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Trump's transportation chief prospects include former Uber exec, congress members

Published 11/16/2024, 02:27 PM
Updated 11/16/2024, 02:50 PM
© Reuters. FILE PHOTO: Ranking member Garret Graves (R-LA) speaks during a House Transportation and Infrastructure Aviation Subcommittee hearing on "State of Aviation Safety" in the aftermath of two deadly Boeing 737 MAX crashes since October, in Washington, D.C., U
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By Rachael Levy, David Shepardson and Alexandra Ulmer

WASHINGTON (Reuters) - The Trump transition team is considering a former Uber (NYSE:UBER) executive and three current or former Republican congressmen - one of whom is now a Fox News host - to lead the U.S. Department of Transportation, eight sources familiar with the matter told Reuters.

Emil Michael, a Trump donor and technology entrepreneur who knows Elon Musk socially, has emerged as a leading contender, three of the sources said. Tech executives who backed Trump have advocated for the former Uber executive, two of the sources said.

Other candidates include Sam Graves - a Missouri House of Representatives member and chair of its Committee on Transportation and Infrastructure - along with outgoing Republican Representative Garret Graves, of Louisiana, and former Wisconsin Representative Sean Duffy, now a Fox News host, seven of the sources said.

Sam Graves said in a statement he would be honored if asked to serve as DOT and would consider the position. A spokesperson for Garret Graves did not comment on the DOT prospect but said he had been advising Trump’s campaign on transportation and infrastructure issues.

Michael declined to comment. Duffy did not respond to a request seeking comment.

The eight sources who spoke with Reuters in some cases gave differing accounts of which candidate or candidates would most likely be tapped for DOT chief position. It’s possible other contenders could emerge.

One of the sources said Elon Musk is a “fan” of Michael, the tech entrepreneur. Michael is an investor in Musk’s rocket company SpaceX, according to Michael’s website.

Reuters could not determine if Musk has advocated for Michael’s hiring as DOT chief.

TRANSITION PLANNING

Musk, the world’s richest person and one of Trump’s biggest campaign backers, is expected to exert influence over the pick for Transportation Department chief, among other Trump appointments, Reuters has reported, citing a source close to Trump and Musk’s transition planning.

Musk contributed at least $119 million to a pro-Trump spending group, federal records show.

The department with about a $110 billion annual budget, oversees regulations of pipelines, railroads, cars, and trucks, transit systems as well federal funding for highway repairs and other infrastructure projects. It also sets fuel economy standards for cars and trucks and regulates aviation and is responsible for air traffic control through the Federal Aviation Administration, one of its agencies.

The Department of Transportation, which includes the National Highway Traffic Safety Administration (NHTSA), regulates automakers including Musk's Tesla (NASDAQ:TSLA). Musk has said he will seek to push through changes in autonomous-vehicle regulation favorable to Tesla under a Trump administration.

NHTSA is investigating Tesla for crashes, some fatal, involving its “Full Self-Driving” system, which is not fully autonomous and requires a human driver paying strict attention. The agency is also probing whether the carmaker’s recall of more than 2 million vehicles, announced last year, to install new autopilot safeguards is adequate following 20 crashes in vehicles that had the new software installed.

Tesla and Musk did not respond to requests for comment.

Trump transition spokeswoman Karoline Leavitt declined to comment on the transportation-chief candidates, saying the choice would be announced after it’s finalized.

Michael left Uber in 2017 following a workplace culture probe by former US Attorney General Eric Holder. Uber hired Holder to conduct a wide-ranging investigation into the company’s culture after a former engineer raised sexual harassment complaints at the company. 

© Reuters. FILE PHOTO: Emil Michael, Former Chief Business Officer of Uber, looks on during The Wall Street Journal's Future of Everything Festival in New York City, U.S., May 21, 2024. REUTERS/Andrew Kelly/File Photo

One of Uber co-founder Travis Kalanick’s closest associates, Michael helped oversee mergers, acquisitions and fundraising. Since leaving Uber, Michael started an investment company, has served on start-up boards and advised technology-focused hedge fund firms such as Coatue Management.

During the Obama administration, Michael served as a White House fellow, working in the Department of Defense as a special assistant to Robert Gates, from 2009 to 2011, and oversaw projects in Afghanistan, Iraq and Pakistan.

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