What We’re Watching

January 2025

What We’re Watching is your go-to read for background on all NAFEM advocacy efforts, including energy, environment, regulations, supply chain, and taxes, tariffs and trade. What We’re Watching begins with NAFEM’s Federal Advocacy Tracker, a convenient reference list of pending issues with links to docket numbers (where applicable) and comments.  

Should your company wish to communicate with state and federal elected officials on these or other topics, the Advocacy Action Center makes it easy to do so. The Center also includes a convenient state policy map for members to search for proposed regulations and legislation potentially impacting their businesses at the state level.

Federal Advocacy Tracker

  Issue Docket No./Link Status/Notes 
   ENERGY  
Automatic Commercial Ice Makers  
1 DOE proposes energy conservation standards EERE-2017-BT-STD-0022 NAFEM comments Expected any day 
2 DOE issued Notice of Data Availability updating its analysis for above NOPR EERE-2017-BT-STD-0022-0056 Comment period closed Oct. 25, 2023 
Commercial Refrigeration Equipment 
1 DOE issued the pre-publication final rule addressing energy-conservation standards  EERE-2017-BT-STD-0007  The 542-page rule is effective 60 days after publication in the Federal Register and compliance begins 4 years later.  
Walk-in Coolers/Freezers 
1 DOE energy conservation standards EERE-2017-BT-STD-0009 Final rule effective Feb. 21 Compliance for walk-in non-display doors required on and after Dec. 23, 2027 Compliance for walk-in refrigeration systems required on and after Dec. 31, 2028 
   ENVIRONMENT
1 EPA released drinking water standards for municipal water systems and organizations that provide their own drinking water, April 2024. Final PFAS National Primary Drinking Water Regulation On hold pending litigation Currently calls for 5-year implementation period (2029) 
2 EPA final rule restrictions on the use of certain HFCs, establishes a process for submitting technology transitions petitions, and establishes recordkeeping and reporting requirements. EPA-HQ-OAR-2021-0643-0026 Final rule Oct. 5, 2023 Compliance dates vary from Jan. 1, 2025, to Jan. 1, 2028. 
3 Imported or domestically manufactured stand-alone retail food refrigeration units must use a refrigerant with a GWP of 150 or lower Program overview Final rule fact sheet Effective Jan. 1, 2025 
4 The EPA proposes adding 16 individual PFAS and 15 PFAS categories representing more than 100 individual PFAS, to the Toxics Release Inventory. Doing so would identify the PFAS as chemicals of special concern, subjecting their use to more robust reporting requirements, including reporting even for small concentrations.  EPA-HQ-OPPT-2023-0538 Comment period closed Nov. 7, 2024 
5 EPA finalizes reporting and recordkeeping requirements for PFAS. The agency also modified the definition of PFAS.  Any company that manufactured (including imported) a PFAS for a commercial purpose in any year since January 1, 2011, must report. EPA-HQ-OPPT-2020-0549 Final rule issued Oct. 11, 2023 Beginning of compliance submission period delayed to July 11, 2025.  
6 EPA issues pre-publication final rule for the management of certain HFCs and their substitutes EPA-HQ-OAR-2022-0606 Pre-publication final rule  
7 EPA proposes ban on all TCE use EPA-OPPT-2020-0642-8026 Comment period closed Dec. 15, 2023 
8 EPA lists final SNAP 26 approved refrigerants Final rule Effective July 15 Fact sheet 
   REGULATIONS    
1 DOC proposes rule to revise trade remedy procedures 230424–0112 Comment period closed July 10, 2023 
2 The Department of Labor overtime rule set to take effect Jan. 1, 2025 was overturned. The agency has not said whether it plans to appeal. 2024-08038    
3 FTC issued final rule effectively banning non-compete agreements 2023-00414 The U.S. District Court for the Northern District of Texas issued a final judgment that blocked the Federal Trade Commission’s (FTC) non-compete rule from taking effect. 
4 OMB proposes changes to regulatory decision-making and engagement process OMB-2022-0011  NAFEM comments Comments closed June 2023.  
5 SEC Climate Change Disclosure Rule 3235-AN22 Final rule published March 28 SEC stayed rule pending judicial review April 4 
6 The Regulatory Early Notice and Engagement Act would require federal agencies to provide information on their websites and to Congress one week after initiating new rulemaking activities.  HR 8204 Introduced May 2024 and referred to Cmte. on Sm. Business 
7 OSHA’s proposed Heat Injury and Illness Prevention in Outdoor and Indoor Work Settings  OSHA-2021-0009 Comments due Jan. 14, 2025 
  TAXES, TARIFFS & TRADE   
1 The USTR portal is open for submitting temporary exclusion requests from Section 301 China import tariffs for certain machinery used in domestic manufacturing. The Federal Register Notice includes a list of eligible subheadings. The deadline for submitting requests is March 31, 2025.   Portal 
2 NAFEM joined hundreds of associations urging repeal of the Corporate Transparency Act that would require small business to report beneficial ownership to the Treasury Dept.  Letter of support NAFEM Action Center Halted by Federal Court injunction 12.3  Negotiated legislation aiming for a 1-year delay 
3 Death Tax Repeal Act would help family-owned companies currently faced with significant tax burdens following the death of a family member S 1108 Committee on Small Business and Entrepreneurship. Hearings held in Jan. 
4 Proposal to secure a permanent 20% deduction for qualified business income  Senate Main Street Tax Certainty Act of 2023  Companion House Bill HR 4721 NAFEM letter of support NAFEM Action Center letter 
5 DOC BIS proposed rule to revise the Section 232 exclusions process  2023-18328 NAFEM comments NAFEM also participated in comments by CAMMU and the  NFTC TRC 
6 The Uyghur Forced Labor Disclosure Act would amend the Securities Act of 1934 to require disclosure of whether companies’ supply chains use forced Uyghur labor. In the meantime, the Department of Homeland Security is prioritizing reviews of aluminum, polyvinyl chloride and seafood sectors. HR 4452 Uyghur Forced Labor Strategy 
7 American Workers and Trade Competitiveness Act would reauthorize/revise the Trade Adjustment Assistance Program.  HR 4276 Referred to Senate Committee on Finance 

Other items NAFEM is tracking

ENERGY

States actively setting energy-efficiency standards

  • In place or pending: The following states have energy-efficiency standards in place or pending for a variety of commercial foodservice equipment: California, Colorado, Connecticut, Washington D.C., Maine, Maryland, Massachusetts, Nevada, New Hampshire, New Jersey, New York, Oregon, Rhode Island, Vermont and Washington1.   

Proposed

  • In 2024, the California Energy Commission (CEC) requested information on potential energy-efficiency standards for gas- and electric-powered commercial steam cookers, convection ovens, dishwashers, fryers, and dipper wells. NAFEM provided comments and will alert members when we hear more. 
  • The Maryland Energy Administration (MEA) issued final energy-efficiency standards for commercial dishwashers and steam cookers. Manufacturers must certify products in the State Appliance Standards Database (SASD), or other nationally recognized databases, must identify each model offered for sale in Maryland as being compliant with the state’s appliance efficiency standards, with a mark, label or tag on the product and packaging at the time of sale or installation. 

States require manufacturers to register with appliance standards databases 

  • The State Appliance Standards Database (SASD) is an important registration body for commercial food equipment and other manufacturers, with Massachusetts, Maryland, New Jersey, New York and Rhode Island requiring registration of various products, including commercial dishwashers, fryers, hot food holding cabinets, ovens and steam cookers. These states may issue financial penalties for products sold within their borders that don’t meet minimum energy-efficiency or are unregistered.  
  • California also requires manufacturers to certify the performance of refrigeration products sold in the state via its Modernized Appliance Efficiency Database System (MAEDbS). The two databases do not share information, so manufacturers must register with both databases to sell products in the covered states. 

ENERGY STAR® expands component inspection program 

  • ENERGY STAR expanded its component inspection program in 2024 for commercial coffee and tea brewers, fryers, griddles and hot food holding cabinets. The program expands to electric cooktops in 2025. Check here or contact advocacy@nafem.org for more information. 
  • The current program also covers commercial steam cookers; dishwashers; convection, combi and gas-rack ovens; and commercial electric cooktops. 

NY proposes increase to expand Energy Efficiency Program 

  • New York’s Municipal Power Agency has petitioned to increase the funding mechanism of energy efficiency programs from one mil to two mil per kilowatt-hour. The proposal could cost the average residential user an additional $8 – $16 per year. Comments were due Nov. 11. 

ENVIRONMENT

PFAS reduction efforts active at federal and state levels

Per- and polyfluoroalkyl (PFAS), or so called “forever chemicals,” are increasingly the focus of federal and state reduction efforts and outright bans. Nonstick, water- and grease-resistant products, refrigeration and some firefighting foams all use the chemicals. 

  • The Complex Products Manufacturers Coalition overview of current PFAS legislation at the international federal and state level is updated monthly and helps members keep track of myriad state activities.  

Canada PFAS reports due Jan. 29

  • Canada’s new PFAS reporting rule requires manufacturers and importers of PFAS to collect and report information on 312 PFAS by Jan. 29. The rule specifically identifies cookware and utensils that contact heated food, plus food processing equipment including conveyor belts, trays, vats, nozzles, molds and cutters that contact foods or beverages before packaging and distribution. All businesses with five or more employees, or more than $30,000 in annual gross revenue, must report.  . 

EPA provides HFC phasedown data 

  • EPA updated hydrofluorocarbon (HFC) data – including imports, exports, inventory and destruction, as well as allowance transfers and expenditures – is available on the EPA HFC Data Hub. 

NY State considers tightening HFC standards

  • Proposed hydrofluorocarbon (HFC) reductions in New York State could impact manufacturers of automatic commercial icemakers (ACIM) and commercial refrigeration equipment (CRE). Comments were due March 19. Although not yet finalized, if approved as currently written, starting Jan. 1, large refrigeration equipment with 1,500 pounds or greater will require leak management protocols. Registration and labeling compliance dates begin June 1, for large equipment, and June 1, 2026, for medium equipment (200-1,499 pounds) and June 1, 2028, for small equipment (50-199 pounds).  

Extended producer responsibility (EPR) efforts in states

  • EPR efforts hold producers responsible for the lifecycle of their products. Multiple states have approved EPR plans, including Maine, Oregon, California, Colorado, Washington, New Jersey and Minnesota thus far primarily aimed at recycling and consumer, single-use plastic as well as packaging.  

California climate disclosure bills could impact members

  • California is in the process of implementing two climate disclosure bills. Impacted companies include those that operate and/or sell in the state and meet other requirements highlighted below:  
  1. SB 261, Greenhouse Gases: Climate-Related Financial Risk, applies to public and private companies with annual revenues of $500 million or more that do business in California. Companies are to complete the Task Force on Climate-Related Financial Disclosures and post to their websites before Jan. 1, 2026.
  2. SB 253, Climate Corporate Data Accountability Act, applies to public and private companies with annual revenues of $1 billion or more that do business in California. Companies are to report Scope 1 and 2 emissions in 2026 and Scope 3 emissions in 2027.   

Gas stove debates shifts to November ballot in California

  • The New York ban on natural gas and other fossil fuels applies to new buildings shorter than seven stories by 2026, and taller buildings by 2029. 
  • More than 100 U.S. cities have moved to restrict gas-powered appliances. Most of these bans focus on new construction. Members should check local requirements as this is an evolving situation. 

REGULATIONS

Pay transparency laws proliferating

  • Effective Jan. 1, employers with 30 or more employees in Minnesota must include a pay range or fixed pay rate in all job posts. Similar laws to reduce gender and racial wage gaps already exist in California, Colorado, Connecticut, Hawaii, Illinois, Maryland, Massachusetts, Nevada, New York, Rhode Island, Vermont, Washington and the District of Columbia.   

New efforts addressing potential AI discrimination 

  • Colorado became the first U.S. state to govern artificial intelligence (AI) when Governor Polis signed Senate Bill 24-205. The law takes effect in 2026 and requires those developing and using the technology to ensure that AI-generated hiring, banking and housing decisions avoid “algorithmic discrimination.”  
  • New York City and Illinois have similar AI restrictions and many other states are considering AI-related hiring initiatives. 

Prop 65 labeling requirements require regular monitoring

  • California’s Proposition 65 – The Safe Drinking Water and Toxic Enforcement Act – requires companies to provide warning labels to notify people of exposure to more than 1,000 chemicals known to cause cancer, birth defects or other reproductive harm. While NAFEM regularly reports on proposed changes, members should closely monitor the Prop 65 changes impacting their businesses.   

Prevention of heat-related illnesses and injuries addressed in California final rule; OSHA considers similar

SUPPLY CHAIN

Know your supply chain: Restricted entities listed on government database

  • The International Trade Administration (ITA) maintains the Consolidated Screening List (CSL) of parties with which the U.S. restricts certain exports, reexports or transfers of items, including those addressed under the Uyghur (China) Forced Labor Prevention Act (UFLPA), Russia/Belarus sanctions and others. ITA updates the list daily, and email updates are available at the link above. 

TAXES, TARIFFS & TRADE

Tax reform provisions due to sunset 

  • NAFEM is closely watching and working with allied associations to address pending tax changes that would potentially impact manufacturers as elements of the 2017 Tax Cuts and Jobs Act sunset. The National Association of Manufacturers’ (NAM) website includes specifics, along with a link to share your recorded testimonial on tax-related topics with elected officials.  .  

USTR opens portal for temporary exemptions for manufacturing machinery

The USTR portal is open for submitting temporary exclusion requests from Section 301 China import tariffs for certain machinery used in domestic manufacturing. The Federal Register Notice includes a list of eligible subheadings. The deadline for submitting requests is March 31, 2025.  

Hundreds of sanctions and restrictions in place against Russia and Belarus

  • Hundreds of sanctions and restrictions are in effect against Russia and third-parties allegedly helping Russia evade sanctions. The departments of Commerce, State and Treasury continue to act against individuals and organizations. NAFEM members should continue to scrutinize their supply chains. 

Focus on shipments of goods produced with Uyghur labor continues 

  • U.S. Customs and Border Protection (CBP) continues to closely watch for goods covered under the Uyghur (China) Forced Labor Prevention Act (UFLPA) that largely prohibits importing any items mined, produced or manufactured wholly or in part in the Xinjiang Uyghur Autonomous Region of the People’s Republic of China. Industrial and manufacturing materials represent the second highest volume of denied shipments; apparel is first. To clarify the UFLPA, CBP published FAQs, best practices and guidance. 

Vague cargo descriptions no longer allowed by CBP

  • U.S. Customs & Border Patrol (CBP) requires specific cargo descriptions rather than vague descriptions like “daily necessities,” “accessories” and “parts.” In most cases, CBP will send messages requesting these descriptions via ACE Cargo Release after release of the cargo. Brokers and importers are expected to correct the issue with the shipper and bill of lading issuer for compliance on future shipments. 

OTHER TOPICS?

If there is a topic you would like NAFEM to address, please contact us at advocacy@nafem.org.