Welcome to The On-Ramp, the newsletter published by Venable's Autonomous and Connected Mobility Team. The On-Ramp explores legal and policy developments in the world of autonomous and connected vehicles, smart infrastructure, electrification, and other emerging automotive and mobility technologies, from Capitol Hill to the U.S. Department of Transportation and beyond.
With Congress returning from its August recess with a limited legislative window before lawmakers turn their focus to the November midterm elections, near-term attention will likely center on government funding and other must-pass policy priorities. Discussions will continue on longer-term initiatives, including the Surface Transportation Reauthorization, with new momentum behind the prospect of the House of Representatives passing a transportation funding package during the post-election lame-duck session. Meanwhile, the Trump administration and the U.S. Department of Transportation continue to advance policies aimed at accelerating the deployment of autonomous vehicles and other emerging transportation technologies, including through USDOT's recently released AV National Strategy and related regulatory initiatives.
U.S. Department of Transportation
USDOT Publishes AV National Strategy
On September 3, 2026, the U.S. Department of Transportation (USDOT) published its automated vehicles (AVs) national strategy (Strategy), outlining the Department's unified approach to supporting the broader deployment of autonomous vehicles (AVs). The Strategy summarizes ongoing and planned activities across USDOT and establishes the Department's priorities for AV regulation and policy in the coming years. USDOT states that, where conflicts exist, the Strategy supersedes prior departmental AV policy and guidance documents.
The Strategy identifies four core objectives for USDOT's work to support broader AV deployment:
- Prioritize Safety: USDOT emphasizes that the National Highway Traffic Safety Administration (NHTSA) and the Federal Motor Carrier Safety Administration (FMCSA) will continue exercising regulatory oversight to establish safety guardrails while enabling innovation. In particular, the Strategy highlights NHTSA's ongoing effort to develop performance standards for automated driving system (ADS) competency.
- Provide Regulatory Certainty: USDOT reiterates its focus on removing "unintended and unnecessary regulatory barriers that do not serve a safety purpose" and may impede broader AV deployment, while seeking greater consistency and predictability in the regulatory framework.
- Promote American Innovation: USDOT plans to convene and collaborate with industry and public-sector stakeholders to expand domestic AV deployment, support the U.S. AV industry's access to international markets, and address workforce needs associated with the industry's transition.
- Facilitate Interoperable Corridors: USDOT plans to support the digital modernization of U.S. highways to provide broader operational benefits and make highway corridors "more attractive to AV operators," while promoting greater interoperability across state lines.
NHTSA Publishes Interpretive Rule on Commercial Vehicle Fuel Economy Standards
On August 28, 2026, the National Highway Traffic Safety Administration (NHTSA) published an interpretive rule, "Resetting NHTSA's Fuel Economy Program: Commercial Medium- and Heavy-Duty On-Highway Vehicles and Work Trucks." According to the rule, NHTSA has concluded that the Agency has the statutory authority to establish fuel economy standards only for vehicles and not for engines, reversing NHTSA's long-standing position. This interpretive rule is now a part of a broader package of rulemakings intended to "reset" various fuel economy and fuel efficiency standards, which so far includes NHTSA's June 2025 interpretive rule reassessing its statutory authority under the Corporate Average Fuel Economy (CAFE) program and complements the Environmental Protection Agency's proposal to amend its 2023 NOx emission standards for heavy-duty highway engines beginning with model year 2027. NHTSA stated it will initiate a future rulemaking and comment period to revise its medium- and heavy-duty fuel economy program.
NHTSA Announces Study on Driver Monitoring Systems
On August 26, 2026, the National Highway Traffic Safety Administration (NHTSA) published a notice and request for comments on a request for Office of Management and Budget (OMB) approval of a new information collection, "Driver Monitoring System (DMS) - Applied Research to Develop Test Procedure for Drowsiness." The purpose of the information collection is to identify approaches, procedures, and metrics to evaluate drowsy driver DMS performance and efficacy with human subjects. The study will involve both a test track portion taking place in Phoenix, Arizona, and a driver simulator portion taking place in Iowa City, Iowa. Comments are due October 26, 2026.
NHTSA Announces AV Deployment Initiatives
On July 30, 2026, the National Highway Traffic Safety Administration (NHTSA) announced a comprehensive package of initiatives to speed up autonomous vehicle (AV) deployment in the U.S. Key actions include:
- Zoox Robotaxi Exemption: NHTSA granted Zoox a temporary exemption to deploy up to 2,500 Automated Driving System (ADS)-equipped vehicles annually for two years, despite non-compliance with eight Federal Motor Vehicle Safety Standards (FMVSS).
- A2SCEND Consortium: A new three-year, $5 million partnership with SAE Industry Technologies Consortia will develop a single national AV safety standard.
- Retroactive Exemptions: Effective July 31, 2026, NHTSA published an interim final rule (IFR) that now allows exemptions to apply to vehicles manufactured before the effective date an exemption was granted. Comments on the IFR are due September 30, 2026.
- Streamlined Exemption Process: NHTSA published a notice and request for comments highlighting its AV framework and seeking public feedback on its Part 555 exemption application process. Comments are due September 30, 2026.
- Updated ADS Deployment Guidance: NHTSA published a notice and request for comment announcing its intention to consolidate and update its guidance on safe AV development and deployment. The Agency will publish draft guidance documents as they are available and later combine these chapters into a single final updated guidance document. Comments are due July 31, 2027.
NHTSA also announced it is reviewing another AV company's exemption application for low-speed ADS-equipped vehicles.
NHTSA Denies Petition to Open a Defect Investigation into Tesla
On July 24, 2026, the National Highway Traffic Safety Administration (NHTSA) denied a petition seeking a defect investigation into the mechanical door-release controls in MY 2022 Tesla Model 3 vehicles. NHTSA concluded that further investigation was unlikely to establish a safety-related defect and indicated that concerns regarding the accessibility and identification of emergency egress controls would be better addressed through rulemaking. The decision comes as NHTSA separately continues to scrutinize electronically powered door locks following reports involving trapped vehicle occupants.
USDOT Sends Letter to Senate Committee Leaders on STR Priorities
On July 22, 2026, U.S. Department of Transportation (USDOT) Secretary Sean Duffy sent a letter to the Senate committee leaders with jurisdiction over Surface Transportation Reauthorization (STR), outlining USDOT's priorities and specific proposals for inclusion in the next STR bill. Relevant priorities include:
- Advancing Safe Automated Vehicle (AV) Innovation. USDOT urged Congress to establish a voluntary AV pilot program with federal preemption; expand and extend deployment exemptions for noncompliant vehicles; provide targeted regulatory relief for dual-use vehicles; and establish a new Federal Motor Vehicle Safety Standard (FMVSS) framework for purpose-built vehicles. The Department also proposed requiring safety documentation, incident reporting, record retention, and Safety Management Systems for automated driving system (ADS) manufacturers, testers, and fleet operators; facilitating information sharing with state and local governments; establishing a national driving-scenario database; and directing the National Highway Traffic Safety Administration to establish minimum safety and performance standards for ADS.
- Protecting Consumer Choice. USDOT also proposed prohibiting federal, state, tribal, or local governments from requiring vehicles sold or operated on public roads to be equipped with automated driving systems or wireless data-transmission capabilities.
Other Agencies
FCC Bans Logic-Bearing Hardware Components by Covered List Entities
On July 22, 2026, the Federal Communications Commission (FCC) issued a Third Report and Order expanding its equipment authorization restrictions for equipment produced by entities on the FCC's Covered List. The Order extends the restrictions to "logic-bearing hardware components" and devices incorporating those components. The broad definition could potentially encompass electronic control units (ECUs), domain and zonal controllers, systems-on-chips, microcontrollers, graphics processing units (GPUs), and field-programmable gate array (FPGA). Companies integrating electronic components should consider reviewing their supply chains for components produced by Covered List entities and assessing the Order's potential impact on their products and operations.
Congress
Legislative Update
On September 1, 2026, the House of Representatives passed a Continuing Resolution (CR) extending the authorization for federal surface transportation programs under the Infrastructure Investment and Jobs Act (IIJA) through December 11, 2026. The extension was included in H.R. 6500, a stopgap appropriations package that passed the House by a 370-48 vote. The measure passed the Senate by a 90-6 vote on August 8, 2026.
The House Transportation and Infrastructure Committee advanced the BUILD America 250 Act in May, but companion surface transportation reauthorization (STR) legislation has not yet been introduced in the Senate. As a result, significant negotiations remain before Congress will reach an agreement on a final multiyear STR package. The House and Senate return to session on September 14, 2026, with only a limited number of legislative days remaining before the midterm elections. The House is scheduled to return to recess the following week, while the Senate is expected to adjourn on October 1. Attention is increasingly shifting to the lame-duck session as a potential window for advancing STR and other outstanding legislative priorities before the conclusion of the 119th Congress.
States
Waymo Receives CPUC Approval to Expand Ride-Hailing Services
On August 14, 2026, the California Public Utilities Commission's (CPUC) Consumer Protection and Enforcement Division (CPED) approved Waymo's request to expand its fared driverless passenger service into additional areas of California. Waymo submitted the request through a Tier 2 Advice Letter updating its Passenger Safety Plan (PSP) following approval by the California Department of Motor Vehicles (DMV) of an expanded operational design domain. During its review, CPED requested additional information from Waymo regarding its procedures for preventing unaccompanied minors from using its service and responding to major operational disruptions. CPED ultimately determined that Waymo's updated PSP satisfied the requirements for driverless deployment.
CPED also rejected protests that raised concerns about the potential effects of Waymo's expansion on public transit, taxicab demand, jobs, small businesses, and local oversight. CPED explained that these issues were outside the scope of its review of the Advice Letter, which was limited to determining whether Waymo's updated PSP complied with requirements previously established by the Commission. CPED noted that broader policy issues concerning AV passenger service may instead be considered through the CPUC's ongoing AV rulemaking. The disposition also reiterated the respective roles of California regulators, with the DMV responsible for determining whether AVs may operate safely on public roads and the CPUC overseeing AV passenger service.
The authors thank Nicole M. McCormick, Autonomous & Connected Mobility Analyst, for her assistance writing this newsletter.