California will eventually reach your state.

The Advanced Clean Fleets (ACF) Regulation is the latest move by the California Air Resources Board (CARB) to curb greenhouse gas emissions. Beginning on January 1, 2024, fleets belonging to certain categories will be required to follow rules when procuring new vehicles.

Drayage fleets

Drayage fleets (i.e. fleets that transport freight short distances between different shipping methods) will only be allowed to add zero-emissions vehicles to their fleets. To enforce this, to conduct drayage activities in California, trucks will need to be registered with a CARB database moving forward. And by 2035, all drayage trucks operating in seaports and intermodal rail yards will be required to be zero-emission.

High priority and federal fleets

The ACF defines high priority fleets as “entities that own, operate, or direct the operation of at least one vehicle in California, and that have either $50 million or more in gross annual revenue, or that own, operate, or direct the operation of a total of 50 or more vehicles.” If that description applies to your fleet, or if you’re a fleet associated with the federal government, you have a choice between two paths. By following the “Model Year Schedule,” you’ll be required to only purchase zero-emission vehicles (ZEVs) moving forward and will need to start removing internal combustion engine (ICE) vehicles once they reach the end of their useful lives beginning in 2025. Alternatively, you can abide by the “ZEV Milestones Option” that allows you to continue purchasing ICE vehicles so long as a specified percentage of your total fleet is comprised of ZEVs.

Fleets belonging to state and local agencies

Beginning with the new year, state and local fleets will need to ensure that 50 percent of their vehicle purchases are ZEVs or abide by the same ZEV Milestones Option available to high priority and federal fleets. These fleets will be able to purchase a combination of ZEVs and near-ZEVs (e.g. hybrid vehicles) until 2035 after which only ZEVs will be allowed for purchase.

In summary, while the ACF does represent one of the most ambitious climate change measures in California history, it won’t require fleets to electrify overnight. It’s expected that the majority of organizations compelled by the regulation will choose to gradually electrify their fleets in accordance with the mandated timetable specified by the ZEV Milestones Option instead of dropping ICE vehicle purchasing after New Year’s. Still, thanks in no small part by this push by the California government and recent expansions in EV infrastructure, the inevitability of EVs has never been clearer in the US.

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2. The Corporate Transparency Act

While not specific to the fleet industry, the Corporate Transparency Act (CTA) set to take effect on January 1, 2024 will impact many fleet organizations, especially fleet owners and owner-operators. In a nutshell, the CTA was passed by the federal government in order to combat various financial crimes such as money laundering and tax fraud. By requiring companies to more clearly disclose who owns them and how their owners benefit from owning them, the CTA aims to provide the Financial Crimes Enforcement Network (FinCEN) with the information they need to crack down on financial malfeasance.

In practical terms, the CTA will require organizations (primarily small businesses) and their owners to register with a “beneficial ownership information” (BOI) database maintained by FinCEN. Through the database, companies will be required to provide the legal name, date of birth, address and a unique identifying number of each “beneficial owner” they possess. The CTA defines a beneficial owner as anyone who, directly or indirectly, exercises substantial control over an entity and owns or controls 25% or more of the ownership interests of that entity. For most businesses required to file in accordance with the CTA, many C-suite corporate officers will fit this descriptor.

Failure to comply with the CTA by providing false information or by not reporting at all can result in serious fines. For each day a violation persists, companies may be penalized $500. Severe infractions could result in larger fines up to $10,000 and even jail time, so it’s imperative that fleets understand what’s required of them by the CTA.

2024 Fleet Industry Trends

Prepare your fleet for the upcoming year with a list of fleet and global trends that could impact your operations in 2024.

See the list

3. Consumer data privacy laws

As our world becomes increasingly digitized, data privacy regulations are steadily becoming something businesses of all sizes should be keeping up with. Case in point, dozens of data privacy statutes were enacted at the state level in 2023, and it appears that the trend will continue into 2024.


The Texas Data Privacy and Security Act (TDPSA) will go into effect on July 1, 2024. While it notably excludes entities defined as a small business by the United States Small Business Administration, the law will require organizations that conduct business in the Lone Star State and process or sell personal data to abide by a new set of rules. Thanks to the TDPSA, consumers will have the right to confirm if an organization has personal data related to them, correct that data for inaccuracies, request copies of that data, ask for that data to be deleted and opt out of certain uses of their personal data (e.g. targeted advertising, profiling, etc.). Similar to what organizations with operations based in Europe had to do in response to the General Data Protection Regulation (GDPR) in 2016, it’s expected that many businesses based in Texas will be updating their website privacy notices and implementing new data-handling processes in response to TDPSA.

Washington and Oregon

Washington and Oregon are set to implement similar laws in 2024 as well. And while the particulars of each state’s regulations may differ, the primary lesson that fleets should be taking away from these laws is that collecting personal data is far more involved than they might initially think. Organizations affected by these laws should audit their current data collection practices and develop codified procedures for when these laws go live.

The implementation of new regulations every year makes fleet compliance an ever-evolving process. In 2024, avoiding risks won’t just mean maintaining DOT compliance—it will entail vehicle maintenance and data management, keeping proper electronic logs and procuring the right kinds of vehicles.

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About the Author

Alex Borg

Alex Borg

Content Marketing Specialist

Alex Borg is a Content Marketing Specialist at Fleetio. Beyond writing, his interests include going to concerts, playing guitar, and hanging out at the beach.

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