80_FR_55212 80 FR 55035 - Defect and Noncompliance Notification

80 FR 55035 - Defect and Noncompliance Notification

DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety Administration

Federal Register Volume 80, Issue 177 (September 14, 2015)

Page Range55035-55037
FR Document2015-22922

This final rule amends NHTSA's regulation requiring motor vehicle manufacturers and replacement equipment manufacturers to notify owners and purchasers of a defect or noncompliance in vehicles or equipment that they produced. The amendments in this final rule will clarify that a manufacturer of replacement equipment providing a defect or noncompliance notification pursuant to this regulation can inform the purchaser of the replacement equipment of the manufacturer's intent to remedy the defect or noncompliance by refunding the purchase price of the replacement equipment. NHTSA is amending this regulation so that the regulation conforms to changes in the defect and noncompliance remedy provisions in the National Traffic and Motor Vehicle Safety Act (Safety Act) contained in the Moving Ahead for Progress in the 21st Century Act (MAP-21).

Federal Register, Volume 80 Issue 177 (Monday, September 14, 2015)
[Federal Register Volume 80, Number 177 (Monday, September 14, 2015)]
[Rules and Regulations]
[Pages 55035-55037]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-22922]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

49 CFR Part 577

[Docket No. NHTSA-2015-0048]
RIN 2127-AL60


Defect and Noncompliance Notification

AGENCY: National Highway Traffic Safety Administration (NHTSA), 
Department of Transportation (DOT).

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: This final rule amends NHTSA's regulation requiring motor 
vehicle manufacturers and replacement equipment manufacturers to notify 
owners and purchasers of a defect or noncompliance in vehicles or 
equipment that they produced. The amendments in this final rule will 
clarify that a manufacturer of replacement equipment providing a defect 
or noncompliance notification pursuant to this regulation can inform 
the purchaser of the replacement equipment of the manufacturer's intent 
to remedy the defect or noncompliance by refunding the purchase price 
of the replacement equipment. NHTSA is amending this regulation so that 
the regulation conforms to changes in the defect and noncompliance 
remedy provisions in the National Traffic and Motor Vehicle Safety Act 
(Safety Act) contained in the Moving Ahead for Progress in the 21st 
Century Act (MAP-21).

DATES: Effective date: This final rule is effective November 13, 2015.
    Petitions for reconsideration: Petitions for reconsideration of 
this final rule must be received not later than October 29, 2015.

ADDRESSES: Any petitions for reconsideration should refer to the docket 
number of this document and be submitted to: Administrator, National 
Highway Traffic Safety Administration, 1200 New Jersey Avenue SE., West 
Building, Ground Floor, Docket Room W12-140, Washington, DC 20590.

FOR FURTHER INFORMATION CONTACT: Thomas Healy, Office of Chief Counsel, 
NHTSA, 1200 New Jersey Avenue SE., Washington, DC 20590. Mr. Healy's 
telephone number is (202) 366-2992. His fax number is (202) 493-3820.

[[Page 55036]]


SUPPLEMENTARY INFORMATION:

I. Background

    The Safety Act requires manufacturers of motor vehicles or items of 
replacement equipment to notify NHTSA and owners and purchasers of the 
vehicles or equipment if the manufacturer determines that a motor 
vehicle or item of motor vehicle equipment contains a defect related to 
motor vehicle safety or does not comply with an applicable motor 
vehicle safety standard and to remedy the defect or noncompliance 
without charge. 49 U.S.C. 30118(c), 30120. Manufacturers must provide 
notification pursuant to the procedures set forth in section 30119 of 
the Safety Act. Section 30119 sets forth the contents of the 
notification, which includes a clear description of the defect or 
noncompliance, the timing of the notification, means of providing 
notification and when a second notification is required. 49 U.S.C. 
30119.
    Section 30120 of the Safety Act provides a list of permissible 
remedies from which manufacturers must choose when determining how to 
remedy at defect. Section 30120 contains different remedy provisions 
for manufacturers of motor vehicles and manufacturers of replacement 
equipment. Section 30120 allows manufacturers of motor vehicles to 
remedy a defect or noncompliance ``by repairing the vehicle; . . . by 
replacing the vehicle with an identical or reasonably equivalent 
vehicle; or . . . by refunding the purchase price, less a reasonable 
allowance for depreciation.'' 49 U.S.C. 30120(a)(1)(A). Prior to MAP-
21, Section 30120 allowed manufacturers of replacement equipment to 
remedy a defect or noncompliance by ``repairing the equipment or 
replacing the equipment with identical or reasonable equivalent 
equipment.'' 49 U.S.C. 30120(a)(1)(B) (2011). MAP-21 amended section 
30120 by expanding the list of permissible remedies available to 
replacement equipment manufacturers to include refunding the purchase 
price of the equipment.\1\
---------------------------------------------------------------------------

    \1\ Public Law 112-141, 126 Stat. 771 (2012), Section 31311.
---------------------------------------------------------------------------

    The conduct of a recall notification campaign, including how and 
when owners, dealers, and distributors are notified, is addressed by 
regulation in 49 CFR part 577, Defect and Noncompliance Notification. 
Section 577.5 specifies the required content and structure of the owner 
notifications. Section 577.6 specifies the required content and 
structure of the notification if the owner notification is sent 
pursuant to an order by the NHTSA Administrator. Section 577.5 and 
577.6 both specify that that the owner notification must include a 
statement notifying the owner of the vehicle or replacement equipment 
how the manufacturer intends to remedy the defect or noncompliance.
    This final rule amends Sec. Sec.  577.5 and 577.6 of 49 CFR part 
577 so that the requirements for the statement notifying owners or 
purchasers of replacement equipment how the manufacturer intends to 
remedy a defect or noncompliance reflect the MAP-21 amendment allowing 
manufacturers of replacement equipment to remedy a defect or 
noncompliance by refunding the purchase price.

II. Public Comment

    NHTSA did not issue an NPRM prior to this final rule. While the 
Administrative Procedure Act (APA) requires that agencies publish a 
general NPRM in the Federal Register prior to issuing a final rule, an 
agency is not required to publish an NPRM if the agency is able to make 
and makes a good cause finding that notice and public comment is 
``impracticable, unnecessary, or contrary to the public interest.'' \2\
---------------------------------------------------------------------------

    \2\ 5 U.S.C. 553.
---------------------------------------------------------------------------

    NHTSA finds that notice and public comment prior to issuing this 
final rule is unnecessary. The DC Circuit has held that the notice and 
public comment requirements of APA are unnecessary when the ``rule is a 
routine determination, insignificant in nature and impact, and 
inconsequential to the industry and to the public.'' \3\ The amendments 
in this final rule do not create any new rights or obligations not 
already present in 49 U.S.C. 30120. The amendments in this final rule 
update the notification requirements in 49 CFR 577.5 and 577.6 to 
reflect that the option to refund the purchase price of the replacement 
equipment is available to manufacturers as a remedy for a defect or 
noncompliance. Furthermore, these changes were made by statutory 
amendment. Therefore, the amendments contained in this final rule do 
not involve the exercise of discretion on the part of the agency. 
Because this final rule does not create any rights or obligations not 
already present in 49 U.S.C. 30120 or involve the exercise of 
discretion by the agency, the impacts of this rule are insignificant 
and inconsequential to industry and the public making notice and public 
comment unnecessary.
---------------------------------------------------------------------------

    \3\ Mack Trucks, Inc. v. E.P.A. 682 F.3d 87, 92 (D.C. Cir. 2012) 
(quoting Util. Solid Waste Activities Grp. v. E.P.A., 236 F.3d 749, 
754 (D.C. Cir. 2001).
---------------------------------------------------------------------------

III. Regulatory Notices and Analyses

A. Executive Order 12866, Executive Order 13563, and DOT Regulatory 
Policies and Procedures

    NHTSA has considered the impact of this rulemaking action under 
Executive Order 12866, Executive Order 13563, and the DOT's regulatory 
policies and procedures. This final rule was not reviewed by the Office 
of Management and Budget (OMB) under E.O. 12866, ``Regulatory Planning 
and Review.'' It is not considered to be significant under E.O. 12866 
or the Department's regulatory policies and procedures.
    This regulation amends 49 CFR part 577 to include refund of the 
purchase price of replacement equipment as a remedy available to 
replacement equipment manufacturers remedying a defect or 
noncompliance. This final rule does not require replacement equipment 
manufacturers to take any actions that they are not otherwise already 
required to take. Because there are not any costs or savings associated 
with this rulemaking, we have not prepared a separate economic analysis 
for this rulemaking.

B. Regulatory Flexibility Act

    In compliance with the Regulatory Flexibility Act, 5 U.S.C. 601 et 
seq., NHTSA has evaluated the effects of this action on small entities. 
I hereby certify that this rule would not have a significant impact on 
a substantial number of small entities. The final rule affects 
manufacturers of motor vehicle replacement equipment some of which 
qualify as small businesses. However, this final rule does not 
significantly affect these entities because it does not require any 
additional actions on the part of equipment manufacturers not already 
required by 49 CFR part 577.

C. Executive Order 13132

    NHTSA has examined this rule pursuant to Executive Order 13132 (64 
FR 43255, August 10, 1999) and concluded that no additional 
consultation with States, local governments or their representatives is 
mandated beyond the rulemaking process. The agency has concluded that 
the rulemaking would not have sufficient federalism implications to 
warrant consultation with State and local officials or the preparation 
of a federalism summary impact statement. The final rule would not have 
``substantial direct effects on the States, on the relationship between 
the national government and the States, or on the

[[Page 55037]]

distribution of power and responsibilities among the various levels of 
government.'' This final rule also will not preempt any state law.

D. National Environmental Policy Act

    NHTSA has analyzed this final rule for the purposes of the National 
Environmental Policy Act. The agency has determined that implementation 
of this action will not have any significant impact on the quality of 
the human environment.

E. Paperwork Reduction Act

    Under the procedures established by the Paperwork Reduction Act of 
1995, a person is not required to respond to a collection of 
information by a Federal agency unless the collection displays a valid 
OMB control number. The information collection requirements for 49 CFR 
part 577, Defect and Noncompliance Notification, are covered by OMB 
control number 2127-0004. The amendments in this final rule have no 
impact on the burden associated with this information collection.

F. National Technology Transfer and Advancement Act

    Under the National Technology Transfer and Advancement Act of 1995 
(NTTAA) (Pub. L. 104-113), ``all Federal agencies and departments shall 
use technical standards that are developed or adopted by voluntary 
consensus standards bodies, using such technical standards as a means 
to carry out policy objectives or activities determined by the agencies 
and departments.'' The amendments in this final rule consist of minor 
revisions to the required content of letters that manufacturers of 
replacement equipment for motor vehicles must sent to purchasers and 
owners to notify them of a defect or noncompliance and do not involve 
any voluntary consensus standards.

G. Civil Justice Reform

    With respect to the review of the promulgation of a new regulation, 
section 3(b) of Executive Order 12988, ``Civil Justice Reform'' (61 FR 
4729, February 7, 1996) requires that Executive agencies make every 
reasonable effort to ensure that the regulation: (1) Clearly specifies 
the preemptive effect; (2) clearly specifies the effect on existing 
Federal law or regulation; (3) provides a clear legal standard for 
affected conduct, while promoting simplification and burden reduction; 
(4) clearly specifies the retroactive effect, if any; (5) adequately 
defines key terms; and (6) addresses other important issues affecting 
clarity and general draftsmanship under any guidelines issued by the 
Attorney General. This document is consistent with that requirement.
    Pursuant to this Order, NHTSA notes as follows. The preemptive 
effect of this final rule is discussed above. NHTSA notes further that 
there is no requirement that individuals submit a petition for 
reconsideration or pursue other administrative proceeding before they 
may file suit in court.

H. Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 requires agencies to 
prepare a written assessment of the costs, benefits and other effects 
of proposed or final rules that include a Federal mandate likely to 
result in the expenditure by State, local or tribal governments, in the 
aggregate, or by the private sector, of more than $100 million annually 
(adjusted for inflation with base year of 1995). This final rule would 
not result in expenditures by State, local or tribal governments, in 
the aggregate, or by the private sector in excess of $100 million 
annually.

I. Executive Order 13211

    Executive Order 13211 (66 FR 28355, May 18, 2001) applies to any 
rulemaking that: (1) Is determined to be economically significant as 
defined under E.O. 12866, and is likely to have a significantly adverse 
effect on the supply of, distribution of, or use of energy; or (2) that 
is designated by the Administrator of the Office of Information and 
Regulatory Affairs as a significant energy action. This rulemaking is 
not subject to E.O. 13211.

J. Regulation Identifier Number (RIN)

    The Department of Transportation assigns a regulation identifier 
number (RIN) to each regulatory action listed in the Unified Agenda of 
Federal Regulations. The Regulatory Information Service Center 
publishes the Unified Agenda in April and October of each year. You may 
use the RIN contained in the heading at the beginning of this document 
to find this action in the Unified Agenda.

List of Subjects in 49 CFR Part 577

    Imports, Motor vehicle safety, Motor vehicles, Tires, Reporting and 
recordkeeping requirements.

    In consideration of the foregoing, NHTSA amends 49 CFR part 577 as 
follows:

PART 577--DEFECT AND NONCOMPLIANCE NOTIFICATION

0
1. The authority citation for part 577 continues to read as follows:

    Authority:  49 U.S.C. 30102, 30103, 30116-30121, 30166; 
delegation of authority at 49 CFR 1.95 and 49 CFR 501.8.


0
2. Section 577.5 is amended by revising paragraphs (g)(1)(i) and (vi) 
to read as follows:


Sec.  577.5  Notification pursuant to a manufacturer's decision.

* * * * *
    (g) * * *
    (1) * * *
    (i) A statement that he will cause such defect to be remedied 
without charge, and whether such remedy will be by repair, replacement, 
or refund of the purchase price (in the case of remedy of a vehicle, 
less depreciation).
* * * * *
    (vi) In the case of a remedy of a vehicle by refund of purchase 
price, the method or basis for the manufacturer's assessment of 
depreciation.
* * * * *

0
3. Section 577.6 is amended by revising paragraph (b)(9)(i)(B) to read 
as follows:


Sec.  577.6  Notification pursuant to Administrator's decision.

* * * * *
    (b) * * *
    (9) * * *
    (i) * * *
    (B) A statement of the method of remedy. If the manufacturer has 
not yet determined the method of remedy, he will select either repair, 
replacement with an equivalent vehicle or item of replacement 
equipment, or refund of the purchase price (in the case of remedy of a 
vehicle, less depreciation); and
* * * * *

    Issued in Washington, DC, on September 2, 2015 under authority 
delegated in 49 CFR part 1.95.
Mark R. Rosekind,
Administrator.
[FR Doc. 2015-22922 Filed 9-11-15; 8:45 am]
 BILLING CODE 4910-59-P



                                                             Federal Register / Vol. 80, No. 177 / Monday, September 14, 2015 / Rules and Regulations                                             55035

                                            U.S.C. 601 et seq.). Because this action                Guidelines for the Evaluation of Risk                   Dated: August 21, 2015.
                                            authorizes pre-existing requirements                    and Avoidance of Unanticipated                        Ron Curry,
                                            under State law and does not impose                     Takings’’ issued under the Executive                  Regional Administrator, Region 6.
                                            any additional enforceable duty beyond                  Order. This rule does not impose an                   [FR Doc. 2015–23073 Filed 9–11–15; 8:45 am]
                                            that required by State law, it does not                 information collection burden under the               BILLING CODE 6560–50–P
                                            contain any unfunded mandate or                         provisions of the Paperwork Reduction
                                            significantly or uniquely affect small                  Act of 1995 (44 U.S.C. 3501 et seq.).
                                            governments, as described in the                        Executive Order 12898 (59 FR 7629,                    DEPARTMENT OF TRANSPORTATION
                                            Unfunded Mandates Reform Act of 1995                    Feb. 16, 1994) establishes federal
                                            (Pub. L. 104–4). For the same reason,                   executive policy on environmental                     National Highway Traffic Safety
                                            this action also does not significantly or              justice. It’s main provision directs                  Administration
                                            uniquely affect the communities of                      federal agencies, to the greatest extent
                                            Tribal governments, as specified by                     practicable and permitted by law, to                  49 CFR Part 577
                                            Executive Order 13175 (65 FR 67249,                     make environmental justice part of their              [Docket No. NHTSA–2015–0048]
                                            November 9, 2000). This action will not                 mission by identifying and addressing,
                                            have substantial direct effects on the                  as appropriate, disproportionately high               RIN 2127–AL60
                                            States, on the relationship between the                 and adverse human health or
                                            national government and the States, or                  environmental effects of their programs,              Defect and Noncompliance Notification
                                            on the distribution of power and                        policies, and activities on minority                  AGENCY:  National Highway Traffic
                                            responsibilities among the various                      populations and low-income                            Safety Administration (NHTSA),
                                            levels of government, as specified in                   populations in the United States.                     Department of Transportation (DOT).
                                            Executive Order 13132 (64 FR 43255,                     Because this rule authorizes pre-existing             ACTION: Final rule.
                                            August 10, 1999), because it merely                     State rules which are at least equivalent
                                            authorizes State requirements as part of                to, and no less stringent than existing               SUMMARY:   This final rule amends
                                            the State RCRA hazardous waste                          federal requirements, and impose no                   NHTSA’s regulation requiring motor
                                            program without altering the                            additional requirements beyond those                  vehicle manufacturers and replacement
                                            relationship or the distribution of power               imposed by State law, and there are no                equipment manufacturers to notify
                                            and responsibilities established by                     anticipated significant adverse human                 owners and purchasers of a defect or
                                            RCRA. This action also is not subject to                health or environmental effects, the rule             noncompliance in vehicles or
                                            Executive Order 13045 (62 FR 19885,                     is not subject to Executive Order 12898.              equipment that they produced. The
                                            April 23, 1997), because it is not                                                                            amendments in this final rule will
                                            economically significant and it does not                   The Congressional Review Act, 5                    clarify that a manufacturer of
                                            make decisions based on environmental                   U.S.C. 801 et seq., as added by the Small             replacement equipment providing a
                                            health or safety risks. This rule is not                Business Regulatory Enforcement                       defect or noncompliance notification
                                            subject to Executive Order 13211,                       Fairness Act of 1996, generally provides              pursuant to this regulation can inform
                                            ‘‘Actions Concerning Regulations That                   that before a rule may take effect, the               the purchaser of the replacement
                                            Significantly Affect Energy Supply,                     agency promulgating the rule must                     equipment of the manufacturer’s intent
                                            Distribution, or Use’’ (66 FR 28355 (May                submit a rule report, which includes a                to remedy the defect or noncompliance
                                            22, 2001)) because it is not a significant              copy of the rule, to each House of the                by refunding the purchase price of the
                                            regulatory action under Executive Order                 Congress and to the Comptroller General               replacement equipment. NHTSA is
                                            12866.                                                  of the United States. The EPA will                    amending this regulation so that the
                                                                                                    submit a report containing this                       regulation conforms to changes in the
                                               Under RCRA 3006(b), the EPA grants                   document and other required
                                            a State’s application for authorization as                                                                    defect and noncompliance remedy
                                                                                                    information to the U.S. Senate, the U.S.              provisions in the National Traffic and
                                            long as the State meets the criteria                    House of Representatives, and the
                                            required by RCRA. It would thus be                                                                            Motor Vehicle Safety Act (Safety Act)
                                                                                                    Comptroller General of the United                     contained in the Moving Ahead for
                                            inconsistent with applicable law for the                States prior to publication in the
                                            EPA, when it reviews a State                                                                                  Progress in the 21st Century Act (MAP–
                                                                                                    Federal Register. A major rule cannot                 21).
                                            authorization application, to require the               take effect until 60 days after it is
                                            use of any particular voluntary                                                                               DATES: Effective date: This final rule is
                                                                                                    published in the Federal Register. This
                                            consensus standard in place of another                                                                        effective November 13, 2015.
                                                                                                    action is not a ‘‘major rule’’ as defined                Petitions for reconsideration: Petitions
                                            standard that otherwise satisfies the                   by 5 U.S.C. 804(2). This action
                                            requirements of RCRA. Thus, the                                                                               for reconsideration of this final rule
                                                                                                    nevertheless will be effective November               must be received not later than October
                                            requirements of section 12(d) of the                    13, 2015.
                                            National Technology Transfer and                                                                              29, 2015.
                                            Advancement Act of 1995 (15 U.S.C.                      List of Subjects in 40 CFR Part 271                   ADDRESSES: Any petitions for
                                            272 note) do not apply. As required by                                                                        reconsideration should refer to the
                                            section 3 of Executive Order 12988 (61                     Environmental protection,                          docket number of this document and be
                                            FR 4729, February 7, 1996), in issuing                  Administrative practice and procedure,                submitted to: Administrator, National
                                            this rule, the EPA has taken the                        Confidential business information,                    Highway Traffic Safety Administration,
                                            necessary steps to eliminate drafting                   Hazardous waste, Hazardous waste                      1200 New Jersey Avenue SE., West
                                            errors and ambiguity, minimize                          transportation, Indian lands,                         Building, Ground Floor, Docket Room
                                            potential litigation, and provide a clear               Intergovernmental relations, Penalties,               W12–140, Washington, DC 20590.
tkelley on DSK3SPTVN1PROD with RULES




                                            legal standard for affected conduct. The                Reporting and recordkeeping                           FOR FURTHER INFORMATION CONTACT:
                                            EPA has complied with Executive Order                   requirements.                                         Thomas Healy, Office of Chief Counsel,
                                            12630 (53 FR 8859, March 15, 1988) by                     Authority: This action is issued under the          NHTSA, 1200 New Jersey Avenue SE.,
                                            examining the takings implications of                   authority of sections 2002(a), 3006, and              Washington, DC 20590. Mr. Healy’s
                                            the rule in accordance with the                         7004(b) of the Solid Waste Disposal Act as            telephone number is (202) 366–2992.
                                            ‘‘Attorney General’s Supplemental                       amended 42 U.S.C. 6912(a), 6926, 6974(b).             His fax number is (202) 493–3820.


                                       VerDate Sep<11>2014   16:26 Sep 11, 2015   Jkt 235001   PO 00000   Frm 00021   Fmt 4700   Sfmt 4700   E:\FR\FM\14SER1.SGM   14SER1


                                            55036            Federal Register / Vol. 80, No. 177 / Monday, September 14, 2015 / Rules and Regulations

                                            SUPPLEMENTARY INFORMATION:                              if the owner notification is sent                         public making notice and public
                                                                                                    pursuant to an order by the NHTSA                         comment unnecessary.
                                            I. Background
                                                                                                    Administrator. Section 577.5 and 577.6
                                               The Safety Act requires manufacturers                                                                          III. Regulatory Notices and Analyses
                                                                                                    both specify that that the owner
                                            of motor vehicles or items of                           notification must include a statement                     A. Executive Order 12866, Executive
                                            replacement equipment to notify                         notifying the owner of the vehicle or                     Order 13563, and DOT Regulatory
                                            NHTSA and owners and purchasers of                      replacement equipment how the                             Policies and Procedures
                                            the vehicles or equipment if the                        manufacturer intends to remedy the
                                            manufacturer determines that a motor                                                                                 NHTSA has considered the impact of
                                                                                                    defect or noncompliance.                                  this rulemaking action under Executive
                                            vehicle or item of motor vehicle                           This final rule amends §§ 577.5 and
                                            equipment contains a defect related to                                                                            Order 12866, Executive Order 13563,
                                                                                                    577.6 of 49 CFR part 577 so that the                      and the DOT’s regulatory policies and
                                            motor vehicle safety or does not comply                 requirements for the statement notifying
                                            with an applicable motor vehicle safety                                                                           procedures. This final rule was not
                                                                                                    owners or purchasers of replacement                       reviewed by the Office of Management
                                            standard and to remedy the defect or                    equipment how the manufacturer
                                            noncompliance without charge. 49                                                                                  and Budget (OMB) under E.O. 12866,
                                                                                                    intends to remedy a defect or                             ‘‘Regulatory Planning and Review.’’ It is
                                            U.S.C. 30118(c), 30120. Manufacturers                   noncompliance reflect the MAP–21
                                            must provide notification pursuant to                                                                             not considered to be significant under
                                                                                                    amendment allowing manufacturers of                       E.O. 12866 or the Department’s
                                            the procedures set forth in section                     replacement equipment to remedy a
                                            30119 of the Safety Act. Section 30119                                                                            regulatory policies and procedures.
                                                                                                    defect or noncompliance by refunding                         This regulation amends 49 CFR part
                                            sets forth the contents of the                          the purchase price.
                                            notification, which includes a clear                                                                              577 to include refund of the purchase
                                            description of the defect or                            II. Public Comment                                        price of replacement equipment as a
                                            noncompliance, the timing of the                           NHTSA did not issue an NPRM prior                      remedy available to replacement
                                            notification, means of providing                        to this final rule. While the                             equipment manufacturers remedying a
                                            notification and when a second                          Administrative Procedure Act (APA)                        defect or noncompliance. This final rule
                                            notification is required. 49 U.S.C.                     requires that agencies publish a general                  does not require replacement equipment
                                            30119.                                                  NPRM in the Federal Register prior to                     manufacturers to take any actions that
                                               Section 30120 of the Safety Act                      issuing a final rule, an agency is not                    they are not otherwise already required
                                            provides a list of permissible remedies                 required to publish an NPRM if the                        to take. Because there are not any costs
                                            from which manufacturers must choose                    agency is able to make and makes a                        or savings associated with this
                                            when determining how to remedy at                       good cause finding that notice and                        rulemaking, we have not prepared a
                                            defect. Section 30120 contains different                public comment is ‘‘impracticable,                        separate economic analysis for this
                                            remedy provisions for manufacturers of                  unnecessary, or contrary to the public                    rulemaking.
                                            motor vehicles and manufacturers of                     interest.’’ 2                                             B. Regulatory Flexibility Act
                                            replacement equipment. Section 30120                       NHTSA finds that notice and public
                                            allows manufacturers of motor vehicles                                                                               In compliance with the Regulatory
                                                                                                    comment prior to issuing this final rule
                                            to remedy a defect or noncompliance                                                                               Flexibility Act, 5 U.S.C. 601 et seq.,
                                                                                                    is unnecessary. The DC Circuit has held
                                            ‘‘by repairing the vehicle; . . . by                                                                              NHTSA has evaluated the effects of this
                                                                                                    that the notice and public comment
                                            replacing the vehicle with an identical                                                                           action on small entities. I hereby certify
                                                                                                    requirements of APA are unnecessary
                                            or reasonably equivalent vehicle; or . . .                                                                        that this rule would not have a
                                                                                                    when the ‘‘rule is a routine
                                            by refunding the purchase price, less a                                                                           significant impact on a substantial
                                                                                                    determination, insignificant in nature
                                            reasonable allowance for depreciation.’’                                                                          number of small entities. The final rule
                                                                                                    and impact, and inconsequential to the
                                            49 U.S.C. 30120(a)(1)(A). Prior to MAP–                                                                           affects manufacturers of motor vehicle
                                                                                                    industry and to the public.’’ 3 The
                                            21, Section 30120 allowed                                                                                         replacement equipment some of which
                                                                                                    amendments in this final rule do not
                                            manufacturers of replacement                                                                                      qualify as small businesses. However,
                                                                                                    create any new rights or obligations not
                                            equipment to remedy a defect or                                                                                   this final rule does not significantly
                                                                                                    already present in 49 U.S.C. 30120. The
                                            noncompliance by ‘‘repairing the                                                                                  affect these entities because it does not
                                                                                                    amendments in this final rule update
                                            equipment or replacing the equipment                                                                              require any additional actions on the
                                                                                                    the notification requirements in 49 CFR
                                            with identical or reasonable equivalent                                                                           part of equipment manufacturers not
                                                                                                    577.5 and 577.6 to reflect that the option
                                            equipment.’’ 49 U.S.C. 30120(a)(1)(B)                                                                             already required by 49 CFR part 577.
                                                                                                    to refund the purchase price of the
                                            (2011). MAP–21 amended section 30120                    replacement equipment is available to                     C. Executive Order 13132
                                            by expanding the list of permissible                    manufacturers as a remedy for a defect
                                            remedies available to replacement                                                                                    NHTSA has examined this rule
                                                                                                    or noncompliance. Furthermore, these                      pursuant to Executive Order 13132 (64
                                            equipment manufacturers to include                      changes were made by statutory
                                            refunding the purchase price of the                                                                               FR 43255, August 10, 1999) and
                                                                                                    amendment. Therefore, the amendments                      concluded that no additional
                                            equipment.1                                             contained in this final rule do not
                                               The conduct of a recall notification                                                                           consultation with States, local
                                                                                                    involve the exercise of discretion on the                 governments or their representatives is
                                            campaign, including how and when                        part of the agency. Because this final
                                            owners, dealers, and distributors are                                                                             mandated beyond the rulemaking
                                                                                                    rule does not create any rights or                        process. The agency has concluded that
                                            notified, is addressed by regulation in                 obligations not already present in 49
                                            49 CFR part 577, Defect and                                                                                       the rulemaking would not have
                                                                                                    U.S.C. 30120 or involve the exercise of                   sufficient federalism implications to
                                            Noncompliance Notification. Section                     discretion by the agency, the impacts of
                                            577.5 specifies the required content and                                                                          warrant consultation with State and
tkelley on DSK3SPTVN1PROD with RULES




                                                                                                    this rule are insignificant and                           local officials or the preparation of a
                                            structure of the owner notifications.                   inconsequential to industry and the
                                            Section 577.6 specifies the required                                                                              federalism summary impact statement.
                                            content and structure of the notification                 25
                                                                                                                                                              The final rule would not have
                                                                                                          U.S.C. 553.
                                                                                                      3 Mack   Trucks, Inc. v. E.P.A. 682 F.3d 87, 92 (D.C.
                                                                                                                                                              ‘‘substantial direct effects on the States,
                                              1 Public Law 112–141, 126 Stat. 771 (2012),           Cir. 2012) (quoting Util. Solid Waste Activities Grp.     on the relationship between the national
                                            Section 31311.                                          v. E.P.A., 236 F.3d 749, 754 (D.C. Cir. 2001).            government and the States, or on the


                                       VerDate Sep<11>2014   16:26 Sep 11, 2015   Jkt 235001   PO 00000    Frm 00022   Fmt 4700   Sfmt 4700   E:\FR\FM\14SER1.SGM   14SER1


                                                             Federal Register / Vol. 80, No. 177 / Monday, September 14, 2015 / Rules and Regulations                                             55037

                                            distribution of power and                               reduction; (4) clearly specifies the                    In consideration of the foregoing,
                                            responsibilities among the various                      retroactive effect, if any; (5) adequately            NHTSA amends 49 CFR part 577 as
                                            levels of government.’’ This final rule                 defines key terms; and (6) addresses                  follows:
                                            also will not preempt any state law.                    other important issues affecting clarity
                                                                                                    and general draftsmanship under any                   PART 577—DEFECT AND
                                            D. National Environmental Policy Act                                                                          NONCOMPLIANCE NOTIFICATION
                                                                                                    guidelines issued by the Attorney
                                              NHTSA has analyzed this final rule                    General. This document is consistent
                                            for the purposes of the National                        with that requirement.                                ■ 1. The authority citation for part 577
                                            Environmental Policy Act. The agency                       Pursuant to this Order, NHTSA notes                continues to read as follows:
                                            has determined that implementation of                   as follows. The preemptive effect of this               Authority: 49 U.S.C. 30102, 30103, 30116–
                                            this action will not have any significant               final rule is discussed above. NHTSA                  30121, 30166; delegation of authority at 49
                                            impact on the quality of the human                      notes further that there is no                        CFR 1.95 and 49 CFR 501.8.
                                            environment.                                            requirement that individuals submit a
                                            E. Paperwork Reduction Act                              petition for reconsideration or pursue                ■ 2. Section 577.5 is amended by
                                                                                                    other administrative proceeding before                revising paragraphs (g)(1)(i) and (vi) to
                                              Under the procedures established by                   they may file suit in court.                          read as follows:
                                            the Paperwork Reduction Act of 1995, a
                                            person is not required to respond to a                  H. Unfunded Mandates Reform Act                       § 577.5 Notification pursuant to a
                                            collection of information by a Federal                     The Unfunded Mandates Reform Act                   manufacturer’s decision.
                                            agency unless the collection displays a                 of 1995 requires agencies to prepare a                *     *     *     *      *
                                            valid OMB control number. The                           written assessment of the costs, benefits               (g) * * *
                                            information collection requirements for                 and other effects of proposed or final
                                            49 CFR part 577, Defect and                             rules that include a Federal mandate                    (1) * * *
                                            Noncompliance Notification, are                         likely to result in the expenditure by                  (i) A statement that he will cause such
                                            covered by OMB control number 2127–                     State, local or tribal governments, in the            defect to be remedied without charge,
                                            0004. The amendments in this final rule                 aggregate, or by the private sector, of               and whether such remedy will be by
                                            have no impact on the burden                            more than $100 million annually                       repair, replacement, or refund of the
                                            associated with this information                        (adjusted for inflation with base year of             purchase price (in the case of remedy of
                                            collection.                                             1995). This final rule would not result               a vehicle, less depreciation).
                                            F. National Technology Transfer and                     in expenditures by State, local or tribal             *     *     *     *      *
                                            Advancement Act                                         governments, in the aggregate, or by the
                                                                                                    private sector in excess of $100 million                (vi) In the case of a remedy of a
                                              Under the National Technology                         annually.                                             vehicle by refund of purchase price, the
                                            Transfer and Advancement Act of 1995                                                                          method or basis for the manufacturer’s
                                            (NTTAA) (Pub. L. 104–113), ‘‘all Federal                I. Executive Order 13211                              assessment of depreciation.
                                            agencies and departments shall use                         Executive Order 13211 (66 FR 28355,                *     *     *     *      *
                                            technical standards that are developed                  May 18, 2001) applies to any
                                            or adopted by voluntary consensus                       rulemaking that: (1) Is determined to be              ■ 3. Section 577.6 is amended by
                                            standards bodies, using such technical                  economically significant as defined                   revising paragraph (b)(9)(i)(B) to read as
                                            standards as a means to carry out policy                under E.O. 12866, and is likely to have               follows:
                                            objectives or activities determined by                  a significantly adverse effect on the                 § 577.6 Notification pursuant to
                                            the agencies and departments.’’ The                     supply of, distribution of, or use of                 Administrator’s decision.
                                            amendments in this final rule consist of                energy; or (2) that is designated by the              *     *     *     *     *
                                            minor revisions to the required content                 Administrator of the Office of
                                            of letters that manufacturers of                        Information and Regulatory Affairs as a                 (b) * * *
                                            replacement equipment for motor                         significant energy action. This                         (9) * * *
                                            vehicles must sent to purchasers and                    rulemaking is not subject to E.O. 13211.
                                            owners to notify them of a defect or                                                                            (i) * * *
                                            noncompliance and do not involve any                    J. Regulation Identifier Number (RIN)                   (B) A statement of the method of
                                            voluntary consensus standards.                             The Department of Transportation                   remedy. If the manufacturer has not yet
                                                                                                    assigns a regulation identifier number                determined the method of remedy, he
                                            G. Civil Justice Reform                                                                                       will select either repair, replacement
                                                                                                    (RIN) to each regulatory action listed in
                                               With respect to the review of the                    the Unified Agenda of Federal                         with an equivalent vehicle or item of
                                            promulgation of a new regulation,                       Regulations. The Regulatory Information               replacement equipment, or refund of the
                                            section 3(b) of Executive Order 12988,                  Service Center publishes the Unified                  purchase price (in the case of remedy of
                                            ‘‘Civil Justice Reform’’ (61 FR 4729,                   Agenda in April and October of each                   a vehicle, less depreciation); and
                                            February 7, 1996) requires that                         year. You may use the RIN contained in                *     *     *     *     *
                                            Executive agencies make every                           the heading at the beginning of this
                                            reasonable effort to ensure that the                                                                            Issued in Washington, DC, on September 2,
                                                                                                    document to find this action in the                   2015 under authority delegated in 49 CFR
                                            regulation: (1) Clearly specifies the                   Unified Agenda.                                       part 1.95.
                                            preemptive effect; (2) clearly specifies
                                            the effect on existing Federal law or                   List of Subjects in 49 CFR Part 577                   Mark R. Rosekind,
                                            regulation; (3) provides a clear legal                    Imports, Motor vehicle safety, Motor                Administrator.
tkelley on DSK3SPTVN1PROD with RULES




                                            standard for affected conduct, while                    vehicles, Tires, Reporting and                        [FR Doc. 2015–22922 Filed 9–11–15; 8:45 am]
                                            promoting simplification and burden                     recordkeeping requirements.                           BILLING CODE 4910–59–P




                                       VerDate Sep<11>2014   16:26 Sep 11, 2015   Jkt 235001   PO 00000   Frm 00023   Fmt 4700   Sfmt 9990   E:\FR\FM\14SER1.SGM   14SER1



Document Created: 2018-02-26 10:14:47
Document Modified: 2018-02-26 10:14:47
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesEffective date: This final rule is effective November 13, 2015.
ContactThomas Healy, Office of Chief Counsel, NHTSA, 1200 New Jersey Avenue SE., Washington, DC 20590. Mr. Healy's telephone number is (202) 366-2992. His fax number is (202) 493-3820.
FR Citation80 FR 55035 
RIN Number2127-AL60
CFR AssociatedImports; Motor Vehicle Safety; Motor Vehicles; Tires and Reporting and Recordkeeping Requirements

2024 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR