Pilot Program on NAFTA Long-Haul Trucking Provisions, 20807-20819 [2011-8846]
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Federal Register / Vol. 76, No. 71 / Wednesday, April 13, 2011 / Notices
within its existing east-west corridor
along SE Tacoma Street and construct a
new interchange with Oregon 43 on the
west end. The actions by the Federal
agencies, and the laws under which
such actions were taken, are described
in the Final Environmental Impact
Statement (FEIS) for the project,
approved on July 26, 2010, in the
FHWA Record of Decision (ROD) issued
September 30, 2010, and in other
[FR Doc. 2011–8857 Filed 4–12–11; 8:45 am]
documents in the FHWA project files.
BILLING CODE 4910–13–P
The FEIS, ROD, and other project
records are available by contacting the
DEPARTMENT OF TRANSPORTATION FHWA or the Oregon Department of
Transportation at the addresses
Federal Highway Administration
provided above. The FHWA FEIS and
ROD can be viewed and downloaded
Notice of Final Federal Agency Actions from the project Web site at https://
on the Sellwood Bridge Project, SE
www.sellwoodbridge.org or viewed at
Tacoma Street and Oregon Highway
public libraries in the project area.
43, Multnomah County, OR
This notice applies to all Federal
agency final actions taken after the
AGENCY: Federal Highway
Administration (FHWA), Department of issuance date of the FHWA Federal
Register notice described above. The
Transportation.
laws under which actions were taken
ACTION: Notice of limitation on claims
include, but are not limited to:
for judicial review of actions by FHWA
1. General: National Environmental
and other Federal agencies.
Policy Act (NEPA) [42 U.S.C. 4321–
SUMMARY: This notice announces actions 4351]; Federal-Aid Highway Act
(FAHA) [23 U.S.C. 109 and 23 U.S.C.
taken by the FHWA and other Federal
128].
agencies that are final within the
2. Air: Clean Air Act (CAA) [42 U.S.C.
meaning of 23 U.S.C. 139(l)(1). The
7401–7671(q)].
actions relate to a proposed highway
3. Land: Section 4(f) of the
project, Sellwood Bridge, SE Tacoma
Department of Transportation Act of
Street and Oregon 43, in Multnomah
1966 (4f) [49 U.S.C. 303].
County, Oregon. This action grants
4. Wildlife: Endangered Species Act
approval for the project.
(ESA) [16 U.S.C. 1531–1544 and Section
DATES: By this notice, the FHWA is
1536]; Fish and Wildlife Coordination
advising the public of final agency
Act [16 U.S.C. 661–667(d)]; Migratory
actions subject to 23 U.S.C. 139(l)(1). A
Bird Treaty Act (MBTA) [16 U.S.C. 703–
claim seeking judicial review of the
712].
Federal agency actions that are covered
5. Historic and Cultural Resources:
by this notice will be barred unless the
Section 106 of the National Historic
claim is filed on or before October 11,
Preservation Act of 1966, as amended
2011. If the Federal law that authorizes
(106) [16 U.S.C. 470(f) et seq.];
judicial review of a claim provides a
Archeological Resources Protection Act
time period of less than 180 days for
of 1977 (ARPA) [16 U.S.C. 470(aa)–
filing such claim, then that shorter time
470(ll)]; Archeological and Historic
period still applies.
Preservation Act (AHPA) [16 U.S.C.
FOR FURTHER INFORMATION CONTACT: Jeff
469–469(c)].
Graham, Operations Engineer, Federal
6. Social and Economic: Civil Rights
Highway Administration, 530 Center
Act of 1964 (Civil Rights) [42 U.S.C.
Street, NE., Suite 100, Salem, Oregon
2000(d)–2000(d)(1)].
97301; (503) 399–5749;
7. Wetlands and Water Resources:
Jeffrey.Graham@dot.gov. The FHWA
Clean Water Act (Section 404, Section
Oregon Division’s Office’s normal
401, Section 319) [33 U.S.C. 1251–
business hours are 7:30 a.m. to 4:15 p.m. 1377]; Rivers and Harbors Act of 1899
(Pacific time).
(RHA) [33 U.S.C. 401–406]; Wetlands
SUPPLEMENTARY INFORMATION: Notice is
Mitigation (Sections 103 and 133) [23
hereby given that the FHWA and other
U.S.C. 103(b)(6)(M) and 133(b)(11)].
8. Executive Orders: E.O. 11990
Federal agencies have taken final agency
Protection of Wetlands; E.O. 11988
actions subject to 23 U.S.C. 139(l)(1) by
issuing licenses, permits, and approvals Floodplain Management; E.O. 11514
for the following highway project in the Protection and Enhancement of
State of Oregon: Sellwood Bridge Project Environmental Quality; E.O. 12898,
Federal Actions to Address
in Multnomah County, Oregon. The
Environmental Justice in Minority
project will replace the existing bridge
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Petitioner: NetJets Aviation, Inc.
Section of 14 CFR Affected: § 43.3(g).
Description of Relief Sought: NetJets
requests relief from the requirements of
§ 43.3(g) to allow its pilots that are
properly trained and qualified under an
approved training program, to perform
supervised updates of navigational
software databases of installed flight
management systems.
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20807
Populations and Low Income
Populations.
(Catalog of Federal Domestic Assistance
Program Number 20.205, Highway Planning
and Construction. The regulations
implementing Executive Order 12372
regarding intergovernmental consultation on
Federal programs and activities apply to this
program.)
Authority: 23 U.S.C. 139(l)(1).
Issued on: April 5, 2011.
Jeff Graham,
Operations Engineer, Salem, Oregon.
[FR Doc. 2011–8835 Filed 4–12–11; 8:45 am]
BILLING CODE 4910–22–P
DEPARTMENT OF TRANSPORTATION
Federal Motor Carrier Safety
Administration
[Docket No FMCSA–2011–0097]
Pilot Program on NAFTA Long-Haul
Trucking Provisions
Federal Motor Carrier Safety
Administration (FMCSA), DOT.
ACTION: Notice; request for public
comment.
AGENCY:
The Federal Motor Carrier
Safety Administration (FMCSA)
announces its proposal for the initiation
of a United States-Mexico cross-border
long-haul trucking pilot program to test
and demonstrate the ability of Mexicobased motor carriers to operate safely in
the United States beyond the
municipalities and commercial zones
along the United States-Mexico border.
The pilot program is part of FMCSA’s
implementation of the North American
Free Trade Agreement (NAFTA) crossborder long-haul trucking provisions.
This pilot program would allow Mexicodomiciled motor carriers to operate
throughout the United States for up to
3 years. U.S.-domiciled motor carriers
would be granted reciprocal rights to
operate in Mexico for the same period.
Participating Mexican carriers and
drivers would be required to comply
with all applicable U.S. laws and
regulations, including those concerned
with motor carrier safety, customs,
immigration, vehicle registration and
taxation, and fuel taxation. The safety of
the participating carriers would be
tracked closely by FMCSA with input
from a Federal Advisory Committee.
DATES: Comments must be received on
or before May 13, 2011.
ADDRESSES: You may submit comments
identified by Docket Number FMCSA–
2011–0097 using any one of the
following methods:
SUMMARY:
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20808
Federal Register / Vol. 76, No. 71 / Wednesday, April 13, 2011 / Notices
• Federal eRulemaking Portal: https://
www.regulations.gov. Follow the online
instructions for submitting comments.
• Fax: 1–202–493–2251.
• Mail: Docket Management Facility,
(M–30), U.S. Department of
Transportation (DOT), 1200 New Jersey
Avenue, SE., West Building, Ground
Floor, Room 12–140, Washington, DC
20590–0001.
• Hand Delivery: Same as mail
address above, between 9 a.m. and
5 p.m., ET, Monday through Friday,
except Federal holidays. The telephone
number is 202–366–9329.
To avoid duplication, please use only
one of these four methods. All
submissions must include the Agency
name and docket number for this notice.
See the ‘‘Public Participation’’ heading
below for instructions on submitting
comments and additional information.
Note that all comments received,
including any personal information
provided, will be posted without change
to https://www.regulations.gov. Please
see the ‘‘Privacy Act’’ heading below.
Docket: For access to the docket to
read background documents or
comments received, go to https://
www.regulations.gov at any time or to
Room W12–140 on the ground floor of
the DOT Headquarters Building at 1200
New Jersey Avenue, SE., Washington,
DC, between 9 a.m. and 5 p.m., ET,
Monday through Friday, except Federal
holidays.
Privacy Act: 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 DOT’s Privacy Act System of
Records Notice for the DOT Federal
Docket Management System published
in the Federal Register on January 17,
2008 (73 FR 3316), or you may visit
https://edocket.access.gpo.gov/2008/pdf/
E8–785.pdf.
Public Participation: The https://
www.regulations.gov Web site is
generally available 24 hours each day,
365 days each year. You can get
electronic submission and retrieval help
and guidelines under the ‘‘help’’ section
of the https://www.regulations.gov Web
site. Comments received after the
comment closing date will be included
in the docket, and will be considered to
the extent practicable.
FOR FURTHER INFORMATION CONTACT:
Marcelo Perez, Federal Motor Carrier
Safety Administration, 1200 New Jersey
Avenue, SE., Washington, DC 20590–
0001. Telephone (512) 916–5440, ext
228; e-mail marcelo.perez@dot.gov.
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SUPPLEMENTARY INFORMATION:
Legal Basis
Section 6901(a) of the U.S. Troop
Readiness, Veterans’ Care, Katrina
Recovery, and Iraq Accountability
Appropriations Act, 2007 [Pub. L. 110–
28, 121 Stat. 112, 183, May 25, 2007]
provides that before DOT may obligate
or expend any funds to grant authority
for Mexico-domiciled trucks to engage
in cross-border long-haul operations,
DOT must first test granting such
authority through a pilot program that
meets the standards of 49 U.S.C.
31135(c). In accordance with 49 U.S.C.
31315(c), the Secretary of
Transportation has general authority to
have safety measures ‘‘that are designed
to achieve a level of safety that is
equivalent to, or greater than, the level
of safety that would otherwise be
achieved * * *.’’
In a pilot program, DOT collects
specific data for evaluating alternatives
to the regulations or innovative
approaches to safety while ensuring that
the goals of the regulations are satisfied.
A pilot program may not last more than
3 years, and the number of participants
in a pilot program must be large enough
to ensure statistically valid findings.
Pilot programs must include an
oversight plan to ensure that
participants comply with the terms and
conditions of participation, and
procedures to protect the health and
safety of study participants and the
general public. A pilot program may be
initiated only after DOT publishes a
detailed description of it in the Federal
Register and provides an opportunity
for public comment. This notice and
request for public comment complies
with this requirement. While, a pilot
program may provide temporary
regulatory relief from one or more
regulations to a person or class of
persons subject to the regulations, or a
person or class of persons who intends
to engage in an activity that would be
subject to the regulations, in this pilot
program DOT does not propose to
exempt or relieve Mexico-domiciled
motor carriers from any safety
regulation. Mexico-domiciled motor
carriers participating in the program
will be required to comply with the
existing motor carrier safety regulatory
regime plus certain additional
requirements associated with
acceptance into and participation in the
program.
Section 350 of the Department of
Transportation and Related Agencies
Appropriations Act, 2002 [Pub. L. 107–
87, 115 Stat. 833, 864, December 18,
2001] (section 350) prohibited FMCSA
from using funds made available in that
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Act to review or process applications
from Mexico-domiciled motor carriers
to operate beyond limited commercial
zones along the United States-Mexico
border until certain preconditions and
safety requirements were met. The terms
of section 350 have been reenacted in
each subsequent DOT appropriations
act. Section 350 required FMCSA to
perform a pre-authorization safety audit
(PASA) of any Mexico-domiciled carrier
before that carrier is allowed to engage
in long-haul operations in the United
States. Vehicles the carrier will operate
beyond the commercial zones of the
United States-Mexico border that do not
already have a Commercial Vehicle
Safety Alliance (CVSA) decal would be
required to be inspected, and any
vehicle that did not display a decal
would be required to pass an inspection
at the border port of entry before being
allowed to proceed. DOT was also
directed to give a distinctive
identification number to each Mexicodomiciled carrier that would operate
beyond the border commercial zones to
assist inspectors in enforcing motor
carrier safety regulations. Additionally,
every driver that will operate in the
United States must have a valid
commercial driver’s license issued by
Mexico. Section 350 also required
DOT’s Office of the Inspector General
(OIG) to conduct a comprehensive
review of the adequacy of inspection
capacity, information infrastructure,
enforcement capability and other
specific factors relevant to safe
operations by Mexico-domiciled
carriers, and required the Secretary of
Transportation to address the OIG’s
findings and certify that the opening of
the border poses no safety risk. The OIG
was also directed to conduct similar
reviews at least annually thereafter. A
number of the section 350 requirements
were addressed by FMCSA in
rulemakings published on March 19,
2002 (67 FR 12653, 67 FR 12702, 67 FR
12758, 67 FR 12776) and on May 13,
2002 (67 FR 31978).
Section 136 of the Transportation,
Housing and Urban Development, and
Related Agencies Appropriations Act,
2009 [Division I of the Omnibus
Appropriations Act, 2009, Pub. L., 111–
8, 123 Stat. 524, 932, March 11, 2009]
prohibited DOT from expending funds
made available in that Act to establish,
implement or continue a cross-border
motor carrier pilot program to allow
Mexican-domiciled motor carriers to
operate beyond the border commercial
zones. The Transportation, Housing and
Urban Development, and Related
Agencies Appropriations Act, 2010
[Division A of the Consolidated
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Appropriations Act, 2010, Pub. L. 111–
117, 123 Stat. 3034, December 16, 2009]
did not bar DOT or FMCSA from using
funds on a cross-border long-haul
program, but, pursuant to section 135
(123 Stat. at 3053) did continue the
requirements of section 350. FMCSA
continues to operate under the terms
and conditions in its fiscal year 2010
appropriations act, as extended under
various short-term continuing
resolutions.
Section 6901 of the U.S. Troop
Readiness, Veterans’ Care, Katrina
Recovery, and Iraq Accountability
Appropriations Act, 2007 also provides
that simultaneous and comparable
authority to operate within Mexico must
be made available to U.S. carriers.
Further, before the required pilot
program may begin, the Department’s
OIG must submit a report to Congress
verifying that DOT has complied with
the requirements of section 350(a), and
DOT must take any actions that are
necessary to address issues raised by the
OIG and must detail those actions in a
report to Congress. Section 6901 also
directed the OIG to submit an interim
report to Congress 6 months after the
initiation of a cross-border long-haul
Mexican trucking pilot program and a
final report after the pilot program is
completed. The statute further specified
that the report address the program’s
adequacy as a test of safety. Also as a
precondition to beginning the pilot
program, section 6901 requires that DOT
provide an opportunity for public
comment by publishing in the Federal
Register information on the PASA’s
conducted. DOT must also publish for
comment the standards that will be used
to evaluate the pilot program, as well as
a list of Federal motor carrier safety
laws and regulations, including
commercial driver’s license
requirements, for which the Secretary of
Transportation will accept compliance
with corresponding Mexican law or
regulation as the equivalent to
compliance with the U.S. law or
regulation including an analysis of how
the corresponding United States and
Mexican laws and regulations differ.
Further discussion of relevant U.S. and
Mexican safety laws and regulations is
provided in the section of this notice
entitled ‘‘List of Federal Motor Carrier
Safety Laws and Regulations for Which
FMCSA Will Accept Compliance with a
Corresponding Mexican Law or
Regulation.’’
Background
Before 1982, Mexico- and Canadadomiciled motor carriers could apply to
the Interstate Commerce Commission
(ICC) for authority to operate within the
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United States. As a result of complaints
that U.S. motor carriers were not
allowed the same access to Mexican and
Canadian markets that carriers from
those nations enjoyed in this country,
the Bus Regulatory Reform Act of 1982
imposed a moratorium on the issuance
of new operating authority to motor
carriers domiciled, or owned or
controlled by persons domiciled in
Canada or Mexico. While the
disagreement with Canada was quickly
resolved, the issue of trucking
reciprocity with Mexico was not.
Currently, most Mexican carriers are
allowed to operate only within the
border commercial zones extending up
to 25 miles into the United States. Every
year Mexico-domiciled commercial
motor vehicles (CMVs) cross into the
United States about 4.5 million times.
Mexico granted reciprocal authority to
10 U.S.-domiciled motor carriers to
operate throughout Mexico during the
time of FMCSA’s previous
demonstration project conducted
between September 2007 and March
2009. Four of these motor carriers
continue to operate in Mexico.
Trucking issues at the United StatesMexico border were not fully addressed
until NAFTA was negotiated in the
early 1990s. NAFTA required the
United States to incrementally lift the
moratorium on licensing Mexicodomiciled motor carriers to operate
beyond the commercial zones. On
January 1, 1994, the President modified
the moratorium and the ICC began
accepting applications from Mexicodomiciled passenger carriers to conduct
international charter and tour bus
operations in the United States. On
December 13, 1995, the ICC published a
rule and a revised application form for
the processing of Mexico-domiciled
property carrier applications (Form OP–
1(MX)) (60 FR 63981). The ICC rules
anticipated the implementation of the
second phase of NAFTA, providing
Mexican motor carriers of property with
access to California, Arizona, New
Mexico and Texas, and the third phase,
providing access throughout the United
States. However, at the end of 1995, the
United States announced an indefinite
delay in opening the border to long-haul
Mexican CMVs.
In 1998, Mexico filed a claim against
the United States, claiming that the
United States’ refusal to grant authority
to Mexican trucking companies
constituted a breach of the obligations
in the NAFTA. On February 6, 2001, the
Arbitration Panel issued its final report
and ruled in Mexico’s favor, concluding
that the United States was in breach of
its obligations, and Mexico could
impose tariffs on U.S. exports to Mexico
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20809
up to an amount commensurate with the
loss of business resulting from the lack
of U.S. compliance. The Panel noted
that the United States could establish a
safety oversight regime to ensure the
safety of Mexican carriers entering the
United States, but that the safety
oversight regime could not be
discriminatory and must be justified by
safety data.
After the Administration announced
its intent to resume the process for
opening the border in 2001, Congress
included section 350 in the Department
of Transportation and Related Agencies
Appropriations Act, 2002, as discussed
in the ‘‘Legal Basis’’ section above.
In November 2002, former Secretary
of Transportation Norman Mineta
certified, as required by section
350(c)(2), that authorizing Mexicodomiciled motor carrier operations
beyond the border commercial zones
does not pose an unacceptable safety
risk to the American public. Later that
month, the President modified the
moratorium to permit Mexico-domiciled
motor carriers to provide cross-border
cargo and scheduled passenger
transportation beyond the border
commercial zones. (Memorandum of
November 27, 2002, for the Secretary of
Transportation, ‘‘Determination under
the Interstate Commerce Commission
Termination Act of 1995,’’ 67 FR 71795,
December 2, 2002). The Secretary’s
certification was made in response to
the June 25, 2002, DOT OIG report on
the implementation of safety
requirements at the United StatesMexico border. In a January 2005
follow-up report, the OIG concluded
that FMCSA had sufficient staff,
facilities, equipment, and procedures in
place to substantially meet the eight
section 350 requirements that the OIG
was required to review. The above
reports are available in the docket to
this notice.
Former Secretary of Transportation
Mary E. Peters and Mexico’s former
Secretaria de Comunicaciones y
´
Transportes (SCT) Luis Tellez Kuenzler
announced a demonstration project to
implement certain trucking provisions
of NAFTA on February 23, 2007. The
demonstration project was initiated on
September 6, 2007, after the DOT
complied with a number of conditions
imposed by section 6901 of the U.S.
Troop Readiness, Veterans’ Care,
Katrina Recovery, and Iraq
Accountability Act, 2007, as discussed
further in the ‘‘Legal Basis’’ section
above. The demonstration project was
initially expected to last 1 year (see 72
FR 23883, May 1, 2007). On August 6,
2008, FMCSA announced that the
demonstration project was being
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extended from 1 year to the full 3 years
allowed by section 31315(c)(2)(A) of
title 49 United States Code (73 FR
45796) after Secretaries Peters and
´
Tellez exchanged letters on the
extension.
On March 11, 2009, President Obama
signed into law the Omnibus
Appropriations Act, 2009. Section 136
of the Transportation, Housing and
Urban Development, and Related
Agencies Appropriations Act, 2009
(Division I, title I of the Omnibus
Appropriations Act, 2009) provides that:
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[N]one of the funds appropriated or
otherwise made available under this Act may
be used, directly or indirectly, to establish,
implement, continue, promote, or in any way
permit a cross-border motor carrier pilot
program to allow Mexican-domiciled motor
carriers to operate beyond the commercial
zones along the international border between
the United States and Mexico, including
continuing, in whole or in part, any such
program that was initiated prior to the date
of the enactment of this Act.
(123 Stat. at 932).
In accordance with section 136,
FMCSA terminated the cross-border
demonstration project that began on
September 6, 2007. The Agency ceased
processing applications by prospective
project participants and took other
necessary steps to comply with the
provision. (74 FR 11628, March 18,
2009).
On March 19, 2009, Mexico
announced that it was exercising its
rights under the 2001 NAFTA
Arbitration Panel decision to impose
retaliatory tariffs for the failure to allow
Mexico-domiciled carriers to provide
long-haul service into the United States.
The tariffs affect approximately 90 U.S.
export commodities at an estimated
annual cost of $2.4 billion. The
President directed DOT to work with
the Office of the U.S. Trade
Representative and the Department of
State, along with leaders in Congress
and Mexican officials, to propose
legislation creating a new cross-border
trucking project, to address the
legitimate safety concerns of Congress
while fulfilling our obligations under
NAFTA. Secretary of Transportation
Ray LaHood met with numerous
members of Congress to gather their
input. FMCSA tasked the Motor Carrier
Safety Advisory Committee (MCSAC)
with providing advice and guidance on
essential elements that the Agency
should consider when drafting proposed
legislation to permit Mexico-domiciled
trucks beyond the commercial zones
along the United States-Mexico border.
The MCSAC final report on this tasking
is available on FMCSA’s MCSAC Web
page at https://mcsac.fmcsa.dot.gov/
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18:37 Apr 12, 2011
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Reports.htm. Additionally, DOT formed
a team to draft principles that would
guide the creation of the draft
legislation.
The President signed the DOT Fiscal
Year (FY) 2010 Appropriations Act
December 16, 2009. As mentioned
previously in the ‘‘Legal Basis’’ section,
unlike the previous year’s
appropriations, this Act did not prohibit
the use of fiscal year 2010 funds on a
cross border long-haul program.
However, it continues the requirements
of section 350 and section 6901 of
Public Law 110–28. FMCSA continues
to operate under the terms and
conditions in its FY 2010 appropriations
act, as extended under various shortterm continuing resolutions.
On April 12, 2010, Secretary LaHood
met with Mexico’s former Secretary of
Communications and Transport, Juan
Molinar Horcasitas, and announced a
plan to establish a working group to
consider the next steps in implementing
a cross-border trucking program. On
May 19, 2010, President Obama and
Mexico’s President Felipe Calderon
Hinojosa issued a joint statement
acknowledging that safe, efficient,
secure, and compatible transportation is
a prerequisite for mutual economic
growth. They committed to continue
their countries’ cooperation in system
planning, operational coordination, and
technical cooperation in key modes of
transportation.
On January 6, 2011, Secretary LaHood
shared with Congress and the
Government of Mexico an initial
concept document for a cross-border
long-haul Mexican trucking pilot
program that prioritizes safety, while
satisfying the U.S.’ international
obligations. Also, on the same day, the
Department posted the concept
documents on its Web site for public
viewing. See https://www.dot.gov/affairs/
2011/dot0111.html. The initial concept
document was the starting point for
renewed negotiations with Mexico.
Discussions with the Government of
Mexico commenced on January 18,
2011. The preliminary agreement
between DOT and the Secretariat of
Communications and Transport is
reflected in the program description and
details provided below.
On March 3, 2011, President Obama
met with Mexico’s President Calderon
and announced that there is a clear path
forward to resolving the trucking
between the United States and Mexico.
Pilot Program Description
Duration. As specified in section
31315(c)(2)(A) of title 49, United States
Code, the scheduled life of this pilot
program will not exceed 3 years.
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Staged pilot program. The Mexicodomiciled motor carriers that participate
in this pilot program would proceed
through a series of stages prior to
issuance of a permanent operating
authority. Stage 1 would begin when the
motor carrier is issued a provisional
operating authority. The motor carrier’s
vehicles and drivers would be inspected
each time they enter the United States
for at least 3 months. This initial 3month period may be extended if the
motor carrier does not receive at least
three vehicle inspections. FMCSA
would also conduct an evaluation of the
motor carrier’s performance during
Stage 1. This evaluation is described
more fully later in this notice.
After a minimum of 3 months of
operations in Stage 1, Mexico-domiciled
carriers may be permitted to proceed to
Stage 2 of the pilot program after
FMCSA completes an evaluation of each
carrier’s performance in Stage 1. During
Stage 2, the motor carrier’s vehicles
would be inspected at a rate comparable
to other Mexico-domiciled motor
carriers that cross the United StatesMexico border. The motor carrier’s
safety data would be monitored to
assure the motor carrier is operating in
a safe manner. The motor carrier would
continue to operate under a provisional
operating authority. Within 18 months
after a Mexico-domiciled motor carrier
is issued provisional operating
authority, FMCSA would conduct a
compliance review on the motor carrier.
If the motor carrier obtains a satisfactory
safety rating, has no pending
enforcement or safety improvement
actions, and has operated under its
provisional operating authority for at
least 18 months, the provisional
operating authority will become
permanent, moving the carrier into
Stage 3. If the motor carrier obtains a
less than satisfactory safety rating,
FMCSA would take action as required
by 49 CFR part 385 to suspend and/or
revoke the motor carrier’s operating
authority.
Stage 3 of the pilot program would
begin for each motor carrier upon eceipt
of permanent operating authority. The
motor carrier must continue to operate
in accordance with the Federal Motor
Carrier Safety Regulations (FMCSRs)
and the requirements set forth in this
notice.
Reciprocity with Mexico. Consistent
with section 6901(a)(3) of Public law
110–28, FMCSA will not grant operating
authority to Mexico-domiciled motor
carriers to operate beyond the U.S.
municipalities and commercial zones
along the United States-Mexico border
unless the Government of Mexico
simultaneously permits comparable
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authority to be granted to U.S.domiciled motor carriers to transport
international cargo in Mexico.
Previous Demonstration Program
Participants. A Mexico-domiciled motor
carrier that participated in the 2007–
2009 demonstration project and
operated under provisional operating
authority in that pilot would receive
credit for the amount of time it operated
under authority in calculating the 18
month provisional operating authority
period.
Hazardous Materials and Passenger
Transportation. Consistent with section
6901(d) of Public Law 110–28, operating
authority granted under the pilot
program excludes the transportation of
placardable quantities of hazardous
materials and passengers. Hazardous
materials means any material that has
been designated as hazardous under 49
U.S.C. 5103 and is required to be
placarded under subpart F of 49 CFR
part 172.
Drivers and Vehicles. Mexicodomiciled motor carriers participating
in the pilot program would designate
the vehicles and drivers they wish to
use in the pilot program. All designated
vehicles and drivers must be approved
by FMCSA prior to the participating
motor carrier using the vehicles or
drivers for transportation beyond the
commercial zones along the United
States-Mexico border. The requirements
for FMCSA approval of drivers and
vehicles are described in this notice.
License Checks.—In compliance with
section 350(a)(3), FMCSA will ensure
that at least 50 percent of participating
drivers’ licenses are checked when
crossing the border. This may be
accomplished during Level I, II or III
inspections.
International Cargo. The operating
authority granted under this pilot
program would authorize the motor
carrier to transport international cargo
in the United States. As specified in 49
CFR 365.501(b), Mexico-domiciled
carriers participating in the pilot
program may not provide point-to-point
transportation services, including
express delivery services, within the
United States for goods other than
international cargo. Therefore, a carrier
that would provide point-to-point
transportation services in the United
States would be operating beyond the
scope of its operating authority and
would be in violation of 49 CFR
392.9a(a). Additionally, participating
motor carriers must comply with
regulations prohibiting the
transportation of domestic cargo
(cabotage) including, but not limited to,
19 CFR 123.14 (U.S. Customs and
Border Protection regulations
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concerning entry of foreign-based
trucks, buses, and taxicabs in
international traffic) and 8 CFR
214.2(b)(4)(i)(E)(1) (U.S. Department of
Homeland Security (DHS) regulations
concerning cabotage. (See further
discussion below under the section
entitled ‘‘Point-to-Point Transportation
Prohibited.’’).
Security Screening. FMCSA would
submit information on the applicant
motor carriers and their drivers
designated for long-haul operations in
the pilot program to DHS for security
screening. Motor carriers and/or drivers
that fail DHS’s security screening would
not be eligible for participation in the
pilot program. Reasons a motor carrier
or driver may not pass DHS security
screening may include: Providing false
or incomplete information; conviction
of any criminal offense or pending
criminal charges or outstanding
warrants; violation of any customs,
immigration or agriculture regulations
or laws; the carrier or driver is the
subject of an ongoing investigation by
any Federal, State or local law
enforcement agency; the motor carrier or
driver is inadmissible to the United
States under immigration regulations,
including applicants with approved
waivers of inadmissibility or parole
documentation; DHS is not satisfied
concerning the motor carrier’s or
driver’s low-risk status; DHS cannot
determine an applicant’s criminal,
residence or employment history; or the
motor carrier or driver is subject to
National Security Entry Exit
Registration System or other special
registration programs.
Liability Insurance. Mexico-domiciled
motor carriers participating in the pilot
program must maintain a certificate of
insurance or surety bond on file with
FMCSA, as prescribed in 49 CFR
387.313, throughout the pilot program.
The insurance or surety bond must be
underwritten by a U.S. insurance or
surety bond company.
Commercial Vehicle Safety Alliance
Safety (CVSA) Decal. The motor carrier
must maintain a valid CVSA decal on
each vehicle it enrolls in this pilot
program in accordance with 49 CFR
365.511.
Emission Control Label. Any vehicle
with a diesel engine to be used by a
motor carrier in this pilot program must
have an emission control label as
described in 40 CFR 86.007–35 that
indicates the engine conforms to the
U.S. Environmental Protection Agency
(EPA) regulations applicable to 1998 or
later. Alternatively, the motor carrier
may present documentation from the
engine manufacturer indicating the
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engine conforms to the EPA regulations
applicable to 1998 or later.
Federal Motor Vehicle Safety
Standard (FMVSS). Any vehicle used by
a motor carrier in this pilot program
must display a FMVSS certification
label or Canadian Motor Vehicle Safety
Standard (CMVSS) certification label
affixed by the original vehicle
manufacturer at the time the vehicle
was built. Alternatively, a motor carrier
may use a vehicle manufactured for use
in Mexico that does not possess an
FMVSS or CMVSS label, if the vehicle
is of model year 1996 or newer and it
is equipped with all the safety
equipment and features required by the
FMVSSs in effect on the date of
manufacture, such as automatic slack
adjusters and antilock braking systems
(ABS) if applicable. Information
available to FMCSA from the Truck
Manufacturers Association (TMA)
indicates that most trucks manufactured
in Mexico since 1993 were built to the
FMVSSs, even if they were not
specifically certified as such. (70 FR
50273) A copy of TMA’s letter that
provided this information is available in
the docket for this notice.
Electronic Monitoring Device. FMCSA
would equip each vehicle approved for
use by Mexico-domiciled motor carriers
in this pilot program with an electronic
monitoring device such as a global
positioning system and/or electronic on
board recording device. As part of
participating in this pilot program, the
device must be operational on the
vehicle throughout the duration of the
pilot program.
General Qualifications of Drivers. A
driver may not participate in this pilot
program unless the driver can read and
speak the English language sufficiently
to understand highway traffic signs and
signals in the English language, to
respond to official inquiries, and to
make entries on reports and records
required by FMCSA.
Environmental Review. FMCSA will
prepare an Environmental Assessment
(EA) for this pilot program prior to its
commencement and seek comments on
the draft EA in accordance with the
National Environmental Policy Act, as
amended (42 U.S.C. 4321 et seq.).
Measures To Protect the Health and
Safety of the Public. The FMCSA has
developed an extensive oversight
system to protect the health and safety
of the public and FMCSA will apply it
to Mexico-domiciled motor carriers.
These measures are outlined in 49 CFR
parts 350–396 and include providing
grants to States for commercial vehicle
enforcement activities, regulations
outlining the application procedures,
regulations explaining how FMCSA will
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assess safety ratings and civil penalties
as well as amounts of possible civil
penalties, insurance requirements, drug
and alcohol testing requirements,
commercial driver’s license (CDL)
requirements, general operating
requirements, driver qualification
requirements, vehicle parts and
maintenance requirements, and hoursof-service requirements. These
requirements apply to Mexicodomiciled carriers operating in this pilot
program, just as they do to any
commercial motor vehicle, driver, or
carrier operating in the United States.
The description below focuses on the
main features of FMCSA’s system to
protect the health and safety of the
public that are unique to this pilot
program, but is not intended to imply
that all regulations outlined above do
not apply at all times.
Other Federal and State Laws and
Regulations. Mexico-domiciled motor
carriers participating in the pilot
program are required to comply with all
applicable Federal and State laws and
regulations including, but not limited
to, vehicle size and weight,
environmental, tax, and vehicle
registration requirements.
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Process for Applying for OP–1(MX)
Operating Authority
The process for applying for
participation in the pilot program begins
with a 28-page application that gathers
specific information about the carrier,
its affiliations, its insurance, its safety
programs, and its compliance with U.S.
laws. In addition to providing general
information, the carrier must complete
up to 35 safety and compliance
certifications and provide information
regarding its systems for monitoring
hours of service and crashes and
complying with DOT drug and alcohol
testing requirements.
To participate in the pilot program, a
Mexico-domiciled motor carrier must,
pursuant to existing regulations, submit
(1) Form OP–1(MX), ‘‘Application to
Register Mexican Carriers for Motor
Carrier Authority to Operate Beyond
U.S. Municipalities and Commercial
Zones on the U.S.-Mexico Border’’; (2)
Form MCS–150, the ‘‘Motor Carrier
Identification Report’’; and (3)
notification of the means used to
designate agents for service of legal
process, either by submitting Form
BOC–3, ‘‘Designation of Agents—Motor
Carriers, Brokers and Freight
Forwarders,’’ or a letter stating that the
applicant will use a process agent
service that will submit Form BOC–3
electronically. The forms are available
on the Internet at https://
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www.fmcsa.dot.gov/forms/print/r-lforms.htm.
FMCSA would compare the
information and certifications provided
in the application with information
maintained in databases of the
governments of Mexico and the United
States. The appropriate fee must be
submitted, as applicable.
FMCSA developed special rules that
govern Mexico-domiciled motor carriers
during the application process and for
several years after receiving OP–1(MX)
operating authority. They are codified in
49 CFR 365.501 through 365.511. These
rules impose requirements on Mexicodomiciled motor carriers in addition to
those imposed on U.S.-domiciled motor
carriers seeking operating authority.
Pre-Authorization Safety Audit
A Mexico-domiciled carrier must
satisfactorily complete the FMCSAadministered PASA required under
FMCSA regulations before it is granted
provisional authority to operate in the
United States beyond the border
commercial zones. The PASA is a
review of the carrier’s safety
management systems including written
procedures and records to validate the
accuracy of the information and
certifications provided in the
application. The PASA will determine
whether the carrier has established and
exercises the basic safety management
controls necessary to ensure safe
operations. The carrier would not be
granted provisional operating authority
if FMCSA determines that its safety
management controls are inadequate,
using the standards in Appendix A to
subpart E of 49 CFR part 365. Vehicles
designated for cross-border long-haul
operations within the United States
would be inspected; if the vehicle
passes the inspection, a CVSA decal
would be affixed by the inspector.
Each PASA would be conducted in
accordance with 49 CFR part 365. The
carrier would be denied provisional
operating authority if FMCSA cannot:
1. Verify available performance data
and safety management programs.
2. Verify the existence of a controlled
substances and alcohol testing program
consistent with 49 CFR part 40. FMCSA
would ensure that the carrier has
information on collection sites and
laboratories it intends to use.
3. Verify a system of compliance with
hours-of-service rules in 49 CFR part
395, including recordkeeping and
retention.
4. Verify the carrier has the ability to
obtain financial responsibility as
required by 49 CFR part 387, including
the ability to obtain insurance in the
United States.
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5. Verify records of periodic vehicle
inspections, as required by 49 CFR part
396.
6. Verify that each driver the carrier
intends to assign to operate under the
pilot program meets the requirements of
49 CFR parts 383 and 391. This would
include confirmation of the validity of
each driver’s Licencia Federal de
Conductor (LF) through the Mexican
driver license information system and a
check of the Mexican State licensing
records and the Commercial Driver’s
License Information System (CDLIS) for
violations, suspensions, etc.
7. Review of available data concerning
safety history and other information
necessary to determine familiarity with
and preparedness to comply with the
FMCSRs and Federal Hazardous
Materials Regulations that apply to the
transportation of non-placardable
hazardous materials.
8. Evaluate safety inspection,
maintenance, and repair facilities or
management systems, including
verification of records of periodic
vehicle inspections.
9. Inspect each vehicle the carrier
intends to operate under the pilot
program unless the vehicle has received
and displays a current CVSA decal.
10. Interview carrier officials to
review safety management controls and
evaluate any written safety oversight
policies and practices.
11. Obtain any other information
required by the FMCSA to complete the
PASA.
Applicant carriers would designate
and identify drivers and vehicles that
will perform cross-border long-haul
operations in the pilot program.1
FMCSA would verify driver
qualifications, including confirming the
validity of the driver’s LF and review
any Federal and State driver license
history for traffic violations that would
disqualify the driver for operations in
the United States. FMCSA would also
conduct an English Language
Proficiency assessment of each
participating driver to ensure
compliance with 49 CFR 391.11(b)(2).
The assessment would be conducted
orally, in English, and would include a
test on knowledge of U.S. traffic signs.
At the time of the PASA, FMCSA will
inspect participating vehicles to
determine whether they:
a. Comply with the FMVSSs; and
1 Carriers’ selection of specific vehicles to
participate is limited to the new program only.
Once the new program ends, carriers will not have
the option of selecting specific vehicles. Instead, all
vehicles that may enter the United States for
carriers with OP–1 authority will be required to
comply with all FMCSRs.
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b. Display an EPA emission control
label indicating the engine conforms to
the EPA regulations applicable to 1998
or later. Alternatively, the Mexicodomiciled motor carrier can present
documents from the engine
manufacturer indicating the engine
conforms to the EPA regulations
applicable to 1998 or later.
FMCSA will also obtain the following
information but will not consider the
information in its evaluation of the
motor carrier for entry into the program:
a. Whether environmental posttreatment equipment or other emissionsrelated equipment has been installed on
any vehicle designated for participating
in the pilot program; and
b. The primary ports of entry the
applicant Mexico-domiciled motor
carrier intends to use. (There is no
restriction on which ports of entry the
carrier may use during the program.
This information would be used to
allocate FMCSA resources.)
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Issuance of Operating Authority
If a carrier successfully completes the
PASA and FMCSA approves its
application, the Agency will publish a
summary of the application as a
provisional grant of authority in the
FMCSA Register, at https://lipublic.fmcsa.dot.gov/LIVIEW/
pkg_html.prc_limain. In addition,
FMCSA will publish comprehensive
data and information on the PASAs
conducted of Mexico-domiciled motor
carriers that are granted authority to
operate beyond the commercial zones
on the U.S. Mexico border. However, no
carrier would be authorized to conduct
any cross-border long-haul
transportation until it has made the
insurance filings required by 49 CFR
365.507(e)(1) and designated a process
agent as required by 49 CFR
365.503(a)(3). Additionally, no Mexicodomiciled motor carrier will be
authorized to operate beyond the
commercial zones of the United StatesMexico border until this notice-andcomment procedure is completed.
Upon granting provisional operating
authority, FMCSA will assign a unique
USDOT Number, including an ‘‘X’’
suffix, which identifies the CMVs
authorized to operate beyond the
municipalities and commercial zones on
the United States-Mexico border.
Termination of the Pilot Program
The pilot program would operate for
up to 3 years from the date FMCSA
grants the first provisional certificate,
unless the Agency collects sufficient
data to draw statistically valid
conclusions before 3 years elapse or if
it is determined the continuation of the
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pilot program would not be consistent
with the goals and objectives of the
pilot, in which case the pilot may be
terminated earlier.
Provisional or permanent operating
authority may be suspended or revoked
at any time during the pilot program if
FMCSA determines that the carrier has
failed to comply with the terms and
conditions of the pilot program or if the
carrier’s safety performance does not
meet the standards established in 49
CFR part 385. Operating authority may
also be suspended or revoked if the
motor carrier is found to have
transported passengers or placardable
quantities of hazardous materials in the
United States, or is operating beyond
the scope of its operating authority.
Operating in the United States Under
OP–1(MX) Provisional Operating
Authority
Mexico-domiciled motor carriers with
provisional operating authority are
subject to the enhanced safety
monitoring program of 49 CFR part 385,
subpart B, and would be monitored on
an on-going basis. Carriers committing
any violations specified in 49 CFR
385.105(a) and identified through
roadside inspections, or other means,
may be subject to a compliance review,
required to submit documentation of
corrective action, and/or subject to
enforcement action.
Permanent Operating Authority
Mexico-domiciled carriers that
receive a satisfactory rating after a
compliance review, complete at least 18
months of operation, and have no
pending enforcement or safety
improvement actions, are eligible for
permanent authority in the pilot
program. To maintain permanent
authority, carriers must comply with all
FMCSRs and continue to renew the
CVSA safety decal every 90 days for 3
years. During the duration of the pilot
program, carriers must update driver
and vehicle records with FMCSA. Any
additional vehicles or drivers the motor
carrier wishes to include in the pilot
program must be approved by FMCSA
before the carrier may use the driver or
vehicle for long-haul transportation.
Mexico-domiciled carriers that
participate are eligible to convert their
permanent authority granted during the
pilot program to standard permanent
authority, similar to U.S.-domiciled
carriers, upon the completion of the
pilot program. FMCSA intends this to be
an administrative process that would
occur once the pilot program ends.
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20813
Point-to-Point Transportation
Prohibited
Mexico-domiciled motor carriers are
also subject to DHS and DOT cabotage
requirements and are prohibited from
providing domestic point-to-point
transportation while operating in the
United States. Vehicles and drivers
violating the prohibition on domestic
point-to-point transportation will be
placed out of service under the DOT
regulations and may be subject to civil
penalties. DHS may also prohibit the
driver from entering the United States in
the future. FMCSA, in coordination
with the International Association of
Chiefs of Police (IACP), developed and
is providing training to State and local
law enforcement agencies on the
cabotage requirements.
Monitoring, Oversight and Enforcement
FMCSA would monitor the
operational safety of all Mexicodomiciled motor carriers participating
in the pilot program. To accomplish
this, FMCSA would work closely with
State CMV safety agencies, the lead
Motor Carrier Safety Assistance Program
agencies, IACP, CVSA, DHS, and others.
Field monitoring would include
inspections of vehicles, verification of
compliance with the terms of the motor
carrier’s operating authority, driver
license checks, crash reporting, and
initiation of enforcement actions, when
appropriate.
Monitoring and oversight of carriers
and drivers participating in the pilot
program would vary depending on the
experience and safety record of the
carrier. Stage 1 of the program would
require the motor carrier’s participating
trucks and drivers to be inspected every
time a vehicle crosses the border
northbound. Stage 1 vehicles must
display current CVSA decals.
Carriers would progress to Stage 2
only after FMCSA evaluates the
performance of the carrier during Stage
1. A carrier will be permitted to progress
to Stage 2 in the pilot program if
FMCSA determines that the carrier has
out-of-service rates that are at or below
the U.S. national averages and its Safety
Management System (SMS) scores for
trucks operating in the pilot program are
below the FMCSA threshold levels.
Once a motor carrier is in Stage 2,
inspections at the border crossings
would be at a rate similar to that of
other Mexico-domiciled motor carriers
that cross the United States-Mexico
border. Stage 2 vehicles still must
display current CVSA decals.
After the motor carrier successfully
completes a compliance review and
receives a satisfactory rating within 18
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months of beginning cross-border longhaul operations, and completes 18
months of operation with provisional
operating authority, the motor carrier
would be granted permanent authority.
The vehicles and drivers would be
inspected at the border crossings at the
same rate as commercial zone carriers.
CMVs operating in the United States
must display current CVSA decals for 3
years from the date the carrier is granted
permanent operating authority.
All participating long-haul vehicles
must have a FMCSA-issued electronic
monitoring device installed and
activated at all times. These devices
would allow FMCSA to monitor
compliance with pilot program
requirements, including hours of service
requirements and domestic point-topoint transportation prohibitions.
Monitoring would also include
electronic data collection and analysis.
Data collected as a result of field
monitoring and other activities would
be entered into FMCSA databases and
made available for public review on
FMCSA’s Web site. The data would be
tracked and analyzed to identify
potential compliance and safety issues.
Appropriate action would be taken to
resolve identified compliance and safety
issues. This could include suspension,
revocation of operating authority, or the
initiation of other enforcement action
against a motor carrier or driver.
FMCSA will conduct ongoing
monitoring to determine if the pilot
program is having adverse effects on
motor carrier safety.
Enforcement is a key component of
the monitoring and oversight effort.
FMCSA is providing ongoing training
and guidance to Federal and State
auditors, inspectors and investigators to
ensure the adequacy of their knowledge
and understanding of the pilot program
and the procedures for taking
enforcement actions against carriers or
drivers participating in the pilot.
To ensure carrier compliance with
operating authority limitations,
including the prohibition of domestic
point-to-point transportation of cargo in
the United States, FMCSA and IACP
developed and implemented a training
program that provides State and local
officials detailed information on
cabotage regulations and enforcement
procedures.
FMCSA would require roadside
enforcement officers to follow DHS
guidance concerning the enforcement of
DHS cabotage regulations. This material
is incorporated into the CVSA North
American Standard Inspection Course
and previously provided to roadside
enforcement officers.
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FMCSA will also monitor the
insurance filings of participating
carriers to ensure that there are no
lapses in coverage.
List of Federal Motor Carrier Safety
Laws and Regulations for Which
FMCSA Will Accept Compliance With a
Corresponding Mexican Law or
Regulation
The Secretary of Transportation will
accept only three areas of Mexican
regulations as being equivalent to U.S.
regulations. The first area is the set of
regulations governing Mexican
Commercial Driver’s Licenses (CDL).
The United States’ acceptance of a
Mexican LF dates back to November 21,
1991, when the Federal Highway
Administrator determined that the
Mexican CDLs are equivalent to the
standards of the U.S. regulations and
entered into a Memorandum of
Understanding (MOU) with Mexico.
FMCSA is in the process of updating
this MOU.2 As part of this process, on
February 17, 2011, representatives from
FMCSA, CVSA and the American
Association of Motor Vehicle
Administrators visited a Mexican driver
license facility, medical qualification
facility, and test and inspection
location. During these site visits FMCSA
and its partner organizations observed
Mexico to have rigorous requirements
for knowledge and skills testing that are
similar to those in the United States. In
addition, Mexico requires that all new
commercial drivers undergo training
prior to testing and requires additional
retraining each time the license is
renewed. In contrast, U.S. regulations
do not currently require any specific
training prior to testing for, or renewal
of, a U.S. CDL.
Mexico will disqualify a driver’s LF
for safety infractions or testing positive
for the use of drugs. Because Mexico’s
disqualification standards are not
identical to U.S. standards, FMCSA has
developed a system to monitor the
performance of Mexico-licensed drivers
while operating in the United States and
to disqualify these drivers if they incur
violations that would result in a U.S.
driver’s license being suspended. In
addition, the United States has access to
traffic violation data for violations that
occur in Mexico and are associated with
the Mexican LF. Finally, FMCSA would
require that any driver designated by a
Mexico-domiciled carrier for long-haul
transportation provide the United States
with a copy of the driving record for any
Mexican State driver’s license he or she
may also hold. FMCSA would combine
2 FMCSA notes it is also updating a similar MOU
with Canada.
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any violations from the driver’s record
in the United States, the driver’s
Mexican federal record, and the driver’s
Mexican State record to determine if the
driver would be disqualified from
driving under the standards set forth in
49 CFR 383.51. Therefore, FMCSA is not
relying solely on Mexico’s
disqualification standards, but is
imposing its own standards in addition
to any disqualifications that may be
taken by the Mexican government.
Second, the Secretary of
Transportation will also consider that
physical examinations conducted by
Mexican doctors and drug testing
specimens collected by Mexican
medical collection facilities are
equivalent to the process for
examinations conducted, and test
specimens collected, in the United
States. In Mexico, in order to obtain the
LF a driver must meet the requirements
established by the Ley de Caminos,
Puentes y Autotransporte Federal
(LCPAF or Roads, Bridges and Federal
Motor Carrier Transportation Act)
Article 36, and Reglamento de
Autotransporte Federal y Servicios
Auxiliares (RAFSA, or Federal Motor
Carrier Transportation Act) Article 89,
which states that a Mexican driver must
pass the medical examination required
by Mexico’s Transport and
Communications Ministry (SCT),
Directorship General of Protection and
Prevention Medicine in Transportation
(DGPMPT). This is the same medical
exam performed on applicants in all
modes of transportation (airline pilots,
merchant mariners, and locomotive
operators). The medical examination
may be completed by government
doctors or certified private physicians.
FMCSA examined the Mexican
medical fitness for duty requirements
and has found that the Mexican
physical qualification regulations are
more prescriptive, detailed, and stricter
than those in the United States. For
example, Mexican regulations address
body mass index, cancers and tumors,
skin and appendages, psychiatric and
psychological disorders, and have
specific standards for evaluation of the
ear, nose and throat and the
genitourinary system. These are all areas
for which the United States has no
regulatory standards. The only notable
difference involves vision. Mexico only
requires red color vision while the
United States requires a color vision test
for at least red, green, and yellow.
FMCSA believes that, taken as a whole,
Mexico’s medical regulations are
comparable to those in the United
States, and provide a level of safety at
least equivalent to the U.S. regulations.
FMCSA also notes that Mexico’s
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medical examinations are performed
almost exclusively by physicians at
Mexican government facilities, and
when performed by private doctors,
those doctors are specifically approved
by the SCT.
Third, controlled substances testing in
Mexico is conducted by personnel from
SCT. DOT and SCT have implemented
a MOU, under which Mexico has agreed
to collect drug testing specimens using
U.S. specimen collection procedures,
including chain of custody
requirements, and U.S. collection forms
to ensure the integrity of the sample.
DOT has translated its drug testing
collection forms into Spanish as part of
this MOU. Although most Mexican
carriers that participated in the previous
pilot program sent its drivers to U.S.
collection facilities, the Secretary of
Transportation would accept a drug test
using a specimen collected in Mexico
using our forms and procedures.
20815
Samples collected in Mexico would be
tested at laboratories located in the
United States that are certified by the
Department of Health and Human
Services under its National Laboratory
Certification Program.
Table 1 below outlines the specific
U.S. and Mexican regulations in the
three areas where the Mexican
regulations or processes are being
accepted as meeting U.S. requirements.
TABLE 1
Description
United States
Mexico
Drug and Alcohol Testing Procedures—Random Testing..
• 49 CFR part 382 ..........................................
Drug and Alcohol Testing Procedures—Collection of Samples.
• 49 CFR part 40 ............................................
• Reglamento del Servicio de Medicina
Preventiva del Transporte.
• Requires random drug testing by motor carrier at a 50 percent rate.
• Government conducts random drug testing
at terminals, ports of entry, and specific
areas along corridors.
• Reglamento del Servicio de Medicina
Preventiva del Transporte.
• DGPMPT–IT–02–01; DGPMPT–PE–02–F–
01.
• DGPMPT–PE–02.
• DGPMPT–IT–02–01 thru 08.
• Collection procedures have been ISO certified.
• The United States and Mexico have a
Memorandum of Understanding that Mexico
will, when collecting samples to satisfy U.S.
drug testing regulations, use U.S. collection
procedures and forms. These forms have
been translated into Spanish and provided
to Mexico.
• Reglamento del Servicio de Medicina
Preventiva del Transporte.
• DGPMPT–PE–01–IE–01.
• Regulations and procedures are equivalent
to U.S. standards.
• Laboratory is not certified due to lack of
proper equipment and other procedural requirements.
• Ley de Caminos, Puentes y Autotransporte
Federal.
• Articlos 89 y 90, Reglamento de
Autotransportes
Federal
y
Servicio
Auxilares.
• Driver must provide proof of medical qualification, proof of address, and training (both
skills and knowledge).
• Must be renewed every 5 years (every 3
years for hazardous material category).
• Articulo 36, 37, y 57 Ley de Caminos,
Puentes y Autotransporte Federal.
• Articlos 89 y 90, Reglamento de
Autotransportes
Federal
y
Servicio
Auxilares.
• Programa Minimo de Capacitacion para
Conductores
del
Servicios
de
Autotransporte
Federal
y
Transporte
Privado, Para Referendo de Carga General
(Tractorcamion Quinta Rueda y Camion
Utitario).
• Collection procedures outlined and detailed
description of the custody.
Drug and Alcohol Testing Procedures—Laboratory Testing.
• 49 CFR part 40 ............................................
• Laboratories approved by the U.S. Department of Health and Human Services.
Commercial Driver’s License—Issuance ............
• 49 CFR part 383 ..........................................
• Outlines the knowledge, skills and testing
procedures required to obtain a commercial
driver’s license.
Commercial Driver’s License— Training ............
• 49 CFR part 380 ..........................................
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• Outlines special training requirements for
longer combination vehicle drivers on basic
operation, safe operating practices, advanced operations and non-driving activities
training and an orientation.
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TABLE 1—Continued
Description
United States
• Outlines special training requirements for
entry level drivers on driver qualifications,
hours of service, driver wellness, and whistleblower protection training.
Commercial Driver’s License—Disqualifications
Mexico
• Outlines 41 hours of training requirements
(theory) for new drivers transporting general
cargo on General Introduction to Driving,
Road Safety Education, Defensive Driving,
Vehicle Operations, Preventive Maintenance and Emergency Repair, Latest Regulations, plus 100 hours of practical driving
(behind the wheel), Practical Defensive
driving (8 hours) and practical emergency
repair (6 hours).
• Outlines 58 (theory and practical) hours of
continued training for returning drivers
transporting general cargo on General Introduction, Health and Safety, Road Safety
Education, Human Relations, Family and
Lifestyle, Latest Rules and Technological
Advances.
• Outlines 16 hours of continuing education
for drivers with a licencia federal de conductor.
• Ley de Caminos, Puentes y Autotransporte
Federal.
• Reglamento del Servicio de Medicina
Preventiva del Transporte.
• Provides for the disqualification of drivers
for major and serious traffic violations.
• License can be canceled by a judge.
• License can be canceled for three speeding
violations in a one year period.
• License can be canceled for leaving the
scene of an accident without notifying the
closest authority or abandoning the vehicle.
• License can be canceled for altering the license.
• License can be canceled for failing a drug
test.
• License cannot be obtained after failing a
drug test without proof of success
completion of a rehabilitation program.
• License can be suspended for failing to provide accurate information on application.
• Cancellation is valid for 10 years—cannot
obtain a license for 10 years.
• Reglamento del Servicio de Medicina
Preventiva del Transporte.
• Requires a comprehensive physical and
psychological examination.
• Medical examination is a pre-requisite to
obtaining an LF.
• Medical examination may be required while
the driver is ‘‘in operation’’ (on duty) to determine if the driver is still qualified to drive.
• 49 CFR part 383 ..........................................
• Outlines CDL disqualifications for major and
serious traffic violations.
Medical Standards ..............................................
• 49 CFR part 391 ..........................................
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• US—Requires a comprehensive physical
and psychological examination.
• Medical examination is currently separate
from the CDL issuance process.
Information and Reporting
FMCSA is committed to transparency
during this pilot program. As a result,
the Agency would be maintaining data
on the pilot program on its Web site at
https://www.fmcsa.dot.gov. FMCSA
would use this site to post current
information about the pilot program
including, but not limited to, PASAs,
the carriers participating, the vehicles
approved for cross-border long-haul
transportation, the results of roadside
inspections for each carrier, and the
number of trips into the United States
beyond the commercial zones and the
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States traveled by program participants.
FMCSA would also publish in the
Federal Register comprehensive data
and information on PASAs conducted
on Mexico-domiciled carriers that are
granted authority to operate beyond the
border commercial zones.
The Department and Mexico’s SCT
would establish a monitoring group to
supervise the implementation of the
pilot program and to find solutions to
issues affecting the operational
performance of the pilot. The group
would generally convene monthly in
person, by video conference or by
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telephone. This group, composed of
DOT and SCT employees, would
discuss any issues that arise for carriers
of either country, as they participate in
the pilot program, and recommend
changes as needed.
FMCSA is also establishing an
oversight and monitoring mechanism by
utilizing a Federal advisory committee.
This committee would be made up of
stakeholders and will be a
subcommittee of the MCSAC. The
monitoring group’s objective is to
review the implementation of the pilot
program and recommend solutions to
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issues affecting the operational
performance of the pilot program.
The Department would be providing
reports to Congress regarding this pilot
program on an annual basis. These
reports will be posted on FMCSA’s Web
site. Additionally, at the conclusion of
the pilot program the Department would
report to Congress the findings,
conclusions, and recommendations of
the program.
Additionally, the Department’s OIG
will be completing reviews of the pilot
program within 6 months of its start and
within 6 months of its completion.
These reports would be posted on the
Web site.
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Program Evaluation
The objective of the pilot program is
to collect and evaluate data on the safety
performance of Mexico-domiciled
carriers interested in and qualified to
take advantage of the cross-border longhaul provisions of NAFTA. This study
is to be completed to satisfy the
requirement in the Agency’s pilot
program authority that requires ‘‘[a]
specific data collection and safety
analysis plan that identifies a method of
comparison.’’ (49 U.S.C. 31315(c)(2)(B)).
Safety performance would be measured
primarily in terms of violations assessed
at the roadside, as a result of inspections
conducted at traditional weigh stations,
ports of entry, or during traffic
enforcement activities. From these data,
violation rates would be calculated for
participating carriers, measuring the
percentage of inspections having a
particular type of violation. These
violations rates include overall vehicle
and driver out-of-service rates, as well
as other violation rates pertaining to
specific requirements of the FMCSRs.
Many of these violation rates would
capture information currently captured
in the Agency’s Compliance, Safety,
Accountability program metrics.
Using the performance metrics
described above, and up to 3 years of
data collected during the pilot program,
statistical tests would be performed to
compare the safety performance of the
Mexico-domiciled carriers participating
in the pilot program with the overall
performance of carriers domiciled in the
United States. Specifically, using
commonly accepted statistical practices
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for each metric, the Agency would test
the ‘‘null hypothesis’’ that Mexicodomiciled carriers that may take future
advantage of NAFTA’s cross-border
long-haul provisions will perform as
well or better than the average carrier
domiciled in the United States. Based
on the data during the pilot program,
FMCSA will either reject this null
hypothesis (i.e., conclude that the
Mexico-domiciled carriers interested in
and qualified to receive long-haul
operating authority in the United States
will perform worse than the average
U.S.-domiciled carrier), or will conclude
that the data collected do not allow one
to reject this null hypothesis.
The degree to which differences in
safety performance can be detected
between the two populations depends,
in part, on the total number of
inspections performed on the carriers
participating in the pilot program. The
Agency seeks to detect statistically
significant differences in the violation
rates between the two populations when
such differences are two percentage
points in magnitude or greater, at a level
of 90 percent confidence (see discussion
below under the section heading ‘‘Target
Number of Inspections’’). Differences
less than two percentage points in
magnitude between the two populations
would not be considered meaningful by
the Agency.
Target Number of Inspections
A sample size of 4,100 roadside
inspections performed on pilot program
participants will allow the Agency to
detect differences in violation rates of
two percentage points or greater at the
90% level of confidence. This
confidence level can be interpreted as
follows: for each metric being
compared, there is a less than or equal
to 10% chance of concluding from the
study that there is at least a two
percentage point difference in the
violation rates between the two
populations when, in fact, there is not;
or not concluding from the study that
there is at least a two percentage point
difference when, in fact, there is. We
also note that a 90% confidence level is
a commonly used level of confidence for
statistical studies.
This sample size of 4,100 inspections
will allow the Agency to detect two
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20817
percentage point differences in any
violation rate. For many metrics,
however, fewer inspections will be
required to achieve the same level of
statistical power. This stems from the
fact that for a violation rate, which is a
proportion, the precision of the sample
estimate depends on the value of the
violation rate itself. Violation rates
calculated from the study that are at or
close to 50% will have the lowest level
of precision, and rates that are larger or
smaller than 50% will have higher
levels of precision. For example, the
average vehicle out-of-service rate for
U.S. carriers is approximately 20%. As
a result, a two percentage point
difference in the vehicle out-of-service
rates between the two populations can
be detected with a sample size of
approximately 2,800 inspections. This
same sample size of 2,800 inspections
will also allow the Agency to detect a
two percentage point difference in the
driver out-of-service rates (which is
currently approximately 5% for U.S.
carriers).
Target Number of Carriers
FMCSA anticipates that carriers
participating in the pilot program will
perform, on average, one long-haul
border crossing per week per truck, and
will have, on average, two trucks
participating in the pilot program. Based
on these characteristics, and an assumed
attrition rate of 25% after 18 months of
participation in the pilot program, the
Agency calculates that a total of 46
carriers participating in the program
will be sufficient to achieve a target of
4,100 inspections within 3 years. A total
of 31 participating carriers will be
sufficient for achieving a target of 2,800
inspections. However, if participating
carriers have fewer average crossings
per week or fewer vehicles enrolled in
the pilot program, more carriers would
be needed to achieve the desired target
level of inspections. Conversely, if
participating carriers have more
crossings per week, or more vehicles
enrolled, fewer carriers would be
needed. Table 2 below provides
estimates for the number of carriers
needed to participate in the pilot, in
order to achieve an inspection target of
4,100 inspections within 3 years:
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Federal Register / Vol. 76, No. 71 / Wednesday, April 13, 2011 / Notices
TABLE 2—NUMBER OF PILOT PROGRAM CARRIERS REQUIRED TO ACHIEVE A TARGET OF 4,100 INSPECTIONS, BY
VEHICLES ENROLLED PER CARRIER AND CROSSINGS PER WEEK PER CARRIER
Average number of carrier
crossings per week
Average Number Enrolled Vehicles
0.5
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1
2
3
4
5
...............................................................................................................................................................................
...............................................................................................................................................................................
...............................................................................................................................................................................
...............................................................................................................................................................................
...............................................................................................................................................................................
The Agency recognizes that the
stipulated number of carriers needed for
this analysis is lower than the target
sample size originally cited for the
previous demonstration project. A lower
number of carriers will be needed in
this program for two reasons. First, the
target sample size stipulated for the
earlier demonstration project was based
on an effort to estimate differences in
crash rates between U.S. carriers and
program participants. Sample size
requirements for estimating differences
in crash rates are difficult to determine
because the exposure (i.e., vehicle miles
traveled) for the program participants,
as well as the variability in this
exposure, is unknown. Moreover,
crashes are, in fact, rare events, and it
is not likely that many, if any, will be
recorded during this current effort. For
these reasons, the current study focuses
on measuring safety performance
primarily in terms of violation rates.
When estimating violation rates, the
sampling unit is an inspection, rather
than a carrier. The number of required
carriers stipulated herein is merely an
estimate of the number of carriers
needed to achieve the target level of
inspections.
It is also noted that this pilot program
would run for up to 3 years, rather than
the one and a half year duration of the
demonstration project. As a result, it is
anticipated that there may be more data
collected from the participating carriers.
The Agency does not know how many
Mexico-domiciled carriers are interested
in taking advantage of the cross-border
long-haul provisions of NAFTA and
capable of satisfactorily completing a
PASA and security screening. Currently,
there are approximately 6,900 Mexican
carriers operating strictly within the
border commercial zones as well as
approximately 1,000 U.S.-wned
‘‘certificate’’ carriers domiciled in
Mexico and having limited operating
authority in the United States. Although
it is conceivable that a large number of
these carriers would be interested in
taking advantage of the NAFTA cross
border provisions, and qualified to do
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so, based on experience to date, such a
level of participation is not anticipated.
In the 2007 demonstration project, for
example, there were 775 initial
applicants, of which only 29, or 4%,
completed all of the required paperwork
and passed the required vetting process.
Based on this data, one might set an
upper limit on the total number of
Mexico-domiciled carriers both capable
of and interested in taking advantage of
the NAFTA cross-border long-haul
provision at 316 carriers (.04 × 7,900).
Representativeness of Data from the
Pilot Study
If this pilot program demonstrates that
Mexico-domiciled carriers are as safe as
the average U.S. domiciled carrier,
FMCSA would expect to use the same
application and screening process for
post-pilot program Mexico-domiciled
carriers seeking long haul authority.
Thus, carriers participating in the pilot
program would be representative of
carriers seeking and receiving such
authority in the future.
It has also been argued that using
roadside inspection data to compare
carriers domiciled in the United States
with Mexico-domiciled carriers
participating in the pilot program is not
valid because inspections performed on
U.S. carriers are targeted. That is,
inspectors often use recommendations
generated from computer software, or
perform a cursory visual inspection of
the vehicle, to determine which vehicles
to inspect. Hence these roadside
inspections are not truly random, and
violation rates (such as out-of-service
rates) generated from such data are
biased. Studies completed more than 15
years ago suggested that this bias in U.S.
carrier out-of-service rates is minimal.
To assess if such a bias currently exists,
and to determine its extent, the Agency
would concurrently conduct a study of
U.S. carrier violation rates, using
inspection data collected on a random
basis from U.S. carriers for a 2-week
period during the course of the pilot
program.
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182
91
61
46
36
1
2
3
91
46
30
..........
..........
46
..........
..........
..........
..........
30
..........
..........
..........
..........
Independent Data
FMCSA plans to conduct an
independent analysis of data collected
from the 4 currently active Mexican
carriers with ‘‘grandfathered,’’ pre-1982
operating authority in the United States,
the 501 Mexican-owned carriers with
current operating authority as a result of
being domiciled in the United States,
and the 1336 Mexico-domiciled private
and exempt motor carriers that received
a certificate of registration to operate
beyond the commercial zones between
1988 and 2002. A separate analysis of
these carriers’ safety performance would
be conducted to supplement the
analysis of the carriers operating under
the pilot program.
Request for Comments
FMCSA requests public comment
from all interested persons on the pilot
program outlined in this notice. The
Agency intends the pilot program to be
the means of validating its safety
oversight regime for a cross-border longhaul trucking program.
All comments received before the
close of business on the comment
closing date indicated at the beginning
of this notice will be considered and
will be available for examination in the
docket at the location listed under the
address section of this notice.
Comments received after the comment
closing date will be filed in the public
docket and will be considered to the
extent practicable. In addition to late
comments, FMCSA will also continue to
file, in the public docket, relevant
information that becomes available after
the comment closing date. Interested
persons should continue to examine the
public docket for new material.
Section 6901(b)(2)(B) of the U.S.
Troop Readiness, Veterans’ Care,
Katrina recovery, and Iraq
Accountability Appropriations Act,
2007, provides that FMCSA must
request public comment on five specific
aspects of the pilot program. For the
convenience of the reader, these items
are listed below. A complete copy of
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section 6901 is included in the docket
for this notice.
1. Comprehensive data and
information on the pre-authorization
safety audits conducted before and after
the date of enactment of this Act of
motor carriers domiciled in Mexico that
are granted authority to operate beyond
the United States municipalities and
commercial zones on the United StatesMexico border;
2. Specific measures to be required to
protect the health and safety of the
public, including enforcement measures
and penalties for noncompliance;
3. Specific measures to be required to
ensure compliance with section
391.11(b)(2) of title 49, CFR, concerning
FMCSA’s English language proficiency
requirement, and section 365.501(b) of
title 49, CFR, concerning FMCSA’s
prohibition against Mexico-domiciled
drivers engaging in the transportation of
domestic freight within the U.S.;
4. Specific standards to be used to
evaluate the pilot program and compare
any change in the level of motor carrier
safety as a result of the pilot program;
and
5. A list of Federal motor carrier
safety laws and regulations, including
the commercial driver’s license
requirements, for which the Secretary of
Transportation will accept compliance
with a corresponding Mexican law or
regulation as the equivalent to
compliance with the United States law
or regulation, including for each law or
regulation an analysis as to how the
corresponding United States and
Mexican laws and regulations differ.
Issued on: April 8, 2011.
Anne S. Ferro,
Administrator.
[FR Doc. 2011–8846 Filed 4–8–11; 2:00 pm]
BILLING CODE 4910–EX–P
DEPARTMENT OF TRANSPORTATION
Surface Transportation Board
[Docket No. AB–1075X]
mstockstill on DSKH9S0YB1PROD with NOTICES
Manufacturers Railway Company—
Discontinuance Exemption—in St.
Louis County, MO
On March 24, 2011, Manufacturers
Railway Company (MRS) 1 filed with the
Surface Transportation Board a petition
under 49 U.S.C. 10502 for exemption
from the prior approval requirements of
49 U.S.C. 10903 to discontinue service
over all tracks and yards located within
the area bordered by Cedar Street on the
north to Zepp Street on the south; and
1 MRS is owned by Anheuser-Busch Companies,
Inc.
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18:37 Apr 12, 2011
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Mississippi River flood wall on the east
to U.S. Interstate 55 on the west, in St.
Louis, Mo. The lines traverse U.S. Postal
Service Zip Code 63118. MRS intends to
discontinue service over its lines but
does not intend, at this point, to remove
the trackage or rail assets comprising the
lines.
According to MRS, the lines do not
contain any Federally granted rights-ofway. Any documentation in MRS’s
possession will be made available
promptly to those requesting it.
MRS asserts that, because its petition
seeks discontinuance covering MRS’s
entire rail system and because MRS has
no corporate affiliate that will continue
substantially similar rail operations or a
corporate parent that will realize
substantial financial benefits over and
above relief from the burden of deficit
operations by its subsidiary railroad,
labor protective conditions should not
be imposed. MRS requests that the
Board follow its established practice
regarding labor conditions in entire
system discontinuances. The United
Transportation Union, the Brotherhood
of Maintenance of Way Employes
Division-International Brotherhood of
Teamsters, and the International
Association of Machinists and
Aerospace Workers have filed separate
statements or comments in opposition
to the petition, asserting that affected
employees are entitled to labor
protection. The Board will consider and
address comments on the petition,
including comments regarding labor
protection, in its final decision on the
merits.
By issuance of this notice, the Board
is instituting an exemption proceeding
pursuant to 49 U.S.C. 10502(b). A final
decision will be issued by July 12, 2011.
Because this is a discontinuance
proceeding and not an abandonment,
OFAs to purchase the line for continued
rail service are not appropriate. Any
offer of financial assistance (OFA) under
49 CFR 1152.27(b)(2) to subsidize
continued rail service will be due no
later than 10 days after service of a
decision granting the petition for
exemption. Each offer must be
accompanied by a $1,500 filing fee. See
49 CFR 1002.2(f)(25).
Because this is a discontinuance
proceeding and not an abandonment, a
trail use/rail banking condition, under
16 U.S.C. 1247(d), and a public use
condition, under 49 U.S.C. 10905, are
not appropriate. Additionally, no
environmental or historic
documentation is required under 49
CFR 1105.6(c)(2) and 1105.8.
All filings in response to this notice
must refer to Docket No. AB–1075X, and
must be sent to: (1) Surface
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20819
Transportation Board, 395 E Street, SW.,
Washington, DC 20423–0001; and (2)
Paul A. Cunningham, Harkins
Cunningham LLP, 1700 K Street, NW.,
Suite 400, Washington, DC 20006–3804.
Replies to the petition are due on or
before May 3, 2011.
Persons seeking further information
concerning discontinuance procedures
may contact the Board’s Office of Public
Assistance, Governmental Affairs, and
Compliance at (202) 245–0230 or refer
to the full abandonment and
discontinuance regulations at 49 CFR
part 1152. Questions concerning
environmental issues may be directed to
the Board’s Office of Environmental
Analysis (OEA) at (202) 245–0305.
Assistance for the hearing impaired is
available through the Federal
Information Relay Service (FIRS) at 1–
800–877–8339.
Board decisions and notices are
available on our Web site at https://
www.stb.dot.gov.
Decided: April 8, 2011.
By the Board, Rachel D. Campbell,
Director, Office of Proceedings.
Andrea Pope-Matheson,
Clearance Clerk.
[FR Doc. 2011–8863 Filed 4–12–11; 8:45 am]
BILLING CODE 4915–01–P
DEPARTMENT OF THE TREASURY
Departmental Offices; Debt
Management Advisory Committee
Meeting
Notice is hereby given, pursuant to 5
U.S.C. App. 2, § 10(a)(2), that a meeting
will be held at the Hay-Adams Hotel,
16th Street and Pennsylvania Avenue,
NW., Washington, DC, on May 3, 2011
at 11:30 a.m. of the following debt
management advisory committee:
Treasury Borrowing Advisory
Committee of The Securities Industry
and Financial Markets Association.
The agenda for the meeting provides
for a charge by the Secretary of the
Treasury or his designate that the
Committee discuss particular issues and
conduct at working session. Following
the working session, the Committee will
present a written report of its
recommendations. The meeting will be
closed to the public, pursuant to 5
U.S.C. App. 2, § 10(d) and Public Law
103–202, § 202(c)(1)(B) (31 U.S.C. 3121
note).
This notice shall constitute my
determination, pursuant to the authority
placed in heads of agencies by 5 U.S.C.
App. 2, § 10(D) and vested me by
Treasury Department Order No. 101–05,
that the meeting will consist of
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13APN1
Agencies
[Federal Register Volume 76, Number 71 (Wednesday, April 13, 2011)]
[Notices]
[Pages 20807-20819]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-8846]
-----------------------------------------------------------------------
DEPARTMENT OF TRANSPORTATION
Federal Motor Carrier Safety Administration
[Docket No FMCSA-2011-0097]
Pilot Program on NAFTA Long-Haul Trucking Provisions
AGENCY: Federal Motor Carrier Safety Administration (FMCSA), DOT.
ACTION: Notice; request for public comment.
-----------------------------------------------------------------------
SUMMARY: The Federal Motor Carrier Safety Administration (FMCSA)
announces its proposal for the initiation of a United States-Mexico
cross-border long-haul trucking pilot program to test and demonstrate
the ability of Mexico-based motor carriers to operate safely in the
United States beyond the municipalities and commercial zones along the
United States-Mexico border. The pilot program is part of FMCSA's
implementation of the North American Free Trade Agreement (NAFTA)
cross-border long-haul trucking provisions. This pilot program would
allow Mexico-domiciled motor carriers to operate throughout the United
States for up to 3 years. U.S.-domiciled motor carriers would be
granted reciprocal rights to operate in Mexico for the same period.
Participating Mexican carriers and drivers would be required to comply
with all applicable U.S. laws and regulations, including those
concerned with motor carrier safety, customs, immigration, vehicle
registration and taxation, and fuel taxation. The safety of the
participating carriers would be tracked closely by FMCSA with input
from a Federal Advisory Committee.
DATES: Comments must be received on or before May 13, 2011.
ADDRESSES: You may submit comments identified by Docket Number FMCSA-
2011-0097 using any one of the following methods:
[[Page 20808]]
Federal eRulemaking Portal: https://www.regulations.gov.
Follow the online instructions for submitting comments.
Fax: 1-202-493-2251.
Mail: Docket Management Facility, (M-30), U.S. Department
of Transportation (DOT), 1200 New Jersey Avenue, SE., West Building,
Ground Floor, Room 12-140, Washington, DC 20590-0001.
Hand Delivery: Same as mail address above, between 9 a.m.
and 5 p.m., ET, Monday through Friday, except Federal holidays. The
telephone number is 202-366-9329.
To avoid duplication, please use only one of these four methods. All
submissions must include the Agency name and docket number for this
notice. See the ``Public Participation'' heading below for instructions
on submitting comments and additional information.
Note that all comments received, including any personal information
provided, will be posted without change to https://www.regulations.gov.
Please see the ``Privacy Act'' heading below.
Docket: For access to the docket to read background documents or
comments received, go to https://www.regulations.gov at any time or to
Room W12-140 on the ground floor of the DOT Headquarters Building at
1200 New Jersey Avenue, SE., Washington, DC, between 9 a.m. and 5 p.m.,
ET, Monday through Friday, except Federal holidays.
Privacy Act: 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 DOT's
Privacy Act System of Records Notice for the DOT Federal Docket
Management System published in the Federal Register on January 17, 2008
(73 FR 3316), or you may visit https://edocket.access.gpo.gov/2008/pdf/E8-785.pdf.
Public Participation: The https://www.regulations.gov Web site is
generally available 24 hours each day, 365 days each year. You can get
electronic submission and retrieval help and guidelines under the
``help'' section of the https://www.regulations.gov Web site. Comments
received after the comment closing date will be included in the docket,
and will be considered to the extent practicable.
FOR FURTHER INFORMATION CONTACT: Marcelo Perez, Federal Motor Carrier
Safety Administration, 1200 New Jersey Avenue, SE., Washington, DC
20590-0001. Telephone (512) 916-5440, ext 228; e-mail
marcelo.perez@dot.gov.
SUPPLEMENTARY INFORMATION:
Legal Basis
Section 6901(a) of the U.S. Troop Readiness, Veterans' Care,
Katrina Recovery, and Iraq Accountability Appropriations Act, 2007
[Pub. L. 110-28, 121 Stat. 112, 183, May 25, 2007] provides that before
DOT may obligate or expend any funds to grant authority for Mexico-
domiciled trucks to engage in cross-border long-haul operations, DOT
must first test granting such authority through a pilot program that
meets the standards of 49 U.S.C. 31135(c). In accordance with 49 U.S.C.
31315(c), the Secretary of Transportation has general authority to have
safety measures ``that are designed to achieve a level of safety that
is equivalent to, or greater than, the level of safety that would
otherwise be achieved * * *.''
In a pilot program, DOT collects specific data for evaluating
alternatives to the regulations or innovative approaches to safety
while ensuring that the goals of the regulations are satisfied. A pilot
program may not last more than 3 years, and the number of participants
in a pilot program must be large enough to ensure statistically valid
findings. Pilot programs must include an oversight plan to ensure that
participants comply with the terms and conditions of participation, and
procedures to protect the health and safety of study participants and
the general public. A pilot program may be initiated only after DOT
publishes a detailed description of it in the Federal Register and
provides an opportunity for public comment. This notice and request for
public comment complies with this requirement. While, a pilot program
may provide temporary regulatory relief from one or more regulations to
a person or class of persons subject to the regulations, or a person or
class of persons who intends to engage in an activity that would be
subject to the regulations, in this pilot program DOT does not propose
to exempt or relieve Mexico-domiciled motor carriers from any safety
regulation. Mexico-domiciled motor carriers participating in the
program will be required to comply with the existing motor carrier
safety regulatory regime plus certain additional requirements
associated with acceptance into and participation in the program.
Section 350 of the Department of Transportation and Related
Agencies Appropriations Act, 2002 [Pub. L. 107-87, 115 Stat. 833, 864,
December 18, 2001] (section 350) prohibited FMCSA from using funds made
available in that Act to review or process applications from Mexico-
domiciled motor carriers to operate beyond limited commercial zones
along the United States-Mexico border until certain preconditions and
safety requirements were met. The terms of section 350 have been
reenacted in each subsequent DOT appropriations act. Section 350
required FMCSA to perform a pre-authorization safety audit (PASA) of
any Mexico-domiciled carrier before that carrier is allowed to engage
in long-haul operations in the United States. Vehicles the carrier will
operate beyond the commercial zones of the United States-Mexico border
that do not already have a Commercial Vehicle Safety Alliance (CVSA)
decal would be required to be inspected, and any vehicle that did not
display a decal would be required to pass an inspection at the border
port of entry before being allowed to proceed. DOT was also directed to
give a distinctive identification number to each Mexico-domiciled
carrier that would operate beyond the border commercial zones to assist
inspectors in enforcing motor carrier safety regulations. Additionally,
every driver that will operate in the United States must have a valid
commercial driver's license issued by Mexico. Section 350 also required
DOT's Office of the Inspector General (OIG) to conduct a comprehensive
review of the adequacy of inspection capacity, information
infrastructure, enforcement capability and other specific factors
relevant to safe operations by Mexico-domiciled carriers, and required
the Secretary of Transportation to address the OIG's findings and
certify that the opening of the border poses no safety risk. The OIG
was also directed to conduct similar reviews at least annually
thereafter. A number of the section 350 requirements were addressed by
FMCSA in rulemakings published on March 19, 2002 (67 FR 12653, 67 FR
12702, 67 FR 12758, 67 FR 12776) and on May 13, 2002 (67 FR 31978).
Section 136 of the Transportation, Housing and Urban Development,
and Related Agencies Appropriations Act, 2009 [Division I of the
Omnibus Appropriations Act, 2009, Pub. L., 111-8, 123 Stat. 524, 932,
March 11, 2009] prohibited DOT from expending funds made available in
that Act to establish, implement or continue a cross-border motor
carrier pilot program to allow Mexican-domiciled motor carriers to
operate beyond the border commercial zones. The Transportation, Housing
and Urban Development, and Related Agencies Appropriations Act, 2010
[Division A of the Consolidated
[[Page 20809]]
Appropriations Act, 2010, Pub. L. 111-117, 123 Stat. 3034, December 16,
2009] did not bar DOT or FMCSA from using funds on a cross-border long-
haul program, but, pursuant to section 135 (123 Stat. at 3053) did
continue the requirements of section 350. FMCSA continues to operate
under the terms and conditions in its fiscal year 2010 appropriations
act, as extended under various short-term continuing resolutions.
Section 6901 of the U.S. Troop Readiness, Veterans' Care, Katrina
Recovery, and Iraq Accountability Appropriations Act, 2007 also
provides that simultaneous and comparable authority to operate within
Mexico must be made available to U.S. carriers. Further, before the
required pilot program may begin, the Department's OIG must submit a
report to Congress verifying that DOT has complied with the
requirements of section 350(a), and DOT must take any actions that are
necessary to address issues raised by the OIG and must detail those
actions in a report to Congress. Section 6901 also directed the OIG to
submit an interim report to Congress 6 months after the initiation of a
cross-border long-haul Mexican trucking pilot program and a final
report after the pilot program is completed. The statute further
specified that the report address the program's adequacy as a test of
safety. Also as a precondition to beginning the pilot program, section
6901 requires that DOT provide an opportunity for public comment by
publishing in the Federal Register information on the PASA's conducted.
DOT must also publish for comment the standards that will be used to
evaluate the pilot program, as well as a list of Federal motor carrier
safety laws and regulations, including commercial driver's license
requirements, for which the Secretary of Transportation will accept
compliance with corresponding Mexican law or regulation as the
equivalent to compliance with the U.S. law or regulation including an
analysis of how the corresponding United States and Mexican laws and
regulations differ. Further discussion of relevant U.S. and Mexican
safety laws and regulations is provided in the section of this notice
entitled ``List of Federal Motor Carrier Safety Laws and Regulations
for Which FMCSA Will Accept Compliance with a Corresponding Mexican Law
or Regulation.''
Background
Before 1982, Mexico- and Canada-domiciled motor carriers could
apply to the Interstate Commerce Commission (ICC) for authority to
operate within the United States. As a result of complaints that U.S.
motor carriers were not allowed the same access to Mexican and Canadian
markets that carriers from those nations enjoyed in this country, the
Bus Regulatory Reform Act of 1982 imposed a moratorium on the issuance
of new operating authority to motor carriers domiciled, or owned or
controlled by persons domiciled in Canada or Mexico. While the
disagreement with Canada was quickly resolved, the issue of trucking
reciprocity with Mexico was not.
Currently, most Mexican carriers are allowed to operate only within
the border commercial zones extending up to 25 miles into the United
States. Every year Mexico-domiciled commercial motor vehicles (CMVs)
cross into the United States about 4.5 million times. Mexico granted
reciprocal authority to 10 U.S.-domiciled motor carriers to operate
throughout Mexico during the time of FMCSA's previous demonstration
project conducted between September 2007 and March 2009. Four of these
motor carriers continue to operate in Mexico.
Trucking issues at the United States-Mexico border were not fully
addressed until NAFTA was negotiated in the early 1990s. NAFTA required
the United States to incrementally lift the moratorium on licensing
Mexico-domiciled motor carriers to operate beyond the commercial zones.
On January 1, 1994, the President modified the moratorium and the ICC
began accepting applications from Mexico-domiciled passenger carriers
to conduct international charter and tour bus operations in the United
States. On December 13, 1995, the ICC published a rule and a revised
application form for the processing of Mexico-domiciled property
carrier applications (Form OP-1(MX)) (60 FR 63981). The ICC rules
anticipated the implementation of the second phase of NAFTA, providing
Mexican motor carriers of property with access to California, Arizona,
New Mexico and Texas, and the third phase, providing access throughout
the United States. However, at the end of 1995, the United States
announced an indefinite delay in opening the border to long-haul
Mexican CMVs.
In 1998, Mexico filed a claim against the United States, claiming
that the United States' refusal to grant authority to Mexican trucking
companies constituted a breach of the obligations in the NAFTA. On
February 6, 2001, the Arbitration Panel issued its final report and
ruled in Mexico's favor, concluding that the United States was in
breach of its obligations, and Mexico could impose tariffs on U.S.
exports to Mexico up to an amount commensurate with the loss of
business resulting from the lack of U.S. compliance. The Panel noted
that the United States could establish a safety oversight regime to
ensure the safety of Mexican carriers entering the United States, but
that the safety oversight regime could not be discriminatory and must
be justified by safety data.
After the Administration announced its intent to resume the process
for opening the border in 2001, Congress included section 350 in the
Department of Transportation and Related Agencies Appropriations Act,
2002, as discussed in the ``Legal Basis'' section above.
In November 2002, former Secretary of Transportation Norman Mineta
certified, as required by section 350(c)(2), that authorizing Mexico-
domiciled motor carrier operations beyond the border commercial zones
does not pose an unacceptable safety risk to the American public. Later
that month, the President modified the moratorium to permit Mexico-
domiciled motor carriers to provide cross-border cargo and scheduled
passenger transportation beyond the border commercial zones.
(Memorandum of November 27, 2002, for the Secretary of Transportation,
``Determination under the Interstate Commerce Commission Termination
Act of 1995,'' 67 FR 71795, December 2, 2002). The Secretary's
certification was made in response to the June 25, 2002, DOT OIG report
on the implementation of safety requirements at the United States-
Mexico border. In a January 2005 follow-up report, the OIG concluded
that FMCSA had sufficient staff, facilities, equipment, and procedures
in place to substantially meet the eight section 350 requirements that
the OIG was required to review. The above reports are available in the
docket to this notice.
Former Secretary of Transportation Mary E. Peters and Mexico's
former Secretaria de Comunicaciones y Transportes (SCT) Luis
T[eacute]llez Kuenzler announced a demonstration project to implement
certain trucking provisions of NAFTA on February 23, 2007. The
demonstration project was initiated on September 6, 2007, after the DOT
complied with a number of conditions imposed by section 6901 of the
U.S. Troop Readiness, Veterans' Care, Katrina Recovery, and Iraq
Accountability Act, 2007, as discussed further in the ``Legal Basis''
section above. The demonstration project was initially expected to last
1 year (see 72 FR 23883, May 1, 2007). On August 6, 2008, FMCSA
announced that the demonstration project was being
[[Page 20810]]
extended from 1 year to the full 3 years allowed by section
31315(c)(2)(A) of title 49 United States Code (73 FR 45796) after
Secretaries Peters and T[eacute]llez exchanged letters on the
extension.
On March 11, 2009, President Obama signed into law the Omnibus
Appropriations Act, 2009. Section 136 of the Transportation, Housing
and Urban Development, and Related Agencies Appropriations Act, 2009
(Division I, title I of the Omnibus Appropriations Act, 2009) provides
that:
[N]one of the funds appropriated or otherwise made available
under this Act may be used, directly or indirectly, to establish,
implement, continue, promote, or in any way permit a cross-border
motor carrier pilot program to allow Mexican-domiciled motor
carriers to operate beyond the commercial zones along the
international border between the United States and Mexico, including
continuing, in whole or in part, any such program that was initiated
prior to the date of the enactment of this Act.
(123 Stat. at 932).
In accordance with section 136, FMCSA terminated the cross-border
demonstration project that began on September 6, 2007. The Agency
ceased processing applications by prospective project participants and
took other necessary steps to comply with the provision. (74 FR 11628,
March 18, 2009).
On March 19, 2009, Mexico announced that it was exercising its
rights under the 2001 NAFTA Arbitration Panel decision to impose
retaliatory tariffs for the failure to allow Mexico-domiciled carriers
to provide long-haul service into the United States. The tariffs affect
approximately 90 U.S. export commodities at an estimated annual cost of
$2.4 billion. The President directed DOT to work with the Office of the
U.S. Trade Representative and the Department of State, along with
leaders in Congress and Mexican officials, to propose legislation
creating a new cross-border trucking project, to address the legitimate
safety concerns of Congress while fulfilling our obligations under
NAFTA. Secretary of Transportation Ray LaHood met with numerous members
of Congress to gather their input. FMCSA tasked the Motor Carrier
Safety Advisory Committee (MCSAC) with providing advice and guidance on
essential elements that the Agency should consider when drafting
proposed legislation to permit Mexico-domiciled trucks beyond the
commercial zones along the United States-Mexico border. The MCSAC final
report on this tasking is available on FMCSA's MCSAC Web page at https://mcsac.fmcsa.dot.gov/Reports.htm. Additionally, DOT formed a team to
draft principles that would guide the creation of the draft
legislation.
The President signed the DOT Fiscal Year (FY) 2010 Appropriations
Act December 16, 2009. As mentioned previously in the ``Legal Basis''
section, unlike the previous year's appropriations, this Act did not
prohibit the use of fiscal year 2010 funds on a cross border long-haul
program. However, it continues the requirements of section 350 and
section 6901 of Public Law 110-28. FMCSA continues to operate under the
terms and conditions in its FY 2010 appropriations act, as extended
under various short-term continuing resolutions.
On April 12, 2010, Secretary LaHood met with Mexico's former
Secretary of Communications and Transport, Juan Molinar Horcasitas, and
announced a plan to establish a working group to consider the next
steps in implementing a cross-border trucking program. On May 19, 2010,
President Obama and Mexico's President Felipe Calderon Hinojosa issued
a joint statement acknowledging that safe, efficient, secure, and
compatible transportation is a prerequisite for mutual economic growth.
They committed to continue their countries' cooperation in system
planning, operational coordination, and technical cooperation in key
modes of transportation.
On January 6, 2011, Secretary LaHood shared with Congress and the
Government of Mexico an initial concept document for a cross-border
long-haul Mexican trucking pilot program that prioritizes safety, while
satisfying the U.S.' international obligations. Also, on the same day,
the Department posted the concept documents on its Web site for public
viewing. See https://www.dot.gov/affairs/2011/dot0111.html. The initial
concept document was the starting point for renewed negotiations with
Mexico. Discussions with the Government of Mexico commenced on January
18, 2011. The preliminary agreement between DOT and the Secretariat of
Communications and Transport is reflected in the program description
and details provided below.
On March 3, 2011, President Obama met with Mexico's President
Calderon and announced that there is a clear path forward to resolving
the trucking between the United States and Mexico.
Pilot Program Description
Duration. As specified in section 31315(c)(2)(A) of title 49,
United States Code, the scheduled life of this pilot program will not
exceed 3 years.
Staged pilot program. The Mexico-domiciled motor carriers that
participate in this pilot program would proceed through a series of
stages prior to issuance of a permanent operating authority. Stage 1
would begin when the motor carrier is issued a provisional operating
authority. The motor carrier's vehicles and drivers would be inspected
each time they enter the United States for at least 3 months. This
initial 3-month period may be extended if the motor carrier does not
receive at least three vehicle inspections. FMCSA would also conduct an
evaluation of the motor carrier's performance during Stage 1. This
evaluation is described more fully later in this notice.
After a minimum of 3 months of operations in Stage 1, Mexico-
domiciled carriers may be permitted to proceed to Stage 2 of the pilot
program after FMCSA completes an evaluation of each carrier's
performance in Stage 1. During Stage 2, the motor carrier's vehicles
would be inspected at a rate comparable to other Mexico-domiciled motor
carriers that cross the United States-Mexico border. The motor
carrier's safety data would be monitored to assure the motor carrier is
operating in a safe manner. The motor carrier would continue to operate
under a provisional operating authority. Within 18 months after a
Mexico-domiciled motor carrier is issued provisional operating
authority, FMCSA would conduct a compliance review on the motor
carrier. If the motor carrier obtains a satisfactory safety rating, has
no pending enforcement or safety improvement actions, and has operated
under its provisional operating authority for at least 18 months, the
provisional operating authority will become permanent, moving the
carrier into Stage 3. If the motor carrier obtains a less than
satisfactory safety rating, FMCSA would take action as required by 49
CFR part 385 to suspend and/or revoke the motor carrier's operating
authority.
Stage 3 of the pilot program would begin for each motor carrier
upon eceipt of permanent operating authority. The motor carrier must
continue to operate in accordance with the Federal Motor Carrier Safety
Regulations (FMCSRs) and the requirements set forth in this notice.
Reciprocity with Mexico. Consistent with section 6901(a)(3) of
Public law 110-28, FMCSA will not grant operating authority to Mexico-
domiciled motor carriers to operate beyond the U.S. municipalities and
commercial zones along the United States-Mexico border unless the
Government of Mexico simultaneously permits comparable
[[Page 20811]]
authority to be granted to U.S.-domiciled motor carriers to transport
international cargo in Mexico.
Previous Demonstration Program Participants. A Mexico-domiciled
motor carrier that participated in the 2007-2009 demonstration project
and operated under provisional operating authority in that pilot would
receive credit for the amount of time it operated under authority in
calculating the 18 month provisional operating authority period.
Hazardous Materials and Passenger Transportation. Consistent with
section 6901(d) of Public Law 110-28, operating authority granted under
the pilot program excludes the transportation of placardable quantities
of hazardous materials and passengers. Hazardous materials means any
material that has been designated as hazardous under 49 U.S.C. 5103 and
is required to be placarded under subpart F of 49 CFR part 172.
Drivers and Vehicles. Mexico-domiciled motor carriers participating
in the pilot program would designate the vehicles and drivers they wish
to use in the pilot program. All designated vehicles and drivers must
be approved by FMCSA prior to the participating motor carrier using the
vehicles or drivers for transportation beyond the commercial zones
along the United States-Mexico border. The requirements for FMCSA
approval of drivers and vehicles are described in this notice.
License Checks.--In compliance with section 350(a)(3), FMCSA will
ensure that at least 50 percent of participating drivers' licenses are
checked when crossing the border. This may be accomplished during Level
I, II or III inspections.
International Cargo. The operating authority granted under this
pilot program would authorize the motor carrier to transport
international cargo in the United States. As specified in 49 CFR
365.501(b), Mexico-domiciled carriers participating in the pilot
program may not provide point-to-point transportation services,
including express delivery services, within the United States for goods
other than international cargo. Therefore, a carrier that would provide
point-to-point transportation services in the United States would be
operating beyond the scope of its operating authority and would be in
violation of 49 CFR 392.9a(a). Additionally, participating motor
carriers must comply with regulations prohibiting the transportation of
domestic cargo (cabotage) including, but not limited to, 19 CFR 123.14
(U.S. Customs and Border Protection regulations concerning entry of
foreign-based trucks, buses, and taxicabs in international traffic) and
8 CFR 214.2(b)(4)(i)(E)(1) (U.S. Department of Homeland Security (DHS)
regulations concerning cabotage. (See further discussion below under
the section entitled ``Point-to-Point Transportation Prohibited.'').
Security Screening. FMCSA would submit information on the applicant
motor carriers and their drivers designated for long-haul operations in
the pilot program to DHS for security screening. Motor carriers and/or
drivers that fail DHS's security screening would not be eligible for
participation in the pilot program. Reasons a motor carrier or driver
may not pass DHS security screening may include: Providing false or
incomplete information; conviction of any criminal offense or pending
criminal charges or outstanding warrants; violation of any customs,
immigration or agriculture regulations or laws; the carrier or driver
is the subject of an ongoing investigation by any Federal, State or
local law enforcement agency; the motor carrier or driver is
inadmissible to the United States under immigration regulations,
including applicants with approved waivers of inadmissibility or parole
documentation; DHS is not satisfied concerning the motor carrier's or
driver's low-risk status; DHS cannot determine an applicant's criminal,
residence or employment history; or the motor carrier or driver is
subject to National Security Entry Exit Registration System or other
special registration programs.
Liability Insurance. Mexico-domiciled motor carriers participating
in the pilot program must maintain a certificate of insurance or surety
bond on file with FMCSA, as prescribed in 49 CFR 387.313, throughout
the pilot program. The insurance or surety bond must be underwritten by
a U.S. insurance or surety bond company.
Commercial Vehicle Safety Alliance Safety (CVSA) Decal. The motor
carrier must maintain a valid CVSA decal on each vehicle it enrolls in
this pilot program in accordance with 49 CFR 365.511.
Emission Control Label. Any vehicle with a diesel engine to be used
by a motor carrier in this pilot program must have an emission control
label as described in 40 CFR 86.007-35 that indicates the engine
conforms to the U.S. Environmental Protection Agency (EPA) regulations
applicable to 1998 or later. Alternatively, the motor carrier may
present documentation from the engine manufacturer indicating the
engine conforms to the EPA regulations applicable to 1998 or later.
Federal Motor Vehicle Safety Standard (FMVSS). Any vehicle used by
a motor carrier in this pilot program must display a FMVSS
certification label or Canadian Motor Vehicle Safety Standard (CMVSS)
certification label affixed by the original vehicle manufacturer at the
time the vehicle was built. Alternatively, a motor carrier may use a
vehicle manufactured for use in Mexico that does not possess an FMVSS
or CMVSS label, if the vehicle is of model year 1996 or newer and it is
equipped with all the safety equipment and features required by the
FMVSSs in effect on the date of manufacture, such as automatic slack
adjusters and antilock braking systems (ABS) if applicable. Information
available to FMCSA from the Truck Manufacturers Association (TMA)
indicates that most trucks manufactured in Mexico since 1993 were built
to the FMVSSs, even if they were not specifically certified as such.
(70 FR 50273) A copy of TMA's letter that provided this information is
available in the docket for this notice.
Electronic Monitoring Device. FMCSA would equip each vehicle
approved for use by Mexico-domiciled motor carriers in this pilot
program with an electronic monitoring device such as a global
positioning system and/or electronic on board recording device. As part
of participating in this pilot program, the device must be operational
on the vehicle throughout the duration of the pilot program.
General Qualifications of Drivers. A driver may not participate in
this pilot program unless the driver can read and speak the English
language sufficiently to understand highway traffic signs and signals
in the English language, to respond to official inquiries, and to make
entries on reports and records required by FMCSA.
Environmental Review. FMCSA will prepare an Environmental
Assessment (EA) for this pilot program prior to its commencement and
seek comments on the draft EA in accordance with the National
Environmental Policy Act, as amended (42 U.S.C. 4321 et seq.).
Measures To Protect the Health and Safety of the Public. The FMCSA
has developed an extensive oversight system to protect the health and
safety of the public and FMCSA will apply it to Mexico-domiciled motor
carriers. These measures are outlined in 49 CFR parts 350-396 and
include providing grants to States for commercial vehicle enforcement
activities, regulations outlining the application procedures,
regulations explaining how FMCSA will
[[Page 20812]]
assess safety ratings and civil penalties as well as amounts of
possible civil penalties, insurance requirements, drug and alcohol
testing requirements, commercial driver's license (CDL) requirements,
general operating requirements, driver qualification requirements,
vehicle parts and maintenance requirements, and hours-of-service
requirements. These requirements apply to Mexico-domiciled carriers
operating in this pilot program, just as they do to any commercial
motor vehicle, driver, or carrier operating in the United States. The
description below focuses on the main features of FMCSA's system to
protect the health and safety of the public that are unique to this
pilot program, but is not intended to imply that all regulations
outlined above do not apply at all times.
Other Federal and State Laws and Regulations. Mexico-domiciled
motor carriers participating in the pilot program are required to
comply with all applicable Federal and State laws and regulations
including, but not limited to, vehicle size and weight, environmental,
tax, and vehicle registration requirements.
Process for Applying for OP-1(MX) Operating Authority
The process for applying for participation in the pilot program
begins with a 28-page application that gathers specific information
about the carrier, its affiliations, its insurance, its safety
programs, and its compliance with U.S. laws. In addition to providing
general information, the carrier must complete up to 35 safety and
compliance certifications and provide information regarding its systems
for monitoring hours of service and crashes and complying with DOT drug
and alcohol testing requirements.
To participate in the pilot program, a Mexico-domiciled motor
carrier must, pursuant to existing regulations, submit (1) Form OP-
1(MX), ``Application to Register Mexican Carriers for Motor Carrier
Authority to Operate Beyond U.S. Municipalities and Commercial Zones on
the U.S.-Mexico Border''; (2) Form MCS-150, the ``Motor Carrier
Identification Report''; and (3) notification of the means used to
designate agents for service of legal process, either by submitting
Form BOC-3, ``Designation of Agents--Motor Carriers, Brokers and
Freight Forwarders,'' or a letter stating that the applicant will use a
process agent service that will submit Form BOC-3 electronically. The
forms are available on the Internet at https://www.fmcsa.dot.gov/forms/print/r-l-forms.htm.
FMCSA would compare the information and certifications provided in
the application with information maintained in databases of the
governments of Mexico and the United States. The appropriate fee must
be submitted, as applicable.
FMCSA developed special rules that govern Mexico-domiciled motor
carriers during the application process and for several years after
receiving OP-1(MX) operating authority. They are codified in 49 CFR
365.501 through 365.511. These rules impose requirements on Mexico-
domiciled motor carriers in addition to those imposed on U.S.-domiciled
motor carriers seeking operating authority.
Pre-Authorization Safety Audit
A Mexico-domiciled carrier must satisfactorily complete the FMCSA-
administered PASA required under FMCSA regulations before it is granted
provisional authority to operate in the United States beyond the border
commercial zones. The PASA is a review of the carrier's safety
management systems including written procedures and records to validate
the accuracy of the information and certifications provided in the
application. The PASA will determine whether the carrier has
established and exercises the basic safety management controls
necessary to ensure safe operations. The carrier would not be granted
provisional operating authority if FMCSA determines that its safety
management controls are inadequate, using the standards in Appendix A
to subpart E of 49 CFR part 365. Vehicles designated for cross-border
long-haul operations within the United States would be inspected; if
the vehicle passes the inspection, a CVSA decal would be affixed by the
inspector.
Each PASA would be conducted in accordance with 49 CFR part 365.
The carrier would be denied provisional operating authority if FMCSA
cannot:
1. Verify available performance data and safety management
programs.
2. Verify the existence of a controlled substances and alcohol
testing program consistent with 49 CFR part 40. FMCSA would ensure that
the carrier has information on collection sites and laboratories it
intends to use.
3. Verify a system of compliance with hours-of-service rules in 49
CFR part 395, including recordkeeping and retention.
4. Verify the carrier has the ability to obtain financial
responsibility as required by 49 CFR part 387, including the ability to
obtain insurance in the United States.
5. Verify records of periodic vehicle inspections, as required by
49 CFR part 396.
6. Verify that each driver the carrier intends to assign to operate
under the pilot program meets the requirements of 49 CFR parts 383 and
391. This would include confirmation of the validity of each driver's
Licencia Federal de Conductor (LF) through the Mexican driver license
information system and a check of the Mexican State licensing records
and the Commercial Driver's License Information System (CDLIS) for
violations, suspensions, etc.
7. Review of available data concerning safety history and other
information necessary to determine familiarity with and preparedness to
comply with the FMCSRs and Federal Hazardous Materials Regulations that
apply to the transportation of non-placardable hazardous materials.
8. Evaluate safety inspection, maintenance, and repair facilities
or management systems, including verification of records of periodic
vehicle inspections.
9. Inspect each vehicle the carrier intends to operate under the
pilot program unless the vehicle has received and displays a current
CVSA decal.
10. Interview carrier officials to review safety management
controls and evaluate any written safety oversight policies and
practices.
11. Obtain any other information required by the FMCSA to complete
the PASA.
Applicant carriers would designate and identify drivers and
vehicles that will perform cross-border long-haul operations in the
pilot program.\1\ FMCSA would verify driver qualifications, including
confirming the validity of the driver's LF and review any Federal and
State driver license history for traffic violations that would
disqualify the driver for operations in the United States. FMCSA would
also conduct an English Language Proficiency assessment of each
participating driver to ensure compliance with 49 CFR 391.11(b)(2). The
assessment would be conducted orally, in English, and would include a
test on knowledge of U.S. traffic signs.
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\1\ Carriers' selection of specific vehicles to participate is
limited to the new program only. Once the new program ends, carriers
will not have the option of selecting specific vehicles. Instead,
all vehicles that may enter the United States for carriers with OP-1
authority will be required to comply with all FMCSRs.
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At the time of the PASA, FMCSA will inspect participating vehicles
to determine whether they:
a. Comply with the FMVSSs; and
[[Page 20813]]
b. Display an EPA emission control label indicating the engine
conforms to the EPA regulations applicable to 1998 or later.
Alternatively, the Mexico-domiciled motor carrier can present documents
from the engine manufacturer indicating the engine conforms to the EPA
regulations applicable to 1998 or later.
FMCSA will also obtain the following information but will not
consider the information in its evaluation of the motor carrier for
entry into the program:
a. Whether environmental post-treatment equipment or other
emissions-related equipment has been installed on any vehicle
designated for participating in the pilot program; and
b. The primary ports of entry the applicant Mexico-domiciled motor
carrier intends to use. (There is no restriction on which ports of
entry the carrier may use during the program. This information would be
used to allocate FMCSA resources.)
Issuance of Operating Authority
If a carrier successfully completes the PASA and FMCSA approves its
application, the Agency will publish a summary of the application as a
provisional grant of authority in the FMCSA Register, at https://li-public.fmcsa.dot.gov/LIVIEW/pkg_html.prc_limain. In addition, FMCSA
will publish comprehensive data and information on the PASAs conducted
of Mexico-domiciled motor carriers that are granted authority to
operate beyond the commercial zones on the U.S. Mexico border. However,
no carrier would be authorized to conduct any cross-border long-haul
transportation until it has made the insurance filings required by 49
CFR 365.507(e)(1) and designated a process agent as required by 49 CFR
365.503(a)(3). Additionally, no Mexico-domiciled motor carrier will be
authorized to operate beyond the commercial zones of the United States-
Mexico border until this notice-and-comment procedure is completed.
Upon granting provisional operating authority, FMCSA will assign a
unique USDOT Number, including an ``X'' suffix, which identifies the
CMVs authorized to operate beyond the municipalities and commercial
zones on the United States-Mexico border.
Termination of the Pilot Program
The pilot program would operate for up to 3 years from the date
FMCSA grants the first provisional certificate, unless the Agency
collects sufficient data to draw statistically valid conclusions before
3 years elapse or if it is determined the continuation of the pilot
program would not be consistent with the goals and objectives of the
pilot, in which case the pilot may be terminated earlier.
Provisional or permanent operating authority may be suspended or
revoked at any time during the pilot program if FMCSA determines that
the carrier has failed to comply with the terms and conditions of the
pilot program or if the carrier's safety performance does not meet the
standards established in 49 CFR part 385. Operating authority may also
be suspended or revoked if the motor carrier is found to have
transported passengers or placardable quantities of hazardous materials
in the United States, or is operating beyond the scope of its operating
authority.
Operating in the United States Under OP-1(MX) Provisional Operating
Authority
Mexico-domiciled motor carriers with provisional operating
authority are subject to the enhanced safety monitoring program of 49
CFR part 385, subpart B, and would be monitored on an on-going basis.
Carriers committing any violations specified in 49 CFR 385.105(a) and
identified through roadside inspections, or other means, may be subject
to a compliance review, required to submit documentation of corrective
action, and/or subject to enforcement action.
Permanent Operating Authority
Mexico-domiciled carriers that receive a satisfactory rating after
a compliance review, complete at least 18 months of operation, and have
no pending enforcement or safety improvement actions, are eligible for
permanent authority in the pilot program. To maintain permanent
authority, carriers must comply with all FMCSRs and continue to renew
the CVSA safety decal every 90 days for 3 years. During the duration of
the pilot program, carriers must update driver and vehicle records with
FMCSA. Any additional vehicles or drivers the motor carrier wishes to
include in the pilot program must be approved by FMCSA before the
carrier may use the driver or vehicle for long-haul transportation.
Mexico-domiciled carriers that participate are eligible to convert
their permanent authority granted during the pilot program to standard
permanent authority, similar to U.S.-domiciled carriers, upon the
completion of the pilot program. FMCSA intends this to be an
administrative process that would occur once the pilot program ends.
Point-to-Point Transportation Prohibited
Mexico-domiciled motor carriers are also subject to DHS and DOT
cabotage requirements and are prohibited from providing domestic point-
to-point transportation while operating in the United States. Vehicles
and drivers violating the prohibition on domestic point-to-point
transportation will be placed out of service under the DOT regulations
and may be subject to civil penalties. DHS may also prohibit the driver
from entering the United States in the future. FMCSA, in coordination
with the International Association of Chiefs of Police (IACP),
developed and is providing training to State and local law enforcement
agencies on the cabotage requirements.
Monitoring, Oversight and Enforcement
FMCSA would monitor the operational safety of all Mexico-domiciled
motor carriers participating in the pilot program. To accomplish this,
FMCSA would work closely with State CMV safety agencies, the lead Motor
Carrier Safety Assistance Program agencies, IACP, CVSA, DHS, and
others. Field monitoring would include inspections of vehicles,
verification of compliance with the terms of the motor carrier's
operating authority, driver license checks, crash reporting, and
initiation of enforcement actions, when appropriate.
Monitoring and oversight of carriers and drivers participating in
the pilot program would vary depending on the experience and safety
record of the carrier. Stage 1 of the program would require the motor
carrier's participating trucks and drivers to be inspected every time a
vehicle crosses the border northbound. Stage 1 vehicles must display
current CVSA decals.
Carriers would progress to Stage 2 only after FMCSA evaluates the
performance of the carrier during Stage 1. A carrier will be permitted
to progress to Stage 2 in the pilot program if FMCSA determines that
the carrier has out-of-service rates that are at or below the U.S.
national averages and its Safety Management System (SMS) scores for
trucks operating in the pilot program are below the FMCSA threshold
levels. Once a motor carrier is in Stage 2, inspections at the border
crossings would be at a rate similar to that of other Mexico-domiciled
motor carriers that cross the United States-Mexico border. Stage 2
vehicles still must display current CVSA decals.
After the motor carrier successfully completes a compliance review
and receives a satisfactory rating within 18
[[Page 20814]]
months of beginning cross-border long-haul operations, and completes 18
months of operation with provisional operating authority, the motor
carrier would be granted permanent authority. The vehicles and drivers
would be inspected at the border crossings at the same rate as
commercial zone carriers. CMVs operating in the United States must
display current CVSA decals for 3 years from the date the carrier is
granted permanent operating authority.
All participating long-haul vehicles must have a FMCSA-issued
electronic monitoring device installed and activated at all times.
These devices would allow FMCSA to monitor compliance with pilot
program requirements, including hours of service requirements and
domestic point-to-point transportation prohibitions.
Monitoring would also include electronic data collection and
analysis. Data collected as a result of field monitoring and other
activities would be entered into FMCSA databases and made available for
public review on FMCSA's Web site. The data would be tracked and
analyzed to identify potential compliance and safety issues.
Appropriate action would be taken to resolve identified compliance and
safety issues. This could include suspension, revocation of operating
authority, or the initiation of other enforcement action against a
motor carrier or driver. FMCSA will conduct ongoing monitoring to
determine if the pilot program is having adverse effects on motor
carrier safety.
Enforcement is a key component of the monitoring and oversight
effort. FMCSA is providing ongoing training and guidance to Federal and
State auditors, inspectors and investigators to ensure the adequacy of
their knowledge and understanding of the pilot program and the
procedures for taking enforcement actions against carriers or drivers
participating in the pilot.
To ensure carrier compliance with operating authority limitations,
including the prohibition of domestic point-to-point transportation of
cargo in the United States, FMCSA and IACP developed and implemented a
training program that provides State and local officials detailed
information on cabotage regulations and enforcement procedures.
FMCSA would require roadside enforcement officers to follow DHS
guidance concerning the enforcement of DHS cabotage regulations. This
material is incorporated into the CVSA North American Standard
Inspection Course and previously provided to roadside enforcement
officers.
FMCSA will also monitor the insurance filings of participating
carriers to ensure that there are no lapses in coverage.
List of Federal Motor Carrier Safety Laws and Regulations for Which
FMCSA Will Accept Compliance With a Corresponding Mexican Law or
Regulation
The Secretary of Transportation will accept only three areas of
Mexican regulations as being equivalent to U.S. regulations. The first
area is the set of regulations governing Mexican Commercial Driver's
Licenses (CDL). The United States' acceptance of a Mexican LF dates
back to November 21, 1991, when the Federal Highway Administrator
determined that the Mexican CDLs are equivalent to the standards of the
U.S. regulations and entered into a Memorandum of Understanding (MOU)
with Mexico.
FMCSA is in the process of updating this MOU.\2\ As part of this
process, on February 17, 2011, representatives from FMCSA, CVSA and the
American Association of Motor Vehicle Administrators visited a Mexican
driver license facility, medical qualification facility, and test and
inspection location. During these site visits FMCSA and its partner
organizations observed Mexico to have rigorous requirements for
knowledge and skills testing that are similar to those in the United
States. In addition, Mexico requires that all new commercial drivers
undergo training prior to testing and requires additional retraining
each time the license is renewed. In contrast, U.S. regulations do not
currently require any specific training prior to testing for, or
renewal of, a U.S. CDL.
---------------------------------------------------------------------------
\2\ FMCSA notes it is also updating a similar MOU with Canada.
---------------------------------------------------------------------------
Mexico will disqualify a driver's LF for safety infractions or
testing positive for the use of drugs. Because Mexico's
disqualification standards are not identical to U.S. standards, FMCSA
has developed a system to monitor the performance of Mexico-licensed
drivers while operating in the United States and to disqualify these
drivers if they incur violations that would result in a U.S. driver's
license being suspended. In addition, the United States has access to
traffic violation data for violations that occur in Mexico and are
associated with the Mexican LF. Finally, FMCSA would require that any
driver designated by a Mexico-domiciled carrier for long-haul
transportation provide the United States with a copy of the driving
record for any Mexican State driver's license he or she may also hold.
FMCSA would combine any violations from the driver's record in the
United States, the driver's Mexican federal record, and the driver's
Mexican State record to determine if the driver would be disqualified
from driving under the standards set forth in 49 CFR 383.51. Therefore,
FMCSA is not relying solely on Mexico's disqualification standards, but
is imposing its own standards in addition to any disqualifications that
may be taken by the Mexican government.
Second, the Secretary of Transportation will also consider that
physical examinations conducted by Mexican doctors and drug testing
specimens collected by Mexican medical collection facilities are
equivalent to the process for examinations conducted, and test
specimens collected, in the United States. In Mexico, in order to
obtain the LF a driver must meet the requirements established by the
Ley de Caminos, Puentes y Autotransporte Federal (LCPAF or Roads,
Bridges and Federal Motor Carrier Transportation Act) Article 36, and
Reglamento de Autotransporte Federal y Servicios Auxiliares (RAFSA, or
Federal Motor Carrier Transportation Act) Article 89, which states that
a Mexican driver must pass the medical examination required by Mexico's
Transport and Communications Ministry (SCT), Directorship General of
Protection and Prevention Medicine in Transportation (DGPMPT). This is
the same medical exam performed on applicants in all modes of
transportation (airline pilots, merchant mariners, and locomotive
operators). The medical examination may be completed by government
doctors or certified private physicians.
FMCSA examined the Mexican medical fitness for duty requirements
and has found that the Mexican physical qualification regulations are
more prescriptive, detailed, and stricter than those in the United
States. For example, Mexican regulations address body mass index,
cancers and tumors, skin and appendages, psychiatric and psychological
disorders, and have specific standards for evaluation of the ear, nose
and throat and the genitourinary system. These are all areas for which
the United States has no regulatory standards. The only notable
difference involves vision. Mexico only requires red color vision while
the United States requires a color vision test for at least red, green,
and yellow. FMCSA believes that, taken as a whole, Mexico's medical
regulations are comparable to those in the United States, and provide a
level of safety at least equivalent to the U.S. regulations. FMCSA also
notes that Mexico's
[[Page 20815]]
medical examinations are performed almost exclusively by physicians at
Mexican government facilities, and when performed by private doctors,
those doctors are specifically approved by the SCT.
Third, controlled substances testing in Mexico is conducted by
personnel from SCT. DOT and SCT have implemented a MOU, under which
Mexico has agreed to collect drug testing specimens using U.S. specimen
collection procedures, including chain of custody requirements, and
U.S. collection forms to ensure the integrity of the sample. DOT has
translated its drug testing collection forms into Spanish as part of
this MOU. Although most Mexican carriers that participated in the
previous pilot program sent its drivers to U.S. collection facilities,
the Secretary of Transportation would accept a drug test using a
specimen collected in Mexico using our forms and procedures. Samples
collected in Mexico would be tested at laboratories located in the
United States that are certified by the Department of Health and Human
Services under its National Laboratory Certification Program.
Table 1 below outlines the specific U.S. and Mexican regulations in
the three areas where the Mexican regulations or processes are being
accepted as meeting U.S. requirements.
Table 1
------------------------------------------------------------------------
Description United States Mexico
------------------------------------------------------------------------
Drug and Alcohol Testing 49 CFR part Reglamento
Procedures--Random Testing.. 382. del Servicio de
Medicina Preventiva
del Transporte.
Requires
random drug testing
by motor carrier at
a 50 percent rate.
Government
conducts random
drug testing at
terminals, ports of
entry, and specific
areas along
corridors.
Drug and Alcohol Testing 49 CFR part Reglamento
Procedures--Collection of 40. del Servicio de
Samples. Medicina Preventiva
del Transporte.
Collection DGPMPT-IT-
procedures outlined 02-01; DGPMPT-PE-02-
and detailed F-01.
description of the DGPMPT-PE-
custody. 02.
DGPMPT-IT-
02-01 thru 08.
Collection
procedures have
been ISO certified.
The United
States and Mexico
have a Memorandum
of Understanding
that Mexico will,
when collecting
samples to satisfy
U.S. drug testing
regulations, use
U.S. collection
procedures and
forms. These forms
have been
translated into
Spanish and
provided to Mexico.
Drug and Alcohol Testing 49 CFR part Reglamento
Procedures--Laboratory 40. del Servicio de
Testing. Medicina Preventiva
del Transporte.
DGPMPT-PE-
Laboratories 01-IE-01.
approved by the Regulations
U.S. Department of and procedures are
Health and Human equivalent to U.S.
Services. standards.
Laboratory
is not certified
due to lack of
proper equipment
and other
procedural
requirements.
Commercial Driver's License-- 49 CFR part Ley de
Issuance. 383. Caminos, Puentes y
Autotransporte
Federal.
Outlines Articlos 89
the knowledge, y 90, Reglamento de
skills and testing Autotransportes
procedures required Federal y Servicio
to obtain a Auxilares.
commercial driver's Driver must
license. provide proof of
medical
qualification,
proof of address,
and training (both
skills and
knowledge).
Must be
renewed every 5
years (every 3
years for hazardous
material category).
Commercial Driver's License-- 49 CFR part Articulo
Training. 380. 36, 37, y 57 Ley de
Caminos, Puentes y
Autotransporte
Federal.
Outlines Articlos 89
special training y 90, Reglamento de
requirements for Autotransportes
longer combination Federal y Servicio
vehicle drivers on Auxilares.
basic operation, Programa
safe operating Minimo de
practices, advanced Capacitacion para
operations and non- Conductores del
driving activities Servicios de
training and an Autotransporte
orientation. Federal y
Transporte Privado,
Para Referendo de
Carga General
(Tractorcamion
Quinta Rueda y
Camion Utitario).
[[Page 20816]]
Outlines Outlines 41
special training hours of training
requirements for requirements
entry level drivers (theory) for new
on driver drivers
qualifications, transporting
hours of service, general cargo on
driver wellness, General
and whistleblower Introduction to
protection training. Driving, Road
Safety Education,
Defensive Driving,
Vehicle Operations,
Preventive
Maintenance and
Emergency Repair,
Latest Regulations,
plus 100 hours of
practical driving
(behind the wheel),
Practical Defensive