Agency Information Collection Activities; Approval of a New Information Collection Request: FMCSA Registration System (FRS), 68980-68984 [2024-18946]

Agencies

• Federal Motor Carrier Safety Administration
• DEPARTMENT OF TRANSPORTATION

[Federal Register Volume 89, Number 167 (Wednesday, August 28, 2024)]
[Notices]
[Pages 68980-68984]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-18946]


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DEPARTMENT OF TRANSPORTATION

Federal Motor Carrier Safety Administration

[Docket No. FMCSA-2024-0109]


Agency Information Collection Activities; Approval of a New 
Information Collection Request: FMCSA Registration System (FRS)

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

ACTION: Notice and request for comments.

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[[Page 68981]]

SUMMARY: In accordance with the Paperwork Reduction Act of 1995, FMCSA 
announces its plan to submit the Information Collection Request (ICR) 
described below to the Office of Management and Budget (OMB) for review 
and approval. FMCSA is replacing its Unified Registration System (URS), 
with a new, online registration system, which will be named the ``FMCSA 
Registration System'' (FRS). The new system will allow all persons 
required to register under the Agency's commercial or safety 
jurisdiction to do so online.

DATES: Comments on this notice must be received on or before September 
27, 2024.

ADDRESSES: Written comments and recommendations for the proposed 
information collection should be submitted within 30 days of 
publication of this notice to www.reginfo.gov/public/do/PRAMain. Find 
this information collection by selecting ``Currently under 30-day 
Review--Open for Public Comments'' or by using the search function.

FOR FURTHER INFORMATION CONTACT: Mr. Jeffrey Secrist, Office of 
Registration, Chief, Registration Division, DOT, FMCSA, West Building, 
6th Floor, 1200 New Jersey Avenue SE, Washington, DC 20590; (202) 385-
2367; [email protected].

SUPPLEMENTARY INFORMATION: 
    Title: FMCSA Registration System.
    OMB Control Number: 2126-00XX.
    Type of Request: New ICR.
    Respondents: Motor carriers, freight forwarders, brokers, and other 
entities regulated by the Agency.
    Estimated Number of Respondents: 764,582.
    Estimated Time per Response: Varies.
    Expiration Date: This is a new ICR.
    Frequency of Response: Annually.
    Estimated Total Annual Burden: 583,306 Hours.
    This new ICR will apply to: new registrants applying for safety 
and/or operating authority registration for the first time from FMCSA; 
existing registrants (i.e., entities that already have a USDOT number 
and/or operating authority) that are subject to FMCSA's registration 
and certification regulations that wish to apply for additional 
authorities; Mexico-domiciled carriers that wish to operate beyond the 
U.S. municipalities on the U.S.-Mexico border and their commercial 
zones; registrants seeking to process name changes, address changes, 
and reinstatements of operating authority for motor carriers, freight 
forwarders, and brokers; registrants which are requesting to 
voluntarily suspend their safety and/or operating authority 
registration with FMCSA; and motor carriers, brokers and freight 
forwarders that must designate an agent on whom service of notices in 
proceedings before the Secretary may be made. It will also apply to 
designated agents and those entities providing proof of financial 
responsibility requirements, such as insurance companies and bond 
agents. Four comments were received in response to the 60-day Federal 
Register notice. This 30-day FR notice corrects the number of 
respondents stated in the 60-day FR, and hence the estimated burden 
hours calculated and stated in the 60-day FR, after FMCSA realized the 
most current data was not applied.

Background

    FMCSA registers for-hire motor carriers of regulated commodities 
and of passengers, under 49 United States Code (U.S.C.) 13902(a); 
surface freight forwarders, under 49 U.S.C. 13903; property brokers, 
under 49 U.S.C. 13904; certain Mexico-domiciled motor carriers, under 
49 U.S.C. 13902(c), and cargo tank motor vehicle manufacturers, 
assemblers, repairers, inspectors, testers, and design certifying 
engineers under 49 U.S.C. 5121a, 49 CFR 1.87, and 49 CFR part 107, 
subpart F. These motor carriers may conduct transportation services in 
the United States only if they are registered with FMCSA. Each 
registration is effective from the date specified and remains in effect 
for such period as the Secretary of Transportation (Secretary) 
determines by regulations.
    Motor carriers, freight forwarders, and property brokers are 
required to request a name or address change and to request 
reinstatement of a revoked operating authority. Procedures for changing 
the name or business form of a motor carrier, freight forwarder, or 
property broker (Sec.  365.413T) require that motor carriers, 
forwarders, and brokers must submit the required information to FMCSA's 
Office of Registration requesting the change.
    Subsection (d) of 49 U.S.C. 13905 also provides that on application 
of the registrant, the Secretary may amend or revoke a registration, 
and hence the registrant's operating authority. These registrants may 
apply to voluntarily revoke their operating authority or parts thereof. 
If the registrant fails to maintain evidence of the required level of 
insurance coverage on file with FMCSA, its operating authority will be 
revoked involuntarily. Although the effect of both types of revocation 
is the same, some registrants prefer to request voluntary revocation. 
For various business reasons, a registrant may request revocation of 
part, but not all, of its operating authority.
    Registered motor carriers, brokers, and freight forwarders must 
designate an agent on whom service of notices in proceedings before the 
Secretary may be made (49 U.S.C. 13303). Registered motor carriers must 
also designate an agent for every State in which they operate and 
traverse in the United States during such operations, on whom process 
issued by a court may be served in actions brought against the 
registered motor carrier (49 U.S.C. 13304, Sec.  366.4T). Every broker 
shall make a designation for each State in which its offices are 
located or in which contracts are written (49 U.S.C. 13304, Sec.  
366.4T). Regulations governing the designation of process agents are 
found at 49 CFR part 366.
    FMCSA requests information to identify the applicant, the nature 
and scope of its proposed operations, safety-related details, and 
information regarding the drivers and vehicles it plans to use in U.S. 
operations. FMCSA and the States use registration information collected 
to track motor carriers, freight forwarders, brokers, and other 
entities they regulate. Registering motor carriers is essential to 
being able to identify carriers so that their safety performance can be 
tracked and evaluated. The data makes it possible to link individual 
trucks to the responsible motor carrier, thus implementing the mandate 
under 49 U.S.C. 31136(a)(1); that is, ensuring that commercial motor 
vehicles are maintained and operated safely. In general, registration 
information collected informs prioritization of the Agency's activities 
and aids in assessing and statistically analyzing the safety outcomes 
of those activities.
    The final rule titled ``Unified Registration System,'' (78 FR 
52608) dated August 23, 2013, implemented statutory provisions for an 
online registration system for entities that are subject to FMCSA's 
licensing, registration, and certification regulations. When developing 
URS, FMCSA planned that the OP-1 series of forms (except for OP-1(MX)) 
would ultimately be folded into one overarching form (MCSA-1), which 
would be used by all motor carriers seeking authority.
    FMCSA began a phased rollout of URS in 2015. The first phase, which 
became effective on December 12, 2015, impacted only first-time 
applicants seeking an FMCSA-issued registration. FMCSA had planned 
subsequent rollout phases for existing registrants; however, there were 
substantial delays, and

[[Page 68982]]

subsequent phases have not been rolled out to date. On January 17, 
2017, FMCSA issued a final rule titled ``Unified Registration System; 
Suspension of Effectiveness,'' which indefinitely suspended URS 
effectiveness dates for existing registrants only (82 FR 5292).
    Pursuant to this final rule, FMCSA was accepting forms OP-1, OP-
1(P), OP-1(FF), and OP-1(NNA) for existing registrants wishing to apply 
for additional authorities. Separately, FMCSA requires Form OP-1(MX) 
for Mexico-domiciled carriers that wish to operate beyond the U.S. 
municipalities on the U.S.-Mexico border and their commercial zones. 
Forms in the OP-1 series request information to identify the applicant, 
the nature and scope of its proposed operations, a narrative 
description of the applicant's safety policies and procedures, and 
information regarding the drivers and vehicles it plans to use in U.S. 
operations. The OP-1 series also requests information on the 
applicant's familiarity with relevant safety requirements, the 
applicant's willingness to comply with those requirements during its 
operations, and the applicant's willingness to meet any specific 
statutory and regulatory requirements applicable to its proposed 
operations. Information collected through these forms aids FMCSA in 
determining the type of operation a company may run, the cargo it may 
carry, and the resulting level of insurance coverage the applicant will 
be required to obtain and maintain to continue its operating authority.
    In addition, FMCSA accepted Form MCS-150 (Motor Carrier 
Identification Report, Application for USDOT Number), Form MCS-150B 
(Combined Motor Carrier Identification Report and Hazardous Materials 
Permit Application), and MCS-150C (Intermodal Equipment Provider 
Identification Report, Application for USDOT Number). Title 49, U.S.C. 
504(b)(2) provides the Secretary with authority to require carriers, 
lessors, associations, or classes of these entities to file annual, 
periodic, and special reports containing answers to questions asked by 
the Secretary. Existing registrants use the MCS-150 or MCS-150B to 
update their information in the Motor Carrier Management Information 
System, while applicants filing for the first time were required to 
file on-line using URS. Form MCS-150 or MCS-150B is also used for 
Mexico-domiciled carriers that seek authority to operate beyond the 
United States municipalities on the United States-Mexico border and 
their commercial zones.
    Registered motor carriers, brokers, and freight forwarders must 
designate an agent on whom service of notices in proceedings before the 
Secretary may be made through filing the Form BOC-3, Designation of 
Agents for Service of Process. Registered motor carriers must designate 
an agent for every State in which they operate and traverse in the 
United States during such operations, on whom process issued by a court 
may be served in actions brought against the registered motor carrier 
(49 U.S.C. 13304, Sec.  366.4T). Every broker must also make a 
designation for each State in which its offices are located or in which 
contracts are written (49 U.S.C. 13304, Sec.  366.4T).
    New Collection: As described above, only first-time applicants 
seeking an FMCSA-issued registration must apply for authority via URS, 
while existing registrants used several forms to update their 
information, apply for additional authorities, and designate process 
agents. Under the new FRS, all forms described above will be integrated 
into the online system through a series of questions that will be 
asked, using smart logic. The only exception will be the Form OP-2, 
Application for Mexican Certificate of Registration for Foreign Motor 
Carriers and Foreign Motor Private Carriers under 49 U.S.C. 13902. 
Information collection activities associated with the Form OP-2 are 
covered under a different ICR, titled ``Application for Certificate of 
Registration for Foreign Motor Carriers and Foreign Motor Private 
Carriers,'' OMB Control No. 2126-0019, which will continue in effect.
    This new ICR impacts several currently approved collections of 
information, listed below. However, until the new FRS is completed, 
FMCSA cannot estimate the burden, in hours or expense, that FRS users 
will be required to endure in comparison to the burdens associated for 
the approved collections listed below. FMCSA is developing FRS in such 
a way as to save users as much time as possible. However, FMCSA expects 
that, at worst, the time and effort required to complete an 
application, update, or process agent designation in FRS will be the 
same as it is to complete in the URS or using a paper form. Thus, for 
purposes of this new collection, FMCSA assumes the same time and cost 
burdens as were previously listed in the approved collections. In the 
future, during routine renewals and/or revisions for this new 
collection, and as FMCSA gathers information on average time per 
transaction in FRS, FMCSA expects to be able to refine these estimates.
    It is expected that FMCSA will eliminate the following collections, 
along with all associated forms, as users will instead use the FRS to 
collect the information previously submitted using the listed forms. 
However, until FMCSA completes a regulatory change to remove reference 
to these forms from regulation, registrants may continue to use these 
forms to request the appropriate registration action.

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                                                                                              New FRS series of
                                                                                               questions using
   Information collection       Information collection title          Associated forms         smart logic for
       approval number                                                                         each information
                                                                                               collection  (IC)
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2126-0051...................  FMCSA Registration/Updates......  MCSA-1.....................                   IC-1
2126-0016...................  Licensing Applications for Motor  OP-1 series................                   IC-2
                               Carriers Operating Authority.
2126-0013...................  Motor Carrier Identification      MCS-150, MCS-150B and MCS-                    IC-3
                               Report.                           150C.
2126-0060...................  Motor Carrier Records Change      MCSA-5889..................                   IC-4
                               Form.
2126-0018...................  Request for Revocation of         OCE-46.....................                   IC-5
                               Authority Granted.
2126-0015...................  Designation of Agents, Motor      BOC-3......................                   IC-6
                               Carriers, Brokers, and Freight
                               Forwarders.
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    Efforts to address fraudulent information from appearing on 
registration records. FMCSA has seen a significant increase in the 
occurrence of fraudulent activity where erroneous information about a 
registered entity is

[[Page 68983]]

being used, resulting in cargo and monetary theft in the motor carrier 
industry. Examples of fraudulent activity include identity theft, 
hijacking FMCSA motor carrier accounts, selling of motor carrier 
numbers, personal identification numbers, and fraudulent or fake 
initial registrations. The current legacy registration system lacks the 
ability to validate identity before registration processing, which is 
leading to fraudulent registrations and theft. A portion of the recent 
fraudulent activities also includes foreign actors. In response, FMCSA 
has significantly increased efforts to combat external fraud and 
understand the scope of the issue.
    As part of the new FRS, FMCSA plans to verify individuals' 
identities by establishing a secure and reliable process that utilizes 
an identity-proofing solution. This will improve the overall resilience 
of the Agency's digital ecosystems, promote user confidence, and ensure 
that only verified entities register with FMCSA and gain access to 
their data. FMCSA will develop measures to verify and secure 
individuals' identities in the digital space through an identity-
proofing solution that supports omni-channel onboarding. This means 
customers may use different channels such as remotely using a 
smartphone, tablet, or personal computer, or alternatively, in-person 
assistance via agents, to verify their identity. The identity-proofing 
solution will interface with existing FMCSA applications using either 
application programming interfaces (APIs) or lightweight connectors, 
which do not require extensive development resources for FMCSA. Based 
on FMCSA's research, the contracted verification system has a user-
friendly interface and experience that allows for seamless interaction 
during the identity-proofing process--promoting ease of use for both 
administrators and customers.
    To complete the verification process, an applicant must: (1) 
transmit a photo of a valid state-issued Driver's License or other 
acceptable forms of identification and (2) use their personal mobile 
device for facial recognition verification. The contracted vendor will 
validate the customer's form of identification, confirm the identity of 
the individual, and compare the results with data in their existing 
databases. Customers who are unable or unwilling to verify their 
identity using digital means (e.g., mobile phone or computer), may go 
in-person to one of the sanctioned support centers and undergo the 
process of identity verification with the assistance of an agent. FMCSA 
will determine the number of support centers available. The contractor 
will send the results of the verification to FMCSA allowing the 
customer to move forward with the FMCSA registration process. Once the 
verification process is complete, the contractor will delete any 
collected personal-identifiable information (PII) and only share the 
transaction result with FMCSA. The result will not include any PII.
    FMCSA will begin with identity proofing, verifying the identity of 
all new applicants, as well as the approximately 800,000 existing 
registrants within a designated timeframe. Later, the Agency will 
initiate a process for verifying the business which is being registered 
by the individual. FMCSA estimates that the government conducts 
approximately 3.5 million transactions annually for motor carrier 
registration and compliance-related purposes that would require 
identity proofing.
    The current information collection supports the DOT Strategic Goal 
of Safety. It streamlines registration processes and ensures that FMCSA 
can more efficiently track motor carriers, freight forwarders, brokers, 
and other entities regulated by the Agency.
    On April 19, 2024, FMCSA published a 60-day Federal Register notice 
(89 FR 28841) with a 60-day public comment period to announce its 
intention to submit this new ICR to OMB for its review and approval. 
FMCSA received four comments from the public. A property management 
company commented with concerns about sole proprietorships which are 
not always required to register with the Secretary of State in some 
states. Another individual commented on the urgency of fraudulent 
activity as it relates to cargo theft and efforts to enforce existing 
laws. Both comments are not applicable to this ICR, but FMCSA will 
consider them in a related rulemaking action and in its development of 
the FRS.
    One comment was submitted by the firms of Seaton & Husk, L.P. and 
Clark Hill PLC on behalf of a coalition of transportation, logistics, 
and security organizations. These stakeholders expressed concern that 
the FRS proposal was premature and could not be artificially separated 
from currently pending proposals to amend motor carrier, broker, and 
forwarder registration requirements relating to safety fitness and 
prevention of fraud. The stakeholders commended FMCSA for recognizing 
that closer scrutiny of registration applications is necessary to 
prevent supply chain fraud ranging from identity theft to stolen loads. 
However, the commenters stated the FRS questionnaire alone would not be 
nearly enough unless backed up by hands-on vetting and verification of 
applicants before operating authority is granted. The commenters 
request that implementation of the new application be postponed 
because: (1) the Agency's acknowledgement during its May 29, 2024, 
listening session that additional rulemaking would be required to vet 
existing carriers and intermediaries, regardless of commodity or size 
of equipment; (2) pending rulemakings which are intended to address the 
need for vetting all new applicants for safety; (3) the absence of 
clarity on the FMCSA's role in identifying, policing, and prosecuting 
supply chain fraud; and (4) pending congressional initiatives and the 
unaddressed possibility of inter-agency coordination to address supply 
chain fraud with the full implementation of government resources.
    FMCSA reviewed the comments submitted by the coalition and finds 
the comments are not applicable to requesting OMB review and approval 
of this ICR, which will impact several currently approved information 
collections. Under FRS, these forms will be integrated into the online 
system through a series of questions that will be asked, using smart 
logic. None of the coalition's comments relate to either the currently 
approved forms or the idea of consolidating them into one, online 
system. FMCSA will consider the coalition's comments as they relate to 
other, ongoing actions.
    One comment was received from the American Trucking Associations 
(ATA) and ATA's Moving and Storage Conference (MSC). ATA supports 
FMCSA's transition to a modernized online registration system, as well 
as its efforts to bolster the safety, security, and efficiency of its 
existing carrier registration system. ATA provided recommendations and 
considerations to further strengthen the system against fraudulent 
activities, including: (1) streamline access and use for legitimate 
carriers without undue regulatory hurdles; (2) enhance identity 
verification and security measures; (3) improve data quality and 
accessibility; (4) operating authority and USDOT number issuance; (5) 
establish thresholds for entry; (6) FMCSA Registration System 
implementation; and (7) create an ecosystem of fraud prevention beyond 
registration system. ATA called for FMCSA to dedicate resources to 
better understanding and identifying sources of fraud, their 
prevalence, and the extent to which fraudulent practices are committed 
by individuals acting within legitimate organizations (i.e., brokers, 
freight

[[Page 68984]]

forwarders, third parties, and intermediaries involved in the 
application process). ATA expressed FMCSA must commit to a culture of 
continuous improvement and comprehensive prevention efforts beyond the 
scope of an updated registration system to ensure long-term success and 
registration satisfaction.
    FMCSA reviewed the comments submitted by ATA and MSC and finds the 
recommendations and considerations listed above are not applicable to 
requesting OMB review and approval of this ICR. However, FMCSA will 
consider these comments as it takes advantage of the new, enhanced 
technology and system design, adds fraud prevention and security 
measures, simplifies a complex application process, and improves data 
quality and safety.

Public Comments Invited

    You are asked to comment on any aspect of this information 
collection, including: (1) whether the proposed collection is necessary 
for the performance of FMCSA's functions; (2) the accuracy of the 
estimated burden; (3) ways for FMCSA to enhance the quality, 
usefulness, and clarity of the collected information; and (4) ways that 
the burden could be minimized without reducing the quality of the 
collected information.

    Issued under the authority of 49 CFR 1.87.
Thomas P. Keane,
Associate Administrator Office of Research and Registration.
[FR Doc. 2024-18946 Filed 8-27-24; 8:45 am]
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