Aston Martin Lagonda Limited; Receipt of Petition for Temporary Exemption From New Requirements of Standard No. 214, 17231-17233 [2014-06834]
Download as PDF
Federal Register / Vol. 79, No. 59 / Thursday, March 27, 2014 / Notices
program. The March 3, 2014, notice also
provided a summary of and sought
public comment on the proposed FTA
Circular 5300.1.
The March 3, 2014, notice incorrectly
stated that the deadline for the
submission of comments on the
proposed FTA Circular 5300.1 was
April 2, 2014. The correct deadline for
the submission of comments is May 2,
2014.
Therese W. McMillan,
Deputy Administrator.
[FR Doc. 2014–06823 Filed 3–26–14; 8:45 am]
BILLING CODE P
DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety
Administration
[Docket No. NHTSA–2014–0032]
Aston Martin Lagonda Limited; Receipt
of Petition for Temporary Exemption
From New Requirements of Standard
No. 214
National Highway Traffic
Safety Administration (NHTSA),
Department of Transportation (DOT).
ACTION: Notice of receipt of a petition for
a temporary exemption from new
requirements of Federal Motor Vehicle
Safety Standard (FMVSS) No. 214, Side
impact protection; request for comment.
AGENCY:
In accordance with the
procedures in 49 CFR part 555, Aston
Martin Lagonda Limited (Aston Martin)
has petitioned the agency for a
temporary exemption from new pole
and moving deformable barrier test
requirements of FMVSS No. 214. The
petitioner states that compliance would
cause Aston Martin substantial
economic hardship and that it has tried
in good faith to comply with the
standard. NHTSA is publishing this
document in accordance with statutory
and administrative provisions, and
requests comments on the petition.
NHTSA has made no judgment on the
merits of the petition.
DATES: If you would like to comment on
the petition, you should submit your
comment not later than April 28, 2014.
FOR FURTHER INFORMATION CONTACT:
Deirdre Fujita, Office of the Chief
Counsel, NCC–112, National Highway
Traffic Safety Administration, 1200 New
Jersey Avenue SE., West Building,
Washington, DC 20590. Telephone:
(202) 366–2992; Fax: (202) 366–3820.
ADDRESSES: You may submit your
comment, identified by the docket
number in the heading of this
tkelley on DSK3SPTVN1PROD with NOTICES
SUMMARY:
VerDate Mar<15>2010
18:40 Mar 26, 2014
Jkt 232001
document, by any of the following
methods:
• Web site: https://
www.regulations.gov. Follow the
instructions for submitting comments
on the electronic docket site by clicking
on ‘‘Help and Information’’ or ‘‘Help/
Info.’’
• Fax: 1–202–493–2251.
• Mail: U.S. Department of
Transportation, Docket Operations,
M–30, Room W12–140, 1200 New Jersey
Avenue SE., Washington, DC 20590.
• Hand Delivery: 1200 New Jersey
Avenue SE., West Building Ground
Floor, Room W12–140, Washington, DC,
between 9 a.m. and 5 p.m., Monday
through Friday, except Federal
Holidays.
• Federal eRulemaking Portal: Go to
https://www.regulations.gov. Follow the
online instructions for submitting
comments.
Instructions: All submissions must
include the agency name and docket
number.
Note that all comments received will
be posted without change to https://
www.regulations.gov, including any
personal information provided. Please
see the Privacy Act discussion below.
We will consider all comments received
before the close of business on the
comment closing date indicated above.
To the extent possible, we will also
consider comments filed after the
closing date.
Docket: For access to the docket to
read background documents or
comments received, go to https://
www.regulations.gov at any time or to
1200 New Jersey Avenue SE., West
Building Ground Floor, Room W12–140,
Washington, DC 20590, between 9 a.m.
and 5 p.m., Monday through Friday,
except Federal Holidays. Telephone:
(202) 366–9826.
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 complete Privacy Act
Statement in the Federal Register
published on April 11, 2000 (Volume
65, Number 70; Pages 19477–78) or you
may visit https://www.dot.gov/
privacy.html.
Confidential Business Information: If
you wish to submit any information
under a claim of confidentiality, you
should submit three copies of your
complete submission, including the
information you claim to be confidential
business information, to the Chief
Counsel, NHTSA, at the address given
under FOR FURTHER INFORMATION
PO 00000
Frm 00106
Fmt 4703
Sfmt 4703
17231
CONTACT.
In addition, you should
submit a copy, from which you have
deleted the claimed confidential
business information, to Docket
Management at the address given above.
When you send a comment containing
information claimed to be confidential
business information, you should
include a cover letter setting forth the
information specified in our
confidential business information
regulation (49 CFR part 512).
SUPPLEMENTARY INFORMATION:
I. Background
a. Statutory Authority for Temporary
Exemptions
The National Traffic and Motor
Vehicle Safety Act (Safety Act), codified
as 49 U.S.C. Chapter 301, provides the
Secretary of Transportation authority to
exempt, on a temporary basis and under
specified circumstances, motor vehicles
from a motor vehicle safety standard or
bumper standard. This authority is set
forth at 49 U.S.C. 30113. The Secretary
has delegated the authority for
implementing this section to NHTSA.
In recognition of the more limited
resources and capabilities of small
manufacturers, authority to grant
exemptions based on substantial
economic hardship and good faith
efforts is provided in the Safety Act to
enable the agency to give those
manufacturers additional time to
comply with the Federal safety
standards. The Safety Act authorizes the
Secretary to grant a temporary
exemption to a manufacturer whose
total motor vehicle production in the
most recent year of production is not
more than 10,000 motor vehicles, on
such terms as the Secretary deems
appropriate, if the exemption would be
consistent with the public interest and
the Safety Act and ‘‘compliance with
the standard would cause substantial
economic hardship to a manufacturer
that has tried to comply with the
standard in good faith.’’ (49 U.S.C.
30113(b)(3)(B)(i).)
NHTSA established 49 CFR part 555,
Temporary Exemption from Motor
Vehicle Safety and Bumper Standards,
to implement the statutory provisions
concerning temporary exemptions.
Under Part 555, a petitioner must
provide specified information in
submitting a petition for exemption.
These requirements are specified in 49
CFR 555.5, and include a number of
items. Foremost among them are that
the petitioner must set forth the basis of
the application under § 555.6, and the
reasons why the exemption would be in
the public interest and consistent with
the objectives of the Safety Act (49
E:\FR\FM\27MRN1.SGM
27MRN1
17232
Federal Register / Vol. 79, No. 59 / Thursday, March 27, 2014 / Notices
U.S.C. Chapter 301).1 A manufacturer is
eligible to apply for a hardship
exemption if its total motor vehicle
production in its most recent year of
production did not exceed 10,000
vehicles, as determined by the NHTSA
Administrator (49 U.S.C. 30113).
b. FMVSS No. 214
tkelley on DSK3SPTVN1PROD with NOTICES
In 2007, NHTSA published a final
rule upgrading FMVSS No. 214.2 The
rule incorporated a dynamic pole test
into the standard, requiring vehicle
manufacturers to assure head and
improved chest protection in side
crashes by way of technologies such as
side curtain air bags and torso side air
bags. Among other things, the
technologies improve head and thorax
protection to occupants of vehicles that
crash into poles and trees and vehicles
that are laterally struck by a higherriding vehicle. The final rule adopted
use of two advanced test dummies in
the new pole test, representing
occupants ranging from mid-size males
to small females.3 The final rule also
enhanced the standard’s moving
deformable barrier (MDB) test by
replacing the then-existing 50th
percentile adult male dummy used in
the front seat of tested vehicles with the
more biofidelic ES–2re mid-size male
dummy, and by using the SID–IIs 5th
percentile adult female dummy in the
rear seat.
The pole test requirements are being
phased in, starting from 2010 for most
vehicles (see S9, FMVSS No. 214) and
ending with most vehicles
manufactured on or after September 1,
2014 required to meet the requirements.
Excluded from the phase-in are vehicles
that are manufactured by an original
vehicle manufacturer that produces or
assembles fewer than 5,000 vehicles
annually for sale in the United States
1 While 49 U.S.C. 30113(b) states that exemptions
from a Safety Act standard are to be granted on a
‘‘temporary basis,’’ (49 U.S.C. 30113(b)(1)), the
statute also expressly provides for renewal of an
exemption on reapplication. Manufacturers are
nevertheless cautioned that the agency’s decision to
grant an initial petition in no way predetermines
that the agency will repeatedly grant renewal
petitions, thereby imparting semi-permanent status
to an exemption from a safety standard. Exempted
manufacturers seeking renewal must bear in mind
that the agency is directed to consider financial
hardship as but one factor, along with the
manufacturer’s ongoing good faith efforts to comply
with the regulation, the public interest, consistency
with the Safety Act, generally, as well as other such
matters provided in the statute.
2 72 FR 51908 (September 11, 2007); response to
petitions for reconsideration 73 FR 32473 (June 9,
2008), 75 FR 12123 (March 15, 2010).
3 A test dummy known as the ES–2re represents
mid-size adult male occupants. A test dummy
known as the SID–IIs represents smaller stature
occupants. The SID–IIs is the size of a 5th
percentile adult female.
VerDate Mar<15>2010
18:40 Mar 26, 2014
Jkt 232001
(‘‘small volume manufacturers’’)
(S9.1.3(a)(1)). Under FMVSS No. 214,
small volume manufacturers are not
subject to the phase-in, but must certify
the compliance of their vehicles
manufactured on or after September 1,
2014, to the pole test.
In addition, FMVSS No. 214 provides
that the pole test does not apply to
convertibles manufactured before
September 1, 2015 (S9.1.3(d)(1)).
The enhanced MDB test is also being
phased in (see S7.2.1, FMVSS No. 214)
based on the same phase-in schedule as
the pole test. Excluded from the phasein are small volume manufacturers (see
S7.2.4(a)(1)). Under FMVSS No. 214,
small volume manufacturers are not
subject to the phase-in, but must certify
the compliance of their vehicles
manufactured on or after September 1,
2014 to the enhanced MDB
requirements.
FMVSS No. 214 also provides that the
enhanced MDB requirements do not
apply to convertibles manufactured
before September 1, 2015 (S7.2.4(a)(3)).
According to Aston Martin’s petition,
the manufacturer currently
manufactures approximately 4,000
Aston Martin brand vehicles per year
worldwide. Thus, the requirements that
are the subject of the petition are
FMVSS No. 214’s pole and enhanced
MDB requirements, which apply to
petitioner’s sedans (coupes)
manufactured on or after September 1,
2014, and to the convertibles
manufactured on or after September 1,
2015.
c. Summary of Petition 4
In accordance with 49 U.S.C. 30113
and the procedures in 49 CFR part 555,
Aston Martin has submitted a petition
asking the agency for a temporary
exemption from the new pole and MDB
requirements of FMVSS No. 214 5 for
the petitioner’s DB9 and Vantage
models. (Aston Martin states that the
two other models it produces—the
Vanquish and the Rapide S—will be
compliant with the pole and enhanced
MDB tests on September 1, 2014
(regarding the coupes) and September 1,
2015 (regarding the convertibles).) The
basis for the application is that
compliance would cause Aston Martin
substantial economic hardship and that
4 To
view the petition, go to https://
www.regulations.gov and enter the docket number
set forth in the heading of this document.
5 NHTSA understands the petitioner as referring
to the ‘‘vehicle-to-pole requirements’’ in S9 of
FMVSS No. 214 and to the ‘‘moving deformable
barrier (MDB) requirements’’ in S7, specifically the
requirements in S7.2, ‘‘MDB test with advanced test
dummies.’’
PO 00000
Frm 00107
Fmt 4703
Sfmt 4703
the petitioner has tried in good faith to
comply with the standard.
Aston Martin describes itself as a
corporation organized under the laws of
England. Petitioner states that it ‘‘has
never manufactured in any year
(calendar or model) more than 7,500
Aston Martin brand vehicles.’’ 6 It sells
its cars through a network of 150
dealerships worldwide. Petitioner states
that since the sale by Ford in 2007,
Aston Martin ‘‘has been an independent
manufacturer not connected to any large
OEM.’’
The petition requests an exemption
for the following periods:
• DB9 coupe model production from
September 1, 2014 until August 31,
2016;
• DB9 convertible model production
from September 1, 2015 until August 31,
2016;
• Vantage coupe model production
from September 1, 2014 until August 31,
2017; and,
• Vantage convertible model
production from September 1, 2015
until August 31, 2017.
The petitioner believes that 670
vehicles would be covered by the
requested exemption. This would be the
total number of exempted vehicles
imported into the United States over the
entire exemption period.
According to the petition, Aston
Martin originally planned for the ‘‘roll
out of the next generation’’ DB9 and
Vantage models to meet the new pole
and MDB requirements of FMVSS No.
214. [Emphasis in text.] The petitioner
states that Aston Martin started
development work on its two models
(the Vanquish and the Rapide) that
would not be moving into a new
generation by the compliance dates of
the new pole and MBD requirements.
Petitioner states that these two models
are on track for meeting the new FMVSS
No. 214 requirements by the date
specified by the standard. Petitioner
states that Aston Martin ‘‘did not foresee
the need to reengineer the current DB9
and Vantage for new MDB and pole test
compliance because these models were
scheduled to be replaced by the next
generation vehicles.’’
However, Aston Martin explains, the
arrival of the next generation of the DB9
and Vantage models has been delayed.
Petitioner states:
Because of little market recovery since
2009, Aston Martin sales volumes have not
been sufficient to fund the investment
required to deliver the original 2011 plan.
Due to these funding constraints, spending
on the next generation of vehicles was
6 The petitioner provided confidential production
figures to support its claim.
E:\FR\FM\27MRN1.SGM
27MRN1
Federal Register / Vol. 79, No. 59 / Thursday, March 27, 2014 / Notices
tkelley on DSK3SPTVN1PROD with NOTICES
minimal, and Aston Martin could not initiate
the start of FMVSS 214 compliance programs
on DB9 or Vantage. Therefore, the company
investigated options to deliver more cash into
the business. It was not until 30 April 2013
that Aston Martin received a capital increase
of £150m into the business from
Investindustrial in return for a 37.5% interest
in the company. This capital injection
provided the funds needed to deliver the
next generation of vehicles. In short, Aston
Martin needs the exemption to continue the
DB9 and Vantage USA production until the
replacement vehicles are ready.
The petition provides information on
the effect that compliance—or a failure
to obtain an exemption—would have on
the manufacturer. Petitioner states that
the DB9 and Vantage models will not
comply with the pole and enhanced
MDB test requirements ‘‘without
complete revision of the side air bag
systems and complete validation of
crash testing.’’ Aston Martin states that
developing completely new pole and
MDB test compliance systems for the
vehicles ‘‘would be cost prohibitive
given that these models will cease USA
production in the near term and the cost
of amortization over the approximately
670 cars at issue would be economically
infeasible.’’
Aston Martin indicates that its past
three year financial statements show a
cumulative loss of approximately £39
Million. Petitioner believes that the
effect amounts to substantial economic
hardship ‘‘above and beyond the
substantial economic hardship that
Aston Martin is presently
experiencing.’’ Among other matters,
petitioner states that approximately $30
million expenditure would be required
to achieve compliance, and the finances
needed to meet the new pole and MDB
requirements are ‘‘just not available.’’
In addition, petitioner states, ‘‘The
new investor in Aston Martin has
committed its investment money for the
next generation vehicle—as obviously
the longer term hopes for the company
depend on the future models. Aston
Martin funding needs to be focused on
the next generation of vehicles to ensure
the recovery of the company and protect
its dealer network.’’
Aston Martin provides information
related to its efforts to comply with the
standard. Petitioner states that its
challenges to reengineer the DB9 and
Vantage relate to: its being a small
organization with limited skilled
internal resources; at least two global
restraint system suppliers have
indicated that Aston Martin’s volumes
are too low for the suppliers to be
interested in its projects; ‘‘few external
CAE/Structural suppliers have
experience in Aston Martin’s unique
bonded aluminum structural concept;
VerDate Mar<15>2010
18:40 Mar 26, 2014
Jkt 232001
and the need to also engineer
compliance with FMVSS No. 226,
‘‘Ejection mitigation.’’ Petitioner states
that ‘‘for Aston Martin to find an interim
MDB/Pole solution for only 670 cars
and then to be compelled to reengineer
FMVSS 208, 214 and 226 compliance
for 2017 would be a huge investment
which Aston Martin neither has nor can
justify.’’ [Emphases in text.]
Aston Martin believes that the
number of vehicles to be sold in the U.S.
during the exemption would be ‘‘very
low and the number of annual miles
driven in Aston Martin vehicles is very
low (on average 2617 miles).’’ Further,
Aston Martin contends that ‘‘denial of
the exemption request here will have a
negative effect on U.S. employment.’’
Petitioner believes that if the petition
were denied, ‘‘for a 2–3 year period U.S.
dealers would be restricted in their
product range and would only be able
to sell Vanquish and Rapide S, which
would impact their ability to maintain
a financial viable operation.’’ Aston
Martin notes that the DB9 was tested to
the pole test with the ES–2re adult male
dummy and passed the injury criteria,
but did not do so with a compliance
margin sufficient for the manufacturer
to certify compliance based on a single
test.
d. Completeness and Comment Period
Upon receiving a petition, NHTSA
conducts an initial review of the
petition with respect to whether the
petition is complete and whether the
petitioner appears to be eligible to apply
for the requested exemption. The agency
has tentatively concluded that Aston
Martin’s petition is complete and that
the petitioner is eligible to apply for a
temporary exemption. The agency has
not made any judgment on the merits of
the application, and is placing a nonconfidential copy of the petition in the
docket.
The agency seeks comment from the
public on the merits of Aston Martin’s
petition for a temporary exemption from
the pole and enhanced MDB
requirements of FMVSS No. 214. After
considering public comments and other
available information, we will publish a
notice of final action on the petition in
the Federal Register.
Issued on: March 20, 2014.
Claude H. Harris,
Acting Associate Administrator for
Rulemaking.
[FR Doc. 2014–06834 Filed 3–26–14; 8:45 am]
BILLING CODE 4910–59–P
PO 00000
Frm 00108
Fmt 4703
17233
DEPARTMENT OF TRANSPORTATION
Surface Transportation Board
[Docket No. AB 414 (Sub-No. 7X)]
Iowa Interstate Railroad, Ltd.—
Abandonment Exemption—in
Pottawattamie County, Iowa
Iowa Interstate Railroad, Ltd. (IAIS)
has filed a verified notice of exemption
under 49 CFR part 1152 subpart F—
Exempt Abandonments to abandon a
line of railroad extending from milepost
467.77 near Hancock Junction, Iowa, to
the end of the track at milepost 469.59
near Oakland, Iowa, a distance of
approximately 1.82 miles in
Pottawattamie County, Iowa. The line
traverses United States Postal Service
Zip Code 51560.
IAIS has certified that: (1) No local
traffic has moved over the line for at
least two years; (2) no overhead traffic
could be or was previously handled on
the stub-ended line; (3) no formal
complaint by a user of rail service on
the line (or a state or local government
entity acting on behalf of such user)
regarding cessation of service over the
line either is pending with the Surface
Transportation Board (Board) or with
any U.S. District Court or has been
decided in favor of complainant during
the last two years; and (4) the
requirements at 49 CFR 1105.7(c)
(environmental report), 49 CFR 1105.11
(transmittal letter), 49 CFR 1105.12
(newspaper publication), and 49 CFR
1152.50(d)(1) (notice to governmental
agencies) have been met.
As a condition to this exemption, any
employee adversely affected by the
abandonment shall be protected under
Oregon Short Line Railroad—
Abandonment Portion Goshen Branch
Between Firth & Ammon, in Bingham &
Bonneville Counties, Idaho, 360 I.C.C.
91 (1979). To address whether this
condition adequately protects affected
employees, a petition for partial
revocation under 49 U.S.C. 10502(d)
must be filed.
Provided no formal expression of
intent to file an offer of financial
assistance (OFA) has been received, this
exemption will be effective on April 26,
2014, unless stayed pending
reconsideration. Petitions to stay that do
not involve environmental issues,1
1 The Board will grant a stay if an informed
decision on environmental issues (whether raised
by a party or by the Board’s Office of Environmental
Analysis (OEA) in its independent investigation)
cannot be made before the exemption’s effective
date. See Exemption of Out-of-Serv. Rail Lines, 5
I.C.C. 2d 377 (1989). Any request for a stay should
be filed as soon as possible so that the Board may
Continued
Sfmt 4703
E:\FR\FM\27MRN1.SGM
27MRN1
Agencies
[Federal Register Volume 79, Number 59 (Thursday, March 27, 2014)]
[Notices]
[Pages 17231-17233]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-06834]
-----------------------------------------------------------------------
DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety Administration
[Docket No. NHTSA-2014-0032]
Aston Martin Lagonda Limited; Receipt of Petition for Temporary
Exemption From New Requirements of Standard No. 214
AGENCY: National Highway Traffic Safety Administration (NHTSA),
Department of Transportation (DOT).
ACTION: Notice of receipt of a petition for a temporary exemption from
new requirements of Federal Motor Vehicle Safety Standard (FMVSS) No.
214, Side impact protection; request for comment.
-----------------------------------------------------------------------
SUMMARY: In accordance with the procedures in 49 CFR part 555, Aston
Martin Lagonda Limited (Aston Martin) has petitioned the agency for a
temporary exemption from new pole and moving deformable barrier test
requirements of FMVSS No. 214. The petitioner states that compliance
would cause Aston Martin substantial economic hardship and that it has
tried in good faith to comply with the standard. NHTSA is publishing
this document in accordance with statutory and administrative
provisions, and requests comments on the petition. NHTSA has made no
judgment on the merits of the petition.
DATES: If you would like to comment on the petition, you should submit
your comment not later than April 28, 2014.
FOR FURTHER INFORMATION CONTACT: Deirdre Fujita, Office of the Chief
Counsel, NCC-112, National Highway Traffic Safety Administration, 1200
New Jersey Avenue SE., West Building, Washington, DC 20590. Telephone:
(202) 366-2992; Fax: (202) 366-3820.
ADDRESSES: You may submit your comment, identified by the docket number
in the heading of this document, by any of the following methods:
Web site: https://www.regulations.gov. Follow the
instructions for submitting comments on the electronic docket site by
clicking on ``Help and Information'' or ``Help/Info.''
Fax: 1-202-493-2251.
Mail: U.S. Department of Transportation, Docket
Operations, M-30, Room W12-140, 1200 New Jersey Avenue SE., Washington,
DC 20590.
Hand Delivery: 1200 New Jersey Avenue SE., West Building
Ground Floor, Room W12-140, Washington, DC, between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal Holidays.
Federal eRulemaking Portal: Go to https://www.regulations.gov. Follow the online instructions for submitting
comments.
Instructions: All submissions must include the agency name and
docket number.
Note that all comments received will be posted without change to
https://www.regulations.gov, including any personal information
provided. Please see the Privacy Act discussion below. We will consider
all comments received before the close of business on the comment
closing date indicated above. To the extent possible, we will also
consider comments filed after the closing date.
Docket: For access to the docket to read background documents or
comments received, go to https://www.regulations.gov at any time or to
1200 New Jersey Avenue SE., West Building Ground Floor, Room W12-140,
Washington, DC 20590, between 9 a.m. and 5 p.m., Monday through Friday,
except Federal Holidays. Telephone: (202) 366-9826.
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
complete Privacy Act Statement in the Federal Register published on
April 11, 2000 (Volume 65, Number 70; Pages 19477-78) or you may visit
https://www.dot.gov/privacy.html.
Confidential Business Information: If you wish to submit any
information under a claim of confidentiality, you should submit three
copies of your complete submission, including the information you claim
to be confidential business information, to the Chief Counsel, NHTSA,
at the address given under FOR FURTHER INFORMATION CONTACT. In
addition, you should submit a copy, from which you have deleted the
claimed confidential business information, to Docket Management at the
address given above. When you send a comment containing information
claimed to be confidential business information, you should include a
cover letter setting forth the information specified in our
confidential business information regulation (49 CFR part 512).
SUPPLEMENTARY INFORMATION:
I. Background
a. Statutory Authority for Temporary Exemptions
The National Traffic and Motor Vehicle Safety Act (Safety Act),
codified as 49 U.S.C. Chapter 301, provides the Secretary of
Transportation authority to exempt, on a temporary basis and under
specified circumstances, motor vehicles from a motor vehicle safety
standard or bumper standard. This authority is set forth at 49 U.S.C.
30113. The Secretary has delegated the authority for implementing this
section to NHTSA.
In recognition of the more limited resources and capabilities of
small manufacturers, authority to grant exemptions based on substantial
economic hardship and good faith efforts is provided in the Safety Act
to enable the agency to give those manufacturers additional time to
comply with the Federal safety standards. The Safety Act authorizes the
Secretary to grant a temporary exemption to a manufacturer whose total
motor vehicle production in the most recent year of production is not
more than 10,000 motor vehicles, on such terms as the Secretary deems
appropriate, if the exemption would be consistent with the public
interest and the Safety Act and ``compliance with the standard would
cause substantial economic hardship to a manufacturer that has tried to
comply with the standard in good faith.'' (49 U.S.C.
30113(b)(3)(B)(i).)
NHTSA established 49 CFR part 555, Temporary Exemption from Motor
Vehicle Safety and Bumper Standards, to implement the statutory
provisions concerning temporary exemptions. Under Part 555, a
petitioner must provide specified information in submitting a petition
for exemption. These requirements are specified in 49 CFR 555.5, and
include a number of items. Foremost among them are that the petitioner
must set forth the basis of the application under Sec. 555.6, and the
reasons why the exemption would be in the public interest and
consistent with the objectives of the Safety Act (49
[[Page 17232]]
U.S.C. Chapter 301).\1\ A manufacturer is eligible to apply for a
hardship exemption if its total motor vehicle production in its most
recent year of production did not exceed 10,000 vehicles, as determined
by the NHTSA Administrator (49 U.S.C. 30113).
---------------------------------------------------------------------------
\1\ While 49 U.S.C. 30113(b) states that exemptions from a
Safety Act standard are to be granted on a ``temporary basis,'' (49
U.S.C. 30113(b)(1)), the statute also expressly provides for renewal
of an exemption on reapplication. Manufacturers are nevertheless
cautioned that the agency's decision to grant an initial petition in
no way predetermines that the agency will repeatedly grant renewal
petitions, thereby imparting semi-permanent status to an exemption
from a safety standard. Exempted manufacturers seeking renewal must
bear in mind that the agency is directed to consider financial
hardship as but one factor, along with the manufacturer's ongoing
good faith efforts to comply with the regulation, the public
interest, consistency with the Safety Act, generally, as well as
other such matters provided in the statute.
---------------------------------------------------------------------------
b. FMVSS No. 214
In 2007, NHTSA published a final rule upgrading FMVSS No. 214.\2\
The rule incorporated a dynamic pole test into the standard, requiring
vehicle manufacturers to assure head and improved chest protection in
side crashes by way of technologies such as side curtain air bags and
torso side air bags. Among other things, the technologies improve head
and thorax protection to occupants of vehicles that crash into poles
and trees and vehicles that are laterally struck by a higher-riding
vehicle. The final rule adopted use of two advanced test dummies in the
new pole test, representing occupants ranging from mid-size males to
small females.\3\ The final rule also enhanced the standard's moving
deformable barrier (MDB) test by replacing the then-existing 50th
percentile adult male dummy used in the front seat of tested vehicles
with the more biofidelic ES-2re mid-size male dummy, and by using the
SID-IIs 5th percentile adult female dummy in the rear seat.
---------------------------------------------------------------------------
\2\ 72 FR 51908 (September 11, 2007); response to petitions for
reconsideration 73 FR 32473 (June 9, 2008), 75 FR 12123 (March 15,
2010).
\3\ A test dummy known as the ES-2re represents mid-size adult
male occupants. A test dummy known as the SID-IIs represents smaller
stature occupants. The SID-IIs is the size of a 5th percentile adult
female.
---------------------------------------------------------------------------
The pole test requirements are being phased in, starting from 2010
for most vehicles (see S9, FMVSS No. 214) and ending with most vehicles
manufactured on or after September 1, 2014 required to meet the
requirements. Excluded from the phase-in are vehicles that are
manufactured by an original vehicle manufacturer that produces or
assembles fewer than 5,000 vehicles annually for sale in the United
States (``small volume manufacturers'') (S9.1.3(a)(1)). Under FMVSS No.
214, small volume manufacturers are not subject to the phase-in, but
must certify the compliance of their vehicles manufactured on or after
September 1, 2014, to the pole test.
In addition, FMVSS No. 214 provides that the pole test does not
apply to convertibles manufactured before September 1, 2015
(S9.1.3(d)(1)).
The enhanced MDB test is also being phased in (see S7.2.1, FMVSS
No. 214) based on the same phase-in schedule as the pole test. Excluded
from the phase-in are small volume manufacturers (see S7.2.4(a)(1)).
Under FMVSS No. 214, small volume manufacturers are not subject to the
phase-in, but must certify the compliance of their vehicles
manufactured on or after September 1, 2014 to the enhanced MDB
requirements.
FMVSS No. 214 also provides that the enhanced MDB requirements do
not apply to convertibles manufactured before September 1, 2015
(S7.2.4(a)(3)).
According to Aston Martin's petition, the manufacturer currently
manufactures approximately 4,000 Aston Martin brand vehicles per year
worldwide. Thus, the requirements that are the subject of the petition
are FMVSS No. 214's pole and enhanced MDB requirements, which apply to
petitioner's sedans (coupes) manufactured on or after September 1,
2014, and to the convertibles manufactured on or after September 1,
2015.
c. Summary of Petition 4
---------------------------------------------------------------------------
\4\ To view the petition, go to https://www.regulations.gov and
enter the docket number set forth in the heading of this document.
---------------------------------------------------------------------------
In accordance with 49 U.S.C. 30113 and the procedures in 49 CFR
part 555, Aston Martin has submitted a petition asking the agency for a
temporary exemption from the new pole and MDB requirements of FMVSS No.
214 \5\ for the petitioner's DB9 and Vantage models. (Aston Martin
states that the two other models it produces--the Vanquish and the
Rapide S--will be compliant with the pole and enhanced MDB tests on
September 1, 2014 (regarding the coupes) and September 1, 2015
(regarding the convertibles).) The basis for the application is that
compliance would cause Aston Martin substantial economic hardship and
that the petitioner has tried in good faith to comply with the
standard.
---------------------------------------------------------------------------
\5\ NHTSA understands the petitioner as referring to the
``vehicle-to-pole requirements'' in S9 of FMVSS No. 214 and to the
``moving deformable barrier (MDB) requirements'' in S7, specifically
the requirements in S7.2, ``MDB test with advanced test dummies.''
---------------------------------------------------------------------------
Aston Martin describes itself as a corporation organized under the
laws of England. Petitioner states that it ``has never manufactured in
any year (calendar or model) more than 7,500 Aston Martin brand
vehicles.'' \6\ It sells its cars through a network of 150 dealerships
worldwide. Petitioner states that since the sale by Ford in 2007, Aston
Martin ``has been an independent manufacturer not connected to any
large OEM.''
---------------------------------------------------------------------------
\6\ The petitioner provided confidential production figures to
support its claim.
---------------------------------------------------------------------------
The petition requests an exemption for the following periods:
DB9 coupe model production from September 1, 2014 until
August 31, 2016;
DB9 convertible model production from September 1, 2015
until August 31, 2016;
Vantage coupe model production from September 1, 2014
until August 31, 2017; and,
Vantage convertible model production from September 1,
2015 until August 31, 2017.
The petitioner believes that 670 vehicles would be covered by the
requested exemption. This would be the total number of exempted
vehicles imported into the United States over the entire exemption
period.
According to the petition, Aston Martin originally planned for the
``roll out of the next generation'' DB9 and Vantage models to meet the
new pole and MDB requirements of FMVSS No. 214. [Emphasis in text.] The
petitioner states that Aston Martin started development work on its two
models (the Vanquish and the Rapide) that would not be moving into a
new generation by the compliance dates of the new pole and MBD
requirements. Petitioner states that these two models are on track for
meeting the new FMVSS No. 214 requirements by the date specified by the
standard. Petitioner states that Aston Martin ``did not foresee the
need to reengineer the current DB9 and Vantage for new MDB and pole
test compliance because these models were scheduled to be replaced by
the next generation vehicles.''
However, Aston Martin explains, the arrival of the next generation
of the DB9 and Vantage models has been delayed. Petitioner states:
Because of little market recovery since 2009, Aston Martin sales
volumes have not been sufficient to fund the investment required to
deliver the original 2011 plan. Due to these funding constraints,
spending on the next generation of vehicles was
[[Page 17233]]
minimal, and Aston Martin could not initiate the start of FMVSS 214
compliance programs on DB9 or Vantage. Therefore, the company
investigated options to deliver more cash into the business. It was
not until 30 April 2013 that Aston Martin received a capital
increase of [pound]150m into the business from Investindustrial in
return for a 37.5% interest in the company. This capital injection
provided the funds needed to deliver the next generation of
vehicles. In short, Aston Martin needs the exemption to continue the
DB9 and Vantage USA production until the replacement vehicles are
ready.
The petition provides information on the effect that compliance--or
a failure to obtain an exemption--would have on the manufacturer.
Petitioner states that the DB9 and Vantage models will not comply with
the pole and enhanced MDB test requirements ``without complete revision
of the side air bag systems and complete validation of crash testing.''
Aston Martin states that developing completely new pole and MDB test
compliance systems for the vehicles ``would be cost prohibitive given
that these models will cease USA production in the near term and the
cost of amortization over the approximately 670 cars at issue would be
economically infeasible.''
Aston Martin indicates that its past three year financial
statements show a cumulative loss of approximately [pound]39 Million.
Petitioner believes that the effect amounts to substantial economic
hardship ``above and beyond the substantial economic hardship that
Aston Martin is presently experiencing.'' Among other matters,
petitioner states that approximately $30 million expenditure would be
required to achieve compliance, and the finances needed to meet the new
pole and MDB requirements are ``just not available.''
In addition, petitioner states, ``The new investor in Aston Martin
has committed its investment money for the next generation vehicle--as
obviously the longer term hopes for the company depend on the future
models. Aston Martin funding needs to be focused on the next generation
of vehicles to ensure the recovery of the company and protect its
dealer network.''
Aston Martin provides information related to its efforts to comply
with the standard. Petitioner states that its challenges to reengineer
the DB9 and Vantage relate to: its being a small organization with
limited skilled internal resources; at least two global restraint
system suppliers have indicated that Aston Martin's volumes are too low
for the suppliers to be interested in its projects; ``few external CAE/
Structural suppliers have experience in Aston Martin's unique bonded
aluminum structural concept; and the need to also engineer compliance
with FMVSS No. 226, ``Ejection mitigation.'' Petitioner states that
``for Aston Martin to find an interim MDB/Pole solution for only 670
cars and then to be compelled to reengineer FMVSS 208, 214 and 226
compliance for 2017 would be a huge investment which Aston Martin
neither has nor can justify.'' [Emphases in text.]
Aston Martin believes that the number of vehicles to be sold in the
U.S. during the exemption would be ``very low and the number of annual
miles driven in Aston Martin vehicles is very low (on average 2617
miles).'' Further, Aston Martin contends that ``denial of the exemption
request here will have a negative effect on U.S. employment.''
Petitioner believes that if the petition were denied, ``for a 2-3 year
period U.S. dealers would be restricted in their product range and
would only be able to sell Vanquish and Rapide S, which would impact
their ability to maintain a financial viable operation.'' Aston Martin
notes that the DB9 was tested to the pole test with the ES-2re adult
male dummy and passed the injury criteria, but did not do so with a
compliance margin sufficient for the manufacturer to certify compliance
based on a single test.
d. Completeness and Comment Period
Upon receiving a petition, NHTSA conducts an initial review of the
petition with respect to whether the petition is complete and whether
the petitioner appears to be eligible to apply for the requested
exemption. The agency has tentatively concluded that Aston Martin's
petition is complete and that the petitioner is eligible to apply for a
temporary exemption. The agency has not made any judgment on the merits
of the application, and is placing a non-confidential copy of the
petition in the docket.
The agency seeks comment from the public on the merits of Aston
Martin's petition for a temporary exemption from the pole and enhanced
MDB requirements of FMVSS No. 214. After considering public comments
and other available information, we will publish a notice of final
action on the petition in the Federal Register.
Issued on: March 20, 2014.
Claude H. Harris,
Acting Associate Administrator for Rulemaking.
[FR Doc. 2014-06834 Filed 3-26-14; 8:45 am]
BILLING CODE 4910-59-P