Requirements and Procedures for Consumer Assistance To Recycle and Save Program, 38974-38985 [E9-18835]
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38974
Federal Register / Vol. 74, No. 149 / Wednesday, August 5, 2009 / Rules and Regulations
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Risks (62 FR 19885, April 23, 1997).
This final rule does not contain any
information collections subject to OMB
approval under the Paperwork
Reduction Act (PRA), 44 U.S.C. 3501 et
seq., nor does it require any special
considerations under Executive Order
12898, entitled Federal Actions to
Address Environmental Justice in
Minority Populations and Low-Income
Populations (59 FR 7629, February 16,
1994).
Since tolerances and exemptions that
are established on the basis of a petition
under section 408(d) of FFDCA, such as
the temporary exemption from the
requirement of a tolerance in this final
rule, do not require the issuance of a
proposed rule, the requirements of the
Regulatory Flexibility Act (RFA) (5
U.S.C. 601 et seq.) do not apply.
This final rule directly regulates
growers, food processors, food handlers,
and food retailers, not States or tribes,
nor does this action alter the
relationships or distribution of power
and responsibilities established by
Congress in the preemption provisions
of section 408(n)(4) of FFDCA. As such,
the Agency has determined that this
action will not have a substantial direct
effect on States or tribal governments,
on the relationship between the national
government and the States or tribal
governments, or on the distribution of
power and responsibilities among the
various levels of government or between
the Federal Government and Indian
tribes. Thus, the Agency has determined
that Executive Order 13132, entitled
Federalism (64 FR 43255, August 10,
1999) and Executive Order 13175,
entitled Consultation and Coordination
with Indian Tribal Governments (65 FR
67249, November 9, 2000) do not apply
to this final rule. In addition, this final
rule does not impose any enforceable
duty or contain any unfunded mandate
as described under Title II of the
Unfunded Mandates Reform Act of 1995
(UMRA) (Public Law 104–4).
This action does not involve any
technical standards that would require
Agency consideration of voluntary
consensus standards pursuant to section
12(d) of the National Technology
Transfer and Advancement Act of 1995
(NTTAA), Public Law 104–113, section
12(d) (15 U.S.C. 272 note).
IX. Congressional Review Act
The Congressional Review Act, 5
U.S.C. 801 et seq., generally provides
that before a rule may take effect, the
agency promulgating the rule must
submit a rule report to each House of
the Congress and to the Comptroller
General of the United States. EPA will
submit a report containing this rule and
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other required information to the U.S.
Senate, the U.S. House of
Representatives, and the Comptroller
General of the United States prior to
publication of this final rule in the
Federal Register. This final rule is not
a ‘‘major rule’’ as defined by 5 U.S.C.
804(2).
List of Subjects in 40 CFR Part 180
Environmental protection,
Administrative practice and procedure,
Agricultural commodities, Pesticides
and pests, Reporting and recordkeeping
requirements.
Dated: July 22, 2009.
Debra Edwards,
Director, Office of Pesticide Programs.
Therefore, 40 CFR chapter I is
amended as follows:
■
PART 180—[AMENDED]
1. The authority citation for part 180
continues to read as follows:
■
Authority: 21 U.S.C. 321(q), 346a and 371.
2. Section 180.1290 is added to
subpart D to read as follows:
■
§ 180.1290 Pasteuria usgae; temporary
exemption from the requirement of a
tolerance.
Pasteuria usgae is temporarily exempt
from the requirement of a tolerance
when applied/used as a nematicide on
strawberries in accordance with the
terms of EUP 85004-EUP-1. This
temporary exemption from the
requirement of a tolerance expires and
is revoked on December 31, 2010.
[FR Doc. E9–18472 Filed 8–4–09; 8:45 am]
BILLING CODE 6560–50–S
DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety
Administration
49 CFR Part 599
[ Docket No. NHTSA–2009–0120]
RIN 2127–AK54; Notice 1
Requirements and Procedures for
Consumer Assistance To Recycle and
Save Program
AGENCY: National Highway Traffic
Safety Administration (NHTSA),
Department of Transportation (DOT).
ACTION: Final rule.
SUMMARY: This final rule amends the
regulation implementing the Consumer
Assistance to Recycle and Save (CARS)
Program, published on July 29, 2009 in
the Federal Register, under the CARS
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Act (Pub. L. 111–32). The rule clarifies
the insurance eligibility requirements
for trade-in vehicles under the CARS
program. The rule makes substantive
changes and a conforming amendment
related to the timing for disabling tradein vehicle engines. The rule also makes
a technical amendment to the
requirements and procedures for
identifying salvage auctions and
disposal facilities. Finally, we provide a
clarification related to the insurance
requirement under the CARS Act.
DATES: This final rule is effective August
5, 2009. Petitions: If you wish to petition
for reconsideration of this rule, your
petition must be received by September
21, 2009.
ADDRESSES: If you submit a petition for
reconsideration of this rule, you should
refer in your petition to the docket
number of this document and submit
your petition to: Administrator,
National Highway Traffic Safety
Administration, 1200 New Jersey
Avenue, SE., West Building,
Washington, DC 20590.
The petition will be placed in the
public docket. Anyone is able to search
the electronic form of all documents
received into any of our dockets by the
name of the individual submitting the
document (or signing the document, if
submitted on behalf of an association,
business, labor union, etc.). You may
review the complete User Notice and
Privacy Notice for Regulations.gov at
https://www.regulations.gov/search/
footer/privacyanduse.jsp.
FOR FURTHER INFORMATION CONTACT: For
questions, you may call David Bonelli,
NHTSA Office of Chief Counsel,
telephone (202) 366–5834.
SUPPLEMENTARY INFORMATION: This final
rule amends the regulation
implementing the Consumer Assistance
to Recycle and Save (CARS) Program,
published on July 29, 2009 (74 FR
37878), under the CARS Act (Pub. L.
111–32). The rule makes substantive
changes and a conforming amendment
related to the timing for disabling tradein vehicle engines. The rule also makes
a technical amendment to the
requirements and procedures for
identifying salvage auctions and
disposal facilities. Finally, the agency
clarifies the application of the insurance
requirement under the CARS Act.
a. Engine Disablement
The rule currently requires a dealer
that receives an eligible trade-in vehicle
under the CARS program to disable that
vehicle’s engine prior to submitting an
application for reimbursement and prior
to transferring the vehicle to a disposal
facility. That requirement is
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implemented in sections 599.300(a),
599.300(d)(2), 599.300(e)(1)(i) and the
certifications in Appendix A.
The agency has determined that the
requirement for a dealer to disable the
engine prior to submitting an
application for reimbursement could
create an undue hardship for a dealer in
some circumstances. For example, a
dealer operating in good faith may
conduct a non-compliant transaction
under the CARS program and extend a
credit that is disapproved for
reimbursement after the sale or lease of
a new vehicle to a customer. If the
engine of the trade-in vehicle has
already been disabled under these
circumstances, as the rule currently
requires, the dealer would not only
forgo a CARS credit reimbursement, but
also be unable to recoup the full value
of the trade-in vehicle to mitigate its
loss.
With these considerations in mind,
this final rule amends the provision
relating to the timing of the dealer’s
disablement of the engine of the tradein vehicle. The agency is removing the
requirement that the dealer disable the
engine prior to submitting an
application for reimbursement and
replacing it with a provision that allows
engine disablement before or after
submission of the application for
reimbursement, but in all cases prior to
leaving the dealership or property
owned by or under the control of the
dealership.
Accordingly, we are amending section
599.300(a) to specify that the dealer
must store the trade-in vehicle at the
dealership or property owned by or
under the control of the dealership until
the engine is disabled. We are amending
section 599.300(d) to remove the
requirement for engine disablement
prior to submission of the request for
reimbursement and to insert a
requirement that the dealer must disable
the engine at its dealership or property
owned by or under the control of the
dealership not more than seven calendar
days after the government reimburses
the dealer for the value of the credit.
The continued storage of the trade-in
vehicle and the disablement of trade-in
vehicle’s engine are conditions of the
government’s payment of the credit to
the dealer that the dealer is obligated to
satisfy.
We are amending the certification in
Appendix A to allow a dealer to certify,
at the time of the submission of the
application for reimbursement, that the
dealer has either already disabled the
engine at the dealership or property
owned by or under the control of the
dealership or will store the trade-in
vehicle at the dealership or property
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owned by or under the control of the
dealership and disable the engine at the
dealership or property owned by or
under the control of the dealership not
more than seven calendar days after
receiving electronic reimbursement for
the credit. The amendment does not
change the requirement that the dealer
disable the engine before the trade-in
vehicle is transferred to the disposal
facility or salvage auction. The storage
requirement enables the agency to
inspect to see that the dealer has not
shipped the trade-in vehicle
prematurely. The rule makes a
conforming change section
599.300(d)(3) to retain the requirement
to mark the title prior to submission of
the application for reimbursement.
Finally, today’s amendments do not
affect the requirements for pre-July 24th
trade-in vehicles under the program
where the vehicle has already been
transferred from the dealership.
b. Technical Amendments
The final rule currently requires
salvage auctions, as a condition of
participation in the program, to transfer
trade-in vehicles only to a disposal
facility listed on the agency’s website at
cars.gov/disposal or to a facility that
disposes of vehicles in Puerto Rico, the
Virgin Islands, Guam, American Samoa,
or the Commonwealth of the Northern
Mariana Islands. Section 599.201(a)(1)
of the regulation incorrectly stated that
a salvage auction may transfer the
vehicle to a disposal facility identified
in Section 599.201(b)(2) or (b)(3). The
correct citations are Section
599.201(a)(2) or (a)(3). Today’s
amendment makes that correction.
The agency is amending the Dealer
Certifications (Appendix A). We are
removing the reference to the ‘‘engine
block’’ and replacing it with the
‘‘engine’’ for conformity with the
language in the regulation. In this same
dealer certification, the phrase ‘‘render
inoperative’’ is being replaced with the
word ‘‘disable.’’ This change, too,
allows the dealer certification form in
Appendix A to conform to the language
used throughout the rule. These changes
do not change the meaning of the rule.
The procedures of Appendix B, Engine
Disablement Procedures for the CARS
Program, continue to apply. These
dealer certification changes will also be
made to the electronic certification
screen a dealer sees while entering a
transaction. It may take some time to
amend the electronic form. However,
the new certifications are now available
in the Summary of Sale sheet, which
should be used immediately. The
certifications on this form will control
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and the superseded certification on the
electronic form will not be binding.
Finally, the agency is amending the
Disposal Facility Certification Form
(Appendix E) by replacing incorrect
information in one of the input fields.
We are removing ‘‘End of Life Vehicle
Solution (ELVS) Identification No. (if
assigned)’’ and replacing it with
‘‘NHTSA Disposal Facility Identification
No. (if assigned).’’ The requested
number is a unique identifier assigned
by NHTSA to the disposal facility
identified on the CARS website—it is
not assigned by the ELVS program. This
correction should resolve the instances
of misdirected inquiries from dealers
seeking a number from the ELVS
program.
c. Insurance Eligibility Requirements
In addressing the requirement under
the CARS Act that the trade-in vehicle
be ‘‘continuously insured consistent
with the applicable State law,’’ the
agency stated in the preamble to the rule
its interpretation that the Act requires
all transactions to meet the continuous
one-year insurance condition as a
threshold matter with respect to any
trade-in vehicle under the CARS
program. Upon further consideration of
the statutory language and because the
prior interpretation has only been in
effect a few days, the agency has
concluded that, in those States with no
insurance requirement, the rule’s
requirement unfairly penalizes
consumers who are in compliance with
State law. Therefore, today’s
interpretation exempts trade-in vehicles
registered in New Hampshire and
Wisconsin from the one-year insurance
requirement because both New
Hampshire and Wisconsin have no
insurance requirement under State Law.
As this interpretation is not inconsistent
with the existing regulatory text, no
change to the rule is necessary;
however, the dealer and purchaser
certifications (Appendix A) are being
amended to make today’s interpretation
clear.
Statutory Basis for This Action
This final rule makes amendments to
implement the Consumer Assistance to
Recycle and Save Act (CARS Act) (Pub.
L. 111–32), which directs the Secretary
to issue final regulations.
APA Requirements and Effective Date
The rule is being issued without first
providing a notice and an opportunity
for public comment. Section 1302(d) of
the CARS Act provides that
‘‘notwithstanding’’ the requirements of
section 553 of title 5, United States
Code, the Secretary shall promulgate
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final regulations to implement the
Program not later than 30 days after the
date of the enactment of this Act. Given
that schedule and the fact that this 4month program with a statutorily fixed
end date has already begun, the agency
finds for good cause that providing
notice and comment is impracticable
and contrary to the public interest for
these changes to the final rule. Drafting
and issuing a proposed rule, providing
a period for public comment, and
addressing those comments in the final
rule would have been highly
impracticable in the time available and
would have substantially delayed
issuance of this final rule. Because sales
of new vehicles under the program have
begun in what appears to be high
volume, we believe it is necessary to
provide these amendments and
clarification immediately so that no one
will be harmed in making transactions.
Because of the CARS Act schedule
and the fact that the 4-month program
has already begun, the agency finds that
it has good cause to make this rule
effective fewer than 30 days after the
publication in the Federal Register. In
view of the fact that sales of new
vehicles under the program have begun
in what appears to be high volume, we
believe it is necessary to provide these
amendments and clarifications
immediately so that no one will be
harmed in making transactions. We also
note that, other than the technical
provisions, this rule is relieving
restrictions in the original final rule. It
would, therefore, be inconsistent with
Congressional intent, impracticable, and
contrary to the public interest, to delay
the effective date of the regulation,
which would, in turn, adversely affect
effective implementation of the
program.
Accordingly, the effective date of this
final rule is August 5, 2009.
Regulatory Identifier Number (RIN)
Regulatory Analyses and Notices
Because of the public and
Congressional interest in the CARS
program, this rulemaking is considered
significant under Executive Order 12866
and the Department of Transportation’s
Regulatory Policies and Procedures. It
was reviewed by the Office of
Management and Budget. The agency
has discussed the relevant requirements
of the Regulatory Flexibility Act,
Executive Order 13132 (Federalism),
Executive Order 12988 (Civil Justice
Reform), the National Environmental
Policy Act, the Paperwork Reduction
Act, and the Unfunded Mandates
Reform Act in the July 29, 2009 final
rule cited above. This rule does not
change the finding in those analyses.
(a) * * *
(1) A salvage auction that will transfer
trade-in vehicles received under this
program only to a disposal facility
identified in paragraph (a)(2) or (a)(3) of
this section.
*
*
*
*
*
■ 3. Section 599.300 is amended by
revising paragraphs (a), (d) introductory
text, (d)(2), and (d)(3), to read as
follows:
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The Department of Transportation
assigns a regulatory 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.
Privacy Act
Please note that anyone is able to
search the electronic form of all
comments received into any of our
dockets by the name of the individual
submitting the comment (or signing the
comment, if submitted on behalf of an
association, business, labor union, etc.).
You may review the complete User
Notice and Privacy Notice for
Regulations.gov at https://www.
regulations.gov/search/footer/
privacyanduse.jsp.
List of Subjects in 49 CFR Part 599
Fuel Economy, Motor Vehicle Safety.
In consideration of the foregoing,
NHTSA hereby amends 49 CFR part 599
as set forth below.
■
PART 599—REQUIREMENTS AND
PROCEDURES FOR CONSUMER
ASSISTANCE TO RECYCLE AND SAVE
ACT PROGRAM
1. The authority citation for Part 599
continues to read as follows:
■
Authority: 49 U.S.C. 32901, Notes;
delegation of authority at 49 CFR 1.50.
2. Section 599.201 is amended by
revising paragraph (a)(1) to read as
follows:
■
§ 599.201 Identification of salvage
auctions and disposal facilities.
§ 599.300 Requirements for qualifying
transactions.
(a) In general. To qualify for a credit
under the CARS Program, a dealer must
sell or lease a new vehicle that meets
eligibility requirements to a purchaser,
obtain a trade-in vehicle that meets
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eligibility requirements from the
purchaser, satisfy combined fuel
economy requirements for both the new
and trade-in vehicles, store the trade-in
vehicle at the dealership or property
owned by or under the control of the
dealership until the engine is disabled,
disable the engine of the trade-in
vehicle at the dealership or property
owned by or under the control of the
dealership, satisfy the limitations and
restrictions of the program, arrange for
disposal of the trade-in vehicle at a
qualifying disposal facility or through a
qualifying salvage auction, and register
and submit a complete application for
reimbursement to NHTSA,
demonstrating that it meets all the
requirements of this part.
*
*
*
*
*
(d) Trade-In Vehicle—Disclosure of
Scrap Value, Engine Disablement, and
Title Marking. As part of a qualifying
transaction under this part, the dealer
shall:
*
*
*
*
*
(2) Except as provided in paragraph
(e) of this section, store the trade-in
vehicle at the dealership or property
owned by or under the control of the
dealership until its engine is disabled
following the procedures set forth in
Appendix B to this part, disable the
engine of the trade-in vehicle at the
dealership or property owned by or
under the control of the dealership
following the procedures set forth in
Appendix B to this part, and certify, as
provided in Appendix A to this part,
dealer certifications section, that either
the engine of the trade-in vehicle has
been disabled at the dealership or
property owned by or under the control
of the dealership, or that the trade-in
vehicle will be stored at the dealership
or property owned by or under the
control of the dealership until the
engine is disabled and the engine of the
trade-in vehicle will be disabled by the
dealer at the dealership or property
owned by or under the control of the
dealership not more than seven calendar
days after the dealer’s receipt of
payment for the transaction; and
(3) Prior to submitting an application
for reimbursement under § 599.302,
legibly mark the front and back of the
trade-in vehicle’s title in prominent
letters that do not obscure the owner’s
name, VIN, or other writing as follows:
‘‘Junk Automobile, CARS.gov.’’
*
*
*
*
*
4. Revise Appendix A to Part 599 to
read as follows:
■
BILLING CODE 4910–59–P
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5. Revise Appendix E to Part 599 to
read as follows:
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Issued on: July 31, 2009.
Ronald L. Medford,
Acting Deputy, Administrator.
[FR Doc. E9–18835 Filed 8–3–09; 4:15 pm]
Regulatory Area of the GOA be treated
as prohibited species in accordance
with § 679.21(b).
BILLING CODE 4910–59–C
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
50 CFR Part 679
[Docket No. 09100091344–9056–02]
RIN 0648–XQ75
Fisheries of the Exclusive Economic
Zone Off Alaska; Other Rockfish in the
Western Regulatory Area of the Gulf of
Alaska
AGENCY: National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Temporary rule; closure.
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SUMMARY: NMFS is prohibiting retention
of ‘‘other rockfish’’ in the Western
Regulatory Area of the Gulf of Alaska
(GOA). This action is necessary because
the 2009 total allowable catch (TAC) of
‘‘other rockfish’’ in the Western
Regulatory Area of the GOA has been
reached.
DATES: Effective 1200 hrs, Alaska local
time (A.l.t.), July 31, 2009, through 2400
hrs, A.l.t., December 31, 2009.
FOR FURTHER INFORMATION CONTACT:
Steve Whitney, 907–586–7269.
SUPPLEMENTARY INFORMATION: NMFS
manages the groundfish fishery in the
GOA exclusive economic zone
according to the Fishery Management
Plan for Groundfish of the Gulf of
Alaska (FMP) prepared by the North
Pacific Fishery Management Council
under authority of the MagnusonStevens Fishery Conservation and
Management Act. Regulations governing
fishing by U.S. vessels in accordance
with the FMP appear at subpart H of 50
CFR part 600 and 50 CFR part 679.
The 2009 TAC of ‘‘other rockfish’’ in
the Western Regulatory Area of the GOA
is 357 metric tons (mt) as established by
the final 2009 and 2010 harvest
specifications for groundfish of the GOA
(74 FR 7333, February 17, 2009).
In accordance with § 679.20(d)(2), the
Administrator, Alaska Region, NMFS
(Regional Administrator), has
determined that the 2009 TAC of ‘‘other
rockfish’’ in the Western Regulatory
Area of the GOA has been reached.
Therefore, NMFS is requiring that
‘‘other rockfish’’ caught in the Western
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Classification
This action responds to the best
available information recently obtained
from the fishery. The Assistant
Administrator for Fisheries, NOAA
(AA), finds good cause to waive the
requirement to provide prior notice and
opportunity for public comment
pursuant to the authority set forth at 5
U.S.C. 553(b)(B) as such requirement is
impracticable and contrary to the public
interest. This requirement is
impracticable and contrary to the public
interest as it would prevent NMFS from
responding to the most recent fisheries
data in a timely fashion and would
delay the prohibition of retention of
‘‘other rockfish’’ in the Western
Regulatory Area of the GOA. NMFS was
unable to publish a notice providing
time for public comment because the
most recent, relevant data only became
available as of July 30, 2009.
The AA also finds good cause to
waive the 30-day delay in the effective
date of this action under 5 U.S.C.
553(d)(3). This finding is based upon
the reasons provided above for waiver of
prior notice and opportunity for public
comment.
This action is required by § 679.20
and is exempt from review under
Executive Order 12866.
Authority: 16 U.S.C. 1801 et seq.
Dated: July 31, 2009.
Alan D. Risenhoover,
Director, Office of Sustainable Fisheries,
National Marine Fisheries Service.
[FR Doc. E9–18703 Filed 7–31–09; 4:15 pm]
BILLING CODE 3510–22–S
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
50 CFR Part 679
[Docket No. 09100091344–9056–02]
RIN 0648–XQ76
Fisheries of the Exclusive Economic
Zone Off Alaska; Pacific Ocean Perch
in the Western Regulatory Area of the
Gulf of Alaska
AGENCY: National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Temporary rule; closure.
SUMMARY: NMFS is prohibiting retention
of Pacific ocean perch in the Western
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Frm 00099
Fmt 4700
Sfmt 4700
38985
Regulatory Area of the Gulf of Alaska
(GOA). This action is necessary because
the 2009 total allowable catch (TAC) of
Pacific ocean perch in the Western
Regulatory Area of the GOA has been
reached.
DATES: Effective 1200 hrs, Alaska local
time (A.l.t.), July 31, 2009, through 2400
hrs, A.l.t., December 31, 2009.
FOR FURTHER INFORMATION CONTACT:
Steve Whitney, 907–586–7269.
SUPPLEMENTARY INFORMATION: NMFS
manages the groundfish fishery in the
GOA exclusive economic zone
according to the Fishery Management
Plan for Groundfish of the Gulf of
Alaska (FMP) prepared by the North
Pacific Fishery Management Council
under authority of the MagnusonStevens Fishery Conservation and
Management Act. Regulations governing
fishing by U.S. vessels in accordance
with the FMP appear at subpart H of 50
CFR part 600 and 50 CFR part 679.
The 2009 TAC of Pacific ocean perch
in the Western Regulatory Area of the
GOA is 3,713 metric tons (mt) as
established by the final 2009 and 2010
harvest specifications for groundfish of
the GOA (74 FR 7333, February 17,
2009).
In accordance with § 679.20(d)(2), the
Administrator, Alaska Region, NMFS
(Regional Administrator), has
determined that the 2009 TAC of Pacific
ocean perch in the Western Regulatory
Area of the GOA has been reached.
Therefore, NMFS is requiring that
Pacific ocean perch caught in the
Western Regulatory Area of the GOA be
treated as prohibited species in
accordance with § 679.21(b).
Classification
This action responds to the best
available information recently obtained
from the fishery. The Assistant
Administrator for Fisheries, NOAA
(AA), finds good cause to waive the
requirement to provide prior notice and
opportunity for public comment
pursuant to the authority set forth at 5
U.S.C. 553(b)(B) as such requirement is
impracticable and contrary to the public
interest. This requirement is
impracticable and contrary to the public
interest as it would prevent NMFS from
responding to the most recent fisheries
data in a timely fashion and would
delay the prohibition of retention of
shortraker rockfish in the Western
Regulatory Area of the GOA. NMFS was
unable to publish a notice providing
time for public comment because the
most recent, relevant data only became
available as of July 30, 2009.
The AA also finds good cause to
waive the 30–day delay in the effective
E:\FR\FM\05AUR1.SGM
05AUR1
Agencies
[Federal Register Volume 74, Number 149 (Wednesday, August 5, 2009)]
[Rules and Regulations]
[Pages 38974-38985]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-18835]
=======================================================================
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DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety Administration
49 CFR Part 599
[ Docket No. NHTSA-2009-0120]
RIN 2127-AK54; Notice 1
Requirements and Procedures for Consumer Assistance To Recycle
and Save Program
AGENCY: National Highway Traffic Safety Administration (NHTSA),
Department of Transportation (DOT).
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This final rule amends the regulation implementing the
Consumer Assistance to Recycle and Save (CARS) Program, published on
July 29, 2009 in the Federal Register, under the CARS Act (Pub. L. 111-
32). The rule clarifies the insurance eligibility requirements for
trade-in vehicles under the CARS program. The rule makes substantive
changes and a conforming amendment related to the timing for disabling
trade-in vehicle engines. The rule also makes a technical amendment to
the requirements and procedures for identifying salvage auctions and
disposal facilities. Finally, we provide a clarification related to the
insurance requirement under the CARS Act.
DATES: This final rule is effective August 5, 2009. Petitions: If you
wish to petition for reconsideration of this rule, your petition must
be received by September 21, 2009.
ADDRESSES: If you submit a petition for reconsideration of this rule,
you should refer in your petition to the docket number of this document
and submit your petition to: Administrator, National Highway Traffic
Safety Administration, 1200 New Jersey Avenue, SE., West Building,
Washington, DC 20590.
The petition will be placed in the public docket. Anyone is able to
search the electronic form of all documents received into any of our
dockets by the name of the individual submitting the document (or
signing the document, if submitted on behalf of an association,
business, labor union, etc.). You may review the complete User Notice
and Privacy Notice for Regulations.gov at https://www.regulations.gov/search/footer/privacyanduse.jsp.
FOR FURTHER INFORMATION CONTACT: For questions, you may call David
Bonelli, NHTSA Office of Chief Counsel, telephone (202) 366-5834.
SUPPLEMENTARY INFORMATION: This final rule amends the regulation
implementing the Consumer Assistance to Recycle and Save (CARS)
Program, published on July 29, 2009 (74 FR 37878), under the CARS Act
(Pub. L. 111-32). The rule makes substantive changes and a conforming
amendment related to the timing for disabling trade-in vehicle engines.
The rule also makes a technical amendment to the requirements and
procedures for identifying salvage auctions and disposal facilities.
Finally, the agency clarifies the application of the insurance
requirement under the CARS Act.
a. Engine Disablement
The rule currently requires a dealer that receives an eligible
trade-in vehicle under the CARS program to disable that vehicle's
engine prior to submitting an application for reimbursement and prior
to transferring the vehicle to a disposal facility. That requirement is
[[Page 38975]]
implemented in sections 599.300(a), 599.300(d)(2), 599.300(e)(1)(i) and
the certifications in Appendix A.
The agency has determined that the requirement for a dealer to
disable the engine prior to submitting an application for reimbursement
could create an undue hardship for a dealer in some circumstances. For
example, a dealer operating in good faith may conduct a non-compliant
transaction under the CARS program and extend a credit that is
disapproved for reimbursement after the sale or lease of a new vehicle
to a customer. If the engine of the trade-in vehicle has already been
disabled under these circumstances, as the rule currently requires, the
dealer would not only forgo a CARS credit reimbursement, but also be
unable to recoup the full value of the trade-in vehicle to mitigate its
loss.
With these considerations in mind, this final rule amends the
provision relating to the timing of the dealer's disablement of the
engine of the trade-in vehicle. The agency is removing the requirement
that the dealer disable the engine prior to submitting an application
for reimbursement and replacing it with a provision that allows engine
disablement before or after submission of the application for
reimbursement, but in all cases prior to leaving the dealership or
property owned by or under the control of the dealership.
Accordingly, we are amending section 599.300(a) to specify that the
dealer must store the trade-in vehicle at the dealership or property
owned by or under the control of the dealership until the engine is
disabled. We are amending section 599.300(d) to remove the requirement
for engine disablement prior to submission of the request for
reimbursement and to insert a requirement that the dealer must disable
the engine at its dealership or property owned by or under the control
of the dealership not more than seven calendar days after the
government reimburses the dealer for the value of the credit. The
continued storage of the trade-in vehicle and the disablement of trade-
in vehicle's engine are conditions of the government's payment of the
credit to the dealer that the dealer is obligated to satisfy.
We are amending the certification in Appendix A to allow a dealer
to certify, at the time of the submission of the application for
reimbursement, that the dealer has either already disabled the engine
at the dealership or property owned by or under the control of the
dealership or will store the trade-in vehicle at the dealership or
property owned by or under the control of the dealership and disable
the engine at the dealership or property owned by or under the control
of the dealership not more than seven calendar days after receiving
electronic reimbursement for the credit. The amendment does not change
the requirement that the dealer disable the engine before the trade-in
vehicle is transferred to the disposal facility or salvage auction. The
storage requirement enables the agency to inspect to see that the
dealer has not shipped the trade-in vehicle prematurely. The rule makes
a conforming change section 599.300(d)(3) to retain the requirement to
mark the title prior to submission of the application for
reimbursement. Finally, today's amendments do not affect the
requirements for pre-July 24th trade-in vehicles under the program
where the vehicle has already been transferred from the dealership.
b. Technical Amendments
The final rule currently requires salvage auctions, as a condition
of participation in the program, to transfer trade-in vehicles only to
a disposal facility listed on the agency's website at cars.gov/disposal
or to a facility that disposes of vehicles in Puerto Rico, the Virgin
Islands, Guam, American Samoa, or the Commonwealth of the Northern
Mariana Islands. Section 599.201(a)(1) of the regulation incorrectly
stated that a salvage auction may transfer the vehicle to a disposal
facility identified in Section 599.201(b)(2) or (b)(3). The correct
citations are Section 599.201(a)(2) or (a)(3). Today's amendment makes
that correction.
The agency is amending the Dealer Certifications (Appendix A). We
are removing the reference to the ``engine block'' and replacing it
with the ``engine'' for conformity with the language in the regulation.
In this same dealer certification, the phrase ``render inoperative'' is
being replaced with the word ``disable.'' This change, too, allows the
dealer certification form in Appendix A to conform to the language used
throughout the rule. These changes do not change the meaning of the
rule. The procedures of Appendix B, Engine Disablement Procedures for
the CARS Program, continue to apply. These dealer certification changes
will also be made to the electronic certification screen a dealer sees
while entering a transaction. It may take some time to amend the
electronic form. However, the new certifications are now available in
the Summary of Sale sheet, which should be used immediately. The
certifications on this form will control and the superseded
certification on the electronic form will not be binding.
Finally, the agency is amending the Disposal Facility Certification
Form (Appendix E) by replacing incorrect information in one of the
input fields. We are removing ``End of Life Vehicle Solution (ELVS)
Identification No. (if assigned)'' and replacing it with ``NHTSA
Disposal Facility Identification No. (if assigned).'' The requested
number is a unique identifier assigned by NHTSA to the disposal
facility identified on the CARS website--it is not assigned by the ELVS
program. This correction should resolve the instances of misdirected
inquiries from dealers seeking a number from the ELVS program.
c. Insurance Eligibility Requirements
In addressing the requirement under the CARS Act that the trade-in
vehicle be ``continuously insured consistent with the applicable State
law,'' the agency stated in the preamble to the rule its interpretation
that the Act requires all transactions to meet the continuous one-year
insurance condition as a threshold matter with respect to any trade-in
vehicle under the CARS program. Upon further consideration of the
statutory language and because the prior interpretation has only been
in effect a few days, the agency has concluded that, in those States
with no insurance requirement, the rule's requirement unfairly
penalizes consumers who are in compliance with State law. Therefore,
today's interpretation exempts trade-in vehicles registered in New
Hampshire and Wisconsin from the one-year insurance requirement because
both New Hampshire and Wisconsin have no insurance requirement under
State Law. As this interpretation is not inconsistent with the existing
regulatory text, no change to the rule is necessary; however, the
dealer and purchaser certifications (Appendix A) are being amended to
make today's interpretation clear.
Statutory Basis for This Action
This final rule makes amendments to implement the Consumer
Assistance to Recycle and Save Act (CARS Act) (Pub. L. 111-32), which
directs the Secretary to issue final regulations.
APA Requirements and Effective Date
The rule is being issued without first providing a notice and an
opportunity for public comment. Section 1302(d) of the CARS Act
provides that ``notwithstanding'' the requirements of section 553 of
title 5, United States Code, the Secretary shall promulgate
[[Page 38976]]
final regulations to implement the Program not later than 30 days after
the date of the enactment of this Act. Given that schedule and the fact
that this 4-month program with a statutorily fixed end date has already
begun, the agency finds for good cause that providing notice and
comment is impracticable and contrary to the public interest for these
changes to the final rule. Drafting and issuing a proposed rule,
providing a period for public comment, and addressing those comments in
the final rule would have been highly impracticable in the time
available and would have substantially delayed issuance of this final
rule. Because sales of new vehicles under the program have begun in
what appears to be high volume, we believe it is necessary to provide
these amendments and clarification immediately so that no one will be
harmed in making transactions.
Because of the CARS Act schedule and the fact that the 4-month
program has already begun, the agency finds that it has good cause to
make this rule effective fewer than 30 days after the publication in
the Federal Register. In view of the fact that sales of new vehicles
under the program have begun in what appears to be high volume, we
believe it is necessary to provide these amendments and clarifications
immediately so that no one will be harmed in making transactions. We
also note that, other than the technical provisions, this rule is
relieving restrictions in the original final rule. It would, therefore,
be inconsistent with Congressional intent, impracticable, and contrary
to the public interest, to delay the effective date of the regulation,
which would, in turn, adversely affect effective implementation of the
program.
Accordingly, the effective date of this final rule is August 5,
2009.
Regulatory Analyses and Notices
Because of the public and Congressional interest in the CARS
program, this rulemaking is considered significant under Executive
Order 12866 and the Department of Transportation's Regulatory Policies
and Procedures. It was reviewed by the Office of Management and Budget.
The agency has discussed the relevant requirements of the Regulatory
Flexibility Act, Executive Order 13132 (Federalism), Executive Order
12988 (Civil Justice Reform), the National Environmental Policy Act,
the Paperwork Reduction Act, and the Unfunded Mandates Reform Act in
the July 29, 2009 final rule cited above. This rule does not change the
finding in those analyses.
Regulatory Identifier Number (RIN)
The Department of Transportation assigns a regulatory 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.
Privacy Act
Please note that anyone is able to search the electronic form of
all comments received into any of our dockets by the name of the
individual submitting the comment (or signing the comment, if submitted
on behalf of an association, business, labor union, etc.). You may
review the complete User Notice and Privacy Notice for Regulations.gov
at https://www.regulations.gov/search/footer/privacyanduse.jsp.
List of Subjects in 49 CFR Part 599
Fuel Economy, Motor Vehicle Safety.
0
In consideration of the foregoing, NHTSA hereby amends 49 CFR part 599
as set forth below.
PART 599--REQUIREMENTS AND PROCEDURES FOR CONSUMER ASSISTANCE TO
RECYCLE AND SAVE ACT PROGRAM
0
1. The authority citation for Part 599 continues to read as follows:
Authority: 49 U.S.C. 32901, Notes; delegation of authority at
49 CFR 1.50.
0
2. Section 599.201 is amended by revising paragraph (a)(1) to read as
follows:
Sec. 599.201 Identification of salvage auctions and disposal
facilities.
(a) * * *
(1) A salvage auction that will transfer trade-in vehicles received
under this program only to a disposal facility identified in paragraph
(a)(2) or (a)(3) of this section.
* * * * *
0
3. Section 599.300 is amended by revising paragraphs (a), (d)
introductory text, (d)(2), and (d)(3), to read as follows:
Sec. 599.300 Requirements for qualifying transactions.
(a) In general. To qualify for a credit under the CARS Program, a
dealer must sell or lease a new vehicle that meets eligibility
requirements to a purchaser, obtain a trade-in vehicle that meets
eligibility requirements from the purchaser, satisfy combined fuel
economy requirements for both the new and trade-in vehicles, store the
trade-in vehicle at the dealership or property owned by or under the
control of the dealership until the engine is disabled, disable the
engine of the trade-in vehicle at the dealership or property owned by
or under the control of the dealership, satisfy the limitations and
restrictions of the program, arrange for disposal of the trade-in
vehicle at a qualifying disposal facility or through a qualifying
salvage auction, and register and submit a complete application for
reimbursement to NHTSA, demonstrating that it meets all the
requirements of this part.
* * * * *
(d) Trade-In Vehicle--Disclosure of Scrap Value, Engine
Disablement, and Title Marking. As part of a qualifying transaction
under this part, the dealer shall:
* * * * *
(2) Except as provided in paragraph (e) of this section, store the
trade-in vehicle at the dealership or property owned by or under the
control of the dealership until its engine is disabled following the
procedures set forth in Appendix B to this part, disable the engine of
the trade-in vehicle at the dealership or property owned by or under
the control of the dealership following the procedures set forth in
Appendix B to this part, and certify, as provided in Appendix A to this
part, dealer certifications section, that either the engine of the
trade-in vehicle has been disabled at the dealership or property owned
by or under the control of the dealership, or that the trade-in vehicle
will be stored at the dealership or property owned by or under the
control of the dealership until the engine is disabled and the engine
of the trade-in vehicle will be disabled by the dealer at the
dealership or property owned by or under the control of the dealership
not more than seven calendar days after the dealer's receipt of payment
for the transaction; and
(3) Prior to submitting an application for reimbursement under
Sec. 599.302, legibly mark the front and back of the trade-in
vehicle's title in prominent letters that do not obscure the owner's
name, VIN, or other writing as follows: ``Junk Automobile, CARS.gov.''
* * * * *
0
4. Revise Appendix A to Part 599 to read as follows:
BILLING CODE 4910-59-P
[[Page 38977]]
[GRAPHIC] [TIFF OMITTED] TR05AU09.015
[[Page 38978]]
[GRAPHIC] [TIFF OMITTED] TR05AU09.016
[[Page 38979]]
[GRAPHIC] [TIFF OMITTED] TR05AU09.017
[[Page 38980]]
[GRAPHIC] [TIFF OMITTED] TR05AU09.018
[[Page 38981]]
[GRAPHIC] [TIFF OMITTED] TR05AU09.019
0
5. Revise Appendix E to Part 599 to read as follows:
[[Page 38982]]
[GRAPHIC] [TIFF OMITTED] TR05AU09.020
[[Page 38983]]
[GRAPHIC] [TIFF OMITTED] TR05AU09.021
[[Page 38984]]
[GRAPHIC] [TIFF OMITTED] TR05AU09.022
[[Page 38985]]
Issued on: July 31, 2009.
Ronald L. Medford,
Acting Deputy, Administrator.
[FR Doc. E9-18835 Filed 8-3-09; 4:15 pm]
BILLING CODE 4910-59-C