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Translator, and FM Reimbursement Needs and Uses: This submission was broadcasting equipment and the Report and Order, MB Dkt. No. 18–214, made to the Office of Management and estimated costs eligible for GN Docket No. 12–268, FCC 19–21 (rel. Budget (OMB) for the approval of new reimbursement. This information March 15, 2019). Under 5 CFR part information collection requirements collection is otherwise unchanged as 1320, an agency may not conduct or contained within the Commission’s already approved by OMB. sponsor a collection of information Report and Order, LPTV, TV Translator, Federal Communications Commission. unless it displays a current, valid OMB and FM Reimbursement; Expanding the Marlene Dortch, Control Number. No person shall be Economic and Innovation Opportunities Secretary. subject to any penalty for failing to Through Incentive Auction, MB Docket comply with a collection of information No. 18–214 and GN Docket No. 12–268, [FR Doc. 2019–17277 Filed 8–13–19; 8:45 am] subject to the Paperwork Reduction Act FCC 19–21, (March 15, 2019), 84 FR BILLING CODE 6712–01–P that does not display a current, valid 11233 (March 26, 2019) (LPTV, TV OMB Control Number. The OMB Translator, and FM Reimbursement Control Number is 3060–1178. The Report and Order). The LPTV, TV DEPARTMENT OF TRANSPORTATION foregoing notice is required by the Translator, and FM Reimbursement Paperwork Reduction Act of 1995, Report and Order adopts rules to Federal Motor Carrier Safety Public Law 104–13, October 1, 1995, implement Congress’ directive in the Administration and 44 U.S.C. 3507. 2018 Reimbursement Expansion Act The total annual reporting burdens (REA) that the Commission reimburse 49 CFR Part 390 and costs for the respondents are as certain Low Power Television and [Docket No. FMCSA–2012–0103] follows: television translator stations and FM RIN 2126–AC07 and 2126–AC22 OMB Control Number: 3060–1178. broadcast stations, for costs incurred as Title: TV Broadcast Relocation Fund a result of the Commission’s broadcast Lease and Interchange of Vehicles; Reimbursement Form, FCC Form 2100, television spectrum incentive auction. Motor Carriers of Passengers Schedule 399; Section 73.3700(e), In the REA, Congress provided Reimbursement Rules; Section 73.3701, additional funding for the TV AGENCY: Federal Motor Carrier Safety Reimbursement Under the Broadcaster Relocation Fund and Administration (FMCSA), DOT. Reimbursement Expansion Act. expanded the list of entities eligible to ACTION: Final rule. Form Number: FCC Form 2100, receive reimbursement for costs Schedule 399. reasonably incurred as a result of the SUMMARY: FMCSA amends its May 27, Respondents: Business or other for- reorganization of broadcast television 2015, final rule on Lease and profit entities; Not for profit institutions. spectrum to include LPTV/translator Interchange of Vehicles; Motor Carriers Number of Respondents and and FM stations. The LPTV, TV of Passengers (2015 final rule) in Responses: 4,400 respondents; 52,800 Translator, and FM Reimbursement response to petitions for rulemaking. responses. Report and Order adopts rules relating This final rule narrows the applicability Estimated Hours per Response: 1–4 to eligibility, expenses, and procedures of the 2015 final rule by excluding hours. the Commission will use to provide certain contracts and other agreements Frequency of Response: One-time reimbursement to these entities and between motor carriers of passengers reporting requirement; On occasion mandates the use of various measures that have active passenger carrier reporting requirement, Recordkeeping designed to protect the Reimbursement operating authority registrations with requirement. FMCSA from the definition of lease and Total Annual Burden: 98,800 hours. Fund against waste, fraud, and abuse. This submission was made to the associated regulatory requirements. Total Annual Cost: $15,000,000. For passenger carriers that remain Obligation to Respond: Required to implement the Commission’s directive subject to the leasing and interchange obtain or retain benefits. The statutory to add LPTV, TV Translators, and FM requirements, FMCSA returns the bus authority for this collection of broadcast stations to this information marking requirement to its July 1, 2015, information is contained in 47 U.S.C. collection. state with slight modifications to add 151, 154(j), 157 and 309(j) as amended; In the LPTV, TV Translator, and FM references to leased vehicles; revises the and Middle Class Tax Relief and Job Reimbursement Report and Order, the exception for the delayed writing of a Creation Act of 2012, Public Law 112– Commission delegated to the Media lease during certain emergencies; and 96, §§ 6402 (codified at 47 U.S.C. Bureau the authority to modify current removes the 24-hour lease notification 309(j)(8)(G)), 6403 (codified at 47 U.S.C. FCC Form 2100, Schedule 399, TV requirement. 1452), 126 Stat. 156 (2012) (Spectrum Broadcaster Relocation Fund Act). Reimbursement Form (Reimbursement DATES: This final rule is effective Nature and Extent of Confidentiality: Form), to add all newly eligible LPTV, October 15, 2019. Compliance date: As There is some need for confidentiality TV Translator, and FM broadcast of October 15, 2019, the compliance with this collection of information. entities. The Media Bureau has, date for the requirements in subpart G Invoices, receipts, contracts, and other therefore, added questions and of 49 CFR part 390 (§§ 390.401 and cost documentation submitted along certifications to the Reimbursement 390.403) is January 1, 2021. with the form will be kept confidential Form to accommodate these newly Comments sent to the Office of in order to protect the identification of eligible broadcast entities. Specifically, Management and Budget (OMB) on the vendors and the terms of private in order to protect the Reimbursement collection of information must be contracts between parties. Vendor name Fund against waste, fraud, and abuse, received by OMB on or before and Employer Identification Numbers all newly eligible broadcast entities that September 13, 2019. OMB must receive (EIN) or Tax Payer Identification propose to request reimbursement for your comments by this date in order to Number (TIN) will not be disclosed to eligible expenses must certify on the act quickly on the information the public. Reimbursement Form that they meet the collection request. Privacy Impact Assessment: No specified eligibility criteria and provide Petitions for reconsideration of this impact(s). information regarding their affected final rule must be submitted to the

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FMCSA Administrator no later than F. Section 390.403 Lease and Interchange transport passengers—hereafter called September 13, 2019. Requirements ‘‘authorized carriers’’ or ‘‘carriers with VIII. Regulatory Analyses ADDRESSES: operating authority’’ for the sake of All comments on the A. E.O. 12866 (Regulatory Planning and collection of information should simplicity. This rule also excludes Review), E.O. 13563 (Improving 2 reference Federal Docket Management Regulation and Regulatory Review), and financial leases. For leases between System (FDMS) Docket Number DOT Regulatory Policies and Procedures authorized carriers, the assignment of FMCSA–2012–0103. Interested persons B. E.O. 13771 (Reducing Regulation and responsibility for regulatory compliance are invited to submit written comments Controlling Regulatory Costs) requires no additional regulatory on information collection to the Office C. Regulatory Flexibility Act obligations because FMCSA believes of Information and Regulatory Affairs, D. Assistance for Small Entities their identity can be determined by Office of Management and Budget. E. Unfunded Mandates Reform Act of 1995 other means, principally because each F. Paperwork Reduction Act Comments should be addressed to the authorized for-hire motor carrier must G. E.O. 13132 (Federalism) conduct the transportation in its own attention of the Desk Officer, H. E.O. 12988 (Civil Justice Reform) Department of Transportation/Federal I. E.O. 13045 (Protection of Children) name, under its own authority, with its Motor Carrier Safety Administration, J. E.O. 12630 (Taking of Private Property) owned, leased, or borrowed vehicles, and sent via: K. Privacy and is therefore responsible for • Electronic mail: oira_submission@ L. E.O. 12372 (Intergovernmental Review) compliance with the FMCSRs. M. E.O. 13211 (Energy Supply, omb.eop.gov. B. Summary of the Major Provisions • Fax: 1–202–395–6974. Distribution, or Use) • Mail: Office of Information and N. E.O. 13783 (Promoting Energy The rule (1) revises the definition of Independence and Economic Growth) lease to exclude authorized carriers that Regulatory Affairs, Office of O. E.O. 13175 (Indian Tribal Governments) Management and Budget, Docket grant the use of their vehicles to each P. National Technology Transfer and other; (2) removes the May 27, 2015, Library, Room 10102, 725 17th Street Advancement Act (Technical Standards) NW, Washington, DC 20503. Q. Environment (NEPA and CAA) final rule’s marking requirements and To avoid duplication, please use only reinstates the previous vehicle marking one of these three methods. I. Rulemaking Documents requirements with slight modifications; Petitions for reconsideration of this (3) revises the provision allowing a A. Availability of Rulemaking final rule must be submitted in delay in the completion of a lease Documents accordance with 49 CFR 389.35 and during certain emergencies; and (4) submitted to the FMCSA Administrator, For access to docket FMCSA–2012– removes the requirement that motor Federal Motor Carrier Safety 0103 to read background documents and carriers chartered for a trip who lease a Administration, 1200 New Jersey Ave. comments received, go to http:// CMV from another carrier to provide the SE, Washington, DC 20590–0001. www.regulations.gov at any time, or to transportation must notify the tour operator or group of passengers about FOR FURTHER INFORMATION CONTACT: Ms. Docket Services at U.S. Department of the lease and the lessor. Loretta Bitner, (202) 366–2400, Transportation, Room W12–140, 1200 [email protected], Office of New Jersey Avenue SE, Washington, DC C. Costs and Benefits 20590, between 9 a.m. and 5 p.m., Enforcement and Compliance. FMCSA The Agency estimates that an annual office hours are from 9 a.m. to 5 p.m., Monday through Friday, except Federal holidays. average of 8,366 motor carriers of Monday through Friday, except Federal passengers and 547,034 passenger- holidays. B. Privacy Act carrying CMV trips will experience SUPPLEMENTARY INFORMATION: In accordance with 5 U.S.C. 553(c), regulatory relief under this final rule. This final rule is organized as follows: DOT solicits comments from the public Approximately 75 percent of these I. Rulemaking Documents to better inform its rulemaking process. passenger carriers and CMV trips will A. Availability of Rulemaking Documents DOT posts these comments, without experience full regulatory relief and will B. Privacy Act edit, including any personal information no longer be subject to the lease and II. Executive Summary the commenter provides, to interchange requirements of the 2015 A. Purpose of the Final Rule www.regulations.gov, as described in final rule. The remaining 25 percent of B. Summary of the Major Provisions these passenger carriers and CMV trips C. Costs and Benefits the system of records notice (DOT/ALL– III. Abbreviations 14 FDMS), which can be reviewed at will experience partial regulatory relief IV. Legal Basis www.dot.gov/privacy. and remain subject to reduced lease and interchange requirements, compared to V. Discussion of Proposed Rulemaking and II. Executive Summary Comments those of the 2015 final rule. A. Proposed Rulemaking A. Purpose of the Final Rule As presented in Table 1, the Agency B. Comments and Responses estimates that the rule will result in a FMCSA revises its regulations C. Examples of Final Rule Implementation cost savings of $76.5 million on an VI. International Impacts governing the lease and interchange of VII. Section-by-Section Description of the passenger-carrying commercial motor Operate in Municipalities in the United States on Rule vehicles (CMVs). This rule excludes the United States-Mexico International Border or A. Section 390.5 Definitions from the lease and interchange Within the Commercial Zones of Such B. Section 390.21 Marking of Self- requirements motor carriers that operate Municipalities], and 49 CFR 392.9a [Operating Propelled CMVs and Intermodal authority].’’ ‘‘Active’’ in the context of operating CMVs and have active operating authority registration means FMCSA has granted Equipment authority registration 1 with FMCSA to C. Part 390, Subpart F Lease and the motor carrier operating authority registration Interchange of Passenger-Carrying through issuance of a valid certificate, permit, or 1 license as provided in §§ 365.115(b) or 368.6(d), Commercial Motor Vehicles Operating authority registration is defined in 49 CFR 390.5. The phrase ‘‘means the registration and FMCSA has not suspended or revoked that D. Part 390, Subpart G Lease and required by 49 U.S.C. 13902 [Registration of motor certificate, permit, or license for various statutory Interchange of Passenger-Carrying carriers], 49 CFR part 365 [Rules Governing or regulatory reasons. Commercial Motor Vehicles Applications for Operating Authority], 49 CFR part 2 See § 390.301(b)(1) of the 2015 final rule and E. Section 390.401 Applicability 368 [Application for a Certificate of Registration to § 390.401(b)(2) of this final rule.

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undiscounted basis, $67.7 million 2016 dollars. On an annualized basis, rate. This final rule has total costs less discounted at 3 percent, and $58.5 this equates to a 10-year cost savings of than zero, and is therefore a million discounted at 7 percent over the $7.9 million at a 3 percent discount rate deregulatory action under Executive 10-year analysis period, expressed in and $8.3 million at a 7 percent discount Order 13771. TABLE 1—SUMMARY OF THE TOTAL COST OF THE RULE [in thousands of 2016$]

Passenger carriers Passenger-carrying Undiscounted Discounted experiencing CMV trips Year experiencing Lease and Charter party Total Discounted Discounted regulatory relief regulatory relief interchange notification under the rule costs (b) at 3% at 7% under the rule costs (a) costs

2021 ...... 8,046 526,111 ($25,747) ($1,189) ($26,936) ($26,152) ($25,174) 2022 ...... 8,116 530,654 (4,114) (1,199) (5,315) (5,009) (4,642) 2023 ...... 8,186 535,237 (4,150) (1,210) (5,360) (4,906) (4,376) 2024 ...... 8,256 539,859 (4,187) (1,220) (5,407) (4,804) (4,125) 2025 ...... 8,328 544,521 (4,224) (1,231) (5,453) (4,704) (3,888) 2026 ...... 8,400 549,224 (4,260) (1,241) (5,500) (4,607) (3,665) 2027 ...... 8,472 553,967 (4,296) (1,252) (5,548) (4,511) (3,455) 2028 ...... 8,545 558,751 (4,333) (1,263) (5,596) (4,417) (3,257) 2029 ...... 8,619 563,576 (4,370) (1,274) (5,644) (4,326) (3,070) 2030 ...... 8,693 568,443 (4,409) (1,285) (5,693) (4,236) (2,894)

Total ...... (64,089) (12,363) (76,453) (67,672) (58,546)

Annualized ...... (7,645) (7,933) (8,336) Notes: (a) Values shown in parentheses are negative values (i.e., less than zero) and represent a decrease in cost or a cost savings. (b) Total cost values may not equal the sum of the components due to rounding. (The totals shown in this column are the rounded sum of unrounded components.)

The regulatory evaluation for the 2015 enforcement, and safety data to the ICCTA ...... ICC [Interstate Commerce Commis- sion] Termination Act of 1995. final rule addressed the potential safety correct motor carrier and driver, L&I ...... Licensing and Insurance. benefits of lease and interchange allowing FMCSA and our State partners MCBOA .... Minnesota Charter Bus Operators As- requirements for motor carriers of to more accurately identify unsafe sociation. passengers.3 There was insufficient data carriers and initiate appropriate MAP–21 ... Moving Ahead for Progress in the 21st Century Act. and empirical evidence to demonstrate interventions. FMCSA believes that the MCMIS ..... Motor Carrier Management Information a measurable quantitative relationship lease and interchange requirements of System. between lease and interchange this rule are a less costly and NPRM ...... Notice of Proposed Rulemaking. requirements for passenger-carrying burdensome regulatory approach than NTSB ...... National Transportation Safety Board. OMB ...... Office of Management and Budget. CMVs and improved safety outcomes the requirements of the 2015 final rule, PRA ...... Paperwork Reduction Act of 1995. such as reduced frequency and/or yet still enable safety officials and the RFA ...... Regulatory Flexibility Act. severity of crashes or reduced frequency public to identify the passenger carrier SBA ...... Small Business Administration. of violations. Therefore, FMCSA SOC ...... Standard Occupational Classification. responsible for safety because each UMA ...... United Motorcoach Association. performed a threshold analysis, also authorized for-hire motor carrier must U.S.C...... United States Code. referred to as a break-even analysis, conduct the transportation in its own VIN ...... Vehicle Identification Number. estimating the reduction in crashes that name, under its own authority, with its would need to occur as a consequence owned, leased, or borrowed vehicles, IV. Legal Basis of the 2015 final rule for the benefits of and is therefore responsible for This rule is based on the authority of the rule to exactly offset the estimated compliance with the FMCSRs. The the Motor Carrier Act of 1935 (1935 Act) costs of the rule. Agency does not anticipate any change and the Motor Carrier Safety Act of 1984 In considering the potential impact to to safety benefits as a result of the rule. safety benefits from this final rule, the (1984 Act), as amended. The 1935 Act authorizes DOT to Agency notes that there remains III. Abbreviations ‘‘prescribe requirements for—(1) insufficient data and empirical evidence qualifications and maximum hours of to demonstrate a measurable 1935 Act ... Motor Carrier Act of 1935. 1984 Act ... Motor Carrier Safety Act of 1984. service of employees of, and safety of quantitative relationship between lease 2015 final May 27, 2015, Lease and Interchange operation and equipment of, a motor and interchange requirements for rule. of Vehicles; Motor Carriers of Pas- carrier; and (2) qualifications and passenger-carrying CMVs and improved sengers final rule, 80 FR 30164. safety outcomes. Lease and interchange ABA ...... American Bus Association. maximum hours of service of employees BLS ...... Bureau of Labor Statistics. of, and standards of equipment of, a requirements for motor carriers of CMV ...... Commercial Motor Vehicle. passengers improve the ability of the motor private carrier, when needed to DART ...... Data Analysis and Reports Team. promote safety of operation’’ (49 U.S.C. Agency and our State partners to DOL ...... United States Department of Labor. 4 attribute inspection, compliance, DOT ...... United States Department of Transpor- 31502(b)). tation. The 1984 Act confers on DOT 3 U.S. Department of Transportation (DOT), ECEC ...... Employer Costs for Employee Com- authority to regulate drivers, motor FMCSA. ‘‘Final Rule. Lease and Interchange of pensation. carriers, and CMVs. ‘‘At a minimum, the Vehicles; Motor Carriers of Passengers. Regulatory E.O...... Executive Order. regulations shall ensure that—(1) FMCSA ..... Federal Motor Carrier Safety Adminis- Evaluation.’’ May 2015. Docket ID# FMCSA–2012– commercial motor vehicles are 0103–0022. Available at: https:// tration. www.regulations.gov/contentStreamer FMCSRs ... Federal Motor Carrier Safety Regula- ?documentId=FMCSA-2012-0103-0022&attachment tions, 49 CFR parts 350 through 4 See https://www.gpo.gov/fdsys/pkg/USCODE- Number=1&contentType=pdf (accessed June 3, 399. 2017-title49/pdf/USCODE-2017-title49-subtitleVI- 2019). FR ...... Federal Register. partB-chap315.pdf (accessed June 3, 2019).

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maintained, equipped, loaded, and pick up a lease document and place it Extension of the Compliance Date operated safely; (2) the responsibilities on the vehicle, though that task could Extension of the compliance date was imposed on operators of commercial also be assigned to other employees— supported by ABA, Academy Bus, motor vehicles do not impair their FMCSA believes that coercion of drivers Coach USA, Adirondack Trailways, ability to operate the vehicles safely; (3) to violate the rule will not occur (49 Annett Bus Lines, Southern Tier Stages, the physical condition of operators of U.S.C. 31136(a)(5)). Inc., Northwest Motorcoach commercial motor vehicles is adequate Before prescribing any regulations, Association, Peter Pan Bus Lines, to enable them to operate the vehicles FMCSA must also consider their ‘‘costs Jefferson Bus Lines, Plymouth & safely . . . ; and (4) the operation of and benefits’’ (49 U.S.C. 31136(c)(2)(A) Brockton, DeCamp Bus Lines, commercial motor vehicles does not and 31502(d)). Those factors are Burlington Trailways, UMA, have a deleterious effect on the physical discussed in this final rule. Greyhound, Thielen Bus Lines, and condition of the operators’’ (49 U.S.C. Pacific Coachways Charter Services. 31136(a)). Section 32911 of the Moving V. Discussion of Proposed Rulemaking Ahead for Progress in the 21st Century and Comments FMCSA Response Act (MAP–21) [Pub. L. 112–141, 126 A. Proposed Rulemaking On December 4, 2018, FMCSA Stat. 405, 818, July 6, 2012] enacted a FMCSA published a notice of published a final rule extending the fifth requirement, i.e., to ensure that ‘‘(5) proposed rulemaking (NPRM) on compliance date for the 2015 final rule an operator of a commercial motor September 20, 2018 (83 FR 47764) (2018 to January 1, 2021 (83 FR 62505). This vehicle is not coerced by a motor NPRM), that proposed several changes final rule will use the January 1, 2021 carrier, shipper, receiver, or to the lease and interchange compliance date set by the December transportation intermediary to operate a requirements added to 49 CFR part 390 2018 final rule. commercial motor vehicle in violation by the 2015 final rule (80 FR 30164). of a regulation promulgated under this General Applicability section, or chapter 51 or chapter 313 of The proposals included narrowing the The NPRM proposed revising the this title’’ [49 U.S.C. 31136(a)(5)].5 applicability of the rule, excluding general applicability section to add two The 1984 Act also includes more certain contracts and other agreements exceptions to the applicability general authority to ‘‘(8) prescribe between motor carriers of passengers requirements of the lease and recordkeeping . . . requirements; . . . with operating authority from the interchange rule. Under the NPRM, and (10) perform other acts the definition of lease and the associated section 390.401(b) would be modified in Secretary considers appropriate’’ (49 regulatory requirements, excluding several ways. First, a new exception in 7 U.S.C. 31133(a)).6 financial leases, and returning the paragraph (b)(1) would exclude from the This rule imposes legal and § 390.21(e) marking requirement to its rule contracts and agreements between recordkeeping requirements consistent July 1, 2015, state with slight passenger carriers with active passenger with the 1935 and 1984 Acts on certain modifications to add references to carrier operating authority registration 9 for-hire and private passenger carriers leased vehicles. The NPRM also when one such carrier acquires that operate CMVs, to enable safety proposed to revise the delayed writing transportation services from another officials and the public to identify the of a lease during certain emergencies; such carrier. Second, the 2015 exception passenger carrier responsible for safety. remove the 24-hour lease notification for financial leases would be revised to Although the USDOT number serves a requirement; and extend the compliance remove the requirement that the bank or similar function, it does not assign date for the 2015 final rule to January similar financial organization, responsibility when CMVs are 1, 2021, to give the Agency sufficient manufacturer, or dealer must be a motor exchanged between two or more parties, time to complete this final rule. carrier to utilize the exception from the leaving an information gap filled by this B. Comments and Responses rule. This is because such entities are rule. Currently, many passenger- motor carriers if they move their vehicle carrying CMVs and drivers are rented, Eighteen comments to the 2018 NPRM inventory between business locations loaned, leased, interchanged, assigned, were received from the following before purchases. Third, as proposed, and reassigned with few records and parties: American Bus Association the limited exception for passenger- little formality, thus obscuring the (ABA), United Motorcoach Association carrying CMVs exchanged or operational safety responsibility of (UMA), Greyhound Lines, Coach USA, interchanged between or among certain industry participants. The more Adirondack Trailways, Annett Bus commonly owned and controlled motor accurate, targeted enforcement allowed Lines, Southern Tier Stages, Northwest carriers would be removed. by this rule will help the Agency meet Motorcoach Association, Peter Pan Bus Fourth, as proposed, the limited the mandate of 49 U.S.C. 31136(a)(1) to Lines, Jefferson Bus Lines, Plymouth & exception for passenger-carrying CMVs ensure that passenger-carrying CMVs, Brockton Street Railway Company, exchanged or interchanged between or like other vehicles, are ‘‘operated Academy Bus, DeCamp Bus Lines, among motor carriers that are a party to safely.’’ The rule does not address the Burlington Trailways, FlixBus Inc., a revenue pooling agreement approved requirements of 49 U.S.C. 31136(a)(2)– Pacific Coachways Charter Services, by the STB in accordance with 49 U.S.C 8 (4). Because this rule has only indirect Thielen Bus Lines, and a private and minimal application to drivers of citizen. behalf, and as a representative of the other 32 passenger-carrying CMVs—at most, members of the MCBOA. 7 their employers might require them to Financial lease (however designated, e.g., lease, 9 Operating authority registration means the closed-end lease, hire purchase, lease purchase, registration required by 49 U.S.C. 13902, 49 CFR purchase agreement, installment plan, part 365, 49 CFR part 368, and 49 CFR 392.9a as 5 See https://www.gpo.gov/fdsys/pkg/USCODE- demonstration or loaner vehicle, etc.) as defined in defined in 49 CFR 390.5. ‘‘Active’’ in the context 2017-title49/pdf/USCODE-2017-title49-subtitleVI- § 390.401(b)(2) means a contract between a motor of operating authority registration means FMCSA partB-chap311-subchapIII-sec31136.pdf (accessed carrier and a bank or similar financial organization has granted the motor carrier operating authority June 3, 2019). or a manufacturer or dealer of passenger-carrying registration through issuance of a valid certificate, 6 See https://www.gpo.gov/fdsys/pkg/USCODE- CMVs. permit, or license as provided in §§ 365.115(b) or 2017-title49/pdf/USCODE-2017-title49-subtitleVI- 8 The commenter states he is a board member of 368.6(d), and FMCSA has not suspended or revoked partB-chap311-subchapIII-sec31133.pdf (accessed the Minnesota Charter Bus Operators Association that certificate, permit, or license for various June 3, 2019). (MCBOA). He submitted comments on his own statutory or regulatory reasons.

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14302 would be removed. All passenger FMCSA Response their own regulatory compliance and carriers that are commonly owned and The Agency adopts without change liability. This practice has long been controlled or participate in STB- the proposed general applicability acceptable to the insurance industry. approved revenue pooling agreements section to the leasing requirements for Furthermore, authorized carriers of operate in interstate commerce and passenger carriers, including the passengers are readily identifiable to should have operating authority. Under proposed exception for passenger enforcement personnel, making a the NPRM, an authorized carrier that carriers with active operating authority separate lease agreement assigning obtains a vehicle from another registration, maintaining the financial regulatory responsibility unnecessary. commonly owned and controlled lease exception, and the removal of the The definition of lease was proposed authorized carrier or another authorized two limited exceptions for commonly to be narrowed by including only participant in an STB-approved pooling owned and controlled authorized contracts and agreements granting the agreement, would not be subject to the carriers and STB-approved pooling use of a passenger-carrying CMV lease and interchange requirement. agreements. The lease and interchange between motor carriers when one (or Accordingly, a separate exception for regulations do not directly affect safety. more) such carrier does not have active carriers operating under an STB- Rather, they help FMCSA, the National operating authority registration. The approved pooling agreement would no Transportation Safety Board (NTSB), longer be necessary. and State safety officials to identify the term lease also has been revised as proposed with added language to Greyhound Lines, Coach USA, passenger carrier responsible for safety and to assign inspection, compliance, include circumstances when no Adirondack Trailways, Annett Bus compensation is specified. The terms Lines, Southern Tier Stages, Northwest crash, and enforcement data to the correct carrier and driver, allowing the lessee and lessor have both been revised Motorcoach Association, Peter Pan Bus slightly to specify that the granting of Lines, Jefferson Bus Lines, Plymouth & Agency, NTSB, and the States to more accurately identify unsafe and high risk passenger-carrying CMV usage is Brockton Street Railway Company, through a lease. Academy Bus, DeCamp Bus Lines, carriers and to take appropriate action. The changes made by this rule will not Burlington Trailways, FlixBus Inc., The ABA, UMA, Jefferson Bus Lines, adversely affect safety because Pacific Coachways Charter Services, Plymouth & Brockton, Academy Bus authorized carriers involved in Thielen Bus Lines, ABA, and UMA LLC, DeCamp Bus Lines, Burlington chartering (or subcontracting) with each supported the proposed general Trailways, Thielen Bus Lines, and other assume responsibility for their applicability section, including the Coach USA support the Agency’s own regulatory compliance, and are proposed active operating authority proposal to exclude from the definition readily identifiable. In addition, banks registration exception, maintaining the of lease chartering between or among or similar financial organizations, authorized passenger carriers. ABA financial lease exception, and the manufacturers, or dealers: (a) Must not writes ‘‘This change is consistent with removal of the two limited exceptions be a motor carrier in order to use the the Agency’s stated goal of ensuring a for commonly owned and controlled exception from this leasing rule; (b) will authorized carriers and STB-approved be deemed a private motor carriers of lessor relinquishes all control of a pooling agreements. property when moving its empty passenger carrying commercial motor The UMA commented that the rule passenger vehicle inventory between vehicle (CMV) for the full term of a should not compel two or more carriers, business locations before purchases; and lease. In the case of chartering or all possessing the requisite valid Federal (c) will have to comply fully with all 49 subcontracting, there is no surrender of operating authority, to enter a lease they CFR parts 300 to 399 regulations during the vehicle and thus these types of would not otherwise enter when these moves of empty passenger vehicle operations do not fit within definition of engaging each other’s services. UMA inventory between business locations. a lease. During a charter transaction, the believes that inspections and crashes vehicles remain within the control of Definitions should be attributed to the chartered, the respective charter parties, each party contracted, or subcontracted carrier that The Agency proposed to revise the is responsible for dispatching and possesses the sole, direct responsibility definition of lease in § 390.5 to include maintaining its respective vehicles, and for compliance and control of vehicle only contracts and agreements in which each party is responsible for regulatory maintenance and driver qualifications a motor carrier grants the use of a compliance. Thus, in-line with and behavior. passenger-carrying CMV to another FMCSA’s underlying oversight motor carrier when at least one of the philosophy, each carrier in a charter Academy Bus adds this ‘‘is a key issue motor carriers is not an authorized to allow legally operating carriers to transaction is held accountable for carrier.10 Authorized carriers of utilize the services of other legally maintaining its own respective passengers routinely assist one another operating carriers to meet demand operating authority. This is the by providing transportation services fluctuations. Other carriers provide their fundamental basis by which FMCSA during demand surges, emergencies, or buses and drivers to complete sub- conducts enforcement and can ensure events that require more than their contracted work. The recipient carriers remain compliant. available capacity. These common maintains their own operating authority, Alternatively, applying the same logic, agreements, some of which amount to own insurance program and manage for carriers with no operating authority, subcontracting, will not meet the their own operations. The carrier sub- a lease requirement demonstrating the regulatory definition of a lease in this contracting the work has no input into full surrender of the vehicle for the final rule. Authorized carriers or the sub-contracted (recipient) carrier’s entire term of the lease also supports passengers that are hired by another operations. There is no ambiguity as to FMCSA’s oversight philosophy by authorized carrier of passengers have what buses on the road are operated by ensuring a responsible carrier with traditionally assumed responsibility for which company and/or authority. This operating authority is always controlling the vehicles operating on the road, is not a lease issue as there is no control 10 This rulemaking does not change the definition over the other carrier’s equipment or of lease in the context of property-carrying vehicles thereby limiting opportunities to drivers.’’ in 49 CFR 376.2. circumvent the law.’’

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FMCSA Response sufficient information to identify passenger-carrying CMV financed by a The Agency adopts without change carriers for regulatory compliance. By bank or similar financial organization, the proposed exception to the leasing restoring the marking requirements of or provided by a manufacturer or requirements for passenger carriers with the pre-2015 final rule, the Agency is dealership for demonstration purposes active operating authority. addressing a major industry concern or to replace a vehicle being serviced or that threatened to severely restrict repaired, is not subject to the lease and Marking of Self-Propelled CMVs and current operations, particularly at high- interchange requirements in 49 CFR part Intermodal Equipment volume periods, leading to a reduction 390 subpart G as provided by the 2015 Before the 2015 rule, a motor carrier of capacity in the system without final rule and retained in § 390.401(b)(2) operating a CMV under a rental providing any additional safety benefit. Financial leases. None of these financial agreement having a term of not more As well, FMCSA’s proposed lease arrangements is considered to be than 30 calendar days could mark the modifications to 49 CFR 390.21(e), to a lease, interchange, or rental of a CMV CMV with either (1) the name and address operations under a lease under the definition of lease in § 390.5 USDOT identification number of the agreement, are sufficiently tailored to because banks and other similar lessee, or (2) the name and USDOT ensure enforcement officials continue to financial organizations do not operate identification number of the lessor if, in have access to appropriate information passenger-carrying CMVs as a motor the latter case, a fully complete lease is in those circumstances.’’ carrier. In these cases, the motor carrier that is granted use of the passenger- carried on the rented CMV during the FMCSA Response full term of the lease. The 2015 final carrying CMV has full responsibility for The Agency agrees with these the operation of such vehicle and rule required that a motor carrier comments and implements the marking compliance with the vehicle marking operating a passenger-carrying CMV revision as proposed. Enforcement requirements in § 390.21 for the under a lease must add an additional officials will be able to use the markings duration of the arrangement. However, marking device on the CMV temporarily on the sides of the passenger CMV and it should also be noted that a motor on the right (curb) side of the vehicle on the lease or the § 390.403(a)(2) summary carrier that obtained a passenger- or near the front passenger door. The document to determine the identity of carrying CMV through a loan from a 2015 rule’s temporary device would the carrier responsible for safety and to bank or similar financial organization, show the legal or trade name and assign inspection, compliance, crash, may be responsible for compliance if it USDOT number of the carrier operating and enforcement data to the correct leases that vehicle to another motor the vehicle, preceded by the words carrier and driver. FMCSA has therefore carrier of passengers. ‘‘operated by.’’ concluded that this change will not Industry commenters to the 2016 NOI adversely affect safety. Customer Notification and the 2017 proposal argued that the Section 390.21 in this final rule is The 2018 NPRM proposed to remove 2015 final rule imposes burdensome similar to the text in effect before the the requirement in the 2015 rule’s marking requirements that are May 27, 2015, final rule. FMCSA § 390.305 to notify the passenger group impractical, and that there are less removes the special marking regulations or their representative within 24 hours burdensome ways to address the for leased and interchanged passenger- after the primary contractor reassigns Agency’s concerns. carrying CMVs in paragraph (f). Section the transportation to a subcontractor. The 2018 NPRM proposed to 390.21 has been revised to treat leased The ABA, UMA, Jefferson Bus Lines, eliminate the cost of additional marking passenger-carrying CMVs like all other Plymouth & Brockton, Academy Bus of the vehicles while maintaining all of rented CMVs. For a lease of 30 calendar LLC, DeCamp Bus Lines, Burlington the information necessary for days or less, the lessee can opt to mark Trailways, Thielen Bus Lines, and enforcement officials to identify the the vehicle with either the lessee’s Coach USA support FMCSA’s proposal carrier for regulatory compliance. information or the lessor’s information. to remove the 24-hour lease notification FMCSA also proposed to add paragraph However, the latter would require a requirement for subcontracted charter (e)(2)(v) to allow a passenger-carrying fully executed copy of the lease be arrangements. Multiple commenters CMV operating under the 48-hour carried on the vehicle, unless the CMV said that if this requirement remained in emergency exception pursuant to is being operated for up to 48 hours place it would be very difficult for § 390.403(a)(2) to be excepted from under the emergency related provisions motorcoach operators to maintain the paragraphs (e)(2)(iii) and (iv) regarding of § 390.403(a)(2). flexibility required to address a lease document with required If the motor carrier is operating a emergency situations and public information being carried on the passenger-carrying CMV under a lease necessity. They wrote that it would be vehicle, provided the lessor and lessee or rental agreement for more than 30 impractical in terms of meeting comply with the requirements of the calendar days, the CMV must be marked customer needs when time schedules provision in § 390.403(a)(2). with the lessee’s identification for charter customers often restrict The ABA, UMA, Jefferson Bus Lines, information. In a lease situation, the motor carriers’ ability to notify tour Plymouth & Brockton, Academy Bus operating motor carrier is the lessee. operators, unduly burdening the LLC, DeCamp Bus Lines, Burlington These revised regulations address operator. Further, they wrote that such Trailways, Thielen Bus Lines, and petitioners’ concerns that there is no notifications would not necessarily Coach USA support removing the 2015 easy way to display a temporary provide any added safety benefit. final rule’s CMV marking requirements marking on certain passenger-carrying Instead, they believe that FMCSA and restoring the previous § 390.21(e) motor vehicles for short term leases. ensures a greater safety benefit when all with slight modifications to comport FMCSA sets a compliance date of carriers providing charter service have with the leasing requirements proposed January 1, 2021, for passenger-carrying operating authority, either under their under the 2018 NPRM. ABA noted that CMVs subject to the lease and own USDOT number or established ‘‘This change addresses the industry’s interchange rules, which is identical to under a formal lease arrangement as concerns with the impracticality of the the compliance date for the rules proposed under the 2018 NPRM. UMA 2015 final rule requirements while still themselves. To be clear, a transaction commented that ‘‘This provision was providing enforcement officials with involving a motor carrier operating a one of the least objectionable of the

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2015 final rule by passenger carriers, a motor carrier obtains a replacement exception’s summary document must be indicative of the fact that most vehicle from, or subcontracts for service signed and dated by the lessee’s driver passenger carriers advise their with, another motor carrier, the motor or available company official and customers and/or passengers of carriers may delay writing of a lease carried on the replacement vehicle for changes.’’ during these emergency situations. the duration of the lease, the vehicle However, a summary document signed will be readily identifiable. FMCSA has FMCSA Response and dated by the lessee’s driver or concluded that this change will not The Agency removes the customer available company official must state: adversely affect safety. notification requirements, as proposed. ‘‘[Carrier A, USDOT number, telephone Lease and Interchange Requirements The Agency agrees with the comments number] has leased this vehicle to received that the notifications would [Carrier B, USDOT number, telephone The lease and interchange have imposed burdens on the passenger number] pursuant to 49 CFR requirements have been revised, as carrier industry and is more about 390.403(a)(2)’’ and the summary proposed, by moving § 390.303(a)(1)(iii), customer protection than directly linked document must be carried on the which covers written agreements to safety. replacement vehicle for the duration of governing the renting, borrowing, loaning, or similar transfer of a 48-Hour Lease Delay Exception the lease. Enforcement officials will be able to use this summary document to passenger-carrying CMV from another When passengers are on a CMV and determine the identity of the carrier party, to § 390.403(a)(1), which makes an emergency occurs that requires a responsible for regulatory compliance. paragraph (a)(1)(iii) unnecessary. replacement vehicle from another motor ABA, UMA, Jefferson Bus Lines, Section 390.403(b) specifies the carrier, the 2015 rule allows the two Plymouth & Brockton, Academy Bus contents of lease and interchange carriers to postpone writing a lease or LLC, DeCamp Bus Lines, Burlington documents. This paragraph requires the other written agreement for up to 48 Trailways, Thielen Bus Lines, and lease, interchange agreement, or other hours. The Agency believed the 48-hour Coach USA support the 2018 NPRM’s agreement to contain: (1) The name of window would provide ample time for proposal. ABA writes, ‘‘this is a sound the vehicle manufacturer, the year of the parties to document the transaction. change that properly captures manufacture, and the last 6 digits of the One of the issues listed in the 2016 emergency situations for when Vehicle Identification Number; (2) the NOI was that FMCSA would reconsider passengers are and are not on a vehicle. legal names, contact information, and expanding applicability of the 48-hour It also provides added flexibility to signatures 11 of both parties; (3) the time delay provision for preparing a lease to address unexpected situations that have and date when the lease begins and include emergencies when passengers little lead time and require short-term ends; and (4) a statement that the lessee are not actually on board a bus (81 FR replacement vehicles. Additional has exclusive possession and control of 59952, Aug. 31, 2016). FMCSA provided flexibility, when needing to meet the leased vehicle and is responsible for examples of events that might require a customer needs both in the interest of regulatory compliance. motor carrier to obtain a replacement safety and comfort, is critical in terms Previous § 390.303(b)(4)(i)–(iii) was a vehicle immediately: of successfully conducting passenger slightly revised version of 49 CFR • Buses might be needed to transport operations.’’ 376.12(c)(1), (2) and (4). Paragraph stranded passengers in the event that UMA requested clarification in this (b)(4)(i) is essential because it sets forth Amtrak or airline service was final rule that ‘‘. . . the caveat that two the basic reason for a lease from suspended or disrupted. A bus operator or more passenger carriers possessing FMCSA’s point of view, namely to contracted to provide emergency service operating authority are not compelled to assign full responsibility for regulatory might need to obtain additional drivers enter into a lease continues to apply.’’ compliance to the lessee. As proposed and vehicles without delay; UMA believes that the general exception in the 2018 NPRM, FMCSA makes this • Last minute maintenance or from the leasing requirements for paragraph more concise, moves mechanical issues, or driver illness, passenger carriers with active operating paragraph (b)(3)(ii) to § 390.403(b)(4)(ii), might arise late in the evening or during authority in proposed § 390.401(b)(1) and retains only the last sentence of that the night (such as on a multi-day charter supersedes the delayed-lease provision provision. Paragraph (b)(4)(iii) in the or tour trip), or just prior to picking up in proposed § 390.403(a)(2) when both 2015 final rule is a useful disclaimer, a group for a charter or scheduled carriers in a replacement vehicle should questions arise about the status service run. scenario have operating authority. of the lessor (contractor or employee) in In the 2017 proposal, FMCSA a tax context, but FMCSA does not explained that it intended to broaden FMCSA Response believe it is essential. Therefore, the emergency 48-hour delay provision FMCSA implements the delayed-lease FMCSA has shortened paragraphs for preparing a lease authorized by 49 provision as proposed. UMA’s (b)(4)(i) and (b)(4)(ii) and has removed CFR 390.303(a)(2) and remove the understanding is correct; an authorized paragraph (b)(4)(iii). requirement that passengers actually be carrier hiring a replacement CMV from FMCSA removes the requirement in on board a bus when the exception another authorized carrier is not subject previous § 390.303(b)(5) that the lease occurs. to the delayed-lease provision of contain a statement that the lessee is Based on comments to the 2016 NOI § 390.403(a)(2). As stated above, responsible for compliance with the and 2017 proposal, the 2018 NPRM enforcement officials will be able to use insurance requirements of 49 CFR part adopted the petitioners’ the 48-hour lease delay exception 387. recommendation to expand the summary document to determine the regulatory exception that permits the identity of the carrier responsible for 11 FMCSA allows the use of electronic signatures in accordance with the Government Paperwork delayed writing of a lease during certain safety and to assign inspection, Elimination Act (Pub. L. 105–277, Sec. 1703, 112 emergencies (e.g., a crash, the vehicle is compliance, crash, and enforcement Stat. 2681–749, Oct. 21, 1998). See FMCSA’s disabled) including when no passengers data to the correct carrier and driver. ‘‘Regulatory Guidance Concerning Electronic are on the vehicle. FMCSA proposed to This will allow the Agency to identify Signatures and Documents (76 FR 411, Jan. 4, 2011) and the Electronic Signature final rule’s §§ 390.5, move the exception in 49 CFR unsafe and high risk carriers and to take 390.5T, and 390.32, April 16, 2018 (83 FR 16210, 390.303(a)(2) to 49 CFR 390.403(a)(2). If appropriate action. Because the 16226–7).

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Previous § 390.303(c) and (d) have has concluded that the changes in the route’’ operating authority has general been merged and made more concise lease and interchange requirements of authority to perform ‘‘charter and and transferred to § 390.403(c), which this final rule will not adversely affect special transportation,’’ whatever its states that a copy of the lease must be safety. certificate, permit, or license may say. carried in the passenger-carrying CMV Similarly, a motor carrier of passengers Example of Proposed Rule during the period of the lease or previously issued ‘‘charter and special Implementation interchange agreement. Both the lessee transportation’’ operating authority also and lessor retain the lease or A private citizen, Lawrence F. has general authority to perform interchange agreement for 1 year Hughes, requested clarification of the ‘‘regular route’’ service. This afterwards. implementation example for elimination of administrative service Previous § 390.303(e) regarding ‘‘Subcontracting Among Regular Route terminology is similar to the ICCTA’s receipts has been removed. FMCSA has Authorized Carriers’’ [83 FR 47764, at removal of the registration labels and decided it does not need receipts when 47773] and restated below under section transportation service limitations of vehicles are surrendered to the lessee VII. B. In the example, authorized ‘‘common’’ and ‘‘contract’’ motor and returned to the lessor. If FMCSA or carrier A hires authorized carrier B to carriers.13 another government enforcement agency continue authorized carrier A’s regular- However, if carrier A hires carrier B sought to assign a safety incident to the route transportation service to carrier to conduct a regular-route passenger lessee or the lessor based on a lease or A’s regular-route trip destination. Mr. transportation service and at least one of other agreement that had already been Hughes argues that the example lacks the two carriers does not have active terminated, the former parties to the necessary details to be sufficiently clear operating authority registraton, then the lease would have to decide how to as to the circumstances when it applies, lease and interchange requirements of document that premature and that the example fails to note when this final rule apply. termination.As proposed, FMCSA it does not apply and the rules for leases Out-of-Scope Comment removes the requirements of § 390.303(f) must be followed. He suggested either for additional temporary markings of clarification of the example or a change Greyhound, Coach USA, and leased and interchanged passenger- in the method by which FMCSA Adirondack Trailways asked FMCSA (1) carrying CMVs, and returns to the text registers motor carriers of passengers. to clarify that entities that lease buses or of the marking rule in § 390.21(e) that drivers and control their operations to was effective on July 1, 2015, with slight FMCSA Response the extent of control exercised by modifications. The modifications add First, changing the method by which FlixBus, OurBus, and similar references to leased passenger-carrying FMCSA registers motor carriers of technology entities, are bound by the CMVs in paragraph (e) to provide an passengers is outside the scope of the requirements of the rule; and (2) to option similar to that for rented CMVs. 2018 NPRM. determine that the services of these This modification would eliminate the Second, regardless of whether the entities make them motor carriers cost of additional marking of the active operating authority registration is ‘‘providing motor vehicle transportation vehicles while maintaining all of the of the subtype ‘‘regular route’’ or for compensation’’—not brokers—and information necessary for enforcement ‘‘charter and special transportation,’’ subject them to the full range of FMCSA officials to identify the carrier for each authorized for-hire motor carrier regulations. They argue that there is regulatory compliance. must conduct the transportation in its undisputed evidence FlixBus, OurBus, No comments were received about own name, under its own authority, and similar entities should be subject to these lease and interchange with its owned, leased, or borrowed the 2018 NPRM and this final rule. requirements in § 390.403 covering vehicles, and is therefore responsible for FlixBus, Inc. argued that the Agency written agreements governing the compliance with the FMCSRs. should reject requests to make it subject renting, borrowing, loaning, or similar Third, the ICC Termination Act of to the 2018 NPRM’s proposed transfer of a passenger-carrying CMV 1995 (ICCTA) [Pub. L. 104–88, 109 Stat. requirements and other FMCSA from another party. 803, 880, Dec. 29, 1995, codified at 49 regulations as a ‘‘motor carrier.’’ FlixBus U.S.C. 13902] eliminated ‘‘regular claims it is a transportation technology FMCSA Response route’’ or ‘‘charter and special company that does not own, lease, or As the Agency received no comments transportation’’ limitations when operate passenger-carrying CMVs. It about the proposed § 390.403 lease and registering most motor carriers of does not employ drivers. It provides a interchange requirements for passenger passengers. Before ICCTA, the statute consumer-facing platform travelers can carriers, the requirements are adopted required all for-hire motor carrier of use to purchase transportation provided with a reference to the compliance date. passengers to administratively register by one of its bus partners. FMCSA adds a January 1, 2021, with the ICC as subtype ‘‘regular route’’ compliance date for passenger-carrying or ‘‘charter and special transportation’’ 13 Many instances of the terms ‘‘common’’ and ‘‘contract’’ were removed in the Unified CMVs subject to the lease and motor passenger carrier, and generally Registration System (URS) final rules published in interchange rules to § 390.401’s prohibited that motor carrier from doing 2013, 2015, and 2016 (Final Rule, Unified introductory phrase. the other subtypes of passenger Registration System, 78 FR 52608 (Aug. 23, 2013), This final rule helps FMCSA, NTSB, amendments, corrections, and delayed effective and transportation service, unless granted compliance dates published at 80 FR 63703, and State safety officials to identify the additional operating authority to do so. October 21, 2015, and 81 FR 49553, July 28, 2016.), passenger carrier responsible for safety The ICCTA eliminated these and in the 2016 General Technical, Organizational, and to assign inspection, compliance, administrative labels, except for Conforming, and Correcting Amendments to the crash, and enforcement data to the Federal Motor Carrier Safety Regulations final rule registrations for motor carriers that are published at 81 FR 68336 (Oct. 4, 2016) many correct carrier and driver, allowing the ‘‘public recipients of governmental instances of the terms ‘‘regular route’’ and Agency, NTSB, and other enforcement assistance.’’ 12 Thus, a motor carrier of ‘‘irregular route,’’ as well as ‘‘common’’ and officials to more accurately identify the passengers previously issued ‘‘regular ‘‘contract’’ were also removed. See also Elimination carrier for regulatory compliance, of Route Designation Requirement for Motor Carriers Transporting Passengers Over Regular identify unsafe and high risk carriers, 12 See 49 U.S.C. 13902(b)(1) and (2), and 49 CFR Routes final rule published at 74 FR 2895 (Jan. 16, and to take appropriate action. FMCSA 365.101(e). 2009).

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FlixBus also argues FMCSA should Complete Subcontracting Among own authority, with its own vehicle(s), disregard the Greyhound, Coach USA, Authorized Carriers and is therefore responsible for and Adirondack Trailways requests Authorized carrier A lacks the compliance with the FMCSRs. because their comments are beyond the capacity to execute a contracted trip and Other Business Arrangements Between scope of this rulemaking. FlixBus argues hires authorized carrier B to make the Passenger Carriers this rulemaking addresses rules that will trip while maintaining its contract with Example 1 apply to motor carriers of passengers the customer. This arrangement is that lease and interchange vehicles; it documented by a charter contract Carrier A is exempt under 49 U.S.C. does not attempt to address which between carriers A and B. Carrier A 13506 from the requirement for entities are or should be regulated as pays carrier B for the trip. This operating authority—for example, ‘‘motor carriers.’’ ‘‘Petitioners cannot arrangement is not a lease, first because because of the hotel exemption in 14 unilaterally expand the scope of this carrier B is not granting the use of a section 13506(a)(3) —but finds itself rulemaking through their comments, nor passenger-carrying CMV to carrier A, without the capacity to accommodate a are those comments entitled to a and second because both carriers are group that it originally intended to transport. When this occurs, carrier A substantive response.’’ authorized carriers. Instead, carrier B is making the trip in its own name, on its hires authorized carrier B to provide FMCSA Response own authority, with its own vehicles charter passenger transportation of the and is therefore responsible for group in whole or in part. This FMCSA agrees with FlixBus that this compliance with the FMCSRs. This final arrangement is documented by a charter issue is outside the scope of the 2018 rule therefore does not apply to this contract between carriers A and B. NPRM. FMCSA reviewed FlixBus, arrangement. Carrier A pays carrier B for the OneBus, and other similar operations. transportation service, but is not a lessee At the time, these operations were not Partial Subcontracting Among of carrier B’s vehicle. Therefore, this found to be motor carriers of passengers Authorized Carriers arrangement is not a lease. Carrier B that lease or interchange vehicles. Thus, Assuming the same facts as described does not claim the exemption in section FlixBus and OneBus are not required to above, except that authorized carrier A 13506(a)(3) but conducts the comply with the terms of this final rule. provides some of the transportation transportation in its own name, on its Changed operations or other business service while contracting with own authority, with its own vehicle(s) models may subject companies to this authorized carrier B for the remainder, and is therefore responsible for rule. this arrangement is not a lease, first compliance with the FMCSRs. This final because carrier B is not granting the use rule does not apply to this arrangement. Additional Out-of-Scope Comment of a passenger-carrying CMV to carrier Example 2 Adirondack Trailways requested that A, and second because both carriers are Private motor carrier of passengers A its businesses be exempt from the authorized carriers. Carrier A pays finds itself without the capacity to marking requirements in § 390.21(b)(3). carrier B for the transportation service transport the members of its as part of a charter contract. Carrier B organization. Carrier A therefore hires FMCSA Response is not surrendering control of a authorized carrier B to provide charter passenger-carrying CMV to carrier A for passenger transportation of the group in FMCSA did not propose any changes its own use. Both carriers are authorized to § 390.21(b)(3) and this comment is whole or in part. This arrangement is carriers providing transportation in their documented by a charter contract thus outside the scope of the 2018 own name, on their own authority, with NPRM. between carriers A and B. Carrier A their own vehicles, and each is pays carrier B for the transportation C. Examples of Final Rule independently responsible for service. Carrier A is not a lessee and the Implementation compliance with the FMCSRs. arrangement is not a lease or Subcontracting Among Regular Route interchange because carrier B conducts The following examples were Authorized Carriers the transportation in its own name, on published in the NPRM and remain its own authority, with its own applicable to this final rule. Authorized carrier A, which provides vehicle(s) and is therefore responsible regular route passenger transportation Complete Contract Transfer Example for compliance with the FMCSRs. The services according to a fixed schedule, final rule does not apply to this finds itself without the capacity to Authorized carrier A is contracted to arrangement. execute a route. Carrier A hires transport a tour or travel group on a trip, authorized carrier B to continue this Example 3 but finds itself without the capacity to service. This arrangement is Carrier A is an exempt for-hire motor accommodate the group. Carrier A documented by a charter contract carrier of passengers (under 49 U.S.C. completely transfers the contract to between carriers A and B. Carrier A 13506) that finds itself without the authorized carrier B that has the pays carrier B for the transportation capacity to accommodate a group it necessary capacity. Carrier A may or service. This arrangement is not a lease, originally intended to transport. Carrier may not pay a fee to carrier B for taking first because carrier B is not granting the A uses a passenger-carrying CMV over the contract. A complete transfer use of a passenger-carrying CMV to owned by authorized carrier B. This would require carrier A to cancel its carrier A, and second because both transaction is a lease under the final contract with the customer and carrier carriers are authorized carriers. This rule and is subject to its requirements B to create a new contract with the arrangement is also not an interchange customer. The final rule does not apply because carriers A and B are not 14 Section 13506 lists the miscellaneous motor to these transactions because these conducting a through movement. The carrier transportation exemptions. Under section transactions do not qualify as a ‘‘lease’’ 13506(a)(3), neither the Secretary nor the Board has final rule does not apply to this jurisdiction over a motor vehicle owned or operated (or interchange), as defined in § 390.5, arrangement. Carrier B will conduct the by or for hotel patrons between the hotel and the of a passenger-carrying CMV. transportation in its own name, on its local station of a carrier.

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because carrier A is not authorized to to conduct for-hire operations in referring to a ‘‘renting motor carrier,’’ operate for-hire in interstate commerce. interstate commerce. In this case, carrier the Agency adds the phrase ‘‘or lessee’’ In this case, carrier B is a lessor that is B is a lessor that is surrendering control immediately after it. In paragraph surrendering control of a passenger- of its passenger-carrying CMV to carrier (e)(2)(iv), in addition to the cross carrying CMVs to carrier A for the use A for the use of that carrier. Carrier A reference to the property-carrying of that carrier. Carrier A will conduct will conduct the transportation in its leasing regulations in 49 CFR part 376, the transportation in its own name own name, under its own safety FMCSA adds a cross reference to the under its own safety registration (i.e., registration (i.e., USDOT number), with passenger-carrying leasing regulations USDOT number) with the CMV leased the CMV leased from carrier B, with or in subpart G of part 390 so that the from carrier B, with or without drivers without drivers provided by carrier B, revised sentence reads ‘‘See the provided by carrier B, and is therefore and is therefore responsible for property-carrying leasing regulations at responsible for compliance with the compliance with the applicable 49 CFR part 376 and the passenger- FMCSRs. FMCSRs. carrying leasing regulations at subpart G of this part for information that should Example 4 Example 7 be included in all leasing documents.’’ Private motor carrier of passengers A For-hire passenger carrier A had its FMCSA adds paragraph (e)(2)(v)(A) to finds itself without the capacity to operating authority revoked for lack of § 390.21 to allow the passenger-carrying accommodate a group it originally adequate insurance coverage. Carrier A CMV operating under the 48-hour intended to transport. Carrier A uses a wishes to generate revenue from its emergency exception pursuant to passenger-carrying CMV owned by otherwise idle CMVs. It therefore § 390.403(a)(2) to be excepted from authorized carrier B. This transaction is negotiates an arrangement with paragraphs § 390.21(e)(2)(iii) and (iv), a lease under this final rule and is authorized carrier B to surrender control provided the lessor and lessee comply subject to its requirements because of its passenger-carrying CMVs to carrier with the requirements of the provision carrier A is not authorized to operate B for a fee. This arrangement is a lease in § 390.403(a)(2). FMCSA adds for-hire in interstate commerce. In this under the final rule and would be § 390.21(e)(2)(v)(B) to set a January 1, case, carrier B is a lessor that is subject to its requirements because 2021, compliance date for the paragraph surrendering control of a passenger- carrier A is not authorized to operate (e) requirements for passenger-carrying carrying CMVs to carrier A for the use for-hire in interstate commerce. In this CMVs subject to the lease and of that carrier. Carrier A will conduct case, carrier A is simply a lessor. Carrier interchange rules under subpart G the transportation in its own name B would conduct the transportation in (§§ 390.401 and 390.403). This date is under its own safety registration (i.e., its own name, under its own authority, identical to the compliance date in USDOT number) with the CMV leased with the CMVs leased from carrier A, §§ 390.401 and 390.403. from carrier B, with or without drivers with or without drivers provided by FMCSA removes § 390.21(f) and provided by carrier B, and is therefore carrier A, and is therefore responsible redesignates paragraphs (g) and (h) as responsible for compliance with the for compliance with the FMCSRs. paragraphs (f) and (g), respectively, as 15 applicable FMCSRs. VI. International Impacts they were on July 1, 2015. Example 5 The FMCSRs, and any exceptions to C. Part 390, Subpart F Lease and Authorized carrier A lacks the the FMCSRs, apply only within the Interchange of Passenger-Carrying capacity to execute a contracted trip and United States (and, in some cases, Commercial Motor Vehicles uses a passenger-carrying CMV owned United States territories). Motor carriers Subpart F, including §§ 390.300T, by private motor carrier of passengers, and drivers are subject to the laws and 390.301, 390.303, and 390.305, is carrier B. This transaction is a lease regulations of the countries in which removed and reserved. they operate, unless an international under the final rule and is subject to its D. Part 390, Subpart G Lease and requirements because private carrier B agreement states otherwise. Drivers and carriers should be aware of the Interchange of Passenger-Carrying is not authorized to operate for-hire in Commercial Motor Vehicles interstate commerce and cannot be regulatory differences among nations. Subpart G, consisting of §§ 390.401 hired to provide transportation. In this VII. Section-By-Section Description of and 390.403, is added. These sections case, carrier B is a lessor that is the Rule surrendering control of its passenger- include the applicability of the final carrying CMV to carrier A. Carrier A A. Section 390.5 Definitions rule, the two general exceptions, the will conduct the transportation in its Section 390.5 is amended to revise the civil penalties for failure to meet own name, under its own authority, definitions of lease, lessee, and lessor applicable requirements, and the with the CMV leased from the private and these terms apply specifically to requirements for every lease or motor carrier of passengers, with or motor carriers of passengers. interchange. without drivers provided by carrier B, B. Section 390.21 Marking of Self- E. Section 390.401 Applicability and is therefore responsible for Propelled CMVs and Intermodal Paragraph (a) explains the general compliance with the FMCSRs. Equipment applicability of Subpart G. The Example 6 Section 390.21 is returned nearly to compliance date of this section is Private motor carrier of passengers A the form before the May 27, 2015, final January 1, 2021. finds itself without the capacity to rule’s effective date. In the paragraph (e) Paragraph (b) provides two exceptions transport the members of its header, FMCSA replaces ‘‘Rented to the general rule. Paragraph (b)(1) organization and uses a passenger- property-carrying commercial motor makes the rules in §§ 390.401 and carrying CMV owned by private motor vehicles’’ with the phrase ‘‘Rented 390.403 inapplicable to contracts and carrier of passengers B. This transaction CMVs and leased passenger-carrying 15 See https://www.ecfr.gov/cgi-bin/text-idx?SID= is a lease under the final rule and is CMVs.’’ Throughout paragraph (e), the b9ddca68b462ed0f3d5758839de97752&pitd= subject to the requirements of this rule Agency adds the phrase ‘‘or lease’’ after 20150701&node=pt49.5.390&rgn= because neither carrier has the authority the term ‘‘rental agreement.’’ When div5#se49.5.390_121 (accessed June 3, 2019).

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agreements between motor carriers of VIII. Regulatory Analyses baseline annual industry growth rate passengers that have active FMCSA projections used in the analysis. A. E.O. 12866 (Regulatory Planning and As described earlier, the rule reduces operating authority. This exception is Review), E.O. 13563 (Improving the scope of the lease and interchange applicable when one such motor carrier Regulation and Regulatory Review), and acquires transportation service(s) from DOT Regulatory Policies and Procedures requirements for motor carriers of another such motor carrier(s), whether passengers. Furthermore, those those agreements are designated sub- FMCSA performed an analysis of the passenger carriers and passenger- charters, farm-out charters, impacts of the rule and determined it is carrying CMV trips for which the rule subcontracts, pooling agreements not a significant regulatory action under remains applicable are subject to lease approved by the U.S. Surface section 3(f) of E.O. 12866 (58 FR 51735, and interchange requirements that are Transportation Board, or through- October 4, 1993), Regulatory Planning reduced in comparison to those of the service 16 agreements. and Review, as supplemented by E.O. 2015 final rule. At the same time, 13563 (76 FR 3821, January 21, 2011), FMCSA believes that the lease and Paragraph (b)(2) makes the rules in Improving Regulation and Regulatory §§ 390.401 and 390.403 inapplicable to interchange requirements of the rule Review. Accordingly, the Office of still enable safety officials and the Financial leases (however designated, Management and Budget (OMB) has not public to sufficiently identify the e.g., lease, closed-end lease, hire reviewed it under that Order. It is also passenger carrier responsible for safety purchase, lease purchase, purchase not significant within the meaning of because each authorized for-hire motor agreement, installment plan, DOT regulatory policies and procedures carrier must conduct the transportation demonstration or loaner vehicle, etc.) (DOT Order 2100.5 dated May 22, 1980; in its own name, under its own between a motor carrier and a bank or 17 44 FR 11034 (February 26, 1979) ). authority, with its owned, leased, or similar financial organization or a This rule is not a major rule as defined borrowed vehicles, and is therefore manufacturer or dealer of passenger- under the Congressional Review Act (5 responsible for compliance with the carrying CMVs. This provision U.S.C. 801–808). FMCSRs. Therefore, FMCSA estimates repromulgates the same section of the The Agency received eighteen that the rule results in a cost savings, comments on the 2018 NPRM. None 2015 final rule. but will not result in any change to specifically addressed the regulatory Paragraph (c) provides that if the use safety benefits. analyses that were presented in the of a passenger-carrying CMV is arranged The Agency estimates that the rule NPRM. The only substantive change between motor carriers subject to both will result in a cost savings of $76.5 made to the regulatory evaluation from rules in §§ 390.401 and 390.403 and million on an undiscounted basis, $67.7 the NPRM to this final rule is that the either carrier fails to meet all applicable million discounted at 3 percent, and analysis time period has been updated requirements of subpart G, both motor $58.5 million discounted at 7 percent to reflect the December 4, 2018, carriers are subject to a civil penalty. over the 10-year analysis period, extension of the compliance date for the expressed in 2016 dollars. On an F. Section 390.403 Lease and May 2015 final rule from January 1, annualized basis, this equates to a 10- Interchange Requirements 2019, to January 1, 2021 (83 FR 62505). year cost savings of $7.9 million at a 3 Because this rule revises the regulations percent discount rate and $8.3 million Paragraph (a)(1) sets out the two established in the 2015 final rule, that at a 7 percent discount rate. instances in which a lease or other rule serves as the baseline against which agreement is required (and the lease or the effects of this rule are evaluated. Key Inputs to the Analysis agreement must then meet the When the regulatory evaluation for the The rule revises regulations conditions of paragraphs (b) and (c) of NPRM was performed, the compliance this section) beginning on the established in the 2015 final rule, date for the 2015 final rule was January therefore the 2015 final rule serves as compliance date of this rule, January 1, 1, 2019, and therefore the analysis 2021. Paragraph (a)(2) allows the the baseline against which the effects of period likewise began as of 2019. As this rule are evaluated. Many of the key delayed writing of a lease or agreement noted, on December 4, 2018, the Agency after an emergency, such as a disabled inputs to this analysis of the rule are extended the compliance date for the based on the same data sources and vehicle, that disrupts or delays a trip, 2015 final rule to January 1, 2021. and, unlike the previous rule, does not methods as those developed and used in Therefore, the analysis period for this the evaluation of the 2015 final rule, limit the exception to times when rule now begins as of 2021. The primary passengers are on the bus. with various updates made as needed to result of this change is a less than 2 reflect more recently available data and Paragraph (b) specifies the four percent increase in the annualized cost information. Therefore, a copy of the required items of any lease, sublease, or savings. This small increase is primarily regulatory evaluation for the 2015 final interchange document required by this a reflection of the slightly larger number rule is available in the docket for this rule: (1) Vehicle identification of passenger carriers and CMV trips that final rule, and, where applicable, the information; (2) Parties; (3) Specific experience regulatory relief in future Agency cites that document in the years under the new analysis time duration; and (4) Exclusive possession analysis below.18 The analysis of this period, consistent with the modest and responsibilities. final rule utilizes a 10-year analysis Paragraph (c) explains when a copy of period of 2021 to 2030, and all monetary 17 Although the recent DOT Order 2100.6 the lease or agreement must be on the (Policies and Procedures for Rulemakings) that was values are expressed in 2016 dollars. passenger-carrying CMV and how long published December 20, 2018, cancels and both the lessor and lessee must retain supersedes this DOT Order 2100.5, the newer DOT 18 U.S. Department of Transportation (DOT), copies of the lease or agreement. Order 2100.6 specifically notes that it ‘‘does not FMCSA. ‘‘Final Rule. Lease and Interchange of apply to any rulemaking in which a notice of Vehicles; Motor Carriers of Passengers. Regulatory proposed rulemaking was issued before the Evaluation.’’ May 2015. Docket ID# FMCSA–2012– 16 A through-service agreement involves a change effective date of this Order,’’ which was December 0103–0022. Available at: https:// in the operating provider of the transportation at a 20, 2018. Therefore, because the NPRM for this final www.regulations.gov/contentStreamer? specified boundary on a regular schedule. This is rule was published September 20, 2018 (83 FR documentId=FMCSA-2012-0103- usually accomplished at specific locations where 47764), the newer DOT Order 2100.6 does not apply 0022&attachmentNumber=1&contentType=pdf equipment, drivers, or motor carriers are changed. and therefore is not cited here. (accessed June 3, 2019).

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Number of Passenger Carriers the 10-year analysis period of the relief and are no longer subject to the Experiencing Regulatory Relief Under individual annual estimates of the total lease and interchange requirements for the Rule number of passenger carriers passenger-carrying CMVs because of the experiencing regulatory relief under the rule. The remaining 25 percent of these The Agency estimates that an annual rule, which are presented in Table 2. As passenger carriers will experience average of 8,366 motor carriers of also shown in Table 2, the Agency partial regulatory relief and remain passengers will experience regulatory estimates that approximately 75 percent subject to reduced lease and interchange relief under the rule, as discussed of this total number of passenger requirements compared to those of the below. This represents the average over carriers will experience full regulatory 2015 final rule.

TABLE 2—ESTIMATED NUMBER OF PASSENGER CARRIERS EXPERIENCING REGULATORY RELIEF UNDER THE RULE

Passenger Passenger Total carriers carriers passenger experiencing experiencing carriers Year full regulatory partial regulatory experiencing relief under relief under regulatory the rule the rule relief under the rule (a)

2021 ...... 6,035 2,012 8,046 2022 ...... 6,087 2,029 8,116 2023 ...... 6,139 2,046 8,186 2024 ...... 6,192 2,064 8,256 2025 ...... 6,246 2,082 8,328 2026 ...... 6,300 2,100 8,400 2027 ...... 6,354 2,118 8,472 2028 ...... 6,409 2,136 8,545 2029 ...... 6,464 2,155 8,619 2030 ...... 6,520 2,173 8,693

Annual average ...... 6,275 2,092 8,366 Notes: (a) Values may not equal the sum of the components due to rounding.

To derive the estimates presented in recently available data and information. rule, 7,774 of these passenger carriers Table 2 of the number of passenger The Agency used data from the FMCSA would be subject to the May 2015 final carriers experiencing regulatory relief Motor Carrier Management Information rule. This estimate is based on the same under the rule, FMCSA first estimated System (MCMIS) and the FMCSA methods as those developed and used in the number of passenger carriers that, in Licensing and Insurance (L&I) system to the evaluation of the 2015 final rule, the absence of the rule, would be develop a new baseline value for the and assumes that under that rule 100 affected by the lease and interchange reported number of all active interstate percent of authorized for-hire carriers, requirements of the 2015 final rule. This passenger carriers operating in the U.S. 100 percent of exempt for-hire carriers, estimate is based on the same data as of the end of calendar year 2017, and 10 percent of private passenger sources and methods as those developed namely 13,386 carriers.20 21 carriers would be subject to the lease and used in the evaluation of the 2015 Of this total population, the Agency and interchange requirements for final rule 19 but updated to reflect more estimates that, in the absence of this passenger-carrying CMVs.22

TABLE 3—REPORTED NUMBER OF ACTIVE INTERSTATE PASSENGER CARRIERS OPERATING IN THE U.S. (AS OF DECEMBER 29, 2017) AND ESTIMATED NUMBER THAT WOULD BE SUBJECT TO THE MAY 2015 FINAL RULE IN THE ABSENCE OF THE RULE

Number Type of Total (and percent) passenger number of estimated to be subject carrier operation carriers to the May 2015 final rule in the absence of the rule

Authorized For-Hire (a) ...... 6,629 6,629 (100% of total). Exempt For-Hire (9+) (b) ...... 340 340 (100% of total). Exempt For-Hire (16+) (c) ...... 181 181 (100% of total). Private (business) (d) ...... 2,599 260 (10% of total).

19 Further details regarding the specific data 29, 2017 (Data Analysis and Reports Team (DART) risk underestimating the number of affected sources and methods can be found in U.S. DOT, request ID # 38883). passenger carriers and the corresponding cost of the FMCSA, ‘‘Final Rule. Lease and Interchange of 21 The total number of 13,386 passenger carriers lease and interchange requirements of the May 2015 Vehicles; Motor Carriers of Passengers. Regulatory as of the end of 2017 represents 11,705 unique final rule. carriers, because some carriers provide passenger Evaluation.’’ May 2015. Pages 9 to 12. 22 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and 20 service in more than one of the operation U.S. DOT, FMCSA. Motor Carrier Management classifications shown. Consistent with the approach Interchange of Vehicles; Motor Carriers of Information System (MCMIS), and Licensing and used in the regulatory evaluation for the May 2015 Passengers. Regulatory Evaluation.’’ May 2015. Insurance (L&I) system. Snapshots as of December final rule, the larger number was used here to not Pages 9 to 12.

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TABLE 3—REPORTED NUMBER OF ACTIVE INTERSTATE PASSENGER CARRIERS OPERATING IN THE U.S. (AS OF DECEMBER 29, 2017) AND ESTIMATED NUMBER THAT WOULD BE SUBJECT TO THE MAY 2015 FINAL RULE IN THE ABSENCE OF THE RULE—Continued

Number Type of Total (and percent) passenger number of estimated to be subject carrier operation carriers to the May 2015 final rule in the absence of the rule

Private (non-business) (e) ...... 3,637 364 (10% of total).

Total (f) ...... 13,386 7,774. Notes: (a) A commercial entity whose primary business activity is the transportation of passengers by motor vehicle for compensation. (b) A for-hire entity that is exempt under 49 U.S.C. 13506, and operates at least one passenger vehicle designed or used to accommodate 9 or more passengers including the driver. (c) A for-hire entity that is exempt under 49 U.S.C. 13506, and operates at least one passenger vehicle designed or used to accommodate 16 or more passengers including the driver. (d) A private entity engaged in the interstate transportation of passengers which is provided in the furtherance of a commercial enterprise and is not available to the public at large. (e) A private entity involved in the interstate transportation of passengers that does not otherwise meet the definition of a ‘‘private (business)’’ motor carrier of passengers as noted above. (f) The total number of 13,386 passenger carriers shown represents 11,705 unique carriers, because some carriers provide passenger service in more than one of the operation classifications shown. Consistent with the approach used in the regulatory evaluation for the May 2015 final rule, the larger number was used here to not risk underestimating the number of affected passenger carriers and the corresponding cost of the lease and interchange requirements of the May 2015 final rule.

The 2017 value of 7,774 passenger Table 2 also shows the subset of those the comments and petitions for carriers that would be subject to the 8,366 passenger carriers that under the reconsideration that the Agency 2015 final rule was then used as the rule will experience full regulatory received, a number of which suggested basis to develop future projections over relief and will no longer be subject to that the scope of the 2015 final rule the 2021 to 2030 analysis period. The lease and interchange requirements. likely encompassed a relatively large Agency developed these projections by Over the 10-year analysis period, the proportion of passenger-carrying CMV increasing the baseline 2017 value of Agency estimates that an annual average trips in which both the lessor and the 7,774 passenger carriers consistent with of 6,275 passenger carriers, or lessee were authorized carriers. the occupation-specific employment approximately 75 percent of the total Petitioners generally argued that such growth projections for Standard number of carriers that will experience carriers should not be subject to lease Occupational Classification (SOC) Code regulatory relief, will experience full and interchange requirements. 53–3021 (Bus drivers, transit and regulatory relief. The Agency estimated Finally, Table 2 also presents an intercity) obtained from the U.S this value by assuming that estimate of the remaining subset of the Department of Labor (DOL) Bureau of approximately 10 percent of authorized annual average of 8,366 passenger Labor Statistics (BLS) Employment for-hire carriers will be subject to the carriers that will experience partial Projections Program which, from 2016 lease and interchange requirements regulatory relief and remain subject to to 2026, is forecast to grow by 0.86 under this rule, rather than 100 percent reduced lease and interchange percent annually.23 This results in a as assumed previously under the 2015 requirements compared to those of the projection of the number of passenger final rule and as shown in Table 3. 2015 rule. Over the 10-year analysis carriers that, in the absence of this rule, For exempt for-hire carriers and period, the Agency estimates that an would be subject to the 2015 rule each private passenger carriers, the analysis annual average of 2,092 passenger assumes that 100 percent and 10 year over the 2021 to 2030 analysis carriers, or approximately 25 percent of percent, respectively, of these carriers period. In the absence of the rule, these the total, will experience partial will continue to be subject to the lease passenger carriers would be subject to regulatory relief. As noted earlier, and interchange requirements under the the 2015 rule. As discussed earlier, however, these carriers will be subject rule, the same percentages as under the under the rule a large portion of these to reduced requirements compared to 2015 final rule and as shown in Table passenger carriers will no longer be those of the 2015 final rule. 3. Combined, these changes result in an subject to lease and interchange estimated overall reduction of requirements, and the remaining passenger carriers will continue to be subject to the approximately 75 percent in the number carriers will be subject to reduced lease and interchange requirements for passenger- of passenger carriers subject to lease and carrying CMVs under the rule, which equals 100 requirements. In Table 2, the column on interchange requirements under the percent of 340 and 181 exempt for-hire carriers the far right shows the projected number (totaling 521 exempt for-hire carriers), and 10 rule.24 This reduction is consistent with of passenger carriers that will percent of 2,599 and 3,637 private carriers (totaling 624 private carriers). Therefore, the Agency experience regulatory relief under the 24 As shown in Table 3, in 2017 an estimated estimates that 1,808 passenger carriers will be rule over the 10-year analysis period of 7,774 passenger carriers would be subject to the subject to the lease and interchange requirements of 2021 to 2030, which equals an annual lease and interchange requirements of passenger- passenger-carrying CMVs in 2017 under this final average of 8,366 passenger carriers. carrying CMVs under the May 2015 final rule. rule, or 23.3 percent of those subject to the Under this rule, as noted, the analysis assumes that requirements under the 2015 final rule, which is only 10 percent of authorized for-hire carriers will rounded to 25 percent for purposes of developing 23 U.S. DOL BLS. ‘‘Occupational Employment be subject to the lease and interchange requirements the future projections of affected passenger carriers Projections. Table 1.2: Employment by detailed of passenger-carrying CMVs, or 10 percent of 6,629, presented in Table 2. Therefore, as a consequence occupation, 2016 and projected 2026.’’ Available at: which equals 663 authorized for-hire passenger of this final rule, there will be a 75 percent https://www.bls.gov/emp/ep_data_occupational_ carriers. The analysis also assumes that 100 percent reduction in the number of passenger carriers data.htm (accessed June 3, 2019). of exempt for-hire carriers and 10 percent of private subject to lease and interchange requirements.

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Number of CMV Trips Experiencing relief under the rule. For each of the methods used in the evaluation of the Regulatory Relief Under the Rule carriers in Table 2, the Agency assumed 2015 final rule,27 and is based on data an estimated average of 64 trips per year that Greyhound provided to FMCSA The Agency estimates that an annual would be operated with vehicles that regarding trips with leased and average of 547,034 passenger-carrying would be considered leased or interchanged vehicles in 2012.28 CMV trips will experience regulatory interchanged vehicles under the 2015 The Agency estimates that relief under the rule over the 10-year final rule. This is consistent with the approximately 75 percent of these analysis period, as presented in Table 4 assumptions used in the regulatory passenger-carrying CMV trips will and discussed below. This estimate is evaluation for the 2015 final rule.26 The experience full regulatory relief and will based on the same methods as those estimated number of trips that will no longer be subject to the lease and developed and used in the evaluation of experience regulatory relief under the interchange requirements of the 2015 the 2015 final rule.25 The estimated rule (see Table 4) also incorporates a final rule. The remaining 25 percent of number of passenger carriers that will modest upward adjustment to reflect an these trips will experience partial experience regulatory relief under the annual average of 11,400 trips operated regulatory relief and remain subject to rule (see Table 2) serves as the primary by Greyhound, one of the largest U.S. reduced lease and interchange basis for the estimate of the number of interstate passenger carriers. This requirements compared to those of the trips that will experience regulatory adjustment is consistent with the 2015 final rule.

TABLE 4—ESTIMATED NUMBER OF PASSENGER-CARRYING CMV TRIPS EXPERIENCING REGULATORY RELIEF UNDER THE RULE

Passenger- Passenger- carrying carrying CMV trips Total CMV trips CMV trips experiencing experiencing Year experiencing regulatory full regulatory partial relief under regulatory (a) relief under relief under the rule the rule the rule

2021 ...... 394,583 131,528 526,111 2022 ...... 397,990 132,663 530,654 2023 ...... 401,427 133,809 535,237 2024 ...... 404,894 134,965 539,859 2025 ...... 408,391 136,130 544,521 2026 ...... 411,918 137,306 549,224 2027 ...... 415,475 138,492 553,967 2028 ...... 419,063 139,688 558,751 2029 ...... 422,682 140,894 563,576 2030 ...... 426,332 142,111 568,443

Annual average ...... 410,276 136,759 547,034 Notes: (a) Values may not equal the sum of the components due to rounding.

Other Key Inputs to the Analysis Fringe benefits include paid leave, forms of compensation and labor related bonuses and overtime pay, health and expenses. For this regulatory evaluation, The opportunity cost of the time other types of insurance, retirement the costs of labor to the firm are employees of passenger carriers spend plans, and legally required benefits calculated to include base wages and complying with the lease and (Social Security, Medicare, fringe benefits, plus overhead. interchange requirements represents unemployment insurance, and workers’ For the regulatory evaluation of both approximately 95 percent of the total compensation insurance). Overhead the 2015 final rule and this rule, the cost of the 2015 final rule. The cost includes any expenses to a firm median hourly base wage rate for the savings from this rule are likewise associated with labor that are not part of BLS SOC code 53–1031, ‘‘First-Line heavily influenced by aggregate changes employees’ compensation, and typically in the opportunity cost of employee includes many types of fixed costs of Supervisors of Transportation and time. managing a body of employees, such as Material-Moving Machine and Vehicle The Agency evaluates changes in management and human resource staff Operators,’’ is used as the basis for employee opportunity cost by using salaries or payroll services. The calculating the relevant cost of labor. their labor costs. Labor costs comprise economic costs of labor to a firm, in this For 2016, BLS reports an hourly base wages, fringe benefits, and overhead. case a passenger carrier, include all

25 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and Passengers. Regulatory Evaluation.’’ May 2015. 2019). Greyhound reported 10,263 passenger- Interchange of Vehicles; Motor Carriers of Pages 12 to 13. carrying CMV trips performed in 2012 by vehicles Passengers. Regulatory Evaluation.’’ May 2015. Page 28 ‘‘Lease and Interchange of Vehicles; Motor leased and interchanged. This 2012 value was then 21, Table 6. Carriers of Passengers. NPRM.’’ September 20, 2013. adjusted to reflect observed industry growth from 26 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and Comments of Greyhound Lines, Inc., Docket ID 2012 to 2016 as represented by growth in Interchange of Vehicles; Motor Carriers of number FMCSA–2012–0103–0010. Page 2. employment for SOC Code 53–3021 (Bus drivers, Passengers. Regulatory Evaluation.’’ May 2015. Page November 12, 2013. Available at: https:// transit and intercity), and then further adjusted to 21, Table 6. www.regulations.gov/contentStreamer? 27 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and documentId=FMCSA-2012-0103-0010&attachment reflect employment growth projections for SOC Interchange of Vehicles; Motor Carriers of Number=1&contentType=pdf (accessed June 3, Code 53–3021 (Bus drivers, transit and intercity).

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wage rate of $27.54 for this estimates that the rule will result in a $2.9 million on an annualized basis at occupation.29 cost savings of $8.3 million at a 7 a 7 percent discount rate. For the BLS does not publish data on fringe percent discount rate relative to the remaining passenger carriers and benefits for specific occupations, but it 2015 baseline, representing a 79 percent passenger-carrying CMV trips that are does do so for broad industry groups in overall reduction in cost. still subject to the leasing and its Employer Costs for Employee The estimated reduction of interchange requirements, the provision Compensation (ECEC) publication. A approximately 75 percent in the number in § 390.303(b)(5), that the lease contain fringe benefit rate of 57 percent (i.e., of passenger carriers and CMV trips a statement that the lessee is responsible equal to 57 percent of the base wage under the rule is responsible for most of for compliance with the insurance rate) is used. This is based on the annualized cost savings. The requirements of 49 CFR part 387, is information from the June 2016 BLS remaining cost savings are the result of removed. Although in theory this ECEC data, which for the reduced requirements for those change may result in a modest ‘‘Transportation and warehousing’’ approximately 25 percent of passenger incremental reduction in the amount of segment of private industry reports a carriers and CMV trips that will remain time passenger carrier employees benefits cost of $14.09 per hour worked, subject to the lease and interchange expend in negotiating the lease and which represents 57 percent of wages rules. developing the lease document for and salaries in that industry segment of Under both the 2015 rule and this carriers still subject to the leasing and $24.73 per hour.30 rule, costs are organized into six major interchange requirements, there is no Finally, for estimating overhead rates, categories. Five are related to the empirical basis upon which to estimate the Agency used industry data gathered requirements under § 390.303 of the such a possible impact. Therefore, the for the Truck Costing Model developed 2015 rule, and include: One-time costs Agency has chosen not to make any by the Upper Great Plains of lease negotiation; lease such incremental reduction in its Transportation Institute, North Dakota documentation costs; lease copying analysis. Also, not quantifying such a 31 State University. Research conducted costs; lease receipt costs; and vehicle potential impact is a conservative for this model found an average cost of marking costs. The sixth cost category is approach that helps to avoid $0.107 per mile of CMV operation for related to the charter party notification overestimating the cost savings of the management and overhead, and $0.39 requirement under § 390.305 of the 2015 rule. per mile for labor, indicating an rule. Lease documentation costs under the overhead rate of 27 percent (27% = One-time costs of lease negotiation rule are calculated based on the number ÷ $0.107 $0.39 (rounded to the nearest under this rule are calculated based on of CMV trips that will experience whole percent)). the number of CMV trips that will regulatory relief under the rule for this Combined, the overall relevant cost of experience regulatory relief under the cost category, the time spent by carrier labor, including base wage rate, fringe rule for this cost category, the time employees verifying the information expended by employees in negotiating benefits, and overhead, for passenger and signing the lease, and the total labor the lease and developing the lease carriers that will experience regulatory cost of these employees. The number of document, and the total labor cost of relief under the rule is $54.91 per hour. trips that will experience regulatory these employees. The number of trips relief under the rule for this cost Costs that will experience regulatory relief category are the same as above, an The rule will not result in any under the rule for this cost category are annual average of 410,276 trips that will increase in costs. It revises the 2015 the trips that will no longer be subject no longer be subject to the lease and final rule, which serves as the baseline to the lease and interchange interchange requirements. Consistent against which the effects of this rule are requirements. As presented earlier in with the 2015 regulatory evaluation, for evaluated. Absent this rule, the Agency Table 4, the Agency estimates that an each trip that will experience regulatory estimates that the baseline costs of the annual average of 410,276 passenger- relief under the rule for this cost 2015 final rule over the 10-year analysis carrying CMV trips will no longer be category this analysis assumes that both period of 2021 to 2030 would be $10.6 subject to the lease and interchange the lessor and the lessee save 5 minutes million on an annualized basis at a 7 requirements. Consistent with the of employee time, for a total savings of percent discount rate, expressed in 2016 approach used in the 2015 regulatory 10 minutes for each such trip.34 This is dollars.32 As noted earlier, the Agency evaluation, for each of these trips it is assumed that 30 minutes of employee valued at the total labor cost of $54.91 29 U.S. DOL BLS. ‘‘Occupational Employment time is saved, for both the lessor and the per hour. The resulting savings in lease Statistics (OES). National.’’ May 2016. March 31, lessee, for a total time savings of one documentation costs under the rule will 2017. Available at: https://www.bls.gov/oes/ hour for each such trip.33 This savings be $37.6 million on an undiscounted special.requests/oesm16nat.zip (accessed June 3, basis over the 10-year analysis period, 2019). The May 2017 BLS OES published in March is valued at the total labor cost of $54.91 2018 did not report data for this BLS SOC code 53– per hour, described earlier. The and $3.7 million on an annualized basis 1031. Therefore, the May 2016 data used in the resulting savings in one-time costs of at a 7 percent discount rate. analysis for the NPRM is used again here in the lease negotiation under the rule will be Lease copying cost savings under the analysis for this final rule. $21.7 million on an undiscounted basis rule are calculated based on the number 30 U.S. DOL BLS. ‘‘Table 10: Employer costs per of CMV trips that will experience hour worked for employee compensation and costs over the 10-year analysis period, and as a percent of total compensation: Private industry regulatory relief under the rule for this workers, by industry group, June 2016.’’ Available was presented in the regulatory evaluation for the cost category, and an estimated cost per at: https://www.bls.gov/news.release/archives/ecec_ 2015 final rule primarily due to various real and copy. The number of trips that will 09082016.pdf (accessed June 3, 2019). nominal updates made to reflect more recently experience regulatory relief under the 31 Berwick, Farooq. ‘‘Truck Costing Model for available data and information, as well as the rule for this cost category are the same Transportation Managers.’’ North Dakota State different time frames covered by the 10-year University. Upper Great Plains Transportation analysis period for each respective analysis as above, an annual average of 410,276 Institute. August 2003. Appendix A, pp. 42–47. (previously 2017 to 2026, and now 2021 to 2030). Available at: http://www.mountain-plains.org/pubs/ 33 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and 34 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and pdf/MPC03-152.pdf (accessed June 3, 2019). Interchange of Vehicles; Motor Carriers of Interchange of Vehicles; Motor Carriers of 32 This annualized cost estimate of $10.6 million Passengers. Regulatory Evaluation.’’ May 2015. Passengers. Regulatory Evaluation.’’ May 2015. Page differs somewhat from the value of $8.0 million that Pages 16 to 17. 17.

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such trips. As in the 2015 regulatory trips. Consistent with the 2015 rule for this cost category, and an evaluation, it assumed that for each trip regulatory evaluation, each receipt is estimated expenditure by passenger one copy of the lease is made for the assumed to cost $0.15, with four carrier employees of 5 minutes per lessor and another for the lessee, each receipts required for a total of $0.60 per notification.37 Because the rule will at a cost of $0.15, for a total cost of $0.30 trip.36 The resulting lease receipt cost remove the notification provision in its per trip.35 The resulting lease copying savings under the rule will be $3.3 entirety, the resulting cost savings will cost savings under the rule will be $1.2 million on an undiscounted basis over apply to all trips in which notification million on an undiscounted basis over the 10-year analysis period, and $0.327 would otherwise have been necessary, the 10-year analysis period, and $0.123 million on an annualized basis at a 7 which are assumed to be 50 percent of million on an annualized basis at a 7 percent discount rate. the total annual average of 547,034 percent discount rate. Vehicle marking cost savings under The remaining three cost categories the rule are calculated based on the passenger-carrying CMV trips listed in 38 (lease receipts, vehicle marking, and number of CMV trips that will Table 4. The resulting savings in charter party notification) will be experience regulatory relief under the charter party notification costs under eliminated for all passenger carriers and rule for this cost category, and marking the rule will be $12.4 million on an passenger-carrying trips, including costs per vehicle that include two sheets undiscounted basis over the 10-year those that would still be subject to the of letter size paper per trip at $0.014 per analysis period, and $1.23 million on an lease and interchange requirements sheet, plus $0.04 for adhesive tape. annualized basis at a 7 percent discount under the rule. Because the rule will remove the rate. Lease receipt cost savings under the marking provision in its entirety, the In summary, and as presented in rule are calculated based on the number cost savings will apply to all trips listed Table 5, the Agency estimates that the of CMV trips that will experience in Table 4, an annual average of 547,034 rule will result in a cost savings of $76.5 regulatory relief under the rule for this trips. The resulting vehicle marking cost million on an undiscounted basis, $67.7 cost category, with two receipts savings under the rule will be $0.361 million discounted at 3 percent, and assumed per trip (one for obtaining, the million on an undiscounted basis over $58.5 million discounted at 7 percent other for surrendering, the vehicle), and the 10-year analysis period, and $0.036 both the lessor and lessee requiring million on an annualized basis at a 7 over the 10-year analysis period, copies of each, for a total of four receipts percent discount rate. expressed in 2016 dollars. On an per trip. Because the rule will remove Charter party notification cost savings annualized basis, this equates to a 10- the receipt provision in its entirety, the under the rule are calculated based on year cost savings of $7.9 million at a 3 cost savings will apply to all trips listed the number of CMV trips that will percent discount rate and $8.3 million in Table 4, an annual average of 547,034 experience regulatory relief under the at a 7 percent discount rate.

TABLE 5—TOTAL COST OF THE RULE [In thousands of 2016]

Undiscounted Discounted Lease and interchange costs Year Charter party (b) Discounted Discounted Lease notification Total cost at 3% at 7% Lease documentation, Vehicle costs negotiation copying, and marking costs (a) lease receipt costs costs

2021 ...... ($21,667) ($4,045) ($35) ($1,189) ($26,936) ($26,152) ($25,174) 2022 ...... 0 (4,079) (35) (1,199) (5,315) (5,009) (4,642) 2023 ...... 0 (4,115) (35) (1,210) (5,360) (4,906) (4,376) 2024 ...... 0 (4,151) (36) (1,220) (5,407) (4,804) (4,125) 2025 ...... 0 (4,188) (36) (1,231) (5,453) (4,704) (3,888) 2026 ...... 0 (4,224) (36) (1,241) (5,500) (4,607) (3,665) 2027 ...... 0 (4,259) (37) (1,252) (5,548) (4,511) (3,455) 2028 ...... 0 (4,296) (37) (1,263) (5,596) (4,417) (3,257) 2029 ...... 0 (4,333) (37) (1,274) (5,644) (4,326) (3,070) 2030 ...... 0 (4,371) (38) (1,285) (5,693) (4,236) (2,894)

Total ...... (21,667) (42,061) (361) (12,363) (76,453) (67,672) (58,546) Annualized ...... (7,645) (7,933) (8,336) Notes: (a) Values shown in parentheses are negative values (i.e., less than zero) and represent a decrease in cost or a cost savings. (b) Total cost values may not equal the sum of the components due to rounding. (The totals shown in this column are the rounded sum of unrounded components.)

35 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and Passengers. Regulatory Evaluation.’’ May 2015. 38 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and Interchange of Vehicles; Motor Carriers of Pages 17 to 18. Interchange of Vehicles; Motor Carriers of Passengers. Regulatory Evaluation.’’ May 2015. Page 37 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and Passengers. Regulatory Evaluation.’’ May 2015. 17. Interchange of Vehicles; Motor Carriers of Pages 24 to 26. 36 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and Passengers. Regulatory Evaluation.’’ May 2015. Interchange of Vehicles; Motor Carriers of Pages 24 to 26.

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Benefits B. E.O. 13771 (Reducing Regulation (SBREFA) (Pub. L. 104–121, 110 Stat. The regulatory evaluation for the 2015 and Controlling Regulatory Costs) 857), requires Federal agencies to Executive Order 13771, Reducing final rule attempted to estimate the consider the impact of their regulatory Regulation and Controlling Regulatory potential safety benefits of lease and proposals on small entities, analyze Costs, was issued on January 30, 2017 interchange requirements,39 but there effective alternatives that minimize (82 FR 9339, Feb. 3, 2017). E.O. 13771 were insufficient data and empirical small entity impacts, and make their requires that for every one new evidence to demonstrate a measurable analyses available for public comment. regulation issued by an Agency, at least The term ‘‘small entities’’ means small quantitative relationship between lease two prior regulations be identified for and interchange requirements and businesses and not-for-profit elimination, and that the cost of organizations that are independently improved safety outcomes, such as planned regulations be prudently reduced frequency and/or severity of owned and operated and are not managed and controlled through a dominant in their fields, and crashes or reduced frequency of budgeting process.41 Final violations. Therefore, FMCSA followed governmental jurisdictions with implementation guidance addressing populations under 50,000.45 the guidance of the Office of the requirements of E.O. 13771 was Management and Budget (OMB) in its Accordingly, DOT policy requires an issued by the Office of Management and analysis of the impact of all regulations Circular A–4 and performed a threshold Budget (OMB) on April 5, 2017.42 The 40 on small entities, and mandates that analysis. Also referred to as a break- OMB guidance defines what is an E.O. even analysis, a threshold analysis agencies strive to lessen any adverse 13771 regulatory action and what is an effects on these entities. Section 605 of attempts to determine the amount of E.O. 13771 deregulatory action, safety benefits (e.g., reduced crashes and the RFA allows an Agency to certify a provides procedures for how agencies rule, in lieu of preparing an analysis, if corresponding reductions in fatalities, should account for the costs and cost injuries, and property damage) that the rulemaking is not expected to have savings of such actions, and outlines a significant economic impact on a would need to occur as a consequence various other details regarding substantial number of small entities. of a rule in order for the rule to yield implementation of E.O. 13771. zero net benefits (i.e., for the benefits of This final rule has total costs less than In the 2018 NPRM, in lieu of the rule to equal, or exactly to offset, the zero, and is therefore an E.O. 13771 preparing an Initial Regulatory estimated costs of the rule). deregulatory action.43 The present value Flexibility Analysis under section The problem of insufficient data and of the cost savings of this rule, measured 603(a) of the RFA to assess the impact empirical evidence noted in 2015 is still on an infinite time horizon at a 7 of the rule, FMCSA performed a present today. Unlike regulations percent discount rate, expressed in 2016 certification analysis under section dealing with vehicle equipment or dollars, and discounted to 2021 (the 605(b) of the RFA. The threshold driver behaviors that can be clearly year that cost savings would first be economic analysis that was performed linked to reduced crashes and improved realized), is $104.4 million. On an determined that, although the rule will safety, both the 2015 final rule and this annualized basis, these cost savings are have an impact on a substantial number rule affect safety less directly and $7.3 million. of small entities, the impact on these immediately. Lease and interchange For the purpose of E.O. 13771 small entities will not be significant, requirements for motor carriers of accounting, the April 5, 2017, OMB and furthermore will be entirely passengers improve the ability of the guidance requires that agencies also beneficial. Therefore, FMCSA certified Agency to attribute the inspection, calculate the costs and cost savings that the rule will not have a significant compliance, enforcement, and safety discounted to year 2016.44 In economic impact on a substantial data collected by the Agency and its accordance with this requirement, the number of small entities. State partners to the correct motor present value of the cost savings of this The Agency received eighteen carrier and driver, allowing FMCSA to rule, measured on an infinite time comments on the 2018 NPRM, eight of more accurately identify unsafe carriers horizon at a 7 percent discount rate, which were from motor carriers of expressed in 2016 dollars, and and initiate appropriate interventions. passengers that are classified as small discounted to 2016, is $74.4 million. On FMCSA believes that this rule will be a entities.46 All eight of these small an annualized basis, these cost savings less costly and burdensome regulatory entities expressed support for the 2018 are $5.2 million. approach than the 2015 final rule, yet NPRM. None of them, nor any of the will still enable safety officials and the C. Regulatory Flexibility Act other submissions received to the 2018 public to sufficiently identify the NPRM, specifically commented on the passenger carrier responsible for safety The Regulatory Flexibility Act of 1980 (RFA) (5 U.S.C. 601 et seq.), as amended certification or its underlying threshold because each authorized for-hire motor economic analysis that were presented carrier must conduct the transportation by the Small Business Regulatory Enforcement Fairness Act of 1996 in the NPRM. The Chief Counsel for in its own name, under its own Advocacy of the Small Business authority, with its owned, leased, or borrowed vehicles, and is therefore 41 Executive Office of the President. ‘‘Executive Order 13771 of January 30, 2017. Reducing 45 Regulatory Flexibility Act, Public Law 96–354, responsible for compliance with the Regulation and Controlling Regulatory Costs.’’ 82 94 Stat. 1164 (codified at 5 U.S.C. 601 et seq.). FMCSRs. Therefore, the Agency does FR 9339. Feb. 3, 2017. Section 1 (Purpose). 46 The eight motor carriers of passengers not anticipate any change to safety 42 Executive Office of the President. Office of classified as small entities that submitted comments benefits because of the rule. Management and Budget. ‘‘Memorandum M–17–21. to the 2018 NPRM include Adirondack Trailways, Guidance Implementing Executive Order 13771.’’ Annett Bus Lines, Southern Tier Stages, Inc., April 5, 2017. Plymouth & Brockton Street Railway Company, 39 U.S. DOT, FMCSA. ‘‘Final Rule. Lease and 43 Executive Office of the President. Office of DeCamp Bus Lines, Burlington Trailways, Pacific Interchange of Vehicles; Motor Carriers of Management and Budget. ‘‘Memorandum M–17–21. Coachways Charter Services, Inc., and Thielen Bus Passengers. Regulatory Evaluation.’’ May 2015. Page Guidance Implementing Executive Order 13771.’’ Lines (the comment from Thielen Bus Lines (Docket 35 to 36. April 5, 2017. Q4 on page 4. ID# FMCSA–2012–0103–0162) was also submitted 40 OMB. ‘‘Circular A–4. Regulatory Analysis.’’ 44 Executive Office of the President. Office of in representation of the more than 30 other September 17, 2003. Available at: https:// Management and Budget. ‘‘Memorandum M–17–21. passenger carriers that comprise the membership of www.whitehouse.gov/sites/whitehouse.gov/files/ Guidance Implementing Executive Order 13771.’’ the Minnesota Charter Bus Operators Association omb/circulars/A4/a-4.pdf (accessed June 3, 2019). April 5, 2017. Q25 on page 11. (MCBOA)).

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Administration did not file comments in the analysis period, to again clearly there were an estimated 7,774 passenger response to the proposed rule. demonstrate the Agency’s reasoning and carriers subject to the existing lease and As noted earlier in the Regulatory assumptions underlying its certification. interchange requirements, representing Analyses section, the only substantive This rule will not result in any approximately 58 percent of all active change made to the regulatory increase in costs or any increase in interstate passenger carriers. As evaluation from the NPRM to this final burden. The rule will reduce the presented in Table 2, this population of rule is that the analysis time period has applicability of the lease and passenger carriers is projected to been updated to reflect the December 4, interchange requirements for motor increase slightly, due to general baseline 2018, extension of the compliance date carriers of passengers, resulting in a industry growth, to 8,046 passenger for the May 2015 final rule from January substantial reduction in the number of carriers in 2021, the first year that the 1, 2019, to January 1, 2021 (83 FR entities that will be subject to these rule is anticipated to be in effect. 62505). Because this rule revises the requirements, and a commensurate Therefore, the Agency estimates that regulations established in the 2015 final reduction in costs and burden 8,046 passenger carriers will experience rule, the 2015 final rule serves as the experienced by these entities. regulatory relief under the rule. The baseline against which the effects of this Furthermore, for those motor carriers of number of these 8,046 passenger carriers rule are evaluated. Therefore, the passengers that will continue to be that are small entities is not directly analysis period for this rule now begins subject to the lease and interchange known by FMCSA, and is therefore as of 2021. As noted earlier in the requirements under the rule, the estimated below. Regulatory Analyses section, the requirements will be reduced in The U.S. Small Business primary result of this change in the comparison to the existing Administration (SBA) defines the size analysis time period is a less than 2 requirements. This will also result in a standards used to classify entities as percent increase in the annualized cost reduction in costs and burden small. SBA establishes separate savings from this rule. This result has experienced by these entities. standards for each industry, as defined no substantive impact upon the The regulated entities that will by the North American Industry certification or its underlying threshold experience regulatory relief under this Classification System (NAICS).47 The economic analysis that were presented rule include all the passenger carriers Agency estimates that the passenger in the NPRM. Therefore, as also that are subject to the existing lease and carriers that will experience regulatory determined in the 2018 NPRM, although interchange requirements. relief under the rule will be in FMCSA determines that this rule will Approximately 75 percent of this total industries within Subsector 485 (Transit have an impact on a substantial number number of passenger carriers will and Ground Passenger Transportation). of small entities, the Agency determines experience full regulatory relief, and All eleven 6-digit NAICS industries that the impact on these small entities will no longer be subject to lease and within Subsector 485 have an SBA size will not be significant. Therefore, there interchange requirements. The standard based on annual revenue of is no change to the Agency’s remaining 25 percent of these passenger $15.0 million. Three of the eleven 6- certification that this final rule will not carriers will experience partial digit NAICS industries within Subsector have a significant economic impact on regulatory relief and remain subject to 485 are likely to encompass most of the a substantial number of small entities. reduced lease and interchange passenger carriers that will experience The threshold economic analysis is requirements compared to those of the regulatory relief under the rule, and presented again below, now 2015 final rule. details regarding the SBA size standards incorporating modest revisions where As presented earlier in Table 3 of the for those three industries are presented necessary resulting from the change in Regulatory Analyses section, as of 2017 in Table 6.

TABLE 6—SBA SIZE STANDARDS FOR SELECTED INDUSTRIES (a)

SBA size standard SBA size (annual standard NAICS code NAICS industry description revenue (number of in millions employees) of dollars)

485113 ...... Bus and Other Motor Vehicle Transit Systems ...... $15.0 (none). 485210 ...... Interurban and Rural Bus Transportation ...... 15.0 (none). 485510 ...... Charter Bus Industry ...... 15.0 (none). Notes: (a) U.S. Small Business Administration (SBA). ‘‘Table of Small Business Size Standards.’’ October 1, 2017. Available at: https://www.sba.gov/ sites/default/files/files/Size_Standards_Table_2017.xlsx (accessed June 3, 2019).

47 OMB. ‘‘North American Industry Classification www.census.gov/eos/www/naics/2017NAICS/2017_ System.’’ 2017. Available at: https:// NAICS_Manual.pdf (accessed June 3, 2019).

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Data regarding the annual revenue earlier in Table 3, approximately 98 5 U.S.C. 605(b), I hereby certify that this earned by the estimated 8,046 passenger percent operated 75 or fewer passenger final rule will not have a significant carriers that will experience regulatory vehicles. The Agency does not believe economic impact on a substantial relief under the rule is not collected by that the rule will disproportionately number of small entities. FMCSA and is not otherwise available apply to either larger or smaller from other sources. Therefore, the SBA passenger carriers, and we therefore D. Assistance for Small Entities size standard of $15.0 million in annual estimate that a similar 98 percent of the In accordance with section 213(a) of revenue cannot be directly applied to 8,046 passenger carriers that will the Small Business Regulatory determine how many of these passenger experience regulatory relief under the Enforcement Fairness Act of 1996, carriers are small entities. FMCSA does, rule, or approximately 7,885 passenger FMCSA wants to assist small entities in however, collect information regarding carriers, will be small entities. understanding this final rule so that the number of passenger-carrying Therefore, as also determined in the they can better evaluate its effects on vehicles operated by these carriers. As 2018 NPRM, this rule will have an themselves and participate in the of the end of 2017, of the active impact on a substantial number of small rulemaking initiative. If the rule will interstate passenger carriers operating in entities. affect your small business, organization, Although FMCSA has determined that the U.S. as presented earlier in Table 3, or governmental jurisdiction, and you this rule will have an impact on a approximately 81 percent operated six have questions concerning its or fewer passenger vehicles, and substantial number of small entities, the provisions or options for compliance, approximately 93 percent operated 19 or Agency has determined that the impact please consult the FMCSA point of fewer passenger vehicles.48 We estimate on the small entities that will contact, Ms. Loretta Bitner, listed in the that in the passenger carrier industry, experience regulatory relief under the FOR FURTHER INFORMATION CONTACT the average annual revenue earned per rule will not be significant. The rule section of this rule. motorcoach is approximately will not result in any increase in costs $200,000.49 50 51 This means that the or any increase in burden for passenger Small businesses may send comments SBA size standard of $15.0 million in carriers that are small entities. The on the actions of Federal employees annual revenue equates to a carrier size effect of the rule will be a reduction in who enforce or otherwise determine of 75 passenger vehicles. Therefore, costs and burden, and will be entirely compliance with Federal regulations to carriers operating 75 passenger vehicles beneficial to the passenger carriers that the Small Business Administration’s or fewer are classified as small, are small entities. As discussed in the Small Business and Agriculture consistent with the SBA size standard of Regulatory Analyses section, the Agency Regulatory Enforcement Ombudsman $15.0 million. As of the end of 2017, of estimates that the rule will result in a and the Regional Small Business the active interstate passenger carriers total cost savings of $76.5 million on an Regulatory Fairness Boards. The operating in the U.S. as presented undiscounted basis over the 10-year Ombudsman evaluates these actions analysis period used for the regulatory annually and rates each agency’s 48 U.S. DOT, FMCSA. Motor Carrier Management evaluation, or $7.65 million on an responsiveness to small business. If you Information System (MCMIS), and Licensing and annualized basis, expressed in 2016 wish to comment on actions by Insurance (L&I) system. Snapshots as of December dollars. As presented in Table 2, an 29, 2017 (DART request ID # 38883). employees of FMCSA, call 1–888–REG– 49 The information available regarding revenue annual average of approximately 8,366 FAIR (1–888–734–3247). The DOT has a for the passenger carrier industry is limited. The passenger carriers will experience policy regarding the rights of small American Bus Associated reported that for 2004, regulatory relief under the rule over the entities to regulatory enforcement revenue per motorcoach was approximately same 10-year analysis period, 98 percent fairness and an explicit policy against $160,000. Inflated from 2004 dollars to 2016 dollars 52 using either the CPI–U or the Implicit Price Deflator of which are estimated to be small retaliation for exercising these rights. for GDP, this value becomes approximately entities. The annual average cost savings $200,000 per vehicle. per small carrier will therefore be at E. Unfunded Mandates Reform Act of 50 American Bus Association (ABA). ‘‘Motorcoach most $914 (potentially even somewhat 1995 Census 2005.’’ September 2006. Page 19, Table 3– less, given that approximately 2 percent 5 (Carrier Revenue per Motorcoach, Averages, The Unfunded Mandates Reform Act 2004). Available at: https://www.iru.org/apps/cms- of passenger carriers that will of 1995 (2 U.S.C. 1531–1538) requires filesystem-action?file=events_2007_busandcoach/ experience regulatory relief under the Motorcoach%20Census%202005%2009-21- Federal agencies to assess the effects of rule are not small entities and therefore their discretionary regulatory actions. 20061.pdf (accessed June 3, 2019). may represent a disproportionately 51 Greyhound, one of the largest interstate The Act requires agencies to prepare a larger share of the overall absolute cost passenger carriers operating in the U.S., reported comprehensive written statement for savings because of the larger scale of total revenue for 2017 of $894 million, with 78 any final rule that may result in the percent of that total, or $697 million, being their operations). For even the smallest expenditure by State, local, and tribal passenger revenue. With a fleet size reported to of the small entities, those operating consist of 1,600 buses for the same year, this equals governments, in the aggregate, or by the only one passenger vehicle, this $914 in an average passenger revenue per motorcoach of private sector, of $161 million (which is annual savings represents only about $435,000. We believe that substantially higher the value equivalent of $100 million in levels of per vehicle revenue such as this are not one half of one percent of the estimated 1995, adjusted for inflation to 2017 representative of the smaller passenger carriers that total annual revenues of $200,000 for a make up most of the industry, and therefore the levels) or more in any one year. Because carrier with just one motorcoach. lesser estimate of $200,000 revenue per motorcoach this rule does not result in such an described above was used here so as not to risk Therefore, as also determined in the underestimating the number of small entities in the 2018 NPRM, although FMCSA has expenditure, a written statement is not passenger carrier industry when used to compare determined that this rule will have an required. However, the Agency does against the SBA size standard of $15.0 million in impact on a substantial number of small discuss the costs and benefits of this annual revenue. Greyhound data is from rule elsewhere in this preamble. ‘‘FirstGroup plc, Annual Report and Accounts, entities, the Agency has also determined 2017’’, pages 18–19, available at https:// that the impact on these small entities 52 U.S. DOT. ‘‘The Rights of Small Entities To www.firstgroupplc.com/∼/media/Files/F/Firstgroup- will not be significant, and furthermore Enforcement Fairness and Policy Against Plc/indexed-pdfs/2017%20ARA/ Retaliation.’’ Available at: https:// 2017%20FirstGroup%20plc%20Annual will be entirely beneficial. Accordingly, pursuant to section www.transportation.gov/sites/dot.gov/files/docs/ %20Report%20and%20Accounts.pdf (accessed SBREFAnotice2.pdf (accessed June 3, 2019). June 3, 2019). 605(b) of the Regulatory Flexibility Act,

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F. Paperwork Reduction Act information collection, the temporary Number of Respondents: This final rule amends two OMB- marking of leased passenger-carrying IC–1 (freight carriers) number of approved information collections under CMVs was assumed to have de minimis respondents: 317,041 the Paperwork Reduction Act of 1995 time burden, and therefore no separate IC–2 (passenger carriers) number of (44 U.S.C. 3501–3520), OMB Control time burden was estimated for that respondents: 7,816 No. 2126–0054, ‘‘Commercial Motor element of the passenger-carrying CMV IC–3 (intermodal equipment providers) Vehicle Marking Requirements,’’ and marking requirements. Because of this, number of respondents: 11 OMB Control No. 2126–0056, ‘‘Lease in the revision to this information Total number of respondents: 324,868 and Interchange of Vehicles.’’ As collection, there is no change in time Frequency of Response: burden due to program change, and the defined in 5 CFR 1320.3(c), ‘‘collection IC–1 (freight carriers) frequency of estimated changes in time burden from of information’’ includes reporting, response: 7.9 responses per year, per the currently approved information recordkeeping, monitoring, posting, respondent. collection are due to adjustments related labeling, and other similar actions. The IC–2 (passenger carriers) frequency of to factors such as revised estimates of title and description of the information response: 20.4 responses per year, per the population of passenger-carrying collections, a description of those who respondent. motor carriers and industry growth rate. must collect the information, and an IC–3 (intermodal equipment providers) There is a small reduction in the annual estimate of the total annual burden frequency of response: 3,962 cost burden, however, related to the follow. The estimate covers the time for responses per year, per respondent. elimination of the cost of materials Overall average frequency of response: reviewing instructions, searching (paper and adhesive tape) estimated to existing sources of data, gathering and 8.3 responses per year, per respondent be used for the temporary vehicle Burden per Response: maintaining the data needed, and markings that are to be eliminated. completing and reviewing the Title: Commercial Motor Vehicle IC–1 (freight carriers) burden per collection. Marking Requirements response: 0.43 hours IC–2 (passenger carriers) burden per OMB Control No. 2126–0054 OMB Control Number: 2126–0054 Summary of the Collection of response: 0.43 hours (Commercial Motor Vehicle Marking IC–3 (intermodal equipment providers) Requirements) Information: Under the information collection, freight-carrying commercial burden per response: 0.43 hours The Agency’s CMV marking motor carriers, passenger-carrying Overall average burden per response: regulations require freight-carrying commercial motor carriers, and 0.43 hours commercial motor carriers, passenger- intermodal equipment providers mark Estimate of Total Annual Burden: carrying commercial motor carriers, and their vehicles to display the USDOT IC–1 (freight carriers) burden: 1,085,658 intermodal equipment providers to number and the legal name or a single hours display the USDOT number and the trade name of the carrier or intermodal IC–2 (passenger carriers) burden: 69,151 legal name or a single trade name of the equipment provider. This vehicle hours carrier or intermodal equipment marking occurs when a new vehicle is IC–3 (intermodal equipment providers) provider on their vehicles. The USDOT purchased, when a used vehicle is burden: 18,886 hours number is used to identify all motor purchased and requires re-marking, and Total annual burden: 1,173,695 hours carriers in FMCSA’s registration and when a vehicle is retained by the owner OMB Control No. 2126–0056 (Lease and information systems. It is also used by but the existing label reaches the end of Interchange of Vehicles) States as the key identifier in the its useful life. Performance and Registration Need for Information: Vehicle The Agency’s lease and interchange of Information Systems Management marking requirements are needed to vehicles regulations ensure that truck (PRISM) system, a cooperative Federal/ ensure that FMCSA, the NTSB, and and bus carriers are identified (and in State program that makes motor carrier State safety officials can identify motor some cases protected) when they agree safety a requirement for obtaining and carriers and correctly assign to lease their equipment and drivers to maintaining CMV registration and responsibility for regulatory violations other carriers. These regulations also privileges. Vehicle marking during inspections, investigations, ensure that the government and requirements are intended to ensure that compliance reviews, and crash studies. members of the public can determine FMCSA, NTSB, and State safety officials These marking requirements also who is responsible for a CMV. Prior to can identify motor carriers and correctly provide the public with beneficial these regulations, some equipment was assign responsibility for regulatory information that could assist in leased without written agreements, violations during inspections, identifying carriers for the purposes of leading to disputes and confusion over investigations, compliance reviews, and commerce, complaints, or emergency which party to the lease was responsible crash studies. These marking notification. for charges and actions and, at times, requirements also provide the public Proposed Use of Information: The who was legally responsible for the with beneficial information that could USDOT number is used to identify all vehicle. These recordkeeping assist in identifying carriers for the motor carriers in FMCSA’s registration requirements enable the public and purposes of commerce, complaints, or and information systems, is used as the investigators to identify the passenger emergency notification. key identifier in the PRISM system, and carrier responsible for safety, and ensure The final rule will eliminate the is used by the public to assist in that FMCSA, our State partners, and the existing requirement under 49 CFR identifying carriers for the purposes of NTSB are better able to identify the 390.303(f) for the temporary marking of commerce, complaints, or emergency responsible motor carrier and therefore leased commercial passenger vehicles. notification. correctly assign regulatory violations to The final rule will therefore amend the Description of the Respondents: the appropriate carrier during OMB-approved information collection Freight-carrying commercial motor inspections, investigations, compliance titled ‘‘Commercial Motor Vehicle carriers, passenger-carrying commercial reviews, and crash studies. Marking Requirements,’’ OMB No. motor carriers, and intermodal The final rule reduces the scope of the 2126–0054. In the currently approved equipment providers. lease and interchange requirements for

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motor carriers of passengers. violation of the regulations or is H. E.O. 12988 (Civil Justice Reform) Furthermore, those passenger carriers involved in a crash. This rule meets applicable standards and passenger-carrying CMV trips for Description of the Respondents: in sections 3(a) and 3(b)(2) of E.O. which lease and interchange Freight-carrying commercial motor 12988, Civil Justice Reform, to minimize requirements remain applicable are carriers, and passenger-carrying litigation, eliminate ambiguity, and subject to reduced requirements. The commercial motor carriers. reduce burden. applicability of the existing lease and Number of Respondents: I. E.O. 13045 (Protection of Children) interchange requirements for motor IC–1 (property-carrying CMVs) number carriers of passengers under 49 CFR of respondents: 36,001 Executive Order 13045, Protection of 390.301 are revised and moved to IC–2 (passenger-carrying CMVs) number Children from Environmental Health § 390.401, resulting in a substantial of respondents: 6,729 Risks and Safety Risks (62 FR 19885, reduction of approximately 75 percent Total number of respondents: 42,730 April 23, 1997), requires agencies in the number of passenger carriers and issuing ‘‘economically significant’’ passenger-carrying CMV trips that will Frequency of Response: rules, if the regulation also concerns an be subject to the lease and interchange IC–1 (property-carrying CMVs) environmental health or safety risk that requirement for motor carriers of frequency of response: 19.9 responses an agency has reason to believe may passengers. For those motor carriers of per year, per respondent. disproportionately affect children, to passengers that remain subject to lease IC–2 (passenger-carrying CMVs) include an evaluation of the regulation’s and interchange requirements, the frequency of response: 65.4 responses environmental health and safety effects existing requirements under 49 CFR per year, per respondent. on children. The Agency determined 390.303(e) for lease receipt copies will Overall average frequency of response: this rule is not economically significant. be eliminated, and the existing 27.1 responses per year, per Therefore, no analysis of the impacts on requirements under 49 CFR 390.305 for respondent children is required. In any event, the charter party notification will also be Burden per Response: Agency does not anticipate that this eliminated. regulatory action could in any respect The final rule therefore amends the IC–1 (property-carrying CMVs) burden present an environmental or safety risk OMB-approved information collection per response: 0.11 hours that could disproportionately affect titled ‘‘Lease and Interchange of IC–2 (passenger-carrying CMVs) burden children. Vehicles,’’ OMB No. 2126–0056. In the per response: 0.13 hours revision to this information collection, Overall average burden per response: J. E.O. 12630 (Taking of Private there is substantial reduction in time 0.12 hours Property) burden due to program change from the Estimate of Total Annual Burden: FMCSA reviewed this final rule in currently approved information IC–1 (property-carrying CMVs) burden: accordance with E.O. 12630, collection because of the rule. 77,767 hours Governmental Actions and Interference Title: Lease and Interchange of IC–2 (passenger-carrying CMVs) burden: with Constitutionally Protected Property Vehicles Rights, and has determined it will not OMB Control Number: 2126–0056 58,520 hours Total annual burden: 136,287 hours effect a taking of private property or Summary of the Collection of otherwise have taking implications. Information: Under the information As required by the Paperwork collection, freight-carrying commercial Reduction Act of 1995 (44 U.S.C. K. Privacy motor carriers and passenger-carrying 3507(d)), FMCSA will submit a copy of Section 522 of title I of division H of commercial motor carriers negotiate this rule to OMB for its review of the the Consolidated Appropriations Act, leases, prepare and sign lease collection of information. 2005, enacted December 8, 2004 (Pub. L. documents, and produce copies of lease FMCSA asked for public comment on 108–447, 118 Stat. 2809, 3268, 5 U.S.C. documents. the collection of information in the 2018 552a note), requires the Agency to Need for Information: The Agency’s NPRM. No comments addressed the conduct a Privacy Impact Assessment lease and interchange of vehicles collection of information analysis to the (PIA) of a regulation that will affect the regulations ensure that truck and bus NPRM. privacy of individuals. This rule does carriers are identified (and in some G. E.O. 13132 (Federalism) not require the collection of any cases protected) when they agree to personally identifiable information. lease their equipment and drivers to A rule has implications for The Privacy Act (5 U.S.C. 552a) other carriers. These regulations also Federalism under Section 1(a) of E.O. applies only to Federal agencies and any ensure that the government and 13132 if it has ‘‘substantial direct effects non-Federal agency that receives members of the public can determine on the States, on the relationship records contained in a system of records who is responsible for a CMV. These between the national government and from a Federal agency for use in a recordkeeping requirements enable the the States, or on the distribution of matching program. FMCSA has public and investigators to identify the power and responsibilities among the determined that this rule would not passenger carrier responsible for safety. various levels of government.’’ FMCSA result in a new or revised Privacy Act Proposed Use of Information: The has determined that this rule will not System of Records for FMCSA. government generally collects little have substantial direct costs on or for The E-Government Act of 2002, information with this ICR. The leases States, nor will it limit the policymaking Public Law 107–347, sec. 208, 116 Stat. and other agreements are developed and discretion of States. Nothing in this 2899, 2921 (December 17, 2002), held by the lessor (e.g., those granting document preempts any State law or requires Federal agencies to conduct a use of equipment) and lessee (e.g., party regulation. No comments received PIA for new or substantially changed acquiring equipment). They are used to addressed Federalism implications. technology that collects, maintains, or assign duties and responsibilities. The Therefore, this rule does not have disseminates information in an information may also be used by law sufficient Federalism implications to identifiable form. No new or enforcement to determine legal warrant the preparation of a Federalism substantially changed technology would responsibility if a leased vehicle is in Impact Statement. collect, maintain, or disseminate

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information as a result of this rule. voluntary consensus standards in their PART 390—FEDERAL MOTOR Accordingly, FMCSA has not conducted regulatory activities unless the agency CARRIER SAFETY REGULATIONS; a privacy impact assessment. provides Congress, through OMB, with GENERAL an explanation of why using these L. E.O. 12372 (Intergovernmental standards would be inconsistent with ■ 1. The authority citation for part 390 Review) applicable law or otherwise impractical. continues to read as follows: The regulations implementing E.O. Voluntary consensus standards (e.g., Authority: 49 U.S.C. 504, 508, 31132, 12372 regarding intergovernmental specifications of materials, performance, 31133, 31134, 31136, 31137, 31144, 31149, consultation on Federal programs and design, or operation; test methods; 31151, 31502; sec. 114, Pub. L. 103–311, 108 activities do not apply to this program. sampling procedures; and related Stat. 1673, 1677; sec. 212 and 217, Pub. L. 106–159, 113 Stat. 1748, 1766, 1767; sec. 229, M. E.O. 13211 (Energy Supply, management systems practices) are standards developed or adopted by Pub. L. 106–159 (as added and transferred by Distribution, or Use) sec. 4115 and amended by secs. 4130–4132, voluntary consensus standards bodies. FMCSA has analyzed this rule under Pub. L. 109–59, 119 Stat. 1144, 1726, 1743; This rule does not use technical sec. 4136, Pub. L. 109–59, 119 Stat. 1144, E.O. 13211, Actions Concerning standards. Therefore, FMCSA did not Regulations That Significantly Affect 1745; secs. 32101(d) and 32934, Pub. L. 112– consider the use of voluntary consensus 141, 126 Stat. 405, 778, 830; sec. 2, Pub. L. Energy Supply, Distribution, or Use. standards. 113–125, 128 Stat. 1388; secs. 5403, 5518, The Agency has determined that it is and 5524, Pub. L. 114–94, 129 Stat. 1312, not a ‘‘significant energy action’’ under Q. Environment (NEPA and CAA) 1548, 1558, 1560; sec. 2, Pub. L. 115–105, that order because it is not a ‘‘significant FMCSA analyzed this rule for the 131 Stat. 2263; and 49 CFR 1.81. 1.81a, 1.87. regulatory action’’ likely to have a purpose of the National Environmental ■ 2. Amend § 390.5 as follows: significant adverse effect on the supply, Policy Act of 1969 (42 U.S.C. 4321 et ■ a. Lift the suspension of the section; distribution, or use of energy. Therefore, seq.) and determined this action is ■ b. Revise the definition of ‘‘Lease,’’ it does not require a Statement of Energy categorically excluded from further ‘‘Lessee,’’ and ‘‘Lessor’’’’; ■ Effects under E.O. 13211. analysis and documentation in an c. Suspend § 390.5 indefinitely. The revised text reads as follows: N. E.O. 13783 (Promoting Energy environmental assessment or Independence and Economic Growth) environmental impact statement under § 390.5 Definitions. FMCSA Order 5610.1 (69 FR 9680, * * * * * Executive Order 13783 directs March 1, 2004), Appendix 2, paragraphs executive departments and agencies to Lease, as used in subpart G of this (6)(y)(2) and (6)(y)(7). The Categorical part, means a contract or agreement in review existing regulations that Exclusion (CE) in paragraph (6)(y)(2) potentially burden the development or which a motor carrier of passengers covers regulations implementing motor grants the use of a passenger-carrying use of domestically produced energy carrier identification and registration resources, and to appropriately suspend, commercial motor vehicle to another reports. The Categorical Exclusion (CE) motor carrier, with or without a driver, revise, or rescind those that unduly in paragraph (6)(y)(7) covers regulations burden the development of domestic for a specified period for the implementing prohibitions on motor transportation of passengers, whether or energy resources. In accordance with carriers, agents, officers, representatives, E.O. 13783, the DOT prepared and not compensation for such use is and employees from making fraudulent specified or required, when one or more submitted a report to the Director of or intentionally false statements on any OMB providing specific of the motor carriers of passengers is not application, certificate, report, or record authorized to operate in interstate recommendations that, to the extent required by FMCSA. The requirements permitted by law, could alleviate or commerce pursuant to 49 U.S.C. 13901– in this rule are covered by these CEs, 13902. The term lease includes an eliminate aspects of agency action that and the action does not have the burden domestic energy production. interchange, as defined in this section, potential to significantly affect the or other agreement granting the use of The DOT has not identified this rule as quality of the environment. The CE potentially alleviating unnecessary a passenger-carrying commercial motor determination is available for inspection vehicle for a specified period, with or burdens on domestic energy production or copying in the regulations.gov under E.O. 13783. without a driver, whether or not website listed under ADDRESSES. compensation for such use is specified O. E.O. 13175 (Indian Tribal FMCSA also analyzed this rule under or required. For a definition of lease in Governments) section 176(c) of the Clean Air Act, as the context of property-carrying This rule does not have tribal amended (CAA) (42 U.S.C. 7401 et seq.), vehicles, see § 376.2 of this subchapter. implications under E.O. 13175, and implementing regulations Lessee, as used in subpart G of this Consultation and Coordination with promulgated by the Environmental part, means the motor carrier obtaining Indian Tribal Governments, because it Protection Agency. Approval of this the use of a passenger-carrying does not have a substantial direct effect action is exempt from the CAA’s general commercial motor vehicle, with or on one or more Indian tribes, on the conformity requirement since it does without the driver, from another motor relationship between the Federal not affect direct or indirect emissions of carrier, through a lease as defined in government and Indian tribes, or on the criteria pollutants. this section. The term lessee includes a distribution of power and List of Subjects in 49 CFR Part 390 motor carrier obtaining the use of a responsibilities between the Federal passenger-carrying commercial motor Government and Indian tribes. Highway safety, Intermodal vehicle from another motor carrier transportation, Motor carriers, Motor under an interchange or other P. National Technology Transfer and vehicle safety, Reporting and agreement, with or without a driver, Advancement Act (Technical recordkeeping requirements. whether or not compensation for such Standards) In consideration of the foregoing, use is specified. For a definition of The National Technology Transfer FMCSA amends 49 CFR chapter III, lessee in the context of property- and Advancement Act (NTTAA) (15 subchapter B, part 390 to read as carrying vehicles, see § 376.2 of this U.S.C. 272 note) directs agencies to use follows: subchapter.

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Lessor, as used in subpart G of this this section. The term lessor includes a (C) The sentence: ‘‘This lessor part, means the motor carrier granting motor carrier granting the use of a cooperates with all Federal, State, and the use of a passenger-carrying passenger-carrying commercial motor local law enforcement officials commercial motor vehicle, with or vehicle, with or without the driver, to nationwide to provide the identity of without the driver, to another motor another motor carrier under an customers who operate this rental carrier, through a lease as defined in interchange or other agreement, whether CMV’’; and this section. The term lessor includes a or not compensation for such use is (iv) The rental agreement or lease as motor carrier granting the use of a specified. For a definition of lessor in applicable entered into by the lessor and passenger-carrying commercial motor the context of property-carrying the renting motor carrier or lessee is vehicle, with or without the driver, to vehicles, see § 376.2 of this subchapter. carried on the rental CMV or leased another motor carrier under an * * * * * passenger-carrying CMV during the full interchange or other agreement, whether ■ 4. Amend § 390.21 as follows: term of the rental agreement or lease. or not compensation for such use is ■ a. Lift the suspension of the section; See the property-carrying leasing specified. For a definition of lessor in ■ b. Revise paragraph (e); regulations at 49 CFR part 376 and the the context of property-carrying ■ c. Remove paragraph (f); passenger-carrying leasing regulations at vehicles, see § 376.2 of this subchapter. ■ d. Redesignate paragraphs (g) and (h) subpart G of this part for information * * * * * as paragraphs (f) and (g), respectively; that should be included in all leasing ■ e. Suspend § 390.21 indefinitely. documents. ■ 3. Amend § 390.5T by revising the The revised text reads as follows: (v) Exception. (A) The passenger- definitions of ‘‘Lease,’’ ‘‘Lessee,’’ and carrying CMV operating under the 48- ‘‘Lessor’’ to read as follows: § 390.21 Marking of self-propelled CMVs and intermodal equipment. hour emergency exception pursuant to § 390.403(a)(2) of this part does not need § 390.5T Definitions. * * * * * * * * * * (e) Rented CMVs and leased to comply with paragraphs (e)(2)(iii) and Lease, as used in subpart G of this passenger-carrying CMVs. A motor (iv) of this section, provided the lessor part, means a contract or agreement in carrier operating a self-propelled CMV and lessee comply with the which a motor carrier of passengers under a rental agreement or a passenger- requirements of § 390.403(a)(2). (B) A motor carrier operating a self- grants the use of a passenger-carrying carrying CMV under a lease, when the propelled CMV under a lease subject to commercial motor vehicle, with or rental agreement or lease has a term not without the driver, to another motor in excess of 30 calendar days, meets the subpart G of this part (§§ 390.401 and carrier, for a specified period for the requirements of this section if: 390.403) must begin complying with transportation of passengers, whether or (1) The CMV is marked in accordance this paragraph (e) on January 1, 2021. not compensation for such use is with the provisions of paragraphs (b) * * * * * specified or required, when one or more through (d) of this section; or ■ 5. Amend § 390.21T by of the motor carriers of passengers is not (2) Except as provided in paragraph ■ a. Revising paragraph (e); authorized to operate in interstate (e)(2)(v) of this section, the CMV is ■ b. Removing paragraph (f); commerce pursuant to 49 U.S.C. 13901– marked as set forth in paragraph (e)(2)(i) ■ c. Redesignating paragraphs (g) and 13902. The term lease includes an through (iv) of this section: (h) as paragraphs (f) and (g), interchange, as defined in this section, (i) The legal name or a single trade respectively. or other agreement granting the use of name of the lessor is displayed in The revision to read as follows: accordance with paragraphs (c) and (d) a passenger-carrying commercial motor § 390.21T Marking of self-propelled CMVs vehicle, with or without the driver, for of this section. and intermodal equipment. a specified period, whether or not (ii) The lessor’s identification number preceded by the letters ‘‘USDOT’’ is * * * * * compensation for such use is specified (e) Rented CMVs and leased or required. For a definition of lease in displayed in accordance with paragraphs (c) and (d) of this section; passenger-carrying CMVs. A motor the context of property-carrying carrier operating a self-propelled CMV vehicles, see § 376.2 of this subchapter. and (iii) The rental agreement or lease as under a rental agreement or a passenger- Lessee, as used in subpart G of this applicable entered into by the lessor and carrying CMV under a lease, when the part, means the motor carrier obtaining the renting motor carrier or lessee rental agreement or lease has a term not the use of a passenger-carrying conspicuously contains the following in excess of 30 calendar days, meets the commercial motor vehicle, with or information: requirements of this section if: without the driver, from another motor (A) The name and complete physical (1) The CMV is marked in accordance carrier, through a lease as defined in address of the principal place of with the provisions of paragraphs (b) this section. The term lessee includes a business of the renting motor carrier or through (d) of this section; or motor carrier obtaining the use of a lessee; (2) Except as provided in paragraph passenger-carrying commercial motor (B) The identification number issued (e)(2)(v) of this section, the CMV is vehicle, with or without the driver, from to the renting motor carrier or lessee by marked as set forth in paragraph (e)(2)(i) another motor carrier under an FMCSA, preceded by the letters through (iv) of this section: interchange or other agreement, whether ‘‘USDOT,’’ if the motor carrier has been (i) The legal name or a single trade or not compensation for such use is issued such a number. In lieu of the name of the lessor is displayed in specified. For a definition of lessee in identification number required in this accordance with paragraphs (c) and (d) the context of property-carrying paragraph, the following information of this section. vehicles, see § 376.2 of this subchapter. may be shown in a rental agreement: (ii) The lessor’s identification number Lessor, as used in subpart G of this (1) Whether the motor carrier is preceded by the letters ‘‘USDOT’’ is part, means the motor carrier granting engaged in ‘‘interstate’’ or ‘‘intrastate’’ displayed in accordance with the use of a passenger-carrying commerce; and paragraphs (c) and (d) of this section; commercial motor vehicle, with or (2) Whether the renting motor carrier and without the driver, to another motor is transporting hazardous materials in (iii) The rental agreement or lease as carrier, through a lease as defined in the rented CMV; applicable entered into by the lessor and

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the renting motor carrier or lessee Subpart G—Lease and Interchange of adhered to and performed by the lessee; conspicuously contains the following Passenger-Carrying Commercial Motor or information: Vehicles (ii) An agreement meeting the (A) The name and complete physical conditions of paragraphs (b) and (c) of address of the principal place of § 390.401 Applicability. this section and governing the business of the renting motor carrier or (a) General. Beginning on January 1, interchange of passenger-carrying lessee; 2021, and except as provided in commercial motor vehicles between (B) The identification number issued paragraphs (b)(1) and (2) of this section, motor carriers of passengers conducting to the renting motor carrier or lessee by this subpart applies to the following service on a route or series of routes. FMCSA, preceded by the letters actions, irrespective of duration, or the The provisions of the interchange ‘‘USDOT,’’ if the motor carrier has been presence or absence of compensation, agreement shall be adhered to and issued such a number. In lieu of the by motor carriers operating commercial performed by the lessee. identification number required in this motor vehicles to transport passengers: (2) Exception. When an event occurs paragraph, the following information (1) The lease of passenger-carrying (e.g., a crash, the vehicle is disabled) may be shown in a rental agreement: commercial motor vehicles; and that requires a motor carrier of (1) Whether the motor carrier is (2) The interchange of passenger- passengers immediately to obtain a engaged in ‘‘interstate’’ or ‘‘intrastate’’ carrying commercial motor vehicles replacement vehicle from another motor commerce; and between motor carriers. carrier of passengers, the two carriers (2) Whether the renting motor carrier (b) Exceptions—(1) Contracts and may postpone the writing of the lease or or lessee is transporting hazardous agreements between motor carriers of written agreement for the replacement materials in the rented or leased CMV; passengers with active passenger carrier vehicle for up to 48 hours after the time (C) The sentence: ‘‘This lessor operating authority registrations. This the lessee takes exclusive possession cooperates with all Federal, State, and subpart does not apply to contracts and and control of the replacement vehicle. local law enforcement officials agreements between motor carriers of However, during that 48-hour period, nationwide to provide the identity of passengers that have active passenger until the lease or agreement is written customers who operate this rental or carrier operating authority registrations and provided to the driver, the driver leased CMV’’; and with the Federal Motor Carrier Safety must carry, and produce upon demand (iv) The rental agreement or lease as Administration when one such motor of an enforcement official, a document applicable entered into by the lessor and carrier acquires transportation service(s) signed and dated by the lessee’s driver the renting motor carrier or lessee is from another such motor carrier(s). or available company official stating: carried on the rental CMV or leased (2) Financial leases. This subpart does ‘‘[Carrier A, USDOT number, telephone passenger-carrying CMV during the full not apply to a contract (however number] has leased this vehicle to term of the rental agreement or lease. designated, e.g., lease, closed-end lease, [Carrier B, USDOT number, telephone See the property-carrying leasing hire purchase, lease purchase, purchase number] pursuant to 49 CFR regulations at 49 CFR part 376 and the agreement, installment plan, 390.403(a)(2).’’ passenger-carrying leasing regulations at demonstration or loaner vehicle, etc.) (b) Contents of the lease. The lease or subpart G of this part for information between a motor carrier and a bank or interchange agreement required by that should be included in all leasing similar financial organization or a paragraph (a) of this section shall documents. manufacturer or dealer of passenger- contain: (v) Exception. (A) A passenger- carrying commercial motor vehicles (1) Vehicle identification information. carrying CMV operating under the 48- allowing the motor carrier to use the The name of the vehicle manufacturer, hour emergency exception pursuant to passenger-carrying commercial motor the year of manufacture, and at least the § 390.403(a)(2) of this part does not need vehicle. last 6 digits of the Vehicle Identification to comply with paragraphs (e)(2)(iii) and (c) Penalties. If the use of a passenger- Number (VIN) of each passenger- (iv) of this section, provided the lessor carrying commercial motor vehicle is carrying commercial motor vehicle and lessee comply with the conferred on one motor carrier subject transferred between motor carriers requirements of § 390.403(a)(2). to this subpart by another such motor pursuant to the lease or interchange (B) A motor carrier operating a self- carrier without a lease or interchange agreement. propelled CMV under a lease subject to agreement, or pursuant to a lease or (2) Parties. The legal name, USDOT subpart G of this part (§§ 390.401 and interchange agreement that fails to meet number, and telephone number of the 390.403) must begin complying with all applicable requirements of subpart motor carrier providing passenger this paragraph (e) on January 1, 2021. G, both motor carriers shall be subject transportation in a commercial motor * * * * * to a civil penalty. vehicle (lessee) and the legal name, USDOT number, and telephone number Subpart F—[Removed and Reserved] § 390.403 Lease and interchange of the motor carrier providing the requirements. equipment (lessor), and signatures of ■ 6. Remove and reserve subpart F of Beginning on January 1, 2021, and both parties or their authorized part 390, consisting of §§ 390.300T except as provided in § 390.401(b) of representatives. through 390.305. this section, a motor carrier may (3) Specific duration. The time and ■ 5. Add subpart G, consisting of transport passengers in a leased or date when, and the location where, the §§ 390.401 and 390.403, to read as interchanged commercial motor vehicle lease or interchange agreement begins follows: only under the following conditions: and ends. Subpart G—Lease and Interchange of (a) In general—(1) Lease or agreement (4) Exclusive possession and Passenger-Carrying Commercial Motor required. There shall be in effect either: responsibilities. (i) A clear statement Vehicles (i) A lease granting the use of the that the motor carrier obtaining the Sec. passenger-carrying commercial motor passenger-carrying commercial motor 390.401 Applicability. vehicle and meeting the conditions of vehicle (the lessee) has exclusive 390.403 Lease and interchange paragraphs (b) and (c) of this section. possession, control, and use of the requirements. The provisions of the lease shall be passenger-carrying commercial motor

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vehicle for the duration of the Atmospheric Administration (NOAA), live bait. Prior to Amendment 17, if a agreement, and assumes complete Commerce. Coastal Pelagic Species stock were to responsibility for operation of the ACTION: Notice of agency decision. become overfished, and even prior to vehicle and compliance with all adoption of a rebuilding plan, the SUMMARY: applicable Federal regulations for the NMFS announces the Fishery Management Plan automatically approval of Amendment 17 to the duration of the agreement. limited retention in the live bait fishery Coastal Pelagic Species Fishery (ii) In the event of a sublease between of that stock to only incidentally caught Management Plan. On June 10, 2019, the motor carriers, all of the requirements of fish with no more than 15 percent of this section shall apply to a sublease. Regional Administrator of the West (c) Copies of the lease. A copy shall Coast Region, NMFS, with the any load being from the overfished be on the passenger-carrying concurrence of the Assistant stock. commercial motor vehicle during the Administrator for Fisheries, approved NMFS published a Notice Availability period of the lease or interchange Amendment 17 to the Coastal Pelagic for Amendment 17 on March 22, 2019 agreement, and both the lessee and Species Fishery Management Plan. The (84 FR 10768), and solicited public lessor shall retain a copy of the lease or intent of Amendment 17 is to allow the comments through May 21, 2019. NMFS interchange agreement for 1 year after Pacific Fishery Management Council received three public comments from the expiration date. flexibility in recommending restrictions industry representatives in support of Issued under the authority delegated in 49 on the live bait portion of the fishery Amendment 17. The industry CFR 1.87. when a stock is overfished. representatives included the American DATES: The amendment was approved Dated: August 8, 2019. Albacore Fishing Associations, the on June 10, 2019. Raymond P. Martinez, Sportfishing Association of California, ADDRESSES: Copies of the Coastal Administrator. and a private fisherman from southern Pelagic Species Fishery Management California. [FR Doc. 2019–17342 Filed 8–13–19; 8:45 am] Plan as amended through Amendment BILLING CODE 4910–EX–P 17, are available at the Pacific Fishery There are no implementing Management Council, 7700 NE regulations associated with Amendment Ambassador Place, Suite 101, Portland, 17; therefore, NMFS did not promulgate DEPARTMENT OF COMMERCE OR 97220–1384, or at this URL: https:// a proposed and final rule to implement www.pcouncil.org/coastal-pelagic- this amendment. National Oceanic and Atmospheric species/fishery-management-plan-and- Administration Authority: 16 U.S.C. 1801 et seq. amendments/. Dated: August 9, 2019. 50 CFR Part 660 FOR FURTHER INFORMATION CONTACT: Lynn Massey, Sustainable Fisheries Samuel D. Rauch III, RIN 0648–XG660 Division, NMFS West Coast Region, at Deputy Assistant Administrator for 562–436–2462; or Kerry Griffin, Pacific Regulatory Programs, National Marine Fisheries Off West Coast States; Fishery Management Council, at 503– Fisheries Service. Coastal Pelagic Species Fisheries; 820–2280. [FR Doc. 2019–17465 Filed 8–13–19; 8:45 am] Amendment 17 to the Coastal Pelagic SUPPLEMENTARY INFORMATION: BILLING CODE 3510–22–P Species Fishery Management Plan Amendment 17 removed the pre- AGENCY: National Marine Fisheries specified incidental landing limit for Service (NMFS), National Oceanic and overfished stocks for vessels fishing for

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