81 FR 59951 - Lease and Interchange of Vehicles; Motor Carriers of Passengers

DEPARTMENT OF TRANSPORTATION
Federal Motor Carrier Safety Administration

Federal Register Volume 81, Issue 169 (August 31, 2016)

Page Range		59951-59952
FR Document		2016-20609

FMCSA announces its intent to issue a rulemaking concerning revisions to its May 27, 2015, final rule titled ``Lease and Interchange of Vehicles; Motor Carriers of Passengers.'' The Agency received numerous petitions for reconsideration of the final rule and determined that amendments should be considered in response to some of the petitions. The aspects of the 2015 final rule to be reconsidered are discussed later in this document. In addition, FMCSA will hold a roundtable discussion on the scope of the issues to be addressed in the forthcoming rulemaking. The meeting will be public and will seek public input regarding the assignment of responsibility for safety violations to the correct party. Individuals with diverse experience, expertise, and perspectives are encouraged to attend. If all comments have been exhausted prior to the end of the session, the session may conclude early. The Agency intends to complete any regulatory action(s) taken in response to the petitions before January 1, 2018.

Federal Register, Volume 81 Issue 169 (Wednesday, August 31, 2016)

[Federal Register Volume 81, Number 169 (Wednesday, August 31, 2016)]
[Proposed Rules]
[Pages 59951-59952]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-20609]


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DEPARTMENT OF TRANSPORTATION

Federal Motor Carrier Safety Administration

49 CFR Part 390

[Docket No. FMCSA-2012-0103]
RIN 2126-AB90


Lease and Interchange of Vehicles; Motor Carriers of Passengers

AGENCY: Federal Motor Carrier Safety Administration (FMCSA), DOT.

ACTION: Notice of intent.

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SUMMARY: FMCSA announces its intent to issue a rulemaking concerning 
revisions to its May 27, 2015, final rule titled ``Lease and 
Interchange of Vehicles; Motor Carriers of Passengers.'' The Agency 
received numerous petitions for reconsideration of the final rule and 
determined that amendments should be considered in response to some of 
the petitions. The aspects of the 2015 final rule to be reconsidered 
are discussed later in this document. In addition, FMCSA will hold a 
roundtable discussion on the scope of the issues to be addressed in the 
forthcoming rulemaking. The meeting will be public and will seek public 
input regarding the assignment of responsibility for safety violations 
to the correct party. Individuals with diverse experience, expertise, 
and perspectives are encouraged to attend. If all comments have been 
exhausted prior to the end of the session, the session may conclude 
early. The Agency intends to complete any regulatory action(s) taken in 
response to the petitions before January 1, 2018.

FOR FURTHER INFORMATION CONTACT: Ms. Loretta Bitner, (202) 385-2428, 
[email protected], Office of Enforcement and Compliance. FMCSA 
office hours are from 9 a.m. to 5 p.m. ET, Monday through Friday, 
except Federal holidays.

SUPPLEMENTARY INFORMATION:

Background

    On May 27, 2015, FMCSA published a final rule concerning the lease 
and interchange of passenger-carrying commercial motor vehicles (CMVs) 
(80 FR 30164). The purpose of the rule is to identify the motor carrier 
operating a passenger-carrying CMV that is responsible for compliance 
with the Federal Motor Carrier Safety Regulations (FMCSRs) and ensure 
that a lessor surrenders control of the CMV for the full term of the 
lease or temporary exchange of CMV(s) and driver(s). The Agency 
received 37 petitions for reconsideration which have been filed in the 
public docket referenced above. Upon review of these requests, FMCSA 
concluded that some have merit. FMCSA, therefore, extended the 
compliance date of the final rule from January 1, 2017, to January 1, 
2018 (82 FR 13998; March 16, 2016) to allow the Agency time to complete 
its analysis and amend the rule where necessary.
    Petitioners made the following substantive arguments, which the 
Agency will address in subsequent rulemaking.

General Objections

    The petitioners generally argued that FMCSA has taken a regulatory 
scheme from the trucking industry and applied it to the bus industry, 
which has a vastly different operating structure and liability regimen. 
Moreover, the application of these truck regulations to the bus 
industry offers no additional protection to the public from illegal or 
unsafe bus operators. Instead, the final rule simply adds 
administrative costs and reduces operational flexibility for bus 
operators.
    Petitioners further stated that the final rule creates an economic 
and regulatory burden on passenger carriers that already operate safely 
and have a high degree of compliance. Some of the petitioners argue 
that those lease requirements will not stop carriers that choose to 
violate the regulations, yet will burden those who already operate 
safely and compliantly.
    A petitioner stated that while it supports efforts to identify and 
address chameleon carriers or carriers that may try to operate under 
the cloak of another carrier, the final rule does not accomplish this 
goal and in fact provides a roadmap for irresponsible carriers to 
operate legally under the authority of another carrier.
    One carrier stated that it had identified several instances where 
the final rule lacks sufficient clarity to enable it to comply, and 
that these issue areas have an effect on all of its operations. The 
final rule also adds administrative costs and reduces operational 
flexibility for charter and tour bus operations, which will, in the 
end, reduce connectivity and transportation options for the traveling 
public.
    Another carrier argued that the three 2008 crashes cited in the 
September 20, 2013 notice of proposed rulemaking (NPRM) involved a tire 
failure, driver error, and an insurance issue (78 FR 57822), and that 
nothing in the final rule would have prevented any of these crashes. 
The commenter also named two insurance companies that have restrictions 
in their policies that prohibit the use of non-owned equipment and non-
employed drivers, which were major concerns of the NPRM.
    Many of the objections raised by petitioners can be addressed by 
providing additional explanation. However, some of the issues discussed 
below may require regulatory changes; they fall into four major 
categories.

Four Changes Under Consideration

    (1) Exclusion of ``chartering'' (i.e., subcontracting) from the 
leasing

[[Page 59952]]

requirements. The 2015 rule merged the concepts of leasing with 
``chartering'' (subcontracting). Carriers routinely subcontract work to 
other registered carriers to handle demand surges, emergencies, or 
events that require more than the available capacity. Subcontractors 
with their own operating authority have traditionally assumed 
responsibility for their own vehicles/drivers. Under the 2015 rule, 
however, a passenger carrier that subcontracted work to another carrier 
would be responsible for that second carrier's compliance with the 
regulations. Petitioners claim that making a carrier responsible for 
the subcontractor's vehicles, drivers, and liability would make most 
short-term subcontracts impossible.
    (2) Amending the CMV requirements for the location of temporary 
markings for leased/interchanged vehicles. The petitioners argued that 
the frequent marking changes needed during leases or interchanges would 
be impractical and unnecessary because the information required is 
recorded on the driver's records of duty status for roadside inspectors 
and safety investigators to review; carriers will have to depend 
completely on their drivers to properly change vehicle markings dozens 
of times per day in remote locations; and it is unlikely that a member 
of the public is going to understand the significance of the markings 
in the event that he or she focuses on the temporary ``operated by'' 
markings rather than the permanent markings on the bus representing the 
vehicle owner.
    (3) Changing the requirement that carriers notify customers within 
24 hours when they subcontract service to other carriers. Petitioners 
argued that a 24-hour deadline is impractical because if an emergency 
maintenance issue occurs, it may not be possible to notify the customer 
in a timely manner, particularly if the issue occurs on the weekend, 
when the customer's offices are closed, and the start time is before 
the customer's Monday opening time.
    (4) Expanding the 48-hour delay in preparing a lease to include 
emergencies when passengers are not actually on board a bus. Sometimes 
events requiring a replacement vehicle might occur when there are no 
passengers on a vehicle, such as when Amtrak or airline service is 
suspended or disrupted and buses are needed to transport stranded 
passengers. A bus operator contracted to provide the rescue service 
might need to obtain additional drivers and vehicles from other 
carriers to meet the demand. There might be a last minute maintenance 
or mechanical issue, or driver illness, that arises late in the evening 
or during the night (such as on a multi-day charter or tour trip), or 
just prior to picking up a group for a charter or scheduled service 
run.
FMCSA Decision
    FMCSA plans to issue a rulemaking notice to address the four areas 
of concern listed above. The Agency believes that less burdensome 
regulatory alternatives that would not adversely impact safety could be 
adopted before the January 1, 2018. The Agency denies the petitions for 
reconsideration of all other aspects of the final rule. These petitions 
either would have impaired the purpose of the final rule or did not 
include practical alternatives.
    The Agency will provide petitioners with written notification of 
these decisions at a later date.
Public Roundtable
    FMCSA will hold a public roundtable to discuss the four issue areas 
discussed above. The public will have an opportunity to speak about 
these issues and provide the Agency with information on how to address 
them. All public comments will be placed in the docket of this 
rulemaking. Details concerning the schedule and location of the 
roundtable, as well as procedural information for participants, will 
follow in a subsequent Federal Register notice.

    Issued on: August 19, 2016.
T.F. Scott Darling, III,
Administrator.
[FR Doc. 2016-20609 Filed 8-30-16; 8:45 am]
 BILLING CODE 4910-EX-P

Federal Register / Vol. 81, No. 169 / Wednesday, August 31, 2016 / Proposed Rules 59951

your comment, please visit http:// ACTION: Notice of intent. General Objections
www.epa.gov/dockets/comments.html The petitioners generally argued that
for instructions. Multimedia SUMMARY: FMCSA announces its intent
FMCSA has taken a regulatory scheme
submissions (audio, video, etc.) must be to issue a rulemaking concerning
from the trucking industry and applied
accompanied by a written comment. revisions to its May 27, 2015, final rule
it to the bus industry, which has a vastly
The written comment is considered the titled ‘‘Lease and Interchange of
different operating structure and
official comment and should include Vehicles; Motor Carriers of Passengers.’’
liability regimen. Moreover, the
discussion of all points you wish to The Agency received numerous
application of these truck regulations to
make. petitions for reconsideration of the final
the bus industry offers no additional
For additional submission methods, rule and determined that amendments
protection to the public from illegal or
the full EPA public comment policy, should be considered in response to
unsafe bus operators. Instead, the final
and general guidance on making some of the petitions. The aspects of the rule simply adds administrative costs
effective comments, please visit http:// 2015 final rule to be reconsidered are and reduces operational flexibility for
www.epa.gov/dockets/comments.html. discussed later in this document. In bus operators.
FOR FURTHER INFORMATION CONTACT: For
addition, FMCSA will hold a roundtable Petitioners further stated that the final
additional information on this action, discussion on the scope of the issues to rule creates an economic and regulatory
contact Dr. Tina Ndoh, Sector Policies be addressed in the forthcoming burden on passenger carriers that
and Programs Division, Office of Air rulemaking. The meeting will be public already operate safely and have a high
Quality Planning and Standards (D243– and will seek public input regarding the degree of compliance. Some of the
04), Environmental Protection Agency, assignment of responsibility for safety petitioners argue that those lease
Research Triangle Park, NC 27711; violations to the correct party. requirements will not stop carriers that
telephone number: (919) 541–2750; Individuals with diverse experience, choose to violate the regulations, yet
email address: ndoh.tina@epa.gov. expertise, and perspectives are will burden those who already operate
encouraged to attend. If all comments safely and compliantly.
SUPPLEMENTARY INFORMATION: A number have been exhausted prior to the end of A petitioner stated that while it
of tribes working on comments for the the session, the session may conclude supports efforts to identify and address
Clean Energy Incentive Program (CEIP) early. The Agency intends to complete chameleon carriers or carriers that may
Design Details proposed rule (81 FR any regulatory action(s) taken in try to operate under the cloak of another
42940; June 30, 2016) have asked for response to the petitions before January carrier, the final rule does not
additional consultation to better 1, 2018. accomplish this goal and in fact
understand the issues related to the
FOR FURTHER INFORMATION CONTACT: Ms. provides a roadmap for irresponsible
interaction between state plans and
Loretta Bitner, (202) 385–2428, carriers to operate legally under the
projects on tribal land that may qualify
loretta.bitner@dot.gov, Office of authority of another carrier.
for the CEIP. Because of the interest of One carrier stated that it had
a number of tribes, the EPA believes it Enforcement and Compliance. FMCSA
office hours are from 9 a.m. to 5 p.m. identified several instances where the
is appropriate to extend the comment final rule lacks sufficient clarity to
period to allow for the requested tribal ET, Monday through Friday, except
Federal holidays. enable it to comply, and that these issue
consultations and to provide tribes time areas have an effect on all of its
to incorporate any information from SUPPLEMENTARY INFORMATION:
operations. The final rule also adds
those consultations in their comments. Background administrative costs and reduces
The EPA extended the initial comment operational flexibility for charter and
period at 81 FR 47325 (July 21, 2016). On May 27, 2015, FMCSA published
tour bus operations, which will, in the
The EPA is further extending the a final rule concerning the lease and
end, reduce connectivity and
comment period for the CEIP Design interchange of passenger-carrying
transportation options for the traveling
Details proposal by 60 days, to commercial motor vehicles (CMVs) (80
public.
November 1, 2016. FR 30164). The purpose of the rule is to Another carrier argued that the three
identify the motor carrier operating a 2008 crashes cited in the September 20,
Dated: August 25, 2016.
passenger-carrying CMV that is 2013 notice of proposed rulemaking
Stephen Page, responsible for compliance with the
Director, Office of Air Quality Planning and (NPRM) involved a tire failure, driver
Federal Motor Carrier Safety error, and an insurance issue (78 FR
Standards. Regulations (FMCSRs) and ensure that a
[FR Doc. 2016–20898 Filed 8–30–16; 8:45 am]
57822), and that nothing in the final
lessor surrenders control of the CMV for rule would have prevented any of these
BILLING CODE 6560–50–P the full term of the lease or temporary crashes. The commenter also named two
exchange of CMV(s) and driver(s). The insurance companies that have
Agency received 37 petitions for restrictions in their policies that
DEPARTMENT OF TRANSPORTATION reconsideration which have been filed prohibit the use of non-owned
in the public docket referenced above. equipment and non-employed drivers,
Federal Motor Carrier Safety Upon review of these requests, FMCSA
Administration which were major concerns of the
concluded that some have merit. NPRM.
FMCSA, therefore, extended the Many of the objections raised by
49 CFR Part 390 compliance date of the final rule from petitioners can be addressed by
January 1, 2017, to January 1, 2018 (82
ehiers on DSK5VPTVN1PROD with PROPOSALS

[Docket No. FMCSA–2012–0103] providing additional explanation.
FR 13998; March 16, 2016) to allow the However, some of the issues discussed
RIN 2126–AB90 Agency time to complete its analysis below may require regulatory changes;
Lease and Interchange of Vehicles; and amend the rule where necessary. they fall into four major categories.
Motor Carriers of Passengers Petitioners made the following
substantive arguments, which the Four Changes Under Consideration
AGENCY:Federal Motor Carrier Safety Agency will address in subsequent (1) Exclusion of ‘‘chartering’’ (i.e.,
Administration (FMCSA), DOT. rulemaking. subcontracting) from the leasing

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59952 Federal Register / Vol. 81, No. 169 / Wednesday, August 31, 2016 / Proposed Rules

requirements. The 2015 rule merged the driver illness, that arises late in the (List) under the Endangered Species Act
concepts of leasing with ‘‘chartering’’ evening or during the night (such as on of 1973, as amended. After review of the
(subcontracting). Carriers routinely a multi-day charter or tour trip), or just best available scientific and commercial
subcontract work to other registered prior to picking up a group for a charter information, we find that delisting the
carriers to handle demand surges, or scheduled service run. coastal California gnatcatcher is not
emergencies, or events that require more warranted at this time.
than the available capacity. FMCSA Decision
DATES: The finding announced in this
Subcontractors with their own operating FMCSA plans to issue a rulemaking document was made on August 31,
authority have traditionally assumed notice to address the four areas of 2016.
responsibility for their own vehicles/ concern listed above. The Agency
ADDRESSES: This finding, as well as
drivers. Under the 2015 rule, however, believes that less burdensome regulatory
supporting documentation we used in
a passenger carrier that subcontracted alternatives that would not adversely
preparing this finding, is available on
work to another carrier would be impact safety could be adopted before the Internet at http://
responsible for that second carrier’s the January 1, 2018. The Agency denies www.regulations.gov at Docket Number
compliance with the regulations. the petitions for reconsideration of all FWS–R8–ES–2014–0058. Supporting
Petitioners claim that making a carrier other aspects of the final rule. These documentation we used in preparing
responsible for the subcontractor’s petitions either would have impaired this finding will also be available for
vehicles, drivers, and liability would the purpose of the final rule or did not public inspection, by appointment,
make most short-term subcontracts include practical alternatives. during normal business hours at the
impossible. The Agency will provide petitioners U.S. Fish and Wildlife Service, Carlsbad
(2) Amending the CMV requirements with written notification of these Fish and Wildlife Office, 2177 Salk
for the location of temporary markings decisions at a later date. Avenue, Suite 250, Carlsbad, CA 92008.
for leased/interchanged vehicles. The
Public Roundtable Please submit any new information,
petitioners argued that the frequent
materials, comments, or questions
marking changes needed during leases FMCSA will hold a public roundtable concerning this finding to the above
or interchanges would be impractical to discuss the four issue areas discussed address.
and unnecessary because the above. The public will have an
information required is recorded on the opportunity to speak about these issues FOR FURTHER INFORMATION CONTACT: G.
driver’s records of duty status for and provide the Agency with Mendel Stewart, Field Supervisor,
roadside inspectors and safety information on how to address them. Carlsbad Fish and Wildlife Office, 2177
investigators to review; carriers will All public comments will be placed in Salk Avenue, Suite 250, Carlsbad, CA
have to depend completely on their the docket of this rulemaking. Details 92008; by telephone at 760–431–9440;
drivers to properly change vehicle concerning the schedule and location of or by facsimile at 760–431–5901. If you
markings dozens of times per day in the roundtable, as well as procedural use a telecommunications device for the
remote locations; and it is unlikely that information for participants, will follow deaf (TDD), please call the Federal
a member of the public is going to in a subsequent Federal Register notice. Information Relay Service (FIRS) at
understand the significance of the 800–877–8339.
Issued on: August 19, 2016.
markings in the event that he or she SUPPLEMENTARY INFORMATION:
focuses on the temporary ‘‘operated by’’ T.F. Scott Darling, III,
Administrator. Background
markings rather than the permanent
markings on the bus representing the [FR Doc. 2016–20609 Filed 8–30–16; 8:45 am] Under the Endangered Species Act of
vehicle owner. BILLING CODE 4910–EX–P 1973, as amended (ESA or Act; 16
(3) Changing the requirement that U.S.C. 1531 et seq.), we administer the
carriers notify customers within 24 Federal Lists of Endangered and
hours when they subcontract service to DEPARTMENT OF THE INTERIOR Threatened Wildlife and Plants, which
other carriers. Petitioners argued that a are set forth in title 50 of the Code of
24-hour deadline is impractical because Fish and Wildlife Service Federal Regulations in part 17 (50 CFR
if an emergency maintenance issue 17.11 and 17.12). Under section
occurs, it may not be possible to notify 50 CFR Part 17 4(b)(3)(B) of the Act, for any petition
the customer in a timely manner, that we receive to revise either List by
particularly if the issue occurs on the [Docket No. FWS–R8–ES–2014–0058; adding, removing, or reclassifying a
FXES11130900000C2–167–FF09E42000] species, we must make a finding within
weekend, when the customer’s offices
are closed, and the start time is before Endangered and Threatened Wildlife 12 months of the date of receipt if the
the customer’s Monday opening time. and Plants; 12-Month Finding on a petition contains substantial scientific
(4) Expanding the 48-hour delay in Petition To Delist the Coastal or commercial information supporting
preparing a lease to include emergencies the requested action. In this finding, we
California Gnatcatcher
when passengers are not actually on will determine that the petitioned action
board a bus. Sometimes events requiring AGENCY: Fish and Wildlife Service, is: (1) Not warranted; (2) warranted; or
a replacement vehicle might occur when Interior. (3) warranted, but the immediate
there are no passengers on a vehicle, ACTION: Notice of 12-month petition proposal of a regulation is precluded by
such as when Amtrak or airline service finding. other pending proposals to determine
is suspended or disrupted and buses are whether any species are endangered
ehiers on DSK5VPTVN1PROD with PROPOSALS

needed to transport stranded SUMMARY: We, the U.S. Fish and species or threatened species and
passengers. A bus operator contracted to Wildlife Service (Service), announce a expeditious progress is being made to
provide the rescue service might need to 12-month finding on a petition to add or remove qualified species from
obtain additional drivers and vehicles remove the coastal California the Lists. Section 4(b)(3)(C) of the Act
from other carriers to meet the demand. gnatcatcher (Polioptila californica requires that we treat a petition for
There might be a last minute californica) from the Federal List of which the requested action is found to
maintenance or mechanical issue, or Endangered and Threatened Wildlife be warranted but precluded as though

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Document Created: 2018-02-02 12:15:13
Document Modified: 2018-02-02 12:15:13

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Proposed Rules
Action		Notice of intent.
Contact		Ms. Loretta Bitner, (202) 385-2428, [email protected], Office of Enforcement and Compliance. FMCSA office hours are from 9 a.m. to 5 p.m. ET, Monday through Friday, except Federal holidays.
FR Citation		81 FR 59951
RIN Number		2126-AB90

81 FR 59951 - Lease and Interchange of Vehicles; Motor Carriers of Passengers

DEPARTMENT OF TRANSPORTATIONFederal Motor Carrier Safety Administration

Federal Register Volume 81, Issue 169 (August 31, 2016)

DEPARTMENT OF TRANSPORTATION
Federal Motor Carrier Safety Administration