82_FR_49084 82 FR 48882 - Hours of Service of Drivers: Application for Exemption; MBI Energy Services (MBI)

82 FR 48882 - Hours of Service of Drivers: Application for Exemption; MBI Energy Services (MBI)

DEPARTMENT OF TRANSPORTATION
Federal Motor Carrier Safety Administration

Federal Register Volume 82, Issue 202 (October 20, 2017)

Page Range48882-48883
FR Document2017-22834

FMCSA announces its decision to deny the application of MBI Energy Services (MBI) from the requirement that a motor carrier install and require each of its drivers to use an electronic logging device (ELD) to record the driver's hours of service (HOS) no later than December 18, 2017. MBI had requested the exemption for all of its vehicles equipped with a single-passenger cab, which are used in applications where travel is incidental to normal work activities and which require special oversize/overweight permits to travel on public roads. FMCSA has analyzed the exemption application and public comments, and has determined that the applicant would not achieve a level of safety that is equivalent to, or greater than, the level that would be achieved absent such exemption. FMCSA therefore denies MBI's application for exemption.

Federal Register, Volume 82 Issue 202 (Friday, October 20, 2017)
[Federal Register Volume 82, Number 202 (Friday, October 20, 2017)]
[Notices]
[Pages 48882-48883]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-22834]


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DEPARTMENT OF TRANSPORTATION

Federal Motor Carrier Safety Administration

[Docket No. FMCSA-2017-0166]


Hours of Service of Drivers: Application for Exemption; MBI 
Energy Services (MBI)

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

ACTION: Notice of final disposition; denial of application for 
exemption.

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

SUMMARY: FMCSA announces its decision to deny the application of MBI 
Energy Services (MBI) from the requirement that a motor carrier install 
and require each of its drivers to use an electronic logging device 
(ELD) to record the driver's hours of service (HOS) no later than 
December 18, 2017. MBI had requested the exemption for all of its 
vehicles equipped with a single-passenger cab, which are used in 
applications where travel is incidental to normal work activities and 
which require special oversize/overweight permits to travel on public 
roads. FMCSA has analyzed the exemption application and public 
comments, and has determined that the applicant would not achieve a 
level of safety that is equivalent to, or greater than, the level that 
would be achieved absent such exemption. FMCSA therefore denies MBI's 
application for exemption.

DATES: FMCSA denies this application for exemption effective October 
20, 2017.

FOR FURTHER INFORMATION CONTACT: For information concerning this 
notice, contact Mr. Thomas Yager, Chief, FMCSA Driver and Carrier 
Operations Division; Office of Carrier, Driver and Vehicle Safety 
Standards; Telephone: 614-942-6477. Email: [email protected]. If you have 
questions on viewing or submitting material to the docket, contact 
Docket Services, telephone (202) 366-9826.

SUPPLEMENTARY INFORMATION: 

Background

    FMCSA has authority under 49 U.S.C. 31136(e) and 31315 to grant 
exemptions from certain Federal Motor Carrier Safety Regulations 
(FMCSRs). FMCSA must publish a notice of each exemption request in the 
Federal Register (49 CFR 381.315(a)). The Agency must provide the 
public an opportunity to inspect the information relevant to the 
application, including any safety analyses that have been conducted. 
The Agency must also provide an opportunity for public comment on the 
request.
    FMCSA reviews safety analyses and public comments submitted, and 
determines whether granting the exemption would likely achieve a level 
of safety equivalent to, or greater than, the level that would be 
achieved by the current regulation (49 CFR 381.305). The decision of 
the Agency must be published in the Federal Register (49 CFR 
381.315(b)) with the reason for the grant or denial, and, if granted, 
the specific person or class of persons receiving the exemption, and 
the regulatory provision or provisions from which exemption is granted. 
The notice must also specify the effective period of the exemption (up 
to 5 years), and explain the terms and conditions of the exemption. The 
exemption may be renewed (49 CFR 381.300(b)).

Request for Exemption

    MBI is a provider of water management logistics and well-
intervention services in North Dakota, South Dakota, Wyoming, Montana, 
and Colorado. The requested exemption would affect 65 MBI Energy 
Services drivers operating 42 single-cab vehicles classified in North 
Dakota as Special Mobile Equipment (SME). These vehicles meet the 
definition of a commercial motor vehicle (CMV) in 49 CFR 390.5 and 
therefore are subject to the ELD or AOBRD mandate. These specialized 
vehicles perform various work activities in an environment where 
connectivity is limited, working and road conditions are rough, and the 
necessity for driving on public roads is sporadic and incidental to the 
overall work being performed. The vehicles may sit on work locations 
for long periods of time, up to weeks or even months. These vehicles 
are typically oversize and overweight, requiring special permits for 
transport. Many States do not require registration, as they build the 
registration fees into the permit process.
    Examples of SMEs meeting the definition of a CMV having a single 
cab include cranes, workover rigs, and swab units. Single cabs have 
reduced space for installing rough-terrain-capable AOBRDs or ELDs. The 
devices used must be capable of satellite communication where cell 
communication is poor to non-existent. The installation of rugged 
logging units, weighing more than typical units used in highway 
applications, would reduce driver visibility in an already large 
vehicle due to the limited space found in single-cab vehicles. 
Additionally, installation may require a unit being positioned over the 
driver's head, increasing the risk of the unit falling on the driver 
resulting in injury given the rough terrain upon which the vehicles 
travel or a vehicle accident involving the travelling public.
    While these vehicles normally travel little, business demand may 
require MBI vehicles to move more often than 8 days in a 30-day period, 
the maximum frequency allowed by 49 CFR 395.8(a)(1)(iii)(A)(1) for the 
use of paper RODS instead of ELDs. According to MBI, the current 
regulations do not address circumstances where the vehicle's exemption 
status is sporadic in nature, thus requiring MBI to install an ELD to 
remain compliant during times not covered by the exemption. While 
alternatives exist to industrial-grade logging units, the alternatives 
usually involve cell phones or cell-capable tablets where the terrain 
or remote locations of work may inhibit logging device communication 
for extended periods of time. Many worksites prohibit cell phone usage 
due to safety concerns. Additionally, installations in special vehicles 
will increase costs substantially due to the unusual configurations of 
single cab vehicles requiring specialized wiring harnesses and custom 
installation kits. MBI requested a 5-year exemption.

Public Comments

    On July 10, 2017, FMCSA published MBI's application for exemption 
and requested public comment (82 FR 31798). The Agency received five 
comments to the docket, from CMV drivers, a Commercial Vehicle Safety 
Alliance (CVSA) inspector, and the Owner-Operator Independent Driver's 
Association (OOIDA). All of the commenters opposed the MBI application 
for exemption. According to commenters, MBI's request would place a 
burden on law enforcement officers in tracking exceptions from the 
regulations and open the door for other oil field service companies and 
crane operating companies to request similar exception status. 
Commenters stated that the purpose of the ELDs is to force drivers and 
carriers to record their HOS

[[Page 48883]]

accurately due to years of abuse by the industry.
    All comments are available for review in the docket for this 
notice.

FMCSA Decision

    When FMCSA published the rule mandating ELDs, it relied upon 
research indicating that the rule improves commercial motor vehicle 
(CMV) safety and reduces the overall paperwork burden for both motor 
carriers and drivers by increasing the use of ELDs within the motor 
carrier industry, which will in turn, improve compliance with the HOS 
rules. The primary reason for denial of this exemption is that MBI did 
not demonstrate how, without using ELDs, they would maintain a level of 
safety equivalent to, or greater than, the level achieved without the 
exemption.
    For these reasons, FMCSA has denied the applicant's request for 
exemption.

    Issued on: September 28, 2017.
Daphne Y. Jefferson,
Deputy Administrator.
[FR Doc. 2017-22834 Filed 10-19-17; 8:45 am]
 BILLING CODE 4910-EX-P



                                                48882                         Federal Register / Vol. 82, No. 202 / Friday, October 20, 2017 / Notices

                                                Should it become evident that the                       Background                                            for installing rough-terrain-capable
                                                project will not meet the statutory                        FMCSA has authority under 49 U.S.C.                AOBRDs or ELDs. The devices used
                                                deadline, FHWA reserves the right to                    31136(e) and 31315 to grant exemptions                must be capable of satellite
                                                revoke the provisional approval prior to                from certain Federal Motor Carrier                    communication where cell
                                                the deadline and re-offer the program                   Safety Regulations (FMCSRs). FMCSA                    communication is poor to non-existent.
                                                slot to other State DOTs.                               must publish a notice of each exemption               The installation of rugged logging units,
                                                                                                        request in the Federal Register (49 CFR               weighing more than typical units used
                                                Brandye L. Hendrickson,
                                                                                                        381.315(a)). The Agency must provide                  in highway applications, would reduce
                                                Acting Administrator, Federal Highway                                                                         driver visibility in an already large
                                                Administration.                                         the public an opportunity to inspect the
                                                                                                        information relevant to the application,              vehicle due to the limited space found
                                                [FR Doc. 2017–22775 Filed 10–19–17; 8:45 am]
                                                                                                        including any safety analyses that have               in single-cab vehicles. Additionally,
                                                BILLING CODE 4910–22–P                                                                                        installation may require a unit being
                                                                                                        been conducted. The Agency must also
                                                                                                        provide an opportunity for public                     positioned over the driver’s head,
                                                                                                        comment on the request.                               increasing the risk of the unit falling on
                                                DEPARTMENT OF TRANSPORTATION
                                                                                                           FMCSA reviews safety analyses and                  the driver resulting in injury given the
                                                Federal Motor Carrier Safety                            public comments submitted, and                        rough terrain upon which the vehicles
                                                Administration                                          determines whether granting the                       travel or a vehicle accident involving
                                                                                                        exemption would likely achieve a level                the travelling public.
                                                [Docket No. FMCSA–2017–0166]                            of safety equivalent to, or greater than,                While these vehicles normally travel
                                                                                                        the level that would be achieved by the               little, business demand may require MBI
                                                Hours of Service of Drivers:                            current regulation (49 CFR 381.305).                  vehicles to move more often than 8 days
                                                Application for Exemption; MBI Energy                   The decision of the Agency must be                    in a 30-day period, the maximum
                                                Services (MBI)                                          published in the Federal Register (49                 frequency allowed by 49 CFR
                                                                                                        CFR 381.315(b)) with the reason for the               395.8(a)(1)(iii)(A)(1) for the use of paper
                                                AGENCY:  Federal Motor Carrier Safety                   grant or denial, and, if granted, the                 RODS instead of ELDs. According to
                                                Administration (FMCSA), DOT.                            specific person or class of persons                   MBI, the current regulations do not
                                                ACTION: Notice of final disposition;                    receiving the exemption, and the                      address circumstances where the
                                                denial of application for exemption.                    regulatory provision or provisions from               vehicle’s exemption status is sporadic in
                                                                                                        which exemption is granted. The notice                nature, thus requiring MBI to install an
                                                SUMMARY:   FMCSA announces its                          must also specify the effective period of             ELD to remain compliant during times
                                                decision to deny the application of MBI                 the exemption (up to 5 years), and                    not covered by the exemption. While
                                                Energy Services (MBI) from the                          explain the terms and conditions of the               alternatives exist to industrial-grade
                                                requirement that a motor carrier install                exemption. The exemption may be                       logging units, the alternatives usually
                                                and require each of its drivers to use an               renewed (49 CFR 381.300(b)).                          involve cell phones or cell-capable
                                                electronic logging device (ELD) to                                                                            tablets where the terrain or remote
                                                record the driver’s hours of service                    Request for Exemption                                 locations of work may inhibit logging
                                                (HOS) no later than December 18, 2017.                    MBI is a provider of water                          device communication for extended
                                                MBI had requested the exemption for all                 management logistics and well-                        periods of time. Many worksites
                                                of its vehicles equipped with a single-                 intervention services in North Dakota,                prohibit cell phone usage due to safety
                                                passenger cab, which are used in                        South Dakota, Wyoming, Montana, and                   concerns. Additionally, installations in
                                                applications where travel is incidental                 Colorado. The requested exemption                     special vehicles will increase costs
                                                to normal work activities and which                     would affect 65 MBI Energy Services                   substantially due to the unusual
                                                require special oversize/overweight                     drivers operating 42 single-cab vehicles              configurations of single cab vehicles
                                                permits to travel on public roads.                      classified in North Dakota as Special                 requiring specialized wiring harnesses
                                                FMCSA has analyzed the exemption                        Mobile Equipment (SME). These                         and custom installation kits. MBI
                                                application and public comments, and                    vehicles meet the definition of a                     requested a 5-year exemption.
                                                has determined that the applicant                       commercial motor vehicle (CMV) in 49                  Public Comments
                                                would not achieve a level of safety that                CFR 390.5 and therefore are subject to
                                                is equivalent to, or greater than, the                  the ELD or AOBRD mandate. These                          On July 10, 2017, FMCSA published
                                                level that would be achieved absent                     specialized vehicles perform various                  MBI’s application for exemption and
                                                such exemption. FMCSA therefore                         work activities in an environment where               requested public comment (82 FR
                                                denies MBI’s application for exemption.                 connectivity is limited, working and                  31798). The Agency received five
                                                DATES: FMCSA denies this application                    road conditions are rough, and the                    comments to the docket, from CMV
                                                for exemption effective October 20,                     necessity for driving on public roads is              drivers, a Commercial Vehicle Safety
                                                2017.                                                   sporadic and incidental to the overall                Alliance (CVSA) inspector, and the
                                                                                                        work being performed. The vehicles                    Owner-Operator Independent Driver’s
                                                FOR FURTHER INFORMATION CONTACT:      For               may sit on work locations for long                    Association (OOIDA). All of the
                                                information concerning this notice,                     periods of time, up to weeks or even                  commenters opposed the MBI
                                                contact Mr. Thomas Yager, Chief,                        months. These vehicles are typically                  application for exemption. According to
                                                FMCSA Driver and Carrier Operations                     oversize and overweight, requiring                    commenters, MBI’s request would place
                                                Division; Office of Carrier, Driver and                                                                       a burden on law enforcement officers in
srobinson on DSKBC5CHB2PROD with NOTICES




                                                                                                        special permits for transport. Many
                                                Vehicle Safety Standards; Telephone:                    States do not require registration, as                tracking exceptions from the regulations
                                                614–942–6477. Email: MCPSD@dot.gov.                     they build the registration fees into the             and open the door for other oil field
                                                If you have questions on viewing or                     permit process.                                       service companies and crane operating
                                                submitting material to the docket,                        Examples of SMEs meeting the                        companies to request similar exception
                                                contact Docket Services, telephone (202)                definition of a CMV having a single cab               status. Commenters stated that the
                                                366–9826.                                               include cranes, workover rigs, and swab               purpose of the ELDs is to force drivers
                                                SUPPLEMENTARY INFORMATION:                              units. Single cabs have reduced space                 and carriers to record their HOS


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                                                                              Federal Register / Vol. 82, No. 202 / Friday, October 20, 2017 / Notices                                              48883

                                                accurately due to years of abuse by the                 cycle. FMCSA grants exemptions to                     exemption may be renewed (49 CFR
                                                industry.                                               allow (1) all motor carriers and drivers              381.315(c) and 49 CFR 381.300(b)).
                                                  All comments are available for review                 that use portable, driver-based ELDs to
                                                in the docket for this notice.                                                                                UPS Application for Exemption
                                                                                                        record engine data only when the driver
                                                                                                        is in a CMV and the engine is powered,                   UPS applied for an exemption from
                                                FMCSA Decision                                                                                                various provisions of 49 CFR part 395
                                                                                                        and (2) all motor carriers to configure an
                                                  When FMCSA published the rule                         ELD with a yard-move mode that does                   regarding the use of ELDs. Specifically,
                                                mandating ELDs, it relied upon research                 not require a driver to re-input yard-                UPS requested a temporary exemption
                                                indicating that the rule improves                       move status every time the tractor is                 (1) to allow an alternative ELD phase-in
                                                commercial motor vehicle (CMV) safety                   powered off. The Agency has                           method for fleets using compliant
                                                and reduces the overall paperwork                       determined that granting these                        automatic on-board recording devices
                                                burden for both motor carriers and                      temporary exemptions would not have                   (AOBRDs); (2) from the requirement that
                                                drivers by increasing the use of ELDs                   an adverse impact on safety, and that a               an ELD automatically record certain
                                                within the motor carrier industry, which                level of safety equivalent to or greater              data elements upon a duty-status change
                                                will in turn, improve compliance with                   than the level of safety provided by the              when a driver is not in the vehicle; (3)
                                                the HOS rules. The primary reason for                   regulation would be maintained.                       to allow ELDs to be configured with a
                                                denial of this exemption is that MBI did                                                                      special driving mode for yard moves
                                                                                                        FOR FURTHER INFORMATION CONTACT: Mrs.
                                                not demonstrate how, without using                                                                            that does not require the driver to re-
                                                ELDs, they would maintain a level of                    Amina Dines, Vehicle and Roadside
                                                                                                                                                              input yard move status every time the
                                                safety equivalent to, or greater than, the              Operations Division, Office of Carrier,
                                                                                                                                                              tractor is powered off; and (4) to allow
                                                level achieved without the exemption.                   Driver, and Vehicle Safety, MC–PSV,
                                                                                                                                                              vehicle movements of less than one mile
                                                  For these reasons, FMCSA has denied                   (202) 366–2782, Amina.Dines@dot.gov,
                                                                                                                                                              on UPS property by non-CDL UPS
                                                the applicant’s request for exemption.                  Federal Motor Carrier Safety
                                                                                                                                                              drivers to be annotated as ‘‘on
                                                                                                        Administration, 1200 New Jersey
                                                  Issued on: September 28, 2017.                                                                              property—other.’’
                                                                                                        Avenue SE., Washington, DC 20590–                        On June 9, 2017, FMCSA published
                                                Daphne Y. Jefferson,                                    0001.
                                                Deputy Administrator.
                                                                                                                                                              notice of the UPS application and
                                                                                                        SUPPLEMENTARY INFORMATION:                            requested public comment (82 FR
                                                [FR Doc. 2017–22834 Filed 10–19–17; 8:45 am]
                                                                                                                                                              26832). FMCSA received 55 comments,
                                                BILLING CODE 4910–EX–P                                  Background
                                                                                                                                                              most of which opposed the exemption
                                                                                                           Section 4007 of the Transportation                 on the ground that UPS should comply
                                                                                                        Equity Act for the 21st Century (TEA–                 with the ELD rule which it had actively
                                                DEPARTMENT OF TRANSPORTATION                            21) [Pub. L. 105–178, 112 Stat. 107, 401,             supported. Where comments focused on
                                                Federal Motor Carrier Safety                            June 9, 1998] amended 49 U.S.C. 31315                 a particular issue, they are addressed in
                                                Administration                                          and 31136(e) to provide authority to                  the discussions below.
                                                                                                        grant exemptions from the Federal
                                                [Docket No. FMCSA–2017–0054]                            Motor Carrier Safety Regulations                      1. Alternative Method of ELD Phase-In
                                                                                                        (FMCSRs). On August 20, 2004, FMCSA                   Background
                                                Hours of Service; United Parcel                         published a final rule (69 FR 51589)
                                                Service Inc. Application for an                                                                                  Subject to limited exceptions, section
                                                                                                        implementing section 4007. Under this
                                                Exemption From Certain Electronic                                                                             395.8(a)(1)(i) of the FMCSRs requires
                                                                                                        rule, FMCSA must publish a notice of
                                                Logging Device Requirements                                                                                   motor carriers to install and use ELDs
                                                                                                        each exemption request in the Federal
                                                                                                                                                              that comply with the technical
                                                AGENCY: Federal Motor Carrier Safety                    Register (49 CFR 381.315(a)). The
                                                                                                                                                              specifications prescribed for those
                                                Administration (FMCSA), DOT.                            Agency must provide the public with an
                                                                                                                                                              devices no later than December 18,
                                                ACTION: Notice of final disposition.                    opportunity to inspect the information
                                                                                                                                                              2017. However, section 395.8(a)(1)(ii)
                                                                                                        relevant to the application, including
                                                SUMMARY:   The Federal Motor Carrier                                                                          allows a motor carrier that installs, and
                                                                                                        any safety analyses that have been
                                                Safety Administration (FMCSA)                                                                                 requires its drivers to use, compliant
                                                                                                        conducted. The Agency must also
                                                announces its decision to grant part of                                                                       AOBRDs before the December 18, 2017,
                                                                                                        provide an opportunity for public
                                                United Parcel Service Inc.’s (UPS)                                                                            compliance date to continue to use
                                                                                                        comment on the request.
                                                application for a limited 5-year                                                                              those AOBRDs until December 16, 2019,
                                                                                                           The Agency reviews the safety
                                                exemption from various provisions of                                                                          thereby providing a 2-year grandfather
                                                                                                        analyses and the public comments and
                                                the mandate to use electronic logging                                                                         period for devices installed prior to the
                                                                                                        determines whether granting the
                                                devices (ELD). FMCSA published a final                                                                        compliance date.
                                                                                                        exemption would likely achieve a level
                                                rule in December 2015 that requires                     of safety equivalent to or greater than               UPS Request
                                                most motor carriers and drivers who are                 the level that would be achieved by the                In its application, UPS states:
                                                currently required to prepare and retain                current regulation (49 CFR 381.305(a)).
                                                paper records of duty status (RODS) to                     The decision of the Agency must be                    UPS firmly believes that the best way to
                                                                                                                                                              transition its operations from AOBRDs to
                                                use ELDs for hours-of-service (HOS)                     published in the Federal Register (49                 ELDs will be on a site-by-site basis. UPS
                                                compliance effective December 18,                       CFR 381.315(b)). If the Agency denies                 currently plans to convert approximately
                                                2017. Among other things, the                           the request, it must state the reason for             2800 tractors at approximately 35 sites from
                                                December 2015 rule requires (1) certain                 doing so. If the decision is to grant the             AOBRDs to ELDs in 2017, and plans to
                                                data elements to be automatically                       exemption, the notice must specify the
srobinson on DSKBC5CHB2PROD with NOTICES




                                                                                                                                                              convert the remaining tractors (at 141 sites)
                                                recorded when an authorized user logs                   person or class of persons receiving the              during 2018. Deploying ELDs by site will
                                                in or out of an ELD or changes duty                     exemption and the regulatory provision                minimize the significant costs, including
                                                status, and (2) a driver’s indication of                or provisions from which an exemption                 training costs, related to moving the fleet and
                                                                                                                                                              workforce from AOBRDs to ELDs. A site-by-
                                                special driving status to reset to none                 is granted. The notice must specify the               site approach will also minimize the risk of
                                                (except in the case of personal use) if                 effective period of the exemption (up to              errors and confusion that would be
                                                the ELD or commercial motor vehicle’s                   5 years) and explain the terms and                    encountered if two different types of devices
                                                (CMV) engine goes through a power-off                   conditions of the exemption. The                      were used simultaneously at a given location.



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Document Created: 2017-10-20 00:06:32
Document Modified: 2017-10-20 00:06:32
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionNotice of final disposition; denial of application for exemption.
DatesFMCSA denies this application for exemption effective October 20, 2017.
ContactFor information concerning this notice, contact Mr. Thomas Yager, Chief, FMCSA Driver and Carrier Operations Division; Office of Carrier, Driver and Vehicle Safety Standards; Telephone: 614-942-6477. Email: [email protected] If you have questions on viewing or submitting material to the docket, contact Docket Services, telephone (202) 366-9826.
FR Citation82 FR 48882 

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