[Federal Register Volume 78, Number 183 (Friday, September 20, 2013)]
[Proposed Rules]
[Pages 57822-57835]
[FR Doc No: 2013-22782]

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DEPARTMENT OF TRANSPORTATION

Federal Motor Carrier Safety Administration

49 CFR Part 390

[Docket No. FMCSA-2012-0103]
RIN 2126-AB44

Lease and Interchange of Vehicles; Motor Carriers of Passengers

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

ACTION: Notice of proposed rulemaking (NPRM); request for comment.

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SUMMARY: FMCSA proposes to adopt regulations governing the lease and
interchange of passenger-carrying commercial motor vehicles (CMVs) to:
identify the motor carrier operating a passenger-carrying CMV and
responsible for compliance with the Federal Motor Carrier Safety
Regulations (FMCSRs) and all other applicable Federal regulations;
ensure that a lessor surrenders control of the CMV for the full term of
the lease or temporary exchange of CMVs and drivers; and require motor
carriers subject to a prohibition on operating in interstate commerce
to notify FMCSA in writing before leasing or otherwise transferring
control of their vehicles to other carriers. This action is necessary
to ensure that unsafe passenger carriers cannot evade FMCSA oversight
and enforcement by operating under the authority of another carrier
that exercises no actual control over those operations. This action
will enable the FMCSA, the National Transportation Safety Board (NTSB),
and our Federal and State partners to identify motor carriers
transporting passengers in interstate commerce and correctly assign
responsibility to these entities for regulatory violations during
inspections, compliance investigations, and crash studies. It also
provides the general public with the means to identify the responsible
motor carrier at the time of transportation. While detailed lease and
interchange regulations for cargo-carrying vehicles have been in effect
since 1950, these proposed rules for passenger-carrying CMVs are
focused entirely on operational safety.

DATES: You may submit comments by November 19, 2013.

ADDRESSES: You may submit comments identified by the docket number
FMCSA-2012-0103 using any of the following methods:
     Web site: http://www.regulations.gov. Follow the

instructions for submitting comments on the Federal electronic docket
site.
     Fax: 1-202-493-2251.
     Mail: Docket Management Facility, U.S. Department of
Transportation, Room W12-140, 1200 New Jersey Avenue SE., Washington,
DC 20590-0001.
     Hand Delivery: Ground Floor, Room W12-140, DOT Building,
1200 New Jersey Avenue SE., Washington, DC, between 9 a.m. and 5 p.m.
e.t., Monday through Friday, except Federal holidays.
    To avoid duplication, please use only one of these four methods.
See the ``Public Participation and Request for Comments'' portion of
the SUPPLEMENTARY INFORMATION section below for instructions on
submitting comments.

FOR FURTHER INFORMATION CONTACT: Mr. Wesley Barber,<PHONE_NUMBER>,
<EMAIL_ADDRESS>FMCSA office hours are from 9 a.m. to 5 p.m.,
e.t., Monday through Friday, except Federal holidays.

SUPPLEMENTARY INFORMATION:

I. Public Participation and Request for Comments

    FMCSA invites you to participate in this rulemaking by submitting
comments and related materials. All comments received will be posted
without change to http://www.regulations.gov and will include any
personal information you provide.

A. Submitting Comments

    If you submit a comment, please include the docket number for this
rulemaking (FMCSA-2012-0103), indicate the specific section of this
document to which each comment applies, and provide a reason for each
suggestion or recommendation. You may submit your comments and material
online or by fax, mail, or hand delivery, but please use only one of
these means. FMCSA recommends that you include your name and a mailing
address, an email address, or a phone number in the body of your
document so that FMCSA can contact you if there are questions regarding
your submission.
    To submit your comment online, go to http://www.regulations.gov and
insert ``FMCSA-2012-0103'' in the ``Search'' box, and then click the
``Search'' button to the right of the white box. Click on the top
``Comment Now'' box which appears next to the notice. Fill in your
contact information, as desired and your comment, uploading documents
if appropriate. If you submit your comments by mail or hand delivery,
submit them in an unbound format, no larger than 8\1/2\ by 11 inches,
suitable for copying and electronic filing. If you submit comments by
mail and would like to know that they reached the facility, please
enclose a stamped, self-addressed postcard or envelope.
    We will consider all comments and material received during the
comment period and may change this proposed rule based on your
comments. FMCSA may issue a final rule at any time after the close of
the comment period.

B. Viewing Comments and Documents

    To view comments, as well as any documents mentioned in this
preamble, go to http://www.regulations.gov and insert ``FMCSA-2012-
0103'' in the ``Search'' box and then click on ``Search.'' Click on the
``Open Docket Folder'' link and all the information for the notice, and
the list of comments will appear with a link to each one. Click on the
comment you would like to read. If you do not have access to the
Internet, you may view the docket online by visiting the Docket
Management Facility in Room W12-140 on the ground floor of the
Department of Transportation West Building, 1200 New Jersey Avenue SE.,
Washington, DC 20590, between 9 a.m. and 5 p.m., e.t., Monday through
Friday, except Federal holidays.

C. Privacy Act

    Anyone is able to search the electronic form of all comments
received into any of our dockets by the name of the individual
submitting the comment (or signing the comment, if submitted on behalf
of an association, business, labor union, etc.). You may review the DOT
Privacy Act Statement for the Federal Docket Management System
published in the Federal Register on January 17, 2008 (73 FR 3316).

II. Executive Summary

A. Purpose of the Proposed Rule

    FMCSA proposes to adopt regulations governing the lease and
interchange of passenger-carrying commercial motor vehicles (CMVs) to
ensure that passenger carriers cannot evade FMCSA oversight and
enforcement by operating under the authority of another carrier that
exercises no actual control over these operations. The rule is based on
the broad authority of the Motor Carrier Safety Act of 1984, as amended
(49 U.S.C. 31136) and the Motor Carrier Act of 1935 (49 U.S.C.
31502(b)).

B. Summary of the Major Provisions

    The rule would (1) Identify the motor carrier operating a
passenger-carrying CMV and responsible for compliance with the Federal
Motor Carrier Safety Regulations (FMCSRs) and all other applicable
Federal regulations; (2) ensure that a lessor surrenders control of the
CMV for the full term of the lease or temporary exchange of CMVs and
drivers; and (3) require motor carriers subject to a prohibition on
operating in interstate commerce to notify FMCSA in writing before
leasing or otherwise transferring control of their vehicles to other
carriers.

C. Costs and Benefits

    FMCSA estimated the costs of the rule for 3 levels of leasing
activity (low, medium, and high) and 3 regulatory options. The Agency
believes that the medium level of leasing activity is the most
realistic, and is proposing to adopt regulatory Option Two. Under
Option Two at medium leasing frequency, the ten-year discounted cost of
the rule is $44.7 million at 7 percent or $4.4 million per year, or
$53.1 million (at 3 percent), or $5.3 million per year). The numbers of
fatal passenger carrier crashes that would have to be prevented under
this option (at $19.9 million per crash) to equal the estimated 10-year
costs of the rule--discounted at 7 percent and assuming medium
frequency--is 2.25. Although the Agency lacks definitive data on the
safety benefits of this NPRM, FMCSA believes that it is reasonable to
assume that, if the proposed rule could prevent less than one fatal
motorcoach CMV crash per year, or prevent the loss of less than one
life per year (or 5.8 lives over ten years) under the preferred option
(and under the most likely leasing frequency scenario), it would
justify the cost of the rule.

III. Legal Basis for the Rulemaking

    This rule is based on the authority of the Motor Carrier Safety Act
of 1984 (1984 Act), as amended, and the Motor Carrier Act of 1935 (1935
Act).
    The 1984 Act confers on the Department of Transportation (DOT)
authority to regulate drivers, motor carriers, and vehicle equipment.
``At a minimum, the regulations shall ensure that--(1) Commercial motor
vehicles are maintained, equipped, loaded, and operated safely; (2) the
responsibilities imposed on operators of commercial motor vehicles do
not impair their ability to operate the vehicles safely; (3) the
physical condition of operators of commercial motor vehicles is
adequate to enable them to operate the vehicles safely . . .; and (4)
the operation of commercial motor vehicles does not have a deleterious
effect on the physical condition of the operators'' (49 U.S.C.
31136(a)). Sec. 32911 of the Moving Ahead for Progress in the 21st
Century

Act (MAP-21) [Pub. L. 112-141, 126 Stat. 405, July 6, 2012] recently
enacted a fifth requirement, i.e., to ensure that ``(5) an operator of
a commercial motor vehicle is not coerced by a motor carrier, shipper,
receiver, or transportation intermediary to operate a commercial motor
vehicle in violation of a regulation promulgated under this section, or
chapter 51 or chapter 313 of this title'' [49 U.S.C. 31136(a)(5)].
    The 1984 Act also includes more general authority to ``(8)
prescribe recordkeeping . . . requirements; . . . and (10) perform
other acts the Secretary considers appropriate'' (49 U.S.C. 31133(a)).
    The 1935 Act authorizes DOT to ``prescribe requirements for--(1)
QUALIFICATIONs and maximum hours of service of employees of, and safety
of operation and equipment of, a motor carrier; and (2) qualifications
and maximum hours of service of employees of, and standards of
equipment of, a motor private carrier, when needed to promote safety of
operations'' (49 U.S.C. 31502(b)).
    This rule would impose legal and recordkeeping requirements
consistent with the 1984 and 1935 Acts on for-hire and private
passenger carriers that operate CMVs, in order to enable the general
public and investigators to identify the passenger carrier responsible
for safety. Currently, passenger-carrying CMVs and drivers are
frequently rented, loaned, leased, interchanged, assigned, and
reassigned with few records and little formality, thus obscuring the
operational safety responsibility of many industry participants.
Because this rule would have only indirect and minimal application to
drivers of passenger-carrying CMVs--at most, their employers might
require them to pick up a lease document and place it on the vehicle,
though that task could also be assigned to other employees--FMCSA
believes that coercion of drivers to violate the rule, in contravention
of 49 U.S.C. 31136(a)(5), will not occur.
    Before prescribing any regulations, FMCSA must also consider their
``costs and benefits'' (49 U.S.C. 31136(c)(2)(A) and 31502(d)). Those
factors are also discussed in this proposed rule.

IV. History of Past Actions

A. History of Leasing Rules

    In 1940, the former Interstate Commerce Commission (ICC) began an
investigation of vehicle leasing and interchange practices. In 1950,
the Commission adopted regulations governing the lease and interchange
of trucks and trailers which are now codified in 49 CFR part 376 [See
51 M.C.C. 461 (June 26, 1950) and 15 FR 4338, July 8, 1950]. Although
these regulations served safety purposes, as indicated below, they were
designed mainly to improve the enforcement of the comprehensive
economic regulations of the trucking industry then in effect.
    The ICC discussed the safety implications of motor carrier lease
agreements in its landmark 1948 decision, Performance of Motor Common
Carrier Service by Riss & Co., 48 M.C.C. 327, 360:

    In any case of a person claiming to be a motor carrier through
the use of the vehicles of others, it is of the utmost importance to
regulation that it have and exercise direction and control of the
operation and of the persons engaged therein. For otherwise an
unworkable situation is created, that is, one, for example, in which
neither the Commission nor the person claiming to be the carrier
would have any immediate and direct control over safety, hours of
service of employees, and other matters pertaining to safe,
adequate, and efficient service, and the safe operation of vehicles
on the highways, all of which were intended by the [Motor Carrier
Act of 1935]. In other words, as to these important features of
motor carrier operation, our regulation thereof, as required by the
act, would be negatived to an inoperative degree, as the actual
operator would not be subject to our regulations or to the direction
and control of the person claiming to be the carrier and subject to
our jurisdiction.
    The importance which Congress attached to the safety provisions
* * * of the act is plainly shown by the fact that while ``Section
203(b) listed many types of [for-hire] motor carriers which were
exempted in general from the act [now codified at 49 U.S.C. 13506] *
* * that section significantly applied to all of them the provisions
of Section 204 as to qualifications, maximum hours of service,
safety of operation and equipment.'' Levinson v. Spector Motor Co.,
330 U.S. 649, 650.

    Since 2008, FMCSA and NTSB have discovered many instances of motor
carriers renting or leasing passenger-carrying CMVs without written
documentation. Many of these cases reveal exactly the problems the ICC
discussed in its 1948 decision. The lease or rental agreements are
often made so casually that the parties themselves have no clear
understanding of who is responsible for operational safety and
regulatory compliance on a given trip with a particular passenger-
carrying CMV. As a result, the general public and enforcement officials
struggle to clarify these relationships and to assign regulatory
violations to the correct party. Without the ability to reliably make
such determinations, FMCSA is unable to apply its safety standards
consistently and effectively during inspections, compliance
investigations, and crash studies, and, when necessary, place high-risk
operators out of service (OOS).
    In recent years, FMCSA and NTSB have discovered leasing practices
that undermined enforcement of many regulations based on the 1984 Act.
For example, passengers, and even the drivers, often do not know which
FMCSA-authorized motor carrier is operating the vehicle and responsible
for safety. The owner of a passenger-carrying CMV may place its USDOT
number on the vehicle, as required by 49 CFR 390.21, but that motor
carrier may not have actual control of, and responsibility for, the
vehicle at the time of an inspection, investigation, or crash.
    The FMCSA uses the USDOT number to track carrier performance,
primarily via its management information systems. These systems contain
motor carrier data from a variety of sources: roadside inspections,
crash reports, safety and compliance investigations, and enforcement
actions. Using the USDOT number, the public can also access critical
information about a passenger-carrying CMV operator's safety and
compliance record. This information is provided both on the FMCSA Web
site and through the Agency's free SaferBus application available to
Google Android users and Apple iPhone and iPad users from the
respective App Stores, or by going to the FMCSA's ``Look Before You
Book'' Web site at www.fmcsa.dot.gov/saferbus.
    The Agency's various management information systems are the
linchpins of a number of the FMCSA's programs. Federal and State field
personnel use these systems to initiate actions as varied as
enforcement and educational outreach. By using the data, potentially
unsafe carriers can be targeted for attention, including compliance
investigations. Carriers could be flagged as unsafe if a high
percentage of their vehicles were placed OOS during roadside safety
inspections, or if they experience an above-average number of crashes.
FMCSA staff use the databases for analysis purposes, including
monitoring overall trends and evaluating general program effectiveness.
    The delivery of FMCSA's safety program can be impacted by the
similarity of many carrier names (legal, trade, and doing-business-as
(DBA) names), the lack of consistency in the display of those names on
vehicles, and even more so by the wrong name or USDOT number on the
passenger-carrying CMV. These identification problems could result in
attributing a

crash or roadside inspection to the wrong motor carrier. This means
that FMCSA is not fully aware of some carriers' safety performance,
especially those that lease vehicles from other carriers. These
carriers may not receive the remedial attention their records warrant,
whether it be educational assistance or a compliance investigation. If
the Agency had better performance data on marginal carriers, some
crashes associated with these operations might be prevented.
    In order to aggregate information about a single motor carrier from
disparate sources, a unique identifier is required. That is the
function of the USDOT number. Without this number, there is no reliable
way to assign crashes, inspections, and other events to the correct
motor carrier.

B. NTSB Crash Investigations

Motorcoach Rollover on U.S. Highway 59 Near Victoria, Texas, January 2,
2008 \1\
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    \1\ National Transportation Safety Board. 2009. Motorcoach
Rollover on U.S. Highway 59 Near Victoria, Texas, January 2, 2008.
Highway Accident Summary Report. NTSB/HAR-09/03/SUM. Washington, DC.
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    On January 2, 2008, a fully-loaded 47-passenger CMV was heading
north on U.S. 59 about 5 miles south of Victoria, Texas, when it
drifted off the right edge of the roadway. The driver over-corrected
and the passenger-carrying CMV rolled onto its right side, killing one
passenger and injuring 46.
    The NTSB crash investigation identified a number of safety issues,
including the lack of Federal oversight of passenger motor carrier
leasing agreements and the registration and use of passenger-carrying
CMVs that do not comply with the National Highway Traffic Safety
Administration's (NHTSA) Federal Motor Vehicle Safety Standards
(FMVSS). The NTSB report noted that ``[t]he owner of the motor carrier
in this accident [Capricorn Bus Lines, Inc. (Capricorn)], unable to
obtain the insurance that would have enabled him to receive [FMCSA
operating] authority to transport passengers as a motor carrier,
entered into a lease with another authorized motor carrier
[International Charter Services, Inc. (International)] in order to
continue to operate his business under the other carrier's authority.
[The NTSB investigation] explore[d] how this process worked and how the
process shielded the accident motor carrier from effective safety
oversight.''
    The NTSB report also noted that ``Capricorn's lease with
International constituted an arrangement enabling Capricorn to operate
virtually independently, without operational control from
International. Based on information obtained during this [crash]
investigation, Capricorn was never required to demonstrate to the FMCSA
that it was capable of safety fitness as required of a motor carrier;
the lease agreement effectively kept Capricorn's operations at arm's
length from International and shielded Capricorn from appropriate FMCSA
oversight. In examining the FMCSA's definitions of a motor carrier and
the companies' roles as outlined in the lease agreement, it is evident
Capricorn was operating independently from International as a motor
carrier. The owner of International had certified on the application
for operating authority it would have in place a system for the safe
operation of commercial vehicles, specifically `policies and procedures
consistent with DOT regulations governing driving and operational
safety of motor vehicles, including driver's hours of service and
vehicle inspection and repair and maintenance.' Multiple critical and
acute safety violations were found during International's compliance
review when the FMCSA examined Capricorn's vehicles and drivers,
showing that International was not ensuring that the FMCSRs were being
followed and that International did not have a system in place for
making sure Capricorn's operations followed the FMCSRs. The NTSB
therefore concludes that International failed to maintain operational
control and safety oversight of Capricorn's operations, including its
drivers and vehicles, as required by the safety certification completed
by International in its operating authority application (Form OP-1[P],
section 4).'' See page 26.
    The NTSB issued a total of ten safety recommendations to FMCSA as a
result of the Victoria, TX, crash, of which, the following are related
to this NPRM:
    H-09-33: Revise 49 CFR part 376 to require that passenger motor
carriers be subject to the same limitations on the leasing of equipment
as interstate for-hire motor carriers of cargo.
    H-09-36: ``Establish a requirement to review all passenger carrier
lease agreements during new entrant safety audits and compliance
reviews to identify and take action against carriers that have lease
agreements that result in a loss of operational control by the
certificate holder.''
Motorcoach Run-Off-the-Bridge and Rollover Near Sherman, Texas, August
8, 2008 \2\
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    \2\ National Transportation Safety Board. 2009. Motorcoach Run-
Off-the-Bridge and Rollover, Sherman, Texas, August 8, 2008. Highway
Accident Report NTSB/HAR-09/02. Washington, DC.
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    On August 8, 2008, a 56-passenger CMV was traveling northbound on
U.S. 75 when the CMV's right front tire failed in Sherman, Texas. The
vehicle slid off a bridge, killing 17 passengers and injuring 38.
    The NTSB investigation found that Iguala BusMex, Inc. was operating
the passenger-carrying CMV that crashed. The owner of Iguala BusMex
also owned Angel Tours, Inc., a motor carrier that operated from the
same address. Angel Tours had received operating authority in 1994.
    Three months before the crash, FMCSA conducted a compliance review
of Angel Tours on May 1, 2008, which resulted in a proposed
unsatisfactory safety rating. Three critical violations were found, as
well as several other violations. Angel Tours had 45 days to submit a
corrective action plan to the FMCSA to change its proposed
unsatisfactory safety rating as allowed by 49 U.S.C. 31144(c)(2) and 49
CFR 385.11 and 385.17. FMCSA placed Angel Tours out of service on June
23, 2008, because it had not submitted a corrective action plan to the
FMCSA to change its proposed unsatisfactory safety rating. \3\
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    \3\ Angel Tours submitted an action plan on June 24, 2008, but
FMCSA denied its request to change its rating due to the lateness of
the submission and the inadequacy of the response. A review of the
Angel Tours driver logbook records revealed several trips in
interstate travel after the FMCSA had placed the motor carrier out
of service.
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    Just over a month later, on July 27, 2008, the owner of these
companies applied to the FMCSA for motor carrier operating authority
for Iguala BusMex, Inc. On the date of the crash, the FMCSA had not
granted operating authority to Iguala BusMex because its application
was incomplete. The owner of Iguala BusMex had an unsigned lease
arrangement with Liberty Charters and Tours (Liberty) to provide
drivers and passenger-carrying CMVs to Liberty. The FMCSA's post-crash
compliance review found that Iguala BusMex used Liberty's operating
authority and USDOT number to engage in the for-hire transportation of
passengers in interstate commerce during the Sherman, TX, crash.
    FMCSA also found that Angel Tours' continuity of operation through
Iguala BusMex demonstrated a blatant disregard for previous FMCSA out-
of-service orders, which were issued based

upon the company's substandard safety record. The FMCSA conducted a
compliance review of Liberty on August 11, 2008, and found an unsigned
vehicle lease agreement between Liberty and Angel Tours, covering the
period from June 28 through September 28, 2008. The compliance review
also stated that the owner of Liberty had agreed to let the owner of
Iguala BusMex and Angel Tours use Liberty's operating authority to
engage in interstate commerce.
    Although no specific NTSB Safety Recommendation to FMCSA relevant
to leases was made as a part of this crash investigation, similar
leasing problems were discovered that suggested that Iguala BusMex used
Liberty's operating authority and USDOT number to engage in the for-
hire transportation of passengers in interstate commerce during the
Sherman, TX, crash. In this regard NTSB Safety Recommendation H-09-36,
made as a result of the Victoria, TX, crash also addresses the
situation where a carrier, like Iguala BusMex/Angel Tours, that
nominally leases its vehicles and drivers to another carrier, in fact
maintains full control of both in order to evade oversight or sanctions
by FMCSA.

V. Proposal

    In order to eliminate the problems discussed above and improve the
safety of the traveling public, FMCSA proposes to amend its safety
regulations in part 390 to:
    (1) Require interstate carriers of passengers by CMV that enter
into rental or lease agreements (except leases in the nature of a
purchase), or that borrow or temporarily exchange CMVs with or without
compensation, to execute a written lease similar to those required of
for-hire interstate carriers of property;
    (2) require that lessors relinquish all control of a passenger-
carrying CMV for the full term of the lease;
    (3) require that a copy of the signed agreement or other documents
specified in the proposal be carried on all leased passenger-carrying
CMVs for the duration of the agreement;
    (4) require lessee and lessors to give receipts when they exchange
possession and retain the receipts for one year after the end of the
lease or other agreement;
    (5) require passenger-carrying CMVs operated under a lease or other
agreement to display the operating motor carrier's name and USDOT
number;
    (6) require the lease or other agreement to specify that the lessee
is responsible for compliance with the bodily injury and property
damage insurance requirements of part 387, and to specify the party
responsible for any additional insurance coverage that may be required
by the parties;
    (7) require that the parties to the agreement retain a copy of each
lease or other agreement for one year after the end of the agreement;
and
    (8) require motor carriers of passengers prohibited from operating
in interstate commerce to notify FMCSA in writing before leasing or
otherwise transferring control of their vehicles to any other motor
carriers.
    Although NTSB recommended that FMCSA amend its 49 CFR part 376
regulations applicable to motor carriers of property to include
passenger-carrying CMVs, those regulations are based on 49 U.S.C.
14102(a), which authorizes leasing regulations applicable to property-
carrying vehicles, but not to passenger vehicles.
    The passenger-carrying CMV leasing and marking issues discussed in
this proposal demonstrate a clear nexus between safety and the
identification of a motor carrier operating any passenger-carrying CMV,
whether or not the motor carrier operates for compensation. Thus, FMCSA
proposes to amend part 390 of the FMCSRs, not part 376. Placing the
proposed rules in part 390 would also require the Agency's State
partners to adopt them pursuant to the Motor Carrier Safety Assistance
Program (MCSAP) (49 CFR part 350). State and local agencies
participating in MCSAP would be required to include the passenger-
carrying CMV lease and marking requirements of this proposed rule in
their annual enforcement plans. Our MCSAP partners have never been
required to enforce the CMV leasing regulations in part 376; this NPRM
would not change that. However, the focus of the current proposal is
safety, and FMCSA believes that States should be required to adopt and
enforce compatible leasing and marking regulations for all motor
carriers operating passenger-carrying CMVs in interstate commerce.
    The primary purpose of the Agency notification provision is to
allow FMCSA time to research the safety history of the prospective
lessee, if necessary, before the lease occurs. For example, if the OOS
passenger carrier intended to lease its buses to a motor carrier that
was itself undergoing an investigation or compliance review, was
subject to an enforcement action, or was otherwise implicated in a
serious safety matter, the Agency might wish to consider additional
oversight of the proposed lessee. Requiring the OOS carrier to provide
at least 3 business days advance notice by email, or at least 5
business days advance notice by U.S. Mail, before the transfer of
control occurs would give FMCSA adequate time to plan and implement any
steps it deemed necessary. Business days are Monday through Friday,
excluding Federal holidays.
    FMCSA invites you to participate in this rulemaking by submitting
comments on any aspect of this proposal.

VI. Section-By-Section Description of NPRM

    Section 390.5 is amended to add definitions for lease, lessee, and
lessor, all of which are based (with changes) on the same definitions
in part 376--Lease and Interchange of Vehicles. Since both parties to
the lease required by subpart F of part 390 are motor carriers of
passengers, rather than owners of equipment (as in part 376), the terms
lease, lessee, and lessor here apply specifically to motor carriers of
passengers. All three terms are amended to include interchange of
passenger-carrying CMVs. In Sec.  390.5, interchange is currently
defined as the tendering of intermodal chassis to a motor carrier; that
meaning is retained as paragraph (1), and paragraph (2) is added to
describe the exchange of passenger-carrying CMVs between motor carriers
continuing a through movement on a particular route. We have also
included a cross-reference to Sec.  376.2, where the same terms are
defined for purposes of the lease and interchange of property-carrying
vehicles.
    Section 390.21(e), dealing with the marking of Rented CMVs, is
amended to limit its application to ``property-carrying CMVs,'' and
Sec.  390.21(f) is added to cover the marking of Leased and
interchanged passenger-carrying CMVs. The marking must meet the
requirements of Sec.  390.21(b) Nature of marking, (c) Size, shape,
location, and color of marking, except that marking is required only on
the right (curb) side of the vehicle on or near the front passenger
door, and (d) Construction and durability. Carriers operating leased or
interchanged passenger-carrying CMVs as defined in proposed Sec.  390.5
would be required to also display a placard, sign, or other permanent
or removable device on the right (curb) side of the passenger-carrying
CMV on or near the front passenger door. The device must show the name
and USDOT number of the carrier operating the vehicle, preceded by the
words ``operated by,'' e.g., ``Operated by ABC Motorcoach, Inc., USDOT
1234567890.''
    The NPRM adds to part 390 a new subpart F entitled, ``Lease and
Interchange of Passenger-Carrying Commercial Motor Vehicles.'' The
``Applicability'' statement in

Sec.  390.301(a) makes clear that the subpart applies to every short-
and mid-term lease or interchange of passenger-carrying CMVs between
motor carriers, no matter how brief. Paragraph (b), however, explains
that the rule does not cover leases between carriers and vehicle
manufacturers or dealers that run 5 years or more because these
contracts are almost certainly in the nature of purchase agreements,
unlike the routine or casual transfers of vehicles between passenger
carriers to meet temporary fluctuations in demand.
    Section 390.303 specifies the contents of lease and interchange
documents. Paragraph (a) requires a written lease or interchange
document, or a written agreement covering some less formal temporary
transfer, such as a hand-shake or other casual form of obtaining a
passenger-carrying CMV. Paragraph (b) requires the lease, interchange,
or other agreement to be signed by the owner of the passenger-carrying
CMV and the motor carrier obtaining the use of the CMV, or by their
authorized agents. Under paragraph (c), the lease, interchange, or
other document must include the time (hour and minute) and location
where the agreement begins and ends. The time and location must match
the time and location for giving receipts. Paragraph (d) requires the
lessee to give the lessor a receipt for a passenger-carrying CMV when
it takes possession, and the lessor to give the lessee a receipt for a
passenger-carrying CMV when it recovers possession at the end of the
agreement. Receipts may be transmitted electronically. Because the
parties to an interline agreement or to a revenue pooling agreement
(which must be approved by the Surface Transportation Board; see 49
U.S.C. 14302) interchange vehicles frequently and routinely in the
course of providing service on a single route, each party may surrender
control of a vehicle to its interline partner for a portion of that
trip. As part of these joint operating agreements, receipts are not
required for such interchanges. Receipts applicable to a specific lease
or other agreement must be maintained for one year after the end of the
agreement as required by paragraph (i). Paragraph (e) requires
passenger-carrying CMVs operated under a lease, interchange, or other
agreement to be marked as required by proposed Sec.  390.21(f) and to
carry a copy of the lease, interchange, or other agreement in the
vehicle. The lease need not be specific to that vehicle; a copy of a
master lease covering several vehicles is acceptable, but must be
carried in each leased vehicle. Instead of an interchange agreement,
which may be quite long, a written statement can be carried in the
interchanged vehicle if it identifies the carrier operating the
passenger-carrying CMV by company name and USDOT number, provides when
and where the interchange will occur, and indicates how the CMV will be
used (e.g., line service between X and Y). Paragraph (f) requires the
lease, interchange, or other agreement to state that the party
obtaining the passenger-carrying CMV has exclusive possession and
control, and assumes full responsibility for compliance with the FMCSRs
and any other applicable Federal regulations for the duration of the
lease. Subleasing is allowed, but the requirements of Sec.  390.303
apply to the parties to a sublease. Paragraph (g) requires the lease,
interchange, or other agreement to make the lessee responsible for
compliance with the insurance requirements of 49 CFR part 387. The
lease, interchange, or other agreement must also specify which party is
responsible for any additional insurance coverage that may be required
by the parties. Paragraph (h) requires the parties to keep an original
and two copies of each lease, interchange, or other agreement. One copy
of the document must be carried in the passenger-carrying CMV, except
as otherwise provided in paragraph (e)(2). Paragraph (i) requires the
parties to retain a copy of each lease, interchange, or other
agreement, and the corresponding receipts required in paragraph (d),
for one year after the end of the agreement.
    Section 390.305 requires a motor carrier of passengers that has
been prohibited from operating in interstate commerce to notify FMCSA
of its intention to transfer control of one or more passenger-carrying
vehicles to another passenger carrier. Notification by email must be
provided at least 3 business days, and notification by U.S. Mail at
least 5 business days, before the transfer of control occurs.

VII. Regulatory Analyses

A. Regulatory Planning and Review

    FMCSA has preliminarily determined that this action is a
``significant regulatory action'' under Executive Order 12866, as
supplemented by Executive Order 13563 (76 FR 3821, January 18, 2011),
and DOT regulatory policies and procedures (44 FR 1103, February 26,
1979). Although the estimated economic costs of the rule do not exceed
the $100 million annual threshold, the Agency expects the rule to have
substantial Congressional and public interest based on recent crashes
and the recommendation from the NTSB that the Agency regulate
passenger-carrier leasing. This rule has been reviewed by the Office of
Management and Budget (OMB).
    Due to the lack of data that would allow FMCSA to quantify the
safety benefits of this NPRM, the regulatory evaluation develops a
threshold analysis. There are no statistical or empirical studies that
directly link the written documentation of a vehicle lease agreement to
increased motor carrier safety. And though the Agency has described
above the many practical, informational, and administrative benefits of
this NPRM, it is unable to quantify its safety benefits, typically
measured in terms of avoided crashes. In accordance with OMB guidance
(Circular A-4),\4\ a Federal regulatory agency has the option to
conduct a threshold analysis in lieu of a cost-benefit analysis in
cases in which either benefits (as in this case) or the costs are
unquantifiable, or difficult to quantify. A threshold analysis states
the estimated quantified costs of a rule in terms of the non-quantified
benefits (the number of fatalities prevented in motorcoach crashes)
that would have to be realized to equal the costs. The proposed rule is
expected to provide safety benefits that are not directly or easily
quantifiable. Hence, the estimated costs of the various regulatory
options in this NPRM are compared to the number of passenger-carrier
fatal crashes that would have to be avoided to make the rule cost-
neutral. FMCSA estimates the societal cost of each fatal motorcoach
crash at $19.9 million.\5\
---------------------------------------------------------------------------

    \4\ www.whitehouse.gov/omb/circulars_a004_a-4.
    \5\ FMCSA estimation (2012 dollars). The estimated cost is a
five-year average (2007-2011) which consists of the costs of
fatalities and injuries (associated with fatal crashes), plus
medical, emergency services, property damage, congestion and
pollution. See Appendix A--Motorcoach Crash Cost Estimation
Methodology at the end of the Preliminary Regulatory Evaluation for
this proceeding for a detailed analysis of this estimate. The
Preliminary Regulatory Evaluation for this proceeding may be found
in the docket.
---------------------------------------------------------------------------

    Additionally, the NPRM is expected to provide many practical
benefits to the public and to FMCSA. These benefits include proper
identification of passenger carriers and the proper documentation of
their lease agreements--both of which ensure accurate identification of
the carrier responsible and liable for operation of the vehicle--as
well as efficient oversight and more effective enforcement.
Additionally, proper marking of vehicles provides beneficial
information to the traveling public, and State and Federal enforcement
personnel.

Passenger Carriers Subject to This Proposal
    FMCSA estimates that 6,328 passenger carriers will be affected by
this rule.
    The threshold analysis considers three scenarios \6\ intended to
capture the possible variations in leasing frequency. The scenarios are
based on the frequency with which a hypothetical passenger carrier with
10 power units leases other passenger-carrying power units. The rates
are: (1) Low frequency, (2) medium frequency, and (3) high frequency.
The frequency assumptions are listed below in Table 1. FMCSA welcomes
public comments on these assumptions.
---------------------------------------------------------------------------

    \6\ FMCSA and contacts with industry.

                                                         Table 1--Leasing Frequency Assumptions
--------------------------------------------------------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------------------------------------------------------
        Lease/Trip Frequency                                                 Number of leases per month and year
--------------------------------------------------------------------------------------------------------------------------------------------------------
Low Frequency......................  6 leases per month....  Peak months...........  May-August...........  24 leases............  Total/year = 48.
                                     3 leases per month....  Off peak months.......  Other months.........  24 leases............
Medium Frequency...................  12 leases per month...  Peak months...........  May-August...........  48 leases............  Total/year = 96.
                                     6 leases per month....  Off peak months.......  Other months.........  48 leases............
High Frequency.....................  24 leases per month...  Peak months...........  May-August...........  96 leases............  Total/year = 192.
                                     12 leases per month...  Off peak months.......  Other months.........  96 leases............
--------------------------------------------------------------------------------------------------------------------------------------------------------
Source: FMCSA Commercial Passenger Carrier Safety division staff experience.

Estimated Costs

    The cost components of the Agency's proposal (Option Two in the
regulatory evaluation below) consist of the following: (1) Lease
negotiation and documentation, (2) Lease copying, (3) Receipt
documentation, and (4) Vehicle marking. The analysis also provides a
cost estimate of the impact on passenger carriers that have been placed
OOS and would be required to notify the Agency of vehicle rentals and
leases they intend to make to others. The analysis considers different
rates of leasing frequency to allow for the variation in passenger
carrier operations. Lease negotiation, for the purpose of this
analysis, consists of a one-time negotiation cost reflective of the
value of a half hour of a manager's time, plus the recurring cost of
preparing the written documentation of the requisite information and
signature of the lease agreement undertaken in five minutes. These
tasks are assumed to be undertaken by a manager, supervisor, or a
designated company employee who can make a contract on behalf of the
carrier. The analysis applies a median hourly supervisory wage rate of
$25.45, plus 50 percent mark-up to account for fringe benefits (for a
total hourly wage of $38.18). The negotiation cost per contract in
terms of the value of time per contract amounts to $19.09 (50 percent
of the wage rate). The lease documentation assumes a time burden of
five minutes, which would amount to one twelfth (1/12) of the hourly
wage rate which equals $3.18. This cost is applied to both the lessee
and the lessor. The estimated unit-cost of copying one lease agreement
double-sided (i.e., a two page agreement) is at $0.15. The estimated
unit-cost corresponding to the lease receipts is $0.30. This assumes
two transactions, and hence two receipts: One for the delivery (or
surrender) of the vehicle and one for the return of the vehicle. The
fourth cost component is the marking cost, which is estimated using a
paper sign, the cheapest possible option, costs the lessee $0.02. This
is calculated as follows: (1) Letter-size paper costs $4.74 per ream of
400 sheets,\7\ and the cost of 2 sheets is therefore $0.024; (2) Legal-
size paper costs $6.49 per ream of 500 sheets, and the cost per sheet
is therefore $0.013. The per-unit average cost of the two options is
$0.018, which is then rounded up to $0.02 to account for the cost of
adhesive. The total per unit cost of all four components is therefore
$7.28,\8\ which is the sum of $3.18 (x 2) + $0.30 + $0.60 + $0.02.
Following, in Table 2, is an example of the calculation of total costs
for Year 1 for one scenario: Medium leasing frequency.
---------------------------------------------------------------------------

    \7\ Reams of letter-sized paper typically come in 500 sheets.
The analysis is based on a ream of 400 sheets of heavier paper
(better suited for marking purposes).
    \8\ This per-unit cost may be less assuming that a durable
marking sign could be re-used multiple times, a receipt could be
combined with a lease copy, and preparation time for a lease could
be reduced through the use of generic or master-type lease forms.

                                                         Table 2--Example--Year 1 Estimated Cost
                                                 [Option two, medium leasing frequency scenario--at 3%]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                         Number of                                                  Receipt                        Total recurring costs
         Passenger carriers               leases        Lease documentation       Lease copy     documentation     Marking cost             (A)
--------------------------------------------------------------------------------------------------------------------------------------------------------
6,328...............................         607,488  $3,863,624.............        $182,246         $364,493          $12,150   $4,422,513.
                                                      Lease Negotiation (B)..  ...............  ...............  ...............  Total Cost (A+B).
6,328...............................         607,488  $23,193,892............  ...............  ...............  ...............  $27,616,405.
--------------------------------------------------------------------------------------------------------------------------------------------------------

Total Cost = (607,488 x $3.18 x 2) + (607,488 x 2 x $0.15) + (607,488 x
2 x $0.30) + (607,488 x $0.02) = $3,863,624 + $182,246 + $364,493 +
$12,150 = $4,422,513 + $23,193,892 = $23,193,892.

    The results of the threshold analysis for Options Two and Three are
summarized below in Table 3. Under Option Two (the Agency's preferred
option), the ten-year discounted cost, at medium leasing frequency, is
$53.1 million (at 3%), which amounts to approximately $5.3 million per
year ($44.7 million at 7% or $4.4 million per year). The numbers of
fatal passenger carrier crashes \9\ that would have to be prevented
under this option (at $19.9

million per crash) \10\ to equal the estimated 10-year costs of the
rule--discounted at 3% and assuming low, medium, and high leasing
frequencies--are 1.33, 2.67 (or 5.8 lives over ten years),\11\ and
5.34, respectively. The comparable numbers of fatal crashes that would
have to be prevented under Option Three, assuming the same leasing
frequencies and discount rate, would be 2.15, 4.30, and 8.60. Table 3
also provides 10-year cost estimates (and the related number of fatal
crashes) with a 7% discount rate. Although the Agency lacks definitive
data on the safety impacts of this rule, the Agency believes it is
reasonable to assume that if the proposed rule could prevent less than
one fatal motorcoach crash per year, or prevent the loss of less than
one life per year (or 5.8 lives over ten years) under the preferred
option (and under the most likely leasing frequency scenario), it would
justify the cost of the rule.
---------------------------------------------------------------------------

    \9\ FMCSA has also determined costs for average injury and PDO
crashes. Any combination of crashes prevented equaling $5.3 million
annually would produce a break-even cost.
    \10\ The estimated cost is a five-year average (2007-2011) which
consists of the costs of fatalities and injuries (associated with
fatal crashes), plus medical, emergency services, property damage,
congestion and pollution. For more information see Appendix A of the
Lease and Interchange of Vehicles; Motor Carriers of Passengers,
Preliminary Regulatory Evaluation, FMCSA, July 2013, in the docket.
    \11\ Medium leasing frequency 10-year cost of $53.1 million
divided by the value of a statistical life (VSL) of $9.1 million
results in 5.8 lives prevented over ten years.

                                 Table 3--Threshold Analysis--Summary of Results
----------------------------------------------------------------------------------------------------------------
                                                                     Number of                       Number of
                                                   Estimated 10-       fatal       Estimated 10-       fatal
                                                       year          passenger         year          passenger
                                                    discounted        carrier       discounted        carrier
                                                    costs * 3%     crashes ** to    costs * 7%     crashes ** to
                                                                   be prevented                    be prevented
----------------------------------------------------------------------------------------------------------------
                                     Option Two (Agency's Preferred Option)
----------------------------------------------------------------------------------------------------------------
Low Leasing Frequency...........................     $26,564,644            1.33     $22,364,121            1.12
Medium Leasing Frequency........................      53,116,130            2.67      44,728,241            2.25
High Leasing Frequency..........................     106,258,577            5.34      89,456,483            4.50
----------------------------------------------------------------------------------------------------------------
                                                  Option Three
----------------------------------------------------------------------------------------------------------------
Low Leasing Frequency...........................     $42,788,991            2.15     $34,035,279            1.71
Medium Leasing Frequency........................      85,577,989            4.30      68,226,250            3.43
High Leasing Frequency..........................     171,155,971            8.60     136,452,492            6.86
----------------------------------------------------------------------------------------------------------------
* Costs include a one-time lease negotiation cost applied to Year 1.
** The estimated value of a passenger-carrier fatal crash is $19.9 million (2012 dollars).

    Please review the Preliminary Regulatory Evaluation in docket
FMCSA-2012-0103 for a thorough discussion of the assumptions the Agency
made, the options/alternatives considered in developing this proposed
rule, the analysis conducted, and the details for the estimates
presented here. FMCSA welcomes public comments on any aspect of the
Preliminary Regulatory Evaluation for this proposal.

B. Regulatory Flexibility Act

    Section 603 of the Regulatory Flexibility Act (RFA), as amended by
the Small Business Regulatory Enforcement Fairness Act of 1996 (Pub. L.
104-121, 110 Stat. 857, March 29, 1996), requires FMCSA to perform a
detailed analysis of the potential impact of the proposed rule on small
entities. Accordingly, DOT policy requires that agencies shall strive
to lessen any adverse effects on these businesses and other entities.
Each initial regulatory flexibility analysis required under this
section must contain the following:
Initial Regulatory Flexibility Analysis (IRFA)
    (1) A description of the reasons why action by the agency is being
considered.
    Passenger carriers lease, rent, interchange, and loan passenger-
carrying CMVs to each other with great frequency, on short notice, and
often for short periods of time and with minimal legal formality. As a
result, it is difficult for the general public and enforcement
personnel to determine which carrier is actually operating the
passenger-carrying CMV and responsible for compliance with safety
regulations. The written lease required by this NPRM for all
transactions involving the renting, leasing, interchanging, and loaning
of passenger-carrying CMVs would eliminate any confusion about who is
responsible for crashes and enable the Agency to identify the
appropriate motor carrier operating the vehicle and thus responsible
for its safe operation.
    (2) A succinct statement of the objectives of, and legal basis for,
the proposed rule.
    This rule is based on the authority of the Motor Carrier Safety Act
of 1984 (1984 Act), as amended, and the Motor Carrier Act of 1935 (1935
Act). This action is necessary to ensure that unsafe passenger carriers
cannot evade FMCSA oversight and enforcement by operating under the
authority of another carrier that exercises no actual control over
those operations.
    (3) A description of and, where feasible, an estimate of the number
of small entities to which the proposed rule will apply.
    Generally, motor carriers are not required to report their annual
revenue to the Agency, but all carriers are required to provide the
Agency with the number of power units they operate when they apply for
operating authority and to update this figure biennially. Because FMCSA
does not have direct revenue figures, power units serve as a proxy to
determine the carrier size that would qualify as a small business given
the Small Business Administration's (SBA) prescribed revenue threshold.
In order to produce this estimate, it is necessary to determine the
average annual revenue generated by a single power unit.
    With regard to passenger-carrying vehicles, the Agency conducted a
preliminary analysis to estimate the average number of power units for
a small entity earning $14 million

annually, based on an assumption that passenger carriers generate
annual revenues of $150,000 per power unit. This estimate compares
reasonably to the estimated average annual revenue per power unit for
the trucking industry ($172,000). A lower estimate was used because
passenger-carrying CMVs generally do not accumulate as many vehicle
miles traveled (VMT) per year as trucks,\12\ and it is therefore
assumed that they would generate less revenue per power unit on
average. The analysis concluded that passenger carriers with 93 power
units or fewer ($14,000,000 divided by $150,000/power unit = 93.3 power
units) would be considered small entities. The Agency then looked at
the number and percentage of passenger carriers registered with FMCSA
that have no more than 93 power units. The results show that over 99
percent of active passenger carriers have 93 power units or less.\13\
Therefore, the overwhelming majority of passenger carriers would be
considered small entities to which this NPRM would apply.
---------------------------------------------------------------------------

    \12\ FMCSA Large Truck and Bus Crash Facts 2008, Tables 1 and
20;  http://fmcsa.dot.gov/facts-research/LTBCF2008/Index-2008Large
TruckandBusCrashFacts.aspx.
    \13\ FMCSA MCMIS snapshot on 2/19/2010.
---------------------------------------------------------------------------

    The total number of motor carriers with active USDOT numbers that
identified themselves as carrying ``Passengers'' and own/lease at least
one passenger vehicle is 29,130. This number includes intrastate
hazardous material and intrastate-non-hazardous material carriers that
operate passenger vehicles. These intrastate carriers are not subject
to this NPRM and hence are not included in the final count. The number
of interstate passenger carriers with recent activity in 2009 (for the
purpose of comparison with the 2009-2010 numbers above) is 13,317. This
number however, like the others above, includes carriers operating
small vehicles (1-8 passengers). That segment of the population is not
subject to this NPRM, and thus is excluded from the final count. The
total then becomes 6,088 (2009). The number used in this analysis is
6,328, which is the comparable 2012 number.
    (4) A description of the projected reporting, recordkeeping and
other compliance requirements of the proposed rule, including an
estimate of the classes of small entities which will be subject to the
requirement and the type of professional skills necessary for
preparation of the report or record.
    The exact regulatory burden of this NPRM is difficult to estimate
considering the lack of specific information on the prevalence and
frequency of vehicle leasing among passenger carriers. There is also
the added complexity of the wide variation in size, business model, and
fleet vehicle configuration. The Agency, however, believes that the
practical regulatory burden of this NPRM would be relatively small.
Written documentation of business transactions and retention and
availability of work documents (i.e., lease agreements and receipts)
are hallmarks of professional management. Additionally, businesses are
required to prepare, retain, and submit receipts of various business
transactions to the Internal Revenue Service (IRS) and other agencies.
Furthermore, the practical requirements of the NPRM (i.e., lease and
receipt preparation, copying, storage, and vehicle marking) are easily
satisfied through a wide array of flexible options. The Agency
estimates that the financial burden of the NPRM, per carrier (per
leased power unit), is not significant. As stated above, the estimated
per unit cost of a lease agreement is $7.28, which is the sum of 4 cost
components: (1) Lease documentation ($3.18 x 2), (2) Lease copying
($0.30), (3) Receipt documentation ($0.60), and (4) Leased vehicle
marking ($0.02). FMCSA does not believe this per-unit cost to be
significant. Furthermore, this per-unit cost may effectively be lower,
if a durable marking sign were re-used many times, a receipt were
combined with a lease, and the preparation time for a lease were
reduced through the use of generic or master-type lease forms. In
addition, and as stated above, the analysis assumes a one-time lease
negotiation cost, which the Agency believes is minimal, considering
that several leases can be combined and negotiated as one (master)
lease and many lease forms are available online and do not require
legal assistance.
    The NPRM also includes a notification requirement for motor
carriers of passengers that have been prohibited from operating in
interstate commerce and which intend to lease, interchange, rent, or
otherwise convey the use of some or all of their passenger-carrying
commercial motor vehicles to another passenger carrier. This provision
would require written notification of a planned transfer of control to
the FMCSA Division Administrator for the State in which the carrier has
its principal place of business. Written notification by email must
occur at least 3 business days, and by U.S. Mail at least 5 business
days, before the vehicles are transferred to the control of the other
passenger carrier. The primary purpose of the Agency notification
provision is to allow FMCSA time to research the safety history of the
prospective lessee, if necessary, before the lease occurs. For example,
if the OOS passenger carrier intended to lease its buses to a motor
carrier that was itself undergoing an investigation or compliance
review, was subject to an enforcement action, or was otherwise
implicated in a serious safety matter, the Agency might wish to
consider additional oversight of the proposed lessee. Requiring the OOS
carrier to provide at least 3 business days advance notice by email, or
at least 5 business days advance notice by U.S. Mail, before the
transfer of control occurs would give FMCSA adequate time to plan and
implement any steps it deemed necessary. Business days are Monday
through Friday, excluding Federal holidays. This notification
requirement would require up to 8 hours per OOS carrier per year.
    Due to the lack of data concerning the economic impact of this
NPRM, the Agency is unable at this time to certify if this NPRM will
cause a significant economic impact on a substantial number of small
entities (SEISNOSE). FMCSA requests comments on the NPRM's potential
impacts to small entities.
    (5) Identification, to the extent practicable, of all relevant
Federal rules which may duplicate, overlap, or conflict with the
proposed rule.
    FMCSA is unaware of Federal rules which may duplicate, overlap or
conflict with the proposed rule. In addition, section 603(c) of the RFA
requires an agency to include a description of any significant
alternatives to the proposed rule that minimize significant economic
impacts on small entities while accomplishing the agency's objectives.
The Agency has concluded that there are no significant alternatives
that would achieve the objectives of this proposal.
    (6) A description of any significant alternatives to the proposed
rule which accomplish the stated objectives of applicable statutes and
which minimize any significant economic impact of the proposed rule on
small entities.
    The Agency did not identify any significant alternatives to the
rule that could lessen the burden on small entities without
compromising its goals or the Agency's statutory mandate. Because small
businesses are such a large part of the demographic the Agency
regulates, providing alternatives to small business to permit
noncompliance with FMCSA regulations or alternative compliance

methodologies is not feasible and not consistent with sound public
policy.

C. Federalism (Executive Order 13132)

    A rule has federalism implications if it has a substantial direct
effect on State or local governments and would either preempt State law
or impose a substantial direct cost of compliance on the States. FMCSA
analyzed this rule under E.O. 13132 and has preliminarily determined
that it has no federalism implications.

D. Unfunded Mandates Reform Act of 1995

    This proposed rule would not impose an unfunded Federal mandate, as
defined by the Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1532 et
seq.), that will result in the expenditure by State, local, and tribal
governments, in the aggregate, or by the private sector, of $143.1
million (which is the value of $100 million in 2010 after adjusting for
inflation) or more in any 1 year.

E. Executive Order 12988 (Civil Justice Reform)

    This proposed rule meets applicable standards in sections 3(a) and
3(b)(2) of Executive Order 12988, Civil Justice Reform, to minimize
litigation, eliminate ambiguity, and reduce burden.

F. Executive Order 13045 (Protection of Children)

    FMCSA analyzed this action under Executive Order 13045, Protection
of Children from Environmental Health Risks and Safety Risks. The
Agency has preliminarily determined that this proposed rule would not
create an environmental risk to health or safety that may
disproportionately affect children.

G. Executive Order 12630 (Taking of Private Property)

    FMCSA reviewed this proposed rule in accordance with Executive
Order 12630, Governmental Actions and Interference with
Constitutionally Protected Property Rights, and has preliminarily
determined it would not effect a taking of private property or
otherwise have taking implications.

H. Privacy Impact Assessment

    Section 522 of title I of division H of the Consolidated
Appropriations Act, 2005, enacted December 8, 2004 (Pub. L. 108-447,
118 Stat. 2809, 3268, 5 U.S.C. 552a note), requires the Agency to
conduct a privacy impact assessment (PIA) of a regulation that will
affect the privacy of individuals. This proposed rule would not require
the collection of any personally identifiable information.
    The Privacy Act (5 U.S.C. 552a) applies only to Federal agencies
and any non-Federal agency which receives records contained in a system
of records from a Federal agency for use in a matching program. FMCSA
has preliminarily determined this proposed rule would not result in a
new or revised Privacy Act System of Records for FMCSA.

I. Executive Order 12372 (Intergovernmental Review)

    The regulations implementing Executive Order 12372 regarding
intergovernmental consultation on Federal programs and activities do
not apply to this program.

J. Paperwork Reduction Act

    Under the Paperwork Reduction Act of 1995 (PRA) (44 U.S.C. 3501 et
seq.), Federal agencies must obtain approval from the OMB for each
collection of information they conduct, sponsor, or require through
regulations. This NPRM would request OMB to approve a new information
collection titled ``Passenger-Carrying Vehicle Leasing and Marking
Regulation Requirements.'' The annual burden for this new information
collection is estimated to be about 103,000 hours (rounded up to the
next higher thousand from the 102,547 hour value shown in the PRA
Supporting Statement).
Lease Preparation Information Collection Analysis
    For lease preparation, the Agency estimates the cost of obtaining
and preparing a standard generic template that is freely available on
the internet, or through trade organizations or existing passenger
carriers. The total number of pages of one such template found on the
internet is two pages, which is the number used in the Agency's
estimate. The estimated annual number of burden hours depends on the
estimated annual frequency of leasing. The Agency assumes that the
average passenger carrier (10 power units) will engage in 96 lease
agreements per year. This estimate consists of 12 leases per peak month
(May through August) and 6 leases per off-peak month. The total annual
number of leases would be about 607,488. The Agency assumes 5 minutes
of preparation (or documentation) time per lease agreement. This
amounts to 8 hours per carrier per year for an industry total of 50,624
[607,488 times 5 minutes divided by 60 minutes per hour = 50,624]. The
cost of these burden hours is calculated by applying the U.S.
Department of Labor's Bureau of Labor Statistics median hourly wage
rate for First-Line Supervisors of Transportation and Material-Moving
Machine and Vehicle Operators (53-103) which is $25.45, plus 50 percent
markup for fringe benefits (for a total hourly wage of $38.18).\14\
This lease documentation cost is further multiplied by two, since it
applies to both lessees and lessors. The total annual cost of lease
documentation is therefore estimated to be $3,863,624.
---------------------------------------------------------------------------

    \14\ Occupational Employment and Wages, May 2011, at http://www.bls.gov/oes/current/oes531031.htm.
---------------------------------------------------------------------------

    Regarding preparation of receipts, the Agency estimates the cost of
their transcription, but does not assign burden hours to the task. The
receipts do not have to adhere to a certain format, length, or
complexity, as long as they meet the requirements of the NPRM. The
receipts are sometimes replicas or a portion of ``master leases,''
which make for easy and quick preparation.
    FMCSA estimates the annual cost of transcribing lease agreements
and vehicle exchange receipts at $273,000. This estimate consists of
$91,000 for lease agreements and $182,000 for receipts for an annual
total number of leases of 607,488. Transcription of lease agreements
assumes $0.15 per page (double-sided two page standard agreement).
Transcription of vehicle exchange receipts assumes $0.30 per exchange
(one page for each receipt) for each event (surrender of leased vehicle
by lessor and return of vehicle to the lessor).
    The NPRM requires the retention of lease agreements and receipts
for one year. The Agency finds that the cost of lease and receipt
storage is negligible. The storage of work documents is a requisite
part of doing business, the accommodation for which is assumed to pre-
exist. Thus, the proposed requirement to retain a copy of the written
lease agreement and its receipts for one year does not impose a
significant cost or burden on the affected carriers. A two-inch stack
of 8\1/2\ x 11-inch sheets of 200-pound paper (a ream) could amount to
500 double-sided copies of lease agreements. This would exceed more
than one lease per day in a given a year. A single-sided stack of the
same number would amount to a mere four inches on an existing office
shelf or cabinet.
Passenger-Carrying CMV Marking Information Collection Analysis
    The NPRM requires every leased passenger vehicle to be properly
marked

with the name of the carrier prefaced with ``operated by'' and the
carrier's USDOT number. The proposed rule requires a marking which
would be affixed on one side of the passenger vehicle. The markings are
presumed to be temporary and removable, though some may be permanent or
re-usable, depending on the preferences of the carrier. The Agency
assumed that carriers will use a paper marking option, i.e., two
letter-size sheets or one legal-size sheet affixed with adhesive tape
to the vehicle. The burden hours of writing the signage and affixing it
are negligible. Therefore, none are attributed to this rulemaking.
    The Agency estimates the annual cost of vehicle marking using
removable paper devices for about 6,328 passenger carriers, assuming a
medium frequency rate of leasing, would be about $12,150. This estimate
assumes $0.02 per page (including the cost of adhesive) for a two-page
temporary and removable sign. The Agency assumes one marking sign per
lease agreement or leased trip (i.e., 607,488 lease agreements, as
explained above).
Out-of-Service Passenger Carrier Notification of Intended Leases
Information Collection Analysis
    The NPRM requires passenger carriers that have been placed OOS to
notify FMCSA before leasing their vehicles to other passenger carriers.
The primary purpose of the Agency notification provision is to allow
FMCSA time to research the safety history of the prospective lessee, if
necessary, before the lease occurs. For example, if the OOS passenger
carrier intended to lease its buses to a motor carrier that was itself
undergoing an investigation or compliance review, was subject to an
enforcement action, or was otherwise implicated in a serious safety
matter, the Agency might wish to consider additional oversight of the
proposed lessee. Requiring the OOS carrier to provide at least 3
business days advance notice by email, or at least 5 business days
advance notice by U.S. Mail, before the transfer of control occurs
would give FMCSA adequate time to plan and implement any steps it
deemed necessary.
    The estimated annual number of passenger carriers placed OOS is
163. It is assumed that virtually all of those carriers will elect to
use the electronic notification option, since it is the most
convenient, quickest, and least costly. The average number of
notifications per year is 15,648 (163 x 96), which is the product of
the number of OOS carriers and the average number of leases per year.
This amounts to up to 8 hours per OOS carrier per year for the 163 OOS
carrier industry total of 1,299 [163 x 96 x 0.083 (5 min. divided by
60) = 1,299 hours].
    In summary, lease negotiation and preparation amounts to about 8
hours per carrier per year for an industry total of 101,248 hours
information collection burden, plus an additional 8 hours per OOS
carrier per year for the 163 OOS carrier industry for a total of 1,299
hours burden. Thus, 101,248 hours plus 1,299 hours results in a total
burden for this proposal of 102,547 hours annually.

Information Collection Request Summary

    Annual Number of Respondents for this Information Collection:
6,328.
    Annual Number of Responses for this Information Collection:
623,136.
    Annual Information Collection Burden Hours: 102,547.
    Annual Information Collection Burden Cost: \15\ $4,422,513.
---------------------------------------------------------------------------

    \15\ As shown above $3,863,624 + $182,246 + $364,493 + $12,150 =
$4,422,513.
---------------------------------------------------------------------------

    We particularly request your comments on whether the collection of
information is necessary for the FMCSA to meet the goal of this
proposed rule to inform the traveling public and Federal, State, and
local law enforcement officers to identify the passenger carrier
responsible for safety, including: (1) Whether the information is
useful to this goal; (2) the accuracy of the estimate of the burden of
the information collection; (3) ways to enhance the quality, utility,
and clarity of the information collected; and (4) ways to minimize the
burden of the collection of information on respondents, including the
use of automated collection techniques or other forms of information
technology. You may submit comments on the information collection
burden addressed by this proposed rule to OMB. The OMB must receive
your comments by November 19, 2013. You must mail or hand deliver your
comments to: Attention: Desk Officer for the Department of
Transportation, Docket Library, Office of Information and Regulatory
Affairs, Office of Management and Budget, Room 10102, 725 17th Street
NW., Washington, DC 20503. Please also provide a copy of your comments
on the information collection burden addressed by this proposed rule to
docket FMCSA-2012-0103 in www.regulations.gov by one of the four ways
shown above under the ADDRESSES heading.

K. National Environmental Policy Act and Clean Air Act

    FMCSA analyzed this proposed rule in accordance with the National
Environmental Policy Act of 1969 (NEPA) (42 U.S.C. 4321 et seq.). The
Agency has preliminarily determined under its environmental procedures
Order 5610.1, published March 1, 2004, in the Federal Register (69 FR
9680), that this action is categorically excluded from further
environmental documentation under Appendix 2, Paragraphs y(2) and y(7)
of the Order (69 FR 9702). These categorical exclusions relate to:
     y (2) Regulations implementing motor carrier
identification and registration reports; and
     y (7) Regulations implementing prohibitions on motor
carriers, agents, officers, representatives, and employees from making
fraudulent or intentionally false statements on any application,
certificate, report, or record required by FMCSA.
    Thus, the proposed action would not require an environmental
assessment or an environmental impact statement.
    FMCSA also analyzed this proposed rule under the Clean Air Act, as
amended (CAA), section 176(c) (42 U.S.C. 7401 et seq.), and
implementing regulations promulgated by the Environmental Protection
Agency. Approval of this action is exempt from the CAA's general
conformity requirement since it does not affect direct or indirect
emissions of criteria pollutants.

L. Executive Order 13211 (Energy Effects)

    FMCSA has analyzed this rule under Executive Order 13211, Actions
Concerning Regulations That Significantly Affect Energy Supply,
Distribution, or Use. The Agency has preliminarily determined that it
is not a ``significant energy action'' under that Executive Order
because it is not economically significant and is not likely to have a
significant adverse effect on the supply, distribution, or use of
energy.

List of Subjects in 49 CFR Part 390

    Highway safety, Intermodal transportation, Motor carriers, Motor
vehicle safety, Reporting and recordkeeping requirements.

The NPRM

    For the reasons stated in the preamble, FMCSA proposes to amend 49
CFR part 390 in title 49, Code of Federal Regulations, chapter III,
subchapter B, as follows:

PART 390--FEDERAL MOTOR CARRIER SAFETY REGULATIONS; GENERAL

0
1. The authority citation for part 390 continues to read as follows:

    Authority: 49 U.S.C. 504, 508, 31132, 31133, 31136, 31144,
31151, 31502; sec. 114, Pub. L. 103-311, 108 Stat. 1673, 1677-1678;
sec. 212, 217, 229, Pub. L. 106-159, 113 Stat. 1748, 1766, 1767;
sec. 229, Pub. L. 106-159 (as transferred by sec. 4114 and amended
by secs. 4130-4132, Pub. L. 109-59, 119 Stat. 1144, 1726, 1743-
1744); sec. 4136, Pub. L. 109-59, 119 Stat. 144, 1745; sections
32101(d) and 34934, Pub. L. 112-141, 126 Stat. 405, 778, 830; and 49
CFR 1.87.

0
2. Amend Sec.  390.5 by revising the definition of ``Interchange'' and
adding definitions of ``Lease,'' ``Lessee,'' and ``Lessor'' in
alphabetical order to read as follows:

Sec.  390.5  Definitions.

* * * * *
    Interchange means--
    (1) The act of providing intermodal equipment to a motor carrier
pursuant to an intermodal equipment interchange agreement for the
purpose of transporting the equipment for loading or unloading by any
person or repositioning the equipment for the benefit of the equipment
provider, but it does not include the leasing of equipment to a motor
carrier for primary use in the motor carrier's freight hauling
operations; or
    (2) The act of providing a passenger-carrying commercial motor
vehicle by one motor carrier of passengers to another such carrier, at
a point which both carriers are authorized to serve, with which to
continue a through movement.
    (3) For property-carrying vehicles, see Sec.  376.2 of this
subchapter.
* * * * *
    Lease means a contract or arrangement in which a motor carrier
grants the use of a passenger-carrying commercial motor vehicle to
another motor carrier, with or without a driver, for a specified period
for the transportation of passengers, in exchange for compensation. The
term lease includes an interchange, as defined in this section, or
other agreement granting the use of a passenger-carrying commercial
motor vehicle for a specified period, with or without a driver, whether
or not compensation for such use is specified or required. For a
definition of lease in the context of property-carrying vehicles, see
Sec.  376.2 of this subchapter.
    Lessee means the motor carrier obtains the use of a passenger-
carrying commercial motor vehicle, with or without the driver, from
another party. The term lessee includes a party obtaining the use of a
passenger-carrying commercial motor vehicle from another under an
interchange or other agreement, with or without a driver, whether or
not compensation for such use is specified. For a definition of lessee
in the context of property-carrying vehicles, see Sec.  376.2 of this
subchapter.
    Lessor means the motor carrier granting the use of a passenger-
carrying commercial motor vehicle, with or without a driver, to another
party. The term lessor includes a motor carrier granting the use of a
passenger-carrying commercial motor vehicle to another party under an
interchange or other agreement, with or without a driver, whether or
not compensation for such use is specified. For a definition of lessor
in the context of property-carrying vehicles, see Sec.  376.2 of this
subchapter.
* * * * *
0
3. Amend Sec.  390.21 by revising the heading and introductory language
of paragraph (e); redesignating paragraphs (f) and (g) as paragraphs
(g) and (h); and adding paragraph (f) to read as follows:

Sec.  390.21  Marking of self-propelled CMVs and intermodal equipment.

* * * * *
    (e) Rented property-carrying commercial motor vehicles. A motor
carrier operating a self-propelled property-carrying commercial motor
vehicle under a rental agreement having a term not in excess of 30
calendar days meets the requirements of this section if:
* * * * *
    (f) Leased and interchanged passenger-carrying commercial motor
vehicles. A motor carrier operating a leased or interchanged passenger-
carrying commercial motor vehicle meets the requirements of this
section if:
    (1) The passenger-carrying CMV is marked in accordance with the
provisions of paragraphs (b) through (d) of this section, except that
marking is required only on the right (curb) side of the vehicle; and
    (2) The passenger-carrying CMV is marked with a single placard,
sign, or other device affixed to the right (curb) side of the vehicle
on or near the front passenger door. The device must display the legal
name or a single trade name of the motor carrier operating the CMV and
the motor carrier's USDOT number, preceded by the words ``Operated
by.''
* * * * *
0
4. Add a new subpart F, consisting of Sec. Sec.  390.301 through
390.305, to part 390 to read as follows:
Subpart F--Lease and Interchange of Passenger-Carrying Commercial Motor
Vehicles
Sec.
390.301 Applicability.
390.303 Written lease and interchange requirements.
390.305 Notifications.

Subpart F--Lease and Interchange of Passenger-Carrying Commercial
Motor Vehicles

Sec.  390.301  Applicability.

    (a) Except as provided in paragraph (b) of this section, this
subpart applies to the following actions, irrespective of duration, or
the presence or absence of compensation, by motor carriers operating
commercial motor vehicles to transport passengers:
    (1) The lease of passenger-carrying commercial motor vehicles with
which to perform such transportation; and
    (2) The interchange or loan of passenger-carrying commercial motor
vehicles or drivers between motor carriers performing such
transportation.
    (b) This subpart does not apply to a contract (however designated,
e.g., lease, closed-end lease, hire purchase, lease purchase, purchase
agreement, installment plan, etc.) between a motor carrier and a
manufacturer or dealer of passenger-carrying commercial motor vehicles
allowing the motor carrier to use the passenger-carrying commercial
motor vehicle, for compensation, for a period of 5 years or longer.

Sec.  390.303  Written lease and interchange requirements.

    A motor carrier may transport passengers in a leased or
interchanged commercial motor vehicle only under the following
conditions:
    (a) Lease, interchange, or other agreement. There shall be either:
    (1) A written lease granting the use of the passenger-carrying
commercial motor vehicle and meeting the conditions of paragraphs (b)
through (i) of this section. The provisions of the lease shall be
adhered to and performed by the motor carrier lessee;
    (2) A written agreement meeting the conditions of paragraphs (b)
through (i) of this section and governing the interchange of passenger-
carrying commercial motor vehicles between motor carriers of passengers
conducting through service on a route or series of routes. The
provisions of the interchange agreement shall be adhered to and
performed by the motor carrier lessee; or
    (3) A written agreement meeting the conditions of paragraphs (b)
through (i) of this section and governing the renting, borrowing, or
loaning, etc., of a

passenger-carrying commercial motor vehicle from another party. The
provisions of the agreement shall be adhered to and performed by the
motor carrier lessee.
    (b) Parties. The lease, interchange, or other agreement shall be
made between the motor carrier providing passenger transportation in a
commercial motor vehicle (lessee) and the motor carrier that owns the
equipment (lessor). The lease, interchange, or other agreement shall be
signed by these parties or by their authorized representatives.
    (c) Duration to be specific. The lease, interchange, or other
agreement shall specify the time and date when, and the location where,
the lease, interchange, or other agreement begins and ends. These times
and locations shall coincide with the times for the providing of
receipts required by paragraph (d) of this section, unless the parties
wish to end the lease, interchange, or other agreement prematurely; in
that case, the receipt required by paragraph (d) of this section
showing the date, time of day, and location where the lessor recovers
possession of the passenger-carrying commercial motor vehicle shall
supersede the date and location for termination specified by the lease,
interchange, or other agreement.
    (d) Receipts for passenger-carrying commercial motor vehicle.
Except as indicated in paragraph (d)(4) of this section, receipts
specifically identifying the passenger-carrying commercial motor
vehicle to be leased or otherwise temporarily transferred and stating
the date, time of day, and location where possession is transferred,
shall be given as follows:
    (1) When the lessee takes possession of the passenger-carrying
commercial motor vehicle, it shall give the lessor a receipt. The
receipt may be transmitted by email, mail, facsimile, or other physical
or electronic means of communication.
    (2) When the lessor recovers possession of the passenger-carrying
commercial motor vehicle, it shall give the lessee a receipt. The
receipt may be transmitted by email, mail, facsimile, or other physical
or electronic means of communication.
    (3) Authorized representatives of the lessee and the lessor may
take possession of leased equipment and give and receive the receipts
required under this section.
    (4) Exception. Receipts shall not be required when passenger-
carrying commercial motor vehicles are interchanged between parties to
either an interline agreement or a revenue pooling agreement approved
by the Surface Transportation Board.
    (e) Identification of equipment. The motor carrier lessee shall
identify the commercial motor vehicle as being in its service as
follows:
    (1) During the period of the lease, interchange, or other
agreement, the lessee shall mark the passenger-carrying commercial
motor vehicle in accordance with the requirements of Sec.  390.21(f)
(Leased and interchanged passenger-carrying commercial motor vehicles).
    (2) Except as indicated in paragraphs (e)(2)(i) and (ii) of this
section, a copy of the lease, interchange agreement, or other agreement
shall be carried on the passenger-carrying commercial motor vehicle.
This includes:
    (i) A copy of a master lease applicable to more than one vehicle
that is carried on the passenger-carrying commercial motor vehicle
meets the requirements of this paragraph provided it complies with all
other requirements of this section.
    (ii) In lieu of a copy of the interchange agreement, a written
statement signed by the parties to the interchange agreement or their
authorized representatives and carried on the passenger-carrying
commercial motor vehicle meets the requirements of this paragraph
provided it:
    (A) Certifies under penalty of perjury pursuant to 28 U.S.C. 1746
that the lessee is operating the equipment;
    (B) Identifies the passenger-carrying commercial motor vehicle by
company and USDOT number;
    (C) Shows the specific point, date, and time of interchange; and
    (D) Indicates the use to be made of the passenger-carrying
commercial motor vehicle.
    (f) Exclusive possession and responsibilities. (1) The lease,
interchange, or other agreement shall clearly state that the motor
carrier obtaining the passenger-carrying commercial motor vehicle (the
lessee) shall have exclusive possession, control, and use of the
passenger-carrying commercial motor vehicle for the duration of the
lease, interchange, or other agreement. The lease, interchange, or
other agreement shall further provide that the lessee shall assume
complete responsibility for operation of the passenger-carrying
commercial motor vehicle and compliance with all applicable Federal
regulations for the duration of the lease, interchange, or other
agreement.
    (2) Provision may be made in the lease, interchange, or other
agreement for considering the lessee as the owner of the equipment for
the purpose of subleasing it to other motor carriers of passengers
during the period of the lease, interchange, or other agreement. In the
event of a sublease, all of the requirements of this section shall
apply to the parties to the sublease.
    (3) Nothing in the provisions required by this paragraph is
intended to affect whether the lessor of the passenger-carrying
commercial motor vehicle or a driver provided by the lessor is an
independent contractor or an employee of the motor carrier lessee.
    (g) Insurance. The lease, interchange, or other agreement shall
clearly specify the legal obligation of the lessee to maintain
insurance coverage for the protection of the public pursuant to 49 CFR
part 387. The lease, interchange, or other agreement shall further
specify who is responsible for providing any other insurance coverage
for the operation of the leased, interchanged, or otherwise procured
equipment.
    (h) Copies of the lease. An original and two copies of each lease,
interchange, or other agreement shall be signed by the parties. The
lessee shall keep the original and, except as otherwise permitted by
paragraph (e)(2) of this section, shall place a copy of the lease,
interchange, or other agreement on the passenger-carrying commercial
motor vehicle during the period of the lease, interchange, or other
agreement. The lessor shall keep the other copy of the lease.
    (i) Record retention. Copies of each lease, interchange, or other
agreement, and the receipts required by paragraph (d) of this section,
shall be retained by the lessor and lessee for one year after the
expiration date of the lease, interchange, or other agreement.

Sec.  390.305  Notifications.

    A motor carrier of passengers that has been prohibited from
operating in interstate commerce for any reason by FMCSA or a State
(imminent hazard, failure to pay civil penalty, etc.) and that intends
to lease, interchange, rent, or otherwise convey the use of some or all
of its passenger-carrying commercial motor vehicles to another
passenger carrier must provide written notification of that transfer of
control to the FMCSA Division Administrator for the State in which the
carrier has its principal place of business. Written notification by
email must occur at least 3 business days, and by U.S. Mail at least 5
business days, before the vehicles are transferred to the control of
the other passenger carrier. The written notification shall include the
name, address, telephone number, and USDOT number of the passenger
carrier to which the passenger-carrying commercial motor vehicles are
being leased, interchanged, rented, or otherwise conveyed, as well as
the

make, model, and vehicle identification number (VIN) of each vehicle so
transferred. The lease or interchange of such vehicles shall comply
with all applicable provisions of subpart F of this part.

    Issued under the authority delegated in 49 CFR 1.87 on:
September 12, 2013.
Anne S. Ferro,
Administrator.
[FR Doc. 2013-22782 Filed 9-19-13; 8:45 am]
BILLING CODE 4910-EX-P


[Federal Register Volume 83, Number 50 (Wednesday, March 14, 2018)]
[Notices]
[Page 11193]
[FR Doc No: 2018-05096]

-----------------------------------------------------------------------

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

Notice of Effectiveness of Exempt Wholesale Generator Status

------------------------------------------------------------------------

------------------------------------------------------------------------
State Edge Wind I LLC...................................     EG18-20-000
State Edge Wind I Holdings LLC..........................     EG18-21-000
Hardin Wind Energy LLC..................................     EG18-22-000
Hardin Wind Energy Holdings LLC.........................     EG18-23-000
Beech Ridge Energy II Holdings LLC......................     EG18-24-000
Clean Energy Future-Lordstown, LLC......................     EG18-25-000
Tahoka Wind, LLC........................................     EG18-26-000
------------------------------------------------------------------------

    Take notice that during the month of February 2018, the status of
the above-captioned entities as Exempt Wholesale Generators became
effective by operation of the Commission's regulations. 18 CFR 366.7(a)
(2017).

    Dated: March 8, 2018.
Nathaniel J. Davis, Sr.,
Deputy Secretary
[FR Doc. 2018-05096 Filed 3-13-18; 8:45 am]
BILLING CODE 6717-01-P